gold forcast of below 800, page-146

Jnr Trader,

"bond-you've done your dough there skol".

Not true, my bonds are with the bank and at higher interest rates than now.

It's a fact that the best return of the last couple of years has been bonds, up about 8% last 12 months, gold has returned a big fat 0.

I will not be getting on board, the goldbugs prefer the more fanciful approach.

Gold is money.
JPM is gonna crash.
Chinese are gonna buy the world's gold.
The Indians are gonna buy the world's gold.
Hyperinflation.
Gold is scarce and running out.

I'm sure you get the idea.

I prefer a more practical approach.

China - property prices are crashing and that's the way the govt. wants it. Major cities are going bankrupt and the property market is in ruins.
China's Q2 economic growth came in at the weakest in 3 years.

Gold coins - The market has crashed by 48%. Gold coins prop up the gold price. The Glenn Beck con is over.

India - Gold imports have plummeted and the monsoon is erratic. No rain=no crops=no money=no gold sales. From the Times Colonist:

NASHIK, India - I now pronounce you frog and wife.

With five priests chanting scriptures, a frog groom named Punarvasu and his amphibian bride Pushala were joined in holy Hindu matrimony by villagers hoping the ancient custom will bring monsoon rains to their drought-stricken district.

Organizer Nandkumar Pawar says thousands of people gathered Thursday in a massive tent in Patkhal village for the lavish wedding banquet.

He said Saturday that the frogs were decorated with flowers and smeared with turmeric, a holy and auspicious ointment. A brass band played Bollywood film songs while the priests blessed the frogs.

Production - Gold production is at historic highs, 2500 tonnes each year for the last 2 years.

And finally, gold forecasts, pie-in-the-sky, but these guys have lowered it by $200 in the last couple of months.

www.forecasts.org/gold.htm