Gold has been consolidating for the last 15 months. Technicals show strong uptrend iminant. Japan and US printing trillions of dollars to re-inflate economies. Other countries will follow to support exports. The result will be all stocks and commodities will rise. Interest rates will rise causing the bond market to tumble. Money will flow to gold as a safe haven and store of value. We could see 2500 by the end of the year.
Tony, you are correct except for one thing (my opinion only) and that is the Fed will not allow rates to rise. They cannot afford it & what it would do to the deficit. They have the ability to print indefinately. Rates will stay down until the final blowout which will be a currency issue. Inflation will show up but they will buy the debt until the end and the dollar will take the hit. Politicans will continue to do nothing. The Fed is in a box and have expressed by their actions to date that they believe this is the ony path open for them in addition to continual lying. Watch for the continual erosion of the dollar as the reserve currency - this will signal the end. This and $8 (soon to be $10) will get you a cup of coffee somewhere.