First let me say, I am not an expert, or even that knoledgable, and this opinion could be completely off track. but for the last couple of hours I have been doing some research and an old surley name (my opinion) keeps cropping up. " Hedge funds". I mentioned in another post that it takes billions to manipulate the silver market and trillions to manipulate the Gold market. Guess where those trillions are found, yep Hedge funds. Hedge funds are a highly unregulated wall street invention that allows wall street Banksters to gamble billions at a time on very speculative investments at a cost of 5% of the total buy they can use a few billion to control a trillion dollars in gold or, do you remember the term Dirivitaves. Dirivitaves were the real estate mortgages that they knew were less then worthless that crashed the U.S economy.
I mentioned in another post that the possable drop in PMs could be because the small time average invester has run out of discresionary cash. This, according to my research this morning is exactly what happened. Gold has gotton so high, and the economy so bad that Mr and Mrs America middle class, no longer can afford to invest. There for the Banksters no longer are reciving the cash to support their margin calls on their gold and silver holdings, its panic time on wall street, they are dumping huge holdings in Gold and some prifit taking on silver. This could be the real estate bubble part 2. Dont know.
Remember that if the world currency crashes the only things worth holding will be Silver , Gold, hard trade goods, and what ever talent you have of value to others. That said picture this you have both gold and silver in one oz rounds or ingots, and a roll of silver (pre 65) dimes. you need food or fuel or what ever. lets say a loaf of bread or a gallon of fuel, what would then be most value to you, a silver dime, ($5) a silver ingot ($30 to $50) or an oz of Gold ($1200 to $2000).
I believe china, India, and middle eastern oil rich will jump all over this gold and silver market as soon as they think it hit bottom. Silver will recover much faster then gold % wise. just my .02
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