Richard Mills - Ahead of the Herd
February 27, 2012
On June 6, 2002, Senator Harry Reid (D-Nevada) introduced the Support of American Eagle Silver Bullion Program Act to “authorize the Secretary of the Treasury to purchase silver on the open market when the silver stockpile is depleted.”
2002 - 10,539,026 Bullion American Silver Eagles were sold.
2003 - 8,495,008 Bullion American Silver Eagles were sold, silver averaged $4.88 an ounce for the year.
2004 - 8,882,754 Bullion American Silver Eagles were sold. For 2004 the average cost of an ounce of silver was $6.67.
2005 - 8,891,025 Bullion American Silver Eagles were sold. Silver averaged $7.32 an ounce.
2006 - 10,676,522 Bullion American Silver Eagles were sold. Silver averaged $11.55 an ounce
2007 - 9,028,036 Bullion American Silver Eagles were sold.
2008 - 20,583,000 Bullion American Silver Eagles were sold. Silver averaged $14.99 an ounce and almost 80% more Bullion American Silver Eagles were sold then in any previous year.
The US Mint suspended sales of the silver bullion coins to its network of authorized purchasers twice during the year.
In March 2008, sales increased nine times over the month before – 200,000 to 1,855,000.
In April 2008, the United States Mint had to start an allocation program, effectively rationing Silver Eagle bullion coins to authorized dealers on a weekly basis due to “unprecedented demand.” LINK...
Tuesday, February 28, 2012
Friday, February 24, 2012
Thursday, February 23, 2012
Wednesday, February 22, 2012
The Fear of Gold
Is having 100% of your portfolio in gold actually ULTRA CONSERVATIVE?
Since gold's value against the real cost of living and commodities in general has always been stable, then I would say YES it is ULTRA CONSERVATIVE. BK
The Fear of Gold: Read more...
Since gold's value against the real cost of living and commodities in general has always been stable, then I would say YES it is ULTRA CONSERVATIVE. BK
The Fear of Gold: Read more...
Thursday, February 16, 2012
Gold Demand Trends
Today the World Gold Council released their Q4 and full year 2011 data on the gold market.
"Global demand for gold in 2011 rose to 4,067.1 tonnes worth an estimated US$205.5 billion - the first time that global demand has exceeded US$200 billion and the highest tonnage level since 1997.
The main driver for this increase was the investment sector where annual demand was 1,640.7 tonnes up 5% on the previous record set in 2010 and with a value of US$82.9billion.
The pre-eminent markets for investment demand in 2011 were India, China and Europe. Central bank continued the trend established in 2010 of being net buyers of gold."
Managing Director Marcus Grubb says,"What is certain is the long-term fundamentals for gold remain strong, with a diverse and growing demand base, coupled with constrained supply side activity."
There you have it folks, nothing has changed. The fundamentals are the same and the trend is in tact. We're headed to $3,000 and beyond. BK
"Global demand for gold in 2011 rose to 4,067.1 tonnes worth an estimated US$205.5 billion - the first time that global demand has exceeded US$200 billion and the highest tonnage level since 1997.
The main driver for this increase was the investment sector where annual demand was 1,640.7 tonnes up 5% on the previous record set in 2010 and with a value of US$82.9billion.
The pre-eminent markets for investment demand in 2011 were India, China and Europe. Central bank continued the trend established in 2010 of being net buyers of gold."
Managing Director Marcus Grubb says,"What is certain is the long-term fundamentals for gold remain strong, with a diverse and growing demand base, coupled with constrained supply side activity."
There you have it folks, nothing has changed. The fundamentals are the same and the trend is in tact. We're headed to $3,000 and beyond. BK
Tuesday, February 14, 2012
Hon. Howard Buffet: Human Freedom Rests on Gold Redeemable Money
The father of the famous investor Warren Buffet says American freedom rests with gold redeemable money. I wonder why his son Warren is so against gold? You decide? BK
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Essay by Hon. Howard Buffet: Human Freedom Rests on Gold Redeemable Money
Warren Buffet Trashes Gold, But What About Silver?
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Essay by Hon. Howard Buffet: Human Freedom Rests on Gold Redeemable Money
Warren Buffet Trashes Gold, But What About Silver?
The Largest National Holders of Gold Have Retained Their Reserves, But Should They Sell?
Source: Commodity Online
"But we believe, even beyond the technicalities, selling gold reserves is not a “golden ticket”, as it would very much be a short-term fix and, perhaps more importantly, weaken balance sheets by switching out a hard asset," Barclays added.
For example, Italy does hold a substantial amount of gold, but even selling all of this would yield just over $130bn, which represents just 6% of Italy’s debt. Greece owns 111.6 tonnes, making up 83% of its reserves, but at a dollar value of $6bn it only represents 1% of total debt outstanding.
Indeed, on the demand side, the latest IMF statistics reveal a continuation of central bank net buying, with net purchases of just under 40 tonnes in December alone; and including Turkey’s new policy of accepting gold in its reserve requirements from commercial banks increases net reported inflows to 387 tonnes for the year, Barclays concluded. LINK...
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The BULLISH trend in gold continues. Nothing has changed and we believe there will be NO significant drop in gold like what happened in 1980, because that would require raising interest rates, and the consequences of that would be devastating to the financial markets. BK
"But we believe, even beyond the technicalities, selling gold reserves is not a “golden ticket”, as it would very much be a short-term fix and, perhaps more importantly, weaken balance sheets by switching out a hard asset," Barclays added.
For example, Italy does hold a substantial amount of gold, but even selling all of this would yield just over $130bn, which represents just 6% of Italy’s debt. Greece owns 111.6 tonnes, making up 83% of its reserves, but at a dollar value of $6bn it only represents 1% of total debt outstanding.
Indeed, on the demand side, the latest IMF statistics reveal a continuation of central bank net buying, with net purchases of just under 40 tonnes in December alone; and including Turkey’s new policy of accepting gold in its reserve requirements from commercial banks increases net reported inflows to 387 tonnes for the year, Barclays concluded. LINK...
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The BULLISH trend in gold continues. Nothing has changed and we believe there will be NO significant drop in gold like what happened in 1980, because that would require raising interest rates, and the consequences of that would be devastating to the financial markets. BK
Monday, February 13, 2012
Friday, February 10, 2012
Monday, February 6, 2012
Central Bank Demand Driving Gold Higher: CEO
By: Shai Ahmed
CNBC Associate Editor
“The supply side of the supply-demand equation is very tight. There is a growing demand side from the increase in jewelry off-take in central Asia, but also the central banks starting to buy gold. These are the emerging markets central banks, not the G20 central banks,” Bristow said. LINK...
CNBC Associate Editor
“The supply side of the supply-demand equation is very tight. There is a growing demand side from the increase in jewelry off-take in central Asia, but also the central banks starting to buy gold. These are the emerging markets central banks, not the G20 central banks,” Bristow said. LINK...
Sunday, February 5, 2012
States Seek Currencies Made of Silver and Gold
@CNNMoney February 3, 2012: 10:53 AM ET
NEW YORK (CNNMoney) -- A growing number of states are seeking shiny new currencies made of silver and gold. Worried that the Federal Reserve and the U.S. dollar are on the brink of collapse, lawmakers from 13 states, including Minnesota, Tennessee, Iowa, South Carolina and Georgia, are seeking approval from their state governments to either issue their own alternative currency or explore it as an option. Just three years ago, only three states had similar proposals in place. LINK
NEW YORK (CNNMoney) -- A growing number of states are seeking shiny new currencies made of silver and gold. Worried that the Federal Reserve and the U.S. dollar are on the brink of collapse, lawmakers from 13 states, including Minnesota, Tennessee, Iowa, South Carolina and Georgia, are seeking approval from their state governments to either issue their own alternative currency or explore it as an option. Just three years ago, only three states had similar proposals in place. LINK
Friday, February 3, 2012
Gold Radio Cafe With Bob Chapman
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Blog Talk Radio
http://www.blogtalkradio.com/goldradiocafe/2012/02/03/gold-and-silver-financial-review-with-bob-chapman
Byron Dorgan With Bill Moyers on the Banking Crisis
Byron Dorgan on Making Banks Play by the Rules from BillMoyers.com on Vimeo.
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Sourced from Jesse's Cafe Americain
A MUST WATCH VIDEO!
Didn't Alan Greenspan say that no one could have seen this coming? The funny thing is that Mr. Dorgan is not even an economist. BK
Wednesday, February 1, 2012
Silver Represents Your Labour or $960/oz
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Here's an interesting video sent to us from a valued client.
A perspective on true value and labour. People work hard in exchange for paper money because they hope it maintains its value in the future so they can build a better life. Honest money is supposed to be a "store of value" this is why people save it in the first place. But if your paper money is losing "value" while prices of goods and services are rising then the paper money is not performing as it should. Therefore you must go to a fair medium of exchange that cannot be created out of thin air by central banks and governments, thus reducing the value of your labour. Think about it... you work hard for the paper money you receive but central banks can just create that same money by pressing a button on a computer, and POOF, they just reduced the value of you labour. The only honest and fair exchange for your labour is gold and silver because central banks and governments cannot just create it out of thin air. There must be hard labour that go into producing an ounce of gold or silver. The intrinsic "value" is built into the metal itself for eternity. This is why gold and silver are considered the "ultimate store of value" and medium of exchange. It's an exchange of hard labour for hard money. BK
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