Posted on 03/22/2007 7:23:05 AM PDT by Toddsterpatriot
Dam--this is gong to kill the housing market.
Dam--this is going to kill the housing market.
What good is holding power if you aren't going to screw the pooch?
{Sarcasm Off!}
And send gold to $1650 an ounce.
Maybe we're not being patient enough. Doom is coming, we just need to wait until the second half of the year when all those adjustable mortgages reset. And if that doesn't do it, I'm sure there will be something the following year that will bring doom.
Doom is inevitable when you're a doomer.
Good news just makes our inevitable fall more serious.
The unemployment rate would have been -23.0% if we didn't ship all those manufacturing jobs to China. We don't make anything anymore. 93% of new jobs are flipping hamburgers at McDonalds. Buy Gold!
/Doomer
With low unemployment and the Fed reiterrating its's inflation concerns yet taking a neutral stance on rates yesterday, gold would seem to be the move.
The Fed raises rates when it is concerned about inflation. Yesterday the fed so indicated yet chose a neutral bias with respect to rates. If your paper is worth less gold provides a hedge.
Low unemployment suggests the economy could be heating up. Increasing unemployment is suggestive of a slowing economy which is usually met with the need to provide liquidity by lowering interest rates thereby increasing borrowing leqading hopefully to economic expansion.
Employment is a lagging indicator.
Increasing unemployment is suggestive of a slowing economy which is usually met with the need to provide liquidity by lowering interest rates thereby increasing borrowing leqading hopefully to economic expansion.
So leaving rates the same is good for gold but cutting them is bad for gold?
That's how I see it. I'm no gold bug. What do you say?
There is also the school that says the more disposable income in the pockets of consumers translates into more gold jewelry purchases. The consumers in Asia love the stuff.
Low unemployment does not cause inflation so it can not be seen as good for the price of gold. Unemployment was very low in the late 90s, how did gold do then?
Unemployment in an of itself is not an indicator of where gold is going. I'd want to know such things as which countries are buying or dumping, political insurrections, energy prices, consumer trends...I may be wrong, but historic indicators for buying gold may be less reliable today or over the last 20 years
Excellent!
With low unemployment and the Fed reiterrating its's inflation concerns yet taking a neutral stance on rates yesterday, gold would seem to be the move.
Better.
Gold is now up a couple bucks while there appears to be no follow through on yesterday's big move in equities. What does that suggest to you?
Nothing.
Short covering panic
Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.