Gold World News Flash |
- Gold & Silver Smashed As Incredible Events Unfold In Europe
- Celente - The Vampire Squid, Gold & The Global Ponzi Scheme
- Guest Post: The Slow Death Of The Old Global Order
- Buying Gold and Silver At These Prices Is A Very Safe Investment
- Ukraine Slipping Into A Civil War Which Will Lead To A World War?
- The Gold Price Dropped $27.20 Closing at $1,300
- The Gold Price Dropped $27.20 Closing at $1,300
- This Is How Free Americans Really Are
- Roberts, Leeb see trouble ahead for gold price suppression
- Koos Jansen: Shanghai Gold Exchange withdrawals equal Chinese gold demand, Part 3
- Gold Sell-Off Reminiscent of a Year Ago
- Gold Daily and Silver Weekly Charts - From Sea to Shining Sea
- Gold Daily and Silver Weekly Charts - From Sea to Shining Sea
- Silver, Gold, and What Could Go Wrong
- Paul Craig Roberts Warns U.S. Now Close To Total Collapse
- How I Intend to Survive the Meltdown of America
- Gold Price Consolidation
- Gold Price Consolidation
- What Were We Thinking?
- What Were We Thinking?
- Out of the Stocks, Into the Miners
- Out of the Stocks, Into the Miners
- Pepe Escobar : China & Russia teaming to destroy The Dollar
- The Real Purpose Of QE - It’s Not Employment
- Wall Street Journal spins a gold-bullish report to bearish
- Zero Hedge: Gold futures halted again on latest furious slamdown
- Gold is the world’s only ultimate asset
- Gold & Silver Smashed As Incredible Events Unfold In Europe
- Why Gold? 85% of Pension Funds Will Go Bust in 30 Years
- Why Gold? 85% of Pension Funds Will Go Bust in 30 Years
- Is Silver In A Bull Or Bear Market?
- Gold Crash Anniversary Day
- Gold drops 1%, down from highs on strong dollar
- Chinese take-away – WGC study leaves many questions unanswered
- Bulgaria recovers ancient gold artefacts from smugglers
- Jim’s Mailbox
- The Reason Gold, Silver & Commodities Are Getting Smashed
- Silver, Gold, and What Could Go Wrong
- 14 Firms to Watch Based on Friday’s Jobs Report
- China and gold: the most, biggest, best
- Gold paves streets for China's rising urban middle classes
- Hardly a mention of central banks in FT report on London gold fix
- Weak China Data Sees Gold Prices Sink 2.7% on Anniversary of Worst Crash in 3 Decades
- Tuesday Morning Links
- China gold demand seen rising 25% by 2017 as buyers get wealthier
- Gerald Celente -- Financial Meltdown 2014
- How to Invest in, Buy, Sell, Store and Insure Precious Metals in Canada
- China's Gold Demand "Faces 3 Risks" to 20% Growth
- China's Gold Demand "Faces 3 Risks" to 20% Growth
- Understanding (and Ignoring) the Media Bandwagon Against Gold
| Gold & Silver Smashed As Incredible Events Unfold In Europe Posted: 15 Apr 2014 10:30 PM PDT from KingWorldNews:
Instead of China growing at 7.3 percent, maybe they will grow at 7 percent. How many times in its history has the United States grown 7 percent in a year? But I still think 7 percent is a lowball figure for China. | ||||||||||||||||||||||||||||||||||||||||||||||||||||
| Celente - The Vampire Squid, Gold & The Global Ponzi Scheme Posted: 15 Apr 2014 09:01 PM PDT  With continued turmoil across the globe, today the top trends forecaster in the world spoke with King World News about the Vampire Squid known as Goldman Sachs, gold, and the great global Ponzi scheme. Below is what Gerald Celente, founder of Trends Research and the man considered to be the top trends forecaster in the world, had to say in this fascinating interview.This posting includes an audio/video/photo media file: Download Now | ||||||||||||||||||||||||||||||||||||||||||||||||||||
| Guest Post: The Slow Death Of The Old Global Order Posted: 15 Apr 2014 07:41 PM PDT Submitted by Robert Merry via The National Interest, In the spring of 2012, The National Interest produced a special issue under the rubric of “The Crisis of the Old Order: The Crumbling Status Quo at Home and Abroad.” The thesis was that the old era of relative global stability, forged through the crucibles of the Great Depression and World War II, was coming unglued. In introducing the broad topic to readers, TNI editors wrote, “Only through a historical perspective can we fully understand the profound developments of our time and glean, perhaps only dimly, where they are taking us. One thing is clear: they are taking us into a new era. The only question is how much disruption, chaos and bloodshed will attend the transition from the Old Order to whatever emerges to replace it.” Since publication of that special issue of the magazine, events have seemed to bolster the thesis that the current global situation and the American domestic political situation are inherently unstable, and stability will return only with the emergence of some kind of new order. Leaving aside the U.S. domestic scene for purposes of this digression, the gathering global crisis got a penetrating survey the other day from William Pfaff, the longtime geopolitical analyst for the International Herald Tribune (recently renamed the International New York Times). Pfaff said the world faces an “international disorder unmatched since the interwar 1930s,” fostered by the ongoing Ukraine crisis, the “self-destructive forces” of the Israeli-Palestinian conflict, growing instability within the world of Islam, and the “serious risk of collapse” of the European Union. Pfaff notes with a small measure of relief that the world isn’t beset these days by ideological dictatorships on the march or any new waves of totalitarianism. Today’s problems, he says, are merely “confusion, incompetence, and intellectual and moral disorder.” He adds: “But these are bad enough, in an over-armed world.” What’s most troubling about all this is that today’s national leaders seem utterly lacking in any serious consciousness of just how dangerous the global situation is. The current Ukraine crisis , for example, is the product of a long-term Western tendency (the word “strategy" hardly qualifies here, given the lack of any coherent logic involved) to push eastward through what once were the buffer territories of Eastern Europe and press right up to the Russian border. Though highly provocative, this didn’t generate any serious crisis when Russia remained weak after the Soviet collapse and the eastward push didn’t extend into territories that for centuries had been part of Russia’s traditional sphere of influence. But the United States, European Union and NATO remained blithely unmindful of the consequences when they kept pushing as Russia gained sufficient power to resist incursions into its areas of crucial national interest. What were the leaders of these Western entities thinking? Pfaff puts that question a little differently: “Why Should Slavic and Orthodox-Uniate Ukraine, its history painfully intertwined with Russia’s, be made a member of what was and still essentially is Charlemagne’s post–Roman Europe?” With one sentence he places today’s sordid events surrounding Ukraine into a broad historical perspective of more than a millennium. For that matter, adds Pfaff, “Why does Turkey belong in Christian Europe?" He wonders if President Obama, should he be asked such questions, could give a considered and historically grounded answer. “Or does the machinery of foreign-policy making grind relentlessly along behind Mr. Obama’s back, or beyond his attention?” Good question. And it’s particularly intriguing given the machinations of that meddling bureaucrat, Victoria Nuland, Assistant Secretary of State for European and Eurasian Affairs, who worked behind the scenes to foment the uprising that eventually ousted the duly-elected Ukrainian president, Viktor Yanukovych. She even identified the man who should replace Yanukovych after his ouster and—presto!—he did indeed emerge as Ukraine’s interim leader. It turns out that the United States has spent some $5 billion in fostering “democratic institutions” in Ukraine designed to nudge the country away from Russian sway. Saner heads would have understood just how dangerous this kind of activity can be. And so some questions intrude: Did anyone in the State Department inform President Obama that this was going on? If anyone had, would the president or his informant have understood the potentially incendiary nature of such diplomatic intrusiveness? Or was the president simply left in the dark, as Pfaff has suggested, while his minions engaged in activity destined to create an unnecessary crisis in U.S.-Russian relations and possibly unleash destabilizing ethnic tensions in a crucial corner of the world? For historical perspective, it’s worth noting that we look back now with a certain disdain upon the heads of state grappling with events leading to World War I. Those events ended a century of relative stability and peace in Europe, and the men who let that grand epoch pass are seen in history as hapless, out of touch, even stupid. In fact, they weren’t stupid, but they were out of touch and that rendered them hapless in the face of events they didn’t understand. President Obama and those around him aren’t stupid either, but they don’t seem to understand the nature of our time and the challenges posed by a fading era. They seem incapable of grappling with the kinds of broad historical questions posed by William Pfaff. But the problem doesn’t reside only with the current administration. There seems to be a zeitgeist in play that retards the ability of our leaders and intellectuals to grasp the transformative nature of our time and hence the havoc besetting the globe. Pfaff is equally hard on George W. Bush and his father, George H. W. Bush, particularly regarding what he calls “the Muslim conflagration.” He writes: “Iraq, Syria, Egypt, Libya, Yemen, Lebanon, Afghanistan, Pakistan—in all of them, a President Bush, or President Obama, together with his accomplices, has passed their way, sowing annihilation." He’s right, of course, and equally correct in dismissing the ongoing efforts by U.S. officials to find a solution to the Israeli-Palestinian conflict “in the face of the manifest unwillingness of Israel to allow the conflict to be solved on any terms that do not expel all the Palestinians from the Palestinian Occupied Territories, and award these to Israel (God’s lands, therefore Zionist Israel’s: Sheldon Adelson, sales agent)." One could argue that it isn’t in America’s interest to push Israel on this matter, though that is eminently debatable. More to the point, though, is the haplessness of a nation continually going back to the well with high expectations of finding water, when in fact the well has been dry for decades. That kind of behavior by any nation denotes a clear lack of seriousness. Seriousness is what the times call for. We are living through a crisis of the old order, and it demands new thinking, new cautions, new understandings of the profound challenges of this pregnant historical interregnum. If Western leaders continue along the course they’ve been on in the post-Cold War period, they are likely to go down in history in much the same light as those sadly obtuse leaders who presided over the onset of World War I. | ||||||||||||||||||||||||||||||||||||||||||||||||||||
| Buying Gold and Silver At These Prices Is A Very Safe Investment Posted: 15 Apr 2014 07:40 PM PDT by David Schectman, MilesFranklin.com:
But I take offense when someone makes insulting remarks and mocks anyone who would actually pay for being told to buy gold and silver, investments that he gleefully points out have lost a great deal of money lately. | ||||||||||||||||||||||||||||||||||||||||||||||||||||
| Ukraine Slipping Into A Civil War Which Will Lead To A World War? Posted: 15 Apr 2014 07:10 PM PDT Spain and many other countries are now in an unemployment crisis. Gold is being slammed down by the central banks. Home builder confidence is now declining and housing is imploding. The FBI is now blocked investigating Harry Reid in the Nevada land grab. The post office is now hording... [[ This is a content summary only. Visit http://www.GoldSilverNewsBlog.com or http://www.newsbooze.com or http://www.figanews.com for full links, other content, and more! ]]  | ||||||||||||||||||||||||||||||||||||||||||||||||||||
| The Gold Price Dropped $27.20 Closing at $1,300 Posted: 15 Apr 2014 04:52 PM PDT
The GOLD PRICE dropped $27.20 (2.1%) to $1,300 while the SILVER PRICE erased 52.1 cents to close Comex at 1947.8c. For the gold price, two outcomes are possible. First is a return to or near the April low ($1,277.40). Second is a drop to a lower low, $1,240 - $1,260. Yet a third possible outcome is that the June and December lows were not a double bottom and one further drop may come. I account that the least likely, and look for a low here by the end of the week, but I'm no more'n a nacheral born durnd fool from Tennessee, so what do I know? Silver and GOLD PRICES have come unsynchronized. Silver's drop today wrecked the 1960c support, and sets the stage for a spike to next support about 1897c. This should come fast, next three or so days. You'd think that an institution charged with promoting the gold industry would produce reports that at least cast the best light on gold's prospects. You'd think wrong, if you're thinking about the World Gold Council. They've been negative on gold for, oh, the last 14 years or so. Today they issued a report that contained a nugget about Chinese business using physical gold as collateral for bank credit ($40 bn worth) but they managed to tease a gloomy forecast even out of this inventive monetary use. That and bad economic news out of China appeared to be the catalyst for gold's drop today. But when the drop is ready, the cause appears. That fall was likely already in the market, and the report, plus jitters over the first anniversary of the April Massacre in gold and silver last year, furnished an excuse. I had been thinking that the gold price had possibly completed a three leg (A-B-C) correction, but clearly another leg remains. That began today. Stocks recovered a bit today. Dow Closed at 16,262.56, up 89.2 (0.6%) and even jumped over its 50 DMA. S&P500 lifted 12.37 (0.7%) to 1,842.98, but not above its 50 DMA. Nasdaq Comp nearly touched its 200 DMA at 3,942.51 when it hit a low of 3,946.03, then turned up. Did that surprise anybody, that buyers were lurking at the 200 DMA? Stocks have suffered brutal technical damage. I suspect we will look back and see the early -2014 new all time highs as the peaks in stocks, although I still expect one last peak, maybe lower, maybe higher, in May. Although the US Dollar index rose only 6 basis points (0.7%) to 79.89, clearly money has flown into US treasuries because they are higher and the yield on the 10 year treasury is trying to break down, indeed, has broken down. Copper fell off the cliff with the bad news out of China, and closed at $2.99. Nasty break. The other scabrous, disgusting fiat currencies did nothing today, and the Central banking criminals were quiet. Y'all keep your heads. Lift your eyes to the horizon. In the next few days the market will hand you a superb buying opportunity in silver and gold. Get locked and loaded. Please remember I will be away the rest of the week attending a grazing seminar. I won't be sending commentaries, but will return on Easter Tuesday. Y'all have a blessed Easter celebration! Aurum et argentum comparenda sunt -- -- Gold and silver must be bought. - Franklin Sanders, The Moneychanger The-MoneyChanger.com © 2014, The Moneychanger. May not be republished in any form, including electronically, without our express permission. To avoid confusion, please remember that the comments above have a very short time horizon. Always invest with the primary trend. Gold's primary trend is up, targeting at least $3,130.00; silver's primary is up targeting 16:1 gold/silver ratio or $195.66; stocks' primary trend is down, targeting Dow under 2,900 and worth only one ounce of gold or 18 ounces of silver. or 18 ounces of silver. US $ and US$-denominated assets, primary trend down; real estate bubble has burst, primary trend down. WARNING AND DISCLAIMER. Be advised and warned: Do NOT use these commentaries to trade futures contracts. I don't intend them for that or write them with that short term trading outlook. I write them for long-term investors in physical metals. Take them as entertainment, but not as a timing service for futures. NOR do I recommend investing in gold or silver Exchange Trade Funds (ETFs). Those are NOT physical metal and I fear one day one or another may go up in smoke. Unless you can breathe smoke, stay away. Call me paranoid, but the surviving rabbit is wary of traps. NOR do I recommend trading futures options or other leveraged paper gold and silver products. These are not for the inexperienced. NOR do I recommend buying gold and silver on margin or with debt. What DO I recommend? Physical gold and silver coins and bars in your own hands. One final warning: NEVER insert a 747 Jumbo Jet up your nose. | ||||||||||||||||||||||||||||||||||||||||||||||||||||
| The Gold Price Dropped $27.20 Closing at $1,300 Posted: 15 Apr 2014 04:52 PM PDT
The GOLD PRICE dropped $27.20 (2.1%) to $1,300 while the SILVER PRICE erased 52.1 cents to close Comex at 1947.8c. For the gold price, two outcomes are possible. First is a return to or near the April low ($1,277.40). Second is a drop to a lower low, $1,240 - $1,260. Yet a third possible outcome is that the June and December lows were not a double bottom and one further drop may come. I account that the least likely, and look for a low here by the end of the week, but I'm no more'n a nacheral born durnd fool from Tennessee, so what do I know? Silver and GOLD PRICES have come unsynchronized. Silver's drop today wrecked the 1960c support, and sets the stage for a spike to next support about 1897c. This should come fast, next three or so days. You'd think that an institution charged with promoting the gold industry would produce reports that at least cast the best light on gold's prospects. You'd think wrong, if you're thinking about the World Gold Council. They've been negative on gold for, oh, the last 14 years or so. Today they issued a report that contained a nugget about Chinese business using physical gold as collateral for bank credit ($40 bn worth) but they managed to tease a gloomy forecast even out of this inventive monetary use. That and bad economic news out of China appeared to be the catalyst for gold's drop today. But when the drop is ready, the cause appears. That fall was likely already in the market, and the report, plus jitters over the first anniversary of the April Massacre in gold and silver last year, furnished an excuse. I had been thinking that the gold price had possibly completed a three leg (A-B-C) correction, but clearly another leg remains. That began today. Stocks recovered a bit today. Dow Closed at 16,262.56, up 89.2 (0.6%) and even jumped over its 50 DMA. S&P500 lifted 12.37 (0.7%) to 1,842.98, but not above its 50 DMA. Nasdaq Comp nearly touched its 200 DMA at 3,942.51 when it hit a low of 3,946.03, then turned up. Did that surprise anybody, that buyers were lurking at the 200 DMA? Stocks have suffered brutal technical damage. I suspect we will look back and see the early -2014 new all time highs as the peaks in stocks, although I still expect one last peak, maybe lower, maybe higher, in May. Although the US Dollar index rose only 6 basis points (0.7%) to 79.89, clearly money has flown into US treasuries because they are higher and the yield on the 10 year treasury is trying to break down, indeed, has broken down. Copper fell off the cliff with the bad news out of China, and closed at $2.99. Nasty break. The other scabrous, disgusting fiat currencies did nothing today, and the Central banking criminals were quiet. Y'all keep your heads. Lift your eyes to the horizon. In the next few days the market will hand you a superb buying opportunity in silver and gold. Get locked and loaded. Please remember I will be away the rest of the week attending a grazing seminar. I won't be sending commentaries, but will return on Easter Tuesday. Y'all have a blessed Easter celebration! Aurum et argentum comparenda sunt -- -- Gold and silver must be bought. - Franklin Sanders, The Moneychanger The-MoneyChanger.com © 2014, The Moneychanger. May not be republished in any form, including electronically, without our express permission. To avoid confusion, please remember that the comments above have a very short time horizon. Always invest with the primary trend. Gold's primary trend is up, targeting at least $3,130.00; silver's primary is up targeting 16:1 gold/silver ratio or $195.66; stocks' primary trend is down, targeting Dow under 2,900 and worth only one ounce of gold or 18 ounces of silver. or 18 ounces of silver. US $ and US$-denominated assets, primary trend down; real estate bubble has burst, primary trend down. WARNING AND DISCLAIMER. Be advised and warned: Do NOT use these commentaries to trade futures contracts. I don't intend them for that or write them with that short term trading outlook. I write them for long-term investors in physical metals. Take them as entertainment, but not as a timing service for futures. NOR do I recommend investing in gold or silver Exchange Trade Funds (ETFs). Those are NOT physical metal and I fear one day one or another may go up in smoke. Unless you can breathe smoke, stay away. Call me paranoid, but the surviving rabbit is wary of traps. NOR do I recommend trading futures options or other leveraged paper gold and silver products. These are not for the inexperienced. NOR do I recommend buying gold and silver on margin or with debt. What DO I recommend? Physical gold and silver coins and bars in your own hands. One final warning: NEVER insert a 747 Jumbo Jet up your nose. | ||||||||||||||||||||||||||||||||||||||||||||||||||||
| This Is How Free Americans Really Are Posted: 15 Apr 2014 04:03 PM PDT Submitted by Simon Black of Sovereign Man blog, Americans: This Is How Free You Really Are Among all the great stories and conversations passed down from the ages, probably my favorite is one from the ancient historian Lucius Cassius Dio about Roman emperor Caracalla. Caracalla ruled in the second century AD, and he was notorious for bankrupting the Roman treasury and waging costly, unnecessary wars. Dio tells us that Caracalla made “one excuse after another and one war after another; but he made it his business to strip, despoil, and grind down all the rest of mankind.” Under Caracalla, Rome was broke. And Dio recounts a story between the emperor and his mother Julia: Julia to the emperor: “There is no longer any source of revenue, either just or unjust, left to us.” The emperor replied, pointing to his sword, “Be of good cheer, mother: for as long as we have this [the sword], we shall not run short of money.” Caracalla’s words summed up Roman tax policy at the time. It is perhaps not too far from modern tax policy either. Today is tax day in the Land of the Free– the deadline for roughly 150 million individual tax returns to be filed. Of course, those who refuse will be hauled off to prison at the point of a gun (we’ve advanced beyond swords). And everybody knows it. The IRS is legendary in this respect. Those three simple letters inspire fear, dread, and panic across the world. The IRS “brand” is probably almost as famous as Coca Cola… but for all the wrong reasons. It seems completely incongruent for a nation that is supposed to stand for the ideals of freedom and justice to be world famous for its medieval prosecution of tax policy. And there’s one clear example that I want to tell you about today. If you are a US taxpayer with foreign financial accounts (such as a bank, brokerage, or potentially even a gold storage account overseas), there’s a fairly new disclosure form that you must file to the IRS today along with your 1040. It’s called form 8938. And if you’ve never heard about it, I definitely recommed you speak to your tax advisor pronto. Like all of these other tax forms, they threaten you with all sorts of fees, interest, penalties, and of course, jail time. (The US is one of the only civilized countries in the world where taxation creates -criminal- liability. Again, totally incongruent.) What’s interesting about this is that it’s possible there could be certain instances and certain places in the world where the local privacy laws could make it -illegal- to disclose this information to the IRS. But the US government doesn’t care. And on page 7 of the instructions for form 8938, they say that even if “a foreign jurisdiction would impose a civil or criminal penalty on you if you disclose the required information,” then they still expect you to file the form. File the form and go to jail. Don’t file the form and go to jail. Is this really what a ‘free society’ puts its citizens through? | ||||||||||||||||||||||||||||||||||||||||||||||||||||
| Roberts, Leeb see trouble ahead for gold price suppression Posted: 15 Apr 2014 03:54 PM PDT 6:45p ET Tuesday, April 15, 2014 Dear Friend of GATA and Gold: Former Assistant U.S. Treasury Secretary Paul Craig Roberts tells King World News that the United States may lose control of the gold price if Russia withdraws from the Western bank payments system: http://kingworldnews.com/kingworldnews/KWN_DailyWeb/Entries/2014/4/15_Pa... And fund manager Stephen Leeb tells KWN that China, having to hedge $4 trillion in a foreign exchange surplus, will continue to underwrite monetary metals and commodity prices: http://kingworldnews.com/kingworldnews/KWN_DailyWeb/Entries/2014/4/15_Go... CHRIS POWELL, Secretary/Treasurer ADVERTISEMENT Buy metals at GoldMoney and enjoy international storage GoldMoney was established in 2001 by James and Geoff Turk and is safeguarding more than $1.7 billion in metals and currencies. Buy gold, silver, platinum, and palladium from GoldMoney over the Internet and store them in vaults in Canada, Hong Kong, Singapore, Switzerland, and the United Kingdom, taking advantage of GoldMoney's low storage rates, among the most competitive in the industry. GoldMoney also offers delivery of 100-gram and 1-kilogram gold bars and 1-kilogram silver bars. To learn more, please visit: http://www.goldmoney.com/?gmrefcode=gata Join GATA here: Porter Stansberry Natural Resources Conference Committee for Monetary Research and Education http://www.cmre.org/news/spring-meeting-2014/ Canadian Investor Conference 2014 http://cambridgehouse.com/event/25/canadian-investor-conference-2014-inc... New Orleans Investment Conference https://jeffersoncompanies.com/new-orleans-investment-conference/home * * * Support GATA by purchasing DVDs of our London conference in August 2011 or our Dawson City conference in August 2006: http://www.goldrush21.com/order.html Or by purchasing a colorful GATA T-shirt: Or a colorful poster of GATA's full-page ad in The Wall Street Journal on January 31, 2009: http://gata.org/node/wallstreetjournal Help keep GATA going GATA is a civil rights and educational organization based in the United States and tax-exempt under the U.S. Internal Revenue Code. Its e-mail dispatches are free, and you can subscribe at: To contribute to GATA, please visit: ADVERTISEMENT Silver mining stock report for 2014 comes with 1-ounce silver round Future Money Trends is offering a special 18-page silver mining stock report about how to profit with the monetary and industrial metal in 2014, and it comes with a free 1-ounce silver round. Proceeds from the report's sales are shared with the Gold Anti-Trust Action Committee to support its efforts to expose manipulation in the monetary metals markets. To learn about this report, please visit: | ||||||||||||||||||||||||||||||||||||||||||||||||||||
| Koos Jansen: Shanghai Gold Exchange withdrawals equal Chinese gold demand, Part 3 Posted: 15 Apr 2014 03:32 PM PDT 6:30p ET Tuesday, April 15, 2014 Dear Friend of GATA and Gold: Gold researcher and GATA consultant Koos Jansen tonight provides his most detailed review yet of China's gold demand and explains why he thinks it is not as much as recently estimated by GoldMoney research director Alasdair Macleod. Jansen's commentary is headlined "Shanghai Gold Exchange Withdrawals Equal Chinese Gold Demand, Part 3" and it's posted at his Internet site, In Gold We Trust, here: http://www.ingoldwetrust.ch/sge-withdrawals-equal-chinese-gold-demand-pa... CHRIS POWELL, Secretary/Treasurer ADVERTISEMENT Buy precious metals free of value-added tax throughout Europe Europe Silver Bullion is a fast-growing dealer sourcing its products from renowned mints, refiners, and distributors. Because of a legal loophole that will close soon, you can acquire the world's most popular bullion coins free of value-added tax throughout the European Union. You can collect your order in person at our headquarters in Tallinn, Estonia, or have it delivered in any of the 28 EU countries. Europe Silver Bullion is owned and operated by North American and European experts in selling, storing, and transporting precious metals. We have an extensive product inventory of silver, gold, platinum, and palladium, and our network spans the world. Visit us at www.europesilverbullion.com. Join GATA here: Porter Stansberry Natural Resources Conference Committee for Monetary Research and Education http://www.cmre.org/news/spring-meeting-2014/ Canadian Investor Conference 2014 http://cambridgehouse.com/event/25/canadian-investor-conference-2014-inc... New Orleans Investment Conference https://jeffersoncompanies.com/new-orleans-investment-conference/home * * * Support GATA by purchasing DVDs of our London conference in August 2011 or our Dawson City conference in August 2006: http://www.goldrush21.com/order.html Or by purchasing a colorful GATA T-shirt: Or a colorful poster of GATA's full-page ad in The Wall Street Journal on January 31, 2009: http://gata.org/node/wallstreetjournal Help keep GATA going GATA is a civil rights and educational organization based in the United States and tax-exempt under the U.S. Internal Revenue Code. Its e-mail dispatches are free, and you can subscribe at: To contribute to GATA, please visit: ADVERTISEMENT Safe and Private Allocated Bullion Storage In Singapore Given the increasing risks in financial markets, it is more important than ever to own physical bullion coins and bars and to store them in the safest vaults in the world in the safest jurisdictions in the world. Gold advocates Jim Sinclair and Marc Faber have recommended Singapore. Now, with GoldCore, you can own coins and bars in fully insured, segregated, and allocated accounts in Singapore with the ability to take delivery. Learn more by downloading GoldCore's Essential Guide To Storing Gold In Singapore: http://info.goldcore.com/essential-guide-to-storing-gold-in-singapore And for more information call Daniel or Sharon at +44 203 0869200 in the United Kingdom or at +1-302-635-1160 in the United States. Or email them at info@goldcore.com. | ||||||||||||||||||||||||||||||||||||||||||||||||||||
| Gold Sell-Off Reminiscent of a Year Ago Posted: 15 Apr 2014 01:32 PM PDT This World Gold Council report about demand for the precious metal in China was blamed for much of today’s sell-off, a move lower that brought back memories of what happened exactly one year ago, on April 15th, 2013, when the gold price plunged more than $150 an ounce, this following a free-fall of almost $100 [...] | ||||||||||||||||||||||||||||||||||||||||||||||||||||
| Gold Daily and Silver Weekly Charts - From Sea to Shining Sea Posted: 15 Apr 2014 01:18 PM PDT | ||||||||||||||||||||||||||||||||||||||||||||||||||||
| Gold Daily and Silver Weekly Charts - From Sea to Shining Sea Posted: 15 Apr 2014 01:18 PM PDT | ||||||||||||||||||||||||||||||||||||||||||||||||||||
| Silver, Gold, and What Could Go Wrong Posted: 15 Apr 2014 01:09 PM PDT Richard Russell is almost 90 years old and has seen it all. He recently stated: “My advice, as it has been, is to move to the sidelines while holding large positions in physical silver and gold. Regardless of what the markets do, silver and gold represent eternal wealth, and the bid to sleep undisturbed at night. No amount of money is worth the loss of peace of mind. The power of gold opened the American West and populated Alaska. Men have spent their lives searching for gold. You can own gold by the simple action of swapping Federal Reserve notes for the yellow metal. I advise you to do it.” Richard Russell – April 10, 2014 | ||||||||||||||||||||||||||||||||||||||||||||||||||||
| Paul Craig Roberts Warns U.S. Now Close To Total Collapse Posted: 15 Apr 2014 01:06 PM PDT  Today former US Treasury official, Dr. Paul Craig Roberts, warned King World News that the United States is now close to total collapse. Dr. Roberts also accused Goldman Sachs and the Fed of being totally corrupt as they desperately maneuver to try to prevent the collapse of the SWIFT payment system, and he also blasted Goldman Sachs for reiterating its call for $1,050 gold. Below is what Dr. Roberts had to say in this powerful interview.This posting includes an audio/video/photo media file: Download Now | ||||||||||||||||||||||||||||||||||||||||||||||||||||
| How I Intend to Survive the Meltdown of America Posted: 15 Apr 2014 12:57 PM PDT By Louis James, Chief Metals & Mining Investment Strategist It is with a troubled heart that I look at the continued fighting in eastern Ukraine. I worry about my friends and students in the country who may well be in physical danger soon, if the conflict escalates. As an investment analyst, it̢۪s the financial war the Russians seem quite willing to wage that has my attention. It should have yours as well. | ||||||||||||||||||||||||||||||||||||||||||||||||||||
| Posted: 15 Apr 2014 12:51 PM PDT Gold prices are stabilizing here, says CPM Group analyst Rohit Savant... ROHIT SAVANT is chief commodity analyst at CPM Group, the New York-based precious metals and commodities consultancy. Here he tells Mike Norman at HardAssetsInvestor how he sees gold prices consolidating now and rising later in 2014. Hard Assets Investor: Looking at gold prices, are we locked into this trading range now for a while? Rohit Savant: We expect prices to sort of consolidate around $1300 over the second and third quarter. Then potentially rise as we head into the fourth quarter and through 2015. We think there was a lot of optimism toward gold in the first quarter. Because I think 2014 started with a lot of optimism about the global economy and things being in extremely good shape. They probably weren't in as good shape as the markets were making it out to be. Markets overreact on either side. So they jumped out of equities and moved into gold, pushing gold prices up, which brought in a lot of short-term investors. Another thing, prices come back down again. So we think basically in the next couple of quarters, you'll probably see a sort of sideways movement in gold prices before they go up again. HAI: So the gold price responds positively to weakness in the economy? Because most people look at it as an inflation hedge. Rohit Savant: Right. Inflation is definitely something that has helped gold prices. But I don't think inflation is an issue any time in the next two or three years, at least, if not more. And so buying it as an inflation hedge, I think the market's kind of priced in the potential for inflation back in late 2010 and 2011, and now they're kind of backing off from that. HAI: So sort of built into your scenario is a view that we're going to see a slowdown in economic activity globally? Rohit Savant: It's not really a slowdown in economic activity. I think what we're going to see, in terms of the global economy, is just muddling through. Muddling through for the next several years. No real strong growth. And there's still a lot of structural problems with the global economy. You still have huge government deficits, trade imbalances. And these things take a lot of time to get results. I think investors know that. You're probably going to see value investors campaigning to add to their gold holdings every time prices come off, which is why we don't expect gold prices to collapse, we think consolidated to a relatively high level. It's the shorter-term investors who really can push gold prices up strongly. I think when they see that gold prices have consolidated, they've reached close to the bottom, you might start seeing them come back into the market. HAI: We've seen lots of demand in recent years from China, India and central banks such as Russia. Are those factors still there, or have they curtailed their buying? Rohit Savant: Physical buying by China and India would continue, we think. China would continue to buy gold in large volumes, at least this year. The rate of growth, we think, would be much slower than what we've seen in the past couple of years. But they would continue to buy gold. There is a possibility that maybe a couple of years out, you might not see this kind of strong growth out of China. You might even see a decline. It's typical of any market to show weakness. And that could potentially hurt gold prices, because a lot of investment demand in the West is based on this strong Chinese demand. But in the short to medium term, we think Chinese would continue buying slower growth rate than before. HAI: We've seen the RMB drop to about a 14-month low against the Dollar. Is this decline in the Chinese currency a factor, in any way, in demand for gold? Rohit Savant: I guess, to some extent, the currency definitely plays a role in demand for gold, a weakening of domestic currency would typically increase the cost of imports into the country. So that would, to some extent, hurt demand. But that said, I think, in the case of China, be less of an issue than, say, in the case of India, where the currency has been hit a lot more strongly. HAI: It's coming back though... Rohit Savant: It's coming back. But it was badly handled. It's still off quite a bit. But it has improved. So in the case of a country like India, that probably pays a much, much larger role. For example, you saw imports in Turkey during the first two months of this year literally collapse compared to, if I'm not wrong, I think they were off by about 75%. So there was like a strong decline in imports from Turkey, which is also a major consumer of gold, and doesn't get as much attention because of this weakness in currency. HAI: As emerging economies modernize, as their monetary systems become more mature, do you think we'll start to see some pullback in gold demand from these places? Rohit Savant: I think in the case of countries like China and India, yes, you might see an increase in demand for paper assets as those economies become more developed. But I also think it's culturally engrained for people in these countries to buy and hold at least some amount of gold. And that's an extremely huge rule of populations in both these countries, where at least they're not going to have access or advisors to give them advice to invest in paper assets. So in most of these cases, what they tend to do is convert their savings into gold. That's what you're seeing, even today. Most of the gold buying comes out of the ruling leaders in these countries. HAI: How does the mining situation look? Rohit Savant: Mine supply actually grew last year. It's growing this year, which comes as a surprise to some people, because prices have come off. Typically, mine supply does not get affected immediately. It usually takes a few years before mine supply starts getting affected. So we have mine supply growing this year as well as next. A lot of new projects came on-stream in the past couple of years. Those projects are going to be ramping up. So mine supply's in good shape. It's secondary supply [aka scrap gold] which is a lot more price-sensitive. We have that coming off. It came off about 17% last year. Would have been much stronger if it weren't for India, where India, secondary supply grew, because the import restrictions used the available supply. And so that was being met by secondary supply. We continue to see a secondary supply decline this year as well. And maybe over the next couple of years, it sort of stabilizes. HAI: All right. Rohit, thanks very much. | ||||||||||||||||||||||||||||||||||||||||||||||||||||
| Posted: 15 Apr 2014 12:51 PM PDT Gold prices are stabilizing here, says CPM Group analyst Rohit Savant... ROHIT SAVANT is chief commodity analyst at CPM Group, the New York-based precious metals and commodities consultancy. Here he tells Mike Norman at HardAssetsInvestor how he sees gold prices consolidating now and rising later in 2014. Hard Assets Investor: Looking at gold prices, are we locked into this trading range now for a while? Rohit Savant: We expect prices to sort of consolidate around $1300 over the second and third quarter. Then potentially rise as we head into the fourth quarter and through 2015. We think there was a lot of optimism toward gold in the first quarter. Because I think 2014 started with a lot of optimism about the global economy and things being in extremely good shape. They probably weren't in as good shape as the markets were making it out to be. Markets overreact on either side. So they jumped out of equities and moved into gold, pushing gold prices up, which brought in a lot of short-term investors. Another thing, prices come back down again. So we think basically in the next couple of quarters, you'll probably see a sort of sideways movement in gold prices before they go up again. HAI: So the gold price responds positively to weakness in the economy? Because most people look at it as an inflation hedge. Rohit Savant: Right. Inflation is definitely something that has helped gold prices. But I don't think inflation is an issue any time in the next two or three years, at least, if not more. And so buying it as an inflation hedge, I think the market's kind of priced in the potential for inflation back in late 2010 and 2011, and now they're kind of backing off from that. HAI: So sort of built into your scenario is a view that we're going to see a slowdown in economic activity globally? Rohit Savant: It's not really a slowdown in economic activity. I think what we're going to see, in terms of the global economy, is just muddling through. Muddling through for the next several years. No real strong growth. And there's still a lot of structural problems with the global economy. You still have huge government deficits, trade imbalances. And these things take a lot of time to get results. I think investors know that. You're probably going to see value investors campaigning to add to their gold holdings every time prices come off, which is why we don't expect gold prices to collapse, we think consolidated to a relatively high level. It's the shorter-term investors who really can push gold prices up strongly. I think when they see that gold prices have consolidated, they've reached close to the bottom, you might start seeing them come back into the market. HAI: We've seen lots of demand in recent years from China, India and central banks such as Russia. Are those factors still there, or have they curtailed their buying? Rohit Savant: Physical buying by China and India would continue, we think. China would continue to buy gold in large volumes, at least this year. The rate of growth, we think, would be much slower than what we've seen in the past couple of years. But they would continue to buy gold. There is a possibility that maybe a couple of years out, you might not see this kind of strong growth out of China. You might even see a decline. It's typical of any market to show weakness. And that could potentially hurt gold prices, because a lot of investment demand in the West is based on this strong Chinese demand. But in the short to medium term, we think Chinese would continue buying slower growth rate than before. HAI: We've seen the RMB drop to about a 14-month low against the Dollar. Is this decline in the Chinese currency a factor, in any way, in demand for gold? Rohit Savant: I guess, to some extent, the currency definitely plays a role in demand for gold, a weakening of domestic currency would typically increase the cost of imports into the country. So that would, to some extent, hurt demand. But that said, I think, in the case of China, be less of an issue than, say, in the case of India, where the currency has been hit a lot more strongly. HAI: It's coming back though... Rohit Savant: It's coming back. But it was badly handled. It's still off quite a bit. But it has improved. So in the case of a country like India, that probably pays a much, much larger role. For example, you saw imports in Turkey during the first two months of this year literally collapse compared to, if I'm not wrong, I think they were off by about 75%. So there was like a strong decline in imports from Turkey, which is also a major consumer of gold, and doesn't get as much attention because of this weakness in currency. HAI: As emerging economies modernize, as their monetary systems become more mature, do you think we'll start to see some pullback in gold demand from these places? Rohit Savant: I think in the case of countries like China and India, yes, you might see an increase in demand for paper assets as those economies become more developed. But I also think it's culturally engrained for people in these countries to buy and hold at least some amount of gold. And that's an extremely huge rule of populations in both these countries, where at least they're not going to have access or advisors to give them advice to invest in paper assets. So in most of these cases, what they tend to do is convert their savings into gold. That's what you're seeing, even today. Most of the gold buying comes out of the ruling leaders in these countries. HAI: How does the mining situation look? Rohit Savant: Mine supply actually grew last year. It's growing this year, which comes as a surprise to some people, because prices have come off. Typically, mine supply does not get affected immediately. It usually takes a few years before mine supply starts getting affected. So we have mine supply growing this year as well as next. A lot of new projects came on-stream in the past couple of years. Those projects are going to be ramping up. So mine supply's in good shape. It's secondary supply [aka scrap gold] which is a lot more price-sensitive. We have that coming off. It came off about 17% last year. Would have been much stronger if it weren't for India, where India, secondary supply grew, because the import restrictions used the available supply. And so that was being met by secondary supply. We continue to see a secondary supply decline this year as well. And maybe over the next couple of years, it sort of stabilizes. HAI: All right. Rohit, thanks very much. | ||||||||||||||||||||||||||||||||||||||||||||||||||||
| Posted: 15 Apr 2014 12:49 PM PDT Imagine making Alan Greenspan chairman of the Fed...! AGAIN I am stung by criticism, like how I am lazy (usually phrased as "stinking lazy") because I don't particularly like work in general, and how I have actually grown hostile to work in particular as it pertains to, you know, ME doing it, writes the Mogambo Guru for The Daily Reckoning. Okay, I admit that I could have been a better person in many, many ways, and that I've grown increasingly weird and paranoid since 1987, which was the "date which will live infamy" when the evil demon from hell, known as Alan Greenspan, was chairman of the Federal Reserve and started this insane inflation in the money supply. As a result, my relationships with both my career and my family have deteriorated, as both of them are always hounding me, wanting me to "at least show up and do my damned job", perform my "family responsibilities" and act like a real "father" instead of a frightened, paranoid old man who is terrified of inflation in the money supply because it results in ruinous inflation in prices, and yadda, yadda, yadda we're freaking doomed. WHAT could we have been thinking to have screwed things up this badly? The sorry fact is that I am so freaking terrified that all I can POSSIBLY care about is my own personal survival, saving myself from the horrific collapse of the economy, the banks, assets and the buying power of the Dollar, everyone and everything all ruined by the price inflation caused by the murderous inflation of the money supply, caused by the evil Federal Reserve creating the excess currency and credit to cause massive inflation in the prices of now-too-big-to-pop bubbles in stocks, bonds, houses, personal debt, college debt, and, most outrageously, to fund unbelievable, suicidal, massive, trillion-Dollars-plus-per-year federal government deficit-spending! Unbelievable! Naturally paralyzed with understandable fear, you can surely understand how I am left with a shuddering, paranoid hysteria and a seething hatred born of betrayal, seemingly immune to butthead bosses yelling, "Shut up about gold, silver and oil and do some work around here!" and pitiful entreaties to "Just say you love us! Please, daddy! Please love us!" Fortunately, after frantically double-locking the doors, setting security systems to "Maximum Lethal Response", and settling into a comfortable, quiet, armed-to-the-teeth paranoia in the closet under the stairs, one finds that one has a lot of time to leisurely eat microwave burritos, drink beer, and to think about things. Things like, "What in the hell is that smell?" It was my socks. Flush with success in handling that mystery, I turned my attention to the next burning question, which is, "How can we have been so, so, So Freaking Stupid (SFS) as to ignore the glories of the Austrian School of economics, based on capitalism, free enterprise and a stable money supply, and instead destroy ourselves with the suicidal Keynesian stupidity of crushing debts everywhere and a behemoth federal government deficit-spending a constantly-expanding money supply?" I mean, WHAT could we have been thinking to have screwed things up this badly? Well, in that regard, Junior Mogambo Ranger (JMR) Phil S. has sent me several articles over the last few weeks about the horrifying cornucopia of hormones and chemicals that are in our water, the food we eat, and the air we breathe, which is not to mention the vast invasion of foreign species of plants and animals all over the place, which is certainly something else to worry about besides the economic Armageddon bearing down on us. Then there is the recent discovery that, almost unbelievably, behavior is inherited in one's DNA! Astounding! This means that if you are a lazy, bad parent, a sub-standard husband, or a worthless, dim-witted employee, then my kids will be, too! Oops! Too bad for them! And now we have the new science of epigenics, which is "genetic control by factors other than an individual's DNA sequence," like the aforementioned pollutants and a million other things actually altering your DNA, which will thus alter your behavior in unpredictable ways! Yikes! This thing is compounding! Now, as you obviously observe from the horrified look on my petrified face, I am more despondent and crazed with fear than (gulp!) ever! Ever! And much, much more paranoid, too! But this genetics stuff not only explains the bizarre behavior I see all around me, but it handily explains why the majority of people are not rushing out, stampeding in a frantic, frightened frenzy, to buy gold and silver. It's because their DNA is so damaged that they are now too stupid! But, then again, it takes a Special Kind Of Stupid (SKOS) to, firstly, realize that nothing in economics has changed for thousands of years. There has always been money, debt, interest, taxes and government regulation. Nothing new. And when one easily discovers that bankruptcy and economic ruin occur every time in history where the money supply was vastly expanded, then a Special Kind Of Stupid (SKOS) becomes a tangible thing with every new Dollar created by the evil Federal Reserve. I hear your pleas. "Oh, woe is us!" you say. "Help us, Wonderful And Wise Mogambo (WAWM), whose incandescent intelligence and powerful economic mojo illuminate this entire sector of the galaxy! So tell us, exalted sublime master and aforementioned WAWM, in a karma, yin-yang, mumbo-jumbo, universe-in-balance kind of way, there must be a Special Kind Of Brilliant (SKOB) to even things out, surely!" To begin with, to paraphrase Leslie Nielsen in the movie Airplane!, "Stop calling me Shirley!" And as for an SKOB, rejoice in that I, again with the egomaniacal WAWM thing introduced in the previous paragraph, do hereby answer your prayers! As history CLEARLY shows, those people that are buying gold, silver and oil right now will be the Special Kind Of Brilliant (SKOB) people riding the inevitable bubbles in gold and silver up, up, up to their inevitable tops, as a brilliant and perfectly logical way to amass a relative fortune. When will the market top for gold and silver happen? Easy! After everything else has finished turning to crap! So simple. So elegant. So, "Whee! This investing stuff is easy!" Well, maybe not so pleasant, but, you gotta admit, easy. | ||||||||||||||||||||||||||||||||||||||||||||||||||||
| Posted: 15 Apr 2014 12:49 PM PDT Imagine making Alan Greenspan chairman of the Fed...! AGAIN I am stung by criticism, like how I am lazy (usually phrased as "stinking lazy") because I don't particularly like work in general, and how I have actually grown hostile to work in particular as it pertains to, you know, ME doing it, writes the Mogambo Guru for The Daily Reckoning. Okay, I admit that I could have been a better person in many, many ways, and that I've grown increasingly weird and paranoid since 1987, which was the "date which will live infamy" when the evil demon from hell, known as Alan Greenspan, was chairman of the Federal Reserve and started this insane inflation in the money supply. As a result, my relationships with both my career and my family have deteriorated, as both of them are always hounding me, wanting me to "at least show up and do my damned job", perform my "family responsibilities" and act like a real "father" instead of a frightened, paranoid old man who is terrified of inflation in the money supply because it results in ruinous inflation in prices, and yadda, yadda, yadda we're freaking doomed. WHAT could we have been thinking to have screwed things up this badly? The sorry fact is that I am so freaking terrified that all I can POSSIBLY care about is my own personal survival, saving myself from the horrific collapse of the economy, the banks, assets and the buying power of the Dollar, everyone and everything all ruined by the price inflation caused by the murderous inflation of the money supply, caused by the evil Federal Reserve creating the excess currency and credit to cause massive inflation in the prices of now-too-big-to-pop bubbles in stocks, bonds, houses, personal debt, college debt, and, most outrageously, to fund unbelievable, suicidal, massive, trillion-Dollars-plus-per-year federal government deficit-spending! Unbelievable! Naturally paralyzed with understandable fear, you can surely understand how I am left with a shuddering, paranoid hysteria and a seething hatred born of betrayal, seemingly immune to butthead bosses yelling, "Shut up about gold, silver and oil and do some work around here!" and pitiful entreaties to "Just say you love us! Please, daddy! Please love us!" Fortunately, after frantically double-locking the doors, setting security systems to "Maximum Lethal Response", and settling into a comfortable, quiet, armed-to-the-teeth paranoia in the closet under the stairs, one finds that one has a lot of time to leisurely eat microwave burritos, drink beer, and to think about things. Things like, "What in the hell is that smell?" It was my socks. Flush with success in handling that mystery, I turned my attention to the next burning question, which is, "How can we have been so, so, So Freaking Stupid (SFS) as to ignore the glories of the Austrian School of economics, based on capitalism, free enterprise and a stable money supply, and instead destroy ourselves with the suicidal Keynesian stupidity of crushing debts everywhere and a behemoth federal government deficit-spending a constantly-expanding money supply?" I mean, WHAT could we have been thinking to have screwed things up this badly? Well, in that regard, Junior Mogambo Ranger (JMR) Phil S. has sent me several articles over the last few weeks about the horrifying cornucopia of hormones and chemicals that are in our water, the food we eat, and the air we breathe, which is not to mention the vast invasion of foreign species of plants and animals all over the place, which is certainly something else to worry about besides the economic Armageddon bearing down on us. Then there is the recent discovery that, almost unbelievably, behavior is inherited in one's DNA! Astounding! This means that if you are a lazy, bad parent, a sub-standard husband, or a worthless, dim-witted employee, then my kids will be, too! Oops! Too bad for them! And now we have the new science of epigenics, which is "genetic control by factors other than an individual's DNA sequence," like the aforementioned pollutants and a million other things actually altering your DNA, which will thus alter your behavior in unpredictable ways! Yikes! This thing is compounding! Now, as you obviously observe from the horrified look on my petrified face, I am more despondent and crazed with fear than (gulp!) ever! Ever! And much, much more paranoid, too! But this genetics stuff not only explains the bizarre behavior I see all around me, but it handily explains why the majority of people are not rushing out, stampeding in a frantic, frightened frenzy, to buy gold and silver. It's because their DNA is so damaged that they are now too stupid! But, then again, it takes a Special Kind Of Stupid (SKOS) to, firstly, realize that nothing in economics has changed for thousands of years. There has always been money, debt, interest, taxes and government regulation. Nothing new. And when one easily discovers that bankruptcy and economic ruin occur every time in history where the money supply was vastly expanded, then a Special Kind Of Stupid (SKOS) becomes a tangible thing with every new Dollar created by the evil Federal Reserve. I hear your pleas. "Oh, woe is us!" you say. "Help us, Wonderful And Wise Mogambo (WAWM), whose incandescent intelligence and powerful economic mojo illuminate this entire sector of the galaxy! So tell us, exalted sublime master and aforementioned WAWM, in a karma, yin-yang, mumbo-jumbo, universe-in-balance kind of way, there must be a Special Kind Of Brilliant (SKOB) to even things out, surely!" To begin with, to paraphrase Leslie Nielsen in the movie Airplane!, "Stop calling me Shirley!" And as for an SKOB, rejoice in that I, again with the egomaniacal WAWM thing introduced in the previous paragraph, do hereby answer your prayers! As history CLEARLY shows, those people that are buying gold, silver and oil right now will be the Special Kind Of Brilliant (SKOB) people riding the inevitable bubbles in gold and silver up, up, up to their inevitable tops, as a brilliant and perfectly logical way to amass a relative fortune. When will the market top for gold and silver happen? Easy! After everything else has finished turning to crap! So simple. So elegant. So, "Whee! This investing stuff is easy!" Well, maybe not so pleasant, but, you gotta admit, easy. | ||||||||||||||||||||||||||||||||||||||||||||||||||||
| Out of the Stocks, Into the Miners Posted: 15 Apr 2014 12:46 PM PDT When the stockmarket crashes, will investors take refuge in gold stocks...? MICHAEL BERRY has been the Wheat First Professor of Investments at James Madison University, a professor of investments at the Colgate Darden Graduate School of Business Administration at the University of Virginia, and a small- and mid-cap value manager for Heartland Advisors and Kemper Scudder. Now travelling the world to analyze emerging geopolitical, technological and economic trends, the publisher of Morning Notes...now Disruptive Discoveries Journal...here tells The Gold Report how he thinks this over-inflated equities market could be good news for metals and mining stocks... The Gold Report: Mike, you've been watching the stock market and, by extension, the precious metals markets very closely for signs of a larger equity market blow-off that could send gold higher. What makes you think the Dow Jones Industrial Average and the NASDAQ are in a bubble? What are the signs that a crash might be imminent? Michael Berry: I have been watching bubbles since 1987. In September of that year I correctly predicted the 25% crash of October 19. We have been blowing through mini and maxi bubbles for 30 years; this one is nothing new. The solution to our macroeconomic issues has been to inflate new bubbles, to inflate asset values to soften the blow from the last bubble, all the while creating the conditions for the next one. That is how we ended up with the current equity market bubble. It is driven solely by the Federal Reserve's liquidity. Always remember that liquidity begets liquidity. I also see a debt market that I consider to be a bubble. These markets are just not sustainable. I can't say when, but we have an equity market decline coming, maybe a severe decline. TGR: The housing bubble and the tech bubble were, by definition, confined to certain niches initially and then the impact reverberated to other sectors. Are you predicting a market-wide crash where everything falls or will it be confined to certain sectors? Michael Berry: The correction will impact everything. As of April 8 I'm measuring the Dow technically, fundamentally and behaviorally, and I see a clear top by all three measurements. The top is not quite as clear for the Standard & Poor's 500, but it's certainly there. A major event could cause this bubble to burst and the markets turn down. I think it's imminent, probably this year. With the Federal Reserve pulling back on its quantitative easing, I can't see the equity market being able to sustain itself. TGR: Are there any specific indicators that might tell when a crash is about to happen or will we only know after it happens? Michael Berry: The money multiplier, which is a measure of how well the banking system is working, is at its lowest level ever – 0.69, according to the St. Louis Federal Reserve. It usually has been above 1.0 but the multiplier has continued to decline for the last five and a half years. That is the sign of a disabled banking system, a coming bear market and a severe recession or worse. There's no doubt about that. The velocity of money has been in a decline for quite some time. These indicators mean our banking system is not working properly. These conditions were last this serious during the Great Depression. Even Milton Freidman acknowledged this when he suggested the Fed's problem will be dealing with its own drastically expanded portfolio. Freidman claimed that the Great Depression was the result of a falling multiplier and the failure to increase the money supply. That has not been the case this time but we are still in serious trouble. Europeans are now concerned about deflation, the slowing of the economy and the falling of prices. The "D" word is actually spoken. The International Monetary Fund is particularly concerned. We've certainly seen falling prices in the metals markets over the last year and a half. China's tightening and slowing along with the US tapering its quantitative easing mean the economic winds are in our face, not at our back. Those are the things I am concerned about. TGR: So when this bubble does burst, how might the different metals – gold, silver, copper – respond differently to a market crisis? Michael Berry: That is a good question. The answer is it depends. If we don't fix the broken credit cycle and deal with exploding government debt, we will probably begin to see disinflation and deflation. Then prices will fall. Gold, copper, silver, tin, lead and zinc will decline, but probably less than the valuations in the macroeconomic economy. That will be the time to buy metals because we will recover once we see a new credit cycle. However, it could be a three- to five-year hiatus. The Fed and others will have to deleverage. Only then will the economy be able to recover and break out of it torpor. We'll see a new bull market in the commodities then. On the other hand, if we were to inflate out of the crisis, which the Fed would prefer, we will see gold achieve very high prices. I wish I could give you a very clear answer. Personally I think deflation is much more likely. TGR: If we experience inflation, and the gold price goes up, will the equity prices follow? Michael Berry: Absolutely. When we have inflation – and we will as soon as a new credit cycle is in place – then we are going to see gold miners take off. Right now, there isn't a bottom on the price of these stocks because if gold goes much below $1250 an ounce, then the cost of producing gold is going to be a problem for the big gold producers. These stocks have been punished and are close to their bottoms now. People interested in precious metals and who are patient ought to be buying these on any declines in their current share prices. TGR: Are some mining stocks going to come back faster than others? Michael Berry: Yes. A lot of the big-cap miners are highly leveraged with debt. They need to deleverage, and that's difficult to do in this environment, so investors want to be buying the big stocks that are not highly leveraged. The mid-tier producers have a real problem because they're really not big enough to go to the next level in this kind of a capital market environment. We are going to see that quite a few of them will be taken out. The juniors and explorers have been decimated. It's a bloodbath. There's no other word for it right now. These stocks are trading anywhere from $0.07 to $0.40 per share. They are worth a lot more, but not in this environment. I have a number that I follow that have good management and good assets, and the ability to sustain themselves over the next year or two until we see a recovery. Sustainability will be very important. TGR: The silver market is more volatile than gold. Are there reasons for investors to get involved in the space? Michael Berry: I love silver. I'm on the board of a couple of companies that have big silver plays. But the silver market is volatile; it's a much smaller market and an industrial, as well as a precious metals, market. Gold is down 27%, but silver is down almost 45% from its October 2012 top. We produce about 800 million ounces per year of silver globally, and we basically use it all for everything from electronics to medical technology. The price can't stay at $20 per ounce for very long because new silver mines are going to be required. Silver investors must be believers today. They must live with the volatility of the market and believe the price of silver will appreciate eventually. If you believe in silver and you believe in the ultimate limited supply/excess demand dynamic, then I think you ought to own a portfolio of these companies, put them away and let silver do its thing, because it will over time. TGR: Would that same advice go for the other metals? Michael Berry: Not exactly. Copper is a totally different market. I like copper a lot, but it is becoming increasingly difficult for companies to bring big mines on line. The Indonesians have done some things that hurt some big names by disallowing them to ship ore overseas. The Chileans and other South Americans have had some problems. There are problems in Mongolia with a big copper facility there. That makes North American copper plays in Arizona, Nevada, Canada and, to a lesser degree, Mexico, a great place to be right now. Copper could go below $3/pound, but with the rest of the world growing a new middle class of consumers, we're going to need more copper and that means more copper mines. It takes a long time to bring a copper mine into production, so I think copper is also very cheap today and should be considered selectively. TGR: So these are long-term investments? Michael Berry: Certainly. We are seeing a lot of private equity players now that are picking up properties for cents on the Dollar. The private equity players can afford to sit with a property for two or three years until the commodity prices improve. Most junior mining management teams cannot do the same thing. Juniors are going to have to be able to survive over the next couple of years, so look for companies that can conserve resources. Some developers have stopped drilling. A few marginal producers have stopped producing. Everyone is, or should be, reining in costs, cutting costs. The Vancouver model of financing is broken right now. The capital market is telling us that nobody cares. If nobody cares, then it's time to tread carefully in the exploration space. TGR: Thank you for your insights. | ||||||||||||||||||||||||||||||||||||||||||||||||||||
| Out of the Stocks, Into the Miners Posted: 15 Apr 2014 12:46 PM PDT When the stockmarket crashes, will investors take refuge in gold stocks...? MICHAEL BERRY has been the Wheat First Professor of Investments at James Madison University, a professor of investments at the Colgate Darden Graduate School of Business Administration at the University of Virginia, and a small- and mid-cap value manager for Heartland Advisors and Kemper Scudder. Now travelling the world to analyze emerging geopolitical, technological and economic trends, the publisher of Morning Notes...now Disruptive Discoveries Journal...here tells The Gold Report how he thinks this over-inflated equities market could be good news for metals and mining stocks... The Gold Report: Mike, you've been watching the stock market and, by extension, the precious metals markets very closely for signs of a larger equity market blow-off that could send gold higher. What makes you think the Dow Jones Industrial Average and the NASDAQ are in a bubble? What are the signs that a crash might be imminent? Michael Berry: I have been watching bubbles since 1987. In September of that year I correctly predicted the 25% crash of October 19. We have been blowing through mini and maxi bubbles for 30 years; this one is nothing new. The solution to our macroeconomic issues has been to inflate new bubbles, to inflate asset values to soften the blow from the last bubble, all the while creating the conditions for the next one. That is how we ended up with the current equity market bubble. It is driven solely by the Federal Reserve's liquidity. Always remember that liquidity begets liquidity. I also see a debt market that I consider to be a bubble. These markets are just not sustainable. I can't say when, but we have an equity market decline coming, maybe a severe decline. TGR: The housing bubble and the tech bubble were, by definition, confined to certain niches initially and then the impact reverberated to other sectors. Are you predicting a market-wide crash where everything falls or will it be confined to certain sectors? Michael Berry: The correction will impact everything. As of April 8 I'm measuring the Dow technically, fundamentally and behaviorally, and I see a clear top by all three measurements. The top is not quite as clear for the Standard & Poor's 500, but it's certainly there. A major event could cause this bubble to burst and the markets turn down. I think it's imminent, probably this year. With the Federal Reserve pulling back on its quantitative easing, I can't see the equity market being able to sustain itself. TGR: Are there any specific indicators that might tell when a crash is about to happen or will we only know after it happens? Michael Berry: The money multiplier, which is a measure of how well the banking system is working, is at its lowest level ever – 0.69, according to the St. Louis Federal Reserve. It usually has been above 1.0 but the multiplier has continued to decline for the last five and a half years. That is the sign of a disabled banking system, a coming bear market and a severe recession or worse. There's no doubt about that. The velocity of money has been in a decline for quite some time. These indicators mean our banking system is not working properly. These conditions were last this serious during the Great Depression. Even Milton Freidman acknowledged this when he suggested the Fed's problem will be dealing with its own drastically expanded portfolio. Freidman claimed that the Great Depression was the result of a falling multiplier and the failure to increase the money supply. That has not been the case this time but we are still in serious trouble. Europeans are now concerned about deflation, the slowing of the economy and the falling of prices. The "D" word is actually spoken. The International Monetary Fund is particularly concerned. We've certainly seen falling prices in the metals markets over the last year and a half. China's tightening and slowing along with the US tapering its quantitative easing mean the economic winds are in our face, not at our back. Those are the things I am concerned about. TGR: So when this bubble does burst, how might the different metals – gold, silver, copper – respond differently to a market crisis? Michael Berry: That is a good question. The answer is it depends. If we don't fix the broken credit cycle and deal with exploding government debt, we will probably begin to see disinflation and deflation. Then prices will fall. Gold, copper, silver, tin, lead and zinc will decline, but probably less than the valuations in the macroeconomic economy. That will be the time to buy metals because we will recover once we see a new credit cycle. However, it could be a three- to five-year hiatus. The Fed and others will have to deleverage. Only then will the economy be able to recover and break out of it torpor. We'll see a new bull market in the commodities then. On the other hand, if we were to inflate out of the crisis, which the Fed would prefer, we will see gold achieve very high prices. I wish I could give you a very clear answer. Personally I think deflation is much more likely. TGR: If we experience inflation, and the gold price goes up, will the equity prices follow? Michael Berry: Absolutely. When we have inflation – and we will as soon as a new credit cycle is in place – then we are going to see gold miners take off. Right now, there isn't a bottom on the price of these stocks because if gold goes much below $1250 an ounce, then the cost of producing gold is going to be a problem for the big gold producers. These stocks have been punished and are close to their bottoms now. People interested in precious metals and who are patient ought to be buying these on any declines in their current share prices. TGR: Are some mining stocks going to come back faster than others? Michael Berry: Yes. A lot of the big-cap miners are highly leveraged with debt. They need to deleverage, and that's difficult to do in this environment, so investors want to be buying the big stocks that are not highly leveraged. The mid-tier producers have a real problem because they're really not big enough to go to the next level in this kind of a capital market environment. We are going to see that quite a few of them will be taken out. The juniors and explorers have been decimated. It's a bloodbath. There's no other word for it right now. These stocks are trading anywhere from $0.07 to $0.40 per share. They are worth a lot more, but not in this environment. I have a number that I follow that have good management and good assets, and the ability to sustain themselves over the next year or two until we see a recovery. Sustainability will be very important. TGR: The silver market is more volatile than gold. Are there reasons for investors to get involved in the space? Michael Berry: I love silver. I'm on the board of a couple of companies that have big silver plays. But the silver market is volatile; it's a much smaller market and an industrial, as well as a precious metals, market. Gold is down 27%, but silver is down almost 45% from its October 2012 top. We produce about 800 million ounces per year of silver globally, and we basically use it all for everything from electronics to medical technology. The price can't stay at $20 per ounce for very long because new silver mines are going to be required. Silver investors must be believers today. They must live with the volatility of the market and believe the price of silver will appreciate eventually. If you believe in silver and you believe in the ultimate limited supply/excess demand dynamic, then I think you ought to own a portfolio of these companies, put them away and let silver do its thing, because it will over time. TGR: Would that same advice go for the other metals? Michael Berry: Not exactly. Copper is a totally different market. I like copper a lot, but it is becoming increasingly difficult for companies to bring big mines on line. The Indonesians have done some things that hurt some big names by disallowing them to ship ore overseas. The Chileans and other South Americans have had some problems. There are problems in Mongolia with a big copper facility there. That makes North American copper plays in Arizona, Nevada, Canada and, to a lesser degree, Mexico, a great place to be right now. Copper could go below $3/pound, but with the rest of the world growing a new middle class of consumers, we're going to need more copper and that means more copper mines. It takes a long time to bring a copper mine into production, so I think copper is also very cheap today and should be considered selectively. TGR: So these are long-term investments? Michael Berry: Certainly. We are seeing a lot of private equity players now that are picking up properties for cents on the Dollar. The private equity players can afford to sit with a property for two or three years until the commodity prices improve. Most junior mining management teams cannot do the same thing. Juniors are going to have to be able to survive over the next couple of years, so look for companies that can conserve resources. Some developers have stopped drilling. A few marginal producers have stopped producing. Everyone is, or should be, reining in costs, cutting costs. The Vancouver model of financing is broken right now. The capital market is telling us that nobody cares. If nobody cares, then it's time to tread carefully in the exploration space. TGR: Thank you for your insights. | ||||||||||||||||||||||||||||||||||||||||||||||||||||
| Pepe Escobar : China & Russia teaming to destroy The Dollar Posted: 15 Apr 2014 12:30 PM PDT Pepe Escobar on China/Russia 'Deal of the decade' & Europe's secret US deal blues While the West weighs up putting more spanners in the works with sanctions, Russia and China are getting on with business. The two are looking at a deal that could see gas pumped into the world's... [[ This is a content summary only. Visit http://www.GoldSilverNewsBlog.com or http://www.newsbooze.com or http://www.figanews.com for full links, other content, and more! ]]  | ||||||||||||||||||||||||||||||||||||||||||||||||||||
| The Real Purpose Of QE - It’s Not Employment Posted: 15 Apr 2014 12:29 PM PDT Free markets are a function of supply and demand whereas capital markets are a function of credit and debt The bankers’ ponzi-scheme – which began with the distortion of free markets in 1694 when the Bank of England began issuing debt-based paper banknotes alongside the Royal Mint’s gold and silver coins – is coming to an end. The bankers’ wildly successful and long-running scheme, dependent on the uneasy equilibrium between credit and debt, has now been irrevocably destabilized. Aggregate levels of debt are now so high that credit—no matter how cheap and available—cannot restore the balance. | ||||||||||||||||||||||||||||||||||||||||||||||||||||
| Wall Street Journal spins a gold-bullish report to bearish Posted: 15 Apr 2014 11:09 AM PDT China Is Losing Its Taste for Gold By Tatyana Shumsky and Chao Deng China's appetite for gold is waning after a decadelong buying spree, suppressed by the country's economic slowdown and constrained credit markets. Demand in the world's biggest gold consumer is likely to stay flat in 2014, according to estimates from the World Gold Council. Gold demand in China has expanded every year since 2002, when it declined, according to the industry group, whose forecasts are closely watched in the gold market. Decelerating Chinese gold demand could threaten the recent recovery in gold prices, some investors and analysts say. ... ... For the full story: http://online.wsj.com/news/articles/SB1000142405270230388780457950203021... ADVERTISEMENT Safe and Private Allocated Bullion Storage In Singapore Given the increasing risks in financial markets, it is more important than ever to own physical bullion coins and bars and to store them in the safest vaults in the world in the safest jurisdictions in the world. Gold advocates Jim Sinclair and Marc Faber have recommended Singapore. Now, with GoldCore, you can own coins and bars in fully insured, segregated, and allocated accounts in Singapore with the ability to take delivery. Learn more by downloading GoldCore's Essential Guide To Storing Gold In Singapore: http://info.goldcore.com/essential-guide-to-storing-gold-in-singapore And for more information call Daniel or Sharon at +44 203 0869200 in the United Kingdom or at +1-302-635-1160 in the United States. Or email them at info@goldcore.com. Join GATA here: Porter Stansberry Natural Resources Conference Committee for Monetary Research and Education http://www.cmre.org/news/spring-meeting-2014/ Canadian Investor Conference 2014 http://cambridgehouse.com/event/25/canadian-investor-conference-2014-inc... New Orleans Investment Conference https://jeffersoncompanies.com/new-orleans-investment-conference/home * * * Support GATA by purchasing DVDs of our London conference in August 2011 or our Dawson City conference in August 2006: http://www.goldrush21.com/order.html Or by purchasing a colorful GATA T-shirt: Or a colorful poster of GATA's full-page ad in The Wall Street Journal on January 31, 2009: http://gata.org/node/wallstreetjournal Help keep GATA going GATA is a civil rights and educational organization based in the United States and tax-exempt under the U.S. Internal Revenue Code. Its e-mail dispatches are free, and you can subscribe at: To contribute to GATA, please visit: ADVERTISEMENT Buy precious metals free of value-added tax throughout Europe Europe Silver Bullion is a fast-growing dealer sourcing its products from renowned mints, refiners, and distributors. Because of a legal loophole that will close soon, you can acquire the world's most popular bullion coins free of value-added tax throughout the European Union. You can collect your order in person at our headquarters in Tallinn, Estonia, or have it delivered in any of the 28 EU countries. Europe Silver Bullion is owned and operated by North American and European experts in selling, storing, and transporting precious metals. We have an extensive product inventory of silver, gold, platinum, and palladium, and our network spans the world. Visit us at www.europesilverbullion.com. | ||||||||||||||||||||||||||||||||||||||||||||||||||||
| Zero Hedge: Gold futures halted again on latest furious slamdown Posted: 15 Apr 2014 11:05 AM PDT From Zero Hedge, New York It seems the two words "fiduciary duty" are strangely missing from the dictionary of the new normal's asset management community. This morning, shortly before 8:27 a.m. ET, someone decided that it was the perfect time to dump thousands of gold futures contracts worth over half a billion dollars notional. This smashed gold futures down over $12 instantaneously, breaking below the 200-day moving averaged and triggering the futures exchange to halt trading in the precious metal for 10 seconds. ... ... For the full commentary: http://www.zerohedge.com/news/2014-04-15/gold-futures-halted-again-lates... ADVERTISEMENT Silver mining stock report for 2014 comes with 1-ounce silver round Future Money Trends is offering a special 18-page silver mining stock report about how to profit with the monetary and industrial metal in 2014, and it comes with a free 1-ounce silver round. Proceeds from the report's sales are shared with the Gold Anti-Trust Action Committee to support its efforts to expose manipulation in the monetary metals markets. To learn about this report, please visit: Join GATA here: Porter Stansberry Natural Resources Conference Committee for Monetary Research and Education http://www.cmre.org/news/spring-meeting-2014/ Canadian Investor Conference 2014 http://cambridgehouse.com/event/25/canadian-investor-conference-2014-inc... New Orleans Investment Conference https://jeffersoncompanies.com/new-orleans-investment-conference/home * * * Support GATA by purchasing DVDs of our London conference in August 2011 or our Dawson City conference in August 2006: http://www.goldrush21.com/order.html Or by purchasing a colorful GATA T-shirt: Or a colorful poster of GATA's full-page ad in The Wall Street Journal on January 31, 2009: http://gata.org/node/wallstreetjournal Help keep GATA going GATA is a civil rights and educational organization based in the United States and tax-exempt under the U.S. Internal Revenue Code. Its e-mail dispatches are free, and you can subscribe at: To contribute to GATA, please visit: ADVERTISEMENT Buy metals at GoldMoney and enjoy international storage GoldMoney was established in 2001 by James and Geoff Turk and is safeguarding more than $1.7 billion in metals and currencies. Buy gold, silver, platinum, and palladium from GoldMoney over the Internet and store them in vaults in Canada, Hong Kong, Singapore, Switzerland, and the United Kingdom, taking advantage of GoldMoney's low storage rates, among the most competitive in the industry. GoldMoney also offers delivery of 100-gram and 1-kilogram gold bars and 1-kilogram silver bars. To learn more, please visit: http://www.goldmoney.com/?gmrefcode=gata | ||||||||||||||||||||||||||||||||||||||||||||||||||||
| Gold is the world’s only ultimate asset Posted: 15 Apr 2014 10:43 AM PDT THE MATTERHORN INTERVIEW – April 2014: Stewart Thomson"Gold is the world's only ultimate asset"
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| Gold & Silver Smashed As Incredible Events Unfold In Europe Posted: 15 Apr 2014 10:04 AM PDT  On the heels of continued uncertainty around the globe, today an acclaimed money manager spoke with King World News about the gold and silver smash, China's continued massive accumulation of gold, and the incredible events unfolding in Europe. Below is what Stephen Leeb had to say in this fascinating interview.This posting includes an audio/video/photo media file: Download Now | ||||||||||||||||||||||||||||||||||||||||||||||||||||
| Why Gold? 85% of Pension Funds Will Go Bust in 30 Years Posted: 15 Apr 2014 09:48 AM PDT | ||||||||||||||||||||||||||||||||||||||||||||||||||||
| Why Gold? 85% of Pension Funds Will Go Bust in 30 Years Posted: 15 Apr 2014 09:48 AM PDT | ||||||||||||||||||||||||||||||||||||||||||||||||||||
| Is Silver In A Bull Or Bear Market? Posted: 15 Apr 2014 09:02 AM PDT Silver has underperformed gold lately. In the first quarter of 2014, both metals have rallied nicely, but, somehow suprisingly, gold did better than silver. It leaves a lot of investors with the question whether silver is in a bull or in a bear market. David Morgan, founder of The Morgan Report, one of the most qualitative precious metals investing newsletters, discusses his view on that question. He reminds us that, a year ago, he told people that silver was a buy at or below $30 an ounce. The key support level, up until then, was $25 to $26 an ounce. After it broke down, it is acting as a very strong resistance level. Back then, when silver was trading around $30 an ounce, there was a 10% spread between silver spot price and resistance at $26. That is not a major number in the context of financial markets. The key point was not the spread, but the fact it broke through that support level which had held for several years, making its importance so great. However, in the big picture of things, Morgan does not consider this as THE most important fact. If silver goes to $100 an ounce, which is line with Morgan’s expectations, it will not make a difference whether you bought at $20 or $30. From that point of view, the grey metal is now in a bear cycle during a secular bull market. After gold and silver have gone up for 12 years in a row, it went lower the 13th year. There is nothing unusual about that, as all markets go up and down. The rationale behind the continuation of the secular bull market is based on the fundamental and technical picture. From a fundamental point of view, it is a fact that all fiat currencies eventually go down. The dollar as reserve currency is on that path currently. That is evidenced by major countries like India, Australia or Russia setting trade agreements outside of the dollar. There is a clear trend towards trade settlements in local currencies or gold (say, anything but the dollar). Russia is proving right now their desire to settle energy payments outside the dollar. They are about to close a huge gas contract with China. The petrodollar is the main reason why the dollar is a reserve currency. If that breaks, the dollar’s position will break as well, which is a positive for the metals. From a technical point of view, basic analysis shows that the major uptrend line is not touched. This implies that both silver (and gold) are still in an uptrend. The key indicator to determine whether silver follows gold in the bull market is the gold:silver ratio. At the start of the bull market in 2001, the ratio was 80 to 1. Today, it hovers around 60 to 1. If silver would be in a bear market, decoupling from gold, the gold:silver ratio would be greater than 80 to 1. Silver simply does what it is good at, i.e. confusing investors. People must understand that the gold:silver ratio is a very accurate way to see which metal is performing best against the other(s). For investors that started accumulating silver at the beginning of the bull market, when it was trading below $5 an ounce, silver is providing still much more return than gold. As long as the gold:silver ratio remains within its normal bandwidth, there is no worry that silver has left the bull market. The psychological impact is the biggest challenge for an investor, as usual. On the one hand, $1300 sounds more powerful than $20. On the other hand, the number of early adopters was limited, as in every emerging bull market. As silver became more popular as momentum started to buil on stronger volume, most silver investors started investing between $30 and $48. A lot of those investors have given up in the last 2 years. They could not stand the emotional pressure. Unfortunately for them, this is typical behaviour during a bottoming process. The following long term chart makes the point clear. Silver, as usual, follows gold’s trend but with some leverage (both to the upside and the downside). The bottom part of the chart shows the gold:silver ratio over the last ten years. The ratio stands somewhere in the middle between its two extremes, i.e. 30 and 90. Chart courtesy: Sharelynx.
In that respect, an extremely interesting chart, not discussed by Morgan but available through Sharelynx (the most comprehensive gold data service), is presented below. It shows the future price of silver based on a gold price and gold:silver ratio. If we apply a conservative gold price projection of $3000 with the current gold:silver ratio of 60:1, the future silver price in such a scenario would be $75. In the extreme scenario where gold would go to $6000 with a gold:silver ratio of 40 (still within the historic bandwidth), the silver price would be $150. This is not to predict those prices, it merely serves as a framework with fair price projections.
On the shorter timeframe, David Morgan expects a stronger than average summer for the metals. The Ukraine situation which results in Russia opting out of the dollar based payment system, will have big repercussions. That will not happen overnight, nor should one expect a massive and sudden market participation. This trend will likely put a floor below gold. Big money will enter the precious metals complex as soon as a trend is established. They do not try to pick a bottom or top, but rather ride a trend. Silver’s trend is above $21, a price level which was tested twice. For a trend to be established, it should stay above it with big volume. For more conservative investors, it is the $25 or $26 level that is critical. Breaking those levels on big volume will be the confirmation that the bull market is still present. The importance of those levels should not be underestimated, given that “old support becomes new resistance.” Given how (commodity) markets work, one can expect at least 3 attempts before silver will pierce through it. More about The Morgan Report, the most qualitative precious metals investment newsletter, with a 30-day free trial. | ||||||||||||||||||||||||||||||||||||||||||||||||||||
| Posted: 15 Apr 2014 09:00 AM PDT Graceland Update | ||||||||||||||||||||||||||||||||||||||||||||||||||||
| Gold drops 1%, down from highs on strong dollar Posted: 15 Apr 2014 08:48 AM PDT Gold fell more than 1% on Tuesday as strength in the dollar prompted investors to cash in on gains after a rally to three-week highs. | ||||||||||||||||||||||||||||||||||||||||||||||||||||
| Chinese take-away – WGC study leaves many questions unanswered Posted: 15 Apr 2014 08:48 AM PDT Chinese demand for gold, amongst those with a greater disposable income, will continue to grow as middle class numbers move up from 300 million to 500 million over the rest of the decade. | ||||||||||||||||||||||||||||||||||||||||||||||||||||
| Bulgaria recovers ancient gold artefacts from smugglers Posted: 15 Apr 2014 08:48 AM PDT The country's state security agency has recovered a trove of 15,000 priceless gold artefacts dating back to the third millennium BC from a smuggling ring. | ||||||||||||||||||||||||||||||||||||||||||||||||||||
| Posted: 15 Apr 2014 08:41 AM PDT Jim, Last night’s gold smash smells like an operation. Do you have an opinion of what just happened last night? CIGA Laurence Dear CIGA L, Some are blaming the drop on fear of a Chinese slow down. That has some credence but not to the degree of the drop. It looks like another take down.... Read more » The post Jim’s Mailbox appeared first on Jim Sinclair's Mineset. | ||||||||||||||||||||||||||||||||||||||||||||||||||||
| The Reason Gold, Silver & Commodities Are Getting Smashed Posted: 15 Apr 2014 08:13 AM PDT  Today one of the legends in the business explains why gold, silver, and other commodities are getting hit hard today. 50-year veteran Art Cashin, who is Director of Floor Operations at UBS ($650 billion under management), also discussed the major problem the ECB is faced with. Cashin also warned about a major decision still to come from the German Federal Constitutional Court. This posting includes an audio/video/photo media file: Download Now | ||||||||||||||||||||||||||||||||||||||||||||||||||||
| Silver, Gold, and What Could Go Wrong Posted: 15 Apr 2014 07:54 AM PDT Richard Russell is almost 90 years old and has seen it all. He recently stated: "My advice, as it has been, is to move to the sidelines while holding large positions in physical silver and gold. Regardless of what the markets do, silver and gold represent eternal wealth, and the bid to sleep undisturbed at night. No amount of money is worth the loss of peace of mind. The power of gold opened the American West and populated Alaska. Men have spent their lives searching for gold. You can own gold by the simple action of swapping Federal Reserve notes for the yellow metal. I advise you to do it." Richard Russell – April 10, 2014 He stated on March 31, 2014: "Here's what I did last week. I took some unbacked junk currency called Federal Reserve Notes, and with them bought some constitutional money, known as silver. I consider gold and silver, now being manipulated, as on the bargain table." Richard Russell thinks the stock market is currently dangerous and that silver and gold are safe. He understands that gold and silver are eternal wealth with NO counter-party risk. What is counter-party risk? It is the risk that paper wealth is not real, that debts will not be paid, that dollars, yen, and euros will decline in purchasing power, that your employer will declare bankruptcy and your pension will be cut in half, that your brokerage account will be hypothecated by management, that your bank will declare bankruptcy and your deposits in that bank are unsecured liabilities of the bank and may not be paid either timely or in full. In short, there is counter-party risk in almost everything. Examine the following graph of the S&P500 Index for the past 20 years. Does that graph inspire confidence in further gains in that index, or does it cause you to think about corrections and crashes?
Yes, the Bernanke/Yellen "put" may support the market as the Fed does not want a market crash. But what happened to the power of the "put" in 1987, 2000, and 2007? Now look at the following 20 year graph of silver. Instead of being at all-time highs, like the S&P, it is off nearly 60% from its high. Silver looks like a better place to park, as Richard Russell says, unbacked junk currency called Federal Reserve Notes, instead of in the S&P.
What do we know for certain?
So what could go wrong? Let me count the ways.
What else could go wrong? Sarcasm alert!
Bottom line: There is an abundance of risk in the world that involves other parties, other countries, derivatives, debt, debt, and lots more debt. Gold and silver have no counter-party risk and will retain their value regardless of whether the debts are paid, regardless of political promises, regardless of monetary and fiscal policy, and regardless of the Bernanke/Yellen put.
GE Christenson | The Deviant Investor | ||||||||||||||||||||||||||||||||||||||||||||||||||||
| 14 Firms to Watch Based on Friday’s Jobs Report Posted: 15 Apr 2014 07:17 AM PDT Some important economic information was lost during last week's stock market meltdown. In fact, Friday's jobs numbers were completely buried under the Nasdaq's rubble. While everyone continues to fret over stocks this morning, let's take a closer look at the forgotten (yet all-important) jobs numbers—and a key industry that stands to benefit from a strengthening trend. The economy added 192,000 jobs in March on top of the 197,000 jobs gained in February. So far, so good. Even better is the fact that nonfarm private staffing hit 116.087 million – a surge past the previous peak seen in January 2008. It must be time to rejoice, right? The slow, steady economic recovery is finally coming together. Or maybe not… "It turns out that private sector job gains have lagged the growth in adult working age population since 2008," explains Rude researcher Noah Sugarman. "In 2008, there were about 2 working-age adults for every private sector job. Today, that ratio has widened from 2 to 2.13. That means we'd actually to total more than 123 million jobs to really get back to where we were before the recession. Even more significant is the fact that temporary jobs have far outpaced their permanent counterparts in this recovery…
"So maybe job-seekers aren't out of the woods yet. But this slow-growth recovery is perfect for one particular sector of the economy – the staffing industry," Noah continues. "That's right—temp agencies are enjoying a big boost from the labor market's sluggishness. "In some parts of the country, temp jobs have accounted for more than half, if not all of net job creation since 2009. That's the sweet spot for temp firms that connect the dots in this dodgy environment. Since private payrolls bottomed in early 2012, temp positions have grown by 42%, compared to the overall private jobs growth rate of 8%." As businesses aren't quite confident enough to make permanent hiring decisions en masse, demand for flexible staffing will likely remain high. "Numerous forecasts see the labor market remaining in this mild state for at least the next couple of years, with industries like manufacturing, IT and financial services becoming more comfortable with the flexibility that temp work provides," Noah says. Here's a quick list of staffing and outsourcing firms you can add to your watch list:
Regards, Greg Guenthner P.S. The staffing industry has shown investors impressive gains since late 2012. If these stocks can continue their strong performances after a period of consolidation, more gains are in store for alert traders. Sign up for the Rude Awakening for FREE today to see how you can trade these stocks for big gains… | ||||||||||||||||||||||||||||||||||||||||||||||||||||
| China and gold: the most, biggest, best Posted: 15 Apr 2014 07:17 AM PDT China is the world's largest producer of gold, the biggest jewellery market in the world and one of the largest holder's of bullion.  This posting includes an audio/video/photo media file: Download Now | ||||||||||||||||||||||||||||||||||||||||||||||||||||
| Gold paves streets for China's rising urban middle classes Posted: 15 Apr 2014 07:17 AM PDT World Gold Council report on China's demand for bullion forecasts a growing middle class driving future demand. Here are the main facts:  This posting includes an audio/video/photo media file: Download Now | ||||||||||||||||||||||||||||||||||||||||||||||||||||
| Hardly a mention of central banks in FT report on London gold fix Posted: 15 Apr 2014 06:36 AM PDT Gold: In Search of a New Standard The London Fix Has Been in Place for Almost a Century But Critics Say the System Needs Reform By Xan Rice http://www.ft.com/cms/s/2/e31b0f44-b0e5-11e3-bbd4-00144feab7de.html On the morning of September 12, 1919, just 10 months after the end of the first world war, bankers at NM Rothschild & Sons in London sat down to calculate a fair price for gold. They had been asked to do this by the Bank of England, which wanted to restore the city's status as an international finance centre. Sir Brien Cokayne, the BoE's governor, envisaged "an open market for gold in which not only every seller would know that he would receive the highest price the world could pay but also every buyer would know that he would get his gold as cheaply as the world could supply it." ... Dispatch continues below ... ADVERTISEMENT Jim Sinclair to hold gold market seminar in Toronto on April 26 Mining entrepreneur and gold advocate Jim Sinclair's next gold market seminar will be held from 1 to 5 p.m. Saturday, April 26, at the Pearson Hotel & Conference Centre at Toronto's Pearson International Airport, 240 Belfield Road, Toronto. For details on tickets, please visit Sinclair's Internet site, JSMineSet.com, here: http://www.jsmineset.com/2014/04/01/toronto-qa-session-announced/ At 11 am that day, Rothschild set a reserve price at L4.92 or $20.67 an ounce. The four other bullion banks invited to bid wanted all the precious metal on offer and the price was increased by 2 pence to reflect the demand. The "London gold fixing" was born. Nearly 95 years on, the fix remains the global gold benchmark, used by miners, central banks, jewellers and the financial industry to trade gold bars, value stocks and price derivative contracts. The original five bullion dealers have been replaced by five banks: HSBC, Deutsche Bank, Scotiabank, Barclays, and Societe Generale. But the process and traditions are little changed; had Rothschild not sold its fixing seat in 2004 the members might still be meeting in its oak-panelled boardroom with small Union Jack flags on their desks, rather than via conference call. To supporters of the gold fixing, its longevity is a mark of its efficiency and utility. To a growing group of critics, however, the benchmark is opaque, old fashioned and vulnerable to market abuse. Pressure to reform is coming from several directions. Since uncovering evidence of alleged abuse by bankers of the Libor and forex benchmarks, regulators have been scrutinising other big financial benchmarks for signs of weakness. The German watchdog BaFin has requested documents from Deutsche Bank, which has put its seat up for sale, as part of a precious metals market review. Academics have questioned the fix's fairness and suggested possible collusion. Smelling blood, US lawyers launched at least three class action suits in March alleging rigging. From being an asset of considerable prestige, a fixing seat may be turning into a liability. "Most people in the industry would like to keep the fix because it works," says Natalie Dempster, head of public policy at the World Gold Council, which represents the industry. "But reform is needed. What was acceptable five years ago in terms of transparency is not acceptable today." Unlike other commodities, from copper to coffee, gold does not trade on an exchange in London. People wishing to buy and sell bullion wholesale rely on a 24-hour over-the-counter market serviced by fixing members and investment banks such as Goldman Sachs, JPMorgan and UBS. The main futures contracts are traded in New York and Shanghai. The gold fixing takes it cue from and influences these markets. Every day at 10.30 am and 3 pm London time, the five banks join a secure conference call. The chairman -- the job rotates among the banks annually -- suggests an initial price, close to the market price. Each bank confers by telephone with its clients -- other financial institutions and gold producers and consumers -- and then declares if it is a buyer, seller or has no interest. If there are only sellers, the price is lowered, and vice versa. When there is two-way interest, members say how many 400-ounce (12.4 kg) gold bars -- each worth about $531,600 at current prices of $1,329 a troy ounce -- they wish to trade. The chairman moves the price, and the banks adjust their orders, until the difference between buying and selling requests is less than 50 bars, at which point the price is fixed. The call usually takes less than 15 minutes. The process is a world apart from other benchmarks. Libor, for example, is independently calculated using lending rates submitted by international banks, while foreign currency benchmarks are based on electronic trades within a 60-second window. Advocates of the gold fixing say it provides a snapshot of the entire interested market in equilibrium. "It has an unfortunate name but is a genuine benchmark, backed by physical bullion traded," says Rhona O'Connell, head of metals research at Thomson Reuters GFMS. The fix is not especially lucrative for the banks, which typically charge clients a premium of 5 to 10 US cents an ounce above the benchmark price. What membership offers is a potential edge in winning business from large clients, such as central banks, since it demonstrates a commitment to the market. But are there other financial advantages for all gold fixing participants, including the member banks and their clients, who receive a live commentary by phone or secure internet chat? In a paper published in the Journal of Futures Markets last year, Andrew Caminschi and Richard Heaney, lecturers at the University of Western Australia, looked at the impact of the London afternoon fix on the biggest gold futures contract and exchange-traded fund between 2007 and 2012. They found that during the first four minutes after the start of the fix, trading volumes in futures and ETF contracts spiked by more than 50 per cent, with volatility up 40 per cent. This implied that information from the call was being acted on before the fix price was published, usually a few minutes later. The direction of these trades was "significantly predictive" of the ultimate price direction of the fix, in some cases exceeding 90 per cent, the paper said. The authors estimated that an "informed trader" had an advantage over other market participants of 0.1 per cent, in terms of returns, "which far exceeds trading costs and can be deemed economic". The paper, "Fixing a leaky fixing", does not accuse anyone of acting improperly but says the findings might give regulators and ordinary investors cause for concern. "If you have five stock brokers getting together in the middle of the day to hold a private auction of shares that were being traded all the while, and the result of that auction had a strong influence on the share prices, I think there would be some scrutiny of that process," Mr Caminschi says. Bankers counter that the information does not "leak" during the fix. Instead, it is designed to flow swiftly through the wholesale industry to assess real supply and demand, as well as to encourage trading and thus increase commissions. Even so, nobody denies that arbitrage opportunities exist or that there is heavy trading in other gold markets during the fix. Numerous derivative products are tied to the benchmark, such as options to trade gold if a certain price is achieved. So financial institutions -- from banks to hedge funds -- may have an incentive to drive prices higher or lower in the lead up to the fixing, or during the auction. "Everybody in the market understands that it is big boys' games," according to a former precious metals trader at an investment bank. "But I never felt there was any abuse. Would a fundamentally flawed product have existed for so long if there was?" The lack of public information about the gold fixing leaves it open to criticism. No transcripts of the conference calls exist, nor are there details about prices and volumes. Rosa Abrantes-Metz, an adjunct professor at New York University Stern School of Business, who has advised regulators on financial benchmarks and worked as a paid expert witness to class-action lawyers, has been one of the most vocal critics of the fix. She lists numerous weaknesses of the benchmark, from the lack of oversight to the fact that it involves "five competitors exchanging information on prices while also doing proprietary trading." Mrs Abrantes-Metz says to support her suspicions of collusion she is working on a research paper, but it has not been finalised and is not ready to be made public. Bloomberg, however, quoted from a draft of the study in a February story, where Mrs Abrantes-Metz writes that "data are consistent with price artificiality" and that "it is likely that co-operation between participants may be occurring". Since then, that article has been cited in the three US class- action lawsuits filed against the fixing members. The five banks all strongly deny wrongdoing but none wanted to comment for this article. "It's a case of 'when did you stop beating your wife?'" says a banker. "There's nothing to be gained by speaking out." The London Bullion Market Association, the trade body whose members include the market-making banks, also had no comment. Such silence is bad for the industry, says Adrian Ash, of BullionVault, a London retail broker, adding that the "perception of the fix is broken." Industry veterans dismiss talk of rigging. Philip Klapwijk, managing director of Precious Metals Insights, a Hong-Kong-based consultancy, is sceptical of the collusion allegations. "With Libor, you had interests pushing in the same direction. But here you have different banks, some with too much gold, some with too little gold. I very much doubt that there's a consistent identity of interest," he says. Apart from BaFin, the German regulator, which has offered little detail of its precious metals market "examination", no other watchdog has barked. The US Commodity Futures Trading Commission and the Financial Conduct Authority, which oversees the UK markets, have not announced investigations into how gold prices are set. The five banks are conducting their own review of the fix to ensure compliance with guidelines set last year by the International Organization of Securities Commissions. But this is not enough, says Brian Lucey, a professor of finance at Trinity College, Dublin, and an expert on the economics of gold. Although he thinks that the idea of prolonged rigging of the market "is getting into tinfoil-hat territory," there needs to be an analysis of how the market reacts during the auction. "In this context, you want to be Caesar's wife -- above suspicion," Mr Lucey says. So will the fix last until its 100th anniversary, in five years? Several people interviewed in the financial sector believed it was expendable, and that a better benchmark could be built using electronic trading data. Companies that use the fix daily to trade gold for clients, such as Japan's Sumitomo, say that would be a mistake. "I am a strong believer in the fixing because it allows everyone to transact at a single benchmark price," says Bob Takai, president at Sumitomo's research group. But he agrees more transparency is desirable. Mrs Dempster, of the World Gold Council, suggests improvements, such as introducing electronic capturing of the auction process, real-time data dissemination and external oversight. If the banks do not react quickly enough, regulators may. "One way or another reform is coming," she says. Two attributes have defined the London gold fixing over the decades. First, the prestige conferred by a place on the body that sets the gold price could prove irresistible to those on the outside -- such as billionaire banker Edmond Safra, who in 1993 purchased Mase Westpac, the bullion bank, mainly for its seat on the five-member fixing. Second, the gold auction has always been the preserve of western financial institutions. The sale of Deutsche Bank's seat suggests that neither characteristic holds any longer. The German bank announced it was quitting the fixing in January. Unlike in the late 1990s and early 2000s, when Scotiabank, Credit Suisse, Societe Generale and Barclays swiftly snapped up seats, there appears to be little interest from North American and European institutions. For them, the controversy surrounding financial benchmarks has dulled the fixing's lustre. But this is not necessarily true for banks elsewhere. The frontrunner to buy Deutsche's seat, according to people with knowledge of the matter, is the UK-based markets arm of South Africa's Standard Bank. And it is no coincidence that this very division is at present being sold to Industrial and Commercial Bank of China for $765 million. State-owned ICBC is the world's biggest bank by assets and has millions of customers in its retail bullion business. Its ambitions to raise further its precious-metals profile are well known in the industry. If it does buy Deutsche's seat -- and the other fixing banks are understood to have consented to the move -- it would match the recent trend in the physical gold market. After gold's 12-year bull run ended in 2012, western investors have been dumping gold-backed exchange traded funds. Much of the bullion that has come on to the market has been flowing east, to India and especially to China. Last year China became the largest gold-consuming country, with demand reaching 1,190 tonnes -- a fivefold rise since 2003 -- according to Thomson Reuters GFMS. Chinese buyers, unlike their Western counterparts, often purchase jewellery for investment rather than adornment. Coins and small gold bars are popular too. Join GATA here: Porter Stansberry Natural Resources Conference Committee for Monetary Research and Education http://www.cmre.org/news/spring-meeting-2014/ Canadian Investor Conference 2014 http://cambridgehouse.com/event/25/canadian-investor-conference-2014-inc... New Orleans Investment Conference https://jeffersoncompanies.com/new-orleans-investment-conference/home * * * Support GATA by purchasing DVDs of our London conference in August 2011 or our Dawson City conference in August 2006: http://www.goldrush21.com/order.html Or by purchasing a colorful GATA T-shirt: Or a colorful poster of GATA's full-page ad in The Wall Street Journal on January 31, 2009: http://gata.org/node/wallstreetjournal Help keep GATA going GATA is a civil rights and educational organization based in the United States and tax-exempt under the U.S. Internal Revenue Code. Its e-mail dispatches are free, and you can subscribe at: To contribute to GATA, please visit: | ||||||||||||||||||||||||||||||||||||||||||||||||||||
| Weak China Data Sees Gold Prices Sink 2.7% on Anniversary of Worst Crash in 3 Decades Posted: 15 Apr 2014 06:16 AM PDT GOLD PRICES fell hard Tuesday lunchtime in London, dropping 2.7% on the 1st anniversary of the worst gold price crash in 30 years as new data from China showed a marked slowdown in money-supply growth. 15 April 2013 saw gold prices drop nearly 15% at one point, ending more than 9% lower at $1351 for the worst day since 1983 and the fifth sharpest loss since prices were floated in 1968. April 2013's crash in gold prices meant "Chinese consumers [brought] forward jewelry and bar purchases," says a new report on China's gold demand from market-development organization the World Gold Council. Despite forecasting 20% growth by 2017, "That may limit growth in demand in 2014," says the report, China's gold market: progress & prospects. Investment bank Goldman Sachs – which called for a sharp drop in prices last April – last week repeated its call of $1050 by year-end. A new Reuters survey Tuesday put the consensus gold price forecast amongst 28 analysts and consultants at $1,254 on average in the last three months of 2014. Reversing all of last week's gains on Tuesday, gold prices had "found stiff resistance" Monday above $1330, says French investment and London bullion bank Societe Generale. The metal's charts then "formed a daily bearish [pattern] and gold is poised for a further correction." "The market stretched as far as $1331 before it capitulated and sold off," agrees technical analyst Karen Jones at Germany's Commerzbank. "Near-term risk remains on the downside." "Overall sentiment [in metals] is weak," says a note from Canada's RBC commodity team, quoted by Bloomberg today as nickel prices fell at the fastest pace since October, "because China's economy is still a worry." "Compared to macro-economic indicators," China's official Xinhua news agency quotes head statistician Sheng Songcheng, commenting on the slowest money-supply growth in more than a decade at 12.1% annually, "the current M2 growth rate has stayed at normal levels. "Liquidity conditions are still ample to support the development of the real economy." Gold prices in Shanghai today fell 1.1%, down to a 3-session low in the Yuan but cutting the discount to London settlement to 60¢ per ounce. Now at a discount for 7 weeks running, gold bullion in Shanghai typically trades at a premium to international quotes, hitting $50 per ounce and more above London prices on spring 2013's crash. Shanghai equities ended Tuesday sharply lower, but European stock markets reversed earlier losses as New York opened. The Euro currency fell with gold prices, dropping near 1-week lows to the Dollar. New US data showed consumer-price inflation rising to 1.5% per year, in line with analyst forecasts. | ||||||||||||||||||||||||||||||||||||||||||||||||||||
| Posted: 15 Apr 2014 05:54 AM PDT MUST READS Ukraine crackdown gets off to slow start – Reuters EU and US mull further Russia sanctions – BBC Obama Warns Putin on Ukraine After Deadly Clashes – Bloomberg China gold demand to rise, World Gold Council says – BBC China’s gold market: progress and prospects – World Gold Council China may have 1,000 tonnes of gold tied in financing [...] | ||||||||||||||||||||||||||||||||||||||||||||||||||||
| China gold demand seen rising 25% by 2017 as buyers get wealthier Posted: 15 Apr 2014 04:30 AM PDT By Nicholas Larkin LONDON -- Gold demand in China, which overtook India as the largest user last year, will rise about 25 percent in the next four years as an increasing population gets wealthier, according to the World Gold Council. Consumer demand will expand to at least 1,350 metric tons by 2017, the London-based council said in a report today. Growth may be limited this year after 2013's price decline spurred consumers to do more buying last year, it said. China accounted for about 28 percent of global usage last year, the council estimated in February. ... ... For the full story: http://www.bloomberg.com/news/2014-04-15/china-s-gold-demand-rising-25-b... ... For the World Gold Council report: http://www.gold.org/supply-and-demand/china-report ADVERTISEMENT Buy metals at GoldMoney and enjoy international storage GoldMoney was established in 2001 by James and Geoff Turk and is safeguarding more than $1.7 billion in metals and currencies. Buy gold, silver, platinum, and palladium from GoldMoney over the Internet and store them in vaults in Canada, Hong Kong, Singapore, Switzerland, and the United Kingdom, taking advantage of GoldMoney's low storage rates, among the most competitive in the industry. GoldMoney also offers delivery of 100-gram and 1-kilogram gold bars and 1-kilogram silver bars. To learn more, please visit: http://www.goldmoney.com/?gmrefcode=gata Join GATA here: Porter Stansberry Natural Resources Conference Committee for Monetary Research and Education http://www.cmre.org/news/spring-meeting-2014/ Canadian Investor Conference 2014 http://cambridgehouse.com/event/25/canadian-investor-conference-2014-inc... New Orleans Investment Conference https://jeffersoncompanies.com/new-orleans-investment-conference/home * * * Support GATA by purchasing DVDs of our London conference in August 2011 or our Dawson City conference in August 2006: http://www.goldrush21.com/order.html Or by purchasing a colorful GATA T-shirt: Or a colorful poster of GATA's full-page ad in The Wall Street Journal on January 31, 2009: http://gata.org/node/wallstreetjournal Help keep GATA going GATA is a civil rights and educational organization based in the United States and tax-exempt under the U.S. Internal Revenue Code. Its e-mail dispatches are free, and you can subscribe at: To contribute to GATA, please visit: ADVERTISEMENT Silver mining stock report for 2014 comes with 1-ounce silver round Future Money Trends is offering a special 18-page silver mining stock report about how to profit with the monetary and industrial metal in 2014, and it comes with a free 1-ounce silver round. Proceeds from the report's sales are shared with the Gold Anti-Trust Action Committee to support its efforts to expose manipulation in the monetary metals markets. To learn about this report, please visit: | ||||||||||||||||||||||||||||||||||||||||||||||||||||
| Gerald Celente -- Financial Meltdown 2014 Posted: 15 Apr 2014 04:00 AM PDT Gerald Celente - Edelmetalle - April 12, 2014 Gerald discusses gold, the financial system and current events going on around the world - Germany, Austria and Liechtenstein. Gerald Celente is One of the best-known futurists in the country is Gerald Celente. He is the founder of the Trends... [[ This is a content summary only. Visit http://www.GoldSilverNewsBlog.com or http://www.newsbooze.com or http://www.figanews.com for full links, other content, and more! ]]  | ||||||||||||||||||||||||||||||||||||||||||||||||||||
| How to Invest in, Buy, Sell, Store and Insure Precious Metals in Canada Posted: 15 Apr 2014 03:58 AM PDT This report was written for the Canadian public, primarily. However, anyone interested in investing in precious metals will find plenty of useful information, since investment options are probably the same in every country. Moreover, even if you are not a Canadian you might want to consider investing in Canada to diversify your investment portfolio In this report, the authors discuss options of investing in physical (bullions, numismatic coins and collectible items, junk coins, silverware and flatware, jewelry) and paper (trusts, investment through companies that buy/sell and store precious metals for you, deposit programs, bank gold/silver certificates) precious metals. Readers get to know all available options along with advice on how to buy and sell precious metals on Ebay, which can be very profitable if you follow our recommendations. Some investments are riskier than others, due to stock market risk, storage companies’ default risk or even the risk of burglary (in case you keep your precious metals at home). The report covers the risks and how to protect your precious metals. | ||||||||||||||||||||||||||||||||||||||||||||||||||||
| China's Gold Demand "Faces 3 Risks" to 20% Growth Posted: 15 Apr 2014 03:53 AM PDT Long-term boom in China's gold demand "solid, on-going," says World Gold Council... CHINA's world-leading gold demand is set to grow a further 20% by 2017, according to a detailed new report from global market-development organization the World Gold Council today. But that growth faces risks short term, adds the report – China's gold market: progress & prospects – as China's political leaders attempt to replace its investment and export-led economic growth with stronger domestic consumption and lower borrowing.
Analysts at Goldman Sachs last month said gold bullion may account for $60 billion-worth of so-called "trade financing deals" in China, three times as much as copper – previously highlighted as a key commodity in shadow-banking loans made against unpaid for collateral. Feeding into the World Gold Council's report, Hong Kong consultancy Precious Metals Insight says the total may have reached $40 billion (some 1,000 tonnes) by end-2013. China's decade-long run of "ultra-low nominal interest rates" has meantime seen cash savers lose value in real terms, the World Gold Council's report explains. That "has underpinned the massive growth in demand for gold investment products," and analysts have long recognized the link between real US interest rates and Dollar gold prices. Data last week from Chow Tai Fook, the world's most highly valued jewelry-store business, confirmed a slowdown in China's demand, with same-store sales down 9% in Jan-March from the same period of 2013. Discussing these and other risks in light of China's "deeply rooted pro-gold culture" however, the World Gold Council believes "the spotlight will be on China for many years to come." Citing projections by Ernst & Young for China's middle-class to grow by two-thirds to 500 million by 2020, "The pool of private savings is [already] vast," says the report. Yet "overall allocation to gold is tiny by comparison." Household bank-account savings total some $7.5 trillion, some 25 times the size of consumer gold holdings, the report says. The equivalent ratio in India – formerly the world's No.1 consumer nation – is 1:1. Based on data and analysis by Precious Metals Insight, the World Gold Council's report foresees total private-sector demand for gold of 1,350 tonnes by 2017, up by 20% from last year's best estimates. | ||||||||||||||||||||||||||||||||||||||||||||||||||||
| China's Gold Demand "Faces 3 Risks" to 20% Growth Posted: 15 Apr 2014 03:53 AM PDT Long-term boom in China's gold demand "solid, on-going," says World Gold Council... CHINA's world-leading gold demand is set to grow a further 20% by 2017, according to a detailed new report from global market-development organization the World Gold Council today. But that growth faces risks short term, adds the report – China's gold market: progress & prospects – as China's political leaders attempt to replace its investment and export-led economic growth with stronger domestic consumption and lower borrowing.
Analysts at Goldman Sachs last month said gold bullion may account for $60 billion-worth of so-called "trade financing deals" in China, three times as much as copper – previously highlighted as a key commodity in shadow-banking loans made against unpaid for collateral. Feeding into the World Gold Council's report, Hong Kong consultancy Precious Metals Insight says the total may have reached $40 billion (some 1,000 tonnes) by end-2013. China's decade-long run of "ultra-low nominal interest rates" has meantime seen cash savers lose value in real terms, the World Gold Council's report explains. That "has underpinned the massive growth in demand for gold investment products," and analysts have long recognized the link between real US interest rates and Dollar gold prices. Data last week from Chow Tai Fook, the world's most highly valued jewelry-store business, confirmed a slowdown in China's demand, with same-store sales down 9% in Jan-March from the same period of 2013. Discussing these and other risks in light of China's "deeply rooted pro-gold culture" however, the World Gold Council believes "the spotlight will be on China for many years to come." Citing projections by Ernst & Young for China's middle-class to grow by two-thirds to 500 million by 2020, "The pool of private savings is [already] vast," says the report. Yet "overall allocation to gold is tiny by comparison." Household bank-account savings total some $7.5 trillion, some 25 times the size of consumer gold holdings, the report says. The equivalent ratio in India – formerly the world's No.1 consumer nation – is 1:1. Based on data and analysis by Precious Metals Insight, the World Gold Council's report foresees total private-sector demand for gold of 1,350 tonnes by 2017, up by 20% from last year's best estimates. | ||||||||||||||||||||||||||||||||||||||||||||||||||||
| Understanding (and Ignoring) the Media Bandwagon Against Gold Posted: 15 Apr 2014 01:49 AM PDT For those of us who media often refers to as “gold bugs”, the fragility of popular sentiment toward not just gold and silver, but toward all investments generally, is the biggest barrier to a sane, free and fair market. The willingness of the majority to embrace opinions parroted by mainstream media and repeated dutifully by talking heads and other erstwhile shills for U.S. dollar interests simply because they are far more numerous than negative ones, and are delivered by talking heads who manage billions, is frustrating. |
Overnight there was some data that was disappointing from China. Gold and silver have been hit, but strangely enough, oil has been firm. The key thing the markets are failing to realize is that the Chinese are getting the job done. They are not going to slow their economy to the point where they have high unemployment and riots in the streets. 
Thank you to all of our readers who sent in comments today supportive of David's article on Backwoods Jr. To be clear on the matter, I have no issue with anyone whose beliefs are different from ours. We are, after all, in the minority.
Stewart Thomson is the president of Graceland Investment Management Ltd. and owner of GU Trader, which is a gold futures/ETF trading service. High net worth individuals around the world follow his newsletter Graceland Updates on a daily basis, which features his technical analysis of gold … 
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