The Long Legs of the Silver Rally

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The Long Legs of the Silver Rally

by Eric Fry
Daily Reckoning

US Special Forces put a bullet through Osama bin Laden’s head yesterday. Unwittingly, this elite fighting force may have also thrust a stake through the heart of the silver market.

We will leave it to Wolf Blitzer and other world news commentators to articulate the geopolitical significance of bin Laden’s rendezvous with 40 virgins. Our beat is financial…and in our little corner of the news world, the death of bin Laden seems like a perfect excuse for a long-overdue dollar rally…and silver selloff.

The silver market has been hot…red hot…probably too hot. The dollar, for its part, has been stone cold – sinking lower and lower with almost every trading day. Both assets are fully deserving of their respective price trends. The silver market, in other words, deserves to be soaring against the US dollar. And over the next few years, your California editor would not be surprised to see the silver price top $100…or even $200. <a href=http://www.lewrockwell.com/orig10/fry6.1.1.html>keep reading</a>