Keith Weiner put out the Monetary Metals Report dealing with the below in a more comprehensive fashion. His essay is right under this post.
This is big dollars moving Gold – not millions of little people. It is individuals with HIGH net worth, investment funds and, my guess is, central banks. That is because the big dollar dump is almost all in the direction of Gold, not silver.
Silver’s move will be delayed until the message is loud and clear to the wider community. Most still won’t really get it, but they will get it well enough to not want to miss the boat.
If the big dollar dump continues, watch for the Gold to silver ratio spread to start to narrow as silver becomes more sought after. Not only by the smaller investor, but by those sharp enough to note that we are close to an historic high in the ratio. Silver is cheap and is almost certain to begin rising against Gold in the near future i.e. the Gold to silver ratio will begin to narrow and your silver will buy you more Gold than it will today.
It’s fascinating watching the Asian market take over from where the US market left off this morning. Fiat, all fiat, is being dumped in large amounts.
I do sometimes wonder whether anyone really understands the gravity of the situation. Periods like this push me toward believing that there are, but I am still left with the lurking suspicion that it is because of the potential for war with Iran or US political shenanigans etc.
When the debt problem breaks, it will be far more destructive and kill far more people than a war – even a war with Iran.