Misleading Gold Headline of the Day

It's natural to wonder about the real utility provided by editors and others in the publishing business who, for some reason, feel obligated to alter the headline supplied by the author of an article for one reason or another.

Apparently, they receive some kind of special training to write headlines that make for a more consistent overall look and feel in a publication, but, sometimes they just entirely miss the point. Such was the case in this story about gold at Commodity Online.
The headline apparently derived from this paragraph:

According to a research report from Kedia Commodities, gold is headed for an annual drop after seven straight yearly gains. Precious metal is being so far steady today in the markets as worries persist and expand due to the deepening of the global recession that is eroding to a further extent the appeal of commodities including the gold of course.

Yes, the English language looks to be a challenge as well for this publication that I believe originates in India.

As for the price of gold, any decline this year would be the biggest drop in seven eight years (apparently math poses its own set of difficulties), simply because gold has been about the only asset class to post gains in each of the previous seven.

Despite what the folks at Kedia Commodities might think, a negative result for gold this year is anything but assured. The yellow metal is down about six percent in 2008, $52 below where it began the year, and December is almost always a favorable month.

Wouldn't it be funny if, when all is said and done in 2008, gold is one of the handful of assets posting a gain for the year?

Comments

[Roger Knights:]

The headline should have read, "Gold headed for FIRST annual drop in seven years."

2008 Dec 03 08:57 AM

[Smarty_Pants:]

"Despite 6% drop, Gold outperforms most other assets in first down year since 2000"

2008 Dec 03 09:34 AM

[GMiki1:]

Right on. The only thing holding in my portfolio is gold--and I've made quite decent money on it over a relatively short window of time.

2008 Dec 03 10:32 AM

[gmcg:]

Hasn't a bird in the hand always been better than two in the bush? No matter what happens to the price of precious metals I want to own something tangible rather than paper anything right now. If nothing else PMs should help me keep up with inflation presuming inflation continues to be the reality it has been throughout my long lifetime.

2008 Dec 03 12:31 PM

[The Retired...:]

Well it looks like the Fed is going to pay us good old citizens money soon to buy long term treasuries. They already are paying banks the inflation subtracted from the zero or >25 1/4 percent on money given to the banks.
So where do we go from here they are printing dollars like candy wrappers.
About what they will be worth pretty soon.
You that don't save and store for a rainy will see unemployment that makes 600,000 people look like a beer party duh.
I'll think after this mess settles people will say gee gold wasn't all that far out a investment. Nah none of you ever heard of inflation at the end of the tunnel.

Feb 11 05:22 AM