|
 |
|
|
|
Gold Eases as Dollar Reboundsby Peter A. Grant
Jan 03, AM 
Gold turned defensive on Thursday, as relief over the last minute fiscal cliff deal waned, prompting corrective pressures. Stocks eased as well as the dollar rebounded on tempered risk appetite. While much of yesterday's strong gains in the yellow metal were retraced, action remains confined to Wednesday's range.There is a broad consensus that the fiscal cliff deal was nothing more than a short-term fix to avert tax increases on most Americans. Congress punted the real problem just a short ways down the road, and focus is now shifting to the impending debt ceiling debate, which is likely to prove every-bit as contentious as the one from 2011. In fact, it may be even worse. As I reminded our readers in yesterday's commentary, the 2011 debate — and the implications of a government shut-down, sovereign downgrade and even default — caused gold to surge dramatically. Gold was trading below $1500 when the 2011 debate started to heat up, by early-September the yellow metal had established it's record high of 1920.74. As the 2013 debt ceiling battle commences, gold starts at a higher level. Combine that with the Fed's recent pledge of at least $1 trillion in additional QE in 2013 and the price implications seem pretty clear. NEWSLETTER SIGN-UP Opinions expressed in commentary on the USAGOLD.com website do not constitute an offer to buy or sell, or the solicitation of an offer to buy or sell any precious metals product, nor should they be viewed in any way as investment advice or advice to buy, sell or hold. USAGOLD, Inc. recommends the purchase of physical precious metals for asset preservation purposes, not speculation. Utilization of these opinions for speculative purposes is neither suggested nor advised. Commentary is strictly for educational purposes, and as such USAGOLD does not warrant or guarantee the accuracy, timeliness or completeness of the information found here.
|
||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Monday January 7
website support: sitemaster@usagold.com
Site Map - Privacy - Disclaimer
The USAGOLD logo and stylized gold coin pile are trademarks of
Michael J. Kosares.
© 1997-2012 Michael J. Kosares / USAGOLD All Rights Reserved
(from USAGOLD.com) --
