Wall Street Journal joins brokers in trying to talk investors out of gold

 

Gold at Foothills of a Mania
By: Jeff Berwick

 

Gene Arensberg: Big commercial shorts not piling on in gold and silver

 

Jim Sinclair’s Commentary
The US failed to even gain attention before the G20 meeting.

G-20 meeting ends with U.S. failing to secure key support for trade plan
A proposal to set a cap for each country’s deficit or surplus is opposed by some American allies and trading partners. By Don Lee and Christi Parsons, Los Angeles Times
October 24, 2010
Officials of the world’s major economic powers agreed Saturday to take steps to head off what one nation has warned could become a currency war, but the Obama administration fell short of securing an agreement to correct large trade imbalances threatening the global economy.
Concluding two days of talks in South Korea, Treasury Secretary Timothy F. Geithner and other finance ministers of the Group of 20 leading economies also moved to give emerging nations such as China and India a bigger voice in the International Monetary Fund.
Geithner’s top priority at the talks, before a summit of G-20 leaders next month in Seoul, was to persuade his counterparts to accept a new set of policies and mechanisms aimed at reducing the large U.S. trade and investment deficits while curbing surpluses of China and other countries that have long relied on Americans as the consumers of last resort.
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In the wake of the global financial crisis and devastating recession, U.S. officials have pressed harder for export-dependent countries to import more and expand their economies by boosting domestic demand. At the same time, the United States and other nations that have been running deficits would need to consume less while boosting savings and investments.
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Jim Sinclair’s Commentary
If you assume that this article is 50% correct $1650 is in the bag.
If it is totally correct then Alf and Armstrong are also totally correct.
 
Fed Additional Asset Buying May Reach $2 Trillion, Goldman’s Hatzius Says By Candice Zachariahs – Oct 24, 2010 3:47 PM PT
The Federal Reserve may purchase $2 trillion of assets to stimulate the U.S. economy and start by announcing a fresh round of monetary easing on Nov. 3, Goldman Sachs Group Inc. said.
“We expect an announcement of $500 billion or perhaps slightly more over a period of about six months,” Jan Hatzius, the New York-based chief U.S. economist at Goldman Sachs, said in an e-mailed note. “The key question, however, is not the size of the first step, but how far Fed officials will ultimately need to move to achieve their dual mandate of low inflation and maximum sustainable employment.”
The world’s largest economy grew at a 2 percent annual pace in the third quarter, according to the median estimate of economists surveyed by Bloomberg News before the Commerce Department’s Oct. 29 report on gross domestic product. That’s unlikely to be strong enough to give the 14.8 million unemployed Americans hope of finding work soon, one reason why Fed policy makers may be about to pump more money into the economy.
The Fed is “almost certain” to announce additional monetary easing next month, Hatzius said. The committee may also announce a monthly purchase rate of perhaps $100 billion that will remain in place until the outlook for jobs and inflation improve “significantly,” he wrote.
The cost of living in the U.S. rose less than forecast in September a report showed Oct. 15, indicating companies are keeping a lid on price increases to stoke demand. The consumer- price index rose 0.1 percent, compared with projections for a 0.2 percent gain, Labor Department figures showed.
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Jim Sinclair’s Commentary
Cannibalizing oneself as a nation to survive financially only serves to accelerate total loss of confidence in currency and bond markets.

Ministers plan huge sell-off of Britain’s forests
Ministers are planning a massive sell-off of Britain’s Government-owned forests as they seek to save billions of pounds to help cut the deficit, The Sunday Telegraph has learnt. By Patrick Hennessy and Rebecca Lefort
Published: 8:30PM BST 23 Oct 2010
Caroline Spelman, the Environment Secretary, is expected to announce plans within days to dispose of about half of the 748,000 hectares of woodland overseen by the Forestry Commission by 2020.
The controversial decision will pave the way for a huge expansion in the number of Center Parcs-style holiday villages, golf courses, adventure sites and commercial logging operations throughout Britain as land is sold to private companies.
Legislation which currently governs the treatment of "ancient forests" such as the Forest of Dean and Sherwood Forest is likely to be changed giving private firms the right to cut down trees.
Laws governing Britain’s forests were included in the Magna Carta of 1215, and some date back even earlier.
Conservation groups last night called on ministers to ensure that the public could still enjoy the landscape after the disposal, which will see some woodland areas given to community groups or charitable organisations.
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Jim Sinclair’s Commentary
China has reacted to the US Treasury currency manipulator thrusts and to Japan’s desire for the oil and gas field in the South China Sea.
Withholding these items will promptly shut down the US and Japanese defense and high tech industries.

China Said to Widen Its Embargo of Minerals By KEITH BRADSHER
Published: October 19, 2010
HONG KONG — China, which has been blocking shipments of crucial minerals to Japan for the last month, has now quietly halted some shipments of those materials to the United States and Europe, three industry officials said this week.
The Chinese action, involving rare earth minerals that are crucial to manufacturing many advanced products, seems certain to further intensify already rising trade and currency tensions with the West. Until recently, China typically sought quick and quiet accommodations on trade issues. But the interruption in rare earth supplies is the latest sign from Beijing that Chinese leaders are willing to use their growing economic muscle.
“The embargo is expanding” beyond Japan, said one of the three rare earth industry officials, all of whom insisted on anonymity for fear of business retaliation by Chinese authorities.
They said Chinese customs officials imposed the broader restrictions on Monday morning, hours after a top Chinese official summoned international news media Sunday night to denounce United States trade actions.
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International Forecaster October 2010 (#7) - Gold, Silver, Economy + More
By: Bob Chapman, The International Forecaster



Default or Hyperinflation: The US’s Only Two Options
By: Richard Daughty, The Mogambo Guru



 Here Is How Wal Mart Is Squeezing Every Last Ounce Of Decaffeinated Inflation

Weekly Recap, And Upcoming Calendar - Here Are The Main Events To Look For

 

"A return to the principles of a gold standard that constrain government spending and retain the value of money will in turn enable the return to the more enduring values of humanity. In the meantime, the writing is on the wall for all to see. Be careful because it could fall at any time." - Peter Souleles, in Sydney Australia’s ABC Bullion Blog: Buy Gold Young Man