When you see the silver & gold market reacting negatively, it’s completely normal to get irritated (or even pissed off) and question your decisions. However, the fundamentals for silver & gold are more phenomenal today than ever before. World governments are debasing their currncy at record rates, Central Banks are buying gold at record rates, inflation is present and will get worse… a lot worse!
Just go to you gas station and filler up. Remember in 2008 before O took office we were paying about $1.50 per gallon of gas and now it is close to $4 and in some states its much higher. Go to your local grocery store and see how many bags of groceries you walk out with for $100 today.
If you are a precious metals investor, you need to exercise patience and disipline here. Buy on the dips, but be sure you are buying physical, not paper derivitives. Now, if you snub the fundamentals and you are more of a technical investor, please review the last article posted here today and you will see all of the charts line up as well.
When you can clearly see that the charts and fundamentals are positive for silver and gold, then it leads to only one conclusion… blatant manipulation… both in the metals sector and the government data reporting sector. I urge you not to fall for it.
Simply put, the metals sector is anti-dollar and it’s my opinion that with all the $15.5 Trillion in debt (or $72 T with unfunded liabilities) and nobody but our own FED buying our debt, that’s a recipie for disaster that they don’t want to expose so they keep kicking the can and manipulating markets and data to make you think everything is A-OK and under control.
The other issue is this. I have come to a conclusion that 2 weeks ago, the CFTC had lowered margin requirements in silver & gold (the paper derivatives) because business is slow on the exchange and investors are fleeing out of paper and into the real mccoy… they’re buying physical metal. How can I tell? Simple, just look at the data coming out of the US Mint, there were record sales for silver eagles in January & February where as the Mint actually ran out of silver, so to say there is no demand for, no fundamental for and no technical reason for having silver & gold is absolutely, unequivocally Ludicrous!
With that said, buy the dips, stack the smack, however you want to say it… keep loading up
Agnico CEO – This Is What Is Happening In Gold Right Now…
“What we’ve gone through in the last few weeks is, I believe, an overestimation of the global economy’s ability to rebound. The markets are looking to grab on to any positive news, and the news is then used to suggest that quantitative easing has to end earlier.” “I don’t believe QE will be ending any time soon.
Whether you are looking at Europe or the US, the underlying issues surrounding the massive debt have not been fixed. Despite the euphoria we have seen with regards to the US dollar and the economy improving, the reality is this euphoria is not going to last.
People want to believe that things are going to get better and get better in a hurry. The reality is that until the central banks and governments deal with the oceans of debt that the world is drowning in, the situation, in terms of financial stability, remains very precarious, and we will continue to see little or no growth at all in the economy.
Egon Von Greyerz, who is founder of Matterhorn Asset Management in Switzerland warned that the Western world is now fully engaged in a perpetual motion Ponzi scheme and a collapse is coming.
Since every printed dollar, euro or yen does not even add a penny to wealth, all currencies will continue to just be systematically destroyed by the money printing. And as I said, this will lead to hyperinflation. This is absolutely guaranteed, Eric. There is no other possible outcome. A Western financial collapse is coming. This is why physical gold is the best way of protecting wealth against this destruction of paper money and paper assets.
We still have to see many financial assets continue their collapse in real terms vs gold. But investors have to remember that paper gold is not real gold. Any paper gold within the financial system, whether it’s gold ETF’s, gold accounts in a bank, allocated gold in a bank, can just be a paper claim that can never be delivered in terms of physical gold because of the counterparty risks that are involved with the banking system.
The Recent Fed FOMC Minutes Should Anger Every Investor – Translating His Statements…
I really hate to beat a dead horse, but I wouldn’t be doing my job for you if I didn’t point out some of the most intellectually dishonest, self-aggrandizing Bernanke-speak to come out of the Fed Chairman’s testimony yesterday:
I know this goes without saying, but entrusting this man with your life savings is a dangerous course of action. I strongly urge you to consider diversifying into precious metals, productive farmland, or even a digital currency like Bitcoin.
Friday Chart Mania – If you don’t believe in the fundamental factors… Maybe the charts will make it clear for you. With the wild recent trading action in gold and silver, top Citi analyst Tom Fitzpatrick put together 7 fantastic gold charts where he laid out the explosive roadmap for gold going forward. Fitzpatrick believes that his call for a doubling of the gold price from current levels may now prove to be too “conservative.” Below is his tremendous piece
Silver Demand Surges To Record For February – We noted the strange divergence between the surge in physical demand for precious metals and the falling price of gold and silver yesterday and today; sure enough, just as they give back some short-term gains, we find that with one day left in the month, the US Mint has seen the largest demand for physical silver coins ever for a February at 3.37mm ounces. We are sure this all makes perfect sense somewhere in the leasing, backwardation, securitization, paper world of precious metals pricing but one thing appears sure, more than just Russia is backing up the truck for physical bullion.