Gold Back Over $1800

I wonder if we'll blow through the 1800 handle faster than we did the 1700 handle or was that the 1600 handle...they are going by so fast I can't remember now. Its scarey but I'm enjoying the ride. 2000 is drawing gold like steel to a magnet.

It is making it harder to stack but I love it. If silver hits $50 and gold hits $2K I am going to cash out and take a month long 5 star vacation to Fiji.

Depends on their position, Bears make huge money on days like this. As I type SDS is up about 8% today (one day). Sept 178 calls in GLD are up about 44% today.

I hope you're right, I'm long oil too (above and below ground). I'm down about 4.6% today in it though.

I think we will hold $1800 today unless something big happens in the afternoon. I think gold will correct because the price is above what most folks can afford,even for jewelry. If it goes to $1000,it will be an attempt to shake out the weak hands,nothing more! Things in Europe ain't gettin' fixed,period. The PPI and CPI number were hideous,unemployment claims are climbing again,the Philly Fed Index was shocking,grain harvest projections are dismal,beef prices are going out of sight,so,how's your day? There is no way out except inflation and QE3 is coming to drive the dollar down. That has been the only thing driving the stock market. After back-to-school spending you will see consumer spending dry up,everybody will be saving up for Christmas shopping,but inflation will make prices so high people will not buy big items. Yes,I am a cynical old man,but,I am also honest with myself!

It is settin at 1820 here just past noon, and the market is in a free fall. It will be interesting to see if gold pulls back any or if the market moves back up some before the day ends. If not, looks like another record bad day for some stock holders....

Man with oil dropping like a rock, gas should as well for a bit....

I met this great guy at work, and through talk of the economy I learned he bought five slabbed St. Gauden 1 oz gold coins back in late 90's and he also raided every pawnshop throughout the southeast for pre 64 90% silver coins. He is a real gem , let me tell ya. Crazy fellow for sure, and not afraid to share his opinion, and he like most here, has seen the negative actions from our government since about the mid 90's, and he has since retired. He stopped back in to see me after it past 1800 last week, and he said then those coins he bought way cheap back when he did, at like 500 each, which he thought was way to high, will bring 2500 today....

Anyhow, he says depression not recession is coming for sure. And he says everything will shoot through the roof in price, accept gas, which should fall to 1.50 a gallon....

I am not sure I agree with the above statement. Anyone have any fundamental reasons why that theory is crazy or not?

He also told me the story about the woman stopping at the grocery store with the wheel barrel of coins, and when she came out, the robbers had dumped the coins an taken the cart in Germany post world war 2. I miss-told the story as I said she had set it in front of the bank an left it, and the dumped the coins, which would make zero sense as BF pointed out, via melt value even. But, thieves in a hurry, may have wanted the cart, but said the heck with the dead coins, lol....

Or maybe its possible to have depression and inflation at the same time?

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