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Politics : Welcome to Slider's Dugout -- Ignore unavailable to you. Want to Upgrade?


To: crdesign who wrote (4841)4/4/2007 10:26:12 AM
From: Fun-da-Mental#1  Read Replies (2) | Respond to of 50428
 
Re. Britons freed: Gold spiked +$10 at about the same time that news was announced. Coincidence? This is food for thought. Isn't gold supposed to spike up on BAD news? Isn't it all about safe haven buying? That's what I used to think, but now I doubt it.

I looked at some historical charts and it seems that when the economy is shrinking and the stock market is falling, gold goes down too. It's only when the bottom is reached and things start to improve that gold moves up.

Gold is the barometer of inflation, right? And inflation is usually associated with a strong economy (not hyperinflation, which is associated with economic collapse, but moderate inflation). Some gold bugs are expecting hyperinflation; to them I say (sarcastically) good luck.

Fun-da-Mental