Apparently the gold market viewed the excluding Food and Energy component of the PPI report this morning as inflationary, even though the headline reading of the report was mostly "as expected". However, seeing the US Dollar fall sharply, seeing oil prices make another new all time high and seeing the US equity market under significant pressure apparently stirred up fresh buying interest in the gold market. In fact, seeing the Chicago Fed National Activity Index decline by a bigger margin than might have been expected, seems to have added to the pre-existing negative Dollar mentality and also seems to have increased the overall macro economic anxiety in the marketplace. With the US Dollar actually losing quite aggressively this morning to the active exchange traded currencies (except for the Canadian) one gets the sense that the Dollar is in the midst of a downdraft.