SimpleSimon, agree, however I don't think the Fed is anywhere near withdrawing QE & if they do I think the equity markets would crash. The US is limping along, albeit improving slightly. The Fed's hands are tied imo due to the inertia of government. Sovereign debt is still a major issue, more so in Japan than the US although the US is following down the same path. Sure gold doesn't pay a dividend etc, however it isn't being printed like its going out of fashion & 'consumption' is growing. China bought basically Australia's annual production in March & probably bought a lot more in April. I'm no gold bug & I really don't think it makes a lot of sense, however a hell of a lot of the world populous thinks it does & its the part of the world that's wealth is growing substantially. We are in the beginning of the Asian century & Asia loves gold. So short term we may still see money moving out of ETFs etc but that's a one off sell albeit a big one. Asian buying particularly out of China has only just begun.
MYG Price at posting:
3.8¢ Sentiment: Hold Disclosure: Held
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