“Sell the rumor buy the news”…which is completely backwards from the cliché trading lingo market

“Sell the rumor buy the news”…which is completely backwards from the cliché trading lingo market participants are used to but nonetheless advice that would have treated them well after yesterday’s FOMC meeting. In a shocking twist of rational thinking, the Fed has decided not to taper Quantitative Easing and, instead, stay the course of $85 billion-a-month in asset purchasing. One could guess what happed after the metals complex had been sold-off sharply in the days leading up to the meeting. Gold closed the official session at $1307.60 but quickly spiked after the announcement and now trades more than 4.5% higher. Silver is nearly 8% higher, now trading $23.275 after closing the previous session at $21.564. Platinum trades more than 3% higher this morning, as does palladium, up 3.76% to start the day. Weekly jobless claims rose 15,000 last week but a few states are having trouble processing claims so the reading remains rather useless. Existing homes sales at 10 a.m. ET will round out the day on the economic front while investors continue to ponder the Fed’s decision. Have a great day!