In case you haven’t already noticed, inflation has been steadily creeping up since July. In February, the most recent month of available data, consumer prices advanced at their fastest pace in five years, hitting 2.7 percent year-over-year. March data won’t be...
Gold Editorials & Commentary
April 6, 2017
The current bull market celebrated its eighth birthday on March 9. At 96-months long, it’s now the second longest in history. However, with the S&P 500 set to have its worst monthly performance in over a year and the DJIA down six days in a row, questions have...
April 5, 2017
Financially prudent individuals set aside surplus funds to protect against unforeseen expenditures. This way, when faced with loss of income, house repairs, car trouble, or anything else, they will have a buffer against unanticipated downturns.
What is counter-party risk? And how many people really are aware of the consequences of systemic counter-party risk? Counterparty risk also know as default risk is the risk to each party of a contract that the counterparty will not live up to its contractual...
The Fed's public relations department has to be working overtime altering, amending and otherwise explaining its new stance[s] on monetary policy. While disinflation and the possibility of deflation occupied market sensibilities, the Fed pointed to its target...
Heraeus, the family owned German global technology and precious metals refining company has announced that it is to buy one of Switzerland’s largest gold and silver refineries, Argor-Heraeus.
This time is different. Stocks will always go up. And pigs can fly. Given that pigs are highly intelligent, don’t bet against them. That said, investors might want to take at least the first two statements with a grain of salt.
April 4, 2017
The spectacular price action of gold within what I’ve dubbed the “Uptrend of Champions” continues to be impressive. I’ve suggested that the rally is poised to accelerate, and that’s clearly in play.
Gold was higher in yesterday’s day session and again in the overnight session as we reached a high of 1263.30, at the time that this post was being written. We have now exceeded our wave ^i^ high of 1261.00, and if all of wave ^i^ ended at that high then it now...
Analyst Robert Guy published an interesting article in Barron’s, entitled: “Buy Gold – 46 Trillion Reasons To Buy”, which is worthy of everyone’s consideration. Gold’s 200-day moving average again proved to be a barrier for the precious metal, which in late Asian...
How do you depress the physical gold price? It’s quite easy… you throw $10 trillion paper dollars at it. Not only did global paper gold trading amount reach a new record in 2016, it surpassed the previous years’ total by nearly 50%.
We've all known this was coming, we just didn't know when. For the first time in five years, the Federal Reserve's preferred inflation gauge hit its target. Despite all of the deflationary forces, like lower consumer spending, higher savings rate and stagnant wages...
If you were to poll the public about comparing the investment returns between gold, silver and stocks during the first quarter of 2017, it’s highly probable that the majority of the populace would respond that the S&P 500 outperformed the precious metals. That’s...
April 3, 2017
The best performing precious metal for the week was silver, up 2.61 percent, as investors keep pushing money into commodities in search of investments that keep up with faster inflation. Gold rose nearly 9 percent this quarter, its best performance in a year. Gold...
As the days and weeks continue to pass, gold is struggling to show us anything close to the strength seen during the 2016 rally. And the more gold continues to perform in a lackluster manner, the more I begin to consider that 2016 strength as a bear market counter-...
Flanked by coal workers, President Donald Trump signed the American Energy Independence Executive Order last week, directing the Environmental Protection Agency (EPA) to review the Clean Power Plan, former President Barack Obama’s signature environmental policy....
Last week, we discussed the growing stress in the credit markets. We noted this is a reason to buy gold, and likely the reason why gold buying has ticked up since just before Christmas.
In the fateful month of May 2007, the Treasury curve reversed and in that fateful June, credit spreads reversed. Both forced the dramatic failure of Bear Stearns in early June, which marked the start of the worst contraction since the 1930s. Our presentation in...
Beyond the 5-6 month Intermediate Cycle and Yearly Cycle (2-3 Intermediate Cycles), there are also longer Cycles for all assets. Gold for example has a 4 Year Cycle and the USD has a 3 Year Cycle (all cycles measured Low to Low). The USD also has a 15 Year Super...
– Gold, silver two of the best performing assets in the first quarter of 2017 with gains of 8% and 14% respectively. – Gold outperforms benchmarks – S&P 500 up 6%, MSCI (All Country World Index) up 6.4% (see tables). – Nasdaq and German DAX rise 11.8% and 7.6...
April 2, 2017
The correction from 2400 is expected to continue in a relatively shallow manner, until the intermediate cycles have all made their lows. This could still take several more weeks.
The Merv’s FAN Principle is working as expected as mentioned in my last post (17 Feb 2017). Gold seems set for another thrust However, the only difficulty is in guessing which way that thrust will go. I guess we’ll just have to go through the analysis to get a...
Gold and silver prices were neutral last month. During the first two weeks of March, gold and silver retraced only to recover in the last two weeks of the month. Right now, both gold and silver are trading at the same levels as a month ago.
The Copper, Cotton and Crude Oil markets have recently registered COT numbers at multi-year extremes. The prices subsequently broke out to new highs, but failed to gain any traction. This is similar to what was seen in gold price last summer. A violation of the...
April 1, 2017
Propaganda, also known as “fake news,” has become the norm in mainstream media reporting. Somehow the idea of Russia hacking the DNC computers morphed into the generic, “Russia hacked the election.” Per Hitler’s formula, Hillary Clinton introduced the idea during...
“When the Chinese are done doing whatever it is they are doing, and I’m sure they are eviscerating the United States and the Western financial world in the process, they’ll let the market run [gold and silver]. How high, I don’t know.” – Michael Noonan, The Daily...
In an unprecedented move the Irish government is issuing and dispatching a free gold coin to all Irish citizens and foreign persons of Irish heritage. In a controversial move, the Ministry of Finance plans for Irish people to own at least 1 ounce of gold bullion....
Yes. 0.0006th of an ounce of gold = 80 cents, at $1250 the oz. How can 80 cents be significant relative to gold at that price? It is a tiny gap in price that was never filled. The probability of December 2015 being the end of the downside correction since the...
To public readers of our updates, our cycle indicator is one of the most effective timing tools for traders and investors. It is not perfect, because periodically the market can be more volatile and can result in short term whipsaws. But overall, the cycle indicator...
Stocks just don’t want to rest for long and are ready for more strength in the immediate short-term. The precious metals took the week off and have formed very nice patterns, which point to breakouts in the week to come. Consequently. I’m into one mining stock and...
