Unique financial nuggets

[Southie]

Re: Unique financial nuggets

@OneYourMomWarnedAbt

Let me see if I can make sense. When people think the economy is doing well, they tend to invest in stock ( meaning in companies contributing to the economy ). When they think economy is not doing well, they take the money from stock market and buy gold. That is why when the stock goes down, gold is going up, coz there is demand for goal.

This works well, if you stay with the underlying assumption that the amount of money is fixed ( or relatively fixed ). It goes out the door, if the fed starts printing money. Then you will need an economist or someone insane to explain what happens and why.

Thank you. Very helpful.