The equity markets have staged a remarkable recovery from their March 2009 lows.
Markets may be running ahead of themselves.
This looks more like a technical bounce from oversold levels, rather than the base formation of a longer term recovery supported by fundamentals.
I continue to maintain a view that we could be in for a relapse sometime in the next 6-9 months.
Festering issues like unemployment and wage deflation continue to threaten any sustainable recovery in a 'consumer' driven US economy.
Gold has been relatively stable. It's been a hedge against market instability and currency volatility so far, and will eventually be a hedge against inflation when it finally shows up.