Category: Gold & Silver
The analysis published under this category are as follows.Sunday, November 23, 2008
Extreme Silver Price Trends / Commodities / Gold & Silver
I don't think silver watchers need to be reminded of what has happened to silver in the last 8 months. The only answer they are looking for is when will we see a bottom to this carnage? As I look at my 14 member silver stock index, it has dropped from a high of 8.69 on the 3rd March 2008 to a new low of 1.31 as of last Thursday. That is a drop of 85% - cataclysmic by any standard of investing. Subscribers who followed my lead and exited all silver stocks positions on 31st March were spared this unnecessary suffering.Read full article... Read full article...
Saturday, November 22, 2008
Precious Metals Price Discovery / Commodities / Gold & Silver
During my recent trip to Europe, there were many interesting meetings and conversations. One of the most meaningful was with a good friend and colleague Mr. Eric Lemaire.Read full article... Read full article...
Friday, November 21, 2008
Gold and Silver Bullish Fundamentals- Keep Your Eye on the Prize / Commodities / Gold & Silver
In this fast-moving age, it is so easy to take your eye of the prize. Short-term trends can easily throw one ‘off track'. For every analyst who will tell you a stock or commodity is going up, there is another one who will tell you it is going down in price.
Who to believe?
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Friday, November 21, 2008
Gold the Dumb Metal Beats Overqualified Ex-hedge fund Financial Hacks / Commodities / Gold & Silver
"Well, God knows you don't need any brains to buck barley bags..."– John Steinbeck, Of Mice & Men (1937)
ALPHA used to be what hedge-fund managers promised their clients. Better still, portable alpha – defined in the easy bed-time reading of finance MBAs as the "generation of excess return over a benchmark while maintaining the desired asset allocation to traditional market exposures" – offered to meet and beat whatever returns everyone else was making, thus proving the manager's genius and justifying his infamous fees.
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Friday, November 21, 2008
Why Gold Will Rise During Deflation / Commodities / Gold & Silver
What deflation really does to an economy - Deflation is a particularly pernicious economic condition. It is far worse than inflation. Prices decline in deflation. The impact of this is that a person with cash sees the buying power of that cash increase, whereas the owner of assets with declining values sees the cash value of those assets decline. This is the superficial picture.Read full article... Read full article...
Friday, November 21, 2008
Silver in Crisis / Commodities / Gold & Silver
The unprecedented financial turmoil plaguing all markets these days is dominating everyone's attention. In a troubled time when the flagship S&P 500 stock index can plunge 30.0% in a single month, it is hard to think about anything else. Thus many smaller markets, like silver, are languishing in relative obscurity.
Silver, an asset which many investors thought would thrive during a financial-market panic, has been scourged mercilessly. After briefly surging above $20 in March, it nonchalantly traded between $16 and $19 or so for the next 5 months. Silver was on top of the world, consolidating high, and all looked well.
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Friday, November 21, 2008
Why Gold Price Has Fallen Despite Record Demand / Commodities / Gold & Silver
Mike Caggeso writes: Having spawned the worst market for stocks since the Great Depression, the global financial crisis is forcing investors to re-examine a number of long-held beliefs. Gold bugs, for instance, have been left to wonder just how gold prices could backpedal in the face of all-time-record demand.
Gold demand did increase – in fact, by a record 45% from the second quarter to the third.
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Friday, November 21, 2008
Gold Safehaven as Stock Markets Plunge to 11 Year Lows / Commodities / Gold & Silver
Gold maintains its safe haven status - In an increasingly risk averse environment and in the wake of tumbling commodity markets, gold is maintaining a bid, albeit in a tight trading range with strong resistance at $777 , confirming its status as a safe haven asset. Gold is currently trading at $755 (12:15GMT).Read full article... Read full article...
Friday, November 21, 2008
Gold Jumps on Physical Shortage as Coin Orders are Refused / Commodities / Gold & Silver
THE SPOT PRICE OF GOLD jumped to a one-month high at the US opening on Friday, heading for their third weekly gain on the trot as a rally in Asian stock markets failed to stick in Europe.US equity futures bounced hard after sinking to an 11-year Low on the S&P Index at Thursday's close. Crude oil dipped below $50 per barrel.
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Thursday, November 20, 2008
Silvers Brutal Downtrend Has Run its Course? / Commodities / Gold & Silver
Even though the brutal downtrend in silver that has slashed its price by about 60% from last July remains in force, there are several important signs that it has probably run its course, and that silver is now basing ahead of renewed advance. On the 6-month chart we can see that even though silver plumbed new lows late in October by a sizeable margin, the MACD indicator bottomed way above its August and September lows, showing that downside momentum was decelerating, and it continued to decelerate with the low last week, when the MACD indicator hardly dropped. The behaviour of this indicator relative to price in the recent past is typical of a bottom.Read full article... Read full article...
Thursday, November 20, 2008
Gold Builds Support as the U.S. Dollar Hits Resistance / Commodities / Gold & Silver
Gold has remained in a narrowing trading range since the last update late in October, which is looking increasingly like an intermediate base area that will lead to a significant advance. In the last update a relief rally was predicted on the basis that the preceding steep downtrend had exhausted itself, and this is what we saw, although it didn't get very far. About a week ago gold looked like it may be forming a Pennant, implying a drop to new lows, but the lack of follow through on last week's decline and subsequent partial recovery has resulted in the pattern opening out into a Triangle, which is increasing the chances of an upside breakout.Read full article... Read full article...
Thursday, November 20, 2008
More on Gold and the Reflation of Assets / Commodities / Gold & Silver
Larry Edelson writes: Not surprisingly, my Money and Markets column last week about a new monetary system based on an upward revaluation of the price of gold set off quite a buzz all over the world. It was picked up by CBS MarketWatch, The Financial Times , The Market Oracle, and more.
Some Think I'm Crazy, That I've Lost My Mind. No Problem.
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Thursday, November 20, 2008
Gold Safe Haven Status Amid Steep Global Stockmarket Declines / Commodities / Gold & Silver
China Considering Diversification into Gold
BEIJING (Dow Jones) - China's central bank is considering raising its gold reserve by 4,000 metric tons from 600 tons to diversify risks brought by the country's huge foreign exchange reserves, the Guangzhou Daily reported, citing unnamed industry people in Hong Kong.
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Thursday, November 20, 2008
Gold and Silver Obvious Price Maniupulation / Commodities / Gold & Silver
Amazingly, while gold and other commodity related stocks continued to be sold off to levels that are at deep discounts to their intrinsic value in October, gold continued to break to new all time highs in most major currencies. On October 9th and 10th gold recorded new all time highs in many currencies including the Euro, the Australian Dollar, British Sterling, the Indian Rupee, the Russian Ruble, the South African Rand and many others. The Dow Jones Industrial Average Stock also recorded a multi decade low in terms of gold. Investors are getting a very much skewed view of gold's performance if they are viewing it in terms of the US Dollar or Yen. These are the two main currencies that have been used as cheap funding sources allowing speculators to take on incredible degrees of leverage to invest in higher yielding assets with much better fundamentals.Read full article... Read full article...
Thursday, November 20, 2008
Gold and Silver Inflation or Deflation Common Sense / Commodities / Gold & Silver
We have recently noticed many newsletter writers and commentators who were formerly calling for "Inflation" and are now switching their analysis to the growing popular theory of "Deflation". This very well may be 'The' great debate of our time.
Why is this significant and how does this effect investors?
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Wednesday, November 19, 2008
What's Frightening Saudis and Iranians into Buying Gold? / Commodities / Gold & Silver
Sean Brodrick writes: Our oil-rich friends in the Middle East are scared. How do I know? Because they are buying gold like crazy!
First , we got the news that Saudi investors spent $3.47 BILLION on gold in a recent two-week period. On a ratio-to-GDP basis, that's like investors in the U.S. spending $131 BILLION.
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Wednesday, November 19, 2008
To Prevent Financial Shocks, Build a Suspension System for the Gold Wagon / Commodities / Gold & Silver
When I drive down the road and hit a pothole, my car's suspension system absorbs the shock. Engineers design suspension systems to reconcile our driving habits automatically to the realities of hard pavement. So it should be with our monetary system.Read full article... Read full article...
Wednesday, November 19, 2008
Gold Trades in Tight Range as Bonds Offer Record Low Returns for Investors / Commodities / Gold & Silver
WHOLESALE GOLD BULLION PRICES inside a tight range vs. the world's major currencies early Wednesday, as world stock markets fell for the eighth session in 13 so far this month.The Gold Price in Japanese Yen held unchanged from the start of Nov., while the Tokyo Nikkei index slipped to its worst level since the quarter-century lows of late Oct.
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Tuesday, November 18, 2008
Gold Settles into Contracting Range / Commodities / Gold & Silver
Citigroup to cut 52,000 jobsVikram Pandit, the Chief Executive of Citigroup announced yesterday that in a bid to revive their ailing share price, a massive 52,000 jobs would be cut. That's 1 in every 7 employees and slash costs by $10bn. Citi shares have lost more than 75% of their value over the past year and suffered over $50bn in writedowns and credit provisions. An analyst likened Citigroup to a super tanker; turning it around takes a long time.
Tuesday, November 18, 2008
Gold Investors Buy the Dips / Commodities / Gold & Silver
THE PRICE OF GOLD continued to drift lower in early London trade on Tuesday, holding $10 per ounce below last week's close while European stock markets lost another 2% and crude oil fell towards fresh 21-month lows."Looking forward, we think the need for safe-haven investments will grow," says the latest analysis from Scotia Mocatta, the London-based precious metals dealer, "while at the same time the level of distressed selling may ease.
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