US confidence increases as recovery continues

So much hangs on the US economic recovery.

The jobs data if Friday was a good step in the right direction, with the economy continuing to add around 200,000 jobs per month over a sustained period (6 months) which indicates that the stimulus is working.

Indeed, it seems increasingly likely that the Fed may be able to taper off its stimulus in the coming months.

Stocks continue to rise for a third day in a row.

Bloomberg:

"The S&P 500 gained 1.6 percent last week, as better-than-estimated economic data tempered concern over a possible scaling back of Federal Reserve stimulus. Employers added more jobs than forecast in June, and other data during the week showed jobless claims decreased and manufacturing improved. While the index has fallen 2.2 percent since its May 21 record, the gauge is up 14 percent for 2013."

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Gold miners "trading like junk"

Reports Bloomie:

[Gold mining companies]..."are trading as if they’ve lost their investment-grade ratings after the price of the metal plunged 28 percent this year to the lowest since August 2010.

Gold futures in New York yesterday dropped below $1,200 for the first time since August 2010, as signs of improving U.S. economic growth boosted speculation the Federal Reserve will wind down its asset-purchase program.

After rising to a record $1,923.70 an ounce in September 2011, gold futures for August delivery fell 1.6 percent to $1,192.20 at 8:47 a.m. today on the Comex in New York."

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