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Gold/Mining/Energy : Gold & Gold Stock Analysis
GLD 362.31-1.8%4:00 PM EST

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To: ecrire who wrote (25042)8/2/2011 1:49:26 PM
From: GST10 Recommendations  Read Replies (1) of 29622
 
<Makes no sense to me > Things never make sense when you fail to grasp the fundamentals. It all looks like random noise in response to random and isolated events. You do not understand the underlying causal pattern nor grasp the inevitable direction.

And yet the pattern and direction is very clear -- and more clear by the day. That is why gold is being purchased with real conviction. This is not a story about a 'mob' rushing into anything. It is about the fundamentals of the dollar -- and they are truly very sick. It is about the fundamentals of gold -- and they are extremely healthy. The big dogs on the block are buying -- the big dogs are the central banks. What you do or any other individual investor does is meaningless in relation to the actions of the big buyers -- the buyers that have the capacity to buy hundreds and thousands of tons of gold. The buyers that are sitting on mountains of dollars -- trillions of dollars -- that are rotting away as we speak.
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