Posts Tagged ‘central banks’
Can they Put this one Back into the Box?
We are now 3 weeks out from the paper massacre of the gold and silver prices. We immediately saw (as in THE first day) massive physical demand from all over the world explode as shortages and premiums in gold (and particularly silver) came about. The stretching of delivery (if even available) times and increases in premiums over "spot" prices [...]
If You Told Me Then…
Read the Thursday Afternoon Wrap-Up for 4/18/2013 and the Friday Morning Commentary for 4/19/2013 In May 2002, I was a 31-year old “hot shot” sell-side analyst at Salomon Smith Barney in New York City. My oilfield equipment, drilling, and service research team was one of Wall Street’s top ranked, and the future I had always dreamed of [...]
What is Going on With Gold?
READ THE FULL NEWSLETTER Democracy lives over at Uncommon Wisdom. Sean Brodrick is very bullish on gold – and you would never know he works for the same firm as Larry Edelson. They both can’t be right. Sean says that this is, “The potential gold-buying opportunity of the decade.” Edelson might agree, but first, he expects gold [...]
“Official Policy”
The last nearly 6 months has seen a constant barrage on the pricing of the precious metals. This process coincided with the last US quantitative easing and of course was completely counterintuitive. How, one would (should) ask, can a dollar increase in value versus another (any) real, fixed asset if dollars are more plentiful? If we did not [...]
Eureka… I have figured it out!
I think I know why gold and silver are "going down." Investors are worried that their banks may either go broke or steal balances from their accounts because the sovereign government doesn't have the money to bail them out anymore. Investors are also worried that their sovereign government itself may be dragged down the drain and may default [...]
Custer’s Last Stand
I mentioned last Friday that I thought it was an important day. We traded down to the $1,560 level in gold which was the 3rd or 4th time. At the time we were down $18 or so and again near that $1,560 level, I thought that a turnaround from there would begin to solidify the bottom process. We did in fact get a positive close (albeit only 60 [...]
A Great Chart to Ponder
READ THE FULL NEWSLETTER Susan and I are driving to St. Petersburg on Wednesday, to hear my son Andy Schectman speak at the “Investment U” conference. After his speech on Thursday, we will drive down to Boca Grand and visit some close friends. Then it’s back down to Miami late Sunday afternoon. I had to write Thursday’s [...]
Who’s Gonna Pay?
5+ years into the Greatest Financial Crisis and what has changed? I could go into how balance sheets have blown out to ridiculous levels, money has been printed to cover up the financial sinkholes and accounting practices exist only at the pleasure of the banks who own the underwater assets. I won't do that today. Zero Hedge put a piece out [...]
Central Banks. What Self Destructive Act Will They Think of Next?
Kuroda Says Bank of Japan Will Consider Buying Derivatives The Bank of Japan announced over the weekend that they are considering buying derivatives to jump start their economy. Oh yes, that will do it! Print money (currency) lots and lots of it, purchase derivatives that are worthless and have zero chance of performing and book them on [...]
The Fed’s “Exit Strategy” and Monkey Money
Ben Bernanke testified last week about the Fed's "exit strategy." As I've written before, there is none, there can't be one and there never will be one. Every time in the past when the Fed let up on the accelerator (even just a little) the markets (and economy) would begin a hissy fit. Now, the Fed is even funding the European banking [...]
