Gold has surged past $1,561, as seen on Kitco's 24-hour Spot Gold
Zerohedge' s Theory: every time the Bernanke opens his mouth gold surges
Zerohedge reports that Bernanke Starts Talking, Gold Surges Past $1,558.
(emphasis mine) [my comment]
Bernanke Starts Talking, Gold
Surges Past $1,558
Submitted by Tyler Durden on 04/29/2011 13:39 -0400
Remember when every appearance of Obama and Geithner would send the market plunging before the institution of central planning? Well, we now have a new phenomenon: every time the Chairsatan opens his mouth gold surges [“Chairsatan”? First time hearing that one]. Pretty simple. The second Bernanke started delivering his prepared propaganda at the Community Affairs Research Conference, whose parallel chat session appears to have been overtaken by conscientious objectors, gold surged from the mid $1540s to $1,558 [now $1561.8]. A few dollars here, a few dollars there, and pretty soon we are talking real money...
What the Fed is doing to drive up gold prices: PRINTING MONEY
Perhaps the explanation for this new phenomenon is that, “every time the Bernanke opens his mouth”, it reminds us what the Fed is doing. Namely, that the Fed is printing money to buy long term treasury bonds.
My reaction: As long as the Fed is printing billions every month (monetizing US national debt), expect the gold price surge to continue. Buy physical gold.