The Fall Continues

This is at 11:30 sunday night.

May have to bite off another chunk. Prolly gonna wait until the morning to see what happens when the boys in New York get to work. I have to imagine we're gonna see some paper shorts getting closed to rake in some profits. Down 15% in six weeks has got to have some searching to take some profits.

 

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Hopefully it drops down to 5 dollas an ounce

 

"prolly gonna" what exactly does that mean? I do not see either of those two "words" in the dictionary.

 

Gold and silver have been suppressed since Roosevelt and Nixon. That alone should tell you that the real prices of these metals are far above their current prices.

 

In USD. There isn't enough to maintain a gold standard. Infltion is better for our economy as long as it's somewhere around 2%. DEFLATION is when sh** hits the fan.

So, I'm not sure I understand your post. Are you saying we should be tied to the metals or that they are currently underspeculated? Unless something catastrophic happens I don't see gold continuing its trend and will probably fall. Silver too, perhaps.

The majority of the pries we see started in 2001 after the dot-com bust and skyrocketed after the 2008 recession. Removed, improper language

I haven't done the math but it still seems at an unrealistic value over the last few decades, even taking inflation into account.

 

If as you say Roosevelt and Nixon had suppressed the prices of gold and silver so what? Both are now deceased so who is holding down the gold and silver prices now? I can tell you it is not any living President.

 

They supressed the prices by taking us off the standard (and I think Roosevelt even made it illegal to have gold at one point). Obviousy that would decrease demand as coinage isn't being printed.

... or am I missing something?

 

Do you realize that the US Treasury is the only entity buying US notes and bonds and that our creditor nations are dumping US dollars and treasury obligations? China and India are buying up all the gold and silver that trey can lay their hands on and our debt is well over 17 trillion dollars. The US dollar is backed by the faith and credit of the United States. The Yuan will soon be backed by gold. Who is going to win the economic war?

 

This is just a great time to buy. We won't see any financial apocalypse here. Our Government should be taking advantage of their prices, if they aren't already.

 

The Great Depression showed the gold standard doesn't work. That was here and Britian and elsewhere. I don't think it would work in China either; they have a lot of people.

They are also considering economic stimulus, last I heard.

And yes, the treasury buys notes and bonds -- that's how it works.

The bond market still exists.

I thought China and India were dumping gold last I read?

They have their own problems, we have a debt crisis sure, but who cares?

China has a housing bubble, we have the student loan bubble and I don't care because I own none of it. I'm surprised we haven't seen inflation yet but the way they calculate that, it might be a bit skewed. Things like TUITION COSTS have certainly gone up along with my morning coffee. I'm watching the DOW go up (inflation or not) and if people see that as a better investment, all the demagogues will pull out of the ETF's. Great! I'll buy gold if I see a bubble burst, then wait for the debt crisis to hit, see what sentiment is next and mybe profit from it.

Gold usually follows stocks but I don't think it is impossible for that to deviate.

As long as the DOW goes up, people will want to invest in stocks. I don't care what the cause may be. Busts and booms are normal. I don't think we needed to mess with it.

 

Why would you want to jump in when the price is moving so fast against you? When commodities start moving they can pick up steam fast. Look at coffee prices, grain, cotton, sugar....

The first few times silver dropped significantly (after the bubble), dealers' shelves emptied. Now when it drops they have so much that they run sales.

 

Sell your silver and put your money in butter. Butter prices have been rising

 

Just watch out for counterfeit butter sticks with tungsten cores. That stuff doesn't melt or spread worth a darn.

 

That tungsten butter just tastes plain awful.

 

The Yuan will never be backed with gold. They wanted to do so when the USD was not respected 3-4 years ago, but the BRIC nations and their idea of replacing the USD as the internal currency with the Yuan or Russian backed 'oil currency' failed as did their did China's "personal gold accounts for Chinese citizens at BOC". No serious economy is thinking of PM based 'currency' today.

 

Ok, ok, did someone pull the 2011 "wayback" lever?

 

Stocks have gone south in the last month.

 

The Dow's up more than 1% in the last 30 days. Nasdaq is up more than that, I think.

Gone South? Are you in Australia?