Price action- Gold

As I wrote back in December, I figured gold had hit a peak.  But I also believed that things hadn't changed. With the continuing weakness in gold, it may be time to reevaluate that.  Has anything fundamental changed?

Not only gold, but oil is dropping.  This is a keystone of the inflation hypothesis that I have.  To recap, if there's any real recovery, oil prices will skyrocket.  There appears to be strength in the financial markets, some talk of improving conditions, yet the price of oil isn't moving lately.  What gives?  Has something happened in the energy field?  Maybe so.  There have been plenty of different new technologies being developed in the last few years, and one or more of them may have hit the jackpot.  If that is the case, then the pressure on oil prices may be released which could aid a real recovery.

I have noticed a few items that may serve as speculative fodder on what those developments might have been. But I won't speculate on that here.

Another possibility is that there really isn't any recovery and this is all a mirage.  If that is true, then we could get a really nasty correction in the financial markets.  This may appear to be gold unfriendly as well, as it may be deflationary.  Time to consult my guru, Chris Laird.  He is neutral on gold, bearish on oil, and not excited about the Dow.  He is also warning about deflationary pressures.

Update:  a few moments later

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