"It means that in 2005-6, new players entered the market, Russia? ETFs?, China?, India? Short-covering?...and the new buying Force is now greater than between 2001-2005. Was that when QE really started?"
Not started but a stronger accelaration phase started then and in my humble opinion a third gear was applied to that acceleration starting the Fall of 2008.
We see the results in the PM prices, flocking to Swiss Franks and similar "safe" havens.
QE3 is inevitable (a fourth gear?) and as a consequence perhaps the final phase will be entered to a US $ collapse. I base that on the fact that these quantitative easings can not continue indefinitely and with each phase more faith and trust is lost until a critical breaking point is reached.
Note how the Chinese are slowly but surely building themselves up against such a collapse. Once they say that they are thinking of diversifying from the dollar they have already started. Also when they said that they are asking their banks and public to be more into gold and silver, they were already doing so and the statement was only conformation of what was happening.
Current debates of extending the debt ceiling is mere political correctness to sell it to the public and save face for the politicians. It has to happen and is another step down into the grave, because if it should not happen that collapse could be in a matter of weeks.
These types of events just conform my faith in the precious metals and their stocks.
