Here are the prices as I began to write this update
gold – $1,503.90, silver – $44.58, platinum – $1,799.00, palladium – $757.00
I will include the prices again as I finish writing….
When your constantly watching what’s going on in the world, you get a little jaded, and start reading between the lines a little bit better.
There has been no update to the S&P threatning a downgrade of the US credit rating, but the way metals are acting right not, it seems almost inevitable. Keep in mind, this is coming from a group that was still optimistic on real estate in the middle of the deflating balloon. Their calls have not been too….. well, acurate.
Many ask why gold and silver are getting as high as they are. For those that are looking for an answer, consider the following factors.
- spreading unrest in the middle east that has already interrupted the oil supply
- The country which holds the worlds reserve currency is printing money like a monopoly production line
- Natural disasters including, but not limited to; flooding in Australia, earthquake in Japan, tornados in the US
- Destruction of natural habitats; nuclear waste disposal in Japans oceans, BP oil leak in the gulf. Both also threaten the food supply.
- Debt issues in Europe including but not limited to, Greece, Italy, Ireland, Portugal, Spain
- The B.R.I.C.S putting the pieces in place to rid the world of the US$ as a reserve currency. Brazil, Russia, India, China, South Africa
- Continued unrest in North Africa, or Libya that has also effected the oil supply.
- A possible default on debt payments by the US
- A beginning concern of a comex default
- rising food prices across the globe
I could keep going…..
Metals reaching this level is great for investors and owners of metal, but not a good sign for fiat currencies. The higher the metals go, the closer we are to a collapse of the global financial system that is deeply interconnected at the moment. The higher the metals, the more evident of distrust populations have in the numbered papers filling purses and wallets.
We are in uncharted waters. No stock chart or analysis will give you an explanation as to whats going on. Silver is way above the 200 day MA, or moving average right now, and analytically speaking, it should not be going any higher right now. In fact, it should be dropping, but the run continues. It will continue the rise until there is confidence in a monetary system which is equal for the emerging markets that have recently gained a voice. This would mean a Federal Reserve becoming something that will be read about in history books, or tablets by that time.
Precious metals are protection, preservation for your wealth….
Back in the day, a man could get a decent suit for an ounce of gold. That fact still holds true to this day. A gallon of gas was a quarter, that same quarter, if minted before 1965 of 90% silver, would get you two gallons of gas at current prices. This is proof that metals are not necessarily going up in value, but retaining the buying power they have always had, something no fiat currency which can be printed or added electronically could ever do.
Getting involved in gold and silver is more important for Americans than anyone else. Our wealth is being eroded more and more as America the great goes further and further in to debt. I hope PreciousMetalNews.com has exposed the readers here to information and facts that they would not have figured out, or found other wise. Forgive this writing, which is more of a rant than anything else, minus analytics or headlines. If your not considering the fact that silver is $5.43 away from $50 as a worthy headline.
Prices after the writing;
gold – $1,505.60, silver – $44.57, platinum – $1,795, palladium – $757