Tag Archives: 6) Gold and Austrian Economics

A Purely Technical Market Long time readers may recall that we regard Bitcoin and other liquid big cap cryptocurrencies as secondary media of exchange from a monetary theory perspective for the time being. The wave of speculative demand that has propelled them to astonishing heights was triggered by market participants realizing that they have the potential to become money. The process of achieving more widespread...

See the introduction and the video for the terms gold basis, co-basis, backwardation and contango. Wrong-Way Event. Last week we said something that turned out to be prescient: This is not an environment for a Lift Off Event. An unfortunate technical mishap interrupted the latest moon-flight of the gold rocket. Fear not true believers, a few positive tracks were left behind. [PT] Fundamental Developments The price of...

Bad Hair Day Produces Positive Divergences On Friday the ongoing trade dispute between the US and China was apparently escalated by a notch to the next level, at least verbally. The Trump administration announced a list of tariffs that are supposed to come into force in three week’s time and China clicked back by announcing retaliatory action. In effect, the US government said: take that China, we will now really hurt...

See the introduction and the video for the terms gold basis, co-basis, backwardation and contango. Small Crowds, Shrinking Premiums The prices of gold and silver rose five bucks and 37 cents respectively last week. Is this the blast off to da moon for the silver rocket of halcyon days, in other words 2010-2011? We will look at the basis signals in a bit. But for now, we want to comment on the absolutely moribund state...

– “Without gold I would have starved to death” – Ewald Nowotny, governor of Austrian central bank and member of ECB’s governing council – “I was born in 1944. When I was a baby, my mother could only buy food because she still had some gold coins…” – “When the going gets tough, gold becomes the ultimate money” reports Die Presse Under central bank governor Ewald Nowotny, Austria has brought back half of its gold reserves...

Swiss Government Pension Fund Allocating 2% Of Pension Fund To Gold Bars via IPE Quest The Swiss government pension fund, Switzerland’s AHV/AVS fund, has decided to diversify into physical gold bars in their substantial CHF35.2bn (€30.5bn) pension portfolio. At the end of last week the first pillar buffer fund tendered a custodianship and storage for CHF 700m (EUR 600m / USD 700m / GBP 525m) in gold bars via IPE Quest....

See the introduction and the video for the terms gold basis, co-basis, backwardation and contango. Oil is Different Last week, we showed a graph of rising open interest in crude oil futures. From this, we inferred — incorrectly as it turns out — that the basis must be rising. Why else, we asked, would market makers carry more and more oil? We are grateful to Peter Tenebrarum at Acting Man and Steve Saville at The...

Get “Positioned In Gold” Now As “You Will Not Have Time To Get Positioned” In Physical Later Guest post by Dominic Frisby of Money Week This year’s “gold standard” of gold-related research has just come out. Conveniently enough – given gold’s “safe haven” reputation – it’s arrived just in time for another major financial market scare, this time in the form of Italy. Below, I consider some of the most pertinent points…...

Are Gold And Silver Obsolete In The Crypto Age? What is the outlook for the global economy, financial markets, crypto currencies such as bitcoin and gold and silver bullion in the digital age? TOPICS IN THIS INTERVIEW 01:00 Diagnosis of the economy and rising inflation 06:00 Possible stock market correction? 09:30 What is triggering higher oil prices? 13:05 Impacts of rising oil prices on the mining sector 14:40 Gold...

The New In Gold We Trust Report is Here! As announced in our latest gold market update last week, this year’s In Gold We Trust report by our good friends Ronald Stoeferle and Mark Valek has just been released. This is the biggest and most comprehensive gold research report in the world, and as always contains a wealth of interesting new material, as well as the traditional large collection of charts and data that...