http://news.coinupdate.com/have-gold-and-silver-prices-peaked-0178/ Coin Collecting News Thu, 09 Sep 2010 02:00:46 +0000 hourly 1 http://wordpress.org/?v=3.0.1 http://news.coinupdate.com/have-gold-and-silver-prices-peaked-0178/comment-page-1/#comment-852 Radwriter Tue, 09 Mar 2010 19:01:54 +0000 http://news.coinupdate.com/?p=2033#comment-852 Using the 1980 experience as a prototype for a new peak is, I think, inappropriate. Why? The 1980 peak was driven by the Hunt brothers' attempt to corner the silver market. Gold was trading at barely 20X silver. The demand for gold was artificial in that gold bugs thought that a multiple of 20 indicated that gold had to go higher. They did not realize that the price of silver was also artificial. When the Hunt scheme collapsed, so did the price of both silver and gold. The market had been caught up in a frenzy of ignorant expectation. The only similarity to the current market is the opposite relationship of silver and gold prices with gold trading recently at a multiple above 70. Many precious metal fans have been predicting higher silver prices because silver has been so undervalued relative to gold. Is that because silver is undervalued or because gold is overvalued? Gold is the center of attention these days. As in 1980 when one of the metals is big news, the other moves in its shadow. What usually returns prices to their historical norms is the hot ticket item cools off. Using the 1980 experience as a prototype for a new peak is, I think, inappropriate.
Why?
The 1980 peak was driven by the Hunt brothers’ attempt to corner the silver market. Gold was trading at barely 20X silver. The demand for gold was artificial in that gold bugs thought that a multiple of 20 indicated that gold had to go higher. They did not realize that the price of silver was also artificial. When the Hunt scheme collapsed, so did the price of both silver and gold.
The market had been caught up in a frenzy of ignorant expectation.
The only similarity to the current market is the opposite relationship of silver and gold prices with gold trading recently at a multiple above 70. Many precious metal fans have been predicting higher silver prices because silver has been so undervalued relative to gold. Is that because silver is undervalued or because gold is overvalued?
Gold is the center of attention these days. As in 1980 when one of the metals is big news, the other moves in its shadow. What usually returns prices to their historical norms is the hot ticket item cools off.

]]> http://news.coinupdate.com/have-gold-and-silver-prices-peaked-0178/comment-page-1/#comment-840 blake05 Sun, 07 Mar 2010 02:56:24 +0000 http://news.coinupdate.com/?p=2033#comment-840 Ruthless!!!!!! Hays City Gold & Silver in Hays, Kansas is ripping people off with fraudulently over-priced collectible gold coins. People who put their trust in him and his supposedly honest business reputation have been deceived and have had their life savings wiped out! Stay away from him!!!!!!!!! Ruthless!!!!!! Hays City Gold & Silver in Hays, Kansas is ripping people off with fraudulently over-priced collectible gold coins. People who put their trust in him and his supposedly honest business reputation have been deceived and have had their life savings wiped out! Stay away from him!!!!!!!!!

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