Sunday, June 13, 2021

Gold Price Will Likely Rise on Upcoming Inflation, Employment Reports: Analysts

from Birch Gold Group:

This week, Your News to Know rounds up the latest top stories involving gold and the overall economy. Stories include: Gold prices holding onto bullish line, U.S. coin prices soar as inventories deplete, and 1854 New Orleans coin returns home.

Gold price holds onto bullish level as markets brace for data reports

After breaking out of its months-long trading range and heading off towards $1,900, many analysts believe that the bullish moves in the gold market are just beginning. While the previous week was a very volatile one, including a $40 pullback, the gold price held onto a key bullish level. Now, all eyes are focused on the myriad of data releases this week, which will offer more clues regarding domestic and international central bank policies.

Job Openings Hit a New Record High in Huge Struggle For Workers

by Mish Shedlock, The Street:

Job openings and openings vs hires both hit new record highs.

Job Openings and Labor Turnover

The BLS JOLTs Report shows record number of opening in April.

Key Points

The number of job openings reached a series high of 9.3 million on the last business day of April, the U.S. Bureau of Labor Statistics reported today. Hires were little changed at 6.1 million. Total separations increased to 5.8 million. Within separations, the quits rate reached a series high of 2.7 percent while the layoffs and discharges rate decreased to a series low of 1.0 percent.

Gold Flowing Into ETFs Again

by Peter Schiff, Schiff Gold:

In 2020, gold-backed ETFs recorded record net inflows of gold. Funds added nearly 231 more tons in 2020 than they did during the previous record year (2009/646 tons). But with declines in the price of gold and investors pivoting to riskier investments as economies improve, we’ve seen net outflows of gold from ETFs over the last three months.

That trend reversed in May as gold-backed funds globally added 61.3 tons of gold, according to the latest data from the World Gold Council.

O/N REVERSE REPO REACHES 1/2 TRILLION DOLLARS AS THE MARKETS ARE BROKEN

by Harvey Organ, Harvey Organ Blog:

TOMORROW THE ALL MPORTANT RELEASE OF THE CPI//GOLD PRICE TODAY: UP $1.05 TO $1892.10//SILVER IS UP 17 CENTS TO $27.87//A MONSTER QUEUE JUMP OF 33,300 OZ //NEW GOLD STANDING AT THE COMEX: 70.03 TONNES//SILVER OZ STANDING AT THE COMEX 12.955 MILLION OZ//CORONAVIRUS UPDATE/VACCINE UPDATES/IVERMECTIN UPDATE//IRAN VS USA VS EUROPE: GOING NOWHERE ON THEIR NUCLEAR DEAL//BIDEN TO KEEP SANCTIONS ON IRAN//O/N REVERSE REPO REACHES 1/2 TRILLION DOLLARS AS THE MARKETS ARE BROKEN//SWAMP STORIES FOR YOU TONIGHT

Fed’s Tools are Broken

by Michael Pento, Market Oracle:

The U.S. central bank has metastasized from an institution that was originally designed to assist distressed banks, to one that believes its purview now includes perpetuating asset bubbles, fighting global warming and reconciling racial inequities. Another distortion of the original purpose of the Fed is that its mandate has changed from providing stable prices and full employment, to creating an inflation rate above 2% for a period of time equivalent to the duration it was below that level.

But the members of the FOMC claim there is nothing to fear if inflation were to ever grow too hot because it has the tools to bring it under control. In other words, when necessary, the FOMC can not only stop QE but it can raise rates aggressively enough to vanquish inflation without destroying the markets and economy along the way. Let’s see just how true this contention really is.

Burger King Donating to Pro-Child Sex-Change Group With Every New Chicken Sandwich Sold

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by Chris Menahan, Information Liberation:

Burger King under the leadership of CEO Daniel Schwartz have begun donating 40 cents for every sale of its new chicken sandwich to a radical LGBT lobby group that supports child sex changes, the drugging of children with opposite-sex hormones and Drag Queen Story Hours.

“On June 3, Burger King made a cheeky tweet saying it will donate up to $250,000 of the proceeds from its new premium chicken sandwich, Ch’King, to The Human Rights Campaign (HRC),” The Hill reported. “For every hand-breaded chicken sold, 40 cents will go to the cause.”

Basel III and COMEX Gold

by Craig Hemke, Sprott Money:

If you’re a gold investor, then you’ve likely read of the NSFR of Basel III, which are due to be implemented by the EU-based Banks at the end of this month. Well, here’s something else to consider.

First of all, these new capital requirements were first introduced as part of Basel III in 2014, and it has taken nearly seven years for them to be instituted. As of June 28, the EU-based Banks will be subject to these new rules, and the UK Banks must fall in line by January 1, 2022. This, of course, is causing all sorts of chagrin and teeth-gnashing in London. The LBMA and their pals at the World Gold Council put out this final plea for help last month: LBMA Responds to Prudential Regulation Authority Consultation

Resetting the Federal Debt

by Keith Weiner, Gold Seek:

According to the US Treasury, the federal government owes $28.2 trillion. It crossed the “28” threshold on the last day of March. The debt was just under $25 trillion at the end of April a year ago. There’s no question it’s growing at a faster and faster pace, and now there’s the excuse of Covid to spend more.

Keep in mind, this is only that part of the total liabilities that the government chooses to acknowledge. If it reported its financials the way all substantial businesses do, then the number would not be a mere $28 trillion but well over $100 trillion.

The Fed’s Reverse Repo Madness

by Dave Kranzler, Investment Research Dynamics:

Let me translate – We at The Fed have to pretend that we might one day stop QE, but we know in truth that that we can’t. The last time we tried tapping our foot lightly on the brake we blew up the markets. We are trapped. We know it. You know it. But we need to pretend otherwise. – Albert Edwards, Global Strategist and noted bear, in response the FOMC minutes released this past Wednesday in which some FOMC members said it might be “appropriate” to begin discussions on tapering QE in upcoming meetings

The rapid escalation of the Fed’s Reverse Repo activity has garnered a lot of attention and commentary.  While no one outside of the Fed’s inner circle can say for sure what it going with this, it’s highly unlikely that the activity is a pre-cursor to and eventual tapering of the Fed’s money printing policy.

The Fed Says Inflation Is Transitory, It Has a Vested Interest to Lie

by Mish Shedlock, The Street:

The Fed has been so wrong, in so many ways, for so long, we need to ask some pointed questions.

Q&A on Fed Transitory Statements

Q: If inflation picks up will the Fed say I made a mistake or will they double down?

Q: If the Fed doubles down will they admit their mistake or will they say let’s overshoot to make up for past inflation?