Gold is the "canary in the coalmine".

[roamer65]

I think we are very, very close to a currency crisis. The markets know QE3 is coming and its announcement will very likely trigger one.

[Skink]

1. What's a currency crisis?

[roamer65]

2. This is what one would look like.

http://www.youtube.com/watch?v=6butfe1f9Hg&feature=related

[On the Road]

3. That Clip is a Time

when gold had been on the increase, the dollar was widely considered to be going down the toilet, and prospects for the economy were considered bleak by conventional wisdom.

Think about that when evaluating whether this is a plausible scenario.

[roamer65]

4. It is only an example.

It would play out very differently today.

For example, the Federal Reserve would have stepped in and created the billions necessary to replace the deposits. They did it in 2008.

[Po_d Mainiac]

5. Silver ain't chopped liver don'tchaknow

The real canary died last September. The poor bird was over come by the fumes emitted from the bernanke's overheated printing presses.
YMMV

[Taitertots]

6. Non-sense, the government decided to sacrifice the economy to preserve low taxes for the rich....

Now the economy is reacting to this. QE1, no problems.... QE2, no problems..... QE3, what do you think will happen this time?

It should be obvious that the markets are reacting to the fact that the government made an insanely stupid policy decision just DAYS AGO.