RE: RE: :RE: Bo Polny Botto yep, got to say that Bo appears to be at least a day or two off on his 'low' call for gold and silver. Lets hope he's basically correct but just a day late....
Tough day today for all Gold stock longs.
Hi stack,
I guess Bo Polny's Gann projections are wrong this time around.
Gold stocks are in trouble. I would love to know who sold 500 tons of gold, and I would love to know if the Fed was/is behind anything. Has anyone considered it was Iran who cashed out on the gold Asia has been using to pay them for oil? (Just a thought)
News yesterday was that the US deficit is falling fast. I'm not sure if that is due to the one-off Sequester. If so, it won't last. The news seems terribly hyped up. For all we know it could be another attempt by the government and Fed to kick start consumer and investor confidence.
Anyway, if the US is truly on course to reducing the deficit dramatically (and can sustain the cuts), then kudos. I will gladly accept losses in gold in exchange for a strong US economy. If that is indeed what is happening then gold producers will have to start focusing on making profits with bullion in the 1000$ range. Those who can't, will have to start thinking of seeking to be bought out.
All that being said, with 45% of the 5-30year bonds owned by the Fed, with the US debt at $16.8t, with central banks everywhere printing massively, with a bad employment participation rate, with consumer, company and municipal debts sky high.... I will hang on to my gold stocks until the US Treasury proves many skeptics wrong.