gold vs USD 2year dec2The technical bears are out in force, making up stories forecasting the death of gold and silver, based on the chart below.
This is a bear’s delight, with a death cross of the two most followed moving averages, and the gold price seemingly sliding into oblivion…

puzzleThere is little doubt that the rapid expansion of both dollar-denominated debt and monetary quantities since the financial crisis will lead us into a currency crisis.
We just don’t know when, and the dollar is not alone…

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Buy Gold Bars at SD Bullion“If The Fed Has to Hike Interest Rates to Control Price Inflation, It’s GAME OVER!”

Alasdair MacLeod Joins Us From London to Warn
“Its Only A Matter of Time”: THIS Is What Will Cause Gold to Move in 2017:

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sd-alasdair-macleod-thumbnailAlasdair MacLeod predicts the correction in the precious metals is OVER.
He sees gold testing its all-time highs in 2017, and silver breaking through into the $30 range.
Where will gold prices ultimately go?
MacLeod Makes The Case for $11,000 Gold:

market-updateGold’s performance sees it hugging the 55-day moving average, which is a support level in the eyes of technical analysts.
While technical traders see this level as support, they are holding back to see which way the trading range will be resolved, with a possibility the gold price might drop to the next support level at the 200-day moving average.
The bullion banks who are still very short on Comex will almost certainly encourage the view that gold will move down to that level…

fall-colors-road-blue-ridge-parkwayPundits with little else to say tell us that September is traditionally a good month for gold.
Nice to hear, but as they say, past performance is no guide for the future. But with August’s dog days behind us and the holiday season as well, investors are likely to give market valuations more attention. The rally in precious metal prices this week was entirely logical, as was some profit-taking in the second half…

smash-downThere was another interesting development last night. An exceptionally high 20,966 Comex December contracts were exchanged for physical (EFP). EFP transactions happen all the time, but this was a JUMBO deal. We don’t know the reason, which is most probably technical, but it could be linked to the sale of 10,000 contracts the day before.  Most exchanges would automatically initiate an inquiry to ensure that there is no market rigging involved in a $2.8bn deal.  Dream on…

fedIt’s easy to criticize the Fed for its failures, because its successes have been only one in number: kicking the can down the road.
But we should spare a thought for the difficulties policy-makers now face.   

So what would you do if you were on the Open Markets Committee?

RothschildThere are solid buyers on the dips who are not behaving like flighty hedge fund managers. Conventional investors are gradually coming round to the idea that gold should be included in their portfolios. This week, Lord Rothschild, chairman of Rothschild Investment Trust, revealed that the fund had established an exposure to gold of 8% of the fund by the end of June.
He is not alone…