Author Archives: MK

Gold closes lackluster day and week, an unexpected spike in yield on the 10-year Treasury

LATE REPORT

Gold pretty much ended the day where it started trading at the $1336 level and down about $9 on the day – a lackluster finish for the day and the week. Silver also weakened today finishing at $17.14 and down 10¢ on the day. Not receiving much attention today was the sudden spike in yields on U.S. Treasury paper. Yield on the 10-year note hit 2.943% indicating heavy selling. In the absence of any economic news of consequence, today’s performance is likely to renew speculation that China could be unloading U.S. debt as part of its response to U.S. tariffs.

Today’s unexpected spike in rates probably contributed to gold’s downside and the 200 point drop in the DJIA.  In gold’s case the negative effect is likely to remain short term.  As posted in Tuesday’s EARLY REPORT, gold has tracked steadily higher since the Fed began raising interest rates in late 2015.  It is up about 15% over the last 24 months.

Chart courtesy of MacroTrends.com

Quote of the Day
“Sir Isaac Newton was asked by the British Treasury officials and financiers of his day why the monetary pound had to be a fixed quantity of precious metal. Why, indeed, must it consist of precious metal, or have any objective reality? Since paper currency was already accepted, why could not notes be issued without ever being redeemed? The reason they put the question supplies the answer; the government was heavily in debt, and they hoped to find a safe way of being dishonest. But Newton was asked as a mathematician, not a moralist. He replied: ‘Gentlemen, in applied mathematics, you must describe your unit.’ Paper currency cannot be described mathematically as money.” – The God of the Machine, Isabel Paterson (1943)

Recent Better Business Review

(March 29, 2018) – My experiences with USAGOLD have all been positive, informative, enjoyable and profitable. Their book on the basics of gold is literally a treasure. It sets your feet on the right path and on solid ground. USAGOLD has fulfilled every promise in a timely way and always with wonderful courtesy. I highly recommend this company in all respects. – Hugh D.

(March 31, 2018) – We were first time gold investors. In search for information we came across their web site, which is excellent. When we contacted them, Jonathan Kosares lead us through the process. He provided information, suggested gold coins, but did not direct how we invested. He is always available to answer questions. The service has been excellent. Their business practices have been outstanding. We have absolute faith the company. They are the best investment company we have ever dealt with. – John G.

Scorecard: 45 five star reviews. ( 7 last 30 days) Zero complaints.
A+ rating. Accredited since 1991.

[Link]

To end right, start right.
Choose the right portfolio mix with the right firm at the right price.
Choose USAGOLD serving gold and silver investors since 1973

1-800-869-5115 Ext#100

Posted in dailyquotes |

Gold closes lackluster day and week, an unexpected spike in yield on the 10-year Treasury

LATE REPORT

Gold pretty much ended the day where it started trading at the $1336 level and down about $9 on the day – a lackluster finish for the day and the week.  Silver also weakened today finishing at $17.14 and down 10¢ on the day. Not receiving much attention today was the sudden spike in yields on U.S. Treasury paper.  Yield on the 10-year note hit 2.943% indicating heavy selling.   In the absence of any economic news of consequence, today’s performance is likely to renew speculation that China could be unloading U.S. debt as part of its response to U.S. tariffs.

Today’s unexpected spike in rates probably contributed to gold’s downside and the 200 point drop in the DJIA.  In gold’s case the negative effect is likely to remain short term.  As posted in Tuesday’s EARLY REPORT, gold has tracked steadily higher since the Fed began raising interest rates in late 2015.  It is up about 15% over the last 24 months.

Chart courtesy of MacroTrends.com

Quote of the Day
“Sir Isaac Newton was asked by the British Treasury officials and financiers of his day why the monetary pound had to be a fixed quantity of precious metal. Why, indeed, must it consist of precious metal, or have any objective reality? Since paper currency was already accepted, why could not notes be issued without ever being redeemed? The reason they put the question supplies the answer; the government was heavily in debt, and they hoped to find a safe way of being dishonest. But Newton was asked as a mathematician, not a moralist. He replied: ‘Gentlemen, in applied mathematics, you must describe your unit.’ Paper currency cannot be described mathematically as money.” – The God of the Machine, Isabel Paterson (1943)

Recent Better Business Review

(March 29, 2018) – My experiences with USAGOLD have all been positive, informative, enjoyable and profitable. Their book on the basics of gold is literally a treasure. It sets your feet on the right path and on solid ground. USAGOLD has fulfilled every promise in a timely way and always with wonderful courtesy. I highly recommend this company in all respects. – Hugh D.

(March 31, 2018) – We were first time gold investors. In search for information we came across their web site, which is excellent. When we contacted them, Jonathan Kosares lead us through the process. He provided information, suggested gold coins, but did not direct how we invested. He is always available to answer questions. The service has been excellent. Their business practices have been outstanding. We have absolute faith the company. They are the best investment company we have ever dealt with. – John G.

Scorecard: 45 five star reviews. ( 7 last 30 days) Zero complaints.
A+ rating. Accredited since 1991.

[Link]

To end right, start right.
Choose the right portfolio mix with the right firm at the right price.
Choose USAGOLD serving gold and silver investors since 1973

1-800-869-5115 Ext#100

Posted in Today's top gold news and opinion |

Gold tracking lower as we close out lackluster week

EARLY REPORT

Gold is tracking lower again today in a continuation of yesterday’s trend – down almost $8 today at the $1336.50 level. Silver is down 10¢ at $17.15. Precious metals trading has been lackluster all week as investors await direction on a laundry list of economic and political issues. Gold, though, is not the only market in a holding pattern. Stocks and the dollar have also spent the week more or less tracking sideways. In some respects no news is always good news. On the other hand, quiet times in markets almost always illicit an unsettled feeling that something might be lurking in the shadows waiting to pounce.

Chart of the Day

Chart courtesy of MacroTrends.com

Chart note: Commodities have been the bright spot in the investment arena this year – up almost 22% as measured by the Goldman Sachs Commodity Index shown in blue in the chart above. Gold, at times, has led the index over the past two years, even out-performed it in a couple of instances. Over the past year commodities have played catch-up. Perhaps it is time for gold to jump out and take the lead again. . . . . . .

Posted in dailyquotes |

Gold tracking lower as we close out a lackluster week

EARLY REPORT

Gold is tracking lower again today in a continuation of yesterday’s trend – down almost $8 today at the $1336.50 level.  Silver is down 10¢ at $17.15.  Precious metals trading has been lackluster all week as investors await direction on a laundry list of economic and political issues.  Gold, though, is not the only market in a holding pattern.  Stocks and the dollar have also spent the week more or less tracking sideways.  In some respects no news is always good news.  On the other hand, quiet times in markets almost always illicit an unsettled feeling that something might be lurking in the shadows waiting to pounce.

Chart of the Day

Chart courtesy of MacroTrends.com

Chart note:  Commodities have been the bright spot in the investment arena this year – up almost 22% as measured by the Goldman Sachs Commodity Index shown in blue in the chart above.  Gold, at times, has led the index over the past two years, even out-performed it in a couple of instances.  Over the past year commodities have played catch-up.  Perhaps it is time for gold to jump out and take the lead again. . . . . . .

Posted in Today's top gold news and opinion |

Sideways trading today, top analysts worry about inflation, stagflation

LATE REPORT

Gold finished the day pretty much where it started at $1345.50 and down $5 on the day. Silver managed to keep its head above water finishing up 5¢ on the day at $17.27.

Two noteworthy bits of analysis came public today – one from San Francisco’s Weeden & Co. and the other from Deutschebank’s chief international economist. Weeden’s Michael Purves says that the tariff and sanctions “dust-ups” along with tight oil supplies are not only pushed commodities higher, they could send “Treasuries and equities on the run.” Deutsche Bank’s Torsten Slok took inflation concerns to a another level today by calling it “the mother of all risks.” Those comments came on a day when 10-year Treasury yields pushed toward the 3% mark.

“This is a key risk,” Purves said. “Higher rates and inflation without higher economic growth raises the discount rate for equity cash flows (lower P/E) but also raises stagflation risks for the economy and the stock market.” [Emphasis added.]

Recent Better Business Review

(March 29, 2018) – My experiences with USAGOLD have all been positive, informative, enjoyable and profitable. Their book on the basics of gold is literally a treasure. It sets your feet on the right path and on solid ground. USAGOLD has fulfilled every promise in a timely way and always with wonderful courtesy. I highly recommend this company in all respects. – Hugh D.

(March 31, 2018) – We were first time gold investors. In search for information we came across their web site, which is excellent. When we contacted them, Jonathan Kosares lead us through the process. He provided information, suggested gold coins, but did not direct how we invested. He is always available to answer questions. The service has been excellent. Their business practices have been outstanding. We have absolute faith the company. They are the best investment company we have ever dealt with. – John G.

Scorecard: 45 five star reviews. ( 7 last 30 days) Zero complaints.
A+ rating. Accredited since 1991.

[Link]

To end right, start right.
Choose the right portfolio mix with the right firm at the right price.
Choose USAGOLD serving gold and silver investors since 1973

1-800-869-5115 Ext#100

last posted 4-9-2018

Posted in dailyquotes |

Sideways trading today, top analysts worry about inflation, stagflation

LATE REPORT

Gold finished the day pretty much where it started at $1345.50 and down $5 on the day.  Silver managed to keep its head above water finishing up 5¢ on the day at $17.27.

Two noteworthy bits of analysis came public today – one from San Francisco’s Weeden & Co. and the other from Deutschebank’s chief international economist.  Weeden’s Michael Purves says that the tariff and sanctions “dust-ups” along with  tight oil supplies are not only pushed commodities higher, they could send “Treasuries and equities on the run.”  Deutsche Bank’s Torsten Slok took inflation concerns to a another level today by calling it “the mother of all risks.”  Those comments came on a day when 10-year Treasury yields pushed toward the 3% mark.

“This is a key risk,” Purves said. “Higher rates and inflation without higher economic growth raises the discount rate for equity cash flows (lower P/E) but also raises stagflation risks for the economy and the stock market.” [Emphasis added.]

Recent Better Business Review

(March 29, 2018) – My experiences with USAGOLD have all been positive, informative, enjoyable and profitable. Their book on the basics of gold is literally a treasure. It sets your feet on the right path and on solid ground. USAGOLD has fulfilled every promise in a timely way and always with wonderful courtesy. I highly recommend this company in all respects. – Hugh D.

(March 31, 2018) – We were first time gold investors. In search for information we came across their web site, which is excellent. When we contacted them, Jonathan Kosares lead us through the process. He provided information, suggested gold coins, but did not direct how we invested. He is always available to answer questions. The service has been excellent. Their business practices have been outstanding. We have absolute faith the company. They are the best investment company we have ever dealt with. – John G.

Scorecard: 45 five star reviews. ( 7 last 30 days) Zero complaints.
A+ rating. Accredited since 1991.

[Link]

To end right, start right.
Choose the right portfolio mix with the right firm at the right price.
Choose USAGOLD serving gold and silver investors since 1973

1-800-869-5115 Ext#100

last posted 4-9-2018

Posted in Today's top gold news and opinion |

What’s behind the big commodities rally, and why it could be just getting started

CNBC/Jeff Cox/4-19-2018

“After years of languishing under low market volatility and weak global growth, commodities are on the move higher. One index is at a multi-year peak as prices rise in energy, gold and base metals. Traders in the space see the rally continuing in the face of a trade war threat and as the market gets more comfortable with the global economic growth theme.”

Posted in Today's top gold news and opinion |

Gold bucking market cross currents today

EARLY REPORT

Gold is bucking some market cross currents this morning at $1345 and down about $6. Silver though is trading on the upside at $17.26 (+6¢). The most damaging of those crosscurrent comes in the form of yield on the 10-year Treasury note approaching the psychologically important 3% mark. ‘We have easing of geopolitical tensions in the world, we have higher commodity prices, we’re in the ninth year of an economic expansion, and the Fed looks like it will raise rates in June,’ said Gary Pollack, head of fixed-income trading at Deutsche Bank Private Wealth Management.” Though, the items Pollack lists add up to a positive for gold, they also provide fuel for gold traders who see Fed interest rate policy as the prime mover in the gold market these days. The market, as a result, is tracking to the downside.

Chart of the Day

Chart notes: Often forgotten, or in some quarters deliberately ignored, gold performed extraordinarily well in the disinflationary aftermath of the 2007-2008 financial crisis appreciating from $650 per ounce in January, 2007 to over $1800 in August, 2011. The consumer price index, on the other hand, was bumping along either side of zero and had the potential to evolve to a full deflationary spiral. Inflation, in short, was not an issue. Though gold is generally considered an historically-proven inflation hedge, it is also an historically-proven disinflation hedge as the post 2007-2008 example demonstrates. Investors from 2007 on were interested in gold for its safe-haven characteristics and as a refuge from a potential full-out financial system breakdown. One of the great advantages of being a gold owner is that it is an investment for all seasons protecting its owners against inflation, disinflation, deflation or hyperinflation.
Posted in dailyquotes |

Gold bucking market cross currents today

EARLY REPORT

Gold is bucking some market cross currents this morning at $1345 and down about $6.  Silver though is trading on the upside at $17.26 (+6¢).  The most damaging of those crosscurrent comes in the form of yield on the 10-year Treasury note approaching the psychologically important 3% mark. ‘We have easing of geopolitical tensions in the world, we have higher commodity prices, we’re in the ninth year of an economic expansion, and the Fed looks like it will raise rates in June,’ said Gary Pollack, head of fixed-income trading at Deutsche Bank Private Wealth Management.”  Though, the items Pollack lists add up to a positive for gold, they also provide fuel for gold traders who see Fed interest rate policy as the prime mover in the gold market these days.  The market, as a result, is tracking to the downside.

Chart of the Day

Chart notes:  Often forgotten, or in some quarters deliberately ignored, gold performed extraordinarily well in the disinflationary aftermath of the 2007-2008 financial crisis appreciating from $650 per ounce in January, 2007 to over $1800 in August, 2011.  The consumer price index, on the other hand, was bumping along either side of zero and had the potential to evolve to a full deflationary spiral. Inflation, in short, was not an issue. Though gold is generally considered an historically-proven inflation hedge, it is also an historically-proven disinflation hedge as the post 2007-2008  example demonstrates.  Investors from 2007 on were interested in gold for its safe-haven characteristics and as a refuge from a potential full-out financial system breakdown. One of the great advantages of being a gold owner is that it is an investment for all seasons protecting its owners against inflation, disinflation, deflation or hyperinflation.
Posted in Today's top gold news and opinion |

Gold’s early advance slowed, silver the big story on the day

LATE REPORT

After getting off to strong start, gold slowed its advance as the day progressed but still finished up almost $4 at $1351. The big story of the day though for the precious metals was silver. It finished up 41¢ at $17.22 moving in concert with the two other commodity-based precious metals – platinum and palladium. Traders are concerned that the next round of sanctions against Russia could include top palladium and platinum producer, Norilisk and other mining companies. Russia is the world’s top producer of palladium, the second largest producer of platinum and the fourth largest producer of silver. Platinum was up $6 on the day and palladium was up almost $25.

On another front, Citigroup economist Willem Buiter issued a rather blunt warning today that tariffs from the U.S. and China, would amount to “a serious trade war” and “the biggest self-inflicted wound [on the world economy] since the great financial crisis.” Simultaneously, details from the Fed’s Beige Book on the economy revealed growing concern among U.S. manufacturers about rising import prices based on those tariffs including proactive purchases of materials to avoid higher costs down the road. Sounds like the 1970s. . . . .

Quote of the Day
“Markets are still in a precarious position and volatility is high. Regardless of which direction markets go from here, we cannot escape the risks hidden linkages pose to modern capital markets. We’ve already had a correction this year. But the next correction could turn into a 30% or 40% crash. The conditions are in place. But you can’t wait for the shock to occur because by then it will be too late. You won’t be able to get your money out of the market in time because it’ll be a mad rush to the exits. I recommend you reduce your exposure to the stock market and move into cash, gold, Treasuries, land and fine art.” – James Rickards


Recent Better Business Review

(March 29, 2018) – My experiences with USAGOLD have all been positive, informative, enjoyable and profitable. Their book on the basics of gold is literally a treasure. It sets your feet on the right path and on solid ground. USAGOLD has fulfilled every promise in a timely way and always with wonderful courtesy. I highly recommend this company in all respects. – Hugh D.

(March 31, 2018) – We were first time gold investors. In search for information we came across their web site, which is excellent. When we contacted them, Jonathan Kosares lead us through the process. He provided information, suggested gold coins, but did not direct how we invested. He is always available to answer questions. The service has been excellent. Their business practices have been outstanding. We have absolute faith the company. They are the best investment company we have ever dealt with. – John G.

Scorecard: 45 five star reviews. ( 7 last 30 days) Zero complaints.
A+ rating. Accredited since 1991.

[Link]

To end right, start right.
Choose the right portfolio mix with the right firm at the right price.
Choose USAGOLD serving gold and silver investors since 1973

1-800-869-5115 Ext#100

last posted 4-9-2018

Posted in dailyquotes |

Gold’s early advance slowed, silver the big story on the day

LATE REPORT

After getting off to strong start, gold slowed its advance as the day progressed but still finished up almost $4 at $1351. The big story of the day though for the precious metals was silver. It finished up 41¢ at $17.22 moving in concert with the two other commodity-based precious metals – platinum and palladium. Traders are concerned that the next round of sanctions against Russia could include top palladium and platinum producer, Norilisk and other mining companies. Russia is the world’s top producer of palladium, the second largest producer of platinum and the fourth largest producer of silver. Platinum was up $6 on the day and palladium was up almost $25.

On another front, Citigroup economist Willem Buiter issued a rather blunt warning today that tariffs from the U.S. and China, would amount to “a serious trade war” and “the biggest self-inflicted wound [on the world economy] since the great financial crisis.”  Simultaneously, details from the Fed’s Beige Book on the economy revealed growing concern among U.S. manufacturers about rising import prices based on those tariffs including proactive purchases of materials to avoid higher costs down the road.  Sounds like the 1970s. . . . .

Quote of the Day
“Markets are still in a precarious position and volatility is high. Regardless of which direction markets go from here, we cannot escape the risks hidden linkages pose to modern capital markets. We’ve already had a correction this year. But the next correction could turn into a 30% or 40% crash. The conditions are in place. But you can’t wait for the shock to occur because by then it will be too late. You won’t be able to get your money out of the market in time because it’ll be a mad rush to the exits. I recommend you reduce your exposure to the stock market and move into cash, gold, Treasuries, land and fine art.” – James Rickards


Recent Better Business Review

(March 29, 2018) – My experiences with USAGOLD have all been positive, informative, enjoyable and profitable. Their book on the basics of gold is literally a treasure. It sets your feet on the right path and on solid ground. USAGOLD has fulfilled every promise in a timely way and always with wonderful courtesy. I highly recommend this company in all respects. – Hugh D.

(March 31, 2018) – We were first time gold investors. In search for information we came across their web site, which is excellent. When we contacted them, Jonathan Kosares lead us through the process. He provided information, suggested gold coins, but did not direct how we invested. He is always available to answer questions. The service has been excellent. Their business practices have been outstanding. We have absolute faith the company. They are the best investment company we have ever dealt with. – John G.

Scorecard: 45 five star reviews. ( 7 last 30 days) Zero complaints.
A+ rating. Accredited since 1991.

[Link]

To end right, start right.
Choose the right portfolio mix with the right firm at the right price.
Choose USAGOLD serving gold and silver investors since 1973

1-800-869-5115 Ext#100

last posted 4-9-2018

Posted in Today's top gold news and opinion |

Gold making another strong push toward the $1360 barrier

EARLY REPORT

Gold is making another strong push toward the $1360 barrier this morning trading at $1353 and up $6.50 on the day.  Similarly, silver is displaying strength – up 31¢  and over the $17 barrier at $17.09.  Gold has made a number of attempts to break through the $1360 mark and it will be interesting to see whether or not this push will be the one that carries it through.  Gold and silver’s upside appears to be part of a larger move in the commodities complex this morning led by oil – up over a $1 at $72.70 as this written.  Some experts believe oil could push through the $100 per barrel level over the next several months the result of a supply-cutting deal among OPEC members led by Saudi Arabia.

Chart of the Day

Chart note 1: With the US dollar the centerpiece of interest the past few weeks, we thought it appropriate to post the long-term overlay chart of the gold price and the major-currency version of the US Dollar index. As you can see, the dollar has been in a secular, long-term decline against other major currencies since the early 1970s when the U.S. abandoned gold-backing for the currency and the world switched to free-floating gold and currency prices. Despite all the talk of a strong dollar and how Treasury secretaries historically back the concept, the reality is the opposite – a weak dollar when measured against its major competitors. In the end, unencumbered ownership of physical gold coins and bullion, as this chart amply illustrates, has proven to be a very effective defense in the on-going process.
Chart note 2: The declining tops and bottoms indicate long-term erosion in the value of the dollar and give credence to the argument in financial circles that we may be in the beginning stages of another major downturn similar to those launched in 1985 and 2002. The 2002 event corresponded with the launch of gold’s secular bull market.
Posted in Today's top gold news and opinion |

Gold making another strong push toward the $1360 barrier

EARLY REPORT

Gold is making another strong push toward the $1360 barrier this morning trading at $1353 and up $6.50 on the day. Similarly, silver is displaying strength – up 31¢ and over the $17 barrier at $17.09. Gold has made a number of attempts to break through the $1360 mark and it will be interesting to see whether or not this push will be the one that carries it through. Gold and silver’s upside appears to be part of a larger move in the commodities complex this morning led by oil – up over a $1 at $72.70 as this written. Some experts believe oil could push through the $100 per barrel level over the next several months the result of a supply-cutting deal among OPEC members led by Saudi Arabia.

Chart of the Day

Chart note 1: With the US dollar the centerpiece of interest the past few weeks, we thought it appropriate to post the long-term overlay chart of the gold price and the major-currency version of the US Dollar index. As you can see, the dollar has been in a secular, long-term decline against other major currencies since the early 1970s when the U.S. abandoned gold-backing for the currency and the world switched to free-floating gold and currency prices. Despite all the talk of a strong dollar and how Treasury secretaries historically back the concept, the reality is the opposite – a weak dollar when measured against its major competitors. In the end, unencumbered ownership of physical gold coins and bullion, as this chart amply illustrates, has proven to be a very effective defense in the on-going process.
Chart note 2: The declining tops and bottoms indicate long-term erosion in the value of the dollar and give credence to the argument in financial circles that we may be in the beginning stages of another major downturn similar to those launched in 1985 and 2002. The 2002 event corresponded with the launch of gold’s secular bull market.
Posted in dailyquotes |

Gold fights to nearly even on the day, ‘happy hour in America’ about to end

LATE REPORT

Gold fought its way back to nearly even on the day after briefly dipping below the $1340 level and finishing at $1348. Silver had a positive day closing up 10¢ at $16.80.

Lingering concerns about the stock market helped push gold higher. Morgan Stanley issued a report saying that “happy hour in America” was about to end. Yesterday, famed analyst Mark Mobius told Financial News that a 30% drop in stock values was a possibility. “The market looks to me to be waiting for a trigger,” he said.

He then put the spotlight on a lingering concern of our own. “ETFs,” he said, “represent so much of the market that they would make matters worse once markets start to tumble. You have computers and algorithms working 24/7 and that would basically create a snowball effect. There is no safety valve to prevent further falls, and that fall could escalate very quickly.” Most investors are aware of Charles Mackay’s writings about the madness of crowds. One day we will be reading about the madness of machines.

All of which serves as an appropriate introduction to our . . . . .

Quote of the Day
“Reflect on what happens when a terrible winter blizzard strikes. You hear the weather warning but probably fail to act on it. The sky darkens. Then the storm hits with full fury, and the air is a howling whiteness. One by one, your links to the machine age break down. Electricity flickers out, cutting off the TV. Batteries fade, cutting off the radio. Phones go dead. Roads become impassible, and cars get stuck. Food supplies dwindle. Day to day vestiges of modern civilization – bank machines, mutual funds, mass retailers, computers, satellites, airplanes, governments – all recede into irrelevance.

Picture yourself and your loved ones in the midst of a howling blizzard that lasts several years. Think about what you would need, who could help you, and why your fate might matter to anybody other than yourself. That is how to plan for a saecular winter. Don’t think you can escape the Fourth Turning. History warns that a Crisis will reshape the basic social and economic environment that you now take for granted.” – Strauss & Howe – The Fourth Turning (With thanks to James Quinn of The Burning Platform for the reminder.)


Are you new to the USAGOLD website?

We invite you to kick back and stay awhile.
Do a little interest-driven browsing.

We launched this website in 1997 and it has been consistently providing guidance and market information for gold investors ever since. It remains one of the most highly referenced and visited web portals in the gold business. We once had a client tell us of visiting the Gold Souk in Dubai and being surprised how many merchant stalls had USAGOLD on their computer screens. Whether you are a new investor exploring the advantages of gold and silver ownership or a veteran looking for a place to keep up with the market, we invite your visits.

The USAGOLD Website
Coin of the realm for gold investors

Posted in dailyquotes |

Gold fights to nearly even on the day, ‘happy hour in America’ about to end

LATE REPORT

Gold fought its way back to nearly even on the day after briefly dipping below the $1340 level and finishing at $1348. Silver had a positive day closing up 10¢ at $16.80.

Lingering concerns about the stock market helped push gold higher. Morgan Stanley issued a report saying that “happy hour in America” was about to end.  Yesterday, famed analyst Mark Mobius told Financial News that a 30% drop in stock values was a possibility.  “The market looks to me to be waiting for a trigger,” he said.

He then put the spotlight on a lingering concern of our own.  “ETFs,” he said, “represent so much of the market that they would make matters worse once markets start to tumble. You have computers and algorithms working 24/7 and that would basically create a snowball effect. There is no safety valve to prevent further falls, and that fall could escalate very quickly.”  Most investors are aware of Charles Mackay’s writings about the madness of crowds.  One day we will be reading about the madness of machines.

All of which serves as an appropriate introduction to our . . . . .

Quote of the Day
“Reflect on what happens when a terrible winter blizzard strikes. You hear the weather warning but probably fail to act on it. The sky darkens. Then the storm hits with full fury, and the air is a howling whiteness. One by one, your links to the machine age break down. Electricity flickers out, cutting off the TV. Batteries fade, cutting off the radio. Phones go dead. Roads become impassible, and cars get stuck. Food supplies dwindle. Day to day vestiges of modern civilization – bank machines, mutual funds, mass retailers, computers, satellites, airplanes, governments – all recede into irrelevance.

Picture yourself and your loved ones in the midst of a howling blizzard that lasts several years. Think about what you would need, who could help you, and why your fate might matter to anybody other than yourself. That is how to plan for a saecular winter. Don’t think you can escape the Fourth Turning. History warns that a Crisis will reshape the basic social and economic environment that you now take for granted.” – Strauss & Howe – The Fourth Turning (With thanks to James Quinn of The Burning Platform for the reminder.)


Are you new to the USAGOLD website?

We invite you to kick back and stay awhile.
Do a little interest-driven browsing.

We launched this website in 1997 and it has been consistently providing guidance and market information for gold investors ever since. It remains one of the most highly referenced and visited web portals in the gold business. We once had a client tell us of visiting the Gold Souk in Dubai and being surprised how many merchant stalls had USAGOLD on their computer screens. Whether you are a new investor exploring the advantages of gold and silver ownership or a veteran looking for a place to keep up with the market, we invite your visits.

The USAGOLD Website
Coin of the realm for gold investors

Posted in Today's top gold news and opinion |

Gold down on Mnuchin ‘shot across the bow’ comment

EARLY REPORT

Gold was down moderately in the overnight markets then ratcheted down further in early U.S. trading on remarks from Treasury Secretary Mnuchin that the president’s tweet yesterday was “a shot across the bow” and not a threat of imminent U.S. action. (“Oh, sorry about that chairman Xi, the president was just kidding.”) Since then it has recovered a bit and is now trading at $1343, down $6 on the day. Silver is trading steady at $16.72.

Markets these days, including gold, are incredibly fickle and unsure of themselves causing abrupt turns one direction then another. Nothing seems to make a lasting impact. The Fed will be out in force today with speeches scheduled from Patrick Harker (Philadelphia Fed), Charles Evans (Chicago Fed) and Raphael Bostic (Atlanta Fed).

Chart of the Day

Chart notes: Too often gold’s critics make the claim that gold reacts unfavorably to rising interest rates. That claim is not borne out by the record. To the contrary, since the Fed began raising interest rates in 2016 the price of gold has tracked higher, as you can see in the chart above.
Posted in dailyquotes |

Gold down on Mnuchin ‘shot across the bow’ comment

EARLY REPORT

Gold was down moderately in the overnight markets then ratcheted down further in early U.S. trading on remarks from Treasury Secretary Mnuchin that the president’s tweet yesterday was “a shot across the bow” and not a threat of imminent U.S. action. (“Oh, sorry about that chairman Xi, the president was just kidding.”)  Since then it has recovered a bit and is now trading at $1343, down $6 on the day.  Silver is trading steady at $16.72.

Markets these days, including gold, are incredibly fickle and unsure of themselves causing abrupt turns one direction then another. Nothing seems to make a lasting impact.  The Fed will be out in force today with speeches scheduled from Patrick Harker (Philadelphia Fed), Charles Evans (Chicago Fed) and Raphael Bostic (Atlanta Fed).

Chart of the Day

Chart notes:  Too often gold’s critics make the claim that gold reacts unfavorably to rising interest rates.  That claim is not borne out by the record.  To the contrary, since the Fed began raising interest rates in 2016 the price of gold has tracked higher, as you can see in the chart above.
Posted in Today's top gold news and opinion |

Gold trades sideways most of the day

LATE REPORT

Gold pretty much ended the U.S. market session today where it started trading at $1346. Not much happened during the course of the day beyond the presidential tweet quoted in this morning’s EARLY REPORT. Silver too had a sideways day ending up 3¢ on the day at $16.69. Gold was pulled in a northerly direction by the Trump tweet and concerns about the administration’s dollar policy and in a southerly direction by a cooling down of tensions in the Middle East.

Quote of the Day
“Gold and silver, like other commodities, have an intrinsic value, which is not arbitrary, but is dependent on their scarcity, the quantity of labour bestowed in procuring them, and the value of the capital employed in the mines which produce them.” — David Ricardo, British political economist (1772-1823)


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Posted in dailyquotes |

Gold trades sideways most of the day

LATE REPORT

Gold pretty much ended the U.S. market session today where it started trading at $1346.  Not much happened during the course of the day beyond the presidential tweet quoted in this morning’s EARLY REPORT.  Silver too had a sideways day ending up 3¢ on the day at $16.69.  Gold was pulled in a northerly direction by the Trump tweet and concerns about the administration’s dollar policy and in a southerly direction by a cooling down of tensions in the Middle East.

Quote of the Day
“Gold and silver, like other commodities, have an intrinsic value, which is not arbitrary, but is dependent on their scarcity, the quantity of labour bestowed in procuring them, and the value of the capital employed in the mines which produce them.” — David Ricardo, British political economist (1772-1823)


Looking for a full introduction to gold investing?
You will find it in our introductory information packet!

• The rationale for gold ownership • How gold performs under various breakdown scenarios • Portfolio approaches • & More

We invite you to register today for free, immediate access to the packet. A subscription to our monthly newsletter is included with the packet.

–– Available to both current and prospective clientele ––

Posted in Today's top gold news and opinion |

Gold trending higher, a presidential tweet disrupts idyllic market morning

EARLY REPORT

Gold is trending higher this morning after hitting an overnight low of $1335. It is now trading at $1348 (+$2) and level with Friday’s close. Silver is up slightly at $16.47 (+9¢). At the moment, tensions in Syria have wound down and the trade war with China has returned to the back burner. All is right with the world. Stocks are up. Oil is down. The bond market is trading quietly.

Spoiling this otherwise idyllic scene, we see that the dollar is plummeting. Might it be an early, first response to the latest presidential tweet? “Russia and China,” he warns, “are playing the Currency Devaluation game as the U.S. keeps raising interest rates. Not acceptable!” Devaluation, as the trade war manual reads, begets devaluation. Resurrecting an old concern the president reminds the markets that the strong dollar policy may have become a thing of the past.

Chart of the Day

Chart note: MZM (Money Zero Maturity) is the preferred money supply measure with contemporary economists “because it better represents money readily available within the economy for spending and consumption,” according to Investopedia. We hear much about the impending return of inflation these days, but this chart shows no signs of it in monetary growth, the precursor to price inflation. In fact, it shows the complete opposite and trending down not up. The scenario depicted might not be so troubling were it not for the fact that the Federal Reserve created trillions of dollars through its quantitative easing program that somehow, as this chart clearly shows, never made it to the general economy. An article in the Wall Street Journal this morning by Nick Timiraos emphasizes that deflation is not a problem. We would agree with that finding. As for disinflation, its close cousin, well. . . .that’s another story.
Posted in dailyquotes |

Gold trending higher, a presidential tweet disrupts idyllic market morning

EARLY REPORT

Gold is trending higher this morning after hitting an overnight low of $1335.  It is now trading at $1348 (+$2) and level with Friday’s close.  Silver is up slightly at $16.47 (+9¢).  At the moment, tensions in Syria have wound down and the trade war with China has returned to the back burner.  All is right with the world. Stocks are up. Oil is down.  The bond market is trading quietly.

Spoiling this otherwise idyllic scene, we see that the dollar is plummeting.  Might it be an early, first response to the latest presidential tweet?  “Russia and China,” he warns, “are playing the Currency Devaluation game as the U.S. keeps raising interest rates. Not acceptable!”  Devaluation, as the trade war manual reads, begets devaluation. Resurrecting an old concern the president reminds the markets that the strong dollar policy may have become a thing of the past.

Chart of the Day

Chart note: MZM (Money Zero Maturity) is the preferred money supply measure with contemporary economists “because it better represents money readily available within the economy for spending and consumption,” according to Investopedia. We hear much about the impending return of inflation these days, but this chart shows no signs of it in monetary growth, the precursor to price inflation. In fact, it shows the complete opposite and trending down not up. The scenario depicted might not be so troubling were it not for the fact that the Federal Reserve created trillions of dollars through its quantitative easing program that somehow, as this chart clearly shows, never made it to the general economy.  An article in the Wall Street Journal this morning by Nick Timiraos emphasizes that deflation is not a problem.  We would agree with that finding.  As for disinflation, its close cousin, well. . . .that’s another story.
Posted in Today's top gold news and opinion |

Former Speaker John Boehner: Deficit will be ‘No. 1 issue’ in six months

CNBC/James Thorne/4-13-2018

“John Boehner warned that the normalization of interest rates would have a whipsaw effect on the deficit. The former speaker supported GOP tax cuts and blamed a lack of entitlement reform for the expanding deficit. He said failure to balance the budget had to be Paul Ryan’s ‘biggest disappointment.'”

Posted in Today's top gold news and opinion |

Investor sentiment begins to shift in gold’s favor – ‘a trickle not a stampede’

LATE REPORT

Here is an interesting thought as we enter the weekend: Gold market sentiment seems to be shifting.

We commented on the shift earlier in the week and posted a chart from Sentiment Trader with a short analysis from Jason Goepfert, the site’s proprietor. At the moment, the shift is nearly imperceptible and, up until today, there was little, if any, comment about it in the media. Two articles surfaced today, though, that changed all that.

In one, International Investment cited a major pick-up in demand at a London gold retailer and quoted a another gold firm executive as saying that financial professionals had begun buying to hedge “global stock declines and a falling US dollar if the tensions between Russia and the US escalated on the back of an airstrike against Syria.” It also reports “a 36% increase in first-time investors purchasing physical gold amid general uncertainty over President Trump’s policies. . .”

In the second, a Bloomberg article, John Ciampaglia, the chief executive officer of Toronto-based Sprott Asset Management, says “family offices and pension funds, looking to protect their wealth are shifting back to bullion after exiting the asset class some five years ago.”

“Gold,” said Ciampaglia, “does play the role of a safe-haven asset historically and almost like an insurance policy. . . There are people going back to gold. It’s not stampede, but it’s a trickle.” [My emphasis]

As someone who has worked with retail gold investors the whole of his adult life, I can tell you the public migration to gold coins and bullion almost always begins quietly, but it can gain momentum quickly. It is difficult to know if we are entering one of those times now, but I can say that we are beginning to experience a trickle of our own at USAGOLD.

It is led, as has been the case in past sentiment shifts, by upscale investors with a simple but important intent – preserving their assets against the uncertainties they feel lie ahead. These investors also mention that the price seems to be right. Allow me to add an observation: Anytime financial professionals are committing their own (not clients’) money to gold ownership, it probably indicates something going-on of which the rest of us should take note.

Quote of the Day
“The concern that it might be a currency crisis that could eventually bring down the fiat money system is by no means an exaggeration. In view of the risks that come with an increasingly overstretched fiat money system, we consider gold as an effective insurance: The value of gold cannot be debased by central bank policies, and gold – in contrast to fiat money deposits and short-term debt – does not carry any default risk. Bought at current prices, gold is an insurance that has upward value potential.” – DeGussa Market Report


To end right, start right.
Choose the right portfolio mix with the right firm at the right price.
Choose USAGOLD – reliably serving physical gold and silver investors since 1973.

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Posted in dailyquotes |

Investor sentiment begins to shift in gold’s favor – ‘a trickle not a stampede’

LATE REPORT

Here is an interesting thought as we enter the weekend: Gold market sentiment seems to be shifting.

We commented on the shift earlier in the week and posted a chart from Sentiment Trader with a short analysis from Jason Goepfert, the site’s proprietor. At the moment, the shift is nearly imperceptible and up until today there was little, if any, comment about it in the media. Two articles surfaced today, though, that changed all that.

In one, International Investment cited a major pick-up in demand at a London gold retailer and quoted a another gold firm executive as saying that financial professionals had begun buying to hedge “global stock declines and a falling US dollar if the tensions between Russia and the US escalated on the back of an airstrike against Syria.” It also reports “a 36% increase in first-time investors purchasing physical gold amid general uncertainty over President Trump’s policies. . .”

In the second, a Bloomberg article, John Ciampaglia, the chief executive officer of Toronto-based Sprott Asset Management, says “family offices and pension funds, looking to protect their wealth are shifting back to bullion after exiting the asset class some five years ago.”

“Gold,” said Ciampaglia, “does play the role of a safe-haven asset historically and almost like an insurance policy. . . There are people going back to gold. It’s not stampede, but it’s a trickle.” [My emphasis]

As someone who has worked with retail gold investors the whole of his adult life, I can tell you the public migration to gold coins and bullion almost always begins quietly, but it can gain momentum quickly. It is difficult to know if we are entering one of those times now, but I can say that we are beginning to experience a trickle of our own at USAGOLD.

It is led, as has been the case in past sentiment shifts, by upscale investors with a simple but important intent – preserving their assets against the uncertainties they feel lie ahead. These investors also mention that the price seems to be right. Allow me to add an observation: Anytime financial professionals are committing their own (not clients’) money to gold ownership, it probably indicates something going-on of which the rest of us should take note.

Quote of the Day
“The concern that it might be a currency crisis that could eventually bring down the fiat money system is by no means an exaggeration. In view of the risks that come with an increasingly overstretched fiat money system, we consider gold as an effective insurance: The value of gold cannot be debased by central bank policies, and gold – in contrast to fiat money deposits and short-term debt – does not carry any default risk. Bought at current prices, gold is an insurance that has upward value potential.” – DeGussa Market Report


To end right, start right.
Choose the right portfolio mix with the right firm at the right price.
Choose USAGOLD – reliably serving physical gold and silver investors since 1973.

ORDER DESK
1-800-869-5115
Extension #100
orderdesk@usagold.com

8am-7pm Monday through Friday

ONLINE ORDER DESK – 24/7

Posted in Today's top gold news and opinion |

Gold shows resilience, bounces back from yesterday’s sell-off

EARLY REPORT

Gold showed some resilience this morning by bouncing back from yesterday’s sell-off with a good gain. It is up $7 as this is posted at $1345. Silver is up 17¢ at $16.65. Assisting the precious metals are reports that the Trump administration plans to stiffen pressure on China with new tariffs and blocking its technology exports. Then there is the lingering concern about what happens next in Syria. China has promised to react strongly to the introduction of additional duties on its U.S. exports.

Gold pushed higher despite a stronger dollar, and looks on track to complete its second straight week of gains. That trading range we have mentioned in the past between $1305 and $1360 comes to mind in that the channel seems to be narrowing – a good sign from a technical perspective. Geopolitical news, it seems, could give gold a strong push in either direction, but at the moment that venue has more chance of going negative (positive for the metals) than its does moving in the opposite direction.

Chart of the Day


Chart note
: This chart is a regular feature in the EARLY REPORT and for good reason. The long-term correlation between gold and the national debt offers one of the strongest arguments for gold as a semi-permanent aspect of the contemporary investment portfolio. Regularly, we are reminded in press reports that, with the new tax cuts and promised spending via the latest tax legislation, the United States will run deficits for the foreseeable future over $1 trillion annually. It will surprise a good many to know that over the course of the last 12 months, the United States added $1.275 trillion to the national debt.

 

Posted in dailyquotes |

Gold shows resilience, bounces back from yesterday’s sell-off

EARLY REPORT

Gold showed some resilience this morning by bouncing back from yesterday’s sell-off with a good gain. It is up $7 as this is posted at $1345.  Silver is up 17¢ at $16.65.  Assisting the precious metals are reports that the Trump administration plans to stiffen pressure on China with new tariffs and blocking its technology exports. Then there is the lingering concern about what happens next in Syria. China has promised to react strongly to the introduction of additional duties on its U.S. exports.

Gold pushed higher despite a stronger dollar, and looks on track to complete its second straight week of gains.  That trading range we have mentioned in the past between $1305 and $1360 comes to mind in that the channel seems to be narrowing – a good sign from a technical perspective.  Geopolitical news, it seems, could give gold a strong push in either direction, but at the moment that venue has more chance of going negative (positive for the metals) than its does moving in the opposite direction.

Chart of the Day


Chart note
:  This chart is a regular feature in the EARLY REPORT and for good reason.  The long-term correlation between gold and the national debt offers one of the strongest arguments for gold as a semi-permanent aspect of the contemporary investment portfolio.  Regularly, we are reminded in press reports that, with the new tax cuts and promised spending via the latest tax legislation, the United States will run deficits for the foreseeable future over $1 trillion annually.  It will surprise a good many to know that over the course of the last 12 months, the United States added $1.275 trillion to the national debt.

 

Posted in Today's top gold news and opinion |

Gold takes a tumble amidst heavy futures selling

LATE REPORT

Gold took a tumble today finishing down $18 at $1335 and giving up yesterday’s gains and then some. The downside came amidst heavy selling in futures markets most of the day. Please see this morning’s EARLY REPORT further down the page for a fuller account of today’s market action. Before today’s sell-off, gold had closed higher for four days running. As a backdrop to today’s sell-off and profit-taking, markets seemed to be less concerned about tensions in the Middle East and the dispute with China over trade.

Quote of the Day
“Although there are countless scourges which in general debilitate kingdoms, principalities, and republics, the four most important (in my judgment) are dissension, [abnormal] mortality, barren soil, and debasement of the currency. The first three are so obvious that nobody is unaware of their existence. But the fourth, which concerns money, is taken into account by few persons and only the most perspicacious. For it undermines states, not by a single attack all at once, but gradually and in a certain covert manner.” – Copernicus


Recent Better Business Review

Scorecard: 46 five-star reviews. Zero complaints.
A+ rating. Accredited since 1991.

[Link]

“My business relationship with USAGOLD began in 2015 after being highly recommended to me by my Financial Advisor. Being a widow, I felt I needed diversification in my portfolio. After a few question and answer interviews with Jonathan via phone conversations, I was completely confident in his professional judgement and knowledge. He took the time to get to know me in order to find the perfect fit for my needs. I have gained complete trust in USAGOLDdue to their honesty, reliability, and professionalism. I can with confidence, highly recommend USAGOLD to anyone who is interested in investing in precious metals. I give them a 10 across the board based on my experience.” – Elaine M.

If the market madness of the past few weeks has you thinking you might need to hedge your portfolio with gold and silver, we invite to get in touch with us. We will provide the same kind of pricing and service that has made Elaine M. a long-time client and friend of the firm.

1-800-869-5115
Extension #100
–– or ––
If you prefer e-mail to get started
orderdesk@usagold.com

Posted in dailyquotes |

Gold takes a tumble amidst heavy futures selling

LATE REPORT

Gold took a tumble today finishing down $18 at $1335 and giving up yesterday’s gains and then some.  The downside came amidst heavy selling in futures markets most of the day. Please see this morning’s EARLY REPORT further down the page for a fuller account of today’s market action.   Before today’s sell-off, gold had closed higher for four days running. As a backdrop to today’s sell-off and profit-taking, markets seemed to be less concerned about tensions in the Middle East and the dispute with China over trade.

Quote of the Day
“Although there are countless scourges which in general debilitate kingdoms, principalities, and republics, the four most important (in my judgment) are dissension, [abnormal] mortality, barren soil, and debasement of the currency. The first three are so obvious that nobody is unaware of their existence. But the fourth, which concerns money, is taken into account by few persons and only the most perspicacious. For it undermines states, not by a single attack all at once, but gradually and in a certain covert manner.” – Copernicus


Recent Better Business Review

Scorecard: 46 five-star reviews. Zero complaints.
A+ rating. Accredited since 1991.

[Link]

“My business relationship with USAGOLD began in 2015 after being highly recommended to me by my Financial Advisor. Being a widow, I felt I needed diversification in my portfolio. After a few question and answer interviews with Jonathan via phone conversations, I was completely confident in his professional judgement and knowledge. He took the time to get to know me in order to find the perfect fit for my needs. I have gained complete trust in USAGOLDdue to their honesty, reliability, and professionalism. I can with confidence, highly recommend USAGOLD to anyone who is interested in investing in precious metals. I give them a 10 across the board based on my experience.” – Elaine M.

If the market madness of the past few weeks has you thinking you might need to hedge your portfolio with gold and silver, we invite to get in touch with us. We will provide the same kind of pricing and service that has made Elaine M. a long-time client and friend of the firm.

1-800-869-5115
Extension #100
–– or ––
If you prefer e-mail to get started
orderdesk@usagold.com

Posted in Today's top gold news and opinion |

Gold gives up yesterday’s gains then some

EARLY REPORT

Gold gave up yesterday’s gains in early trading and then some. At the moment, it is trading at $1338 and down almost $15 on the day. Silver is similarly trading to the downside at $16.50 and down 19¢ on the day. Gold pushed over the technically important $1360 mark to trade briefly at the $1365 level yesterday. That price level met with a wave of selling in the paper gold market that carried over to early trading today. On the opposite side of the ledger, the dollar regained much of the ground it lost in yesterday’s trading. Both are caught in narrow channels that have developed over the early part of 2018.

The volatility in paper gold market day to day, accompanied by strong buying or selling volume on either side of the trade, indicates indecision on the part of speculators and investors as to which way the gold market is likely to break. That lack of conviction has kept the price in a channel between just over $1300 per ounce and just under $1360. A major geopolitical or financial market event though could break the price channel.

In the meanwhile, long-term physical owners of the metal have enjoyed a 6% gain in gold over the past 12 months, as reflected in today’s Chart of the Day:

Gold one year – April 12, 2017 through April 11, 2018, a 6% gain
Posted in dailyquotes |

Gold gives up yesterday’s gains and then some

EARLY REPORT

Gold gave up yesterday’s gains in early trading and then some.  At the moment, it is trading at $1338 and down almost $15 on the day. Silver is similarly trading to the downside at $16.50 and down 19¢ on the day.  Gold pushed over the technically important $1360 mark to trade briefly at the $1365 level yesterday. That price level met with a wave of selling in the paper gold market that carried over to early trading today. On the opposite side of the ledger, the dollar regained much of the ground it lost in yesterday’s trading. Both are caught in narrow channels that have developed over the early part of 2018.

The volatility in paper gold market day to day, accompanied by strong buying or selling volume on either side of the trade, indicates indecision on the part of speculators and investors as to which way the gold market is likely to break.  That lack of conviction has kept the price in a channel between just over $1300 per ounce and just under $1360.  A major geopolitical or financial market event though could break the price channel.

In the meanwhile, long-term physical owners of the metal have enjoyed a 6% gain in gold over the past 12 months, as reflected in today’s Chart of the Day:

Gold one year – April 12, 2017 through April 11, 2018, a 6% gain
Posted in Today's top gold news and opinion |