Is there something I don't know about?
US IR to remain where they are? Ben's speech topday suggested its up to the banks to help out not the Fed.
Or it may have something to do with a rumour that the gold bubble is a massive fraud and made up of fiat paper saying it represents physical gold but doesn't.
Or it may have something to do with a rumour that the gold bubble is a massive fraud and made up of fiat paper saying it represents physical gold but doesn't.
QUOTE (Marcos Scriven @ Mar 4 2008, 05:52 PM) 
Is there something I don't know about?
Steve
Bloomberg say Opec are now likely to maintain production (versus cutting), so oil prices fell, this reduced inflation risks, which hit the gold price.
Everybody is selling everything they can lay their hands on
Click to view attachment
Ok, slight hyperbolic exaggeration in the spirit of the subject matter
Click to view attachment
Ok, slight hyperbolic exaggeration in the spirit of the subject matter
Natural Profit taking.
http://www.marketwatch.com/news/story/gold...7073EF40FDC1%7D
Gold futures drop sharply on profit-taking
http://www.bloomberg.com/apps/news?pid=206...&refer=home
QUOTE
Commodity Prices Plunge a Day After Records for Oil, Gold, Corn
By Steve Stroth
March 4 (Bloomberg) -- Commodities plunged the most in almost six weeks as oil, gold and corn fell from record highs.
The UBS Bloomberg Constant Maturity Commodity Index of 26 futures contracts fell 23.3452, or 1.5 percent, to 1,513.966 at 11:33 a.m. in New York. A close at that price would be the biggest decline since Jan. 23.
Oil, gasoline and heating oil fell from a record on signs that the Organization of Petroleum Exporting Countries will leave production targets unchanged when ministers meet tomorrow. Gold fell as lower energy prices eroded the metals appeal as an inflation hedge.
By Steve Stroth
March 4 (Bloomberg) -- Commodities plunged the most in almost six weeks as oil, gold and corn fell from record highs.
The UBS Bloomberg Constant Maturity Commodity Index of 26 futures contracts fell 23.3452, or 1.5 percent, to 1,513.966 at 11:33 a.m. in New York. A close at that price would be the biggest decline since Jan. 23.
Oil, gasoline and heating oil fell from a record on signs that the Organization of Petroleum Exporting Countries will leave production targets unchanged when ministers meet tomorrow. Gold fell as lower energy prices eroded the metals appeal as an inflation hedge.
probably the london fix
gold price is fixed twice daily in london, the price of gold often follows the dollar
gold price is fixed twice daily in london, the price of gold often follows the dollar
and etfs silver down 17% ???
I know what it was!!
Warren Buffetts investment letter was published on the net today:
http://www.berkshirehathaway.com/letters/2007ltr.pdf
The great commodities bust he spoke about last year possibly???
Warren Buffetts investment letter was published on the net today:
http://www.berkshirehathaway.com/letters/2007ltr.pdf
The great commodities bust he spoke about last year possibly???
QUOTE (Red Kharma @ Mar 4 2008, 05:57 PM)
I have to admit, I can see both the arguments: that gold is a store of value and that it's in a classic bubble.
In fact, I think they are both right. Just because houses got themselves in a bubble, does not mean they don't have their uses, or that the underlying value won't increase over time. Same goes for the soft stuff.
People who bought gold and houses in the mid nineties, and don't have debt attached, are both laughing. I wouldn't buy a home now, and neither would I buy gold.
I suspect however, that I sold both a bit early.
I wonder if banks expecting to have bigger writeoffs and a deflationary economy have begun dumping it?
I'd venture two ideas:
- Some big operators are shaking the market to trigger all the small punters' stop losses, to buy the stuff on the cheap.
- The Dow looks like a sick dog, the depression scenario might be coming back to the fore vs. the inflation scenario hence the fall in commodities.
Maybe a combination of the two? Too much 'hot' money in the commodities markets anyway, I guess we can expect serious volatiliy and nervourness?
Edit: just looked at the other markets, Dow down, $ down big time, bonds down, commodities down, it sounds like Mr Market is entering a depressive phase. Until the next bit of news...
- Some big operators are shaking the market to trigger all the small punters' stop losses, to buy the stuff on the cheap.
- The Dow looks like a sick dog, the depression scenario might be coming back to the fore vs. the inflation scenario hence the fall in commodities.
Maybe a combination of the two? Too much 'hot' money in the commodities markets anyway, I guess we can expect serious volatiliy and nervourness?
Edit: just looked at the other markets, Dow down, $ down big time, bonds down, commodities down, it sounds like Mr Market is entering a depressive phase. Until the next bit of news...
Its about time for all assets to dive bomb together IMO, its gone on too long, looks like commodities have posted a blowoff top in the last few months.
QUOTE (Realistbear @ Mar 4 2008, 05:55 PM)
US IR to remain where they are? Ben's speech topday suggested its up to the banks to help out not the Fed.
Or it may have something to do with a rumour that the gold bubble is a massive fraud and made up of fiat paper saying it represents physical gold but doesn't.
Or it may have something to do with a rumour that the gold bubble is a massive fraud and made up of fiat paper saying it represents physical gold but doesn't.
Is that what he said RB - no more rate cuts for the foreseeable future? Couldn't quite make out from the other thread what he had actually said or not said? If so, sounds like an admission that reducing IRs is not going to solve this turkey problem.
QUOTE (The Masked Tulip @ Mar 4 2008, 06:55 PM)
Is that what he said RB - no more rate cuts for the foreseeable future? Couldn't quite make out from the other thread what he had actually said or not said? If so, sounds like an admission that reducing IRs is not going to solve this turkey problem.
Hedge fund unwinding to make margin calls. Across all commodities apparently. DOn't worry, you will all be able to buy even more for cheap hurrah. Oh yeah, and what RB said.
QUOTE (The Masked Tulip @ Mar 4 2008, 06:55 PM)
Is that what he said RB - no more rate cuts for the foreseeable future? Couldn't quite make out from the other thread what he had actually said or not said? If so, sounds like an admission that reducing IRs is not going to solve this turkey problem.
The ECB are starting to get heat on the strength of the Euro from german manufacturers and have been publicly urging the US to support the dollar this week. Some of this is simply rhetoric but if that fails I don't doubt they will start to take action to stop the Euro rising farther. We have BOE and ECB meetings this Thursday and FED meeting on the 18th.
In English - simple for me - please people.
Are we talking about the Fed no longer lowering IRs? The Fed raising IRs? Or the BOE and ECB lowering IRs to come in line with the Fed?
Are we talking about the Fed no longer lowering IRs? The Fed raising IRs? Or the BOE and ECB lowering IRs to come in line with the Fed?
This news just in: Apparently gold is just a lump of shiny metal which doesn't pay dividends.
http://www.bbc.co.uk/blogs/thereporters/ro...rdon_brown.html
scary
QUOTE
Gold and Gordon Brown
Gold closed yesterday at just over $981 per ounce and seems set to continue its remarkable upward path towards the magic $1,000 number.
In nominal terms, it reaches new highs on a daily basis – though adjusting for inflation it remains significantly below where it was in the inflationary world of almost 40 years ago (its nominal high back then was $850, which was briefly touched in January 1980).
What’s going on is that investors are again seeking out gold as a putatively inflation-proof store of value in uncertain times.
It looks oh-so solid and reliable compared with all those poisonous securities manufactured by brainy bankers out of defaulting US sub-prime loans.
But it is the Federal Reserve’s current mission to slash interest rates that is giving the big push to the gold price right now.
Many investors fear that the Fed has – at least for now – abandoned any notion of keeping a lid on inflation, in its apparently desperate attempt to revive the ailing US economy (which was described yesterday by the great Buffett as in recession “by any common sense definition”).
So there has been a flight out of the dollar, which has been tumbling in value, and into the shiny yellow stuff.
Which brings me to one of the least well-timed investment decisions of this or any age, Gordon Brown’s sale of 395 tonnes of our gold in 17 auctions between July 1999 and March 2002.
The average price achieved in those disposals was $275.6. Gold has since risen in value by 256% – a rate of return which would bring pride to even the cockiest of hedge-fund superstars.
Or to put it another way, 395 tonnes of gold from our official reserves that was sold for $3.5bn would now be worth $12.5bn.
So we appear to have lost out on $9bn of gains – or about $300 per taxpayer.
However, that’s a slightly simplistic view of the scale or our loss.
The $3.5bn of revenue raised in the sales was invested in interest-bearing assets denominated in dollars, euros and yen to the extent of 40%, 40% and 20% respectively.
So to calculate the true net loss to the taxpayer, I would have to adjust for the yield on these assets and movements in the value of those currencies. And I don’t have enough information on precisely what was bought and when to make that calculation.
It is probable, however, that the effective net loss on Gordon Brown’s great gold sale would be a bit less than $9bn – but it would still be a very significant loss.
So why did Gordon Brown as chancellor dispose of all that gold? Well, my recollection of conversations with him and his advisers at the time is that they hated what they perceived as the intrinsic laziness of gold. It simply sat in the vaults gleaming but earning no interest.
They wanted assets that appeared to earn their keep, by generating interest payments.
They also hoped and believed that rampant global inflation was a thing of the past, and that the days of gold’s soaraway success would never recur.
To be fair to them, they weren’t alone in reducing their gold holdings. The Swiss, the Belgians and the Dutch also sold very significant amounts.
Also, the gold loss is spilt milk – and, as any great investor will tell you, it’s fatuous to weep over it.
But the stewards of our wealth would surely try to learn from their mistakes. And, in this case, Gordon Brown’s error was probably to place too low a premium on gold’s bothersome habit of retaining its intrinsic value over the very long term.
Gold closed yesterday at just over $981 per ounce and seems set to continue its remarkable upward path towards the magic $1,000 number.
In nominal terms, it reaches new highs on a daily basis – though adjusting for inflation it remains significantly below where it was in the inflationary world of almost 40 years ago (its nominal high back then was $850, which was briefly touched in January 1980).
What’s going on is that investors are again seeking out gold as a putatively inflation-proof store of value in uncertain times.
It looks oh-so solid and reliable compared with all those poisonous securities manufactured by brainy bankers out of defaulting US sub-prime loans.
But it is the Federal Reserve’s current mission to slash interest rates that is giving the big push to the gold price right now.
Many investors fear that the Fed has – at least for now – abandoned any notion of keeping a lid on inflation, in its apparently desperate attempt to revive the ailing US economy (which was described yesterday by the great Buffett as in recession “by any common sense definition”).
So there has been a flight out of the dollar, which has been tumbling in value, and into the shiny yellow stuff.
Which brings me to one of the least well-timed investment decisions of this or any age, Gordon Brown’s sale of 395 tonnes of our gold in 17 auctions between July 1999 and March 2002.
The average price achieved in those disposals was $275.6. Gold has since risen in value by 256% – a rate of return which would bring pride to even the cockiest of hedge-fund superstars.
Or to put it another way, 395 tonnes of gold from our official reserves that was sold for $3.5bn would now be worth $12.5bn.
So we appear to have lost out on $9bn of gains – or about $300 per taxpayer.
However, that’s a slightly simplistic view of the scale or our loss.
The $3.5bn of revenue raised in the sales was invested in interest-bearing assets denominated in dollars, euros and yen to the extent of 40%, 40% and 20% respectively.
So to calculate the true net loss to the taxpayer, I would have to adjust for the yield on these assets and movements in the value of those currencies. And I don’t have enough information on precisely what was bought and when to make that calculation.
It is probable, however, that the effective net loss on Gordon Brown’s great gold sale would be a bit less than $9bn – but it would still be a very significant loss.
So why did Gordon Brown as chancellor dispose of all that gold? Well, my recollection of conversations with him and his advisers at the time is that they hated what they perceived as the intrinsic laziness of gold. It simply sat in the vaults gleaming but earning no interest.
They wanted assets that appeared to earn their keep, by generating interest payments.
They also hoped and believed that rampant global inflation was a thing of the past, and that the days of gold’s soaraway success would never recur.
To be fair to them, they weren’t alone in reducing their gold holdings. The Swiss, the Belgians and the Dutch also sold very significant amounts.
Also, the gold loss is spilt milk – and, as any great investor will tell you, it’s fatuous to weep over it.
But the stewards of our wealth would surely try to learn from their mistakes. And, in this case, Gordon Brown’s error was probably to place too low a premium on gold’s bothersome habit of retaining its intrinsic value over the very long term.
scary
QUOTE (Marcos Scriven @ Mar 4 2008, 05:52 PM)
Is there something I don't know about?
It was me. I just sold some of my gold
For those missing your favorite goldbugs, I'm going to fill in for them:
<cygno>Gold doesn't fall in price, the cartel suppresses it</cygno>
<narco>Great buying opportunity</narco>
<goldfinger>I'm using this as an opportunity to fill up with [fill in implausible figure as appropriate]</goldfinger>
Given the number of times goldfinger claims to have "filled up" on gold he's either the real Goldfinger or an internet fantasist.
<cygno>Gold doesn't fall in price, the cartel suppresses it</cygno>
<narco>Great buying opportunity</narco>
<goldfinger>I'm using this as an opportunity to fill up with [fill in implausible figure as appropriate]</goldfinger>
Given the number of times goldfinger claims to have "filled up" on gold he's either the real Goldfinger or an internet fantasist.
QUOTE (NorthamptonBear @ Mar 4 2008, 05:59 PM)
and etfs silver down 17% ???
It does this from time to time it is an error and will correct itself when trade opens first thing tomorrow. Almost gave me a heart attack the first time it happened to me. This has happened to me a few times with different ETFs but you dont need to worry about it, it is just a blip.
QUOTE (The Masked Tulip @ Mar 4 2008, 07:06 PM)
In English - simple for me - please people.
Are we talking about the Fed no longer lowering IRs? The Fed raising IRs? Or the BOE and ECB lowering IRs to come in line with the Fed?
Are we talking about the Fed no longer lowering IRs? The Fed raising IRs? Or the BOE and ECB lowering IRs to come in line with the Fed?
Here's my take on it:
Lowering IR does not work; I think that the accepted wisdom is:
- it doesn't help the credit situation (mortgage rates in US are higher than they were before the rate cuts)
- it hurts the dollar so much that it is starting to really p*ss off the rest of the world.
IR cuts = all downside and no upside so Bernanke is looking for answers somewhere else.
There is no tangible indication of future coordinated CB action or talk of the Fed hiking IR now AFAIK. IMO, although Bernanke will keep lowering rates (because the markets tell him that is what he is going to do) he will do so more and more reluctantly and might stop before 0 if the dollar's fall is out of control.
If I am right this might be interesting as it would mean Bernanke can't use the inflationary policies he had in mind to kickstart the US economy.
Is that $960 I see now?
OK, in my even more simplistic take on it - thye lowing of IRs has not worked and will not work but I am going to continue doing them anyway but, hang on, the Dollar has tanked so what on earth do I do now? Oh dear, I am screwed as I thought lower IRs would save everything but they ain't so what do I do now? What do I do?
Or am I missing something here?
Or am I missing something here?
QUOTE (The Matador @ Mar 4 2008, 07:18 PM)
For those missing your favorite goldbugs, I'm going to fill in for them:
<cygno>Gold doesn't fall in price, the cartel suppresses it</cygno>
<narco>Great buying opportunity</narco>
<goldfinger>I'm using this as an opportunity to fill up with [fill in implausible figure as appropriate]</goldfinger>
Given the number of times goldfinger claims to have "filled up" on gold he's either the real Goldfinger or an internet fantasist.
<cygno>Gold doesn't fall in price, the cartel suppresses it</cygno>
<narco>Great buying opportunity</narco>
<goldfinger>I'm using this as an opportunity to fill up with [fill in implausible figure as appropriate]</goldfinger>
Given the number of times goldfinger claims to have "filled up" on gold he's either the real Goldfinger or an internet fantasist.
<goldfinger>I'm using this as an opportunity to fill up with my precious [fill in implausible figure as appropriate]</goldfinger>
New gold investors alert !!!!
Unless you are trading gold, which nobody sane would do, ignore any corrections. THey are a buying opportunity - nothing more. Hopefully we go down to $700-800 here!
Unless you are trading gold, which nobody sane would do, ignore any corrections. THey are a buying opportunity - nothing more. Hopefully we go down to $700-800 here!
QUOTE (The Masked Tulip @ Mar 4 2008, 07:43 PM)
OK, in my even more simplistic take on it - thye lowing of IRs has not worked and will not work but I am going to continue doing them anyway but, hang on, the Dollar has tanked so what on earth do I do now? Oh dear, I am screwed as I thought lower IRs would save everything but they ain't so what do I do now? What do I do?
Or am I missing something here?
Or am I missing something here?
So now you say, "People, you're going to have to take a hit, no more cheap money"
And they're all like, "****** me, ********, we need the cash, no more cheap cash, what can we convert into cash that is valuable. Sell the gold!"
QUOTE (The Masked Tulip @ Mar 4 2008, 07:43 PM)
OK, in my even more simplistic take on it - thye lowing of IRs has not worked and will not work but I am going to continue doing them anyway but, hang on, the Dollar has tanked so what on earth do I do now? Oh dear, I am screwed as I thought lower IRs would save everything but they ain't so what do I do now? What do I do?
Or am I missing something here?
Or am I missing something here?
I'd say spot on :-)
QUOTE (The Matador @ Mar 4 2008, 07:18 PM)
For those missing your favorite goldbugs, I'm going to fill in for them:
<cygno>Gold doesn't fall in price, the cartel suppresses it</cygno>
<narco>Great buying opportunity</narco>
<goldfinger>I'm using this as an opportunity to fill up with [fill in implausible figure as appropriate]</goldfinger>
Given the number of times goldfinger claims to have "filled up" on gold he's either the real Goldfinger or an internet fantasist.
<cygno>Gold doesn't fall in price, the cartel suppresses it</cygno>
<narco>Great buying opportunity</narco>
<goldfinger>I'm using this as an opportunity to fill up with [fill in implausible figure as appropriate]</goldfinger>
Given the number of times goldfinger claims to have "filled up" on gold he's either the real Goldfinger or an internet fantasist.
LOL
QUOTE (Errol @ Mar 4 2008, 07:46 PM)
New gold investors alert !!!!
Unless you are trading gold, which nobody sane would do, ignore any corrections. THey are a buying opportunity - nothing more. Hopefully we go down to $700-800 here!
Unless you are trading gold, which nobody sane would do, ignore any corrections. THey are a buying opportunity - nothing more. Hopefully we go down to $700-800 here!
Probably about time they admitted the problem is simply TOO BIG to solve.
Best to let the housing market to crash, best to let bank shares fall and banks to have to write off huge sums, best to let the economy go into recession for a couple of years and then start anew. Hike IRs now, bring the recession on, it will be painful but get it over and done with and begin afresh.
Oops, it is election year so that can't happen can it.
The only other option is to go to War with someone as far as I can make out - terrible thing to say - but I cannot see any amount of IR cuts solving this problem. All that is going to happen is that every few months they will lower IRs, hope that things begin to improve and when they do not they will lower IRs again and again until they reach 0%. In the meantime the banks will continue to admit to vast amounts of subprime and bad debt, people will continue to lose their homes and everything will go down the toilet but at a slower rate than if they bite the bullet and go for short, sharp pain now.
I am led to believe that most on Wall Street are Republicans so I suspect they will do anything to get McCain in and keep out the Dems.
Best to let the housing market to crash, best to let bank shares fall and banks to have to write off huge sums, best to let the economy go into recession for a couple of years and then start anew. Hike IRs now, bring the recession on, it will be painful but get it over and done with and begin afresh.
Oops, it is election year so that can't happen can it.
The only other option is to go to War with someone as far as I can make out - terrible thing to say - but I cannot see any amount of IR cuts solving this problem. All that is going to happen is that every few months they will lower IRs, hope that things begin to improve and when they do not they will lower IRs again and again until they reach 0%. In the meantime the banks will continue to admit to vast amounts of subprime and bad debt, people will continue to lose their homes and everything will go down the toilet but at a slower rate than if they bite the bullet and go for short, sharp pain now.
I am led to believe that most on Wall Street are Republicans so I suspect they will do anything to get McCain in and keep out the Dems.
QUOTE (The Masked Tulip @ Mar 4 2008, 07:59 PM)
The only other option is to go to War with someone as far as I can make out - terrible thing to say - but I cannot see any amount of IR cuts solving this problem.
Even we could take the French.
QUOTE (The Masked Tulip @ Mar 4 2008, 02:43 PM)
OK, in my even more simplistic take on it - thye lowing of IRs has not worked and will not work but I am going to continue doing them anyway but, hang on, the Dollar has tanked so what on earth do I do now? Oh dear, I am screwed as I thought lower IRs would save everything but they ain't so what do I do now? What do I do?
Or am I missing something here?
Or am I missing something here?
they aren't lowering the rates for homebuyers, they are lowering them so that the banks can have access to cheap money from the Fed, so that they can rebuild their broken balance sheets.
same thing in the uk.
there is a looot of bad debt to cycle through, so the cheaper the rates, the easier it becomes.
in fact, the current situation probably suits the banks and the govs perfectly right now.
the spread between baserate and libor means more profits for banks, and the higher inflation helps take care of the old debt.
QUOTE (Errol @ Mar 4 2008, 07:46 PM)
Unless you are trading gold, which nobody sane would do, ignore any corrections. THey are a buying opportunity - nothing more. Hopefully we go down to $700-800 here!
Oops, sorry, missed one.
<goldbug>Falling prices are a buying opportunity. I hope it goes to $XXX so that I can fill up.</goldbug>
QUOTE (Errol @ Mar 4 2008, 07:46 PM)
New gold investors alert !!!!
Unless you are trading gold, which nobody sane would do, ignore any corrections. THey are a buying opportunity - nothing more. Hopefully we go down to $700-800 here!
Unless you are trading gold, which nobody sane would do, ignore any corrections. THey are a buying opportunity - nothing more. Hopefully we go down to $700-800 here!
You are the strangest gold investor I know.
QUOTE (The Masked Tulip @ Mar 4 2008, 07:59 PM)
The only other option is to go to War with someone as far as I can make out - terrible thing to say - but I cannot see any amount of IR cuts solving this problem.
This will happen. Governments will use the war card as it subdues revolt of the people every time.
The markets have heard that Goldfinger has stopped posting on HPC. 
!!WARNING!!
If this price action in precious metals has scared you, concerned you, confused you, or panicked you DO NOT buy gold, this is a simple , healthy correction there have been many in the last 7 years - nothing is new under the sun - fundamentals are still in tact. In fact this correction is tiny in comparison to others and may have only just started.
All those calling the end of the precious metals bull have a lot of learning to do.
If this price action in precious metals has scared you, concerned you, confused you, or panicked you DO NOT buy gold, this is a simple , healthy correction there have been many in the last 7 years - nothing is new under the sun - fundamentals are still in tact. In fact this correction is tiny in comparison to others and may have only just started.
All those calling the end of the precious metals bull have a lot of learning to do.
Call me Mr. Dippybrains but why is G tanking today?
QUOTE (The Matador @ Mar 4 2008, 08:08 PM)
Oops, sorry, missed one.
<goldbug>Falling prices are a buying opportunity. I hope it goes to $XXX so that I can fill up.</goldbug>
<goldbug>Falling prices are a buying opportunity. I hope it goes to $XXX so that I can fill up.</goldbug>
I've not been wrong since 2000 (and I won't be at all now, according to Sinclair).
QUOTE (Minos @ Mar 4 2008, 09:08 PM)
You are the strangest gold investor I know.
No he is not, he is actually thinking correctly, when fools panic, opportunists attack.
I have lots of the stuff and would love a 10 or 20% correction myself, i have cash tucked away ready to pounce heavy at the first opportunity of a dump.
If you do not understand this concept - just leave your money in the bank and be happy with your 5% apr, meantime i'll take my plus 60% gains in 15 months and look forward to more of the same.
buying in pullbacks is strategy number 1 in a secular bull market.
QUOTE (The Masked Tulip @ Mar 4 2008, 08:36 PM)
Call me Mr. Dippybrains but why is G tanking today?
My guess is the speech by Bernanke. This basically appeals to the lenders to let defaulters off their mortgages so they they wont be repossessed. Bernanke's argument seems to be that if the lenders don't do this, the deflationary (and social) armageddon that will ensue will be much worse for the lenders anyway. The implication of Bernake's speech is that the FED is not going to bail the lenders out much more than they have done and that the lenders had better go some of the way to fixing it themselves (by not aggressively foreclosing). I personally think the FED will do a lot more, but the talk is tough.
The above has made the markets think that a deflationary recession is now more likely as not. Hence the rush to sell commodities (including gold which is an abstract commodity/proto currency) due to expectations of lower economic activity.
Whether what the markets are doing is correct or even rational is, frankly, now besides the point. We are way past any rational behaviour by the markets now. What we are witnessing is a herd running this way and that in sheer, blind panic.
Who knows; the bleeding gold price could be £1100 this time next week
Steve
QUOTE (Impartial @ Mar 4 2008, 08:41 PM)
No he is not, he is actually thinking correctly, when fools panic, opportunists attack.
I have lots of the stuff and would love a 10 or 20% correction myself, i have cash tucked away ready to pounce heavy at the first opportunity of a dump.
If you do not understand this concept - just leave your money in the bank and be happy with your 5% apr, meantime i'll take my plus 60% gains in 15 months and look forward to more of the same.
buying in pullbacks is strategy number 1 in a secular bull market.
I have lots of the stuff and would love a 10 or 20% correction myself, i have cash tucked away ready to pounce heavy at the first opportunity of a dump.
If you do not understand this concept - just leave your money in the bank and be happy with your 5% apr, meantime i'll take my plus 60% gains in 15 months and look forward to more of the same.
buying in pullbacks is strategy number 1 in a secular bull market.
Thanks for the advice.
QUOTE (NorthamptonBear @ Mar 4 2008, 06:59 PM)
and etfs silver down 17% ???
This is one of the reasons why those that know anything about PM's buy physical bullion.
QUOTE (Errol @ Mar 4 2008, 08:38 PM)
I've not been wrong since 2000 (and I won't be at all now, according to Sinclair).
I've not been wrong since 1974 according to Popplewaite.
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