Just thought I would update you on my last post re: US Oil Dollar dump story. Since then the Arabs,Russians and Japanese all denying any "secret meetings" to dump the US dollar. I didn't want to jump to conclusions when I first read it but it was taken as fact by the markets one had to comment and be aware. One part that did concern me that it may not be fact is the article stated this supposed switch was supposed to be implemented over nine years. Now that is a long time and if the US recovers by then and retains it's world power status then what ? Egg on face ? I have seen some sketchy to outright fraudulent articles in the UK papers over the years so until I see more concrete evidence this "meeting" even took place then I call bullshit.
What we are seeing is lack of faith in the US dollar,no doubt about that, but we are also seeing one mother of a gold short squeeze as the commercial shorts were short HUGE at just over $1000 and they are covering like madmen. When will this end ? When the big players say so and the dollar hits the 72 cent range is where I figure which will put gold around $1150-1200 range. No denial here the US dollar is in bad shape but printing stories without facts and then to see vehement denial from the key players tells me there is some serious market manipulation going on here.
I am sure the Chinese may have brought it up and someone jumped on it but this subject has popped up many times and the process to pull off such a currency switch is no easy feat. So I rest my case for now.
Gold is flying as the shorts get squeezed, and the US dollar hits the 75 cent level. I do smell some sort of move by the US but whats left other than an interest rate hike ? Bond sale at 10 AM,should be interesting.
Here's the take from Jon Nadler at Kitco:
http://www.resourceinvestor.com/News/2009/10/Pages/Separating-rumor-from-fact-in-the-runup-in-gold.aspx
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