Happy New Year to all of our incredible clients and amazing staff.
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The past year has been one of many twists and turns in terms of the markets, particularly gold and silver. According to Yahoo Finance, bullion increased by 26%, silver by 35%, and the S&P500 by 19% this past year, so a good year for investing in these assets. Read more here
The uncertainty caused by world events has made decisions about where to invest and what to invest in difficult.
Wars, medical events, new government regulation, threatened pandemics, political uncertainty, rival currencies and more have led mainly governments to buying gold and slowly to also purchase strategic silver reserves.
From what I read, government buyers are bypassing the traditional markets and going directly to the mines. They are paying somewhere around double the market price for silver dore and many hundreds over spot for dore gold.
This is why the quoted market prices can be so controlled as the purchases are not flowing through the traditional routes. Their purchases are also hidden from public view.
My strategy is to continually purchase gold and silver in more or less the same dollar value quantities. I feel that this gives a balanced long-term result, gold being a concentrated store of wealth and silver has the potential for profit and a leap in price when I consider the shortage of silver supply to an ever-growing use case market.
We are planning on increasing the stock we hold here on behalf of FK Physical Assets, our US-based company. This is planned to be over the next few months, so if you are interested in purchasing please contact us so that we can include your preferred selection in the stock they will hold with us.
On a daily, weekly, and monthly basis, this newsletter charts the buy and sell conditions of both metals as well as the daily charts for Bitcoin and Ethereum. So depending on your investment view, you can be kept up to date with the markets.
Despite all the negativity in the world at the moment, I believe that with the right attitude and approach, we can beat the forces stacked against us. I think that by preparing for the worst we can see and having a plan to resist the stupidity of the system, then by just getting on with our lives, we can survive.
Even with the greatest of hope for the Trump administration, I fear that we are being led down the garden path. Not promoting constitutional money, (gold and silver), promoting bitcoin as a reserve ‘currency’ gives me cause to be cautious.
I have no problem with bitcoin at all. In fact I love its ease of use in transactions, but as a government reserve. I am not so sure.
Is this the net which catches all of us in CBDC’s?
100% tariffs on BRICS countries is a worry. I support tariffs when used correctly to build local industry and have experienced it working. It has to be applied on a case-by-case basis dependent on the capability of each industry to supply the needs of the country.
The 25% tariffs on Mexico and Canada as a negotiating starting point will work. I just worry that more bullying makes more enemies. The conquerors of Rome were welcomed in the gates, making for an easier victory. We saw a similar case in Syria with Assad. I would not like to see that in the US.
I look forward to picking our way through this year’s minefield.
The Markets
What you are looking at in the chart below, is the relationship between the Federal Funds Rate and the 10 year yield going back to 1990. From Greg Mannarino.
The Buffet indicator is at 208% indicating a ‘Strongly Overvalued’ market.
The Mannarino Index is at 308.4 ‘Extreme Risk’
I believe there is a possibility that if Trump gets into office they will try to crash the markets to make it more difficult for him to carry out his policies.
BITCOIN AND GOLD
Sell bitcoin versus gold still stands as the indicators still point down.
Mind the gap.
ETHUSD: Out 10 December 2024: A spike low indicates a reversal. Indicators still pointing down. No buy yet. It appears that we will get a buy this week.
BTCUSD: Out, 24 November. Increased prices with indicators pointing down make me reluctant to buy into Bitcoin. A buy this week looks probable.
GOLD AND SILVER STOCKS
Gold outperforming gold stocks. (13 December 2024) Looking toppy. No reversal yet.
Silver outperforms silver stocks. (13 December 2024).
GOLD AND SILVER
Silver to Gold Ratio
Gold outperforming silver. (Signal given 12 December 2024)
GOLD TO USD
US Dollar outperforms Gold, (16 December 2024). No change, indicators pointing down.
A LOOK AT THE GOLD AND SILVER CHARTS
| Today | Last Week | |
|---|---|---|
| Gold Price | $2,647.00 | $2,634.00 |
| Silver Price | $29.41 | $29.80 |
| Gold:Silver ratio | 90.02:1 | 88.33:1 |
| Gold Miners bullish percent index | 39.29 | 53.57 |
| Dollar Index | 108.93 | 108.17 |
| Dow:Gold Ratio (BahaUS 42,534.00 Gold price, $2,647.00) | 16.06 | 16.29 |
| Current USA inflation rate (Dept. of Statistics) | 2.7% | 2.6% |
Gold’s low of the week was $2,596.00 and the high was $2,651.00, now trading at around $2,647.00.
- Gold Monthly: is a hold. We bought in at $1,800.00 in October 2023. Funds flows into the metal are substantial and declining. It is overbought and rolling over. No sell signal yet. (Chart below).
- Gold Weekly: is (Out 11 November 2024) No buy signal yet. Looking weak.
- Gold Daily: (Out: 16 December 2024). No signal change
The low for Silver this week was $28.68 and the high $29.52, trading around $29.41 at present.
- Silver Monthly: Hold. Buy signal taken at $24.00 in March. Weakening. Out of overbought territory. Funds flow into the metal weakening. No sell yet. (Chart below).
- Silver Weekly: Out (7 November 2024). No buy yet. Rate of change negative.
- Silver Daily: Sell. (13 December 2024). No buy yet. It appears that $28.00 is on the horizon.
Our partner has stock of both gold, silver, and Goldbacks in our vaults available in Panama. Please contact us for more information.
A video by Mike Adams on the Goldbacks.
Well worth a look!
On the Stockcharts.com charts, the blue vertical lines are our proprietary system buy signals and the red vertical lines are system sell signals – for information purposes only
Please contact us to arrange the purchase and storage of your gold and silver requirements in a safe, insured location outside of your jurisdiction.
If you are interested in an overview of Fort Kobbe, you may want to have a look at this video: Mike Brown, Director, Fort Kobbe, International Vaults, A DotCom Magazine Exclusive Interview
This is my interpretation of the market and is not to be taken as financial advice. Before making any buy or sell decisions I recommend that you consult with your professional financial advisor.
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