Thoughts on spot metals prices

granddad

With 30 minutes until closing, silver is up 25c to $6.90, and gold is up $5.00 to $417.60. Where do you see the prices going from here? I see gold slowing but continuing up to the $430 mark. And silver continuing at a faster pace to the $8 level before profit taking.

Louis

cladking

I still see gold moving in fits and starts to the 550 level before dropping to the 450 level in
the short term. Longer term it's starting to look like it will move up gradually and a little more
steadily from that level. silver is always tougher to predict and will tend to bounce around
whatever gold is doing. In the very long term it will greatly outperform gold.

Watch nickel, copper and aluminum. They'll be more interesting for a few months. Zinc will
make a move too before too much longer.

Steve27

I see both falling back shortly, gold to 410 and silver to 6.50 (the rise has been too fast to be maintained).

mrearlygold

Why do you all think gold should go up?


Seriously. Why?


Tom

roadrunner

Gold has nowhere to go but up in the long term due to the failing health of the US dollar. Other currencies will follow. The fiat currency world, political tensions, faltering economies - including the US, trade imbalances, out of control printing of money by many countries, multiple deficits, jobs out-sourcing, etc. will all contribute. There is nothing positive going on that could alter things imo. Gold has been in a defined up channel for the past 3 years...as have been many collectibles and tangibles. Until this trend is decidedly broken, the TREND is upwards. This is not to say there won't be tons of resistance along the way, because there will be. Gold will have some crazy falls along the way that will flush out weaker hands.

Between $420-430 a great battle will be waged.

roadrunner

cladking

Gold should go up in the medium term because governments will have
to inflate to ease the debt burden. Increasing amounts of money will
(and have) been pumped into the economy to stave off recesssion. This
will prove inflationary as the economy continues to strengten and the
velocity of the money increases.

Gold has proven a very poor long term holding for centuries but it does
make much of its upward moves in brief time periods during inflations.

PreTurb

Some folks have taken advantage of the strong coin market to sell their dupes and less desirable coins - and rotate into precious metals.

For example, some coins in a collection are difficult to obtain, regardless of price (rarer varieties and die states). These are being kept. Others are easy to obtain (or easier to reacquire later at a lower price in a soft market). These are being sold. I think someone on the forum here was just commenting on the "ho-hum" selection of coins in the recent ANR and Heritage sales - perhaps just a coincidence.

More interest in precious metals is generally bad for "collectible" coin dealers (less money is flowing into "collectible" coins), so I'm not surprised at a coin dealers' negative attitude toward gold/bullion.

I, for one, agree with what cladking and roadrunner have stated - that the economic fundamentals all point to a fall in the value of the US dollar.

Compa

Along the lines of this topic ...

I would love to see some estimates of numbers (pretty graphs would be nicer) that show the movement of gold prices seperated out from inflation and speculation - prices that reflect demand based on use (industrial/jewelry/medical/etc.)

The speculation part of the equation has to be the most short term variable - but how much does this variable affect prices?

TheNumish

I think it's a good time to buy gold. The inflationary effects of high oil is going to start working it's evil magic. I wouldn't be suprised if it tries to go over $500 an ounce before the end of the year.

mrearlygold

I, for one, agree with what cladking and roadrunner have stated - that the economic fundamentals all point to a fall in the value of the US dollar. >>






How much further do you reckon it can fall? It's lost 30% of it's value to the Euro in the last 24 months or so. Why does this in your opinion have anything to do with gold spot prices rising?


Tom

Longacre

I think foreigners will start to again look to dollars for investments, rather than gold which may have peaked

mrearlygold

<< <i>I think foreigners will start to again look to dollars for investments, rather than gold which may have peaked >>






Oh I totally disagree with this statement. Have you been overseas? US dollars are visibly disrespected by people in most of Asia as a case in point.


Tom