jim4silver
Silver Member
- Apr 15, 2008
- 3,662
- 495
After reading a lot of different online info regarding PMs, politics, etc, I kind of think that this recent drop is associated with a desire by the big shorts (the large institutions said to be holding the vast amount of short paper positions) to unload some/most? of their positions at the best price right now because something is coming down the road (a few months or less) that will propel PMs higher.
The big shorts have to know that with these lower prices more longs are going to be demanding delivery at some point on their Comex positions, and maybe this explains the recent large movements of silver and gold being talked about over the past couple of weeks on silverdoctor and other such sites?
One interesting recent development is in Israel, where there had been a recent call for early elections in September of this year. Without going into all the details of why they were going to do that, it just comes out the other day that the elections will not happen and the leading party (Likud- Netanyahu's party) there has formed a coalition gov with the Kadima party (Likud's main opposition if the September election would have taken place). This is said to be Israel's broadest coalition gov ever in their history. There is much info online about this development, and many commentators are saying that this will give Netanyahu the ability to pretty much do whatever he wants regarding Iran (with respect to the internal political scene is Israel).
I don't know much about mid east politics, but from what I have read this would seem to infer that either a) they are trying to make a show of force to Iran that they (Iran) better agree to something on the upcoming May 23 nuclear talks or else, or b) Israel's leaders have already decided to act and are getting things lined up at home politically so they can do what needs to be done to implement such an attack on Iran.
I am not saying personally I am for or against any of the above mentioned things nor advocating for any particular side in this issue. But I do think if things happen as some predict, it is going to have massive effects on all world markets, ie PMs, oil, stocks, etc. Any maybe some of the recent happenings in PMs are somehow related to foresight on the part of the big shorts to get the prices low now so they can close out of their positions profitably at this time because they know/believe something is coming that might cause PM prices to go higher later this year (such as Iran attack, further QE in Europe and here)?
I am trying to figure out why PM prices keep dropping in spite of the fact that many central banks around the world are buying and not selling huge amounts of physical bullion yet the paper prices are getting hammered for no apparent reason economically speaking. It is not like the dollar is rallying in a big way compared to the large decline we have seen in gold and silver lately.
Anyone have any thoughts on any of this?
Jim
The big shorts have to know that with these lower prices more longs are going to be demanding delivery at some point on their Comex positions, and maybe this explains the recent large movements of silver and gold being talked about over the past couple of weeks on silverdoctor and other such sites?
One interesting recent development is in Israel, where there had been a recent call for early elections in September of this year. Without going into all the details of why they were going to do that, it just comes out the other day that the elections will not happen and the leading party (Likud- Netanyahu's party) there has formed a coalition gov with the Kadima party (Likud's main opposition if the September election would have taken place). This is said to be Israel's broadest coalition gov ever in their history. There is much info online about this development, and many commentators are saying that this will give Netanyahu the ability to pretty much do whatever he wants regarding Iran (with respect to the internal political scene is Israel).
I don't know much about mid east politics, but from what I have read this would seem to infer that either a) they are trying to make a show of force to Iran that they (Iran) better agree to something on the upcoming May 23 nuclear talks or else, or b) Israel's leaders have already decided to act and are getting things lined up at home politically so they can do what needs to be done to implement such an attack on Iran.
I am not saying personally I am for or against any of the above mentioned things nor advocating for any particular side in this issue. But I do think if things happen as some predict, it is going to have massive effects on all world markets, ie PMs, oil, stocks, etc. Any maybe some of the recent happenings in PMs are somehow related to foresight on the part of the big shorts to get the prices low now so they can close out of their positions profitably at this time because they know/believe something is coming that might cause PM prices to go higher later this year (such as Iran attack, further QE in Europe and here)?
I am trying to figure out why PM prices keep dropping in spite of the fact that many central banks around the world are buying and not selling huge amounts of physical bullion yet the paper prices are getting hammered for no apparent reason economically speaking. It is not like the dollar is rallying in a big way compared to the large decline we have seen in gold and silver lately.
Anyone have any thoughts on any of this?
Jim
