Showing posts with label Oil Crash. Show all posts
Showing posts with label Oil Crash. Show all posts

Monday, 19 January 2015

Nomi Prins: Oil Loans And QE - Gold Will Increase Gradually in 2015.



  This coming financial shock with bad loans after the Oil Crash can be even of a larger magnitude than the subprime mortgage crisis in 2008. Gold market is finally allowed to reflect at least the possibility of this increased risk in the financial system. 

"Former top Goldman Sachs banker Nomi Prins is bullish on gold, but you’re going to have to be patient. Prins contends, “This shift to the dollar going down, I think, will be more gradual. For the same reason the dollar stays strong is the same reason gold has done okay very recently but hasn’t had this major outbreak. . . . Gold will increase this year--also gradually for the same reason the dollar will not dump but could decrease gradually as QE and all these maneuvers play out. I don’t really think this is going to be that breakout year. The markets are going to go down because of the end of all this artificial aid, but we also have been underestimating the aid that gets continually dumped into the markets and into these banks. That’s where the timing is critical to look at. . . . There’s going to be a negative market. There’s going to be a downward impact on the markets. There’s going to be an upward impact on gold. All of that will happen. It’s just not going to be as huge this year. It’s going to be a more gradual working into that this year.”



"Last week Swiss Shock has UnPegged the gold market and Gold is in a breakout now. China shows no slowdown in its accumulation of Gold. What Chinese know the others don't? Please visit Koos Jansen at GoldBullion for more insights on the Chinese Gold market. The real turnaround in Gold sentiment will come after $1,350 level, it could happen fast now. All eyes will be on the ECB next week. These level of beaten into the dust junior miners will not be forever: HUI has cleared 200 level and has a very strong breakout pattern now. Read more."

Friday, 9 January 2015

Markets: The Derivatives Perspective - Dancing on Ice City Style.



The Derivatives Perspective -- Welcome to Dancing on the Ice City Style with Richard Jones - Managing Editor - Hedge Ratio Analysis. Volatility set to continue as the hedges remain quiet - See more at:http://www.tiptv.co.uk

If it is all mambo-jumbo to you, do not be discourage, just look at the big picture below:

Next Meltdown: Oil Crash And Derivatives 10 times The Size Of The Global Economy.


Just one more thing to get you started your own research. Is it one of the reasons why China is buying so much Gold now?


David Morgan: Oil, Derivatives And Unbelievable Lack of Trust in the System.



Thursday, 8 January 2015

Next Meltdown: Oil Crash And Derivatives 10 times The Size Of The Global Economy.



Just one more thing to get you started your own research. Is it one of the reasons why China is buying so much Gold now?


"Today on The Janssen Report (#88): the financialization of pretty much everything has caused incredible systemic risk on top of so-called collateral. In fact, this collateral is the true value upon which most derivatives are based, such as gold, silver, oil and real estate.
It turns out that even the biggest financial experts do not truly understand derivatives. It's a large "unknown". Just recall Warren Buffett's letter to shareholders about his failure to unwind the derivatives portfolio of one of his newly acquired companies in the late 90s. He called derivatives a potentially lethal time bomb.
Estimates concerning the volume of the derivatives market range from 700 Trillion dollars to upwards of 1.5 Quadrillion dollars (including what is sometimes referred to as shadow derivatives).
Let's look at the sheer size of the numbers alone:
700 Trillion = 700,000,000,000,000
1.5 Quadrillion = 1,500,000,000,000,000

The size of the economy is at about 70 to 75 Trillion dollars (annual World GDP):
75 Trillion = 75,000,000,000,000

All it takes is one domino to bring down this house of cards (or inverted pyramid) and create a vortex that will suck all the value out of this scheme.

Imagine the epic blow to financial institutions around the globe if their balance sheets start to vaporize.
And then imagine what this will do to your personal financial situation.

Educate yourself, act and become self-reliant. Stay tuned to The Janssen Report!

Sources:

- Treasury Statement November 26, 2014: https://www.fms.treas.gov/fmsweb/view...
- China's gold: http://goldsilverworlds.com/physical-...
- Charles Hugh Smith (OfTwoMinds.com) on The Oil-Drenched Black Swan (3 parts):http://www.oftwominds.com/blogdec14/o...http://www.oftwominds.com/blogdec14/f...,http://www.oftwominds.com/blogdec14/o...
- "Official" statistics on total value of outstanding drivatives, source BIS Bank:http://www.bis.org/statistics/derstat...
- Derivatives risk and Warren Buffett: http://www.investopedia.com/articles/...
- Gross World Product (global domestic product): http://en.wikipedia.org/wiki/Gross_wo...
- Even Forbes.com on financial (derivatives) meltdown: http://www.forbes.com/sites/stevedenn...

Please share this video!

* More info on www.thejanssenreport.net *

Cheers!

Marco Janssen
www.thejanssenreport.net"

What Is Next: China’s 4-Way Global Gold Supply Domination Strategy.



"After we discussed the technical picture and cycle bottom call for Gold from Charles Nenner let's explore the Gold miners supply fundamentals and their new discoveries in the pipeline. The best cure from the low prices ... is  low prices. Exploration is put on hold and companies are high-grading now. Where the new supply for the China's appetite will come from?
  There are very few promising new discoveries are in the making now. Only the best projects will survive. And they need to find the strong partners to move forward now. David provides very interesting insight into the China's approach for acquiring the best projects, like - potentially, Barrick's Pascua Lama, as we have discussed before. I can only confirm the same trends from our own experience in International Lithium and TNR Gold. Read more."