Melman on Gold & Silver
July 2013 by Leonard MelmanOnce again last month the world seemed to be tottering uncertainly on the precipice of whether to continue with some manner of austerity in order to begin restoring government balance sheets to some semblance of fiscal conservatism or whether to openly return to the previous eras of wide-open stimulation via debt, deficits and unlimited money creation.
I believe gold and silver prices, to at least some extent, negatively mirror the society's confidence in the ability of government to continue providing economic and social services.
When one of the major currencies in the world begins to decline steadily, based on monetary history we would expect a bias toward positive movements in the precious metals.
The Nevada Historical Society's "This Was Nevada" Series
Just as we were sitting down to write this column, a political bombshell was released when Rick Santorum announced he was terminating his efforts to win the Republican Presidential nomination, virtually assuring the nomination will be to Mitt Romney. The remaining candidates, Ron Paul and Newt Gingrich appear to have no realistic chances.
For “hard money” advocates, this has been a remarkable month. Gold has risen by more than $100, silver has begun to surge, and the headlines are full of news items quite capable of raising public concerns to crisis levels.
The Bawl Mill • Ask the Experts • Ask the Experts • The Birimian Greenstone Belts of West Africa • Study Confirms Mercury Levels Safe in California's Gold Country • All About Quartz—Part II • The Pearce Mineralized Area, Dragoon Mountains, Arizona • An Alaskan in the Lower 48 • Romancing the Rock • Placer Channel Sampling • The Oquirrh Mountains, Utah • Mining Stock Quotes and Mineral & Metal Prices • Record $11 Million Fine for California Mine