The explanation of the recent massive drop in precious metals is attributed to the fact that a new boss at the FED will be in office soon. He used to be a "hawk", players fearing higher interest rates.

Stocks are as "interest sensitive" as precious metals. Why diden't stocks tank in the same way?

Slowly but surely, an other "explanation" is starting to surface: Major "investment houses" were massively short, having problems to satisfy customer demands for physical Silver (a classical short squeeze situation, but this time based on the "non avability" of enough physical Silver).

What to do? If you are powerful enough, "short" more than ever in a concerted action, with the aim and result that more and more long "stop loss" orders will be triggered on the way down, enabeling them to cover their "shorts" at a lower price.

A more plausible explanation than the "new FED chief" that has turned from a "hawk" to a "dove" recently, accomodating Donalds wishes for lower interest rates.

In other words: The "new FED chief" explanation is highly unsatisfactory. Me thinks.

He isnt Fed Chief yet.

One can never base market analysis on one factor.

https://www.scmp.com/economy/china-economy/article/3342258/chinas-gold-trading-hub-rattled-second-platform-faces-payment-crisis

47 minutes ago, swissie said:

The explanation of the recent massive drop in precious metals is attributed to the fact that a new boss at the FED will be in office soon. He used to be a "hawk", players fearing higher interest rates.

Yes that was an over reaction, some investor took profits because of that, which triggered stop/loss limits big investors enter with all their investments.

The weekend has passed and fundamentals for the increase of the gold price haven't changed, so reality set in again and gold prices are rising again

The boom is over

54 minutes ago, swissie said:

What to do? If you are powerful enough, "short" more than ever in a concerted action, with the aim and result that more and more long "stop loss" orders will be triggered on the way down, enabeling them to cover their "shorts" at a lower price.

Powell's term ends mid-May. If Warsh wasn't bought by Trump and remains a hawk, he will not lower interests when he assumes the job.

Any way, the FED chair doesn't decide on the interest rates alone, they are decided by 12 members, and the way it looks now interest rates will increase by that time.

I watch closely, and will probably liquidate, or at least reduce significantly, my gold holdings the closer we get to his appointment.

For now, I don't worry as in the next few weeks i think the price will recover much of the losses from last week

I predicted this last week.

29 minutes ago, Harrisfan said:

The boom is over

You may be right. "Recovery" is taking place but somewhat "sluggish". No swift "knee jerk" reaction to "rectify a past mistake" by the market.

It may take a while before "hights" are reached again and a lot of players may see this as an opportunity to "cash in". Let's face it, a lot of "technical damage" was inflicted.

An investement that can lose between 10 to 30% in 2 days can no more be qualified as a "safe investement". Whatever that means.

The recent "wash-out" caused a lot of damage. For a 20 year old it may well be a "buying opportunity". For older folks it's a race. Will the price of precious metals increase faster than my declining health?😉

Just now, swissie said:

You may be right. "Recovery" is taking place but somewhat "sluggish". No swift "knee jerk" reaction to "rectify a past mistake" by the market.

It may take a while before "hights" are reached again and a lot of players may see this as an opportunity to "cash in". Let's face it, a lot of "technical damage" was inflicted.

An investement that can lose between 10 to 30% in 2 days can no more be qualified as a "safe investement". Whatever that means.

The recent "wash-out" caused a lot of damage. For a 20 year old it may well be a "buying opportunity". For older folks it's a race. Will the price of precious metals increase faster than my declining health?😉

Dead cat bounce. Both grossly overvalued.

27 minutes ago, CallumWK said:

Powell's term ends mid-May. If Warsh wasn't bought by Trump and remains a hawk, he will not lower interests when he assumes the job.

Any way, the FED chair doesn't decide on the interest rates alone, they are decided by 12 members, and the way it looks now interest rates will increase by that time.

I watch closely, and will probably liquidate, or at least reduce significantly, my gold holdings the closer we get to his appointment.

For now, I don't worry as in the next few weeks i think the price will recover much of the losses from last week

Not to forget, long term interest rates are determined by "the market".

1 hour ago, swissie said:

The explanation of the recent massive drop in precious metals is attributed to the fact that a new boss at the FED will be in office soon. He used to be a "hawk", players fearing higher interest rates.

Stocks are as "interest sensitive" as precious metals. Why diden't stocks tank in the same way?

Slowly but surely, an other "explanation" is starting to surface: Major "investment houses" were massively short, having problems to satisfy customer demands for physical Silver (a classical short squeeze situation, but this time based on the "non avability" of enough physical Silver).

What to do? If you are powerful enough, "short" more than ever in a concerted action, with the aim and result that more and more long "stop loss" orders will be triggered on the way down, enabeling them to cover their "shorts" at a lower price.

A more plausible explanation than the "new FED chief" that has turned from a "hawk" to a "dove" recently, accomodating Donalds wishes for lower interest rates.

In other words: The "new FED chief" explanation is highly unsatisfactory. Me thinks.

Has nothing to do with a new Fed Chair

Fiat currencies are bumping up against a number of panics. The world is awash in worthless paper. There are a number of flashpoints around the globe.

Even at 2k USD price is suspect. Now, it's greater fool territory and has bubble like everything else. On top of the panic you have very wealthy people awash in money and nowhere to put it as all asset classes are through the roof.

The only thing stupider than gold at 5000 is Bitcoin at 90,000

Simples

26 minutes ago, Harrisfan said:

I predicted this last week.

I can confirm. Yes you did. Congrats. I got out at 107$. Started "rebuilding" Silver yesterday at those prices. Conservatively.

9 minutes ago, Nurf said:

Has nothing to do with a new Fed Chair

Fiat currencies are bumping up against a number of panics. The world is awash in worthless paper. There are a number of flashpoints around the globe.

Even at 2k USD price is suspect. Now, it's greater fool territory and has bubble like everything else. On top of the panic you have very wealthy people awash in money and nowhere to put it as all asset classes are through the roof.

The only thing stupider than gold at 5000 is Bitcoin at 90,000

Simples

Both scams. They produce nothing.

Thanks for all the replies. But the main question remains: How come that millions of precious metal investors woldwide have deided in 1 day to sell a large part of their preious metals, causing havoc? No way! B*ll<deleted>, I say.

This is going to be with us for a while. A "congressional-investigation" in the US would have to be a result of those happenings.

Please refer to topic: "Gold/Silver explanation" when commenting. I realise that the "Epstein Files" are of more interest for the rest of the world currently.

2 minutes ago, swissie said:

Thanks for all the replies. But the main question remains: How come that millions of precious metal investors woldwide have deided in 1 day to sell a large part of their preious metals, causing havoc?

The answer was in my post.

1 hour ago, CallumWK said:

some investor took profits because of that, which triggered stop/loss limits big investors enter with all their investments.

As you can see today gold is up more than 6% again, because the fundamentals didn't change

To give you an example.

Early November 2025 i went to Hua Seng heng to purchase gold bars. At a certain moment in the afternoon the price started increasing fast, and within an hour it had increased by about 5%.

Why, because it had triggered some buy limits.

So I went home without buying, and went back about a week later, when it was back at a lower price than where it started that particular day

13 minutes ago, CallumWK said:

The answer was in my post.

As you can see today gold is up more than 6% again, because the fundamentals didn't change

No, the fundamentals haven't changed. But what is happening now is a standart technical recovery after an "oversold" technical situation. Perfectly normal, happens all the time.

Time will tell.

1 minute ago, swissie said:

No, the fundamentals haven't changed. But what is happening now is a standart technical recovery after an "oversold" technical situation. Perfectly normal, happens all the time.

Time will tell.

Sure let's talk again in 2 weeks from now.

I gave you the example of the overbought technical situation. On that day it went from 63.xxx THB to 67.xxx THB in just over an hour.

I bought 1 week later at 62.400 THB and you know where it went after that

31 minutes ago, CallumWK said:

Sure let's talk again in 2 weeks from now.

I gave you the example of the overbought technical situation. On that day it went from 63.xxx THB to 67.xxx THB in just over an hour.

I bought 1 week later at 62.400 THB and you know where it went after that

I would like to reply, but it wold not be within the context of this thread. What you descibe is a "local-event" in the deepest of Isaan.

1 minute ago, swissie said:

I would like to reply, but it wold not be within the context of this thread. What you descibe is a "local-event" in the deepest of Isaan.

Oh you think Hua Seng heng is in Isaan?

It is the biggest gold trader in Thailand, and his prices of course are based on the international market. They get update at least every minute

Seems you have no idea what you're talking about, so why start threads like this

Just ONE branch of Hua Seng Heng

26 minutes ago, CallumWK said:

Oh you think Hua Seng heng is in Isaan?

It is the biggest gold trader in Thailand, and his prices of course are based on the international market. They get update at least every minute

Seems you have no idea what you're talking about, so why start threads like this

Have you ever tried to sell any "Gold products originating from Thailand" in Europe?

4 minutes ago, swissie said:

Have you ever tried to sell any "Gold products originating from Thailand" in Europe?

Why would I need, I live in Thailand for more than 30 years.

If i want to sell i drive to bangkok and get paid on the spot.

But yes at Hua Seng Heng I can buy and sell Swiss gold bars 99%

3 minutes ago, CallumWK said:

Why would I need, I live in Thailand for more than 30 years.

If i want to sell i drive to bangkok and get paid on the spot.

Then, all is well. After 30 years in Thailand, the rest of the wold doesen't matter anyway. Congratulations.

6 hours ago, swissie said:

Thanks for all the replies. But the main question remains: How come that millions of precious metal investors woldwide have deided in 1 day to sell a large part of their preious metals, causing havoc? No way! B*ll<deleted>, I say.

This is going to be with us for a while. A "congressional-investigation" in the US would have to be a result of those happenings.

Please refer to topic: "Gold/Silver explanation" when commenting. I realise that the "Epstein Files" are of more interest for the rest of the world currently.

All in a bubble. Gold is a scam. Its a rock.

9 hours ago, CallumWK said:

Powell's term ends mid-May. If Warsh wasn't bought by Trump and remains a hawk, he will not lower interests when he assumes the job.

Any way, the FED chair doesn't decide on the interest rates alone, they are decided by 12 members, and the way it looks now interest rates will increase by that time.

I watch closely, and will probably liquidate, or at least reduce significantly, my gold holdings the closer we get to his appointment.

For now, I don't worry as in the next few weeks i think the price will recover much of the losses from last week

And Powell is one of the 12 until 2028...

11 hours ago, swissie said:

In other words: The "new FED chief" explanation is highly unsatisfactory. Me thinks.

This guy is a former banker, so he might know what he's talking about.

11 hours ago, swissie said:

Why diden't stocks tank in the same way?

Again, same guy. Former banker.

Predicting stock market crash coming soon.

But since he is selling his services, he could be fear-mongering.

2 hours ago, save the frogs said:

This guy is a former banker, so he might know what he's talking about.

Spreading the usual drivel. The fact that he considered it necessary to mention the conspiracy about Bill Gates and anti-biotics, proves he is a conspiracy theorist.

Comex didn't increase leverage AFTER the silver market had crashed, they announced that on 27 January.

January 27-28, 2026: CME announced it was raising margins on silver futures to 11% (from 9%) and increasing margins for gold, platinum, and palladium, effective at the close of Wednesday, January 28.

They did the same on December 30, and it caused a significant correction then as well.

https://news.metal.com/newscontent/103702319

CME Group has once again increased trading margins, causing a collective plunge in precious metals, with silver dropping more than 6%.

Published: Jan 5, 2026 16:57

Source: FUTUBULL

And then this.

JPM closed their short positions at the exact time when the market was the lowest.

When does anyone expect short positions are closed????? Indeed when the price they were looking for get reached.

50 day moving average bands 50%.

Buy on the 50

Sell at the +50%.

7 hours ago, CallumWK said:

Spreading the usual drivel. The fact that he considered it necessary to mention the conspiracy about Bill Gates and anti-biotics, proves he is a conspiracy theorist.

I don't know if this is true of not, but now one guy is claiming the govt is building a database of precious metal owners. But if you own in Thailand, not sure how that will affect things back home.

But there is so much false information floating around, so not sure if this is valid.

---

Starting February 15th, new reporting requirements take effect that lower the cash transaction threshold for precious metals from $10,000 to $3,000. At current silver prices, that means purchasing as few as 35-40 ounces of silver triggers a Currency Transaction Report filed with the federal government. Your name. Your Social Security number. Your address. What you bought. When you bought it. All transmitted to FinCEN and stored indefinitely in federal databases accessible to the IRS, FBI, and other agencies. The era of private silver ownership is ending. February 15th is the deadline.

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