Dollar slides big time
Just a brief observation, having blown up a major portion of a serious piece on the commerce clause.
Kitco.com is arguably the place to follow the metals. Yesterday and today, there has been a is a huge spike in the price of gold; I was not expecting it, for sure, based on the analysis of inside baseball people who know there is little natural demand for gold, but they also note that the investment banks are pushing into purchases, now. There gold war is now in the hands of speculators and those afraid of the dollar.
I also noted that there was rumblings that the Europeans (not us) were thinking about supporting the dollar. So far, not today, so the dollar drops and gold spikes.
Kitco has a new factor to consider when looking at gold movement. Look at it what it showed today:
Gold, in a Keynesian-free world went down .90. In our world, thanks to the people we elected, so we can't blame others too much, it increased 10 points because of the descent of the U.S. Dollar. This is why I also hold silver. The investment game is distorted by politics and the Keynesian logic of Harvard and other festering places of thievery.
What does this mean: you dollar today will buy, say, as much gaoline as 1.10 yesterday.
Gas prices are about to spike, as well. Thanks to environmentalists and other con artists, we depend on foreigners for oil and refined gas. We will have to pay them more dollars, as they are worth less.
It also means, when the U.S. decides to move to raise interest rates, even .25%, that is the self-defense signal (yikes, we are moving into a depression) and gold is going to tank big time, without any prior announcement to the general population. So, en garde. It may be next year, but it will happen.
The stock market's free ride will also be over. Money will become harder to come by. (The market is not reflecting much in the way of a business pick up as the desperateness and delusion of investors who think a drop of 50,000 in the unemployment figures for a month is a good sign.) Look for a second wave of panic. I notice in past depressions, etc., the second wave is usually further out, but who can say, these days.
So, keep your eyes on the bouncing ball.
Kitco.com is arguably the place to follow the metals. Yesterday and today, there has been a is a huge spike in the price of gold; I was not expecting it, for sure, based on the analysis of inside baseball people who know there is little natural demand for gold, but they also note that the investment banks are pushing into purchases, now. There gold war is now in the hands of speculators and those afraid of the dollar.
I also noted that there was rumblings that the Europeans (not us) were thinking about supporting the dollar. So far, not today, so the dollar drops and gold spikes.
Kitco has a new factor to consider when looking at gold movement. Look at it what it showed today:
 | |
Gold Price Change due to Weakening of US Dollar +10.70 Gold Price Change due to Predominant Selling -0.90 Gold Price: Total Change +9.80 | |
Gold, in a Keynesian-free world went down .90. In our world, thanks to the people we elected, so we can't blame others too much, it increased 10 points because of the descent of the U.S. Dollar. This is why I also hold silver. The investment game is distorted by politics and the Keynesian logic of Harvard and other festering places of thievery.
What does this mean: you dollar today will buy, say, as much gaoline as 1.10 yesterday.
Gas prices are about to spike, as well. Thanks to environmentalists and other con artists, we depend on foreigners for oil and refined gas. We will have to pay them more dollars, as they are worth less.
It also means, when the U.S. decides to move to raise interest rates, even .25%, that is the self-defense signal (yikes, we are moving into a depression) and gold is going to tank big time, without any prior announcement to the general population. So, en garde. It may be next year, but it will happen.
The stock market's free ride will also be over. Money will become harder to come by. (The market is not reflecting much in the way of a business pick up as the desperateness and delusion of investors who think a drop of 50,000 in the unemployment figures for a month is a good sign.) Look for a second wave of panic. I notice in past depressions, etc., the second wave is usually further out, but who can say, these days.
So, keep your eyes on the bouncing ball.
posted by Gene | 10:11 AM
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