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Article: The money trilogy: gold, interest rates and the dollar. (Trading Techniques).
- Article from:
- Futures (Cedar Falls, IA)
- Article date:
- September 1, 2002
- Author:
CopyrightCOPYRIGHT 2002 Summit Business Media. This material is published under license from the publisher through the Gale Group, Farmington Hills, Michigan. All inquiries regarding rights should be directed to the Gale Group. (Hide copyright information)
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Sometimes the best trading systems are based on simple proven concepts without a lot of modification to muck up the process. One basic fundamental relationship exists among gold, interest rates and the dollar. Here, we explain the link in both historical and modern-day terms and show some straightforward ways to exploit it.
Currency, gold and interest rates have a complex interaction that has worldwide effects and a strong historical basis. Gold has been used as a currency for millennia. At one time, most of the world defined its money relative to gold. The world long has abandoned the Gold Standard, but gold as a currency link still weighs on the monetary system. ...