Do I detect a slight difference in direction here? Caron says $1307 within 2 weeks?
Given this fast $140 run in gold and the price damage beforehand, I agree gold could consolidate and move lower over the next two weeks, tho I am not a short-term gold trader, and I stay away from comex paper.
I am a long-term bullion trader. With due respect to Caron, I nevertheless believe gold is more likely headed to 1907 rather than 1307. I think it would require a shock to get gold down to the low levels predicted by other members here. Instead, Europe has discovered US-style bank tarp and monetary easing, while US China Japan and UK are easing too. December witnessed significant policy changes in Europe & China and probably saw an important low in gold & silver. I think new highs are more likely ahead rather than new lows. We will see. Currently every buy point I made in December is currently higher now, the last one sharply so.
Survey: Gold price to increase in 2012 Send to a friend
Tuesday, 17 January 2012 22:06
digg
Johannesburg. Mining companies expect the price of gold to continue to increase this year, with firms surveyed by PricewaterhouseCoopers (PwC) expecting the precious metal to peak at $2,000/oz this year.
In its latest Gold Price Report, PwC said that 80 per cent of mining companies expect higher gold prices in 2012, with only 6 per cent anticipating a decline. Predictions from executives surveyed hovered at the $2,000/oz mark, with the highest prediction at $2,500/oz and the lowest at $1,350/oz.Gold, which topped $1,900/oz last year, traded at $1,640/oz on Monday. Survey: Gold price to increase in 2012
Who said this? Probably some wacko with a tin hat, no?
Originally Posted by Mary R
.... (when) reality sets in that (gold is) just a piece of worthless metal . It's one of the mass delusions of the human race.
I just can't let that go any longer.
And the quote is:
"In the absence of the gold (commodity) standard, there is no way to protect savings from confiscation through inflation.....The financial policy of the welfare state requires that there be no way for the owners of wealth to protect themselves. This is the shabby secret of the welfare statists' tirades against the gold. Deficit spending is simply a scheme for the confiscation of wealth. Gold stands in the way of this insidious process. It stands as a protector of property rights. If one grasps this, one has no difficulty in understanding the statists' anatgonism toward the gold standard."
And the quote is:
"In the absence of the gold (commodity) standard, there is no way to protect savings from confiscation through inflation.....The financial policy of the welfare state requires that there be no way for the owners of wealth to protect themselves. This is the shabby secret of the welfare statists' tirades against the gold. Deficit spending is simply a scheme for the confiscation of wealth. Gold stands in the way of this insidious process. It stands as a protector of property rights. If one grasps this, one has no difficulty in understanding the statists' anatgonism toward the gold standard."
Any idea who said that?
1966 -ALAN GREENSPAN AT THE TIME HE WAS INFATUATED WITH AYN RAND...............
"THE ABSENCE OF THE GOLD STANARD, THERE IS NO WAY TO PROTECT SAVINGS FROM CONFISCATION THROUGH INFLATION...THIS IS THE SHABY SECRET OF THE WELFARE STATIST' S TIRADE AGAINST GOLD. DEFICIT SPENDING IS SIMPLY A SCHEME FOR CONSFISCATION OF WEALTH. GOLD STANDS IN A WAY OF THIS INSIDIOUS PROCESS. IT STANDS AS A PROTECTOR OF PROPERTY RIGHTS, IF ONE GRASPS THIS ONE HAS NO DIFFICULTY IN UNDERSTANDING THE STATISTS' ANATGONISM TOWARD THE GOLD STANDARD
Wonderful quote and truth! It is sooo sad how much both he and the greatest republic declined since then.
Another point about the welfare state and gold:.. Gold ownership does not necessarily protect the savings of those forced to pay capital gains tax on inflationary gains (i.e., you can lose purchasing power in a rising asset, after-tax and inflation). Collecting tax revenue on inflationary gains is another incentive for insolvent governments to inflate. So expect more QE from cash-strapped countries.
1966 -ALAN GREENSPAN AT THE TIME HE WAS INFATUATED WITH AYN RAND...............
"THE ABSENCE OF THE GOLD STANARD, THERE IS NO WAY TO PROTECT SAVINGS FROM CONFISCATION THROUGH INFLATION...THIS IS THE SHABY SECRET OF THE WELFARE STATIST' S TIRADE AGAINST GOLD. DEFICIT SPENDING IS SIMPLY A SCHEME FOR CONSFISCATION OF WEALTH. GOLD STANDS IN A WAY OF THIS INSIDIOUS PROCESS. IT STANDS AS A PROTECTOR OF PROPERTY RIGHTS, IF ONE GRASPS THIS ONE HAS NO DIFFICULTY IN UNDERSTANDING THE STATISTS' ANATGONISM TOWARD THE GOLD STANDARD
The few people who know the truth about Greenspan's career and life history are amazed at what an incompetent and dangerous clown he really was . Even when he was with the old consulting firm Townsend Greenspan most of his market predictions were invariably wrong. But he was appointed Fed chairman by a man with Alzheimer's Disease so what can you expect?
Gold hit the $1,670 resistance level in overnight trading and finds itself nicely stuck in the middle of the range this morning. Euphoria continues as the two worst indexes in 2011 are so far the best performing in 2012: the financials and home builders. Confirmation that we have turned the corner will need to come from the bond market. Interest rate yields must begin to rise for confirmation. If not, it indicates lack of confirmation in the equity markets. I still believe this is a short term trade in the equities. The economic realities still portend a recession in Europe this year, which should impact earnings.
The metals are treading water. They should be moving higher if the trend from last year is still in place, where the metals move in tandem with the equity markets. If they have de-coupled, the short term may be a difficult period for gold to outperform. The industrial metals should close the gap with gold on a ratio basis.
Note: An industry colleague of mine is seeking user feedback for an exciting new web application he is developing. The app allows users to track the performance of their precious metals. A free demo is available here: www.bulliontracking.com/en/try/
Three May Be Oil Bulls Lucky Number as Global Growth Prospects and Geopolitical Tensions lend Support above $100.00 /bbl
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Three May Be Oil Bulls Lucky Number as Global Growth Prospects and Geopolitical Tensions lend Support above $100.00 /bbl
Greg,
Is that a postponement or a surrender about a collapse in crude and 1.10 usd/cad?
But you were absolutely right last year about the coming international isolation of Iran, to my skepticism.
Nevertheless I think the thing about crude nowadays is that Brent pulls on WTI, not vice versa.
Lunar new year marks gold peak.. Asia offline; Fed JPM etc will manipulate downward
Originally Posted by metalsmtl
Gold hit the $1,670 resistance level in overnight trading and finds itself nicely stuck in the middle of the range this morning.
That $1670 in Asia coincided with the last full day of busy Asian trading before Lunar New Year. Expect it to mark a temporary peak. Asian buying in advance of New Year helped drive gold up $150 and silver up $5, and now with most of Asia off-line for a week and then quiet, expect the Fed and its agents to drive G&S prices lower again with non-backed paper, to create an illusion of metal weakness and confidence in their fiat. Just like they did last year during holiday.
London Traders wrote an excellent piece yesterday about the gold & silver price action and physical vs futures:
-----------------------------------------------
“They are naked short on the COMEX and to meet immediate delivery demand they are having to borrow it from the SLV. It is still unwinding and it’s still got a long way to go. Yes, you will still see games being played and yes you can create paper gold out of thin air. But there comes a point where each time you do that the physical buyers are taking it and it has a lagging effect that will catch up, and eventually it gets reflected in the price.
The demand for euro gold here in London is so intense it’s shocking to some of the players. This is what has left some market participants in the US wondering why the price of gold has risen along with the dollar. It’s because demand in the eurozone is unimaginably strong. The euro physical gold demand is off the charts and it is creating shortages for metal, in size, here in London.
We are also seeing very strong markets in Asia with solid premiums. Silver is in backwardation. There are huge premiums for size (large tonnage orders) in silver and you are going to wait 3, 4 or 5 weeks for delivery. There is constant backwardation into the March futures contract. For the most part, the bid on silver spot has been higher than the ask on March futures.
These paper markets are a joke. Nobody who is seriously in the business of taking physical delivery is trading on the COMEX anymore. That is big news. The COMEX is no longer a credible marketplace.
You now have international funds, whose compliance departments are saying to them, ‘You can no longer trade on the Comex because the CME did not back client accounts.’ There are a tremendous number of international funds and hedge funds that can no longer trade on the COMEX as of the first of this year because of compliance reasons and no one is talking about this. This is huge news.
There are massive orders for sovereign entities under the market here. The Chinese are long-term thinkers and they really don’t care whether they are paying $1,600 or $1,700 for gold. What they do is get the best price they can. When the new floor eventually becomes $1,700, they will buy everything available at that price. When it becomes $1,800 they will buy at that price. They are just looking to accumulate gold and they are never sellers, never.
There are two things here. Yes, China wants a cheap gold price and they’ve been enjoying the fact the gold market was taken down. They have recently taken another roughly 150 tons away from the Western central banks. The Western central banks essentially donated that gold in an attempt to prop up their paper currencies. Yet again these traitorous Western central bankers have given away more power.
I see gold as power and once again they have given it away to the Eastern Hemisphere. The Chinese continue to laugh. As much as the Chinese would like to have a cheap gold price and have this manipulation keep going, they also want to bring the renminbi to the center stage.
To them, it’s more important the Chinese currency becomes the world’s currency. The dollar, despite the latest rally, is dying, we all know it’s dying. So, the Chinese are moving to become the international currency of the world and the best way to do that is through gold. It’s a very clever tactic. Every time more gold arrives in China, the more their currency is backed, the closer they move technically to becoming the world’s reserve currency.”
The flow of gold from Western vaults to Eastern vaults is the most important symbol of the decline of the West. As the East rises, the West falls. “So goes the gold, so goes the power.” Remember to be your own central bank by owning physical gold. Many in Europe have apparently figured this out as gold demand is, “off the chart".
^
I disagree with their comments about a coming Chinese currency domination. That would hurt chinese exports. China US and Europe are engaged in a currency devaluation / race-to-the-bottom, as each seeks export advantage against the others. Even the Swiss devalued last year. Almost all currencies will be lousy losers. That is why you want to get gold or silver, which cannot be competitively devalued like the fiats.
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Originally Posted by Alejandro Zambrano 
