Category Archives: Gold

Rare Earth Day 2.0

Posted on October 18, 2010 by macromon

Take a look at Rare Earth (not the band) today.  Lots of market buzz as Molycorp (MCP) up over 10 percent and Rare Earth Elements (REE) up over 22 percent.  Recall our take on the Rare Earth trade as “gold … Continue reading →

Posted in Commodities, Geopolitical, Gold, Politics, Rare Earth Elements, Sovereign Risk | Tagged , , , , | 2 Comments

Beijing’s $2.18 Big Mac and $1,400 GOLDen Arches?

Posted on October 14, 2010 by macromon

The Economist updated their Big Mac Index, which measures currency misalignments based on purchasing-power parity.  We just used the Big Mac Index this past weekend in our recent posts,  Rio’s $5.00 Big Macs and Geithner’s Naughty List.   Here is what … Continue reading →

Posted in China, Commodities, Gold, Politics | Tagged , , , | 1 Comment

Krugman’s Dangerous Misreading of the Bond Market

Posted on October 14, 2010 by macromon

During his Sunday appearance (click for interview) on This Week With Christiane Amanpour, Paul Krugman spoke the words that make us very uncomfortable. Responding to French finance minister Christine Lagarde’s fiscal austerity and Alan Greenspan’s caution about further stimulus, Krugman … Continue reading →

Posted in Bonds, Commodities, Credit, Currency, Equities, Gold, Policy, Politics, Sovereign Risk | Tagged , , , | 2 Comments

Rising Tide (of liquidity) Lifts All Boats

Posted on October 12, 2010 by macromon

Great chart from Active Trader of the S&P5oo correlation with other markets.  Have you noticed recently that all markets are moving together?  U.S. Treasuries, domestic and foreign stocks, Greek Bonds, EM Debt, commodities, and foreign currencies all in lockstep? This … Continue reading →

Posted in Bonds, BRICs, Commodities, Credit, Currency, Equities, Gold, Monetary Policy, News, Policy, Sovereign Risk | Tagged , , , , | Leave a comment

Japan’s Currency War? Nonsense!

Posted on October 5, 2010 by macromon

Take a look at a 30-year chart of the Yen to see if Japan is trying to weaken its currency in a “beggar thy neighbor” policy.  The Yen has appreciated 50% against the dollar since 2007 and is at an … Continue reading →

Posted in Commodities, Credit, Currency, Geopolitical, Gold, Monetary Policy, News, Policy, Politics | Tagged , , | Leave a comment

Fed, ECB throwing world into chaos – Stiglitz

Posted on October 5, 2010 by macromon

These are the headlines from an earlier Reuters report.   Joe Stiglitz is one smart dude (OSD) and was the World Bank’s chief economist during the 1997 Asian Financial Crisis and 1998 Russian Debt Default.   He says the ultra-loose monetary policy … Continue reading →

Posted in Black Swan Watch, Bonds, BRICs, China, Commodities, Credit, Currency, Geopolitical, Gold, Monetary Policy, News, Policy, Politics | Tagged , , , , , , | 3 Comments

Central Banks Gone Wild: Paulson Says Gold Price to $4,000

Posted on October 5, 2010 by macromon

The Gold fear trade is back on.  That is, traders and investors fear they are not long enough.  The Bank of Japan really got the party started as Bloomberg reports, “The unexpected decision by the Japanese central bank yesterday to … Continue reading →

Posted in BRICs, Commodities, Credit, Currency, Gold, Monetary Policy | Tagged , , , | Leave a comment

Black Swan Watch: Cyberwarfare and Iran’s Revenge

Posted on October 3, 2010 by macromon

Computer World reports Iran has arrested several “spies” connected to a cyber attack on its nuclear program, “According to the Tehran-based Mehr News Agency, Heydar Moslehi, Iran’s minister of intelligence, said that “enemy spy services” were responsible for Stuxnet, the … Continue reading →

Posted in Commodities, Geopolitical, Gold, News, Politics | Tagged , , , , | Leave a comment

The “Catch-Up”Trade

Posted on September 30, 2010 by macromon

Interesting chart of today’s activity.  They sold the grains and bought crude, which has been a laggard.  The “catch-up” trade, where laggards outperform,  may be the theme of the markets for the next few weeks.

Posted in Bonds, BRICs, Commodities, Credit, Currency, Equities, Gold | Tagged , , , , | 3 Comments

Will the Republican “Young Guns” Lasso Gold?

Posted on September 30, 2010 by macromon

We’ve commented that an off-radar risk to gold is the hard money inclinations of the Republican leadership.  A Republican House in the next Congress is a done deal according to the prediction markets.  Intrade gives the scenario a 75 percent probability. … Continue reading →

Posted in Commodities, Currency, Geopolitical, Gold, Monetary Policy | Tagged , , , | 3 Comments