Will Gold Rebound This Year

[Reub]

I think that if the Fed pumped up QE spending it would look like what it really is.....a desperation move to save a failing economy and would be seen as such by the markets.

[Kshartle]

I think that if the Fed pumped up QE spending it would look like what it really is.....a desperation move to save a failing economy and would be seen as such by the markets.

Even if they come out with all this language saying how they see all these positive signs and they promise the increase is only temporary and they just need to nurture it a little longer and they promise rates will stay low for years longer and if inflation shows up they'll fight it?

That's what they said everytime they came out with another QE program and everytime they delayed the taper.

Do you think the market is all of a sudden smarter than it's been for years?

[Reub]

I think that a new set of promises will be seen as more of the same. Been there, tried that!

[Kshartle]

I think that a new set of promises will be seen as more of the same. Been there, tried that!

At what point do you think the market will stop believing in it then, since they have bought it by and large up until now?

[Reub]

It just seems to me that the markets have fully priced in the advantages of QE over the past few years and that it is a lot like letting the genie out of the bottle. Once the Fed began tapering any attempt to accelerate QE would have a negative connotation to the markets.

[portart]

I think what you are seeing now is the beginning of the unwinding of all the stops pulled out since 2007. People are going back to their habits of increasing debt and risk taking in ramping up real estate mortgages at low rates. Any gains are marginal increases in real estate properties that can't continue to grow if mortgage rates rise. The market has made people feel richer  and increased consumer confidence. If we continue to drop into the 20% zone (a ways to go since it's only 5% off all time highs) you will see the consumer pull back. With rates at 1%, it won't be easy to stop the next roller coaster. Let's face it. The dollar is holding up because it's the last standing currency but it's printed freely and without backing. This is a perfect storm for gold if people see the curtain pulled back on the Wizard. Just saying... This is why we have PP. We can look at the dominos and see they are poised to fall. But who knows when as there could be fake outs for the next twenty years, as unlikely as that seems.

$2,000 gold may not be that far away as it seems today..

[patricia26]

There are many experts and people saying that gold will increase the price this year and for me it is still depends cause last year i read in a newsletter or Tiedotepalvelu in Finland that the gold price will increase but its not happen for some reason.

[dualstow]

There are many experts and people saying that gold will increase the price this year and for me it is still depends cause last year i read in a newsletter or Tiedotepalvelu in Finland that the gold price will increase but its not happen for some reason.

BREAKING NEWS
(1) Some say gold will go up
(2) Some say gold will go down
(3) Some will be right
(4) Some will be wrong
(5) We don't know who will be right
(6) We don't know why those who are right are right. Was it luck or skill?
(7) We don't know whether those who are right will be right next year.
We don't know.