Risk on and Risk Off Assets All Selling Off
Today Doc and I look at the potential for risk on and risk off assets to sell off together. We are seeing this today with US markets, gold and treasuries all moving down together. One day does not make a trend but Doc makes an argument for this to continue.
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B-Man, I must have had marbles in my mouth. I was referring to the Dow/Gold ratio, not the dollar/gold ratio. Pricing is bumping its’ head for the first time in years against that declining 200 month MA. The last time was when it first broke below it in 2006 and 2007 and then challenged that 200 month MA resistance before heading lower.
Everyone should be aware by now that the general markets have been kept elevated by the flow of money from Central Banks.
Interest rates have been kept low by Central Bank buying and funds piling in on the theory that Central Banks will buy them out.
But what happens if the dam that holds in money starts to crack?
The markets, General and Bond, have been built up by Central Bank buying so that values no longer represent anything valid by historical metrics.
What will prop the markets up if the Central Banks do not?
Many commodities, on the other hand, including precious metals are low by historical metrics. When the other markets fall, surely some of that money coming out will seek value in commodity-related satocks.
Doc, is it true you are putting in an olympic size pool in your backyard, a disco room with strobe lights, an infra-red sauna, and a man cave down in your cellar? When will it be ready?
BB, just in time for you to move in.
Doc, Michigan is the only mid-western state I have never visited, so I look forward to swimming in your new pool and sitting in your new sauna when they are finished. I used to swim in the Royer pool at I.U. when Spitz was a senior and was training for the ’72 olympics in Munich, and I believe some of the tips I gave him helped him to win 7 golds and set 7 world records in ’72. I’ll be glad to help you improve your butterfly stroke.
OFF TOPIC: Healthcare.
Expect to see more of this if a US National Health system is adopted:
https://www.washingtonpost.com/news/to-your-health/wp/2017/06/28/a-council-members-solution-to-his-ohio-towns-overdose-problem-let-addicts-die/?utm_term=.44c01897c6d2
“There’s much deeper ties to Russia on the Democratic side than there are on the Republican side.” — Maria Bartiromo
Maria dealt with this lying lefty appropriately but was still way too nice…
Hi Mathew:
The media has been failing us for quite some time now. They are like monkeys chasing shiny objects.
The media is easily manipulated.CIA intervention is behind a lot of it.
Public perception goes a long way.
That’s a fact and FOX is included.
Well (AVK) Avnel gold got taken out yesterday by Endeavour Mining at a 48% premium. I mentioned a number of times on here that Avnel, Hummingbird, and Orezone would be the 3 next takeovers in West Africa. 1 down, 2 to go…..
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Payday for investors in Mali-focused gold junior
Frik Els | about 2 hours ago
http://www.mining.com/payday-investors-mali-focused-gold-junior/
Endeavour Mining To Acquire Avnel to Further Strengthen its High-Quality Project Pipeline
June 28, 2017
https://ceo.ca/@nasdaq/endeavour-mining-to-acquire-avnel-to-further-strengthen
Ex, have you read this article on 321 gold quoting ” The Original Graphite Bug”, James Dine. It seems maybe a lot of the younger generation have forgotten who he is, but I’m sure that doesn’t include you. DT
https://www.streetwisereports.com/pub/na/17523
Thanks DT. Yes I remember James Dines from the last Uranium cycle and the Rare Earth mania, and believe he was one of the first big Newsletter promoters. I don’t follow Graphite as closely as Lithium, Cobalt, and Copper for battery tech, but will read it over.
Hi DOC ! Nice you heir ! Whats you’re opintion Eldorado Gold ? Tanks fore you’re coming talk us !
You see the move of Arizona Silver Corp today ???
Yes James. The market is anticipating better assays from their next drill results that get reported.
James, I’ve been looking at an entry point to purchase EGO—I like some of their purchases.
“GOLD: Primary Support Broken”
http://www.trendlinemagic.com/2017/06/gold-primary-support-broken.html
Updated with text and second chart. Quarter ending into the holiday may make for early fireworks!
(MNY) (SAIDF) Montan Mining Corporate Update
-Arranges extension to august 30th for closing of kairos s.a.c acquisition
-mirador plant flotation circuit operating at 125 tpd steady state
-Company has mutually terminated the financing term sheet with Cartesian Royalty Holdings and is advancing other non-dilutive financing options
“The Company would like to confirm that the Kairos transaction, which will provide the Company with existing (and growing) cash flow from the Mirador base and precious metals mill, is proceeding on a revised schedule, timed to permit full compliance with TSX requirements and Personal Information (“PIF”) filings.”
“Operational Update: The Mirador plant is fully operational at 125 TPD through its copper processing line and presently has a two-month waiting list queued for processing through its flotation circuit.”
“Forward planning for the operational start-up of the Company’s 100% owned Cerro Dorado plant has also been ongoing. Detailed evaluation of the volume and quality of gold bearing mineral bound for Chala and Nazca out of the Atico Valley where the Cerro Dorado plant is located has shown that more than 6,000 tons of quality feed passes by the plant location monthly. Negotiations with potential suppliers confirm a strong business case for near-term start-up at Cerro Dorado.”
Minera Alamos Announces Closing of $5.4 Million Private Placement Financing
(Marketwired – June 29, 2017)
https://ceo.ca/@marketwired/minera-alamos-announces-closing-of-54-million-private
Could either Cory or Doc enlighten me on the Dollar/Gold Ratio that was mentioned on Monday please? I checked out both $USD:$GOLD and $GOLD:$USD on StockCharts and I don’t see what Doc was referring to as regards the 200 month Moving Average. Thanks, B.