Beginning Of The End?

[OldTrapper]

Gold is down another 123 dollars right now. Some have been predictng a second recession this year. Is this the beginning?

http://news.yahoo.com/gold-plunges-lowest-more-two-135100072.html

The price of gold is plummeting to its lowest level in more than two years.

The precious metal extended its decline after plunging on Friday, when the U.S. government reported that wholesale prices fell in March by the most in 10 months. Investors tend to buy gold when they expect inflation to increase. Any indication that prices aren't rising prompts investors to sell gold.

A proposal that Cyprus sell some of its gold reserves to support its banks has also rattled the market. Traders worry that Spain, Italy and other weak European countries might do the same.

The price of gold plunged $100, or 7 percent, to $1,398 an ounce as of 10 a.m. EDT Monday. The price of the metal has dropped 10 percent in the last two days

 

[dogtowner]

Its really just been a matter of time and.all this blather about the supposedly inproving economy was going to be seen as just smoke eventually.

as europe had been providing much of our export capacity and is now recessing, nows as good a time as any.

 

[cashmcall]

Gold was never meant to be what it is today..Gold was meant to be a hedge against inflation..inflation is coming, that you can count on..but Golds been in a bubble for awhile now..

 

[Cruella]

Gold was never meant to be what it is today..Gold was meant to be a hedge against inflation..inflation is coming, that you can count on..but Golds been in a bubble for awhile now..

Get ready to buy it when it bottoms. About the only thing that will be worth anything will be commodities.

 

[steveox]

Nope! It means the Dollar is getting stronger.

 

[Cruella]

Nope! It means the Dollar is getting stronger.

Not with Bernanke printing 85 billion a month.

 

[dogtowner]

steve is applying the idea that a dip in gold can be a stronger greenback. trouble is this was not a dip but rather a rather large hiccup.
this suggests very different reasons.

lets see how todays disappointing GDP report and other bad readings impact.

 

[Cruella]

steve is applying the idea that a dip in gold can be a stronger greenback. trouble is this was not a dip but rather a rather large hiccup.
this suggests very different reasons.

lets see how todays disappointing GDP report and other bad readings impact.

I just read where the first qtr was 2.5%. Want to make any bets that later it will be adjusted down? Personally, I'm not believing or trusting any numbers connected to the Feds right now or to the stock market for that matter.

 

[steveox]

Then how come gas prices are coming down? Heres Proof dollar is getting stronger


Strengthening dollar is bad news for the gold price

A STRONGER dollar and the search for higher returns in other asset classes are threatening gold’s 12-year bull run, with the price of the precious metal now at its lowest since May last year.

Gold has slumped more than 18% from its record of $1,900.23 set in September 2011, closing in on the 20% that typically defines a bear market. Silver, which usually tracks bullion, is trading at its lowest valuation since the end of June.

Gold has rallied each year since 2001 as investors looked to safeguard wealth from a weakening dollar and the threat of inflation.

http://za.news.yahoo.com/strengthening-dollar-bad-news-gold-price-043622228--finance.html

 

[dogtowner]

gas is down due to many things not the least of which is the recession in europe and cooling asian economies.

and you might want to ask yourself is the dollar stronger or is the euro weaker ? has a similar effect on the surface but some other aspects are troubling.

 

[steveox]

Oil prices are set by the Euro not by the Dollar like it used to be.

 

[Cruella]

Gas prices are down? Not here. It's 4.05 up the street.

 

[steveox]

Maybe you live in Hawaii or California

 

[dogtowner]

Oil prices are set by the Euro not by the Dollar like it used to be.

not quite its just the currency you have to use. price is determined by demand and the exchange rate (a useful measure of one currency in relationship to another) is just that.

but I am proud you are taking an interest in these things. helps you to have a yardstick on how the country is operating in the wide world.