All Clowns Must Be Destroyed Message Board

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Pastimes : All Clowns Must Be Destroyed

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To: BGR who wrote (37251)	6/2/2000 11:06:00 AM
From: patron_anejo_por_favor	Read Replies (1) of 42523

<<I don't understand. How can XAU and POG love both inflations and recessions?>> Because inflation and recessions are not mutually exclusive. Recession means a declining GDP. Inflation means higher prices. No reason why we can't have both; indeed, that is exactly what we are seeing the beginnings of. Ever heard of "stagflation"? Especially in the setting of a weaker currency, it is the best environment of all for gold. It was the economic backdrop that gold was moving in in the '79-80 gold bull market.

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