Blog

January 20, 2003 – One of the most important things to do when managing an investment is to stay aligned with the primary trend. This principle is true for every market and every investment – stocks, bonds, commodities, currencies, etc. You name it. You may have even heard the catchphrase that ‘the trend is yourRead more

Januray 6, 2003 – I have today mailed the following letter to the Enforcement Division of the Securities & Exchange Commission. It’s about time that we learn the truth regarding JP Morgan Chase’s activity in the gold market, the full extent of its gold exposure, and whether it used gold loans to fund the so-calledRead more

December 23, 2002 – There have been several important developments regarding gold since the last newsletter. These include: December 2nd – A strike erupts in oil producer Venezuela to protest the rule of autocratic president, Hugo Chavez. Though initially dismissed by many as unimportant, the strike continues as this is written, and the price ofRead more

December 2, 2002 – Gold failed to close above $325 at the end of November. As a result, I am concerned that the Fear Index may begin to break-down from here. Here are the preliminary calculations of the Fear Index for November. (US Gold Reserve) * (Gold’s Market Price) ———————————————————————- = Fear Index M3 (261.5Read more

November 18, 2002 – Long time readers of these letters know that I am not shy about making my views known. In other words, when it comes to markets, I call ‘them’ as I see them, which is something I am going to do again now. Every once in a while, a market will reachRead more

October 28, 2002 – It has been several months (see Letter No. 301, March 18th, 2002, Asking for Help from My Congressman), but my Congressman has at last received a reply from the Federal Reserve. Unfortunately, the reply did not come from Alan Greenspan, but rather, from an apparently low-level bureaucrat, Winthrop Hambley, Deputy CongressionalRead more

October 14, 2002 – One of my favorite writers is Lew Rockwell, who not only is the proprietor of the eponymous www.lewrockwell.com, but also president of the Mises Institute at Auburn University in Alabama. His essays are always learned and very well-written, like the one I recently read that is entitled, “Is the Gold StandardRead more

September 23, 2002 – Though every market is different in that each one is driven by its own unique factors affecting supply and demand, there are established relationships between some markets. For example, if the price of grain rises suddenly and unexpectedly, the price of beef often declines. The reason is that the higher priceRead more

September 22, 2002 – I was recently given an interesting challenge. An Australian friend of mine named Laurie McGuirk, a hedge fund manager with an exceptional track record who happens to be an enthusiastic gold bull, had been in touch with a friend of his who is a gold analyst at one of the world’sRead more

August 19, 2002 – There is an old Wall Street adage that bull markets climb a ‘wall of worry’. Having been through a large number of bull markets in stocks and commodities, I can attest to the accuracy of that statement. There is always plenty to worry about when you have your cold, hard cashRead more