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quite the set of headlines over at YA-Hooooey today:
Stockman: This is the economy’s biggest threat
Yamada: Commodities are in a ‘death cross’
and if THAT isnt enough to get the radar buzzin... we get Barons and the bankers bangin the gold gong
Central Bankers Step Back From Gold, Russia Sells in Sept.
comments? (esp on the russians - what, the drop in the black stuff(oil) forces em to start selling the yellow ?)
Stockman: This is the economy’s biggest threat
"Can we ever exit our QE (quantitative easing) program smoothly? And, if we can't achieve that, at what point will it really matter to the market?" David Stockman: "I think [the Fed is] in a dead end. They've painted themselves into a corner. Zero interest rates now have been in place since December 2008. We're headed towards seven years if we take them at face value that they're not going to raise interest rates until 2015. So, this is sort of a made-up doctrine by the seat of their pants. Ten years ago, no one would have thought this was remotely rational not withstanding some of the weaknesses we've had in the economy. But, after all, the GDP is now higher, we're five years from the crisis, and yet somehow, we seem to be addicted to stimulus in just a crazy way. So, I think they're trapped and I think it's a very great danger to the economy because at some point, they're going to have to shift. And, when they do, there's going to be a day of reckoning of pretty serious magnitude."
more to this, with audio interview
more to this, with audio interview
"The moving averages – the 10- and the 20- [month moving average] – are both declining," notes Yamada. "The 10 crossed under the 20 way back in February 2012, giving what people call a 'death cross'. But basically and simplistically, it's a sell signal."
Central Bankers Step Back From Gold, Russia Sells in Sept.
By Brendan Conway
Matt Day and Francesca Freeman of the Wall Street Journal have the story on the slowdown in gold buying this year at global central banks, which comes as gold heads for its first annual loss since 2000.
Central banks often stress their purchases are less about making money than pursuing policy goals, such as diversifying foreign-exchange reserves. But it’s still notable that the turnaround comes in a year when the value of gold-related investments such as SPDR Gold Trust (GLD) and Sprott Physical Gold Trust (PHYS) have slumped some 20%.
From Day and Freeman:
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Matt Day and Francesca Freeman of the Wall Street Journal have the story on the slowdown in gold buying this year at global central banks, which comes as gold heads for its first annual loss since 2000.
Central banks often stress their purchases are less about making money than pursuing policy goals, such as diversifying foreign-exchange reserves. But it’s still notable that the turnaround comes in a year when the value of gold-related investments such as SPDR Gold Trust (GLD) and Sprott Physical Gold Trust (PHYS) have slumped some 20%.
- Bloomberg
Russia’s central bank in September sold gold for the first time in a year, according to the latest data from the International Monetary Fund. Since the start of 2010, Russia has accounted for 30% of all gold purchases made by central banks that report to the IMF.
Like other emerging-market nations, Russia bought gold to diversify its foreign-exchange reserves.
Wealthy-country central banks’ gold buying is flat from a year earlier, with reserves expanding 0.13% in 2012-13 from 0.12% in 2011-12. But developing-market banks slowed their buying from a 7.73% increase to 6.67%. Worldwide, the slowdown brought the 2012-13 percentage increase to 1.20%, from 1.56%. Figures, compiled by the WSJ, are from the IMF.Like other emerging-market nations, Russia bought gold to diversify its foreign-exchange reserves.
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