Latest Gold & Silver Price News

Keep the Money Game Churning!

Keep the Money Game Churning!

There is money to be made so the game must be played… It’s always “ShowTime” in the financial markets. What is the game plan? Levitate the bond market. See chart below. Keep those interest rates dropping so the bond market continues its 35 year climb. Oops – $7 Trillion in bonds with negative interest rates, at last count, with more from Japan this week. Have we reached a limit? Probably not, but what could go wrong lending money to insolvent governments who guarantee they will return less than they borrowed in 10 years? Currencies must retain some purchasing power. No Argentina or Zimbabwe devaluations will be allowed. When the dollars/euros/yen/pounds […]

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US Dollar Rebound Increases Near-Term Risk

US Dollar Rebound Increases Near-Term Risk

Last week we noted that the odds favored more upside in precious metals before a larger correction would begin. While that view remains on track, we want to note the renewed strength in the US Dollar which could provide immediate resistance to higher levels in Gold and gold stocks. The chart below plots the weekly candles for the US$ index and the net speculative position in the US$ index. The US$ index closed back above its 200-day moving average (97) and remains well above its 400-day (or 80-week moving average). The larger consolidation appears to be an ascending triangle which is a bullish continuation pattern. Upon breakout through 100, the […]

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Future Gold Prices

Future Gold Prices

The internet is filled with predictions for the price of gold, from $500 to $50,000 per ounce. It depends on your world view. If you are a central banker or a powerful financial player which often supplies loyal employees to serve as Secretary of the U.S. Treasury, the low gold numbers look good. Or, if you understand the incredible $200+ Trillion of debt the world has accumulated and realize it can’t be repaid, then gold at $10,000 probably looks inevitable. Crashes occur and sovereign debt markets look like paper bubbles with disastrous potential to send gold much higher. A better approach to estimating future gold prices, in my opinion, is […]

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Silver Buy Signal – 2016

Silver Buy Signal – 2016

The gold to silver ratio has been used for years to indicate buy and sell zones in both gold and silver. Why? At BOTTOMS in both gold and silver, based on 40 years of history, silver prices have fallen farther and faster than gold. Hence the gold/silver ratio reaches a relative high. At tops in both gold and silver the ratio is often low since silver rises more rapidly than gold. As Jim Sinclair says, “silver is gold on steroids.” Examine the following graph of the gold to silver ratio (monthly data) for the past 40 years. I have circled the six most extreme highs in the ratio with green […]

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When Will Gold and Gold Stocks Correct?

When Will Gold and Gold Stocks Correct?

by Jordan Roy-Byrne, CMT Wednesday evening we raised a question in a subscriber update. We wrote: The current question for Gold and gold stocks is if they will push to higher targets before or a correction or if a correction has already started. We should know the answer in the next day or two. The gold stocks exploded higher on Thursday. GDX gained 6% while GDXJ surged 7.4%. Meanwhile, Gold solidified its support at $1200/oz. Markets that become overbought within strong trends can become extremely overbought before they correct. Recent price action in the precious metals complex argues that the path of least resistance in the short term continues to […]

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Silver Prices in Five Years?

Silver Prices in Five Years?

What will the price of silver be in 2021? You can find articles suggesting the price of silver will be over $1,000 and under $10. Perhaps this is the wrong question. A better approach: The global financial system is increasingly unstable and fragile, more so than in 2008. The important question is: How will governments, central banks and financial systems respond to the ongoing crisis? Future prices for silver are dependent upon the answer to that question. I suggest three possible scenarios. Scenario One – status quo: The next five years could look much like the last 20 years. Politicians spend too much money, debt expands exponentially, central banks monetize […]

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The Escalating War on Cash and What It Means For Metals

The Escalating War on Cash and What It Means For Metals

Government bureaucrats, central bankers, and Wall Street executives all have their own reasons for hating the cash in your wallet. So, no surprise, they are working closely together to rid you of it. The war on cash is intensifying and bullion investors are wondering what the transition to a “cashless society” might mean. We’ll cover that, but let’s first recap why these organizations are, once again, allied together to the detriment of your ability to transact privately. The self-interest of bureaucrats is one factor. They don’t like privacy. They dream of the day when they can access all of your spending with just a few keystrokes. The knowledge will help […]

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Marc Faber on Cashless Society Insanity and Why Wall Street Hates Gold

Marc Faber on Cashless Society Insanity and Why Wall Street Hates Gold

By Mike Gleason, Money Metals Exchange Mike Gleason: It is my privilege now to be joined by a man who needs little introduction, Marc Faber; editor and publisher of The Gloom, Boom & Doom Report. Dr. Faber has frequently appeared on financial shows across the globe and he’s a well-known Austrian school economist, and an investment adviser. It’s a real honor to have him on with us today. Dr. Faber, thank you so much for joining us. Marc Faber: It’s my pleasure, thank you very much. Mike Gleason: Well, I want to start out by asking you about the current state of the financial world here in the early part […]

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Gold Will Overwhelm Dent

Gold Will Overwhelm Dent

Harry Dent is a good demographer and stands for what he believes. But this is not about Harry Dent. Charles Sizemore is a writer and editor who works for Harry Dent, but this is not about Charles Sizemore. This is about gold! Over a century ago JP Morgan understood that gold was money and the rest was credit. But he lived when you could buy groceries with a gold eagle and a cup of coffee cost a few cents. Ben Bernanke and hundreds of other “paper pushers” ignore gold, pretend not to understand it, and pressure the world to transact business using their paper currency Ponzi schemes. Why? Because the […]

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It Has Begun!

It Has Begun!

The S&P 500 Index (chart below) shows a top in May 2015, a correction into August, and a deeper fall this month – February 2016. Look out below. The Shanghai Composite Index looks grim. Both markets are due for a bounce with more downside thereafter. Gold mining stocks (the GDX) have rallied over 50% since the January low. They should correct and then rally for several years. The chart of gold looks similar. It has broken out of a long term downtrend, looks ready to correct, and then continue its rally past all-time highs. The silver chart is showing the same message as gold – a bottom, breakout, possible correction, […]

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New Bull Market in Gold on Track

New Bull Market in Gold on Track

Last week we focused on the gold stocks. There was more initial evidence of a new bull market there than in Gold. However, Thursday Gold erased some doubts as it rocketed above $1200/oz and to as high as $1264/oz before settling a bit lower. That move puts Gold’s recovery on par with those following past major lows and offers greater confirmation that a new bull market is underway. The chart below plots the recoveries from 1976 and 2008 and puts them on the same scale as the current rebound. Note how those recoveries surged well above $1200/oz within three months. Moreover, note how $1200/oz served as a pivot point for […]

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Why the Federal Reserve Always “Happens” to Be Wrong

Why the Federal Reserve Always “Happens” to Be Wrong

“The last duty of a central banker is to tell the public the truth.” – Alan Blinder, former Federal Reserve Board Vice Chairman The Federal Reserve Board finds itself back in a quandary of its own making. When Fed chair Janet Yellen pushed through an interest rate hike this past December, she confidently cited an “economy performing well and expected to continue to do so.” The Fed set the stage for more rate hikes in 2016. But something went awry along the way – namely, the Fed’s upbeat forecast. Official pronouncements of optimism don’t square with the economic realities now unfolding. Since the Fed’s rate hike, warning signs of a […]

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Q&A with Mr. Silver Market

Q&A with Mr. Silver Market

Q: Most people do not value silver and prefer to invest in bonds from big governments. Why? A: Most people would prefer to follow the herd because following the herd is comforting and often correct. Occasionally it is disastrous. I suspect the next few years will see the herd slaughtered. (Bubbles always pop and bonds are in a bubble.) *** Q: Silver has gone down for almost five years. Will it continue to drop? A: Probably not, but if you are stacking for the long term, you care little! Silver was valuable and minted into coins 2,000 years ago in the Roman era. It will remain valuable 1,000 years from […]

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Silver, Gold, the Argentina Peso & Exponentially Increasing Prices

Silver, Gold, the Argentina Peso & Exponentially Increasing Prices

The exchange rate between the Argentina Peso and the US dollar in January 1945 was 4.17 pesos to one dollar. Like the United States, Argentina created substantial price inflation – devaluation of their currency – in the 1950s – 1990s. According to Wikipedia Argentina devalued their currency by a factor of 100 in 1970, by another 10,000 in 1983, by another 1,000 in 1985, and by another 10,000 in 1992. From Alan Greenspan in 1966: “In the absence of the gold standard, there is no way to protect savings from confiscation through inflation.” In summary the 1945 peso was devalued by 10 trillion to one between 1945 and 2015. Imagine […]

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