Gold prices dropping

I haven't been one to keep up with gold prices and I'm sure some time or another this is gonna come back and bite me. However I seen BR mention his prices were updated and they expect to see gold drop to $1500/ toz. Anyone watching the prices and see this happening? Kitco says around $1650 now but that is down $78 from the high in the past 30 days. Wondering what those who watch gold closely have to say. Feel free to PM if you would like

According to this chart of the past 60 days we are on a downhill slope

http://www.kitco.com/charts/popup/au0060lnb.html

From what I see in the following 2 charts gold drops off at the beginning of winter and picks back up at the end of winter. Also drops at the beginning of summer and picks back up in the fall. Am I on track here?

http://www.kitco.com/charts/popup/au0365nyb_.html

http://www.kitco.com/charts/popup/au1825nyb_.html

It's the end of the year, people divest this time of year to pay for xmas.

The baby boomers are selling off precious metals because they cannot sell their houses to pull equity for retirement. This is the last year baby boomers are retiring but also the largest number of people retiring ever.

It's an election year, and even though it's over with our current president is a lame duck, meaning he is beholding to nobody this second term because he doesn't have to worry about re-election, he cannot be re-elected.

It's the end of the 2600 year cycle on the Mayan calendar, and odd as this might sound some people sold off gold because they thought it was the end of the world.

The average age people have liquid funds to purchase precious metals is 46, however there is a large percentage of those people who have lost their houses, and jobs, and are not liquid. And there are fewer and fewer people in the US at least, who are 46. We are actually on a population decline, fewer people are being born. We only have an increase in population because the baby boomers are still around.

Fact is if you haven't caught on already, there are so many different factors that we can point at and call out as the reasons for gold prices falling. Personally I believe the market is manipulated by those who can do so. And it's done for the simple reason of profit taking. Gold will go up again, and down again, and up again and continue to do so for the rest of our lives. However, the general trend is that gold continues to rise over the decades, and nothing has ever stopped it.

Scott

From what I've been able to discern, gold is a VERY manipulated commodity, as is silver. Gold generally being over-inflated and silver prices being repressed artificially, but silver seems to be the steadiest in the last century through the inflation of our fiat currency...

As an investment, silver is my favorite metal by far...

Last year over 40% of all the silver used in manufacturing came from recycled sources. In our medical field, silver is truly the only thing we can rely on to kill super bacteria, as bacterial infections like MRSA become more resistant to antibiotics, silver will become one of the only ways to kill it off. Silver is used in industry at a 1:1 ration with gold, yet there is less silver in the world than gold, silver mining production is also less than gold production, check the figures you will be surprised. Silver conducts electricity better than any other metal known to man, and even in graphene applications for the conductivity of electricity in electronics, silver is made with the graphene. There are very few silver mines, for the most part it is recovered in mining operations for gold, platinum, lead and copper. As silver is used in more and more applications where it cannot be recovered, like clothing, cement, medical treatments, it is going to become more rare, and thus more expensive.

By the way, if anyone has silver bearing scrap they are interested in selling, please let me know. =)

Scott

I've been noticing that/ learning more about it and it really does seem that silver will soon be substantially more valuable than it currently is... All I have for silver scrap is about a half pound of dirty contacts, most of the weight is copper, I'm just waiting until I get the ambition to figure out how to clean them off since some are sautered on and some are riveted

If you decide to de-solder the contacts off, be aware that the larger silver contacts probably contain cadmium, and if heated will give off a gas as the cadmium burns, that is extremely unhealthy to breath. You might want to do it in a well ventilated area just to be safe.

Scott

check out the gold chart today, its going straight up The problem with commodities right now is the dollar is getting stronger. The problem is there is no fundamentals to back it up. Unemployment is getting higher, taxes are going up, retail sales are down, restaurants are down the list goes on and on. This will not last. We are in a bubble created by artificial news and market manipulation. This trend will fail dramatically and commodities prices will skyrocket, it is only a matter of time. Without the creation of tons of good paying jobs the market is not going anywhere but down. Busting the unions so that you can replace them with part time minimum wage employees is not the answer. Honestly how much do the retail/production line part time employees in the $10-$12 hour range contribute to the economy, on that pay you cant buy much more than the basics.

Quote:

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Originally Posted by NobleMetalWorks

If you decide to de-solder the contacts off, be aware that the larger silver contacts probably contain cadmium, and if heated will give off a gas as the cadmium burns, that is extremely unhealthy to breath. You might want to do it in a well ventilated area just to be safe.

Scott

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Scott you have made this statement a few time as of late and its just not true. AgCdO/AgCd contacts are mainly used in small contacts. Like relays where the contact needs to be harder and last longer. Ice cube relays,router switch relays, dryer timers, things like that usually they are riveted in. Large contacts are going to be Ag, AGNi, AgCu. Also the waffle back ones will be Ag-Wc sinister pads. A way to test between the two types of larger contacts is that the AG-Wc will break when you try to bend them, and the other higher Ag content ones will bend.

It is a good idea never to melt them for the rare possibility that you get a Cd or CdO and tin contact mixed into the batch . This is why most refinery's wont touch them the EPA hoops make it unprofitable.

If you have info on the bigger ones let me know I have spent the better part of the hour tying to prove you right. I have never seen any over the size of a pencil eraser in real life. If I'm wrong I will amend my post to reflect it.

Eric

All of my contacts aren't much bigger than a pencil eraser, and most of them came out of relay boxes and the rest from electric motors.... so they probably do have the Cadmium. I'll have to wait for a warm day and do it outside then, haha

hmmmm I see a couple of new SMF stars on the rise here. thanks guys. keep up the good work. mcw.

side note: Kiln sitter switches have a very large silver button in them.

Quote:

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Originally Posted by NobleMetalWorks

It's the end of the year, people divest this time of year to pay for xmas.

The baby boomers are selling off precious metals because they cannot sell their houses to pull equity for retirement. This is the last year baby boomers are retiring but also the largest number of people retiring ever.

It's an election year, and even though it's over with our current president is a lame duck, meaning he is beholding to nobody this second term because he doesn't have to worry about re-election, he cannot be re-elected.

It's the end of the 2600 year cycle on the Mayan calendar, and odd as this might sound some people sold off gold because they thought it was the end of the world.

The average age people have liquid funds to purchase precious metals is 46, however there is a large percentage of those people who have lost their houses, and jobs, and are not liquid. And there are fewer and fewer people in the US at least, who are 46. We are actually on a population decline, fewer people are being born. We only have an increase in population because the baby boomers are still around.

Fact is if you haven't caught on already, there are so many different factors that we can point at and call out as the reasons for gold prices falling. Personally I believe the market is manipulated by those who can do so. And it's done for the simple reason of profit taking. Gold will go up again, and down again, and up again and continue to do so for the rest of our lives. However, the general trend is that gold continues to rise over the decades, and nothing has ever stopped it.

Scott

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The retail market selling for Christmas or trying to generate cash is not responsible for these moves up or down. The gold market is a little bit bigger than that I am afraid.

Currency strength or weakness based on central gov's policies around the world, international turmoil, stock and bond strength or weakness hedging.....those are moving the market. Bobby Sue selling her dead mothers wedding band to pay bills or Jim Bob selling a couple Eagles to buy a used car for his son for Christmas....those are not market movers. They are the result of market moves, not the cause.

time fo PM discussion to be a new perminint thread ?

When Gas prices go down so do PMs this is the currency movement. Some commodities don't follow this like food and textiles but the depend on weather not future mining or recycling that is somewhat predictable.

Eric

Quote:

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Originally Posted by etack

When Gas prices go down so do PMs this is the currency movement. Some commodities don't follow this like food and textiles but the depend on weather not future mining or recycling that is somewhat predictable.

Eric

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Gas prices have bottomed and are headed back up. Were going to see $5 gas in 2013 because the government wont open up domestic supplies or make it profitable to do so and has cut production in the gulf. Just another bullish indicator for pm prices.

Ive been keeping a close eve on some US drillers in kurdistan, they are facing the same issues, they have highly productive wells but no pipelines to move it.

Markets (such as Gold) are a traded commodity, price fluctuates at every given moment during the trading day. What you may be seeing is a slight re-trace (buyers taking profits) and yes, at the end of the year shops are tiding up their books and you tend to see profit taking. $78 is no cause for alarm.
Aaron

Etack,

I am travelling atm and using my phone. It is my understanding, and you can google this, that cadmium oxide is used in the larger contacts because applications with high voltage/amps tend to ark, the cadmium oxide prevents scoring.

http://www.astm.org/Standards/B781.htm

Here is a pdf I have in my dropbox that explains why cadmium oxide is used.

http://db.tt/LlCRVjYV

I am checking into a hotel later. When I get a chance I will post what information I have.

Scott

Quote:

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Originally Posted by NobleMetalWorks

Etack,

I am travelling atm and using my phone. It is my understanding, and you can google this, that cadmium oxide is used in the larger contacts because applications with high voltage/amps tend to ark, the cadmium oxide prevents scoring.

ASTM B781 - 93a(2012) Standard Guide for Silver Cadmium Oxide Contact Material

I am checking into a hotel later. When I get a chance I will post what information I have.

Scott

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Thanks Scott Be safe on the road.

The link that you provided made my point on size of the contacts being small and used in relay style applications.

Eric

Thank you sir, will do. I will catch this post later

when talking about falling gold prices don't say it too loud, the buyers here on the forum my hear you. :)

Gosh gee wizzz.. I didn't mean to start this, I really really didn't mean too. I'll go set in my corner and be quiet for a while. :)