November 21, 2016 |

Don’t Be Fooled

Bank Bridge

Following what many considered to be a long-shot victory by Republican Presidential candidate Donald Trump, markets have been moving higher after some initial volatility. The dollar index is approaching 14 year highs, while the Dow Jones has been on a record-setting spree. Interest rates have been on the rise, as bonds and notes were sold heavily. Is this truly the beginning of a new era? In our view, the answer is perhaps yes, but probably no. While things may be looking better here in the... Continue Reading

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November 17, 2016 |

You Should Still Be Buying Gold-Here’s Why

Global Money

Donald Trump will be the next President of the United States. With this surprising election comes a great deal of uncertainty. Markets showed just how nervous they can potentially get on election night as stock index futures tumbled, gold rallied and the dollar declined. Of course, all of these initial reactions to a Donald Trump Presidency later reversed course, with stock markets later moving higher, gold giving up its gains, interest rates rising and the dollar moving higher. What was seen on election night could... Continue Reading

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November 15, 2016 |

Bank of Japan Holding Course

Mount Fuji

At its latest policy meeting earlier this month, the Bank of Japan did what was widely expected and held monetary policy unchanged. Rates will remain at -0.1 percent, while the pace of bond purchases will also stay constant-at least for now. The Japanese central bank did, however, push back its time frame for inflation reaching its two percent target. The bank appears ready to stay on its current course, unless it becomes necessary to hit the gas again. The statement by the BoJ with its... Continue Reading

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November 11, 2016 |

A New Era

President Trump Office

In a historic upset victory last night, Republican Presidential Candidate and billionaire businessman Donald Trump became President-Elect Donald Trump. To say this win for the Presidency came as a surprise would be an understatement. Going into yesterday’s election, polls had Mrs. Clinton ahead by several percentage points. Things changed quickly, however, once the votes started trickling in. Watching the election unfold in real time, investors sought to sell, and sell in a big way. The Dow Jones futures contract was at one point down by... Continue Reading

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November 9, 2016 |

Chinese Appetite for Gold Remains Robust

Chinese Flag

It is no secret that China has been buying and stockpiling gold. Although estimates of China’s total holdings of the yellow metal are the subject of speculation, one thing seems obvious: China wants to continue to accumulate more gold as it takes its place among the global economic elite. We suspect that China’s appetite for gold is not likely to abate anytime soon, and apparently others agree with our assessment. In a recent article featured on Kitco.com, Simona Gambarini, a commodities economist at Capital Economics,... Continue Reading

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November 7, 2016 |

Gold Could Explode

Election Button

The 2016 Presidential election has been one for the ages, and the excitement is far from over. Heading into the final days before Americans will vote for their next President, many polls have the candidates running neck and neck, with Donald Trump now ahead in at least one poll. Things could get a little dicey from here on out… A Trump victory could potentially have a significant impact on global financial markets, and volatility could increase in dramatic fashion. With a Trump Presidency could come... Continue Reading

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November 3, 2016 |

World renowned investment manager discusses gold’s place within a portfolio

Gold Egg

In a recent interview with the World Gold Council, Allianz chief economic advisor Mohamed El-Erian discussed the potential role gold may lay within a portfolio. He stated “As part of a diversified portfolio allocation that includes a higher-than-usual cash allocation, gold can play an important role in overall risk mitigation. It can also provide a notable upside should the enormous amount of central bank liquidity injection gain traction and result in higher inflation, be it actual or expected.” El-Erian went on to state “A growing... Continue Reading

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November 1, 2016 |

What if Central Banks Run out of Ammo?

helicopter

The average person has likely become all-too familiar with various terms used to describe the state of many monetary policies around the globe. Phrases like low interest rates, zero interest rates, negative interest rates, bond purchases and yield curve have become quite familiar in recent years as global central banks took steps to battle deflationary forces and a potential economic collapse. Whether or not these policy tools have really been effective remains the subject of debate. Although the U.S. has ended its QE program, many... Continue Reading

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October 28, 2016 |

Could Crude Oil Be The Next Major Bullish Catalyst For Gold?

Oil pipes

The decline in crude oil prices this past year was the subject of many financial media headlines and stories. After trading as low as the mid-thirties per barrel last winter, the oil market has come back, but not without some ups and downs. With several of the world’s largest oil producers possibly getting ready to implement a production freeze or even a production cut, black gold could potentially see further upside from current levels. In fact, the oil market could potentially rise substantially from current... Continue Reading

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October 26, 2016 |

No End in Sight for QE

Life Preserver Cash

With or without a December interest rate hike from the Federal Reserve, global easing measures thus far show no signs of slowing. The European Central Bank, the Bank of Japan and the Bank of England could all potentially engage in further quantitative easing measures in an attempt to boost economic activity and spur inflation. Concerns appeared to be on the rise recently about the possibility of the ECB stepping back from its QE, although ECB President Mario Draghi put such concerns to bed this past... Continue Reading

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