Daily Archives: September 19, 2013

Gold Trader: “The Market Manipulation Has Begun Again”

Following a few weeks of a returning decline in precious metals and mining share prices, Gary Savage, technical gold trader and publisher of the Smart Money Tracker, was kind enough to share an updated commentary. Gary’s trading calls have outperformed most of the world’s hedge funds during 2011 and 2012. Here are his interview comments: Tekoa…

Art Cashin’s Take On Yesterday’s Chaos & Where We Are Now

Today King World News wanted to share the thoughts of 50-year veteran Art Cashin in the aftermath of the Fed’s historic decision and subsequent market chaos.  Cashin, who is Director of Floor Operations at UBS ($650 billion under management), had some fascinating insights — I guess that comes with half a century of experience. Art…

Republicans at Odds as ‘Obamacare’ Showdown Nears

WASHINGTON September 19, 2013 (AP) By DAVID ESPO AP Special Correspondent  Congressional Republicans struggled to tamp down a family feud Thursday as they approached a politically charged showdown with the White House that combines the threat of a government shutdown, a possible first-ever federal default and the GOP’s bid to repeal the nation’s three-year-old health…

The Smell of Collapse is in the Air

By GE Christenson   The U.S. stock market is near all-time highs, while politicians and economists are blathering about recovery, low inflation, and good times, but instability and danger are clearly visible in our debt based monetary system.  To the extent we rely upon the fantasies of ever-increasing debt, money printing, and credit bubbles, we are…

GOLDMAN SACHS: The Stage Is Set For A Gold Rally

Gold bars

Goldman Sachs precious metals analysts Damien Courvalin and Jeffrey Currie are out with an update on gold prices following the Federal Reserve’s surprise decision to refrain from announcing a tapering of quantitative easing yesterday, which sent gold soaring.

Courvalin and Currie are bearish on the metal, but say the rally could have further to run this year:

Near-term upside on delayed taper but still bearish into 2014

The FOMC unexpectedly decided not to taper the rate of its asset purchases, preferring to wait for further confirmation of improvement in the US economic outlook. This announcement, as well as Bernanke’s press conference, was more dovish than most had expected, pushing gold prices to $US1,365/toz. The decision, combined with the upcoming debt ceiling debate, leaves risks to gold prices as skewed to the upside in the near- term, in our view.

However, with gold prices already back near their pre-June FOMC level, COMEX net speculative positioning already back at its April level as well as growing pressures on EM gold demand, we believe that this upside will ultimately prove limited (see Neutral gold prices near- term but still expecting new lows in 2014, September 17, 2013). We believe this is well illustrated by today’s more muted rally in gold prices when compared to the significant rally in 10-year TIPS yields, helping close the significant valuation gap that had occurred between both assets over the past month.

As a result, we re-iterate our neutral stance on gold prices and continue to expect that gold prices will resume their decline heading into 2014 when we expect economic data to solidly confirm a reacceleration in US growth and warrant a less accommodative monetary policy stance.

Gold is up 4.6% today in the wake of the Fed’s decision, trading at $US1367 an ounce.

Source: http://www.businessinsider.com.au

The Most Frightening Takeaway From The Historic Fed Decision

So far we have seen a little bit of short covering and muted euphoria in the markets, but I think that once participants realize that the Fed is not tapering, it will cast a terrible pall over what they see as the state of the economy, and I think we could see a fall in…

(Video) Keiser Report: Housing Bubble Ponzi (E499)

Published on Sep 19, 2013 Max Keiser and Stacy Herbert discuss the triangle of fraud in the housing sector and the policy of Icarus economics in which banks can’t crash soon enough because then they can get their bailouts from the taxpayer. In the second half, Max interviews Simon Rose of SaveOurSavers.co.uk about the George Osborne’s…

Gold futures score best daily gain since 2009

Fed stands pat, but some analysts say gold gains may be short-lived

By Myra P. Saefong and Sara Sjolin, MarketWatch

SAN FRANCISCO (MarketWatch) — Gold futures rallied Thursday to score their best daily dollar and percentage gains since 2009 after the Federal Reserve’s surprise move to maintain its bond purchases.

December gold GCZ3 +4.64%  jumped $61.70, or 4.7%, to settle at $1,369.30 an ounce on the New York Mercantile Exchange, their highest close since Sept. 9.

On a dollar and percentage basis, the gains were the largest for a single session sinceMarch 19, 2009, according to FactSet data, based on the most-active contracts. Interestingly, the gain that day was also Fed-induced. The daily dollar rise Thursday was also the third largest on record, based on FactSet data that go back to November 1984.

Silver SIZ3 +7.66%  fared even better percentage wise, with its December contract shooting up 8%, or $1.73, to $23.29 an ounce, for its highest close in over a week. The daily percentage gain was also the largest since March 19, 2009.

Read the full article at MarketWatch.com

Bank of America: Bearish Precious Metal View Was “Incorrect”

Yesterday it was Goldman capitulating [5]on their near-term gold, er, capitulation reco (expectedly so after gold ripped over $75 in the span of 24 hours). Now, it is Bank of America’s turn to close their silver short. To wit: “The Wednesday Bullish Candlestick formations (Bullish Engulfing Candles) in gold and silver say that our bearish view on…

(Video) Santelli’s look at ‘wimpy’ economy

CNBC‘s Rick Santelli takes a look at the economic consequences of rising debt on the taxpayer.   Transcript: the dow’s in a tight range. down about 17. let’s get to rick santelli exchange, over at the cme. hey, rick. hi, carl. we’re going to go fast, so buckle up. yesterday, of course, we saw ben bernanke kickin’ the can of normalization down the road.the day before,…

Jim Sinclair: Reasons To Sell Your Gold

Posted  at 5:54 PM (CST) by  & filed under General Editorial.

My Dear Extended Family,

“QE to Infinity.” Infinity defined as the low .7000 on the USDX.

Every reason for gold’s decline from $1900 so accepted by the talking heads has gone SPLAT!

1. Sell gold because the dollar is strong. Yeah, on the downside.
2. Sell gold because the Euro is weak. It looks like the euro is going to be wearing its necklace of gold valued in the market in the 1.40s.
3. Sell gold because the US central bank is going to taper, which means tighten. That turned out to be totally foolish.
4. Sell gold because the US economy is going to improve. Yes, it is improving on the downside.
5. Sell gold because the stock market is going to break and take gold with it. Break to the upside is more like it as has all stock markets in similar liquidity situations.
6. Sell gold because the bond market is going to break wide open and take gold with it. Right now 10 year bonds look more like 2% or less than the 4% all the talking heads were predicting.
7. Now gold returns and exceeds it old high.
8. Now good gold shares put on bull markets.
9. Now the shorts in gold who were fat, happy and uncaring will pay the paper for the hubris.
10. Now the gold shorts in good gold company shares that are complacent in their positions will get the spiritual experience they well deserve.
11. Now the bull market in gold is far from over.
12. Now it is clear that those in the community that verballly hammered gold with their sub $1000 predictions in their writings repeatedly tried to help it lower. Now to the dickens with them.



Source: Jim Sinclair’s Mine Set