Posted on 06/26/2013 7:56:28 AM PDT by blam
A Whole New Group Of People Is Going To Start Worrying About The Gold Crash
Jow Weisenthal
June 26, 2013, 5:26 AM
Back in the day, a few years ago, when gold was soaring, anti-Fed types saw this as indication that Bernanke was blowing bubbles and creating hyperinflation.
Of course, the price of gold is just the price of gold, but it didn't stop people from making bold statements about how gold was "voting" against Fed policy so to speak.
Well now gold is totally crashing.
At the start of April it was near $1600/oz.
This morning it's not much above $1200/oz.
Today alone it's down over 3%.
And this time it won't be the hard money inflation hawks who get nervous. It will be the deflation hawks.
The latest turn down in gold comes as people worry about "the taper" and the notion that now Bernanke is being too tight, ignoring signs of disinflation or deflation while talking about exit scenarios.
Larry Kudlow has already hinted that the gold crash is a warning to Bernanke over his latest moves.
Of course, the price of gold is still just the price of gold, so you can't make a grand pronouncement about Fed policy from it. But watch for the folks who think Bernanke is being dangerous with his taper talk to start citing gold.
(Excerpt) Read more at businessinsider.com ...
Sold all mine a few months ago. Glad I did. Think I’m going to re-buy soon.
If prices across the board falls than wages can fall as well without changing the average persons standard of living. Lower wages = increased global competition for American products and the beginning of the return of American Manufacturing.
I dollar cost average PMs. They aren’t for selling unless necessary for survival. In my opinion, for whatever it may be worth, the inflation is already baked in; it’s just a matter of when the banks allow all that liquidity to hit the economy.
Anyone with a lick of sense would look at the occupier and his cronies and come to the melancholy conclusion that their goal is the utter destruction of the US economy, the fall of the Almighty Dollar.
This should drive any prudent person into gold or any other safe repository of wealth.
Gold should be soaring, not crashing.
The Fed’s Forked Tongue, Means Gold's Price Rise Will be Explosive
Think of your circle of family and friends. Can you say that many-- any-- of them could sustain a conversation about monetary policy? We live in a time of emotion, not logic. The laws of nature abhor such a vacuum. The reckoning will be significant, unfortunately.
if what you say is true... then the banks will be selling their PHYSICAL gold holdings.
right?
Eventually, I suspect someone will come up with a filtration technique to harvest gold molecules, build up an enormous supply of “unknown, untracked” gold, then trickle it into the gold market in a slow, regular manner to avoid upsetting the price.
Oddly enough, this will not be a bad thing from the perspective of those who value gold as an investment, but one that will in the long run protect the value of gold.
Priceless and worthless are a hair’s breadth apart sometimes, and because the demand for gold is so great in relation to other commodities and currencies, the total amount of gold in the world could likely quintuple, without causing a decline in price, as long as the increase happened gradually.
I wonder if, ala Cyprus, the word is out among the connected in Europe that something is in the offing with Spain/Portugal/Italy/France/whatever, and as a result, the connected are quietly moving into dollars. I mean how long does the Euro have?
I could see the Euro crashing in two or three months, and subsequent stories about all the connected knowing right now and moving out while the peons trudge along oblivious.
How bleak the future of the Euro, if the Dollar under the likes of obama and Bernanke looks like a safe haven.
The price of paper gold has disconnected from physical gold, i.e. disconnected from reality. IMHO our entire economy has disconnected from reality.
Goldbug ping.
Dag nabbit who’s even left to be the guy just starting to worry about the gold and silver crash?
More Buisiness Insider Marxist Globalism.
There is no more reason to pay attention to their crap - we know what they are going to say before they say it.
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