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Strategies & Market Trends : 2026 TeoTwawKi ... 2032 Darkest Interregnum -- Ignore unavailable to you. Want to Upgrade?


To: Maurice Winn who wrote (95349)10/9/2012 1:43:50 AM
From: John Vosilla1 Recommendation  Read Replies (3) | Respond to of 218118
 
Interesting gold and oil up near 50 fold since 1971. Yet 'reported' price inflation went up less than five fold with wages even less for J6P while costs of health care and education closer to the increase in gold and oil.. RE prices in good hoods of our gateway cities up maybe 12-25 fold in that time. Yet many beaten up markets in the USA you can find RE at little over the prices of 40 years ago if you know what you are doing..



To: Maurice Winn who wrote (95349)10/9/2012 7:44:00 AM
From: bart131 Recommendation  Respond to of 218118
 
Fundamentals are only part of the picture.



Major reasons for gold price changes, in no particular order:
  1. Limits in supply, "peak cheap gold"
  2. Changes in demand (investment, jewelry, manufacturing, central bank etc.)
  3. Inflation direction & speed of change
  4. Real interest rate direction
  5. Fear - social, political, "financial system", peer pressure, safe haven
  6. Pain & Misery index (unemployment plus inflation rate)
  7. Changes in confidence of money or a given currency or the "financial system" (..."gold is simply the reciprocal of the world's faith in the institution of managed currencies. It is one divided by T, where T stands for trust." - James Grant, Barrons, Sept 2011)
  8. Manipulation/control/intervention by central banks and others
  9. Mania
  10. Technical analysis factors
  11. High general volatility


Fundamentals, another view acting-man.com