Gold fell abruptly this morning, pushed by a rising dollar after data showed the U.S. economy created more jobs than expected over the last three months, decreasing prospects the Federal Reserve will keep interest rates low for an extended period.
To put it in a nutshell stagflation is where economies do not grow or fall, while money cheapens persistently, ensuring no protection against wealth attrition.
Finally, a new all time high for gold prices.
Just take a look at the chart of the U.S. dollar Index and you see a frightening sight. If it sinks any further its support will have evaporated.
The inevitable periodic selloffs in the general stock markets indiscriminately hammer all stocks lower. But they pose a special magnified risk to commodities stocks.
As most sophisticated investors and traders are aware, the U.S. Federal government has run up significant deficits and the long term debt burden is becoming a drain on Gross Domestic Product.
Orezone Gold Corporation (ORE:TSX) is pleased to announce that it has completed the sale of its Sega Gold Project ("Sega") in Burkina Faso to Cluff Gold plc (Cluff) for total consideration of approximately US$26.5M.