Understanding Why The Gold Price Is Falling
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CharlesMcLain
Fly on the Wall
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I don’t buy into Ben Bernanke’s magic tricks…. How can devaluating your currency elevate the economy out of a recession aftermath??? Hints on tapering of qualitative easing measures has set gold and silver price on a further decline. I guess with gold edging even lower than the April’s dramatic low, government mint bullion coins will be on a massive demand.
as ive exceeded the 'fair use' allowance on a friends dongle, I am currently unable to view the video in the o.p.
A couple of thoughts on p.o.g. though -
We are told that the commercial banks have now offloaded their short paper gold bets onto the hedge funds and can expect to see prices rising in future.
Yet the hedgies aren't stupid and they have been shown how easy it is to move the gold markets down with a bit of timely dumping.
And it may be that they feel even less constrained than the likes of JP Morgan in such behaviour.
In which case, do we see a reversal of the battle lines ?
and just what happens when the p.o.g. is pushed down so far that its impossible for the fed and other C.B's to feed out enough physical metal to try and keep the lid on physical demand ?
It seems like the way they have conveniently fixed the p.o.g. every day could now work against them and a new way will need to be created to reflect metal demand.
I take the view (based on FOFOA's thinking) that we have to see the paper 'price' go to zero and for gold to 'go into hiding' ie. no one will sell and that this is now happening.
Interesting, yet worrying times eh
A couple of thoughts on p.o.g. though -
We are told that the commercial banks have now offloaded their short paper gold bets onto the hedge funds and can expect to see prices rising in future.
Yet the hedgies aren't stupid and they have been shown how easy it is to move the gold markets down with a bit of timely dumping.
And it may be that they feel even less constrained than the likes of JP Morgan in such behaviour.
In which case, do we see a reversal of the battle lines ?
and just what happens when the p.o.g. is pushed down so far that its impossible for the fed and other C.B's to feed out enough physical metal to try and keep the lid on physical demand ?
It seems like the way they have conveniently fixed the p.o.g. every day could now work against them and a new way will need to be created to reflect metal demand.
I take the view (based on FOFOA's thinking) that we have to see the paper 'price' go to zero and for gold to 'go into hiding' ie. no one will sell and that this is now happening.
Interesting, yet worrying times eh
Bull versus Bear indicators for gold:
http://www.visualcapitalist.com/whats-next-for-gold-bear-vs-bull-infographic
http://www.visualcapitalist.com/whats-next-for-gold-bear-vs-bull-infographic
Pretty good breakdown of the sources of demand for gold:
http://www.corruptionofrealmoney.com/displayfullarticles.php?id=14
While the demand of physical gold is up almost across the board, there have been massive outflows from the paper gold ETF type sectors.
http://www.corruptionofrealmoney.com/displayfullarticles.php?id=14
While the demand of physical gold is up almost across the board, there have been massive outflows from the paper gold ETF type sectors.
DoChenRollingBearing
Yellow Jacket
...
It has been quite the past two months.
Things do seem to have speeded up! I will be glad to be back at Fort DCRB very soon. Gun(s) at hand while there, fiat$ at hand when I go to the LCS. Hope they still have some Au, I suspect they will have plenty. Until they don't.
It has been quite the past two months.
Things do seem to have speeded up! I will be glad to be back at Fort DCRB very soon. Gun(s) at hand while there, fiat$ at hand when I go to the LCS. Hope they still have some Au, I suspect they will have plenty. Until they don't.