Fiscal Cliff good or bad for gold?

[Unbeatable]

Do you think going over the fiscal cliff will be good or bad for gold?

Personally, I think it could be great.

I think the big driver for gold prices going sky high will be when Western Joe Public starts buying.

Joe Public or the Western Mentality and their downfall is to only focus on the short term. (Vs. The East who thinks long term.)
So as long as there is short term pleasure or relief they don't get too panicked about the long term pain. They are like frogs in the frying pan, they won't realize they're being cooked until it's too late to get out.

However the fiscal cliff might be more than just the slow tightening of the noose, for the first time despite the QE, PM suppression, mis-represented inflation etc. they may finally feel a sharp jolt of financial pain which will make them sit up and take real notice and hopefully come to the inescapable sum of all fiat conclusions - buy gold.

So even though investors might sell on the news, I think it will be a great buying opportunity because 2-3 months after I think the physical buying could really ramp up to a whole new level as the general public starts getting concerned about fiat.

 

[DSAbug]

Theater wont have any impact on where gold is going.

We have $87 trillion in unfunded liabilities at the federal level. Even if the budget was balanced... so what?

The only good thing about this fiasco is that it's putting the problem in front of the sheeple.

 

[bushi]

I personally think, that since gold is played down left, right and middle in MM, the "retail investor in the west", only gets more interested, when there are some major bankruptcy/big uncertainty and/or fear in the markets - and even so, may will chose sovereign bonds over gold - because, you know, they "pay dividend" :rotflmbo: (negative, in real terms, but hey, why bother with reason and that annoying math thing).

That is my feeling - otherwise, they just continue to sleepwalk into the slaughter house.

I start to agree with Schiff, that it is more likely, that situation in other countries (BRICs?) must turn bad to such a degree, that their CBs stop buying TBills, thus causing the real dollar crisis, for balloon to go up. I don't know if there is any hope for sheeple at large to wake up, and call any significant shots, at that stage. If all the shit going on in the financial markets, haven't make them looking for some real safe heaven, I don't think there is anything that will - bar full scale financial collapse/bank holiday etc.

 

[Unbeatable]

I do think though that the gold price got a lot of MSM time when it jumped from 1500-1900 in 6 weeks or whatever and pretty sure powers that B thought $2000 at that point might break the sheeple dam. So I think it's possible they can wake up.

But yes, though its unlikely that going over the fiscal cliff will do it, I'm quietly optimistic
The non mainstream media is almost singing in one voice now about the actual reality of the situation so the MSM and JPM's are going to be forced to move from their current rosy reporting next year to something at least a little bit closer to reality.

So many other factors that could start breaking the dam next year too.