EU launches QE - Worth 60 billion EUR monthly

It happened, finally, EU's QE programme is worth 60 billion EUR monthly:

http://www.kitco.com/news/2015-01-2...g-Monthly-Purchase-Program-To-60-Billion.html
http://www.kitco.com/news/2015-01-2...h-Currency-Wars-At-Play-Davos-Conference.html
http://www.kitco.com/news/2015-01-22/Gold_update_0122.html

http://www.primevalues.org/market-watch/ecb-qe-gold.htm

http://www.bloomberg.com/news/2015-...trillion-euro-qe-plan-in-deflation-fight.html

http://www.zerohedge.com/news/2015-01-22/draghis-qe-dream-finally-over-and-now-questions-begin


I wonder whether gold will sink again after this or, whether we're in for the next bull market?

Theoretically, things should cool down at around April-May. We'll see how that goes.

 

Right now, only thing that is sinking is EURO. And gold is going up like a rocket in EUR currency

 

Yeap. Euro is going down. Gold is going up.

So are you buying yet TreasureHunter?

 

True, but gold is also going up in USD.

In fact, the price rise of gold is tremendous in EUR and not that much in USD. I might return with figures later.

 

Nope.

When gold was around 1,140-1,150 $, I thought next stop will be around 1,000 $. I was expecting much cheaper gold.

Who would have thought?

The EU has gone Bernank-o-Abenomics!

I still can't exclude 1,200 $ gold later, probably in spring. April maybe. If it doesn't exceed 1,350 $, there's a high chance for a significant correction.

 

Watch this: the USD will become an alternative and some will buy it vs the EUR.

So, theoretically the price of gold in USD should grow less than in EUR.

If you have dollars, then it might be worth buying gold with your dollars and not with your euros.

Just a quick idea

 

Just wondering, even if prices went to 1000, would you have bought?

 

Now those who doubted gold's safe haven potential have proof.

Look at gold's price in EUR, in RUB in JPY. Should this happen to your country's or your preferred currency, gold skyrockets.

 

AU or US dollars? Would you buy gold in AUD now?

 

Have they said how long they're going to do this QE for?

Months or years or infinity?

 

Somewhere between 12 months and the end of 2016. There's differing timeframes being reported

 

i heard open ended

http://www.marketwatch.com/story/eu...red-rally-2015-01-23?link=MW_home_latest_news

keywords below are "at least"
excerpt:
ECB President Mario Draghi said the central bank would buy 60 billion euros ($69 billion) of public and private-sector debt every month until at least September 2016.

 

"To attempt to increase the wealth of any country, either by introducing or by detaining in it an unnecessary quantity of gold and silver, is as absurd as it would be to attempt to increase the good cheer of private families by obliging them to keep an unnecessary number of kitchen utensils."
Adam Smith

 

News reports keep saying "50-60 billion euros", so I guess the concrete figures are undecided.

They are going to start in March, but they already managed ruining the euro currency.

 

In reality, all the ECB does here, is extending two existing loans.
http://www.ecb.europa.eu/mopo/implement/omo/html/key.html
(old snapshot)
20120034 LTRO EUR 01/03/2012 26/02/2015 1092 529.53081 bn Ann. All.
20110149 LTRO EUR 22/12/2011 29/01/2015 1134 489.19075 bn Ann. All.
If you look now, you see that the 2011 loan already disappeared.
The 2012 one will go over a couple weeks too.
Net result: that "new QE" is just delaying the pay back of existing QE.
But it's, once again, used for scaremongering to drive people into willingness to pay higher prices.
Just saying...

 

Remember that, just 9 months ago, the euro currency was considered too strong.
Then, they took measures to weaken it.
What you name 'ruining', is just a planned result, for an obvious reason.