You are right that there is blood on the street for the gold sector. However let me show you the data on silver and you can form on own opinion on where silver is going. Then one can ask or debate if there is going to be any ripple effect on gold price.
Above is from this video, i.e. 24th Aug, the registered silver in Comex is 52Moz. As of Monday, the recorded registered silver in Comex, as shown below, is 44Moz. Within a span of almost 1 month, the registered silver had dropped 9Moz. Based on this drain rate, registered silver will last for another 5 months.
On the LBMA, silver has also been drained: Out of the above 900Moz, there is about 320Moz of registered silver (the rest is with silver ETF). However the drain on the registered silver in LBMA will take about 20 months.
From the above you can decide where silver price is heading and also ask yourself if there is going to be a ripple effect on gold price or not.
Cheers.
DCN Price at posting:
8.6¢ Sentiment: Hold Disclosure: Held
