Commentary Analysis

  • Does the Fed Secretly Want Higher Gold Prices?

    February 02 2011 1:42 PM

    Some believe the Fed would like nothing else but to inflate away our debt. Why? If today's debt, in dollars, can be paid back with future dollars worth less, inflation has then, effectively, discounted the debt. For individuals, a good example is your mortgage. 

  • When and How Gold Will Begin its Bubble

    February 01 2011 12:20 PM

    The bull market in Gold is in its 12th year (globally it began in 1999) but has yet to exhibit any bubble-like conditions. Institutional accumulation began in 2009 (e.g. Paulson, Einhorn) and we know that phase lasts at least a few years before a bull market gives birth to a bubble.

  • When Gold Bullion FailsWhen Gold Bullion Fails

    February 01 2011 10:41 AM

    Whatever your finance advisor, economics professor, banker or coin dealer might tell you, no single asset class - bought today - can promise to hold or grow its value, year after year, until precisely the day when you need to sell it and spend.

  • Cairo - Another Excuse to Buy Gold

    January 28 2011 12:14 PM

    How anxious must gold advocates have been, to buy more gold on news of political unrest in Egypt?  Oil I can understand, but gold, silver, platinum and palladium have all followed gold higher as well. It's obvious large buyers have made moves to take advantage of lower gold prices.

  • Silver: The Big Investment of this Decade?

    January 27 2011 9:30 AM

    “I think silver is going to be the big investment of this decade,” said Eric Sprott of Sprott Asset Management Inc., speaking at the Vancouver Resource Investment Conference. Sprott also said he believes certain financial entities are controlling the price of silver, referencing recent lawsuits against J.P. Morgan Chase & Co. and HSBC.

  • Marshall Auerback: Fiscal Policy Setting Stage for a New Bubble

    January 26 2011 4:35 PM

    Marshall Auerback of Pinetree Capital believes that deficit spending is not bound by anything other than inflation. His long-term outlook for precious metals remains rosy given that casino capitalism is setting the stage for a new global bubble.

  • Lear Capital: Budget Goals Could Seal Deal for Higher Gold Prices

    January 26 2011 11:49 AM

    At the end of fiscal year 2008, our reported federal debt was $10.12 trillion.  At the end of fiscal year 2010 that number ballooned to $13.61 trillion accounting for annual budget deficits in the vicinity of $1.7 trillion per year in 2009 and in 2010.  For 2011, another $1.26 trillion (lo...

  • Stagflation in UK a Real Risk to US and Western Economies

    January 26 2011 8:16 AM

    What were termed shock UK GDP figures yesterday, led to falls in the FTSE and the pound sterling which fell against the dollar and gold. Sterling's fall saw sterling gold prices rise from £833 per ounce to over £842 per ounce after the news.

  • Why Rising Rates Are Super Bullish for Gold and Silver

    January 25 2011 7:15 PM

    The gold naysayers are using rising rates as a way to dismiss gold. Let me explain why this belief is not only false but also utterly dangerous. First and foremost, the parameters have changed in just a few short years. Government debt has increased substantially in the last few years.

  • Gold and Silver Technicals: Wait and buy gold at $1,300, bears say showing charts

    January 25 2011 4:42 PM

    Precious metals dropped to fresh multi-week lows on Tuesday helped by a view that rising overall investor confidence will cut safe-haven demand for the commodities while chartists turned history pages and 'decided to wait' for an additional discount of $30 for an ounce of gold, which is already $100 down from its peak seen less than two months ago.

  • PRECIOUS - Gold hits 3-mo low, silver 14 pct down in Jan; charts suggest more losses

    January 25 2011 3:21 PM

    Precious metals fell on Tuesday as a slew of data suggested better global economic environment, reducing investors' need to lock in their money in safer but less profitable avenues like metals while technical analysts see further room southward for the commodities.

  • Spec Money Exits Gold & Silver but Remains Heavily Long Other Markets

    January 24 2011 8:17 PM

    Lately, we've noted the improving sentiment picture for Gold. As a market weakens, sentiment will naturally become less bullish. In this case, sentiment has weakened considerably yet Gold is only 6% off its high. Most interesting in particular is the divergence between the COT data for Gold and Silver and the rest of the commodities.

  • Gold and silver technicals: Good entry points at 150, 100 SMAs?

    January 24 2011 12:22 PM

    The yellow and white precious metals have pared most of Monday's Asian gains in North American trading but the metals see strong supports at current levels as the sharp correction in recent days have already brought them to technically justified points of entry.

  • Gold bought as price lured, to fight inflation; global cues supportive too

    January 24 2011 8:35 AM

    Gold prices rose from 2-month lows on Monday on value buying while the status of a 'reliable inflation-hedge' continued to help the yellow metal. Hopes of better economic data and expectations that President Obama may announce measures this week to strengthen stimulus programs also aided the risk-friendliness of global investors pushing up Treasury yields and helping many major equity markets firm up, traders said.

  • Unbacked Money, 40 Years On

    January 22 2011 1:20 PM

    2011 will mark 40 years since the United States' government finally stopped redeeming its dollars for gold. That ended over 250 years of formal gold backing for the West's dominant currencies. It also took the entire world off precious-metal money for the first time in 5,000 years of civilization.

  • Is the US on Its Debt Bed? Is Gold the Cure?

    January 21 2011 10:37 AM

    I think we all have to resign ourselves to the fact that really high inflation is coming and there is no way to stop it. If debt gets so great we have to default, the dollar crashes as investors lose faith in dollar assets. If we keep printing money for stimulus and to pay debt, the dollar crashes anyway.

  • Is the U.S. on Its Debt Bed? Is Gold the Cure?

    January 20 2011 4:43 PM

    I think we all have to resign ourselves to the fact that really high inflation is coming and there is no way to stop it. If debt gets so great we have to default, the dollar crashes as investors lose faith in dollar assets. If we keep printing money for stimulus and to pay debt, the dollar crashes anyway.

  • Lear Capital: Gold and the Bailout that Could Have Worked

    January 18 2011 12:09 PM

    It seems like a lifetime ago, (in debt years it adds up to about 10) when we got our first stimulus checks.  Remember?  Based on your 2007 return, some 130 million people either got $300 or $600 as individuals or $600 to $1200 for married couples.  That provided about as much fuel for...

  • Daily Gold and Silver Report - Gentlemen, Start Your...Houses!

    January 18 2011 11:43 AM

    The huge decline in jewellery fabrication demand (behold demand destruction in earnest) during the last 5 years, makes it a must for investment-related demand to not only continue but to rise beyond its recent, breathless pace, just to keep prices at present levels.

  • Gold Stocks: Stick with Juniors and Avoid Large Caps

    January 18 2011 9:12 AM

    In covering the gold sector, I have noticed something lately. The large-caps really suck! Ok, that is harsh but it is the truth. The chart below shows the large-cap indices. What do you see? The Dow Jones Precious Metals Index hasn't gone anywhere for five years, while Gold has more than doubled.