OASIS FORUM Post by the Golden Rule. GoldTent Oasis is not responsible for content or accuracy of posts. DYODD.

Armstrong’s gibberish today–he claims to have computer that has solved the riddle of the mkts-preposterous!

Posted by Richard640 @ 12:59 on August 20, 2015  

[If that were so he wouldn’t need to peddle PRE-scriptions–just another snake oil salesman–about 5 or 10 cuts above the others–nice academic gloss he provides to his pitch]

China will eventually have to allow the reminbi to float. There is no choice in that matter if they (1) want to avoid accusations of engaging in a currency war, and (2) they want to make the renminbi a world currency. That is the end game.

This is pushing the dollar higher. So why is gold rising? They are attributing this to the dovish Federal Reserve minutes and sliding global stock markets that increased the metal’s safe-haven appeal. But that is all nonsense. This is what I mean about fundamentals. They select what they need to fit the move. Why is gold rising with a rising dollar? Eventually, when the cycle shifts, gold will rise with stocks and with the dollar. It is not much of a short-term safe-haven when it pays no interest. The only thing that will create inflation is rising interest rates for that will decouple the world economy. The Fed is totally trapped and we have a massive pension fund crisis on the horizon. Gold is doing what our model projected and it is a short-cover rally for the near-term. When we elected the monthly bearish reversal of 1155 by some $60+ away, you typically rally back to retest that number before proceeding. I have stated countless times that is just the way markets move. At the movie showing on August 1, I answered questions about how it was good news to see articles calling gold the “pet rock” from the WSJ and the computer issuing a buy signal. That was perfect timing.

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Post by the Golden Rule. Oasis not responsible for content/accuracy of posts. DYODD.