State of Physical Metals Market

The ice age is coming, the sun's zooming in
Engines stop running, the wheat is growing thin
--The Clash

Interesting comments from a long time precious metals dealer. He describes the market during the 1980 spike higher in gold. Buyers lining up outside before the doors opened. Indiscriminant buying. Buying gold because is was fashionable or because prices going up.

Classic euphoric behavior.

Little of that bubble-icious behavior today. In fact, today he sees more selling pressure. The typical seller is stressed financially and needs to sell assets. 'Dishoarding as a culture.'

Lots of overseas buyers today. Gold and silver leaving the country.

He also suspects that, when monetary crisis gets going, his business will be crazier than in the late 1970s. Stress on the financial system will have people desperate to convert even 'junk' metal into economic resources. Suggests careful thought on proper form of precious metal to hold.

Sad to think that pre 1933, nearly all US households owned gold as a matter of everyday exchange. Today, next to none.