by Gerardo Del Real
Outsider Club
Last week, I outlined why I felt caution was necessary in the gold and junior space. The failure of gold to rally, despite a weaker dollar, was a clear sign that there was a consolidation in the cards.
After failing to breakout early in the week — despite the U.S. dollar index falling to an eight-month low — gold has consolidated to the ~$1,230 level. There is heavy resistance at the $1,260 level and a weekly bottom at the $1,220 level.
I continue to believe the price trends will lower over the coming months. Gold couldn’t surge higher with a weaker dollar, but a stronger dollar later in the week did contribute to the pullback.
Silver on the other hand had a great week, hitting a 5.5-month high of $16.26 on Wednesday and a new high of $16.34 on Friday.
Jim Sinclair’s Commentary
“Few things are more dangerous than empires pushing their own interest in the belief they are doing humanity a favor.” -Eric Hobsbawm (1917-2012) British historian, June 10, 2003
It’s ‘s like something out of a comic book. Picture if you will a group of the wealthiest, most powerful villains the world has ever seen meeting in a secret bunker in an undisclosed location. A hush descends on the room as the proceedings begin and the assembled super-fiends discuss how best to enact their plan for world domination. It is obvious what must be done, but not so obvious how to achieve it.
Euro Pacific Capital’s Peter Schiff sat down with Alex Jones last week to discuss the state of the economy, and where he sees everything going from here.
$13,903,107,629,266. Can the nation afford this much debt?
Currency investors may look favorably on the Australian dollar (AUD) for a number of reasons, including its diversification benefits as the “commodity currency,” the stable economy and government underlying the currency, or the relatively laissez-faire monetary policy of the Reserve Bank of Australia (RBA). But, the “Aussie” has also been a long-time favorite of the Daily Pfennig® newsletter for measuring the temperature of global economic growth prospects, primarily due to the Australian economy’s importance as a major worldwide provider of raw materials for most manufacturing industries.
Dear Friend of GATA and Gold:
[…] This comment [quoted below] from someone I consider to be an ethical and intelligent mainstream economist was so eloquently put that I am using it on my site. It expresses almost perfectly why we have the broad movement growing in the US that rejects all the establishment candidates from both parties
And since stocks follow junk bonds….
The International Monetary Fund doesn’t get angry, it doesn’t like to apportion blame and it doesn’t issue threats – that’s not its nature. But at its spring meeting in Washington this week, it came surprisingly close to doing all three.
Today Nomi Prins, who last year addressed the Federal Reserve, IMF and World Bank, revealed a shocking private conversation about the Fed’s manipulation of the world.
It would seem that every fund manager on the planet has decided to roll the dice on higher silver prices. The long side bets on higher silver prices just scored AN ALL TIME HIGH among hedge fund managers.
For those without an inside track, high social/cultural skills are an essential foundation.