Bernanke Ignites Bear Market In Gold And Silver
Bernanke today didn’t match the scary caricature envisioned by gold and silver bulls. Sensible and restrained, he failed to stoke the easy money, worthless dollar, hyperinflation frights that have kept gold and silver buoyed.
What next? Today’s sharp gold and silver price drops could be the start of a serious bear market. With the precious metals’ fundamentals seriously depleted, buying support at previous lower levels could now be absent. Therefore, there is a high probability that last year’s speculative blow-offs will go down as this decade’s highs, similar to gold’s 1980 peak. We could see a repeat of that multi-year decline, with only periodic trading bumps to encourage hangers-on.
This article is posted on SeekingAlpha.com
