I am a big believer that much of the global economic growth since 2008 has been driven by two factors: Central bank easing, and Chinese economic growth.
Neither are sustainable tools for growth. China's economic growth in the last 10 years has largely been through a massive creation of debt.
Now, the Chinese government is trying to slowly deflate that bubble in a controlled manner. Regardless of if they do it slowly, or gets out of control, I believe the global economy will suffer.
Record low metals prices could be a bad indicator for slower global growth, especially economies outside of the U.S., this according to Edward Egilinsky, Managing Director, and Head of Alternative Investments at Direxion.
“Right now, with most metals at yearly lows, or multi-year lows, it does say that the economy is slowing down a little bit, at least from a global perspective,”
Egilinsky told Kitco News. He added that in metals have been particularly sensitive to a strong U.S. dollar this year. “I think the biggest reason why the metals, whether it’s precious or industrial metals, are one of the worst performers this year, is because of the strengthening dollar,” he said.
According to Egilinsky, contrarians would do well to be bullish on gold right now, owing to a historically high net short position that could cause the yellow metal to rebound.
He added that alternative commodities, especially grains, have the most potential for gains by year end should the Trump tariffs on China de-escalate.
This graphics compilation shows five examples of properties in some of the most expensive cities in the world that you can rent at or just under $1,200 a month, to match the current gold price level of $1,200 an ounce.
With gold having reached one year lows on the back of a strong dollar, the yellow metal has been steadily losing its buying power, especially against other hard assets, like real estate.
Meanwhile, property prices in New York City, the largest city in the U.S., have steadily risen, especially relative to gold. Whereas in 2012, it cost less than 1,000 ounces of gold to buy an average home in Manhattan, it now costs around 1,300 ounces, up 30%.
As chief investment strategist of Clarity Financial and chief editor of Real Investment Advice, Lance issues commentary weekly on the financial markets.
He sees a major market correction/crash dead ahead, likely in early 2019 as the US economy offically slides back into recession -- though he's open to it happening sooner than that.
Based on the huge debt / deficit excess that have built up in the economy, paired with the tremendous overvaluations in asset prices seen in today's markets, Lance expects economic growth to remain anemic (at best) for the coming decade.
Andrew Maguire explains how the newly created Kinesis Monetary system, which combines gold and silver with block chain technology, enables transactions and earns a yield.
Unlike previous rallies in silver prices, which were crushed as they ran up against JP Morgan’s position, recent data reveals that for the first time ever, JP Morgan has established an unprecedented position to benefit from a long rally in silver.
Widely followed and trusted silver analyst Ted Butler of ButlerResearch.com visits Reluctant Rreppers for the first time, to declare that the next inflection point in dilver price momentum will be violently different from all previous silver rallies.
As momentum investors pile on, this time unhindered by J.P. Morgan, silver prices will be capable of rising as never before seen in modern history.
The only chance that Turkey has to stabilize the lira and stop further depreciation is to establish a currency board and anchor the lira to another reserve, like gold, said Steve Hanke, professor of Applied Economics at the Johns Hopkins University and senior fellow at the Cato Institute.
“Under a currency board arrangement that was gold-based, the lira would trade at a fixed exchange rate to gold, be freely convertible, and it would be fully backed 100% by gold. So, the lira would literally be as as good as gold,” Hanke told Kitco News.
Hanke noted that under this arrangement, inflation in Turkey would “collapse,” from 100% on an annual basis down to “almost nothing, overnight,” further stabilizing the lira. He added that this currency board arrangement is Turkey’s only option at preventing further lira depreciation at this point, as by definition, capital controls under a currency board with a fixed currency is not possible, and raising interest rates would also not be economically sound policy given the high inflation rate.
“There’s no way that the lira will stabilize with the current system that they have. The inflation rate, as I measure it, is around 100% in Turkey right now, on an annual basis, and that implies that to get a real yield that’s positive, you’d have to have interest rates over 100% and that of course, that will kill the Turkish economy,” he said.
Hanke added that Turkey is no stranger to lira collapses, as their currency has witnessed similar rapid depreciation in the past.
The new NDAA (John McCain NDAA) was put into law there was a section which allowed the President to strip government employees of their security clearance, it just happened to John Brennan, who's next.
Iran supreme leader says the 2015 negotiations were a mistake. Q drops more bread crumbs and goes deep into many of the issues. Q explains that the tables have turned and now the deep state is being hunted.
"Not since 1860 have the Democrats so fanatically refused to accept the result of a free election. That year, their target was Lincoln. They smeared him. They went to war to defeat him. In the end, they assassinated him.
Now the target of the Democrats is President Trump and his supporters. The Left calls them racists, white supremacists and fascists.
These charges are used to justify driving Trump from office and discrediting the right "by any means necessary." "But which is the party of the slave plantation? Which is the party that invented white supremacy?
Which is the party that praised fascist dictators and shaped their genocidal policies and was in turn praised by them? Moreover, which is the party of racism today?
Is fascism now institutionally embodied on the right or on the left?" "Through stunning historical recreations and a searching examination of fascism and white supremacy, Death of a Nation cuts through progressive big lies to expose hidden history and explosive truths.
Lincoln united his party and saved America from the Democrats for the first time. Can Trump—and we—come together and save America for the second time?"
Dinesh D'Souza is a multiple time best-selling author and filmmaker. His latest documentary “Death of a Nation” and the companion book “Death of a Nation: Plantation Politics and the Making of the Democratic Party” are now available in both theaters and retailers.
Today's mortgage lending practices are nearly as reckless in 2008, Fund Manager Dave Kranzler tells Silver Doctors.
Eric Dubin says the coming crash will not just be in housing, but across many sectors. Papering over the 2008 crisis has created bubbles throughout the financial system.
Gold and silver have continued down lately as the U.S. Dollar as risen. Kranzler is skeptical that US dollar strength is the reason for the decline in precious metal prices.
The Bank of International Settlements (BIS) leasing of gold is the biggest factor, Kranzler believes.
Alasdair Macleod talks about the relationship of gold with trillions of dollars created out of thin air and gives some ideas about how to best protect your investments.
This week we discuss the market conditions of gold, silver, the DOW, US Dollar index, the Euro and more and look back at 2008 VS today. What are the main differences and similarities that are appearing within the markets.
Dr. Dave Janda, host of the popular radio show “Operation Freedom,” says, “There have been 12 attempts on President Trump’s life.”
This is a story that has not been released to the mainstream press, and Janda says it will not stop the first wave of indictments for the people who tried to illegally remove President Trump from office in a failed coup.
Dr. Janda also says the very top people in the New World Order, such as the Rockefellers and the Rothschilds, will not escape justice. Dr. Janda says, “If that doesn’t happen, then nothing will have changed.”
In closing, Janda says there is some very good news coming. Janda contends, “I truly believe our country will be far better off, freedoms and liberties restored and a way of life restored that is not a two-tiered system that has one set of rules for players for the Deep State and one set of rules for the 99.9% of us.
The country will be far better off, every American will be far better off and the world will be far better off.”
The Federal Reserve leaves interest rates unchanged for August, but going against Trump, plan for another hike in September with possibly one more hike later in 2018.
We cover how the markets reacted including the global currency markets. Gold in relation to longer term averages is reaching key levels along with important levels in the short term.
We'll review the price movements of silver, platinum, & palladium as well as the US Dollar Index & more.
Ronnie has been writing the extensive and well respected "In Gold We Trust Report" now for 12 years.
During this 50+ minute interview, Jason asks Ronnie about the global macro situation including the recent US Dollar rally, the Fed's plan to ramp up QT further in October 2018 and how QE has been going on for almost an entire decade. (It will be 10 years in November 2018 since QE and the bailouts started.)
In early June, Ronnie also co-authored an excellent article for the Mises Institute that was featured on Zero Hedge called, "China Is In Trouble" where he discusses the massive credit bubble in China that has exploded in size the last decade
Jason and Ronnie also discuss gold, gold stocks and Bitcoin.
The documentary has already won awards and if the mainstream financial media wanted to honestly cover what really happened during 2008 (instead of praising and worshiping Ben Bernanke as our savior!) the documentary would have an extremely large audience in the US. During this 35+ minute interview, Jason asks Jimmy why he decided to make a film about the 2008 financial crisis?
