Posted on 05/15/2013 6:32:24 AM PDT by blam
Gold And Silver Are In Liquidation Mode Again
Joe Weisenthal
May 15, 2013, 4:22 AM
It's happening again. Gold and silver are in liquidation mode.
Both of the two precious metals are back to being taken to the woodshed.
Gold looks at risk of breaking below $1400/oz. again.
KITCO
And silver is just plain ugly.
KITCO
The end of the world trade (which explains a lot of gold's appeal) is looking less and less likely to play out as the precious metal bugs had anticipated. Meanwhile, improving economic fortunes makes it less appealing to have money in rocks. And big picture, now that the rally in gold is no longer seen as bulletproof, there just isn't the same speculative excitement.
(Excerpt) Read more at businessinsider.com ...
Ping.
Strong dollar on European weakness and Japan's money printing.
Defltion, see today's PPI, and Empire Index.
And maybe good old fashioned capitulation.
Bought my silver when it was $13/once. I am still ahead of the game. If silver goes that low again, I will buy more. Right now, I am holding on to it. If silver goes back up to $30/once, I will probably cash it in and buy more ammo.
Delusional analysis built on the shaky premise that what’s being paid for pieces of paper purporting to be ownership of precious metals remotely resembles the price one pays for actual physical ownership of the metals.
The market is reflecting the fact that a lot of paper has been sold that isn’t backed fully by actual precious metals.
Try buying physical gold or silver anywhere in the real world for the prices at which this paper is trading. Not going to happen.
Do you know if anyone on FR is pinging others on drop in price of silver/gold?
Yep. This is the wierdest thing I’ve ever seen. There is this “price per oz” being published but I’ve yet to see it anywhere that cheap here in KY. And my father in Seattle can’t get any physical silver from his normal sources.
It’s like reporting that crude oil is $10 a barrel but if you actually want to buy gasoline, you will pay as if it is $80.
The whole dynamic is strange. And I think it is for the same reason that the explanations teenagers give for situations make no sense: They are lying.
I got a silver drop ping from “blam” in a different thread.
Screw ‘em. I bought some triple-leverage silver ETF (USLV) this morning at the open. The decay will be deadly if They just jack silver up and down, and of course much worse than that if it drops any more.
But I’m seeing nothing in any economic report that says it’s getting better overall and a lot that says it’s getting worse, which means continuing Federal Reserve counterfeiting for the foreseeable future.
All paper assets eventually return to their true value...ZERO
I just bought some more silver yesterday. A good time to buy.
The price setting of silver in London has no relation to the true price being paid for physical metal everywhere else.
Supply is tight, and demand is through the roof, and you will pay a hefty premium if you want to hold your silver in your hands.
The paper and physical markets have diverged greatly. The paper price is irrelevant, but it is like a zombie that does not know it is dead yet.
Good plan. One of the best financial decisions I ever made is buying siler at $7 an ounce. So many years though and it seems to be stuck so I’m thinking lke you, maybe exchange some for another asset.
I see prices on the order of $2,410.21 for physical possession of 100 oz bars(.999), a 5% premium.
Is anyone doing better than this?
taken to the woodshed.. heh
I got the splinters to prove it.
Thanks.
oooooouuuuuuuch
DITTO. Personally 90 percent cash and 10 percent PM. Deflation is good for me because of cash is king. Question for fed reserve and US gov, can they allow it. Deflation means drop in home prices, the good mortgages held by the banks (after the gov brought the toxic ones) will become underwater, and with it the solvency of the US banks. God knows how deflation will impact the unseen derivative markets the banks are involved in with to prop up the economy and avoid deflation since the meltdown of 2008. Too many unknowns, picking up some more PM is not so dumb. Seems like China, Russia and India is buying the PM up as prices drop.
“Yep. This is the weirdest thing I’ve ever seen.”
You want to hear something really weird?
Today in Fort Worth TX, the price for gasoline and diesel were the same price at QT in south FW, $3.35 a gallon. Both their billboard in Burleson and the signage at the store shows same price. Not an anomaly.
Those two are never the same price, diesel is always .25-.30 above regular unleaded.
Just shows how manipulated the price is and based not on consumer demand, but market manipulation.
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