Money Talk

This is what many S&P analysts have been calling for. Nothing has fructified yet as a true rally. But it is important to note that the Dow and S&P are at its -best showing since the 2008 sell-off. I like the gains because I feel they are going to stick. Growth is gradual and usually gradual growth is stable growth. Rally would not hurt and seems imminent in the year end as there are reports that consumers opened their wallets better than all the past 2 years. Signs of confidence. Many fund managers are promoting this momentum to get our psyche off the negatives to the positives. There are other developments I am beginning to like. Back door maneuvering at the Financial Heads level of governments is bound to kick start the American economy and that I do believe is going to happen and will be the new way to kick start a stalled economy. It will be interesting to watch when history is written about how we got out of this economic failure in this country's history books.

I read Gold is being sucked up not by the wealthy countries or its people, but by the rapidly growing middle-class in India and China who clamour for the yellow metal as a ticket to the upper echelons of their respetive societies. I am sure there are other currents in play for its rise. But if you see the prices for the last few weeks, it has actually stayed flat or fallen a bit. While national debts of so many developed countries are at their all-time high, you can only expect that investors will drive the prices of gold higher as a hedge against currency weaknesses. Strangely enough, this is not so. Some wall street commentators have suggested there is a possibility that Gold could be peaking and they have linked it to the recent Tax cuts (read: Stimulus) in US (still looks iffy) which may drive down unemployment to below 8.5%. I don't know about you, I am buying this argument and I really hope to see Gold prices find its way down by 2011 end to less than $1200 per ounce, less