Chris Temple from The National Investor – Wed 13 May, 2020

US Markets vs Gold Stocks – Two very different outlooks

Chris Temple joins me today to share his thoughts on the outlook for US markets and gold stocks. Are the US markets beginning a longer term rollover? Can gold stocks weather another broad market sell off? All of this is discussed.

Click here to visit Chris’s site and see what stocks he has on his recommended list.

  1. On May 13, 2020 at 9:48 am,
    Excelsior says:

    Negative US Interest Rates – Listen To The Market

    Chris Weston – Head of Research – 13 May 2020

    “Gold, Bitcoin and EM FX would also be a beneficiary of negative rates.”

    • On May 13, 2020 at 9:48 am,
      Excelsior says:

      Druckenmiller Sees Deflation, Time To Sell Gold? Definitely Not!

      by @Goldfinger on 13 May 2020

      • On May 13, 2020 at 9:48 am,
        Excelsior says:

        BANG: Making FANG Look Tame

        Jesse Felder – May 6, 2020

        “It was almost exactly 2 years ago that I wrote, “BANG: Why The Gold Miners Could Soon Make FANG Look Tame.” At the time, I argued that the major gold mining stocks (Barrick, Agnico Eagle, Newmont and Goldcorp) were undervalued and poised for a strong rally, especially compared to the FANGs (Facebook, Amazon, Netflix and Google) which appeared overvalued. Since then, BANG has risen over 72%, nearly triple the gain of the FANG stocks.”

      • On May 13, 2020 at 10:50 am,
        Matthew says:

        It would be nice if goldfinger would share his definition of deflation because it does not appear to be correct.
        Of course this is the guy that thought he was smart to point out that both Trump and Bush are rich white guys so his analysis skills are defective.

        • On May 13, 2020 at 11:22 am,
          Bonzo says:

          I thought Commander Bond killed Goldfinger over a half century ago…

          • On May 13, 2020 at 12:00 pm,
            Excelsior says:

            True. But I believe Goldmember is still out there twarting Austin Powers:


          • On May 13, 2020 at 12:00 pm,
            Excelsior says:

            thwarting (not twarting) 🙂

          • On May 13, 2020 at 12:54 pm,
            Matthew says:

            Probably twerking 😏

          • On May 13, 2020 at 6:49 pm,
            Excelsior says:

            Ha! that’s a messed up mental visual.

        • On May 13, 2020 at 11:58 am,
          Excelsior says:

          At the very end of his editorial Goldfinger eluded to his perspectives on deflation. It wasn’t a concrete definition, but speaks to where he stands on the deflation/inflation projections.

          “Druck is correct, a deflationary outcome is more likely than any possibility of significant inflation taking hold. This means that global central banks will continue making money as cheap as possible and liquidity as plentiful as possible in a futile effort to the fight the structural disinflationary/deflationary forces, These two conditions are fertile soil for the gold bull market to thrust into overdrive in the coming months. “

          • On May 13, 2020 at 12:10 pm,
            Excelsior says:

            I was under the impression that inflation was usually a strong dollar rising against all other assets, depressing the prices of those assets. So if we look at what has happened to Oil, Copper, Zinc, Lead, Lithium, etc… it does appear to be deflationary at present.

            However, I expected the US dollar to gradually start taking a hit as the world wakes up to the effect the Trillions and Trillions of dollars being created will have, which should be eventually inflationary. I expected to see other basket of currencies rise against the dollar in the face of our debt monster, and if a gold-backed digital Yuan is created, then that would soften the Dollar a bit more, leading to more inflationary pressures.

            It will be fascinating to see how all of this unfolds, and not necessarily the pleasant kind of fascination. More a horror show…

          • On May 13, 2020 at 1:06 pm,
            Matthew says:

            I think you meant DEflation “was usually a strong dollar…”

            Re: “So if we look at what has happened to Oil, Copper, Zinc, Lead, Lithium, etc… it does appear to be deflationary at present.”

            The problem with that is commodities prices are currently reflecting the economic collapse rather than “money” supply growth which has to go somewhere. Cyclically, technically and economically (fundamentally), that inflation is extremely likely to flow into gold more than any other sector. Following the 2011 gold top, it flowed into stocks and, contrary to popular gold bull belief, for good reason.

            The dollar is in fact not strong. It just appears to be holding its own because most people measure it in other currencies rather than gold. Which is just stupid since GOLD is what it is a substitute for.

          • On May 13, 2020 at 6:44 pm,
            Excelsior says:

            Yes, sorry I meant DEflation not INflation was the strong dollar rising against other assets.

            While commodities are reflecting the economic collapse they were already weak the last 2 years in the face of the stronger dollar (yes when measured against other currencies). Things were getting deflationary before the covid-19 charades, and the virus was just the scapegoat for the bubble popping.

            Agreed completely that when measuring the dollar against real money (Gold) it has been getting weaker in comparison the last 4 1/2 years.

          • On May 13, 2020 at 8:01 pm,
            Matthew says:

            The bottom line is that gold would be falling if dollar strength was anything more than smoke and mirrors.

            Even the corrupted CPI did not go negative during the commodities weakness of the last two years that you mentioned. So deflationary forces have not been allowed to cause any net price deflation let alone actual deflation (which is a contraction in the supply of currency and credit).

            No one misuses the word deflation like the deflationists. For example, they all accept that Japan has been in a deflation for the last 30 years even though:
            1.) the supply of yen has only gone up, and
            2.) the yen has less purchasing power today than it did 30 (or 20, or 10) years ago.

            It seems to me the powers that be (not Trump or the D-rats) know that the best way to push the dollar down quickly is to cause as much economic hardship as possible while simultaneously radically expanding the Fed’s balance sheet. The price of gold tells us it’s working no matter how well it holds up against other currencies. In fact, it’s best for them if all currencies go down roughly together so that it appears to the masses that the dollar is fine or even strong while it is in fact falling hard.

            The above, btw, is a recipe for hyperinflation since hyperinflation never follows a period of economic growth or high inflation but rather the opposite.

            Gold is the canary in the coal mine and the message is clear: the dollar will be sacrificed. Of course many won’t believe it until long after gold has made a new all-time high and with so many bitcoin loving clueless young people today, many may never make the connection that a gold bull is driven by a falling dollar.

          • On May 14, 2020 at 8:02 pm,
            Excelsior says:

            Those are very cogent comments Matthew, and I do agree that as the price of Gold goes up relative to the Dollar, it shows the erosion of the Dollar. As you pointed out if all the currencies fall together, then it makes the appearance of the Dollar consistent, when in fact they are all racing to the bottom.

            As for the crypto kids, I’m still not sure what to think of the cryptocurrencies, but could see some form of digital money growing in popularity as a way to get out of traditional fiat. However, once fiat is converted to cryptos then they just become speculative trading vehicles where value is decided by the greater fool theory.

  2. On May 13, 2020 at 11:20 am,
    Bonzo says:

    Cory, please give us a list of all the garbage companies you know. Thanks.

  3. On May 13, 2020 at 11:56 am,
    BM says:

    good luck to anyone long miners…$GDX going below 2015 lows circa $12.50

    • On May 13, 2020 at 12:21 pm,
      Josey Wales says:

      BM, always, always prepare for the worst. Never, say never.

      • On May 13, 2020 at 1:12 pm,
        Matthew says:

        Never 😁

        • On May 13, 2020 at 1:21 pm,
          Josey Wales says:

          Matthew, you nailed it !!!!!

          YOU’RE NOW JINXED 🤑

      • On May 13, 2020 at 2:04 pm,
        David says:

        I was counting on a rally. Now I am distraught or seriously unmotivated.

        • On May 13, 2020 at 2:15 pm,
          Josey Wales says:

          Just place your sell stops at -000-. 🤞

          • On May 13, 2020 at 2:54 pm,
            David says:

            Waiting for negative stops to be allowed. Holding negative dollars to cover.

          • On May 13, 2020 at 3:04 pm,
            Josey Wales says:

            🙃 Go negative !!!!

  4. On May 13, 2020 at 12:06 pm,
    Tom says:

    long UCLE