Ultralow yields ‘the new normal,’ analysts say
by Ellie Ismailidou
Market Watch
Treasury prices soared Tuesday, pushing yields to record lows, amid a global flight to the perceived safety of government debt as fears over the U.K.’s vote to leave the European Union re-emerged.
Investors continued to fret about the uncertainty surrounding so-called Brexit, ahead of a busy U.S. data calendar, with the U.S. official jobs report expected Friday. Meanwhile, factory orders in the U.S. fell in May after two straight gains, the government said Tuesday.
The global government-bond rally pushed several benchmark yields around the world to record lows—including some in negative territory. At the same time global equities SPX, -0.68% and crude-oil futures CLQ6, -4.43% plummeted as investors continued to sell assets perceived as risky.
Facts matter, especially when one is trying to drill down to the truth. But despite dozens of news articles from major media outlets on the private meeting between Attorney General Loretta Lynch and Bill Clinton at Phoenix Sky Harbor International Airport last week, the facts have typically been reported wrong and serious questions left unanswered.
19-year old Hannah Cohen should have been partying.
The Governor of the Bank of England Mark Carney has a problem and it is a severe problem. For decades, the Bank of England has acted as a coordinating market-maker for bullion banks in the City of London that trade ‘unallocated’ or unsecured gold and silver contracts through the London Bullion Market Association (LBMA). The market is uncovering that the Bank of England (BoE) has in effect been facilitating what amounts to a kiting operation in maintaining the structure of the London metals market where the vast majority of spot claims for gold and silver can never be settled with actual metal delivery. The irony is not lost when one considers that the BoE operates the Prudential Regulation Authority that regulates 1,700 UK banks to ensure their “safety and soundness”.
The director of the Federal Bureau of Investigation said Tuesday that no charges are “appropriate” in the case involving Hillary Clinton’s use of private email.
It has been theoretically demonstrated and seen in general practice that a monetary system of 100% metallic money devoid of central banking checks monetary inflation, prevents a general rise in the price level, and eliminates the dreaded business cycle while making all sorts of monetary mischief nearly impossible. A gold standard is not only economically superior to any paper money scheme, but is morally just, which is why it is hated by the politically well-connected, academics, politicians, and the rest of the Establishment.
Spain’s Social Security system is expected to go broke by 2018.
There are many people who allege that, because gold does not pay interest or dividends, it cannot be accurately valued, like a stock or bond. That is not true. It is actually easier to calculate the fair market dollar value of gold than to value any other asset. We simply need to step back in time in order to find our answer, and then employ some math.
Jobs, labor force are declining; housing construction in epic boom.
Americans and Canadians will likely face silver shortages in the future as investment demand continues to surge higher. This will come at time as the silver price skyrockets, thus making it even harder for investors to acquire physical metal.
Historically, the silver price has a tendency to decline and rise way more and faster than most people expect. The recent 5-year decline is a good example of a decline that went lower than expected. There are good reasons for this, but we often miss it due to our focus on the now instead of the bigger picture.
A Growing Bullish Chorus – With Somewhat Muted Enthusiasm
The “In Gold We Trust” Annual Report by fund managers, Ronald-Peter Stöferle and Mark Valek has just been published and is as ever essential reading for all seeking to better understand the gold market.
With the price of gold and silver pulling back, today it is a good idea for King World News readers around the world to take a step back and look at the big picture.