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Gold Price Close Today : 704.90
Change: -$12.80 or -1.8%
Silver Price Close Today : 8.800
Change: 68 cents or -7.2%
Gold Silver Ratio: 80.10
Change: 4.396 or 5.8%
Dow Industrials: 8,835.25
Change: 552.59 or 6.7%
US Dollar Index Today: 86.69
Change: 1.06 or 1.2%
Crazy -- absolutely crazy. Silver and gold prices were down heavily at the
close -- silver down 68 cents to 880 and gold down 12.80 at $704.90. Yet in
the aftermarket, right now, gold is trading at 734.70, up $30 over the close
and $20 over yesterday, and silver costs $9.47, up 67 cents or the entirety
of today's drop.
Some news must have come out that I can't see, because the US Dollar index
has dropped in the last hour about 60 more basis points, on top of the 42 it
had lost already, to drop below 87 at 86.685.
Meanwhile stocks, after dropping 400+ points by 1300 hours, closed up 552.59
points at 8,835.25. Lately markets seem a seesaw, with stocks, silver, and
gold moving together opposite the dollar. Logical? Nope, not at all, unless
you figure that those desperate for dollars must liquidate stocks &
metals to get them.
As I have been explaining for years, the chance that the US government would
again confiscate gold as it did in the 1930s is a little less than the chance
you will be abducted by aliens from the planet Zambodia on your way home
today. As the saying goes, Where the corpse is, there will the vultures
gather. Where is the corpse of wealth today? In retirement accounts,
wherefore it surpriseth not that the Democrats have been holding hearings
wherein an "expert" suggested that the US government should
confiscate IRAs & 401(k)s and have the Social Security Administration
(world-class shining example of financial probity and success) manage them
for you. Nope, I didn't make this up. See
www.carolinajournal.com/exclusives/dems-target-private-retirement-accounts.html
Looks like the US national motto will be changed from "In God We
Trust" to "Let The Stealing Begin." Man, I love socialism.
It's so, so, practical. Where else could you find all the worst points of
both sadism & masochism?
Do NOT miss what happened today in silver and gold. These were dramatic first
elements of key reversals. Silver and gold prices need only close higher
Friday to complete the key reversals. Today's $8.80 close gives the silver
price a double bottom with the earlier $8.79 close, and the gold price seems
to be finishing the right shoulder of an inverse head and shoulders
formation, with the neckline at $750. I don't recollect an aftermarket surge
this strong, which implies that a definitive bottom has been placed.
Therefore, buy silver and gold. By the way, stocks also made the first step
of a key reversal, and a rally may follow from here that could last up to
four months and give you a chance to get out of any remaining stocks.
Dear Readers, I certainly hope you aren't mimicking the mass of Americans who
are hiding their heads in the sand, rather than facing what the present
economic crisis may mean. If so, stop kidding yourselves. These bad debts and
bad investments cannot be cleared in less than a decade. Best gird up your
loins and prepare to run a long, hard race.
Argentum et aurum comparenda sunt -- -- Gold and silver must be bought.
Franklin Sanders
www.the-moneychanger.com
Reprinted with permission from The Moneychanger.
Franklin Sanders lives on a farm in Middle Tennessee by choice, deals in
physical gold & silver, and has been writing and publishing The
Moneychanger for nearly 26 years. In 1993 he wrote Silver Bonanza for
Jim Blanchard. Last year he published "Why Silver Will Outperform Gold
400% and & The Professional Trading Secrets That Will Make the Most of
Your Silver & Gold Investments," still available at www.the-moneychanger.com/order/publications.phtml.
You can sign up for Mr. Sanders' free daily e-mail
commentary on gold & silver at www.the-moneychanger.com, and download your
free portfolio calculator to keep up with your gold and silver investments.
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