Daily Treasury Statement Charts Update: 7/4/11

An update of the daily treasury statement charts:

 

Total Operating Balance Vs S&P 500

Click to enlarge.

 

The total operating balance of the US Treasury rose by $2.5 billion on Wednesday (latest). We saw another choppy day of trading, with the major equity indices closing out roughly flat on the day. Gold and silver continue their march higher, US bonds continue to decline and the commodities markets remain strong. The interpretation of the lagged daily treasury statement charts (see below) remains the same: that (perhaps after a small correction) this up-trend could continue for about 4 weeks. Of course, I should remind you that this interpretation could be deemed to be alchemistic in nature. The broad thesis is that net withdrawals are bullish for asset prices (on a lagged basis) and net accumulations of cash are bearish for asset prices (on a lagged basis). For a more detailed interpretation of these charts see here.

 

Total Operating Balance Vs Dow Inverted (LAGGED)

Click to enlarge.

Total Operating Balance Vs S&P 500 Inverted (LAGGED)

Click to enlarge.

Total Operating Balance Vs Russell 2000 Inverted (LAGGED)

Click to enlarge.

Total Operating Balance Vs VIX (LAGGED)

Click to enlarge.

See here for our collection of rare historical economic data.

Posted Apr 8, 2011