from The Daily Bell:
It’s going to get much worse for gold … It’s been another tough year for gold. The precious metal has fallen 10 percent in 2015 and is tracking for its longest yearly losing streak since 1998. And according to one technician, the pain will continue heading into 2016. “I think there’s still downside here,” Rich Ross said Monday on CNBC’s “Trading Nation.” – CNBC
Dominant Social Theme: Gold is headed toward the basement and then to the garbage can.
Free-Market Analysis: The knives are out again for gold as Wall Street waits impatiently for the Federal Reserve to hike interest rates, thus strengthening the dollar, which – so we are told – will result in another tumble for gold against the mighty greenback.
Of course, the mainstream media generally doesn’t miss an opportunity to bash precious metals even though for nearly a decade earlier in the 2000s the dollar tumbled against both gold and silver. That hasn’t been the case lately, as CNBC points out in this report posted a few days ago.
The article quotes Ross (see excerpt above) as discerning a distinct downward trend for gold. The article then summarizes gold’s progression by pointing out that precious metals and commodities generally have been in a “free fall” in the past year “as the dollar has ripped higher.”
Ross is quoted again, saying, “The path of least resistance for gold is down. I would be a seller into any strength.” And yet … how can anyone look at the US economy and come away thinking that the dollar will hold its strength in the long term? More and more, prices seem to reflect a distinct divergence with reality.
Over at LewRockwell,com, we find evidence of this divergence in a report initially posted at GoldCore entitled, “Gold Buying Surges At U.S. Mint In November – China Buys 21 Tonnes In November Alone.”
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