My oh my Peter, on the 24, Wednesday of this month you said “don’t worry [about gold] they will be stampeding out of paper and the US dollar.”
He then went on to say, “You talk about a flight to safety for the dollar, I don’t think people will make that mistake again.”
Gold prices fell for the first time in 10 days and oil slid as jitters over debt problems in the Middle Eastern city of Dubai drove the dollar higher and pounded stocks.
The drop in riskier assets like stocks fanned demand for safe-haven investments, including the dollar. Commodities are priced in dollars and tend to fall when the dollar strengthens because that makes them more expensive for foreign investors.
Peter you are such a knob! It did not even take a single day for people to run around like chickens without heads on and stampede back into the dollar. Peter listen to Rick Santelli, you know somebody who for the most part does understand the market. Rick said in the interview:
“You would be surprised the mistakes that people make over, and over and over again.”
It seems that they are making the same “mistake” again, and Peter said that the next time they would make the flight to safety to gold. Well it appears that they didn’t.
The Dubai incident was a warning shot to all of you gold bugs! The next time it will be an all time assault on gold and like Guy says, “when they stampede it will be for the exits and it will not be pretty…”