After that great run-up in price on Monday, naturally there was some profit taking on Tuesday....as he spoke sarcastically....
When individuals talk about the market and say "things are different now" when discussing high P/E ratios and stock prices, they are not kidding...things are different...now, in times of crisis, gold and silver DO NOTHING!
kezman, so far the only crisis is in the financial markets. Do you remember just a few years back when the average P/E ratio of the S & P 500 stocks ranged between 12 and 18. Then for the last few years all the old rules seemed to go out the window and P/E's went crazy.
Well maybe now we have to pay for all those excesses that have been falsely built into the markets; You know all that wealth that was created on paper through inflated stock values which is evaporating before our very eyes right now. If you study the patterns of PM's prices, you will see that in times of severe financial turmoil, nothing does well, not even PM's.
We live in a paper world. We live in Al Gore's world; And that does not bode well for PM's. All IMHO!!!!!!!
However,am sadly reminded of my late favorite Uncle's reply(mid-80's)to the query if he recommended owning gold? He said yes he owned gold and I should also-- but strongly emphasized one should consider it mainly as disaster insurance.Have never forgotten his words "if it ever again goes up hugely,America's future will be so dark that the profit will be moot"!