Gold: Past, Present, and Future

Status update: Volatility is practically non-existent across all markets right now, including precious metals.
That said... some of you might recall my previous comments regarding Saudi Arabia. Last month's developments also point toward the possibility of a massive, seismic shift. Furthermore, the crypto market—specifically Bitcoin, which is a frequent topic of debate here—is providing its own set of signals. If you haven't started your engines yet, you should probably do so. The window for wealth accumulation is closing.
Intelligence is rarely one-dimensional. Those who settle for nothing more than Nutella might find themselves missing a significant opportunity. Buy. Silver. Gold and COMEX have always carried their own weight. And yes, once things move, gold will act as the locomotive pulling the silver wagons quite far behind. We are already starting to sense that psychological turning point when the gold-to-silver ratio finally collapses.😉

"And Bitcoin holders are going to do very well."

Jim Rickards outlines potential triggers for a crisis—one of which might act as the single snowflake that sets everything in motion:

https://dailyreckoning.com/waiting-for-the-avalanche/

"And even in the lowlands, the flurries will fall, gradually turning into snow."

Robert Vaughn10 said:Jim Rickards outlines potential triggers for a crisis—one of which might act as the single snowflake that sets everything in motion:

https://dailyreckoning.com/waiting-for-the-avalanche/

"And even in the lowlands, the flurries will fall, gradually turning into snow."

The chump literally just copy-pasted his own text from back in 2014.

https://dailyreckoning.com/3-very-re...cial-collapse/ 🤣

Melissa Sanchez17 said:The chump literally just copy-pasted his own text from back in 2014.

https://dailyreckoning.com/3-very-re...cial-collapse/ 🤣

Might be worth checking the inventory levels at CME Group.

"conducting physics"

Regarding the Federal Reserve raising rates, it's worth noting that the inflation expectations scheduled for November 30th haven't been released yet.

http://www.zerohedge.com/news/2017-1...-erupts-senate

Before we take a look at today’s calendar, we wrap up with other data releases from yesterday. In the USA, the October PCE core was in line at 0.2% mom and 1.4% yoy, but note the prior reading was revised up 0.1ppt and recent momentum looks stronger with the 3-month annualized rate now at 1.9%

Why no announcement? Just asking. Given the revision, the current annual value sits at 1.9%. While useless for November without further data, this would certainly give the Fed enough ammunition to hike rates. Meanwhile, the Senate passed Trump's tax cuts yesterday. This inevitably raises deficit concerns. We'll see how that plays out, but according to Jim Rickards, the deciding factors remain December 8th and whatever happens with those inflation expectations.



If you ask me and Mike Maloney, nobody actually knows the exact sequence of moves here. There are too many unknowns surrounding the mid-December window. Regardless, I'll note the Dow Jones industrial average at 24232.

On the other hand, Europeans have signaled strength with low inflation forecasts and solid growth rates. This could push the dollar toward 1.25 against the euro, or perhaps even hit Rickards' target of 1.30. There are plenty of variables, but then again, oil is already at $63. You can't expect much economic momentum at these levels across all indicators. We are waiting for a tailwind—a weakening reserve currency to boost commodities. And things can get messy under the surface. I wouldn't go as far as saying things are falling apart, but you read some wild stuff on American forums. Now? Not quite as much, but knowing bankers and remembering those stories about zero sales of US Eagles...

"still waiting."

Jim Rickards' engines are humming:

https://dailyreckoning.com/markets-u...ment-shutdown/

We'll see how this plays out...
The focus shifts toward crypto over the next few months, potentially lasting through May. The price target? Some are calling for $50,000. That’s a decent haul, assuming you exit at the right moment. I should note we're looking at a parabolic move here. Gentlemen, you could stumble quite hard; make sure your wallets are ready. Good luck...
And one more thing—don't expect that same volatility from gold. At least not in a few months where it swings wildly up and down. That would be foolish.😉
It also poses a risk if your positioning isn't backed by the right currency or if your timing on entry and exit is off. Silver, for instance, requires a bit more finesse. To put it simply: now is the time to buy silver. Period. Buying at levels north of $100 an ounce seems questionable to me unless your exit strategy is flawless. Keep in mind that bankers are clever; they'll manipulate things within the mainstream. A possible scenario: swinging from high inflation to real deflation, and then backtowardhyperinflation. If so, he'll be spot on.
Stay informed:

"there is no fever like gold fever"

The Federal Reserve went ahead and hiked rates. It’s funny how a 5% jump didn't seem to matter much before, yet now everyone acts like a 0.25% move is some monumental event. Meanwhile, they're recalculating inflation metrics, and Trump is already promising massive tax cuts starting in February. Honestly, moves like that are exactly what will keep most people glued to their stocks for a while. Bitcoin's momentum should also feed into this sense of misplaced euphoria and security. If the Dow Jones keeps up this pace, could we see it hit 10,000 points within 18 months? We'll see. At the very latest by summer 2018, precious metals ought to be on a significant upward trajectory.

"low and too low inflation rates"

A few thoughts on the current state of play...
If you haven't started paying attention yet, you’re already behind on the evidence. Cryptocurrencies are on the move. As they climb, I can't help but recall Mike Maloney mentioning Hassgraph. It’s a compelling concept. I’ve argued before that if a sustainable solution exists, we need it—but the real challenge lies in global integration. How do you unify everything on a planetary scale? And more importantly, how does the banking sector fit into that equation?😉 Expecting crypto to see a massive surge, perhaps even an irrational one, in the coming months seems reasonable. Peter Schiff, however, remains convinced this bubble is destined to burst. Jsnip is also worth watching here, given his tendency to lay out the crypto cards quite transparently. We shall see. That said, buying physical assets remains the logical move, and it’s certainly not too late to look at mining stocks either. Not by a long shot. The ultimate scale of the crypto bubble—and its eventual collapse—will dictate their future role, but as far as precious metals go, a bull market is clearly on the horizon. I’ll point back to The Economist 1988 once again; it remains a fascinating read.

"stack accordingly"

A quick update. Regarding the USD-EUR pair...
The behavior over the last month has been quite peculiar. Such low volatility for an entire month? Could we be seeing the Coiling Effect? Late last month, we were sitting at roughly 1.19 per euro before sliding just below 1.18. Now, it’s creeping back toward 1.19. Definitely worth keeping on the radar.

"load it onto the truck"

Man, it’s such a bummer this thread went totally silent. Gold was actually getting interesting for a second there—sitting just a few bucks shy of $1,307. If it had managed to break higher, we might have been able to call it a day and say the bears were finally dead and gone, right? But since it stalled? Honestly, I wouldn't be surprised if we see a retest down at $1,150, or maybe even a dip toward $1,050. If it holds above those levels, then yeah, we're looking at the start of a massive bull run. But if it slips past them... well, looks like we're back to playing the waiting game for another couple of years.👎?

It’s easy to claim we’re at the start of a bull run when things are sitting at 1050.
Unless, of course, this is all just more manipulation before it craters back down to 800.
In a perfect world—if such a thing exists—we could have been hovering around 1800 indefinitely... but let's be real.
The reality is we're at 1300 right now and nobody has a clue where the floor is.

Theoretically... purely in theory... this could actually be the start of a bull market, right?

The legendary Bill Gross has repeatedly signaled the end of the U.S. bond bull market—a run that kicked off back in 1981. It’s hard to argue with that.😉
Negative interest rates? And suddenly, after four months? Just as a major coalition was formed in Germany and the Euro/Dollar exchange rate hit 1.22. Given how the Dow Jones has been pumped to an effortless 25,803, you really have to question the context and the indicators.The Dow/Gold ratio tells a completely different story, especially looking back at the trend since 2001. Aside from the last couple of years, the Dow has been falling against gold. This recent upward spike is a classic trap, quite obvious when you look at the multi-decade movement of the dollar. To wrap it up: gold has been climbing steadily since New Year's and is already sitting at Brexit value... currently $1,335 per ounce. Eric Sprott, who has voiced his "slight skepticism" more than once, is forecasting a quick move to $1,400. Jim Rickards has joined him, insisting gold is firmly in a bull phase.
Silver isn't reflecting this uncertainty yet, as there hasn't been much volatility; it's sitting at $17.33 per ounce.
In this climate, it's the ideal metal to choose... particularly for someone in my position here in the States.

"accumulate"

Honestly, if it weren't for the sales tax on silver, buying would be a total wash. You pay it when you buy, then you pay it again when you sell... it just makes the whole thing completely unprofitable.

Edward Robinson34 said:Honestly, if it weren't for the sales tax on silver, buying would be a total wash. You pay it when you buy, then you pay it again when you sell... it just makes the whole thing completely unprofitable.

So, you're basically trying to peel potatoes with a toothpick. A strategy that sounds brilliant on paper is a complete disaster in practice. You can't even start peeling if you don't have the potatoes in the pantry to begin with.

Melissa Sanchez17 said:Man, it’s such a bummer this thread went totally silent. Gold was actually getting interesting for a second there—sitting just a few bucks shy of $1,307. If it had managed to break higher, we might have been able to call it a day and say the bears were finally dead and gone, right? But since it stalled? Honestly, I wouldn't be surprised if we see a retest down at $1,150, or maybe even a dip toward $1,050. If it holds above those levels, then yeah, we're looking at the start of a massive bull run. But if it slips past them... well, looks like we're back to playing the waiting game for another couple of years.👎?

The thread isn't dead—and neither is the momentum! In the two weeks since you posted that, gold has already climbed to $1,338.

Melissa Sanchez17 said:The chump literally just copy-pasted his own text from back in 2014.

https://dailyreckoning.com/3-very-re...cial-collapse/ 🤣

It’s exactly this kind of behavior that landed him on my blacklist—and I actually wasted money on two of his books. He's honestly worse than those aggressive door-to-door telecom salesmen out in the suburbs.

He's even worse than Kingworld News. 😵

As for metallurgy—metals—I suspect they'll wrap up this year with a gain of roughly 20%. It seems obvious now that inflation is starting to catch up with everything.

dustyheron5 said:It’s exactly this kind of behavior that landed him on my blacklist—and I actually wasted money on two of his books. He's honestly worse than those aggressive door-to-door telecom salesmen out in the suburbs.

He's even worse than Kingworld News. 😵

As for metallurgy—metals—I suspect they'll wrap up this year with a gain of roughly 20%. It seems obvious now that inflation is starting to catch up with everything.

Fair enough, we should respect different perspectives and different paths to the same conclusion, but I find this guy highly reliable. My interest in his track record goes back to 1998. His call on Trump caught me off guard; I was genuinely surprised. But this part is worth noting:



The man is an expert. Besides, there's an upcoming big panel on gold and Bitcoin over at Kitco. Jim Rickards, coming from that "finance" crowd, argues that the crypto bubble is destined to burst. When you look at the context... it just shows how little he understands about gold. I'd say his grasp of it is at a level five, if not level six.
Even Peter Schiff shares that skepticism regarding Bitcoin—a man who was preaching about gold and stock market failures back in 2002. He didn't jump on the "crypto bubble" bandwagon immediately, but he's firmly committed to it now.😉

Amanda Allen4 said:The thread isn't dead—and neither is the momentum! In the two weeks since you posted that, gold has already climbed to $1,338.

Yeah, and there’s plenty of gas left in the tank to hit $2,375. Then we'll see if we were right or not. 😁

Edward Robinson34 said:Honestly, if it weren't for the sales tax on silver, buying would be a total wash. You pay it when you buy, then you pay it again when you sell... it just makes the whole thing completely unprofitable.

Wait, a sales tax when you sell? I'm not so sure about that part.

Robert Vaughn10 said:Fair enough, we should respect different perspectives and different paths to the same conclusion, but I find this guy highly reliable. My interest in his track record goes back to 1998. His call on Trump caught me off guard; I was genuinely surprised. But this part is worth noting:

The man is an expert. Besides, there's an upcoming big panel on gold and Bitcoin over at Kitco. Jim Rickards, coming from that "finance" crowd, argues that the crypto bubble is destined to burst. When you look at the context... it just shows how little he understands about gold. I'd say his grasp of it is at a level five, if not level six.
Even Peter Schiff shares that skepticism regarding Bitcoin—a man who was preaching about gold and stock market failures back in 2002. He didn't jump on the "crypto bubble" bandwagon immediately, but he's firmly committed to it now.😉

In case you weren't aware, both of them have been blowing the whistle on a crypto bubble since the entire market had a market cap of just $12.5 billion—which, frankly, was peanuts. I can't emphasize how insignificant that amount was.

Now, we are sitting at $600 billion. Is it possible we are currently in a bubble, or could we be looking at a 10x move? Only time will tell.

But returning to gold—while those two prominent investors were busy criticizing the "metallurgy" of crypto, they were essentially laughed at by Mike Malloney, James Turk, Andy Hoffman, Doug Casey, and a whole host of other gold bugs. You can probably imagine the reaction...😉