Gold has finally caught a bid this week and is up to its highest level since July 31. The fact that the U.S. and China appear to have agreed on a meeting between Trump and Xi on trade issues at the next G20, coupled with the U.S. treasury’s decision not to label...
Gold Editorials & Commentary
October 12, 2018
Here are today's videos and charts.
The lofty stock markets suffered a sharp selloff this week that may prove a major inflection point. There was one lone sector that bucked the heavy selling to surge in the carnage, the gold miners’ stocks. They are the last cheap sector in these bubble-valued...
We know, it’s just a symbol. But it’s a powerful symbol of the most severe recession since the Great Depression. Yup, it’s another article about the Lehman Brothers’ collapse. But we really invite you to read it, as we thoroughly analyze the impact on that...
It seems the pundits have lost their way. The reasons for the market moves have now confounded most market participants and pundits to such an extent, and they are stretching so far to provide a reason for a market move, that we have moved from the ridiculous to the...
To the surprise of many investors, the precious metals have rallied while the broader markets continue to sell-off. Currently, both gold and silver are solidly in the green while the major indexes were all the red following a huge sell-off yesterday. The Dow Jones...
Here is my Chart of the Day Friday summary covering markets, technicals, sectors and stocks I am interested in. You can find these on Linkedin too, so please connect with me there for daily content updates. You can click on each chart title below for more...
October 11, 2018
A unique setup has occurred in the UUP (Invesco DB US Dollar Index) that resembles an Engulfing Bearish type of pattern (even though it is not technically an Engulfing Bearish pattern). Technically, an Engulfing Bearish pattern should consist of a green candle...
We are on the verge of moving into an era of high interest rates, so markets will behave differently from any time since the early-1980s. There are enough similarities with the post-Bretton Woods era of the 1970s to give us some guidance as to how markets are likely...
Rising interest rates are good for metals. Rising interest rates are bad for metals. We have heard the arguments from both sides. In fact, I think it is no different when people claim inflation is good for gold relative to those who believe deflation is good for...
Yesterday, U.S stocks experienced their worst performance since February. The Dow Jones closed down 831 points, or 3.6 percent. It was its second worst day of the year, as one can see in the chart below.
I have been hearing for years how gold is manipulated to go down, and is expected to rise when allowed to trade freely. So, according to these manipulation theorists, gold is really only supposed to move in one direction and would never see any corrections.
Gold price has gained 1.2% today on safe-haven demand as sharp declines on Wall Street spread throughout Asia and Europe. Stocks in Europe have slumped to a more than 18-month low after sharp losses on Wall Street, centered on tech stocks and the Nasdaq.
October 10, 2018
There are times in life when being alarmed is actually a healthy defense mechanism that gives you an advantage over the many for whom "ignorance is bliss." This is one of those times.
The previous week is over - and even though we haven’t seen any significant volatility in its final part, it doesn’t mean that we haven’t seen any meaningful signals. We did…and one of them has important implications for the short-term and a few others have much...
Some of last week’s weakness in the stock market was attributed to surprisingly week jobs report on Friday. Non-farm payrolls came in significantly below projections.
The annual “In Gold We Trust” report by Liechtenstein-based investment firm Incrementum is a must-read account of the gold market, and its just-released chartbook for the 2018 edition is no exception.
October is the month most closely associated with markets going bump in the night – 1907, 1929, 1987, 1997, 2007, 2008. Of all the October surprises, the 1929 crash had the most lasting consequences.
Jack Nicholson and Morgan Freeman starred in the 2007 movie, “The Bucket List.” A “bucket list” defines things we want to do before we die, before we “kick the bucket.” A reverse bucket list—as used here—is a list of things already occurred, but we wish had not...
Few investors have a deeper understanding of the tech sector than Fred Hickey. The renowned editor of the popular investment newsletter «The High-Tech Strategist» draws alarming parallels to the bursting of the dotcom bubble in the year 2000 and spots high risks in...
October 9, 2018
Two important financial cycles are currently converging for the first time in more than ten years, and how they work in combination can provide key information about the future value of our retirement portfolios, the future prices of our homes, and even when the...
The incredibly positive price action of many gold stocks relative to bullion continues to occur on days when bullion falls hard against the dollar, and when the stock market gets hit. That’s impressive!
It is my privilege now to welcome in Frank Holmes, CEO and Chief Investment Officer at U.S. Global Investors. Mr. Holmes has received various honors over the years, including being named America's Best Fund Manager by the Mining Journal.
U.S. nonfarm payrolls slowed down in September. The economy added just 134,000 jobs last month, following a rise of 270,000 in August (after an upward revision). However, the weak headline number was accompanied by hugely positive revisions in July and August. With...
Gold has struggled to rebound despite an extreme oversold condition and extreme bearish sentiment. Nevertheless, conditions for Gold have not worsened in recent days. In fact, Gold as well as gold stocks appear to be basing for a potential rebound into the holiday...
Interest rates have risen to levels where they are finally getting noticed, even on giddy Wall Street and in the undiscerning precincts of television business news. In recent days, nasty selloffs in the stock market have been attributed to correspondingly large...
October 8, 2018
In a 13th August blog post I noted that for the first time this year the sentiment backdrop had become decisively supportive of the gold price. I also noted that the fundamental backdrop remained unequivocally gold-bearish, and then attempted to answer the question...
According to a recent Cornerstone Macro report, the three most influential macro trends this year have been 1) the strengthening U.S. dollar, 2) the flattening yield curve and 3) slowing global manufacturing expansion.
Last week, we shined a spotlight on a crack in the monetary system that few people outside of Switzerland (and not many inside either) were aware of. There is permanent gold backwardation measured in Swiss francs. Everyone knows that the Swiss franc has a negative...
This week, I read an article on Seeking Alpha by Jeffrey Saut entitled “Stock Market Timing?” While I have much respect for Mr. Saut’s experience and knowledge in the industry, I do not agree with his recent missive, as it is replete with market fallacies and...
