Sweet Day for the Longs – Pay me!

PHEW!!!!

Put myself on the line with this Gold and Emerging market trade and it is looking good. India up 10 percent (IFN) and closed on the high. Russia closed up 10 plus percent for the second day in a row.

I was hopeful for this rally but you never expect to get paid on risky trades like this.

My gold buys intra-day were all positive and I am waaaay long gold right now.

I booked some profits at the end of the day in India and MDG. I think the gold stocks could really play catch up tomorrow or Monday where I will look to deleverage from gold.

I really think you look back at $540 gold and even $570 gold and go wow – I can’t believe I passed on that price. I think the Fed will choose to start cutting aggressively this fall as the next wave down in the US will be worse.

The rally aside today, big companies are hurting and confidence has taken a big smack both here and more importantly – emerging markets.