Blog

April 30, 2007 – The US government claims that the Treasury Department owns and has in its possession 261.5 million ounces of gold, which is colloquially referred to as the US Gold Reserve. At the so-called “official” but patently bogus price of $42.22 per ounce, the book value of this gold is reported by theRead more

April 23, 2007 – It is widely recognized and understood that bull markets have three stages. What is less well understood is how those three stages apply to any market. Each stage is distinct. Stage 1 begins when the previous bear market ends. The last of the weak hands are flushed out, and the lowRead more

April 9, 2007 – Over the past few years I have carefully analyzed the gold exchange-traded fund (NYSE ticker symbol: GLD) and written extensively about it. My principal conclusion is that GLD is not a viable alternative to owning physical gold. My articles explaining this conclusion can be read at the following link: www.financialsense.com IRead more

26 March, 2007 – It is a basic premise of today’s fiat-currency-based monetary system that central bankers only tell you what they want you to hear. For example, the Financial Times reported on March 23rd that “The explosive growth of credit derivatives has strengthened the US financial system, making it more efficient and more resilient,Read more

March 26, 2007 – For several years there has been an ongoing effort in New Hampshire to re-establish sound money within the state. See for example the legislation proposed a few years ago enabling citizens to require the state to use gold or silver in transactions with them: www.goldmoneybill.org. This legislation has been bogged downRead more

March 5, 2007 – The World Gold Council recently announced that the assets of StreetTracks Gold Shares (ticker symbol: GLD), the NYSE-listed exchange-traded fund it sponsors, exceeded $10 billion. That remarkable accomplishment makes its fund one of the fastest growing ETFs in history, which in itself is a significant achievement given the growing popularity ofRead more

Feb 23, 2007 – A subtle change is taking place in the gold market. In addition to all of the reasons people already have to buy physical metal, gold now has a new driver. Banks are starting to report significant loan write-offs. To understand the importance of this new development, one only has to lookRead more

February 19, 2007 – On January 15th the Financial Times published a series of questions from its readers about gold that were answered by James Burton, CEO of the World Gold Council. The article can be found at this link: www.ft.com There were two answers given with which I completely disagree. These are: “Q: HowRead more

Jan 30, 2007 – The Federal Reserve will soon be meeting to discuss whether to increase short-term interest rates. Most observers expect the benchmark federal funds rate to remain unchanged at 5.25%. There are two opposing points of view about the direction that interest rates will be taking, which is always the case when itRead more

January 29, 2007 – It seems clear to me that the US is following a monetary path that is leading to ever-growing rates of inflation that will over time culminate with exceptionally high rates of inflation, if not hyperinflation. To test this point of view, I have been reading about Weimar Germany to study itsRead more