At least in the near term, investors may be wise to be a little wary of gold.
Reason #71: Abu Dhabi has opened a gold bar vending machine! From Bloomberg:
Abu Dhabi’s Emirates Palace hotel opened a vending machine that dispenses gold bars, making the United Arab Emirates the first country outside Germany to install the machine.
In addition to 1 gram, 5 gram and 10 gram bar of gold the machine also dispenses gold coins, MPW Finance said in an e- mailed statement. The machine was developed by TG Gold-Super- Markt, a brand of Ex Oriente Lux AG.
What could possibly go wrong?
Gotta love this story coming on the heels of the Wall Street Journal touting gold as a one-way bet.
In gold’s defense – it’s price continues to hold up very admirably amidst collapsing asset prices – everything else was down today, except for the dollar and the Yen (feels like 2008 all over again!)
Gold prices are holding up so far – though these contrarian indicators might make one a bit nervous. (Source: StockCharts.com)
If you recall 2008 though, you’ll remember that gold prices topped in March – which was well AFTER the equity markets had turned down. Is gold once again topping after equities? We shall see!
Hat tip to good friend and fellow deflationist Carson for passing this news along!