Gold Tumbles Most Since July (As Bitcoin Bounces)

Gold is down over 1% this morning, extending recent weakness to 3-week lows on the basis that the world didn't end (and the debt ceiling was extended) we presume. Notably, both USDJPY and Bitcoin are mirroring the precious metal's move...

It seems gold's stop-run over the election night highs prompted the reversal...

Kuroda has been busy the last week or so saving the world with Yen-carry trades...

 

But it seems the sudden realization that China's crackdown in crypto is not such a big deal has prompted some rotation...

 

The dollar index is on the rise also.

Comments

Eager Beaver tmosley Mon, 09/18/2017 - 13:33 Permalink

Some idiot said:

To me the warning sign is the absolute fanatical behavior people on the inside have. They talk about using bitcoin in day to day use, how EVERYONE will switch to it and so on, it blows my mind.

Like the absolute fanatical behavior of those people on the inside who built the Internet, you mean? Those are the same people behind this decentralized world too, does anyone here know that? Same folks. I've been a part of this my whole life, we tend to be a bit on the anarchy, libertariany and sociallisty side, we who build all your shit for free, just because we can, but also because we need and want it too, and because we find value in it, some of us like the fame and fortune, we all love the money. No, no money to be had in these "invisible worthless tulip" technologies. No value in any of that rot. Right? Your world is built out of our labor and effort and passion, even if it does sometimes appear fanatical to the lemmings on the outside who can peck a phone as well as a trained pigeon. But hey, if that's a warning sign to you, seeing passion, in the raw, then stay the fuck away, please. The mass adoption of technology hasn't exactly been a benefit for it, other than the money you lemmings drop on it.

In reply to by tmosley

tion E-Knight Mon, 09/18/2017 - 14:01 Permalink

The problem is that we are not self sufficient as a nation. Go to the store and look around for items that were manufactured in America.  Then ask yourself where the materials it is compiled from were made and where the raw materials came from.  I think that any sort of overreliance on blockchain could even be a dangerous thing.  Hopefully, regardless of what is to come people can always have their basic needs met (not starve/freeze) without bitcoin or physical gold because most would be shit out of luck.  But the reality of the situation is that some of us will still need to import things, if not finished goods then at least materials for a time, because the production of our nation has been gutted - bitcoin will facilitate that type of trade better than physical gold.  If the FRN fails, people will need to receive in payment from their customers currency that their materials suppliers would accept in a sufficient quantity that could at least cover costs.

In reply to by E-Knight

realmoney2015 BaBaBouy Mon, 09/18/2017 - 11:49 Permalink

Just a bump along the road. Gold will hold it's value much longer than Bitcoin. The reason to own gold is not in the daily 'market' fluctuations. It's because it is a store of value for decades and even centuries. Gold and silver can buy the same things as it could 50 years ago. What will Bitcoin be worth in 50 years? Gold and silver should be the basis of a sound monetary system. To help spread this message we sell candles with silver coin prizes. We also run a campaign on Facebook: https://m.facebook.com/scentsaverscandlesWe have posts that help explain and show the importance of real money. For example, Article 1 Section 10 if the US Constitution says only Gold and Silver can be legal tender. End the Fed!

In reply to by BaBaBouy

Creepy_Azz_Crackaah realmoney2015 Mon, 09/18/2017 - 12:26 Permalink

The vast majority of physical gold is still held by gubmints with YUGE guns. 1/8 to 1/4 of bitcoin is held by a guy in his mom's basement (Satoshi).

Until bitcoin is held/used by the entities with the YUGE guns, bitcoin will simply bounce around with MASSIVE swings as a speculation vehicle. Of course somebody, for a fee, will allow you to exchange your bitcoins for spendable money.

In reply to by realmoney2015

Yukon Cornholius kochevnik Mon, 09/18/2017 - 12:34 Permalink

Fun fact...

As AH and Co. were conquering Europe the gold they seized from national governments (Austria, Czechoslovakia, Netherlands, Belgium) ended up in the newly founded Bank for International settlements (founded by a Danish kraut named Hjalmar Schacht...AH's finance minister), as well as the Bank of England with Schacht's BFF Montagu Norman (Rothschild).

See how it all comes together?

In reply to by kochevnik

kochevnik Al Huxley Mon, 09/18/2017 - 12:12 Permalink

Trade Jew fiat against another Jew fiat, buy hard assets with profits. Jew toilet paper always price varying as market knows it has negative value. Everyone subconsciously wants to eliminate it, like toxic waste.  It twitches like zombie shocked by sparks of electronic trading signals, making the corpse appear alive

In reply to by Al Huxley

bobsmith5 FreeShitter Mon, 09/18/2017 - 14:37 Permalink

The Rothschild family has been manipulating money and markets for over 200 years. Yet, while they owned half of all the gold mined globally they hated it because it limited their desire for unlimited control of the world. Now they have their lead to gold alchemy in the form of a global fiat monetary system. Controlling the price of pm's are at the center of this global power.

In reply to by FreeShitter

GodHelpAmerica Mon, 09/18/2017 - 11:35 Permalink

Rotation? Wtf is this crap?

You first ackowledge that Kuroda is moving markets.

And then you conclude that market participants are rotating asset classes based on logic and reason ?

This is garbage. Plain and simple.