Gold Climbs Higher
January 04, 2008
Gold Continues it's Run
After brief profit taking, Gold continued it's climb today, cracking the $865 barrier before slipping back to $862 as of this posting. Silver was pulled along too and sits at $15.36 as of this afternoon.
Crude oil remains within sight of $100 a barrel and the dollar is floundering against most all other major currencies.
With it's new record price, it will be interesting to see what gold does next. Some are predicting an almost certain downturn in gold, similar to what the precious metals market experienced after the surge of 1980. Given that much of this current drive is based on speculative investment, I find myself thinking the same way. Without exceptionally strong demand from the jewelry trade and industrial sector, the only support gold has comes from the hopes of it's proponents. As of this moment however, those hopes are very strong and reflect a definitive lack of confidence in the U.S. dollar, and the U.S. economy.
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