Oil And Gold Surge To New Highs

AP:

The commodities markets rallied Friday as the dollar skidded to fresh lows, driving investors to seek an inflation hedge in holdings of crude oil, gold and other raw materials.

The greenback tumbled to a low against the euro as investors looked past the Labor Department's stronger-than-expected reading on jobs growth in October. Although the total jobs added to payrolls this month topped expectations, suggesting the overall job market remains robust, investors appeared wary of the jobs erosion in the key construction, retail and manufacturing sectors.

Read the whole story: AP

Comments

[condieshoes]

Ron Paul seems to be the only candidate that is really speaking the truth about how bad it is economically. I loved his point on point questions to the Fed. The look on the Fed Chairman's face was telling.

However, nobody is listening. It's like everyone is totally asleep.

[FightingTheRight]

The "Middle Class" lives in the real world, not the world of charts, grafts and annual reports.

From their economic standpoint, higher oil prices increasing the cost of gas, home heating, food and many other day to day expenses tell them the real story of the economy.

Add to that, multiple houses for sale on every street and road they travel on, the increasing cost or lack of affordible health insurance, along with stagnant wages and they see a bleak picture of the current economy.

No amount spin can change this.

[VivaZapata]

rollingdivision's got it right; it's the dollar's weakening that makes it appear gold and oil are worth more. the fed's policy bolster's the stock market at the expense of the average consumer. it's not called a tax, but it feels even worse. if we clean up the scum pond known as the federal reserve, what would the parasites on Wall Street swim in?

[ReasonIsMyReligion]

Heeeere trollie troll troll.

Let's here it about the Bush economy.

Soooo-EEEE.

[rollingdivision]

Commodities aren't as much surging as the dollar is falling. The fed has pretty much used up all the rate cuts they can for the foreseeable future, I miss Greenspan.

[BigBagel]

Hey its expensive being the worlds policeman. Israel, South Korea, Japan, Western Europe. We have to help all our little friends. Iraq,Iran,­Afghanista­n -we have to fight terrorism. Somalia, Kosovo, maybe Darfur- we have to be do gooders. But don't raise taxes and not with our 'leaders' sons in the trenches.

[Kendo Nagasaki]

When you spend more than you earn, you will go bankrupt. This applies to people, corprations and countries.

You might want to read " The Decline and Fall of the Great Powers" by Paul Kennedy.

[DaisyZimmerly]

Once debt reaches an unsustainable level the only way out for the US is to deflate the dollar to a nearly worthless level. Payback in dollars that are worth less than the original dollars borrowed.

There is no bottom. Think Wiemar. The Fed will print money until there is no more ink left on the planet, and then they will just use digital keystrokes. The citizens are asleep or busy with important matters like Britney, the war on terriers, and American Idol. Just like they were when they voted for Commander Codpiece.

It's going to be worse than they think, and when they awaken from their stupor and realize what is happening it will be too late.
Gold is on sale today for 808.00 per ounce. Short it if you have balls. I dare ya..

[theeconomicfractalist]

The Quantum Fractal Nature of Growth and Decay of the Macroeconomy

When the burdens of ongoing debt, cost of living inflation, asset over valuation, taxes, and consumer saturation exceed the rate of new debt growth by consumers , businesses, speculators, and governmental agencies- even when stimulated by lowering interest rates- , the growth of the money supply slows, crests to zero, and thereafter turns negative At the crest, the macroeconomy has reached a saturation point. Lammert Composite Equity Valuation Fractal Analysis most strongly suggests that growth to this saturation point and thereafter decline is well defined in simple mathematcal quantum valuation fractal patterns of the Wilshire, the composite equity index of the leading debt-dependent hegemony. These quantum fractals are based on the dynamic integration of intrinsic countervailing elements defined in the first sentence of the macroeconomic system - with human psychology and positive and negative emotions, the passive recipient of this ongoing quantum necessary mechanistic process. To know that the macroeconomic system is mechanistic, that it travels in growth and decay by discreet simple quantum mathematical fractal patterns, and that there are countervailing limits to money supply growth with consequent mechanistic necessary fractal decay - provides a powerful long range measuring and assessment tool for economists, monetary policy decision makers, politicians, and lending regulators. To understand the macroeconomy as a quantum mechanistic growth and decay feedback system with limitations to money expansion is to begin to be able to make prudent balanced policy and monetary choices about valued economic activity.

[Sundialsvc4]

I don't see the fall of the dollar as anything less than a smart defensive move against a rogue nation armed with tens of thousands of nuclear bombs.

America has become a nation of "all taking and no giving," and a supremely dangerous one besides. If you try to take-on such a nation militarily you'll be blown out of the land or sky. But if you reduce things to a simple economic decision, does it really make sense to continue to worship that nation's currency?

The euro is a success: it was planned to be the successor to the United States Dollar and to the British Pound Sterling, and it will be. When the euro is, inevitably, the new World Reserve Currency for petroleum transactions and other critical commodities, the dollar will find itself in free-fall.

And maybe, just maybe, this will be the best(!) possible thing for America. There is really no reason why this country, which out-manufactured everyone a mere sixty years ago, should see itself a pauper now. If America wants its dollar to be valuable, it must do so "the old fashioned way." It must EARN IT. Again.

[hopingfor08]

Companies won't manufacture anything here. Peak oil is real and rearing its ugly face. Just wait until oil exporting countries start exporting less... It will make the the depression look like the good old days. We should have started down the path outlined by Carter in response to domestic oil decline. We are 30 years too late to create a viable energy infrastructure. Everything will become real local after the riots and die off.

[VivaZapata]

To the American consumer who can't afford to buy gold:
Do not sink further into personal debt. Don't buy poisoned toys or child/slave labor clothes for Christmas. Have a sweet old fashioned non materialistic one; explain to your loved ones why. Urge people to buy foods they can store. The prices will be surging faster than the debt-creating Iraq war! Pay off your debt as soon as you can and buy food. Real estate is worthless. You can't get rid of those houses at any price. Except in Manhattan and Beacon Hill and the like... for now.

[loki]

No, on second thought, you can thank all of us Americans who elected the Dems and Repugs into office since 2000.

[loki]

You can thank those wonderful people we elected to office since the year 2000 for this. Dems and Repugs alike.

[dadw5boys]

OIL FURTURES AND GOLD FURTURES ARE PUSHING PRICES HIGHER.

HOW DO YOU LIKE THE WAY HUGE INVESTMENT FUNDS CAN HURT YOU.

IS YOUR MUTUAL FUND FORCING THE PRICE YOU PAY FOR GAS, FOOD, ELECTRIC, AND ALL OTHER PRICES HIGHER INCLUDING PROPERTY TAXES???????