50% of gold’s move occurred on Monday, while the U.S. was closed in observance of MLK’s birthday and well before the Trump tweet. Mining stocks in Canada moved up sharply yesterday. This tells us that there are other factors behind the move in gold besides the expectation that the dollar is going to sell-off.
Firing on all cylinders and tackling important economic and political events of the past month while looking towards what may happen in 2017, the latest “Welcome to Dystopia” is one of the most informative and downright funny episodes of recent memory. Jason and I pull no punches! – Eric Dubin, Managing Editor, The News Doctors
Mr. Townsend thinks the Dollar Index will continue to increase until global central bankers sit down and agree to another Plaza Accord to manipulate and intervene in currency markets. I’m on record for over a year: central bankers and policy makers will start to sound conservative noises about their fears of the dollar rising too far, too fast, once the Dollar Index exceeds 105. That will be a trigger for attempts to talk down the dollar, to slow the rise. We will see a huge hit to profits of U.S. large corporations as the dollar rises and there’s already signs the earning season about to get underway will carry this theme into the mainstream consciousness of market participants, and you will see this within two weeks. Mr. Townsend is one of the more sober analysts covering the alternative asset markets and his perspective usually provides rational “food for thought.” He’s a superb “global macro” thinker. – Eric Dubin, Managing Editor, The News Doctors
We have the ingredients for major market turmoil in 2017.
Will we kiss local and state election control goodbye and what does that mean?
Doc and Dubin take stock of market condtions since the U.S. election and consider 2017.
In the wake of the Deutsche Bank precious metals manipulation settlement, we have not heard a peep out of the World Gold Council regarding the pervasive manipulation of the industry this trade association claims to represent. As for mining company CEOs, on balance they’re AWOL, too.
The Bank of Japan signaled it will keep loose monetary policy while the perception of tightening monetary policy by the Federal Reserve dominates market expectations. Off to the races! The yen started to swan dive against the dollar, and euro dives after terrorist attack.