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Good discussion. Hope you kids are safe and making money.
A crash has to be qualified by the size of the market. A 30% drop in silver is not the same as a 30% drop in the DOW. Silver is a very thin market and when nations and the money center banks are playing the volatility can get insane.
I'm sitting tight but am soooo tempted to buy more. Can't. I'm at my target play [so way beyond my target], that I can't get any crazier.
"What if, and bear with me here, the wild gyrations in gold and silver prices are actually telling us something? There are three plausible messages from the rise in gold prices. I’m not convinced that any of them provide a full explanation for what’s going on. But all have a grain of truth, and tell us something about how investors in stocks, bonds and currencies are navigating a very uncertain time in the world."
The final sentence of the linked article is where I have been since this all came to my attention: "But Friday’s plummeting precious metal prices show the danger of being late to a rally that has gone far beyond that truth."
I would like to add some PM. But, I am going to wait before buying anything. I may miss out, or find a better entry point. I will let fear overcome greed. Will it trickle lower over time? All we know right now is that we didn't get a rebound today, after a weekend for investors to collect their thoughts.
I'll add that if I had entered silver/gold a year ago, I would stand pat.
Oil is getting clocked for over 4% today. Commodities in general down. I have 1 housing stock that's also down today. I can't comment on whether the metals are a good buy or not. But as to what turned the market, it looks like Warsh's nomination is being viewed as potentially restrictive of money supply - potentially recessionary. Only 1 day before his nomination many had settled on Rick Rieder who has voiced strong support for rate cuts. So Warsh came as a shock to most. Might help explain things.
I was surprised at the Market's reaction regarding Warsh. He had been an inflation "hawk." But more recent reports told of a man who had morphed into just the opposite, to curry favor with the Orange One.
I was surprised at the Market's reaction regarding Warsh. He had been an inflation "hawk." But more recent reports told of a man who had morphed into just the opposite, to curry favor with the Orange One.
Kevin Warsh has been accused of being politically expedient. As a Fed governor, he was viewed as an inflation hawk favoring higher real rates, tighter policy, and a reduced balance sheet. Since becoming a candidate for the Fed Chairman position, Mr. Warsh has argued for earlier and larger rate cuts which aligns with the president's desires.
Not yet real close to my limit orders at $30 for SILJ and $60 for SLVR. At that level i'd still have about a 20% gain on my original 7k investment roulette spin.
Since becoming a candidate for the Fed Chairman position, Mr. Warsh has argued for earlier and larger rate cuts which aligns with the president's desires.
Think the candidates have to march to the same tune as the administration. Question, will there is enough Fed board members to draw a balanced view on the interest rate? If Powell stays as a board member, it will cancel out Warsh’s vote. Powell may have enough of Trump and moves on elsewhere. Either way, inflation may remain sticky or elevated, Warsh may not able to cut aggressively at all. The remaining play is the Fed balance sheet. For now, the market appears to view Warsh with a positive light as reflected on the falling PM. Just my thought.
Comments
Good discussion. Hope you kids are safe and making money.
A crash has to be qualified by the size of the market. A 30% drop in silver is not the same as a 30% drop in the DOW. Silver is a very thin market and when nations and the money center banks are playing the volatility can get insane.
I'm sitting tight but am soooo tempted to buy more. Can't. I'm at my target play [so way beyond my target], that I can't get any crazier.
And so it goes,
Peace and fuck ICE,
Rono
Let's go crazy
Let's get nuts
Let's look for the purple banana
'Til they put us in the truck
Let's go
We're all excited
But we don't know why
Maybe it's 'cause
We're all gonna die
I would like to add some PM. But, I am going to wait before buying anything. I may miss out, or find a better entry point. I will let fear overcome greed. Will it trickle lower over time? All we know right now is that we didn't get a rebound today, after a weekend for investors to collect their thoughts.
I'll add that if I had entered silver/gold a year ago, I would stand pat.
https://people.com/trump-announces-massive-new-white-house-addition-gold-ballroom-11782823
Oil is getting clocked for over 4% today. Commodities in general down. I have 1 housing stock that's also down today. I can't comment on whether the metals are a good buy or not. But as to what turned the market, it looks like Warsh's nomination is being viewed as potentially restrictive of money supply - potentially recessionary. Only 1 day before his nomination many had settled on Rick Rieder who has voiced strong support for rate cuts. So Warsh came as a shock to most. Might help explain things.
https://mutualfundobserver.com/discuss/discussion/65487/kevin-warsh-picked-as-fed-chair#latest
Will the real Kelvin Warsh step up? Why was Warsh selected over say Rick Reider ?
As a Fed governor, he was viewed as an inflation hawk favoring higher real rates,
tighter policy, and a reduced balance sheet.
Since becoming a candidate for the Fed Chairman position,
Mr. Warsh has argued for earlier and larger rate cuts which aligns with the president's desires.
investmentroulette spin.