Gold

Investors have terrible memories. Gold price has been falling. In good times, memories fade. It takes a Middle East crisis to reinforce the fact that gold is the natural hedging currency. You cannot creat it... or print it like the Yanks with the USD or artificially fix its value. And you cannot just produce it out of the ground. There is a limited amount of gold around.

While the US market fell for 2 reasons - lower GDP figure than expected and Hosni trying to retain his autocratic rule. His poor son can now forget about being Egypt's next dynasty president. This isn't North Korea!

Markets will fall on Monday but gold stocks might rally. However sentiment always overrides logic in the short term. And because the problem in located in the Middle East and the Suez canal might be closed, the price of oil (and the charges for cape vessels) will rise.

NB Cape vessels are those that are so large, they cannot go through those narrow canals and have to circumnavigate around the capes.