Gold World News Flash |
- This Exploding Grenade Will Create A Gold & Silver Surge
- Nearly 70 Million (Conservatively) Jobless Worldwide Since 2007, As Global Unemployment Hits Record
- The Gold Price Closed Flat at $1,687.00
- It?s How Many Troy Ounces of Gold You Should Own Not What % of Your Portfolio It Should Be. Here?s Why
- Traders to lose heavily as India hikes gold import duties to 6%
- New Video Got Gold Report Posted for Subscribers
- Silver Is Setting Up For A Stunning 56% Surge
- What is a Land Trust? – Land Trust Information – YouTube
- Land Trusts Made Simple – YouTube
- The U.S. Dollar will Collapse – Mockingbird O'Reilly Finally Shares Some Truth
- Using a land trust for real estate investments – YouTube
- Should I incorporate my business? Delaware or Nevada? LLC or Corporation? – YouTube
- 5 Steps to Incorporating Your Business – YouTube
- how to build corporate credit to buy property financially – YouTube
- Why Nevada Corporations – YouTube
- Japan's Deputy Prime Minister Has A Modest Proposal For The Elderly: "Hurry Up And Die"
- Gold or a gold ETF?
- Buying a Home on the Court House Steps – YouTube
- It's How Many Troy Ounces of Gold You Should Own Not What % of Your Portfolio It Should Be. Here's Why
- How to set up a Nevada LLC – YouTube
- Outliers Happen All Too Frequently So Get Prepared! Here's How
- Guest Post: Keynesians And Ponzians
- Gold in 2013: Fund Managers Reveal Reasons for Optimism
- Gold & Silver Are the Achilles Heel of the Largest Ponzi Scheme ? Ever! Here?s Why
- These Charts Provide Detailed Insights Into Gold & Silver Price Activity
- The Strange Case Of Diverging Spanish Exports And What It Means For Europe
- Gold & Silver Are the Achilles Heel of the Largest Ponzi Scheme – Ever! Here's Why
- Sweden's central bank keeps most of its gold abroad without audit
- Pacific Group to convert a third of hedge-fund assets to gold
- India raises gold import tax but it's unlikely to deter buyers
- New page for Financial planners and advisors who wish to offer gold coins and bullion to their clientele
- Japan's Chain Of Events: Stagnation -> Monetization -> Devaluation -> Stabilization -> Retaliation -> Hyperinflation
- The Morality of Money
- Why Owning Gold is Absolutely Essential - Charles Ponzi Meets Cassandra
- Distrusting the Gold Trade: A Response
- "Wrong Way Corrigan" Analysts
| This Exploding Grenade Will Create A Gold & Silver Surge Posted: 22 Jan 2013 01:00 AM PST from KingWorldNews:
Because of this fact, Japanese politicians have succeeded to increase the debt to GDP ratio to 237%, which should have already caused a collapse in Japanese Government Bonds (JGBs) and the Yen. However, JGBs have held their value for two reasons: The Japanese own 92% of their sovereign debt; And, up until now, deflation has reigned over the island…" |
| Nearly 70 Million (Conservatively) Jobless Worldwide Since 2007, As Global Unemployment Hits Record Posted: 22 Jan 2013 12:30 AM PST from Silver Vigilante:
To be fair, the ILO has made the same prediction in each of the last six years. The UN jobs watchdog estimates unemployment will rise by 5.1 million this year to more than 202 million, and by another 2 million in 2014, following a rise of 4.2 million in 2012. |
| The Gold Price Closed Flat at $1,687.00 Posted: 22 Jan 2013 12:04 AM PST Gold Price Close Today : 1,687.00 Change : 0.00 or 0.00% Silver Price Close Today : 31.93 Change : 0.00 or 0.00% Gold Silver Ratio Today : 52.83 Change : 0.00 or 0.00% Franklin Sanders didn't post commentary today, if he posts later it will be available here. Argentum et aurum comparenda sunt -- -- Gold and silver must be bought. - Franklin Sanders, The Moneychanger The-MoneyChanger.com 1-888-218-9226 10:00am-5:00pm CST, Monday-Friday © 2012, The Moneychanger. May not be republished in any form, including electronically, without our express permission. To avoid confusion, please remember that the comments above have a very short time horizon. Always invest with the primary trend. Gold's primary trend is up, targeting at least $3,130.00; silver's primary is up targeting 16:1 gold/silver ratio or $195.66; stocks' primary trend is down, targeting Dow under 2,900 and worth only one ounce of gold; US$ or US$-denominated assets, primary trend down; real estate bubble has burst, primary trend down. WARNING AND DISCLAIMER. Be advised and warned: Do NOT use these commentaries to trade futures contracts. I don't intend them for that or write them with that short term trading outlook. I write them for long-term investors in physical metals. Take them as entertainment, but not as a timing service for futures. NOR do I recommend investing in gold or silver Exchange Trade Funds (ETFs). Those are NOT physical metal and I fear one day one or another may go up in smoke. Unless you can breathe smoke, stay away. Call me paranoid, but the surviving rabbit is wary of traps. NOR do I recommend trading futures options or other leveraged paper gold and silver products. These are not for the inexperienced. NOR do I recommend buying gold and silver on margin or with debt. What DO I recommend? Physical gold and silver coins and bars in your own hands. One final warning: NEVER insert a 747 Jumbo Jet up your nose. No, I don't.  |
| Posted: 21 Jan 2013 10:52 PM PST [B][B][COLOR=#0000ff][U]Register [/B][/B][/U]to[B][B] "Follow the [U]munKNEE"[/U][/B][/B][/COLOR] and automatically receive all articles posted The question of how much gold or silver one should hold is a common one. The answer is usually expressed in terms of portfolio percentages, as in 10 – 20% of one's investments. Such an answer is without basis. Why is 15%, for example, any better than 100% or 0%? So writes Monty Pelerin ([url]www.EconomicNoise.com[/url]) in edited excerpts from his original article* entitled Retirement Planning And Gold. [INDENT]This article is presented compliments of [B][COLOR=#ff0000]www.FinancialArticleSummariesToday.com [/COLOR](A site for sore eyes and inquisitive minds) and [COLOR=#ff0000]www.munKNEE.com [/COLOR](Your Key to Making Money!) and may have been edited ([ ]), abridged (…) and/or reformatted (some sub-titles and bold/italics emphases) for the sake of clarity and brevity to ensure a fast and easy read. Please note that this paragraph must be ... |
| Traders to lose heavily as India hikes gold import duties to 6% Posted: 21 Jan 2013 10:30 PM PST The hike in gold import duty in India is set to help smugglers push the precious metal and increase the price of gold by $13 per ten gram in the domestic market. by Shivom Seth, MineWeb.com
India's passion for the yellow metal could dive by about 25% as a result of the import duty hike, according to the All India Gems and Jewellery Trade Federation's Bachhraj Bamalwa, who addedd the precious metal had put such a strain on finances that the government was left with no option but to hike the duty. "The decision will boost smuggling and the parallel economy. The Indian government will lose heavily," he said. |
| New Video Got Gold Report Posted for Subscribers Posted: 21 Jan 2013 10:20 PM PST Vultures (Got Gold Report Subscribers) please log in and navigate to the Recent Video Section of the Subscriber Welcome Page to view a new Got Gold Report video update from today, January 21, 2013. Topics include important developments in the gold and silver markets and interesting changes in the Commodity Futures Trading Commission (CFTC) commitments of traders (COT) reports. To subscribe to Got Gold Report, please click on the "Subscribe to GGR" button, above right, and thanks for doing so! |
| Silver Is Setting Up For A Stunning 56% Surge Posted: 21 Jan 2013 10:01 PM PST  On the heels of India raising import duties on gold by 50% in an effort to reduce surging demand, top Citi analyst Tom Fitzpatrick now believes silver may be set up for a stunning 56% surge. Fitzpatrick provided King World News with seven powerful charts which covered the gold, silver, palladium and platinum markets. Fitzpatrick has been incredibly accurate regarding his forecasts for both gold and silver, so pay attention silver bulls. This posting includes an audio/video/photo media file: Download Now |
| What is a Land Trust? – Land Trust Information – YouTube Posted: 21 Jan 2013 09:12 PM PST Check our website daily at... [[ This is a content summary only. Visit http://www.figanews.com for full Content ]]  |
| Land Trusts Made Simple – YouTube Posted: 21 Jan 2013 09:01 PM PST Check our website daily at... [[ This is a content summary only. Visit http://www.figanews.com for full Content ]]  |
| The U.S. Dollar will Collapse – Mockingbird O'Reilly Finally Shares Some Truth Posted: 21 Jan 2013 08:40 PM PST [Ed. Note: Bill O'Reilly, a far-Right mockingbird mouthpiece, is as repugnant to Libertarians as Piers Morgan on the far-Left is. And both are paid MILLIONS per year to mislead the American people. But for whatever reason, in this clip, O'Reilly shares some truth with his brainwashed audience. So we'll pass it on...] from djgabrielpresents: |
| Using a land trust for real estate investments – YouTube Posted: 21 Jan 2013 08:39 PM PST Check our website daily at... [[ This is a content summary only. Visit http://www.figanews.com for full Content ]]  |
| Should I incorporate my business? Delaware or Nevada? LLC or Corporation? – YouTube Posted: 21 Jan 2013 08:36 PM PST Check our website daily at... [[ This is a content summary only. Visit http://www.figanews.com for full Content ]]  |
| 5 Steps to Incorporating Your Business – YouTube Posted: 21 Jan 2013 08:32 PM PST Check our website daily at... [[ This is a content summary only. Visit http://www.figanews.com for full Content ]]  |
| how to build corporate credit to buy property financially – YouTube Posted: 21 Jan 2013 08:17 PM PST Check our website daily at... [[ This is a content summary only. Visit http://www.figanews.com for full Content ]]  |
| Why Nevada Corporations – YouTube Posted: 21 Jan 2013 08:16 PM PST Check our website daily at... [[ This is a content summary only. Visit http://www.figanews.com for full Content ]]  |
| Posted: 21 Jan 2013 08:13 PM PST Everyone knows that Japan, whose population is now at the oldest average age it has ever been in its history, sold more adult than baby diapers for the first time in 2012, and is "older" than any nation in the world, has a "demographic problem." What few may know, however, is that it also has a secret plan to fix said "demographic problem" - a solution that would make Hitler, Goebbels and Stalin proud. Earlier today, Taro Aso, 72 years young, and the deputy PM of the man set to unleash Abenomics on Japan (for the second time, only this time it will be different), suggested that the elderly in Japan should just "hurry up and die" because "You cannot sleep well when you think it's all paid by the government." Uhhhmmm.... Remember that this is the nation that the US is set to imitate at all costs: in everything from the rising debt/GDP, to the interest as a % of revenue, to the demographic distribution of the population, to the absolute collapse in its export base, to, well, everything. And, perhaps, one day to the treatment of the elderly. Because unlike the US, Japan does not have an insolvent Social Security Fund and underfunded liabilities that amount to about 10 times its GDP. Ironically, in the perspective of benefits promised to its society, Japan is in a better place than even the US. But why worry about that now: there is an inauguration going on, and everyone is discussing what the FLOTUS is wearing. But back to outspoken Aso. From the SCMP:
And these are the - somewhat aged to be perfectly blunt here as well - people on which the western capital markets have staked their hopes for a return to prosperity and monetary utopia? Just when does the world admit to itself it has a peak desperation problem? |
| Posted: 21 Jan 2013 07:54 PM PST Goldmoney |
| Buying a Home on the Court House Steps – YouTube Posted: 21 Jan 2013 07:30 PM PST Check our website daily at... [[ This is a content summary only. Visit http://www.figanews.com for full Content ]]  |
| Posted: 21 Jan 2013 07:13 PM PST Register to "Follow the munKNEE" and automatically receive all articles posted The question of how much gold or silver one should hold is a common So writes Monty Pelerin (www.EconomicNoise.com) in edited excerpts from his original article* entitled Retirement Planning And Gold.
Pelerin goes on to say in further edited excerpts: The question and the answer reflect the uncertainty of the period in which it is asked. In prior decades, people assumed (mistakenly) that the dollar was an honest and stable currency. It wasn't. Since the formation of the Federal Reserve in 1913, the dollar has lost 97% of its purchasing power. Generally this loss was persistent and gradual with the exception of a few instances. Today, people increasingly understand the risks in holding dollars and dollar-denominated assets. Central banks around the world are engaged in outright counterfeiting (printing of new money) at rates never before seen or imagined. While the masses may not understand the causes and solutions to the economic malaise, they are beginning to understand that printing more money has not solved any problems (and has created new ones). Printing more will only cheapen existing money even further. As the possibility of a currency collapse increases, people seek ways to protect themselves. As money ceases to perform its role as a store of value, other assets are sought. The popularity and value of these other assets is inversely related to the level of confidence in fiat currency. As confidence sinks, the value of alternative stores of value increase. These considerations explain the revival of interest in gold, silver and other "hard" assets, but they do not provide an answer to how much of one's assets should be committed to inflation protection. The Standard 10 – 20% Non-Answer [Saying one should have 10-20% of one's portfolio in gold] is a safe answer for someone to express, but it is correct for you only by coincidence. It is no better than rules of thumb used by insurance salesmen to determine how much life insurance you should have. This analogy, while imperfect, does convey the notion that gold is held for insurance purposes. It is a hedge against the decline of the dollar. Wealth and savings represent deferred consumption. For most of us, wealth represents a nest egg which will be turned into consumption in later years when income stops or is insufficient to support our lifestyle. People establish retirement plans to prepare for this time. Retirement plans are based on a set of assumptions. These assumptions typically deal with time to retirement, current savings, planned additional savings and the returns expected from these savings. The calculations are simple, although the ability to achieve the necessary levels is not. Here is the fallacy in most retirement planning programs. Implicit in most is the assumption of an honest dollar, i.e., a dollar that will reasonably retain its purchasing power. Many retirees discover too late the fallacy in this assumption. They meet their objectives, retire and then learn that the depreciating value of the currency is cheating them from the retirement they earned and expected. Their sacrifice and savings to meet all their goals still falls short of the retirement they expected. What if your savings is adequate enough to sustain you through the latter periods of your life only if the purchasing power of the dollar remains where it is today or if it does not depreciate at a rate faster than you assumed it would? This is the problem that everyone confronts when they deal with dishonest money. You never know whether you have enough to retire or even whether you will be able to retire. You[r] determinations [are] based on today's dollar, but you have no idea what tomorrow's dollar will be worth. Without this knowledge, the concept of planning loses meaning. Financial advisers suggest 10 – 20% as a means of protection against the ravages of inflation. These percentages acknowledge the risks of inflation, although [they] are in no way tied to your situation or alternative scenarios for inflation. They are simple rules of thumb, the equivalent of a financial adviser acknowledging inflation but little more. Obviously, this range cannot be the same for the marginally secure and the incredibly wealthy. This rule of thumb is not an answer as much as it is a cop-out. It is the financial planner's CYA plug, acknowledging that inflation will be a factor but unable to provide a meaningful estimate of what it will be. If you believe that extremely high inflation is coming, perhaps you should have most of your assets in precious metals. If you believe that inflation is not likely, then perhaps 10% or some smaller percentage is appropriate. In the event of either of these outcomes, you are going to be wrong with the 10 – 20% holding. If high inflation does not occur, then presumably you have incurred an opportunity cost equal to the amount that could have been earned in more traditional assets. (Note that for the last 12 years there has been an opportunity profit of holding gold rather than traditional assets. Gold has risen from about 250 to close to 1,800 dollars while home values have decreased and the stock market has been level.) In the event that high inflation does occur, 10 – 20% of your portfolio will be protected in terms of its purchasing power while the remainder presumably loses purchasing power. The only way that 10 – 20% can be justified is as a guess-hedge against not knowing what is coming. There is no way to take away the uncertainty associated with the future, but there is a different way to look at how much gold or silver might be appropriate for protection. Jeff Clark deals with this topic in a recent interview with Chris Martenson [in which he] suggests that gold by weight, rather than gold by dollar amount, is the appropriate way to make your decision. His comments below [read his full article entitled Do You Have Enough (Any?) Gold or Silver to Meet Living Expenses During a Time of High Inflation? Here's What You Need] indicate the need for a rather large hoard:
Perhaps investment advisers do not deal in this fashion with their clients in order not to discourage them. Better to save for retirement than to throw up your hands and say it is hopeless.
* http://www.economicnoise.com/2013/01/19/retirement-planning-and-gold/
Related Articles: NOone is expecting rampant inflation. After all, the CPI is low with nothing happening in spite of all this money printing. While there has been no fallout I think that is the critical point. You cannot do these kinds of things we are doing forever and not experience any consequences. Sooner or later there are going to be consequences to what we are doing, and my fear is that it is going to be nasty, catch a lot of people off guard, and really hurt our society. That is the bottom line and why I am buying gold and silver, still, to this day. Words: 795 2. Gold's Long-term Bull Market Is Intact With Prices Expected to Surge – Here's Why
3. James Turk: Why Gold is Preferred to National Currencies Some say that the gold price rises and falls, but they are grabbing the wrong end of the stick. It is the purchasing power of national currencies that rise and fall. Here is an analogy to make this point clear. When standing in a boat and looking at the shore, it is the boat (currencies) – and not the land (gold) – that is bobbing up and down. [Let me explain the value of gold further.] Words: 631 4. Race to Debase: How Gold & Silver Have Performed vs. 75 Fiat Currencies
5. Nick Barisheff: $10,000 Gold is Coming! Here's Why
7. Take Note: Gold and Silver are NOT an Investment!  Gold and Silver are not an investment! Let me repeat that. Gold and silver are not an investment! Gold and silver are (excuse the pun) the most "solid" form of money you can possess. Yes, these two precious metals are money!…Don't fear owning gold my friends. Fear not owning gold and silver, especially if you are a saver. [Let me explain.] Words: 795 8. If You Don't Think Gold IS a 'Safe Haven' Then You Don't Know the Meaning of the Term!
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| How to set up a Nevada LLC – YouTube Posted: 21 Jan 2013 07:11 PM PST Check our website daily at... [[ This is a content summary only. Visit http://www.figanews.com for full Content ]]  |
| Outliers Happen All Too Frequently So Get Prepared! Here's How Posted: 21 Jan 2013 05:33 PM PST By definition, rare events should seldom occur [and] applying that  understanding to financial markets assumes that all market events follow a normal distribution or, in layman's terms, a bell-shaped curve. More specifically, the statistics say that 99.7% of all daily movements should fall within three standard deviations of the mean, no more. Well, guess what? New research suggests that they clearly don't follow such a pattern – that "unlikely" doesn't mean "never". [Let me expand on that.] Words: 1079; Charts: 1So writes Lou Basenese (www.wallstreetdaily.com) in edited excerpts from his original article* entitled When Rare Events Aren't All That Rare.
Basenese goes on to say in further edited excerpts: "Unlikely" Doesn't Mean "Never" Deutsche Bank recently measured the occurrence of rare events – defined as daily movements of three standard deviations or more from the mean – for various markets…[and] as you can see below, the proportion of three standard deviation movements hardly ranks as rare. In some instances, [such as during] the financial collapse in 2008, it happens over 25% of the time.  [The] long [and the] short [of it is that], outliers happen – [and] way too frequently – so, clearly, financial markets don't follow a normal distribution. Or if you prefer a more eloquent explanation, here's how Deutsche Bank puts it:
[Conclusion:] Either way, the implications couldn't be more straightforward. We should prepare for outliers. 6 Outrageous Predictions for 2013 Such advice is particularly timely considering that we're still in the middle of the season when pundits dole out predictions like breath mints and, as such, we should be seeking out the wildest and boldest predictions [we can think of] because they could actually happen and, in turn, we could score some serious contrarian profits. Discarding the obvious in favor of the outrageous is easier said than done, of course, [because] we naturally gravitate toward predictions that jive with our own personal convictions. Psychologically speaking, it's called "confirmatory bias." We seek out information congruent with our own beliefs with much more fervor than contradictory data. Based on what we've learned so far, [however,] it is imperative to think outside the box if we want to identify new profit opportunities before anyone else. so below I present my 6 Outrageous Predictions for 2013. (Some are mine, and some came from elsewhere.) #1: The burgeoning rally in Japanese stocks endures I know that's crazy talk but I'm no longer the only one guilty of it. So is Blackstone Advisory Partners' Vice Chairman, Byron Wien. In his annual "Surprises" list [Read: Byron Wien: 10 Events That Will Likely "Surprise" Us In 2013], he pegged the Nikkei 225 trading "above 12,000 as exports improve and investors return to the stocks of the world's third-largest economy" as a possibility. Go long Japanese stocks, but beware of a falling yen sapping your profits. #2: Congress actually passes a budget It hasn't happened since April 29, 2009 but it's hard to curb spending when you don't know how much you're allowed to spend. (Just saying.) From an investment perspective, such an occurrence could help ward off a sovereign debt downgrade and help Treasury prices continue to defy gravity. #3: Stocks soar by more than 15% Bull markets aren't supposed to last this long, until they do. [Read: Gold Stocks Go Up Dramatically In Inauguration Years – Will Another +20% Increase Occur This Year? and 5 Sound Reasons Investors Would Be Better Off On the Sidelines Than In the Market] I selfishly hope that nobody buys into this one, because it'll serve as a strong contrarian indicator that the bull market will, indeed, charge higher and that means more profits for the few, the proud, the bulls. #4: Ben Bernanke gets tired of buying bonds and opts for stocks instead All the credit goes to…Deutsche Bank for this one. As they said, "With the U.S. housing sector apparently turning the corner, stronger equities may be the necessary tonic to further increase household wealth, and also to boost investment… While the Fed does have restrictions on what assets it can buy, it can invoke Section 13(3) of the Federal Reserve Act that allows more extreme actions in 'unusual and exigent circumstances.'" Who knew such a monetary policy measure was even legal? I'm suddenly getting more bullish about stocks. As the saying goes, we never want to fight the Fed. #5: Inflation returns with a vengeance The Nostradamuses over at Morgan Stanley say, "Inflation could be triggered by a combination of another drought which limits agricultural production, stronger-than-expected recoveries from [the] world's economic powerhouses (China and the U.S.), and ballooning central bank balance sheets." That actually doesn't sound so outrageous, now does it? Hurry up and stuff your portfolio with gold, silver, timberland, real estate and, yes, stocks (they're the most unloved, but best inflation hedge, of the bunch). #6: Greece discovers gas reserves worth more than all of the debt it owes I know what you're thinking. There's also a bottomless pot of gold at the end of a rainbow in Ireland, right? This prediction from Deutsche Bank might not be so far-fetched, though. As they note, "Greece has sizeable undersea terrain in the Mediterranean, and several Mediterranean countries have already discovered and are exploiting undersea natural resources." (If you've got moxie, you can prove it by pushing a few chips in on the Global X FTSE Greece 20(GREK). It's in full-on rally mode – up 60% over the last six months. So it's not really that outrageous of a bet. It's a momentum play.) Bonus Prediction: Lindsay Lohan avoids any run-ins with the police This is one prediction I won't even consider betting a single dollar on. I may be a dyed-in-the-wool contrarian but I'm not a sucker. However, if you've got a friend willing to bet that she avoids the law in 2013, bet the house – and make him pay up! Bottom line: Just because something is unlikely, doesn't mean it won't happen, especially in the financial markets, so be a contrarian and bet on the unexpected happening much more frequently than everyone else. You'll have a bigger net worth to show for your courage. Just ask John Templeton: "It is impossible to produce superior performance unless you do something that is different from the majority" – and he practiced what he preached. Ahead of the tape,
*http://www.wallstreetdaily.com/2013/01/21/when-rare-events/
Related Articles: 1. Byron Wien: 10 Events That Will Likely "Surprise" Us In 2013 For the 28th year running I have given my views on a number of economic, financial market and political surprises for the coming year….defined as events which the average investor would only assign a 30% chance of taking place but which I believe are "probable", having a better than 50% likelihood of happening. [Below is my list of 10 surprises for 2013, complete with my rationale for each.] Words: 1037 2. Gold Stocks Go Up Dramatically In Inauguration Years – Will Another +20% Increase Occur This Year? President Obama will be sworn into office for a second term on January 21 and that's good news if you own gold stocks. Why? Because gold stocks, [as represented by the XAU] have increased, on average, by 20% during inaugural years since 1985 (28% in 2005; 36% in 2003). While there's no real rhyme or reason as to why gold stocks thrive in inauguration years – statistical anomaly or otherwise – it is yet another reason to buy gold stocks right now. Words: 312; Charts: 1 3. 5 Sound Reasons Investors Would Be Better Off On the Sidelines Than In the Market New year festivities have continued on the stock market even as the Christmas trees have been put away. The "death of the fiscal cliff," not horrible job numbers and supportive comments from Mario Draghi on the other side of the pond have led to bold and bullish behaviors over the last three weeks. While no one can predict the exact peak, here are five reasons you're better off on the sidelines than in the market. 4. The S&P 500 Continues to Rapidly Build Its "Domed House" As Projected The broad stock market is on its way to building a "Domed House" and to challenge multi-year highs, or even all-time highs, in the process. Based on the forecast of my proprietary Long Wave Index, the broad market should be in a short-term bullish time-window until 1/17/2013. Words: 634; Charts: 2 5. These Charts Suggest a Possible +/-60% Decline in the S&P 500 by 2014 J.P. Morgan Asset Management has developed a chart showing the past two cycles in the S&P 500 highlighting peak and trough valuations. At face value it is very alarming as it suggests a potential decline of somewhere in the vicinity of 60% over the next year or two and concurs with previous innovative trend analyses included in this article. Charts: 4 6. The Big Mac Index Reveals the REAL Facts On U.S. Inflation! A look at the trend in prices of the Big Mac clearly shows that investors are being penalized with higher inflation, lower income from bonds and certificates of deposit and being led to believe that the economy is growing better than it really is. [Let me explain.] Words: 1012; Charts: 2 7. Will Hyperinflation Happen in America? Here Are Economic & Political Worst Case Scenarios I have been reading a lot lately about the coming hyperinflation in America… [and while] I respect many of the writers [who express that opinion] I think they are jumping the gun. At this point none of the economic or political factors required to set off hyperinflation are present – and a careful analysis of theory, fact, and history leads me to conclude that inflation/stagflation is our future. It is quite a leap of fancy to say we are certain to have hyperinflation. Words: 2780 8. These 6 Charts Illustrate That Hyperinflationary Pressure in America Is Growing The six charts I provide in this article illustrate why the hyperinflationary pressure in America is growing. This is not necessarily a forecast for hyperinflation – this is simply a demonstration that some of the precursors to a hyperinflationary cliff are building. (Words: 1001; Charts: 7) 9. Inflation: What Do the Non-CPI Inflation Gauges Say It Is? Whenever the BLS posts their monthly CPI there's always the same response from critics that the index is flawed. That's fine. I think a healthy dose of skepticism regarding government data is perfectly good. So let's take a look at some independent gauges to see where prices are. 10. Once Inflation Starts There Will Be NO Stopping It! If inflation starts to head towards 5%, you can be sure it's headed for 10% because they don't have the ability to stop it now. The only antidote they have to the mess we are in, which is massively excessive debt reinforced by derivatives, is unlimited money printing. The idea that you can withdraw the punch bowl or sharply raise interest rates, it just doesn't exist, unless you want to take a complete deflationary collapse.
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| Guest Post: Keynesians And Ponzians Posted: 21 Jan 2013 05:12 PM PST Originally posted at Monty Pelerin's World blog, The economy cannot recover without a complete cleansing of the excesses that have built up over the last half century plus. This mantra has been repeated again and again on this website and elsewhere. It is not a unique idea. It is a foundational belief of Austrian economics and an integral part of Austrian Business Cycle theory. Ludwig von Mises provided this fundamental observation:
There has likely never been a boom so great (and so fictitious) as the one that this country experienced for the last several decades. Its origins began with the hubris of government economists in the decade of the 1960s who believed that the economy could be managed like a piece of machinery. They believed that they had the tools (and wisdom) to eliminate business cycles by judiciously stepping on and letting off the gas at the correct times. This incorrect belief is still fundamental to Keynesian economists, despite the impressive string of failures it has produced. Empirics notwithstanding, the belief is maintained. The misjudgments of practitioners, not the theory, are responsible. The movement toward a social welfare state provided additional incentives for Keynesians. With its "costless" provision of increasing benefits to increasing numbers of people, the welfare state required that a boom be maintained lest the Ponzi scheme collapse prematurely. The Ponzians and Keynesians became natural comrades and allies. Keynesianism promoted activist government. The welfare state was activist government taken to an extreme and required increasing amounts of money to survive. A symbiotic relationship was evident. The growth of one promoted the other and vice versa. The complementarity is apparent when one realizes that members of one of these cults generally belong to the other. Whether this boom was the greatest in history might be debated. What cannot be debated is the fact that no other boom has been more dependent on government for its formation and maintenance. No boom in history has been created by easier money and bigger government interventions. Nor has any other been so desperately maintained by government. As a result, this boom has been more artificial and damaging to the economy than any other. For decades the Fed and government interventions distorted interest rates and product prices. These incorrect price signals encouraged entrepreneurs to engage in behavior that should never have been undertaken. Massive mis-allocations of capital and labor are the result and they have built up over fifty years. Markets are now trying to right these wrongs. Government is desperately trying to prevent the curative process. More stimulus and interventions may stem the tide for a while longer, but they also increase the distortions. Government efforts to stop markets are doomed to failure. Markets will prevail. They always do. Regarding such efforts, Mises observed:
This quote is the bottom line. It summarizes what will be. It describes what the last five years has been about — a battle between political desire and economic law. It is a battle of hope against reality. Politicians foolishly believe they can bend the laws of nature. They are fools for trying. Sadly, the pain and suffering that will be incurred will be borne by the millions of citizens dependent on markets and the economy. Do not forget the big picture. The inexorable theme that is playing out is captured in Mises' second quote. Knowing the underlying and immutable laws of economics will ensure you don't fall prey to the political propaganda spewed out daily from Washington, their media minions and Wall Street shills. |
| Gold in 2013: Fund Managers Reveal Reasons for Optimism Posted: 21 Jan 2013 04:49 PM PST The Gold Report's first-ever survey of fund managers who invest heavily in junior gold mining stocks reveals cautious optimism on the sector's performance in 2013. The historical performance of gold in the year following a U.S. presidential election, the devaluing of the U.S. dollar and current low valuations for gold miners all bode well for an upturn this year, but some doubts remain. Learn how professional investors decide which companies are worth investing millions of dollars in this year. |
| Gold & Silver Are the Achilles Heel of the Largest Ponzi Scheme ? Ever! Here?s Why Posted: 21 Jan 2013 04:46 PM PST [B][B][COLOR=#0000ff][U]Register [/B][/B][/U]to[B][B] "Follow the [U]munKNEE"[/U][/B][/B][/COLOR] and automatically receive all articles posted We are in a trench warfare with central bankers, hellbent on destroying capitalism, sovereign nations, currencies, all in the service of achieving world dominance, via deception, letting nothing and no one stand in the way.* The importance of gold and, to a lesser extent, silver are the Achilles Heel of the Bilderberg*Clan's largest Ponzi scheme ever.* Whatever one may think of the Mafia, they are bit players in contrast to the central banking clan, the most ruthless collection of individuals ever assembled. The Bilderbergers do not break legs or use baseball bats against their intended victims.* No, they are far more sinister and lethal.* They use money, instead. That's it?!* That's all you got?! Yep.* That’s all they need. [Let me explain.] Words: 960 So writes Michael Noonan ([url]http://edgetraderplus.com[/url]) in edited excerp... |
| These Charts Provide Detailed Insights Into Gold & Silver Price Activity Posted: 21 Jan 2013 04:46 PM PST [B][B][COLOR=#0000ff][U]Register [/B][/B][/U]to[B][B] "Follow the [U]munKNEE"[/U][/B][/B][/COLOR] and automatically receive all articles posted All known information is contained in the charts, and being able to read them is a distinct advantage.* The best way to achieve that advantage is to learn to make distinctions contained in the charts from one day/week/month to the next and this article does just that for both gold and silver. [Take a look.] Words: 1375; Charts: 6 [INDENT]This article is presented compliments of [B][COLOR=#ff0000]www.FinancialArticleSummariesToday.com [/COLOR](A site for sore eyes and inquisitive minds) and [COLOR=#ff0000]www.munKNEE.com[/COLOR] (Your Key to Making Money!) and may have been edited ([ ]), abridged (…) and/or reformatted (some sub-titles and bold/italics emphases) for the sake of clarity and brevity to ensure a fast and easy read. Please note that this paragraph must be included in any article re-posting to avoid copyright infringement.[/B] [... |
| The Strange Case Of Diverging Spanish Exports And What It Means For Europe Posted: 21 Jan 2013 04:26 PM PST As we have been warning for over half a year, and as conventional wisdom has finally caught on, the economy most impacted in Europe by the recent surge in the EUR exchange rate (not because of an improvement in the economy but due to wholesale engineering of asset prices by central banks) is the one that has so far been able to keep it all together - Germany, the same country where Angela Merkel last night suffered an embarrassing last minute loss which may be a harbinger of things to come should Germany slide deeper into recession. This, as also noted repeatedly before, is part of the grand paradox in Europe: unlike every other central bank in the world, the ECB's interventions achieve only one thing: to push the EUR higher, in the process stabilizing secondary market indicators (bond prices, the DAX, swap spreads) but destabilizing EUR-denominated exports. And while the adverse impact on core exporting countries from ECB intervention is by know understood by everyone (and this is ignoring the impact of potential inflation as a result of fund flows to the few safe regions in Europe), few appreciate just how big the EUR impact on the periphery is as well. The chart below from the Spanish economy ministry showing the recent stunning divergence of Spanish exports, should explain why a low EUR is good for not only Germany, but certainly the PIIGS, in this case Spain. And vice versa. Below are Spanish exports and imports broken down by trading counterparty: EU; non-EU and Total: What is immediately obvious is that when it comes to imports and exports between Spain and Europe, primarily the Eurozone, but also all EU countries, the trade situation is about as abysmal as ever, posting a decline compared to 2011, and about the worst on a Y/Y basis since 2009. And yet the total export number is not quite as bad. Why? Courtesy of the yellow line showing exports to non-EU27 countries. It is here that exports have soared to previously unseen Y/Y levels, and which have managed to keep export growth in Spain sustainable. Exports driven exclusive by a weak Euro currency. With imports declining rapidly because of the far less organic demand in Spain for foreign goods and services (not to mention domestic) courtesy of 26% unemployment, it is this trade surplus that has had a much needed and beneficial impact on the current account situation in Spain. Alas, the benefits to Spain, not just Germany, from the very weak Euro which has soared since the 1.2000 "Draghi bottom" in July 2012, are now ending, and as the chart below shows, in November Spain just posted its first Y/Y decline in Exports following months of increases: only the second such decline in 2012, and amounting to 0.6%. This compares to a 7.4% increase in exports in November 2011, when Europe did have the benefit of a currency whose strength was rapidly deteriorating . And just in case there is no confusion about what the internal European demand for Spanish products was: demand that represents some two thirds of all exports, it is shown below: a 10% drop in Spanish exports to other EUR countries, offset by a 15.5% to non-Eurozone European countries, and a surge in exports to North America, Africa, and less to Latin America and Asia - all places that prefer a EUR that is: a) stronger? One thing is unmistakable: Spain deserves as much of its GDP and current account boost (not that it is positive mind you, just that both would be far, far worse had it not been due to the EUR crush mid year) to the weak EUR exhibited in the mid- to late-2012, as it does to all other ECB interventions, paradoxically meant to strengthen the EUR! And it is here that the supreme irony of Europe resides: because very soon Spanish exports to the rest of the world will tumble as its goods and services are no longer competitive courtesy of a 1.33 and rising EURUSD, and with the core of the Eurozone now so weak (recall German GDP just dipped to under 0%) and irrelevant what the level of the EUR is (as everyone in Europe uses it) to not be able to offset the decline in non-European exports, Spain will once again become the focal point of everyone's attention. This will force yet another ramp up in TARGET2 liabilities, forcing an even bigger drop in Spanish GDP, and finally, forcing a return of the Spanish bond vigilantes, all of which leads to, drumroll, another spasm in the European crisis, one that culminates with a plunge in the EUR, and a need for the ECB to step in and bailout the Eurozone and its currency once more. Of course, this analysis excludes the impact of the ever plunging Yen - something which forced none other than BUBA head Jens Weidmann to publicly admonish Japan against engaging in currency warfare a few short hours ago, and whatever other currencies soon join the fray of devaluation, which will ultimately have just one impact on Spanish, German and other European exports: negative. The take home here, however, is simple, and is becoming so clear, even a caveman Econ Ph.D. gets it: where other countries can and will engage in currency warfare in an increasingly more hostile manner, all rhetoric aside, it is only Europe, and its fake currency, that has central bank intervention occur to prop up the currency, not to push it lower! It is this complete outlier nature of the Eurozone to the rest of modern central banking that will ultimately be its downfall, as while in a zero sum world everyone can devalue in stepwise increments, it is the party with the inverted incentives - the ECB - that will be the short circuit of all plans to gradually at first, then very rapidly devalue all currencies against all other currencies, and then against hard assets. Sorry Europe: your crisis is nowhere near over. In fact, it is about to start all over again. But at least Germany is taking the proper steps to ensure that when it all ends up going horribly wrong at least it will have some gold to fall back to. What about all the other countries in Europe: who has their gold? |
| Gold & Silver Are the Achilles Heel of the Largest Ponzi Scheme – Ever! Here's Why Posted: 21 Jan 2013 03:36 PM PST Register to "Follow the munKNEE" and automatically receive all articles posted We are in a trench warfare with central bankers, hellbent on destroying Whatever one may think of the Mafia, they are bit players in contrast to the central banking clan, the most ruthless collection of individuals ever assembled. The Bilderbergers do not break legs or use baseball bats against their intended victims. No, they are far more sinister and lethal. They use money, instead. That's it?! That's all you got?! Yep. That's all they need. [Let me explain.] Words: 960 So writes Michael Noonan (http://edgetraderplus.com) in edited excerpts from his original article* entitled Gold And Silver – Ayn Rand, Sir Walter Scott, And Nearing "Crunch Time".
Noonan goes on to say in further edited excerpts [Read part 2 of his article entitled These Charts Provide Detailed Insights Into Gold & Silver Price Activity ]: Never forgot those hauntingly and deadly accurate prophetic words of Meyer Amschel Rothschild:
Nathan A Bauer sure knew what he was doing. He also had his name changed to "Rothschild," German for red shield, a sign he hung over his coin store in the 1740s. Vanity plates have been popular for centuries. What Mr Bauer learned is that it was far more profitable to lend money to governments who wanted to finance their wars. The loans were not only bigger, they were more secure, backed by a nation's taxes. The dynamic secret of N A Bauer was that he loaned whatever the governments wanted, and demanded gold as payment in return of the debts. His basic game plan has not changed, but it has now reached its zenith. Control of the world's gold is at stake. (Charts are coming, we promise.) Deception runs center stage for the central bankers. The United States is a prime example. The U.S. has been in bankruptcy since 1933, owned by its creditors. Who are those creditors? Central bankers, run by an unseen elite, like the Bilderberg Group. What do they control? The money of the world, and by extension, the world. Who elected The Basel Committee, the Bank of International Settlements, the International Monetary Fund, central bankers, including the U.S. Federal Reserve? Answer: themselves. Did you ever vote for any of them? Do you know of anyone who voted for them? Do you even know who they are? Yet, they run the world via fiat currency lending, actually now reduced to computerized clicks on a keyboard. Need $200,000 billion? Click. Viola! What backs it? Nothing. Who owes it? Ostensibly, governments, but they just pass it on to their "constituents," people like you and me. What is demanded as payment? Gold, first and foremost. Despite central bank claims that gold is anathema to their fiat currency(s), that non-tungsten metal is what central bankers covet the most. What was the target for Greece, Ireland, Italy, Spain? Their gold reserves. "Sure, we will lend you whatever you need. Here is a blank check. Tell us what you want." When it is payback time, naturally, those countries are unable to pay back. In fact, they need more. "We will take your gold as payment." The Rothschild way, by design. Create non-existent money out of thin air and demand hard assets in return. When you run out of gold, we will bankrupt your country and take it over, as silent partners of course, [just as has been the case with] the United States since 1933. Who are these people, again? No one you know, but they run your lives. Why do you think Germany and the European Parliament are pushing so hard for a unified Europe? The United States is their boiler plate model. Unify Europe under a single currency, then everyone will come under their thumb. Tick tock!
Leave it to a foreigner, and a woman, to describe the future course of the United States in a single, cogent paragraph. What an aside piece of irony that Alan Greenspan was once in her company, embracing her ideas, (and her, literally), a Gold-Bug, of sorts, that is before he went to the Dark Side of central bankers. They are after your gold, and it is getting near Crunch Time! (For the benefit of several of our foreign readers, "crunch time" is a reference to that period just before something important needs to be completed, and full effort is required to meet the pending deadline.) The above prologue may not seem directly related to gold and silver, especially for those who do not pay attention to what is going on, globally, or fail to see the links between global events [and] the United Nations becoming more pervasive, but the struggle for gold's ownership is critically important to those who want to rule over your life. It is a form of wealth and independence. The New World Order hates independence.
*http://edgetraderplus.com/market-commentaries/gold-and-silver-ayn-rand-sir-walter-scott-and-nearing-crunch-time
Related Articles: 1. What is Money – Really – and Why Do We Need to Own Gold – Really?
2. The Single Best Reason to Own Gold Is…
3. Gold & Silver vs. Fiat: Do You Live In An Imaginary World Or In Reality? Make no mistake about it, it is the central bankers that are leading governments around by the nose, and by proxy, governments leading people around by the nose, and that "nose" is inhaling "lines" of fiat. Unless cured, all addictions end badly, and the only "cure" central bankers have for ever-increasing fiat is, ever-increasing it more. [You can protect yourself, however, by] demanding less of the valueless fiat and keeping, and growing, your wealth by buying and accumulating real value: physical gold and silver. Anything less, and you are still dealing in the imaginary world that is failing. [This article explains why that is the case.] Words: 834 |
| Sweden's central bank keeps most of its gold abroad without audit Posted: 21 Jan 2013 03:32 PM PST 2:24p Monday, January 21, 2013 Dear Friend of GATA and Gold: GoldCore's Mark O'Byrne reports today that Sweden's central bank, the Riksbank, has acknowledged that most of its gold reserves are vaulted at central banks abroad and that the bank undertakes no physical audit of them, instead relying on those other central banks to assure proper custody. https://www.goldcore.com/goldcore_blog/pacific-group-becomes-latest-hedg... This credulity in a world full of secret central bank gold swaps and leases prompts GATA to wonder if the Riksbank might be interested in purchasing a bridge in Brooklyn -- the one over which some of Germany's much-depleted gold reserves may be driven on the way to transport planes at Kennedy Airport for a flight to Frankfurt. CHRIS POWELL, Secretary/Treasurer ADVERTISEMENT How to profit in the new year with silver -- Future Money Trends is offering a special 16-page silver report with our forecast for 2013 that includes profiles of nine companies and technical analysis of their stock performance. Six of the companies have market capitalizations of less than $800 million and one company has a market cap of only $30 million. The most exciting of these companies will begin production in a few weeks and has a market cap of just $150 million. Half of all proceeds from the sale of this report will be donated to the Gold Anti-Trust Action Committee to support its efforts exposing manipulation and fraud in the gold and silver markets. To learn about this report, please visit: http://www.futuremoneytrends.com/index.php?option=com_content&id=376&tmp... 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 GoldMoney adds Singapore vaulting option In addition to its precious metals storage facilities in Hong Kong, Switzerland, Toronto, and the United Kingdom, now with GoldMoney you can store gold and silver in Singapore in a high-security vault operated by Brink's Singapore Pte Limited. To celebrate the launch of this storage option, GoldMoney is offering a discount on buy and exchange fees at this vault for any orders above US$10,000 (or the equivalent) until January 31, 2013. Tthe gold buy rate is 0.98%, while the silver rate is 1.99%. Metal exchanges into Brink's Singapore will also be discounted for this period and will be charged at 0.78% for gold and 1.75% for silver. Simply place your order online and the above rates apply automatically until January 31, 2013, 15.00 UK time. To find out more about the new vault, please visit: http://www.goldmoney.com/singapore?gmrefcode=gata GoldMoney customers can take delivery of any number of gold, silver, platinum, and palladium bars from any GoldMoney vault, as well as personally collect their bars stored in the Hong Kong, Switzerland, and U.K. vaults. It's easy to open an account, add funds, and liquidate your investment. For more information, visit: http://www.goldmoney.com/?gmrefcode=gata |
| Pacific Group to convert a third of hedge-fund assets to gold Posted: 21 Jan 2013 03:18 PM PST By Bei Hu http://www.bloomberg.com/news/2013-01-21/pacific-group-to-convert-one-th... The Pacific Group Ltd., founded by a former PaineWebber Inc. trader, is converting one-third of its hedge-fund assets into physical gold, betting that prices will go up as governments print more money to pay off debt. The Hong Kong-based asset manager plans to take delivery of $35 million worth of gold bars that can be traded on the London Bullion Market Association and other international markets, William Kaye, its founder and chief investment officer, said in a telephone interview on Jan. 18. It has secured vault space at Hong Kong International Airport to store the gold, he said. Investors disillusioned with government money printing to service "insurmountable" public debt may seek alternatives to fiat currencies, Kaye said. Asset managers, including Soros Fund Management LLC, Paulson & Co., and Sprott Inc., are betting on the precious metal even after a 12-year rally has cemented the longest bull market in at least nine decades. "Gold, the way we look at it, is anywhere from being undervalued to being seriously undervalued," Kaye said. "We're in the early stages, in our judgment, of what would likely be the world's largest short squeeze in any instrument." ... Dispatch continues below ... ADVERTISEMENT GoldMoney adds Singapore vaulting option In addition to its precious metals storage facilities in Hong Kong, Switzerland, Toronto, and the United Kingdom, now with GoldMoney you can store gold and silver in Singapore in a high-security vault operated by Brink's Singapore Pte Limited. To celebrate the launch of this storage option, GoldMoney is offering a discount on buy and exchange fees at this vault for any orders above US$10,000 (or the equivalent) until January 31, 2013. The gold buy rate is 0.98%, while the silver rate is 1.99%. Metal exchanges into Brink's Singapore will also be discounted for this period and will be charged at 0.78% for gold and 1.75% for silver. Simply place your order online and the above rates apply automatically until January 31, 2013, 15.00 UK time. To find out more about the new vault, please visit: http://www.goldmoney.com/singapore?gmrefcode=gata GoldMoney customers can take delivery of any number of gold, silver, platinum, and palladium bars from any GoldMoney vault, as well as personally collect their bars stored in the Hong Kong, Switzerland, and U.K. vaults. It's easy to open an account, add funds, and liquidate your investment. For more information, visit: http://www.goldmoney.com/?gmrefcode=gata Fiat currencies have no tangible backing, such as gold or silver, except governments' good faith and can become worthless due to hyperinflation or loss of public faith. Pacific Group's $95 million Greater Asian Hedge Fund, which started trading in 2001, returned 2.8 percent last year, taking the cumulative net return since its February 2000 inception to 195 percent. It suffered two down years in 2008 and 2011, according to its December 2012 newsletter. Gold for immediate delivery finished last year up 7 percent at $1,675.35 an ounce, off the high of $1,900.23 reached on Sept. 5, 2011. Prices retreated for three consecutive months to December, as the easing European debt crisis and faster growth from the U.S. and China spurred speculation that central banks will scale back stimulus. Spot gold finished last week up 1.3 percent at $1,684.30 an ounce, a second consecutive weekly advance. Soros Fund Management, founded by the billionaire George Soros, raised its stake in the SPDR Gold Trust (GLD), the biggest gold-backed exchange-traded product by 49 percent in the third quarter to about $215 million, U.S. Securities and Exchange Commission filings show. Paulson & Co., led by John Paulson whose wager against the subprime mortgage market made him a billionaire in 2007, has a bet of about $3.6 billion through the trust, according to the filings. Investors would seek the safest assets while governments spend to stimulate their economies, raising the risk of accelerating inflation, Eric Sprott, the founder and chairman of the Canadian fund manager said in July. Sprott manages funds that invest mainly in gold, silver and precious-metals equities. Central banks have so far been able to manipulate interest rates to allow governments to service their debt at low costs, averting market seizures, Kaye said. Still, the next big rally in precious-metal prices may be 18 months to two years away, triggered by a "financial catastrophe," he added. Ownership of gold through financial instruments based on it, such as Comex futures contracts, now represents more than 100 times the physical gold that exists above ground worldwide, Kaye said, citing the Pacific Group's own analysis. "All you actually need for a major upward revaluation of gold is for a small fraction of people to physically reclaim from major central banks or other depositories that are holding your gold and using it for their purposes," he added. The Pacific Group has just converted the first tranche of such investments, buying gold bars from local refineries, Kaye said without giving the exact value of the delivery. Kaye was a manager of the arbitrage department of PaineWebber in New York and also worked in the mergers and acquisitions department of Goldman Sachs Group Inc., according to a biography posted on his company's website. In 1991, he set up the Pacific Group, which also has made private-equity investments. 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 How to profit in the new year with silver -- Future Money Trends is offering a special 16-page silver report with our forecast for 2013 that includes profiles of nine companies and technical analysis of their stock performance. Six of the companies have market capitalizations of less than $800 million and one company has a market cap of only $30 million. The most exciting of these companies will begin production in a few weeks and has a market cap of just $150 million. Half of all proceeds from the sale of this report will be donated to the Gold Anti-Trust Action Committee to support its efforts exposing manipulation and fraud in the gold and silver markets. To learn about this report, please visit: http://www.futuremoneytrends.com/index.php?option=com_content&id=376&tmp... |
| India raises gold import tax but it's unlikely to deter buyers Posted: 21 Jan 2013 03:07 PM PST By Arup Roychoudhury and Siddesh Mayenkar http://in.reuters.com/article/2013/01/21/gold-india-import-duty-idINDEE9... NEW DELHI -- The government has raised the import tax on gold by 2 percentage points to 6 percent to curb purchases and rein in a ballooning fiscal deficit but industry officials expect only a moderate drop in demand. India's passion for gold, seen by many as a hedge against persistently high inflation, has led to a rise in its current account deficit, which reached an all-time high of 5.4 percent of gross domestic product in the July-September quarter. Alarmed by the mounting current account deficit, driven by largescale gold imports, the government raised the import duty on gold and platinum to 6 percent from 4 percent. ... 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 "It is difficult to establish the impact (of the tax) on CAD (current account deficit) and by how much it will come down, but there will be some moderation in gold demand," Economic Affairs Secretary Arvind Mayaram, told reporters. The tax would be reviewed if imports moderate, Mayaram said. The widening current account deficit has increased India's need for foreign capital inflows and evoked memories of the 1991 balance of payments crisis, when the Reserve Bank of India (RBI) sent 47 tonnes of gold to Europe as collateral for a loan to avert a sovereign default. India has been struggling with a trade deficit that has put the country's current account balance under pressure. To revive exports, the government last month extended an interest subsidy scheme for some exporters. The duty hike and government's appeal to consumers to cut purchases might not help, largely due to the penchant for gold in India, the world's biggest importer. India vies with China as top global consumer of gold, and with nearly all demand covered by imports, the country's purchases are a major factor in global prices. Demand has declined only modestly so far following a 13 percent rise in domestic gold prices last year and some higher taxes. As the government started talking about curbing imports, industry players said the sheer charm of gold and demand buoyed by heady inflation and meagre savings would blunt the impact of any rise in duties. "The government's revenue will increase, but imports won't diminish," said Mohit Kamboj, president of the Bombay Bullion Association. Fundamental reasons for buying gold -- to hedge against inflation and currency risks -- remain as strong as ever, said Amresh Acharya, director, investments at the World Gold council, a trade body funded by miners. But a jewellery association, which had lobbied against any increase in the import duty, said imports could fall 25 percent. Gold on the Multi Commodity Exchange ended up 0.6 percent at 30,774 rupees after rising as much as 0.9 percent to 30,847 rupees per 10 grams after the announcement. But industry analysts fear the increase in the import tax could spur smuggling across porous borders. Illegal trade was rampant before restrictions on gold shipments were lifted in 1990. "There has been a lot more talk this time around that this will stimulate more smuggling," said David Jollie, analyst at Mitsui Precious Metals in London. The global market had factored in the increase in the duty, said Afshin Nabavi, senior vice-president at MKS Finance in Geneva. Finance Minister P. Chidambaram had hinted at an increase in tax on January 2, triggering a massive jump in imports, which traders estimate at about 40-50 tonnes in the first week of the month. Premiums charged on London prices rose to the highest level in two months to $2-3 an ounce. 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/. |
| Posted: 21 Jan 2013 02:45 PM PST This new page is posted for financial planners and advisors interested in adding gold coins and bullion to their clients' portfolio mix. USAGOLD now assists several financial advisors on an on-going basis and this program is built around what we learned from them. |
| Posted: 21 Jan 2013 02:31 PM PST As the world's equity markets prepare to rally on the back of yet more central bank printing as Japan's Shinzo Abe takes the helm with a 2% inflation target, to be announced momentarily, and a central bank entirely in his pocket, The Telegraph's Ambrose Evans-Pritchard suggests a rather concerning analog for the last time a Japanese minister attempted to salvage his deflation/depression strewn nation: the 1930s 'brilliant rescue' by Korekiyo Takahashi, who removed Japan from the Gold Standard, ran huge 'Keynesian' budget deficits intentionally, and compelled the Bank of Japan to monetize his debt until the economy was back on its feet managed to devalue the JPY by 60% (40% on a trade-weighted basis). Initially this led to exports rising dramatically and brief optical stability, but the repercussion is the unintended consequence (retaliation) that the world missed then and is missing now. Though the economy appeared to stabilize, the responses of other major exporting nations, implicitly losing in the game of world trade, caused Japan's policies to backfire, slowed growth and left a nation needing to chase its currency still lower - eventually leading to hyperinflation in Japan... and Takahashi's assassination. And with no Martians to export to, why should we expect any difference this time? and how much easier (and quicker) are trade flows altered in the current world? Via The Telegraph:
What happened last time the a Japanese minister tried to desperately devalue his nation to growth?
but the initial stability and growth could have unintended consequences as:
Japan's unilateral move may also be perceived badly by the rest of the G-20...
And just as we have warned (and Kyle Bass has painstakingly described):
And as Evans-Pritchard concludes correctly:
To summarize:
Almost like a U2 song. And this is what already happened in Japan. Luckily, this time will be different. |
| Posted: 21 Jan 2013 12:52 PM PST Louis: Doug, let's talk about money. Is it all you care about? Doug: No…just because I see the high moral value of money doesn't mean it's all-important to me. In fact, I find money less and less important as time goes by, the older I get. Perhaps that's a function of Maslow's hierarchy: If you're hungry, food is all you really care about; if you're freezing, then it's warmth; and so forth. If you have enough money, these basics aren't likely to be problems. My most enjoyable times have had absolutely nothing to do with money. Like a couple times in the past when I hopped freight trains with a friend, once to Portland and once to Sacramento. Each trip took three days and nights, each was full of adventure and weird experiences, and each cost about zero. It was liberating to be out of the money world for a few days. But it was an illusion. Somebody had to get the money to buy the food we ate at missions. Still, it's nice to live in a dream world for a while. Sure, I'd like more money, if only for the same genetic reason a squirrel wants more nuts to store for the winter. The one common denominator of all living creatures is one word: Survive! And, as a medium of exchange and store of value, money represents survival… it's much more practical than nuts. L: Some people might say that if money were your highest value, you might become a thief or murderer to get it. Doug: Not likely. I have personal ethics, and there are things I won't do. Besides, crime — real crime, taking from or harming others, not law-breaking, which is an entirely different thing — is for the lazy, short-sighted, and incompetent. In point of fact, I believe crime doesn't pay, notwithstanding the fact that Jon Corzine of MF Global is still at large. Criminals are self-destructive. Anyway, what's the most someone could take, robbing their local bank? Perhaps $10,000? That's only enough to make a wager with Mitt Romney. But that leads me to think about the subject. In the old days, when Jesse James or other thieves robbed a bank, all the citizens would turn out to engage them in a gun battle in the streets. Why? Because it was actually their money being stored in the bank, not the bankers' money. A robbed bank had immense personal consequences for everyone in town. Today, nobody gives a damn if a bank is robbed. They'll get their money back from a US government agency. The bank has become impersonal; most aren't locally owned. And your deposit has been packaged up into some unfathomable security nobody is responsible for. The whole system has become corrupt. It degrades the very concept of money. This relates to why kids don't save coins in piggy banks anymore — it's because they're no longer coins with value; they're just tokens that are constantly depreciating and essentially worthless. All of US society is about as sound as the dollar now. Actually, it can be argued that robbing a bank isn't nearly as serious a crime today as robbing a candy store of $5. Why? Nobody in particular loses in the robbery of today's socialized banks. But the candy merchant has to absorb the $5 loss personally. Anyway, if you want to rob a bank today, you don't use a gun. You become part of management and loot the shareholders through outrageous salaries, stock options, and bonuses, among other things. I truly dislike the empty suits that fill most boardrooms today. But most people are mostly honest — it's the 80/20 rule again. So, no, I think this argument is a straw man. The best way to make money is to create value. If I personally owned Apple as a private company, I'd be making more money — completely honestly — than many governments… and they are the biggest thieves in the world. L: No argument. Doug: Notice one more thing: making money honestly means creating something other people value, not necessarily what you value. The more money I want, the more I have to think about what other people want, and find better, faster, cheaper ways of delivering it to them. The reason someone is poor — and, yes, I know all the excuses for poverty — is that the poor do not produce more than they consume. Or if they do, they don't save the surplus. L: The productive make things other people want: Adam Smith's invisible hand. Doug: Exactly. Selfishness, in the form of the profit motive, guides people to serve the needs of others far more reliably, effectively, and efficiently than any amount of haranguing from priests, poets, or politicians. Those people tend to be profoundly anti-human, actually. L: People say money makes the world go around, and they are right. Or as I tell my students, there are two basic ways to motivate and coordinate human behavior on a large scale: coercion and persuasion. Government is the human institution based on coercion. The market is the one based on persuasion. Individuals can sometimes persuade others to do things for love, charity, or other reasons, but to coordinate voluntary cooperation society-wide, you need the price system of a profit-driven market economy. Doug: And that's why it doesn't matter how smart or well-intended politicians may be. Political solutions are always detrimental to society over the long run, because they are based on coercion. If governments lacked the power to compel obedience, they would cease to be governments. No matter how liberal, there's always a point at which it comes down to force — especially if anyone tries to opt out and live by their own rules. Even if people try that in the most peaceful and harmonious way with regard to their neighbors, the state cannot allow separatists to secede. The moment the state grants that right, every different religious, political, social, or even artistic group might move to form its own enclave, and the state disintegrates. That's wonderful — for everybody but the parasites who rely on the state (which is why secession movements always become violent). I'm actually mystified at why most people not only just tolerate the state, but seem to love it. They're enthusiastic about it. Sometimes that makes me pessimistic about the future… More tomorrow… Regards, Doug Casey and Louis James The Morality of Money appeared in the Daily Reckoning. Subscribe to The Daily Reckoning by visiting signup for an Agora Financial newsletter.        |
| Why Owning Gold is Absolutely Essential - Charles Ponzi Meets Cassandra Posted: 21 Jan 2013 11:55 AM PST One fine day on the streets of Washington D.C. the ghost of Charles Ponzi struck up a conversation with the ghost of Cassandra. He was a charming devil and assumed she would find him irresistible so he began with "It is ironic, I think ... Read More...  |
| Distrusting the Gold Trade: A Response Posted: 21 Jan 2013 11:45 AM PST In an article entitled "Ignore the 'buy gold now' crowd" on CBS MoneyWatch this Monday, columnist and equities analyst Larry Swedroe criticizes forecasters who remain bullish on gold despite its monumental decade-long run. Read More...  |
| Posted: 21 Jan 2013 10:41 AM PST Synopsis: Precious-metals analysts' predictions about the gold price reveal a shocking trend... and possibly some peace of mind for mining investors. Dear Reader, We're writing to you from Vancouver, Canada this week, site of the 2013 Vancouver Resource Investment Conference. We'll have more to say on that subject shortly, as we come here to take the pulse of the mining industry. Meanwhile, Jeff Clark puts his finger on an important issue that explains a lot about the performance of gold mining stocks in recent quarters. For now, I will make one quick observation: mining stocks are, as a group, rebounding this month, but are still relatively on sale. We're buying. Without further ado then, I place you in Jeff's competent hands and will be back with fresh insight on the state of the industry next week. Sincerely, Louis James Senior Metals Investment Strategist Casey Research P.S. Speaking of Vancouver, the Casey Vancou... |
After a solid advance last week for gold and silver, today Michael Pento has written exclusively for King World News to let readers know about the exploding grenade which is going to send, "… increasing money flows into both gold and silver." Here is Pento's piece: "Japan has already suffered through 25 years of an economic malaise because they have refused to allow the free market to work its reconciliation magic. Their reliance on government borrowing and spending to rescue the economy has proven to be a miserable failure.
The global line of joblessness is set to 
In what some fear will be a crippling blow, the Indian government has hiked the import duty on gold and platinum to 6% from 4% with immediate effect, in a move aimed at curbing imports of the precious metals and check the widening current account deficit.
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