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<p>[QUOTE="InfleXion, post: 1177090, member: 29012"]Great explanation. I was wondering if the price dropped because people were forced out of the market, or if it was just that the conditions were less favorable than elsewhere. I guess we'll see if the price drops tomorrow after tonight's planned margin hike. I wonder how long this can go on? Well, if this is the only thing keeping the price down, then the current price seems like a bargain to me. I can't forsee raising margins at last week's rate as a sustainable trend. These hikes came just in time to prevent the psychological $50 silver which would have caught everyone's attention and further bolstered speculative interest. All commodities dropped, and the dollar rose, IMO because of this single event, and now central banks are buying up tons of gold at discounted prices.</p><p><br /></p><p>Relating back to the topic, I think that pretty much solidifies that this is not a bubble, or at least that this bubble isn't ready to burst on its own yet. A lot of people in China are buying up SLV and demanding physical in exchange for it, instead of going through the usual channels, and the amount of above ground silver is the lowest it's been in 800 years. Some argue that one day it could be worth more than gold. I don't think that will happen, but I do think the recent run was justified and will continue if unimpeded.[/QUOTE]</p><p><br /></p>
[QUOTE="InfleXion, post: 1177090, member: 29012"]Great explanation. I was wondering if the price dropped because people were forced out of the market, or if it was just that the conditions were less favorable than elsewhere. I guess we'll see if the price drops tomorrow after tonight's planned margin hike. I wonder how long this can go on? Well, if this is the only thing keeping the price down, then the current price seems like a bargain to me. I can't forsee raising margins at last week's rate as a sustainable trend. These hikes came just in time to prevent the psychological $50 silver which would have caught everyone's attention and further bolstered speculative interest. All commodities dropped, and the dollar rose, IMO because of this single event, and now central banks are buying up tons of gold at discounted prices. Relating back to the topic, I think that pretty much solidifies that this is not a bubble, or at least that this bubble isn't ready to burst on its own yet. A lot of people in China are buying up SLV and demanding physical in exchange for it, instead of going through the usual channels, and the amount of above ground silver is the lowest it's been in 800 years. Some argue that one day it could be worth more than gold. I don't think that will happen, but I do think the recent run was justified and will continue if unimpeded.[/QUOTE]
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