What the H*LL is going on with silver?

Prethen

It's up almost another 2% this morning. From what I can tell it's all just technical (see Kitco). Supplies are the same, demand is the same, but something's going on with contracts and some dollar weakness (who cares?).

CarlWohlforth

Oil up, Dollar down = Gold up, Silver up

michael

dollar is the lowest against the yen in two years

and taiwan, japan and china that hold most of the usa debt in usa dollar promissary notes are starting to sell their dollars on the open market

it is no secret that china wants to cause the usa economic harm one way or another by hook or by crook

Weiss

<< <i>
it is no secret that china wants to cause the usa economic harm one way or another by hook or by crook >>



Yeah, we have in no way brought this upon ourselves.

Visa and MasterCard are to blame for high American consumer debt, too. After all, they made us spend the money.

flaminio

<< <i>it is no secret that china wants to cause the usa economic harm one way or another by hook or by crook >>

Why would they want to do this? What is in it for China to cause the USA economic harm? The USA is China's biggest customer. Hurting us would only hurt them. Does it make sense to try to bankrupt your customers?

Seriously, I want to know. I've heard the China-bashing for a long time, and I really don't get it. It all seems like "We are no longer at war with Eurasia. We are now at war with Eastasia" nonsense.

mrearlygold

<< <i>

<< <i>it is no secret that china wants to cause the usa economic harm one way or another by hook or by crook >>

Why would they want to do this? What is in it for China to cause the USA economic harm? The USA is China's biggest customer. Hurting us would only hurt them. Does it make sense to try to bankrupt your customers?

Seriously, I want to know. I've heard the China-bashing for a long time, and I really don't get it. It all seems like "We are no longer at war with Eurasia. We are now at war with Eastasia" nonsense. >>







Well of course we need to break that up as goverments may have a completely different feeling about this than people do, and obviously a Libertarian would be thinking free market while the "rest" of them are just as confused as ever.

Tom

coynclecter

So. Korea announced yesterday that it will be selling dollars to diversify its reserves into other currencies. This is most likely a prelude to what China and Japan are planning. they all want to dump the dollar beacuse its falling fast (too many of them being printed) The problem they have is that they don't want to trigger a panic because they have the most to lose.

Silver went nowhere, the dollar is just continuing its slide, expect it to continue.

My guess is that a Big Mac will be over $10 by 2030.

DennisH

Driving up prices is a plot by the cable TV coin shows so they can shamelessly hype silver eagles and pre-1964 coins at even more obscene prices.

nankraut

Michael said: " it is no secret that china wants to cause the usa economic harm one way or another by hook or by crook".

Now, why would China want to do that? US imports from China (billions per month!) are what drives the Chinese economy, creates jobs over there, contributes to their economic growth.

robertpr

After all, they made us spend the money.

Yeah, you're right! In no way shape or form is anyone actually responsible for their own actions! They made you spend the money!

cohodk

My guess is that a Big Mac will be over $10 by 2030.

I dont know what a Big Mac costs today--I dont like onions-- but assuming it is $2.50 today then $10 in 25 yrs implies an inflation rate of 5.70%. That is probably just about right.

Jdurg

<< <i>My guess is that a Big Mac will be over $10 by 2030.

I dont know what a Big Mac costs today--I dont like onions-- but assuming it is $2.50 today then $10 in 25 yrs implies an inflation rate of 5.70%. That is probably just about right. >>



Yeah, but Bush will only be in office for 4 more years. Surely someone better will come in since it really can't get much worse than George W.

cohodk

<< <i>

<< <i>My guess is that a Big Mac will be over $10 by 2030.

I dont know what a Big Mac costs today--I dont like onions-- but assuming it is $2.50 today then $10 in 25 yrs implies an inflation rate of 5.70%. That is probably just about right. >>



Yeah, but Bush will only be in office for 4 more years. Surely someone better will come in since it really can't get much worse than George W. >>



Bush has had nothing to do with the run-up in commodity prices. Consumers are to blame. It is the end users of which YOU are one, If everyone stops buying coffee then the price will go down. The increase in commodity prices--copper, gold, silver, oil- can be directly attributed to the Chinese.

roadrunner

The FED, under Bush's first 4 years, pumped in the most credit into the economy ever witnessed in history. This massive flushing reignited the stock/real estate/commodity booms as the money had to go somewhere.

Regardless of what most think, the amount of silver readily available cannot cover the existing contracts. Should at some point physcial performance be required on those contracts be required, there will be some serious play in the silver price. You can be sure that both Buffet and Gates hold significant physical silver.

roadrunner

coynclecter

<< <i>Should at some point physcial performance be required on those contracts be required, there will be some serious play in the silver price >>



Its amazing all the silver (and gold) bought on Wall Street by people who will never get any and sold by people who have never owned any. It's all paper trades that keep the prices so low. If anyone actually had to deliver the silver they sold then the price would go through the roof.

BigAlan

...and taiwan, japan and china that hold most of the usa debt in usa dollar promissary notes are starting to sell their dollars on the open market


The dollar doesn't have to wait until Japan and China start to sell to get hurt. Dollar falls it they just slow their rate of buying.

ARCO

In my opinion, it is all about the dollar...nothing more, nothing esoteric, no supply-demand issues, just a weak ass dollar.

Tyler

clackamas

The increased tensions with Syria and Iran are not helping. If we get ouselves in a fix and start fighting with these countries as well the rest of the world is just going to step out of the way and let the chips fall. As long as tensions remain high gold and silver will be bullish.