Price of Gold When Crude Oil Increases

What is the price of gold; what happens when crude oil increases? Today the price of gold rose in New York, but other precious metals went down. And yes, crude oil did rise again.

Today the U.S. dollar dropped in value. It seems traders don't want to do anything in that market because of the housing market problems in this country. Sales and prices dropped more than expected in September - so the dollar market took a hit as traders moved to other, more profitable things.

How do this affect the gold market and gold prices? When is the perfect time to buy gold?

And now another problem that will affect the markets is the fire storms throughout California. They came fast and furious and were totally unpredictable, much like the market itself. How can the California fires affect the gold market?

Because the subprime housing market is well underway, any other incident that gives the appearance of affecting a market will generally be hyped. This means that when California reports over 1600 homes destroyed and over $2 billion in damages to their economy, the housing market may suddenly change.

Immediately, there are over 1000 homes needed in California. This will cause a good construction market. We feel the dollar will slow its decline and gold will dip.

Plan to buy on that dip.

We will have an opinion about scarcity of gold as there was a fire in an Australian gold mine which may affect pricing.