Gold drop hammers commodity producers ~~ gold off more than $90 an ounce over two days,....

MarketWatch ^ | March 20, 2008 11:04 a.m. EDT | Steve Goldstein, MarketWatch

[Ernest_at_the_Beach]

LONDON (MarketWatch) -- With gold off more than $90 an ounce over two days, commodity producers were hammered again Thursday, but banking stocks managed to rebound after U.K. regulators stepped in to quell rumors about the sector's health.

Gold and other metals remained under pressure amid calmer waters on Wall Street and ideas the Federal Reserve is no longer as unconcerned about inflation as previously believed after the central bank was somewhat less aggressive than expected in cutting its key interest rate earlier this week.

April gold futures were down $22.80 an ounce to $922.50, and silver and platinum futures also dropped sharply, leading the extractors of those commodities to also fall substantially. Read related currencies story.

Technical analysts at Credit Suisse suggested gold futures may test the $896 to $900 level an ounce, with the next support coming in at $876 to $880.

[Toddsterpatriot]

Ouch. Gold down over 10% since Monday. Silver down about 20%. How many ounces of gold did you have again?

[Chuckster]

I am reminded of my brother, several years ago, breathlessly urging me to buy krugerands when they were between $800 and $900. I waited until Eagles were going for $280. The last I bought were $320.

[investigateworld]

(Off topic) A number of people have recommended Jim Cramers 'book', but Goggle listed at least four. I'm not a player, but simply want to understand the whole market thing.

Suggestions?

[Toddsterpatriot]

I've never read any of his books. He's kind of a clown.

Groanup? Any ideas for my friend here?

[Publius]

Like I said the other day...

As to whether this is just noise in a continuing bull market upleg or the beginning of a correction and long consolidation, I can't say. The latest upleg has been prodigious, so if the market consolidates, and then coils and twirls for a year before the next upleg, that's fine with me.

I have nothing to complain about.

[LurkingSince'98]

same amount as yesterday - but I'm buying.

Remember Toddster - buy LOW sell HIGH.

The high on silver will be $180.

Lurking’

PS you gotta be asking yourself: “why is this guy buying??”

Same reason I bought when silver was at $4.75/oz, 6.00, 6.25, 7.00, 7.50, a boatload at 8.00 and 10.00. Well you get the idea. It could drop $5.00 and I wouldn't even notice it because - I'm not selling.

[Toddsterpatriot]

same amount as yesterday

Come on, you can tell me.

Remember Toddster - buy LOW sell HIGH.

How much did you sell HIGH?

PS you gotta be asking yourself: “why is this guy buying??”

I'm still asking how much you bought.

Well you get the idea. It could drop $5.00 and I wouldn't even notice it because - I'm not selling.

I thought the idea was to sell HIGH?