CNBC: Panic Selling In Gold & Silver Driven By Margin Calls
Apr 16, 2013 at 4:54 AM
DailyBail in Silver, cnbc, cnbc video, cnbc video, comex, gold, gold, gold price, margin calls, panic selling, silver, silver price

Panic in the gold and silver pits of the Comex.

Gold and silver see the worst two day drop in 30 years.

"I think the last $20 has been margin selling.  The market is falling like a knife.  People are saying, Get me out now," Phoenix Futures President Kevin Grady said.  "You're also seeing people selling energy profits to pay for metals losses.  You're seeing a tremendous amount of gold liquidation today."

Heavy outflows on global gold exchange-traded funds, which cut holdings to their lowest in more than a year, could also mark the end of a love affair between gold and investors.

"The fall in gold prices is reminiscent of some of the market capitulations seen during the global financial crisis when leveraged investors were required to sell assets to maintain balance sheets and preserve liquidity," said Ric Spooner chief market analyst at CMC Markets in Sydney.

At last check, gold is trading at $1377, up $28 this morning.

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