What a surprise this morning to find that in the hour after stock trading closed on Friday, gold and silver powered on to new all-time closing highs.  Each closed within pennies of its high on the day.  POG hit $2,329.20, while POS reached $27.44.  It's funny that the biggest part of the surge came after Wall Street closed.

Had the bullion markets had another minute or two to run before the close, they would likely have closed at their day's highs.  Nevertheless, this is a good sign for Monday's opening.

What's behind this?  I think institutional investors are waking up to the fact that the Fed may have lost the fight to reset inflation's direction and that bonds may not be the bulwark of stability they thought they were.

This also means that interest rates are not likely to fall soon.  If so, bonds will not rally for a long while, in my opinion.  That will force even more money into gold, silver, and other countercyclicals.

Meanwhile, most retail investors do not understand this shift.  As they become aware, their interest will shift into mining, or so history tells us, and that's when this rocket will further accelerate.