As noted in the chart furthest below, gold has ascended to the top of the investment food chain over the past week. This is even more impressive considering that crude oil and other commodities faded. With China's big announcement on Friday about their massive gold purchases, it is most unlikely that gold will be moving down with the same vigour as we have been accustomed to at the hands of the cartel. After all, China has already been burnt by the U.S. by purchasing those almost worthless Treasuries and I doubt if they will be embarrassed on the world scene for a second time.

And as for this latest hollow bear market rally in the DOW, the photo below probably sums it up best!

Cheers - VHF

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