Skip to comments.
Gold Tops $1,400, a First
Wall Street Journal ^
Posted on 11/08/2010 12:39:20 PM PST by Sub-Driver
Gold Tops $1,400, a First
By MATT WHITTAKER
Gold futures topped $1,400 for the first time amid uncertainty on the outcome of Group of 20 currency talks and worries about sovereign debt in Europe. [gold1108] Getty Images
Further highlighting gold's role as an alternative currency, the World Bank president advocated the inclusion of the metal in a revamped global monetary system.
The most actively traded contract, for December delivery, rose $5.50, or 0.4%, to settle at $1,403.20 a troy ounce on the Comex division of the New York Mercantile Exchange. The contract hit an intraday record of $1,409.40 in electronic trading after the close. The front-month November contract also rose, $5.50, or 0.4%, to $1,402.80.
(Excerpt) Read more at online.wsj.com ...
TOPICS: Business/Economy; Front Page News; News/Current Events
KEYWORDS: gold
Navigation: use the links below to view more comments.
first 1-20, 21-24 next last
To: Sub-Driver
“global monetary system”
But I thought the New World Order was a so-called conspiracy theory?
2
posted on
11/08/2010 12:45:15 PM PST
by
Hypo2
To: Sub-Driver
3
posted on
11/08/2010 1:08:13 PM PST
by
WebFocus
To: WebFocus; LucyT; metmom; SunkenCiv; stephenjohnbanker
4
posted on
11/08/2010 1:58:42 PM PST
by
Arthur Wildfire! March
(Our 2010 victory was won the Tea Party Way, not the RINO way.)
To: Sub-Driver
I remember when gold went to $50.00. My Dad was so mad because it happened just before it was time to get my class ring, and it’s a heavy ring.
5
posted on
11/08/2010 2:00:31 PM PST
by
Just Lori
To: Sub-Driver
Where are the posts saying, “Yeah, but you can’t eat gold.”?
The price was actually far higher in 1980:
To: Arthur Wildfire! March; AdmSmith; Berosus; bigheadfred; ColdOne; Convert from ECUSA; Delacon; ...
Thanks AWM.
- Silver Thursday: How Two Wealthy Traders Cornered The Market by Andrew Beattie -- The Squeeze: The Hunt brothers had already considerably reduced the amount of silver available on the market and made their continuing buying action all the more powerful by pushing up the price of silver. In any commodities deal, there are longs and shorts, but in this case, the shorts were vastly overmatched. A short squeeze formed as the brothers continued to buy up available silver stocks and take delivery on their futures contracts. The Hunts' position was now worth around $4.5 billion. People were pawning coins and silverware to take advantage of the high price of silver, but there was less than a third of the silver market left that the Hunts did not control via futures.
- Could Hunt Brothers Silver Story Happen Again? by TradePlacer.com -- The group continued to accumulate silver and in 1979 the price jumped from $6/oz to an all time high of $48.7. At the time, it was estimated that the hunts controlled one third of the entire world's supply of silver... COMEX, the US exchange for silver changed some rules in the market about handling silver and contracts to prevent further buying. This resulted in a drop in the price of silver. Bunker looked around Europe for possible buying partners to help push up the price of silver. But the more the price dropped, the harder it became for them to borrow money. Ultimately, the Hunt brothers ran out of cash and decided to, in Bunker's own words to Herbert, "Shut it down." They ended up owing 1.5 billion dollars. Fearing financial disaster, Fed Chairman Volker approved a bailout plan for the Hunt brothers. A group of banks loaned them 1.1 billion dollars. Volker also raised interest rates dramatically to fight inflation that was careening out of control. Reagan's presidency somewhat cleared the fog, and gave a new optimism to the people and somewhat balanced the economy. The question still remains though as to whether silver could spike again, and if it does will the government have the power to stop inflation or the rise of silver.
- Bunker Hunt's Attraction to Silver: A History of Cornering the Silver Market by J.D. Seagraves -- The conservative Hunts, who were members of the John Birch Society, believed another government confiscation was on the horizon, and since the feds had already taken gold, silver would be next. Thus, Bunker and Herbert chartered three 707 jets from Texas to Chicago and New York -- in the dead of night -- and loaded them with forty million ounces of silver to be whisked away to Switzerland for safe keeping. The remaining fifteen million ounces stayed in the U.S., but the Hunts would assume no greater risk... The Hunts met with the Shah of Iran and the King of Saudi Arabia, and although the Shah snubbed them and the King was eventually assassinated, the Hunts eventually began working with a Saudi sheik who was thought to represent his nation's royal family. By 1976, the brothers had accumulated another twenty million ounces of silver, and by '79, the price had risen to $8 an ounce... On January 17, 1980, it hit $50 an ounce. At that time, the Hunts held $4.5 billion in silver -- a $3.5 billion gain on their $1 billion investment. The various limitations and rules changes imposed by the commodities markets had no effect but to push the price of silver higher, until finally the COMEX announced that it was suspending the trading of silver and henceforth would only accept liquidation orders. Of even greater significance, Paul Volker had been installed as the Chairman of the Federal Reserve, and Volker was determined to get runaway inflation under control. The Chairman abruptly raised interest rates, thus soaking up the excess liquidity which had helped fuel the silver boom. The price of an ounce quickly dropped to $39, and by March 14, it was down to just $21.
8
posted on
11/08/2010 2:55:25 PM PST
by
SunkenCiv
(The 2nd Amendment follows right behind the 1st because some people are hard of hearing.)
To: Prince Caspian
But you cannot eat gold!
(Feel better? I am a silver guy myself....)
9
posted on
11/08/2010 2:59:10 PM PST
by
Vermont Lt
(We are so screwed.)
To: HalleysFifth
The price was actually far higher in 1980 ...using "Inflation-Adjusted Gold Prices" that is!
BWAAAHAAAAHAAAAAAAAAHAAAAAAAAHAAAAAAAAAA!!!!
(cough, chortle, wipes away tears, clears throat) Okay, I'm sorry, but that's just so wrong in so many ways. You really should use a sarcasm warning.
10
posted on
11/08/2010 4:27:24 PM PST
by
mrreaganaut
(Coolidge for President!)
To: Sub-Driver
is it moving in euros too or just dollars???
11
posted on
11/08/2010 4:42:54 PM PST
by
Chode
(American Hedonist - *DTOM* -ww- NO Pity for the LAZY)
To: HalleysFifth
Cool. How has the Dow done over the same period in inflation adjusted prices?
12
posted on
11/08/2010 5:10:46 PM PST
by
DeaconBenjamin
(A trillion here, a trillion there, soon you're NOT talking real money)
To: Chode
Most recent price:
13
posted on
11/08/2010 5:13:23 PM PST
by
DeaconBenjamin
(A trillion here, a trillion there, soon you're NOT talking real money)
To: DeaconBenjamin
i guess i phrased the question poorly, does the price wander around as the dollar goes through minor fluctuation relative to the euro while the price in euros stays relatively the same / more or less simply showing the dollar fluctuation???
14
posted on
11/08/2010 6:21:34 PM PST
by
Chode
(American Hedonist - *DTOM* -ww- NO Pity for the LAZY)
To: Chode
15
posted on
11/08/2010 6:40:35 PM PST
by
DeaconBenjamin
(A trillion here, a trillion there, soon you're NOT talking real money)
To: DeaconBenjamin
thx...
16
posted on
11/08/2010 7:07:21 PM PST
by
Chode
(American Hedonist - *DTOM* -ww- NO Pity for the LAZY)
To: Vermont Lt
But you can’t eat silver.
17
posted on
11/08/2010 7:36:29 PM PST
by
smokingfrog
(Because you don't live near a bakery doesn't mean you have to go without cheesecake.)
To: Sub-Driver
Nowhere near as good of a buy as it was at $300, obviously, but still has some move to go. I see $1650 by end of next year unless we really shape up.
To: Vermont Lt
(Feel better? I am a silver guy myself....)
How does that taste?
19
posted on
11/09/2010 4:47:49 AM PST
by
Kozak
(USA 7/4/1776 to 1/20/2009 Reqiescat in Pace)
To: DeaconBenjamin
20
posted on
11/09/2010 4:50:55 AM PST
by
Kozak
(USA 7/4/1776 to 1/20/2009 Reqiescat in Pace)
Navigation: use the links below to view more comments.
first 1-20, 21-24 next last
Disclaimer:
Opinions posted on Free Republic are those of the individual
posters and do not necessarily represent the opinion of Free Republic or its
management. All materials posted herein are protected by copyright law and the
exemption for fair use of copyrighted works.
FreeRepublic.com is powered by software copyright 2000-2008 John Robinson