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Goodbye $42...
Silver is now trading at $42.10: the highest price since 1981, and ever closer to the all time Hunt Brother high, which is now just over $8 away. At this rate, and if Bolivia indeed nationalizes its silver mines, we give it a month for a new all time notional high in the metal.
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Oh, by the way, most of you guys are still calling for some type of "system crash". If you think gold and silver prices will not crash with everything else, you are not being realistic.
Maybe it is possible, but for now, GLD and the SPY are still trading in lockstep.
If that relationship changes, I'll change my mind, but for right now, any SPY crash, XLF crash, etc. is likely to send GLD and SLV plummeting also.
Probably correct.
For now gold and silver are considered a risk asset. They go down in an ordinary contraction.
No, actually idiotically incorrect, and contrary to every lesson of financial and monetary history --- a subject which is treated by most nowadays, and particularly by Americans, with disdain and arrogant ignorance, much to their own peril.
LET US MEET HERE ON THE BATTLEFIELD OF IDEAS NEXT YEAR AND SEE WHO IS CORRECT.
WHY CAN'T I MAKE CAPSLOCK GO AWAY?
there, that's better.
There are many of us that can hardly wait. Actually we are in a win win, you however, are in a win lose. Just sayin.
GLD is up 140% over 5 years vs. just a few pct for the S&P 500. Gold went down much less than the S&P during the 08-09 crash. Gold continued rising during the interval between QE1 and QE2, while the S&P dropped. Silver went down more than the S&P 500 during the 08-09 crash, but recovered much faster.
PM's are affected by some of the same macroeconomic headwinds and tailwinds as equities, but no way are they in lockstep.
If there is a gap between QE2 and QE3, then based on past experience with QE1 and QE2, we might expect equities to wilt a bit during the gap, but PM's would continue to climb (but at a slower rate).
I have no idea what PM's will do in the short term. All I know is that I ain't sellin' any!
OK gotta feed the troll.
Yes the PRICE would collapse but the value would not.
what happens if the Fed surprises with a rate hike ?
Look at the rate hikes and the POG and POS during the run in 79' and 80'. I think it took several hikes before it made an impact. I read somewhere that it would take 8 or 9 percent before it would slow the PM's. Since, basically, with a rate hike you are saying inflation is getting out of hand. And since we know as the interest rate goes up, so does our interest on our debt obligation, probably not going to happen.
I have some metal. It is cumbersome. Will they steal it from my safebox? Will they find it in the secret recess in my chimney? Will one of my trusted relatives have a slip of the tongue and rat me out?
I have many pennies. Some are of copper. I could sort through them and trade them in for quarters. The rest are fake, made of steel and whatever.
I have some hunks of pipe in the backyard.
I have a gun/ its made of metal
I have bullets/ all of lead
I have a mind/ and a notion
to shoot some unamed / fella dead
Precious Metal indeed.
Bravo!
I'll buy any '43 coppers or '44 steelies you got for $.50 each.
Wow...
It did trade as high as $42.49,but has now droped back too $42.32, last I seen...
Got to go and change my shorts now.....
All sticky.....
Gold/Silver ratio is now 35:1 and dropping...
LRC - you are absolutely on the right track, and you have a very long way to go. Imagine being 70 years old, as I am. What if you have been as smart as you now are for 45 more years - how well will you be fixed for your final 20 or so years. The trick is to be sure you understand your own mind and stay with your convictions - always questioning your assumptions, but never letting the roar of the crowd distract you from your goals. You sound like a smart and balanced young person - just don't get carried away with how smart you are. You will discover that smart is a dime a dozen. Use your god-given powers of judgment to follow your own path in life, and by the way, spend some of your time enjoying the finer things - love, happiness, compassion, forgiveness, charity, and hope. Just keep doing what you're already doing and you will be fine - and those around you who you care for and who are now doubters will ultimately be guided by your light.
"...enjoying the finer things - love, happiness, compassion, forgiveness, charity, and hope."
+3
IS JESSE JACKSON ON THE DOWN LOW?
CHECK OUT THE LINK AT DRUDGE.
I THINK HE PROBABLY JUST HAS A WIDE STANCE
tapped it. not worth the trade.
Check out these charts of silver priced in foreign currencies.
Almost going straight up right now.
Is it sustainable?
http://stockcharts.com/freecharts/candleglance.html?$SILVER:FXE,$SILVER:FXY,$SILVER:FXC,$SILVER:FXS,$SILVER:FXA,$SILVER:FXM,$SILVER:FXB,$SILVER:FXF|D
You need to go ask your momo herdmaster and hero, the Bernank himself --- only he can really answer that question. But the likely answer is not hard to guess.
Better question: Is the US federal debt, and the Fed's monetization of it via the Treasury "market", sustainable?
Yes, much better question.......seems not enough people asking it though.
"Is it sustainable?"
Is that what you asked at 25? 35?
Robofail, next star at failblog
Silver For The People:
http://www.youtube.com/user/BrotherJohnF?feature=mhum
No, likely not - better sell me all the physical silver you have now before it's too late.
Three G's: Guns, Gold(silver) & Groceries(garden).
Not here yet, but the wind is blowing their way...
Mr Larouche brought me to the realisation that Abraham Lincoln and FDR were the two greatest destroyers of American Freedom in the history of the country.For this,I am ever greatful to him.
I don't know who Mr Larouche is, but any student of freedom could have told you that much. I'd throw Woodrow W. in there too, and many others.........
If Joe Biden would promise to sleep during work hours, I could see myself one day voting him one of the top five presidents of all time.
Sadly, I can't help thinking he'd wake up if he was in the top job.
Sold some stock today and bought a roll of 25 Maples at 3% over spot.
I say she runs up to $50, gets hammered a bit as well as over the summer and heads off to $90 by year end.
This troll capitulated and documented buying a box of eagles at 31 back in the ancient days when silver crossed thirty one twice after the correction.
Ive been in it since silver was six something and.dont regret selling at 24 ish. Unlike some robotrolls i document my trades in real time.
The first $25000 gets my last box. I sell out if and when it hits fifty and will be looking for the next big thing. Real Estate? When the party is almost over its time to leave. I wont be the last one out the door.
Sorry for you troll, you think in FRN's.
$42?! Jesus Christ! You mean I can finally afford a three-inch bronze Henry Paulson medal.
http://catalog.usmint.gov/webapp/wcs/stores/servlet/ProductDisplay?catal...
LOL. Post of the day!
If a silver dollar could buy four burgers in 1964 what would it buy today? I'd say about 10 good In-n-Out burgers today. Still think silver is underpriced?
I think about the same question a lot in a different way. Gas was around 31.9 in 1963. (Based on a google image search I did; good luck with that shit). So a quarter would essentially get you a gallon of gas.
Now a silver quarter will fetch $7.63, which will get you a lot more than a gallon of gas in the U.S. Still think silver is underpriced? I ask myself.
Yeah, I do. They cut off silver coinage in 1964 for a reason. And not 7 years later did Nixon slam the gold window closed shut on deGaulle's hands.
Gold was at $35 an ounce, which is absurdly low given the deficits the U.S. was running during the Vietnam War years. Silver was absurdly low too.
We're only beginning to see how absurdly low now.
There is less per person now than then and the demand, both industrial and retail, have gone up considerably in recent years. Ask yourself if a finite asset is becoming more rare will it be more valuable in the future. Or you can pretend something doesn't change in value over time if it becomes scarce.
Hey Lets_Eat_Ben.......
Your title and mine goes together pretty well.
Banksters-in-my feces.....
Well it's supposed to say Banksters,can't spell so Bansters it is.
deflation is not possible in the current debt-based reserve currency regime. Deflationists do not understand the basic and fundamental human element that underpins the perpetual inflation mechanism of a global fiat currency governed by politics and discretionary banking. At the most basic level it should be understood that the keynesian model is DESIGNED to inflate to maximum potential and then implode. This implosion is already underway and being reflected in deflating assets that rely on credit-based lending. Housing. The majority of it absorbs the massive incrmentl losses from the collapsing leveraged OTC derivative structures, true. Yet essential real goods will continue to inflate due to the misdirected monetary stimulus and the obvious reality of HUMAN EXISTANCE. food, energy and precious metals will continue to go up. They may suffer temporary declines during marketwide panic sellofs, but the NATURE of CONTINUED EXISTENCE and commerce, even if through CRUDE BARTER and less robust markets will reflect the demand for these essential goods balanced by the QUANTITY of CURRENCY circulating through the system.
At some point, all deflationists wil have to accept that they just didn't get it. Maybe because they are just not smart enough, or maybe because they spent too much time in a wet blnket as an infant. I don't know. The writing is on the wall. There is no example of a sustained deflationary collapse under a discretionary fiat regime in modern times. There are only examples of hyperinflationary and worthless paper currencies replaced by real assets and then further new soon-to-be-worthless paper currencies based on the just-saved-the-world real assets. There is no point arguing these facts with deflationists aka shills aka fully functioning retards. Just sell all of your nonessential assets, sever all of your worthless and potentially burdensome social ties and accumulate real assets + ammunition. From all indications there will be absolutely no warning when all of this preparation and "paranoia" will be suddenly and desperately THE ONLY OPTION LEFT. At that point, science fiction will commence and all of this internet trolling and shit-talking will seem really, really far away and long ago.
Seriously. If the troll who is talking down the culminating reality is REALLY putting his money where his mouth is and NOT preparing for a hyperinflationary endgame, then he/she will get what's coming to them. mad max, "the road", some other horrific dystopia will be reward enough for them. end rant.
http://www.readtheticker.com/Pages/Blog1.aspx?65tf=140_timing-silver-prices-with-100-accuracy-2011-02
http://www.readtheticker.com/Pages/Blog1.aspx?65tf=136_silver-can-swing-your-wealth-between-rich-and-poor-2011-02
http://www.readtheticker.com/Pages/Blog1.aspx?65tf=140_timing-silver-prices-with-100-accuracy-2011-02
http://www.readtheticker.com/Pages/Blog1.aspx?65tf=136_silver-can-swing-your-wealth-between-rich-and-poor-2011-02
fuck, I'm so late to the party.. I've got some FRNs gathered and ready to go I just .. can't bring myself to pull the trigger.. yet.. and get some physical. I watched it since the mid 20s but didn't have dry powder. I also don't want to mess with a leveraged position/paper contracts.
I *hate* buying at the peak. I'll give it till the summer, thing should heat up by then .. either way
BTW I'm 25 as well. Got a friend working for JP Morgue. Seen him the other day after a year or so, was surprised (why?) to find that he seemed not at all worried about the economy.
Toxic8, you might feel "late to the party", but at least you got here --- 98% of Americans (presuming you are one) are willing to remain willfully clueless, and therefore are never going to arrive at all. As they say, "better late than never".
Go to your local coin shop and buy a small amount. Start with one 10 ounce silver bar, one gold coin, etc. If you are like me and my buddy it will change you. You will soon start to think in how many ounces of gold and silver you have.
You are not late to the party.
How many people do you know in real life that is buying silver?
They are the ones that are late to the party. Not you.
You do not have to pull a trigger.
All you have to do is scale in by buying in small quantities.
It's like pulling a trigger of a water gun. Not scary at all.
If it still scares you, learn some basic risk management and technical analysis.
Knowledge will let you overcome your emotions.
Buying a the peak will not kill you.
You have plenty of time to recover even if silver has a major correction.
You are still 25.
If possible, try to live with your parents and do not own a car.
Saving will allow you to invest more.
Investment in the right direction will allow free you from economic worries.
Investment done properly can embarrass your friends at big financial institutions, just like I did.
You will make mistakes, but you have the time to recover and learn.
After all, we are 25. (yes, I'm 25 too)
Live with parents and don't own a car?
That's the definition of Hell.
Get yer ass outa your momma's house, buy yer own transporation, and grow the fuck up.
If it's guys and gals like you who are buying silver, you are either a very lucky, geniuses, or the top of the market.
Basically, yer parasites. And when the host dies, so do you.
Time to get some survival skills and depending on others is going the opposite direction, yer developing infantile skills. If the only risk you are taking is gambling on a PM, (and there's no reason in the world not to own, some but TBTP) you are in for some very hard times in your 40s, should you live that long.
I live in a country with better public transportation. (Japan)
I also lived in the U.S. so I know that in some urban areas, you can get around without a car.
By the way, I have been successfully investing in equities since high school and graduated a Japanese equivalent of an Ivy league University.
So, I have a decent job and I will not die if my parants did.
I just know that spending less while being young means a exponentially bigger snowball, meaning a better time in my 40s.
Also, if you have common sense or knowledge of history and some global perspective,
you should know that living with your parants is a very common thing,
and the easiest way to avoid excessive spending and debt.
Its easy and effective as drying the laundry in the sun instead of using a dryer.
It may look poor and rediculous for some (especially Americans), but this is the most efficient, effective and globally common.
That anony tripe is not worth listening to. Living with anyone doesn't suggest you don't pull your weight at home but you just save more. More people get it than that asswipe. Why would anyone listen to someone else's outside opinion about their own life? Utter nonsense.
> If the only risk you are taking is gambling on a PM
P.S. Why don't you go look at some of my previous posts before making fun of me?
You should be able to find out that I have been in Japanese equities, Uranium, FX, oil, nat gas besides PM.
Thank you everyone for your encouragement and advice. I will go ahead and make my first silver modest silver purchase soon.
I was going to go for
http://catalog.usmint.gov/webapp/wcs/stores/servlet/ProductDisplay?catal...
but it seems this set is temporarily unavailable (just a few days ago it wasn't)
I live in NYC, should be some coin dealers around.. if anyone can recommend a place it'd be much appreciated .
I know I shouldn't be watching Fox Bus. but in January this year, Liz Clayman had a SOB guest that said in 6 months to a year gold and silver would be worthless, as they are just a commodity and commodities are going to crash. Liz says, I know, gold is so last year. Is it too early to shoot her an email? The wait is killing me.
Gold and silver futures now pulling back with ES futures.
Still locked at the hip.
Perth mint are short 1Kg AG
I never hear anyone talking about using options to speculate on SLV on ZH. I know it's a gamble and ultimately a losing bet (because the silver’s probably not really there), but I've been playing (with fire) for a while now and taking money off the table to buy physical periodically... Anyone else out there doing this? Anyone want to talk me out of it? I've made a 5 bagger so far this year just on the options. My strategy is to buy long dated OTM calls and then sell off the top part (turn it into a vertical) when they near (say 90 days out), then use the proceeds to buy even longer dated calls. Sometimes I buy puts to hedge. Anyone have any better strategies?
Also, why doesn’t ZH have private messaging (or do they)? I’m a poker player and the poker forums have this feature, which is great. If you spot someone you want to chat with, you can sent them private messages to compare notes and talk strategies, etc. I wish ZH would create this…
Options on SLV key. Only downside is most of the big move happens outside of the regular session on the SI contract.
Like your strategy, though personally i wouldnt try and go too far out as youre mostly paying for the theta then. But really nice on huge up days like we've had a few times this month.
Agree on pm system btw. Should really be implemented here..
I would be buying options if I had the experience. Instead of owning SLV and DBS for years I would have leveraged them and made more money, a lot more money. Check our Turd Ferguson's blog tfmetalsreport.blogspot.com. He is doing this and there are some smart people on his comments page.
The market operators ie banksters are earning their revenues nowadays by driving the USD index down and pumping up everything else. This process will continue till there are no long positions left in the USD index and no short positions in any of the commodities, stock or currencies other than the USD.
The operators are then likely to take the long position on the dollar and short position on everything else. They would then use their money power to move the markets in the direction which would get them the maximum profit while screwing all other traders / hedge funds / investors.
The stock, commodity and currency exchanges have been reduced to gambling dens whereby the more powerful traders with deep pockets move the markets to maximize their own profits at the expense of the remaining not so powerful players. The big boys have enormous money power to move the markets in the direction which results in maximum profits for themselves. They effectively use the media to lure the other players in the market to a position where they would incur maximum loss.
The markets will fall only when the banksters have eliminated all the short positions and only they themselves have positioned themselves to profit when the market falls
OR
When an unexpected world event catches the banksters with their pants down and the softwares they use to rig the markets go berserk beyond their control.
http://www.marketoracle.co.uk/Article24581.html
Blythe gonna be fucked by huge silver dildo... like that chick
http://www.sunporno.com/tube/videos/34302/milf-double-penetration.html
Those gal(s) are Robo-Sexuals! (not that there's anything wrong with that!) :>D
This is just beyond an outrage and it unequivocably demonstrates how corrupt our whole system of banking and Government has become (the head of the CFTC is a former Goldman executive). I can't even begin to express how infuriating this is. Unfortunately, and it really makes me seethe to admit this, Karl Marx was 100% correct when he stated that - to paraphrase - the capitalist system would destroy itself through widespread corporate corruption and fraud. Think I'm kidding? Look at that article above and then understand that the massive Glencore IPO about to commence in London is Marc Rich's former company, with one of its senior directors as ex-British Petroleum CEO and crook, Tony Heyward. Just can't make this shit up...anyone wondering why gold and silver keep hitting multi-decade highs everyday is an idiot for wondering...
***Late edition*** I had no choice but to add this quote just sent to me from a colleague:
I am glad you were able to post this report, I did not know how to but felt it was very good.
@ 8:51 am BST Hello 41 again! The price takes hours to build up and less than half an hour to completely reverse. What the Lord giveth, the Lord taketh away.
However, this proves one thing in my mind.
NO collusion to BUY
MASSIVE collusion to sell
or to put it another way
nowhere near mass hysteria in the buying side
total crap in the pants time on the sell side
The problom with silver is that it has overextended supply and all its rise has been investor led rather than economic growth led. Silver industrial use has been steadily falling and being replaced by copper and composites.
So while am a bull on this purely as a dollar story, Silver is way too overpriced from its historical values over 100 years. You only need to look once at the outstanding traders report to see speculative demand taking silver up. Some day soon they will unload and then it will correct.
But Silver rise is speculative and that is the point. Unlike copper which is led by economic growth.
Hoping this chart comes through. From Big Gold newsletter quoting The World Gold Council. In case it doesn't here is silver.
Demand Supply
Jewlery Investment/bars and coins Technology/industry Mine production Recyling Other
25% 25% 50% 79% 19% 2%
I recall quite a few speculators saying in interviews that $42 silver was their selling point. People with big enough stashes to get out and retire. The long-awaited Big Dip could be just round the corner. Then it goes stratospheric, of course. I'm thinking wait for TFD then BBBBBBBBBB!
Props 2009:
Ermmm, new uses for Silver being found all the time and industrial usage hasn't dipped as significantly as you imply. Silver has maybe 20 years left before its supply dries up, so although its current 'surge' may be partly speculator driven, that's not excatly the truth, the whole truth and nothing but the truth.
As to historical values, 100 years is hardly the best time frame on which to rest your case. Go back over a few millenia and it's a totally different story. Add to that the fact that we're probably on the verge of Silver becoming a universally accepted form of money once again, the USA on the brink of disbandment (look at the number of States now looking to make Silver legal tender... that's only the start) and your assumptions look rather feeble to me.
Zero Power:
It may well have hit its highs after trading hours (24 hour trading in Silver, so don't know where you're coming from with that... Australasia doesn't count??), BUT my point is that it takes hours to make a new high, but less than an hour (sometime only 15 minutes) to wipe out a fair chunk of the upswing. When it sold off at 8:21 today it took just over half an hour to wipe out gains that had taken over 12 hours to amass. That is more often the case than not.
price just shot up to $42.6. anyone care to guess what the close price for the week will be? will it breach $43 before the weekend or after?
over 23% gain in the last 4 weeks. must be due a breather, surely?