Gold's Grinding Message

Precious metals boosters will see gold's nominal price break upward and probably get excited.  They will marshal the troops for what could one day turn out to be a full fledged tout, as if the 40% decline of the last 2.5 years had never happened.

gold

But it is gold’s ratios to positively correlated assets that tells the interesting story.  Vs. Crude Oil, the story could be shaping up to be a positive one for the gold mining industry, which is counter cyclical and obviously energy and fuel intensive. Continue reading "Gold's Grinding Message"

Rising Rates Are Coming -- Here's How To Prepare

If you racked up big gains in the stock market last year, you have Ben Bernanke and his cohorts at the Federal Reserve to thank.

The SP 500's 29.6% gain in 2013 (32.4% when dividends are included), which was the best year since 1997, was largely based on comments made by the Fed in December 2012.

Back then, the economy was so weak that the Fed committed to keep the federal funds rate at historic lows in place until at least the middle of 2015, even later than many economists had assumed. Against such a favorable interest rate backdrop, stocks faced little resistance.

Indeed, throughout 2013, the likelihood of an imminent increase in the federal funds rate remained off the table. And three Fed governors even suggested in December that interest rates would remain untouched into 2016.

But in the early months of 2014, the Fed playbook is starting to look different. The recently released minutes from the past Fed meeting in late January show that some Fed governors are getting anxious. As The Wall Street Journal noted recently, Fed governors have begun discussing "the possibility of rate hikes in the near future." Continue reading "Rising Rates Are Coming -- Here's How To Prepare"

2 Stocks To Consider For Your Portfolio

Hello traders everywhere! Adam Hewison here, President of INO.com and co-creator of MarketClub, with your video update for Wednesday, the 18th of December.

7 Days To Christmas

With just seven days to go before Christmas, I expect the trading volume in the markets to begin to taper to a trickle, as more and more traders disengage themselves for the year-end holiday season. I will be looking at all the major markets today and giving you my latest thoughts on current trends.

2 New Trade Triangle Signals

I will be taking a look at Sally Beauty Holdings (NYSE:SBH) and KKR Financial Holdings LLC (NYSE:KFN) today with the Trade Triangle technology. Continue reading "2 Stocks To Consider For Your Portfolio"

The Fed's Great Adventure in Inflation

In the current policy and media stoked market environment, anything is possible.  It's  the wonderful, magical world of hands-on policy making.  5 years after the financial crisis, but still not enjoying a ramping economy like the good old (and long gone) days of the last great secular bull market (RIP 2000)?  Just sit back, relax and let the man in charge control the image.

"For the next hour, sit quietly and we will control all that you see and hear. We repeat: there is nothing wrong with your television set. You are about to participate in a great adventure. You are about to experience the awe and mystery which reaches from the inner mind to – The Outer Limits." Continue reading "The Fed's Great Adventure in Inflation"