Absent a 180-degree about-face in thinking and government policy, the euro will end up in the fiat currency graveyard. It will go the way of every other currency in which politics were considered more important than free markets.
After another feeble attempt at overcoming the seemingly impenetrable $1,750-$1,750 resistance zone gold prices went into somewhat of a freefall following less than encouraging words from Mr. Draghi at his news conference.
Half of Monday's gains in gold and all of the advances in silver were given up in New York this morning by the two precious metals as the US dollar stopped declining and as crude oil fell back about half a dollar.
Precious metals markets opened "in the green" but gold parted company with the rest of the complex and headed a tad lower. Spot New York dealings opened with a loss of $4.60 for the yellow metal; bid-side was indicated at $1,638.00 the ounce.
Bungee-jumping without a helmet held nothing over being a market participant last night in terms of the thrill of rebounds and freefalls. Gold ran across a $64 price spectrum giving almost everyone their money's worth in a few intense hours.
The precious metals expert and founder and chairman of GoldMoney explore in an interview the probable outcome of the current US debt-ceiling operatics, the likelihood of future Fed money printing and strategies for preserving wealth.
New York spot precious metals dealings opened a bit on the mixed side this morning. Gold bullion showed a $3.20 per ounce loss on the open and it was quoted at $1,526.20 while silver gained 15 cents to open at $36.05 the ounce.
Gold's steepest fall in nearly two months took place on Thursday as the commodities' sector also took a hit in values. Friday morning's trading action saw more follow-through selling in the precious metals' complex.
The metals' trade (as well as a host of other speculators) was keenly focused on the day's release of US initial jobless claims numbers as well as tomorrow's overall US employment statistics courtesy of the Labor Department.