Gold At $1,602, Silver Over $40, To Launch Another Risk Off Week

Tyler Durden's picture

As expected, gold is now over $1,600, after fears about Italy are back, the EUR is tumbling, and questions over the sustainability of fiat and Keynesianism are once again front and center. Elsewhere, silver is over $40. Unless a miracle appears out of nowhere to save the Eurozone and its fake paper currency, we expect $2,000 by the end of the year in gold, while silver should promptly regain its all time nominal highs of just over $50.

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doomandbloom's picture

who is eating all this Gold!?

Dr. Engali's picture

Chinese people. It's a new dietary supplement.

speedy's picture

Of course, it's cheaper than rice! You can dig it out of the ground for only $5 an ounce you know.

55 men's picture

I know, a cheap pair of leather gloves and your neighbors shovel. Let me know when you find some.

Ahmeexnal's picture

Remember there is a disconnect between paper price and physical price.

Paper price might be back at 40, but physical is now at 20.

And since it only costs 5 bucks to dig an ounce (proof) outta the ground, divergence will widen even more.

That's exactly what financial expert Methman predicted.

 

/sark ozy

FeralSerf's picture

You need to know where to dig and I'm not telling.

thesapein's picture

No you can't. I tried it in my backyard with $5 bills. It's cheaper for me to forgo the startup costs that everyone ignores and ignore lies about how easy it is to just dig up fools gold.

Troll Magnet's picture

Chinese should just stick with paper and plastic as their dietary supplements.  Cheaper than gold and much more chewable.

Poor Grogman's picture

Its just eaten due to tradition I expect.

thesapein's picture

the old idea is that since it last forever, eating it would make you immortal, but then your enemies add mercury, and the king is dead, long live the king.

Sudden Debt's picture

I you put bacon and union rings on it, you've a breakfast for champions!

I used to sprinkle it with diamonds but that wasn't such a good idea for my teeth...

 

 

 

Long-John-Silver's picture

Did you not use the tooth picks holding the bacon in place for digging out the diamonds?

Dimeboy's picture

Union rings? - a highly organized food group...

A Nanny Moose's picture

They just want whirled peas

Edward Fiatski's picture

Roller Coaster week 2, bitchez.

freethinker4now's picture

I am surprised it's taken all of this end of the world stuff just to add on a few hundred dollars. I would have imagined it would be higher by now. hmmmmm

scratch_and_sniff's picture

umm me too, if they were really pricing in the collapse of the Euro, a US default or QE3 you would think it would be slightly higher. Maybe its a case of closing the eyes as the cliff edge approaches…or maybe these problems just aren’t that imminent(jeesh, Aug 2nd is like weeks away)

Long-John-Silver's picture

It takes time and several knocks to the head to break years of propaganda programming. 

Al Gorerhythm's picture

See GATA's latest dispatch. It reveals the crux of your incredulousness.

http://www.gata.org/node/10142

Troll Magnet's picture

If I learned anything in the last couple of years it's that there's probably another (fairly big?) correction coming in regards to gold.  I just have this feeling that TPTB will find a way to knock it down some to keep the sheeple in line.  That said, I'm hoping the price of gold pulls back toward the $1,500 to $1,520 range so I can back up my truc...well, so I can fill up my pocket.

 

It feels so weird...to hope for TPTB to intervene so I can take advantage of it.

High Plains Drifter's picture

what are you talking about ?  its been in correction for months.........now we are early on explosion. i thought it would happen in the fall. but whatever. if you think gold is going to have some massive correction , i think you may be wrong. same thing with silver. what we have seen , is what we get.  these days are the end of fiat........buy gold and silver and lots of it.

CrazyCooter's picture

I have the same gut feeling at TrollMagnet. I hold PMs (I don't fuck with paper).

I have a strongly held opinion that if PMs are allowed to appreciate too rapidly, it will pull the carpet from under the system. That is why we have all this manipulation/fraud with regards to gold/silver prices.

I am sitting on my monthly allocation for a bit and seeing what happens ... but I will buy what I can eventually ...

Regards,

Cooter

augie's picture

not that my opinion means anything, but i think you are correct about the direction of the paper market. The CME will just raise margins again and the media will back up the "gold/silver are in a bubble" story as usual. However, physical prices i dont think you will be able to get for less than 1550-1575 if that "correction" ever materializes. Listen to drifter, buy physical, forget paper.  

Agent 440's picture

 

So how does gold trend with the VIX anyway?

 

Silverhog's picture

I would like to thank all the trolls who said Silver would not hit $40 again this year.

Dr. Engali's picture

They will be saying the same thing at $50,$60,$70,........

Long-John-Silver's picture

as they did at $10, $15, and $20.

Bay of Pigs's picture

We have some predictions on the board from Spalding and BobD. We'll see where we end up at the end of the year.

DaBernank's picture

Gold, it isn't just for breakfast anymore. Maybe it now takes $6 to dig silver out of the ground, eh?

francis_sawyer's picture

How much does it take for da Bernankenstein to dig a printing press out of the ground?

DaBernank's picture

Oh, I'm all in the physical metals, mate. Just making fun of the "b-b-but it only takes $5 to dig it out of the ground" idiots. You have to ask HP what they charge the Bernank for a printer. Can he just run off a stack of Benjamens before going out for the night?

DosZap's picture

DaBernank,

Only about $0.06 cents per bill, then face value, and then interest on top of that.Until never paid off, and the interest continues to accrue.

Hell of a Ponzi our Congress gave away.When  we could print our own, and not have to pay a Cabal of Foreign Banksters interest, and owe them the face values also, we would only owe ourselves.

Hell of a deal.

Bang Dae Ho's picture

How much does it take for da Bernankenstein to dig a printing press out of the ground?

15 minutes.

MassDecep's picture

No printing presses, just keystrokes nowadays....

francis_sawyer's picture

sorta... but be careful in that reasoning...

The "debt" is just keystrokes... Whilst there really are a shortage of dollar notes in circulation which reflect that... Changing that dynamic alters a lot of variables... Think... bank run...

Case in point... Take a look in your wallet an tell me how many "Timothy Geithner" autographs you see on your paper...

At ranom, I just pulled out:

- 2 Jack Snows (both $1)

- 2 Hank Paulsons (a $20 & a $1)

- 2 Paul O'Neils (a $5 & a $20)

 

baby_BLYTHE's picture

I have been paying attention to this as well

Last time I went to the ATM I withdrew $100. All 20s, each one had Tiny Tim's hancock.

HITMAN56's picture

ZH has vision the rest of the world uses Bi-focals.

Freebird's picture

Those heavenly safe havens

thesapein's picture

I thought we weren't calling gold a safe haven anymore because it assumes a false reality of anything being safe. Lots of things can happen to your or your gold. We somtimes feel safest just before we're...

chump666's picture

yeah 2000 yr end, on EUR collpase and asia sovereign's buying

lolmao500's picture

By the end of the year, silver will be much higher than 50$...

lubyanka's picture

Endgame, bitchez

ZeeGerman's picture

They'll be tumbling down the mountain when she comes...