Wednesday, April 27, 2011

Max Keiser Interviews Brad Cooke, CEO of Endeavour Silver

A GREAT interview that touches on all the points of silver's dramatic climb!   BK

Part 2

Silver Coin Demand Outstripping Supply

By The GoldMoney Dealing Desk

26 April 2011 @ 04:45 am BST

Heavy demand from small investors is resulting in shortages in popular coins such as the American Silver Eagle, and leading to premiums that are well above spot price on silver coins. As ZeroHedge reported yesterday, the American Precious Metals Exchange (APMEX) – one of America’s biggest wholesale precious metals retailers – warned of potential delays into mid-May in delivering Silver Eagles, and is now offering to pay $3 over spot for any Silver Eagle coins in any quantity.

Earlier in the year Dave Madge, director of sales at Canada’s Royal Mint, reported that sourcing silver was becoming “very difficult” owing to the buying frenzy in the metal. It’s likely that the silver price – as well as premiums on some of the most popular coins, such as the Canadian Maple Leaf and the Silver Eagle – will have to go a lot higher before holders are enticed to sell.   LINK...

Monday, April 25, 2011

IMF Bombshell: Age of America About to END!

By Brett Arends, MarketWatch

For the first time, the international organization has set a date for the moment when the “Age of America” will end and the U.S. economy will be overtaken by that of China.   LINK...

So, what are the Chinese investing in now?

Saturday, April 23, 2011

Richard Russell - The Great Gold Tsunami Lies Ahead


“I've tried to emphasize this, but the key here is PURCHASING POWER. When the dollar price of a loaf of bread rises from $1.90 to $2.10 that means something to the average American. But when the Dollar Index drops from 75 to 73.97 the average American doesn't understand it and isn't the least bit interested.
Why the battle to keep gold below 1500? Markets tend to stop at big even numbers. Many of us old timers remember the battle of "Dow one thousand." We remember how the Dow fought month after month to close decisively above 1,000. Then, once above 1,000 the Dow was on its way to 2,000, 3,000, 4,000 and finally 5,000. From there the Dow battled to move above 5,000 -- on its way to 10,000.
The battle about gold closing above 1500 is that once above 1500, technically gold will be on its way to 2,000. And from there 5,000 will be the target. So 1500 is a psychological barrier that, from the bull's standpoint, must be bettered. But from the anti-gold crowd's standpoint, gold must be held (on a closing basis) below 1500.
The answer: As I see it, the primary trend of gold remains bullish. In due time, gold will gather the strength to close above 1500. The gold-bears will be defeated. It's only a matter of time.   LINK...

Friday, April 22, 2011

The Korelin Economics Report

Daily Insights – Thu 21 Apr, 2011
Big Al says he's overweight in precious metals and he likes TD Bank.
Listen to the interview here:   LINK...

McDonald's Warns of Higher Food Inflation
Thu Apr 21, 2011 1:21pm EDT

McDonald's now expects food costs to rise between 4 percent and 4.5 percent in the United States and Europe this year. That is up from its prior call for a rise of 2 percent to 2.5 percent in the United States and an increase of 3.5 percent to 4.5 percent in Europe. [ID:nN24223102].   LINK...
Hey, I know a lot of people that enjoy their morning coffee at McDonald's. Now the trip to McDonald's costs more because gas prices are up and coffee is higher too? This isn't what many planned for in their retirement? Yet many say inflation is less than 2%, I wish? The chart below shows the USDX (US dollar index) value since 1981 and it doesn't look good folks? Don't forget, inflation is the result of a currency losing value and as the chart shows, the USD has lost a LOT of value, along with every other currency in the world when measured against gold. Prepare for the worst and hope for the best is our strategy.   BK


Wednesday, April 20, 2011

Legendary Investor Jim Rogers, Says "Eventually Everyone Will Own Gold!"


Excerpt from Bob Chapman's, The International Forecaster


Canada’s inflation rate accelerated in March to the fastest in 2 1/2 years, exceeding all economist forecasts, with widespread increases led by energy costs.
Consumer prices rose 3.3 percent from a year earlier after a 2.2 percent gain in February, Statistics Canada said today in Ottawa. Prices were up 1.1 percent on a monthly basis, the fastest since January 1991. Both gains exceeded the highest forecasts in Bloomberg surveys of 25 responses, which had median estimates of 2.8 percent for annual inflation and 0.6 percent for the monthly figure.
The report exceeds the Bank of Canada’s April 13 forecast that inflation would reach 3 percent by June, driven by temporary factors such as energy costs and higher provincial sales taxes. The economy has “material excess supply” that will lead overall and core inflation to converge at the 2 percent target in mid-2012, the bank projected.
“It definitely puts the pressure back on the Bank of Canada to raise interest rates,” said Sheryl King, head of Canada economics at Bank of America Merrill Lynch in Toronto. “It’s not going to be the end” for inflation pressures, she said, adding the economy may already be operating at full output, compared with the central bank’s prediction this will happen in the middle of next year.

Tuesday, April 19, 2011

S&P Downgrades USA Debt, While Gold Flirts With $1,500/oz

Sourced from:

An 'Oh Please!' Moment: Is S&P Running Interference for the Right to Help Crush Social Security and Medicare?

Dave Lindorff

Today’sbreathless anxiety-inducing headline was that Standard & Poors, the rating agency, has issued a “negative outlook” warning on US sovereign debt, claiming that the US, in comparison with other countries with a top AAA credit rating, has "very large budget deficits and rising government indebtedness and the path to addressing these is not clear to us". S&P warned that there was a “a one in three chance that the US could lose its AAA rating in two years because of its mounting debt.”   LINK...

A message to those who live in Canada and have assets in the USA or worse yet, have jobs in the USA. You will get demoted at work, and you won't even know it. Beware of the currency exchange and learn to protect your financial exposure by hedging.  If you need help in this regard please call and together we can design a strategy for you.  BK


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Monday, April 18, 2011

University of Texas Takes Delivery of 664,000oz of Gold Bullion

Dallas hedge-fund manager J. Kyle Bass helped advise the University of Texas Investment Management Co. on taking delivery of 6,643 gold bars, worth $987 million on April 15, now stored in a bank warehouse in New York.
Bass, who made $500 million with 2006 bets on a U.S. subprime-mortgage market collapse, said managers of the endowment, known as UTIMCO, sought board approval to convert its gold investments into bullion this year. A board member, Bass, 41, said he was asked to help with that process.  LINK...

Sunday, April 17, 2011

"Gold Rush Like We've Never Seen Before," Adrian Douglas

Texas University Takes Cue From Kyle Bass to Hold $1 Billion in Gold Bars

The fund, whose $19.9 billion in assets ranked it behind Harvard University’s endowment as of August, according to the National Association of College and University Business Officers, last year added about $500 million in gold investments to an existing stake, said Bruce Zimmerman, the endowment’s chief executive officer. The holdings reached about $987 million yesterday, as Comex futures closed at $1,486 an ounce.  LINK...

Saturday, April 16, 2011

Check out this great MSN video: Returning to Gold Standards?

Check out this great MSN video: Returning to Gold Standards?

The Road to $5,000 Gold!

Image: Gold © Comstock Images-Jupiterimages
4/13/2011 8:45 PM ET.

By Anthony Mirhaydari, MSN Money

This is because, according to the folks at Standard Chartered, gold is moving into a new "super-cycle" as a number of structural factors -- including consumer demand from Asia and tepid growth in supply -- combine to push prices higher. The team, led by Dan Smith, is looking for prices of $2,107 an ounce in 2014 as its base forecast.

The team's members see the potential for much more. In their words, "statistical modeling suggests a possible 'super-bull' scenario of gold prices rallying up to $4,869 in nominal terms by 2020."

It's all about supply and demand.

The driver is increased wealth in Asia. The evidence shows a strong relationship between rising incomes in places like China and India and increased gold demand. Much of this is cultural, with gold holding a place of special religious reverence.

Data from the Shanghai Gold Exchange show that China's gold imports reached 230 tons in the first 10 months of 2010. But in only the first two months of 2011, industry experts cited by Standard Chartered estimate, imports hit 220 tons. No doubt, Beijing's somewhat weak-handed efforts to fight inflation are contributing to the rise, as people look to protect their burgeoning wealth from the ravages of rising prices.   LINK...

Friday, April 15, 2011

It's All About The DEBT!

WHY protect your wealth with GOLD?

“In the absence of the gold standard, there is no way to protect savings from confiscation through inflation. There is no safe store of value. If there were, the government would have to make its holding illegal, as was done in the case of gold. If everyone decided, for example, to convert all his bank deposits to silver or copper or any other good, and thereafter declined to accept checks as payment for goods, bank deposits would lose their purchasing power and government-created bank credit would be worthless as a claim on goods. The financial policy of the welfare state requires that there be no way for the owners of wealth to protect themselves.
This is the shabby secret of the welfare statists’ tirades against gold. Deficit spending is simply a scheme for the “hidden” confiscation of wealth. Gold stands in the way of this insidious process. It stands as a protector of property rights. If one grasps this, one has no difficulty in understanding the statists’ antagonism toward the gold standard.”

Believe it or not, ALAN GREENSPAN wrote this in 1966 in an article entitled "Gold and Economic Freedom" !

Watch this Charlie Rose video and you be the judge...  LINK

Why Gold has value. Watch this video and ask yourself why Gold should not be $10,000/oz...VIDEO

Thursday, April 14, 2011

Making a Difference

A man was walking on the beach and ran into a little boy throwing starfish into the ocean. When the man asked the little boy what he was doing, the little boy explained that the tide had gone out and left the starfish on the shore. They wouldn't survive the day in the sun and if they didn't get back in the water, they would dry out and die.
Amused, the man looked down the beach and noticed that there were thousands of starfish washed up on the shore and they went out as far as the eye could see.
"Little boy, while I appreciate what you are trying to do, there are thousands and thousands of starfish on this beach. You can't possibly make a difference."

Without flinching, the little boy picked up another starfish and threw it back into the ocean. "I made a difference to that one!"

author:  unknown

Friday, April 8, 2011

SILVER BREAKS $40, and Even Jim Cramer Joins the Silver Camp.

Video may take a few seconds to load...

I wonder why this interview was not done on CNBC? Could it be because physical silver is not a "Wall Street" stock, but rather a tangible asset that you can trust
The Silver Giant has barely awaken at $40/oz and we believe that $80/oz would merely catch up to the performance of gold and platinum since 1980,
 LINK> (Silver Gets No Respect). 
We've all heard about $2,000 Gold, which we think is very conservative in the long term. Rarely however, do we hear about $100 or $200 Silver?  BK

Wednesday, April 6, 2011

Look Out Above for Gold and Silver Prices

By Greg Hunter’s

Greg Hunter
Gold hit another all-time high yesterday, closing well over $1,450 per ounce. Silver’s closing price of more than $39 per ounce is the highest it has been in 31 years. Why the big jump in gold and silver prices? The answer is pretty scary because there are many reasons precious metals are heading higher. Let’s start with the most obvious —inflation. reported yesterday, “The precious yellow metal got a fresh influx of investment buying based upon heightened inflationary expectations, safe-haven demand and a weakening U.S. dollar index.” (Click here for the complete story.) You can give the same reasons for rising silver prices.  

Financial writer Harold Goodman recently wrote an excellent silver article for  Goodman backs up the “undervalued” silver premise by saying, “This next chart (below) is from a brilliant article by Mark J. Lundeen, and shows the price of silver in constant 1920 dollars, but indexed for inflation using U.S. currency in circulation rather than a flawed metric such as CPI.”   “The surprising result is that silver today is priced at only $0.16 in constant, inflation adjusted 1920 dollars, even though it was selling for $1.32 in 1920! To reach its equivalent 1920 price of $1.32 an ounce today, it would have to be priced at $296 an ounce. And unlike 1920, there is a serious shortage of physical silver inventories available for sale today . . . .”  LINK...

Monday, April 4, 2011

CBS 60 Minutes: Fraud-Based Economy

The mortgage crisis is still looming and undermines any chance of recovery. 60 Minutes takes a peak behind the documents.
This fraud will have a chain reaction across the investment industry. Asset values based on paper derivatives will suffer greatly. This is why tangible safe haven assets like gold and silver have been rising for the past TEN years!  BK

Saturday, April 2, 2011

Coin Shortage in U.S.: Ron Paul

01 April 2011, 04:08 p.m.
By Daniela Cambone
Of Kitco News

Congressman Ron Paul wants competition for the FED's monopoly on currency issues.