Originally Posted by
logansryche
The way I see it the metals market follows supply and demand like a commodities market should. Only problem is, is there's more supply then demand so it brings the prices down, making them stale. You also have to take into account outside factors such as China shutting down most of their processing plants this past year so there isn't as much as a demand for metals as there once was and then there was the California port debacle. Of course one could argue the California port thing was orchestrated by the Government in an attempt to put us scrappers in our place.
I agree with this. Supply and demand is driven by the economy, and right now (regardless of the spin by the loonies in DC) the economy still pretty much sucks. In a down economy there is very little new building, and with very little new building there is little demand, hence what is currently out there pretty much supplies the current needs. More demand, higher prices, less demand, lower prices. Now as far as precious metals goes, IMHO I think there is a lot of manipulation by the big banks.
Bookmarks