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Home / Tag Archives: Precious Metals (page 20)

Tag Archives: Precious Metals

How to Stick It to Your Banker, the Federal Reserve, and the Whole Doggone Fiat Money System

  Bernanke Redux Somehow, former Federal Reserve Chairman Ben Bernanke found time from his busy hedge fund advisory duties last week to tell his ex-employer how to do its job.  Namely, he recommended to his former cohorts at the Fed how much they should reduce the Fed’s balance sheet by.  In other words, he told them how to go about cleaning up his mess.   Praise the Lord! The Hero is back to tell us what to do! Why, oh why have you ever left, oh greatest central planner of all time. We...

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Will Gold or Silver Pay the Higher Interest Rate?

  The Wrong Approach This question is no longer moot. As the world moves inexorably towards the use of metallic money, interest on gold and silver will return with it. This raises an important question. Which interest rate will be higher?   It’s instructive to explore a wrong, but popular, view. I call it the purchasing power paradigm. In this view, the value of money — its purchasing power —is 1/P (where P is the price level). Inflation is the rate of decline of purchasing power....

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Silver Elevator Keeps Going Down – Precious Metals Supply and Demand

  Frexit Threat Macronized The dollar moved strongly, and is now over 25mg gold and 1.9g silver. This was a holiday-shortened week, due to the Early May bank holiday in the UK. The lateral entrant wakes up, preparing to march on, avenge the disinherited and let loose with fresh rounds of heavy philosophizing… we can’t wait! [PT]   The big news as we write this, Macron beat Le Pen in the French election. We suppose this means markets can continue to do what they wanted...

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Emerging Markets: Buyer Beware – An Interview with Jayant Bhandari

  Jayant on Emerging Markets, Precious Metals and Mining Companies Maurice Jackson of Proven & Probable has once again interviewed one of our friends, namely Jayant Bhandari, a frequent and highly valued contributor to Acting Man.  Jayant is probably best known to our readers for his strong criticism of the economic and nationalist policies implemented by prime minister Narendra Modi in India since he decreed the demonetization of the bulk of the cash currency circulating in the country...

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Silver Takes the Elevator Down – Precious Metals Supply and Demand

  Election Effect Debate Last week, we talked about the effect of the French election on the gold and silver markets, and noted:   Of course, traders want to know how this will affect gold and silver. As we write this, we see that silver went down 30 cents before rallying back up to where it closed on Friday. Gold went down about $20, and then half way back up. At this point, we are not sure if the metals are supposed to go up because more printing. Or go down because the euro constrains...

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War, Precious Metals and Mining Stocks – An Interview with Bob Moriarty

  Our Favorite Veteran of Real Wars and the Gold Wars… Our friend Maurice Jackson at Proven & Probable has just done an interview with another friend of ours: Bob Moriarty, the founder of 321gold.com, one of the best and most popular gold sites on the web. Many of our readers probably know Bob, or at least know about him. We want to nevertheless provide a few introductory words below, to elaborate a bit on what Bob does for those who don’t know about him, and also to let...

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To Frexit or Not to Frexit – Precious Metals Supply and Demand

  The Mathematics of Frexitology This was also a holiday-shorted week. As we write this, the big news comes from the election in France. The leading candidate is a banker named Emmanuel Macron, with about 24% of the vote in a 4-candidate race. The anti-euro Marine Le Pen came in second with just over 21%. From the sharp rally in the euro, which was up about 2% at one point, we assume that observers believe the odds of France leaving the euro have just gone down.   The political...

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Gold-Silver Divergence – Precious Metals Supply and Demand

  A Force Like Gravity This was a holiday-shorted week, due to Good Friday, and we are posting this Monday evening due to today being a holiday in much of the world. Gold and silver went up the dollar went down, +$33 and +$0.53 -64mg gold and -.05g silver. The prices of the metals in dollar terms are readily available, and the price of the dollar in terms of honest money can be easily calculated.   Curved space-time… eventually, it will get you. The image above depicts the...

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Gold – An Overview of Macroeconomic Price Drivers

  Fundamental Analysis of Gold As we often point out in these pages, even though gold is currently not the generally used medium of exchange, its monetary characteristics continue to be the main basis for its valuation. Thus, analysis of the gold market requires a different approach from that employed in the analysis of industrial commodities (or more generally, goods that are primarily bought and sold for their use value). Gold’s extremely high stock-to-flow ratio and the main source...

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Mea Culpa – Precious Metals Supply and Demand

  Input Data Errors Dear Readers, I owe you an apology. I made a mistake. I am writing this letter in the first person, because I made the mistake. Let me explain what happened.   The wrong stuff went into the funnel in the upper left-hand corner…   I wrote software to calculate the gold basis and co-basis (and of course silver too). The app does not just calculate the near contract. It calculates the basis for many contracts out in the distance, so I can see the whole...

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