THIS GOLD AND COMMODITIES BASHING...RIGHT ON THE HEELS OF THE HUGE AND SOMEWHAT ILL ADVISED RATE CUT BY THE FED...WAS PROBABLY PLANNED BY THE FED AND IT'S SHILLS....
EVERYONE KNOWS THAT THE FED AND IT'S SHILLS HAVE BEEN BASHING GOLD FOR YEARS... MAINLY IN SUPPORT OF THE PAPER ASSET BUBBLES...AND MORE RECENTLY IN SUPPORT OF THE DOLLAR...
BUT THE DOLLAR HAS BEEN IN THE INTENSIVE CARE UNIT....LATELY...
HENCE THE NEED FOR THE MOTHER OF ALL GOLD BASHES....!!
AND OF COURSE OIL IS IN THE MIX...CREATING A POTENTIALLY SLIPPERY SITUATION FOR INFLATION...
MY HUNCH IS THAT THIS COMMODITIES PLUNGE...WHICH STARTED EXACTLY AT 2:15PM...ON THE VERY DAY OF THE FED'S BIG RATE CUT GAMBLE...IS VERY, VERY MANAGED...
SOME WOULD SAY...WELL, IT'S PROFIT TAKING... AND SURE IT IS...BUT IT WAS CAUSED BY THE FED'S GOLD BASHING PROGRAM...NOW ON STEROIDS!!
JUST LIKE THE FED'S RELIANCE ON "SHORT COVERING" TO BOOST THE MARKETS...AFTER OTHER RATE CUTS...
SO, THIS MOTHER OF ALL GOLD BASHES WAS PLANNED AROUND THE RISKY RATE CUT THAT BERNANKE PROMISED THE SPECULATORS ON WALL STREET....
MY HUNCH IS THAT THIS WILL BE A "HEALTHY" PULL BACK IN GOLD AND COMMODITIES....AND THAT THE DOLLAR IS STILL FUNDAMENTALLY WEAK...AS ALL THE NEWS WILL INDICATED...
AND THAT THERE IS A NICE... PERHAPS VERY NICE BUYING OPPORTUNITY IN GOLD AND OIL COMING UP SOON...
LET THE FED DO THEIR THING...THE FUNDAMENTALS ARE WITH THE "TEXTBOOK" TRADERS... LET THE COMMODITIES TRADERS "TAKE THEIR PROFITS"...ITS A HEALTHY THING...
BUT THE NOTION THAT SOMETHING HAS CHANGED...AND THE DOLLAR IS GOING TO GO UP LONGER TERM...AND OIL AND GOLD PLUNGE BACK TO 1990'S LEVELS...
IS JUST A BIT TOO NUTS TO BE BELIEVED...
WHEN IN DOUBT...STEP BACK AND CRACK OPEN THE OLD ECON 101 TEXTBOOK...OR BETTER YET THE MACROECONOMICS 301 TEXTBOOKS...
THEREIN YOU WILL FIND THE TRUTH... NOT ON THE PAGES OF THE WALL STREET JOURNAL...THESTREET.COM...OR ON TOUT TV...!!
IT'S THE MOTHER OF ALL GOLD BASHES... ENJOY IT!!
GOLD IS NOW BEING TREATED LIKE ANY OTHER "VALID INVESTMENT" WHERE WIDE SPREAD PARTICIPATION IS SEE...
GOLD IS NO LONGER THE CRAZY AUNT LOCKED IN THE ATTIC!!
CELEBRATE THE RECENT GOLD PLUNGE ....
DON'T FEAR IT!
GOLD IS BACK! GOLD IS NOW MAINSTREAM!
