Inflation Fears May Be Pushing Gold Up
Today we saw gold sprint up to 478.70 at 6:12 New York Time as reported on Kitco.com. It seems to be pushing toward a new high. The price was up against all currencies reported on by Kitco.
My trading stock DROOY was as high as 1.55 today. I put in a 10% trailing stop on some more. This order was not filled today. Actually, it is best if it is not filled for a long, long time. Hopefully, the price will continue upward as will the trailing stop which I explained yesterday.
None of my trailing stops have been hit. That means that the prices have not dropped sufficiently to force a sale. Most are higher with the stop moving beyond my purchase price. This is the advantage of the trailing stop -- it moves upward as the market price rises.
The popular media is reporting that the price of gold is rising, because of the fear that the dollar is to resume its decline. Of course, the following quote has caused some of the reaction:
"We face a demographic tsunami that will never recede, said David Walker, comptroller general of the U. S., who warns that promised benefits for the boomers will swamp the federal budget in coming decades."
This is not earth shattering news, because the problem has continued to grow for decades. However, it is significant that the comptroller general would state it openly.
President Bush goes to China soon to ask the Chinese to raise the value of the Renminbi again. Evidently, he is seeking a lower valued dollar despite what the open party line is.
Interesting times in which we live. I am just eternally thankful that the Lord is in absolute control and He certainly knows what is best for His people in the long run. At times, it may seem hopeless, but we must trust and rest in Him alone for success.
Best to each, Doug
My trading stock DROOY was as high as 1.55 today. I put in a 10% trailing stop on some more. This order was not filled today. Actually, it is best if it is not filled for a long, long time. Hopefully, the price will continue upward as will the trailing stop which I explained yesterday.
None of my trailing stops have been hit. That means that the prices have not dropped sufficiently to force a sale. Most are higher with the stop moving beyond my purchase price. This is the advantage of the trailing stop -- it moves upward as the market price rises.
The popular media is reporting that the price of gold is rising, because of the fear that the dollar is to resume its decline. Of course, the following quote has caused some of the reaction:
"We face a demographic tsunami that will never recede, said David Walker, comptroller general of the U. S., who warns that promised benefits for the boomers will swamp the federal budget in coming decades."
This is not earth shattering news, because the problem has continued to grow for decades. However, it is significant that the comptroller general would state it openly.
President Bush goes to China soon to ask the Chinese to raise the value of the Renminbi again. Evidently, he is seeking a lower valued dollar despite what the open party line is.
Interesting times in which we live. I am just eternally thankful that the Lord is in absolute control and He certainly knows what is best for His people in the long run. At times, it may seem hopeless, but we must trust and rest in Him alone for success.
Best to each, Doug
posted by Doug @ 5:14 PM
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