Gold Rises to Record, Silver Extends Gains on Currency Concerns

DiggerUK

"As they say, “all that glitters is not gold”. But gold definitely glitters… maybe that’s why investors have been net buyers of gold for 37 of the past 40 years (according to Barron's)...."
http://seekingalpha.com/article/229490-gold-steady-gains-after-a-correction

This piece of information did take me by surprise, especially as I cannot find out who exactly "Barron's" are.

Anybody able to help out. Or do we have another piece of misinformation to deal with?

Vegeta

I'm looking for a nice correction so I can buy more.

getzegold

A couple of interesting links:

Gold Sales Rocket in China (video)

Gold May Climb to Record $1,650 an Ounce on Fed Easing, Goldman Forecasts


Hoping for a correction too but can't see us getting a decent one

Barrons is a big financial site linked to WSJ, Marketwatch etc very mainstream. a part of the Wall St Journal Digital network and owned by Dow Jones & Company.

purch

Hedge funds and traders that never even thought of silver before will begin to squeeze the shorts

Yes.

And this would be no more an illegal market manipulation, than the traders who short the market in large amounts and force the price lower.

Forcing the price higher or lower by trading in futures contracts you have no interest in taking delivery of happens every day in every market.

I hope that those who 'bleat' about market manipulation will not be so hypocritical as to not complain equally about the traders who might squeeze the short positions. :eek:

getzegold

purch wrote: »

Yes.

And this would be no more an illegal market manipulation, than the traders who short the market in large amounts and force the price lower.

Forcing the price higher or lower by trading in futures contracts you have no interest in taking delivery of happens every day in every market.

I hope that those who 'bleat' about market manipulation will not be so hypocritical as to not complain equally about the traders who might squeeze the short positions. :eek:

No complaining at all I love the supression of silver and gold through short contracts on the comex I'll be even more delighted when the shorts get squezzed in return. The shorting of silver by the major commercials is not illegal. Who said it was? . Not entirely sure what it is your trying to prove by maintaing that we gold bugs claim something is illegal when we all know its not, i.e putting words in the mouths of folk that never said anything of the kind and then using it as leverage for some low level dig regarding hypocrisy. Having a rational discussion about gold and silver is never easy and is made even less so by posts such as the one above.

purch

The shorting of silver by the major commercials is not illegal. Who said it was?

Your mates at GATA.

In case you didn't realise the A and the T in the name stand for Anti-Trust.

The U.S. antitrust laws prohibit monoplolies and unfair business practices.

GATA allege that some market participants are guilty of breaking these antitrust laws.

Everytime you quote GATA, link to their website or quote third party articles that make the same claims, it should be safe to assume that everyone reading the posts will consider that you too agree with the allegations of illegal antitrust activity.

Having a rational discussion about Gold, Silver or other PM's is certainly impossible when outrageous and unproven claims of illegal activities are continually being made.

A discussion about the multi year secular bull market in Gold and Pm's would be useful and maybe enlightening. There are many ways that participants can make large amounts of money by trading in these markets, far more than you will ever make buying coins.

But these discussions can never be had, due to rambling posts complaining about manipulation, and other rubbish that has nothing to do with actually investing or trading these markets, including the usual accusations made about anyone who dares disagree with the GATA line, that they are somehow anti Gold and PM's.

Nothing could be further from the truth. I first touched a Gold Bar in 1981, and have traded in Gold and PM's ever since.

Maybe if you ever read what is posted, you might actually learn something new, or at least see things from a different perspective.

Silverbull

Silverbull wrote: »

US regulators have been urged to reveal the results of a two-year-long investigation into silver and gold price manipulation allegations. The findings are keenly awaited by investors and organisations who have been making allegations about silver and gold price manipulation for decades.

The investigation was based on a claim that large traders, like banks, had been selling huge amounts of silver on the futures market to keep prices down. A substantial short position - believed to be equivalent to 25% of the annual global mining supply of silver - was exposed during the financial crisis.

Bart Chilton, a commissioner at the US Commodities Futures Trading Commission (CFTC), which is investigating the claims, said: 'I think the public deserves some answers in the very near future.'

He said: 'I expect the CFTC to say something on our silver investigation within weeks. I can't pre-judge what that will be. I can't even guarantee that the agency will speak. That said, if the agency remain silent for much longer, I intend to speak out on the matter in an appropriate fashion.'

Geoffrey Aronow, a former CFTC investigator, told Citywire that there was a chance the investigation could affect silver prices: 'I would say that, generally speaking, results of investigations have not had direct market impacts, but it may depend on whether the Commission concludes that there is any ongoing questionable conduct.'

Ben Davies, chief executive of Hinde Capital, a london-based gold hedge fund manager said that it looked like the activity which had raised the original concerns had stopped and so a direct effect on the price of silver was unlikely.

Back in March 2010 Chilton suggested that CFTC investigators had made significant discoveries: 'We have looked at the silver market like we have never before and I think there is a window of success that has been opened for understanding about what has been going on and why.'

In the statement he said this was the first full investigation into the silver market since 1979 when the Hunt brothers cornered the market and the silver price spiked.

Until 2008 the CFTC believed that these allegations were groundless, a view still held by some gold experts, and Purch.

http://www.citywire.co.uk/money/silver-price-manipulation-public-deserves-answers/a437169?ref=citywire-money-latest-news-list

(Last 2 words were mine )

Purch what do you make of this article saying that "The banks that once controlled the price of silver are now closing positions at a loss."

Will you still try and say the banks never controlled the price of silver at all?

http://www.safehaven.com/article/18524/the-long-and-short-of-whats-happening-with-silver-these-days?utm_source=feedburner&utm_medium=feed&utm_campaign=Feed:+safehaven/all-articles+(Safehaven+-+Most+Recent+Articles)&utm_content=My+Yahoo

purch

Will you still try and say the banks never controlled the price of silver at all?

Can't still say something I've never said.

Illegal price manipulation, and normal price manipulation are two totally different things.

As I have said ad nauseum, all markets are manipulated every day, every minute.

The smaller the market, the easier the manipulation, and the more noticable it will be.

The USD/EUR FX market is probably the biggest traded market there is, every second someone will be bidding the market up so they can sell higher or vica versa.

It's not illegal, and never will be.

Without it there would be no market, no liquidity, no way for joe public to trade economically.

TRUSt_NO_1_2

purch wrote: »

Your mates at GATA.

In case you didn't realise the A and the T in the name stand for Anti-Trust.

The U.S. antitrust laws prohibit monoplolies and unfair business practices.

Now that is funny ..:rotfl:

TRUSt_NO_1_2

purch wrote: »

Can't still say something I've never said.

Illegal price manipulation, and normal price manipulation are two totally different things.

As I have said ad nauseum, all markets are manipulated every day, every minute.

The smaller the market, the easier the manipulation, and the more noticable it will be.

The USD/EUR FX market is probably the biggest traded market there is, every second someone will be bidding the market up so they can sell higher or vica versa.

It's not illegal, and never will be.

Without it there would be no market, no liquidity, no way for joe public to trade economically.

If you have enough money (or in JPM'S case can naked short) you can totally manipulate a market to your advantage and eventually people would be forced out..to your own benefit.

Arab's used to go into casino's and play roulette...if they lost,,they doubled up...they had unlimited funds compared to the casino and knew they would always win.

They didn't break any rules.

But the casino's pretty soon realised they would get screwed....
So they imposed limits and rules to stop that practice.

It's no different to what the banks are doing and if you say it is you are trying to fool yourself.

===========
What is happening now is some people with more money are taking them on and are going to take them to the cleaners,which is why the price of gold and silver keeps going up.