Investment/Trends

Fantasy Land Financial Analysis for Investors

"Here is the most recent chart from the Federal Reserve Bank of St. Louis. This is the adjusted monetary base over the past 12 months. This reflects the monetary policy of the Federal Reserve. The Federal Reserve is in control of the monetary base. Perhaps we should look at the longer-range policy. Do you see any change since 2009? The MarketWatch writer draws a conclusion from this 'tightening.' He writes: 'The Fed’s tightening is primarily to prevent a full-blown asset bubble. Its burst could bring another financial crisis.' But if the FED is not tightening, what happens to the asset bubble?" Continue reading →

Continue ReadingFantasy Land Financial Analysis for Investors

Doug Casey: Fact Gold Went Down is Marvelous

"Kitco News catches up with Doug Casey to talk about gold, the Fed, inflation and the future of the US. 'Gold is a way you save, it is a way to put capital aside for further use,' said Casey. He is glad gold prices are down and will continue to buy the metal. Casey also talks about the importance of diversifying assets internationally and talks about his book 'Totally Incorrect.' Watch now to hear his thoughts on the markets and precious metals." Continue reading →

Continue ReadingDoug Casey: Fact Gold Went Down is Marvelous

Ask the Expert – Marc Faber – Sprott Money News

"In this exclusive interview, Marc Faber answers questions from our readers about the gold and silver markets and his outlook on the economy. Marc Faber is a leading investment advisor and director of Marc Faber Ltd. He is known notably for his monthly investment newsletter, 'The Gloom Boom & Doom Report', which highlights unusual investment opportunities. He is also an author of several books, including Amazon.com best seller Tomorrow's Gold, and a regular contributor of leading financial publications worldwide. A regular speaker at various investment seminars, Dr. Faber is well known for his 'contrarian' investment approach." Continue reading →

Continue ReadingAsk the Expert – Marc Faber – Sprott Money News

Meredith Whitney: ‘Detroit Will Start A Wave of Municipal Bankruptcies’

"At the root of the problem is the incentive system that elected officials used to face. For decades, across the US, local leaders ran up tabs for future taxpayers; they promised pensions and other benefits for public employees that have strong legal protection. That has been a great source of patronage for elected officials: they can promise all sorts of future perks to loyal supporters with very little accountability on the delivery of those promises.[...] Leaders across the country cannot continue as they have. They must choose sides because there is simply not enough money to go around. Will they side with taxpayers, unions or the municipal bondholders?" Continue reading →

Continue ReadingMeredith Whitney: ‘Detroit Will Start A Wave of Municipal Bankruptcies’

Why the Only Real Way to Buy Bitcoins Is on the Streets

"Buttonwood meetups started in New York a few months ago and fanned out to San Francisco and Los Angeles. Buttonwood is an allusion to the May 17, 1792 agreement, struck under a buttonwood tree at 68 Wall Street, that set down the rules for what became the New York Stock Exchange. The Yerba Buena Bitcoiners see themselves as the modern descendants of these 18th century traders. Like them, they conduct their business in the open and face-to-face. It’s a little unexpected: The world’s pre-eminent digital currency is most safely traded face-to-face. But the Bitcoin phenomenon is itself unexpected." Continue reading →

Continue ReadingWhy the Only Real Way to Buy Bitcoins Is on the Streets

High frequency trader fined more than $3m by regulators

"Financial regulators in the UK and US have fined a high frequency trader and his firm more than $3m (£1.95m) for manipulating commodities markets. The UK's Financial Conduct Authority (FCA) fined Michael Coscia $903,176, while two US regulators levied the rest on him and his company, Panther Energy. Between 6 September 2011 and 18 October 2011, US-based Mr Coscia used algorithmic programs that he developed to create false orders for oil and gas on trading exchanges in the US and UK. A computer program placed and quickly cancelled trades to manipulate the price of commodities, an illegal process known as 'layering' and 'spoofing'." Continue reading →

Continue ReadingHigh frequency trader fined more than $3m by regulators

The Gold Lease Story You Haven’t Heard

"A recent article in the Financial Times described a shortage of so-called 'leased' gold. According to the Times, the cost of borrowing gold 'has risen to the highest since the post-Lehman Bros. scramble for supplies as bullion markets adjust to a new era in which Western investor demand is less dominant.' The numbers are small, but the trends are intriguing. The one-month gold leasing rate rose from 0.12% in early June to 0.3% in early July. That’s a 150% rate rise in one month! It’s the highest gold lease rate since 2009, although still well below the peaks of previous eras." Continue reading →

Continue ReadingThe Gold Lease Story You Haven’t Heard

Central bank further restricts gold imports in India

"In a late evening development, the Reserve Bank of India has once again tightened gold imports in the country mandating that 20%, or one fifth, of every lot of imported gold has to be used for the purpose of export. Exporters will henceforth be required to retain 20% of the imported quantity in the customs bonded warehouses, and would be permitted to undertake fresh imports of gold only after the exports have taken place to the extent of at least 75% of the gold remaining in the customs bonded warehouse. Any import of gold into the country would henceforth have to follow the 20/80 principle set out by the apex bank." Continue reading →

Continue ReadingCentral bank further restricts gold imports in India