Tag Archives: gold silver ratio

Hostages of Irredeemable Scrip Stockholm Syndrome is defined as “…a condition that causes hostages to develop a psychological alliance with their captors as a survival strategy during captivity.” While observers would expect kidnapping victims to fear and loathe the gang who imprison and threaten them, the reality is that some don’t. There is a loose analogy between being held hostage and being an investor in a regime...

See the introduction and the video for the terms gold basis, co-basis, backwardation and contango. The Socialist Politician-Bureaucrat with the Worst Timing Ever As most in the gold community know, the UK Chancellor of the Exchequer Gordon Brown announced on 7 May, 1999 that HM Treasury planned to sell gold. The dollar began to rise, from about 110mg gold to 120mg on 6 July, the day of the first sale. This translates...

See the introduction and the video for the terms gold basis, co-basis, backwardation and contango. Numeraire Extraordinaire The price of gold went up $12 last week, and that of silver $0.50. That’s not bad for gold and silver owners, and not good for the vast majority who are all-in on the dollar (though they don’t think of it that way). Since we began publishing this Supply and Demand Report four and a half years...

See the introduction and the video for the terms gold basis, co-basis, backwardation and contango. How to Earn Money that Will Soon be Worthless Real Quick There is a often-promoted plan to grow your wealth. Here’s the background. The dollar is going to be worthless. Soon! The reason is because [their peeps in high places tell them / the Chinese / end of the petrodollar / historical fiat currencies / Rothschild Jekyll...

See the introduction and the video for the terms gold basis, co-basis, backwardation and contango. Frexit Threat Macronized The dollar moved strongly, and is now over 25mg gold and 1.9g silver. This was a holiday-shortened week, due to the Early May bank holiday in the UK. The big news as we write this, Macron beat Le Pen in the French election. We suppose this means markets can continue to do what they wanted to do...

See the introduction and the video for the terms gold basis, co-basis, backwardation and contango. Election Effect Debate Last week, we talked about the effect of the French election on the gold and silver markets, and noted:   Of course, traders want to know how this will affect gold and silver. As we write this, we see that silver went down 30 cents before rallying back up to where it closed on Friday. Gold went down...

See the introduction and the video for the terms gold basis, co-basis, backwardation and contango. The Mathematics of Frexitology This was also a holiday-shorted week. As we write this, the big news comes from the election in France. The leading candidate is a banker named Emmanuel Macron, with about 24% of the vote in a 4-candidate race. The anti-euro Marine Le Pen came in second with just over 21%. From the sharp...

See the introduction and the video for the terms gold basis, co-basis, backwardation and contango. A Force Like Gravity This was a holiday-shorted week, due to Good Friday, and we are posting this Monday evening due to today being a holiday in much of the world. Gold and silver went up the dollar went down, +$33 and +$0.53 -64mg gold and -.05g silver. The prices of the metals in dollar terms are readily available, and...

See the introduction and the video for the terms gold basis, co-basis, backwardation and contango. Input Data Errors Dear Readers, I owe you an apology. I made a mistake. I am writing this letter in the first person, because I made the mistake. Let me explain what happened. I wrote software to calculate the gold basis and co-basis (and of course silver too). The app does not just calculate the near contract. It...

See the introduction and the video for the terms gold basis, co-basis, backwardation and contango. Orders of Preference Last week, we discussed the growing stress in the credit markets. We noted this is a reason to buy gold, and likely the reason why gold buying has ticked up since just before Christmas. Many people live in countries where another paper scrip is declared to be money — to picture the absurdity, just...