This is a very different way of looking and analyzing #gold, I never seriously included cost of production in my analysis before. I look forward to reading more.
Very insightful, I never considered how much of an effect #gold has on trade figures and especially on how it sheds light on the U.K's current economic situation.
So, the new normal could mean no real recovery. Labor share of #GDP shrinks, or grows slower than GDP. Loans and money supply seem to lag. #Bond hoarding (the new #gold) impacts bond demand. And I think the media may even get a little grease money from bond tantrum people. Now I can't prove that, but really do we have to? MSM heroes come on talking up yield, and somehow they are connected to people who seem to profit from a little bounce in yield. Again, this is just my opinion, but I don't think it is a one off strategy.
Very true Gary, just as there's not such thing as a free lunch, there's never a sure thing and one must always look at the considerations. Overall, I think #gold looks promising though $GLD.
Isn't #Gold always a sure thing? I mean the price may fluctuate up and down but I'd say nothing is more secure than gold. Much more so than paper #currency or #Digital Currency like #bitcoin.
Great Read! I think that President has the notion that economic recovery is instantaneous, this is untrue. Moreover, the stock market is not necessarily representative of the economy overall, we must look at other factors such as inflation, unemployment, etc.
Considering the appreciation of the #dollar, volatile #oil prices and decrease in the #Gold Spot Market, this activity is signalling a market change. Could be that as we exit the recession, business activity is picking up.
I agree, #inflation is the evil of the masses, benefits the spenders and borrowers at the expense of the frugal and savers. But how does one protect their investment from the ravages of inflation? #Gold and #silver are not proven to be a source of wealth in inflationary times and also do not provide any income?
I like your thoughts on these markets & especially #Gold. Every time the gold stocks take a dip they get bought up again without any follow through to the down side. What is it going to take to get GC to make an intermediate cycle low? Thanks. $GLD
Moby, thank you for your insight into $SILJ. I've been looking for an alternative to $GLD ever since I did my due diligence into that fund and found it to be quite shady. GLD so famously claim that they are 100% backed but obstinately refuse to give investors access to any of the 'claimed' gold. Why? There are many profitable gold selling businesses in the world. GLD could even charge exorbitant fees for delivery of said gold but they don't for some strange reason.
The frequently referenced GLD subcustodian audit loophole makes me question this fund even more. What guarantees do we have that they have not leased the gold from someone else? i.e. HSBC. Are they leasing it to someone else? How many claims are there on the gold aka hypothecation? GLD's structure seems to be deliberately vague and intentionally flawed. GLD's custodian, HSBC, with their long history of fraud certainly do not inspire confidence either.
For anyone interested in GLD but have not heard about CNBC's Bob Pisani's visit to GLD's #gold vault, I recommend checking it out. His visit is documented in a segment called Gold Rush: The Mother Lode. This entire segment was organized by GLD's management to prove that their gold actually exists but the gold bar held up by Mr. Pisani displayed a serial of ZJ6752. This serial did not show up on the latest bar list during that time. Cheviot Asset Management’s Ned Naylor-Leyland discovered that this "GLD" bar actually belonged to ETF Securities.
Note that even on the subject of GLD's questionable insurance, they are not at all straightforward about it. Their representatives will not confirm nor deny the existence of GLD's insurance. I recommend anyone curious about this to confirm via calling GLD's publicly listed number for general inquiries at (866) 320-4053 and ask about this clause from the GLD prospectus: "The Custodian maintains insurance with regard to its business on such terms and conditions as it considers appropriate which does not cover the full amount of gold held in custody." Exactly how much of the fund is insured? They will not give you a straight answer and might even throw in some bizarre excuse which I've experienced. Why hide this information from investors? The people behind GLD certainly do not seem like the most honest types.
After Indian Prime Minister Narendra #Modi banned Rs 500 and Rs 1000 notes after Diwali the #gold prices have sky-rocketed in the cash market. Due to government's fear, gold jewelry shops are not selling or buying gold to customers. One of many ways corrupted shop owners would cover the black money is they would show gold reserves being bought or rented to unaccounted owners and convert black money to accounted money. Despite the efforts there are places that help convert unaccounted money with new currency. If one is trying to buy or sell gold one has to be ready to see short term speculation which might drive the price up or down. It will take about 2-3 months for the country to stabilze so would the gold markets.
The Fragile Gold Industry: Gigantic Equipment, Massive Capital Expenditures & Rising Costs
This is a very different way of looking and analyzing #gold, I never seriously included cost of production in my analysis before. I look forward to reading more.
Brexit UK Vulnerable As Gold Bar Exports Distort UK Trade Figures
Very insightful, I never considered how much of an effect #gold has on trade figures and especially on how it sheds light on the U.K's current economic situation.
Yellen’s Not As Hawkish As We Thought, But It Doesn’t Matter For Your Bonds
So, the new normal could mean no real recovery. Labor share of #GDP shrinks, or grows slower than GDP. Loans and money supply seem to lag. #Bond hoarding (the new #gold) impacts bond demand. And I think the media may even get a little grease money from bond tantrum people. Now I can't prove that, but really do we have to? MSM heroes come on talking up yield, and somehow they are connected to people who seem to profit from a little bounce in yield. Again, this is just my opinion, but I don't think it is a one off strategy.
Why Gold Is A Sure Thing In 2017 (SPONSORED POST)
Why is #gold a better investment than say #silver, or other #PreciousMetals? $gld $slv
Why Gold Is A Sure Thing In 2017 (SPONSORED POST)
Thanks for the info on #Broadways. $BDWYF looks to be an interest play. #gold $gld
Why Gold Is A Sure Thing In 2017 (SPONSORED POST)
#Gold always does well in uncertain times and there's never been a more "uncertain" president than #Trump!
Why Gold Is A Sure Thing In 2017 (SPONSORED POST)
@[Gary Tanashian](user:4809), what kind of considerations should I be wary of when buying #gold?
Why Gold Is A Sure Thing In 2017 (SPONSORED POST)
Very true Gary, just as there's not such thing as a free lunch, there's never a sure thing and one must always look at the considerations. Overall, I think #gold looks promising though $GLD.
Why Gold Is A Sure Thing In 2017 (SPONSORED POST)
I agree, give me good ol' #gold any day. After all gold is a girl's best friend. Or was that diamonds ;-)
Why Gold Is A Sure Thing In 2017 (SPONSORED POST)
Isn't #Gold always a sure thing? I mean the price may fluctuate up and down but I'd say nothing is more secure than gold. Much more so than paper #currency or #Digital Currency like #bitcoin.
Is The Trump Economic Agenda Falling Apart Before It Even Gets Underway?
Great Read! I think that President has the notion that economic recovery is instantaneous, this is untrue. Moreover, the stock market is not necessarily representative of the economy overall, we must look at other factors such as inflation, unemployment, etc.
Considering the appreciation of the #dollar, volatile #oil prices and decrease in the #Gold Spot Market, this activity is signalling a market change. Could be that as we exit the recession, business activity is picking up.
Drawing A Bead On Inflation
I agree, #inflation is the evil of the masses, benefits the spenders and borrowers at the expense of the frugal and savers. But how does one protect their investment from the ravages of inflation? #Gold and #silver are not proven to be a source of wealth in inflationary times and also do not provide any income?
Counter Trend Moves Underway
I like your thoughts on these markets & especially #Gold. Every time the gold stocks take a dip they get bought up again without any follow through to the down side. What is it going to take to get GC to make an intermediate cycle low? Thanks. $GLD
The Best ETF To Profit From Gold
Moby, thank you for your insight into $SILJ. I've been looking for an alternative to $GLD ever since I did my due diligence into that fund and found it to be quite shady. GLD so famously claim that they are 100% backed but obstinately refuse to give investors access to any of the 'claimed' gold. Why? There are many profitable gold selling businesses in the world. GLD could even charge exorbitant fees for delivery of said gold but they don't for some strange reason.
The frequently referenced GLD subcustodian audit loophole makes me question this fund even more. What guarantees do we have that they have not leased the gold from someone else? i.e. HSBC. Are they leasing it to someone else? How many claims are there on the gold aka hypothecation? GLD's structure seems to be deliberately vague and intentionally flawed. GLD's custodian, HSBC, with their long history of fraud certainly do not inspire confidence either.
For anyone interested in GLD but have not heard about CNBC's Bob Pisani's visit to GLD's #gold vault, I recommend checking it out. His visit is documented in a segment called Gold Rush: The Mother Lode. This entire segment was organized by GLD's management to prove that their gold actually exists but the gold bar held up by Mr. Pisani displayed a serial of ZJ6752. This serial did not show up on the latest bar list during that time. Cheviot Asset Management’s Ned Naylor-Leyland discovered that this "GLD" bar actually belonged to ETF Securities.
Note that even on the subject of GLD's questionable insurance, they are not at all straightforward about it. Their representatives will not confirm nor deny the existence of GLD's insurance. I recommend anyone curious about this to confirm via calling GLD's publicly listed number for general inquiries at (866) 320-4053 and ask about this clause from the GLD prospectus: "The Custodian maintains insurance with regard to its business on such terms and conditions as it considers appropriate which does not cover the full amount of gold held in custody." Exactly how much of the fund is insured? They will not give you a straight answer and might even throw in some bizarre excuse which I've experienced. Why hide this information from investors? The people behind GLD certainly do not seem like the most honest types.
Charts Of The Day – Half Cycle Low Completed
#Gold looks like it could follow silver with breakout tomorrow 2/2 $GLD
Cash Crisis in India Hitting Gold Sales Hard
After Indian Prime Minister Narendra #Modi banned Rs 500 and Rs 1000 notes after Diwali the #gold prices have sky-rocketed in the cash market. Due to government's fear, gold jewelry shops are not selling or buying gold to customers. One of many ways corrupted shop owners would cover the black money is they would show gold reserves being bought or rented to unaccounted owners and convert black money to accounted money. Despite the efforts there are places that help convert unaccounted money with new currency. If one is trying to buy or sell gold one has to be ready to see short term speculation which might drive the price up or down. It will take about 2-3 months for the country to stabilze so would the gold markets.