saveyourassetsfirst3 |
- Bullion – The Trouble Barometer
- A Colder Than Normal Winter Should Throw Natural Gas Into Backwardation
- Dollar Strength “Temporarily Stalls Gold”, But “Gains Ahead” with “Conditions Still Favorable”
- South African Investment Opportunities
- What's The Dumb Money Doing Now?
- Commodity Chart Of The Day: U.S. Dollar
- Corvus drills 6.1 m of 9.94 g/t Au at North Bullfrog
- What’s the Dumb Money Doing Now?
- China, Russia, and the End of the Petrodollar
- QE Riding Into the Sunset or a Brick Wall?
- Austerity Insanity
- There's Something Very Fishy With the September BLS Unemployment
- Governor Romney's Foreign Policy Speech at the Virginia Military Institute
- ECB: decrease of oz 136.041,78 in gold and gold receivables
- Why Mutual Funds Don’t Beat the Market
- Gold and Silver Will Soon Line Investors Pockets: Jordan Roy-Byrne
- Lessons in Proper Gold Ownership
- Cash Cost Figures: Are They For Real?
- The Unemployment Surprise
- John Williams on Lies, Damned Lies and the 7.8% Unemployment Rate
- How Helicopter Ben Helps Jobs and, Inadvertently, Gold
- Gold In Iran Soars By 23% In One Week As All Currency Transaction Tracking Disappears
- Lawrence Williams: Gold is Not a Commodity, But the Strongest Currency of All
- What Will Benefit from Global Recession? The U.S. Dollar
- No Currencies Will Survive What Lies Ahead, But That’s OK
- Dollar 'Temporarily Stalls Gold,' But 'Gains Ahead'
| Bullion – The Trouble Barometer Posted: 09 Oct 2012 12:16 PM PDT The economies of the US, the UK, Western Europe and Japan are beginning to finally collapse having been run on fiat distortions for long enough. The Brics are also beginning to show some cracks, digging away at the stability of the economies.  | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| A Colder Than Normal Winter Should Throw Natural Gas Into Backwardation Posted: 09 Oct 2012 12:07 PM PDT By HiddenValueInvestor: Groupthink can prevent investors from seeing the obvious. Last spring it was accepted conventional wisdom that natural gas would run out of storage capacity in the fall, causing a collapse in spot prices. However, the coal to gas switching numbers and the falling rig count production numbers indicated by arithmetic that much of the glut in natural gas storage compared to the 5-year average would disappear by the end of October. In April I pointed out the Natural Gas Price Spike Will Be Bigger and Come Sooner Than Expected. At the time prices for the front month natural gas futures contract on the NYMEX had dropped to $1.90. Now it is back above $3.40. The falling rig count production numbers and with some sustained coal to gas switching due to new EPA regulations shuttering older and smaller coal plants indicate a significant deficit will arise in storage by the end Complete Story » | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Dollar Strength “Temporarily Stalls Gold”, But “Gains Ahead” with “Conditions Still Favorable” Posted: 09 Oct 2012 12:02 PM PDT Dollar Strength "Temporarily Stalls Gold", But "Gains Ahead" with "Conditions Still Favorable" SPOT MARKET prices for buying gold eased to just above $1770 an ounce during Tuesday morning London trading, around ten Dollars below where they started the week, while stocks and commodities were broadly flat despite major economies seeing their growth forecasts downgraded by the International Monetary Fund. Prices to buy silver dropped below $34 an ounce – down more than 2% on the week so far. A day earlier, the volume of gold held to back SPDR Gold Shares (GLD), the world's biggest gold ETF, hit a new all-time high at 1340.5 tonnes. "Though the market conditions are still favorable for gold, liquidation of long positions may push the metal lower," says the latest note from refiner Heraeus. "The demand for investment bars continues to be steady," it adds. Last Tuesday saw the net long position of bullish minus bearish Gold Futures and options contracts on the Comex hit its highest level since August 2011, weekly data published by the regulator show. On the currency markets this morning, the Euro fell almost 1¢ against the Dollar, the fall coinciding with an appearance by the European Central Bank president at the European Parliament. "The return of Dollar strength has stalled the move in gold," says Deutsche Bank analyst Michael "But it's very temporary; we're still on track to see more gains." Eurozone economies will contract more than previously expected, while a number of European governments are set to miss deficit targets next year, according to the latest World Economic Outlook from the IMF, published Monday. The Eurozone as a whole will shrink by 0.4% in 2012 – down from 0.3% forecast in July – and will grow by only 0.2% in 2013, compared to 0.7% projected three months ago. Germany and France, the two largest Euro area economies, are expected to see slower growth than previously forecast this year and next. Italy and Spain, the third and fourth largest Eurozone economies respectively, will contract more sharply this year and next than previously projected, the IMF said. "There is no chance that Spain will hit its targets," says Megan Greene, director of European economics at research firm Roubini Global Economics. "The deficit targets are economic suicide." Spain's deficit target for 2012 is 6.3% of GDP and 4.5% for next year. The IMF says it expects the actual deficit to be 7% of GDP this year and 5.7% next. "Attention should be paid to meeting structural fiscal targets, rather than nominal targets that will likely be affected by economic conditions," the IMF report said. In addition, "the ECB should keep its policy rate low for the foreseeable future or reduce it even further," it said. "The ECB should also continue to provide ample liquidity to banks." The ECB "stands ready" to buy distressed sovereign bonds under its Outright Monetary Transactions program, ECB chief Mario Draghi told the European Parliament Tuesday. But the central bank "cannot undertake monetary financing and cannot replace what other member states should do," Draghi added. "It's too easy to think that the ECB can replace governments' action or lack of it [by] printing money. That's not going to happen." Elsewhere in Europe, German chancellor Angela Merkel visits Athens today for talks with prime minister Antonis Samaras, who is seeking an extra two-years for which to implement austerity measures. "Merkel's primary constituency is Germany, not Greece," says Ralph Brinkhaus, a member of parliament from Merkel's CDU party. "She knows what millions of voters back home expect her to say…Merkel is on a carrot and stick exercise: show support and hope for the plight of Greeks with the reminder that there has to be a quid pro quo." Ratings agency Moody's has downgraded Cyprus from Ba3 to B3, citing exposure of the countries' banks to Greek debt. Moody's maintains its negative outlook on Cyprus. Britain meantime has also had its growth forecasts for this year and next cut by the IMF last night, which said that "countries with room for maneuver should smooth their planned adjustment over 2013 and beyond". "What we need in Britain is not 'Plan B'," countered British prime minister David Cameron. "[That] is more borrowing. How can you borrow your way out of a debt crisis?" Cameron instead called for a "Plan A+". Over in China, the world's second-biggest gold buying country last year, the central bank "will make policy more pre-emptive, targeted and effective", its governor Zhou Xiaochuan wrote in an article for the latest edition of central bank-published magazine China Finance. "The external environment for our country's economic growth is very grim," wrote Zhou," and downward pressure on the domestic economy remains relatively big." Ben Traynor Gold value calculator | Buy gold online at live prices Editor of Gold News, the analysis and investment research site from world-leading gold ownership service BullionVault, Ben Traynor was formerly editor of the Fleet Street Letter, the UK's longest-running investment letter. A Cambridge economics graduate, he is a professional writer and editor with a specialist interest in monetary economics. Ben writes and presents BullionVault's weekly gold market summary on YouTube and can be found on Google+ (c) BullionVault 2012 Please Note: This article is to inform your thinking, not lead it. Only you can decide the best place for your money, and any decision you make will put your money at risk. Information or data included here may have already been overtaken by events – and must be verified elsewhere – should you choose to act on it.
 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| South African Investment Opportunities Posted: 09 Oct 2012 11:19 AM PDT By Emerging Money: By Tim Seymour Emerging markets have been one the best places for market participants to find investment opportunities in equities, especially in the retail and banking sectors. In particular in South Africa (EZA), firms in these industries have historically been bulletproof. However, shares in these firms have recently been adversely affected by social unrest in the country. As a result of this upheaval in the country, the South African rand has decreased in value over the past month; the rand is now trading at nine to the dollar, compared to around seven 12 months ago. The rand hasn't been at these levels since the depths of the financial crisis in April 2009. This depreciation has afforded exporters with a huge pricing advantage. Under normal circumstances, miners would be thriving as a result of the cheaper currency. Unfortunately, as a result of social unrest, mining firms have been unable to take Complete Story » | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| What's The Dumb Money Doing Now? Posted: 09 Oct 2012 11:02 AM PDT  By Gary Tanashian:Back in May, as the stock market was heading into its final decline prior to this year's seemingly improbable second half rally, I wrote an article called Dumb Money Sold in May and Went Away. Later, this view was backed up with positions in global emerging bonds and markets, global bonds, developed global markets, frontier markets, technology, energy, rare earths, lithium, silver and gold. The article was met with several derisive comments - which I actually appreciated due to their psychological signals actually supporting the probabilities that a pivot was close at hand. A few of the best comments from the SeekingAlpha version of the article: "Gary = Dumb Investor. Simple enough." "You lost me at the title. If you didn't sell in May (even April like I did), then you are the dummy. Lol." [Personal cash levels were substantial heading into May, as was appropriate at the time] "Maybe Complete Story » | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Commodity Chart Of The Day: U.S. Dollar Posted: 09 Oct 2012 11:02 AM PDT By Matthew Bradbard: Commodity Chart Of The Day Weekly U.S. Dollar Index (click image to enlarge) The dollar index has not exploded higher, but one can see from the weekly chart above that we have experienced positive price action three out of the last four weeks. I do not put this in front of you to buy dollars, but commodity traders need to pay attention to the overall sentiment in the dollar, because a number of commodities exhibit an inverse relationship to the U.S. dollar. If prices can get above what appears to be a triple top on the chart just above current prices, we may see a trade back near 82.00 in the coming weeks. This would represent an appreciation high to low of approximately 4%. While past performance is not indicative of future results, the last time we had a similar move in the USD, crude oil corrected 20%, and gold Complete Story » | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Corvus drills 6.1 m of 9.94 g/t Au at North Bullfrog Posted: 09 Oct 2012 10:55 AM PDT Corvus Gold Inc. ("Corvus" or the "Company") – (TSX: KOR, OTCQX: CORVF) announces results from the final 11 holes of the phase II, 26 hole resource expansion and conversion program at Mayflower Deposit, North Bullfrog Project, Nevada (Figure 1). The encouraging higher grade drill results will be incorporated into an updated Preliminary Economic Assessment (PEA) for its two stage mine development strategy at North Bullfrog later this fall and a subsequent feasibility study on the Mayflower mine for Q1 2013. The results to date continue to support the Company's objective of establishing gold production in late 2014. These most recent Mayflower results include near surface high-grade vein related mineralization (NB-12-164 with 9.94 g/t gold over 6.1 metres) which will be part of the early mining of the Mayflower deposit (Table 1). The high-grade gold and silver mineralization in drill hole NB-12-164 and the moderate grade intervals in holes NB-12-153 (7.6m @ 1.33 g/t gold) and NB-12-161 (12.2m @ 1.58 g/t gold) are related to adularia alteration and veining which may be the upper expression of a multistage high-grade quartz vein system similar to the high-grade mineralization found in the Yellow Jacket system 4 kilometres to the north of Mayflower. Figure 1 Drill hole map for Mayflower resource expansion and conversion drill program.
Table 1 *Intercepts are approximate true width and calculated with 0.1 g/t cutoff and up to 3.0 m of internal waste.
Jeff Pontius, Corvus Gold CEO states: "These new results are highlighting the potential for the Mayflower project to provide a significant near-term financial return to Corvus Gold. In addition, the high-grade vein system that has now been intersected in two areas of the Mayflower deposit could add significant future value to the operation and our Company as we follow it down into what we believe to be a more productive high-grade zone. These results combined with the resumption of drilling at the North Area Yellow Jacket vein system will continue to show the high-grade gold and silver potential of this emerging new Nevada mining project." About the North Bullfrog Project, Nevada Corvus controls 100% of its North Bullfrog Project, which covers approximately 43 km² in southern Nevada just north of the historic Bullfrog gold mine formerly operated by Barrick Gold. The property package is made up of a number of leased patented federal mining claims and 461 federal unpatented mining claims. The project has excellent infrastructure, being adjacent to a major highway and power corridor. The Company and its independent consultants completed a robust positive Preliminary Economic Assessment on the existing resource in February 2012. The project currently includes numerous prospective gold targets with four (Mayflower, Sierra Blanca, Jolly Jane and Connection) containing an NI 43-101 compliant estimated Indicated Resource of 15 Mt at an average grade of 0.37 g/t gold for 182,577 ounces of gold and an Inferred Resource of 156 Mt at 0.28 g/t gold for 1,410,096 ounces of gold (both at a 0.2 g/t cutoff), with appreciable silver credits. Mineralization occurs in two primary forms: (1) broad stratabound bulk-tonnage gold zones such as the Sierra Blanca and Jolly Jane systems; and (2) moderately thick zones of high-grade gold and silver mineralization hosted in structural feeder zones with breccias and quartz-sulphide vein stockworks such as the Mayflower and Yellowjacket targets. The Company is actively pursuing both types of mineralization. A video of the North Bullfrog project showing location, infrastructure access and 2010 winter drilling is available on the Company's website at http://www.corvusgold.com/
Qualified Person and Quality Control/Quality Assurance Jeffrey A. Pontius (CPG 11044), a qualified person as defined by National Instrument 43-101, has supervised the preparation of the scientific and technical information (other than the resource estimate) that form the basis for this news release and has approved the disclosure herein. Mr. Pontius is not independent of Corvus, as he is the CEO and holds common shares and incentive stock options. Mr. Gary Giroux, M.Sc., P. Eng (B.C.), a consulting geological engineer employed by Giroux Consultants Ltd., has acted as the Qualified Person, as defined in NI 43-101, for the Giroux Consultants Ltd. mineral resource estimate. He has over 30 years of experience in all stages of mineral exploration, development and production. Mr. Giroux specializes in computer applications in ore reserve estimation, and has consulted both nationally and internationally in this field. He has authored many papers on geostatistics and ore reserve estimation and has practiced as a Geological Engineer since 1970 and provided geostatistical services to the industry since 1976. Both Mr. Giroux and Giroux Consultants Ltd. are independent of the Company under NI 43-101. The work program at North Bullfrog was designed and supervised by Russell Myers (CPG 11433), President of Corvus, and Mark Reischman, Corvus Nevada Exploration Manager, who are responsible for all aspects of the work, including the quality control/quality assurance program. On-site personnel at the project log and track all samples prior to sealing and shipping. Quality control is monitored by the insertion of blind certified standard reference materials and blanks into each sample shipment. All resource sample shipments are sealed and shipped to ALS Chemex in Reno, Nevada, for preparation and then on to ALS Chemex in Reno, Nevada, or Vancouver, B.C., for assaying. ALS Chemex's quality system complies with the requirements for the International Standards ISO 9001:2000 and ISO 17025:1999. Analytical accuracy and precision are monitored by the analysis of reagent blanks, reference material and replicate samples. Finally, representative blind duplicate samples are forwarded to ALS Chemex and an ISO compliant third party laboratory for additional quality control. McClelland Laboratories Inc. prepared composites from duplicated RC sample splits collected during drilling. Bulk samples were sealed on site and delivered to McClelland Laboratories Inc. by ALS Chemex or Corvus personnel. All metallurgical testing reported here was conducted or managed by McClelland Laboratories Inc. About Corvus Gold Inc. Corvus Gold Inc. is a resource exploration company, focused in Nevada, Alaska and Quebec, which controls a number of exploration projects representing a spectrum of early-stage to advanced gold projects. Corvus is focused on advancing its 100% owned Nevada, North Bullfrog project towards a potential development decision and continuing to explore for new major gold discoveries. Corvus is committed to building shareholder value through new discoveries and leveraging noncore assets via partner funded exploration work into carried and or royalty interests that provide shareholders with exposure to gold production.
On behalf of (signed) Jeffrey A. Pontius Contact Information: Ryan Ko
 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| What’s the Dumb Money Doing Now? Posted: 09 Oct 2012 10:48 AM PDT Back in May, as the stock market was heading into its final decline prior to this year's seemingly improbable second half rally, I wrote an article called Dumb Money Sold in May and Went Away. Later, this view was backed up with positions in global emerging bonds and markets, global bonds, developed global markets, frontier markets, technology, energy, rare earths, lithium, silver and gold. The article was met with several derisive comments – which I actually appreciated due to their psychological signals actually supporting the probabilities that a pivot was close at hand. A few of the best comments from the SeekingAlpha version of the article: "Gary = Dumb Investor. Simple enough." "You lost me at the title. If you didn't sell in May (even April like I did), then you are the dummy. Lol." [Personal cash levels were substantial heading into May, as was appropriate at the time] "Maybe I'm the dummy here. How on earth did someone find the justification to write this drivel? The S&P 500 is down 6% or 7% since the start of May. Is the writer a little slow on the uptake? Smart money sold in May!!" "What a horrible article, the quality of SA articles recently is definately on a downtrend." There were also a few semi-complimentary responses, but on the whole the comments indicated a readership that had taken the term "dumb money" personally (it's just an impersonal and common analytical phrase folks, jeez) and convinced itself that the market was no place to be amid the Greece turmoil and commonly accepted wisdom of the "sell in May and go away" bromide. Here is the updated version of the sentimentrader.com graphic that was used in the May article. While the structure is certainly much less bullish on a contrarian basis than it was in May, it is not indicating an extreme in sentiment swings just yet. In fact, the sentiment structure is in alignment with the current view that the bullish view can (not will, can) hold sway into year-end. Oh would that we can one day get a bear signal that is as strong as the improbable bull signal was last May. Above is another graphic from sentimentrader, breaking down the structure by specific sector. As you can see, while a few sectors have sprung to over bullish, others remain in neutral territory. Finally, here is another breakdown that dials back out to a more macro view. As you can see, we are heading toward the opposite pole from the May over bearish one but are as yet not anywhere near an extreme. The big exception is in the CoT structure, which is nowhere more bearish than it currently is in silver and gold. To answer the title's question, the dumb money is coming back into the market to some degree. It lurches in, backs off, rationalizes its position, becomes afraid of missing the upside, becomes afraid that it is too late to make some 'coin'… and when you depersonalize it you realize that the market is just doing what it always does to one degree or another as the gentle tides of human sentiment and psychology sway back and forth over the cycles. Currently, there seems to be a deep feeling among investors that the markets are no longer real and are excessively managed by monetary, financial and governmental authorities. If you have read me at my most tin-foil moments, you know I generally agree with that premise. But the market is the market. I know Greece, Italy and Spain threatened to end the world as we know it. I know that Ben Bernanke seems to be the most brazenly manipulative Fed Chief yet. I know a presidential election cycle is in effect – it has helped NFTRH's analysis immensely since the May angst – and the FOMC QE decision and the conveniently positive jobs report last week were beneficial. None of this matters. I don't want to give the impression I was confidently bullish through every step of the process. These are the markets and the whipsaw rally out of early summer was really difficult to manage. Speaking as a human (as opposed to a market letter writer/blogger), I found the process pretty annoying and frustrating. But in times of doubt (about NFTRH's 'inflationary 2012′ or i2k12 theme), there was always the sentiment backdrop, along with the election year cycle and supportive technicals to lean on. The market is bullish, subject to a clearing of some of the more over done sentiment issues currently building in the precious metals and a few other areas. One day the market will be ready to get bearish; perhaps really bearish. But with dumb money not yet heavily sponsoring the bull case by this metric at least, we can (can, there is no 'will' in the markets) go higher even and perhaps especially, if October presents some corrective activity to clear the sentiment profile. Website: http://www.biiwii.com
 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| China, Russia, and the End of the Petrodollar Posted: 09 Oct 2012 10:22 AM PDT Say you're an up-and-coming superpower wannabe with dreams of dominating your neighbors and intimidating everyone else. Your ambition is understandable; rising nations always join the "great game", both for their own enrichment and in defense against other big players. But if you're Russia or China, there's something in your way: The old superpower, the US, has the world's reserve currency, which allows it to run an untouchable military empire basically for free, simply by creating otherwise-worthless pieces of paper and/or their electronic equivalent. Russia and China can't do that, and would see their currencies and by extension their economies collapse if they tried. So before they can boot the US military out of Asia and Eastern Europe, they have to strip the dollar of its dominant role in world trade, especially of Middle Eastern oil. And that's exactly what they're trying to do. See this excerpt from an excellent longer piece by Economic Collapse Blog's Michael Snyder:
Some thoughts The US spends a big chunk of its $700 billion a year defense budget on dominating the Middle East in order to force the trading of oil in dollars. Let that trade be diversified into several currencies and the demand for petrodollars goes way down. Central banks and global corporations will sell part of their dollar holdings, sending the dollar's exchange rate into a tailspin. This in turn will make it harder for the US to finance its military empire/welfare state. The net result: America becomes Spain, no longer able to simply whip out the monetary credit card to cover its overspending. We'll have to live within our means, cutting maybe $3 trillion a year in government largesse (including the growth in unfunded entitlements liabilities). Cuts on this scale can't be accomplished smoothly, as Europe is discovering. So in this scenario the coming decade will be even messier than the last one, with "Occupy" movements shutting down cities and every election producing incumbent massacres. A combination of higher prices for necessities and lower wages will demote much of the middle class to "working poor." Meanwhile, China and Russia will reap the rewards of stronger currencies, and will divide (or share) control over their part of the world. It's hard to know who to feel sorrier for, Americans who thought they could depend on government programs for a middle class lifestyle, or the neighbors of China and Russia who will see the relatively light hand of the American empire replaced with something far more atavistic. | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| QE Riding Into the Sunset or a Brick Wall? Posted: 09 Oct 2012 10:12 AM PDT Rather than going on for eternity, this third round of QE is only hastening the day when there is a flight of confidence from the dollar and US Treasuries. This will cause a sharp rise in market interest rates and surging consumer prices across America.  | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Posted: 09 Oct 2012 09:50 AM PDT When Greece's Traitor Government inflicted "austerity" on its people, I stated the obvious. The savage (and senseless) budget slashing – of money being spent on people – would make its deficits worse, not better; and lead to the total collapse of the economy. That is exactly what happened. When the UK began its pseudo-austerity, where it slashed spending on people while continuing to print-up lots of new "money" for its criminal bankers; I predicted that its deficits would get worse not better – and eventually destroy its economy too. That is exactly what has happened. The only difference between Greece and the UK is that while interest rates on Greek debt were manipulated higher by the Anglo banking cabal, they have been artificially suppressed in the UK, by (secretly) buying-up all government bonds in order to maintain these fraudulent rates. The same thing is taking place in the U.S. When Spain joined the Austerity Club and began its own suicidal budget-slashing, I predicted that its deficits would get worse not better. That is exactly what has happened. This is nothing but simple economics. Our problem is that virtually the only people trained in this vital discipline are the brainless economists. If (mindlessly) slashing government spending is always a good idea, then why don't we take all spending to zero; and our economies can all thrive in this neo-conservative Utopia? The obvious answer to this question is that there is net economic benefit to many forms of government spending. A common example of this (in an era of massive, structural unemployment) is Welfare. Neo-conservatives would tell us to "cut off the Welfare" for the 60+ million unemployed people across the Western world – permanently unemployed since our economies generate 60+ million too few jobs to sustain full employment. With no jobs for these people, what are they going to do: crawl under a rock and die? No. To no great surprise, History tells us that people will steal rather than starve. For example, Japan's baby-boomers are known as a generation of kleptomaniacs; as this entire generation engaged in systemic stealing in war-ravaged, post-World War II Japan. Obviously there are enormous economic costs to widespread stealing, and the only means of preventing theft is through incarcerating the thieves – and warehousing them in jails/prisons at somewhere between $70,000 - $100,000 per year. Or we could alot these economic victims a tiny fraction of that amount in welfare; and save on the costs of theft, the costs of policing theft, court costs for prosecuting theft, and the massive costs of warehousing thieves in prisons. There are numerous other examples where spending money saves money. Thus it was the simplest of predictions that slashing spending on vital (and cost-effective) social programs could only cripple these European economies even further. Note that mindless Austerity doesn't simply add other (hidden) costs, but it destroys revenues too. The "fat" has long ago been cut out of government spending. Now, every $1 cut from spending destroys $2 in tax revenues. How do you ever "balance a budget" with that dynamic? Obviously you can never do so. You can only commit economic suicide; as Greece has already done, and which Spain, the UK, and other Traitor Governments in Europe are mimicking. This brings us to a more fundamental defect on the part of these Traitor Governments. The colloquial definition of insanity is to do the same thing over and over and over, but expect a different result. This is precisely what is taking place in Europe – both individually and collectively – where governments copy the failure of other governments, and then continue those policies when they have already failed in their own economies. This goes beyond simple insanity. It is nothing less than deliberate economic suicide. Which brings us to the real question: why are Europe's Traitor Governments engaged collectively in intentional economic suicide? | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| There's Something Very Fishy With the September BLS Unemployment Posted: 09 Oct 2012 09:35 AM PDT Trim Tabs macro economic analysis chief Madeline Schnapp says, looking at last Friday's jobs data released by the Bureau of Labor Statistics (BLS), she (and many, many others who look at such things), smells a "large dead fish." And then she goes on to say specifically why. Careful, once you have seen the reason you'll be smelling a rotten smelt too – unless a card carrying member of the reelect Obama committee. Here in Texas we are reminded of the infamous "Box 13" results from Wells County in the 1948 election - engineered by the "Duke of Duvall County," George Parr, which sent the popular Coke Stevenson to an 87-vote defeat, stealing the election and sending Lyndon Baines Johnson to Washington as a freshman senator - in what would become derisively known as the "Lyndon Landslide of 1948." Madeline's video below is absolutely worthy of wide distribution in our humble opinion.
Comment: Our friend Rick Santelli had some good comments about the BLS data in this morning's exchange with CNBC's Steve Liesman. Look for his commentary on the CNBC Video selection if you have the time. | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Governor Romney's Foreign Policy Speech at the Virginia Military Institute Posted: 09 Oct 2012 09:14 AM PDT Governor Mitt Romney delivers an important speech on foreign policy at the Virginia Military Institute Monday, October 8. A few notable quotes of many. "This is what makes America exceptional. It is not only the character of our country it is also the record of our accomplishments. America has a proud history of strong, confident principled global leadership. A history that has been written by patriots – of both parties." (More quotes below the video.)
"It is our responsibility and the responsibility of the president to use America's greatest power to shape history, not to "lead from behind"—leaving our destiny at the mercy of events." "Iran today has never been closer to a nuclear weapons capability. It has never posed a greater danger to our friends, our allies and us. And has never acted less deterred by America – as was made clear last year when Iranian agents plotted to assassinate the Saudi Ambassador in our Nation's capital. Yet, when millions of Iranians took to the streets in June 2009; when they demanded freedom from a cruel regime that threatens the world; when they cried out "are you with us or are you with them?" The American president was silent." "The president is fond of saying that the tide of war is receding, and I want to believe him as much as anyone else. But when we look at the Middle East today with Iran closer than ever to nuclear weapons capability, with the conflict in Syria threatening to destabilize the region and with violent extremists on the march; and with an American ambassador and three others dead – likely at the hands of al Qaeda affiliates, it is clear that the risk of conflict in the region is higher now than when the president took office. I know the president hopes for a safer, freer, more prosperous Middle East, aligned with us. I share this hope. But hope is not a strategy. We cannot support our friends and defeat our enemies in the Middle East when our words are not backed up by deeds." "It's time to change course in the Middle East. That course should be organized around these bedrock principles. America must have confidence in our cause; clarity in our purpose; and resolve in our might. No friend of America will question our commitment to support them. No enemy that attacks America will question our resolve to defeat them. And no one anywhere, friend or foe, will doubt America's capability to back up our words." "I'll put the leaders of Iran on notice that the United States and our friends and allies will prevent them from acquiring nuclear weapons capability." Much more in the video, the link to which is below. Worthy of sharing. Source: YouTube | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| ECB: decrease of oz 136.041,78 in gold and gold receivables Posted: 09 Oct 2012 08:23 AM PDT | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Why Mutual Funds Don’t Beat the Market Posted: 09 Oct 2012 07:49 AM PDT
"At first blush, the word "phenomenal" and an increased annual yield of 2 or 3 percent seem somewhat incongruous. Though it is true that after twenty years of compounding even 2 percent extra per year creates a 50 percent larger nest egg, this is not why Bob's returns are phenomenal. Bob's performance is impressive because in the world of billion-dollar portfolios, this level of excess return is incredibly hard to come by on a consistent basis. Some quick calculations help expose the limitations imposed on Bob by the sheer size of his portfolio. Imagine the dollar investment in each stock position when Bob sets out to divvy up $12 billion. To create a 50-stock portfolio, the average investment in each individual stock would have to be approximately $240 million; for 100 stocks, $120 million. "[Circa late 1990s] there are approximately 9,000 stocks listed on the New York Stock Exchange, the American Stock Exchange and the NASDAQ over-the-counter market combined. Of this number, about 800 stocks have a market capitalization over $2.5 billion and approximately 1,500 have market values over $1 billion. If we assume Bob does not care to own more than 10 percent of any company's outstanding shares (for legal and liquidity reasons), it's likely that the minimum number of different stocks Bob will end up with in his portfolio will fall somewhere between 50 and 100. If he chooses to expand the universe from which he chooses potential purchase candidates to those companies with market capitalizations below $1 billion, perhaps to take advantage of some lesser followed and possibly undiscovered bargain stocks, his minimum number could easily expand to over 200 different stocks. "Intuitively, you would probably agree that there is an advantage to holding a diversified portfolio so that one or two unfortunate (read "bonehead") stock picks do not unduly impair your confidence and pocketbook. On the other hand, is the correct number of stocks to own in a "properly" diversified portfolio 50, 100, or even 200? "It turns out that diversification addresses only a portion (and not the major portion) of the overall risk of investing in the stock market. Even if you took the precaution of owning 9,000 stocks, you would still be at risk for the up and down movement of the entire market. This risk, known as market risk, would not have been eliminated by your "perfect" diversification… after purchasing six or eight stocks in different industries, the benefit of adding even more stocks to your portfolio in an effort to decrease risk is small… "From a practical standpoint, when Bob chooses his favorite stocks and is on pick number twenty, thirty, or eighty, he is pursuing a strategy imposed on him by the dollar size of his portfolio, legal issues, and fiduciary considerations, not because he feels his last picks are as good as his first or because he needs to own all those stocks for optimum portfolio diversification. "In short, poor Bob has to come up with scores of great stock ideas, choose from a limited universe of the most widely followed stocks, buy and sell large amounts of individual stocks without affecting their share prices, and perform in a fish bowl where his returns are judged quarterly and even monthly. "Luckily, you don't." - Joel Greenblatt, You Can Be a Stock Market Genius JS Comment: As with "How to Get Rich" by Felix Dennis, "You Can Be a Stock Market Genius" is another excellent book with a silly title. The book quickly developed a cult following in the late 1990s, in part because of the highly useful material — a focus on special situation investments such as spin-offs, mergers, stub stocks, restructurings etc — and in part because of Greenblatt's track record with hedge fund Gotham Capital, which achieved 40% annual returns over a 10 to 20 year period. The traditional mutual fund industry is essentially a fee and asset-gathering exercise, as Greenblatt's example makes it plain to see. From an incentive perspective, huge size is logical for a mass-market business model, but not for individual investors within the funds. The other major problem, for the average individual investor, is not enough real talent to go around. When trillions have to be put to work, and truly performance-oriented managers are deliberately restricting their size, likely running hedge funds limited to accredited investors, and are relatively few in number in the first place, there is little Joe Sixpack can do other than take the mass-market option… which in turn provides the research data that most academic theory is based on. On the bright side, what does this say about inherent potential for the skilled and nimble practitioner, unencumbered by the shackles of institutional size, the burden of committee-vetted mandates, and the straitjacket nature of benchmark risk? Buy You Can Be a Stock Market Genius on Amazon   p.s. Like this article? For more, visit our Knowledge Center! p.p.s. If you haven't already, check out the Mercenary Live Feed!  | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Gold and Silver Will Soon Line Investors Pockets: Jordan Roy-Byrne Posted: 09 Oct 2012 07:48 AM PDT | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Lessons in Proper Gold Ownership Posted: 09 Oct 2012 07:34 AM PDT The markets are presenting us with more post-Fed "leftovers" this morning as well. Spot metals dealings opened flat-to-slightly-higher in New York as Tuesday's sessions got underway. Gold drifted near $1,775 and silver appeared stalled around $34 per ounce.  | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Cash Cost Figures: Are They For Real? Posted: 09 Oct 2012 07:26 AM PDT from caseyresearch.com: Dear Reader, With gold back up within reach of its nominal record high last year, a lot of new investors are thinking about gold mining stocks. With this in mind, today we take a peek at one of the issues that confuses some metals investors: cash mining costs. It's simple in a way, but also nuanced and subject to misinterpretation. I'll let Andrey Dashkov explain. The point, for now, is no surprise; be careful, think things through, be thorough in your due diligence. But there are opportunities out there, and more coming. Keep on reading @ caseyresearch.com | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Posted: 09 Oct 2012 07:24 AM PDT from news.goldseek.com: The unemployment number surprisingly dropped to 7.8% last Friday, and the shoot-from-the-hip crowd came out in force. To say that the jobs report was met with skepticism would be a serious understatement. The response that got the most immediate airplay was ex-GE CEO Jack Welch (who knows a few things about making a number say what you want it to say) tweeting, "Unbelievable job numbers … these Chicago guys will do anything … can't debate so change numbers." Not be left out, Fox Business quoted Ed Butowsky of Chapwood Capital Investment: "'No way in the world these numbers are accurate,' he said. 'Somebody needs to do an investigation…. Investigate these numbers.'" Keep on reading @ news.goldseek.com | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| John Williams on Lies, Damned Lies and the 7.8% Unemployment Rate Posted: 09 Oct 2012 07:18 AM PDT from theaureport.com: Shadowstats.com Author John Williams wonders if politics are at play behind the latest jobs report, which shows 114,000 new U.S. jobs since September and a 0.3% drop in unemployment since August. Investors need to know how seasonal factors and month-to-month volatility affect the Bureau of Labor Statistics' reports. In this exclusive interview with The Gold Report, Williams explains why he doubts that we are in a recovery. The take-away? Look at the unadjusted figures before you sell your gold. The Gold Report: John, as Mark Twain famously quipped, "There are three kinds of lies: lies, damned lies and statistics." The Bureau of Labor Statistics (BLS) just came out with new jobs numbers that show the country added 114,000 jobs since September and the unemployment rate dropped to 7.8%, down from 8.1% in August. On Shadowstats.com, you argue that the numbers are wrong and pointed to politics as a possible reason for the incorrect figures. Are unemployment statistics being manipulated and if so how? Keep on reading @ theaureport.com | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| How Helicopter Ben Helps Jobs and, Inadvertently, Gold Posted: 09 Oct 2012 07:12 AM PDT from news.goldseek.com: The world's central bank leaders continue to spike the monetary punch bowl, with investors imbibing on gold once again. This flurry of gold buying prompts many curious investors and doubting media to ask me two questions: 1) How can demand for gold and gold stocks continue; and 2) How high can the precious metal go? To answer these questions, we need to look at the intentions behind the economic and political decision-making across several developed countries, analyze the causes, the effects, and the possible ramifications. For example, one of the most debated topics today is America's ongoing unemployment situation. Job loss has affected the lives and pocketbooks of millions of Americans and our friends and families, culminating to a center-stage position in the election this year. All eyes turn to President Barack Obama and Mitt Romney to explain how each intends to create jobs. Keep on reading @ news.goldseek.com | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Gold In Iran Soars By 23% In One Week As All Currency Transaction Tracking Disappears Posted: 09 Oct 2012 07:09 AM PDT from zerohedge.com: Just over a week ago we we were the first to shed light on the reality of hyperinflation on the ground in Iran – and subtley suggested the whole thing could be watched in real-time. Soon after, a mysterious cabal of 16 currency manipulators was arrested and the Rial jumped dramatically higher (according to official sources) – as if by magic there was no problem at all. This all sounded a little too good to be true (just like unemployment rates in slightly more controlled economies). Sure enough, by the power of social media, we now know it was too good to be true. As open-market foreign exchange rates – not just Rial-to-Dollar – have disappeared from the major currency exchange sites, as trade has reportedly slowed to near suspension after the Central Bank 'imposed' a rate of 28,500 Rials to the USD this weekend. Keep on reading @ zerohedge.com | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Lawrence Williams: Gold is Not a Commodity, But the Strongest Currency of All Posted: 09 Oct 2012 07:08 AM PDT from caseyresearch.com: Yesterday in Gold and Silver I must admit that I wasn't overly surprised to see the precious metals get hit in the thinly-traded Far East market on their Monday morning…and by noon in Hong Kong, volume was very heavy for that time of day. But the gold price would only go so low before a willing buyer[s] showed up…and repeated attempts to sell gold down in early London trading didn't meet with much success, either. Starting just before 12:30 p.m. in London, the gold price began to rise slowly but steadily until shortly after London closed for the day…and then traded sideways into the close of the electronic market in New York. Keep on reading @ caseyresearch.com | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| What Will Benefit from Global Recession? The U.S. Dollar Posted: 09 Oct 2012 07:07 AM PDT from oftwominds.com: Understanding the euro's failure and Triffin's Paradox helps us understand why the dollar will rise significantly in the years ahead. Many times what "should" happen does not happen. For example, global stock markets "should" decline as the global economy free-falls into recession, as global recession is not exactly an ideal scenario for rising corporate sales and profits or demand for commodities. Yet global markets are by and large rising significantly. Sometimes what "should" happen is simply being delayed. In other cases, some other dynamic is at work. Stock market bulls, for example, say the "other dynamic" is global money-printing by central banks, and this "easing" will power stocks higher even as sales and profits sag. Analysts who believe fundamentals eventually over-ride monetary manipulation believe the stock market decline has only been delayed, not banished. Keep on reading @ oftwominds.com | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| No Currencies Will Survive What Lies Ahead, But That’s OK Posted: 09 Oct 2012 07:03 AM PDT
| ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Dollar 'Temporarily Stalls Gold,' But 'Gains Ahead' Posted: 09 Oct 2012 05:10 AM PDT Spot market prices for buying gold eased to just above $1,770 an ounce during Tuesday morning London trading, around ten dollars below where they started the week, while stocks and commodities were broadly flat.  | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
from | You are subscribed to email updates from Gold World News Flash 2 To stop receiving these emails, you may unsubscribe now. | Email delivery powered by Google |
| Google Inc., 20 West Kinzie, Chicago IL USA 60610 | |
No comments:
Post a Comment