Friday , 3 May 2024

Lorimer Wilson

Was this Crash Engineered by the Fed to Bolster Demand for Treasuries?

It was suggested 1.5 years ago that the next stock market crash might be one orchestrated by the Fed to create interest from historic buyers of US debt. The scenario went like this: you let the stock market collapse (i.e. no interference by the infamous "Plunge Protection Team") to generate a “flight to safety” environment which would push billions, if not hundreds of billions, of dollars into U.S. Treasuries, soaking up its increasing debt issuance and roll-over with little difficulty thereby flooding the bond market with much needed demand. Were the recent dramatic declines in the U.S. stock markets so engineered by the Fed? Words: 852

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Sinclair: With Gold Reaching $1764 It Will Now Go Hyperbolic! (+2K Views)

The idea that an increase in the debt ceiling is a solution to anything is nonsense. The event would be simply a can kick forward for a very short period of time. Increasing debt is not a solution to a debt problem. It actually makes the problem worse. It is an act of extending your Federal credit card borrowing line so you can use it to pay your mortgage. Words: 590

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Dow Theory Signals New Bear Market is Imminent (+2K Views)

In a first since the bear market bottom of March 9, 2009 and the Dow Theory bull market indication on July 24, 2009, the Dow Jones Industrial Average and the Dow Jones Transportation Average have signaled the beginning of a bear market. [Let us explain.] Words: 824

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This Pattern Forecast the Crash (+2K Views)

Given that the financial system is now even more leveraged than it was during the tech bubble… and that we’ve added TRILLIONS in debt to the U.S.’s balance sheet...another systemic collapse [was to be expected and, in fact, was predicted by]... a stock market pattern that has occurred multiple times in the last century - and everytime it did, things got UGLY [- just like it is doing this time. Let's take a look.] Words: 422

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Update: Why $300+ Silver is a Realistic Future Peak Price (+3K Views)

Silver escalated in price by 81.1% in the 12 months ending June 30th, 2011 compared to gold's 19.3%. As such the gold:silver ratio fell from 67: 1 to 44: 1 over that period. This is still way out of whack with the long-term historical relationship between the two precious metals and begs the question: “Is now the perfect time to buy silver instead of the much more expensive gold metal?” Words: 1490

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July Update: Gold & Silver Warrants Index (GSWI) (+9K Views)

Virtually nothing is being written these days on the long-term warrants associated with a few gold and silver mining companies. I suppose that is to be expected given that there are only 22 such warrants and they are associated with only 19 companies in total. That is unfortunate because those who are in the know can take advantage of the significant leverage warrants generate in a bull market over investing in physical gold and silver, precious metals company stocks and mutual/exchange traded funds. What am I talking about - and which warrants am I referring to? Let me explain. Words: 1703

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Don’t Buy Yet – Wait Until a Renewed Uptrend is Confirmed!

[To say that the market has capitulated] implies that the market has bottomed and that now is a good time to buy stocks. In my opinion, that is completely wrong. The market is building momentum to the downside...[and] the odds are that the inevitable reactionary bounce is a short reprieve on the way further down. If the capitulation results in a new and meaningful uptrend (and that is a big “if”), we will see that in the charts. Words: 552

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