"The Senate was established to make sure that minorities are protected." -Senator Harry Reid 12/8/06 ......scratch that...... This gridlock [filibusters] has consequences. Terrible consequences. It is not only bad for President Obama and bad for the United States Senate; it’s bad for our country. -Senator Reid, 11/ 21/13
However, the reality of higher inflation won’t show up in China’s inflation data (which clocks in at an absurdly low 3%). However, you can see clear signs of this in China’s civil unrest: you don’t get wage and labor strikes for nothing.
However, while price manipulations may work in the short term, in the long term gold prices will be dictated by the real world forces of physical supply and demand for gold coins, bars and jewellery. The smart money is fading out the considerable noise regarding volatile intraday price falls and focusing on gold's importance as a long term diversification in a portfolio.
When the US shutdown sent shivers and ripples through the financial markets in October with the fear that the federal government would end up defaulting on the repayment of its debts, the banks decided to set up contingency plans.
The Fed’s economic models, and 99% of the economic models employed by Central Banks in general, believe that monetary easing can bring about an economic recovery. The primary argument for this crowd if QE has thus far failed to produce a recovery is that the QE efforts have not been big enough. And then there’s Japan...
“This is different" and "this location is different" is the mantra of every property bubble. We will soon see if the London property bubble is truly different or will suffer the fate of the bubbles throughout history. Of the four charts in our market update today, which ones do you think show characteristics of a bubble? Those diversifying and buying gold in the UK will be rewarded in the coming years. The smart money is reducing exposure to overvalued London property and increasing exposure to undervalued gold.