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chichi2

05/26/08 8:45 AM

#29532 RE: chichi2 #29531

Comments on Fed and Gold and related stocks

Gold, the Commodity ($Gold), and its proxy (GDX) are Leading the Way...
while the Gold Stocks are figuring out what to do.


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The Fed will NOW attempt to cut down on our present Inflation.
I suspect it will do this by
(1) Cutting back on the infusion of Monies into the Federal Reserve System. This maybe tough to do because the Banks and other Financial Institutions have Liquidity problems.
(2) Raising or Not Cutting Rates anymore.

If the Fed can or does cut down on the infusion of Monies; or alters the direction of Rates to Flat or Upward.
--- it will cause a negative impact on the markets, watch closely.
--- it will impact Precious Metals such as Gold, and Silver. Silver is however an Industrial metal too, and sometimes is overly hurt by its known Preciousness. i suspect Silver Commodity is now reflecting it's usefulness, and the Silver stocks are not. This is at best confusing prices.

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chichi2

05/30/08 7:44 PM

#29628 RE: chichi2 #29531

Daily XAU,HUI,GDX,NEM,AEM,AU,GG,PAL,CDE,SLV,PAAS,SSRI,NXG

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chichi2

06/02/08 12:53 PM

#29659 RE: chichi2 #29531

Daily XAU,HUI,GDX,NEM,AEM,AU,GG,PAL,CDE,SLV,PAAS,SSRI,NXG

click on "Replied2Msg" to see charts