Home Forums Hunting & Shooting Hunter's Campfire What is the deal with gold and silver?

Gold down $93 and silver down almost $3. What's going on?

Dink

No one can afford to buy any.

Maybe more money and a quicker turn around in oil.

when house prices are falling, there's likely some deflation going on, at least in that part of the economy?

Look at a historical price graph over the last 30 or 40 years.

Now looking at that why would anyone think that this price run up would be any different?

Commodities do what they do, not only that you have to pay attention to what forces might be influencing their prices.

Just so happens China was actively involved in stockpiling, many have speculated that if China were to dump on the market that it would cause such a hit to the American economy that it could be devastating.

China is working with the new Russia to undermine US currency in order to establish a new monetary platform, one they control.

Wreaking havoc with the gold and silver market furthers that agenda significantly. China is a cash rich country unlike the debt ridden US.

A drop in the gold and silver market could easily trigger a massive selling by panicked investors who for some reason were under the illusion that prices will only go up.

Right now the smart money is on prices to go down in the futures markets. Look at the contract price for futures, it is high because that is the direction traders think it will go.

Anybody here understand the impact a massive drop in metals will have on the stock market?

Everything has it's ebbs and tides. Do your best to buy low and sell high. Much of my surplus silver has been turned into lead and brass.

You recall that part of their advertising that says "it's easy to sell?"

Well...

A couple of sites showing current melt values..

http://www.ngccoin.com/priceguide/Coin-Melt-Values.aspx

http://www.coinflation.com/coin_calculators.html

Do you mean sold it and bought lead and brass? Good move

I sold 30 100oz bars of silver when silver was at $14 an ounce, that's just a year and a half or so ago. Friends were giving me crap about shoulda kept it for higher, but I never look back at a sell point I choose, I'd rather double my money than try to triple or quadruple it and end up in the negative column. I invested in silver mining stocks that went bananas, made far more than I ever could have keeping it in silver.

Metals don't "make" you anything until you cash in, keeping them and thinking about and counting what you've made is an exercise in delusion.

The next time I put money in gold and silver it will be sitting in a low the likes of which nobody thinks we will ever see. I'll sell it once again way before anyone thinks it should be sold having doubled my money.

That's liberal thinkin for ya.

Went from about $4.50 to nearly $48 in less than 10 years and you're wondering about a $2-3 change?

Here�s why gold dropped 5% today.

Some may have seen the discussion about the downside risk of gold. Basically, most gold in the market is held by investors who bought it as a safe-haven during the peak of uncertainty in the world economy. Besides the over 13,000 closing yesterday, today the Fed revised upward several economic numbers that makes investors feel they can make more money in stocks, so some are starting to sell off their gold.

Historically, March is a good month for the stock market, so apart from some economic bad news (war with Iran) the trend to move out of gold could continue. As gold prices drop more and more investors will get out to avoid taking a loss, but in doing so, they'll force gold prices to drop even faster. Given its history, once gold is off its bubble price it could be down for a long time. That's the downside risk.

Like I said before I'm investing in TIPS through an index fund. The risk is that inflation will go lower and with low yields the price could drop. But then I see this in the article I linked to.

Fed officials last month were keeping open the option of a third round of bond purchases in case the economy weakens or inflation falls.

I think I'll buy some more.

Gold and silver are speculative commodities. As long as they make up no more than 5% of your investment portfolio you can't get hurt.

As I've said many times I believe in diversification, no load mutual funds, getting rich slowly, and that it is better to live rich than die rich.

No, I'd worry about a $40 change. It will start with a tremble and end with an avalanche.

Nobody who is in commodities could ever think that it won't come down at some point. Just an awareness of world reserves, how much is used, and world events determines it. Those who stockpile it for that day when TSHTF are insignificant.

It's a silly argument, history will repeat itself and prices will go down, the only questionable thing is how much?

How many people are going to buy gold and silver at their current prices? And those who do are in for short term gains, not long term. This is a shaky place to be on gold or silver, and how many people are going to cash it out while the cashing is good? That is what makes high prices plummet, the market just plain gets flooded with people who decide it's time to cash out.

Again look at futures prices, this is where the smart money is, and it isn't on higher prices.

Again, it really worries me what China will do with the stock piles it has aggressively accrued. The kind of reserves they have applied has two effects, it drives the price up as they deplete market reserves, and they definitely have the motivation to sell vast quantities at a profit and undermine the US market.

You can't intelligently invest in anything without being aware of what affects the prices of it. Awhile back it made sense to invest in it as long as you are seeing China sucking up enough that it's driving prices up, but you have to be aware that there may be an agenda that is going to drop the bottom out.

Perhaps China just wants a big financial club they can hold over the US to keep us from placing tariffs on Chinese goods. They can say try it and we will drop the bottom out of your economy, think that sounds far fetched? Makes them pretty impervious to trade balance moves.

Before trading in commodities, it is a good idea to read "What I Learned Losing a Million Dollars".

Gold and Silver are commodities for sure... buy right and hold on to them, they'll appreciate (Silver has historically out-performed silver year in, year out. - HINT).

If you're a short term speculator, you can certainly get hurt. I'd never put money into metals that I needed in less than 6mos (minimum) as a rule.

As was stated, folks are jumping ship and going to the stock market which is expected to hit 14000.

BTW, silver briefly hit $26 in December, has bounced up a couple times, so this sell-off isn't exactly unexpected.

I sold-off Friday...

243WSSM,

Here's another thought for what China (and Russia) are doing and going to do with their gold.

They are buying oil from Iran with it to get around the sanctions that the U.S. and the E.U. have in place.

China's monetary situation is such that they also want to have gold in hand for the future when their currency is in the toilet...

Ed

Gold & silver will never level out at their highest prices. Those who buy at the top get hurt when they go down...and they always do. Don't buy either unless you can afford to lose your money because it's strictly speculation. They don't return any interest or dividends. You only earn, or lose, the difference in price.

Exactly, most of my silver was bought at 4-5 bucks an ounce. Started selling at $17 and just ran out the last BU surplus I had (about 60 ounces) for a Kimber 84L and a Sako Finnlight. I will buy in again, but it will have to drop way down to do so. Wonder what NIB guns will cost if barry gets elected again?

Another thought, many put this stuff away for what they think will be a SHTF situation. However, there will be items much more equitable in these situations over say a 100 ounce bar. Having a 1000 BIC lighters set back could be mighty useful trade fodder, as will liqueur (even the cheap crap). Of course food, but things you can trade for food and are useful will be needed more than gold and silver IMO.

I know what you mean, just thought it was funny