Category: Economics & Investing

Rhodium: The Overlooked Precious Metal

The recent re-emergence of precious metals in the public eye has been underscored by an unprecedented divergence in the spot prices of gold and platinum. Traditionally, platinum has sold at a premium above the price of gold. But in today’s topsy-turvy financial world, platinum now sells at a deep discount below gold. (This is in part because platinum is considered more of a industrial metal, whereas gold is both an industrial metal and a monetary metal.)  As I’m drafting this, I see that gold is selling for around $1,200 per ounce, while platinum is just $915 per ounce. This disparity …


February in Precious Metals, by Steven Cochran of Gainesville Coins

Welcome to SurvivalBlog’s Precious Metals Month in Review, by Steven Cochran of Gainesville Coins where we take a look at “the month that was” in precious metals. Each month, we cover the price action of gold and examine the “what” and “why” behind those numbers. What Did Gold Do in February? Gold had a very good February. Starting at $1,126 an ounce, it jumped as high as $1,261 an ounce. By February 11th, spot gold had closed over the $1,200 mark, and never looked back. Toward the end of the month, spot gold was parked above the $1,230 level Factors …


Economics and Investing:

UK’s exit from EU would be a “shock” to global economy: G20 o o o Bob Shapiro: Oil and The Dollar o o o Items from Professor Preponomics: US News Fleeing Firms Put Pressure on Congress and Candidates (Washington Examiner) Bank of America is Preparing Big Layoffs in Investment Banking and Trading (Business Insider)  JP Morgan: We’re Bracing for Energy Losses (CNBC) Wells Fargo Girds for Oil & Gas Loan Losses (Morningstar) International News G20: Leaders Split on How to Kick-Start Global Growth (The Telegraph) 4,000 HSBC Staff Face the Axe (Daily Mail) Royal Bank of Scotland Hits Eighth Straight …


Economics and Investing:

Over at the TaxProf blog: IRS Says 114,000,334,000,724,000 Taxpayer Accounts Were Hacked Items from Professor Preponomics: US News Puerto Ricans Don’t Want a Bailout. They Want This… (CNN MONEY) Excerpt: “Governor Alejandro Garcia Padilla claims the island is in a “death spiral” and there’s no way it will ever have enough money to pay all the debt back.” Household Debt Increases to $12T (Washington Free Beacon) Excerpt: “Household debt increased by $51 billion in the fourth quarter of 2015, and now totals $12.12 trillion, or more than $40,000 per household, according to a report from the Federal Reserve Bank of …


Economics and Investing:

Frequent content contributor B.B. suggested this: More Than 30 Blocks of Fiscal Irresponsibility o o o 45% of Americans pay no federal income tax. (Thanks to RBS for the link.) o o o Items from Professor Preponomics: US News Student Debt Apocalypse: Median Wages Up 1.6% Over Last 25 Years While Median Student Debt is Up 163.8% (My Budget 360) Excerpt: “This idea of high tuition with low wages isn’t some made up propaganda to distract you.  This is reality.” Student Debt and Retirement Saving Don’t Add Up(CBS Money Watch) Study: Millennials’ Lack of Financial Knowledge Could Be a Big …


Economics and Investing:

Gold Will Overwhelm Dent o o o Items from Professor Preponomics: US News Where Negative Rates Will Lead Us (Mises) Excerpt: “Despite zero-interest-rate-policy (ZIRP) and multiple quantitative easing programs — whereby the central bank buys large quantities of assets while leaving interest rates at practically zero — the world’s economies are stuck in the doldrums. The central banks’ only accomplishment seems to be an increase in public and private debt.” CAGW Releases February 2016 Wastewatcher (Citizens Against Government Waste) Obamacare’s Cerberus, Status Quo for Obama’s Last Budget, Solar Wars: Revenge of the Subsidies, Spring Cleaning at the Federal Government, Rethinking …


More About the Coming Forced Digital Currency Swap

The many recent headlines about doing away with the 500 Euro Bill and the $100 Federal Reserve Note, serve as confirmation of my January 28th Essay: Digital Currency: The Key Tool of 21st Century Monolithic Nanny State Tyranny. The Powers That Be are pushing to go cashless sooner rather than later. In this new era of negative interest rates, there is no point in leaving funds in a bank. However, this could create a shortage of physical cash, and since less than 1% of the money supply is in physical bills (the rest is just electronic ledger entries) there is …


Economics and Investing:

The Subprime Auto Loan Meltdown Is Here – Sent in by RBS o o o Japan’s Negative Interest Rates Are Driving up Sales of Safes – Sent in by G.P. o o o Items from Professor Preponomics: US News Central Banks Should Stop Paying Interest on Reserves (Mises) Excerpt: “In 2008, the Federal Reserve began paying interest on reserve balances held on deposit at the Fed. It took more than seven decades from the US leaving the gold standard — in 1933 — for the fiat regime to do this and thus revoke a cardinal element of the old gold-based …


Economics and Investing:

Student debt apocalypse: Median wages up 1.6% over last 25 years while median student debt is up 163.8%. o o o Bracken: Burning Down the House in 2016. Commentary: This article from Western Rifle Shooters Association has a lot of economic content and is well-written and hard-hitting. Warning: Some of the comments posted after the article contain racial references I found somewhat offensive, unnecessary and inappropriate. Sites that include open commentary are vulnerable to this. With this in mind, the article itself was a worthwhile read. – Submitted by K.F. o o o Items from Professor Preponomics: US News The …


Economics and Investing:

It Has Begun! Excerpt: “The process of discovering true value has begun, as indicated by the decline in the S&P, decline in the Shanghai Index, rise in gold stocks, rise in gold, and rise in silver. Expect it to continue.” o o o We normally stay away from “zombies”, but this one is too good to pass up: No Way Out – B.B. o o o Items from Professor Preponomics: US News US Consumers Can’t Save the World Economy (Business Insider) Excerpt: “Consumption-led growth will help the U.S. economy expand by 2–2.5% again this year,” wrote Quinlan. “That’s good but …


Economics and Investing:

Adidas’s $600-a-year subscription for workout clothes is testing the limits of a big shopping trend. Several observations here: Have we really reached a point in society where we have more money than time? Then we have become a slave to money even more so. Back in the day, people valued their money over their time; they typically tried to fix broken things or would innovate with what they had or could find. Find a Popular Mechanics from the 1930’s and see how it’s full of ideas of how to fix or make things. In the process, we were a whole …


Economics and Investing:

The Chilling Ways The Current Global Economy Echoes The 1930s Depression Era – Sent in by B.B. o o o Music to my ears! The War On Cash Is Irrelevant If You Own Gold And Silver – D.S. o o o Items from Professor Preponomics: US News Lawmakers Ask Treasury to Probe Chinese Purchase of Chicago Exchange (Washington Examiner) Excerpt: “It is outrageous that a communist Chinese company — a front for the communist Chinese government — will be given access to trillions of dollars in the struggling U.S. economy and secure information about U.S. businesses. I strongly urge the …


Economics and Investing:

Kmart gets into the liquidation business. Why be surprised? The entire company is going bankrupt. Why not take somebody else’s unwanted garbage along for the ride. – RBS o o o Items from Mr. Econocobas: You Are Here – I am not a chart expert by any means, but this is worth a quick peek. Negative Rates Are a ‘Dangerous Experiment’, Warns Morgan Stanley Items from Professor Preponomics: US News Regulator: Feds Face Rising Risks for Managing Fannie, Freddie (Washington Examiner) Excerpt: “The current situation is unsustainable, Watt said, not only because of the lack of capital at the two …


Economics and Investing:

Why OPEC Production Freeze Could Pave The Way For Actual Cuts o o o More indoctrination of our kids. “Ultimate Banking” Monopoly Edition Goes Completely Cashless – L.P. o o o Items from Professor Preponomics: US News Why Negative Interest Rates Will Fail (Mises) Excerpt: “…there is an old adage: you can bring a horse to water but you cannot make him drink! With the world economy sinking into recession, few banks have credit-worthy customers and many banks are having difficulties collecting on existing loans.” Percent of Total Wealth Owned in the United States: Bottom 40% Control -0.9% Meaning Close …


Economics and Investing:

The War On Paper Currency Begins: ECB Votes To “Scrap” 500 Euro Bill – G.G. “Draghi: any ECB action on EU500 note is not about reducing cash. Translation: the ECB action is only about reducing physical cash, some 30% of it to be specific.” o o o Central bankers ‘don’t have a clue’ – Jim Rogers – G.G. o o o When Cash Is Outlawed… Only Outlaws Will Have Cash– Sent in by D.S. o o o Percent of Total Wealth Owned in the United States: Bottom 40% control -0.9% Meaning Close to Half the Country has a Negative Net …