Sunday, June 7, 2020

Market Report: Back In Consolidation Zone

by Alasdair Macleod, GoldMoney:

After the excitement last week, when silver suddenly enjoyed a bear squeeze briefly pushing it into $17.30 territory, gold and silver returned to their humdrum consolidation phase. This week, gold fell $17 to trade at $1319 earlier in Europe this morning (Friday), and silver declined 58 cents to $16.53.

The reason for weakness in precious metals is a strong dollar, which is shown in our next chart, which is of the trade weighted index.

GOLD RISES BY $5.90 TO $1322.40 BUT SILVER DROPS 5 CENTS TO $16.47

by Harvey Organ, Harvey Organ Blog:

RECORD NUMBER OF EFP’S ISSUED FOR SILVER: 75,878 CONTRACTS FOR 379 MILLION OZ/NORTH AND SOUTH KOREA SIGN HISTORIC AGREEMENT/ GREAT BRITAIN RECORDS A POOR GDP REPORT AND THIS CAUSES THE POUND TO BE CRUSHED/MORE SWAMP STORIES FOR YOU TONIGHT

The government “can’t find” $20 trillion, while pension funds are tanking

by Jon Rappoport, No More Fake News:

Alert to pension fund managers all over the planet—and to everyone else—

“If 1,000 US and global pension fund managers start asking questions it could change everything – like stopping a nuclear war.”

That’s a statement from former US Assistant Secretary of Housing and Urban Development, and now president of Solari, Inc., Catherine Austin Fitts, who is a financial analyst like no other in our time.

Among other feats, she has identified a giant sucking black hole in the US government. And what has disappeared down that hole is money. Over the years, at least $20 trillion.

GOLD 75 MILLION BOLIVARS – WILL HAPPEN IN US$ AND EURO TOO

by Egon Von Greyerz, Gold Switzerland:

The coming hyperinflation will start slowly and few people will realise what is coming. But once the first real inflation signals are appearing, the process will speed up fast as the currency debasement accelerates.

Right now we are most probably seeing the first signs of inflation. The rising CRB index, together with rising oil, silver and interest rates are all telling us that inflation is coming. Initially, we will see a gradual increase but soon inflation will accelerate until we in the next few years reach hyperinflation.

Danielle Park – Securitization is the Rout of all Evil

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by Kerry Lutz, Financial Survival Network:

Danielle Park returns… Think back to the late 1980’s when the plague of securitization started. It became a way to turn liabilities into assets. But not really. Would the housing bubble have blown up the way it had? Would auto, student and credit card bubbles have been blown up to the extent they are currently? Probably not. We also talk about internet privacy and speech. It’s all part of the same puzzle.

Click HERE to Listen

America’s Dumbest Companies Repeat Their Biggest Mistakes

by John Rubino, Dollar Collapse:

Back in 2005 a reporter took a tour of General Motors’ headquarters, and in the resulting article one thing stood out: The executives and engineers the reporter interviewed were only modestly enthused about their sedans and sub-compacts. But they really liked talking about their expanded line of Hummers.

Then oil spiked and gas prices hit records. And GM’s bet on massive gas guzzlers blew up in its face. In 2009:

Law of Comparative Advantage

by Alasdair Macleod, GoldMoney:

The debates about Brexit and President Trump’s trade machinations have demonstrated the blindness of otherwise intelligent people to the Law of Comparative Advantage. Let me attempt a contemporary definition:

“The Law of Comparative Advantage states that an entity maximises its resources by producing that which gives the best return, while delegating production of all other products and services to other entities more cost-effective in their production”

This is the justification behind the principle of the division of labour. But it is amazing how people ignore it when it comes to cross-border trade, particularly the Remainers in the Brexit debate, and Donald Trump with his trade policies.