I dunno .... it's up in the air with PM's.
I've bought / sold since the late 70's. The price seems to be inversely proportional to the value of the dollar. When the dollar weakens it takes more of them to buy an ounce of gold. When the dollar strengthens it takes fewer of them to buy an ounce of gold.
Think of PM's as being like a cork floating on the rising tide of currency inflation. As the tide goes out the cork drops accordingly.
It's not all that complicated.
There's a wildcard in the mix though. It wasn't all that long ago that gold peaked at somewhere around 1,900.00 $ an ounce. It probably would have kept going up but the International Monetary Fund intervened. The IMF has massive gold holdings. They saw a problem emerging so in order to cool the market they threatened to dump some of their holdings. The price immediately leveled out and started dropping to where it is now.
That's market manipulation !
On the other hand .... if they hadn't intervened the global economy might have collapsed.
Just an afterthought: This might help: http://www.kitco.com/
Go there & look on the upper right hand of the screen. It explains why gold went up or down that day based on currency value & market demand.
It's a really good resource if your living depends on what PM's are doing.
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