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OK, so why is Gold & Silver dropping like a rock????

GRANDAMGRANDAM Posts: 8,505 ✭✭✭✭✭
in Precious Metals
I live in the sticks,,,, no TV, no Radio, no Internet image

So WTH is going on??? Just interested in other opinions.

GrandAm image
GrandAm :)

Comments

  • BanemorthBanemorth Posts: 986 ✭✭✭
    A couple things. Big one was the release of 30 Million barrels of oil from our reserves, and increased jobless claims. Stock market in general has taken a beating today.
    Justin From Jersey

    Successful Transactions With: JoeLewis, Mkman123, Harry779, Grote15, gdavis70, Kryptonitecomics
  • streeterstreeter Posts: 4,312 ✭✭✭✭✭
    The actual short term bad news may just beginning to effect the market. The longer term bad news( ie the derivative fiasco) may be put on hold for awhile.

    Commodities have run up too high for sustainable long term planned growth. Some holders of commodities are going to probably get stung in the near term unless they anticipate the softening of the market. I am not talking about people who 'play' with metals...I am talking about people who make their living with metals.

    China is about to have some tough sledding ahead. It's hard to really know what's happening over there but a lot isn't so rosey.

    One of my buyers of base metals out here in SOCAL has informed me to be aware of a major downward adjustment in metals prices during or before August. If you need to know his size and presence in the market---he just purchased 80 Peterbilts for hauling metals. He is what we refer to as a 600lb gorilla in the market. He buys all types of metal from steel to gold..and he's saying...'beware the 20% pullback'. He's already adjusted his prices downward +10% and clearly is leading the market as he is lower than all others right now on base metals and non ferrous metals.

    His game is tricky as he waits to see which of his customers fly the coup to get more elsewhere...until 'elsewhere' drops prices even more and customers come back---but then the customer is put on the non preferential list and gets the 'b' price. He's a great guy to have a drink with, just an SOB to do biz with if you don't know his M.O.
    Have a nice day
  • roadrunnerroadrunner Posts: 28,303 ✭✭✭✭✭
    Gold may have just completed it's bounce from the May collapse. Normally the intermediate gold cycle lasts about 6 months or 23-25 weeks. It's due for a 6 month bottoming
    sometime in late July. This gives it about 4-5 weeks to get on "down." This current intermediate cycle began in late January with the advance apparently ending on May 1st. Since
    then gold has been in corrective mode. I think it's just run out of "up" time in the current cycle.

    roadrunner
    Barbarous Relic No More, LSCC -GoldSeek--shadow stats--SafeHaven--321gold
  • PerryHallPerryHall Posts: 46,111 ✭✭✭✭✭


    << <i>A couple things. Big one was the release of 30 Million barrels of oil from our reserves,.... >>



    Is someone trying to get the price of gasoline and home heating oil down before the next election? Unless the gov keeps releasing oil from the strategic reserves, the effect on gold/silver will be short lived.

    Worry is the interest you pay on a debt you may not owe.
    "Paper money eventually returns to its intrinsic value---zero."----Voltaire
    "Everything you say should be true, but not everything true should be said."----Voltaire

  • JamesMurrayJamesMurray Posts: 4,036 ✭


    << <i>

    << <i>A couple things. Big one was the release of 30 Million barrels of oil from our reserves,.... >>



    Is someone trying to get the price of gasoline and home heating oil down before the next election? Unless the gov keeps releasing oil from the strategic reserves, the effect on gold/silver will be short lived. >>



    That makes sense.Pretty disgusting but it makes sense and i wouldnt doubt it.
  • BanemorthBanemorth Posts: 986 ✭✭✭


    << <i>

    << <i>

    << <i>A couple things. Big one was the release of 30 Million barrels of oil from our reserves,.... >>



    Is someone trying to get the price of gasoline and home heating oil down before the next election? Unless the gov keeps releasing oil from the strategic reserves, the effect on gold/silver will be short lived. >>



    That makes sense.Pretty disgusting but it makes sense and i wouldnt doubt it. >>



    What you mean like suddenly announcing you're withdrawing 33,000 troops from war? Nobody would be so blatantly obvious in their attempts to gather voters...
    Justin From Jersey

    Successful Transactions With: JoeLewis, Mkman123, Harry779, Grote15, gdavis70, Kryptonitecomics
  • JamesMurrayJamesMurray Posts: 4,036 ✭
    It still leaves over 68,000 US troops in Afghanistan if 33,000 do come home. Isnt this number (33,000) similar to the number introduced for the "surge" just a while back ? It would seem essentially nothing has or will change , much like the gitmo promises.
  • shorecollshorecoll Posts: 5,445 ✭✭✭✭✭
    The commentary today was that the admin was firing a warning shot at pure speculators in the oil markets, just to put the fear of God in them that this can happen anytime. They can't really do the same with metals, but the knee-jerk reaction was for everything to fall together. The Fed has told the president that it can't fix the economy with people gaming the oil markets, again other markets don't have the same effect but the panic was far ranging.
    ANA-LM, NBS, EAC
  • KonaheadKonahead Posts: 1,476 ✭✭✭
    Like a rock? Really. This is the same flucuations we have seen for a while now. image
    PEACE! This is the first day of the rest of your life.

    Fred, Las Vegas, NV
  • PerryHallPerryHall Posts: 46,111 ✭✭✭✭✭


    << <i>

    << <i>

    << <i>

    << <i>A couple things. Big one was the release of 30 Million barrels of oil from our reserves,.... >>



    Is someone trying to get the price of gasoline and home heating oil down before the next election? Unless the gov keeps releasing oil from the strategic reserves, the effect on gold/silver will be short lived. >>



    That makes sense.Pretty disgusting but it makes sense and i wouldnt doubt it. >>



    What you mean like suddenly announcing you're withdrawing 33,000 troops from war? Nobody would be so blatantly obvious in their attempts to gather voters... >>



    If I was a cynic, I might assume this massive troop draw-down right before the next election is not a coincident.image



    Worry is the interest you pay on a debt you may not owe.
    "Paper money eventually returns to its intrinsic value---zero."----Voltaire
    "Everything you say should be true, but not everything true should be said."----Voltaire

  • JamesMurrayJamesMurray Posts: 4,036 ✭
    It might sound like a "massive" troop downsizing , looking between the lines though it leaves 68,000 that were already there numbers wise prior to the troop increase just a while back.
    I seem to recall the statement then was bringing troops out of Iraq , all they did was move them to Afghanistan. With this 30,000 number it says perhaps 10,000 will actually be out by December with another 20,000 at some unspecified time next year , presumably after the election.
  • RobertSRobertS Posts: 485
    in my opinion that someone does not have a snowball chance in hell of getting re-elected. Today's actions are meant to remind us that we are playing a game that is rigged.
  • TheBigBTheBigB Posts: 942 ✭


    << <i>If I was a cynic, I might assume this massive troop draw-down right before the next election is not a coincident.image >>



    Especially when they can move in more contractors as needed like in Iraq.image
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