Mahya2

Last April 2009 I went to Europe when the rate for Euro was $1.22 ...during the one month trip the Euro rose to $1.44 which definitely put a crimp on my credit card expenditures.

This past month or so and especially today the Euro moved down to $1.23 - a penny above where it was a year ago...almost in free fall. I cant remember where it was exactly when I first started traveling to Paris in 2005-6 but I think it may have been $1.09. Sarkozy today is threatening to leave the Euro. Dollar is up to .85 when at some point it was down to almost .65 in comparison.

Dow is down to 10,500 and change.

Gold fell from $1247 (highest it's ever been) this week, as a matter of fact 2 days ago, to $1227.50 today and still moving down. Some say margin calls are responsible for the sell off in Gold.

What the heck is going on ?





Some say margin calls caused

FrankS

Consumer spending in Europe is directly related to government spending, as soverigns reign in spending the whole Eurozone will see contraction despite any export gains. This contraction will impact P&L statement of our multinationals thus our stock market drop. Expect more Euro weakness as the ECB monetizes debt. I expect a sub $1.20E in summer but ya never know

Mahya2

Sunday night and Gold is on the way up again- over the weekend up to 1238.90 after a low of 1230/31 Friday where it Seems to have found a new level.

ncounty

thanks for the update. I am going to europe in one month and hope it stays favorable.

nukesafe

The Euro is wavering just above $1.22 at the moment.

ncounty

wow, amazing!

FrankS

I think gold is over extended, I see gold sub $1000 in 12-24 months

ira

I think that trying to predict the market more than an hour in advance is a fool's game.

FrankS

Being a fool is profitable. I was the only bid for Kinross Gold(KGC) in 2001 for about a week. It was 7/16 by 15/32 for about a month. Everybody hated gold, now they cant get enough of it. One day people will realize you can dig it out of the ground and the price will retreat

Mahya2

Well some things here dont make sense.

When the markets are volatile as they are now, people run for safety and safety is gold...yet gold is down to $1225 - I still think it's margin calls - and people had to sell - because with the Euro falling people should be running for Gold...
No I dont think the run on Gold is through - this is probably just a good buying opportunity -

and I think its going to go to 2000/2500 or more by the end of the year.

This is not a good recovery - and I dont think the way down is over..probably a W instead of a U -

sure wish I had the money to buy lots of GOLD....

cnbc (advertisiers for Wall Street instead of reporters) thinks Euro isn't through falling..guessing 1.20 -

FrankS

Looks like another nightmare on Wall St day. Sooner or later we had to figure they would turn on everyones 401k. Anyways 2000 gold is possible, but only in a spike momentum trade. I see supply /demand for the metal about 800/oz after the panic is over