This puzzles me a great deal and I beg for some explanation. There seem to be arguments for gold everywhere and every economic and financial factor has been used by gold bulls. I don't remember seeing a gold bear article. Inflation is said to be good for gold. But I don't see proof presented for that, or a correlation between CPI and gold price. I am afraid that during deflation, we will hear that deflation boosts gold prices and will even be shown charts proving that point. Weak dollar, strong euro of necessity, is said to be good for gold. Now in the current article, we hear: "gold prices will rally even higher as investors dump what's perceived to be the ultimate king of fiat currencies (euro)." This is odd since it means that strong dollar boosts gold. I also heard that credit crises, which is deflationary, boosts gold. It's also quite convincing that prosperity boosts gold. Any factor, in either the positive or the negative direction, boosts gold. If I believe what I read about gold, any change boosts gold, so does stability. Are the gold bulls nuts?
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This puzzles me a great deal and I beg for some explanation. There seem to be arguments for gold everywhere and every economic and financial factor has been used by gold bulls. I don't remember seeing a gold bear article. Inflation is said to be good for gold. But I don't see proof presented for that, or a correlation between CPI and gold price. I am afraid that during deflation, we will hear that deflation boosts gold prices and will even be shown charts proving that point. Weak dollar, strong euro of necessity, is said to be good for gold. Now in the current article, we hear:
Jul 20 13:52 pm
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All Comments by yuman »Gold's Finest Hour: How to Buy Now [View article]
"gold prices will rally even higher as investors dump what's perceived to be the ultimate king of fiat currencies (euro)." This is odd since it means that strong dollar boosts gold. I also heard that credit crises, which is deflationary, boosts gold. It's also quite convincing that prosperity boosts gold. Any factor, in either the positive or the negative direction, boosts gold. If I believe what I read about gold, any change boosts gold, so does stability. Are the gold bulls nuts?