News and Views

By: Thorsten PolleitIndicators for financial market "stress" have reached their lowest levels in decades. For instance, stock market volatility has never been this low since the early 1990s. Credit spreads have been shrinking, and prices for credit default swaps have fallen to pre-crisis levels. In fact, investors are no longer haunted by concerns about the stability of the financial system, potential credit defaults, and unfavourable surprises in the economy or financial assets markets. How come?Monetary policy plays the significant role. By slashing interest rates and ramping up the quantity of money in the banking system, central banks around the world moreContinue Reading
November 21, 2017

Tactics For The Gold Bull Era

If Chindian demand is solid, gold doesn't really need a lot of Western fear trade buying to move higher, but it must have some. That's just not happening right now. The winds of change may be in the air, with US wage inflation pressures intensifying, an approaching debt ceiling debate, and a new Fed chair who stands ready to significantly reduce bank regulation. moreContinue Reading
Just as important as recognizing the frothiness of the current market is the fact that the stock market has always fluctuated between bull and bear markets. No bull market lasts forever—that will include this one. Regardless of your personal outlook for the stock market, capturing some of your profits is only prudent given how long this market has been chugging higher. It's also a way to build wealth, since you now have some money to build a position in other investments. moreContinue Reading
November 21, 2017

Bond Market Madness

As the US yield curve continues to flatten, we thought we should take a day to closely examine the moves in rates since September 8. read more moreContinue Reading
It has been a while since we've applied historical analysis to the precious metals sector. It is something we really enjoy as history can help define and contextualize current trends and help us spot opportunities. Back in March of this year we noted that the gold stocks could be following the path of recovery of housing stocks since their 2009 bottom. moreContinue Reading
GOLD BULLION held onto yesterday's 1.1% plunge in Asian and London trade Tuesday, moving sideways as world stock markets rose with government bond prices despite the threat of fresh elections in Germany and the rapid escalation of political tensions between Nato military alliance members Turkey and the United States. With commodities holding firm overall, gold bullion traded at $1276 per ounce as the start of US trade approached. Versus the Dollar, the single-currency Euro retreated to a 1-week low near $1.17, down 1.5 cents from last week's 1-month highs. That failed to put gold priced in Euros back above EUR1090 moreContinue Reading
The precious metals sector is on a major buy signal. The cycle is down, as consolidation continues. COT data is supportive for overall higher metal prices. We are holding gold-related ETFs for long-term gain. moreContinue Reading
Nearly 10 years after the financial crisis brought the global economy to its knees, conditions have finally improved enough to crystallize my conviction that synchronized global growth is currently underway. Revenue and earnings growth are up year-over-year, not just in the U.S. but worldwide. Despite President Donald Trump threatening to raise tariffs and tear up trade deals, global trade is accelerating. World manufacturing activity expanded to a 78-month high of 53.5 in October, with faster rates recorded in new orders, exports, employment and input prices. moreContinue Reading
– Gold versus Bitcoin: The pro-gold argument takes shape – Why cryptocurrencies will not replace gold as a store of value – Similarities between crypto and gold but that does not make them substitutes – Gold remains a highly liquid market, cryptocurrencies continue to be fragmented and difficult to spend – Bitcoin does not make it an effective hedge against stocks moreContinue Reading
By: Richard M. EbelingThis time of the year, whether in good economic times or bad, is when Americans gather with their families and friends and enjoy a Thanksgiving meal together. It marks a remembrance of those early Pilgrim Fathers who crossed the uncharted ocean from Europe to make a new start in Plymouth, Massachusetts. What is less appreciated is that Thanksgiving also is a celebration of the birth of free enterprise in America.The English Puritans, who left Great Britain and sailed across the Atlantic on the Mayflower in 1620, were not only escaping from religious persecution in their homeland. They moreContinue Reading
Disappointed is the word. Yes gold and silver fell as investors switched to bitcoin. In the short term the inverse correlation between gold and bitcoin will continue. This failure of gold to break past $1300 will result in more and shorter selling at higher prices. Silver continues to range trade. It will break free from the $1660-$1740 trading range and form a new range very soon. Political issues from the Eurozone failed to impact the euro as investors focused on economic fundamentals. News will be the key. moreContinue Reading
Precious metals declined out of the gate Monday as the U.S. dollar advanced. Gold and silver fell hard, giving back more than their gains on Friday which had set them at about one-month highs. Gold... [[ This is a content summary only. Visit my website for full links, other content, and more! ]] moreContinue Reading