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Gold/Mining/Energy : Gold Price Monitor -- Ignore unavailable to you. Want to Upgrade?


To: Gary H who wrote (42878)10/13/1999 4:07:00 PM
From: Jim McMannis  Read Replies (1) | Respond to of 116779
 
GaryH,
Remember that gold usually anticipates by about 6 months. So while an economy is in a recession gold will be low and then start to anticipate a recovery. The lead time might lead one to believe that gold goes up in a recession. Same on the other end. Once gold anticipates there has been a sufficient rise in rates to curb inflation then that's it for gold. In recent years, the over all perceived disinflationary economy has helped AG remain ahead of the curve as well. All this is on the premise that gold/gold stocks are late market cyclicals. In recent years all this cyclicality has been clouded by longer term cycles, excess capacity and CB manipulation.

Jim