Tuesday, August 31, 2010

Gold Rallying to $1,500 as Soros's Bubble Inflates

Investors are accumulating enough bullion to fill Switzerland’s vaults twice over as gold’s most- accurate forecasters say the longest rally in at least nine decades has further to go no matter what the economy holds.
Analysts raised their 2011 forecasts more than for any other precious metal the past two months, predicting a 10th annual advance, data compiled by Bloomberg show. The most widely held option on gold futures traded in New York is for $1,500 an ounce by December, or 18 percent more than the record $1,266.50 reached June 21. Holdings through bullion-backed exchange-traded products are already at more than 2,075 metric tons, within 0.1 percent of the all-time high.
“Either a swift economic recovery or further dismal economic performance should bring new buyers into the market,” said Eugen Weinberg, an analyst at Commerzbank AG in Frankfurt who was the most accurate forecaster in the first quarter and expects the metal to rise as high as $1,400 next year. “A stronger economy would create more jewelry demand. If the economy stays weak or gets worse, then investors will be looking for a safe haven.”
More Here..


  1. Let's be clear here: gold's price is increasing due to the dollar's value decreasing as a result primarily of it being diluted (debased) via the Fed printing press. The lack of confidence as to the dollar's future value has positively in return affected gold futures.

    Fiat printing press = requires more fiat to purchase gold = lack of confidence in fiat = greater demand for gold = causes higher dollar 'price' of gold.

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  3. The opening prayer to the ceremonies of the Future Race:

    "Let us take a moment to remember the doom our ancestors met. We hold the knowledge that shall prevent meeting the same fate.

    Never will we allow ourselves to be horses that carry the fear and pain of others. NEVER will we allow ourselves to do what we do not want to do because others made us think it was mandatory. NEVER EVER will we be the idiots who give power to undeveloped beings and immature spirits!"


Everyone is encouraged to participate with civilized comments.