petersl

Sold Gold

Very short-term advice from the writer. Traders are welcome to participate in that strategy, but I prefer to take the longer view. Once you trade out of a position, the hardest part comes next, when do you get back in? Most market moves of any significance happen very quickly.

Chinese Investors Encouraged to Buy Silver

The silver/gold ratio is clearly out of sync at present. Silver bullion is a smart play right now. Coins have a significant premium which argues for metal bars IMHO.

Gold and Silver Remain Static

We are in a cyclical bull market within a secular bear market. The ultimate bear trap is being set and many of those that believe the claptrap on CNBC's permabull programs are going to be most unhappy when the reversal comes. Add to this the fact that over 70% of the inflated volume of trades on the stock exchanges are attributable to front running hyperfast computer generated trades premised on 1/4¢ per share kickbacks that bear little or no connection to reality, will be placed under much greater scrutiny or prohibited all together, and you have a recipe for disaster.

No Summer Doldrums for Gold Prices

This article and the comment by cameroni sums up the current consensus opinion among those who follow precious metals and are by nature bullish on gold prices. The question, as generally is the case, is one of timing. I believe that purchasing gold related assets (and silver as well) on any price retreats during the summer months, will be rewarded appropriately as the government stimulus efforts are highly inflationary. The only question appears to be when will this inflation show up.

The Dollar's Tipping Point

The problematical T note auction of last week may be an early harbinger of the Fed's problems in selling new paper to the public. The second auction that followed was more successful,so the jury is still out. This is where the rubber meets the road, if the Fed has problems convincing the public to buy bonds (including the Chinese, Asia in general, and investors worldwide), then, the thrust of the author's article is well aimed. If not, then, we will "muddle through" but inflation is the long term trend, so gold and silver stocks and metal are a relatively safe bet. It will be very interesting to see what happens in May, this year.

No Silver Lining for Precious Metal Bugs

The rant of a "dollar bug." Richard Russell has coined this new phrase as a counter to the derogatory term, "gold bug," employed by those who want the illusion of a strong dollar to serve as an opiate to what they consider to be the rubes of this world. The label "dollar bug" fits Mr. Dividend to a "T." Which by the way, is the metric (read trillions of dollars) by which the U.S. Treasury, the Fed and the FDIC are employing to "defend" the U.S. economy from a major recession. These governmental entities are currently involved in the fire hose spraying of taxpayer dollars and credits lavished on such great investments as AIG, Fanny Mae, Freddy Mac, Citi, and others. Mr. Dividend enjoy the fool's paradise that you have so inartfully described.

Gold's Divergence Between the Paper and Physical Markets

The prognostication that gold prices will descend as rapidly and as drastically as Kevin Depew predicts, is a possibility, no doubt. Whether it is a probability is open to severe question. If there is deflation in the wind, the response of central banks and governments who control currency policy for their respective polities, is to inflate or die. Weimar is too distant and too German a phenomenon to bother the priests in the temple, to do otherwise. This being the case, which I feel it is, precious metals are a good refuge. 5% in the metal in one's portfolio is a good place to begin. We are being handed a great opportunity to purchase some gold and silver at what will appear in the future to be bargain basement rates. I think that the downdraft in the prices, however, is still underway, so choosing an entry point will not be without its risks.