Monthly Archives: February 2014

Gold Is Now On Sale

If you haven’t yet checked out Peter Schiff’s latest Gold Letter, take the time to do so this weekend. It includes an excellent piece by Bud Conrad of Casey Research explaining some of the technical reasons that gold is a great buy right now.

“Gold has been in a downturn for more than two years now, resulting in the lowest investor sentiment in a long while. Hardcore goldbugs find no explanation in the big-picture financial numbers of government deficits and money creation, which should be supportive to gold. I have an explanation for why gold has been down – and why that is about to reverse itself. I’m convinced that now is the best time to invest in gold again.”

Continue Reading Full Commentary

Big US Banks long gold 14 02

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Today’s Key Gold Headlines – 2/07/14

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Dark Gold: Shining Light on a Mysterious Market

Peter Schiff's Gold Letter

The February 2014 edition of the Gold Letter is now available and full of valuable information on the current state of the gold market. Peter Schiff’s commentary addresses a little understood phenomenon that he dubs the world’s “dark gold.” Bud Conrad of Casey Research explains the fundamentals supporting a major turnaround in the gold market this year. Dickson Buchanan, a Euro Pacific Precious Metals Specialist, shares a history lesson with you about why only gold was considered money prior to the creation of the Federal Reserve. And of course, you’ll find the latest Lampoon the System comic, our monthly FAQ, and important news summaries from January.

“Gold is the simplest of financial assets – you either own it or you don’t. Yet, at the same time, gold is also among the most private of assets. Once an individual locks his or her safe, that gold effectively disappears from the market at large. Unlike bank deposits or stocks, there is no way to tally the total amount of gold held by individual investors.

I like to call this concept “dark gold.” This is the real, broader gold market that exists below the surface-level transactions on the major exchanges. It’s impossible to know precisely how much dark gold exists around the world, but we do know that it is enough to render “official” gold holdings insignificant. That’s why I don’t buy and sell gold based on the decisions of John Paulson, or even J.P. Morgan Chase. It is a long-term investment that requires a deep understanding of the nature of money – and how little Wall Street’s media circus really matters.”

Continue Reading Peter Schiff’s Gold Letter

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Today’s Key Gold Headlines – 2/06/14

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How Gold Will Rise in 2014 (Video)

CNBC’s Futures Now interviewed Peter Schiff last night about the conditions that will push the price of gold higher in 2014.

“The real momentum to a new surge in gold is going to be when the Fed comes back with another QE plan that’s even bigger. They can’t lower rates any more, we’re heading back to recession. What is Janet Yellen going to do to try to revive the economy? There’s only one thing she can do, and that’s print even more money… When everyone figures it out, there’s only one place to hide, and that’s gold.”

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Today’s Key Gold Headlines – 2/05/14

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Gold – The Trade of the Year (Audio)

GoldSeek Radio spoke with Peter Schiff last week about the state of the gold market in 2014. Peter explains that now is the time to buy physical gold, before the market wakes up and realizes it isn’t going down much further.

“I think the Chinese officials are being dishonest with respect to their holdings. I don’t think they want to tell the world how much gold they own, because then they won’t be able to buy much more of it. Because no one will want to sell it to them once they appreciate how much they have and how much they want to buy. So I think they want to keep their asset size under wraps.”

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Today’s Key Gold Headlines – 2/04/14

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Gold’s Long-Term Upside Potential

The Gold Report spoke with Adrian Day about the ridiculous amount of government debt that will ensure the gold market remains on an uphill trajectory for years to come.

The Gold Report: Where are we in the current gold cycle?

Adrian Day: Over the last 250 years, the shortest cycle on record was the 1970s, just over 10 years. Typically, gold upcycles have lasted close to 40 years. On that basis, we aren’t even halfway through the current gold upcycle.

TGR: So last year’s price collapse did not indicate the end of the gold upcycle?

AD: Significant corrections in long, secular bull markets are typical. Gold, from top to bottom, has declined 37% in this particular cycle. If you look back to the upcycle of the 1970s, 1975–1976 saw a midcycle correction of 47%. But that was right before gold went up eightfold to more than $800/ounce ($800/oz).

Where are we now? It would be optimistic to assume a V-shaped recovery, but gold has bottomed, and over the next 12 months we are likely to see a slow, if uneven, recovery. The typical recovery comes from a long midcycle correction. We should reach $1,550–1,650/oz in 2014 or early next year, and then gold will start to accelerate. Some gold stocks could recover a lot quicker in expectation of higher prices.”

Read the Full Interview Here

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Today’s Key Gold Headlines – 2/03/14

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