Lots of Gold shorts ahead of the Feds as they believe there will be tough talk on inflation. But the truth is, it will just be talk and no action. The housing slump is not going to allow for more rate hikes soon. Nevertheless, there is a perception that keeping rates at this level is dollar supportive and inflation containing. I would not be so sure about the latter. In any case, expect some whiplash after the Feds.
This entry was posted
on Wednesday, October 25, 2006 at 10:32 AM.
