frdm45

Smart Money Is in Precious Metals, But a Local Top Is Close

Why does this author talk about gold and silver tops in almost every single article? And he seems to take the same "on the fence stance" in each one as well, with each title sounding very ominous. I'm not trying to be disrespectful, just calling them as I see them. TAKE A STAND!

Gold Bears Stop Sector from Overheating

On Nov 24 02:48 PM LR European wrote:

> Well presented and thorough. Thank you. Perhaps my only quibble comes
> towards the end of your article when you ask the question:
>
> "How long will it take the 1.3 billion gold-starved consumers of
> China to buy their fill? Perhaps the better way to phrase the question
> is: how many thousands of tons of gold will it take to satisfy this
> bloc representing more than 20% of our entire population?"
>
> As I am sure you are aware, the vast majority of that 1.3 billion
> struggle to afford basic sustenance and have little hope of feeding
> their gold hunger.
>
> Nevertheless, within that massive group is a tiny percentage of many
> tens of millions of Chinese who can and do afford to invest and are
> certainly helping on the demand side of the equation. So your argument
> was right, but the quantum was just a wee bit over-exuberant. ;-)


Of the roughly 300 million chinese middle class, maybe 50 million could afford an ounce a year, but all the middle class and a portion of the poorer chinese masses will be able to afford and will want to own silver ounces. Silver has been a medium of exchange in china for thousands of years and as I heard someone else put it: THE CHINESE WORD FOR SILVER ALSO MEANS "BANK". Nice association, and what ideas have those wise asians ingrained into thier culture that we haven't?


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Gold Bears Stop Sector from Overheating

On Nov 24 10:35 AM Johnny Oxygen wrote:

> OK. Admittedly I have a lizard brain but I don't understand this.
>
>
> "Nadler has worked for Kitco (a precious metals web-site) during
> a decade in which gold has quadrupled in price – and yet Nadler never
> states that “now” is a good time to buy gold."
>
> If Nadler is in the precious metals business why would he want to
> play-down the value of PM's? Wouldn't he be saying "Buy! Buy!"<br/>
>
> I don't get it.

I never understood what Nadler's deal was either, the guy isn't stupid, its just obvious he has some agenda, but what? Then I read the following on an SA post and understood a little better:

"One way that Kitco sells gold is through their "Pool Accounts." You give them cash for gold that they claim to keep in storage for you. As gold continues to climb there will come a point in time that many Kitco clients will demand to have their stored gold delivered to them. But will Kitco actually have it? Is there a good reason why Kitco's only gold annalist has been a gold bear all these years? Think about it folks. Does MacDonalds advertise that hamburgers are a bad product to consume? Does Ford warn their prospectve customers that cars are unsafe? Of course not! They are in the business to sell their products, not discourage people from buying. So why do you suppose Kitco pays Nadler to write a daily article on how gold is such a bad investment and highlights his writings in bold each and every day?
Perhaps there is good reason why GATTA awarded Nadler the moron of the year award the past two years in a row. But the truth is that Nadler is not a fool. He just has an agenda. If you can't see that by now then it is not he that is the fool. "

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High Gold Prices: It's the Oil, Stupid

> Another point is that any responsible Iranian Government will certainly
> develop nuclear weapons.

Q: Where is the oxymoron in this sentence?

Pan American Silver vs. the Silver ETF: Which Is the Better Investment?

Great overview of Pan Am's properties, potential, costs, etc. However, they do have some country risk. If you are looking for value, according to 24hgold, Revett Minerals has a similar in-situ value to Pan Am, twice the cash costs of extracting the silver, but 1/100th the share price, with no country risk. According to 24hgold Pan Am is at $4.57 market cap/ounce, and Revett is at $0.09/ounce, though Pan Am does have a good oz/share number - 5.44.

Junior Miners: Poised for Impressive Gains

Hi Jeff from a fellow Canuck,

Great article! I agree, it seems absurd to say these miners could crash when most of them are not far off their lows.

Do you think there may be some pick-up in demand for these shares in the new year when funds are reevaluating what they are holding and looking for the new "it" sector? What other major catalysts do you see spurring this sector, or do we just have to be patient for another two or three years and see gold hold above $1200, $1500?

thanks, keep up the good work!

Traders Betting on 60%+ Rise in Silver

On Nov 19 12:24 PM AtTheMurph wrote:

> $100 of gold costs just as much as $100 of silver.


Please explain the above comment..................

Will a Gold Correction Come?

Gold is only mentioned in the MSM in regards to new highs.

Are your neighbours, relatives, friends (who are not traders) talking about gold? None of mine are and neither the ones of fellow traders I speak to from coast to coast. So I would hardly call this a bubble.

Gold has been in backwardation recently. According to Antal Fekete, this is a significant signal.

news.goldseek.com/Gold...

So the question should be, IMHO, not when the correction will come, but when will the explosion come.

Beyond GLD: Four Alternative Gold ETFs

I'm not trying to be alarmist or a conspiracy theorist, just read the GLD prospectus and draw your own conclusions about what exactly you own and you rights associated with it:

Excerpt from the GLD prospectus on page 11:
www.spdrgoldshares.com...
Gold bars allocated to the Trust in connection with the creation of a Basket may not meet the London Good Delivery Standards and, if a Basket is issued against such gold, the Trust may suffer a loss. Neither the Trustee nor the Custodian independently confirms the fineness of the gold bars allocated to the Trust in connection with the creation of a Basket. The gold bars allocated to the Trust by the Custodian may be different from the reported fineness or weight required by the LBMA’s standards for gold bars delivered in settlement of a gold trade, or the London Good Delivery Standards, the standards required by the Trust. If the Trustee nevertheless issues a Basket against such gold, and if the Custodian fails to satisfy its obligation to credit the Trust the amount of any deficiency, the Trust may suffer a loss.

Silver: Use Leverage on the Laggard Metal

A great little silver producer with enormous ounces in the ground currently trading at less than half of book value:

Revett Minerals TSX-V: RVM

Yes, of course I own it. They had some issues but seemed to have overcome the worst of them.

3 Reasons Not to Believe In Gold's Recent Rally

True, the people mentioned below have vested interests in the commodities they speak about, however, I do respect people who put their money where their mouth is, unlike the Roubini's of the world. These people are proving their conviction, and I don't think their words alone are enough to have more than a miniscule influence upon these massive, globally traded commodities. Go ask somone who isn't into trading or serious investing, like a friend, relative or neighbour; who is Jim Rogers, Paulson, Einhorn, etc and see what the response is.


On Nov 11 11:51 AM Steve Mc wrote:

> Thanks for posting your article. People also need to remember when
> listening to people like Rogers, Paulson, Schiff, and others, that
> these men all have vested interests in getting you on their sides
> of the trade.
>
> Take Jim Rogers for example. Every single day the man speaks about
> how commodities are going to go higher over the next twenty years.
> Interesting that he runs the RJI commodity fund, isn't it? I'm not
> saying he is wrong in his prediction, but what I am saying is that
> he has financial motivations to make his predictions reality. I would
> say the same thing about Schiff, Paulson and anyone else who makes
> predicitons that Gold is going to $5,000.
>
> They want you on their side of the trade.

Gold Transforming into a Completely Demonetized Wealth Asset

I think most gold/silver investors agree with this statement, I certainly do, the key question is, when will things stabilize? If you think a year or two or sooner, by all means get out of gold. If you think 5-10 years, you're in for a wild ride when the Asian CB's attempt to get out of treasuries and into the only true (fill in your favorite term for gold).

Long microcap explorers/miners on the tsx-v: RMK, CUU, SMZ, and RVM on the tsx


On Nov 06 09:22 PM You're Kidding wrote:

> 80 years ago gold was worth $35/oz. Today its worth $1100. Sounds
> like incredible growth doesn't it? But actually that growth is only
> 4.4% compound annual growth rate.
>
> BIG DEAL.
>
> The value of gold is based on human psychology, and when the economies
> of the world stabilize, the value of gold will drop like a rock.
>
>
> Its a very risky investment and many will find this out the hard
> way.

Economic Growth Is Just Around the Corner

Tips are breaking out.........gee, ever hear of stagflation?


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Gold Transforming into a Completely Demonetized Wealth Asset

Over the next decade the central banks of the world will dictate the price of gold, do you think they will be buying or selling?

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Silver Prices Are About to Fall

Good bull and bear comments for the most part, IMHO. One quote comes to mind:

"It's not pulling back very much. And it's not giving people who haven't yet invested a chance to get in at a lower price.That tends to happen in a bull market; people wait around for a correction, but it never goes down far enough to give people an opportunity to get in at a more favorable price."


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