Gold for April Delivery: $1000
March 13th, 2008WARNING: This is not a recommendation to buy, sell or hold any financial instrument.
Equities are going to get whacked. What usually happens in these situations is that money comes out of the gold. Don’t be surprised if it pulls back.
Via: Reuters:
U.S. gold futures rallied to a record high of $1,000 an ounce on Thursday, fueled by a combination of a weakening dollar, strong investment demand and inflation fears due to rising crude oil prices.
At 8:27 a.m. EDT, the active contract for April delivery was up $17.30 or 1.7 percent at $997.70 an ounce. Just minutes earlier, it had hit an all-time high of $1,000 on the COMEX division of the New York Mercantile Exchange.
Posted in Economy | Top Of Page
Not to worry, Decider-Guy is now also an economist, and he assures us, we are NOT in a recession:
http://tinyurl.com/24mxah
“If you want me to say we’re in a tough patch, having a tough time, it’s bad — times are rough — I’ll say all those three, because that’s the truth,” Bush told Susie Gharib of PBS’ “Nightly Business Report,” according to a transcript released by the White House.
But he refused to declare a recession, “because there’s a definition for the ‘R’ word, and we haven’t reached the definition.”
Let’s party!
Good to see this, yeah! This thing is not over yet by a long shot. I jumped on the gold bandwagon at the May highs in 06, took a beating on some juniors, learned a powerful lesson by maintained at least a 25% portfolio position.
The most important thing I have learned about this market is STAY IN! Do not rotate out of mining equities. The market is getting more volatile and will whipsaw even more and only the GOLD 3l1t3 can trade it.
There is a big inflation/deflation debate going on and the question of is the U.S. and Global money supply really expanding or contracting? If you look at the U.S. only it appears that both are happening on different fronts, but if you look globally Inflation wins and Currency Expansion wins and that is good for gold.
Wow, nice disconnect between HUI, XAU, and the major U.S indices, booyah!