Thoughts on Markets

Monday, August 29, 2011

Ron Paul Speaks to Fox News - Gold & Silver down again - Mkt Up - DROOY profit up - Are you bold as a lion, from the peace that passes all understanding?

Today, there are some very interesting articles. I want you to scan each of them. The miners are becoming more attractive as the prices seem to be depressed either naturally or by capping. Notice the up date on DROOY.


There is an article on the long term aspect of investing in the precious metals. John Embry also discusses this an suggests some form of gold backing of currencies is in the realm of possibility which would push the price of gold beyond most dreams. 


The long term view, even to succeeding generations, is a Christian perspective. "The wicked flee when no man pursueth: but the righteous are bold as a lion.(Pro 28:1). Christians will have peace and a long term perspective, because they have faith and full trust in the Sovereign King Jesus, who is moving all things for their eventual good. They can be bold as lion, while the fearful unbelievers fret and worry about each and every down term in markets or what they see as life's problems. 


On the other hand, Christians rest in their King and are at peace knowing that all is under His control. Therefore, all is working for the good of the Christian. What peace and security Jesus Christ gives to His people. I pray that each of you is working for the glory of God and the furtherance of His kingdom here on earth and will join the family of God for eternity in Heaven.

Ron Paul on FEMA & Austrian Economics:
See this Video from Fox News HERE.

Mine Web:

How to pick gold stocks - Holmes
As the valuation gap between bullion and gold stocks grows, making miners of the yellow metal increasingly attractive, US Global's Frank Holmes suggests all miners aren't created equal. Frank Holmes has followed these markets for decades. Read it HERE.

Gold slips in holiday-thinned trade
Disappointed by the lack of clear guidance provided by Ben Bernanke on Friday, investors pushed gold down but, the yellow metal lifted from early lows on hopes of further quantitative easing. Interesting perspective. HERE.

New wave of Chinese gold bugs emerge as prices surge
Rather than subduing investor interest in the precious metal, record prices have seen a new wave Chinese investors getting into the gold market. This has been an important impact on demand of late. HERE.

Australian gold production jumps 10% in 2011/2012 financial year
A bid to extract as much value as possible from record high gold prices pushed the industry to boost gold production by 24 tonnes to 270 tonnes for the 2011/2012 financial year. No wonder, at all, higher prices encourage greater production. HERE.

Gold, silver stocks present great opportunities – Chen Lin
For investors with long-term vision, gold and silver stocks offer significant opportunities, Chen Lin says, because a good time to buy is when everyone else is selling. A Gold Report Interview. HERE.

DRDGold announces FY headline earnings more than doubled
The South African gold miner said higher output and surging gold prices helped it increase headline earnings 115% to 28c per share over the year to June. Here is news on one of my core holdings. Check it out and review the graph, below. HERE.

Gold: Is a deep correction due?
If judged by the criteria of six years ago, Julian Phillips argues, then one could argue that it should be time to sell but, change has come to the gold market and things are not what they were.

"What we have seen is a failure to follow prices up, but to wait until they pull back and for physical gold to be on offer. The new investor wants physical gold itself and is not so concerned with price. If they are right, sooner or later the price will rise to well above what they have paid. The lifespan of their investment is generations long, not days, weeks, or years long." I have included this extra paragraph to whet your appetite to read the article. It is incisive and well worth more than casual reading. HERE

Minweb Podcast:
Gold to move higher within the next 12 months but a correction won't go amiss - Embry
Sprott Asset Management's John Embry wouldn't be surprised to see gold at $2,500 per ounce within the next 12 months but says he would prefer to see some kind of correction first. Listen HERE.


Miners from Scottrade:


Currencies from KitCo:



Some Prices: DOW up 163.66 to 11447.90; S&P up  20.77 to 1197.57; NASDAQ up 51.05 to 2630.92; Gold down 36.50 to 1792.60; Silver down 0.74 to 40.76.

Best to each, Doug



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