The
price of gold is falling,
this is the new low for the price of
gold this year.
Gold stocks are continuing to
hold up very well in the face of the
decline in the price of gold. Gold stocks
are not making a new low for the year at
least not yet and though they are down
today they are not down nearly as much
as you would assume with a 10-12 dollar
drop in the price of gold.
I still think that traders have this wrong.
They're still looking at the the trade
war as somehow being dollar positive. It's
dollar negative. That is impacting gold.
They are dismissing the increasing
inflation numbers that we're getting as
transitory because they think the Fed is
gonna hike rates more to fight the
inflation which is going to be good for
the US Dollar and bad for Gold.
The reality
is they're not gonna fight the inflation
they're gonna surrender. Inflation is
going to win because if they fight
inflation they cause the worst financial
crisis since 2008 and they don't want to do that.
