By John Galt
November 7, 2011 – 08:30 ET
The chart of gold this morning speaks volumes about the uncertainty in our world today:
The Euro crisis shifts from Greece to Italy as the PIIGS are dominating world financial affairs. To make matters worse, the Italian crisis provides a snippet of what it will look like when Spain decides that they can not pay their bills even though the powers that be continue to insist Spain and Italy can “grow” their way out of the economic dilemma they are in. The Eurozone is toast and it is a matter of when, not if as far as the ultimate and untimely collapse.
Italy has not been this important to world markets since the days of the Roman Empire so whatever rumor happens to hit the wires shall be the master of our markets today. 1254 is still the key figure on the S&P 500 with 1219-1220 acting as short term support. If we break sharply in either direction that will probably be the course of trading for the week.
In the mean time, I think I’ll go look up more of Prime Minister Berlusconi’s babes. Twins. Wow.