Thursday, July 1, 2010

Gold Futures Crushed as Investors Go to Treasurys

Investors today, who have been extremely fickle lately, have chosen to go to Treasurys as a place of safety rather than gold, driving the price of gold today down by $34.70, or $1,207.70 an ounce, as of 1:03 PM EDT.

Economic data has painted a ominous portrait of economic conditions, and it's weighing strongly on investors.

Uncertainty about inflationary or deflationary pressures also influences the price movement of gold on a daily basis, as economic data and reports have it potentially going either way, or at least it's perceived in that way.

One thing most people agree on, is the alleged economic recovery isn't, and it's increasingly doubtful as to whether or not we've ever left the recession, only having temporary respite because of massive amounts of money being infused into the economy from government policies.

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