Silver guru David Morgan discusses the latest take-downs in gold and silver, and whether he believes the metals are placing a bottom, or whether the correction has much further to go.
Morgan states that although most metals investors appear to be giving up hope with the recent price action, the fundamentals are stronger than ever, and he does not expect silver to remain under $30 for long.
Full update from David Morgan on gold & silver’s recent price action is below:
2013 Silver Eagles As Low As $2.69 Over Spot
IN STOCK NOW at SDBullion.com!!
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How much does it cost now to buy Silver from the US and Canadian mint? I never buy from them. I get better deals at the pawn shop. There’s no point in crying about cheap Silver. Just buy it.
Here! Here!
Just exercise caution when buying silver through online ads or other sources you do not know very well. There are counterfeits out there, like how this guy found out: http://xxjobiiixx.blogspot.ca/2013/02/oh-no-ive-just-been-scammed-into-buying.html
Here are some links for PMs prices in Canada:
http://www.mint.ca/
Locally in Vancouver, BC there are two places that I know of:
http://www.vbce.ca/rates/precious-metals (price in both $US and $CDN)
https://www.store.firstmajestic.com/ (Price only in $US)
David Morgan is a very good silver educator. I agree with everything he said in this interview. I am not going to mention that he is a top caller who is always wrong though, cause that gets old.
How old is he?
Compared to Ranger he’s just a spring chicken
I’d like to see an interview with an honest metal investor that’s giving up. I’ve met multiple over the past week that are just backing up the truck. Some letterally. More worried about supply than about cost.
I am curious, XCS. What would you hope to learn from the weak hands? Most of them seem to be people who got into PMs based on some hype, had very unrealistic expectations, and then bailed out when they were not almost immediately realized. Either that or they tried to trade PMs, either physical or paper, and got their heads handed to them by older and much wiser players in the PM space.
All investors need to stop from time to time, take a step back from what they are doing, and reexamine their reasons and conclusions. This is a good thing to do periodically. I try to do it 2-3 times a year. Most of the time, I find that my reasons and conclusions are just as valid as when I made them. The few times that they have not been as valid resulted in me selling the investment. So far, so good in the PM arena, though. I have no need and no desire to sell any of my PMs at this time and am, in fact, buying more during this recent price drop.
Well I wished the interviewer would have asked David what he thought the price would go to as he has changed his mind on that a few times. O! Well.
Until cartel influence is gone nobody can call the PM markets.
Gold and silver may get knocked out right now very badly by the cartel but one day, both of the metals will roar, devour the cartel and destroy the debt system like beasts!
They are getting knocked down but not out, Sumkid. These temporary price smashes are like getting free silver or gold on a plate to anyone who is a long-term buy-and-hold PM owner. Rather than grumble at TPTB who keep putting these lovely metals on sale, we should celebrate the fact that they are silly enough to keep doing it. The thing that I find most encouraging about these paper price smashes is that it is taking more paper to create less of a price drop for a shorter period of time. We have entered the valley of the shadow, as it were, of diminishing returns for paper price smashes. The market seems to be becoming somewhat immune to this behavior and is not responding to it as greatly as it once did. Yes, there is still some response but it is not as wild as it was even just a few years ago and this in spite of the MUCH larger paper dumps that are occurring. I am awaiting the day when there is a wild paper dump / price smash attempt that occurs and then corrects very quickly, perhaps within a couple of hours, and the metals ending the day higher than they started it. That will be a powerful signal that the days of paper price manipulation are over because TPTB cannot make any more gains from it. All they can do via this technique will be to empty the vaults of whatever metals remain in NY and London and ship it to Asia and other buyers around the world who appreciate their true value.
Of course PM’s are going to get knocked down. More and more people are out of work. More and more people are having hours reduced….and we aren’t even to the “match in a wheat field” stage of austerity yet. Do people really think SHTF is just a clever marketing ploy?
People are going to sell what they have –that they can sell. That’s going to put supply into the market. Maybe lots of it. The cause and effect of all that’s going on will make for a great buying opportunity in the next several months as the dry powder sits on the sidelines and waits.
Sadly those waiting for Jim Sinclair’s Birthday are going to be very disappointed when that call doesn’t happen, The mocking, whining and bitterness four weeks from now will likely deafening….and the swoon follows through the spring will certainly take out holders of PM’s that invested—but not those that are using metals as wealth preservation.
“People are going to sell what they have –that they can sell. That’s going to put supply into the market.”
The recent price drops in Gold and Silver have not been the result of massive supply of physical metals coming into the market, but rather massive supplies of paper Gold and paper Silver (ie, Gold and Silver derivatives) being flooded into the market. In the short term, paper spot prices (which are derived from trading in the futures market) is what sets the market prices for the physical metals. In order to maintain control of the manipulation of Gold and Silver prices, the derivatives market must be growing by leaps and bounds. Every single physical oz of Gold and Silver is sold and traded multiple times the actual amount of physical metals, with Silver being the most severe. It is the fractional reserve system.
BTW, it is this same fractional reserve system that allowed the early bankers to ‘print money’ by creating more receipts for Gold than there was actual Gold in their vaults. Because they could count on not everyone coming to redeem their physical Gold holdings all at once, they realized they could print more receipts (paper money) than there was actual Gold, and issue these receipts as actual receipts for Gold in storage; ie, they were committing counterfeiting of money, which is how they became so rich and powerful (the bankers and money changers). Fast forward to the 21st century, where counterfeiting of money has been made legal to those with the ‘privilege’ to be bankers.