Gold Making Bold Moves
January 09, 2008
Gold just keeps on pouring it on. It jumped $18.40 yesterday. That brought the close to $878 a troy ounce, so whatever old high you use, $825, $850 or $875, we are now safely over all of them. We are on historic ground. Can $900 be more than just a coffee break away?
Yes, my tone is flippant. Movements are getting to be very large in short spans of time. That is dangerous for markets because they tend to become more unstable with larger incremental hikes in the price.
For long-term staying power, 20 trading days of $5 movements are better and more long lasting than $100 in five days. They also allow for better business conditions on coin show bourse floors. With the Florida United Numismatists bourse setting up later today, there can be no question that coin dealer behavior will be affected by any large swings in precious metal prices.
No question, though, it is the very large moves that get the adrenalin pumping and capture the headlines.
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