Loading ...That sounds like good news for the USA to me. China is wealthy enough now to take over some global responsibilities and take some burdens off the USA’s back. Global reserve currency status has some advantages, but net net it lowered USA living standards.
First, from 1934 to 1971, half our Gold reserves went overseas. After 1971 all our manufacturing industries went overseas. Imports were cheaper than domestic, but that’s no good.
Now it’s China’s turn for excessive public sector tax payer jobs, clean air jobs and energy saving jobs etc. “Overhead jobs” “Occupation creation” fake jobs out of thin air.
>>After market Gold up $11.00 at $1,338.
That’s One Thousand Three Hundred and Thirty Eight. Pretty respectable in my book. And a lot more potential. We’ve all seen $1,900.
parts STORY:
NEW YORK (CNNMoney) — Gold prices have been on a tear lately, topping a fresh record high above $1,900 an ounce early Tuesday– just two weeks after rising above $1,800.
While experts aren’t too worried about each new milestones, they are starting to freak out about the rapid speed at which prices are hitting them. Gold started the year just above $1,400 an ounce.
Gold prices first crossed the $1,900 mark in after-hours electronic trading Monday. Early Tuesday, prices hit an all-time high of $1,917.90 an ounce, before pulling back to about $1,880.
While the “parabolic surge” in the price of gold over the last couple of months is concerning, Lloyd Thomas, professor of economics at Kansas State University, says the rise is also worrisome over a longer period of time.
“Gold is considered a good hedge against inflation,” he said, “But the increase in gold price has far outpaced inflation, especially during the last decade.”
He noted that inflation has only picked up 2.4% on an annual basis during the last 10 years, but the price of the yellow metal has climbed more than 21% a year during the same time period.
http://money.cnn.com/2011/08/22/markets/gold_prices/index.htm