SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Strategies & Market Trends : 2026 TeoTwawKi ... 2032 Darkest Interregnum
GLD 368.29+0.6%Nov 7 4:00 PM EST
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: TobagoJack who wrote (43605)12/8/2008 6:43:07 PM
From: energyplay  Read Replies (2) of 217574
 
Today, if people get their hands on more cash, it will go to -

1) mattress

2) bank account

3) important non deferable spending, like school fees and car repair. Note that saving is now ahead of everything.

4) pay down debt - This will eat up lots of new money AND debt being paid off DESTROYS money - as fast as the FED can create it. This stops the actual inflation of the money supply - it sterilizes it. Debt service expenses drop, so next month there will be slight more money the consumer has.

5) invest again in something

6) moderate spending, trying to get value for money.

7) even more savings - until people feel "safe" so price movement will be at the end of the line.

The psychology has changed, and priorities are re-ordered.

1, 2, 4, and 7 are very different.

So I expect at least six months before we get a good movement in gold, maybe as much as two years.
Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  

HomeMailHotSubjectMarksPeopleMarksKeepersSettings
Terms Of UseContact UsCopyright/IP PolicyPrivacy PolicyAbout UsFAQAdvertise on SI
© 2025 Knight Sac Media.  Data provided by Twelve Data, Alpha Vantage, and CityFALCON News