Posted on 04/23/2013 7:35:53 AM PDT by blam
FWIW, The Clivester, as some of us refer to him, is usually an excellent contrary indicator. When he comes out strongly bullish or strongly bearish, he’s almost always wrong.
OTOH, the negative action since last December and the recent crash are pretty sure to take a little longer before we can make a bottom here. Maybe another month or so?
JMHO.
That my friend is why we are not all rich. Congress reset the insider trading so they can become rich. I think the gold “crash” is some rich peoples scheme to get rich.
I am not so sure about the drop in the price of copper, a few days ago the Rio Tinto mine, 20 miles southwest of Salt Lake City, Utah, had a Major cave in. The mine supplies 18% of the total copper used by the US. The mine is over 3 miles across and it will take several years to get up to peak production. Copper may be a good buy, right now.
If you are China and stuck with a bunch of green toilet paper, one strategy would be to pay off a big bank to create a dip in the commodities markets to create an opppertunity to unload some of the green toilet paper.
The other strategy for China is to blackmail other currencies to trade with you directly instead of in green toilet paper.
This is also working out well for them.
Dab nabbit now I’m gonna need to keep track of two pieces of paper.
Why? Will money in the bank no longer be at risk of Cyprussing? Will governments suddenly start living within their means? Will the dollar stop being printed into oblivion? Will Europe and Japan suddenly be fixed? Oh, well in that case, no need for gold & silver.
I have been putting off buying more silver because I have other food production system purchases higher in the priority list at this point.
This is also working out well for them.
China was going to buy 25 ton of gold I read somewhere. Why not manipulate the market to collapse the price before buying?
If GSR goes to 80:1, sell gold and buy silver. If GSR goes to 20:1, sell silver and buy gold.
Is that your personal ratio, or is there somewhere that I can look at the historic ratios?
And, I would say, leave out the “sell” part of the equation, though that would accelerate your accumulation.
FWIW, this is his short term prediction. And unless you are shorting the market, don’t look forward to a commodity crash as that will happen because it will be forecasting the world dipping back into recession.
When the DOW trades 2:1 to gold, then I will know gold is over valued.
It seems to be the general consensus on the Kitco forums.
Having other higher priorities to purchase first might be a good reason to not buy silver, but, on the other hand (and, IMHO) it dropping below $20 is not a good reason.
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