There has been a whole lot of chatter about how gold is going to go down because the dollar may be bottoming.  We believe that there is a significant probability that the reflexive anti-gold/pro-dollar trade is wrong.  Gold has been in a bull market in all fiat currencies over the past 10 years, not just dollars. 

Dealbreaker is reporting that at the Fox Street Journal conference on Wednesday, US Treasury Undersecretary Robert Steel said the borrowing facility for Wall Street securities firms is only temporary.  

Investors gunned the Dow Jones Real Estate index on Friday, jamming REITs up by 1.4% in the last 20 minutes of the trading day.  The index was actually flat at 2:45 pm before a wave of buying drove the index 2% higher into the weekend.

Bubblevision cheerleader, Brian Wesbury, had a great graph on manufacturing growth and the relative decline of manufacturing jobs in Wednesday's Fox Street Journal.

From Cafe Hayek

Or lack thereof.

Stephen Gordon at the excellent Worthwhile Canadian Initiative blog breaks the drivers of income growth in Canada.  Productivity increases have only accounted for half of income growth since 1981.

The term "productivity" often has a negative connotation in Canada because Canadians hear the term "job losses" whenever politicians talk about productivity growth. 

From Trader's Narrative

The market is rolling over. 

And it is not just one market.  It is a lot of markets.

The Dow

I’d like to congratulate Goldman Sachs for their deft and timely upgrade of Mosaic (ticker MOS) today to its “Conviction Buy List.”  With Bubble 3.0 in full swing, and Mosaic up a mere 1,000% in two years, such insights of unknown companies in unknown industries are highly appreciated by a market where manic behavior is evident on only some trading days.

At least, that's what a group of economists said.