A Few Thoughts On Gold

Some of you may be thinking talk about monetary authorities debasing the US Dollar (USD) is fine and dandy in an abstract sense, but how are we going to know what’s really going on with M3 reporting discontinued coming up shortly in March. In answer to this concern, and it is a legitimate concern considering money supply trends / conditions are primary in supporting and pushing equity markets, we must point out not only will we then be taking a closer look at Fed portfolios for indications of what they are up to on the monetization front, what’s more, don’t forget we will still have M1 and M2, and modified high-powered money measures, along with money market statistics that will effectively tell us what the pubic and businesses are doing with their money. Furthermore, it should be pointed out that not only are the equity markets less of a lagging indication of what central authorities are up to these days because of the instantaneous effect of securities monetization, other markets, such as the currency and debt markets will also provide clues in this regard as well.

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