Gold Editorials & Commentary

" I set to work to read the Act of Parliament by which the Bank of England was created in 1694. The inventors knew well what they were about.

The American Experience

Period 5: Inflation of 1933-1997

Duration: 64 years

Commodity Prices: +1013%

Purchasing Power of Gold: +51%

Monetary System: Gold Exchange Standard, then Fiat

The U.S. stock market continued once again to display a surprising lack of decisive directional thrust last week for the sixth consecutive week.

Chart Symmetry – a comprehensive system for technical analysis – is designed around two observations of the way prices behave:

Supply is overwhelming demand. . . not just in IPO's, like the permabulls are rationalizing, but with the huge long positions "hot panting" mutual fund or vociferous hedge managers apparently haven't in any meaningful way started liquidating.

One of the smartest businessmen I know, a highly successful wine importer, has done well in the stock market over the last five years.

The global equity and commodity markets have been sending diverging signals of late, with some major foreign markets rebounding strongly from recent depressed prices while others hover near the precipice.

Bullish euphoria was severely dampened this week as the yield on the 30-year US government bond surged to 5.35% from last Friday's 5.09%.

Waiting for Godot . . . characterized much of Wednesday's price behavior ahead of Fedspeak.

A number of market observers have noted that the current excitement in the silver market is occurring exactly one year after Warren Buffett's announcement of his big silver purchase.

One of the worst things an analyst or investor can do is try to call a market top, especially if an all-out mania is underway, as is presently the case.

The stock market action over the last month was typical for the season. We started off with the usual sharp January rally, it fizzled a bit and then finished on a positive note.

The purpose of this article is somewhat technical in nature, and is designed to provide a mathematical and theoretical understanding of world economics.

Technicals -

Yesterday on CNBC, Bill Murphy, President of Le Metropole Café, discuss the efforts of an organization known as GATA (Gold Anti-Trust Action) to study and perhaps seek legal remedies against the control of the price of gold by some of Wall Street's major invest

It is an attempt to make sense of the announced 900+ ton daily turnover in gold on the London Bullion Marketing Association (LBMA), as recounted in the archive series of discussions that was triggered by the LBMA announcement of their turnover figures in mid 19

Dramamine. . . after hours of midday see-saw action, was the most requested elixir Wednesday.

The leasing of gold is simply gold being used as money.

The American Experience

Period 4:Deflation of 1920-1933

Duration: 13 years

Commodity Prices: -69%

Purchasing Power of Gold: +251%

Monetary System: Gold Exchange Standard

Fed recognition of real "Wealth Effect" impacts. .

The concept of a "managed economy" pleases most people. After all, we wouldn't want an unmanaged economy, would we? You just can't let things like the economy flounder around untended, so let's hear it for a managed economy.

"SCANDALE GOLD"

Brazilian Devaluation Seen As A Death Knell for the American Farmer

"Creative destruction" is a term economists use to describe the way in which dynamic new industries overtake then replace old industries.

The American Experience

Period 3: Inflation of 1897-1920

Duration: 23 years

Commodity Prices: +232%

Purchasing Power of Gold: -70%

Monetary System: Classic Gold Standard

We began last week with a near-term bullish view of the markets. However action late last week has forced us to sweep our bullishness aside, for now at least, and concentrate on what we believe to be a bearish scenario developing.

Special Commentary