Where do we land from here? Gold had a strong 2023, defying expectations amid a high interest rate environment, and outperforming commodities, bonds and most stock markets. As we look forward to 2024 investors will likely see one of three scenarios (Table 1). Market consensus anticipates a ‘soft landing’ in the US, which should also positively affect the global economy. Historically, soft [...]
Year: 2023
Are We Too Dumb To Survive?
Sometimes it seems like it. Consider the following Author: JOHN RUBINO CBS News just conducted a poll that paints Americans as too economically illiterate to deserve a future of freedom and prosperity. Here’s how Tom Woods, author of Diary of a Psychosis: How Public Health Disgraced Itself During COVID Mania, addressed it in a recent mailing: Sometimes you look[...]
Recession Watch: Forget About That Soft Landing
Demand is cratering for houses, trucks, toys, you name it Author: JOHN RUBINO Americans have spent the past few years putting ever-bigger parts of their day-to-day lives on plastic. And now the stats are brutal: Total credit card debt recently pierced $1 trillion while personal interest expense has gone parabolic. Credit card usage, as a result, has dropped back below[...]
De-Dollarization Watch: It’s Definitely Happening
Author: JOHN RUBINO De-dollarization events that would once have been a big deal have become common lately. Some examples: UAE officially stops using dollar for oil trades (Watcher) - The United Arab Emirates (UAE) is asking BRICS countries to settle oil trade in local currencies and not the U.S. dollar. The Middle Eastern nation is aiming to diversify its economic[...]
Someday This Will Happen To Silver – And everything will change
Author: JOHN RUBINO In March 2022, there was a disruption in the nickel market that spiked the metal’s price. The lucky investors and market-makers who owned long futures contracts made fortunes. Just kidding. The exchange on which the futures traded canceled them and stiffed the contract owners. Some of the victims understandably brought suit and were awarded a massive victory [...]
Gold is undervalued, it could reach $2,400: strategist
https://www.youtube.com/watch?v=tU_xRCkEixU Philip Petursson, chief investment strategist at IG Wealth Management, joins BNN Bloomberg to discuss his view on commodities amid geopolitical concerns. Petursson says he doesn't see the price of oil affected by the war in the Middle East. However, he reminds the audience that oil supply could rapidly shift if the conflict escalates. Furthermore, [...]
Is Gold A Manipulated Market? If so, it’s now manipulated upward
Author: JOHN RUBINO Some readers responded to last Wednesday’s post on gold’s trading pattern (Gold: Resistance Is … Finite) with shock that I didn’t know gold is a manipulated market where technicals don’t matter. This gives us a good jumping-off point for a look at several forms of gold manipulation that have been practiced over the years: Wall Street traders use[...]
Why is Gold Outpacing the Stock Market?
"Gold tends to outperform stocks during periods of fiscal and monetary expansion, price instability, and periods of geopolitical conflict and uncertainty. As such, one might wonder if gold might be the outperformer for the remainder of the 2020s." https://www.youtube.com/watch?v=4TziZGYXl-0 Source: cmegroup.com/openmarkets/economics/2023/Why-Is-Gold-Outpacing-the-Stock-Market.html [...]
Buy Gold Now Or Wait?
Should you buy gold now? Or, should you wait? The pat answer is "it all depends"; which is true, but, it’s an inadequate answer. A bigger problem might be the question itself. Why would someone who is planning to buy gold now decide to wait? Some people might hesitate because they haven't seen the price action they expected. For others, it might be a lack of[...]
What Gold Needs
"Gold needs weak economic data as a catalyst to push prices higher..." trumpeted a headline this past weekend. In a similar vein is the oft stated claim that "a recession is good for gold". Several months ago, someone said that all gold needed to move to new highs above $2000 was lower inflation numbers. Earlier this year, the supposed "catalyst" for higher gold[...]