It looks like gold has made its new trading range, moving higher when it gets below $1030 then lower above $1070. I expect the next breakout upward will take it above $1100. Gold is still tied to the fortunes of the dollar, for now.
Some people think the price of gold is already in a bubble. That's not true. That will happen eventually, when the stock market next crashes. After that, there is no telling what will happen. I think initially down with the market, then up.
Gold will hit $2000 an ounce. It may take a few years. I honestly thought it would be sooner.
There are better long term investments than gold. Oil will inevitably rise. Right now though there is a glut and they are still pumping like mad. Real estate is also sure fire. The problem with that is, you have to have deep pockets to maintain a money losing asset until inflation and economic recovery make you rich. Agricultural commodities are a no brainer. People have to eat and there are more of them all the time. The big cap financials, if you have the stomach for it, are a good play. They are ruthless criminals with a license to steal. The agencies that are supposed to oversee and regulate them in reality aid them in their criminality.
1 comment:
It's that statist economy that's killing us. This is why the dollar sucks.
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