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- Premium on gold prices in China evaporates
- Randgold – one million gold ounces this year, 1.2 million next
- India's tough gold import rules - cases for and against
- Gold finds some footing just under $1,300
- Pan African go-ahead for Evander gold tailings treatment project
- Silver in worst bear market, watch for a final low to emerge
- Tough week for Gold, eyes Yellen's speech on March 30
- It’s Bernanke’s Unreported Meeting Schedule That I’d Like to See
- Indophil eyes Philippine listing to win support for delayed mine
- Peru vows not to budge on illegal gold mining deadline
- With The Reserve Bank Allowing Imports, Is India Going Back To Its G(Old) Ways?
- Could Consolidation Be Brewing In The Dollar Store Space?
- Fed Stress Tests “Rattle Banks Around The World”
- The Golden Era of the 1950s/60s Was an Anomaly, Not the Default Setting
- Rising physical demand for gold to mitigate fear of stronger U.S. data
- A List Of 97 Taxes Americans Pay Every Year
- Fed Stress Tests “Rattle Banks Around The World”
- Gold set to decline, Dollar strength to be a key hurdle in medium term
- Will gold continue to fall?
- Fed Stress Tests “Rattle Banks Around The World”
- Czech Republic gold mining faces ban on environment
- The accidental end to silver price manipulation
- SBSS Warbird & RCM BOP Falcons Only $2.99 Over Spot, ANY QTY!
- A new "golden age" of U.S. refineries is on the horizon
- Master trader Clark: Watch this chart for an "early warning" of stock market trouble
- Links 3/28/14
- Silver, Buffett & the Hunt Brothers
- Jim Rickards: Gold Manipulation is Now So Obvious It Should Embarrass the Manipulators
- Dimon Gets 74 Percent Raise After Billions in Fines
- Three King World News Blogs
- Jim Rickards: "$9,000/oz gold could back world currency"
- Jim Rickards: Gold manipulation is now so obvious it should embarrass the manipulators
- JPMorgan Defeats Appeal in U.S. Silver Price-Fixing Lawsuit
- Drought Spurs Mini-Gold Rush in California's Sierra Nevadas
- Gold Price Analysis- March 28, 2014
- Silver Forecast March 28, 2014, Technical Analysis
- Gold beats up the tech crowd but the fight isnt over yet
- Gold & Silver Trading Alert: From Bearish to More Bearish
- Gold Prices March 28, 2014, Technical Analysis
- A Golden Opportunity Coming in Silver
- Crude Oil Hits 3-Week High, Gold Selloff Continues
- SILVER Prices Heading Lower As Bears Tighten Their Grip
- The Discovery of Gold in California by Gen. J.A. Sutter
- Gold market manipulation update, March 2014
- Gold manipulation is now so obvious it should embarrass the manipulators, Rickards says
- Gold, silver: From bearish to more bearish
- The Changing Prices of Gold
- Silver Prices Heading Lower As Bears Tighten Their Grip
- March 27.2014/GLD no change in gold inventory/SLV no change/gold and silver whacked again
- Time to Re-Visit a Recent Thought Experiment
| Premium on gold prices in China evaporates Posted: 28 Mar 2014 02:49 PM PDT While the premium on gold prices in China falls, Julian Phillips does not see demand softening. |
| Randgold – one million gold ounces this year, 1.2 million next Posted: 28 Mar 2014 01:05 PM PDT While Randgold's mine reserves fell overall in 2013, its total gold resource base increased as it targets 1 million ounces gold output this year and 1.2 million next. |
| India's tough gold import rules - cases for and against Posted: 28 Mar 2014 01:05 PM PDT Restrictions aim to dampen gold imports to support the broader economy. But meantime gold smuggling explodes, and jobs are at risk. |
| Gold finds some footing just under $1,300 Posted: 28 Mar 2014 11:47 AM PDT Precious metals are up slightly this morning with platinum and silver up 0.5% and gold 0.2%. |
| Pan African go-ahead for Evander gold tailings treatment project Posted: 28 Mar 2014 10:59 AM PDT Pan African Resources has announced a go-ahead for its Evander Tailings Treatment Project – a project which was described to Mineweb as a 'no brainer' two years ago. |
| Silver in worst bear market, watch for a final low to emerge Posted: 28 Mar 2014 09:20 AM PDT He points out that silver has very strong trendline support on daily charts around $17. If silver breaks to a new low then it will run into this trendline support which dates back 11 years. |
| Tough week for Gold, eyes Yellen's speech on March 30 Posted: 28 Mar 2014 09:03 AM PDT If higher interest rate is accompanied by a rising inflation rate, real interest rate will not necessarily rise rapidly, lending some support to gold prices. |
| It’s Bernanke’s Unreported Meeting Schedule That I’d Like to See Posted: 28 Mar 2014 09:00 AM PDT
 It was widely reported the other day when Bernanke gave a speech in Abu Dhabi for which he was paid $250,000. While Bernanke's visible speaking engagements are actively reported, I can guarantee you that he is conducting very private, non-disclosed meetings for which I'm sure he's paid much higher "consulting fees" than his publicly [...] The post It’s Bernanke’s Unreported Meeting Schedule That I’d Like to See appeared first on Silver Doctors. |
| Indophil eyes Philippine listing to win support for delayed mine Posted: 28 Mar 2014 08:58 AM PDT Indophil is looking to list its shares on the Philippine Stock Exchange to win more local support for its Tampakan copper/gold project. |
| Peru vows not to budge on illegal gold mining deadline Posted: 28 Mar 2014 08:52 AM PDT Peru will not postpone the April 19 deadline for wildcat gold miners to legalise their businesses despite ongoing protests in key mining provinces. |
| With The Reserve Bank Allowing Imports, Is India Going Back To Its G(Old) Ways? Posted: 28 Mar 2014 08:43 AM PDT By Sohrab Darabshaw India used to be the No. 1 buyer of gold in the world before the levy of the import tax, shipping in about 70 tons a month. After oil, gold was the nation's biggest import, adding to the current account deficit, which was groaning under a weak rupee-dollar rate. In January, jewelry exports had gone down by as much as 50 percent, but in February, there was a visible improvement in this. Bullion analysts and the GJEPC feel this trend would only gain in the next few months, especially because of more banks now being allowed to import gold. A few days ago, the Reserve Bank of India (RBI) had permitted five domestic private sector banks to import gold. According to a report in The Economic Times, the move is seen as a precursor to easing restrictions on inward shipments of the metal. The RBI had |
| Could Consolidation Be Brewing In The Dollar Store Space? Posted: 28 Mar 2014 08:28 AM PDT The dollar-store industry provides consumable basic needs to customers primarily in the low and middle-income brackets. More than one-third of the industry's customers live in households that earn less than $20,000 per year, making the group's results counter-cyclical -- as more households generate lower income due to poor economic conditions. Therefore, store growth and same-store-sales increase during these bumpy times. Still, competition is fierce among constituents. But given the niche low-price strategy of participants and their counter-cyclical nature, we tend to like the group. Dollar General Still Operating Best-in-Class Dollar General (DG) has been operating at a level higher than that of its dollar-store peers, but its outlook for fiscal year 2014, released in its fourth quarter report March 13, came up a bit short. The company's fourth-quarter sales advanced 6.8%, while fourth-quarter same-store-sales edged up a modest 1.3%. These numbers showed a deceleration from the pace of its |
| Fed Stress Tests “Rattle Banks Around The World” Posted: 28 Mar 2014 08:20 AM PDT
Yesterday, the Federal Reserve's stress tests led to jitters in financial markets and in the words of the Financial Times "rattled banks around the world." Citigroup's share price was hammered and fell 5.4% The aftershock of the stress tests was felt beyond U.S. shores for the first time. The U.S. subsidiaries of Royal Bank of [...] The post Fed Stress Tests "Rattle Banks Around The World" appeared first on Silver Doctors. |
| The Golden Era of the 1950s/60s Was an Anomaly, Not the Default Setting Posted: 28 Mar 2014 08:08 AM PDT The 1950s/60s were not “normal”–they were a one-off, extraordinary anomaly. If there is one thing that unites trade unionists, Keynesian Cargo Cultists, free-market fans and believers in American exceptionalism, it’s a misty-eyed nostalgia for the Golden Era of the 1950s and 60s, when one wage-earner earned enough to buy all the goodies of a middle-class lifestyle because everything was cheap. Food was cheap, land was cheap, houses were cheap, college was cheap and most importantly, oil was cheap.
The entire political spectrum looks back at this Golden Age with longing because it was an era of “the rising tide raises all ships:” essentially full employment, a strong U.S. dollar and overseas demand for U.S. goods combined to raise wages while keeping inflation low. The nostalgic punditry quite naturally think of this full-employment golden age of their youth as the default setting, i.e. the economy of the 1950s/60s was “normal.” But it wasn’t normal–it was a one-off anomaly, never to be repeated.Consider the backdrop of this Golden Era: 1. Our industrial competitors had been flattened and/or bled dry in World War II, leaving the U.S. with the largest pool of capital and intact industrial base. Very little was imported from other nations. 2. The pent-up consumer demand after 15 years of Depression and rationing during 1942-45 drove strong demand for virtually everything, boosting employment and wages. 3. The Federal government had put tens of millions of people to work (12 million in the military alone) during the war, and with few consumer items to spend money on, these wages piled up into a mountain of savings/capital. 4. These conditions created a massive pool of qualified borrowers for mortgages, auto loans, etc. 5. The Federal government guaranteed low-interest mortgages and college education for the 12 million veterans. 6. The U.S. dollar was institutionalized as the reserve currency, backed by gold at a fixed price. 7. Oil was cheap–incredibly cheap. All those conditions went away as global competition heated up and the demand for dollars outstripped supply. I won’t rehash Triffin’s Paradox again, but please readThe Big-Picture Economy, Part 1: Labor, Imports and the Dollar (September 23, 2013). In essence, the industrial nations flattened during World War II needed dollars to fund their own rebuilding. Printing their own currencies simply weakened those currencies, so they needed hard money, i.e. dollars. The U.S. funded the initial spurt of rebuilding with Marshall Plan loans, but these were relatively modest in size. Though all sorts of alternative global currency schemes had been discussed in academic circles (the bancor, etc.), the reality on the ground was the dollar functioned as a reserve currency that everyone knew and trusted. But to fund our Allies’ continued growth (recall the U.S. was in a political, military, cultural, economic and propaganda Cold War with the Soviet Union), the U.S. had to provide them with more dollars–a lot more dollars. Federally issued Marshall Plan loans provided only a small percentage of the capital needed. As Triffin pointed out, the “normal” mechanism to provide capital overseas is to import goods and export dollars, which is precisely what the U.S. did. This trend increased as industrial competitors’ products improved in quality and their price remained low in an era of the strong dollar. Long story short: you can’t issue a reserve currency, export that currency in size and peg it to gold. As the U.S. shifted (by necessity, as noted above) from an exporter to an importer, a percentage of those holding dollars overseas chose to trade their dollars for gold. That cycle of exporting dollars/importing goods to provide capital to the world would lead to all the U.S. gold being transferred overseas, so the dollar was unpegged from gold in 1971. Since then, the U.S. has attempted to square the circle: continue to issue the reserve currency, i.e. export dollars to the world by running trade deficits, but also compete in the global market for goods and services, which requires weakening the dollar to be competitive. In a global marketplace for goods and services, all sorts of things become tradable, including labor. The misty-eyed folks who are nostalgic for the 1950s/60s want a contradictory set of goodies: they want a gold-backed currency that is still the reserve currency, and they want trade surpluses, i.e. they want to export goods and import others’ currencies. They want full employment, protectionist walls that enable high wages in the U.S. and they want to be free to export U.S. goods and services abroad with no restrictions. All those goodies are contradictory. You can’t have high wages protected by steep tariffs and also have the privilege of exporting your surplus goods to other markets. That’s only possible in an Imperial colonialist model where the Imperial center can coerce its colonial periphery into buying its exports in trade for the colonies’ raw commodities. And very importantly, oil is no longer cheap. The primary fuel for industrial and consumerist economies is no longer cheap. That reality sets all sorts of constraints on growth that central states and banks have tried to get around by blowing credit bubbles. That works for a while and then ends very badly. The 1950s/60s were not “normal”–they were a one-off, extraordinary anomaly.Pining for an impossible set of contradictory conditions is not helpful. We have to deal with the “real normal,” which is a global economy in which no one can square the circle for long. |
| Rising physical demand for gold to mitigate fear of stronger U.S. data Posted: 28 Mar 2014 07:38 AM PDT Gold prices have had a tough week since the Fed has voiced the time frame for an interest rate hike last week and the stronger U.S. data this week. |
| A List Of 97 Taxes Americans Pay Every Year Posted: 28 Mar 2014 07:00 AM PDT
 We are all being taxed into oblivion. It is like death by a thousand paper cuts. Our politicians have become extremely creative in finding ways to extract money from all of us, and most Americans don’t even realize what is being done to them. By the time it is all said and done, a working [...] The post A List Of 97 Taxes Americans Pay Every Year appeared first on Silver Doctors. |
| Fed Stress Tests “Rattle Banks Around The World” Posted: 28 Mar 2014 06:33 AM PDT gold.ie |
| Gold set to decline, Dollar strength to be a key hurdle in medium term Posted: 28 Mar 2014 06:16 AM PDT US dollar is expected to strengthen in the medium term which could put downward pressure on gold prices. Investor inflows are bullish with month-to-date flows remaining positive in March at 9.6 tons. |
| Posted: 28 Mar 2014 06:01 AM PDT Snapping its four-day losing streak, gold prices recovered very marginally today. |
| Fed Stress Tests “Rattle Banks Around The World” Posted: 28 Mar 2014 05:46 AM PDT The Fed’s balance sheet has ballooned to $4.3 trillion from $800 million in the past five years as the central bank has electronically created trillions of dollars in order to buy their own government bonds and mortgage-related bonds in a radical and indeed reckless attempt to kick the can down the road and prevent a systemic event or a recession or depression. Today's AM fix was USD 1,295.75, EUR 944.15 and GBP 779.68 per ounce. Gold fell $8.50 or 0.65% yesterday to $1,292.50/oz. Silver remained unchanged at $19.75/oz.
Snapping its four-day losing streak, gold prices recovered very marginally today. Traders said there was a revival of buying by retailers at these lower levels and this contributed to a marginal recovery in gold prices. Gold in Singapore, which normally sets price in the important Indian gold market, rose 0.4% to $1,296.80 an ounce and silver by 0.8% to $19.86 an ounce. Among other precious metals, palladium gained nearly 1% today to $765/oz but is lower for the week. Gold remains near six week lows and is on track for a second straight weekly decline. Gold has dropped about $100 an ounce from a six-month high in the last nine trading sessions despite increasing concerns about the U.S. and global economy. There remain concerns that the manipulation of gold prices being investigated by the FSA and Bafin may be ongoing and a factor in recent price weakness. Gold's technical position is now negative and the close below $1,300/oz yesterday opens up the possibility of further falls to $1,270/oz and $1,200/oz. The sharp drop in prices in the last few days should bring physical buyers back into the market and support gold.
Demand for gold in Japan surged 500% in the last month as Japanese buyers bought ahead of a sales tax increase and due to concerns about Abenomics and the ongoing debasement of the yen. A man who has been a trader for 33 years and works at a foreign-owned brokerage told the Financial Times that the tax increase represented a "good opportunity" to buy more gold as he was worried about holding too many yen-denominated assets. "I plan to hold it for a long time until there is a good time to sell, when the yen collapses or something," he said. The surge in Japanese demand is small in tonnage terms in a global context and small vis a vis huge demand from India & especially China and from central banks but shows increasing concerns regarding currency debasement Fed Needs To "Stress Test" Itself As Balance Sheet Balloons To $4.3 Trillion The aftershock of the stress tests was felt beyond U.S. shores for the first time. The U.S. subsidiaries of Royal Bank of Scotland, Santander and HSBC all failed on "qualitative" grounds, which includes failing to project losses rigorously when contemplating a severe recession or market meltdown. The Fed said that the banks management practices or capital cushions are not robust enough to withstand a severe economic downturn. Not surprisingly, the banks themselves accused the stress tests as being "opaque". Twenty five other banks took part in the Fed’s annual “stress test” and received a green light for their planned dividend payouts and share repurchases. Bank of America and Goldman Sachs initially fell short of minimum capital requirements. However, they met the standards after reducing their planned dividend payments and share buybacks over the past week. The banks now have 90 days to address the weaknesses and risks identified by the Fed and resubmit their dividend and share buyback plans. The Fed’s decision was part of the annual checkup it requires of banks with more than $50 billion in assets. Banks must now undergo tests to ensure they can endure shocks like those that upended the banking system and led to the massive government bailouts in the 2008 financial crisis. In what the Fed sees as the extreme scenario, the test assumed a rise in the 6.7% unemployment rate to 11.2%, a 50% drop in stock prices and a decline in home prices to 2001 levels. All of which appear a strong possibility given debt burdened state of the tapped out U.S. consumer and the poor fundamentals of the U.S. economy. Indeed real levels of unemployment in the U.S. are likely well over 11% already.
It is important to note that if the Federal Reserve's assets were marked to market, it itself is insolvent. The Fed’s balance sheet has ballooned to $4.3 trillion from $800 million in the past five years as the central bank has electronically created trillions of dollars in order to buy their own government bonds and mortgage-related bonds in a radical and indeed reckless attempt to kick the can down the road and prevent a systemic event or a recession or depression. The Federal Reserve is likely to suffer significant losses on its Treasury holdings once interest rates rise from historic lows. Indeed, the researchers at the San Francisco Fed have recently called for “stress tests” on the Fed itself and it's assets and income, an echo of the central bank’s annual exercise for the nation’s largest banks. Educate yourself about the threat bail-ins pose to your livelihood by reading: |
| Czech Republic gold mining faces ban on environment Posted: 28 Mar 2014 04:47 AM PDT The lower house of parliament wants the ban based on state raw material policy. |
| The accidental end to silver price manipulation Posted: 28 Mar 2014 04:43 AM PDT Even if there is manipulation in the gold and silver markets, market forces will ultimately assert themselves. |
| SBSS Warbird & RCM BOP Falcons Only $2.99 Over Spot, ANY QTY! Posted: 28 Mar 2014 04:30 AM PDT
 Small Stacker Day Goes Angry! 2014 RCM Peregrine Falcons & the Original SBSS Warbird Only $2.99 Over Spot ANY QTY While Supplies Last! The post SBSS Warbird & RCM BOP Falcons Only $2.99 Over Spot, ANY QTY! appeared first on Silver Doctors. |
| A new "golden age" of U.S. refineries is on the horizon Posted: 28 Mar 2014 04:00 AM PDT From Matt Badiali, editor, S&A Resource Report: European oil refiners can't make any money. According to a recent article in Petroleum Economist magazine, older refiners are currently losing $3 per barrel. Even refineries that spent billions on upgrades are barely eking out $1 or $2 per barrel. For example, European refiner Repsol spent $5.9 billion refurbishing and upgrading two Spanish refineries. However, due to high costs of crude oil and other feedstocks (mainly natural gas and liquids used to help cut the crude oil into gasoline and other useful products), it only makes $1.20 per barrel at those facilities. The refineries produce a combined total of 440,000 barrels per day. At that rate, it will take almost 30 years to pay off the refurbishing loan... if Repsol doesn't use any capital to maintain the refinery. That's impossible… and so are those economics. Something has to give. The problem for European refiners is that everything is cheaper in the U.S. Crude oil costs less. Feedstocks are half the price. And U.S. refineries are far more profitable than their European counterparts. So, while U.S. refiners are profitable, European refiners are closing. According to Petroleum Economist, Europe lost nearly 1.5 million barrels per day of refining capacity in the last five years from closed refineries. And many more closures are on the way. This should open the door for more exports from the U.S. Higher profit margins and growing demand (as the European refiners exit) should create the best market for refiners in years. We could be entering a "Golden Age of U.S. Refining." Investors could make significant gains from this upcoming boom. You can read more about this coming golden age in the Petroleum Economist right here. (Access requires a subscription, but you can sign up for a free seven-day trial.)
More from Matt Badiali: It's official: The bull market in gold stocks has returned Why George Soros just plowed $8.7 million into my favorite shale-oil stock Matt Badiali: A huge problem with "green" energy could soon disappear |
| Master trader Clark: Watch this chart for an "early warning" of stock market trouble Posted: 28 Mar 2014 04:00 AM PDT From Jeff Clark in Growth Stock Wire: If you're worried about trouble in the stock market, there's one sector you need to keep an eye on. Banking stocks are the market's version of the canary in the coal mine. If there's going to be a correction, it'll show up first in these stocks. The Financial Select Sector Fund (XLF) broke out to a new high last week. And so far, it has been immune to the volatility this week. That makes it tough – even for diehard skeptics like me – to argue there's trouble brewing in the stock market. But the momentum of the financial sector could change course at any moment... Take a look at this chart of XLF...
The red lines represent the support and resistance lines of a rising channel. It's a series of higher highs and higher lows – which is bullish. The blue lines within the channel, however, outline a rising-wedge formation. That's a potential reversal pattern, which is bearish. Most of the time, rising-wedge formations break to the downside. So if XLF breaks below the support line of the wedge – at about $22 per share – the canary will be telling us the stock market may be entering a rough spell. Perhaps it'll be just a mild correction, similar to what we saw in January... and XLF will remain inside its rising-channel pattern. But – and this is a big BUT – if XLF breaks the rising wedge to the downside and breaks below the support line of the rising-channel pattern, there's a bigger problem. XLF will be signaling it's time to get out of the stock market. Pay attention to this chart. If there's trouble ahead for the stock market, XLF will give you the first warning. Crux note: You can now follow Jeff's market comments in real time on Twitter at @JeffClarktrader.
More from Jeff Clark: Master trader Clark: A must-see update on the "ugliest chart in the market" URGENT: A master trader's update on gold stocks |
| Posted: 28 Mar 2014 03:55 AM PDT Giraffe licks dying zoo worker Associated Press (Martine) Tigers slaughtered in show of social stature for Guangdong businessmen Guardian (furzy mouse) :-( Noble failures celebrated in unique Dublin show Irish Times (Scott). From earlier this year, still germane. The secret to saving a wet phone or tablet CNET “Data” the buzzword vs. data the actual thing Noah Smith. On Nate Silver’s new site. Meet the manic miner who wants to mint 10% of all new bitcoins ars technica Bitcoin stumbles on fears of China clampdown CNBC Game over: How libertarians lost the battle for Bitcoin's soul Salon Wealthy Chinese emigration "panic" MacroBusiness China's shakeout is on track MacroBusiness Schäuble revives push for eurozone integration Financial Times Intesa Sanpaolo Posts Massive Loss Wall Street Journal The Dysfunctional Guitar: More on the Reuters Syria Photo Controversy BagNews (psychohistorian) Obama Seeks to Calm Saudis as Paths Split New York Times Candidacy of former general polarizes Egypt DW Robert Kaplan Writes In Defense Of Slavery Moon of Alabama (Chuck L) Ukraine
US human rights chastised by UN Guardian Big Brother is Watching You Watch The NSA phone-record law ignores other (big) data we’re giving away Guardian Geolocating Twitter Users Bruce Schneier Obamacare Launch
Obama Is More Fiscally Conservative Than Reagan Business Insider States Most & Least Dependent on the Federal Government WalletHub. Detailed analysis with cool charts. Blue states less dependent, natch. 'Guns are a health care issue' MSNBC (furzy mouse) In Georgia, Carry a Gun, Just Not in the Capitol New York Times (furzy mouse) Hundreds of Students & Faculty Occupy College Campus to Fight Cuts to Public Higher Ed Real News PG&E Expects Criminal Charges Related to Pipeline Explosion Wall Street Journal Helen Galope v. Deutsche Bank National Trust, 12-56892 Court Listener. Unpublished 9th Circuit Appeals court decision says a defaulted mortgage borrower has standing to pursue claims that she would never have purchased a mortgage (which was sold as having a rate set by independent means) had she been aware of Libor manipulation. Fed should start rate hikes in first quarter 2015, Bullard says Reuters Fed’s Dudley: Fed Should Take Better Account of Its International Impact WSJ Real Time Economics Blog (MacroDigest). This is a direct contradiction to Bernanke’s stance, which was to deny QE had any effect abroad. Is he trying to pre-empt Yellen? Fed feels backlash over stress tests Financial Times. The Fed is getting what it deserves for coddling them during the crisis and participating in the “get out of massive liability almost free” settlements on foreclosure and chain of title abuses. SEC Is Urged to Shorten Window for Investor Tip-Offs Wall Street Journal Disabled Borrowers Trade Loan Debt for a Tax Bill From the I.R.S. New York Times Wal-Mart Sues Visa for $5 Billion Over ‘Swipe Fees’ Wall Street Journal. Godzila v. Mothra. The 67 People As Wealthy As The World’s Poorest 3.5 Billion Forbes Whoa Did Warren Buffett Get This Massively Important Prediction Wrong Matt Stoller Antidote du Jour (furzy mouse):
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| Silver, Buffett & the Hunt Brothers Posted: 28 Mar 2014 03:36 AM PDT Warren Buffett took a shine to silver. So did the Hunt brother oil barons... WHY have there been two major corners of the silver market in recent history? asks Miguel Perez-Santalla at BullionVault. In 1980, the year I started working in the marketplace, the price of silver had reached $50 per ounce, only to collapse a few days later. The Hunt brothers, two oil baron brothers with powerful financial means, were behind much of the rise in the market at that time. In a book by Stephen Fay, entitled Beyond Greed, the author writes the story of this incident. According to the evidence, Nelson Bunker led his brother Herbert Hunt – along with friends from the Middle East – in conspiring to make the price of silver rise by purchasing over 280 million ounces, estimated by Fay as 80% of 1979's entire global mine output, worth some $14 billion at that peak price. The Hunts made business arrangements to hide their activity under other names. They believed in the value of silver, and they desired to accumulate as much as possible and by any means. In my eyes they did so without regard of others. Yet this was at a significant risk to them, because they were buying both the futures and physicals. So was their attempted corner unjust? After all, they were trading within the market rules of the time. But they got greedy and used any resources to extend their reach. Once the gig was up, and it was known that the Hunts were heavily leveraged through their structured business alliances, the bankers joined forces with the commodities exchange, the Comex, and the Federal Reserve to change the rules. Once the rules were changed the calamitous collapse of the silver price and the destruction of the Hunt brother's' corner ensued. Since every loser on a futures contract must be matched by a winner, Bunker Hunt was convinced that the bankers and regulators involved with ending the corner profited greatly. But whatever the truth there, the Hunts would have been much more successful had they taken their profit sooner, before the price they demanded reached levels that affected industry and the average consumer. At that point authorities get involved to correct the distortion. Because the silver market is much smaller than the gold market, the corner is a temptation that is almost irresistible to a big player. Even if cornering the silver market is not the intent. In the late 1990s renewed buying of physical silver ensued. It began through a large trading firm by a major investor, Warren Buffett's Berkshire Hathaway (ticker: BRK), which accumulated nearly 130 million ounces from 1997 to early 1998. The market price rose sharply as this news broke, however it did not make the kind of price moves that would shock the public as the Hunts corner had. Though the quantity purchased was large, silver production had increased since 1980 and the price had not reacted to the same extent. Additionally, the economic reality at that time was of a booming US economy, where people felt less need of silver as a safe haven investment. In general, market participants were surprised by the price moves in silver. It did not break any records; it just broke other investor's trades. Silver moved from slightly above the $4 level to nearly a $7 price tag. Bad for industries that use silver, and because it did have an adverse effect on other investment manager's financial positions, this price rise was brought to the attention of the authorities. One of these investment managers was Martin Armstrong of Princeton Economics International, who apparently had been selling short the silver market. His business became unraveled by the constant buying and rising price that he did not foresee. At the request of investigators the large participants were asked to reveal their intentions. It became clear that no crime was committed unless buying silver was made illegal. But unfortunately for Mr. Armstrong he had opened a can of worms. In the process of the investigation it was discovered that the money he used to sell short leveraged silver futures was from an alleged Ponzi scheme, perpetrated through his company's business. Armstrong was convicted for fraud and imprisoned for many years. He is currently a free man, and claims his innocence and that bigger fish who should have been prosecuted were left unscathed. Did Berkshire Hathaway manipulate the silver market, or were they just investors looking for a long term stake in this hard asset? A common point given to prove the benign intent of their position was its small size compared to the rest of BRK's portfolio – only 2% of the company's entire holdings. It was said that if the price of Coca Cola shares had dropped $5 at the time, it would have been a more significant loss to them than if silver went to zero dollar value. The point is that silver is more at risk of volatility, and attempted corners or squeezes, than its big brother gold. The principal reason is the volume of money ordinarily in the market place. Latest data from the London bullion market, where Warren Buffett took delivery of physical silver bars for Berkshire Hathaway's late 1990s' investment, says gold trading outdoes silver trading more than 9-fold by Dollar value on average. In the US Comex futures market, where the Hunt brothers got burnt having leveraged their position with borrowed money, the value of open interest – the amount of outstanding contracts – ended February 3 times greater in gold than in silver. Liquidity is a reference to this actual market size. The more people or businesses putting more money through a market, the easier and faster it is to buy and sell larger volumes without affecting the market price. Because the silver market is so small there are participants that will take the risk that they can make a big win in this game by taking a rather large stake whether by selling it short or buying the metal. Some win and some lose and some are big enough to cause the move. But in the end the real reason we see someone take a big shot in the silver market every so often is because they think they can make money doing it. |
| Jim Rickards: Gold Manipulation is Now So Obvious It Should Embarrass the Manipulators Posted: 28 Mar 2014 02:23 AM PDT "Gold closed firmly below both its 50 and 200 day moving averages yesterday" ¤ Yesterday In Gold & SilverIt was another day when not much happened during the Far East trading session---and volumes were microscopic. But as you already know, that all changed once London opened. At that point the gold price got sold down a bit more than six bucks---and I was expecting the worst when I got up late yesterday morning, but was much relieved to find out that the worst had already past. Gold rallied a bit until precisely 10 a.m. EDT in New York, before getting sold down for the remainder of the day. The CME Group recorded the high and low ticks at $1,307.60 and $1,289.60 in the April contract. Glancing at Friday morning activity in Hong Kong right now, I note that most of the trading activity is now in the new front month, which is June. Gold closed in New York on Thursday afternoon at $1,291.70 spot, down $14.10 from Thursday's close. Not surprisingly, gross volume was over the moon at 335,000 contracts, as all the large traders [except those standing for delivery] had to be out of their April positions by the Comex close yesterday. Net volume was a tiny 34,000 contracts. And, as an aside, the rest of the traders have to be out of their April positions by the end of the Comex session today. That applies to all Comex contracts, regardless of the commodity. The silver chart was a mini version of the gold chart---and after the 10 a.m. EDT rally got capped, the silver price traded pretty flat for the remainder of the day in New York. The high and low ticks were recorded as $19.87 and $19.575 in the May contract. Silver closed the Thursday session at $19.69 spot, down only 4.5 cents on the day. Considering the price action in early trading in London, I'd call yesterday's price action in New York a win. Volume, net of March and April, was 37,500 contracts, which wasn't a lot compared to other days. Platinum rallied ten bucks in the first two hours of trading in the Far East on their Thursday morning but, like gold and silver, once London opened the selling began, but ended at precisely 12 o'clock noon in New York. After that, the price gained a few bucks into the close, finishing down on the day by a handful of dollars. Of course, as I reported in The Wrap in yesterday's column, the long knives were out for palladium---and the metal was down over 3% in short order during the first hour of trading in London. The subsequent rally, such as it was, got cut off at the knees at 11 a.m. in New York. Then it got sold down to its absolute low of the day, which came minutes before 3 p.m. in electronic trading. Then, like platinum, it rallied a few dollars into the close. And just as a point of interest, the high/low in palladium in the June contract [the current front month] on Thursday was $782.20 and $756.35---an intraday move of 3.3%. The dollar index closed late on Wednesday afternoon at 80.006---and by the end of the Thursday session had chopped its way up to 80.13. Nothing to see here once again. The gold stocks opened down, but quickly rallied into positive territory, hitting their high of the day at 10 a.m. EDT on the dot. From there they sold off in fits and starts until the low was in shortly before 3 p.m. Then a buyer showed up and bid the stock back into positive territory---and the HUI closed up 0.81%. It was virtually the same price action in the silver equities as well---and Nick Laird's Intraday Silver Sentiment Index closed up 1.35%. The CME's Daily Delivery Report showed that zero gold and zero silver contracts were posted for delivery within the Comex-approved warehouses on Monday. As I said in this space yesterday, it was my opinion that the March delivery was complete as of Wednesday's report---and that has turned out to be the case. There were no reported changes in GLD yesterday---and as of 10:15 p.m. EDT yesterday evening, there were no reported changes in SLV, either. For the third week in a row, there was no in/out activity in SLV---and Joshua Gibbons' report is the same as it has been since early March---and this is what he had to say about it on his website last evening: "Analysis of the 26 March 2014 bar list, and comparison to the previous week's list. No bars were added, removed, or had serial number changes. As of the time that the bar list was produced, it was overallocated 99.8 troy ounces. All daily changes are reflected on the bar list. This is three straight weeks with no silver added or removed to SLV, the longest since we started keeping track in July, 2010." The link to Joshua's website is here. The U.S. Mint had a tiny sales report. They sold 25,000 silver eagles---and that was it. Over at the Comex-approved depositories on Wednesday, JPMorgan Chase reported receiving 160,750 troy ounces of gold---and if you divide that number by 32.15---which is the number of troy ounces in a kilobar of any precious metal---you come up with precisely 5 metric tonnes to the ounce. Nothing was reported shipped out. The link to that activity is here. There was pretty decent activity in silver, as nothing was reported received, but 764,360 troy ounces were reported shipped out for parts unknown. Most of the activity was at HSBC USA---and the link to that is here. I have an average number of stories for a weekday column---and there should be a couple in here that pique your interest. ¤ Critical Reads Judge Rules Goldman Must Face Lawsuit Over Mortgage SecuritiesA proposed class action by a Detroit pension fund accusing Goldman Sachs of misleading investors about mortgage-backed securities can go forward, a federal judge has ruled. Filed in 2010 by Detroit's police and fire retirement system, the lawsuit accused Goldman of misrepresenting the standards used to qualify borrowers for mortgage loans that were pooled into securities and bought by the fund. The lawsuit is one of thousands filed against Goldman and other banks over mortgage securities that collapsed in value in the wake of the 2007-2008 financial crisis. This Reuters story showed up on The New York Times website late yesterday evening---and today's first news item is courtesy of Phil Barlett.  Billions in Fines, but No Jail Time for Bank of AmericaBank of America has now joined JPMorgan Chase in a special category called: Banks That Agreed to Pay Billions in Fraud Fines While No Executives Have Gone to Jail. The company agreed to $9.5 billion in fines to settle civil lawsuits filed by the Federal Housing Finance Agency on behalf of Fannie Mae and Freddie Mac, which claimed that Bank of America had fraudulently misrepresented the quality of $57.5 billion worth of residential mortgage-backed securities leading into the financial crisis. Cash payments of $6.3 billion will be made to Fannie and Freddie, and the bank will buy back $3.2 billion of mortgage securities. This brings the grand total of what the bank has agreed to pay to resolve mortgage claims to more than $50 billion, according to Bloomberg News. Even with those eye-popping numbers, though, no criminal charges were ever filed against an executive at Bank of America or Countrywide Financial, the mortgage originator bought in 2008 that was the source of many of BofA’s problems. The government’s strategy for punishing big banks for the misdeeds of the financial crisis has revolved around filing civil lawsuits and imposing harsh financial penalties that ultimately fall on shareholders. I posted a story about this in yesterday's column---but I like the spin on this one better. It was posted on the businessweek.com Internet site yesterday sometime---and I thank Washington state reader S.A. for sending it our way. Dimon Gets 74 Percent Raise After Billions in FinesAfter agreeing to pay $23 billion in penalties and settlements in 2013, JPMorgan Chase Chief Executive Jamie Dimon was rewarded today by the board he chairs, receiving a 74 percent pay raise to $20 million. Dimon has presided over a series of costly settlements with government investigators, including paying $13 billion for mortgage activity that helped lead to the financial crisis and $2 billion for failing to do anything about signs that client Bernie Madoff was running a Ponzi scheme. But in the amoral logic of the stock market, each payout has been met with gains in the company’s stock price, as investors see one fewer uncertainty looming over future profits. Here’s a key point: That stock performance matters more to Dimon than headline pay figures. He’s sitting on a third of a billion dollars in JPMorgan shares. The shares he held at the beginning of 2013 increased almost $80 million over the course of the year—four times the official compensation announced today. He made more in one day, Nov. 8, than his entire 2012 salary of $11.5 million—which represented a 50 percent cut from 2011 as a rebuke for his oversight of a reckless multibillion-dollar trading loss at the bank’s London office. Even when the bank loses, Dimon gains. This is another article from the businessweek.com Internet site, this one datelined Monday---and it's also courtesy of Washington state reader S.A. Like the last story, this one is worth reading as well.  Obama says 'bigger nations cannot simply bully smaller ones'. Wait... what?President Obama's key speech in Brussels on Ukraine and attempts to isolate Russia appears to be an exercise of omission, mutually-exclusive statements and unveiled double standards. Here's a quick look at what Obama told an audience of some 2,000 people in his damning 30-minute speech. “Each of us has the right to live as we choose.” But it's true only for those good pro-European protesters in Kiev, who used firebombs and batons to make their point. The bad pro-Russian residents of Crimea are not allowed to, right? This very interesting article showed up on the Russia Today website later in the morning Moscow time---and it's the first offering of the day from Roy Stephens. It's worth your time.  What Happens if a U.S. President Stops Speaking, and Nobody Claps? ... does it mean that everyone saw right through the endless bluster, hollow rhetoric and empty promises of the man tasked with reading from a teleprompter, and currently in charge of one of the world's most totalitarian states? Because either someone is getting fired for forgetting to turn on the "applause" sign, or Europeans no longer care for the lies uttered by Obama on all topics NSA-related (and all other topics too). One wonders: how long until the U.S. president finally gets the same treatment in his own country? And Now the Real Economic Pain Begins as the IMF Unleashes $27BN Bailout in "Near Bankrupt" UkraineGazprom must really be demanding payment on overdue Ukraine invoices which is the only way we can explain the unprecedented speed with which the IMF has managed to cobble together a makeshift bailout package of up to $27 billion - the bulk of which will naturally go to Russia - which has just made Ukraine its latest vassal state. As Bloomberg reports, Kiev reached a staff-level agreement with the Washington-based lender for a two-year loan of $14 billion to $18 billion. The IMF’s board must still sign off on the package, Ukraine’s third since 2008, and the government needs to complete “prior actions” to receive the first installment. Approval is “expected in April, following the authorities’ adoption of a strong and comprehensive package of prior actions aiming to stabilize the economy and create conditions for sustained growth,” IMF mission chief Nikolay Gueorguiev said in the statement. Disbursement may start next month, he said at a news conference in Kiev. There are of course, conditions: "Approval is “expected in April, following the authorities’ adoption of a strong and comprehensive package of prior actions aiming to stabilize the economy and create conditions for sustained growth,” IMF mission chief Nikolay Gueorguiev said in the statement. Disbursement may start next month, he said at a news conference in Kiev." This longish Zero Hedge article was posted on their Internet site early yesterday morning EDT---and I thank reader M.A. for sending it along.  Ukraine's parliament passes anti-crisis law required for IMF bailoutUkraine's parliament on Thursday voted in favour of an anti-crisis law accepting austerity measures demanded by the International Monetary Fund as part of a $14-18 billion bailout package. Earlier, parliament deputies failed to support the draft law despite the entreaties of the government, but later returned after a recess and approved it with a vote of 246 - 20 more than the number required. The International Monetary Fund (IMF) has reached a working-level agreement with the Ukrainian leadership on opening a two-year credit worth from $14 billion to $18 billion, the IMF said in a press release. The International Monetary Fund has agreed to grant Ukraine between $14 billion and $18 billion to help the country avoid a default. The package is vital for securing further help from other international lenders like the World Bank and the EU. This similar, but updated---and much shorter story about the IMF bailout---was posted on the Voice of Russia website very late yesterday evening Moscow time---and it's another contribution to today's column from Roy Stephens.  Windfall for hedge funds and Russian banks as IMF rescues UkraineUkraine has secured an emergency bail-out of up to $18bn (£10.9bn) from the International Monetary Fund to stave off imminent default but will see no debt relief and will be forced to slash spending amid dangerous civil conflict. Critics say the package may be too small to stabilise the country as it spirals into depression with wafer-thin foreign reserves, and braces for a fuel shock as Russia’s Gazprom doubles the cost of energy in a move described by Washington as political harassment. Arseny Yatseniuk, Ukraine’s premier, said his country was “on the edge of economic and financial bankruptcy”, yet vowed to comply with demands for drastic austerity – including a 50pc rise in fuel prices – even if this proved a “kamikaze” mission. There will be no haircuts for creditors under the deal, unlike the EU-IMF formula in Greece and Cyprus. This amounts to a bail-out for Russian state banks and Western funds accused of propping up the previous regime and for vulture funds that bought Ukrainian debt cheaply for quick gain. All bailouts are put in place to save the banks that the failed country owes money to---and Ambrose Evans-Pritchard explains it all very well. This news item was posted on the telegraph.co.uk Internet site early yesterday evening GMT---and I found it over at the gata.org Internet site in the wee hours of this morning. Five Ukraine/Crimea/Russia-related stories 1. Military Cuts Render NATO Less Formidable as Deterrent to Russia: The New York Times 2. Vote by U.N. General Assembly Isolates Russia: The New York Times 3. European Banks Feel Effects of Crimea Crisis, With Austria Bearing Brunt: The New York Times 4. Pepe Escobar - Dimon Gets 74 Percent Raise After Billions in Fines Posted: 28 Mar 2014 02:23 AM PDT After agreeing to pay $23 billion in penalties and settlements in 2013, JPMorgan Chase Chief Executive Jamie Dimon was rewarded today by the board he chairs, receiving a 74 percent pay raise to $20 million. Dimon has presided over a series of costly settlements with government investigators, including paying $13 billion for mortgage activity that helped lead to the financial crisis and $2 billion for failing to do anything about signs that client Bernie Madoff was running a Ponzi scheme. But in the amoral logic of the stock market, each payout has been met with gains in the company’s stock price, as investors see one fewer uncertainty looming over future profits. Here’s a key point: That stock performance matters more to Dimon than headline pay figures. He’s sitting on a third of a billion dollars in JPMorgan shares. The shares he held at the beginning of 2013 increased almost $80 million over the course of the year—four times the official compensation announced today. He made more in one day, Nov. 8, than his entire 2012 salary of $11.5 million—which represented a 50 percent cut from 2011 as a rebuke for his oversight of a reckless multibillion-dollar trading loss at the bank’s London office. Even when the bank loses, Dimon gains. This is another article from the businessweek.com Internet site, this one datelined Monday---and it's also courtesy of Washington state reader S.A. Like the last story, this one is worth reading as well. |
| Posted: 28 Mar 2014 02:23 AM PDT  Three King World News Blogs 1. Ronald-Peter Stoferle: "Gold: 7 Astonishing Charts Exposing the Big Picture For Gold" 2. Gerald Celente [#1]: "Banker Suicides, Cover-Ups---and a Criminal Syndicate of Banks" 3. Richard Russell: "I am Buying Physical Right Now" 4. Gerald Celente [#2]: "Gerald Celente to Launch Occupy Peace Movement in the U.S." [Please direct any questions or comments about what is said in these interviews by either Eric King or his guests, to them, and not to me. Thank you. - Ed] |
| Jim Rickards: "$9,000/oz gold could back world currency" Posted: 28 Mar 2014 02:23 AM PDT Jim Rickards: "$9,000/oz gold could back world currency" A further collapse of the global economy and a resulting demise of the U.S. dollar as the reserve currency could trigger a move to the International Monetary Fund's (IMF) Special Drawing Rights, which may then be backed by gold at $9,000 per ounce, Rickards says. This short, but fact-filled book review from The Bullion Desk, was posted on the fastmarkets.com Internet site on Wednesday---and it's courtesy of reader Harold Jacobsen. |
| Jim Rickards: Gold manipulation is now so obvious it should embarrass the manipulators Posted: 28 Mar 2014 02:23 AM PDT  Jim Rickards: Gold manipulation is now so obvious it should embarrass the manipulators Fund manager, lawyer, geopolitical strategist, and author, the ubiquitous James G. Rickards, tells Sprott Money News this week that a forthcoming statistical study of prices on the New York Commodities Exchange demonstrates overwhelmingly that the gold price is manipulated and suppressed. As described by Rickards, the study sounds similar to the one done by the late GATA board member Adrian Douglas in 2010. "If I were running the manipulation," Rickards says, "I would actually be embarrassed at this point because it's so blatant." Governments are involved in the manipulation, Rickards adds, and they work through the Bank for International Settlements, whose annual report, as GATA often has noted, discloses that it intervenes in gold market constantly for its member central banks. The audio interview is runs for 28 minutes---and there's a full transcript as well. This must listen/read interview is embedded in this GATA release from yesterday---and the rest of what Chris Powell has to say is worth reading as well. |
| JPMorgan Defeats Appeal in U.S. Silver Price-Fixing Lawsuit Posted: 28 Mar 2014 02:23 AM PDT JPMorgan Defeats Appeal in U.S. Silver Price-Fixing Lawsuit Silver investors failed to show that JPMorgan Chase & Co conspired to drive down the metal's price, and an antitrust lawsuit accusing the largest U.S. bank of price-fixing should be dismissed, a federal appeals court ruled. The 2nd U.S. Circuit Court of Appeals said the investors, who traded COMEX silver futures and options contracts, failed to show that JPMorgan violated federal antitrust and commodities laws by having distorted silver prices at their expense between 2007 and 2010. Among the allegations were that the bank would amass huge short positions that market conditions did not justify, and make "fake" late-day trades when market volume was thin. Thursday's order upheld a March 2013 ruling by U.S. District Judge Robert Patterson, who also sits in Manhattan. This case was doomed to fail right from the start---and I said so, as did Ted Butler. It was almost like it was deliberately set up to fail, as the litigants were barking up the wrong tree. The lawsuit against the rigging of the London p.m. gold fix is also headed in that direction. Reader Phil Barlett was the first person through the door with this New York Times story yesterday. |
| Drought Spurs Mini-Gold Rush in California's Sierra Nevadas Posted: 28 Mar 2014 02:23 AM PDT  Drought Spurs Mini-Gold Rush in California's Sierra Nevadas There's gold in them dry hills! Or gold seekers anyway. And they see a historic opportunity in California's historic drought. Low water levels have led to a mini gold rush in the same Sierra Nevada foothills that drew legions of fortune seekers from around the world in the mid-1800s, as amateur prospectors dig for riverbed riches in spots that have been out of reach for decades. "With the drought going on, we're able to dig in more locations that wouldn't be accessible at later times," said Tim Amavisca, who wore waterproof overalls as he panned in the Bear River near Colfax with his teenage daughter on a recent Friday afternoon. I posted a story about this a month or more ago, but this one is far more interesting---and I thank West Virginia reader Elliot Simon for today's last story. |
| Gold Price Analysis- March 28, 2014 Posted: 28 Mar 2014 01:45 AM PDT dailyforex |
| Silver Forecast March 28, 2014, Technical Analysis Posted: 28 Mar 2014 01:30 AM PDT fxempire |
| Gold beats up the tech crowd but the fight isnt over yet Posted: 28 Mar 2014 01:20 AM PDT forexlive |
| Gold & Silver Trading Alert: From Bearish to More Bearish Posted: 28 Mar 2014 01:00 AM PDT SunshineProfits |
| Gold Prices March 28, 2014, Technical Analysis Posted: 28 Mar 2014 12:50 AM PDT fxempire |
| A Golden Opportunity Coming in Silver Posted: 28 Mar 2014 12:48 AM PDT Silver has been in a bear market for almost three years and the recent lack of strength suggests the metal could be headed for new lows. New lows are always bearish until the last one. Our technical work suggests that we should watch for a final low and end to the bear market in the coming months. This chart plots every major bear market in Silver dating back 45 years (excluding the 1980-1982 bubble bust). It plots them on the same time scale as the current bear market. Excluding the 1980-1982 bear market, we find that the current bear market is inline for being the worst bear market. It is already the fourth longest in time and close to the second worst in price. The current bear is very close to the 1983-1986 bear. This chart and the 1983-1986 bear suggest that if the current bear breaks to a new low then its final bottom could occur about one month later.
Silver has very strong trendline support on the daily chart around $17. If Silver breaks to a new low then it will run into this trendline support which dates back 11 years.
In the lower column we plot a 12-month rate of change for Silver. Note how it often reaches or comes close to 100%. After lows in 2003, 2005, 2008 and 2010 Silver gained 100% in a 12 month period. Moreover, following the 1983-1986 bear market which closely resembles the current bear, Silver rebounded 89% in 10 months. Following the 2008 low, Silver rebounded 84% in 11 months. Let's say Silver bottoms at $17.50 and rebounds 70% in 12 months. That would take it to $30. That would create huge upside in most silver stocks. Below is a chart of our proprietary silver producers index which contains 14 stocks and is partially weighted by market cap. It contains all of the large, important silver companies as well as junior producers. We didn't just pick the 14 best. This index recently peaked at neckline resistance and just below the 80-week moving average. Note how the 80-week moving average marked resistance in early 2012 and late 2012. A new bull market will only be confirmed when this index is able to surpass that confluence of resistance.
From a bird's eye view, the bear market in Silver is just about over while the bear market in silver stocks probably is over as we don't expect them to make a new low. However, the silver stocks won't break resistance and confirm a new bull market until Silver has bottomed. Our analysis shows that Silver's bear has a bit more to go in terms of price and time. We've laid out what we are looking for in Silver which is a new low and a bounce from 11-year trendline support. If that occurs at a time of extreme bearish sentiment then it is a buy signal. This prognosis, if correct means we have some time to research and patiently accumulate the best silver stocks which are positioned to benefit from a resumption of the secular bull market. If you'd be interested in learning about the companies poised to outperform, then we invite you to learn more about our service.
Good Luck!
Jordan Roy-Byrne, CMT The post A Golden Opportunity Coming in Silver appeared first on The Daily Gold. |
| Crude Oil Hits 3-Week High, Gold Selloff Continues Posted: 28 Mar 2014 12:40 AM PDT dailyfx |
| SILVER Prices Heading Lower As Bears Tighten Their Grip Posted: 28 Mar 2014 12:35 AM PDT goldsilverworlds |
| The Discovery of Gold in California by Gen. J.A. Sutter Posted: 27 Mar 2014 11:12 PM PDT SfMuseum |
| Gold market manipulation update, March 2014 Posted: 27 Mar 2014 11:04 PM PDT GATA |
| Gold manipulation is now so obvious it should embarrass the manipulators, Rickards says Posted: 27 Mar 2014 10:04 PM PDT GATA |
| Gold, silver: From bearish to more bearish Posted: 27 Mar 2014 07:25 PM PDT The decline in the precious metals sector continues, and it's spilling over into mining stocks. |
| Posted: 27 Mar 2014 03:43 PM PDT This article is submitted by Emma Thomson. Following the invasion of Crimea and the subsequent heightening of tensions between Russia and Ukraine, there was an increase in the price of gold as investors took a cautious approach to the markets. For much of March gold prices were seen trading higher than previous months. As reported by Reuters, there was a dip for a few days in March when Federal Reserve chairman Janet Yellen suggested the US central bank may increase its interest rates in the next six months, meaning there would be an incentive for consumers to invest their money in banks and building societies. Prior to that dip the metal had increased in value for six consecutive weeks giving a huge boost to the gold industry. The outlook for precious metal is bright with Gold futures for June delivery gaining 0.22 per cent to $1.314.40 an ounce. The price of investment-grade gold bullion has risen by 0.53pc since February 25, according to JPMorgan, reflecting its traditional status as a “safe haven” in troubled times. Julian Jessop of Capital Economics, the consultancy, said: “One of the few beneficiaries of the crisis in Ukraine is the price of gold." However, he warned that this sort of "safe haven buying" was traditionally short-lived. The trend towards the markets buying gold came under the spotlight following the real possibility that major world players may have become involved in the war in Syria last year. At the time, many analysts believed the gold price will climb as investors turn to it as a safe-haven in times of geopolitical crisis. This may be the case but whether this will matter once foreign military action begins, or even if it never begins, is an important question. Last autumn, as discussions surrounding Syria heated up the gold price climbed by as much as nine percent . However once the threat of involvement of the US and UK in military action began to subside then this increase dropped to six percent. Gold reached its highest ever price when it went above $1.900 per oz during July and August 2011. The value soared by $300 very quickly and soon went back to that price meaning that there is always a chance that you will not always make money on gold. History of war's effect on the marketThere have been many studies into why war or the threat of it has such an effect on the global economy. One of the enduring beliefs of the 20th Century and beyond is that war and its associated military spending has created positive economic outcomes for the U.S. economy – the world's largest. This theory has been backed up by polling in America which shows a significant number of people believe that war and military spending has improved the economy. In one of the most comprehensive studies ever carried out on the effects of war on economics, the Institute of Peace and Economics found that the trend for a conflict boosting the U.S's Gross Domestic Product (GDP) started with the Korean War (1950-53). However, this theory is challenged by some including the 1946 book Economics In One Lesson by 5 Henry Hazlitt who introduced the Broken Window Fallacy to the world. He said that people would argue that if a vandal smashed a shop window that would aid the local economy as the shopkeeper would be forced to buy his new window locally. This money would then circulate around that economy. However, Hazlitt argued that the same shopkeeper would have spent his money elsewhere in the local economy, meaning the theory was flawed. Where else to invest?The fact is gold is most definitely seen as a smart investment by most but are there other places to put your money? The past five years of near global economic uncertainty has seen a surge in interest from people trying to find the best financial and investment advice. Investment trusts are a superb way to put your money into multiple shares so that you can spread your investment however you see fit, all the while keeping it safe if one investment falls. There is also free, non commercial, consumer advice out there for people worried about how to look after the case with the Citizens Advice Bureau renowned for offering guidance. Many local councils now offer financial advice with some authorities even launching their own credit unions in a bid to stop people using loan sharks. The Government's political rivals have made much of the economic turn around being centered on a house price bubble in London and the South East but following years of doom and gloom, prices are finally started to rise last year. According to the Office for National Statistics, values rose by 3.1 per cent in the year to June 2013, compared to 2.9 per cent in the year to May 2013. Confirmation comes from the Royal Institution of Chartered Surveyors (RICS), which says that prices are rising at their fastest rate since the pre-crash days of 2006. There are plenty of companies out there urging would-be investors to use some of their spare capital and buy property. If you are feeling brave you could invest in stock and shares but before taking on the London Stock Exchange there are a few golden rules to adhere to for average investors. Investors need to ensure they are not paying too much money for brokers to purchase their investment, if you get a good dividend reinvest using a proper reinvestment plan and try to invest in the market at regular intervals. For investors of any experience it is important to get these rules right. New investors often get confused by complicated rules right from the start. The online market is a crowded one so investors are urged to do their research and ideally do business with an organisation that they have heard of. References“The Gold Industry Explained,” Accessed March 26, 2014 |
| Silver Prices Heading Lower As Bears Tighten Their Grip Posted: 27 Mar 2014 03:34 PM PDT Every picture tells a story and silver's story is not a pretty one as the above chart clearly depicts.
I'm not convinced that the June low was the final low for this prolonged bear period that currently exists within this precious metals bull market. A final capitulation could be on the cards and arrive sometime this summer, maybe May/June time. The USD refuses to trade below the '79' level even though it has tested this level no less than six times over the last two years. We keep asking the question; Is this the 'real deal' or another head fake? The 2014 rally has all but fizzled out as silver has given back the gains it made from January to mid-February. I am a silver bull, but not a perma-silver bull, as I believe there is a time to be fully invested and a time to be on the side lines. In our very humble opinion now is not the time to be Cavalier especially as we enter the relatively inactive summer season for both silver and gold. The lion's share of our portfolio is in cash as we patiently wait for the real bottom to form and the opportunity to buy at bargain price levels. We are aware that this down trend has been in place for three years and as such has tested everyone's patience to the extreme. However, that's not a reason to aggressively hit the acquisition trail. Patience is the word of the day and also use this time to do your own due diligence in terms of which stocks are good quality and should be acquired when the time comes and which stocks to avoid.
Bob Kirtley | www.gold-prices.biz | bob@gold-prices.biz |
| March 27.2014/GLD no change in gold inventory/SLV no change/gold and silver whacked again Posted: 27 Mar 2014 03:33 PM PDT |
| Time to Re-Visit a Recent Thought Experiment Posted: 27 Mar 2014 03:01 PM PDT Recent Comex gold vault activity causes us to re-examine an issue first discussed last autumn. |
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