The Plummet Continues

As I write this post, spot gold's resumed its plummet to reach US$1168.00. The support at $1200 just wasn't there. Nor, come to think of it, was the resistance at $1200 when gold was on the rise.

It could be that the $1200 number was merely a "watcher's number," and was not taken seriously by the participants themselves.

At any rate, the carnage continues. We may hear the gold bulls hope for the Chinese central bank, and/or others, to step in and buy.


To add insult to injury, the jobs-report-fueled market rally has almost evaporated.


Update: The decline continues. As of 2:45 PM ET, after a slight recovery srarting just before noon ET, gold's fallen further to $1158.20. The Dow's down 0.05%; the S&P 500's up 0.16%; and, the NASDAQ's up 0.43% The jobs-report rally stayed almost-evaporated.

How ironic - the gold/stocks correlation went kablooey when stocks were up, but has held now that stocks have fallen back. The only consolation (other than hope from China) is that gold was quite overbought until today.