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Strategies & Market Trends : Mish's Global Economic Trend Analysis -- Ignore unavailable to you. Want to Upgrade?

To: redfrecknj who wrote (29628)	5/8/2005 6:07:33 PM
From: Elroy Jetson	Read Replies (1) \| Respond to of 116555

In theory, the nominal price of gold should decline when there is a general deflation. However, the opposite occurred in the 1930s when gold prices rose while the price of nearly everything else fell. Humans have historically viewed gold as a safe holding during times of instability. It is difficult to parse out the impact of those things which affected the price of gold during the 1930s. They ranged from from deflation to the rise of Fascism and the threat of war. .