gunDriller
12th December 2012, 06:20 PM
This, I do not get.
QE1 ... March 18, 2009 ... Gold Prices Jacked about 8% in the 24 hours after the QE1 announcement.
QE2 ... November 2010 ... Prices started rising. Silver hit its peak in April 2011 before MASSIVE manipulation pushed it down to about $33. Gold took longer, got up to $1800+, July 2011-ish.
QE3 ... sometime in 2012. Prices jumped at the time of the announcement, about 4% for Gold.
QE4 - TODAY, December 12, 2012.
Gold is off 1 to 2% ?
DATA POINT #2 -
http://www.zerohedge.com/news/2012-12-12/baltic-dry-plunges-over-8-overnight-most-2008
The info from Zero Hedge about the collapse, in the last 24 hours, of the Baltic Dry Index.
The Baltic Dry Index indicates that we are in a state of EXTREME economic contraction.
As a corollary to this, I expect that scrap steel prices will fall further. They are currently about 5 1/2 cents per pound, down from 10 cents a pound a year ago. China being a big part of that. It's sort of an aside, but it is related to the overall economy. The economy contracts, and the Steel price falls.
I think of Steel as a Precious Metal, but, I'm biased :)
OK this is really going off on a tangent - if you were truly stranded on a desert island, and someone offered you a frying pan made of cast iron, and a frying pan the same size, even heavier, made of gold, or silver - what would you take ?
If you say gold or silver, you better be very careful with your fire temperature. It's not hard to build a fire that will reach 1750 degrees F, melting point of silver, if you're using a hardwood like oak that is really dry.
Your silver or gold frying pan will probably melt, and your ability to cook will melt with it. In a situation where materials are judged by their intrinsic usefulness, Steel/ Iron may just be - Precious Metals.
Anyway, getting back to QE4, and Gold and Silver Prices this evening.
What on Earth
https://encrypted-tbn2.gstatic.com/images?q=tbn:ANd9GcTW1b0a7NH6Peo5Qvvki4Qsx_py2Ze63 PvxG4Z-e_8s_C8TqIEAMg
... is going on ?!
QE1 ... March 18, 2009 ... Gold Prices Jacked about 8% in the 24 hours after the QE1 announcement.
QE2 ... November 2010 ... Prices started rising. Silver hit its peak in April 2011 before MASSIVE manipulation pushed it down to about $33. Gold took longer, got up to $1800+, July 2011-ish.
QE3 ... sometime in 2012. Prices jumped at the time of the announcement, about 4% for Gold.
QE4 - TODAY, December 12, 2012.
Gold is off 1 to 2% ?
DATA POINT #2 -
http://www.zerohedge.com/news/2012-12-12/baltic-dry-plunges-over-8-overnight-most-2008
The info from Zero Hedge about the collapse, in the last 24 hours, of the Baltic Dry Index.
The Baltic Dry Index indicates that we are in a state of EXTREME economic contraction.
As a corollary to this, I expect that scrap steel prices will fall further. They are currently about 5 1/2 cents per pound, down from 10 cents a pound a year ago. China being a big part of that. It's sort of an aside, but it is related to the overall economy. The economy contracts, and the Steel price falls.
I think of Steel as a Precious Metal, but, I'm biased :)
OK this is really going off on a tangent - if you were truly stranded on a desert island, and someone offered you a frying pan made of cast iron, and a frying pan the same size, even heavier, made of gold, or silver - what would you take ?
If you say gold or silver, you better be very careful with your fire temperature. It's not hard to build a fire that will reach 1750 degrees F, melting point of silver, if you're using a hardwood like oak that is really dry.
Your silver or gold frying pan will probably melt, and your ability to cook will melt with it. In a situation where materials are judged by their intrinsic usefulness, Steel/ Iron may just be - Precious Metals.
Anyway, getting back to QE4, and Gold and Silver Prices this evening.
What on Earth
https://encrypted-tbn2.gstatic.com/images?q=tbn:ANd9GcTW1b0a7NH6Peo5Qvvki4Qsx_py2Ze63 PvxG4Z-e_8s_C8TqIEAMg
... is going on ?!