Thread: Discuss Commodities and Stock Market Indices

Mary R,

Doesn't it piss you off the US Government can do anything it wants?? It can wage war, social programs, space programs ANYTHING IT WANTS!

To pay for it all it, it just goes to the lender of last resort.

No recourse. You have NO RECOURSE AGAINST ECONOMIC TYRANNY!!

^
That power is an illusion. One that has been extended only because the USD had previously earned a reputation as a safe harbor and reserve currency. The illusion will shatter, with greater force the further it goes. To every action, there is always an equal and opposite reaction (Newton's third law of physics).

Originally Posted by Mary R

Maybe Im assuming that the Fed has more common sense and sanity than they do, but I think the market will start anticipating the end of QE several months in advance. But we'll just have to wait and see what they say tomorrow

You've probably already read the notion that it's less in the hands of Bernanke & the Fed than it is in the government's hands, insofar as the Fed is painted into a corner. Time for the new house leadership and Obama to change course, but as you say, we'll have to wait and see.

Originally Posted by Mary R

people cling to gold as a security blanket in uncertain times rather than the worthless metal it really is..

Like waving a red flag in front of a (gold) bull

Originally Posted by SkiBunny

^
That power is an illusion. One that has been extended only because the USD had previously earned a reputation as a safe harbor and reserve currency. The illusion will shatter, with greater force the further it goes. To every action, there is always an equal and opposite reaction (Newton's third law of physics).

You could say the exact same thing about gold. Every market bubble crashes eventually. The higher it goes up the farther it falls. Gold is not a substitute for fiat currency. But as long as the mass delusion persists that gold is a security blanket it can go higher.

I think the fed will disappoint today in their stimulus package given the stream of increasingly positive data we have had coming our way over the past few weeks...

Gold needs a correction to 1280 --> 1250 before it can resume its upward journey seeing how technically oversold it is over an extended period of time.

Originally Posted by Mary R

You could say the exact same thing about gold. Every market bubble crashes eventually. The higher it goes up the farther it falls. Gold is not a substitute for fiat currency. But as long as the mass delusion persists that gold is a security blanket it can go higher.

QE II could Give Gold a Short Term bump. However, the Feds could dole it out more slowly than the market likes and this could give gold a nice pullback before a next leg higher. A new replacement for both gold and fiat currency would make both worthless would probably be the only way the gold bubble could burst. The portability, flexibility and trust made paper money better than gold. However, that trust has been crushed. DailyFX has some other scenarios of QEII

Originally Posted by SkiBunny

You've probably already read the notion that it's less in the hands of Bernanke & the Fed than it is in the government's hands, insofar as the Fed is painted into a corner. Time for the new house leadership and Obama to change course, but as you say, we'll have to wait and see.


Like waving a red flag in front of a (gold) bull

At least Meg Whitman lost in California - she would have put the whole state up for auction on ebay

Here is some juicy stuff:


How Obama Thinks - Forbes.com

White House Insider: "They were in shock at the president’s behavior." | Newsflavor

White House Insider: "President Obama is lost. Absolutely lost." | Newsflavor

Mary, you and the other two members here operate on different belief systems. Your debates on the intrinsics of gold would go nowhere and there won't be an agreement. The best agreement is to agree to disagree.

Originally Posted by Franosh

Here is some juicy stuff:


How Obama Thinks - Forbes.com

White House Insider: "They were in shock at the president’s behavior." | Newsflavor

White House Insider: "President Obama is lost. Absolutely lost." | Newsflavor

Mary, you and the other two members here operate on different belief systems. Your debates on the intrinsics of gold would go nowhere and there won't be an agreement. The best agreement is to agree to disagree.

How interesting would the forum be if everyone agreed with each other? As far as your articles are concerned, the only person who really knows how Obama thinks is Michelle, and she's not talking. All media sensationalism

Originally Posted by Mary R

the only person who really knows how Obama thinks is Michelle,

I am not inclined to think along that line. There can be some interesting anthropological and sociological analyses of one's thought process. Not even the spouse is truly aware of the essence. It's a matter of perspective.

But I see you always feel rather uncomfortable with negative news/views re Obama. That's fine....

Short gold to 1280 (double fib support), then buy up big time for a rise to 1550 (fib extension).

Originally Posted by dman

Short gold to 1280 (double fib support), then buy up big time for a rise to 1550 (fib extension).

Wishful thinking

Originally Posted by Franosh

Here is some juicy stuff:

White House Insider: "President Obama is lost. Absolutely lost." | Newsflavor

I never liked him much but what huge scandal? His enemies would be outing it. As it is, just a bunch of baseless innuendo. Worse than the tabloids because at least they bother to fabricate some specifics.

An advantage of a totalitarian state is that nobody would dare waste anyone's time by making up such crap. That's one reason why seven Forbes editors have named Hu Jintao as the world's most powerful person over Barack Obama.
The World's Most Powerful People - 2010

Newmont's CEO said yesterday that it costs $900 all-in to produce an ounce of gold, which provides a fair indicator of its minimum intrinsic value. I cannot see any condition in which gold will trade for under $900 for more than a short time. Some junior miners are producing for less cost than that, so I imagine these have excellent potential for as takeover targets by the cash-rich senior producers.

Still in oil which seems to be on its way to $90.