Gold Having It’s Best Year Since 2010
Craig Hemke, Founder of TF Metals Report joins me to recap the moves in gold so far this year. The recent pullback in metals has also occurred in unison with a bond sell off. One thing to consider is even if this pullback continues down to $1,450 or $1,400 this will still be the best year for gold since 2010.
If gold were to close the year at or below 1450, 2017 would remain the best year since 2010. If we’re talking about the best “intra-year” moves, then 2016 is still the comfortable leader at almost +30% (vs almost +24% this year).
We need to see something like 1668 to top 2016’s best move.
Matthew, you will be pleasantly surprised this year,I believe.
Luckily, the technical picture this year IS the best since 2010 and 2016 doesn’t even come close so the % performance is comparatively meaningless. But I do agree that there is easily much more upside before the new year, whatever path it takes.
The monthly/quarterly/yearly charts should keep perspectives firmly bullishly biased even when the shorter term charts might appear to scream caution.
+2010
Well noted Matthew!
This was posted on 321gold. It addresses Craig’s subject matter on interest rates/bonds/and the Fed’s newest infusion of funds: https://www.armstrongeconomics.com/markets-by-sector/interest-rates/the-panic-in-interest-rates-is-just-getting-started/
Interest rates are almost irrelevent. Liquidity IS the problem.
(The spike in REPRO rates proves that. If you must have money; cost is secondary.)
REPO not REPRO
Interest rates are very relevant when they are negative.
Only if you are allowed to move money…….!
I was thinking more about Repo rates:
(Look at Italy)
Even Germany has dropped gold purchase reporting requirements from 20,000 euros to 2,000 euros.
Important speed line resistance for GDX comes in at about 29.15 next week:
https://stockcharts.com/h-sc/ui?s=GDX&p=D&yr=1&mn=3&dy=0&id=p37490009358&a=689145521
Frank Giustra predicts explosive Gold market
Haley Woodin – Business in Vancouver | September 20, 2019
“The world is in uncharted waters right now. We’re living in a world with a global debt bubble, and any time you get debt bubbles of this magnitude that are global, that are fuelled by speculation, something’s going to happen.”
https://www.mining.com/frank-giustra-predicts-explosive-gold-market/
Gold Exploration Trends: Drilling Up, Optimism Returns
Vladimir Basov | September 20, 2019
“Surge in gold prices and overall optimism reviving across the gold mining sector have finally encouraged miners, developers and explorers to pour more money into drilling campaigns.”
https://www.mining.com/gold-exploration-trends-drilling-up-optimism-returns/
A Perp Walk, a Paradigm Shift, and the Week in Precious Metals – Weekly Wrap-Up
September 20, 2019 – Craig Hemke & Eric Sprott
“As we come to the end of a “crazy, crazy week” for gold and silver, what does that mean for you? The metals are both up a bit, but where do they go from here? In a value-packed edition of the Wrap-Up, Eric Sprott returns to break down all the gold and silver news you need, including:”
• Indictments for “racketeering activity” at JP Morgan
• The warning signs coming from the repo markets
• What’s a good “batting average” for investments?
https://www.sprottmoney.com/Blog/a-perp-walk-a-paradigm-shift-and-the-week-in-precious-metals.html
^^ in the sprott interview above:
Good thoughts at the end from Eric on $KL $HL and his stake in $USA at Galena, $EXN $DV $KTN $KG
Gold Price in Canadian Dollars
$2,010.77 up +$23.86 (+1.20% gain)
Sep 20, 2019 16:59 NY Time
Good finish to the week for gold. Silver somewhat muted. I still expect more consolidation throughout the PMs in the coming days and perhaps weeks. However, so far this current correction is not inflicting much damage on the metals and perhaps that suggests the fundamentals within a bull market is performing its job in holding up well against the sellers.
Agreed Ozibatla. While the overheated sentiment and froth in the PMs needed to cool of it can do that through both Price and Time.
In the case of Gold it seems to be holding fairly steady where a larger correction in price would not have been out of order, but it appears to be resetting the chart indicators and cooling things off over Time rather than a large retracement = Bullish.
Sounds good Ex! Fingers crossed.
There is a serious liquidity crisis. Expect considerable OMOs for the rest of this year.