That VanEeden site is great. He insists gold is money, and people get confused about its price moves when they treat it as a commodity. He also explains why jewelry demand and the ETF are so small compared to the total daily trades, that they have no effect on price movement.
One month ago, he predicted the weaker dollar would lead to higher oil and gold prices.
He makes simple logical points: continued supply of Treasuries will cause their prices to drop and yields to keep rising. As interest rates rise, more of our government money goes to finance our debt.
He reminds us that the US consumer is responsible for China’s growth (we are 40% of their exports), so when the US consumer slows, so will China’s growth as well as the prices for commodities. Good stuff…
