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Two words - not cheap!
h/t @EvergreenGK
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Meanwhile silver, gold platinum are monkey hammered into oblivion. Time to trade that laser printed fiat, dump the epson stock, go long metals?
Gold and Silver are hedges for inflation, which nobody, as proven by Dr.Copper and Lord Oil do not think exists. Bitchez.
Enjoy the downday, because, as Stan Lee used to say: Because you demanded it!
Now it's time to see what market response will be to those 180% gross leverage margin calls.
No one gives Ben Bernanke any credit... increasing the monetary base of the world by trillions, while managing to keep Oil prices SOFT in spite of the brink of WW3. What a guy!
Yawn. It's time for an updated count of beaten football wives. Hey, they find that missing plane yet?
What missing plane...
Check out the chart for the Dollar (and gold) during Lehman.
As long as the USD is going up, your metals are going to fair value.
Silver to $5 and Gold to $500.
The bubble in Gold/Silver ended 2 years ago.
Chase it all the way down if you want, but momentum is not your friend...
you don't deserve a down arrow for stating fact. PM's go down in recession/depressions. That's fact. They may go up in the long run when FED printing comes home to roost. But, in the mean time, I think their drops in price is indicative of a sliding economy. Printing, after all, can only do so much.
When was the last time a bubble took three years to pop after hitting a high? I have seen a lot of bubbles. Gold never came close. It did not act like one on the way to 1900. It isn't acting like a popped one now. It isn't done thumping on fiat yet.
Silver from $50 to $17 was not a bubble popping? If Silver was not in bubble (with a blow off top), what was it?
Refresh you memory: http://www.ebullionguide.com/price-chart-silver-last-10-years.aspx
1850 gold to 1200 was not a bubble popping?
5 Year chart: http://goldprice.org/gold-price-history.html (9/2/2011 peak to 7/9/2013) dead cat bounces (knife catchers) and we are ready for the next leg down. 10/1/2012 ($1780) to 7/2/2013 (1243) = 9 months. Price has done nothing since then to today's date.
What do you consider a bubble popping? Going to Zero in a day?
Look at the chart from 1980 to 1995 and that is where gold is going.
I say this as someone who was buying from the 2003 (Iraq invasion) and cashed out most everything in 2011 once the stock market started taking off and real estate was turning around.
The time to hold is over and the time to load up is many, many years out.
Gold works well in depression/financial collapse. It is a shit hedge against most everything else...
Keep holding... It is your choice. Keep listening to coin dealers (lower form of scum than gun dealers)... With the collapse of the London Fix, we have seen prices on silver crash further.
Is Silver crashing in a vacuum or is Gold about to follow it?
I just love know it alls full of hubris.
hope you're wearing a kevlar vest ...
You think this is a bubble in gold. LMAO.
Ironically, PM holders are reliant on the developed governments of the world to raise the price of their holdings. So, they are holding PM to protect against government, which raises the value of PM the more they try to "help".
Naturally, the short term impact of Fiat printing will temporarily devalue the dollar, but longer term those benefits go back to zero - unless governments guarantee and prop up every bad investment ever made. If they do not, bad investments and currerncy are extinguished - and the value of the dollar goes up, PM down.
I hope you're right. I'd be on my way to diving into my rounds hoard like Scrooge McDuck.
I thought present cost to get it out of the ground was around $1100.
IMHO, manipulation of those rigged markets is too high to play that game effectively.
Only PHYSICAL gold as a long-term store of wealth...
What are "sales"? I'm confused.
Price, yes. Earnings, yes. Leverage, yes. Buy-backs, yes. But "sales"? Never heard of it.
You know, where you book purchase orders that get cancelled in the next quarter....got it....sales
Aren't most of the S&P listed companies actually down YTD? If I'm correct, what does that say about how totally out of whack the others are?
one alibaba ipo can cover up at least a few dozen fedexs and caterpillars.
Off all the other measures sales is simple and the most pure. However also sales can be manipulated like the channel stuffing GM does and who can tell Apple ? or some others that "ship" but do not sell to the final customers. We are living in a totally manipulated world, but sales is a better measure then the others.
"If you even dream of beating [this market], you'd better wake up and apologize." - Janet Yellen, channeling Muhammad Ali.
Yellen is pulling a rope a dope as we speak.
Kim Kardashian owes AC Cowling a blowjob
Not sure if she could fit her ass in the passenger seat. Maybe, she could hang down from the roof and buff his pole from that vantage. Just a thought.
Well, when gambling is easier and more profitable than working...
Stock buybacks cannot do a damn thing about the Price to Sales Ratio, can it?
the beauty of buybacks
when things are going good fewer shares mean even higher EPS ... pushing stock ever higher
alas
when things are going poorly (ie: losses) fewer shares mean even lower EPS ... pushing stock ever ...
Which market is that? Housing, Stocks or bonds? They're all priced through the f-ing roof. PE's are in the Dot.com-asphere, and yields are well below inflation, and house is like 6 times annual salary. Way to go FED.
Maybe he's talking about PM's.
I went to visit my stack behind the woodshed over lunch. I yelled and screamed at the pile of shit for close to an hour.
Does anyone else find the image unsettling?
Picture Booby Knight constipated and with an inner ear infection. It was ugly.
Even in the depths of the 2009 lows we only made it down to the median price/sales ratio.
If you have to ask about the Price, most likely you can't afford it.
These charts fail to note when internet trading came online.
Prior to 1995 (DLJ Direct), people had to go to broker and pay 1% (each way).
Since 1995 the amount of money flowing into stocks, via teh internets, has exploded... as has the number of people on the internet.
More people, more (fake) capital, more volume, etc etc.
bubblicious.
start taxing financial transactions already... may as well put something away fro a rainy day, eh?
Damn, the implication is mean reversion results in a S&P 500 of 865, and that's with no undershoot.
That's some end-of-the-world shit for most financial entities I'd imagine.
Yay Us...have we beat Venzula or Zimbabwe yet?
Profit margins are up too.
You stole my thunder!
Not "cheap" cheap. But "cheap" like a classy hooker who'll steal your shit and give you a fatal disease cheap.
1965 was a market of nosebleed leasing companies and "nifty fifty" without earnings. today's market is not the same by a wide margin. interest rates remain low and woill stay low. the mix of assets in the economy are more effciient and have a generally lower price to earnings ratio. this is not a market where CAPE works as well given that some of the export items are globally enjoyed vs 100% locally consumed. pockets of value remain. don't buy it all - own QARP or quality at a reasonable price.
cheap debt being used to finance share buybacks - that's it. When interest rates rise, that party's over.