You all know by now that Benny and the Ink Jets are back onstage, firing off another round of confetti for their banker/speculator/investor constituency. I can hear the champagne glasses clanking and calls for more caviar.
By my math, from the announcement of the last round of QE, gold– over the following year– surged nearly 30% and silver (in less than six months) exploded over 80%. We’ll see how things look this time. The other question I have is, do the gold/silver mining stocks continue to outperform the bullion– which they did today, and have (sort of) been doing recently (of course off of truly depressed levels.) Only time will tell.
Oh, and by the way, I think Bernanke just re-elected Barack Obama, so someone else should be offering a toast to the Central Printer tonight.
Enjoy the fun for now, because as a student of history I know exactly where we are going– the only question is when do we get to inflation-ville, and how awful will the place look once we are there.