GOLD CARSHING - currently under 1300 - target sub 1000

It'll go back up again. Rapidly and to never before seen highs.

BTD.

Silver is under 20. Ahahahahaha.

CANT EAT GOLD AND SILVER!

It wont - it cannot really.

It will see sub 1000 before it sees anything else.

Deflation is rampant in our economy and any money the fed prints is only drop in the ocean compared to the credit that is being deleveraged from the economy.

It is a shame because anyone holding physical has been wiped out - shame because their view was far too simplistic.

[link to www.monex.com]

Bullshit. Its @ 1342.

Not anymore

[link to www.marketwatch.com]

Can't dig it outa the fucking ground for that price, which means that all hell is about to break loose.

Everything is GONNA Car$H ...

Silver currently under $20.

Ugly stuff.

Share prices for gold miners in Australia are getting hammered and have been at their lows for a long time.

Some producers will survive even with gold sub 1000 but many will not. All depends what there cost of production is.

If you look at the attached graph.

[link to www.google.co.uk (secure)]

All those people lining up to but gold recently were caught in the classic bull trap. We are now in the fear area.

This is to be followed by capitulation.

If deflation is going on have you been to the gas pump? Have you been to the grocery store? Have you seen college tuition costs?

Glad I sold when it was over 1600. Not to mention that Fuku. Rads can attach to it.

Food is as cheap as it ever was. If you live in the US - I have seen your food prices they are as cheap as anywhere in the western world.

Food prices have not really risen here in the UK for the past 5 years. Trust me I keep a close watch on this.

Australia has seen a massive increase - but only because their resilient mining based economy has protected them somewhat from the GFC.

Fuel - linked to oil is different matter. Prices rise due peak oil and the prospect of a global recovery.

I am talking about consumer spending - credit etc etc. People cannot spend if they do not have income - if they dont spend prices drop to a point where people will buy goods again .

We are not yet at that point.

Silver futures currently down 7.4%

Insane!!

Printing was the hedge against deflation. But deflation must happen and it will. Will see many rich people jumping out of windows in the near future since we can't print their assets values up.

So you think Bernanke won't print anymore and this cycle is over? He wants to see the stock market drop 200+ points a day until it is at 0?

We are in for a pretty large correction on the markets this summer - whether it turns out to be the beginning o the next bear market is still to be seen.

But either way precious metals are finished.

It is almost like the powers that be having the last laugh at all the prepers.

Bernanke will be leaving the fed in a few months.

He will be replaced by Yellen. Her agenda may well be the same as Bernankes.

But e point is that Japan have pumped multiple amounts more than the US has into their economy to fight inflation - and it has not worked to beat it.

Whether QE continues or not does not matter - the markets will correct this summer and bring precious metals down with it.

Gold and silver fall when the market falls. Not the other way around.

Food is cheap? The fuck food is cheap it's climbed over 30% in less than 6 months.

So then you are saying no to Bernanke printing anymore to prop up the market and he is now going to let it fall apart? He is going to triple if not quadruple the bond purchases.

It is still cheap - how much is a big mac where you live?

does not mtter if he keeps printing - it is such small amount compared to the amount of money that is leaving he market via credit deleveraging

Look at Japan - they have printed so so much more than the US and it is doing nothing and the bond markets know this.

No one is taking yen. When people stop taking dollars inflation will be like Japans. Why are Chinese people waiting for hours to try and buy gold?

Stop trying to down play what is going on. Paper gold is going down, Physical buying is going up that is a fact!

This is what frusrates me about gold bugs - they pile into physical and tell unsuspecting people to do the same - but have no real economic undertanding.

The powers that be are far more educated and intelligent that your average "i think the world is going to fall over - buy gold" bug.

THese people understand how the economy works better than anyone else - and if it all does fall over and unwind then it will be due to deflation NOT inflation. That is why QE exists - to fight deflation - and it is not working.

"People in Chine lining up" - lol

Is that your buy signal?!

As I said we are in the FEAR area of a classic bubble collapse.

The chinese people lining up were the sheeple being bull trapped as the sophisticates offloaded to them.

We are no doubt in a massive geopolitical upheaval at the moment.

But that will not prevent gold from falling to fair value- which is around $800 give or take. IT will likely spike below for a period.

THis is going to take a very long time to play out - years and years not months and months.

If the dollar disappears it will unlikely be replaced by gold and in any case it will take a very very long time before we get to that point.

So gold will just sit in the safe and the opportunity cost faced buy its holders in not being able to take advantage of other opportunities will be redonkulous.

Don't be surprised if they start bombing Syria!

lets say DOOM?

Wont matter - gold will take a corrective bounce but its trend will be down for a while yet.

If I was holding I would sell the bounce.

You can always buy a lot lower later on and rid yourself of any anxiety in the meantime.

Agree to disagree aside, $800 was the high in the 70's now are we saying there is zero inflation from that point till now that the price at the high should be the same as fair value?

Your various posts have discussed current deflation and future inflation, a la Japan. However, your position on gold is the same in either scenario.

Why?