thotdoc

Gold Is Rallying: Now Where Do We Keep It?

Imagine being so arrogant that you would tell a customer to move their metal, or we'll deliver it to your house.

In my business I come in early and stay late to do what customers need.Oh, I forgot. If I don't have customers I go out of business.

Notwithstanding headlines about the dollar's plunge, Paul Krugman notes it's still stronger than early 2008, and says the fall since the safe-haven peak "has been trivial compared with the huge decline from 2002-2007." By peddling scare stories, the media's "diverting attention from the real threat: mass unemployment," he says.

We know more about bubbles now, than in 2002.

Goldman lifts Nasdaq (NDAQ +3.6%) to Buy, saying the pressure from declining market share seems to be fading. "Even if share does move away from the exchange, each 1% decline in market share in U.S. equities amounts to only about $0.015 in annual earnings," firm says, adding NDAQ could realize added revenue of $10M/quarter from its new British wholesale power exchange.

I read that Dimon is to be considered as the next Fed Chairman.

Do you understand how powerless you really are?

Weak Weekly Market Wrap-Up: Primed for a Correction

He was rational and covered both sides. What's to comment?

Rapid Transition to Grid Enabled Vehicles Not Possible or Desirable

I regret that I have only one thumbs up to give you.

WTF is up with the US not becoming more reliant on Natural Gas?


On Nov 20 05:37 AM John Petersen wrote:

> I never forget the monetary and emotional costs of the foreign entanglements
> and conflicts required to keep supply lines open and agree that reducing
> oil dependence is a top priority. But we can accomplish far more
> with far less money by encouraging natural gas vehicles and pure
> hybrids than we'll ever accomplish by creating a white elephant infrastructure
> for a technology that trades power-plant pollution for tail pipe
> pollution. Read the roadmap. Then read my articles on how GEVs will
> sabotage the drive for energy independence and will be plugging into
> a lump of coal. Sometimes the solutions that seem perfect in the
> talking lose their luster when you start cranking the numbers.

Market Volume: Still an Unanswered Question

So, did you go to jail for manipulating SIRI?


On Nov 20 08:00 PM j-dub wrote:

> "Were it not for rising market values, the current government policies
> designed to rescue the US (and global) economy would be brought into
> doubt."
>
> If the current administration has "the most" to lose by a dow near
> 7,000, then by that measure, they surely would have the most to gain
> from a dow above 10,000. So if you believe that this is a zirp, government
> engineered rally, then what we have is a bear market rally. You
> can't put a gun to my head and tell me to hire someone, so it's easier
> to print money to manipulate the market.
> Hell, I was 27 years old and was able to successfully manipulate
> a few stocks like SIRI or TRAD with a couple of million dollars.
> If I had a couple of hundred billion at the time.....................
>
> There are 2 sections of society the press loves to discuss:
> 1) Wall Street
> 2) Main Street(everyone else)
> If Main Street(everyone else) is actually getting worse, then the
> fundamentals that drive sustainable growth are getting worse. Unless
> you are part of fthe Wall Street Ivory tower folk who all of a sudden
> are pretending Main Street(everyone else) doesn't matter anymore.
> So if fundamentals are getting worse(sicker), how is Wall Street
> getting healthier? Trillions in handouts, mass layoffs("increased
> productivity" you've been hearing about) all supported by the PPT
> who is gunning the futures higher. All of this general misallocation
> of finite(yes, we can't print dollars forever(sorry Big B)) capital
> to the banks' coffers takes away from the capital that can be utilized
> by the "everyone else" crowd.
> So Wall Street is getting healthier while Main Street stays in the
> ICU.
>
>
> A large part of the BIG LIE is trying to pretend that the above is
> not taking place.
> That because GS is handing out billions in bonuses, things are getting
> better. The problem with the BIG LIE is that the everyone else crowd
> has eyes and ears and can see what is really going on no matter how
> the current administration tries to divert our attention with the
> 911 trials in NYC or the insistence of immediate and colossal health
> care legislation.
>
> The government will spend our grandkids money, say that their saving
> us from disaster, and tell us us that our economy is recovering because
> of stabilizing spending. The other part of the BIG LIE.
> All makes sense to me. Right? No one that has any sense believes
> the BIG LIE. So there is no volume because there is no confidence
> in sky high PE levels and government's sugar coated stats.
> So to answer your unanswered question, Mr. Catalano, there is no
> volume because no one on Main Street believes anyone on Wall Street
> anymore. Let the two or three computers trade back and forth with
> each other until one quant accidentally hits the wrong key and the
> DOW crashes
> Oh....................... and this mistrust I've been talking about:
>
> it's a generational thing.

A Worm in the Apple?

If AAPL goes down, it will not be because of the cver story. It will be because Chrome based phones steal it's thunder and because the 'tablet' bombed.

If iPhone continues to romp and the tablet is all it could be and people love it, look out above.


On Nov 20 05:00 PM Techtrader10 wrote:

> While I have never used the Bollinger Band theory, I do understand
> what the author is saying about the magazine cover. Its the kiss
> of death for a stock. For those of you who are not supersticious,
> there is no need to worry. For those of us that have seen it happen
> too many times in the past the cover and story comes at a time when
> the stock has hit a new high on less than exciting news and a less
> than exciting economy. Apples computer sales are soft, the iPod
> has no exciting new models, and the iPhone seems to have a new competitor
> coming on the market every week. Verizon has also been doing a very
> good job of showing people why they should be using a smart phone
> on their system and not ATT (the carrier for the iPhone). So no
> one compelling reason to say Apple has topped out, but many small
> reasons to make the case. As we all know stock price is a function
> of anticipation. Look at the stock market since March, stocks have
> priced in an economic recovery which has yet to show it self. While
> I currently have no position in Apple, long or short, I suggest people
> still long the stock do as the author of this article suggests, look
> into ways to protect your positions in the stock.

The Fed Backed Itself into a Corner

Wall Street is self defeating. It is only interested in making more money for itself. The Fed supports that approach. The Fed lives within the boundaries of the Wall Street system, so it can only define problems and how to resolve problems from within that system.

Being only interested in making money for itself will eventually create the situation where you do not attend to all the relevant contingencies, everyone else involved in the money system. That will create the situation where Wall Street loses money. We have neen in that part of the process since early 2000 or the late 90's when the bubble making began and took over Wall Street.

More concretely, unbridled self interest creates problems, and we are in the beginning of the problems. That's not a moral statement. It is a statement based on the application of the science defined by General Systems Theory. General Systems Theory is the well accepted describer of the dybamics and components of all simple and complex systems. Try to run a complex system without understanding how systems work and applying that information to the system you are running, will cause problems.

The Fed and Wall Street are supposed to be the best and the brightest. They believe they are entitled because of that. That means they will defeat themselves and main street in the long run. Te long run may take years or decades, but absent change the outcome is predictable.

If the powers that run Wall Street were the slightest bit bright, instead of defining themselves as bright because they understand how to manipulate the system, they would understand the nature of things...that is everything within a system is interconnected and that any behavior that overly favors one part of what is interconnected will eventually create chaos and change that rebalances the system of interconnected parts.

Do you remember Bush's incredibly naive statement when referring to the banks and the monetary system? He said with wonderment, "Who would have thought they were all connected." That lesson is having a leader that does not understand connectedness will create a problem.

So, any behavior that is not in the interests of everyone involved will set up repercussions that will eventually cause that behavior to be self defeating.

So, any behavior that does not take into account all relevant contingencies will be self defeating.

The Fed does NOT take into account all relevant contingencies. But, there is a bigger problem. Congress running the Fed. Congress absolutely does not take into account al relevant contingencies. Congress is hog tied by people who areonly interested in their constituents, who are not interested in doing what is best for everyone.

So, what will happen? Our system will continue to flounder. Base your investment decisions on that.

Faber: Gold a Better Buy than at $300/oz.

What does Gold being up today while GDX, ABX and other Gold ETFs down tell us?

The gold rush has resulted in a lot of buying into (and cashing out of) gold ETF shares by owners who might get a rude awakening come tax time: The IRS treats gold and silver (even in ETFs) as collectibles, like baseball cards, and so they don't qualify for the 15% maximum long-term tax rate, but instead 28%.

I am long gold PMs and gold etfs..and today gold was up and gold etf's and shares down. So much for holding etfs as gold equivalent..


On Nov 18 06:33 PM ETFdesk.com wrote:

> so get long GDX instead : www.etfdesk.com/fundDe...

Stocks trading in a negative range today, weighed down by technology, are dipping again. At midday, the Dow -0.6% to 10,377; S&P 500 -0.5% to 1,105; Nasdaq -0.9% to 2,184. Crude +0.6%. Natural gas -5.2%. Gold +0.5%.

Today shows the difference between gold and gold stocks. Gold is up and all gold stocks are down.

Is This the Beginning of a New Secular Bull Market?

The author of the article is investing others' money. That is a crime. What about "Our recent past successes were ALL based on bubbles" does he not understand?His thinking, based in the past, reminds me of my old broker, who lost 50% of my retirement money before I took over.

We are in the position Great Britain was in when they lost power and unless we develop a new industrial base, we will continue to follow them.

Is Japan the Catalyst for a Stronger Dollar?

If the yen implodes and people move their assets to the American $, they will deserve what they get.

If the yen implodes, the euro and gold will skyrocket and the $ will go down the tubes.

Chance of a Depression Now 5 Percent

IMHO, the chance that we will have a depression is significantly greater than 5%.

In my profession, I have to determine who is psychologically suitable to have peace officer powers. Much of my life has gone to understanding and researching the cause and effect of self defeating behavior, because self defeating behavior that continues and continues ALWAYS ends in disaster, and in that venue, the loss of peace officer powers.

We are stuck with what our politicians do and think is the right thing. All politicians.

The self defeating behavior that effects our politicians is that: 1) Many are ideologues with little practical long term understanding of their short sighted thinking, and 2) they believe we can't just take the hit, pick ourselves off the mat and start over.

Because we allow our politicians to set the course of our lives, we will pay the price. I fear that price will be a depression with all that comes along with it.

What is the chance (%) that a sale of Treasury bonds will not be fully subscribed to, or that the Fed will have to up the % of buying to the point that everyone gets it?

What is the chance (%) that the $ falls way below $1.50 e? That will add to the probability of the above.

What is the chance (%) that countries would rather hold gold, or euro's rather than $s?

What is the chance (%) that the market will tank early next year? Then we will have printing like mad, housing down, market down, and...

Actually I can add other scenarios, so can you.

In all my life, when ever I have screwed up at the magnitude that we as a nation has screwed up, the roof has caved in. Call to your mind anyone who has ever screwed up at the level we've screwed up and gotten away with it forever.


On Nov 17 07:34 PM jessducky wrote:

> Another brilliant Seeking Alpha article..and this one got to be an
> Editor's Pick. So his confidence that the govt knew everything that
> had to be done to avoid a depression led him to estimate the chance
> of a depression at 0% Now the gov't did all those things, and lo
> and behold, the govt got it all wrong and now he raises his probability
> to a whopping 5%, which is still almost no chance at all. Thats
> going out on a limb for you. This article expresses nothing but
> the author's own confused thinking and writing. Wouldnt get a D
> in college essay writing. I long for the old days when you had to
> demonstrate expertise and competence before they let you publish
> stuff that a lot of people would read.

Sources say Trinity Funding, a unit of GE (GE), and a former subsidiary of Belgian bank Dexia were the two unnamed companies that allegedly conspired with a financial adviser charged by the U.S. with rigging muni bond auctions. Former bankers with JPMorgan (JPM), Bear Stearns and Goldman Sachs (GS) Group have been notified that they may face prosecution in the case.

Yes, banksters are the best and the brightest.