Gold World News Flash |
- GoldSeek.com Radio: James Turk & Nick Barisheff, and your host Chris Waltzek
- Update on Gold and the HUI Gold Bugs Index
- GATA's work depends on Jan. 21 fundraiser in Vancouver, so please bring metal
- Quaintance and Brodsky: Enough of the favoritism -- get on with the devaluation
- Report commissioned by World Gold Council hints at the war against gold
- Chinese To Increase Gold & Silver Storage A Staggering 180%
- What's going on with Gold & Silver Prices? Andrew Schectman Interview – MilesFranklin.com
- The Trillion Dollar Coin Is a Great Idea!
- Food prices soar in China/Moody's lowers ratings on Cyprus to Caa3/UK industrial production rises to only .3%
- Cotton Charts
- 36 South: "Let's Legalize Cocaine"
- With platinum coin rejected, how about upvaluing the gold reserve instead?
- Fiscal Cliff: By The Numbers – YouTube
- Saturday (morning) Weekly Market Wrap for January 12, 2012
- WHAT'S YOUR INFLATION?
- January 12 Weekend report
- Gold Sentiment Reaches 2012′s Lows
- The Good News ? and Bad ? Regarding Gold, Silver & PM Stocks Going Forward
- The War On Terror Spreads to Africa: U.S. Sending Troops to 35 African Nations
- Petition To Audit US Gold Vaults – Best Kept Secret To Be Revealed?
- Treasury, Fed Kill Trollin' Dollar Coin
- The Good News – and Bad – Regarding Gold, Silver & PM Stocks Going Forward
- The Japanese Yen Trade Is Exporting Inflation to China
- This Is The Frightening Reality We All Face Going Forward
- Financial Trends for 2013 | Fox Business Video
- Is a College Degree Worth it? | Fox Business Video
- Forex ~ Dollar-Yen Trade Too Crowded: Pro
- Herbalife CEO Defends His Company
- George Soros: A Professional & Personal Profile
- Silver Chart
- Hyperinflation In Action: Beer For Bag Of Cash
- Guest Post: A Short Lesson In Bad Decision-Making
- Elusive German 20 mark gold coins offered for January Buyers’ Group
- Deutsche Bank touts $2000 gold in first half
- This Past Week in Gold
| GoldSeek.com Radio: James Turk & Nick Barisheff, and your host Chris Waltzek Posted: 13 Jan 2013 07:00 PM PST Show Highlights: Guest Interviews. Headline news & the Market Weatherman Report. Host answers phone calls and email questions. Guest Biographies: Nick Barisheff, CEO at Bullion Management Group Inc James Turk, GoldMoney.com |
| Update on Gold and the HUI Gold Bugs Index Posted: 13 Jan 2013 09:10 AM PST In spite of the recent down turn in the price of gold and silver, we still remain bullish on precious metals and its equities. Regardless of its paper manipulated price (if you believe this is currently happening), history has shown us that gold is money (not fiat currencies) and it is no one else's liabilities. When it comes to gold, as always we suggest owning the physical metals outright fully paid for and stored safely where only you have access to it. |
| GATA's work depends on Jan. 21 fundraiser in Vancouver, so please bring metal Posted: 13 Jan 2013 09:00 AM PST The fundraiser will be held from 5 to 7:30 p.m. in the Cypress Room of the Pan Pacific Hotel, adjacent to the conference site, the Vancouver Convention Centre West, and the keynote speaker will be the renowned Bob Bishop, retired editor of the Gold Mining Stock Report newsletter. Sprott Asset Management's chief investment strategist, John Embry, will be master of ceremonies. Admission to the reception will be free; there will be snacks and a cash bar. |
| Quaintance and Brodsky: Enough of the favoritism -- get on with the devaluation Posted: 13 Jan 2013 08:31 AM PST In their new reflection on the world economy and international financial system, the economists and fund managers Lee Quaintance and Paul Brodsky of QB Asset Management in New York (http://qbamco.com/) have had enough of central bank favoritism and subsidies to big banks and rich folk with access to discounted capital, the financial gaming that has indefinitely postponed real economic growth, the scheming for faster mechanisms of infinite money creation (like the trillion-dollar platinum coin) and market leverage, and the loss of sensible valuations. |
| Report commissioned by World Gold Council hints at the war against gold Posted: 13 Jan 2013 08:28 AM PST A report commissioned by the World Gold Council for the Official Monetary and Financial Institutions Forum in London, written by the chairman of the forum's advisory board, Meghnad Desai, more or less acknowledges what we've never seen the gold council acknowledge, the most important aspect of gold's place in the international financial system -- that is, that there is a war against gold. |
| Chinese To Increase Gold & Silver Storage A Staggering 180% Posted: 13 Jan 2013 12:30 AM PST from KingWorldNews:
|
| What's going on with Gold & Silver Prices? Andrew Schectman Interview – MilesFranklin.com Posted: 13 Jan 2013 12:00 AM PST from VictoryIndependence: |
| The Trillion Dollar Coin Is a Great Idea! Posted: 12 Jan 2013 11:05 PM PST by Anthony Wile, The Daily Bell:
But, of course, it's not. It's a great idea! I'll tell you why in a minute. The SF Gate editorial gives us the background. "The idea of a 'trillion-dollar coin' came from the Internet, where a few political observers noted that the White House might be able to avoid the upcoming fight over our national debt ceiling by simply minting a platinum coin with a face value of $1 trillion." These observers understood that legally the Treasury could mint and issue platinum coins in any denomination it chose. Thus evolved the idea that the Treasury could simply create a coin and deposit it with the Federal Reserve of the Bank of New York to cover significant US debts. |
| Posted: 12 Jan 2013 10:30 PM PST by Harvey Organ, HarveyOrgan.Blogspot.ca:
The bankers never let gold/silver rise two days in a row and thus the reason for the raid on Friday. Gold and silver got clobbered with news that the trade deficit widened to 48 billion USA which in turn will cause the GDP for this quarter to fall below 1%. In other news, Japan finally unleashed it's $117 billion spending program. The Yen fell to the 89Yen/USA mark. Moody's lowered it's ratings on Cyprus to Caa3 stating that this sovereign must recapitalize its banks. The assets of its banking sector is 8.3 x Cyprus' GDP with bad debts 135% of it's GDP. The German finance minister announced that he believed it's GDP shrunk this quarter. The UK also saw it's industrial production rise to only .3% instead of projected .8%. |
| Posted: 12 Jan 2013 10:00 PM PST from TF Metals Report:
First, the CoT. Again, remember that this was an odd CoT week. It was a full five days and it started on 1/2, which had the big rally. It also includes the huge selloff of 1/3 and into 1/4. It then captured the really nice rally on Tuesday. So, for the reporting week, we're left with this dichotomy: Gold was down $14 but its OI was UP over 13,000. Silver was UP 24¢ but its OI was down by over 4,000. Hmmmm. What in the name of Harvey Organ is going on here?? Frankly, the gold CoT was great. For the week, the Large Specs dumped 4,800 longs while adding 900 shorts and the Small Specs dumped 3,700 longs while adding 800 shorts. All totaled, the spec side decreased their net long in gold by about 10,200 contracts. For me, because the week was relatively flat overall for price, this spec dumping is just another sign that the 1/3-1/4 beatdown really was a washout low that culminated at $1626 in the wee hours of 1/4. |
| 36 South: "Let's Legalize Cocaine" Posted: 12 Jan 2013 07:20 PM PST From Jerry Haworth of 36 South Capital Let's Legalise Cocaine Think about it – a substance which makes one feel good, promotes a feeling of well-being and confidence…..what is the problem with that? The problem, as I explained to all my teenagers, is not that drugs are inherently bad per se, it is the medium to long term consequences of drug use that inevitably leave one worse off and forces one to make decisions one would not normally make e.g. selling your mother's wedding ring for drug money. Like the good pseudo-parents they are, the governments have (probably correctly) stepped in and outlawed drugs and their use. But there are other substances which also make one feel good, promote a feeling of well-being and confidence but is just as dangerous. With this substance the government does NOT limit use but promotes it! It is in fact the grower and distributor! What is this stuff? Hint …. Comes in two flavours: money (present money) and credit (future money). Our pseudo parents, the governments, are money pushers and we are the junkies. They have encouraged their "children" to take up the habit. Thus, we have all become addicts, the world is one big "needle park" and we are so habituated that any call to limit its creation is met with derision. The fiscal cliff, which should be renamed 'last stop before insanity,' was merely an attempt by the "Salvation Army" to limit our addiction, to put a boundary on how much longer we can go on without consequence. The governments have driven interest rates to near zero as well. What does this mean? Interest rates are like an automatic ship stabiliser. If the economy tilts too much towards credit, interest rates go up, telling the economy that there is too much credit in the system and vice versa. If the economy tilts too much towards present money, interest rates fall basically indicating there can be more credit money in the system. When governments subvert this indicator by effectively switching it off by artificially driving rates to near zero, there is no way to tell the correct mix of credit and money in the system. This suits the government, they know they have too much credit in the system (especially their own bonds) and they know that there is so much other credit in the system that any Volker-like move to raise rates to correct the imbalance would send the economy into another Great Depression. Thus they distort the present money/ future money balance to suit their and our short term avoidance of pain all at the expense of the medium and long term. Lyrics from Hotel California spring to mind, "you can check out any time you like but you can never leave". At time of writing I don't know how the debt ceiling will turn out but I am eerily calm about it, the government, the "pusher" of money, is not going to stop "pushing". And the medium to long term consequences of this money and credit creation to solve a previous "money and credit creation" problem will be disastrous for so many. Why? It will result in high inflation and probably more likely the serious strain, stagflation. Imagine 20% unemployment, 20 % inflation and 1% interest rates. How would you protect wealth and savings? The upshot of this scenario would be even more severe wealth inequality as a lucky few closest to the government spigots would benefit "oligarch style". Hardest hit will be the middle class, the working mule of society, as inflation or stagflation tightens its stranglehold. The ultimate sadness will be taken to its logical conclusion; we will have a great depression anyway, in million dollar units instead of 10 dollar units. So if our money junkie pseudo-parents, the government, have no regard for our medium to long term well-being, why stop at money? Legalise drugs! Don't pretend to have our interests at heart in one important area of our lives, our health and not in the other important area of our lives, our wealth. For the record the above is nothing more than a metaphor, I don't really condone the use of drugs and don't want them legalised. |
| With platinum coin rejected, how about upvaluing the gold reserve instead? Posted: 12 Jan 2013 06:50 PM PST Going from $42.22 to, say, $20,000 per ounce for lots of coins might be more credible. * * * Treasury, Fed Kill $1 Trillion Platinum Coins to Avert Debt Crisis By Steve Holland http://www.reuters.com/article/2013/01/12/us-usa-debt-platinum-idUSBRE90... WASHINGTON -- So much for the trillion-dollar platinum coin idea. The U.S. Treasury Department said on Saturday it will not produce platinum coins as a way of generating $1 trillion in revenue and avoiding a battle in Congress over raising the U.S. debt ceiling. The idea of creating $1 trillion by minting platinum coins has gained some currency among Democrats in recent days as a way of sidestepping congressional Republicans who are threatening to reject a necessary increase in the debt ceiling unless deep spending cuts are made. The Treasury Department and the Federal Reserve, both independent of one another, each concluded this was not a viable option. "Neither the Treasury Department nor the Federal Reserve believes that the law can or should be used to facilitate the production of platinum coins for the purpose of avoiding an increase in the debt limit," said Treasury spokesman Anthony Coley in a statement. ... Dispatch continues below ... ADVERTISEMENT Opinion Around the World Is Changing When Deutschebank calls gold "good money" and paper "bad money". ... http://www.gata.org/node/11765 When the president of the German central bank, the Bundesbank, pays tribute to gold as "a timeless classic". ... http://www.forbes.com/sites/ralphbenko/2012/09/24/signs-of-the-gold-stan... When a leading member of the policy committee of the People's Bank of China calls the gold standard "an excellent monetary system". ... http://www.forbes.com/sites/ralphbenko/2012/10/01/signs-of-the-gold-stan... When a CNN reporter writes in The China Post that the "gold commission" plank in the 2012 Republican platform will "reverberate around the world". ... http://www.thegoldstandardnow.org/key-blogs/1563-china-post-the-gop-gold... When the Subcommittee on Domestic Monetary Policy of the U.S. House of Representatives twice called on economist, historian, and gold standard advocate Lewis E. Lehrman to testify. ... World opinion is changing in favor of gold. How can you learn why and what it will mean to you? Read the newly updated and expanded edition of Lehrman's book, "The True Gold Standard." Financial journalist James Grant says of "The True Gold Standard": "If you have ever wondered how the world can get from here to there -- from the chaos of depreciating paper to a convertible currency worthy of our children and our grandchildren -- wonder no more. The answer, brilliantly expounded, is between these covers. America has long needed a modern Alexander Hamilton. In Lewis E. Lehrman she has finally found him." To buy a copy of "The True Gold Standard," please visit: http://www.thegoldstandardnow.com/publications/the-true-gold-standard Congress' refusal in 2011 to raise the debt ceiling unless the White House agreed to large spending cuts brought the United States close to the brink of a debt default and dealt the weak recovery a setback. Another crisis is brewing as the United States is expected to reach its authorized debt limit of $16.4 trillion in February. White House spokesman Jay Carney said that with the platinum coin question resolved, the pressure is on congressional Republicans now to act to raise the debt ceiling. "Congress can pay its bills or they can fail to act and put the nation into default," he said. "When congressional Republicans played politics with this issue last time, putting us at the edge of default, it was a blow to our economic recovery, causing our nation's credit rating to be downgraded." There was also no change in Obama's opposition to another possible way to get around Congress that some Democrats support - that of invoking a line in the 14th amendment to the U.S. Constitution. Part of the 14th amendment says the validity of the public debt should not be questioned, which some Democrats take to mean that the president can raise the debt ceiling on his own. The White House says it does not believe that approach would stand up legally. "Congress needs to do its job," said Carney. The idea behind the platinum coin was that Treasury would mint a coin or coins from the precious metal and that the value would be placed at $1 trillion. For the plan to work, the Federal Reserve would have to deposit it in the Treasury account and credit the account $1 trillion that could be used to pay the nation's bills. But if the Federal Reserve does not believe that the coin is worth $1 trillion and refuses to buy it, then the plan falls apart. Some liberals, like New York Times columnist Paul Krugman, had supported the idea and a petition submitted to the White House website had thousands of signatures. This kind of momentum prompted both the Fed and the Obama administration to consider the concept, and they ultimately decided it would not work. Join GATA here: Vancouver Resource Investment Conference * * * Support GATA by purchasing DVDs of our London conference in August 2011 or our Dawson City conference in August 2006: http://www.goldrush21.com/order.html Or by purchasing a colorful GATA T-shirt: Or a colorful poster of GATA's full-page ad in The Wall Street Journal on January 31, 2009: http://gata.org/node/wallstreetjournal Help keep GATA going GATA is a civil rights and educational organization based in the United States and tax-exempt under the U.S. Internal Revenue Code. Its e-mail dispatches are free, and you can subscribe at: To contribute to GATA, please visit: ADVERTISEMENT Fred Goldstein and Tim Murphy open All Pro Gold Longtime GATA supporters Fred Goldstein and Tim Murphy have brought their many years of experience in the precious metals and numismatic coins to All Pro Gold as metals brokers who specialize in the delivery of gold and silver bullion bars and coins as well as numismatic gold and silver coins. Fred and Tim follow these markets closely and are assisted by a team of consultants in monitoring market trends. All Pro Gold offers GATA supporters competitive pricing on all bullion products and welcomes inquiries. Tim can be reached at 602-299-2585 and Tim@allprogold.com, Fred at 602-799-8378 and Fred@allprogold.com. Ask about their ratio strategy and the relationship of generic $20 dollar gold pieces to 1-ounce gold bullion coins. Visit their Internet site at http://www.allprogold.com/. |
| Fiscal Cliff: By The Numbers – YouTube Posted: 12 Jan 2013 06:27 PM PST Check our website daily at... [[ This is a content summary only. Visit http://www.figanews.com for full Content ]]  |
| Saturday (morning) Weekly Market Wrap for January 12, 2012 Posted: 12 Jan 2013 06:00 PM PST The U.S. Dollar was Down for the week. Note the divergence between Tresuries and the Dollar. Investors think they track exactly - They Don't! The Dollar seems to be leading Treasuries for several months - that could be the case. Read More...  |
| Posted: 12 Jan 2013 05:44 PM PST The government says your cost of living in the last year only went up 1.8%. Do you believe them? What do you think your cost of living went up by in the last year? The Hidden Truth of Higher PricesBy: Peter Schiff, CEO and Chief Global Strategist In dismissing the inflationary warnings of Austrian School economists, the pro-stimulus Keynesians have largely refrained from attacking the root of our logic. (Given that this involves defending the position that money printing does not lead to inflation, their reluctance is understandable). Instead they point to the lack of "evidence" that shows prices going up in step with money supply increases. Paul Krugman himself unpacked these arguments in a recent blog post designed to specifically discredit my views. According to Krugman, the sub 2.5% increases in the Consumer Price Index (CPI) over the past few years are all that is needed to invalidate the fears of the inflationists. However, there is plenty of evidence to suggest that the measurement tools used by Krugman and his cohorts to measure inflation are as deeply flawed as their arguments. And to conclude that inflation has been quelled requires a dismissal of the macroeconomic forces that have temporarily blunted the impact of an overly loose monetary policy. Since the 1970′s the preferred government inflation metrics have changed so thoroughly that they bear scant resemblance to those used during the "malaise days" of the Carter years. Government and academia defend the integrity and accuracy of the modern methods while dismissing critics as tin hat conspiracy theorists. But given the huge stakes involved, it's hard to believe that institutional bias plays no role. Government statisticians are responsible for coming up with the methodology and the numbers, and their bosses catch huge breaks if the inflation numbers come in low. Human behavior is always influenced by such incentives. Beginning in the early 1980′s the methodologies were altered to compensate for a variety of consumer behavior. The new "chain weighted CPI" for instance incorporates changes in relative spending, substitution bias, and subjective improvements in product quality. Essentially these measures report not just on price movements, but on spending patterns, consumer choices, and product changes. This is fine if the goal is to measure the cost of survival. But that is not the purpose for which these metrics are meant to be used. But if you simply focus on price, especially on those staple commodity goods and services that haven't radically changed over the years, the underreporting of inflation becomes more apparent. We randomly identified price changes of 10 everyday goods and services over two separate 10 year periods, and then compared those changes to the reported changes in the Consumer Price Index (CPI) over the same period. The 10 items, which we selected are: eggs, new cars, milk, gasoline, bread, rent of primary residence, coffee, dental services, potatoes, and electricity. We know that people do not spend equal amounts on the above items, and we know their share of income devoted to them has changed over the decades. But as we are only interested in how these prices have changed relative to the CPI, those issues don't really matter. We chose to look at the period between 1970 and 1980 and then again between 2002 and 2012, because these time frames both had big deficits and loose monetary policy. But they straddle the time in which the most significant changes to inflation measurement methodology took effect. And while nominal price increases rose much faster in the 1970′s, the degree to which the prices rose relative to the CPI was much, much higher more recently. Between 1970 and 1980 the officially reported CPI rose a whopping 112%, and prices of our basket of goods and services rose by 121%, just 8% faster than the CPI. In contrast between 2002 and 2012 the CPI rose just 27.5%. But our basket rose by nearly double that rate – 52.1%! So the methods used in the 1970′s to calculate CPI effectively captured the price changes of our goods, but only got half of those movements more recently. How convenient. Just to make sure, we ran the same experiment with 10 different goods and services. This time we chose: sugar, airline tickets, butter, store bought beer, apples, public transportation, cereal, tires, beef and veal, and prescription drugs. The results were notably similar. The basket increased 1% faster than the CPI between 1970 and 1980 and 32% faster between 2002 and 2012. In both cases we selected a random array of food and non-food items. To be convinced that the CPI does a poor job in gauging the cost of living, all one needs to do is look at health insurance. According to the Kaiser Survey of Employer Sponsored Health Insurance, the average annual total cost for family health insurance in 2012 was $15,745, or more than one third of the median family income of $45,018 per year. Yet these costs are largely factored out of the CPI. In 2011, health insurance costs did not even merit a one percent weighting in the CPI. Furthermore, as far as the Bureau of Labor Statistics is concerned, health insurance costs are well contained. From 2008 through 2012, the BLS' "Health Insurance Index" increased just 4.3% (total), which is far below the general rise of the CPI. In contrast, the Kaiser Survey showed family coverage rising 24.2% over that time. A recent poll of likely voters conducted by Fox News in the weeks before the election, revealed that 41% of respondents identified "rising prices" as their top economic concern. This response beat out "unemployment" by nearly two to one. The underreporting of price movements would explain why inflation is a concern on Main Street even while it's not a concern on Pennsylvania Avenue. If these price changes in our experiments had been fully captured, CPI could currently be high enough to severely restrict Fed action to stimulate the economy. But beyond arguments over the accuracy of our inflation yardsticks, there are solid reasons that prices are not rising as fast as they could be given the printing binge that has characterized the last few years. Economies no longer come in the neatly packaged national varieties. To a very large extent monetary conditions within the United States now are being influenced by activities of other countries. Over the past years, unprecedented amounts of dollars have been created. But much of that money does not stay within the confines of the U.S. economy. A very large percentage of it winds up locked away inside the vaults of foreign central banks, particularly in the Far East. Countries like China and Japan, that run large trade surpluses with the U.S., need to warehouse these greenbacks so that they can keep their own currencies from appreciating against the dollar. The International Monetary Fund estimates that from first Quarter 2008 and second quarter 2012, U.S. dollars held in reserve by foreign central banks increased by $850 billion, or 31%. When these countries decide that holding huge amounts of dollars is no longer in their interest, the money could come flooding back onto these shores, where it will exert upward pressure on domestic prices. In the meantime, the current flow of funds allows for a windfall for U.S. consumers. An artificially supported dollar means that we do not pay as much as we could for imported products. The low prices at Walmart are not the result of a sluggish U.S. economy, but by greater production abroad and dollar support from foreign central banks. But in the meantime, it's not as if those dollars have been neutered of their price raising power. Rather than being spent by U.S. consumers to push up domestic prices, they are creating inflation abroad and helping to push up the prices of U.S. Treasury Bonds, which foreign central banks buy with their excess dollars. Given how weak the economy has been since the crash of 2008,it is surprising that domestic prices have risen at all. While there have been many similarities between the Great Depression and the Great Recession, one great difference was that the crash of the 1930′s was accompanied by significant deflation. By some estimates, prices fell by about a third. And so while consumers and businesses then struggled with unemployment and dropping share prices, at least they were cushioned by falling prices. Today we have no such support. The Bureau of Economic Analysis reports that in December of 2008 food and energy spending, as a share of wages and salaries, had fallen to a low of 18.7%. Today that figure stands at 22.1%, an increase of more than 18% in just four years. This indicates that the stimuli of the past four years have failed to create the beneficial impact its architects had hoped. People who are spending a higher percentage of their incomes on necessities like food and energy are likely to be experiencing lower living standards. Unlike Krugman and the Keynesians, I would argue that it is impossible to create something from nothing. I believe that printing a dollar diminishes the value of all existing dollars by an aggregate amount equal to the purchasing power of the new dollar. The other side takes the position that the new money creates tangible economic growth. I think that those making such absurd claims should bear the burden of proof. |
| Posted: 12 Jan 2013 05:12 PM PST I realize that this extended (and somewhat manipulated) move into a yearly cycle low has frustrated most investors to the point where they have no more patience left, and have lost sight of the big picture. So I am going to go over it again, because I think it is a huge mistake to lose sight of the reason why we are investing in this sector to begin with. To start, I'm going to assume that gold will drop down into another eight year cycle low pretty much on schedule sometime in late 2015 to mid 2016. As long as that assumption is correct then I think we also have to assume that there is another C-wave advance between now and then. The reason I say this is because all markets are governed by the forces of action and reaction. Hence in order for gold to drop down into a correction severe enough to be considered an eight year cycle low, it first has to generate a rally big enough to trigger a profit-taking event of that magnitude. So let's begin by looking at the last three C-wave advances and the corrective action that followed each one... That is a small sample of the latest Weekend report. In all fairness I have been warning traders that this was coming. This is a chart I posted to the blog on November 24 2011.  Frustrated gold bugs may want to read the entire weekend report before you throw in the towel on the sector. The 16 month correction is completely normal and should soon generate another huge leg up in this massive bull market. I will reopen the $1.00 two day trial subscription for anyone interested in reading the report. If you decide you want to continue accessing the nightly reports do nothing and the trial will automatically convert to a monthly subscription after the second day. If you are only interested in reading the weekend report just cancel the subscription by following the directions in red print on the home page before the second day expires.       This posting includes an audio/video/photo media file: Download Now |
| Gold Sentiment Reaches 2012′s Lows Posted: 12 Jan 2013 03:39 PM PST This is an exclusive excerpt from The Financial Tap, who offers a FREE 15-day trial with access to the entire site. More of the same unresolved and non-committal action out of the precious metals markets this past week. Once again gold has reached a junction which should provide us with a road-map for where gold is headed in the immediate future. One fork at this junction, the bullish fork, we're looking at this as just Day 7 of a brand new Investor Cycle. If this were the path gold has taken, then gold must break $1,696 next week. But taking the bearish fork has us still in a 5th Daily Cycle, with multiple possibilities with regards to the actual Daily Cycle count (Day 7, 18, and 25 possible). Having reviewed the Cycle charts further this weekend I've determined that marking the DCL is inconclusive at this point. As the Daily Cycles have recently woven a pattern of declining mini peaks and troughs, they have left behind 3 lows that could all qualify for a Cycle Low (Dec 3rd, Dec 20th, and Jan 2nd). However the time period encompassing this period could only possibly support two Daily Cycle Lows. We're left in the uncomfortable position of not knowing which 2 of the 3 are indeed the Cycle Lows and this has a direct impact on our short term projections. You will notice from the above chart that attempting to get a jump start on a Cycle Low these past 2 months would have only end in further declines and losses. As long as the declining trend-line holds and the Weekly Swing Low in not triggered then we're only speculating that the last low was also the ICL. Predicting and trading Cycle Lows in real-time is perfectly acceptable in up trending markets. But in a downtrend we're looking for a dominant Cycle trend change out of what is a series of lower lows. Because dominant trend changes require an upside break to confirm, we must be prepared to give up some of the initial gains if we're to wait for this confirmation. I know this gold move is frustrating patient investors and hurting traders who are trying to trade these Daily Cycle swings. I'm in a relatively unique position when it comes to the overall sentiment because I have a decent number of investors who are directly expressing their feelings with me. Without a doubt the sentiment is at its lowest levels since the D-Wave Low (May 2012). But what I'm seeing now is not necessarily negative sentiment generated out of fear, but rather one of indifference. The Hulbert's Gold sentiment index is confirming this viewpoint. The index has historically been an excellent predictor of significant lows. This is especially true when a low or negative sentiment reading aligns with a Cycle in the timing band for an ICL. It's very interesting to note that during each C-Wave ICL the index was halted at around the 10-20 area. But during the 2008/09 and 2012/13 D and B Wave events the readings always went below zero. Again gold is seeking a B Wave Low here and this is being reflected within these sentiment readings. As always, sentiment is far from a perfect ICL timing tool, but we know the historical evidence suggests that we're at least extremely close now. All the conditions for an ICL remain in place. The Cycle has run for 21 weeks and we've completed at least 4 but likely 5 Daily Cycles. The technical indicators and oscillators have all reached ICL levels and have turned slightly higher gain. Sentiment is easily at levels that have spawned new Cycles and the COT reports are again back to levels that could support a new Cycle. New Investor Cycles are normally born just when all begin to lose hope, I believe we're there. My only real concern with the Investor Cycle chart is the weeks of indecision. It's not common for a new Investor Cycle to crawl out of lows; such candles reflect a lack of buyers or believers. It's possible this is simply related to my observation of an apathetic or indifferent investor class. Whatever the reason for the indecision, it's certainly a red flag.
|
| The Good News ? and Bad ? Regarding Gold, Silver & PM Stocks Going Forward Posted: 12 Jan 2013 03:38 PM PST *[B]Register [/B]to [B][B][B]"Follow the munKNEE"[/B][/B][/B] and automatically receive all articles posted As we begin 2013, there has been an important shift in regards to precious metals…the decoupling that has taken place between the equity market and the precious metals complex…[which] began nearly 17 months ago (decouplings of three or six months are not significant). Since the Euro crisis in summer 2011, the equity market has rallied nearly 30% and reached a five-year high, but*gold stocks are down by more than 30%…[and, as such,]**precious metals cannot begin an impulsive sustained bull move if the equity market continues to move higher. The equity market has to struggle with resistance and begin a mild cyclical bear move. While over the near-term precious metals can confirm a higher low, the 2013 success of the sector depends on the struggles of conventional stocks. [This article explains why that is the case and uses several charts to illustrate the point.]... |
| The War On Terror Spreads to Africa: U.S. Sending Troops to 35 African Nations Posted: 12 Jan 2013 02:40 PM PST The U.S. is sending troops to 35 African nations under the guise of fighting Al Qaeda and related terrorists. Democracy Now notes:
NPR reports:
Glenn Ford writes:
Timothy Alexander Guzman argues:
In a must-watch interview, Dan Collins of the China Money Report agrees that the purpose of the deployment is to challenge China’s rising prominence in Africa: (Indeed, the U.S. considers economic rivalry to be a basis for war). In reality – as we’ve repeatedly noted – the U.S. sends in the military to fight “terrorists” in any country which has resources we want (and see this).
And the U.S. is not shy about backing our “mortal enemies” to topple those standing between us and resources we pine for. Anthony Carlucci argues that the overthrow of Gaddafi (largely through American support of terrorists) was really the opening salvo in the war for African resources:  |
| Petition To Audit US Gold Vaults – Best Kept Secret To Be Revealed? Posted: 12 Jan 2013 02:35 PM PST Talking about an unexpected start of the year … A petition was launched on the website of the White House to have the US vaults audited. If there is one thing kept secret, then it is the amount of gold held by the US central bank. The presence of central bank gold became a very in the past couple of months and seemed to create a chain reaction after Germany announced to repatriate part of their gold back to Germany. It remains unknown to everyone how much gold really is present in the vaults. The US vaults host a lot of gold of many countries worldwide. The page of the petition says: "As of 12/31/2012 the US Treasury claims to hold 261 million ounces of gold at Denver, Fort Knox, West Point and at the Federal Reserve Bank of New York. This bullion was last subjected to a full physical audit in 1953. The gold bars need to be assayed and weighed. Once the gold is verified the paper trail must be audited to determine who really owns the gold; i.e. how much has been loaned to bankers and dealers and sold or swapped to non-Treasury entities including foreign governments. The audit must include professional auditors outside of the Mint, Treasury, GAO, Inspector General and Federal Reserve system." SIGN THE PETITION NOW 25,000 signatures are needed by February 08, 2013 to validate the petition. We currently stand at 3,000, still 22,000 to go. An effort from everyone is required because this could be the most important revelation related to gold! Zerohedge incited their readers to participate: "Sadly, the response will be one denying what the people demand, but it will be interesting to see just what excuse the White House uses to shoot down an idea that is far more worthy of people's time and attention than "minting" coins whose only real symbolism is that America is flat broke." GATA wrote earlier today: "Of course we don't expect the petition itself to extract any honesty, candor, or information from the Federal Reserve and the Treasury Department — only more freedom-of-information lawsuits such as those contemplated by GATA are likely to accomplish that. But if the petition reaches the 25,000-signature threshold and compels a sullen acknowledgment and rejection from the government, it just might spark some interest in the mainstream financial news media somewhere. Gold market rigging as the centerpiece of the ever-expanding Western central bank scheme of rigging all markets is now long beyond obvious and has been extensively documented by GATA." |
| Treasury, Fed Kill Trollin' Dollar Coin Posted: 12 Jan 2013 02:21 PM PST And just like that the most surreal two weeks of sheer monetary idiocy is over, with the Treasury and the Fed both formally announcing the death of the trillion trollin' dollar platinum coin idea, which was nothing but a cheap charlatan trick devised by page view-desperate media outlets to dumb down their already confused audience and distract from the fact that the US is, sadly, once again on the verge of bankruptcy. As the WaPo reports:
This is good news: at least the US monetary system will not devolve into an all out circus and parlor trick. For the time being at least. Because it is and always will be far easier to create empty, repoable "money" out of fungible electronic 1s and 0s, than an actual piece of metal. It is even better news because one can now permanently filter out and ignore all destructive "opinions" originating from those vocal proponents of this monetary gimmick, some of whom even have awards not ironically named for the inventor of dynamite. We won't even touch on what you need to know for the click-through and CPM loss this means for Series ZZ preferred round investors in slideshow-centric electronic media outlets located at the intersection of gossip and financial cluelessness. Finally, and on a more serious note, this once again means that it will be once again up to the market to get the political left and right to come to a compromise, as was the case in the summer of 2011. |
| The Good News – and Bad – Regarding Gold, Silver & PM Stocks Going Forward Posted: 12 Jan 2013 01:42 PM PST Register to "Follow the munKNEE" and automatically receive all articles posted As we begin 2013, there has been an important shift in regards to So writes Jordan Roy-Byrne, CMT (http://thedailygold.com) in edited excerpts from his original article* entitled 2013 Gold & Silver Outlook.
Roy-Byrne goes on to say in further edited excerpts: The chart below is what a decoupling looks like. It's not obvious over short periods – only over long periods of time. This decoupling means that precious metals cannot begin an impulsive sustained bull move if the equity market continues to move higher. The equity market has to struggle with resistance and begin a mild cyclical bear move. While over the near-term precious metals can confirm a higher low, the 2013 success of the sector depends on the struggles of conventional stocks. What would make stocks struggle? The Fundamentals That is where the fundamentals come into play.
Its important to note that both the economy and the equity market have little margin for error:
In any event, it is very clear that the decoupling will continue. You must decide if, and when, the markets will shift. The Technicals Turning to the technical outlook: a) Gold
A breakout in the second half of 2013 (with momentum already rising) would bode extremely well for 2014. b) Silver
It is very encouraging to see the silver stocks outperforming Silver (bottom row). c) GDX Turning to the shares, we love the clarity from the monthly candle chart. It details just how important the key levels are.
Conclusion Over the short-term it appears that the gold stocks are forming rounding bottoms… that take time to form. At the same time, the action in Gold and Silver is looking more and more constructive. Generally speaking, we see precious metals starting the year well and potentially finishing the year very well. However, do realize that while this could be the low for 2013, it could be many months before precious metals experience their next breakout. Conventional investments still have momentum and it will take some time for that relationship to shift. The bad news is, you are going to have to continue to be patient. The good news is we see this being the most explosive breakout since 2005 and you have plenty of time to try and identify the mining stocks poised to be big winners when this cyclical bull begins in earnest. Good Luck! Jordan Roy-Byrne, CMT Jordan@TheDailyGold.com
*http://thedailygold.com/2013-gold-silver-outlook/
Related Articles: 1. Gold Is Looking Increasingly Vulnerable – Here's Why
2. The Charts Tell ALL and THIS Is What They're Saying About Gold & Silver for 2013
3. Keep the Faith – This Bull Market in Gold STILL Promises to Be One for the History Books! Here's Why
4. Goldrunner Update: Gold, Silver & PM Stock Sentiment Sucks BUT the Fundamentals Are Off the Wall!
5. Alf Field: Once $1,800 Is Taken Out Gold Will See a Vigorous Climb to $4,500 Area
7. Gold & Silver Are Nowhere Close to Bubble Territory – Here Are 5 Reason Why
9. Bull Markets Always End With a Bang, Not a Whimper, So Gold's Run Should Have More Legs [Here is a summary of my]…thoughts on the 2011 gold price peak relative to the last time a long term bull market ended (back in 1980): Long-term bull markets almost always end with a bang, not a whimper, and last year's price peak was clearly the latter. A 25% rise over a period of about two months last year [does not an] end-of-cycle, blow-off top [make]. No, I think there's still some room to run for gold if for no other reason than that we haven't even come close to the "mania" stage that characterizes the end of long-term market moves…[Let me explain further.] Words: 359; Charts: 1 10. Goldbugs, Here's Why Gold's Long Bull Run Could Be Over Gold is sought after and saved when its price is rising in anticipation of rising inflation, or on concerns created by the collapse of currencies and in the final stage of long bull markets in any asset, prices often continue to rise further for no other reason than that they have been rising so dramatically for so long, making investors confident they can extend expectations for more gains in a straight line into the future, rather than thinking cycles. [That begs the question no gold bug wants to contemplate "Could gold's long bull run be over?" Let's try and answer that question.] Words: 814; Charts: 3 11. Is Gold's 13 Year Run Almost Over?
13. It's Time to Seriously Consider SHORTING Gold – Here's Why
|
| This Is The Frightening Reality We All Face Going Forward Posted: 12 Jan 2013 12:47 PM PST  The following is without question one of the most remarkable and powerful pieces Michael Pento has ever written for King World News. He put together this piece exclusively for KWN to warn readers about the soaring money supply and a coming collapse of currency and bond markets. Pento also stated the gold and silver bull markets are "only just beginning." Here is Pento's piece: "It should be clear to all that Keynesian Counterfeiters now control many of the major governments across the globe. This fact led to the bond market collapses of southern Europe a couple of years ago. The Greek bond market was the first to crack at the beginning of 2010. Borrowing massive quantities of printed money caused yields on their 10-year note rose from 5.8% in January, to over 40% two years later." This posting includes an audio/video/photo media file: Download Now |
| Financial Trends for 2013 | Fox Business Video Posted: 12 Jan 2013 12:44 PM PST Check our website daily at... [[ This is a content summary only. Visit http://www.figanews.com for full Content ]]  |
| Is a College Degree Worth it? | Fox Business Video Posted: 12 Jan 2013 12:38 PM PST Check our website daily at... [[ This is a content summary only. Visit http://www.figanews.com for full Content ]]  |
| Forex ~ Dollar-Yen Trade Too Crowded: Pro Posted: 12 Jan 2013 12:23 PM PST Check our website daily at... [[ This is a content summary only. Visit http://www.figanews.com for full Content ]]  |
| Herbalife CEO Defends His Company Posted: 12 Jan 2013 12:12 PM PST Check our website daily at... [[ This is a content summary only. Visit http://www.figanews.com for full Content ]]  |
| George Soros: A Professional & Personal Profile Posted: 12 Jan 2013 12:08 PM PST Register to "Follow the munKNEE" and automatically receive all articles posted While George Soros spent over 40 years managing funds at Soros Fund So writes Stephen D. Simpson (www.commodityhq.com) in edited excerpts from his original article* entitled Commodity Fund Profile: George Soros.
Simpson goes on to say in further edited excerpts: It is impossible to write the history of hedge funds or American investors without including George Soros. Though Soros did not invent the hedge fund, he was among a very select group to show how a well-run fund employing significant leverage could generate outsized returns for prolonged periods of time. Due to a particular combination of success, aggression and willingness to speak to the press, Soros found his name tied to two major financial events of the 1990s and he became, for many, the epitome of a hedge fund manager…. According to the most recent Forbes numbers, Soros is the 15th richest person in the world, with a $19 billion net worth. Early Career Soros grew up in Hungary, surviving both the Nazi occupation of Hungary and the intense fighting in Budapest between Soviet and Nazi forces near the end of World War II. Soros emigrated to England in 1947 and attended the London School of Economics, graduating in 1952. Soros emigrated again, to New York City, in 1956, and began his career on Wall Street. Soros' first opportunity to run money would come in 1967 with First Eagle Funds. He left to establish Soros Fund Management in 1969, launching the Quantum Fund later in 1973 with Jim Rogers, another now-noted commodity investor. Modern-Day Career Soros spent over 40 years managing funds at Soros Fund Management, racking up an incredible average annual return of 20%, while the Quantum Fund itself boasted returns in excess of 30%. For better or worse, though, most of Soros' investments garnered relatively little individual notice. Soros was an omnivorous investment opportunist, willing to invest in stocks, bonds, commodities, currencies and virtually any other financial instruments that seemed mispriced according to the firm's models. Soros made extensive use of leverage and was willing to invest with both very short and longer time horizons. Soros is arguably most known for the huge bets he made against the British pound in 1992. Soros felt that the European Exchange Rate Mechanism overvalued the pound and that the system was inherently unsustainable. Betting $10 billion on this view, Soros reaped more than $2 billion in profits from his trades, with reportedly $1 billion coming on a single day…. The Bank of England capitulated on September 16, 1992 (now known as "Black Wednesday"), and Soros henceforth carried the nickname of "the man who broke the Bank of England." It was later revealed that the Bank of England lost about 3.3 billion pounds defending the pound, and while there were other investors besides Soros involved, the event was a visible sign that international financial markets now carried more ultimate power than individual governments. Soros's name would again appear prominently during the Asian financial crisis during the summer of 1997. A full retelling of the crisis is beyond the scope of this article, but Soros was publicly named by Malaysian Prime Minister Mahatir Mohamad as a prime cause of the crisis, and Mahatir further alleged that he was attempting to ruin the economies of Southeast Asia through currency speculation. According to Soros, his firm and funds were involved during the crisis, going both long and short Southeast Asian currencies like the Thai baht and Malay ringgit at various points…. Jim Rogers left Soros Fund Management in 1980 and Soros began to hand over more day-to-day responsibility throughout the '80s and '90s before officially retiring in 2011. Future Growth With all due respect to Mr. Soros, at age 82 there are probably not too many chapters left to his story. Soros officially retired in 2011, returning about $1 billion to investors. Soros currently devotes his time to his charitable and foundation endeavors, as well as writing projects and speaking engagements. Personal Life Soros has been married and divorced twice, with five kids between the two marriages, and is presently again engaged to be married. While Soros earned his professional fame as a bold trader willing to make huge bets on binary outcomes, Soros has increasingly received notice for his extensive charitable efforts. Forbes estimates that he has donated more than $8 billion since 1979, with substantial sums going towards fighting poverty and supporting democracy and human rights around the world. So successful were some of these pro-democracy efforts in places like the former Soviet republics that Soros's actions reportedly compromised U.S. foreign policy…. Soros has also incurred the wrath of conservatives in the United States for his vocal support of the Democratic Party, and Soros can claim the questionable honor of having an entire Wikipedia page dedicated to various conspiracy theories tied to him. The Bottom Line Though Soros has officially retired from the professional investing world, he still has a lot of projects that keep him busy. Outside of his philanthropic work, Soros has also taken a financial interest in professional sports, and in the last 10 years he's been involved in everything from the Washington Capitals baseball team to the English football club Manchester United. Regardless of Soros's professional involvement in the investing world, as an outspoken financial critic–with a successful and prolific career to back up his theories–Soros's public pronouncements can give insight into the markets and investors should pay attention.
*http://commodityhq.com/2013/commodity-fund-profile-george-soros/ (Don't forget to subscribe to their free daily commodity investing newsletter and to follow them on Twitter @CommodityHQ.)
Related Articles:
2. George Soros' Speech on the Euro Crisis Has Gone Viral For Good Reason – It's Brilliant
3. Soros Selling Stocks and Stacking Gold! Should We Be Buying More Gold Too?
4. George Soros Predicts Economic Chaos/Conflict in Europe and Riots in the U.S.!
5. Words of Wisdom From the Most Brilliant Investors Ever
6. Soros and Rogers Agree: Greater Returns from Farmland Than Gold! Here's Why
|
| Posted: 12 Jan 2013 11:50 AM PST [url]http://www.traderdannorcini.blogspot.com/[/url] [url]http://www.fortwealth.com/[/url] Silver has been stuck in a range trade for the last month with selling entering on approaches to $31 and beyond while buying has appeared on moves down to $30 and lower. The RSI or Relative Strength Index has been stuck in a range between 65 on the top and 30 on the bottom. The indicates a market within a consolidation pattern with a bit of a friendly bias to it. It's ability to remain above 30 on the RSI suggests that the next move will be to the upside although it will need to push past that stubborn overhead resistance zone noted on the price chart in order to do so. I think that as long as Copper, Palladium and Platinum continue to look strong on the price charts, the Silver bears are going to have their work cut out for them in breaking down the support zone noted. Also, it is difficult to conceive of this market falling apart with equities continuing their upside party. Any move throu... |
| Hyperinflation In Action: Beer For Bag Of Cash Posted: 12 Jan 2013 11:10 AM PST In May 2011, Belarus surprised its citizens by devaluing its currency by 50% overnight in an attempt to kickstart its economy, leading to swift and brutal hyperinflation. And while written narratives of the most recent episode of monetary collapse are one thing, nothing is quite as amusing, and grounding for those attempting to "value" money (such as Nobel prize winning economists writing out of their steel exoskeletal ivory towers), as watching a bag of cash be used to pay for seven boxes of beer. And nothing is quite a cathartic as spending several hours trying to count said cash - cash backed by the "full faith and credit" of the Belarus central bank... h/t Daan |
| Guest Post: A Short Lesson In Bad Decision-Making Posted: 12 Jan 2013 11:07 AM PST Submitted by Adam Taggart of Peak Prosperity A Short Lesson in Bad Decision-Making In business school I had to take an introductory class in statistics that we colloquially called "D&D." The official course name was Data & Decision-making. In retrospect, it was a truly valuable class (one of very few I encountered in b-school). If you can figure out how to use statistics to determine the most probable outcome from a set of scenarios, or find predictive correlations from within a sea of data, that's real power. You can take a lot of the guesswork out of decision-making and consequently make the "right" call much more often. I performed miserably in this class. But I had a lot of company; it was perennially voted the hardest in the school's core curriculum. While I sometimes fantasize (masochistically) about taking the class again to master the black magic of statistics, I realize that I did learn a valuable lesson: Humans are innately poor at estimating probability. This was proved to me time and again throughout that course, starting on the very first day. A gifted young professor taught D&D. I was 27 at the time, and he was only a year or two older than I. Wicked smart guy. Given his age, he had a few things to prove to us on that first day of class. He wanted to demonstrate he was a little more fun and hip than the stuffy older profs who taught our other courses. He also intended to show that even though he was the same age as us, his was the Alpha cerebrum in the room. So as we took our seats for the first time, he asked: "Who wants to bet me $5 that two folks in this room have the same birthday?" We all looked at each other. There were about 65 students, plus the prof. We were all thinking: "365 days in a year. Only 66 people. Those odds don't seem so bad..." A hand went up, taking the bet. The prof asked the folks in the back row to start shouting out what their birthday was, one at a time. We got about 6 people in before someone in the middle of the room said, "That's my birthday, too." A $5 bill was passed up to the teacher. "Anyone willing to bet me again?" he asked. Another hand went up, figuring the odds just got much better as the "fluke" overlap had been removed. The exercise repeated. It only took a few more shoutouts to hit another shared birthday. Another $5 was handed over. "Anyone else?" said the professor. Another brave student made the bet and lost his $5. "Again?" This time we students were much more tentative. But after a while I shot my hand up. "What the heck," I figured. "He's got to be running out of luck." Wrong. I lost my $5 in about ten seconds. What I later learned was that the professor was making an exceptionally safe bet that only appeared risky because we students were grossly misjudging his probability of being wrong. In fact, as long as there were 57 students left, the prof's chances of winning the bet were over 99%(!). The odds would continue to be overwhelmingly in his favor all the way down to 23 people, at which point they would be 50/50. It turns out this is a classic probability exercise known as The Birthday Problem. And it apparently has kept the beer funds of statistics professors well-capitalized for ages. The lesson I took from the experience is this: Probability estimation is non-intuitive. If you need to make an important decision about the odds of something occurring, don't go with your gut. It will be often wrong (sometimes wildly so). Get data, crunch the numbers, and consult a professional if you can't figure things out on your own. This caution with regard to decision-making has served me well over my career. I've lost count of the number of times I began with a strongly-felt guesstimate that was torn to shreds by the time I did the math and learned how far reality was from my gut instinct. And what worries me – scares me, is more accurate – is that I don't observe this same caution in the actions of the people making the truly big decisions. Like the Fed, Congress, and many of our state governors. Instead, I see people – many of whom don't have strong empirical skills or practical business experience – making rash decisions about debt, deficits, taxes, money supply, interest rates, pensions, etc. that will have implications on a staggering order of magnitude. I myself can't wrap my brain fully around some of these (classic example: The Crash Course Chapter 11: How Much Is a Trillion?). And even though I'm by no means the smartest guy in the room, I have little confidence that a career politician is able to comprehend these gargantuan repercussions at a materially higher level than I can. Sure, it's easy if you're an elected official to simply print more money. Or run trillion-dollar deficits. Or raise taxes instead of cutting spending. Or mint the coin. Or burn more oil. But these are not short-lived decisions. Their implications will manifest over generations. And as the system becomes more unstable, the gut decisions will come faster and more furiously, made by those with the most hubris. Which is why we continue to recommend taking action at the individual level, to reduce your vulnerability as much as possible in advance:
#fdffff;">If only it were $5 of beer money that was on the line, instead of our global standard of living... |
| Elusive German 20 mark gold coins offered for January Buyers’ Group Posted: 12 Jan 2013 10:46 AM PST We recently secured a small tranche of 800 German 20 mark gold coins (pictured at the top). We purchased these difficult to obtain items at very favorable rates and can now pass along the savings to our clientele. This offer represents an opportunity for those wishing to add something a little different to their pre-1933 gold coin holdings. The 20 mark gold coins pre-date the Nightmare German Inflation of the 1920s, and some of the items in this tranche could very well have amounted to the "good money" that helped families weather that economic calamity. German 20 mark offerings over the years have always sold out quickly and we suspect that this group, given the favorable pricing, will be no exception. * * * * * Orders, as always, will be filled on a first-come, first-served basis. * * * * * A final snippet from Brebner and Fu's "Gold: Adjusting for Zero": "We believe the low-interest rate environment is likely to continue to enhance gold's attractiveness given the negligible opportunity cost and longer-term fears regarding adequate stores of value and value/wealth preservations." Please see "Deutsche Bank touts $2000 gold in first half" at our Breaking News page |
| Deutsche Bank touts $2000 gold in first half Posted: 12 Jan 2013 10:13 AM PST The New York Sun reports that James Grant, the well-known publisher of Grant's Interest Rate Observer, "could have been knocked over with a feather" after he read a recent report on gold issued by Deutsche Bank, Germany's largest bank. The reason? The bank's highly-touted global research research department concluded that in future years gold will make a better store of value for the average investor than fiat currencies. Grant himself is a proponent of gold ownership and the New York Sun has been known to champion the yellow metal in past editorials. "Overall," says Deutsche Bank, "we believe that the microeconomic environment for gold is turning more positive and forecast prices to exceed $2000 per ounce in the first half of 2013." To find out why Deutsche Bank paints such a positive picture for gold, please visit the 16-page study titled, "Gold: Adjusting for Zero." (Daniel Brebner and Xiao Fu) Gold is called "good money" and fiat currencies "bad money." The New York Sun coverage of the report is also worth a read. Many thanks to GATA's Chris Powell for sourcing both the Deutsche Bank and New York Sun reports. * * * * * "Concrete objects have served as money for most of human history; we may therefore speak of commodity money. A great deal of trust was placed in particular in precious and rare metals – gold first and foremost – due to their assumed intrinsic value. In its function as a medium of exchange, medium of payment and store of value, gold is thus, in a sense, a timeless classic." — Dr. Jens Weidmann, President, Bundesbank (Germany's central bank) |
| Posted: 12 Jan 2013 10:07 AM PST Summary: Long term - on major sell signal. Short term - on mixed signals. Gold sector cycle - down as of Oct 13. COT data - currently not supportive of a new up cycle, caution is advised. Read More...  |
Today acclaimed money manager Stephen Leeb told King World News the West is becoming even more desperate as the Chinese are going to increase storage a staggering 180% this year for gold, silver and other metals. Leeb continues to believe that when the Chinese eventually have gold underlying their currency the game is over. Here is what Leeb had to say: "I'm focused on this battle between the West and the East right now, and the Basel III situation. The Basel III ratios that discuss liquidity ratios the BIS wants the banks to maintain so they can survive a bank run are utterly baffling. The puzzling thing was what they said banks could hold in the event of a run on the banks or a liquidity squeeze."
SF Gate explained in a recent editorial that the "'trillion dollar coin' idea is worthless."
Gold closed down yesterday $17.30 to finish the comex session at $1660. Silver closed down by 51 cents to $30.37
Actually, that's a sort of play on words. We're not going to look at the cotton charts. We're going to look at the CoT and some charts.
When a major global player with direct ties to the White House, Wall Street, and the banking system starts off-loading stocks and starts stacking gold, it suggests a very serious market move is set to happen – and that is just what George Soros has done according to his latest 13-F report filing. [Should we buy more gold too?] Words: 484
| You are subscribed to email updates from Save Your ASSets First 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