The Blog of goldtracker

Well, Monday is here. Tuesday for some inexplicable reason will soon follow and that means Election Day. A big day coming and everyone right now is holding their breath which translates into a slow news and trading day. Not a bad thing.

Gold and silver are trading slowly as are all other markets it appears. Right now ExactPrice has gold at $727.80 and silver at $9.88.

But I do have a several items to point you at today.

The first is an interview with Jim Rogers which I found on Jim Letourneau's blog.



Then there's this interesting interview with Eric Lemieux on Jutia Group: Eric Lemieux: Gold’s Behavior Flies in the Face of Every Theory.
 

TGR: It’s difficult for most of us to understand why, given the supply imbalance, commodity prices—especially gold—have declined so much recently. What’s your take on this?

EL: The decline in gold prices flies in the face of every theory. The U.S. dollar has been appreciating and the U.S. economy is going through a recession. Gold should be increasing in value in the face of all this uncertainty. To see the price of gold going down right now is almost unexplainable in my opinion. It begs the question, is this due to some type of manipulation, either directly or indirectly?

Eventually people will realize that you can’t sustain both very low commodity prices and a very high U.S. dollar because it violates certain fundamentals. Back in February 2002, an article in The Economist talked about a potential crisis resulting from businesses using financial instruments that they didn’t understand (credit risks). But everyone just turned their backs and carried on. I think it’s a matter of restoring common sense to the market. I am, in particular, in agreement with a written statement made by the general manager of the Québec Mineral Exploration Association, that says that markets must return to their original mission—to finance economic development and not speculation.

Then there's this disturbing news reported on MarketWatch: More banks could get government help.
 

As many as 1,800 publicly traded financial institutions could seek assistance from the government under the Treasury Department's $700 billion rescue plan for troubled banks, according to a published report Monday.

Additionally, thousands more private banks could request government help, The Wall Street Journal reported, citing a Treasury spokeswoman.

And finally, I saw this last week and thought it worth mentioning: How Should a “Newbie” Engage in this Volatile Market?