"Hard to handle, but handle it we must. Remember Goldman Sachs, I think it was, prediction of $2,400 gold by year end - was that merely some really attractive bait?"

It may have been bait but probably done to force the government to do some drastic action to prevent gold from reaching or passing past $2000. As per previous comment, I think this is temporary and the reaction of a dying beast. In the throngs of death they often look more glorious than before. It is a temporary illusion.

I gave a 50/50 chance for gold to reach $2000 by end of September and about 80% by end of October. 100% certain by end of year. That was before the Obama speech.

Obama's reshuffeling of the treasury bills give a temporary boost but in the end it only makes things worse because it drains the governments resources.

So I say this is just taking a few easier breaths before the drowning.

Just a personal opinion.