Gold and What Mov...
Follow
72.0K views | +35 today
 
Scooped by Hal
onto Gold and What Moves it.
Scoop.it!

Gold Confiscation - An Unlikely Scenario

Gold Confiscation - An Unlikely Scenario | Gold and What Moves it. | Scoop.it

by Alex Canahuate:

 

The specter of confiscation has haunted gold investors for some time, but with increasing persistence as a legitimate "recovery" fails to materialize.

 

".. Upon a more detailed review, it is obvious that the circumstances which precipitated the 1933 gold confiscation are not applicable today. While debt concerns were prevalent then -- and are even more so today -- the reality is that the government will always prefer to manipulate the fiat currency system rather than engage in the operational nightmare that would be a current-day gold confiscation. Besides difficulty, the government can affect economic changes via policy tweaks more surreptitiously than by using more overt measures like confiscation. In an era of record low Congressional approval and an atmosphere of political fatigue amongst the general public, the likelihood of our policymakers passing unpopular confiscatory policies remains unlikely at best.

 

"As I initially said, anything is possible. However, a more plausible concern is the adoption of exchange controls, which ultimately limit citizens' ability to move money and assets in and out of a country and currency. In a hypothetical, future environment of hemorrhaging dollar value and slumping demand, the U.S. government may find itself in a position where it has to implement exchange controls to keep Americans from dumping dollars in favor of other currencies and non-dollar denominated assets. ..."

 

 

Hat tip to Roger, https://twitter.com/MonetaAdvisors ;

more...
No comment yet.
Gold and What Moves it.
Tracking all things that relate to and affect the price of gold.
Curated by Hal
Your new post is loading...
Your new post is loading...
Scooped by Hal
Scoop.it!

LearCapital | Download Lear Gold & Silver Daily Today!

LearCapital | Download Lear Gold & Silver Daily Today! | Gold and What Moves it. | Scoop.it

Download the Free Lear Gold & Silver Daily Today!

 

Stay on top of the latest breaking commodities market news, coin prices, real time charts and special promotions from Lear Capital's “Lear Gold and Silver Daily” app for both iOS  and Android devices .

 

The Lear Gold and Silver Daily app is a special new benefit brought to you by Lear Capital at no additional cost.

more...
No comment yet.
Scooped by Hal
Scoop.it!

What are the key events that can influence Gold this week? - Shanghai Metals Market

What are the key events that can influence Gold this week? - Shanghai Metals Market | Gold and What Moves it. | Scoop.it
It will be a busy week for financial and gold markets and there are three events in particular that can shape the larger investment climate, said Brown Brothers Harriman. What are the key events that can influence Gold this week?
more...
No comment yet.
Scooped by Hal
Scoop.it!

Richard Russell - Total Systemic Failure & Worst U.S. Nightmare

Richard Russell - Total Systemic Failure & Worst U.S. Nightmare | Gold and What Moves it. | Scoop.it

Richard Russell writes on King World News:  “I've been thinking, the people at the Fed may be deceivers and even liars, but they are not stupid. They know that the current system depends on constant, never-ending growth. But they also know that “no tree grows to the sky.” So what are they really thinking? The people at the Fed realize that they have good jobs and that they have prestige. 

 

They also know that they will continue their Keynesian policies for as long as they are employed by the Fed. And then when the system breaks down, which it must some day, they will be retired and the next Fed employees will take over. So enjoy it while it lasts and let the next guy deal with the ugly consequences. The Fed members may be deceitful and given to lies -- but they are not stupid.


I guess the worst offender was Alan Greenspan, who while younger wrote ...

Hal's insight:

Click through for the rest. I always enjoy reading his perspective. A man who has seen a lot.

more...
No comment yet.
Scooped by Hal
Scoop.it!

Florida Raising Property Taxes

Florida Raising Property Taxes | Gold and What Moves it. | Scoop.it
COMMENT: Hi Martin, Our local city has just voted unanimously to raise the property tax rate 17.7%. They're not alone, as many local municipalities in Florida have raised rates. 37 of 39 cities in ...
Hal's insight:

Martin answer to this letter from a reader is worth a read. Indeed, municipal governments are broke.

more...
No comment yet.
Scooped by Hal
Scoop.it!

Newsflash To Fed: 122 Billion Bottles Of Beer On The Wall Is A Mega-Bubble

Newsflash To Fed: 122 Billion Bottles Of Beer On The Wall Is A Mega-Bubble | Gold and What Moves it. | Scoop.it

While Janet Yellen and her band of money printers work themselves into a tizzy over whether two buzz words—-“considerable time”—– should be dropped from their post-meeting word cloud, they might be better advised to just read the newspapers. This morning’s WSJ brings word that the lending boom which our monetary central planners are eager to stimulate is apparently off-to-the-races.

 

Well, sort of. The item in question is a $122 billion globally syndicated loan to facilitate an M&A deal between the world’s two largest beer companies—AB InBev with a 20% global market share and SABMiller with 10%.  Needless to say, the only possible reason for creating a monstrosity with $60 billion in sales spread among scores of highly differentiated regional and national beer markets is the “synergy” euphemism—-that is, the “savings” from thousands of job terminations especially in those two paragons of job growth known as North America and Europe.

 

So the purpose is self-evidently the opposite of the Fed’s intent—whether the sweeping job cuts which Wall Street will peddle to justify the deal actually happen or not. In any event, the deal has virtually ...

more...
No comment yet.
Scooped by Hal
Scoop.it!

FOMC Meeting May Reveal A Shift In Fed's View QE Exit Strategy; Gold Watches Closely

FOMC Meeting May Reveal A Shift In Fed's View QE Exit Strategy; Gold Watches Closely | Gold and What Moves it. | Scoop.it
(Kitco News) - A two-day Federal Open Market Committee meeting ends Wednesday and economists said they are expecting the Federal Reserve will announce some sort of change on forward guidance as it prepares to end its asset-purchase program. Economists said the Fed will likely announce another $10 billion reduction in its [...]
more...
No comment yet.
Scooped by Hal
Scoop.it!

Michael Pento on Gold

Michael Pento on Gold | Gold and What Moves it. | Scoop.it

Since Nixon closed the gold window in 1971, gold has made an impressive move upward from its fixed price of $32 an ounce, to where it sits now around $1,250. But few seem to grasp what actually causes gold to move higher. An increase in the gold prices occurs when the market becomes convinced that a currency will lose its purchasing power due to central bank-induced money supply growth and real interest rates that have been forced into negative territory. And nothing convinces a market more of a rising gold price than when debt and deficits explode.
 
But while the parabolic move higher in gold from 2009 to 2011 did contain a period of low nominal interest rates, real rates did not fall. And, the surging gold price was not accompanied by a growing money supply either. In fact, the growth rate of M3 plummeted during 2009 thru 2010-it wasn't until 2011 that the money supply rebounded. So what would explain the steady move in gold from $800 to $1,900 per ounce during that time period? The gold price simply got ahead of itself because the market feared that out of control deficits would force the Federal Reserve into an unending cycle of debt monetization, which would engender a protracted period of negative real interest rates, booming money supply growth and inflation. 
 
However, those fears were temporarily ameliorated by the reduction of Federal Budget deficits starting in 2011. This is because the Fed was, ironically, able to temporarily re-engineer asset bubbles, while sending borrowing costs lower, causing revenues to increase and expenditures to decrease. Annual deficits fell from $1.3 trillion in 2011, to $500 billion today. Adding to the gold market's recent woes is the specious belief held by U.S. dollar bulls that the Fed will be aggressively raising interest rates while the rest of the world is cutting rates. This is the explanation to why gold and gold mining shares have suffered mightily during the past three years.  ...

Hal's insight:

Click through for the rest.

more...
No comment yet.
Scooped by Hal
Scoop.it!

Martin Armstrong-Next Decline Will Be Far Worse Than Last One - YouTube

Martin Armstrong-Next Decline Will Be Far Worse Than Last One - YouTube | Gold and What Moves it. | Scoop.it
On the recent strength of the U.S. dollar, financial expert Martin Armstrong says, “The central banks only have the dollar, that’s it. It is the reserve curr...
more...
No comment yet.
Scooped by Hal
Scoop.it!

American credit-card debt hits a post-recession high : Jim Sinclair's Mineset

Jim Sinclair’s Commentary

What is left of the middle class is living on its credit cards.


American credit-card debt hits a post-recession high 
Published: Sept 13, 2014 8:02 a.m. ET

U.S. consumers may be relying too heavily on their plastic.

Americans added $28.2 billion to their credit cards in the second quarter of 2014, the largest amount in the last six years and nearly 200% more than in the second quarter of 2009, when the economy emerged from the depths of the Great Recession, ...

Hal's insight:

Good sign for gold, I believe.

more...
No comment yet.
Scooped by Hal
Scoop.it!

A Win-Win Scenario for Gold Investors

A Win-Win Scenario for Gold Investors | Gold and What Moves it. | Scoop.it
The US economy is set upon by two opposing forces - inflation and deflation. Right now they're more or less in check - each one working against the other to produce a fairly benign influence on the overall economy. But eventually one will emerge victorious. And when that happens, as Jim Rickards explains, gold investors will come out on top. Read on...
more...
No comment yet.
Scooped by Hal
Scoop.it!

Germanene: Graphene 'cousin' synthesized, using gold substrate

Germanene: Graphene 'cousin' synthesized, using gold substrate | Gold and What Moves it. | Scoop.it
A new research study shows that scientists are able to produce germanene, a material with the potential to be far more efficient than graphene.
more...
Bruce Fellowes's curator insight, September 12, 1:12 PM

I'm always talking about Graphene to my students as the new super material. Here's another material on the radar

Scooped by Hal
Scoop.it!

China Daily: "Western Sanctions Will Make Moscow Back The Chinese Yuan Against The Dollar" | Zero Hedge

China Daily: "Western Sanctions Will Make Moscow Back The Chinese Yuan Against The Dollar" | Zero Hedge | Gold and What Moves it. | Scoop.it
"The apparently long-term rupture of Russia's relations with the West offers an opportunity to the Chinese leadership to enhance its already close relationship with the Kremlin and thus turn the global geopolitical balance in its favor - not unlike former US president Richard Nixon and former secretary of state Henry Kissinger who reached out to Chairman Mao Zedong in 1972. The Russians, angry with Washington, are now more amenable to giving China wider access to their energy riches and their advanced military technology. The Western sanctions pushing Russia out of the international financial system are also making Moscow more ready and willing to back the Chinese yuan against the US dollar." - China Daily
Hal's insight:

This is why we're going to eventually see, I think, gold take off.

more...
No comment yet.
Scooped by Hal
Scoop.it!

oftwominds-Charles Hugh Smith: What If the Easy Money Is Now on the Bear Side?

oftwominds-Charles Hugh Smith: What If the Easy Money Is Now on the Bear Side? | Gold and What Moves it. | Scoop.it

Complacent melt-ups aren't just boring--they're not very profitable.


File this under Devil's Advocate: what if the easy money in the stock market is no longer the "guaranteed" Bull melt-up but the Bearish bet on a sudden air pocket?Just as a thought experiment, put yourself in the shoes of the money managers who have the leverage to move the markets.

You probably know the drill: program your trading bots to recognize every technical trading scheme's key support and resistance levels, and then unleash huge futures/options buys after hours or pre-open so the market jumps in the direction that makes you the most money. ...
Hal's insight:

This is an interesting read. Click through for the rest.

more...
No comment yet.
Scooped by Hal
Scoop.it!

Gold's move from West to East is said intended to rebalance FX reserves | Gold Anti-Trust Action Committee

Gold's move from West to East is said intended to rebalance FX reserves | Gold Anti-Trust Action Committee | Gold and What Moves it. | Scoop.it

China May Boost Gold Reserves amid Imbalances in Holdings

By Feiwen Rong and Glenys Smi
Bloomberg News
Monday, September 15, 2014

http://www.bloomberg.com/news/2014-09-15/biggest-banks-said-to-overhaul-...

 

China may join other emerging countries in boosting gold reserves as the precious metal makes up a smaller share of its foreign-exchange holdings compared with developed economies, said a London-based researcher.

 

The country hasn't announced any changes to state gold reserves since authorities in 2009 said holdings totaled 1,054.1 metric tons. While China holds the world's biggest foreign-exchange reserves, bullion accounts for 1.1 percent of the total, compared with about 70 percent for the U.S. and Germany, the biggest gold holders, World Gold Council data show. ...

Hal's insight:

Click through for the rest.

more...
No comment yet.
Scooped by Hal
Scoop.it!

oftwominds-Charles Hugh Smith: Janus Yellen and the Great Transition from Risk-On to Risk-Off

oftwominds-Charles Hugh Smith: Janus Yellen and the Great Transition from Risk-On to Risk-Off | Gold and What Moves it. | Scoop.it

The end of risk-on cannot be prettily managed.

In ancient Roman religion and myth, Janus is the god of transitions--beginnings and endings of conflict, war and peace, journeys, trades and eras. Janus has two faces, as befits a god that looks both to the future and to the past.

In our era of omnipotent central banks worshipped by the Status Quo, we have a goddess of financial transitions--Janus Yellen, the two-faced chair/deity of the Federal Reserve--to usher in the Great Transition from risk-on to risk-off.
What is risk-on? ...
Hal's insight:

Great article. Click through for the rest.

more...
No comment yet.
Scooped by Hal
Scoop.it!

Inflation Watch: How Much $1 Used To Get You! | Zero Hedge

Inflation Watch: How Much $1 Used To Get You! | Zero Hedge | Gold and What Moves it. | Scoop.it
Despite promises that inflation is "contained," the dollar ain't quite what it used to be...
Hal's insight:

Click through for the full size graphic. It'll give you something to think about the next time you head out to get some food.

more...
No comment yet.
Scooped by Hal
Scoop.it!

China + Russia v USA + Europe

China + Russia v USA + Europe | Gold and What Moves it. | Scoop.it
China has aligned itself with Russia as often an ally in the international arena. China has made it known that it stands ready to use the right of "veto" any decision of the UN Security Council on ...
more...
No comment yet.
Scooped by Hal
Scoop.it!

#Gold ETFs outflows - 15th consecutive month in #India - @Mineweb.com

#Gold ETFs outflows - 15th consecutive month in #India - @Mineweb.com | Gold and What Moves it. | Scoop.it

Indian demand for bullion is also expected to fall by 13% to 850 metric tonnes this year, the lowest level since 2009. ...

more...
No comment yet.
Scooped by Hal
Scoop.it!

UK Hints At Next Reserve Currency, To Issue Chinese Yuan-Denominated Bond | Zero Hedge

Yuanification continues around the world. As The USA attempts to corral its allies in a 'broad coalition', an increasing number of people - including domestic economic policy advisors - are shifting away from the USD as primary reserve currency. However, the move by British Chancellor of the Exchequer George Osborne, announced Friday, is likely the most notable yet in the world's de-dollarization. As Xinhua reports, the British government intend to be the first nation (ex-China) to issue Renminbi denominated bond and to use the proceeds to finance the government's reserves of foreign currency. Osborne described this dialogue outcome as "a historic moment" and a statement of British confidence in the potential of the RMB to become "the main global reserves currency".
Hal's insight:

The march away from the dollar continues.

more...
No comment yet.
Scooped by Hal
Scoop.it!

oftwominds-Charles Hugh Smith: Is Risk-On About to Switch to Risk-Off?

oftwominds-Charles Hugh Smith: Is Risk-On About to Switch to Risk-Off? | Gold and What Moves it. | Scoop.it

Cranking markets full of financial cocaine so they never correct simply sets up the crash-and-burn destruction of the addict.


Human memory being what it is, almost three years of risk-on euphoria has created the illusion that risk-on is The New Normal that will continue on for years to come. Perhaps, but there are converging signals that suggest the risk-on trade is about to reverse polarity to risk-off. These include:
1. Junk bonds. Two charts below (one from Lance Roberts and the second from Chris Kimble) suggest the risk-on extremes have reached the point of reversal.

2. Soaring U.S. dollar. Without going into detail, it's increasingly clear that ...
Hal's insight:

Click through for the rest .

more...
No comment yet.
Scooped by Hal
Scoop.it!

Recent gold and silver smash aimed at the Russia and China?

Recent gold and silver smash aimed at the Russia and China? | Gold and What Moves it. | Scoop.it

Robert Fitzwilson tells King World News in an article titled, The Global Ticking Time Bomb, Economic War & World War III.

 

As for precious metals, the recent smash could also be aimed at the currency antagonists of the West, particularly Russia and China. Those two nations, along with India, own the lion’s share of the world’s stock of gold and silver. Driving the price down to tarnish the role of precious metals makes perfect sense if you want to keep printing money out of thin air without constraints. As with oil, there is no economic basis for the price of precious metals being this low. It is simply collateral damage from war between the major powers....

Hal's insight:

Click through for the full piece.

more...
No comment yet.
Scooped by Hal
Scoop.it!

The death spiral of capitalism - Martin Hutchinson

The death spiral of capitalism - Martin Hutchinson | Gold and What Moves it. | Scoop.it

No less than six sovereign borrowers are now paying negative nominal interest rates on their 2-year borrowing in euros. In other words, they are making money by going into debt. In real terms, medium-term U.S. TIPS and British index-linked gilts have had negative interest rates for several years. Contrary to the views of the happy Keynesians around us, this is very dangerous indeed. If negative interest rates were to persist, the world's stock of capital would eventually disappear. Without capital, we'd be back up the trees. 

You don't even have to be a decent credit risk to borrow money at negative interest rates in euros—France's 2-year bond yield has just turned negative. Since France hasn't balanced its budget since 1969 and is enduring a prolonged period of stagnation caused by having one of the world's largest public sectors, to rational investors it ranks as a credit with substantial risk. Of course, today's bond-market investors aren't rational; their brains are fogged by six-years-and-counting of monetary "stimulus." ...
Hal's insight:

Hat tip to @EdSteerGSD

more...
No comment yet.
Scooped by Hal
Scoop.it!

You could be watching the wrong gold price. Click here to see why.

You could be watching the wrong gold price. Click here to see why. | Gold and What Moves it. | Scoop.it

Gold is still in a downtrend, if you examine a chart of gold prices measured in dollars. But gold in euros looks much stronger, and that’s actually a bullish condition, eventually.

 

People often ask at what dollar price is gold likely to find support or resistance. But it can be argued that the dollar price of gold is not very relevant for a lot of the old-school technical tools. The static price levels of prior highs and lows do not generally show much significance as support or resistance agents once they are reached again.

 

The big reason for this is ...

more...
HappyGoldLucky's curator insight, September 13, 12:04 PM

add your insight...


Scooped by Hal
Scoop.it!

Six Reasons to Invest in Silver - American Hard Assets

Six Reasons to Invest in Silver - American Hard Assets | Gold and What Moves it. | Scoop.it
Invest in Silver: Silver has fallen massively from its highs and arguably offers investors an attractive route to hedge against future market turbulence.
more...
No comment yet.
Scooped by Hal
Scoop.it!

Swiss Gold Initiative & The PPT Losing Control Of Gold Market

Swiss Gold Initiative & The PPT Losing Control Of Gold Market | Gold and What Moves it. | Scoop.it

Today one of the legends in the business spoke with King World News about the Swiss Gold Initiative and the fact that the U.S. Plunge Protection Team is very close to losing control of the price of gold.  Keith Barron, who consults with major companies around the world and is responsible for one of the largest gold discoveries in the last quarter century, also spoke about the disastrous policies of the Swiss National Bank.


Barron:  “One of the most interesting things happening right now is a move by the Swiss National Bank to begin instituting negative interest rates.  The reason they want to do this is because the capital inflows over the last couple of weeks from European countries into Switzerland has increased dramatically.  This is destabilizing the peg between the Swiss franc and the euro....

Hal's insight:

Click through for the rest.

more...
No comment yet.
Scooped by Hal
Scoop.it!

Asian Gold Demand Remains In Focus; CME Group Plans Futures Contract In Hong Kong - Shanghai Metals Market

Asian Gold Demand Remains In Focus; CME Group Plans Futures Contract In Hong Kong - Shanghai Metals Market | Gold and What Moves it. | Scoop.it
The significance of the Asian region to the gold market has been reinforced once again by the announcement from CME Group that it plans to launch a gold futures contract in Hong Kong by year-end.
Asian Gold Demand Remains In Focus; CME Group Plans Futures Contract In Hong Kong
more...
No comment yet.