Today's Commentary

Before the start of this summer ( Our May 12 posting ), we advised our
readers to accumulate gold which was trading at $426.90 an ounce at
that time. This summer showed a revived surge in demand of gold. Today
morning spot gold was trading as high as $457.98 an ounce, hitting a 17
-year record.

The dollar fell against the euro on today morning before U.S. current
account, capital flows and consumer sentiment data, with some money
coming back into the European shared currency ahead of Sunday's
German election. The euro recently was up 0.35% at $1.2265, while the
dollar was flat vs. the yen at 110.80 yen.

The U.S. current account deficit narrowed slightly in the 2nd quarter,
but was still the 2nd-highest deficit on record, the Commerce Department
reported today. The current account deficit narrowed1.5% to $195.7 billion
in the 2nd quarter. This is the first narrowing of the deficit since the 3rd
quarter of 2003. The deficit amounted to 6.3% of gross domestic product
in the 2nd quarter. This is down from 6.5% of GDP in the 1st quarter.