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However, I have been investing long enough to know that in the event of news like this the entities with large sums on the table will have taken whatever steps they feel are necessary to isolate themselves from loss.
As will most investors.
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That doesn't mean I know which direction (if any) the silver price will go on Monday. It means the market movers have put in place their plan of action & we will see it play out then.
Agreed. None of us knows the future. All we can do is go with the best odds we can manage.
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On a side note, it's pretty rare for a governing body to make an announcement of that type & not follow through. They don't like to do that because it makes them look bad. It's much easier on their ego to come back in a few weeks or months & reverse themselves, justifying it by saying market conditions have changed.
It seems pretty scary to me that they are announcing such a move ahead of time! Consider the Fed and how they make their announcements. They are VERY cagey about what they say, how they say it, and when they say it. Anyone who has the power to move markets should be somewhat reticent in their comments.
Monday will, indeed, be an interesting day. If the CME does raise their reserve requirements and in the amount mentioned but the price of silver does not take a big hit, we will know that the speculators have been wrung out. I would take that as a good sign for higher silver prices in the near future. Whether or not that is realistic, who can say?