Posts by Kirill Zagalsky

September 8, 2016 |

Jobs Data Disappoints

Economic Indicators

Last Friday, the U.S. Department of Labor released its Employment Situation report for the month of August. According to the report, the U.S. added 151,000 jobs in August, well below consensus estimates of 175,000 jobs. The unemployment rate held steady at 4.9 percent. While the addition of 151,000 jobs might sound pretty solid when taken at face value, the number was a clear miss and may drive a shift in interest rate expectations. The week before last, the rhetoric coming out of the Fed symposium... Continue Reading

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September 2, 2016 |

Is Chinese Overleveraging Coming to Roost?

Chinese Construction

There has been no shortage of news in recent months-both financially and otherwise-to keep investors busy. The 2016 Rio Olympics garnered considerable attention as did the historical vote by the people of Great Britain to leave the European Union. Investors have also been preoccupied with the Fed, and whether or not the central bank will raise interest rates again this year. Somewhere in the middle of all this news and noise is the fact that the Chinese Yuan has been weakening. What makes this noteworthy... Continue Reading

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August 29, 2016 |

The Jackson Hole Buy

Federal Reserve Board Building

Gold and silver have been under some decent selling pressure in recent sessions. The selling seen in these markets could, in our view, be primarily attributed to low summer trading volumes and some position squaring ahead of the Fed symposium this week in Jackson Hole, Wyoming. The question on everyone’s mind appears to be: Will The Fed allude to an imminent interest rate hike? We don’t know the answer to this question any better than you do. What we do know, however, is that it... Continue Reading

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August 23, 2016 |

Arizona Considering Gold Bonds

Arizona

The state of Arizona is reportedly considering a way to monetize gold in an effort to counteract the world of negative interest rates and lack of yield. The state recently set up a committee to examine the possibility of issuing treasury bonds that would be payable in gold. Dr. Keith Weiner, the founder of Monetary Metals Inc. and committee member, discussed the potential role such a bond might play. Mr. Weiner is of the opinion that such a bond could benefit not only the state... Continue Reading

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August 17, 2016 |

Is Bond King Bill Gross Saying Go For Gold?

Debt Chain

Stocks are at fresh all-time highs and investors seem to be feeling better about the economy. While investors’ sentiment may not have yet reached the euphoric stage, stocks could potentially have some room to run higher. Or could they? While stock bullishness appears to still be at healthy levels, some investors may be questioning just how much further the current rally can run. Some investors, like Janus Capital Group portfolio manager Bill Gross, feel that perhaps investors should be cutting their risk. Of particular note... Continue Reading

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August 1, 2016 |

GDP Outlook Slashed

Gold umbrella

Investors have been cautious this week ahead of Wednesday’s latest FOMC meeting announcement. With no major surprises, the central bank elected to hold rates steady-at least for now-and eluded to the possibility of another rate hike in September. Kind of like kicking the can down the road… The Fed discussed improving conditions in the labor market and stated “Near-term risks to the economic outlook have diminished.” In other words, markets have recovered from the post Brexit freak out-for now anyway. The Fed has left the... Continue Reading

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July 28, 2016 |

Trump Win Could Drive Blistering Rally in Gold

Democrats vs Republicans

It’s no surprise that with a presidential election comes a lot of uncertainty. After all, various candidates can have wildly differing views on the domestic economy, monetary and economic policy, foreign policy and more. There is certainly a lot riding on the upcoming U.S. Presidential election in what is shaping up to be an intense race. In fact, the nation appears to be very divided, with very different opinions and plans being presented by both candidates. As the election approaches, uncertainty surrounding the potential outcome... Continue Reading

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July 14, 2016 |

The Spread of Negative Interest Rates

Bank_run

The spread of negative interest rates has been highly publicized in recent months in a trend that could, unfortunately for depositors, continue. While much has been made of low rates in the U.S. in recent weeks while the ten year note sits around 1.4%, the fact is that in some countries depositors now not only receive zero yield but must pay for the privilege of having a bank hold their money. Some European banks began cutting rates below zero in 2014, and Japan has followed.... Continue Reading

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July 4, 2016 |

Heavy Hitters Betting On Gold

Gold Fine

We have consistently preached the value of gold and other precious metals and why we feel that these instruments may appreciate significantly in value over the long-term. We believe strongly that gold can provide investors with numerous potential benefits including price appreciation, protection of wealth and purchasing power, and a hedge against inflation or deflation. We think gold prices are going higher, and we are not the only ones that feel this way… Billionaire investor and hedge fund manager George Soros has been reportedly dumping... Continue Reading

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June 29, 2016 |

3 Common Mistakes to Avoid When Investing in Precious Metals

Mistake

Investing in physical precious metals can have many potential benefits. These possible benefits may include added portfolio diversification, acting as a hedge against inflation, protection of purchasing power and more. While we believe that investing in hard, physical assets such as gold and silver is one of the best investments you can make, there are a few key issues to keep in mind when building a significant holding of precious metals. Here we will outline three common mistakes made by those new to precious metals... Continue Reading

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