Silver steps out from gold's shadow

June 13, 2016 at 12:00


A friend of mine collects silver coins. I emailed him on December 29th, "Hey John, I think silver is starting to look a bit interesting. I added to a position yesterday when prices fell near 5-1/2 year lows." It turned out to be a good call. So far gold has had a good run this year and so has silver. As the first week of May closes, both metals are up over 20 percent while copper and equity markets struggle to make single digits for 2016. About time. After coming within pennies of its 1980 high in 2011, silver steadily plumbed lower levels – Comex futures fell from a $49.52 per ounce peak to a lowly $13.73 by mid-December. Would the white metal descend further to...

Rickards: This is just the start

June 13, 2016 at 11:55


As gold continues to rally in 2016, one of Wall Street's most closely followed commodities watchers says we could be in the early days of a historic rally for the precious metal. However, the catalyst for gold's gains could stem from a nerve-wracking sequence of events. "We should expect the next global financial panic soon," said Jim Rickards last week. "We have imploded twice in the last 16 years so get ready for the third one." Rickards has penned numerous New York Times best sellers on the relationship between commodities and currencies. His latest book, "The New Case for Gold," defends the rationale that gold always has been, and always will be, a true saf...

Gold miners surge down under, but they’re not all equal

June 6, 2016 at 11:11


Gold and the gold miners have had a pretty good time of it since Friday’s woeful US labour-market numbers appeared to take the prospect of higher US rates off the table. Of course, gold is arguably most vulnerable to a rate rise, because higher interest rates tend to hit gold hard, twice. First, they make other yield-bearing assets more attractive by comparison. Holding gold pays not a cent in yield. Second, gold tends to be priced in dollars so those who want to buy it with something else have to pay more to do so. No wonder May was a tough month for the metal. That was the month when some banks, notably Citi and UBS, thought it was in for some serious weakness if ...

US economy's job pain is 'gold's gain'

June 6, 2016 at 11:09


After falling more than 7 percent from its May high, gold is suddenly surging. The precious metal rallied nearly 3 percent back above $1,245 after a soft jobs number had traders fleeing equities and running toward safe haven assets. The jump has Evercore ISI technical analyst Rich Ross betting that the yellow metal will head even higher for a number of reasons. First, May's lagging job numbers have given way to "collapsing odds of a Fed rate hike this summer," Ross explained Friday. Gold has been under increasing pressure as a strong dollar and potential for a June hike has rattled investors. But with an interest rate hike later this month looking less and less like...

Deutsche eyed in Treasury rigging probe

May 31, 2016 at 09:50


Investigators probing the $13 trillion market for US Treasurys are zeroing in on a second Wall Street bank, The Post has learned. Deutsche Bank, led by co-CEO John Cryan, has emerged as a focus of the probe into whether traders rigged auctions for government debt, according to sources. No bank has been accused of wrongdoing, but investigators are narrowing their focus after requesting documents and communications from all of the 22 primary dealers in Treasurys. That group includes the biggest Wall Street banks and their counterparts in Europe and Asia. Goldman Sachs, led by Chief Executive Lloyd Blankfein, revealed in a regulatory filing in November that regul...

Solid gold eagle worth millions stolen

May 31, 2016 at 09:41


Delta Police are looking into the robbery of an 18-pound, solid-gold, diamond-encrusted statue in Ladner, worth about $5 million. Sgt. Sarah Swallow says the heist occurred "on the street" Sunday night in the 4700 block of 57th Street. The owner, Ron Shore, suffered minor injuries, was treated in hospital and released. He said the eagle had been on display for four days at the Art! Vancouver exhibit and was in transit when the theft occurred, while it was being loaded onto a vehicle. "I struggled as hard as I could and yet wasn't able to prevent the robbery," Shore said. Swallow says police are not releasing any further information at this early stage of t...

Gold relative to Dow cheapest since 2007

May 31, 2016 at 09:13


Before the recent slump gold was enjoying it's best start to a year since the early 1980s. While recovering from a steep sell-off at the start of the year, US blue chip stocks haven't been able to convincingly break through the 18,000 level it first breached at the end of 2014. So is gold relatively overpriced against stocks? Despite the exceptional start to 2016 gold is still cheaper than it was for the 24 years between May 1972 and September 1996 This 50-year chart of the blue-chip Dow Jones Industrial index from Macrotrends suggests otherwise. The graph tracks how many ounces of gold it would take to buy the Dow over any given month going back to 1966. I...