"GOLD: WHERE THE ACTION IS" by the Aden Sisters
Mary Anne & Pamela Aden are real sharpies
with strong technical analysis abilities, and more
note the comments about price inflation
THAT IS PRECISELY WHAT WILL LEAD BOND REVOLT, PART II
you may fall victim to the notion that the Fed controls the bond market
they control the short end, PERIOD
the market controls the long end, as it will demonstrate
gold-eagle.com
an excerpt:
Gold has been in a solid rise for almost three years now. Some of the rise has been due to the weakness in the U.S. dollar because gold moves opposite to the dollar, and it looks like the dollar is going sharply lower. But gold has been rising for other reasons too.
BULLISH FUNDAMENTALS
Overall, gold's been moving higher because something isn't right in the world today. Uncertainty is keeping gold up, both in the U.S. and globally. Debt is literally soaring and terrorism is a new threat. China is also entering the market and it's now allowing its 1.3 billion citizens to buy gold, which is a very important factor since it'll strongly increase demand.
Plus, inflation signs are starting to surface, which is another important fundamental because inflation is very bullish for gold. The CRB commodity index, for instance, is at a new seven year high and commodities are up between 32% and 66% this year alone.
The bond market is reinforcing this too and so is the booming money supply around the world. This is now resulting in higher prices, which will soon filter down to the consumer level and the inflation index.
In fact, the latest producer price index soared at a 10% annual rate and it leads consumer prices. As this becomes more obvious, investors will increasingly turn to gold, the true inflation hedge, which all means gold will continue to be a good investment.
/ jim |
