After yesterday’s beat down in gold and silver, a little reprieve is due the metals. Today the dollar was flat but we might see it fall under 96 again tomorrow assuming we get the jobs report as less than expected. Today’s jobs data should have been more bullish for gold, but I think there were sellers from yesterday still kind of shocked as to what happened when gold and the miners got hammered as well as silver. You know though that I had been leaning negative and waiting for that $1,300 level to be cracked. But for the short term I think we may head back over $1,300 soon enough and traders can take this long if they want. The dollar is still your key. and it’s 96.13 at present with gold at $1,268.10 and silver $17.78. Platinum and palladium are also higher.
No, this is not inflation, but simple price movement as we have a leg up in metals and trap more bulls before once more the rug is taken from underneath them in a deflationary death march lower. The only way you will be able to understand this is by reading my book Illusions of Wealth. I spent 3 years of my life putting the pieces of this puzzle together and if you haven’t read it, then frankly you won’t know what I mean when I say “deflationary death march lower.” I did spend part of 400 pages though spelling it out for you.
Doug Eberhardt is a 28 year financial services veteran and precious metals broker selling gold and silver at 1% over wholesale cost. Doug has written a book to help investors understand how gold and silver fit into a diversified portfolio, how to buy gold and silver, and what metals to buy. The book; “Buy Gold and Silver Safely” is available by clicking here Contact phone number for Buy Gold and Silver Safely is 888-604-6534
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