One of America’s most prominent hedge fund managers is betting the farm that China’s economic troubles are far from over. His bet centers around the US dollar and by extension several Asian currencies. What happens to the dollar from here will determine whether...
Gold Editorials & Commentary
July 20, 2016
July 19, 2016
“Perp Bond Thunder” is the new gold price driver in play. Moreover, it has the potential to influence major markets for many years into the future.
We deviated from the usual format of widespread, in-depth coverage of US and global markets, precious metals and commodities in order to focus on two main themes. One was a view of building short-term risks in the gold market [possibly pending new rally highs] -...
Gold has consolidated near the low of the past two weeks following on from its Brexit rally. Having increased by 25% since the beginning of the year, the pause in its rally comes as Barnabas Gan, an economist at Singapore-based Oversea-Chinese Banking Corp observes...
July 18, 2016
The best performing precious metal for the week was palladium, up 4.89 percent. Wage negotiations started this week in South Africa with opening demands including a 15 percent hike for the highest paid employees -- and a 47 percent hike for the lowest paid. With the...
Confidence is slippery, even when you are a metals investor sitting atop the best performing assets of 2016. It doesn’t help when four years of a miserable bear market remains fresh in our memories. Any weakness in prices and it can feel like markets are getting...
There are many ways to gain exposure to movements in the price of gold. The most traditional and conservative method is buying bullion (bars or coins). Investors can also buy gold futures at Comex or shares in gold exchange-traded funds. There are dozens of other...
While CNBC and other perma-bulls claim that the stock market is a great investment today, the smart money is already prepping for a disaster. Goldman Sachs has told its clients to “sell at the new high.” Credit Suisse just told its clients stocks “haven’t looked...
Financial Market Strategists are advising their clients to “buy gold on dips”. “Gold has seen four major bull markets since 1970: this is another one,” Benjamin Wong, foreign exchange strategist at the Singapore-based bank’s Chief Investment Office, said in an e-...
Are you ready for the next leg of deflation? Where the real pain will be felt (mainly) because the collapse of commodities and oil, in particular, will be accompanied by the collapse of the US stock market.
July 17, 2016
Last week, SPX broke out to a new all-time high and extended its move 34 points beyond. Since that level corresponds to a short-term projection, a minor top could develop and bring about the second correction of the uptrend which started at 1992. Unless extensive...
The June nonfarm payrolls came in at a stunning up 287,000, following a revised downward May nonfarm payrolls of 11,000. The surprise number gave way to a ‘wow’ moment, and the stock market soon rallied to new all-time highs.
Inflation is already here. It is in the form of assets the Fed has wanted to inflate. It has not yet shown up in assets the Fed does not want to inflate. The Austrians were right.
On Friday, the DJIA closed at 18516.55 to set a brand new all-time high; this after plummeting by 611 points to 17400 points only ten trading days earlier, when the Brits unexpectedly voted to leave the EU – an outcome that before the referendum was predicted should...
Below we show two charts for the Russell 2000 (RUT) that tell us this is a very important price juncture for this small cap stock index. Prices sit at two critical intersections this weekend: They sit at the top boundary of a large declining trend-channel from mid-...
July 16, 2016
Pretend you’re running a corrupt government and something big and scary happens in another part of the world. Brexit, for instance. You’re quite naturally worried about the impact on your local economy and political system. What do you do?
Our research continues to argue that the current record rebound in gold stocks will continue. Every time we’ve predicted a correction, the weakness in the sector has been only a fraction of what we expected in both price and time. New bull markets that follow epic...
Nice, France weighs heavily and brings home the point, tomorrow is promised to no one. The tragic mass-killing of Bastille Day celebrants in Nice, France may not have been a planned terrorist attack, but its consequences are no less extremely sad and equally...
Gold sector is on a new major buy signal. Cycle is now down. Investors can cost average in at the next cycle bottom. Silver is on a long term buy signal. Short term is on buy signal. However, silver is vulnerable to a multi week correction which is long overdue.
July 15, 2016
Technical Analysis of The Markets Via Videos.
Gold’s mighty new bull market this year has been amazing, the result of heavy buying by investors and speculators alike. But these latter traders have pumped so much capital into gold futures that this metal now faces a record selling overhang. Since the hyper-...
Melt-ups precede a major stock market crash, and by all appearances we may be in a melt-up right now that could cause a stock market crash in 2016. First, a small bit of euphoria kicked up permabull adrenaline in the US market when Brexit didn’t make the American...
The very first word anyone ever saw on a circulating United States coin was the word “LIBERTY.” From half-cents to silver dollars, each featured the likeness of an unnamed woman. The images varied, thanks to different engravers, but together they became recognized...
We will start with a quote that is sometimes attributed to Sir Winston Churchill, the British Prime Minister, who led Britain during the Second World War. “If you’re going through hell; keep going” With the enemy at the gate Sir Winston Churchill didn’t have much...
For the last several months, and, in fact, for the last several years, I have been writing how I take exception with the common perspectives in the metals world. The great majority of metals enthusiasts and analysts were suggesting that a stock market crash was...
July 14, 2016
Per Deutsche Bank Research: Currency forecasts point to potentially significant declines in international returns (i.e. lower performance in foreign currencies). “When left unhedged, currency exposure can have potentially negative effects on both the risks and...
Massive virus attack sent my main computer for repair limiting my posting this past weekend. However, I have been able to get my Point and Figure charts done -- and here I show the gold and oil charts. They are going in different directions.
Summer vacation is here -- and the whole global family has arrived at Central-Bank Wonderland, the upside-down, inside-out world that banksters and their puppet politicians call “recovery.” Everyone is talking about it as wizened traders puzzle over how stocks and...
July 13, 2016
A recent IMF study estimated that the profits of the big banks in the United States are almost entirely due to the government sponsored backstops. It’s not just bailouts, but also cheap credit, and judicial negligence.
When people use the term "money," it usually refers to a unit of currency used in the transacting of business and commerce. A woman works cleaning houses for a week and gets paid in a number of currency units and then goes to the supermarket and exchanges those...
