HUGE ORDERS FOR PHYSICAL GOLD AND SILVER/
Today forty year veteran of the metals markets Bill Haynes told KWN, “Right now we are seeing very large physical orders for both gold and silver. It is very interesting because these are entities with large existing holdings of both physical gold and silver, but for some reason, right here, right now they are adding sizable quantities to their existing positions.”
Bill Haynes continues:
“These are wealthy individuals that are very strong hands and they are taking the metal right out of the market, and believe me, these individuals are never sellers. They see gold and silver as a hard asset that has been money for thousands of years, and they are pulling it out of the market and putting it away.
It is also very interesting that we are seeing an equal amount of money going into both gold and silver....
“I can tell you this is money that has been waiting patiently on the sidelines for weeks, and even months in some cases. The belief by these strong-handed buyers is that the bottom for gold has been achieved and it is now time to add to their positions. Savvy buyers know that summer is historically a great time to buy and that’s exactly what they are doing.”
Haynes also noted: “Another interesting thing was an editorial that was in the FT yesterday. One of the writers started trashing gold in the Financial Times. He said it’s time to sell your gold and send the kids to college, buy an automobile or take a vacation because this bubble is over.
Eric, this is the type of nonsense we see in the mainstream media when a bottom is being put in, and the Financial Times has been one of the greatest contrarian indicators for the gold market. I also find it interesting that this is the week the big buyers are making a statement with their physical gold and silver purchases. They are doing their buying right into the face of this ridiculous nonsense coming out of the Financial Times.”
Haynes also added: “I would also like to note that the world is waiting on Germany to bail out the rest of Europe. Perversely, if that happens I believe we are going to see tremendous strength in the euro. I don’t think it’s logical, but as the euro strengthens I expect to see a further boost in the price of gold.
What KWN readers need to be aware of is this is the worst financial crisis the world has ever seen. This is a financial crisis supreme, and the universal solution continues to be the printing of money. This will eventually lead to massive destruction of both the economies and the currencies that participate in this madness.
It will also lead to massive inflation. I know some financial managers have told their clients to have 10% or 15% in gold, but for the financial climate that we are living through right now, I firmly believe people should have 50% to 60% of their assets in the physical metals.”
Having known Bill Haynes over at CMI Gold & Silver for a long time now, I can tell you that he does not like keeping his money in cash. He has always been and continues to be a buyer of physical gold and silver. So he practices what he is telling other people to do in terms of asset allocation. He simply converts fiat money into physical metal on the price dips.
© 2012 by King World News®. All Rights Reserved. This material may not be published, broadcast, rewritten, or redistributed. However, linking directly to the blog page is permitted and encouraged.
Aug 13, 2012