Discussion in 'Economics' started by Wallace, Nov 11, 2009.
there's some coincidence but not in the proportion i'd expect
You gots to ask yerself one question... What is the price of gold, i.e. what is gold denominated in?
I agree with Martinghoul.
The negative correlation between "gold" and the "US Dollar" is true by definition.
I can understand why there are references to the "price of gold" because it's rare to see it quoted in currencies other than the USD.
However I am frequently amused by references to the direction the "US Dollar" is trading. Against what exactly? Sometimes it's quoted in terms of movements in the $DXY, sometimes it's quoted against the EUR / JPY / GBP; and sometimes it's quoted against less heavily traded currencies such as CHF, AUD, CAD, CNY.
Separate names with a comma.