Investing

The question most often asked of gold bulls is, “At what price will you take your profits?” It is a question that betrays a lack of understanding about why anyone should [want to] own gold [in the first place]. Nevertheless, the simple answer must be, “When paper money stops losing its value”. This response should alert anyone who asks this question to the idea that owning fiat cash is the speculative position, not ownership of precious metals. [Let me explain.] Words: 1184

U.S. stocks are trading at their cheapest levels since at least 1990, according to such commonly used valuations as price-to-earnings and price-to-book ratios as well as dividend yield...but [we ask,] cheaper than what? Different "investments" are valued differently at different times during the artificial central-banking business cycle that we must function under. In this case, we would argue, stocks are more likely reflecting potential chaos to come than a buying opportunity. Sure, there may be rallies during this fiat bear market but they should be considered within the context of the larger trends.

What a year for gold in 2011! It was up 9% in US dollar price terms and even more so in most other currencies; outperformed a large number of asset classes reinforcing its role as a foundation asset in portfolio construction; provided liquidity when investors needed it the most, acting as a risk management vehicle [and] served as a currency hedge throughout the year, in particular against the US dollar;...[and] gold fundamentals of supply and demand were robust [ which should remain so in 2112]. Words: 1530

[While] some investors are frustrated,, and a few are worried that gold seems stuck in a rut [such a] stall in price has happened before...[but has] always eventually powered to a new high...[Let's] examine the size and length of past corrections and how long it took gold to reach new highs afterward. Words: 740

Out of the 7,500 separate mutual funds available, and with 22,000 shares classes to choose from, only 1 fund - just ONE fund - actually managed to achieve a greater percentage return than gold bullion since the alarm bells rang out at the turn of 2007! [That being said, are you still one of the 99% of investors who, for whatever reason (are you foolishly listening to the "advice" provided by your stock broker/securities salesman going under the guise of a financial "advisor"), is still without any physical gold or silver?] Words: 395

Short-term volatile moves in Gold, as we have seen over the past few months, do not affect our projections for the future price of Gold based on our fractal (pattern) "model" off the late 70's Gold Bull. Just as we correctly projected the $1,920 high in our April article entitled Goldrunner: Gold on track to Reach $1860 to $,920 by Mid-year (gold reached $1,917.20 in late August and $1,923.70 in early September, 2011), our current analysis indicates that Gold will enter a range between $3,000 and $3,500 by mid-year 2012. Words: 975

To achieve the EW target of $4,500/ozt. on the next upward move [in gold that I laid out in my article Alf Field: Correction in Gold is OVER and on Way to $4,500+!] will require something to trigger substantial new buying of gold. What could that event be? By definition, it will be a surprise to all market participants, a “black swan” event. That doesn’t prevent us from making a guess [and] one likely area from which problems could emerge...[would be] derivatives. [Let me explain why that might well be the case.] Words: 591

Gold and silver continue to receive the lion's share of press headlines and investment writers' attention. [While] our team believes this theme will continue, there are other assets which benefit from a weak dollar, especially if a weak dollar is combined with some decent economic activity. [One such asset] is copper, a base metal that, like gold and silver, [that will] appreciate with inflation and has tremendous potential for increased demand given the theme of 2012 - economic growth. [Let me explain in some detail why we think that is the case.] Words: 1150

For a decade I have been urging my subscribers to move into gold - either physical bullion or otherwise [Richard Russell: Get Prepared – A Gold Tsunami is Coming] . Now I am at it again: PLEASE MOVE INTO GOLD. [Here's why you should.] Words: 720

Initial unemployment claims may be the most important economic indicator for the stock market in 2012. It is one of the three components of our Fundamental Stock Market Indicator (FSMI), which is highly correlated with the S&P 500, [see graph below] so if initial unemployment claims remain under 400,000 and possibly continue to head lower during January, that would support the strong stock market rally that has kicked off the New Year so far. Words: 395