Dow And Pm's On The Slide.......gravity Taking Effect?

With everything going negative,is this the beginning of the great deflationary spiral that Bernanke fears so much? He still thinks giving money to banks is the answer but we need to have it in the hands of those that will spend it. It may be too late as it appears most are hoarding money not sure what is going to happen. Stimulus money should have gone back into peoples hands. This will be the real test for PM owners,can you hold on as prices plummet? or will you panic sell your stack? Interesting times ahead very soon methinks!

Here is an interesting COPY an PASTE from a business trying to move bullion....

"Price Correction = Good Opportunity for
Investors Ready to Buy
Metals investors looking for a good entry point are getting that opportunity now. We got a healthy pullback, and historically, the two strongest months in the precious metals lie just ahead.
Silver prices now trade about 8% below the highs put in on October 4th, and since then gold prices are down almost 4%. While it's too early to call the pullback over, the case for jumping in here is strong.
As mentioned, we look for a pick up in physical demand in November and December, which are historically strong months for metals. The lunar New Year in Asia, the wedding season in India, and the Christmas holiday season typically generate big demand for jewelry and gifts worldwide."

I buy SOME of that and it changes my winter view a WEE bit. But I still feel in my gut that holiday gift costs, vacation and food cost take away from PM sells during the holiday and most importantly the email sender has an AGENDA....

I gotta believe however, many online buys in the coin an pm world one month before December 25th are indeed gift purchases....

The lunar New year in Asia and wedding season in India make much sense, as obviously India is right up their with China in overall yearly gold consumption....

Strange, I seem to remember prices dropping sharply at the end of last year. In fact, I made some pretty decent purchases last December and was hoping to repeat that this year...

Everyone doesn't want it though or cant afford it in the case of gold. Supply isn't an issue right now and likely wont be without a substantial increase in interest.

Could be, Hock, but I sometimes wonder if Bernanke is up to this job. He does not seem to be able to differentiate growth from inflation or the air coming out of a bubble from deflation.

I'm thinking that bubbles are primarily created via political policies that distort the market and that letting the air out of them, gradually if possible, is much better for the market in the long run than either trying to re-inflate them or letting them go BANG!

It is unfortunate that the political class truly believes that they understand economics and the markets when the evidence before us indicates that they do not. It is, in fact, political meddling beyond establishing basic economic and financial systems that leads to these distortions, bubbles, and subsequent collapses. This seems a classic case of "if some is good, more is better, and LOTS is the best", insofar as laws and regulations are concerned. In fact, laws and regulations are a lot like seasoning in food, where a little works much better than none or a lot.

They very well may but this does not explain why they keep doing the same things and expecting a different result, such as with the QEs.



Perhaps. On the other hand, that kind of honesty might be so refreshing that it would pull this country back together, united in purpose so we could get on with the work needed to solve our problems. The first order of business should be to end the idea that we can solve our problems in some painless fashion. We can't. There WILL be pain and lots of it. All we can do at this point is recognize that and then do our very best to ensure that it is shared as equally as possible.

They dont really expect a different result, but they do expect to get reelected with the new handouts




You have more faith in the general public than I do. A large amount of people already realize it wont be a painless fix but to many people are to clueless or just flat out dont care as long as they get theirs. Entitlement is rampant in todays society and thats all that matters to to many people. Just look at the political ads, expecting people to pay for their own birth control is an issue now. Everyone thinks they are entitled to things for free which really is the root of the whole problem.