Gold futures fall as oil retreats, dollar rises

Market Watch ^ | October 23, 2006 | Ciara Linnane

[Toddsterpatriot]

NEW YORK (MarketWatch) -- Gold futures fell early Monday, pulling other metals with them, as oil prices again retreated and the dollar strengthened ahead of a Federal Reserve decision on interest rates.

Gold for December delivery was last down $9.20 at $587.30 an ounce on the New York Mercantile Exchange. On Friday, the contract lost $6 of its value although it scored a modest gain for the week.

The metal was hurt by weak oil prices after the Organization of the Petroleum Exporting Countries' production cut failed to convince oil traders it would be enough to halt a slide in prices.

"The rally of late last week appears to have been a one-day wonder, for the strength that developed Thursday vanished Friday and remains 'in-hiding,' " said Dennis Gartman, editor of The Gartman Letter.

[Toddsterpatriot]

To infinity.....and beyond!

[Toddsterpatriot]

FYI.

[Petronski]

Good thing the mailbox is always stuffed with fresh no-interest credit card offers that can continue to fund the margin account.

[OldFriend]

wwhhhhhhiiiiiiiinnnnnnneeeeeeeeeee.........energy costs down......more wwwwwwhiiiiiiiinnnnnnnniiiiiiingggggggg

[Abathar]

But....But.... The guy on the television last night said that gold was set to rise - even DOUBLE!!! </s>

[winodog]

This should be front page news. Maybe couric will lead off with this.

[Toddsterpatriot]

Thank goodness it only costs $18 an ounce round trip.

[Abathar]

Don't bother with those no interest cards, just do what everyone else does, take a revolving line home equity loan out and SPEND SPEND SPEND!!!

[Petronski]

Nah, it's much better to fund a gold margin-trading empire with no-interest credit cards. Winning big is guaranteed, simply by always buying at the bottom and selling at the top. It's easy!

[Abathar]

lol - Gee Mister, will you help invest my life savings for me??

[Moonman62]

As long as one is trading worthless paper for the only thing of true value, how can one lose?

[Petronski]

Cut me a check!

[Petronski]

I sold my Fiat for cash.

Now I have Fiat fiat money that I can use to buy more gold, truly the shiniest of shiny metal gods.

[Mase]

$1,650 an ounce, here we come.

Just around the corner there's a rainbow in the sky
let's have another cup of coffee let's have another
piece of pie.

[Beagle8U]

If you went back to the mid 80's and invested $10k in gold, and some redneck at the same time invested $10k in junked cars, sell both today, who was the smarter investor?

[Conservativegreatgrandma]

I've never understood gold but it seems to me that land is more valuable than gold.

[Terabitten]

As long as one is trading worthless paper for the only thing of true value, how can one lose?

Why should gold be valuable?

[Terabitten]

I've never understood gold but it seems to me that land is more valuable than gold.

The logic evades me, too. It seems to me that if our fiat money collapses, there will only be a few items of actual value, in no particular order:

food
weapons
ammo
land
women

You can't eat gold, you can't sleep on it, or with it. Therefore, gold is as much a fiat currency as paper money in the event of a total economic collapse.

Food and/or the means to get food (land, weapons, and ammo), women, and the means to secure your food, land, and women (weapons and ammunition) have traditionally been the only items of real value when the economy completely tanks.

[winodog]

You are correct, land has done much better then gold. Many people buy gold as security and not a investment.

[Fan of Fiat]

This is an excellent buying opportunity. Get in now... This could very well be your total absolute completely last chance before our quintriple deficits and crashing real estate market drives gold to the moon.