August 9, 2017 |

Are Investors Ready for Market Volatility

Stock Market Panic

Investors may be completely unprepared for market volatility at this point. It has been a long time since the market saw a 5% decline, and markets have not seen a significant pullback of any kind in years. This has kept a lid on market volatility as measured by the CBOE’s VIX. You don’t need the VIX gauge, however, to tell that markets have seen very little in terms of large price swings. In fact, stocks have gone sideways to higher for quite some time. Perhaps... Continue Reading

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August 7, 2017 |

WannaCry Hackers Finally Cash Out

It’s been about three months since the WannaCry ransomware attack, and those behind the attacks have finally cashed out. This ransomware attack crippled computer systems, encrypting files and charging the owners anywhere from $300 to $600 to get the “keys” to unlock their files. The attack prevented a U.K. emergency room from accepting patients, shut down a Spanish telecommunications company and more. The money, all told about $140,000, has been sitting in three separate bitcoin wallets for 12 weeks. Naturally, those wallets have been closely... Continue Reading

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August 3, 2017 |

Are Gold and Market Volatility About to Explode?

With all that is going on in the world right now, the word “explode” may be a poor choice. The North Korean saber-rattling has continued, with the nation testing another intercontinental ballistic missile just days ago. This provocative action by the North Korean regime did not go unnoticed, and the U.S. along with Japan and South Korea responded with a show of force. This ongoing situation could be reaching a critical juncture, and it remains unclear how the U.S. and its allies will respond to... Continue Reading

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August 1, 2017 |

Gold Higher as GDP Disappoints

the dips

The gold market is moving higher again on Friday, touching a six week high. The latest reading of Q2 GDP was released early this morning, and showed a growth rate of 2.6%. Some estimates were looking for a reading of 2.7% following a very lackluster first quarter growth rate of just 1.4%. This report would seemingly add fuel to the dovish camp regarding monetary policy, and may act as yet another reason for the Fed to keep rates relatively low. The Fed has tried to... Continue Reading

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July 28, 2017 |

Same Old Same Old from the Fed

George Washington

Wednesday afternoon saw the conclusion of the latest FOMC monetary policy meeting at which the central bank, as expected, left key interest rates unchanged. The Fed also addressed its massive balance sheet, and appears to be on track for reductions starting in September or October. The central bank is likely to tread very carefully, however, as it looks to contract its balance sheet without sending shockwaves through financial markets. The central bank seems to be of the opinion that the economy is ready to stand... Continue Reading

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July 26, 2017 |

IMF Slashes Growth Forecasts

The International Monetary Fund, or IMF, recently slashed its growth forecasts for the U.S. for this year and next. The IMF lowered its expectations for growth from 2.3% to 2.1% for this year, and from 2.5% to 2.1% for 2018. Needless to say, this is far below the 4% growth target that has been discussed in recent months and it remains stubbornly below the 3% mark. The IMF listed numerous factors regarding its decision to lower forecasts, with a very poor showing in the first... Continue Reading

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July 24, 2017 |

This Could Be It

investment in gold

Gold is moving higher again today, as the yellow metal continues to gain upside momentum. After declining to nearly the $1200 per ounce level earlier this month, gold has seen solid buying interest and has recouped almost $50 per ounce. Recent price action could potentially be indicative of a major reversal in gold, and an upside breakout could see prices move significantly higher. Although gold may have some bearish issues working against it, the metal also has a number of bullish factors that appear to... Continue Reading

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July 20, 2017 |

Is Gold’s Future Looking Brighter?

breakout is brewing

Gold could very well be in the process of making a long-term bottom. Although the yellow metal has been on its heels in recent weeks, gold has held up quite well under numerous potentially bearish circumstances. A more hawkish Fed, higher stocks and strong appetite for risk have all played a role in recent weakness. The question, however, is will it last. Some believe that gold could be turning the corner. In a recent article from Kitco.com, analysts from Credit Suisse voiced a theory about... Continue Reading

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July 18, 2017 |

Where is the Inflation?

Active Buyers

Inflation data released today showed the ongoing absence of price pressures that could force the Fed to be more aggressive when it comes to monetary policy. The U.S. Labor Department reported this morning that the U.S. Consumer Price Index was unchanged in June. Consensus estimates were looking for a rise of .1%. Year-over-year CPI was also below consensus estimates, with an annualized reading of 1.6%. All major components of the index showed broad-based weakness, with energy prices in particular showing a significant decline. Core inflation... Continue Reading

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July 14, 2017 |

Yellen Comments Deemed Dovish

FOMC

In what may be the most significant commentary of the week, Fed Chairwoman Janet Yellen’s prepared remarks have been released ahead of her testimony before the House Financial Services Committee today. Ms. Yellen alluded to the pace of further rate hikes being very gradual, and it seems that rates will not reach levels seen in previous tightening cycles. Investors will be paying close attention to her commentary before the committee later today, as well as to the Q&A session to follow. You have to wonder... Continue Reading

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