Perhaps the biggest media story of 2010 was the influence of Tea Party voters on the congressional landscape. The new congress comes to Capitol Hill with a mandate to end profligate spending and restore fiscal sanity, we are told. But when the House and Senate convene in January, the newly elected members will face tremendous pressure to maintain spending levels for entitlement programs. Even the most modest proposals to trim Social Security or Medicare spending will be met with howls of indignation and threats of voter revolt.
Golden Crystal. Whether you buy breakouts (difficult) or price weakness (best), it is important to keep your charts simple and clear. Here’s the Gold Bullion Chart at around 3am this morning.
Rare earth metal miners were roaring this morning with many of the Market Vectors Rare Earth ETF component holdings up double-digit percentage points. On my daily volume breakout screen, 5 of the top 16 volume breakouts were in rare earth/strategic metals miners, including: China GengSheng Minerals Inc (CHGS), Avalon Rare Metals Inc (AVL), General Moly Inc (GMO), Rare Element Resources Ltd (REE), and REMX (the Market Vectors Rare Earth ETF itself).
Oh boy is 2011 going to be an exciting year! Some things that I think might happen: volatility is going up across the board, gold will be higher a year from now, copper will continue to rise, Spain will be the next sovereign debtor that falls prey to the market, the US will have a full year deficit of 1.4 trillion, QE2 will be the last, oil will rise to $130 in the next six months,...
What is so rare as a day in June, the poet asks? The answer..a sector in play, on a perfect day. The rare earth sector is experiencing an explosion of investment interest as China continues to place restrictions on Rare Earth Oxides (REO).
Small but very telling structural changes continues in this week’s Commitment of Traders report, once again highlighted by another drop in adjusted Net open interest. Another telling line item, is the net short position of the 4 largest commercial traders, which is dominated by JP Morgan, dropped 5.9% to a net short position of 39,647 from 42,167 contracts week/week.
The disappointing housing news of December 28, 2010 gives the Fed more cover to complete the full allotment of QE2 bond purchases, which in turn should help boost weak dollar assets like gold, silver, and copper.
Policy-makers are deliberately devaluing their currencies, which is creating all sorts of distortions. Market ratios can be the lenses which clarify – the de-mister, if you like.
Today, at the North end of the Florida Gold Coast, in the Town Center Mall in Boca Raton, FL (translates to Rat's Mouth), there was a first in the USA.
