Wednesday 19th March 2008. Record drop!
Today there was a record drop of about $59 in the gold price, along with falls in silver, platinum and plalladium. Obviously there is spin and sentiment that the Fed's rescue attempt of the financial system is going to work just fine and no-one will pay the price. Of course, everyone will pay the price, maybe not just now but soon enough. And probably soon enough for the investment bankers who will have time to get out of town with their money before the fertiliser hits the fan.
I think we are witnessing the biggest load of nonsense, cronyism and managed media and markets since the days of, oh, who knows, maybe the days of Hitler? Stalin? Make no mistake, the government and those for whom they act are confiscting your wealth and that of your children, which they will probably never see.
If one of America's biggest brokerages was going bust last Friday and got sold on a Sunday for $240 million when its headquarters building alone is reckoned to be worth $1.2 billion, then something is very wrong indeed with the financial system!
All markets look dangerously volatile. As for myself, I am withdrawing some cash from the bank on a daily basis, in case the bank decides it needs to close with my money still inside. Down $59 today but look at the 1 year gold chart on Kitco.