Gold and the Market

Gold's up another $27 so far today. Now you're just showing off Mike :)

...Ouch for inflation concerns.
 
And since nobody ever listens to me, I'm sure nobody here profited from it either. :D

Case in point: I didn't listen to myself for awhile and waited 'til the middle of trading on Friday to take a position in GLD - the stupid ETF was almost perfectly flat after that. :p
 
Speculation is the cornerstone of every market. Even long-term investors are speculating to some degree. It all boils down to what you *think* will happen during the time you are in the market. If you think a company is going to tank, you short its stock. If you think its profits / earnings will outperform the estimates, you go long. The same thing applies to the overall market and the economy. Economy going in the toilet? Short the indices or go to bonds. Economic boom coming? Go long with everything you have.

Whether your horizon is one year, one month, a decade... it's all guesswork.

As for today - gold, oil, and the market all rose strongly. Interesting.
 
Mike said:
I like going off topic... :p
Here's an explanation on what impacts the gold price: http://www.cupel.com/gold_price.html

Here are charts on the price of gold:
http://www.usagold.com/gold-price.html

Looks like a 5 yr bull market to me... given the inflation data combined with the fact that inflation keeps creeping up after the Fed finishes with rate-hikes, I think there's still several months to go at the minimum, and probably a year to a year and a half at the long end. It all hinges on how aggressive the Fed is going to be and how quickly they can clamp down on inflationary pressures. They've been ineffective thus far, and there's no reason to believe that will change anytime soon.

Tom, I share your concern with a gold bull and a stock bull coexisting... however, it has happened in the past. Gold went up about 10% in 2003 while the stock market took off. Interestingly, after the ugly inflation data when the PPI was released, gold sold off and bonds rallied. More proof that once you think this stuff is easy to figure out... it isn't. ;)
Click to expand...

Mike,

It just goes to show you how much speculation is in the price of gold right now. Oil as well, for that matter.

Tom
 
biggdog1

biggdog1

Member
I just checked the U.S. Mint website for coin collecting and noticed that ALL the GOLD coins minted for this year are already sold out. I have been buying gold proof coins for a while and this is one of the earliest sell dates to mind. Gold will more than likely pass $700 per ounce this month and could be well on it's way to a $1000 before the end of the year. What is this telling me? The dollar is going to get weaker through the end of the year and that the I-Fund could well earn 30-40% by year's end. I wish I had Bambi's water dish full of it and I would be one happy puppy !!!
 
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