from Zero Hedge
Two days ago we pointed out something surprising: according to Ladbrokes’ head of political betting, Matthew Shaddick, the key catalyst that moved bookie odds on Monday morning, the first day after the suspended campaign in the aftermath of Jo Cox murder was resumed, “we took a £25,000 bet on Remain this morning which helped move the odds in their direction.” This in turn unleashed a global asset surge, as markets rebounded on expectations the Leave campaign was losing momentum, even as actual polls – still neck and neck – did not validate such an observation.
Gold and silver have been on the forefront of financial news this year for their solid performance this year and deservedly so. However, we are only in the beginning innings of the next great leg higher in gold and silver and here are three charts to clearly illustrate this point.
Gold stocks need very specific conditions in order to perform well. The last time most of these conditions were present was during the Great Depression. However, conditions are currently shaping up to be even more ideal.
We post these each week and we have been doing so for the past 2.5 years.
Gold fell again today to its lowest in a week despite continuing uncertainty about the outcome of the Brexit referendum. This is contributing to very significant high net worth and institutional demand in recent days, particularly in the UK, which is leading to “panic” and “supply issues” in the interbank gold market.
Hackers are back with their dirty little tricks…
This past week saw some very exciting movement in the metals. There was something for the bulls and the bears alike. But, for now, the bulls still have the edge, at least in my humble opinion. Yet, the price action and sentiment have many looking much lower now, and has scared many of those that were quite bullish coming into the week.
Good Day… And a Wonderful Wednesday to you! Well, it was nice to return home yesterday, and find that the A/C was fixed and we were back in the cool zone! Crosby and Nash greet me this morning with their song to save the whales: Wind on the Water… I saw these two iconic rock performers at the Mississippi River Festival many years ago, with seats in the first 5 rows! And the first two games in Chicago at historic Wrigley Field for my Beloved Cardinals have gone their way, one more today, and it’s a day game! We’re all just waiting for the results of the BREXIT vote.. I heard a different take on this yesterday.. Instead of BREXIT, we could end up with BREMAIN! HA!
Those people who do not avidly track global economic events may be a bit confused by the growing tensions surrounding the U.K. referendum to exit the European Union, otherwise known as the “Brexit.” Or, they are completely indifferent. Unfortunately, the potential fallout surrounding the event could very well affect the entire world, but perhaps not in the manner the mainstream media and international financiers would have us believe…
US policymakers should allow inflation to rise above official targets, the International Monetary Fund has recommended, as it warned that the risks of deflation still loom over the world’s largest economy.
Gold expert Nick Barisheff wrote a book titled “$10,000 Gold” in 2013. According to Barisheff, that number is even more possible today. Barisheff contends, “It’s hard to believe when I wrote the book three years ago, and I talked about the issues that would lead to $10,000 gold are still there and have gotten much worse. None of the issues have been solved, and now we are in multiple bubbles, a lot of them surrounding debt, and it keeps growing all over the world, and that’s the main correlation to the price of gold.”
Europe’s banks are still buying more of their home governments’ bonds, even though the enormous exposures between states and financial institutions risk re-starting the so-called ‘doom loop’ that damaged the Greek economy so badly.
London (Platts)–21 Jun 2016 935 am EDT/1335 GMT
When Brexit votes are tallied on Thursday, it will round out a week of pseudo-events that has already featured Congressional testimony from the Fed’s obfuscator-in-chief, Janet Yellen, the most powerful banker in the universe. We should be thankful there are no payroll numbers due out Friday to add to all of the made-up drama, since one more headline could generate a rogue wave capable of capsizing the global financial system. Rick’s Picks has contrived to tune out most of the news these days, especially Trump-o-mania and the latest polls. They make keeping up with the Kardashians seem exciting in comparison. Pity the poor schmucks who have to write about such stuff every day. What will they dredge up when the dog days of summer are upon us?
Apparently Federal Reserve Chairwoman Janet Yellen didn’t get the memo but helicopter money is already at work in the U.S.
China wants to do what the U.S. has done, which is to remain on a paper currency standard but make that currency important enough in world finance and trade to give China leverage over the behavior of other countries.