Silver, Gold Higher; Oil Glut to Reach 4 Million Barrels a Day; Military to Get Paid as Government Shutdown Continues

The federal government, whatever form it may take while it is supposedly "shut down", does have its priorities. First and foremost, it appears, is to keep the military industrial complex operational.

Less than a week ago, though scantily reported in the MSM, the Senate voted to fund the military at $925 billion in fiscal 2026. The passage paves the way for reconciliation with the House and also included $500 million for Ukraine. The bill received overwhelming support.

While a stand-alone bill to pay military service members, civilian workers and contractors did not make it to the floor, President Donald Trump directed the Pentagon to use research and development funds to pay the troops if the shutdown persists, according to Reuters. Paychecks are due on the 15th, i.e., today.

As Americans are well aware, war is an essential function of the government. The shutdown is in its 15th day.

Elsewhere, Wall Street continues to carry on as usual. The Dow Industrials made a 1000-point round trip on Tuesday, dropping 500 in the opening half hour, rising 500 above the prior close later in the day, to end up nearly 0.50% higher. The NASDAQ and S&P were less fortunate.

Bank earnings buoyed the market in general, though tech continued to be skittish.

Companies reporting third quarter earnings Wednesday before the opening bell included Morgan Stanley (MS), Synchrony Financial (SYF), Citizen's Financial (CFG), First Horizon (FHN), Bank of America (BAC), ASML (ASML), Progressive (PGR), Abbott Labs (ABT).

Bank earnings continue to be a bright spot. Morgan Stanley (MS) and Bank of America (BAC) reported record revenues in the quarter. Both stocks are up three to four percent pre-market.

ASML (ASML) missed on the revenue side, but investors are apparently reassured by the company's forecast, sending shares higher by four percent. The company manufactures equipment used in chip-making.

Ahead of its investor day presentation, Dollar Tree (DLTR) reiterated its forcast for growth of 10% over the coming 12 months. Shares of the discounter are up seven precent prior to the bell.

Ahead of the open, stock futures are higher. Dow: +238; NASDAQ: +255; S&P: +52.

Crude oil is likely to remain under pressure for some time and gas prices should continue to fall. The IEA forecast a global glut of 4 million barrels a day in 2026.

What's really important is spot silver priced at $52.50 and gold at $4,185. Silver broke above $53 overnight, and gold traded above $4,200. Suppression efforts continue in vain. They only forestall the inevitable.

At the Close, Tuesday, October 14, 2025:
Dow: 46,270.46, +202.88 (+0.44%)
NASDAQ: 22,521.70, -172.91 (-0.76%)
S&P 500: 6,644.31, -10.41 (-0.16%)
NYSE Composite: 21,500.25, +118.46 (+0.55%)