On the face of it things just don't make sense. Bernanke...

On the face of it things just don't make sense. Bernanke announces QE- money printing will continue and the POG rightly jumps....to $1,4005 then it almost immediately drops by $30. What's going on?

Not being party to the real big gold players moves,we don't really know, but a gut feeling tells us that the combiination of, a weak worldwide economy, a Dow, without proper fundamental support being at outer space levels, and now this drop in POG, that something other than normal market forces are at work.

A high POG is the enemy of a struggling USD and I would suggest that in conjunction with today's Bernanke announcement the Fed thru intermediaries placed a large short order to keep the threatening POG at bay.

I don't adhere to conspiracy theories, but how does one make sense of a jigsaw where the pieces just don't fit. What we are being told is that we can print our way to prosperity, but historically this does not add up.

The implication here is that challenges to timeless fundamentals(Mother Nature) can only go so far.Gravity can only be defied for so long, and then "thud", back to reality.


Although this site is about MYG and its prospects focusing for now on the POG is highly appropriate, without the need for any further qualification. Just like every body else I have no idea where the POG is heading, but my gut feeling, and the gut feeling of so many others as evidenced
by the queues buying physical gold, suggests that in their hearts the signs are ominous. There are pre hyper inflation writings in Weimar Germany which explore these sentiments and then the crash of 1929 came which confirmed it, and with it all the other excesses which had built up world wide.

Being alarmist has little credibility and I am not being that now. I am not suggesting that we are facing a 1929 conclusion. However we all know the rapidly becoming over populated world is in a mess, and that the only enduring money- gold - that the world has ever known may very soon come back into it's own. Great for MYG holders. And so be it.