The USD is getting skewed and yet gold is only up a miserly $10. It seems the invisible hand is very busy today. Even the DOW is up strongly today despite poor corporate earnings and massive job cuts. Existing home prices continue to fall at a record pace and the rate of downward change was estimated to be the worst in 70 years.

Keep in mind that gold is typically ambushed on Mondays and that this is especially the case on a week when the FOMC meets. The FED's meeting on Wednesday will be most amusing as the fanfare and predictions of rate cuts will be non-existent as rates cannot go lower. Perhaps from now on, the economists can discuss their predictions of what colour tie Bernanke will wear on Wednesday instead. Or perhaps there won't be a tie as the Emperor will be proven to have no clothes.

We will see if the PPT can continue to hold the fort today at Little Big Horn.

Regards - VHF