Posted on 11/20/2013 11:56:27 AM PST by CivilWarBrewing
I checked the stock market today and noticed it's down. But I also noticed that precious metals appear to be tanking. Gold is at $1245/oz and Silver at $19.85/oz.
What's going on here? Is J.P. Morgan or some other major player manipulating the precious metals market?
Profit taking. Raising cash to rip someone else off.
Could be seeing a realization that we will go into recession with the implementation of Obamacare. That would deny inflation its day and metals could be headed lower.
Could be seeing a realization that we will go into recession with the implementation of Obamacare. That would deny inflation its day and metals could be headed lower.
-2.5% is “tanking”?
Precious metals are the backbone of the electronic revolution ... like the Fedzilla buying a five year supply of ammo for immediate delivery, this is a harbinger of collapse, when electronic gear not only will not be bought off the shelves but will not be produced for sale until the planet makes corrections.
Maybe the big players are manipulating things so they can buy gold cheap becuase they know a crash in the market is in the offing in the not so distant future.
Over $30 drop in one day (day not over yet) is tanking, yes. Silver is definitely tanking.
Anything that falls in price is being sold off. Odds are, some of it is smart money that recognizes that commodities are over priced.
I’ve heard that China’s economy is expected to suffer a slow down.
This is easy. The value of precious metals over the long run is some premium over the cost of getting new product to the market; and no more than that.
To a large extent, the value of gold is perceived and not really based on actual worth. Don’t be surprised if it goes down another 15-20%.
According to Bernacke, inflation is cooling to 1% from 2% a month ago.
Another way to look at it is deflation is rearing its handsome head. Prices fall in a deflationary period, even precious metals.
Yep, silver’s getting close to my “gotta buy” point.
Wouldn’t that trigger inflation?
What is your gotta buy price and do you live in so california?
Based on the historic high price of gold, the current price has easily dropped off enough to say it has tanked, except, it will likely go down even more.
Markets can “tank” for a variety of reasons, but the two primary ones are fear, and greed.
$18.50 and no.
QE slow down would do this and send treasury yields up..
Looks like they expect that, at least temporarily.
Correct. We continue to be in a long run deflationary period despite the people who think that “printing” money necessarily equals inflation...
“Precious metals are the backbone of the electronic revolution”
Certainly a part, I agree.
But how much of the gold/silver market is used for industrial purposes vs. jewelry and luxury goods?
I’d venture to guess, not much.
Economy sucks, so luxury goods are down. Indeed, the first thing to go down.
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