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16 Jul

Buy the Rumor, Sell the News

An old market adage advises to “buy the rumor, sell the news.” In application, it suggests that you can buy stock XYZ when the market assumes that something important – a takeover, an acquisition, a major breakthrough – is imminent, but then to sell quickly when the actual news hits. There is a justifiable cynicism […]

11 Jul
dollar and gold correlation

3 Reasons for Gold to Go Up

There are a lot of reasons that real money – gold – outperforms irredeemable money created out of thin air. But for today, here are three news stories that spell higher gold prices in the immediate future. Reason Number One:  The US government, hopelessly in debt, is recklessly piling up more debt by the hour. […]

09 Jul
Deutsche Bank Failing

Is Deutsche Bank the Key Log?

It’s hard to know what will prove to be the key log in the log jam. That’s the log that, once moved, sets the whole destructive torrent of all the other logs loose to destroy everything downstream in their path. It could be Germany’s Deutsche Bank. In the Panic of 2008, Bear Stearns went first.  […]

07 Jul
Global gold prices

Higher Gold Price Targets: To the Moon!

Financial analysts around the world are racing to revise their gold price targets higher… Way higher.  Many are recommending allocating more of their portfolios to precious metals. Maybe they are starting to take notice of some troubling fiscal and monetary developments.  June’s gold breakout, taking it to over $1,442 was like a wake-up call for […]

03 Jul
100 trillion Zimbabwean Dollars

They Never Learn!

What a tragedy Zimbabwe has been.  And a monetary laughingstock for the ages.   Now Zimbabwe wants to do it all over again. Like so many of the African countries that fell under the control of native Marxists-Leninists and other indistinguishable leftist totalitarians in the post-colonial period –  Nyerere, Mobuto, Kaunda, Lumumba – it was […]

02 Jul

Two Thoughts for the Second Half of 2019

Thought One:  We added a short postscript to our 4/22/19 post “Temperature Rising in the Persian Gulf” that read: “NOTE:  So far this year, any pullback of gold below $1,300 has been a favorable opportunity to add to your holdings.”   It’s always risky to make a call like that because we don’t want anyone […]

30 Jun

What Money Meant to America’s Founding Fathers

Hint: They didn’t have staggering debt and bottomless printable currency in mind. As we celebrate America this week, our independence and the birth of our Republic remember that the founders specifically wrote into the Constitution itself a gold and silver based monetary system for the new nation. First of all, they gave Congress the power […]

28 Jun

The Way the World Works

Something about the way the world works seems to have been forgotten in America.   Here it is: This is a world in which people’s wants are virtually limitless.  Resources, on the other hand, the means of fulfilling those wants, are strictly limited. Economics is about meeting unlimited wants with limited means.  It is about […]

26 Jun

Gold Breaks Out Big Ahead of G20 Summit

Get Ready for the Global Currency War! Bloomberg writes this about gold: “Futures post the highest close in six years; funds pile in.” With gold hitting six-year highs, major institutional financial analysts around the world have been busy revising upwards their precious metals price targets. Here’s a sampling of comments and observations about the precious […]

23 Jun

To Make Money… Buy Silver!

With gold closing over $1,400 an ounce and silver easily breaking through $15.00 an ounce, the world is discovering that there are a lot of important reasons to own gold and silver. Reasons like government debt and money printing.  Wealth preservation.   Financial privacy. Or just to make money! Today’s message is for those of […]

20 Jun

Gold Takes Off! New Silver Strength!

Gold raced to six-year highs on Thursday (6/20), closing at $1,397.10.  That’s a powerful one day move of $48 on news of Iran taking out a US military drone and the expectation of forthcoming US countermeasures. The headline that best captured to action was from Bloomberg News:  Gold Achieves Liftoff as Prices Rocket Toward $1,400! […]

18 Jun

What’s Going on with Gold?

Gold’s close at $1350 on Tuesday, 6/18 was the highest close in over a year.  Last week gold reached an intraday high of $1362. With that, gold is more than $50 an ounce over its 50-day moving average; it is more than $80 an ounce over its 200-day m0ving average. So, what exactly is going […]

13 Jun

Gold: The Best Trade Going

(And a note about the Persian Gulf incidents) From Bloomberg: Paul Tudor Jones, the Tudor Investment Corporation founder, believes that gold is the best trade and is going to “scream” over the next year to two years. Jones is a leading hedge fund manager of long-standing.  His philanthropic activities are many.  He first became prominent […]

11 Jun
Bull vs Bear Market Gold

Ron Paul Announces the New Gold Bull Market

“I think we’re in the middle of a bull market in gold.” That’s the observation of Dr. Ron Paul.   The former congressman and presidential candidate was commenting on the dramatic surge in gold prices.  Even with a correction this week, gold is up more than $60 an ounce since its late May low just […]

08 Jun

Good Old-Fashioned Profits

Why do people buy gold? People certainly buy gold for a lot of (good) different reasons. Some people buy gold for long-term capital preservation.   If your grandparents or great grandparents had left you a pile of $20 gold coins, you’d be a lot better off than if they had left you a wad of […]

06 Jun

When the Socialists Come for Your Wealth

I have coined a term for it:  the socialist juggernaut.   Socialism is when the government enables other people to live at your expense.   A juggernaut is a large, merciless, and unstoppable destructive force. And that is what is loose in America.  A socialist juggernaut. You work.  You save.  And then politicians looking for […]

04 Jun

The Cruelest Month

April, says the famous poem The Waste Land, is the cruelest month.  But May was pretty tough on the top-heavy stock market, as we had warned.  (See here, here, and here.) The Month of May was cruel to investors. Both the Dow Industrials and the S&P 5oo lost six percent in May.  The Nasdaq fell […]

31 May

Gold to Silver Ratio: A Second Chance

Today we have a rare and potentially extremely profitable opportunity for our friends and clients.   The Gold-Silver has recently reached levels that have not been seen in more than 25 years! The ratio is simply the gold price divided by the silver price.  It tells you how many ounces of silver you can buy […]

30 May

The Swiss Like Their Gold!

Switzerland has a long, long history of taking issues of money, wealth, banking and financial propriety very seriously.   These are some of the reason that Switzerland has long been a prosperous island of stability surrounded by centuries of chaos and ruinous inflation, currency failure, and bankruptcy in neighboring countries like Germany, France, and Italy. […]

29 May
rising interest rates

Interest Rates: The Sign of the Times!

We would like you, and all our friends and clients, to take a good look at the accompanying chart.  It will help you read the signs of the times. It is an eye-opening portrayal of this stage in the everything bubble!  As you can see from the movement up by the S&P500 since last Christmas, […]

24 May

Gold Wins in a Currency War

There are two takeaways from today’s’ commentary.  Let me share them with your right up front: Takeaway #1: President Trump wants to have a currency war with China, and ultimately with the rest of the world. Takeaway #2: The big winner in currency wars is gold. In addition to continual calls from the administration for all the […]

22 May

Own Gold Before You Are Locked out of Your Bank!

De-Risking! We’ve all heard of bloggers and writers – mostly conservatives, but not all – that have been de-platformed by social media.  These are people that have said something that the social media giants like Facebook and Twitter have found unacceptable, and who have therefore been banned and lost their access to their audiences. But […]

21 May

They Never Announce the Bubble

There is an old expression in the stock market that they never ring a bell at the top.  It’s true.   They shouldn’t need to ring a bell.  This expansion is already long-in-the-tooth, almost ten years old.  In a few weeks it will be the longest on record.  Ever.  And one of the weakest, too. […]

19 May

The Casino Economy

Avoid the casino economy! The stock market looks more like a casino every day.  And you know that casino odds are never in your favor. Casino?  Consider David Stockman’s observation that “between the September 21 intra-day high of 2,941 and the 2,351 close on Christmas Eve, the S&P 500 index dropped by a stomach-churning 25% […]

16 May

More Gold Nuggets of News

Today some key insights and financial news, little noticed and mostly overlooked stories that affect our economy, paper money, and gold; bite-size news that we think our friends and clients should know.   China Cuts US Debt Holdings “China reduced its holdings of U.S. debt in March by about $20.5 billion, bringing its overall ownership […]

15 May

Trump Calls for Currency War with China!

We think this is one of the most important warnings we have posted.  Please read it carefully. We posted an item months ago about the way that tariff wars can deteriorate into currency wars.   A currency war is about to break out.   A currency war occurs when nations deliberately weaken the value of […]

10 May
US-China Trade War

Gold: Safety on the Sidelines of the Trade War

Things to keep in mind while Alien and Predator are locked in mortal trade combat, whipsawing the stock market, and trampling ordinary people underfoot: There is hardly a sector of the market or an area that won’t be affected.  American farmers are already being slammed.  To cite but one example, Farmers for Free Trade reports […]

10 May

Another Bubble!

Market Sell-Off Continues It was just days ago that we warned the stock market was hanging by a thread.   Now we have seen just how thin that thread was.   The one-day 473 point drop in the Dow earlier this week is nothing to sneeze at.  As of this morning, its getting hammered again- […]

07 May
eventually that will fail

Is Today’s Venezuela the Future of America?

Charlie Munger knows what’s going on, and he has some warnings about printing more money. “Both parties have learned they can print all the money they want.” We couldn’t have said it better ourselves.   In fact, we have said it.  Over and over again. But this time it’s not us.  This time it’s Charlie […]

05 May
whats-that-sound

What’s That Sound?

Have you noticed that practically nobody in Washington talks about the national debt anymore? Not so long ago there were committees of concern about the national debt, national debt commissions, people signing petitions, and coalitions in Congress to rein in the debt. But now, at $22 trillion dollars of debt and climbing, there is none […]

02 May
tech stocks down

Two Things that Investors Should Know

First Thing You Should Know: How do you think President Trump would like to have a full Monty recession underway around while he’s campaigning for reelection in 2020? Not much! He says the Fed is holding back the economy.  That’s why he’s calling for the Fed to lower interest rates a full-percentage point and to […]

01 May
stock-market-hanging-by-a-thread

The Stock Market is Hanging by a Thread

Things haven’t been sound on the money front for a long time, and certainly not since the Fed was created and we left the gold standard. We developed quite a reputation for out timely warnings about the stock market last year (see here, here, and here.) What took place in stocks late in the year […]

28 Apr

MMT and Helicopter Money

You can’t believe how crazy things are in Washington. Thing haven’t been sound on the money front for a long time.  Certainly not since the Fed was created and we left the gold standard. But thing have gotten crazier than ever.  Now people in Washington and their academic minions are working on hyper-inflationary schemes you […]

15 Apr
the fed bubble

The Fed Bubble

Recessions, depression, and destroying 96 percent of the dollar’s purchasing power. Yes, the Fed’s track record is pretty bad. But the Federal Reserve is good at one thing:  Creating bubbles.  Like the dot com bubble and the housing bubble. And now the Fed’s massive money printing, pumping trillions to Wall Street, has created the biggest […]

12 Apr
helicopter money

Helicopter Money

Dropping Soon from a Sky Near You? We know what the Fed will do.   We just know don’t know exactly when and by what means. The Federal Reserve will inflate.  It will print money.  It will debauch the currency.   It will do what it has always done.  That is the source of its […]

07 Apr

Your Share of the National Debt

It’s the Titanic and the Iceberg- Full Speed Ahead. Icebergs aren’t the only things that are 90 percent underwater. So is the US national debt. The visible national debt is more than $22 trillion.  That’s the part that everybody knows about.  If you ask Google, it says $22 trillion.  If you walk by the US […]

31 Mar

How to Acquire More Gold with Ratio Trading

Put the Gold to Silver Ratio to Work If you will spend a minute or so on the following story problem, I will share with you a secret that professional traders, dealers, and investors use to grow their precious metals holdings. 1- Bill has 10 ounces of gold. 2- He agrees to trade it for […]

26 Mar
$10,000

$10,000 Gold?

When the US Defaults… Well. The conversation is certainly changing.   Not so long ago the suggestion that the US might default on its debt was considered slightly reprehensible in mainstream circles. But we noticed an article on Fox Business News the other day from the principal of a Dallas investment firm asking just how […]

24 Mar
The Doom Loop

The Doom Loop

Washington has us in the “Doom Loop” Call it what you like.  A vicious circle.  A downward spiral.  The point of no return.   I prefer to call it The Doom Loop. Here’s an example.  Suppose your business has to borrow a dollar to make 90 cents.  You’re headed for big trouble. Here’s a better […]

22 Mar
now is the time to buy gold bars

Mish Calls for Gold Before Dow’s 460 Point Drop

Now is the time to buy gold! One of our favorite market commentators, Michael “Mish” Shedlock from Global Economic Trend Analysis, cut right to the chase this week. “Buy gold,” said Mish.  That was on Wednesday, two days before the Dow’s stunning 460 point drop. Mish was watching anomalies in the interest rate market.  Wall […]

19 Mar
Jamie Dimon

Left Behind

The Decline of the American Middle Class We don’t often find ourselves citing the CEOs of America’s biggest banks.  Between the bankster bailouts and the way the Fed has stovepiped wealth to the canyons of Wall Street, it’s clear that their influence peddling and cronyism has helped them at the expense of the people.  Their […]

15 Mar
Whos buying billions worth of gold

Who’s Buying Billions of Dollars Worth of Gold?

The answer is the central banks of governments around the world.  They are on a gold-buying spree!   And they are using money they used to keep in US dollars.   We think they know something most people don’t know.  In fact, we’ve seen this pattern before.  Let me explain. The World Gold Council reports […]

14 Mar
debt black hole

It’s When…Not If

Why a Crisis in Inevitible Everyone knows – perhaps I should say “every thinking person” since there are some in Washington who don’t actually know and therefore should not be accused of thinking – that the US debt can’t keep growing forever. When the day arrives that it is evident to all that the US […]

06 Mar
dominoes falling

Counterparty Risk

One thing about gold, a defining characteristic that cannot be emphasized enough, is that it does not rely on some one else’s performance or promise. Gold can be physically held in your hands, under your own control. There can be zero separation between yourself and your wealth– no banks to rely on, no brazen boardroom […]

05 Mar
Bryce Harper Tax Benefits

Bryce Harper Escapes Taxifornia

An American Tale Today, with a socialist juggernaut loose on the land, here’s a story that I am afraid will soon become as all-American as baseball itself.   Even casual sport fans by now know that 26-year-old right fielder Bryce Harper just signed a record busting 13-year, $330 million contract with the Philadelphia Phillies. We’ve liked […]

01 Mar
the debt ceiling

Return of the Debt Ceiling

We’re back in the debt ceiling zone again. In February 2018, Congress suspended the US national debt ceiling, the statutory limit on how much money the government is authorized to borrow, until March 1, 2019. It was the tenth time in the last decade the debt ceiling was suspended. At that time the debt ceiling […]

22 Feb
rising interest rates

The Fed and Rates

Fed Chairman Powell Reconsiders Interest Rates “In trying to explain the complexities of interest rates, inflation, money and banking, exchange rates and business cycles to my students, I leave them with this comforting thought: Don’t blame me for all this, blame the government. Without the interference of government, the entire topic would be duck soup.” […]

30 Jan
this times a thousand is a trillion

Fed to Borrow $1 Trillion to Finance Deficit

A Trillion Here, a Trillion There… A Bloomberg story begins with this headline:  U.S. Treasury Set to Borrow $1 Trillion for a Second Year to Finance the Deficit. A trillion here, a trillion there, and pretty soon you’re talking about real money. That phrase, adapted from a quote attributed to the late Illinois Senator Everett Dirksen sometime in the 1960s, […]