Reality Check Everyone - I Still Like PMs
Is the economy actually getting better? I do not think this to be the case. Is unemployment as low as the government says? Absolutely not in reality seeing that those who can no longer draw, and those who have just given up, are not included in the figure. Many think it to be more like 12 to 15 percent.
Is inflation being staved off? I do not think this to be the case either. Remember that energy costs, and grocery costs, are not included in the inflation rate. Have you noticed prices of energy and food lately? In short, they are not decreasing in most cases.
Right now, mixed news on China and a worsening Euro situation are pumping the dollar. Oh, and do not forget the bogus decrease in unemployment (one key state was not included and most new jobs were only part-time jobs).
When jobs fall off due to winter, and the election ends, I think things will shape up for an increase in silver and gold. I personally do not see $50 silver and $1900 gold by years end, but I do see $40+ possible for silver and $1800+ for gold.
Also, if the economic picture looks even worse in Nov-Dec it will likely hurt stocks. I think others realize this as well and thus this reversal will be played very carefully.
Analyze the Anticipation!!!
