Friday, April 22, 2011

The wonderful ways of the market

Why Silver Prices Won't Quit
By Alix Steel 04/22/11 - 08:00 AM EDT

NEW YORK (TheStreet) -- Silver prices are up 49% in 2011. Day after day the metal keeps hitting new 31-year records. Traders keep waiting for some kind of fierce and furious correction, but so far silver keeps heading higher. Silver is now eying its all-time record it reached in 1980 of $50 an ounce. One of biggest recent catalysts has been the U.S. dollar hitting its lowest point since November 2009. Now dollar-backed commodities must watch out for the $72 level, which is its 2008 low. Article posted here

Editor: No physical silver is changing hands in all this frenzied trading, only future promises to deliver. It's bit like buying and selling real estate on Mars. The problem is that our money supply is being adversely affected by all this gambling. That's why we should be printing non-redeemable monopoly money for these guys to play with. Re-introducing the Glass-Steagall Act in the US and the enactment of similar legislation here would help matters along in this regard.

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