Richmond Fed. Manufacturing index will jump nicely from –6.0 to +3.0 – bullish for dollar, bearish for bonds and gold
Special Correspondent
Jan. 21, 2007

The manufacturing is stabilizing and moving higher. Richmond Fed. Manufacturing index will jump nicely from –6.0 to +3.0. It will be real bullish for dollar and bearish for bonds and gold markets.

The inventory levels have come down from historic excess levels. The manufacturing sector all over the country is ready to rebound solidly.

The stocks will be hostage to the earnings for the time being. There can be some soft spots of nasty underperformance by individual companies. The big gainer will be dollar. The excess manufacturing is being absorbed by the Western Europe especially the Euro Zone.

The gold will suffer as there will be pressure on long term rates. The budget and trade deficit are shrinking. That is bearish for gold and bullish for dollar.

Richmond Fed. Manufacturing index will jump nicely from –6.0 to +3.0 – bullish for dollar, bearish for bonds and gold
Special Correspondent
The manufacturing is stabilizing and moving higher. Richmond Fed. Manufacturing index will jump nicely from –6.0 to +3.0. It will be real bullish for dollar and bearish for bonds and gold markets.
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