February 12, 2016 |

Could A Rebound in Oil Drive Gold Prices Higher?

The ongoing decline in crude oil prices has been covered extensively by the financial media. Over the last year or so, crude oil has fallen from over $65 per barrel to under $30 per barrel, losing over half its value in the process. The recent move towards $30 per barrel has shaken stock markets and driven increasing volatility and risk aversion. What Might this Mean for Gold? It is no secret that gold and oil, or “black gold,” often exhibit a positive correlation. As crude... Continue Reading

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February 11, 2016 |

All Aboard!

Gold Bullion

Gold prices exploded today hitting a 12 month high in the process. Gold soared over $54 per ounce and at the day’s highs was over the $1260 per ounce mark. This highly bullish price action would seem to confirm what we have suspected for some time. The gold train is leaving the station-and fast! Gold prices have staged a very solid looking upside breakout in recent weeks and could potentially be headed sharply higher from current levels. Even though gold has risen by over $100... Continue Reading

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February 10, 2016 |

Demand for Gold Soars as Stocks Tumble

Gold is often bought to hedge against economic, geopolitical or currency crises. Gold has a tendency to move in the opposite direction of investor sentiment and often rises in the face of declining risk assets. Investors’ tendency to flock to gold during turbulent and uncertain times was quite evident the last several weeks. In fact, the U.S. Mint reported significant American gold eagle coin sales in January, up a whopping 53 percent from last January. The mint reported sales of 124,000 ounces of American gold... Continue Reading

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February 1, 2016 |

How Would You Feel If You Had To PAY YOUR BANK To Hold Your Money?

The Bank of Japan on Friday “called down the thunder” by announcing an unexpected move to negative interest rates. What exactly does that mean? It means that institutions will now have to pay the central bank to park excess cash reserves over and above reserves required by regulations. Shouldn’t the bank be paying the depositor in the form of interest? The short answer is yes. Desperate times, however, call for desperate measures. The Bank of Japan is seemingly in desperation mode doing anything it possibly... Continue Reading

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January 8, 2016 |

Selling Stampede

stock-market-crash-crisis copy

Stock market volatility has returned and in grand fashion. As of this post, the broad market SP500 is down over 42 points, or 2.12 percent. The markets opened sharply lower this morning following the shortest trading day in Chinese equities in history. Chinese stocks opened last night and dropped significantly right off the bat. For not the first but the second time this week, circuit breakers were triggered to halt trading… In fact, trading lasted for only about 30 minutes before being halted. The slide... Continue Reading

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December 9, 2015 |

What will happen when the Fed finally raises interest rates?

CNN Money Video

On December 16th, it is expected that the Fed will begin raising interest rates. That move, we believe, will have a far greater impact than what may seem logical from a small .25% hike. And simply looking at the size of the rate hike may be misleading. What should be considered instead is the length of time that interest rates were kept at 0%, and the tremendous distortions and imbalances that have been created as a result. Have we become addicted to the medication? Will... Continue Reading

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October 23, 2015 |

There May Be One More Great Opportunity to Buy Gold

Gold Bullion

The gold market has certainly seen renewed buying interest in recent weeks, although prices currently appear to be taking a breather. After rallying above previous resistance in the $1170 area, the gold market has pulled back slightly. This could be attributed to profit-taking by “paper” gold traders as well as willing sellers at current levels. In our view, however, gold is likely seeing some position squaring and cautious trade ahead of next week’s FOMC meeting. While any action by the Fed next week is unlikely,... Continue Reading

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October 5, 2015 |

Is Gold Still In An Uptrend?

Safe investment

When it comes to making investments, human nature dictates that most of us will look to buy assets that we believe (and hope) will increase in value. If you were to buy a hot bio-tech stock, for example, at $10 per share you would likely be hoping for the share price to double or more in a relatively short period of time. If you buy a home for $300,000, you certainly would love to see that home appreciate in value over the coming years. While... Continue Reading

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October 1, 2015 |

The Possible Effects of a Weaker Dollar

3 reasons

The mighty dollar is not as mighty as it once was. Going back to the mid-1980s, the dollar index has lost about half of its value. HALF… Not only does the chart of the dollar index over the past three decades paint a bearish picture for the currency, but recent moves by other nations to move away from the greenback are also adding to bearish sentiment. While the dollar has enjoyed a long run as king of currencies and the reserve currency of choice; that... Continue Reading

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September 30, 2015 |

Billionaire Carl Icahn warns of 'danger ahead' for US economy

billionaire-investor-carl-icahn

Billionaire investor Carl Icahn may have said no to being Donald Trump’s Treasury secretary, but he isn’t ready to give up the national stage yet. In a rare move — even for an investor so accustomed to the public spotlight — the founder and chairman of $8.5 billion Icahn Enterprises has produced a video warning of ‘danger ahead’ for the U.S. economy. Carl_Icahn // VIDEO TRANSCRIPT Carl: I am concerned about the high yield market. I think that’s in a major bubble, but I wouldn’t... Continue Reading

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