Apr 16, 2013
By Joe Yasinski, SVP of Distribution
Nervous? Did you think it would be easy?
Gold investors have been getting the white knuckle ride of their lives over the past week as severe downside volatility has rocked the precious metals. Adding to the anxiety has been the search for an answer to one simple question, why? Are we not a month removed from Europe literally having to truck in loads of paper money to stem a bank run in Euroland? Are…
Mar 26, 2013
By Steven Feldman, CEO/Co-Founder
For the last week or so, the top news story has been centered on the banking crisis in Cyprus - a very small country with a GDP of approximately $25B (about the size of the GDP of Vermont1). Despite its relatively small GDP, the country has bank deposits in excess of $90B. In addition to local Cypriot depositors, off shore depositors (mostly British and Russian) represent more than half of these deposits due…
Feb 20, 2013
By Joe Yasinski and Dan Flynn
Part 3 of 3: "Backwardation and Gold"
In part one of our series we discussed stock to flow dynamics and their impact on the gold price. To briefly refresh, the stock to flow ratio is simply what percentage of the total stock (all the gold ever mined) is available for sale and this ratio is what determines gold’s price. This is the only relevant ratio when determining gold’s supply. Most analysts myopically stare at…
Jan 15, 2013
By Steven Feldman, CEO/Co-Founder
“In Asia, I sell…in America, I teach,” my colleague Savneet Singh recently said. His words resonated with me as I began to think about Asian and American investors and their varying attitudes and understandings of gold. I then began to think about the macro issues behind the differing opinions and it’s these differences that will drive gold prices for the foreseeable future. In my…
Nov 29, 2012
By Joe Yasinski and Dan Flynn
Part 2 of 3: “Paper Gold, what is it really good for?”
In our first installment of this series we explored the concept of stock to flow in the gold markets being the key driver of supply/demand dynamics, and ultimately its price. To briefly summarize the STF concept, the “stock” of existing gold is the total amount ever mined and the “flow” is the amount of physical gold available for purchase on any given…
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