The XAU Index is vaulting higher today. She is entering a fascinating area. Anything above 150 and we are in rarefied air. These levels have been reached three times in the past 20 years...There are various technical reasons to be long precious metals, but add the bonus of a weak dollar, world wide political instability, emerging China and India, massive petro dollars floating around, M&A activity in the space, and last but not least - a quasi defensive position if the general equity market falls apart. The money has to go somewhere, and GOLD is a safe haven!! Thursday, July 12, 2007
Fireworks in the Gold/Silver Shares
The XAU Index is vaulting higher today. She is entering a fascinating area. Anything above 150 and we are in rarefied air. These levels have been reached three times in the past 20 years...There are various technical reasons to be long precious metals, but add the bonus of a weak dollar, world wide political instability, emerging China and India, massive petro dollars floating around, M&A activity in the space, and last but not least - a quasi defensive position if the general equity market falls apart. The money has to go somewhere, and GOLD is a safe haven!! 
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