Indians brought unthinkable quantities of silver when price crashes in the last week of August. Jewelers in India hedged in local MCX silver futures as premiums were very high.
In summary, the nature of the market reaction over the next few weeks will provide us with a strong clue as to whether we have begun a rally to 5150SPX+, or if we need one more loop lower towards 3400SPX before that rally begins.
Dollar weakness surfaced this week as the Bank of Japan governor held a meeting with the Prime Minister over a fall in the yen, which has dropped even further against the dollar than the euro.
But even accounting for the supply of Gold itself having increased by +16% from a decade ago, the Dollar's debasement alone places the value of Gold today (per the above Scoreboard) at 3990 even as it essentially continues to sit at a price of 1728.
There are buyers on dips in gold, silver, and copper. Buying interest or short term investment interest in silver and copper is very high. Everyone (in India) is buying silver for the short term.
