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


To: koan who wrote (92243)1/2/2009 2:37:33 PM
From: TimF  Read Replies (1) | Respond to of 116555
 
I think all the monetizing will be good for gold, but I don't think it will be good (at least not very good) very soon.

Once the economy recovers all the extra dollars may really push inflation which should be great for gold.

But I have to admit I'm not putting my money where my mouth is on this one, not only because money is tight right now, but also because I don't have any solid idea about the timing of the move.



To: koan who wrote (92243)1/2/2009 3:03:17 PM
From: Little Joe1 Recommendation  Read Replies (2) | Respond to of 116555
 
I suffer from the same confusion. On one hand one would think that thie massive fiscal stimulus will result in inflation, but so far not much evidence of that. As to gold the arguments that I have seen indicate that gold can go up in a deflationary environment, but that is not certain. If we get the kind of inflation some are predicting we will likely see big gains in gold. My opinion is to have no opinion and follow my charts. Whatever happens if I remain unbiased, I think I can come out on the right side of this market.
While this is far from certain, I think it is the most likely to be successful course of action for my type of trading.

Little joe