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...
Gold Editorials & Commentary
July 14, 2016
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...
After 4 years of getting trounced, bulls have learned to be quite skeptical and gun shy. This is what a larger degree correction does to the market psyche, as it builds the “wall of worry” for the next bull phase.
July 12, 2016
It’s been a stellar six months for gold investors. The yellow metal has surged 28 percent year-to-date, its best first half of the year since 1974. And now there are signs that the rally is just getting started.
Since its discovery many centuries ago, gold has managed to maintain its relevance and stature to this day. Used to make royal crowns and other valuable items, the value of gold has been high as from its discovery days. The Greek scientist Archimedes (287-212BC),...
Gold stocks continue to take out key highs, but in the big picture, the upside action has barely started.
The oil-to-gold and oil-to-silver ratios declined in the previous week, invaidating earlier breakouts above important supports, which suggests further declines and doesn't bode well for crude oil as lower values of both ratios have translated into lower prices of...
Talk about diversification comes cheap. Actually diversifying one's portfolio is far more difficult. We have been preaching for some time that in an era where both stocks and bonds may be expensive, investors may want to embrace alternative investments. I have been...
Gold is testing its 2011 high in Australian dollar (A$) terms. The A$-denominated gold price (gold/A$) made a correction low in April of 2013, spent about 18 months forming a base and then resumed its long-term bull market in late-2014. It will probably soon make a...
The best performing precious metal for the week was platinum, up 3.38 percent and marking eight straight trading days of gains. China has seen an 11 percent jump in auto sales through May, spurred by a tax cut on purchases.
July 11, 2016
Here we are at the halfway point of the year, less than two months away from the Rio 2016 Olympic Games. As a group, commodities are the top performing asset class, beating domestic equities, the U.S. dollar and Treasuries.
Silver out performs gold as both rise with Treasury bonds, which are in turn rising with stocks, as Junk bonds hit new recovery highs while USD remains firm as inflation expectations are out of the picture. This is highly atypical, maybe even unprecedented.
I like to share my thoughts about the S&P500 index, the volatility index and what I believe will be the trigger/event, which sends stock markets around the world to new multi-year lows. While the charts shown here are very simple there is a lot of information...
The Fed was able to end its massive $3.7 trillion series of Quantitative Easing campaigns without the stock market and economy falling apart. The end of QE 3, in October of 2014, did cause temporary turmoil in the major averages; but all in all, it did not lead to a...
This was a shortened week, due to the American holiday of July 4 celebrating the start of the war that led to “Amexit”, 240 years ago. The prices of the metals were up last week, +$25 in gold and +$0.48 in silver. The gold to silver ratio dropped a fraction of a...
Last week, SPX traded within inches of its all-time high. After a much better than expected jobs report on Friday, bulls took control and drove the SPX up to 2131.71, only 3 points from the 5/15 high of 2134.72. Some profit-taking occurred in the last minutes, and...
The Brexit vote was a surprise. However, my alternative scenario for this unlikely event was a bull´s-eye. Gold immediatley spiked sharply higher and met some profit taking around $1,350. Now two weeks later it´s even higher and in a strong uptrend. Gold knows that...
Nothing is more shameless in a bedazzling sort of way than rich banksters standing on the public curb with their hands out. First, we had the admission this past week by a major French bank that Italian banks are so sick (and so too big to fail) they could cause...
July 10, 2016
I have not really addressed this issue in a direct fashion in the past, but I feel the need to bring this issue to light. The issue I have with most of the “analysis” I read or hear is that much of it is based upon supposition and inconsistencies. Personally, when...
In last week's missive, (Gold then at $1,345), we modestly raised our high target for this year to the vaunted level dubbed as "Base Camp 1377". Now with Gold having settled yesterday (Friday) at $1,367, what was Gold's high trade this past week, indeed for the year...
In US judicial court system for a criminal case, the juries are advised to examine the evidence of the case “beyond a reasonable doubt”. The market behavior is complex and there are often good arguments on both sides as to the direction of the crude oil ($WTIC)...
July 9, 2016
Gold sector is on a new major buy signal. 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.
Jason Zweig, who a year ago called Gold a “pet rock” is doubling down. He reiterates his belief, albeit a misguided one that Gold is a pet rock and justifies it with the usual anti-gold bug propaganda. Unfortunately, Zweig along with many gold-bashers and ironically...
BREXIT opened a Pandora’s Box for the EU. Will the globalists shut it closed and then reseal it for generations to come? Something may be rotten in the state of Denmark, but the stench emitting from Brussels has been overpowering Europe. People in the Western...
This first chart for tonight is the GOLD:XAU ratio combo chart we’ve been following very closely. I just want to make it perfectly clear what this ratio chart is telling us. The ratio chart on top is telling us that gold is in a parabolic collapse vs the XAU after...
A cracker of a week to let our stock positions consolidate -- and now they have resumed their upwards trajectories. Precious metals are also doing very, very well along with miners. There really isn’t a lot to say with everything acting very orderly this past week...
July 8, 2016
Several important factors work in a powerful manner to debilitate, to distort, and to wreck the global financial and economic system. It is long past the point of effective remedy. After the Lehman kill event, every conceivable wrong move and policy was made and...
I wrote an article one year ago stating that ONE OUNCE OF GOLD WILL AGAIN BUY THE DOW. In that article I explored the possibility that gold could move up to an extreme as Jim Sinclair and gold bugs believe, of $36,000 or feasibly drop to $900 as Harry Dent believes...
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