I will not be ignored, Jay
January 29. 2026
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–Title is from the movie Fatal Attraction (Michael Douglas, Glenn Close, Anne Archer)
–Yesterday, Powell was asked if the Fed takes any signal from the move in gold: (from Google AI)
- No Strong Signal: Powell explicitly stated that the Fed does NOT take a “strong signal” from the increase in gold and silver prices.
- Dismissing Credibility Loss: When asked if the rally indicated a loss of confidence in the Fed’s inflation management, Powell argued this is “simply not the case,” noting that “our credibility is right where it needs to be” based on inflation expectations [indicated by market pricing]
–Gold instantly exploded, trading to a high around $5500, having closed 4980 to end last week. “Man of the worldly mind! DO YOU BELIEVE IN ME OR NOT?” To be fair, gold isn’t simply dismissive of the Fed, it’s the entire monetary and political structure, which is what every sentient human being uncomfortably suspects.
–Early yesterday, TY week5 Friday 111.5p 7 paid for 50k ref 111-21, expiring tomorrow. Settled 6 ref 111-205. Yields ended slightly higher on the day with 10s +2.6 bps to 4.247 and 2s +1 bp to 3.579. 7-yr auction today. Jobless Claims expected 205k, but UPS announced 30k job cuts yesterday (moving away from AMZN deliveries) and AMZN is cutting 16k. The Fed held rates steady. Early buyer added 25k SFRJ6 9675/9687.5cs for 1.25 (delta 5 vs 56; SFRM6 settled 9653.5).
–Ilhan Omar was attacked by a man who sprayed her with apple cider vinegar. It’s unclear why he blamed her for inadequate results related to the diet fad. Of course, we’re in a world where no one seems to be able to connect actions with outcomes, so… it’s a metaphor. As good as any.
