A discussion of the early July pullback in gold following a technical double-top -- arriving (as if on cue) at the midway mark of the typical seasonal weakness of the 'summer doldrums' and providing an attractive entry point ahead of the equally-typical year-end price rallies. Meanwhile, economic weakness and the monetary repercussions continue to underpin the gold market. State and municipal government budgets are in deep deficit and stand to be the next bailout trigger for additional Federal money-printing. The less-attractive alternative to stimulative inflationary policy tends to be debt-default and fiscal austerity. The lower probability of the government opting for that politically painful latter alternative (along with a double-dip recession) should also be considered in the context of the mid-term election cycle and the typical tendency for politicians to placate voters by juicing the system with easy money and social programs. Featuring Pete Grant, Jonathan Kosares and George Cooper.

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