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- Former CBS Reporter Accuses Government of Secretly Planting Classified Docs on Her Computer
- Gold prices in the post-QE world
- Indirect Exchange : The Gold Standard
- Gold Investors Weekly Review – October 31st
- More Downside Ahead for Precious Metals
- TRICK OR TREAT: The Drain of JP Morgan Gold Inventories Continues
- Why the QE monster will still prove very positive for gold and silver prices soon
- Gold & Silver Staring into the Abyss: Next Major Support at $1,000 & $9!
- Harvey Organ: Manipulators Go ALL IN With EPIC Cartel Raid!
- Precious Metals Update
- Looking for a good education at a low price (or even free)? Do this…
| Former CBS Reporter Accuses Government of Secretly Planting Classified Docs on Her Computer Posted: 02 Nov 2014 11:00 AM PST Prosecutors have enormous power. Even investigations that don't result in any charges can ruin lives, ruin reputations, and drive their targets into bankruptcy. It has become an overtly political position — in general, but particularly at the federal level. If a prosecutor wants to ruin your life, he or she can. Even […] The post Former CBS Reporter Accuses Government of Secretly Planting Classified Docs on Her Computer appeared first on Silver Doctors. |
| Gold prices in the post-QE world Posted: 02 Nov 2014 10:18 AM PST Clif Droke |
| Indirect Exchange : The Gold Standard Posted: 02 Nov 2014 03:30 AM PST Mises.org |
| Gold Investors Weekly Review – October 31st Posted: 02 Nov 2014 02:45 AM PST In his weekly market review, Frank Holmes of the USFunds.com summarizes this week's strengths, weaknesses, opportunities and threats in the gold market for gold investors. Gold closed the week at $1,171.09 down $59.81 per ounce (-4.86%). Gold stocks, as measured by the NYSE Arca Gold Miners Index, fell 14.67%. The U.S. Trade-Weighted Dollar Index rebounded 1.31% for the week. Gold Market StrengthsAlthough gold premiums had fallen to below $10 per ounce earlier this week in India, they rallied on Wednesday to reach roughly $15 per ounce. The initial decline was due to the winding down of the Diwali holiday. However, the premium spiked up after rumors emerged that the Reserve Bank of India or the Ministry of Finance might impose more restrictions on gold imports. Despite declining gold prices, demand for the precious metal remains strong. In September, Chinese gold imports from Hong Kong rose to the highest level in five months as retailers increased purchases before the holiday season. In the United States, gold coin sales are heading for their first back-to-back monthly increase since January. Volume rose to 58,000 ounces as we entered the last week of the month, compared to 50,000 ounces in September. A number of gold companies reported misses on production this week. Gold Market WeaknessesInvestors should remember that U.S. elections are next week and the current administration is putting the best face possible on what has been an anemic recovery. Even Alan Greenspan noted this week that QE has failed to right the economy, but did lift asset prices. For example, while the Fed desperately sought to stimulate the housing sector, the homeownership rate in the third quarter came in at 64.4 percent, the lowest level since 1995. Furthermore, while QE has been halted, the Fed will continue to reinvest the principal payments from mortgage-backed bonds and roll over any maturing Treasury securities from its $4.5 trillion portfolio. We are living in a world of unrepayable debt, money printing, and governments buying equities to create a wealth effect – yet life goes on without a worry. This week we saw gold markets wildly affected by central bank policy makers across the world. In the United States, a more hawkish tone from the Federal Reserve, combined with the official announcement of the end of Quantitative Easing (QE), pushed gold prices down. On Friday, the Bank of Japan surprised investors with a substantial expansion in its asset purchases and a commitment to double its purchases of equities, making the central bank the single biggest holder of Japanese equities. These two events, combined with stronger-than-expected, third-quarter GDP data from the U.S., caused a selloff in gold and gold stocks this week. As a consequence of this week's announcement from the Federal Reserve, gold traders turned bearish for the first time in six weeks. A Bloomberg survey revealed nine bearish forecasts from analysts, compared to only five bullish.
Gold Market OpportunitiesCivilian wages and salaries appear to be on the rise, which is a powerful source of inflation. Higher wages, which lead to higher incomes, fuel higher demand and pull up prices. The long-awaited arrival of strong inflationary pressures in the United States appears to be on the horizon. Related to the above point on U.S. GDP growth, the third quarter yielded stronger-than-expected results due to a substantial increase in government spending. As it turns out, 0.83 percent of the GDP gain was attributed to government spending, primarily defense spending. JP Morgan, in response to this data, reduced its forecast for fourth-quarter GDP growth from 3.0 percent to 2.5 percent, explaining that this type of increase is usually associated with payback the following quarter. Alan Greenspan has come out with interesting points on the current global economic environment. The former Federal Reserve Chairman referred to QE as a pile of tinder that hasn't been lit. Furthermore, due to the global turmoil, Greenspan stated that gold is a good place to invest money due to its value as a currency outside of government policy. In fact, he argues that gold is the premier currency, more so than the dollar.
Gold Market ThreatsDepressed oil prices are contributing to the deflationary environment. Without any catalyst to boost oil prices, gold will continue to face the headwinds from global deflation.
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| More Downside Ahead for Precious Metals Posted: 01 Nov 2014 11:18 PM PDT The Daily Gold |
| TRICK OR TREAT: The Drain of JP Morgan Gold Inventories Continues Posted: 01 Nov 2014 09:26 PM PDT Just in time for the Halloween Spooks to come out and play by slashing the prices of the precious metals, JP Morgan (vampire squid), experienced another ghastly withdrawal from its gold inventories Friday. Something quite eerie seems to be taking place as the majority of Comex gold withdrawals are coming out of the dark dungeons […] The post TRICK OR TREAT: The Drain of JP Morgan Gold Inventories Continues appeared first on Silver Doctors. |
| Why the QE monster will still prove very positive for gold and silver prices soon Posted: 01 Nov 2014 08:39 PM PDT The ending of QE money printing by the Federal Reserve and the announcement of QE9 by the Bank of Japan knocked the price of gold and silver back to levels not seen for four years last week, a logical reaction if you genuinely think US interest rates are now on the way back up. That’s the official position, of course. The bond market is saying this is going to be impossible. America is stuck in a deflationary slump and low interest rates will persist. It is therefore only a matter of time before QE4 to counter this deflation and prevent a debt deflation trap. Commodity prices slump Interestingly the commodities market agrees with the bond market. Oil prices have fallen as low as $79 a barrel. The US shale producers are closing down capacity and close to bankruptcies. Copper and iron ore prices are on the floor. This is not a global economic recovery speaking. It’s a slump. History will not judge QE3 kindly. The Fed’s balance sheet has more than tripled in just over five years to $3.7 trillion, six times larger than QE1. It’s created massive inequality by saving the one per cent and condemning 47 million Americans to living on food stamps, the modern equivalent of the soup kitchens of the Great Depression. Savers and pensioners have been impoverished. Is the Fed wrong to judge the US economy strong enough to stop QE3? Almost certainly. Consumer spending figures for last month already confirm that the 3.5 per cent GDP hike in Q3 was a passing aberration due to unrepeatable increases in defense spending. The two per cent fall in GDP originally reported for Q1 should not be so quickly forgotten. If you want to know what the future holds then look to the land of the rising sun. Japan first got itself deep into a financial mess back in 1990 and fell into a hole that it is still trying to exit. They’ve had nine successive rounds of QE and they are still at it. What the Japanese government is now about to do is to create a hyperinflation to destroy debts that can never be repaid. It will happen. The only thing central banks can do, or not do, is print money. US dollar safe haven? So if you are Japanese and you want to shift your money into something that will keep its value what do you do? Buy the US dollar? That might seem good in the short term as many are doing the same thing and that is pushing its value up. But with bond prices so high and yields this depressed? And that at a time when so US dollars have already been created and when the economy is on the edge of the precipice and not set to boom at all? Surely you would go down the Chinese and Indian route and buy precious metals as a money that no central bank can print. Then as the central banks inflate away the value of paper money and their debt mountains you will hold the only money everybody can still trust to have value. Buying gold and silver at current prices is a no-brainer before the Swiss gold referendum at the end of this month. After that is passed gold prices will be surging higher. |
| Gold & Silver Staring into the Abyss: Next Major Support at $1,000 & $9! Posted: 01 Nov 2014 05:45 PM PDT In this week’s MUST LISTEN Metals & Markets, The Doc & Eric Dubin break down the epic take-down in the metals futures markets this week, discussing: With gold’s triple bottom at $1280 breached and silver plunging below its uptrend channel from the 2nd phase of its secular bull market- next major support levels are $1,000 in […] The post Gold & Silver Staring into the Abyss: Next Major Support at $1,000 & $9! appeared first on Silver Doctors. This posting includes an audio/video/photo media file: Download Now |
| Harvey Organ: Manipulators Go ALL IN With EPIC Cartel Raid! Posted: 01 Nov 2014 03:52 PM PDT The manipulators have thrown all their cards on the table. I warned on Wednesday to expect severe cartel intervention over the second half of the week. Let's head immediately to see the major data points for the day: Submitted by Harvey Organ: Gold: $1171.10 down $27.00Silver: $16.07 down 31 cents In the access market 5:15 […] The post Harvey Organ: Manipulators Go ALL IN With EPIC Cartel Raid! appeared first on Silver Doctors. |
| Posted: 01 Nov 2014 02:37 PM PDT Chart 1: Gold mining companies were decimated in this weeks sell off!
Source: Bar Chart
This week we saw mini turmoil in the Precious Metals sector. The selling pressure on huge volume is occurring on the back of news that the Federal Reserve has finally exited its third round of bond purchasing program (the last bit of tapering is now complete). While the metals suffered from strong selling (Gold down 4.7% & Silver down 6%), it was the producers that took it hard on the chin. Gold miners declined 16%, while the yellow metal juniors were down a whopping 21%. Silver miners didn't fare too much better, with producers declining over 14% and juniors down over 15%. Chart 1 shows that this weeks panic came after Gold miners had already fallen about 25% from their recent peak in July to their support around $20 on the ETF.
Chart 2: Gold prices are attempting to break down lower towards $1000
Source: Bar Chart (edited by Short Side of Long)
A few precious metals perma-bulls, which have called the bottom in 2012 and 2013, have now once again called a bottom here. They claim that we are now in the process of liquidation and its time to buy Gold miners (again). After the current round of selling, I've also received a few emails asking me if I will be buying more PMs or literally telling me that the bottom is now in for sure. Personally, I am not 100% sure of that to be true. I have stated many times on this blog that after a powerful advance of 12 annual gains in the row, Gold will most likely be correcting for awhile and a re-test of $1000 per ounce level should not be ruled out. This week we witnessed the beginning of the breakdown in Gold prices (refer to Chart 2) and this does NOT look like liquidation to me just yet. We have barley made a new 52 week low. I believe the selling pressure is just about to start, and if Gold was to fall towards $1000 or so, we could be close to a major bottom and a very important buying opportunity.
Chart 3: Shake out has a long way to go before we have a buy signal!
Source: Short Side of Long
Positioning in Gold is still quite elevated, even though COT report above does not include major selling days from Wednesday to Friday. Leading into the FOMC decision, hedge funds and other speculators held net longs equivalent to 25% of open interest. Assuming the strong selling later in the week forced even more hedge funds to be shaken out, we are still far away from levels we saw in June and December of 2013, when position was in single digit percentages. Also to note: before a major bull market began in 2001, positioning on Gold stood at net short levels, something we have not seen in a decade and half. During the current correction, why couldn't hedge funds and other speculators enter real panic and actually turn net short Gold? I believe it is possible and would give a major contrarian buy signal.
Chart 4: Miners offer amazing value, but Gold itself needs to bottom first
Source: Short Side of Long
I want to make sure that my words aren't getting minced in a blender here, so it looks like I'm jumping from bullish bandwagon to bearish one and back again. From the investment point of view, I continue to be a long term bull on Gold, and in particular Silver. I have never owned mining or producing companies, but I do admit that they are now becoming incredibly attractive as well (see Chart 4). Regarding investment outlook, one should always respect the tape and not argue with the market. That is why I am not buying any new positions just yet and have not bought for over a year now. That is also why I opened full hedged Silver as well as opened naked short positions on Gold in July of this year. While I eventually see huge upside for both precious metals in the coming years, I do admit that the current trend is lower and the correction needs to bottom out first. Disclosure: I opened yet another short on Gold at $1201 in Friday's Asian trade, in anticipation of the triangle breaking lower (refer to Chart 2).
The post Precious Metals Update appeared first on The Daily Gold.  |
| Looking for a good education at a low price (or even free)? Do this… Posted: 31 Oct 2014 11:20 AM PDT From Mike “Mish” Shedlock at Global Economic Trend Analysis: On June 7, 2014 I wrote Looking to Drastically Reduce College Costs? Study Abroad! Yesterday, a writer for the Washington Post expressed the same opinion. Please consider 7 countries where Americans can study at universities, in English, for free (or almost free). Since 1985, U.S. college costs have surged by about 500 percent, and tuition fees keep rising. In Germany, they’ve done the opposite. The country’s universities have been tuition-free since the beginning of October, when Lower Saxony became the last state to scrap the fees. Tuition rates were always low in Germany, but now the German government fully funds the education of its citizens — and even of foreigners. What might interest potential university students in the United States is that Germany offers some programs in English — and it’s not the only country. Let’s take a look at the surprising — and very cheap — alternatives to pricey American college degrees. Germany Americans can earn a German undergraduate or graduate degree without speaking a word of German and without having to pay a single dollar of tuition fees: About 900 undergraduate or graduate degrees are offered exclusively in English, with courses ranging from engineering to social sciences. Finland This northern European country charges no tuition fees, and it offers a large number of university programs in English. However, the Finnish government amiably reminds interested foreigners that they “are expected to independently cover all everyday living expenses.” In other words: Finland will finance your education, but not your afternoon coffee break. France There are at least 76 English-language undergraduate programs in France, but many are offered by private universities and are expensive. Many more graduate-level courses, however, are designed for English-speaking students, and one out of every three French doctoral degrees is awarded to a foreign student. “It is no longer needed to be fluent in French to study in France,” according to the government agency Campus France. Sweden This Scandinavian country is among the world’s wealthiest, and its beautiful landscape beckons. It also offers some of the world’s most cost-efficient college degrees. More than 300 listed programs in 35 universities are taught in English. However, only Ph.D programs are tuition-free. Norway Norwegian universities do not charge tuition fees for international students. The Norwegian higher education system is similar to the one in the United States: Class sizes are small and professors are easily approachable. Many Norwegian universities offer programs taught in English. Slovenia About 150 English programs are available, and foreign nationals only pay an insignificant registration fee when they enroll. Brazil Some Brazilian courses are taught in English, and state universities charge only minor registration fees. Times Higher Education ranks two Brazilian universities among the world’s top 400: the University of Sao Paulo and the State University of Campinas. However, Brazil might be better suited for exchange students seeking a cultural experience rather than a degree. That excellent information (more in the above link) is from Washington Post foreign affairs writer Rick Noack. I believe it’s near-crazy to pay $30,000 (or far more) in the U.S. for what can be had in Europe for free. Eventually costs will crash in the U.S. for the simple reason, they must. Online education ensures that outcome. For details, please see Future of Education is At Hand: Online, Accredited, Affordable, Useful Here’s my more recent followup post: Teaching Revolution: Online, Accredited, Free; Start Learning Now!       |
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