The emerging evidence of hyperinflation

Goldmoney Insights by Alasdair Macleod Note: all references to inflation are of the quantity of money and not to the effect on prices unless otherwise indicated. In last week’s article I showed why empirical evidence of fiat money collapses are relevant to monetary conditions today. In this article I explain […]

China is killing the dollar

Goldmoney Insights In the wake of the Fed’s promise of 23 March to print money without limit in order to rescue the covid-stricken US economy, China changed its policy of importing industrial materials to a more aggressive stance. In examining the rationale behind this move, this article concludes that while […]

A potential crisis in Comex gold

Goldmoney Insights                                            We are all used to the bullion banks covering their shorts on Comex by waiting until the speculators are over-bullish and vulnerable to mark-downs that trigger their stops. […]

Prices are going to rise — and fast!

Goldmoney Insights             July 02, 2020 With stockmarkets barely ruffled, few are thinking beyond the very short-term and they are mostly guessing anyway. Other than possibly the very short-term as we emerge from lockdowns, the economic situation is actually dire, and any hope of a V-shaped recovery is wishful thinking or […]

Unintended consequences of monetary inflation

Goldmoney Insights “In short, the Fed is committed to rescue businesses from the greatest economic catastrophe since the great depression and probably even greater than that, to fund the US Government’s rocketing budget deficits, fund the maintenance of domestic consumption directly or indirectly through the US Treasury, while pumping up […]

A primer for gold newbies

Goldmoney Insights – By Alasdair Macleod The purpose of this article is purely educational. Increasingly, the wider public is turning to gold in a spontaneous reaction to financial and economic problems that have become suddenly apparent, hastened by the spread of the coronavirus. For everyone now thinking of buying gold […]

Will COVID-19 lead to a gold standard?

Goldmoney Insights Even before the coronavirus sprang upon an unprepared China the credit cycle was tipping the world into recession. The coronavirus makes an existing situation immeasurably worse, shutting down China and disrupting global supply chains to the point where large swathes of global production simply cease. The crisis is […]

Coronavirus and credit – a perfect storm

Goldmoney Insights – Posted on February 13, 2020 This article posits that the spread of the coronavirus coincides with the downturn in the global credit cycle, with potentially catastrophic results. At the time of writing, analysts are still trying to get to grips with the virus’s economic impact and they […]

Irrational fears of deflation

The benefits of a deflation of prices brought about by a combination of sound money and markets free from government intervention have been demonstrated to be the best economic environment, the denial of which in favour of inflationary financing has led to repeated monetary and systemic failures. This article explains […]

Gold’s outlook for 2020

Goldmoney Insights January 02, 2020 This article is an overview of the economic conditions that will drive the gold price in 2020 and beyond. The turn of the credit cycle, the effect on government deficits and how they are to be financed are addressed. In the absence of foreign demand […]

The Reasoning Behind Gold’s Breakout

Goldmoney Insights Gold’s dramatic move above $1400 has caught the investment establishment by surprise. Physical gold ETFs, as a proxy for direct portfolio investment, amount to only 0.05% of the estimated $250 trillion of global investment values. As well as being badly wrongfooted, investment managers have little understanding of the […]

A whale is accumulating silver futures

Article published at Goldmoney Insights on July 11, 2019 Silver’s recent price performance has been disappointing. Normally, it is almost twice as volatile as gold, so when the gold price rises 11%, as it has since last December, you would expect silver to rise about 20%. Instead it has fallen […]

Market Report: Imbalances in silver

Gold and silver consolidated recent rises in the wake of the G20 meeting last weekend, which yielded a partial climbdown by the Americans on Huawei. It was also an opportunity for Presidents Modi, Putin and Xi to discuss their nations’ future cooperation, but that hardly made the headlines. While the […]

The US Government Debt Crisis

Goldmoney Insights This article explains why the US Government is ensnared in a debt trap from which there is no escape. Its finances are spiralling out of control. In the context of a rapidly slowing global economy, the budget deficit can only be financed by QE and bank credit expansion. […]

Nearly Everyone Is a Socialist Now

Goldmoney Insights By Alasdair Macleond – April 18, 2019 The expansionary phase of the global economy is almost certainly ending. A combination of excessive debt and trade protectionism is likely to become economically and politically destabilising. If, as seems increasingly likely, the world is destined for another credit and economic […]

Market Report: Bulls skewered by contract run-off

Market Updates as of March 29, 2019 Precious metals lost ground this week in a disorderly run-off of the April gold contract on Comex. From last Friday’s close, gold was down $34 at $1288 in early-morning European trade this morning (Friday), and silver lost 44 cents to trade at $15. […]

FMQ Updated

The fiat money quantity is comprised of fiat money both in circulation and available for circulation, being parked at the central bank in the form of the reserves of depository institutions. The expansion of US$ FMQ since 1960 is shown in the chart below. [i] Before the great financial crisis of 2008/09, […]

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Ten Factors To Look For In Gold In 2019

”The following is a list of the ten most important factors likely to affect gold in 2019. I have grouped them under two broad headings, economic developments, and factors affecting gold itself. Possible economic developments to look for It’s late in the credit cycle, and it appears the end of […]

The biggest of big pictures

Goldmoney Insights  I have had a request from Mrs Macleod to write down in simple terms what on earth is going on in the world, and why is it that I think gold is so important in this context. She-who-must-be-obeyed does not fully share my interest in the subject. An […]

The Credit Cycle Is On The Turn

Goldmoney Insights – October 11, 2018 We are on the verge of moving into an era of high interest rates, so markets will behave differently from any time since the early-1980s. There are enough similarities with the post-Bretton Woods era of the 1970s to give us some guidance as to […]

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