The economy and gold: Why “it” is different this time?
Sometime back, Sir Fully mentioned that gold is getting amazingly comfortable with the 2k handle.
So, something tells me it is different this time around.
And, if it were not for these private research companies, who share for free the facts about the economy that contradict the lies coming out of the politicians’ mouths, who would ever doubt the statistics coming out of the government’s mouth?
It is amazing how succinctly such awesome Twitter posters try to teach the “educated double MBA graduates” who ask you to make “investing decisions based on headline news/numbers”:
“This point gets lost on a lot of Recession Bros who keep waiting for claims to explode to 350k+ and unemployment to rip in some disinflationary morass:
When your deficit accelerates *in an expansion* as it is now, your private sector needs to shrink at that much faster a pace for production/sales/incomes to decline.
Absent that, inflation needs to accelerate faster than fiscal growth to crowd out Private on a real basis.
You cannot have it nothing ways. Either you believe inflation explodes to tip the economy into recession (inflationary recessions create monetary illusions), or there is no recession and we play “just the tip” for another few quarters. No other option.
Make up your minds!”
GL
I anticipate a BIG drop in gold price by end of Jan — why — because Goldman Sachs is ALL OVER MSM saying that NOW is the time to buy gold and that price is surely going to the moon COMBINED WITH rumblings of a kinetic WWIII “breakout” in mid February. Any last minute fleecing must begin soon as TPTB will want POG at it’s lowest around the same time as the public finds out they are already at war.
Short sell into the big drop — cover at the bottom — executed quickly — has happened over & over & over again on gold!
Just need a triggering event that can be used to justify a sudden unexpected steep fall in POG price.
Goldman Was Dumping Billions In Stocks And Other Assets As It Told Clients To Buy
“Historical principal investments6 declined by $13.4 billion to $16.3 billion and included $3.5 billion of loans, $3.6 billion of debt securities, $4.0 billion of equity securities and $5.2 billion of CIE investments and other”
https://www.zerohedge.com/markets/goldman-was-dumping-billions-stocks-and-other-assets-it-told-clients-buy
Sir Kewl2,
I understand your point.
If at all this drop does happen, which by the way I would not rule out, I’d use it to buy miners like AG … which is a great buy even with today’s drop.
Having a bunch of 40-60 juniors where I can dollar cost average down is another option.
Not selling my juniors yet. Or even at the upcoming drop.
GL