tag:blogger.com,1999:blog-502356674750161309.post3616132988134231991..comments2008-12-13T09:31:12.515-08:00Eric deCarbonnelhttp://www.blogger.com/profile/08023745289801416061noreply@blogger.comBlogger2125tag:blogger.com,1999:blog-502356674750161309.post-6636462515839812632008-12-13T09:31:00.000-08:002008-12-13T09:31:00.000-08:00I think at least short term, the money moving from treasuries will find its way back into stocks and gold.<BR/><BR/>Just as the dollar led this round of deflation, it now shows significant technical damage to the downside. Couple that with an oversold condition in the stock market and strong relative strength on bad news (the impending failure of the Detroit automackers barely caused a blip) and I think your looking at a rally lasting about 3-6 mos. till the low to mid 10000s level then who knows? Depends I guess on the dollar fundamentals, but I think we may be dealing with inflation again, only more severe. At some point gold and equities are going to de-couple with gold going to the upside and equities to the downside. <BR/><BR/>Gold should start making a move to 1500-2000 level, oil at 150-200 dollars a barrel and gas at 5-7 bucks a gallon, thats just the next level, eventually gold at 4000 dow at 4000 oil at 400 and gas at10-12 bucks a gallon with about 15-20 percent unemployment and not sure about inflation but high double digits.Anonymousnoreply@blogger.comtag:blogger.com,1999:blog-502356674750161309.post-61911495179113688292008-12-13T08:08:00.000-08:002008-12-13T08:08:00.000-08:00Eric,<BR/><BR/>Thanks for all your work here, this blog is a sort of lighthouse in these confusing times. I have a question: did gold and silver went into backwardation in 1980? I've searched for data on this but couldn't find it. <BR/><BR/>Thanks for you help and regards.de Sousanoreply@blogger.com