Posts by Kirill Zagalsky

July 6, 2017 |

Will Data Call the Fed’s Bluff?

highs near

This week could be an important one for the gold market, as recent hawkish commentary from the Fed has driven a shift in sentiment. Investors will get the opportunity to see for themselves, however, as the latest Fed meeting minutes will be released and as the key jobs data from June is released at the end of the week. In recent trade, gold has not been able to get much going to the upside, as the hawkish tone from the central bank and stronger equities... Continue Reading

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June 30, 2017 |

Gold Showing Underlying Strength

Another blow to the dollar

Although the gold market has thus far been unable to stage a convincing upside breakout from its recent trading range, the metal’s performance despite numerous potentially bearish factors could be viewed as a major sign of strength. Gold has not faltered despite higher equities, slumping crude oil and a more hawkish Fed. In fact, the risk-on mentality along with the notion of additional rate increases has not put much of a dent-if any-into the yellow metal. This would seemingly indicate that buyers are happy to... Continue Reading

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June 26, 2017 |

Tick Tock Tick Tock

The bull market in equities is approaching the ten year old mark. This is significant because no stock market rally has ever reached the ten year mark without seeing at least a 20 percent downturn at some point. The Dow is up a phenomenal 200+ percent since the 2009 lows, and has yet to look back. We believe that the next major crash is coming, and likely coming sooner than many would care to believe. Although the next major catastrophe is likely to be blamed... Continue Reading

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June 17, 2017 |

Did the Fed Leave a Bad Taste in Some Mouths?

In our previous post, we discussed the potential implications of another rate hike from the Fed. The central bank’s decision to raise rates another 25 basis points seems to have left many wondering about the bank’s endgame-and some have even gone so far as to suggest that the Fed needs to unwind the current system of fiat currency. In a recent interview with Kitco.com, Ron Paul stated that Fed Chairwoman Janet Yellen should be working with the government to “unwind the system of fiat currency”... Continue Reading

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June 14, 2017 |

So What if the Fed Hikes Again

FED

The gold market may see some volatility ahead of this week’s FOMC meeting conclusion. The yellow metal is likely seeing some profit taking ahead of the central bank’s announcement, but that certainly does not mean that the market will not head higher in the coming weeks and months. The Fed may be forced to act this week in order to maintain credibility. The Fed has stuck to its guns in recent communications, and thus far appears to be remaining on track for another two rate... Continue Reading

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June 8, 2017 |

Plenty of Reasons to Keep Gold in your Portfolio

back to zero

With stocks making fresh all-time highs and economic optimism seeing a large increase in recent months, some investors may be questioning the value of hard assets like physical gold. But make no mistake, there are just as many reasons right now to hold gold as ever before. Despite the potential for further interest rate hikes from the Fed, gold has a number of issues that could not only keep it well-supported but could also potentially fuel a significant rally from current levels. Weak economic data... Continue Reading

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June 2, 2017 |

Is Gold Production Peaking Right Now?

breakout is brewing

Like any other commodity, the gold market ebbs and flows according to the laws of supply and demand. When supplies are tight and demand is strong, prices rise. When supplies are robust and demand is weak, prices fall. The gold market could be hitting its peak for the current production cycle right now, which could potentially fuel higher prices. In a recent Kitco.com article, analysts from Standard Chartered voiced their opinion on gold production. According to the bank, global growth output slowed down by .4%... Continue Reading

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May 29, 2017 |

Will the Consumer Sink the Ship?

It’s no secret that first quarter growth was lousy. Many analysts, however, see the economy bouncing back in the second quarter. If the Fed plans to stay on its current course of rate hikes (which it appears to be doing), the central bank must also assume that economic activity will be stronger in Q2. What if these assumptions prove to be false? Q1 GDP came in at a skinny rate of just .7%, and estimates appear to be looking for growth of around 2.5% in... Continue Reading

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May 15, 2017 |

Will a Constitutional Crisis Be the Next Major Catalyst for Higher Gold?

It seems as if there are few-if any-dull moments since President Donald Trump took office in January. When it became clear that Trump was going to be elected the 45th President of the United States, stocks rallied, bonds tumbled and gold got clobbered. Gold rebounded, however, and has seen a nice run in the last couple months despite some recent selling in the market. Some might argue that the yellow metal could be lacking any fresh, bullish catalyst to attract fresh buying interest. Some might... Continue Reading

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May 9, 2017 |

Is Puerto Rico Just the First Domino to fall?

Puerto_rico_flag

This week, Puerto Rico declared a form of bankruptcy as the island was left with no choice. Years of debt accumulation combined with ineffective government policies and other issues finally became too much for the island to bear, and the day of financial reckoning had arrived. This Puerto Rico bankruptcy could potentially have extremely far-reaching effects, and it should cause concern for U.S. citizens and investors. In short, the bankruptcy could bludgeon investors, undermine state and municipal governments and change the retirement plans of many.... Continue Reading

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