Tuesday, November 6, 2007
DJIA, CNN, and Reality
NEW YORK (CNNMoney.com) -- The Dow industrials and S&P 500 set new records Friday, while the Nasdaq ended at its highest point in six years as investors welcomed upbeat readings on job growth, manufacturing and inflation, as well as a strong earnings report from Dell.
Hooray! Pop some Champaign! Gold’s up too, $820 an ounce!
But wait a second.
Silver has doubled too. Oil has doubled. Corn has tripled. The commodity-backed Canadian dollar is now worth more than the US Dollar (so quickly that the toll-takers are still discounting it 25%).
Which means that the DJIA, indexed in US Dollars, has been steadily dropping. Looking at the gold charts, the drop is accelerating. Details, details. CNN.
Posted by Bill at 11:41 AM