DOLLAR WEAKNESS BULLISH FOR GOLD

Gold and silver are both lower today with equities higher. The Dow is up 60 points, while gold is down $12. In Asian markets investors cautiously converted some precious metal assets into equities, following statements from various G20 summit attendants. There was also considerable disappointment over an OPEC meeting did not cut oil production. Over the weekend, Fed Chairman Bernanke gave an interview in which he said the recession would likely end this year (stop growing worse) and urged the political side of the equation to be more aggressive and steadfast in trying to re-stimulate the economy.

The correction this morning is largely caused by the funds moving hot money around to capture short-term trends. There was also some liquidation of long positions by funds last week revealed in today's data. Most analysts expect gold to remain within its recent trading ranges with solid demand emerging on pullbacks. Technical analysts look at resistance at $931. The oil market is lower again today as I indicated earlier, down $1.51 at $44.74 a barrel. The U.S. dollar is sharply lower, down 74 basis points at 86.69. Foreign investors are reducing their dollar holdings.

At the G20 meeting it doesn't seem as though the U.S. representative got a lot of support for other nations increasing their stimulative activities to help their own economies. I think the expectation is if the European economies in particular do not inflate aggressively, there will be more of a burden on the U.S. economy. We may see a more volatile market this week. This should provide an excellent opportunity for investors looking to buy gold, to hold for the long term.

James Moore told the Dow Jones Wire Service that he sees gold trading in the current $890 to $950 range as equities consolidate. With exchange traded fund demand picking up, gold could regain its luster and push towards $1,000. It is the demand for physical gold that continues to push gold into higher territory. One analyst from Deutche Bank told the Dow Jones Wire Service, "We believe quantitative easing steps in the U.S. are looming and this will trigger a resumption in U.S. dollar weakness." If this weakness occurs it should be very bullish for gold. With other countries unwilling to take action to prop up their banks and their economy, the U.S. would be left with no choice but to allow its currency to depreciate. If the U.S. does not do so, while other countries are depreciating their currencies our economic situation will likely grow worse. I would expect the dollar to continue to give ground and for that to benefit the gold and silver markets.

February industrial production fell 1.7% and the capacity utilization of our manufacturing facilities fell to 70.9%. That is worse than what was expected. It is another indication that the economy continues to weaken. The Federal Accounting Standards Board came out with a report today in which they seem to recommend easing the mark-to-market rules for banks. If this occurs it will help stabilize the banking system. Moreover, the government is announcing its public/private partnership with hedge funds to purchase toxic assets from the banks. These are unprecedented moves that may have unforeseen consequences. For example, it could leave the U.S. government with even more losses. On top of which, if we look at that data coming out of AIG today they have been using the TARP money given to them to pay off credit default swaps or other credit obligations with other banks. Many of these are overseas in England or Europe. Some may begin to question this program more closely.

On my 2:00 pm radio broadcast I will be discussing the growing potential for currency wars. When currency wars or other economic conflicts begin, they often lead to extreme political conflicts. We saw this play itself out in previous wars and we should be alert to these risks that are at hand today. We also should carefully examine the possibility of currency problems with regard to China, and also with regard to Japan. The Japanese economy is sinking rapidly. They have a growing current account deficit. And, they are taking steps to weaken their currency. All of these factors could have significant consequences for the U.S. and for investors.

I think all of these factors give rise to the demand for gold and create an imperative to have some gold in one's holdings as a safe haven asset and an asset that protects wealth and purchasing power. Call Goldline at 1-877-341-2646 for assistance in getting started. Ask them to explain whether you may qualify for their Price Guarantee Program, which provides a two-week window of opportunity to re-price your transaction in the event of a correction. You should also ask for the free information package. It contains outstanding articles talking about the potential for gold, for inflation, and for the economy. If you tell Goldline "Joe said to call" they will also give you a free CD interview I did with Frank Barbera, which everyone should listen to and a free copy of the American Advisor Newsletter. Call Goldline now at 1-877-341-2646.

Investors should contact Goldline and ask them to explain the features, benefits and cost structure of the various gold and silver investments that are available to you. Select those that best meet your own personal and individual investing needs and objectives. Investors looking for low transaction costs may wish to consider bullion assets such as American Eagles, Krugerrands, Canadian Maple Leafs, Silver Bags or Silver Bars. However, the Price Guarantee Program is not available with these assets.

If you would like to take advantage of the Price Guarantee Program, which provides you with a two-week window of opportunity in which to re-price your order in the event of a correction, you must select assets with some collectible value such as 20 Francs, Double Eagles and Silver Dollars. Call Goldline at 1-877-341-2646 for further information on the Price Guarantee Program.

To receive the free information package, including articles on the dollar, the economy and gold, call Goldline at 1-877-341-2646. Goldline also provides several other helpful articles. There are a number of other independent third-party source articles that you will find extremely helpful and informative. You will also receive the Client Account Agreement, a company brochure and a Coin Facts Risk Disclosure booklet. Read these carefully before you make an investment. Call Goldline at 1-877-341-2646 now to receive your free information package.