People around the world are in a panic to buy gold and silver as Greece implement's austerity measures. Greek citizens who currently receive money from the government rioted in the streets the austerity promises. Investors bought large volumes of gold and silver on Fear of holding paper currency. It is curious that investors waited until a panic to switch their money into gold and silver. Why wouldn't the buy before a panic when the panic are lower? It is similar to buying the faster new computer on the market you know the price will drop 50% in a few months, but you buy it anyway. Fear compels people to act irrationally. Since the beginning of time, people have flocked to buy objects out of fear of missing out on the profit. For examples, Tulip Main Spread through Holland in 1637 as people paid up to 10x the working man's salary for tulip. People bought and sold tulips on speculation of endlessly higher prices and infinite profit. Clearly, this gambling lead to the destruction of many peoples finances. Gold and silver are different than tulips because they do not spoil nor do they lose value over time. However, the panic to buy gold and silver is causing he price to look overheated. industrial metal like aluminium, lead iron, nickel and copper have not moved higher, white gold and silver have doubled in price. (how much money the have)(go bad) too high.
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