Another mysterious waterfall drop at the COMEX open, but a good week nevertheless


Gold finished up $2.50 today at $1255.13.  Silver finished up 10¢ at $15.97. We got another waterfall drop this morning precisely at the COMEX open (8:30 am) after (in response to?) a strong showing in the overnight market that took the price to the $1261.50 mark.  As we have pointed out consistently at this page, it is unlikely that this type of price action is the result of thousands of investors suddenly deciding to sell gold at exactly the same moment and then just as suddenly completely stopping . . .Take special note of the very large volume bars at the bottom of the chart.  Someone gave their computer a kick this morning.  Woke that sleeping dog.

Nevertheless. . . . . On the week:
Gold – Up $6.82 [$1248.31 ––>$1255.13]
Silver  – Up 13¢ [$15.84 ––> $15.97]

Quote[s] of the Day
“The South Sea Bubble took place in the 18th century in England. Sir Isaac Newton who was one of the great intellects in history lost his fortune in the South Sea Bubble. Strangely enough he invested, took profits, but then was lured back into the mania near the peak of the bubble and ended up losing his fortune. Without going into great detail the South Sea Company was a joint stock company created to consolidate and reduce the cost the national debt of England in the early 18th century. Before the bubble burst Sir Isaac Newton was famously quoted as saying ‘I can calculate the movement of the stars, but not the madness of men.’” – Bob Moriarity, 321Gold

“There have been 2 spin-offs (Bitcoin Cash and Bitcoin Gold) from Bitcoin and there are currently more than 1,300 different cryptocurrencies. So the idea that it’s limited is actually not correct. The long term chart of Bitcoin is curvilinear and just like at every other market top there are 100 reasons to buy (just as there are 100 reasons to sell at every market bottom). People are irrational. You don’t need to know anything about Bitcoin, you just need to understand human nature. This is a bubble and some of the brightest people alive fell for it.” – Bob Moriarity, 321Gold

(According to Convoy Investments, bitcoin achieved dubious distinction this week. It surpassed the 1619-1622  Dutch TulipMania as the biggest investment bubble in history.)

News & Views
Forecasts, Commentary & Analysis on the Economy and Precious Metals
December, 2017

Here we are in December, chugging along toward the end of the year.  In the recently released December issue of News & Views, we concentrate on the gold market itself with a variety short but informative reports with the upcoming year in mind:

• On the ghosts of Decembers past (See reprint above)
• End-of-year gold and silver price predictions
• U.S. Mint makes a mint selling gold coins at a 25% mark-up
• Gold’s mysterious waterfall drops
• The gold/quality man’s suit ratio

• And a long run of “Notable Quotables” for your reading pleasure

If you are not already a subscriber, we invite you to sign-up for free immediate access to the December issue, as well as future issues of our newsletter.  We think you will enjoy the subject matter and gain from our take on recent events in the gold market.

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