Tag: central bank gold

Why Central Banks Are Pressing Investors To Hold Gold

| September 9, 2015 | Category: Investing
Why Central Banks Are Pressing Investors To Hold Gold

Overall, our Outlook remains unchanged! The reasons why we believe it is crucial for seasoned investors to hold gold have not only remained unchanged, but have become even more urgent. We would also like to go one step further. As governments worldwide become increasingly desperate due to their dire financial circumstances, I believe that they will resort to increasingly tyrannical means to access the wealth of their citizens. It is essential to keep at least a part of your assets far away from the banking system, which I consider to be an “extended arm” of the government.

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Central Banks Purchase Gold To Diversify From The US Dollar

Central Banks Purchase Gold To Diversify From The US Dollar

The gold market ended 2014 on a strong footing: Q4 demand grew from 6%. The annual total of 3,923.7t was down 4% year-on-year – not surprising as consumer demand in 2014 was never likely to match 2013’s record surge. Year-on-year comparisons for the last few quarters have been coloured by the singular strength in jewellery, bar and coin demand in 2013. Central banks absorbed 477.2t of gold in 2014. Seeking continued diversification away from the US dollar, these institutions – primarily those in the Commonwealth of Independent States (CIS) – continued to bolster their holdings of gold.

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The Price Of Gold And The Art Of War

| December 18, 2014 | Category: Economy
The Price Of Gold And The Art Of War

When growth slows in capital markets, the bankers’ daisy-chain of credit and debt breaks down; setting in motion defaulting debt which ends in recession, deflation or, in extreme cases, a deflationary depression. A deflationary depression is a fatal monetary phenomena where the velocity of money—circulating credit and debt—falls so low capital markets are no longer self-sustaining. This happens after the collapse of massive speculative bubbles such as the collapse of the 1929 US stock market bubble which resulted in the world’s first deflationary depression, the Great Depression of the 1930s.

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7 Anomalies Between The Gold Price And Physical Market

7 Anomalies Between The Gold Price And Physical Market

These strong signs of demand don’t normally correlate with an asset in a bear market. Do you know of any bear market, in any asset, that’s seen this kind of demand? Neither do I.

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Is the Golden Rule Broken?

| November 22, 2014 | Category: Investing
Is the Golden Rule Broken?

The Golden Rule may not be broken, but it may just be in the process of necessary change for it to reassert itself. For US citizens, do not get caught without holding any. For as manipulated are the stock markets by the Fed, as can be seen in the charts, the same holds true for gold and silver. The charts do not show any change in the forces being applied, and all anyone can do is read them as they are.

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Swiss Gold Referendum: Impressions Of The Latest TV Debate

Swiss Gold Referendum: Impressions Of The Latest TV Debate

Claudio Grass, managing director at Global Gold Switzerland, provided some comments on the TV debate. He first noted that the authorities are increasingly showing a need to use the government owned TV stations to push the message that the gold backing would be a big mistake. He feels that authorities are becoming increasingly nervous.

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How Much Earmarked Gold Holds The Federal Reserve?

How Much Earmarked Gold Holds The Federal  Reserve?

The chart of foreign central bank gold holdings at the Fed over the past fifteen years shows little activity except for 2007 and 2008, when just under 410 tonnes was withdrawn – big sellers during that period included Switzerland (250 tonnes) and France (227 tonnes). It would seem that the remaining central banks holding around 6,000 tonnes are generally happy with the Fed’s free custodial storage service.

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Russia Adds A Record 1.2 Mio Ounces Gold To Its Reserves

Russia Adds A Record 1.2 Mio Ounces Gold To Its Reserves

As evidenced by the Russian central bank, it appears that Russia has added another 1,200,000 ounces of physical gold to their reserves. Total Russian gold reserves now stand at 37,000,000 ounces, or 1049 tonnes. The following chart, courtesy Goldchartsrus, shows the increase of Russian gold reserves over the last 8 years. It is very interesting to note how September 2014 attributed to the biggest month-on-month increase ever. Only in May 2010 was there an increase which came close to the one of last month with an addition of 1.1 million ounces.

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Gold Investors Weekly Review – October 10th

Gold Investors Weekly Review – October 10th

In his weekly market review, Frank Holmes of the USFunds.com summarizes this week’s strengths, weaknesses, opportunities and threats in the gold market for gold investors. Gold closed the week at $1,223.09, up $31.74 per ounce (+2.66%). Gold stocks, as measured by the NYSE Arca Gold Miners Index, rose 0.24%. The U.S. Trade-Weighted Dollar Index fell 0.90% for the week.

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Gold Investors Weekly Review – September 26th

| September 27, 2014 | Category: Investing
Gold Investors Weekly Review – September 26th

In his weekly market review, Frank Holmes of the USFunds.com nicely summarizes for gold investors this week’s strengths, weaknesses, opportunities and threats in the gold market. Gold closed the week at $1,218.07 up $2.37 per ounce (0.19%). Gold stocks, as measured by the NYSE Arca Gold Miners Index, fell 2.74%. The U.S. Trade-Weighted Dollar Index rose 1.04% for the week.

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The US Gold in Fort Knox is Secure, Gone, or Irrelevant?

The US Gold in Fort Knox is Secure, Gone, or Irrelevant?

In my opinion the US gold is largely gone and probably the gold supposedly stored at the NY Fed for other countries is also mostly gone. Sadly, it matters to very few people, and the world will continue to print many more paper and digital dollars, euros, pounds, and yen. Long live the value of paper, or so we should hope, since the inevitable reckoning and proper valuation of all paper assets, when it occurs, will be ugly, distressing, and dangerous.

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Gold Demand Q2 In Line With Long Term Average, Central Banks Continue Accumulating

Gold Demand Q2 In Line With Long Term Average, Central Banks Continue Accumulating

Q2 gold demand of 963.8 tonnes (t) was considerably weaker year-on-year – 16% below Q2 2013’s 1,148.3t. Sharp declines in the consumer segments of gold demand came as no surprise, given the stark contrast in conditions in the global gold market between the two time periods. Jewellery demand was almost a third lower, while bar and coin investment was less than half Q2 2013 levels. Gold ETFs saw modest outflows of 39.9t, which were far smaller than the 402.2t of outflows seen during the year-earlier period. The net impact on overall investment was a modest 4% year-on-year increase.

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Gold Investors Weekly Review – August 1st

Gold Investors Weekly Review – August 1st

In his weekly market review, Frank Holmes of the USFunds.com nicely summarizes for gold investors this week’s strengths, weaknesses, opportunities and threats in the gold market. Gold closed the week at $1293.33, down $13.82 per ounce (-1.06%). Gold stocks, as measured by the NYSE Arca Gold Miners Index, lost 2.11%.

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Speculating On The Gold Supply

Speculating On The Gold Supply

Seeing recent gold behavior, I cannot help but wonder if this is actually the case, with a supply side theory providing a more wide-ranging, but still highly circumstantial, explanation beyond just the bid side of safety.

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