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- Guest Post: "Physical Silver Shortage Explodes", by The Doc at SilverDoctors
- Physical Silver Shortage EXPLODES! “We Are Looking at the Potential of 2008 Style PM Premiums”
- What I learned about leadership when I interviewed the biggest drug dealer in history
- Fund Manager: The Fuse Has Been Lit- THIS IS THE START OF CAPITAL CONTROLS!
- Commodity Collapse
- Is the ‘War on Gold’ next?
- “Demand For Physical Silver Is Exploding”
- European Stocks, Chinese Stocks And Commodities Are All Crashing – Are U.S. Stocks Next?
- US Mint SOLD OUT of Silver Eagles, Announces Will Not Take Orders Until AUGUST!
- Something VERY Interesting is Brewing in Comex Silver
- Insider Warns Credit Market is SHUTTING DOWN, $75 Trillion Implosion Looms
- The American Dream is Still Alive… For Waiters and Bartenders
- Gold Price Bounces on NYSE Trading Halt After Fresh China Stock Slump Sees Shanghai Gold Trade at Discount
- Gold’s strength in face of market sell off, is the bottom in?
- This life-changing routine can boost your productivity 100-fold
- It Takes A Village
- Correlation and Causation
- Peter Cooper: China’s policy response to its equity crash to be inflationary and boost gold
- Leveraged Chinese “Investors” Learning Painful Lesson
- Degussa Gold sales jump by upto 50% in H1 2015
- Gold and Silver spot prices increasingly detached from reality
- Somebody big’s sitting on the gold price says Sharps Pixley CEO Ross Norman
- Gold’s strength in face of market sell off, is the bottom in?
- Precious metal trading surges in China as equities crash
- Risk:reward now favors gold over global equities
- COMMODITY Collapse
- Gold Technically Weak – Testing Recent March Lows
- Chinese Stock Market Rout Continues; Trading Halted in Over Half of Listed Stocks
- Where Is Gold Headed? The Answer Doesnt Lie in Greece
- Gold – Drops to Key Support Level at $1150
- CHARTS : Gold and silver are getting crushed
- Carlin Trend’s gold
- European Stocks, Chinese Stocks And Commodities Are All Crashing – Are U.S. Stocks Next?
- Video Update: Final Breakdown Begins..?
- WARNING: The next leg down in silver is here…
- Can You Imagine The Fed Raising Rates In This World?
- One of the few charts that looks good in this market
| Guest Post: "Physical Silver Shortage Explodes", by The Doc at SilverDoctors Posted: 08 Jul 2015 12:54 PM PDT Lots of anecdotal evidence out there regarding physical silver shortages. Most noteworthy was yesterday's news that the U.S. Mint would not be accepting additional orders for Silver Eagles until August. The Doc just emailed this new link and summary and offered to have it posted here at TFMR, as well. Please read and consider. | ||||||
| Physical Silver Shortage EXPLODES! “We Are Looking at the Potential of 2008 Style PM Premiums” Posted: 08 Jul 2015 12:30 PM PDT Everything has changed in the past 48 hours… Tuesday morning we warned that physical shortages and BIG jumps in physical silver premiums were imminent after 90% silver premiums had doubled in the past 48 hours. Below is an update of the physical precious metals markets over the past 48 hours: 90% premiums skyrocketed over the […] The post Physical Silver Shortage EXPLODES! “We Are Looking at the Potential of 2008 Style PM Premiums” appeared first on Silver Doctors. | ||||||
| What I learned about leadership when I interviewed the biggest drug dealer in history Posted: 08 Jul 2015 12:25 PM PDT From James Altucher, Editor, The James Altucher Report: “We want you to come out here and interview ‘Freeway Rick Ross’ on stage.” Who? I was talking to Jayson Gaignard. I don’t really know anything about anything so Jayson had to explain and then I looked up Rick. And then I got obsessed. Rick Ross had sold about a billion dollars worth of crack cocaine during his “career”. I read every book. I read his autobiography. I read about a dozen articles. I watched three documentaries. I flew out to Jayson’s Mastermind Talks in Napa Valley. Seth Godin has great advice about speaking at conferences: If you speak at a conference either do it for free because you love it, or charge FULL RETAIL. I flew out to Jayson’s conference for free. I was really nervous because I knew I had nothing at all in common with Rick. Maybe he would hate me. Some nerdy Jewish guy who thinks he knows everything. I had written down about 100 questions but I knew I wouldn’t look at my notes during the interview. I then rewrote them from memory. And then rewrote them again. I knew the questions I rewrote the most were the ones that were probably most interesting to me. There were many things I didn’t care much about: politics, legal issues, the Iran-Contra situation (Rick was fooled by the CIA into providing drug profits to the Contras). The rise of gang violence was an issue so before the interview I had lunch with Rick and asked about that. He told me that while he was there, everyone working for one cause: making money, and they knew that if homicide police came in then that would be the end of the money. “There was less gang violence when I was in charge,” he said, “because we were all getting rich”. We had a great interview that lasted an hour (and you can listen for free right here). Rick Ross’s most active years were from 1981-1988. Basically a billion dollars worth of crack went through his organization. His connection was from Nicaragua. His distribution were all the gangs that he grew up with in South Central LA. His family broke up when he was four. He grew up amidst non-stop violence. He watched his uncle kill his aunt. Gang violence was every day. He didn’t learn to read or write so when he was 18 he was kicked out of high school and kicked off the tennis team where he was an aspiring champion. That was his one chance, he felt, to get out of the ghetto. He was on the street and needed to make money without an education, a family, and the ability to read or write. He asked an ex high school teacher for advice on how he could make money. The teacher suggested he sell drugs. So he sold drugs. And instead of spending his profits, Rick kept doubling and doubling until all the other dealers were now buying from him and Rick was using his scale to drive his own costs down. Eventually he was the main connection in all of the United States, buying up to $5 million worth of cocaine A DAY. The podcast will have the guts of the interview. But I was impressed how soft-spoken, ready to answer, and humble Rick was. He had spent, in various periods, close to 20 years in jail. Now his main goal was to lecture kids in jail and school how to avoid the situation he was in. Here’s what I gather were his main rules on leadership. How to lead a billion dollar organization where many of the people below him (“all of them”, Rick said and the crowd we were in front of laughed) carried guns. 1) TRY TO GET THE PEOPLE WORKING FOR YOU TO BE MORE SUCCESSFUL THAN YOU“I wanted the same for them and for them to even surpass me.” They might not always take it. But give them the chance to be as successful as you and they will take that example to the people below them. 2) HONESTYThis sounds strange coming from a drug kingpin but there aren’t any lawyers or courts to track down liars. Honesty is the law in that game. When there are lawyers, people lie and deceive and betray. When everything is based on your word and everyone is carrying guns, honesty is the rule. “If there was any funny business, I’d rather not deal with them anymore, or be very careful with them in the future.” 3) BE VERY LOW KEYNobody ever saw Rick being flashy. He was so low key that even when he was running almost a half billion dollars a year, the police had no idea what he looked like. Part of this was a decentralized structure. People several layers below him in the organization would not have any contact with him and would have to deal with conflicts at their level. “I had to show by example how to manage, so the people underneath me would know what to do instead of me being always involved.” 4) ONLY DO THE ESSENTIALRick arranged the top level contacts between his sellers and his buyers. Then he stepped back. Everything else had to be dealt with by the people who worked for him and the people who worked for them. “Everyone knew what they had to do.” And if they didn’t, they stopped being part of the food chain. 5) DON’T MAKE IT ABOUT THE MONEYAgain: odd advice from a mega drug lord. Rick poured many of his profits back into his neighborhood. This was in part to give back, to contribute. But at the same time, it was strategic. When he went to jail at one point and his bail was set at over a million dollars the million had to come from legitimate enterprises. So Rick could not supply his own bail. Instead, every household on the block he grew up on, put up their own homes as bail in order to get Rick out of jail. When you make it not about the money the benefits never stop since money is only a tiny byproduct of the reasons we live, we do things, we strive for success. 6) REDUCE CONFRONTATIONSWhen things have the possibility of getting incredibly violent, reduce confrontation as quickly as possible. Often Rick would simply pay off or write off any losses on people who were no longer fitting in with the organization, rather than have a confrontation with them. Violence could bring in a whole new set of problems. Better to take a loss and move on and now worry about it. 7) FREEMIUMIt’s almost a cliche, but Rick told how he went to Cincinnati. Stayed with a friend and told him to invite ten of his friends over. Then when everyone was there he gave everyone a free supply and told them if they were interested to come back in a week and buy the next batch. Everyone came back. Sometimes the sooner you charge in a business, the quicker you put a ceiling on your potential for expansion. This is true whether your business is drugs or when Facebook was waiting to charge for ads. 8) ASSUME THE WORST“I always knew I was going to go to jail,” Rick said. But he wasn’t going to sit around and wait for it to happen. He owned over a dozen houses so nobody knew where he was. He barricaded the houses to with multiple iron fences so that it would take the police over an hour to smash their way in and by then everyone would be gone. He would leave town for months at a time. He would put extra profits into “legitimate” businesses like a car parts company and hotels. He always assumed the worst, so that’s how he was able to diversify all the potential ways he could succeed. – – – At the end of the interview Rick described how he learned how to read and write in prison. He said that the U.S. jail system spends $45,000 a year per prisoner but refuses to buy prisoners books. He recommended the books, “As a Man Thinketh” by James Allen. “Awaken the Giant Within” by Tony Robbins, “Think and Grow Rich” by Napoleon Hill and “The Richest Man in Babylon by Og Mandino. He said that when he was broke and his mother was broke and his community was broke and he couldn’t read or write and had no education or prospects, this seemed like the only way out. When asked what he could’ve have done differently he paraphrased, “The Richest Man in Babylon”. When I was young I asked the most successful person I knew how I could make some money, he said. He looked down for a few seconds. Looked back up at the audience. Paused. “I asked the wrong person.” To listen to my interview with Freeway Rick Ross click here. [ad | ||||||
| Fund Manager: The Fuse Has Been Lit- THIS IS THE START OF CAPITAL CONTROLS! Posted: 08 Jul 2015 12:00 PM PDT Yesterday the US Mint runs out of silver eagles. Then today the news hits that all trading on the NYSE is "suspended" due to a "technical glitch." The fuse has been lit. This is the start of capital controls. It's no different from what China is doing. Just wait till they start lowering the gate […] The post Fund Manager: The Fuse Has Been Lit- THIS IS THE START OF CAPITAL CONTROLS! appeared first on Silver Doctors. | ||||||
| Posted: 08 Jul 2015 11:30 AM PDT There are times when all of the fundamentals, technicals and CoT structure simply don’t matter. Unfortunately, we seem to be entering another one of those periods… Submitted by Craig Hemke, TFMetals Report: As we discussed just yesterday, the performance of metals in the face of steeply falling copper, crude and other “commodities” was almost […] The post Commodity Collapse appeared first on Silver Doctors. | ||||||
| Posted: 08 Jul 2015 11:24 AM PDT From Bill Bonner, Chairman, Bonner & Partners: Over the weekend, the lines in Greece stretched along the street. Around the corner. Down the block. Lines to get cash. Lines to buy gas. Lines of people eager to get their hands on something of value. Food. Fuel. Cash. Pity the poor guy who was last in line… … the poor taxi driver, for example, standing behind 300 other people, trying to get 200 lousy euros out of an ATM. Like a tragic nightclub customer… among the last to smell the smoke. By the time he headed for the exit, it was clogged with desperate people, all struggling to get through the same narrow door at the same time. Remember: When a bear attacks in the woods, you don’t have to be faster than the bear. You just have to be faster than at least one other hiker… The Beginning of the EndLikewise, you don’t have to be the first one to get your money out of an ATM. You just want to be sure you get your money before the machine runs out of cash. And when a bear attacks Wall Street, you don’t have to be the first to sell. But you definitely don’t want to be the last. The Dow lost 350 points yesterday – its biggest point drop in two years. Today, Greece is expected to default on a $1.7-billion payment to the International Monetary Fund (IMF). And on the other side of the planet, analysts are looking at “the beginning of the end for Chinese stocks.” We doubt it is the beginning of the end. More likely, it is just the end of the beginning. On Friday, the People’s Bank of China cut rates to a record low, after stocks in Shanghai slipped 7% in a single day (the equivalent of about 1,300 points on the Dow). Analysts expected a big rally in response to the rate cut. Instead, the Shanghai Index plunged againon Monday, dropping 3%. Greece… China… said one commentator interviewed by Bloomberg: “You have a potentially very ugly situation this week.” Our guess: Stocks in the U.S. and China have topped out. Old-timer Richard Russell, who has been studying markets since 1958, agrees: I believe the top has appeared, like the proverbial thief in the night. The Dow has fallen below the 18,000-point level, and is now negative for the year. The Transports, which have led the way recently, are down triple digits for today and are only 89 points above the critical level of 8,000. The Nasdaq has closed under 5,000. At the market’s close, gold was up 5.3 at 1,179. When Gold Is Declared Illegal…But wait… What about silver and gold? As regular readers know, we recommend having some cash on hand in case of a monetary emergency. But a reader asks: In the same vein as your reader’s question as to what good cash is when it’s declared illegal, what good is gold when gold is declared illegal? First, precious metals aren’t illegal, so far. Second, making something illegal doesn’t necessarily make it unpopular. President Roosevelt banned gold in 1933. The feds wanted complete control of money. The dollar was backed by gold. So getting control of the dollar meant getting control of gold. Once the feds had the gold, they could devalue the dollar by resetting the dollar-gold price from $20 to $35. In an instant, people lost more than 40% of their wealth (as measured by gold). That ban lasted for 42 years. It ended in 1975, largely because of our old friend Jim Blanchard. Jim set up the National Committee to Legalize Gold and worked hard to get the ban lifted. Today, the feds don’t need to outlaw gold. It is regarded as “just another asset,” like Van Gogh paintings or ’66 Corvettes. Few people own it. Few people care – not even the feds. They are unlikely to pay much attention to it – at least, for now. That could change when the lines begin to grow longer. Smart people will turn to gold… not just in time, but just in case. It is a form of cash – traditionally, the best form. You can control it. And with it, you can trade for fuel, food, and other forms of wealth. Lots of things can go wrong in a crisis. Cash helps you get through it. Generally, the price of gold rises with uncertainty and desperation. (More on the current outlook on gold in today’s Market Insight below… ) Gold is useful. Like Bitcoin and dollars in hand (as opposed to dollars the bank owes you), gold is not under the thumb of the government… or the banks. You don’t have to stand in line to get it. Or to spend it. Yes, as more and more people turn to gold as a way to avoid standing in lines, the feds could ban it again. But when we close our eyes and try to peer into a world where gold is illegal, what we see is a world where we want it more than ever. Regards, Bill Crux note: The freezing of accounts in Greece is only a taste of what's to come… As Bill has been warning, right now in America, the highest levels of government and the banking system are locked in a desperate last stand against a disturbing monetary shock… one that will make what's happening in Greece seem mild by comparison. And it could disrupt your life in ways you never thought possible… You will suddenly be locked out of your bank account… unable to withdraw cash or deposit a check… your stocks will swing wildly out of control… your Social Security payments will pile up unopened on your kitchen table… no one will cash them… To find out what has Bill so worried, go here now. | ||||||
| “Demand For Physical Silver Is Exploding” Posted: 08 Jul 2015 11:15 AM PDT The global financial crisis is actually in progress right here and now, and despite what we're being told by the puppets in mainstream media… it is not contained. Submitted by Mac Slavo, SHTFPlan: As Greece threatens to unravel the European Union experiment and China's stock markets crash into an abyss, investors around the world are reportedly divesting […] The post "Demand For Physical Silver Is Exploding" appeared first on Silver Doctors. | ||||||
| European Stocks, Chinese Stocks And Commodities Are All Crashing – Are U.S. Stocks Next? Posted: 08 Jul 2015 11:10 AM PDT A global stock market crash has begun. European stocks are crashing, Chinese stocks are crashing, and commodities are crashing. And guess what? All of those things happened before U.S. stocks crashed in the fall of 2008 too. In so many ways, it seems like we are watching a replay of the financial crisis of 2008, but […] The post European Stocks, Chinese Stocks And Commodities Are All Crashing – Are U.S. Stocks Next? appeared first on Silver Doctors. | ||||||
| US Mint SOLD OUT of Silver Eagles, Announces Will Not Take Orders Until AUGUST! Posted: 08 Jul 2015 11:05 AM PDT *Breaking: The US Mint has just notified Authorized Dealers that it is ENTIRELY SOLD OUT of Silver Eagles, and WILL NOT TAKE FURTHER ORDERS UNTIL AUGUST 2015! This morning we warned that a massive jump in silver premiums was imminent as premiums on 90% silver had tripled in the past 48 hours. Less than 3 […] The post US Mint SOLD OUT of Silver Eagles, Announces Will Not Take Orders Until AUGUST! appeared first on Silver Doctors. | ||||||
| Something VERY Interesting is Brewing in Comex Silver Posted: 08 Jul 2015 11:02 AM PDT Last year was the first time since these records began, that world government silver sales were ZERO. What this means is that while governments may or may not have more gold to dump onto the market, from this point on, they are out of state-owned, physical silver for all rigging intents and purposes. Mine supply is […] The post Something VERY Interesting is Brewing in Comex Silver appeared first on Silver Doctors. | ||||||
| Insider Warns Credit Market is SHUTTING DOWN, $75 Trillion Implosion Looms Posted: 08 Jul 2015 11:01 AM PDT A real crisis is developing far faster than what I envisioned that is impacting the 75 Trillion Shadow Banking sector which is on the verge of implosion. Credit markets are almost closed, I am being told! I REPEAT again the CREDIT markets are almost closed! The following is chilling to say the least: Submitted by […] The post Insider Warns Credit Market is SHUTTING DOWN, $75 Trillion Implosion Looms appeared first on Silver Doctors. | ||||||
| The American Dream is Still Alive… For Waiters and Bartenders Posted: 08 Jul 2015 11:00 AM PDT Yes, America is creating 60,000 meaningful jobs per month… for waiters and bartenders… at a time when the Labor Force Participation Rate is at a 38-year low. Submitted by Simon Black, Sovereign Man: When I was a kid, my friends and I used to cruise around on our Huffy bikes for hours at a […] The post The American Dream is Still Alive… For Waiters and Bartenders appeared first on Silver Doctors. | ||||||
| Posted: 08 Jul 2015 10:44 AM PDT Bullion Vault | ||||||
| Gold’s strength in face of market sell off, is the bottom in? Posted: 08 Jul 2015 10:44 AM PDT Perth Mint | ||||||
| This life-changing routine can boost your productivity 100-fold Posted: 08 Jul 2015 10:32 AM PDT From Mark Ford, Editor, Creating Wealth: When it comes to personal productivity, we all have the chance to have good days or bad days. Good days are those that leave you feeling good because you have accomplished your most important tasks. Bad days are those that leave you feeling bad because you have failed to do anything to advance your most important goals. If you want to have a better life, you must fill it with good days. The best way to do that is to organize your day according to your personal priorities — doing the most important things first. It’s easy to do. Yet, most people don’t. Eighty percent of the people I know — and I’m including all the intelligent and hardworking people I work with — do exactly the opposite. They organize their days around urgencies and emergencies. Taking care of last-minute issues that should have been addressed earlier. Or completing tasks that help other people achieve their goals, while ignoring their own. Doing first things first is a very simple discipline. Yet, its transformative power is immense. It can change your life — literally overnight. It changed my life. Several times, in fact. I’ve used this technique to write and publish more than 20 books, write a half-dozen movie scripts, produce two documentaries and two feature-length films, become moderately fluent in two languages, create a community development center in Nicaragua, lose 20 pounds, and learn to play the French horn. One year, I used the technique to write a poem every day for 365 days. The year after that, I used it to get that book of poems published, and to write six other books. It is the single best technique I know for change. And it’s the fastest and easiest way to turn your life around if you are not happy with the way it’s been going so far. Doing first things first... Here’s what I do:
There are two things I do not allow myself to do first in the morning:
These activities are bad for you in the morning. In a nutshell, they are mostly about problems—problems that sap your time and energy and put you in an unproductive state of mind. By starting out with a positive mindset and giving my first and best hours to what matters most, I am living a much better life now than I ever have before. I follow this routine strictly five days per week. On weekends, I find at least two more hours each day to devote to priorities. In a year, this averages to about 600 hours. Six hundred hours may not sound like much, but it is. Six hundred hours is fifteen 40-hour work weeks. That’s almost four working months! Think about it. Here’s what you can accomplish in 600 hours:
Do any of these things sound interesting to you? How I organize my workdaysNow, let me show you how I organize my workdays to tie into my long-term goals. Below is the exact schedule I followed this morning. 6:00: Woke. Walked along the beach listening to Bill Gross talk about “what matters most” when starting a small business. Followed with a 10-minute swim. 6:45: Breakfast. (Three eggs, scrambled. Coffee, black. Half-slice of potato bread.) Talked to Julio about plans for landscaping the “swamp house.” 7:00: Revised two poems written last year. 8:00: Wrote a new poem. 8:30: Began an essay forCreating Wealthon the question asked by Bill Gross in his TED Talk: What matters most in starting a business? 9:30: Considered for a moment doing something else. Decided to push on. 11:00: After writing 1,600 words, decided to do something else. Began this little essay. 11:45: Got dressed quickly and rushed to the office. 12:00: Trained hard for an hour with Vitor and Eric. (My “training” is jiujitsu, a form of wrestling that includes chokes and submission locks. It is supposed to be a young man’s sport, but you can do it, I’m quite sure, through your 70s.) 1:30: Met with Giovanna, my executive assistant and memory. Went over calendar, task lists, etc. 2:00: Luncheon meeting with a colleague, in my office. 2:30: Meeting with my managing editor, Lindsey. 3:30: Phone call with marketing consultant. 4:00: Met with partner to discuss real estate holdings.
4:30: Returned phone calls to several colleagues.
5:00: Got back to this essay.
5:45: Reviewed and returned emails.
6:15: Planned the next day.
6:30: Had a yoga/Pilates workout with John, my trainer.
7:30: Got home for dinner on time! None of what I’ve said so far should astound you. It’s all good common sense. But it’s one thing to recognize a good technique, and quite another thing to learn to use it. Most people who read this essay will think to themselves, “I should do that. I should wake up early and spend time working on my dream.” They’ll think it, but they won’t do it. They may get into the office earlier, but when they do, they’ll probably turn on their computers and read their emails. People sometimes ask me if it’s really necessary to get up early. “I’m a night person,” they say. “I get my best work done after dark.” “Sure you do,” I think when I hear that. I used to say the same thing. But I was wrong. And I think you will change your mind if you allow yourself to experience the natural, unbeatable advantage of doing your most important work when your body is fresh and strong. Get up early. Get to work early. Do your important but not urgent tasks first. Regards, Mark Crux note: Mark founded Palm Beach Research Group in 2011. His mission is to help regular people learn his secrets to 360-degree wealth creation and a fulfilling, rich life. It’s about so much more than stock picks… For example, his research team discovered an asset lets you earn 40 to 50 times more interest than a savings account, tax free. Politicians, corporate executives, and Wall Street’s largest banks all use this special account… while Main Street remains in the dark. To learn more, click here. | ||||||
| Posted: 08 Jul 2015 10:00 AM PDT The story below happened before the world developed High Frequency Trading, Derivatives, Quantitative Easing, PhD economists, central banking, paper money, and career politicians to manage the affairs of our nation, so this story may not be relevant to our modern and sophisticated world. On the other hand, if it is relevant, I encourage you to […] The post It Takes A Village appeared first on Silver Doctors. | ||||||
| Posted: 08 Jul 2015 09:12 AM PDT The tightly-knit correlation between the Japanese yen and gold has been temporarily broken. What could be the cause of this and, by discovering the cause, can we begin to understand why and how gold has been declining these past two weeks? | ||||||
| Peter Cooper: China’s policy response to its equity crash to be inflationary and boost gold Posted: 08 Jul 2015 09:11 AM PDT What do we know about how central banks respond to stock market crashes? Typically they lower interest rates and ease monetary conditions in liberal fashion and worry about the inflationary consequences later. So now that China is seeing its own version of the 1929 Wall Street Crash should we not expect the same? In 2009 China greeted the global financial crisis with a stimulus package equivalent to half its GDP. Policy response It would be easy enough now to cut interest rates and devalue its currency to ease the pain to follow such a massive stock market event. This is the textbook response to the deflationary impact that such heart attacks have on an economy. Credit is already seizing up in China and trade is being affected. Commodity prices are in free fall, from oil to iron ore, copper and nickel. Printing money and doing it quickly is the only way to slow this down. The danger is that pumping money into an economy causes bubbles. Indeed the stock market bubble in China that is bursting now is the direct effect of the policy response to the global economic crisis in 2009, six years ago. Where will the money go this time? Likely the same place as last time: precious metals. Gold went on a tear from under $800 to $1,923 an ounce between 2009 and 2011, and that was the best performing asset class apart from silver, up from $8 to $49 an ounce. Domestic inflation China also created a great deal of domestic price inflation raising local price levels to the point that Western visitors no longer found anything cheap. We can expect more of the same again. However, after a major stock market crash like the one now happening in China there are usually major aftershocks in the real economy, in the banking sector in particular. Central banks know this and learnt from the 1929 Wall Street Crash the imperative of keeping the banks functioning. That said bad debts still have to be purged and businesses go bankrupt and people get ruined in the process. This is called a recession, not something China has suffered for decades. It will mean a major slowdown in demand for everything China has been buying from the rest of the world: industrial commodities, luxury goods, and even tourism. Fire sales will depress the price of some goods temporarily but a combination of a destruction of capacity and money printing will prove inflationary, and that is usually the only way to revive an economy from this sort of trauma. Precious metals Investors in gold and silver will get very rich – as prices will soar as Chinese inflation takes off – but it will be very hard for anybody else. In truth, over-inflated global stock markets will have to follow Chinese equities into a major downturn in a contagion like the 1930s. How long this lasts and how deep the damage proves to be will depend on just how good global central banks are at managing macroeconomics. We are about to find out. But forget about the Fed ever raising rates for years. The pressure will be in the reverse direction. How long to QE4? | ||||||
| Leveraged Chinese “Investors” Learning Painful Lesson Posted: 08 Jul 2015 08:44 AM PDT gold.ie | ||||||
| Degussa Gold sales jump by upto 50% in H1 2015 Posted: 08 Jul 2015 08:20 AM PDT In June the increase in sales amounted to even a surplus of nearly 60 per cent, which makes it the fifth highest monthly balance of the recent three and a half years. | ||||||
| Gold and Silver spot prices increasingly detached from reality Posted: 08 Jul 2015 07:20 AM PDT The link between the spot price and physical demand is thin at best. That is why the base price for gold coins in an Athens coin shop can get cheaper, but the all-in cost of buying the coins goes up as the line of buyers grows. | ||||||
| Somebody big’s sitting on the gold price says Sharps Pixley CEO Ross Norman Posted: 08 Jul 2015 06:19 AM PDT Somebody big is sitting on the gold price and a relief rally when the Fed raises interest rates is ‘a distinct possibility’, Ross Norman, CEO of Sharps Pixley and London Bullion Market Association's top forecaster of the past 15 years, told ArabianMoney today. ‘Gold is looking like the dog that just did not bark – but not uniquely so,’ he commented. ‘Most safe haven assets are looking distinctly lacklustre, including the VIX index. Safe haven ‘Either 5,000 years of safe haven buying has just become bunk, or there is a desire to portray what it is evidently a financial and economic crisis as nothing to be concerned about.’ However, things look very different to eurozone gold holders whose currency has depreciated around 15 per cent against the US dollar. ‘European gold investors saw a 10 per cent gain last year and are up eight per cent year-to-date,’ pointed out Mr. Norman. ‘So again gold is doing what it should do, and that is to provide a means of hedging ones exposure to a currency crisis.’ Will an interest rate hike by the Federal Reserve really be bad for gold as Goldman Sachs predicts, if or when it happens? Mr. Norman noted: ‘I think a rate hike must rate as the most telegraphed move in the history of financial markets and as such it must be fully factored into the price. When it does eventually come, say in Q1 2016, I could see a relief rally in gold as a distinct possibility. ‘Gold is looking rather like the late 1990’s when it became horribly price elastic – with selling on price strength and buy on dips with volatility falling dramatically as the market reverted to the mean.’ $1,450 an ounce? In January Mr. Norman forecast a peak gold price of $1,450 an ounce for the year (click here). That’s looking a bit on the optimistic side with gold trapped in a trading range. But if the Chinese stock market crash, or the Greek exit from the euro, overspills into global financial markets then all bets are off, and if past performance is any guide then gold will fulfill its historic role as a safe have when markets are really in serious distress. Gold is always the ultimate bubble in global financial cycles but we are not there yet. | ||||||
| Gold’s strength in face of market sell off, is the bottom in? Posted: 08 Jul 2015 02:16 AM PDT "Gold is strong," I hear you ask, "are you crazy?" Yes, gold fell just below $1150, but in relative terms think it performed OK over the past 24 hours. | ||||||
| Precious metal trading surges in China as equities crash Posted: 08 Jul 2015 01:18 AM PDT China recently saw trades of precious metals hit new highs as brokers introduced new investment products that are more accessible to average investors, reported the Guangzhou Daily. The paper noted that the Shanghai Gold Exchange posted a record trading volume of 48.33 million grams in a single day in late June, even though global gold prices remained low. Gold price angst Today gold prices logged a four-month low close to $1,150 an ounce despite uncertainty created by the Greek debt crisis and crashing Chinese equity prices. Still this is clear evidence that Chinese investors are shifting out of stocks and into gold. Several precious metals trading platforms in China have also witnessed a rebound and record trading volumes since mid-May, the newspaper said. The Guangdong Precious Metals Exchange reported that it had tripled institutional investors from a year earlier, while trading volume in June almost doubled from last year. Meanwhile, the SGE, which has led markets in gold trading volume for the past eight years, is seeking greater price-setting power and will launch the Shanghai-Hong Kong Gold Connect program on July 10th. New investment products for precious metals were among the highlights at this year’s China International Finance Expo in Guangzhou from June 26-28th, the newspaper reported. A total of 43 precious metal brokers showcased products created for mobile devices or popular instant messaging service WeChat. Some of these new products lowered the minimum investment requirement from a few thousand yuan to as low as 8 yuan $1.30, making investing in precious metals more accessible to investors new to the market. Bear growling So far this source of new investors has not been enough to counter the bearish trend in the gold market which is being pushed down by strong intervention by the global central banks now facing a major financial crisis in the making. But physical demand may well underpin the gold price at current levels, while as the crisis worsens the central banks are likely to lose control of gold as they did in 2009. Besides for Chinese investors losing their shirts on stocks a shift into gold is an obvious safe haven move, and they have little alternative in the other investments open to them. | ||||||
| Risk:reward now favors gold over global equities Posted: 08 Jul 2015 12:35 AM PDT Ask yourself today which has the greater downside to come: global equities or gold? And then on the other side, which of these asset classes has the greater upside potential? Sure it is possible for global equities to tick higher over the next couple of days, though heaven only knows why with the Chinese economy in serious trouble, commodity prices cratering and Greece about to be kicked out of the euro. Gold manipulation It is also possible for global central banks to manipulate gold down as they did so blatantly over the past week in an effort to calm market fears about liquidity and a credit squeeze. But gold has already had a four-year correction phase that bottomed out around $1,150 an ounce, down from $1,923. Global equities – with the exception of China at 35 per cent down and falling – are close to all-time highs set this year. Clearly global equities have far more room to fall than gold. Even if gold retreated to its 2008 lows it would fall by far less than equity markets did back then. It simply has less distance to fall. On the other hand, if we look at the spectacular recovery in gold and silver prices from those lows to their 2011 highs then the very large potential upside it evident. Silver prices rose from around $8 an ounce up to $49; gold prices more than doubled. So if you are considering the risk:reward ratio of these two major investment classes right now then it is clear that you should be holding your nose at current precious metal prices and moving from global equities into gold and silver. Bottom picking For what is too high to last, and what is so low it may already be at a bottom? Can anybody seriously argue that equities can extend their rallies higher from here? That’s what they said in Shanghai just a month ago! Besides eurozone holders of gold are already in the money as this precious metal is protecting them from the devaluation of their own currency. For them the choice between gold and owning stocks denominated in their own currency is much easier. That’s the main reason why the rush to buy physical gold has been so enormous in Europe this year, and the wisdom of shifting from equities to gold will only become more stark as the year continues and others make this move. Gold will be the last man standing as the dust clears from this battle field. | ||||||
| Posted: 08 Jul 2015 12:00 AM PDT goldseek | ||||||
| Gold Technically Weak – Testing Recent March Lows Posted: 08 Jul 2015 12:00 AM PDT coinweek | ||||||
| Chinese Stock Market Rout Continues; Trading Halted in Over Half of Listed Stocks Posted: 07 Jul 2015 11:57 PM PDT The Chinese stock market meltdown is accelerating despite government intervention and is blowing back to commodities markets, including copper and oil, which are trading down based on concern that the stock market plunge is a harbinger of even more economic weakness. And the decline may represent the beginning of the end of the faith in China's command and control economy. | ||||||
| Where Is Gold Headed? The Answer Doesnt Lie in Greece Posted: 07 Jul 2015 11:45 PM PDT elliottwave | ||||||
| Gold – Drops to Key Support Level at $1150 Posted: 07 Jul 2015 10:35 PM PDT marketpulse | ||||||
| CHARTS : Gold and silver are getting crushed Posted: 07 Jul 2015 10:30 PM PDT businessinsider | ||||||
| Posted: 07 Jul 2015 04:00 PM PDT GoldCoin | ||||||
| European Stocks, Chinese Stocks And Commodities Are All Crashing – Are U.S. Stocks Next? Posted: 07 Jul 2015 03:38 PM PDT
For months, European authorities have been promising us that a “Grexit” is already “priced in” to the markets and that any “contagion” from the Greek crisis will be “contained”. Of course everyone knew that was just a smokescreen. Just in the past couple of days since the Greek “no” vote, European stocks have already been crashing. The following comes from Zero Hedge…
As I mentioned at the top of this article, European stocks started crashing well before U.S. stocks started crashing during the last financial crisis. If you doubt this, just look at this chart, and this chart and this chart. Will the same thing happen again this time? And just like I have warned repeatedly, European bond yields have started to soar. When bond yields go up, bond prices go down, so many bond investors are losing a tremendous amount of money right now. Here is more from Zero Hedge…
If there is not a last minute deal between Greece and her creditors, what we have witnessed so far in the bond markets will just be the tip of the iceberg. In the months ahead, we could witness a bond crash unlike anything that we have ever seen in all of history. Just consider what Egon von Greyerz recently told Eric King…
Hmm – there is that word “derivatives” again. It is funny how that keeps popping up. As things unravel over in Europe, a lot of desperate Europeans are feverishly purchasing physical gold. The following comes from Bloomberg…
Meanwhile, Chinese stocks have continued to fall. Overall, Chinese stocks have fallen 27 percent since the peak, and a whopping 3.2 trillion dollars of “paper wealth” has been wiped out in China in just the last three weeks. At this point things are so bad that about one-fourth of all stocks in China have already suspended trading according to CNN…
Desperate measures are being employed to try to stop the stock market crash in China. For example, over the weekend an alliance of securities brokerages pledged to invest “at least 120 billion yuan” in order to stabilize stock prices…
The Chinese central bank has gotten involved as well. In fact, the People's Bank of China has taken the dramatic step of actually directly loaning money to brokerages…
In addition, the Chinese government has taken the following steps to intervene… -All short selling of stocks has been banned. -China’s national social security fund has been banned from selling stocks, but they can continue to buy stocks. -Local media has been banned from using the terms “equity disaster” and “rescue the market” in their news reports. But despite everything that you just read, Chinese stocks have still been falling. Meanwhile, global commodity prices are crashing. Just check out this chart. This is also something that happened before U.S. stocks crashed back in 2008. Thankfully, U.S. stocks have not started crashing yet. But it should be noted that the “smart money” in the United States has been selling stocks like crazy since the “no” vote in the Greek referendum. And if the patterns that we witnessed seven years ago hold up, it is just a matter of time before we experience a stock market crash too. Incredibly, there are a lot of people out there that very strongly believe that everything is going to be just fine. They have tremendous faith in the central bankers and in our political leaders, and they are assuring all the rest of us that there is no possible way that the global financial system could be brought down again. I truly wish that they were right. If everything was going to be just fine, instead of writing about the coming economic collapse I could write about sports or do a blog dedicated to LOLcats. But of course the truth is that the “hopetimists” are dead wrong. A great shaking is coming to our world, and life as we know it is about to change in a major way. The post European Stocks, Chinese Stocks And Commodities Are All Crashing – Are U.S. Stocks Next? appeared first on The Economic Collapse. | ||||||
| Video Update: Final Breakdown Begins..? Posted: 07 Jul 2015 02:51 PM PDT We focus on Gold, sentiment on Gold as well as US equities (briefly).
The post Video Update: Final Breakdown Begins..? appeared first on The Daily Gold. | ||||||
| WARNING: The next leg down in silver is here… Posted: 07 Jul 2015 12:41 PM PDT From Justin Dove, Editor, The Crux: Silver prices just reached a new six-year low… and there may be more losses ahead. Since reaching a peak of more than $45 per ounce in early 2011, silver has been in a long bear market. This morning (Tuesday), silver prices fell to around $15 per ounce… a decline of nearly 70%. You can see this long, slow decline in a five-year chart of the iShares Silver Trust (SLV), an exchange-traded fund that tracks the intraday price of silver…
What’s important about today’s move is that silver prices had appeared to “bottom” around the November 2014 low. You can see this represented in the black line at the bottom of the one-year chart below:
Now that prices have gone below the November low, it means the downtrend in silver has resumed… and there’s no telling where prices will settle. The next stop could be as low as $12.50/oz. (about 10% below today’s level)… Or maybe even lower. The point is, the bear market in silver is still intact… and there could be more pain ahead. Traders and investors should be cautious. | ||||||
| Can You Imagine The Fed Raising Rates In This World? Posted: 07 Jul 2015 11:31 AM PDT $1.4 trillion of Chinese stocks have stopped trading. Greece is finally imploding. The US trade deficit is widening on falling exports.Copper just fell back to 2009 levels. And safe-haven capital flows are revving up again, with Swiss 10-year bonds once again trading with negative yields.
Yet somehow a majority of economists and money managers continue to believe that not only will the fed hike rates at its next meeting, but that it should do so. The IMF isn’t normally the voice of reason on major financial issues, but in this case — perhaps because it has its hands full with Europe — its caution seems appropriate:
“Weaker global growth” indeed. The next two charts show GDP growth for Japan and Germany. Note that they’re both positive (barely) but are also lower than the previous year. So momentum was already slowing before Greece blew up and China’s stock bubble burst.
For the world’s biggest economy to respond to the above with steps to slow down its growth would be at best ill-mannered and at worst the kind of slap in the face that sets off global contagions. So yeah, it’s kind of hard to imagine. | ||||||
| One of the few charts that looks good in this market Posted: 07 Jul 2015 10:56 AM PDT From Jeff Clark, Editor, Stansberry Short Report: The financial markets are reeling… The S&P 500 is down almost 4% from its May high. Germany’s benchmark DAX index has lost around 10% since April. China’s stock market – the Shanghai Stock Exchange Composite Index – has crashed more than 20% in less than a month. Long-term U.S. Treasury bonds are down about 15% since February. The price of oil is rolling over again. And even gold can’t seem to catch a bid in this environment. But there is one sector that just kicked off an explosive rally… agricultural commodities… Take a look at this chart of the PowerShares DB Agriculture Fund (DBA)…
I tried to pick a bottom on this sector back in late February. Back then, DBA was trading around $22.80 per share and the chart looked like it was forming a “double bottom” pattern. It was an excellent low-risk/high-reward setup. But it didn’t work out. DBA broke support at $22.80… And it has since spent four months trying to find a bottom. Notice, though, how the moving average convergence divergence (MACD) momentum indicator was rising as the price of DBA shares was falling. This “positive divergence” was a sign that the momentum behind the decline in DBA was shifting from bearish to bullish. And the sector was overdue for a reversal. That reversal started last week, when DBA exploded more than 5% higher in just three trading days and broke through resistance at $22.80 (previously support). The strength of that move, along with the length of time DBA spent consolidating near the lows and the solid positive divergence on the MACD indicator, suggests this move has a lot further to run. If DBA can break above resistance at about $23.50 per share, then there really isn’t anything to hold it back from reaching $25 over the next several weeks. The sector is overbought in the short term. That often happens in the early stages of a new rally phase. So DBA is likely to come back down and retest the $22.80 level as support. Traders should use that pullback as an opportunity to buy. Agricultural-commodity prices are headed higher… Make sure you’re in position to profit. Best regards and good trading, Jeff Clark |
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