G'day. Sorry, very busy here, especially with the currencies. Greenspan said nothing new, although I was surprised to get a glimpse of Congressman Ron Paul asking about Fiat currency and the associated risk as seen by Sir Al. I was too busy to watch so if anyone has a transcript of the interchange, I'd love to see it. I won't waste my time or yours, talking about what was discussed by Sir Al. He reminded me of the cop in South Park, "Move along- nothing to see here". What astounds me is people's acceptance of whatever he says, without question.
Gold went lower and tested the $395 level. The dollar got a lift as well. Wow, who'd have thunk it! The Kiwi, Aussie and Rand got smashed yet the Canuckleheads didn't get hit anywhere near as hard. I will keep an eye on it as there may be some catch-up to come. Plenty of funds piled in to sell gold on the exchange, and I was surprised we didn't go lower to $392ish. Maybe a test back at $399 then we go down again.
I am hearing very strong physical demand with premiums in India, indicating robust demand down here at and below the $400 level. Across Asia, including Japan, we have seen an increase in physical spreads in the local markets indicating solid demand. Physical buyers are happy.
Silver tested the $6.30 level again and looks likely to test lower, from the brief action I saw today. I still think we could see sub $6 in coming few weeks which will give us another opportunity to load up some silver bars.... Physical, not paper.
The Amex Gold Bugs Index (HUI) saw some green via the South Africans, based off some Rand weakness. Interesting how the selloff in physical doesn't correlate with the equities. Metal equities appear to have strong leadership skills!
Sorry, gotta fly... paper currencies are much more time intensive than the "real thing".
Catch ya tomorrow I hope.... Enjoy the rest of your day.
PS... I saw the article in Todd's Randoms .... I can't believe anyone would've rushed towards that weather, Prime Minister or not!
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