Greece, Greece, Greece. Everybody loves Greece.
Why is this issue not going away? How many times will the world economy be shaken by news out of Greece? Anyone else tired of this? I know I am, but I also know that the great fear is that Greece is the proverbial canary in the coal mine.
I don’t know about you, but I was watching the action early on TV and kept checking my smart phone by pointing it at http://www.learcapital.com/mobile and going, “This should be gold positive, not negative.” And yet gold and silver were tanking. Algo’s perhaps, people getting shook out of other positions perhaps. But as I type and check the widget ExactPrice, gold has covered a lot of lost ground and is only down $5.00 in the last twenty four hours and sitting at $1,7,10.40. Doing much better than silver.
As far as gold positive news check out this item twittered by Graham Jervis @JervisCapital:
IMF May Create Credit Line for Countries Facing Shocks <- piling on the debt which will lead to more fiat currency printing.
Peter Grandich gave a nice graph this morning on the action and had this to say on Gold:
Not surprisingly, gold ran into resistance as it approached previous key support at $1,750. Coming back to the top of its previous consolidating level between $1,675-$1,700 is healthy and okay in the face of the latest European soap opera segment.
He then goes on to point us to:
Stephen Leeb – GS Bullish…How it Will Impact Gold & Silver <- This is an interesting read on King World News. This quote from Leeb particularly fired some synaptic nerves in my gray-matter:
Tomorrow and Wednesday should be very interesting. I think the Fed is going to move much closer to QE3. It is much easier to recover from high inflation than from an outright deflationary depression. We have recovered from 20% to 25% inflation in our history. It’s depressions that lead to very, very horrible things in terms of society. The Fed realizes there is a great deal at stake if growth really stops.
MF Global Admits Misappropriating (Taking) Customers’ Money For Their Own Purposes <- another bit of news sending shock waves through the system.
James Turk – Silver Formation Projects Spike to $60 – $75 Level <- More from King World News.
The Incurable European Mess <- From the desk of Jim Sinclair. Worth a quick read if you look at nothing else today.
Gold’s Fall Amid Yen’s Devaluation is More Evidence of Manipulation: John Embry <- Ed Steer’s Gold and Silver Daily has some good comments on yesterday’s events with the devaluation of the Yen and it’s affect upon gold, silver, and the dollar.
Greek Referendum Call Ignites German Anger <- Well, duh.
Housing Headed For ‘Triple Dip’: Report <- Oh joy.
MFing Global <- Okay. I thought Jim Sinclair’s post was a must read, but this one clearly should top it on your reading list.
This is what James G. Rickards had to say about gold’s decline today on twitter at @JamesGRickards:
Reminder: On days like this,
#gold declines not because folks hate gold but because they’re desperate for cash. Smart money waits for bottom\
Catch you on the flip side of the golden coin.