Precious metals news

"Clearly the tax cut and the economic activity that has come from it has caused the Fed to raise rates, That tax cut was promised before the Fed began hiking, President Trump was running for office, and rates were zero. Do you really think we would've had that kind of a tax cut if we knew where rates were going to be?"

In a data-driven article from SRSrocco comes the realization that most primary silver producers are not only losing money but only two primary silver companies had production costs that were below the price of silver last quarter.

As demand dries up, this seems the be the question buyers are asking themselves. The least appetizing 30-year fixed rate since September 2009 is now coupled with a market that is 11.5% more expensive than the peak of the insane bubble in 2006.

Few do. But the Oracle of Omaha didn't always display what many have come to view as his perpetual contempt for precious metals, and examining the reasons behind his trade thesis of over 20 years ago presents a striking opportunity for investors today.

Investors, during times of global stock market uncertainty, still flock en masse into the seeming safe harbor of the US dollar. And there, bathed in the pacifying security of the full faith and credit of the US government, the only thing standing behind that dollar, they wait out the storm. This has worked, time and again. And it will. Until it won’t.

It's neither easy nor cheap to maintain what is arguably the world's most opulent hotel. Every piece of ultra-delicate gold leaf is replaced by hand.

“Investors should, but rarely do, anticipate the enormous growth deceleration that occurs once tiny companies in emerging industries become behemoths in mature industries.”

"Bitcoin’s price fell below the mark $6,000 for the first time this year — it has since plunged below $5,600. That, in turn, caused havoc in the altcoin market with valuations plummeting double-digit percentages nearly across nearly all of the top 100 valued tokens."

And as America's population continues, on average, to get older and sicker, the chief reason for this spending bloat (Medicaid, at almost 30% of total expenditure) will only increase.

Super-low interest rates, extremely easy-loans and all manner of subprime mortgages have fueled a wild real estate bubble now popping in a country with one of highest per-capita credit debt burdens in the world,

While this may well be the case, is it the Fed's job to keep interest rates at a level that continually inflates asset prices? Even after a decade of ZIRP drove those prices to the unreasonable bubble levels they are at now?

General Electric, once the bluest of American blue-chip companies, has seen its stock fall into the single digits and has watched its bonds, once the bedrock of fixed-income investment for many, get downgraded to junk status.

"The British pound dropped sharply on Thursday after two key UK government ministers resigned, plunging the Brexit process into deep uncertainty and hiking the risk of a chaotic rupture with the European Union."

"Nearly ten years of rapid bond issuance has left large firms more highly levered than they have been in past decades. Declines in incomes or asset values could create cash flow or insolvency problems."

"Paulson left its interest in SPDR Gold Trust unchanged at 4.3 million shares for the third quarter, though the value decreased to $487.13 million from $512.57 million in the prior quarter."

"It may not be enough to reverse the momentum or flip the downtrend, but another Spec short squeeze is coming. Of that, you can be certain."

Investors are about as interested in gold as the public is in buying Halloween costumes on November 1st. Here's what it means to those paying attention...

John Adams and Martin North have just suffered a major setback in their quest to reclaim Australia's missing gold. Here are the details...

Last week, we got data on the producer price index. It came in at o.6%, a much hotter number than expected. It was the biggest jump in the PPI in six years. Year-over-year, producer prices are up 2.8%.
Analysts expected the monthly increase to come in at half that - 0.3%. While the Fed typically looks at consumer prices to gauge inflation, producer prices are also significant. After all, the cost of production is ultimately passed on to the consumer.
As soon as that PPI number came out, the price of gold dropped about $10. As Peter Schiff pointed out in a recent podcast, this is because the markets still don't get it. They are playing checkers instead of chess.

The silver-gold ratio hit the highest level in over a quarter century this week.
The ratio hit to 86:1 as dollar strength pulled both the price of silver and gold lower this week after the Federal Reserve indicated it plans to keep pushing interest rates higher. The price of silver fell even more steeply than the gold price. A research note by Commerzbank said it was that largest gap between the two metals in 25 years. Practically speaking, this means silver is undervalued compared to gold.