Posted by Investment Rarities on August 30th 2014 in CFTC, China, Federal Reserve, General Economy, Gold, India, Middle East, Monetary Policy, Short Sellers, Silver, Wall Street | Be the first to comment!
Gold and silver futures fell about a half a percent on the final U.S. trading day in August, but it’s said that “September should be glowing for gold,” with the biggest boost likely coming from India. The article accompanying the above chart points out that Indian seasonal buying which is forecast to be better than last year, “typically increases with the country’s festival period, which runs from late August to October….” A Wall Street Journal feature on India’s ‘improving appetite‘ for gold, is echoed by a Scrap Monster report that gold premiums in India have more than doubled this week, “in anticipation of towering festive season demand.”
Jesse’s Café Américain/SafeHaven: Coppock Indicator – An intermediate term bottom for gold is in; Enormous paper silver trading volumes
BullionStar.com/Smaulgld: Precious metals markets – China vs. US; The Importance of gold to nations & individuals
WSJ/USA Gold: Bernanke – 2008 meltdown was worse than Great Depression; Don’t think it can’t happen again
Businessweek/CBS News: For every education level, real wages have gone down so far this year; Americans fear economy is permanently scarred
CNBC/Dow Jones: One-percenters bullish on US despite ‘failed’ Obama presidency; Fed’s Lockhart & Fisher were active personal asset traders in 2013
Zero Hedge: Marc Faber slams US intervention in Middle East, warns “whole region will blow up“
Posted by Investment Rarities on August 26th 2014 in ECB, Federal Reserve, General Economy, Gold, India, Monetary Policy, Short Sellers, Silver, Wall Street | Be the first to comment!
Following a brief move higher on Monday, spot gold and silver ended down a fraction of a percent, with gold said to have been under pressure from “a stronger U.S. dollar and rallying global financial markets,” buoyed by the prospect of the ECB launching a QE program, based on remarks by Mario Draghi at Jackson Hole. But USA Gold points out that “the yellow metal has proven fairly resilient … Despite the dollar strength—which is more a function of euro and yen weakness. A weak round of U.S. data this morning may be helping the cause as well, pushing back Fed rate hike expectations somewhat.”
Bloomberg/Washington Post: Jackson Hole theme – Labor markets can’t take higher interest rates; Central banks to lawmakers - You try growing the economy
Confounded Interest: Yellen discusses labor slack, but not terminal (money) velocity or sterility
John Hussman/HBR: Fed policy and the growing gap between Wall Street and Main Street; Profits without prosperity
Bloomberg: Speculators lower gold bull wagers on U.S. rate outlook; Silver open interest reaches 14-month high on short bets
Seeking Alpha/BullionStar.com. Commodity outlook – Silver; India imports 2559 MT of silver in 5 months
Gold Scents/SilverSeek: Manipulation is still alive and well in the gold market; Beditching hour - Silver knocked down at 6 p.m. for 83% of sessions in last 3 years
Posted by Investment Rarities on August 21st 2014 in CFTC, China, Federal Reserve, General Economy, Gold, India, Janet Yellen, Monetary Policy, Short Sellers, Silver, Wall Street | Be the first to comment!
By one account, gold and silver prices “seem determined to hold on here,” as they continued to trade in a narrow range on Wednesday, with spot silver up 0.2% and gold off 0.4%. Reuters attributes the drop in gold to gains in the dollar, “on economic optimism after the minutes of the Federal Reserve’s latest meeting showed the U.S. central bank has seen progress in the U.S. labor market.” But MarketWatch, describing “a growing division within the Fed” over the health of the labor market, reports that “a majority still don’t believe there’s been enough progress to consider altering interest rates soon.” The July minutes were also dismissed as “a market diversion until Jackson Hole.”
Zero Hedge: Jackson Hole – ‘Tremendous’ downside risks if Yellen doesn’t go full-dovish
Street Talk Live: The illusion of strength; Alternative measures suggest weaker economy
Reuters/Seeking Alpha: Fading volatility promises long period of gold stagnation; Silver prices will remain rangebound
Got Gold Report: Heckle if you want, but be prepared for anything in gold and silver
Hard Assets Investor/Casey Research: Gold/silver ratio says silver is cheap, but it can get cheaper; Silver – As close to a no-brainer investment as it gets
Business Insider: Ten countries hoarding enormous piles of gold
Posted by Investment Rarities on August 12th 2014 in China, Federal Reserve, General Economy, Gold, India, Iraq, Middle East, Russia, Silver, Ukraine, Wall Street | Be the first to comment!
The value of an Indian businessman’s new gold shirt was virtually unchanged Monday, while silver, a more practical wearable, gained 0.8%. Gold’s flatness was attributed to “rising global equities, and an apparent easing of tensions over Ukraine and the Middle East,” with stock markets said to have “largely ignored news Russia would send an aid convoy to eastern Ukraine, a move Western officials have said could serve as a pretext for an invasion.”
But “world inserurity” is still seen as likely positive for gold, according to former Bank of England governor Mervyn King. And, as one analyst quoted by MarketWatch points out: “Interestingly, while the yen has unwound, other safe-haven assets such as gold haven’t seen much movement at all. Perhaps this highlights the degree of cautiousness investors are still exercising at the moment.”
Bullion Vault/Casey Research: Silver vs. gold investing; Top 7 reasons I’m buying silver now
BullionStar.com/Gold Silver Worlds: Chinese gold demand 1094 metric tons y-t-d, silver premium at record high; Is gold demand in China really collapsing?
SafeHaven/Gold Scents: Potpourri of chartology – Precious metals, U.S. stocks and energy; Are stocks finally starting the topping process?
Confounded Interest/CSM: The Gilded Age: A tale of the Federal Reserve; Wall Street – Whose bull market is it?
GoldSeek/Mineweb: Dennis Gartman – Gold vs. The Force; Gartman reckons end-game for gold price management could be nigh
Guardian/Daily Beast/Vox: U.S. denies role in alleged plot to oust Iraqi prime minister; U.S. bombing its own guns in Iraq
Posted by Investment Rarities on August 8th 2014 in ECB, Federal Reserve, General Economy, Gold, India, Iraq, Middle East, Russia, Short Sellers, Silver, Ukraine, Wall Street | Be the first to comment!
Silver futures finished off 0.2% on Thursday while gold futures added 0.3%, with Bloomberg attributing the gain to a decline in U.S. stocks on “concern that escalating tensions between Russia and Ukraine will hurt the global economy,” and quoting one analyst as saying that “Some money is flowing into gold from equities because of concerns about Europe.” Comex gold futures for December delivery settled at some $1,312 an ounce.
And Reuters adds Iraq to the mix: “Bullion climbed after the New York Times reported that U.S. President Barack Obama was considering air strikes and emergency relief airdrops to help 40,000 religious minorities in Iraq, who are trapped on a mountaintop after threats by Islamic militants.” Both the Times and McClatchy report, according to Kurdish and Iraqi sources, that airstrikes have begun, but the Pentagon denies that the U.S. carried out the strikes.
MarketWatch: Dow closes at 3-month low as investors move into gold and U.S. Treasurys
USA Gold/Hard Assets Investor: Gold back above $1,300 on geopolitical risks, but dollar limits
Seeking Alpha/Jim Rickards: Russians at the gate – buy gold; Cold War 2.0 is a financial war
Motley Fool Canada: 4 reasons I prefer investing in silver to gold
TradePlacer/Bill Bonner: Is the mother of all bubbles about to burst in 2014?; Three signs that never fail to predict a bear market
Mineweb/Financial Express: Gold – Been down so long it looks like up to me!; Gold delivery on India’s MCX hits highest since April last year
The Denver Channel: Hundreds make mad dash to buy gold JFK coins at U.S. Mint in Denver
Posted by Investment Rarities on July 24th 2014 in CFTC, General Economy, Gold, India, Short Sellers, Silver, Wall Street | Be the first to comment!
“An epic farce” is how Zero Hedge characterizes Scott O’Malia’s spin through the revolving door just two days after resigning as an CFTC commissioner, to become the new head of the International Swaps and Derivatives Association (ISDA), “the biggest banking group that has constantly opposed every intervention and attempt to regulate the swaps market by the CFTC since the Lehman crisis.”
It describes ISDA as “a global OTC derivative lobby group, counting the world’s largest investment banks among its members, [that] has frequently fought regulatory efforts to reform the market after the financial crisis.” And, goes on to note that “Even an otherwise impartial Reuters appears outraged by this blatant and painfully clear example of government capture of ‘public servants’ by those who have dangled carrots of money in exchange for lobby (and future employment promise) favors, and thus set the rules, courtesy of people like O’Malia.”
Coin News: Gold, silver prices change narrowly
Alhambra Partners/Gold Report: Speculating on the gold supply; Money managers – Three reasons why gold and gold stocks will rise
Got Gold Report: COMEX Producer/Merchants in gold, view from 30,000 feet an eye opener
David Morgan/Mineweb: Smoking out Indian gold, central bank relaxes loan rules; Gold & silver bears – Was last week your best shot?
Pragmatic Capitalism: Chart of the day – Inflation fears are rising
Posted by Investment Rarities on July 22nd 2014 in CFTC, China, CME Group, Federal Reserve, General Economy, Gold, India, Janet Yellen, Monetary Policy, Russia, Short Sellers, Silver, Ukraine, Wall Street | Be the first to comment!
“You know, if someone with quite a lot of firepower were to take a good look at the Swap Dealer combined positioning in gold and silver, and exploit that by pressing the metals a bit, they sure might have a squeezing good time of it,” writes Got Gold Report‘s Gene Arensberg, in a comprehensive analysis of the current COT set-up. He goes on to predict that “Most anything can happen short term, but at some point gold and silver are going to catch a tail wind strong enough that those attempting to prevent runaway breakouts could be overwhelmed. It is in such cases that the trader community on the COMEX becomes its most cutthroat and merciless. If the other traders sense a trapped large trader or group of traders, you know, maybe one with a way-too-huge-short position in a rising price environment as an example … well, let’s just say that all traders consider it a duty to pile on and make them pay. Watch for it.”
Reuters/Coin News: Gold rises above $1,300 on heightened tensions, S&P drop; Gold rises 0.3%, silver advances 0.6%; US Mint bullion coins gain
CNBC/Zero Hedge: David Stockman – Market’s teetering on edge, beware of Black Swan; Saxobank – “Be warned” of delayed market reaction to “escalation of global turmoil”
MarketWatch: Bank of America Merrill Lynch – The worst for gold may be over; Yellen encourages ‘fully-fledged equity bubble,’ says Jeremy Grantham
Bloomberg: Fed’s junk loan bubble-busting faces trouble as sales jump; Yellen wage gauges blurred by Boomer-Millennial shift
The BRICS Post/The Telegraph: BRICS bank capital might not be held in U.S. dollars; The dollar’s 70-year dominance is coming to an end
Financial Times: U.S. dollar clearing rules make gold the new green
Posted by Investment Rarities on July 17th 2014 in China, Federal Reserve, General Economy, Gold, India, Janet Yellen, Monetary Policy, Quants, Short Sellers, Silver, Wall Street | Be the first to comment!
Both spot gold and silver were up a fraction on what Reuters describes as “bottom-picking” following two down days, but gold’s rally was said to have “faded after data showed U.S. manufacturing output rose at its fastest pace in more than two years in the second quarter,” and following a talk by Dallas Fed President Richer Fisher in which he said that the Fed was “likely” to start raising interest rates early next year. Over at Bloomberg things were shinier for gold as it highlighted a report that Indian imports surged 65% year-over-year in June.
The Gold Report: Editor- Upward trend a silver investor’s friend
Mineweb/GATA: Bulls might take heart from latest gold smashdown failure; The more obvious they are, the closer the day of deliverance
Bullion Bulls Canada: The end of the paper-gold market?
Zero Hedge/CSM: Shocking first – Mainstream media rushes to defend dollar reserve status; Can BRICS development bank become a rival to the World Bank?
Jesse’s Café Américain/Nanex: The stock market is rigged, with details
Wall Street on Parade: Sen. Warren lets Yellen know she’s had it with Fed’s charade about too big to fail
Posted by Investment Rarities on July 16th 2014 in CFTC, China, Federal Reserve, General Economy, Gold, IMF, India, Janet Yellen, Monetary Policy, Russia, Short Sellers, Silver, Wall Street | Be the first to comment!
As Jim Sinclair weighs in on Monday’s market shenanigans, spot gold and silver ended off 0.6% and 0.3% respectively on Tuesday. Gold “was weakened, opined analysts, by strength in the U.S. dollar,” reports Coin News. “The greenback saw gains after Fed chairwoman Janet Yellen testified before Congress and said the U.S. economy is improving but still needed support.” This as other analysts, and some traders, also saw her testimony as “largely neutral for the gold market,” and “tended to blame the price decline on factors such as another large sell order that reportedly hit the market, sell stops, long liquidation by funds and a reaction to outside markets.”
Echoing that notion, while also downplaying the role of Yellen’s testimony, the proprietor of Jesse’s Café Américain opines that “Most would think that the slam on the metals, and that is clearly what it was, is coincident with Bubbles Yellen and her appearance before the Congress. I was thinking it was more related to the BRIC meeting in Brazil,” where, reports Newsweek, the countries “announced the long-awaited bank and contingency fund, a clear move away from the dominance of the West in global economics and the dire consequences of an unstable dollar.”
Posted by Investment Rarities on July 8th 2014 in CFTC, China, ECB, Federal Reserve, General Economy, Gold, India, Janet Yellen, Monetary Policy, Short Sellers, Silver, U.S. Congress, Wall Street | Be the first to comment!
With gold and silver futures ending down a fraction of a percent on Monday, a Bloomberg report attributes gold’s drop to predictions by some banks that the Fed will raise interests earlier than previously assumed, from the first quarter of 2015 to the fourth quarter of this year. But dismissing the notion that an early rate increase would hurt gold, Bloomberg Industries’ Kenneth Hoffman said that “I think the U.S. is out of the game right now,” pointing to Asia as the epicenter of the market. Citing the Singapore Exchange’s introduction of gold trading in September, he says that he recently returned from Asia and with so many “traders moving into Singapore and Hong Kong and Shanghai, there’s a lot of excitement about gold in Asia.” In late May, Mineweb wrote about a presentation by Hoffman, who offered up statistics showing that China and India are consuming more gold than the world is mining.
Los Angeles Times/GoldSeek: Why interest rates may stay very low for a lot longer
GoldCore/Peak Prosperity: Europe seeks alternative to dollar dominance – 70-year shift; Mike Maloney – The dollar as we know it will be gone within 6 years
Confounded Interest/Reuters: Has the Federal Reserve destroyed market discipline for housing and the stock market?; House Republicans propose Fed reforms, set hearing
Zero Hedge: Life on planet Yellen; The stunner from today’s round table debate to “fix” the London Gold Fix
Arabian Money: Traders see gold & silver as best bets for H2 like coffee in H1; Gold and silver entering a win-win scenario for the hedge funds?
Got Gold Report: COMEX heavy commercial gold shorts not always a sign of a top; John Hathaway – Financial leverage now $100 trillion, nine ‘compelling’ gold charts
Posted by Investment Rarities on July 1st 2014 in CFTC, China, Federal Reserve, General Economy, Gold, India, Iraq, Janet Yellen, JPMorgan, Monetary Policy, Russia, Short Sellers, Silver, Ted Butler, Timothy Massad, Wall Street | Be the first to comment!
After spot gold and silver added a fraction of a percent on Monday, silver ended up 7% for the quarter, its highest gain in three quarters, reports Reuters, and gold gained about 3.5 percent on the quarter after a nearly 7 percent gain in the first quarter, making gold the best-performing asset in the first half of 2014.
Reuters attributes gold’s gains to tensions over Ukraine and Iraq, and going forward, geopolitical tensions are also seen as the “wild card” for gold and silver, according to one analyst quoted by MarketWatch. He adds North Korea as a potential third hot spot, and says that “Any flare up in these areas could quickly lead to another round of ‘safe haven’ buying in the precious metals.”
BullionVault/Mining.com: Gold & silver beat stocks, best first-half since 2011 after “surge in bullish hedge fund bets”
Mineweb: Silver the star performer in recent precious metals rally; Silver – The irresistible force
Jesse’s Café Américain/Ted Butler: Comex silver stockpiles at the end of 2Q 2014; Comex – Why it’s corrupt
Financial Times/GATA: Singapore seizes on soaring Asia gold demand; Koos Jansen – Chinese gold demand remains robust and in an uptrend
Telegraph/Peak Prosperity: BIS – Ultra low interest rates could make global economy permanently unstable; Axel Merk – The Fed’s next move
MarketWatch: Taper Time? Janet Yellen’s Georgetown neighbors complain about ‘doughnut bellies’ of security detail
Posted by Investment Rarities on June 18th 2014 in CFTC, China, Federal Reserve, General Economy, Gold, India, Iraq, Janet Yellen, Monetary Policy, Short Sellers, Silver, Wall Street | Be the first to comment!
Metals split the difference on Tuesday, with silver inching up and gold off a hair on what was perceived as a combination of profit taking, Wednesday’s FOMC finale — which is said to have ‘spooked’ gold, on fears that Fed Chair Yellen “will strike a more hawkish tone,” — and a perception that things are not getting worse in Iraq, where Islamist militants are now waging a two-front war. Reuters quotes one analyst as saying that “When gold is driven by geopolitical news, there’s a tendency that this has to keep getting worse for gold to improve. If news stabilizes, gold tends to fall back.”
Silver Seek/IRD: Silver is 7 for 7. Are we seeing #8?; Comex silver futures open interest equals all silver produced in 2013
Steve St. Angelo/Frank Holmes: Why gold’s base price should be north of $2,000; Gold investors- Let this cycle be your guide
Mineweb: Amid high inflation, gold gains in India
Acting Man/EconMatters: The inflation era has arrived; Easy money, no strings attached
Ciovacco Capital: The Fed scenario that could catch investors off guard