Interview by Paul Reynolds, CEO of Canaccord
Canaccord Resource Conference
Wednesday, October 17, 2012
Miami, Fl, USA
Whoever is elected President, the “gold is likely to go much higher” next year, according to analysts.
Gold is likely to go much higher in the course of the 45th President’s four year term whether there is a President Obama or a President Romney, according to analytics firm GoldCore.
In its latest newsletter, GoldCore said that the US fiscal cliff, involving steep government spending cuts and tax hikes due in January, is likely to “support gold at these levels and lead to higher gold prices in the coming weeks”.
Depending on which of the candidates is elected as US President, the gold price is predicted to experience short-term weakness, but over the long term, GoldCore expected that monetary challenges facing the Fed and the White House would lead to the gold price increasing.
S&P each Fed action: QE1 +50%, QE2 +30%, Twist +18%, QE3 & Twist +8%… so QE4 +4%, QE5 +2%, and QE6 +1%…
The Incredible Shrinking Half-Life Of Central Bank Action
It seems the market – or the collection of pre-programmed heuristic biases that make up the equity investing public (and machines) – is slowly but surely realizing the confidence trick that is the Fed’s Quantitative Easing programs. The following chart should clarify – to anyone placing their gambling chips on the hopes of another round of easing from the Fed – why the game is up. To wit, the reverse geometric progression of S&P 500 performance during each Fed action: QE1 +50%, QE2 +30%, Twist +18%, QE3 & Twist +8%… so QE4 +4%, QE5 +2%, and QE6 +1%…
Save this chart, so when all your pathetic Facebook “friends” ask why the stock market crashed 30%, you can post this chart and show them how the Fed created their latest bubble! So easy, even an Obama phone using, EBT card using, food stamp using, facebook junkie can get it!
The price of lobster has recently taken a sharp nose-dive. Interestingly, the price of the bottom-dwellers once fed to prisoners in Massachusetts predicted both the 2000 dot.com bubble collapse, as well as the 2008 mortgage/banking crisis. Is the plunging price of lobster predicting another financial collapse is on the immediate horizon? Max Keiser discusses with Maine Congressional Candidate John Logan Jones on the latest Keiser Report.