the central banks will fight like hell to keep gold from becoming "money" as soon as creditors start demanding payment in gold, the show is over.......and everyone knows it
feb 2006 futures hit $500 with DEC 05 futures hitting a shade under $496 ... "sellers over "since then ... nice range overnight so far
Treasury rates are going lower after fed mins released... makes it less attractive to hold notes and more attractive to hold the tangibles...
I guess I cant understand the notion that gold will rise based on a dollar drop... I'd be more worried about debt instruments based on the Euro...if the Eruo collapses, what's next.... if the US dollar collapses, you pay $50 for a pizza...but you know where you stand.... When the Euro collapses, what would replace it? I never understood why the Euro was created to start with....the budget deficit targets of individual Euro countries were defacto junked last year...... the Euro is more blue smoke than the US dollar is.......
Euro was simply an effort by France to undermine and counter American power. It was never based on economic power, rather it was based on economic jealousy. It will go away within a generation. John
$500 ... ding ding ... by the way ... its rollover week anyone in DEC05 should have switched or switch to FEB06