Quote Originally Posted by RecyclingSecrets View Post
Thinking about Gold too. Usually when the economy does poorly gold does well and that's been the case so far. BUT, this time our on-the-street economy is doing poor but wall street and the stock market are doing very well. Gold historically has been a hedge against poor stock performances and the like. With Wall Street doing well, I'm wondering if we're seeing the beginning of a slide in gold as well.
No offense but recheck you gold facts. The last 10 years gold has been on a roughly 250-1650 bull run while the S&P is up about 165 points. Gold moves with alot of things. Interest rates, turmoil, the dollar strength, leverage in the stock market, you name it. Be careful linking it to the economy only because you trade that way and your going to get broke right off. We get a melt off in the stock markets and the first thing traders are dumping to cover their leverage in stock trades is winning positions. Gold has been a nice hedge on a weak dollar and low intrest rates but traders start taking margin calls on 50 to 1 plays that are going bad and you can bet gold is going negative 10-15% like yesterday.......just something to chew on.



Wall Street's had a nice rebound off the 09 lows. Gold has done quite well in that time frame too as it did set a unadjust for inflation all time high in that period.