mail of the day (1)
"Hope everything is fine in London. It is always a great pleasure to read your insights and listen to your audios, although sometimes I miss some concepts.
"Do you think that a victory from Gov. Romney can change the view for PM? Mr. Romney has expressed his strong disagreement with Fed policies in general and with Mr. Bernanke in particular. Apparently he wants a stronger dollar, and less "QE style" antibiotics for the economy, which could lead to higher rates. In your view, could his victory be a game changer for PM? Thank you, David, for your superb coaching.
David Fuller's view Many thanks for your kind words; London's
fine and I hope all is well in Argentina.
You ask
some interesting questions regarding precious metals. I do not know if a Romney
victory would have any short-term influence and one could argue it either way.
Meanwhile, the recent tendency has been a correlation with Wall Street, probably
influenced by high-frequency trading.
If
Governor Romney wins, and he has certainly energised his campaign commencing
with the first debate, he would not be inaugurated until January. I doubt there
would be any significant change in monetary policy while the US economy remains
soft. Gold is currently in a short-term
consolidation phase and the longer-term fundamentals of low interest rates and
QE from major central banks remains very bullish, in my opinion.