Here are the latest news items and commentary on current economics news, market trends, stocks, investing opportunities, and the precious metals markets. In this column, JWR also covers hedges, derivatives, and various obscura. This column emphasizes JWR’s “tangibles heavy” investing strategy and contrarian perspective. Today, we look at some rumored ammunition price increases. (See the Tangibles Investing section.)
Precious Metals:
The big swings in the precious metals markets are continuing. After hitting an all-time last week, spot gold took a dive back into the high $1,980s range, on profit-taking. When I checked on Wednesday morning, spot gold had recovered to $2,020 per Troy ounce and silver was at $23.45. The silver-to-gold ratio has also seen big swings. As of Wednesday, it stood at 86.1-to-1. So we are approaching another good juncture to ratio trade out of gold into silver, if you have the vault space for the bulkier metal. In my estimation, a 90-to-1 ratio should be your “make the switch” signal.
I must also mention that platinum and palladium are presently also looking undervalued. However, the difficulty with those white metals for physical investors is that the dealers’ premiums are quite high. Paying $1,188 for a 1-ounce Platinum American Liberty — containing $938 worth of platinum — seems painful. – JWR
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Radomski, at Gold-Eagle.com: The Clearest, Biggest, and Most Important Reversal in Gold.
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Here’s why silver is stalling; Can it break out in 2024?
Economy & Finance:
Signs of the times: Dollar General to open 800 stores in 2024; Q3 tops Street.
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Reader H.L. spotted this: Jeep employees learn of mass layoffs just over one month after UAW strike ends.
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Hasbro Lays Off 20% Of Company On Plunging Toy Sales.
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At Zero Hedge: The Markets Are Front-Running The First Rate-Cut.
Commodities:
Reader C.B. sent us this: Warren Buffett-Backed Occidental Petroleum Seals $12 Billion Deal For Permian Producer.
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From OilPrice News: The Battle for Australia’s Lithium Reserves.
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Oil Demand Will Take a Hit from Yet Another Decline in U.S. Manufacturing.
Inflation/Deflation Watch:
I found this linked over at the Whatfinger.com news aggregation site: Inflation Is Your Fault, Says the Atlantic – Swamponomics.
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Nolte at Breibart: Average Monthly Mortgage Payment Explodes to $3,322 In Biden’s America.
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Treasury’s $50 billion 3-year auction goes badly, trader says.
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US Inflation Forecast for 2024 and Beyond: Analyst Expectations and Market Implications.
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Cathie Wood Predicts Deflation to Take Hold in US Next Year.
Forex & Cryptos:
Argentina’s Milei warns of ‘shock’ austerity as he takes office.
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Dollar’s dominant grip on FX markets to loosen further: Reuters poll.
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“This Is The Big Fight!” Bitcoin Battered As Sen. Warren Unveils Bill To “Crack Down” On Crypto.
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IRS tax bill will swipe creditors of any ‘meaningful recovery,’ says FTX.
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‘The Big Short’ Author Michael Lewis: ‘I Wouldn’t Short Bitcoin’.
Tangibles Investing:
In the past week, two different gun store owners told me that they have heard from their wholesale suppliers that there will be substantial price increases on ammunition by most of the major ammo makers (such as Remington, Winchester, and Federal) that will be announced on January 1st, 2024. The consensus seems to be for 20% to 30% price increases. So get busy shopping and stack it deep, before the end of the year. If the price increase rumors are true, then the ammo in your basement will prove to be better than the money in your bank. As I’ve mentioned before, there are already spot shortages of military calibers like 5.56mm NATO, 7.62mm NATO, and 9mm Parabellum. The law of supply and demand is inescapable.
I’d appreciate hearing from anyone in the ammunition industry who can confirm or deny the hearsay that I’ve reported.
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Palmetto State Armory (one of our affiliate advertisers) is continuing its “AR-15 Days Of Christmas” sale. This item really got my attention: PSA AR-15/M4 Bolt Carrier Groups 5.56 Full-Auto Profile Nitride-Coated MPI-Tested, for just $69.99 each! (Regularly priced at $129.99.) To find these, put this SKU in the PSA website’s search box: 51644695 Buy at least one for a spare, and several more for any of your planned builds!
Oh, PSA also has a special on Sierra Sports Master 9mm Ammo 115-Grain JHP 20-round boxes for just $6.99 per box! It is hard to find factory 9mm hollowpoint ammo for just 35 cents per round! To find this ammunition, put this SKU in the PSA website’s search box: A81100119
Provisos:
SurvivalBlog and its Editors are not paid investment counselors or advisers. Please see our Provisos page for our detailed disclaimers.
News Tips:
Please send your economics and investing news tips to JWR. (Either via e-mail or via our Contact form.) These are often especially relevant because they come from folks who closely watch specific markets. If you spot any news that would be of interest to SurvivalBlog readers, then please send it in. News items from local news outlets that are missed by the news wire services are especially appreciated. Thanks!