JOKE OF THE DAY

Gold futures tumble over 3% as traders rush to sell

NEW YORK (MarketWatch) -- Gold futures tumbled more than 3% on Monday, erasing their gain from the previous week, as a rebound in the U.S. dollar and a spike in global risk aversion fueled profit-taking in the precious metal.

"You are seeing a huge sell-off trade in gold off the back of a massive carry trade unwind," said Zachary Oxman, a senior trader at Wisdom Financial. Carry trades refer to the practice of borrowing low-yielding currencies, such as the Japanese yen, to buy higher-yielding currencies.

"Global risk aversion and fears of further write-downs from subprime losses this week, along with a 4% decline in China's market to start the week off, have all driven the metals and currency markets in a strong counter-trend fashion," Oxman said in emailed comments.

So you sold you Precious Metals today because you are risk averse? LOL! The jokes on you. On August 15, with Gold trading at $668, the "risk averse" bailed out on the Precious Metals as the credit crisis reached the headlines. Gold was down $26 that day. On the very next day Gold closed higher, and proceeded to do so for the next ELEVEN WEEKS., culminating in our recent 28 year highs at 845. It certainly pays to be risk averse in today's economic Armageddon doesn't it?

Gold is NOT a risky investment people, and neither is Silver. Today, they are the ONLY investment. Buy tomorrow's money today at a discount. If Gold is a risky investment, what does that make an investment in Citicorp? Citicorp, despite what clowns like Larry Kudlow might have you believe, is NOT a value play in today's market mayhem...but Gold and Silver are. They were a bargain eleven weeks ago, and they are still a bargain today. Gold will still be a bargain at $1000. Back up the truck...Gold and Silver are on sale. While supplies last.

For more please click on the charts above to enlarge and enlighten.