Silver and gold are two preciousmetals that share one very significant feature. They are both monetary metals. Historicaly they have been money fot thousands of years. It is much easier to see what is happening to gold globally than to see what is happening to silver.

Both are obviously in short supply. Both are in investor demand that is unfilled. Both are obviously manipulated by unprosecuted criminals in the US. Both are like powder kegs waiting for a spark. If gold makes a significant move it will drag silver along for the ride.

Where gold shines right now is the global rush at the national level. A few of the latest headlines demonstrate this today.

The $ is temporarily way over valued. China has HUGE US $ reserves and wants to diversify out of them into gold.

Iran has set in motion to dump their $s and increase their gold reserves.

Saudi Arabia has just purchased $3.5 bil of gold. (Rumor is that it has only been partially delivered.

Europe has just announced that they will cease shipping gold to India

The currrent trend in India is to BUY gold both for the traditional seasonal factors and the flight to safety as their currency and stock markets fall.

Russia anounced a move from US $ and an increase in gold as reserves.

The signatories of the Washington Accord have all but stopped selling gold. Only .5 tonne in the last reporting period.

Mines are shutting down as $740 is not high enough to pay for the accelerating cost of production to delivery.

Scotia Mocatta (CRIMEX) wherehouse is near empty.

The only price negative things gold has going are:

1 People have less paper available to invest in gold.

2 The New Jerk crooks still manipulate the options/futures paper markets with impunity. This is now globally obvious and unanimously reviled.

The positives for gold are HUGE. It is just a matter of time before supply and demand overpower the paper pushers. Then gold will rise rapidly. If silver hans't exploded by that time, it will in lock step with gold.

Any more investor demand for gold or silver will accelerate the day of reconning and transfer the pain from us to the new jerk crooks.

Its the sale of the century and the shelves are almost bare.

It will be bitter sweet on that day. Bad because it will be nearly impossible to afford gold or silver. Sweet because ECU will shock us in its price movement. We just need to hold on til then.