Many articles that I've read recently equate gold strength with US dollar weakness. One must be careful here to keep in mind that the US dollar weakness is NOT necessarily relative to other currencies, (ie the $US idx) because ALL other currencies are hyperinflating and competatively devaluing.

Therefore GOLD is a measure not only against the $US idx but against ALL currencies combined.

GOLD rises as GREECE goes bankrupt.

GOLD rises as UK economy tanks.

GOLD rises as US prints more bailout money and war money.

GOLD rises as CHINA pegs to $US.

SO, just because the $US idx goes up doesn't mean $US is STRONG!

If all the World Fiat Currencies jump out of a plane, but only the US$ carries an umbrella, the $US would look VERY smart relative relative to the other Currencies, half of the way down...but, they will all eventually die.

Some will die faster than others.

ps. Thanks to those that posted on SH in response to the overwhelming bashing going on there.

Lotus blossoms,

gildage