Nbadan
04-15-2013, 09:57 PM
Bitcon busted, is gold next?
Source: CBS
NEW YORK Gold had its biggest one-day drop since 1983 on Monday as a selling frenzy that began last week picked up speed.
The price of gold plunged $140.30 to $1,361.10 an ounce, a decline of 9 percent. The metal has dropped $200 an ounce, or nearly 13 percent, in the last two trading days. It's the lowest price since February 2011.
The sell-off started Friday when the government reported a drop in inflation. Investors often buy gold when they're fearful of rising prices and sell it when they see inflation ebbing.
A proposal last week that Cyprus sell some of its gold reserves to support its banks also spooked investors, leading them to worry that Spain, Italy and other weak European countries might flood the market just as demand for the metal is weakening.
FULL story at link.
Read more: http://www.cbsnews.com/8301-34227_162-57579714/gold-price-takes-biggest-one-day-drop-since-1983/
the elephant in the room is the drop in inflation....the drop...drop.... in inflation...
Commodities in general were hit hard today, and a lot of that flows from the China news. But no commodities were hit harder than Gold. All these Republican nitwits have driven a panic that our "massive, unprecedented deficit spending" will drive a big inflationary cycle. We have been heading toward a bubble in gold because there just aren't any signs of high inflation. When you have so many people unemployed worldwide and so many idiots in power pursuing a strategy of austerity, it is hard to actually have much inflation....
So the gold bubble was ready to burst, and the China news is the bit that could push it over the edge....we'll see tomorrow...
Source: CBS
NEW YORK Gold had its biggest one-day drop since 1983 on Monday as a selling frenzy that began last week picked up speed.
The price of gold plunged $140.30 to $1,361.10 an ounce, a decline of 9 percent. The metal has dropped $200 an ounce, or nearly 13 percent, in the last two trading days. It's the lowest price since February 2011.
The sell-off started Friday when the government reported a drop in inflation. Investors often buy gold when they're fearful of rising prices and sell it when they see inflation ebbing.
A proposal last week that Cyprus sell some of its gold reserves to support its banks also spooked investors, leading them to worry that Spain, Italy and other weak European countries might flood the market just as demand for the metal is weakening.
FULL story at link.
Read more: http://www.cbsnews.com/8301-34227_162-57579714/gold-price-takes-biggest-one-day-drop-since-1983/
the elephant in the room is the drop in inflation....the drop...drop.... in inflation...
Commodities in general were hit hard today, and a lot of that flows from the China news. But no commodities were hit harder than Gold. All these Republican nitwits have driven a panic that our "massive, unprecedented deficit spending" will drive a big inflationary cycle. We have been heading toward a bubble in gold because there just aren't any signs of high inflation. When you have so many people unemployed worldwide and so many idiots in power pursuing a strategy of austerity, it is hard to actually have much inflation....
So the gold bubble was ready to burst, and the China news is the bit that could push it over the edge....we'll see tomorrow...