It is hard to say for sure what will happen to gold. It seems gummints don’t like high gold prices because it reflects poor confidence in them so they will do what they can to depress prices. Gummint likes stock prices going up so it (if you believe Denninger) is using bailout money to inflate stock prices. The question becomes not just is there confidencein gummint but can gummint DO IT? I suspect that gummints ability to influence these things has just about run out. Like Wiley Coyote, it ran off the cliff some time ago but so far it has been able to stay aloft on the DESIRE to do so. We shall see. These are truly “interesting times”.
>> It is hard to say for sure what will happen to gold.
It’s hard to say what will happen to ANYTHING, economically speaking.
You can study all the evidence until you’re cross-eyed, draw whatever conclusion suits you, and then — no matter what economic outcome you judge most likely and whatever strategy you choose — you can easily find a dozen “experts” who agree with your judgment, and a dozen who don’t.
As you say, these are TRULY interesting (and confusing) times. Best wishes for pulling through them successfully.
FRegards
key phrase: “If you believe Denninger...”
since he’s a paranoid lunatic, I’d reject any hypothesis that requires me to believe Denninger