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 rising mortgage interest rates. (See the Economy & Finance section.)
Precious Metals:
Just as I predicted, there has been some profit-taking in the gold and silver markets. As of Thursday afternoon, spot gold was around $2,345 and silver was around $27.65 per Troy ounce. But the markets won’t be fooled. I expect strong buying in the Asian markets to boost gold, in particular, in the next few weeks. The new floor for the spot gold price will likely be around $2,370 USD per Troy ounce. – JWR
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At Gold-Eagle.com: Gold SWOT: The Sharp Rise in Gold Prices This Year Could Provide a Nice Bump to Miners’ Earnings.
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Mainstream Fund Managers Jumping on the Gold Bandwagon.
Economy & Finance:
Over at Wolf Street: Mortgage Rates over 7% and Heading Higher, Housing Market Still Frozen, Lots of Buyers on Strike as Prices Still Too High. The article begins:
“Mortgage rates continue to trudge higher from the abandoned Rate-Cut-Mania low. The average conforming 30-year fixed mortgage rate rose to 7.13% in the latest week, the highest since early December, according to the Mortgage Bankers Association today, as the 10-year Treasury yield has re-surged amid the Fed’s vigorous backpedaling on its December rate-cut visions after the presumed-vanquished inflation raised its ugly head again.
The MBA’s measure of the average 30-year fixed mortgage rate has risen 37 basis points from the Rate-Cut-Mania low of 6.76% in early January…”
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Foreign holdings of US Treasuries hit record high; Japan holdings rise, data shows.
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Reader C.B. suggested this article: IMF sounds alarm on U.S. debt, warning ‘something will have to give’.
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The UFC, Mises, and the Six Lessons of Austrian Economics.
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California in a jam after borrowing billions to pay unemployment benefits.
Commodities:
Reader D.S.V. sent us this: The Federal Phase-Out of Gasoline Cars Has Begun.
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My CPA sent me this link: When Politics and Physics Collide.
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Dangers of GMO Corn Spark Huge Trade Dispute Between US & Mexico.
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From OilPrice News: Bitcoin Mining and Population Growth Are Pushing the Texas Grid to the Brink.
Inflation/Deflation Watch:
Bloomberg: What Went Wrong With US Inflation.
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USN&WR: US Business Activity Cools in April; Inflation Measures Mixed.
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Global food inflation forecast for 2024 and 2025.
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Your Social Security COLA increase could be bigger than expected next year.
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Forex & Cryptos:
Where king dollar is causing pain the most.
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At Currency Thoughts: A Seventh Straight Hungarian Central Bank Interest Rate Cut.
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‘Halving’ arrives for bitcoin miners.
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Ripple v. SEC Update: Is The Lawsuit Finally Coming To An End With A Settlement?
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Father-son team says they’ve recovered $6M in lost crypto.
Tangibles Investing:
Thad in southern California recommended this wristwatch dealer: The Watch Connection.
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In the past week, I’ve added 10 revolvers and 16 rifles to my inventory at Elk Creek Company. These include some real rarities. Four of the rifles and one of the revolvers have already sold. I suggest that you jump on a few for your collection. With the upcoming ATF “Engaged in the Business” rule change going into effect on May 20th, there will suddenly be a huge interest in Federally-exempt pre-1899 guns. Once the majority of American gun buyers realize that antiques are the last bastion of gun purchasing privacy, I expect their prices to rise quite quickly and dramatically.
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Palmetto State Armory (one of our affiliate advertisers) has some great specials in their “Daily Deals” this week. This one caught my eye: Springfield Hellcat OSP 11/13 round 3″ 9mm Pistol, FDE — for just under $600. To find this deal, put this SKU in their search box: 5165500531.
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!