Archive - Nov 2013 - Blog entry

Gold prices pulled back this morning as traders booked gains and stagnant physical demand had the yellow metal out of favour. Recent confirmation by Janet Yellen that she will continue Bernanke's loose monetary policy lifted gold, but tapering appears priced into the metal already.

An interesting overview of Germany's attempt to solidify its hegemony in Europe. 

Dispassionate discussion of the investment climate.  

China has unveiled its most sweeping reform agenda in more than 30 years, but the market impact is likely to be net-negative.

In a few years’ time we might all be whining because there is no more water left in the world apparently. That’s because according to the World Economic Forum “we are now on the verge of water bankruptcy in many places around the world, with no clear way of repaying the debt”.

Endeavor to perservere!

Economic data can be and is commonly used as a political tool. The EU is just the latest example of this. In the US we’ve seen this same game played out using GDP numbers.

Shockingly from Government to Wall Street...

The US dollar looks vulnerable to additional losses next week.  While we had correctly anticipated the greenback's losses last week, we had expected it to begin recovering ahead of the weekend.   This did not materialize and, leaving aside the yen, the dollar finished the week near its lows.   Generally speaking, the technical outlook for the greenback has soured and, in fact, warn of some risk accelerated losses in the period ahead.  

Mass Surveillance Is Destroying the American Economy

Yesterday, the World Gold Council released its Gold Demand Trends 2013 Report which demonstrates quite clearly that the Chinese continue to accumulate gold; gold continues to flow east to both government and consumer channels.

One heckuva job...

How is inflation of 2% acceptable? Why is this base assumption never challenged? At this rate, in 10 years you’ve lost roughly 20% of your purchasing power. And during the average worker’s lifetime, they will see a 40-60% decrease in purchasing power.

Today the treasury auctioned off 16bln 30yr bonds at 1pm (ET).  This occurred during a fairly volatile backdrop.

The Forex market is the largest in the world and the least understood.  Since the late 90's, traders and asset managers have flocked to it as an alternative to trade, compared to other common markets (Stocks, Bonds, Futures).