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Strategies & Market Trends : The Residential Real Estate Crash Index

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To: patron_anejo_por_favor who wrote (288345)11/2/2010 3:02:34 PM
From: carranza2Read Replies (3) of 306849
 
Don't forget that the gold market is a global one, and that QE and QE2 has sent and will send lots of USD overseas. Foreign money seems to think that buying gold with devaluing USD is a good deal.

I agree that we will no longer have much fiscal stimulus because of a Republican takeover of the House. However, any QE can be increased or decreased by Bernanke essentially at will. If fiscal stimulus is shut down by a GOP takeover of the House, B. will probably turn the QE spigot a bit more to the open position.

I agree that gold may take a temporary tumble, but timing it and determining exactly how its market will react is too complex for me to do with any confidence. I just know we are on a long term secular bull market. In my opinion, best not to screw with that.
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