Seeking Alpha

Gold and silver slide again in a big late-year sell off taking on a curious resemblance (I, II)...

Gold and silver slide again in a big late-year sell off taking on a curious resemblance (I, II) to the price action at the end of 2011. Followers of the precious metals hardly need to be reminded that bear market ended on the last trading day of the year, and was followed by a big bull run in Q1. GLD -0.9%, SLV -2.3% premarket.
Comments (20)
  • geez louise dec gold was $50 higher before 8 am!
    20 Dec 2012, 09:14 AM Reply Like
  • TPTB canĀ“t have gold and silver doing better than the Fiat....it will show the emperor has no clothes...so they tank it...its just to obvious now.....right now Asia is buying tons of the real metal....and it will move over to their countries....and soon we will only have paper gold....me not included in the above comment...but the New York Banks and Players will just have paper...beware.....they will sell it to you before the scam is outed
    20 Dec 2012, 09:15 AM Reply Like
  • lol ^
    20 Dec 2012, 09:33 AM Reply Like
  • For the last few days gold is 1730ish at the open of the US markets then under 1700 at the end of the day. Who could be manipulating a $30 plus channel, are they shorting it in the evening and buying in the afternoon? Good money can be made controlling a swing like that, how about a heads up so I can benefit?
    20 Dec 2012, 10:00 AM Reply Like
  • Once Abe does his hyperinflation money printing in Japan, both PMs will soar. This last week is a last ditch suppression by the criminals. Meanwhile PMs are definitely on sale. Get'um while you can.
    20 Dec 2012, 10:03 AM Reply Like
  • I want what most people and that is a robust economy. However, I don't think Washington feels the same way. The U.S. Dollar is freefalling it's way to zero with no end in sight. Gold and silver should be exploding higher as we wathch it being hammered for no good reason.
    20 Dec 2012, 11:39 AM Reply Like
  • It's a disgrace with all the manipulation that is going on!
    20 Dec 2012, 11:39 AM Reply Like
  • I have to ask "Did anyone look at the linked charts"? This is a year end sell off and long term investors have to look at today as a gift from the momentum and tax squaring side of the market. Call it what you want, manipulation or whatever, with the silver RSI solidly oversold, it's gut check time in the PM pits.
    20 Dec 2012, 12:01 PM Reply Like
  • Published reports say that Morgan Stanley (and possibly others) are recommending that investors redeem their holdings in John Paulson's hedge funds. Given that Paulson is by far the largest holder of GLD, it's just possible he is being forced to liquidate to meet redemption requests. Hedge funds are ordinarily highly leveraged, and if Mr. Paulson's are leveraged, say, ten to one, he'd have to sell $100 million of gold to meet a $10 million redemption, etc. This is all just speculation of course, but just maybe this is where the pressure on GLD is coming from.
    20 Dec 2012, 12:04 PM Reply Like
  • As I recall, gold got hosed last year from Paulson getting his golden little nuggets in a vise. Obviously someone or many someones are dumping for some reason. Be it profit taking or fire sales who knows. One thing for sure, at these levels, there is some technical trading going on as well.

     

    I heard one idiot on CNBC suggest that investors were selling before the cap gains tax rate goes up on January 1st. My thinking was that GLD and gold are taxed at the "collectibles" rate of 28% rather than 15%. That's the tax I paid last year when I took some profits.

     

    It seems to me that if the cap gains tax rate does go up, that GLD and gold will be a more attractive investment in comparison to equities and real estate. Somebody correct me here if I am wrong, please. That CNBC guy is an idiot, right? Or am I?
    20 Dec 2012, 04:59 PM Reply Like
  • sounds right
    20 Dec 2012, 05:32 PM Reply Like
  • Gold is volatile, and will rise again in 2013 as the dollar continues it,s decline.
    20 Dec 2012, 12:19 PM Reply Like
  • good will rock in 2013
    20 Dec 2012, 05:31 PM Reply Like
  • Buy on the dips...I dabbled a little today. If it goes lower in the next few days I will probably dabble a little more. Over time your pile grows.
    20 Dec 2012, 09:15 PM Reply Like
  • More of a case of dips are buying. Someone has sold puts and lots of them. Then dumping mass quantities and enjoying the ride. Likely further to go.
    21 Dec 2012, 03:34 AM Reply Like
  • Put me in the dip category. Went long PHYS & PSLV with crossed fingers.
    21 Dec 2012, 02:51 PM Reply Like
  • I would never call you a dip, bd4uandu. You did say your fingers were crossed.
    21 Dec 2012, 04:48 PM Reply Like
  • Both hands, it might drop some more but I think next year ...up,up and away. Hi ho silver.
    Do you read Matt's articles?
    http://seekingalpha.co...
    21 Dec 2012, 07:49 PM Reply Like
  • I do folllow the scruffy fellow, yes.
    22 Dec 2012, 10:10 AM Reply Like
  • Glad to hear that your pile is growing. My pile is growing, too; in fact, I've never seen such a pile as that which occupies congressional seats in Washington, DC at present. Pilot here, pilot there.
    22 Dec 2012, 11:15 AM Reply Like
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