And just like that, things are back to normal

Jay Soloff

And just like that, things are back to normal. The market is once again reacting to normal catalysts such as earnings news and Fed tapering expectations. It's like the whole government debacle didn't even happen. Actually, all investors really seem to care about is that the damage done to the economy during the shutdown means the Fed won't be tapering anytime soon - possibly not until 2014. Meanwhile, the major indices are mixed today with poor IBM earnings dragging down the Dow on an otherwise bullish day. Volatility is pulling its best vanishing act, with the VIX dropping below 14. However, the most interesting development is gold rocketing up 3% (the opposite move seemed more likely). It appears the big move higher is based on heavy short-covering as well as a hefty drop in the US dollar.


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