The Sh*t hits the fan and precious metals falls like rocks...
AUandAG
Posts: 24,782 ✭✭✭✭✭
explain that.
bob 
Registry: CC lowballs (boblindstrom), bobinvegas1989@yahoo.com
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It would be more valuable in a situation where the currency is devalued. That has not happened. Currency is strong. What people are focused on is household supplies should this become more significant.
He who knows he has enough is rich.
Great question Bob. I just can't see margin calls being the main reason.
A lot of this is it not hitting the fan enough, so some folks are aiming more handfuls so that it does more.
Liberty: Parent of Science & Industry
re: 2009. everything is on sale until it ain't
The government is incapable of ever managing the economy. That is why communism collapsed. It is now socialism’s turn - Martin Armstrong
ETFs are paper, people are pulling their money out of paper assets. Try logging into a online bullion site and buying something. Many are overwhelmed with orders of physical and not allowing new orders to be placed. The eBay stores have raised prices on most unslabed bullion.
IMHO, based on current premiums, this is probably the best time to buy paper over physical.
While ETFs are paper, they do not set or affect the spot price of gold. Spot price of gold is determined on commodity exchanges such as CRIMEX COMEX where gold futures (paper) trading sets the spot price. The futures contracts are not backed by physical gold with the supply of contracts being infinite. Unlike free markets, the supply and demand of physical gold is not a part of the pricing mechanism for spot price. Growing premiums over spot price however are the result of increased physical demand and/or decreased physical supply.
Paper gold (futures market) sets the base price (spot). Premiums over spot for physical gold are determined by fabrication costs and supply/demand.
The government is incapable of ever managing the economy. That is why communism collapsed. It is now socialism’s turn - Martin Armstrong
Imagine what all would happen in a real nation wide disaster.
Yeah explain that BOB
I heard from all 3 of the charmin bears that PMs are out and TP is the new must have for stackers.
Ask the Italians, they know. Guess whose in line to be next?
The government is incapable of ever managing the economy. That is why communism collapsed. It is now socialism’s turn - Martin Armstrong
If you are referring to the coronavirus situation as a true SHTF scenario, then I would think that metals went down because more immediate necessities took priority over holding precious metals.
However, assuming that all of this is a consequence of the coronavirus, isn't it just a little bit strange that only the discreet group of precious metals investors are the ones being affected adversely on a day like Friday - but not stock investors?
One conclusion might be that it's not the same SHTF scenario for stock market investors on the day that the market went from down -700 pts to up +2,000 pts in one trading day - a positive stock market swing of 2,700 pts - as it is for precious metals investors.
Clearly, something else is at work. Either the SHTF scenario is unrelated to the coronavirus, or there is another significant influence affecting both the PM markets and the stock market - in exactly the opposite ways - or both.
Interesting stuff, eh?
I knew it would happen.
"is the new must have for stackers"- or crappers.
A strong dollar. Can also substitute as toilet paper. Seriously, have you ever wiped with an eagle ?
Spring is coming, plenty of oak and maple leaves for wiping.
Spreading the eagles throughout the bunker for the antimicrobial effects, certainly wouldn't be using them to wipe my backside.
The whole worlds off its rocker, buy Gold™.
BOOMIN!™
...as the markets go, so does logic.
I see APMEX is selling their 1 ounce silver rounds at nearly 3 dollars over spot and Provident easily two dollars over spot.
Clear me up here but I don’t see that as a “spot plunge” bargain.
How much did gold fall vs. the Dow or S&P?
In the last 30 days, the Dow has dropped 20%.
In the last 30 days, gold has dropped 4%.
Here's the 1 year chart for the Dow vs. Gold:
.
--Severian the Lame
Add a silver chart, it's down 22%. Was 18.50 now $4 less. My point is/was that the precious metals market has fallen which is the exact opposite of a safe haven scenario. Usually stocks drop and metals rise. Not today and I was wondering why is this not so?
bob
In the last year, silver is flat. You would have bought a year ago at about $15, and today it is "worth" about $15. You wouldn't have "made money", but you also wouldn't have "lost money". If you'd bought the Dow, you'd have lost 10%.
But as has been said a zillion times before: we don't hold physical precious metals to "make money". We do so to preserve wealth. Even relative wealth.
--Severian the Lame
I can't imagine what would happen if the dollar lost all of its purchasing power and the shelves were empty. WalMart at 0800 was what a typical day is like at 1300. No tp, no paper towels, no milk, no eggs, no oj, no bread, no alcohol, no peroxide, no bleach, no hand sanitizer, no hand soap and no Tylenol, it was something like out of a science fiction novel.
they will restock and restock, until their supply chain shuts down.
The government is incapable of ever managing the economy. That is why communism collapsed. It is now socialism’s turn - Martin Armstrong
How about that. I have yet to get the first margin call on my physical PMs.
The government is incapable of ever managing the economy. That is why communism collapsed. It is now socialism’s turn - Martin Armstrong
Yeah, things have changed in the 'ville, even if we turn off the electronics.
Schools closed. People talking about it, lots of black gallows humor and whistles past the graveyard. Stores packed, some shelves bare and restaurants mostly empty.
I get the run on pasta and canned food.. not so much on the paper products.
Liberty: Parent of Science & Industry
Took this picture last Thursday and by Friday it was sold out even with the store placing limits on purchases. People are ridiculous.
My Ebay Store
It’s the same people that bought/buying silver and gold bullion...
It takes quite a bit more when you have this many holders.
Despite all the jawboning excuses here.....sad testimony for PMs being a safe haven insurance policy. Not as many expected or hoped for here.
Just wondering when I start trading my silver coins for loaves of bread will the merchants prefer ms70 eagles or will any ole BU do?
The whole worlds off its rocker, buy Gold™.
BOOMIN!™
It's because trading stops are in place so they are selling what they can sell. You can't get out of equities this morning and there are only few options available. It's definitely a "paper" dynamic. You'll be sorry if you sell any physical at these prices.
Time to start nibbling...stocks and metals. Just a nibble
He who knows he has enough is rich.
I'm still waiting to find out what's going on. We only know what stage 1 is going to be - a "whatever it takes" liquidity approach by the Fed. That's the financial side. We don't yet know how the virus or the response to the virus is going to turn out on the societal side.
If this is an engineered psyop, it's working. If not, it's an unpredictable, unforeseen event that could turn out any number of ways. There's some real nervousness in CA about what might be considered martial law. Probably in a few other places as well.
I knew it would happen.
Deflation. Inflation is where there is vastly more money being created than destroyed. Right now, vastly more money is being destroyed than created.
The "blood bath" continues
Gold.................-74.30............... -4.86%..$1,456
Silver.........12.55 -$2.14
Platinum........ 667.00...... -98.00
Palladium...... 1460.00.... -238.00
Rhodium .....7000.00..... -2800.00
Possible buying opportunities? Or wait until the dust settles.
What? You mean derryb has been wrong this whole time?... unfathomable...
Despite all the jawboning excuses here.....sad testimony for PMs being a safe haven insurance policy. Not as many expected or hoped for here.
Dow -10.48% right now
Gold -4.12%
We report, you decide.
I knew it would happen.
Psyops
Let it run its course... hopefully time to buy coming soon.
Try buying it for the price quoted on Kitco...
PMs are insurance when everyone runs FROM cash, not to it. They protect against a failing currency, not a falling stock market. Falling stock markets usually result in other falling assets, re: 2008. Falling stock markets bring a run for cash. Everything is on sale.
We are not experiencing a fiat currency problem (yet) and the one around the corner will not be resolved. There's still time to buy currency insurance on the cheap.
The government is incapable of ever managing the economy. That is why communism collapsed. It is now socialism’s turn - Martin Armstrong
sold at $18, reloading at $12.
"unfathomable."
The government is incapable of ever managing the economy. That is why communism collapsed. It is now socialism’s turn - Martin Armstrong
There's big difference between selling at these prices and for these prices.
30 day DOW down 36%
30 day gold down 9%
We report, you decide.
The government is incapable of ever managing the economy. That is why communism collapsed. It is now socialism’s turn - Martin Armstrong
"The Sh*t hits the fan and precious metals falls like rocks..."
Paper contracts have fallen like a rock.
The difference between the two?
And even at higher premiums:
The government is incapable of ever managing the economy. That is why communism collapsed. It is now socialism’s turn - Martin Armstrong
Lol that it is, you can’t fool me, all your moves are always after the fact, much like Armstrong, always right, always after the fact, everyone wins when they are at the casino also...
The new currency
That will happen for awhile, people want cash - but wait for what happens next when the cash runs out.
You sold your ten thousand ASEs at 18 and bought them back at 12?
Great move! Coingrats!
Liberty: Parent of Science & Industry
The Derryb of Oz...
yes, i made some good moves recently with the physical and with the equities. Don't act like it's so impossible. If you two had your eyes on the ball and not on the cheerleader you could have done the same.
we need new trolls, these are getting stale.
The government is incapable of ever managing the economy. That is why communism collapsed. It is now socialism’s turn - Martin Armstrong
The tp company laid them off and they gotta do that now
That’s because the buyer takes the loser’s loss, making the loser the winner and the buyer the loser...