Gold's down Dollar's up - Programmed Automationhas kicked in - in lock step with today's CPI inflation report.
The algorithms are programmed to automatically boost the dollar and sell off gold on any CPI release of inflation creeping higher as today's release has shown.
The algos are programmed minus human intervention entirely devoid of the fundamentals of thinking human beings to read that increases in inflation prompts the Fed to tighten up and fight it automatically triggering the selling of gold, hence the dollars rise in lock-step.
In essence - a machine is left to do the thinking and trading for investors regardless of rudimentary right or wrong.
Nonetheless, the programmed algorithm in this regard is flawed. The Fed is losing ground in the inflation fight presenting the dire need of corrective programming or to just scrap the unthinking light speed mechanical process altogether.
Fundamentaly, gold should be rising as inflation rises. Some machine doing 70 percent of the trading for humans falsely programmed in sync with a corrupt Fed is in need of an overhaul.
But will get there only eventually after a lot more dumb selling.
In the meantime, while the Fed loses further with getting and keeping inflation under control, Central banks around the world currently in accumulation mode are snatching up gold spit out and sold automatically via a worn out programmed trading platform in need of revamping.
Gold's ascent will resume before long when the dust settles over this latest CPI release as central banks around the globe continue their relentless accumulation of the physical metal.
Today's minor blip on the gold radar screen with dwindling supplies of physical gold pushing prices up will shortly resume after this bit sell-off.