Gold and silver prices are down

Gidge said:
The FED has been doing this for over a year now.
In order for the banks to survive they need more profit margin (eyeroll) and we are sitting at interest rates of 1/4 of 1%.

The FED needs to raise interest rates another 1/4 of 1% and then banks will have the necessary breathing room.
We all know the economy does not now indicate this is necessary nor prudent -- the FED just keeps on talking it up looking for an angle to justify another rise in interest rates.
The country with the highest interest rates drives that country's currency the highest as well as money will move to the higher interest rates from around the world.
Oil is traded in dollars making our dollar the world currency. When the dollar rises in value the price of oil should fall in value.
This morning (for example) the dollar is up 0.29 on the threat of interest rate hikes yet the price of oil should be falling yet it is up also 0.52 above $50 a barrel for the first time in months.

We are seeing a divergence. Oil has risen on just the threat of Saudi agreeing to cut production to support oil prices.
Yet we have the highest surplus oil in storage ever right now and our own companies are starting to drill again as well.
Oil should be tanking down yet is not.

TPTB know maybe something like a WAR coming or hurricane going to badly disrupt things or earthquake coming or election results (insert SHTF scenario here) ?

Oil should be falling.

In an election year we have a sideways market until election day which is also going on right now.
Then based on outcome or NOT markets historically make a great move higher or lower through the end of that year.
Folks are contemplating setting up trades in both directions and then once that direction is known cut the loses on the losing direction and holding the other trade allowing it to maximize profits on those trades.
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I think you have it completely backwards. Yes, banks do make more with higher interest rates, but they really make their money off a strong economy and strong stock market. This is why the Fed (the big banks) have kept interest rates so low for so long, it's the only way to keep the stock & bond markets inflated.

If they were to raise interest rates much more than a token 0.25%, they would crash the economy and stock/bond markets, which have been living entirely off Fed easy money policy for 7 years now. That would not be good for banks.

So when the Fed talks about raising rates 'soon', nobody believes them anymore, they know the Fed can't raise rates, they'll find some excuse to delay in December just like they've been delaying every quarter for the last several years.

forget the idea in your head that the stock market is being driven by this, or that. It's global Fed policy, that's it. Nothing else matters to the markets now.
 
Canndo said:
$479 now! That's down $12 from yesterday. I'm always a day late. Or early in this case. [laugh]
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Support seems to be broken, it'll likely keep going down. But with Apmex sometimes the best deals aren't when prices are low - last summer when prices bottomed, there were no deals at all, eveything had a $4 (for silver) or $100 (for gold) markup.

So buy more! ;)
 
Varmint said:
Support seems to be broken, it'll likely keep going down. But with Apmex sometimes the best deals aren't when prices are low - last summer when prices bottomed, there were no deals at all, eveything had a $4 (for silver) or $100 (for gold) markup.

So buy more! ;)
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Yeah, I've been watching Gold. They have a Britannia for $1288 and the Eagles are $1298. Not sure if it's time to pull the trigger. I haven't seen it below $1300 for a while. But I haven't been paying close attention either.
 
Canndo said:
Yeah, I've been watching Gold. They have a Britannia for $1288 and the Eagles are $1298. Not sure if it's time to pull the trigger. I haven't seen it below $1300 for a while. But I haven't been paying close attention either.
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I'd say it's been a year since it was $1300? I think the lowest I saw gold was $1200 briefly, and that was probably Euro/Maples, not Eagles. I kept wanting to buy at $1200 but all the deals dried up.

I'm not rushing, cause the Fed has a good 2 months before it has to back out on raising Dec rates, so until then gold/silver might drift down.
 
I think I already screwed up. Apmex wants the check in 5 days. I sent it out right after I ordered but I used regular mail not priority or anything. Oh well. Lessons learned
 
mpkeelee said:
I think I already screwed up. Apmex wants the check in 5 days. I sent it out right after I ordered but I used regular mail not priority or anything. Oh well. Lessons learned
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There's a good chance it will arrive on time, but if it's not a bank certified check or money order, they won't ship until it clears.
 
CoastieRon said:
bought more today. JM Bullion has a 10oz "starter kit" bar for spot, so I grabbed that and another 15 1oz bars that are on sale.
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I ended up jumping on that JM Bullion deal too. I had my eye on it for a while and was hoping for prices to drop. Seems like right now is a good time to jump on it.
 
drumenigma said:
I ended up jumping on that JM Bullion deal too. I had my eye on it for a while and was hoping for prices to drop. Seems like right now is a good time to jump on it.
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It actually came up in my promotions folder in my emails. Had never seen it before. Silver at spot is always a good buy when prices are down. I like JM because I can do e-check with them and get the paper check price. They run decent sales too.


Sent from my iPhone using Tapatalk
 
mpkeelee said:
I think I already screwed up. Apmex wants the check in 5 days. I sent it out right after I ordered but I used regular mail not priority or anything. Oh well. Lessons learned
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You'll be fine, I've ordered on a Friday and not sent the check until Monday and all was hunky dory.
 
Are there any good shops locally to metro west to sell some gold coins?


Sent from my iPhone using Tapatalk
 
cockpitbob said:
I bought a pile of junk silver from Boston Bullion in Burlington and had a good experience there.

http://www.bostonbullion.com/
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I sold a bunch of silver to Boston Bullion this spring when I bought my house. They post all of their buy/sell prices on their website, and were very easy to deal with. I think he came in on a Sunday and opened up to make the deal. I ended up getting a few bucks more than I had figured based on their web prices. Got a wire transfer into my account a couple days later.
 
mpkeelee said:
Silver is up a little bit. Is it because of the election? Should I buy before it goes higher or wait a little while for it to come down?
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It seems to be up due to the election. Everyone started freaking out and selling out of the market and buying metals although the market seems to have calmed and is bouncing back which could mean a potential drop in silver. I think a lot will depend on what actions the Trump presidency takes on market regulations.
 
Peter Schiff has an interesting post election podcast out. He discusses Trump's options on the national debt - default or monetize. If Trump monetizes the debt, and that's what Schiff thinks he will do, we're going to see a weakening dollar, high inflation and significantly higher prices in gold and silver.

In response to some of the earlier posts, I think the long-term prospects for precious metals is bullish so I'm not concerned about silver being a dollar higher or lower or gold being 50 dollars higher or lower. Some months I can buy an ounce of gold but like enbloc is saying, buying a few ounces of silver will add up over time. I do that as well.
 
If you take the dollar cost averaging approach it's a pretty common investment practice. Basically anyone who participates in a 401k or similar instrument does this as they invest on a regular schedule regardless of the market price. Timing the market is pretty much impossible so buying a little bit on a regular schedule is a good conservative approach. I think at current prices silver is still an OK buy. With the increase in things like solar usage I think we could see solid demand for silver.

http://www.investopedia.com/terms/d/dollarcostaveraging.asp
 

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