Our shitty dollar will be going down with it if the predicted radical halving of rates happens later this year, or if alternatively the U.S. Fed hikes rates.
Something similar to here I assume, though what's going on here I can't figure out: http://forums.silverstackers.com/topic-65568-big-spike-in-gold-short-positions.html It makes me crazy since cheap silver should mean being able to buy more but those central wankers seem more interested in propping up otherwise unprofitable exporters and the housing market at the expense of anyone who saves or is paid in aud. Exchange rates wiped about 20% off the value of the whole money supply in the last 12 months, or about 355 billion dollars. That's money, essentially, out of your bank account and out of your pay packet to keep the wineries and iron miners in business. Can you imagine the sort of capital works we could have gotten for that money? Of course things don't work that way and we need to be competitive, I just don't like it when there's a really significant drop in the exchange rate like this over a few months and people don't even pay attention like it doesn't affect them unless they're flying to Bali this week then wonder why electronics cost so much here. It's a serious issue that people should pay attention to so that the RBA can be held accountable when they drop, or potentially as important raise, rates. Maybe it should happen but hardly anyone cares what they do our why they do it.
According to this article posted about half an hour ago the net silver short positions are the highest they've ever been. Ever. If it was just silver you might say it was a Chinese commodity consumption story, but with the gold shorts as well it's clearly a deliberate move against PM. I can't imagine at all what this is about. I never went in for that conspiratorial stuff but this looks coordinated, if only that a few of the big players have the same information that's informing their decisions that nobody else has.
Silver has two sides, precious metal, industrial metal, which is probably why it's dropped 6% when gold only 2%. But silver is not the main man industrially, copper is king and when the king bows down, the rest follow.
It's all commodities though, not just gold and silver. Even soft commodities like coffee and cotton haven't been spared. If anything that would suggest the selloff is genuine.
6% in a little over 2 hours though? Obviously it's part of a broader picture but it's a very big move just on a broad commodity sell off.
Silver is a volatile market at the best of times. A daily 6% move one way or the other is not unheard of.
Not unheard of, we did that or close to it at the end of last year. Just odd without any specific rationale with conditions that would otherwise be good for PMs. People could stay out of the market all together, but they are piling in to shorts, I just think there must be a good reason for so many people to make such a decisive move, not like silver recently broke any big key technicals that I know of.
Same here :lol: Just ran to the local PM-dealer aftr work... hope it lingers around or even drops further!
Silver was a lot cheaper for Aussies in Nov 2014. Mr. Glen talked down our dollar and now the Chinese will crush it.
Yep, if you didn't buy in Nov then you missed the boat, unlikely to see those lows again in Oz for for the foreseeable future. Who knows, that latest little blip when it dropped below AU$20 might not come back for a long time either. I got the majority of my silver in the Nov low, and some more in the sub AU$20 low the other day, so I'm doing ok. I now consider anything under AU$20 "cheap", it's kinda my trigger point. I like round numbers.
I bought a bit close to the dip with the $ at 75c. I think that's as best I'll do since November 2014 and for the immediate future
