Market turmoil.Certainly, the present shake up of the world markets is unsettling.
I lean towards the theory that the huge money interest groups on the planet can and do manipulate the markets somewhat. They make huge amounts of money selling into rallies, shorting with perfect timing and driving the markets down so they can load up when the scared little investors run for cover. Then they run the cycle all over again.
Essentially, the little guty is here to provide wealth to the big money people, whether it be from taxes, interest, capital gains or whatever. As soon as the middle class starts to accumulate significant assets ( as in any bubble) that market is sure to crash and those assests end up in the hands of Mr. Wealthy. It has to go somewhere - it does not disappear- it only changes hands.
If we could walk in the shoes of those at the top, we would view life and opportunities much differently. It is very much a game.
How can we benifit from this possible manipulation? Really, it is the art of playing the cycle the same way the big guys play it. However, they know the tops and the bottoms and they can play the cycle over long periods of time. Most of us can't allocate our resources like that.
Where do they want the price of gold to go right now? I think they will want to tank it and buy up supply and mines at lower prices and then sell it all back to us in a year or two. They have set the trap and saw how the world reacted and gold hit $732. Our expectation was that gold was on the way to the moon. And it will go there but not until the money powers have got their positions filled. They hate to see a ride if they are not on it.
Gold really is a subtle indicator of some very complex financial issues. Mostly it is a speculation metal and the world wants to speculate with it right now. It is mysterious that it has any value at all as a commodity.
If we own a company (AUQ or OYM)that produces gold we ought to be in a good position over the short & long term. Our personal value will depend on the share price and that is determined by the market sentiment. Although it is weak at the moment it is not likely to stay down too long. There is a lot of money out there looking for a home and we have to look at the bigger picture. Do not sell into this shake out. Things might be flat for a few months but soon the underlying fundamentals will kick in. IMHO