The Tipping Point?

Pathetic just got a whole new definition. This just in from the Oracle Of Orwell:

Winter storms to distort US jobless figures
WASHINGTON, March 1 (Reuters) - White House economic adviser Larry Summers said on Monday winter blizzards were likely to distort U.S. February jobless figures, which are due to be released on Friday.

"The blizzards that affected much of the country during the last month are likely to distort the statistics. So it's going to be very important ... to look past whatever the next figures are to gauge the underlying trends," Summers said in an interview with CNBC, according to a transcript.

Construction activity was hit particularly hard by the storms, but many restaurants and stores also had to close, putting the brakes on hiring plans and temporarily throwing some employees out of work.
http://www.reuters.com/article/idUSN0111549320100301

I know the government LOVES to blame the weather for countless shortcomings in economic data they "release" [conjure up]. But now they blame the weather before the non-farm payrolls data is even released. It doesn't take a genius to figure out this months payroll number is going to be "unexpectedly" unexpectedly bad. As in not very good at all. The government is at a loss to explain it, and so they're attempting, through the ever lying lips of Sweat Hog Larry Summers, to soften the blow ahead of the release Friday morning.

The "jobless recovery" [an Orwellian concoction if ever there was one] is becoming even more jobless, and threatening the [make believe] recovery. With Larry Summers as "White House economic adviser, why do we spend BILLIONS chasing terrorists around the desert? This man has done more to destroy the country than any gang of camel jockeys could ever hope to...

The price of gold continues to set records in currency other than the USA dollar. The gold price in Euros is 822.00 Euros/oz. The gold price in British pounds is 750 Br pounds/oz. Both new records.

"The really important lesson to take from this is that when we look at the headline gold price (in dollars) and think it is low compared to December, most of that difference is due to the stronger dollar," said VM Group analyst Matthew Turner.

"If you look from a global perspective, the gold price is probably near its record highs," he added.
It is important to take note of Gold's strength vs the Dollar of late. When the Dollar rolls over in earnest, and it will very soon, Gold has the potential to explode in price. Gold may be off it's December high in Dollar terms, but with the Euro and Pound besting their December highs in Gold this week, it's only a matter of time before Gold does the same in Dollar terms.

Gold Breaks the Rules [recommended, balanced read]
by Myra P. Saefong
Gold's been quite the rebel lately -- and investors are giving it much more than a passing glance.

The precious metal recently broke from its usual inverse relationship with the U.S. dollar to move more in sync with the climb in the greenback, showing off its prowess as a resilient world favorite.

"Gold moving up with the dollar is a sign of tremendous strength in gold," said Sam Kirtley, chief executive officer of SK Options Trading.

"Both gold and the dollar have been trending upward since early this month," said Brien Lundin, editor of Gold Newsletter. "If gold and the dollar can decouple, [that would] hold important implications for the metal going forward."

And those implications are likely to be good for gold. A decoupling in the relationship would mean that "investors are not only buying gold as a U.S. dollar hedge but as a safe-haven asset too, and buying for this reason is so heavy it is outweighing the selling from U.S. dollar strength," said Kirtley.

The global markets are currently focusing on Europe's troubles, feeding a rally in the dollar, yet gold is still trading at around $1,100, said Kirtley. "So if gold can make gains, or even just tread water whilst the U.S. dollar rallies, it will soar if the greenback was to begin to drop."

What's happening now is truly putting gold's durability on display.

"Gold's ability to rise in most major currencies is suggesting people are choosing it as an alternative to paper currencies," said Peter Grandich, a metals writer at Agoracom.com. And people are choosing the precious metal "because of the huge amount of debt the western world has piled up and the belief the only way out from under it is to reflate."
http://finance.yahoo.com/banking-budgeting/article/108922/gold-breaks-the-rules?sec=topStories&pos=4&asset=&ccode

Forex: EUR/USD surges 130 pips to daily high
Tue, Mar 2 2010, 13:06 GMT http://www.fxstreet.com/
FXstreet.com (Barcelona) - The euro has recovered all the ground lost earlier to the dollar earlier in today's European session when the bottom fell out of the EUR/USD to hit a 10-month low at 1.3433. Since then, the euro has been on the rise, making up more than 130 pips versus the Greenback to mark a daily high at 1.3570 near the moving average of 55 periods on the hourly charts.

If the pair manages to hold above 1.3566, the next levels of resistance will be found at 1.3600 and 1.3634, while support now lies at 1.3545, 1.3511 and 1.3477.

Gold and Silver are attempting to break higher early this morning on the surge in the Euro of it's 9-month low. Both were up strong in London overnight, and the Bull has entered the CRIMEX as if it were in a China shop. The Bull has it's eyes on the 1126 handle in Gold. Should the Bull smash through 16.73 Silver, his eyes will set a bead on the important 16.92 handle. Of course we must be ever mindful that this is the CRIMEX, and capping Gold is their business. But stopping a Bull in a China shop?

Has the Euro Gone Too Far? [To the Downside?]
March 2, 2010 · By Adam Hewison
We ended 2009 with the overriding consensus that the dollar was going to be under pressure and keep moving lower against the euro. Well guess what, the euro proved to be even weaker than the US dollar as it moved to levels not seen since May of 2009.

So what happened? Was conventional thinking wrong, or did the market get it right? We may be at a tipping point where conventional thinking could well be wrong again.

In this new video I share with you what I see in the euro/dollar cross right now.
http://www.ino.com/info/531/CD4077/&dp=0&l=0&campaignid=3