Reply #30: Gold recovers as oil prices resume upward trend [View All]

[UpInArms]

http://www.marketwatch.com/News/Story/Story.aspx?dist=newsfinder&siteid=mktw&guid=%7BECCEE025%2D4F91%2D40D7%2D8CF5%2DB27A626B8378%7D&symbol=

NEW YORK (MarketWatch) -- Gold futures rose early Friday, rebounding from the lows hit a day earlier when oil prices responded to a terror scare by falling sharply, overriding the metal's traditional role as a safe-haven instrument.

Gold for December delivery was last trading up $3.50 at $649.40 an ounce on the New York Mercantile Exchange. The contract briefly ticked higher on Thursday on the news that U.K. authorities had apparently thwarted a terror plot against air flights from Britain to the U.S. but later gave way as oil fell sharply and the dollar rose.

Ned Schmidt, editor of The Value View Gold Report, said the notion that terror fears would deter people from flying, thereby reducing demand for oil and easing oil price-driven inflation, was misguided.

"Gold, at these levels and for the next week, is a buy for investors," he said.
Oil was last trading up 60 cents at $74.60 a barrel, pulling gasoline, heating oil and natural gas prices higher with it.

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I wondered why gold did not jump yesterday with the Terra! Terra! Terra! and the heightened ORANGE and RED color coding - well, surprise! surprise! surprise! that "plot" was old and known and only after they "caught" their "bad guys" did they even raise the alerts :grr:

Why raise the color coding after it's over? The only thing that comes to my mind is that Rove thinks the political gain can take the Bush-Kissing Joe off the front pages.