Gold & Silver About To Be Called In? (UPDATE)

What is the reason for the drastic drop in both gold and silver. Gold was down -77.00 at 1:42 ET and silver was down -1.70. Are the powers that be about to call in all gold and silver in a last ditch effort to bring some relief to the stock market and ensure the dollars stability.

I see no other reason for such a strong commodity to fall this much unless rumors are flying that this may be an option considered by the G-7 leaders. Time will tell, but it doesn't look good.

WWW.KITCO.COM ALL METAL QUOTES

It now seems that the G-7 leaders might close down all the world markets while they re-write the rules for the global financial markets. When asked what it would be like Burlesconi said like the Bretton Woods agreement which pegged the dollar to gold. The exchange rate was $35.00 per ounce of gold. Berlusconi Says Leaders May Close World's Markets

[edit on 10-10-2008 by TH3ON3]

perhaps financial powers have united in an attempt to make sure the "safe haven $" flows into gov't bonds/debt and not gold/silver. a large co-ordination to short gold derivatives in the futures market could be seen as a national security initiative.

Gold is down big in nearly every currency.

Oct. 10 (Bloomberg) -- Gold tumbled from the highest since July as the dollar strengthened and investors sold the metal to cover losses in equity markets.

Gold hit a high of $930 earlier today. It hit a low of $740. a month ago.

Gold was not confiscated in 1933 I might add. As with all countries whom had gold coinage at one time or the other it was called in because the price of gold exceeded the value of the coins themselves. They were given paper money in exchange for their gold coins.

Thats also why the US penny is minted from zinc now due to the increased cost of copper. A plastic penny coin is actually being considered.

reply to post by nh_ee

A plastic penny coin is actually being considered.

How about a plastic $1,000 coin? (Just enough to buy candy for your Christmas stockings.)

Wouldn't BUYING gold right now be a good thing???


With global curency falling apart, i could see gold EXPLODE in value...

Hmmm... you can't eat gold. If anyone is afraid of hyper-inflation... go buy food now.