VNQ’s increase is all the more striking when you consider that the rest of the field below US equities has suffered mediocre-to-negative results over the past year.

Gold vs. Silver and USD have reversed downward today. This would imply a whiff of an ‘inflation trade’ if it were to persist and lead to a break of the up trends for these 2 Horsemen.

Gold is not about inflation and in this cycle it, as a squarely risk ‘OFF’ asset, is about the opposite, the deflationary unwinding of the inflated excesses which now are no longer clustered in commodities and global markets.

In the land of indicators, there is just as much confusion as there is in the land of asset markets. In the markets it’s gold miners up, down, up… stock market up… and up again.

Well, yesterday FXI made me look silly as it tanked. Today it is making me look okay. Of more importance than what I look like is that FXI, EEM and the TIP-TLT ratio all have similar patterns.

Since we noted a couple weeks ago that the TIP fund was trying to put in a short-term bottom, it ground around but continued upward.