St. Louis, Missouri &8211; Well&8230; We saw another take-down of gold yesterday&8230; Its shameful to watch this going on&8230; And while it was happening, I decided to take down some notes, so that I didnt forget them front and center, this morning&8230;
OK&8230; Ever wonder why Im so confused as to why gold goes down when it should be going up?
Yesterday, I was watching the newswire, and saw these two contrasting headlines not minutes apart&8230;
Gold Demand Rose 6% in Third Quarter on European Debt Crisis
And then
Gold Slumps as Eurozone Fears Escalate
Gold should be going up on Eurozone problems, not going down or slumping&8230; But instead&8230; Gold was off $25, when I read these stories, and soon fell further by $49! However,sell wow gold. Im sure that somewhere down the line, when it can no longer be prosecuted,Tera Gold. we will find out that the price manipulators were at work&8230; But then, it could very easily be explained this way too&8230; With everything else selling off&8230; margin calls are going out, and&8230; the one asset that people have that has gained in value (depending on when you bought it, of course!) gets sold to meet those margin calls. The all weather currency&8230;
Oh well, choose the one you want to go with&8230;and theres your reason gold went down yesterday!
I had a funny thought yesterday, as I saw World of Warcraft EU Goldthe news headlines stream across the screens&8230; The one that made me laugh a bit, was the one about how the Lawmakers filed a bill to prohibit insider trading for Congress members&8230; OK&8230; Its not a laughing matter, but think about it&8230; I had this vision in my head that the lawmakers that didnt know they could do insider trading without prison time, are the ones that are the maddest, and filed the bill&8230; OK&8230; Thats not what really happened, but&8230;
OK&8230; Enough of that! Well&8230; Yesterday we saw the currencies drift lower and lower throughout the day&8230; But currencies and metals werent the only assets going down yesterday. Stocks dropped 170 points, too&8230; UGH! And as the day went along, I saw stories and interviews one after another where the Spanish bond auction results were mentioned or talked about. I told you earlier this week that Spain was going to be different than the Greeces and Portugals&8230;
But,KAL Geons then the media does like to jump on something and ride it till it can no longer hold an audiences attention&8230; I wonder what theyll do next Wednesday when the focus should shift to the US and the Debt Super Committees deadline&8230;
Today, the euro (EUR) has popped back over 1.35&8230; The moves this week have been within a tight range, between 1.3450 and 1.3550&8230; And news that moves the euro higher today might be the same news that brings it down next week&8230; The markets get all lathered up, and then disappointed, sometimes within one days trading!
The news coming out of the Eurozone this morning that has pushed the euro higher, centers on the thought I talked about yesterday&8230; Whether the European Central Bank (ECB) is going to become the Fed or not&8230; The markets, right now, want to reward the euro when the ECB acts like the Fed&8230; So, heres the thought going through the markets this morning&8230; The markets have information that is telling them that the ECB has been buying bonds this week. Yes, not just any bonds&8230; Bonds from Italy and Spain, in order to keep the yields from exploding to the upside.
Maybe thats a good thing&8230; But Im not a n of central bank debt monetization&8230; I blasted the Fed when they did it,微软 服-;-7;议. and so the ECB has really disappointed me&8230; Debasing the currency with a rate cut, and now the bond buying&8230; But, you can see it from their point of view&8230; Their backs were against the wall&8230;.
Speaking of the Fed&8230; Fed Head, Dudley,buy gold for rs. spoke yesterday about the economy, and said, Im very unhappy with the current forecast of prolonged high unemployment, and will continue to review whether there is more that we could do that would bring more benefit than cost. If additional asset purchases were deemed appropriate, it might make sense to do much of this in the mortgage-backed securities.
Note to Mr. Dudley&8230; Two rounds of asset purchasing called Quantitative Easing (QE) didnt do anything to help the high unemployment, so why would more asset buying help now? The costs to the taxpayers now of the three years of unemployment payments has really piled on the American psyche dont you think?
Last February in Orlando Florida, at the Orlando Money Show, I gave a presentation on The Changing Currency Regime&8230; I repeated that presentation many times in 2011, because the message was very clear&8230; That China was taking the necessary steps to gain a wider distribution of their currency, and that within a decade the renminbi (CNY) would be the next reserve






