Conventional wisdom states the following: When the Fed raises interest rates, the USD will strengthen and demand for dollar-denominated commodities such as gold will decline. This is true (theoretically speaking) because gold is a non-interest-bearing commodity that...
Gold Editorials & Commentary
June 7, 2017
Gold prices have broken out above the six year downtrend (see charts) due to a 50% surge in Chinese demand and increasing safe haven demand internationally.
The price declined again today as called for by last night’s wave count. The target at 10940 was met, todays low so far reached 109.22. The declining trend channel suggests one more decline to meet the line once more. That could happen at about 108.70 at which point...
June 6, 2017
Gold is the world’s ultimate asset, and another spectacular week is underway for investors. While May was mostly sideways (and lower for many gold stocks), it’s starting to look like the month of June could be a serious “barnburner”.
With the US dollar taking another hit last Friday on a weaker-than-expected jobs report, gold closed up 1.12 percent for the day. A Bloomberg gauge of 72 junior miners, however, has lost 15 percent since the end of January, and the rebalance of the VanEck Vectors...
The bounce in Treasury yields witnessed after the election of Donald Trump is now decaying in the D.C. swamp. If the Fed continues to ignore this slow growth and deflationary signal from the bond market and continues along its current rate hiking path, the yield...
This post is a rehash of something I wrote at TSI last September in response to the article titled “The Gold Standard and Debt Jubilee“. The article is a confused jumble of Marxist, biblical and capitalist ideas/assertions, but its gist is that we need both a debt...
Banco Popular’s shares crashed another 17 per cent yesterday to record lows amid concerns the Spanish bank may have to be “wound down” and could see bail-ins of investors and depositors.
June 5, 2017
The best performing precious metal for the week was palladium, up 6.17 percent. Consumer demand is rising for gasoline- versus diesel-engine powered vehicles, yet automobile sales have started to relax in recent months. According to Bloomberg, gold bulls outnumber...
I was shocked by Friday’s announcement by the CFTC of an order and simultaneous settlement of manipulation charges in COMEX gold and silver futures. I first saw it in a Zerohedge article and subsequent articles on Bloomberg and in the Wall Street Journal, but all...
Since 2008 the financial media has been proclaiming that the US was in a “recovery.” This argument was used to justify the insane monetary policy of the Federal Reserve, which maintained ZIRP for seven years and spent over $3 trillion in QE.
The jobs report was disappointing. The prices of gold, and even more so silver, took off. In three hours, they gained $18 and 39 cents. Before we try to read into the connection, it is worth pausing to consider how another market responded. We don’t often discuss...
A summer evening on London Bridge and in Borough Market ended in terror on Saturday as attackers killed seven people and injured 48. This is the second terrorist attack on British soil in less than two weeks and the the third this year. The attack was immediately ...
We “went walkabout” over the past several years, largely deserting the Precious Metals sector for other greener pastures, because it has been performing so poorly, apart from a dramatic flurry during the 1st half of last year. However, the latest charts suggest that...
Last week, SPX re-tested support and moved to new all-time highs. With all indicators showing positive momentum, the correction appears to be over with a new uptrend starting. The latest re-accumulation area gives us a count to about 2500. Unless some negativity...
June 4, 2017
Recall the Monty Python line "A minute passed quickly past"? 'Tis how the year 2017 feels to us. The geometrically-increasing pace of unrelated, and moreover, unimportant items beset upon us on a daily basis is blurring the very passage of time itself.
As expected, the Dow Jones Index saw two new all-time highs the past week (Thursday and Friday). Just how much higher can the stock market go? On a point basis I really don’t know, could be enough to surprise me. But on a practical basis, for only as long as the...
Quite the week for stocks as we continue to notch new highs after new highs. Get it while the getting is good. The metals also did great and gold is on the cusp of a big move. Everyday there is just so much political jargon it’s hard to ignore, but I do try my best...
June 3, 2017
Ever since 2012’s failure of the ‘QE 3 rally’ in the precious metals, it has not been fruitful to micro manage the gold sector, because that failure jump started a savage bear market that would need time to work out the excesses both in the sector’s investor base...
Welcome to the weekend! But, no parties for me! As a father of 2 young girls, the weekend is the same as every other day, up early, go all day, and fall asleep quickly and be woken up 3 times a night! Life's good though!
As I was walking through the shopping district of Kingston-on-Thames yesterday, I was wondering whether the locals had gotten the memo that the country remained on "High Alert" in light of the Manchester bombings. Here I was in the middle of an historic "village,"...
Gold sector is on major buy signal since early 2016. Major signals can last for months and years and are more suitable for long-term investors. Both speculation and open interests are supportive for higher prices overall.
June 2, 2017
Apart from some minor profit-taking over the last two days of this week (into early European trade this morning – Friday), the undertone in precious metals has been remarkably positive.
Gold Bugs now expect prices to take off and I expect prices to rise as well...someday. Today ALL is rigged and manipulated, the news, the markets, public opinion, politics, stock markets, you can’t believe anything. Common sense is in short supply when the masses...
Trump’s announcement late yesterday that the US would be pulling out of the landmark 2015 Paris climate accord saw gold prices retreat. Markets are now awaiting the release of the non-farm payroll data. General consensus is that 210,000 new positions were added in...
The busy summer travel season is here yet again, and according to forecasts, this year could set a number of new records for airlines and highways. Thanks to a steadily improving economy, rising gross domestic product (GDP), strong consumer confidence and affordable...
June 1, 2017
The astounding results of a groundbreaking, scientific study just released, the first of its kind we know of, confirms a lot we’ve suspected about mainstream journalists. Journalists are different than the rest of us.
Leaked memos, recorded conversations, impeachment talk and a plunging stock market. Trump and his White House problems? No. Brazil. The Brazilian stock market took a nose dive wiping out this year’s gains on newspaper reports that Brazilian President Michel Temer,...
Recently, lots of news items have been discussing the run in the US equity markets and “how long can it go on like this?”. Our analysis of the markets shows us that many of these industry analysts are failing to consider one very important factor in much of their...
Yesterday, the gold price hit $1,273.74/oz, a level not seen for five weeks. Analysts point to some safe-haven demand for the yellow metal on account of the geopolitical tensions, upcoming UK elections and tomorrow’s non-farm payroll data.
