Welcome to Money Metals Exchange's weekly market wrap podcast. Helping precious metals investors during these treacherous times. Now, here's this week's market wrap with commentary and analysis from the fastest growing precious metals dealer in America, Money Metals Exchange.
Welcome to this week's Market Wrap Podcast, I'm Mike Gleason.
Well, the precious metals markets kicked off trading for the second quarter with a hint of a rally. Prices for both gold and silver rallied strongly on Wednesday. In the last hour of trading, however, sellers launched an attack and took away much of the day's gains in just a few minutes.
For long-time followers of the gold and silver futures markets, this type of trading pattern is all too familiar. The metals spend the day rallying, breaking a downtrend or poking above resistance levels. Then, an inexplicable barrage of selling pressure breaks the momentum to prevent the markets from closing on an up note. Sure enough, price weakness carried forward into Thursday, leaving silver little changed and gold with a slight loss for the week heading into Friday.
However, as of this Friday morning we're seeing gold and silver rallying a bit. Gold prices currently trade at $1,300 even. Silver flirted with the $20 level on Wednesday, but got knocked down in that late-day sell-off. The poor man's gold has once again poked above the $20 level today and currently comes in at $20.13 an ounce in the spot market as of this Friday morning recording.
Rounding out the precious metals complex, platinum and palladium are faring relatively well this week. Platinum is up a healthy 2.5%, with prices currently coming in at $1,448. Palladium, meanwhile, shows a gain of 1.8% as prices near another breakout level. Once again palladium finds itself looking to clear the $800 mark on a closing basis and make a run at new multi-year highs. Prices currently trade at $790.
As the platinum group metals continue to show leadership, what's holding gold and silver back? Well, as I noted earlier, it appears that sellers in the futures market who didn't want to see gold and silver pick up momentum came in and knock prices down just as they appeared ready to start trending higher.
Many precious metals commentators, including respected banking and global currency analyst Jim Rickards, note that these types of patterns are hallmarks of manipulation. He has uncovered documents showing that the U.S. government and its allies have engaged in organized price suppression efforts at various times over the past few decades to try to prevent the gold market from signaling that all is not well in the world of fiat currencies.
Some investors may ask, why bother investing in a manipulated market? Does the little guy really stand a chance against the hedge funds, the big banks, and the government? It depends. If you're trying to trade these markets on a very short-term basis, then the odds probably are stacked against you. However, if you're a long-term investor and you can see that prices are artificially low, then that creates an opportunity for you to actually profit from near-term price suppression.
I say “near-term price suppression” because that's all it is and ever will be. The major trend going back to when the gold price was untethered from the $35 per ounce fixed exchange rate in 1971 has been for gold prices to move relentlessly higher in dollar terms.
Silver, too. Nothing will stop this mega-trend as long as the currency keeps being depreciated. That is virtually guaranteed under our spend-borrow-and print monetary system. So it's only a question of the timing and the magnitude of the next move higher in precious metals.
Although we can't know in advance when the bull market will get hit by concentrated selling in the futures markets, you as an investor can get ready to pounce when prices do get distorted to the downside. Especially on a week like this one when we see gold and silver diverging negatively from platinum and palladium. That spells opportunity to buy at unsustainably low prices.
Decades from now, investors will look back at 2014 and find it hard to believe that silver could be obtained for as little as $20 per ounce. You have the opportunity now to be among those who bought when the value was this good. And with many of Money Metals Exchange's low-premium silver bullion products – including our popular one-ounce rounds and our 10-ounce and 100-ounce bullion bars – you can obtain silver for very near melt value, right around $20 per ounce.
This is truly a great time to be accumulating, and we are proud to play a role in helping investors both big and small build their own personal bulwarks against paper currencies and paper schemes by diversifying into real, physical metal.
Before we go, I want to alert you to some big developments at MoneyMetals.com. We've just upgraded the website's appearance, speed, and functionality to make it an EVEN BETTER user experience for you.
For starters, the site has a cleaner look and feel – along with easier navigation and order placement. But now you can use our "Price Alert" system and have us notify you by email if the individual precious metals reach any price target you select.
Also, the upgraded site incorporates live chat. Of course, we love to speak with our customers by phone – and you should never hesitate to call with comments, questions, or to buy or sell. However, you can now access our experts while browsing our website.
And our upgraded site is now fully optimized for mobile devices of all kinds. And stay tuned, because we plan to release even more features in the coming months!
So check it out at MoneyMetals.com and feel free to give us feedback on the new site. We're all ears!
Well that will do it for this week's market wrap podcast, thanks for listening. This has been Mike Gleason with Money Metals Exchange reminding you that we remain fully committed to getting you the most value for your depreciating dollar…with speed, with accuracy and with top notch service. Have a good weekend everybody.
Thank you for joining us for this edition of the Money Metals Exchange Weekly Market Wrap. Be sure to come back next week, and don't forget to subscribe to our weekly podcast through iTunes. For answers to all of your questions, or to discretely and securely buy or sell gold or silver coins, bars, and rounds, call 1-800-800-1865. Our knowledgeable and no-pressure specialists are standing by between 7:00 a.m. and 5:30 p.m. mountain time, Monday through Friday. Visit us at www.MoneyMetals.com or call 1-800-800-1865.
About the Author:
Mike Gleason is a Director with Money Metals Exchange, a precious metals dealer recently named "Best in the USA" by an independent global ratings group. Gleason is a hard money advocate and a strong proponent of personal liberty, limited government and the Austrian School of Economics. A graduate of the University of Florida, Gleason has extensive experience in management, sales and logistics as well as precious metals investing. He also puts his longtime broadcasting background to good use, hosting a weekly precious metals podcast since 2011, a program listened to by tens of thousands each week.