[PghBaldy]

If the idiotic Fed had paid attention to what the price of gold was saying (nearly tripled in 5-6 years), the bubble wouldn't have gotten so big, and other costs wouldn't be rising so much.

[GodGunsGuts]

Amen to that too! You're batting a thousand :o)

[Pelham]

Part of the gold price reflects increased demand from Asia, not just an excess of credit in the US. Although there has been plenty of that, too.

[staytrue]

the bubble wouldn't have gotten so big

The fed has been near perfect. When the 2000 stock market bubble deflated, we lost 8 trillion in market value and then came 9-11. We needed a housing bubble to offset that without a depression setting in. Now stocks have stabilized, it is time to let the air out of the housing bubble.

[ByDesign]

"If the idiotic Fed had paid attention to what the price of gold was saying (nearly tripled in 5-6 years), the bubble wouldn't have gotten so big, and other costs wouldn't be rising so much."

That's not what fueled this bubble - toxic loans to people making 24K a year to buy $500K overpriced crap is what fueled it. The real estate industry, banks, and mortage houses have made out like bandits off it, and are still pimping the Koolaid.

[photodawg]

If the idiotic Fed had paid attention to what the price of gold was saying (nearly tripled in 5-6 years), the bubble wouldn't have gotten so big, and other costs wouldn't be rising so much.

'''''''''''''''''''''''''''''''''''''''''''''''''''''''

We all focus on the fed on the interest side but the real slight of hand comes in the magic they play with the money supply side. The real problem is not just a housing bubble, but the huge dollar glut that is inflating the currency. That is what gold and its cousin black gold have been telling us with their rapid increases.