Category: Gold and Silver 2010
The analysis published under this category are as follows.Wednesday, October 13, 2010
Global Currency Market Chaos Sends Gold Soaring / Commodities / Gold and Silver 2010
Emerging market economies are under increasing stress as a result of the horrendous economic policies of the Fed.
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Wednesday, October 13, 2010
Gold Near Parabolic on Hopes of QE2 Starting in November / Commodities / Gold and Silver 2010
We want QE II on 3 November. No, we demand that the U.S. Federal Reserve announce QE II, quantitative easing second act, on that day. We want confirmation. No, we demand confirmation that Keynesian economics is both intellectually bankrupt and a complete failure!
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Wednesday, October 13, 2010
Can the G-20 and the I.M.F. Burst the Gold Bubble? / Commodities / Gold and Silver 2010
When George Soros stated that gold was the "Ultimate Gold Bubble," we believe that he was not saying that it is now in a price bubble, but that it would one day get there. This is backed up by his accumulation of gold and gold shares since then. So we are not looking at a 'gold bubble' even with gold at this price.
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Wednesday, October 13, 2010
Gold Nears USD and Sterling Highs as Washington Denies "Global Currency War" / Commodities / Gold and Silver 2010
THE PRICE OF GOLD stalled $3 shy of last week's all-time Dollar record in London trade on Wednesday morning, peaking above $1361 an ounce as the US currency fell and global stock markets rose sharply.
Gold priced in Sterling rose within 1.3% of June's record peak at £870 per ounce.
Wednesday, October 13, 2010
Gold and Silver Remain Near Nominal Highs - QE2 Leads to Increasing Dollar Concerns / Commodities / Gold and Silver 2010
Gold and silver continue to remain robust given the real concerns about the US, Eurozone and global economy. These concerns are creating doubt about the outlook for the dollar, the euro and other fiat currencies due to competitive currency devaluations and currency debasement. Gold has risen to near record nominal highs in British pounds (see chart below) and is less than 1% from a new high in dollars as the dollar has fallen again on QE2 concerns. Despite the recent rise in prices, physical demand remains robust especially in Vietnam, India and Asia.
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Wednesday, October 13, 2010
Three Ways to Play the Silver Rally, While Limiting Your Risks with Options / Commodities / Gold and Silver 2010
Larry D. Spears writes: With the global economy struggling to sustain even a modest recovery, the U.S. Federal Reserve pledging further quantitative easing if needed, and the dollar and several other leading currencies showing unrelenting weakness, there have been plenty of reasons for precious metals to rally of late - and gold and silver have done just that.
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Wednesday, October 13, 2010
Gold Bull Market $2,400 Forecast Target Peak By Early 2013 / Commodities / Gold and Silver 2010
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Captain's log, trade date 10.07.10 The dawn of the 21st Century continues to produce financial shock waves resulting from a generational abuse of credit, fiat currency systems, and exotic financial derivatives.
Wednesday, October 13, 2010
Gold and Silver Correction, How Low and How Long? / Commodities / Gold and Silver 2010
The International Monetary Fund's annual meeting at the weekend failed to ease currency battles roiling markets, pushing the dispute off to a summit next month of leaders of Group of 20 countries, with no clear resolution in sight.
Meanwhile, the lines are drawn, the cannons are loaded - the currency war is on. Each nation is taking unilateral actions to defend its economy from the other in an escalating battle over the value of the world's key currencies.
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Wednesday, October 13, 2010
Gold Vs U.S. Treasury Bonds, Which Do You Believe? / Commodities / Gold and Silver 2010
Any psychoanalyst looking at the behavior of investors today would see clear strains of schizophrenia in a comparison between the markets for gold and US Treasuries.
Currently, the 10-year Treasury yield is setting new lows on a daily basis. In the financial models all economists were taught at school, this would be an indication of an economy with low inflation expectations and a strong currency. But the dollar has fallen over 12% since June, and the price of gold continues to hit all-time highs. These results are completely antithetical. Bonds are flashing a warning sign of deflation, while gold and the dollar presage hyperinflation.
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Tuesday, October 12, 2010
The Battle Between Fiat Money Versus Gold and Silver / Commodities / Gold and Silver 2010
We are bearing witness to one of the most prolific battles in modern times; it's the battle of fiat money versus gold and silver. Another way to express this is the Federal Reserve versus the free market, or evil versus good. You don't need soldiers, planes, battleships or missiles. The forces of evil require two printing presses: one for making fiat currency and one for printing misleading propaganda. The forces of good require an adherence to the concepts of value and the primary trend.
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Tuesday, October 12, 2010
Current Net Asset Value of Certain Precious Metal Trusts and Funds / Commodities / Gold and Silver 2010
The gold premiums are highly contracted.
This could be the result of arbitrage hedging which we have discussed in the past. Essentially one could buy the futures and sell short PHYS and pocket any premium differential.
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Tuesday, October 12, 2010
Gold Down 0.6%; Securitised Mortgage Debt Threatens Second Phase of Financial Crisis / Commodities / Gold and Silver 2010
With the Federal Reserve soon to embark on QE2 and printing money and buying US bonds in a sizable way, possibly as soon as November, gold should be well supported when it does correct. As with all bull markets, gold is climbing a wall of worry with the public remaining unaware and (mainstream) media commentary sparse and skeptical. The primary trend remains up and short term pullbacks are to be expected.
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Tuesday, October 12, 2010
Gold Bull Market is Far From Topping, USD Index Explains Why / Commodities / Gold and Silver 2010
Lately I've been seeing quite a few analysts calling for a top in gold. I have to say these analysts don't really understand what's happening. If they did they would know that far from topping, gold is just getting started.
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Tuesday, October 12, 2010
Gold and Silver Rally with Stocks on QE2 and Currency Crisis / Commodities / Gold and Silver 2010
THE PRICE OF GOLD and silver rallied towards Friday's record-high closing levels in London on Tuesday lunchtime, bouncing after world stock markets and commodities had earlier fallen on reports that China is curbing new bank lending to cool its economy.
Banking reserves must be raised by 0.5 percentage points to 17.5% of deposits, Goldman Sachs quoted Beijing officials.
Monday, October 11, 2010
A New Gold Rush Begins For Emerging Markets / Commodities / Gold and Silver 2010
Tony D’Altorio writes: Ten years ago, the western world’s central banks were selling gold from their vaults just as fast as they could… at a rate equivalent to 10% of annual demand, about 442 tons.
They didn’t see any further need for such an ancient symbol of monetary stability in the 21st century. After all, it paid no yield; it just sat there, incurring storage and insurance costs along the way.
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Monday, October 11, 2010
Something Has Drastically Changed in the Silver Market / Commodities / Gold and Silver 2010
Chris Mack writes: Something has drastically changed in the silver market. The banks that once controlled the price of silver are now closing positions at a loss. The commercial shorts have begun to bleed money – and when blood spills sharks will circle. Hedge funds and traders that never even thought of silver before will begin to squeeze the shorts. If the big banks don't quickly regain control of the silver market they may lose it forever.
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Monday, October 11, 2010
Dollar Gold, Rand Gold, DOW, JSE Gold and HUI / Commodities / Gold and Silver 2010
Let’s start with a big picture view. Below is a long term Dow/gold ratio chart. As you can see on the chart, it has just been one-way traffic the last ten years, with the ratio moving down from almost 45 to about 8.16. It seems that the next temporary stop might be between the 4 and 6 level. I have previously written how the 10 Dow/gold ratio level has been a pivot point back all the way to 1930.
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Monday, October 11, 2010
Gold Edges Back as U.S. Dollar Bounces / Commodities / Gold and Silver 2010
THE PRICE OF WHOLESALE gold bullion slipped 1% in London on Monday morning, falling to $1342 per ounce as the start of what traders expected to be a quiet New York session approached.
Following heated discussion – but no resolution – of the "global currency war" at this weekend's annual meeting of the International Monetary Fund's members in Washington, the US Dollar rallied from yet another 15-year low to the Japanese Yen beneath ¥81.50, and also bounced from worse than $1.40 to the Euro.
Monday, October 11, 2010
Gold No Reversal Yet / Commodities / Gold and Silver 2010
The latest leg of the long Bull run in gold began back at the end of August, when the market made a succession of new all time highs, but today the market spiked higher and then sharply reversed.
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Monday, October 11, 2010
Precious Metals The Most Perfect Medium / Commodities / Gold and Silver 2010
The precious metals markets moved into high gear last week with silver up 4.5% and new highs in gold and the HUI. Meanwhile the Wall Street Journal explained:
“Driving the recent spate of [currency] flows has been anticipation that the Federal Reserve will restart its efforts to stimulate growth through purchases of government debt that inject more money into the banking system – a practice known as quantitative easing or ‘QE.’”
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