re: gold ......... for the fools
The latest economic stimulii package announced in the good old US is a sure sign of desperation. The message I gained was that they realise this is the last straw for them, and if this doesn't work they are in for a deep recession. Personally I just cant see how they can pay for all these promises, the changes announced will leave a big hole in the US government's pocket, and with the threat of costly wars, is there really a short-term solution. As suggested Bush has his eye on the next elections, and all he can hope is that the changes announced will create a perception that the US economy is OK. Either way, the action is very short-sighted and will only cause longer term problems for the US.
All this points to a gold resurgence as the US has a large impact on the economies of most countries, and the question on investor's minds is, should the US economy collapse, where is the safest place to put my money. And most will choose the safe route, the route that history shows is the safest, gold! Whether times are different now, whether gold has the same lustre of the past, whether gold is considered just merely a commodity these days, doesn't matter. Nervous people's minds are already made up.
