Friday, June 28, 2013

Brave or Stupid

I don't feel brave; I don't feel stupid. But with this current gold and silver correction I may have fleeting doubts. However, I still cannot see where the fundamental reasons for holding PMs has changed.

But I do feel like William Wallace and his band of motley fighters right now...



Gold in New Zealand dollars: $1541.27 per oz
Previous all-time high: $2311.02 per oz (15 Nov, 2011)

Silver in New Zealand dollars: $23.76 per oz
Previous all-time high: $59.19 per oz (30 Apr, 2011)
_____________________________________________________________

The Anglo-Far East Company
AFE is the gold bullion custodial provider of choice for the sophisticated investor,
families, and institutions that require the highest level of discretion, competence,
safety, and service. Your reference when you order: an-001
_____________________________________________________________

Go More Raw Seven Day Raw Food Program

Raw food can be interesting, satisfying and taste fantastic. The big bonus is the
optimum nutrition in raw food. For seven days you can put raw food to the test
and you could be pleasantly surprised.
_____________________________________________________________

Wednesday, June 26, 2013

The Gold Buyers Lament

"I get so frazzled watching markets from day to day and watching that trained pony Bernanke do his tricks that I take my eyes off the horizon. The end really isn't in doubt, but they throw up all sorts of distractions to make you think so. We live in the age of appearances, where any illusion works.

Until you see through it, and realize the truth is simple. It always is, once you identify it.

Simple truth is, inflation never works. Never has, never will. Always guts the middle class and savers, always ends in tragedy for the society that tries it. America is no exception to that truth. Wait and see.

That's why I will patiently sit on my gold and silver, and buy more whenever I see this decline turning. But y'all already know I'm nothing but a natural born durn fool from Tennessee, not one of them clever Yankee traders. Reckon I'm just doomed. Wonder why I don't feel no worse for it?"

from Franklin Sanders... more here

Gold in New Zealand dollars: $1653.00 per oz
Previous all-time high: $2311.02 per oz (15 Nov, 2011)

Silver in New Zealand dollars: $25.41 per oz
Previous all-time high: $59.19 per oz (30 Apr, 2011)
_____________________________________________________________

The Anglo-Far East Company
AFE is the gold bullion custodial provider of choice for the sophisticated investor,
families, and institutions that require the highest level of discretion, competence,
safety, and service. Your reference when you order: an-001
_____________________________________________________________

Go More Raw Seven Day Raw Food Program

Raw food can be interesting, satisfying and taste fantastic. The big bonus is the
optimum nutrition in raw food. For seven days you can put raw food to the test
and you could be pleasantly surprised.
_____________________________________________________________

Monday, June 24, 2013

Strange Days Indeed

So we have all sorts of people telling us that gold is a goner. No good, kaput. Prices have slumped and no sane person is buying. Put your money into equities and property. This is where the money is flowing and the returns are greatest.

But wouldn't it be intriguing to 'follow the real money' in this whole saga. Money being that which can ultimately be swapped for goods and services and not be devalued. Gold that is. So where is the gold headed?

Mums and Dads are ignorant of golds monetary usefulness and are so hard pressed by stifling debt that money ain't going to flow anyway, anyhow from that direction. Secondly, most fund managers are telling you gold is useless in that it provides no returns such as dividends (maybe this has something to do with the fact that fund managers can't earn fees from you holding gold...hmm). So no one appears to like gold right now. It's falling, in a bear market and has no chance of recovering.

This is all true if you look at gold as an investment. But it's not; well not completely. As stated before here, it is primarily an insurance against bad government.

Therefore, follow the real money; follow gold. Where's it heading? Yep, Central Banks are buying. Interesting. A useless relic and a tradition is being bought by those that control capital flows worldwide.

And because they are buying, did you think they would want to buy at $1900 per ounce rather than $1250? And do you think they have the means to beat the paper price down in order to snap up the physical from distressed long-gold holders? Yep.

My figuring is that once this Central Banking cartel have enough gold, they will reset the price of fiat money to a higher plain against that gold, as the US did back in '33 to produce inflation, then the fun will start. And the wealth destruction for Mums and Dads will begin in earnest.

Anyway, here's a curious wee article on a NZ news website on Sunday. Curious in that everyone hates gold, but this article is telling us how and where to buy it!!

"A price slump is often a signal that investors are deserting a market but a sharp fall in the gold price has had the opposite effect"....more

Strange days indeed.

Gold in New Zealand dollars: $1669.20 per oz
Previous all-time high: $2311.02 per oz (15 Nov, 2011)

Silver in New Zealand dollars: $25.78 per oz
Previous all-time high: $59.19 per oz (30 Apr, 2011)
_____________________________________________________________

The Anglo-Far East Company
AFE is the gold bullion custodial provider of choice for the sophisticated investor,
families, and institutions that require the highest level of discretion, competence,
safety, and service. Your reference when you order: an-001
_____________________________________________________________

Go More Raw Seven Day Raw Food Program

Raw food can be interesting, satisfying and taste fantastic. The big bonus is the
optimum nutrition in raw food. For seven days you can put raw food to the test
and you could be pleasantly surprised.
_____________________________________________________________

Wednesday, June 12, 2013

House Prices in New Zealand v Gold, May 2013

In May, 2013, the gold ounce to house price ratio has moved in favour of gold. It now takes 2 gold ounces less to buy the median priced Auckland house than it did in April, and 5 ounces less to buy a median priced house in New Zealand.



I was correct in calling for weaker house prices v gold in May. How will it pan out for June? Likely to get better for those who hold gold again.

Gold in New Zealand dollars: $1742.82 per oz
Previous all-time high: $2311.02 per oz (15 Nov, 2011)

Silver in New Zealand dollars: $27.59 per oz
Previous all-time high: $59.19 per oz (30 Apr, 2011)
_____________________________________________________________

The Anglo-Far East Company
AFE is the gold bullion custodial provider of choice for the sophisticated investor,
families, and institutions that require the highest level of discretion, competence,
safety, and service. Your reference when you order: an-001
_____________________________________________________________

Go More Raw Seven Day Raw Food Program

Raw food can be interesting, satisfying and taste fantastic. The big bonus is the
optimum nutrition in raw food. For seven days you can put raw food to the test
and you could be pleasantly surprised.
_____________________________________________________________

Monday, June 10, 2013

Junior Lenders

Hi Junior, how's it going?

Imagine if you walked into your plush local bank today and was greeted by a happy faced young lady in such a friendly way? Would you be confused? Well, you needn't be, because it is true. If you have a savings deposit account at that bank, you are a junior creditor to that bank. You have loaned them your savings and if that bank gets into financial trouble, you are the first cab off the rank to get screwed.

Perhaps a good reponse would be; "Fine thank you. Now can I get all my money out as I have problems with what you just said?" Great answer, just don't say it too loud. As you may recall in Mary Poppins, bank runs start on very small rumours. But I jest slightly.

Not many people know this about their status with their bank, or even care for that matter. Until it happens to them. Ask Joe Blow Cypriot if he cares. Just make sure you stand a wee way away from him, his spitting vitriol is likely to be unhealthy on your face.

So what do you do?

Some would say only have an amount in your bank account sufficient for everyday transactions; going to the supermarket, buying gas etc. The rest? Try to protect is as well as you can. Is gold an option? Yes. Even Nouriel Roubini, the 'gold bug name-caller' still recommends a 'modest' amount of gold in every portfolio.

Get out from underneath the leveraged balance sheets of institutions that are vulnerable and in the system. Look at assets that can be stored, insured, located in multiple jurisdictions and is allocated to you alone.. Come to think of it, gold comes to mind again.

Gold
in New Zealand dollars: $1760.900 per oz
Previous all-time high: $2311.02 per oz (15 Nov, 2011)

Silver in New Zealand dollars: $27.70 per oz
Previous all-time high: $59.19 per oz (30 Apr, 2011)
_____________________________________________________________

The Anglo-Far East Company
AFE is the gold bullion custodial provider of choice for the sophisticated investor,
families, and institutions that require the highest level of discretion, competence,
safety, and service. Your reference when you order: an-001
_____________________________________________________________

Go More Raw Seven Day Raw Food Program

Raw food can be interesting, satisfying and taste fantastic. The big bonus is the
optimum nutrition in raw food. For seven days you can put raw food to the test
and you could be pleasantly surprised.
_____________________________________________________________