yellen

Wealth in the stock market that is “here to stay”, is generated by buying business cycle troughs, not peaks.
While most bank economists and gold community analysts predicted a Fed taper would crush the price of gold, I suggested it would cause gold to rally, and turn the Dow into a wet noodle, and that’s exactly what has transpired.
Here’s what will happen next: 

Pisani gold gld

Another 9 tonnes of gold was removed from the GLD trust yesterday.  This takes the “reported” amount down to 751 tonnes.
The last time the reported amount of gold in the trust was at this level was November 18, 2008.
The price of gold was $738.

asian gold demand

China is still in a holding pattern ready to pounce when needed.
The open interest on silver is  still highly elevated.  Gold has a low OI with a low gold price.  Silver has a high OI with a low silver price.  Something has got to give!!
Let’s head immediately to see the major data points for today…

US gold

Ever since the world suffered a near collapse of its economic and financial system in 2008, investors around the globe have purchased physical gold in increasing volume.  However, if you lived in the United States… the opposite is the case.
Not only did Americans purchase less gold, they ranked DEAD LAST on the planet.

gold standard

Our financial system has suffered an escalating series of crises. Each crisis has grown out of the fix applied to the previous one.
The crisis of 2008 was different.  No matter what the Fed has attempted, they have not been able to create even the temporary appearance of recovery (other than in asset prices).   It’s not merely that growth will be slow, or slower than it should be in some theoretical ideal economic world.

There will be no recovery while our monetary cancer rages, unchecked.
We must rediscover the gold standard, which is the only cure.

tfmetalslog

In the second part of this excellent interview with Finance & Liberty, TFMetalsReport’s Craig Hemke discusses:

  • Gold, silver, platinum, palladium: What are the best precious metals to invest in? 
  • Coins, rounds, or bars: Are government minted silver coins better than silver rounds?
  • Shortage- what shortage? When is a silver shortage going to hit? 
  • How do we predict the timing of an economic collapse?
  • Will gold or silver protect you in a coming hyper-inflationary currency collapse? 

Craig Hemke’s full interview is below: 

crash

Since WW2 economic theorists have posited that demand in the economy could be stimulated by a combination of deficit spending by the government and by suppressing interest rates.
The separation of demand from production was promoted by Keynes and interest rate management of the economy by monetarists, though there is considerable overlap between the two. Yet no progress in economic management has been achieved: instead we appear to be on the brink of a major economic dislocation.
Far from banishing the business cycle, it has become worse. To understand why it’s worth looking at the reason the concept is failing.

dollar reserves

Even the European Central Bank has started discussions on the possibility of including the renminbi as one of its reserve currencies.
On Tuesday the UK also became the first country besides China to issue a sovereign bond in renminbi.
This coincided with the issuing of 180 million renminbi of corporate bonds by China’s ICBC in South Korea.  Another first.  
It’s very clear where the trend is going. All these news items are pieces of the same puzzle.
The US dollar’s throne is shaking as it’s losing its importance and status as the preeminent currency in the world. Renminbi is on the way up.
The whole existing order of a single ruling currency is currently being challenged.
A new financial era is coming.

ebola

A top Ebola scientist that is working in the heart of the outbreak in Liberia says that this version of Ebola looks like it could be “a very different bug” from past versions.
If what you will read about below is true, we could be dealing with some sort of “super Ebola” that nobody has ever seen before.

sprott

As part of our weekly webinar series, it was a distinct pleasure and honor to welcome Eric Sprott.
In this wide-ranging, 47-minute discussion, Eric offers his comments and analysis on:

  • Chinese gold demand and the continuing drawdown of the GLD.
  • Market conditions needed to facilitate an expansion of the PHYS and/or PSLV.
  • The mining stocks. Eric also offers his key metrics for evaluating miners that can make it through this current downturn.
  • What mistakes we’ve made over the past three years and how to prepare for the future.
  • The ongoing deviation of the gold: silver from historical norms.

Full MUST LISTEN interview with Eric Sprott is below: