Global Mining Investing $69.95, 2 Volume e-Book Set. Buy here.
Author, Andrew Sheldon

Global Mining Investing is a reference eBook to teach investors how to think and act as investors with a underlying theme of managing risk. The book touches on a huge amount of content which heavily relies on knowledge that can only be obtained through experience...The text was engaging, as I knew the valuable outcome was to be a better thinker and investor.

While some books (such as Coulson’s An Insider’s Guide to the Mining Sector) focus on one particular commodity this book (Global Mining Investing) attempts (and does well) to cover all types of mining and commodities.

Global Mining Investing - see store

Click here for the Book Review Visit Mining Stocks

Download Table of Contents and Foreword

Thursday, March 19, 2009

Fed decides direction of the market

The US Federal Reserve has signalled the next move in the market. From herein we are looking at a sustained period of USD weakness, which in the short term will mean a strong gold prices. In fact all precious metals will perform well, particularly silver, and of course commodity based currencies.

The Fed has announced its intention to spend $300 billion on long-term Treasurys.The Fed is of course the bank of all banks, and the fact that it is taking this path of "quantitative easing" shows that it recognises that it cannot hope to pay its debt, so its going to sustain spending by refloating the economy on a sea of paper money. The impact of course is to delute the value of the USD. This is however not just US policy. This is an organised campaign by all central banks around the world in similar straits. We can see a pattern of 'cohorts' supporting each others 'fairytale' monetary policy. This is what evil government does. On the one hand they offer you lower interests, with the other hand they (the banks) restrict your ability to get a loan, no matter how good your credit rating. Banks are no longer in the lending business, they are in the speculating business.
On the one hand they are offering you tax cuts, on the other hand they are increasing the tax rate through inflation. Bracket creep will very quickly see you paying the top marginal tax rate.
This is not just the US Fed Reserve and US government, these policies are supported by a number of foreign central banks. Sorry but Obama is no different. But don't feel bad you really didn't have a choice. They are all bad. The system is rotten.

The "quantitative easing" will increase the volume of dollars in the financial system (i.e. increase money supply), and of course that action will eventually feed into inflationary expectations. You cannot fake reality. So when they pretend to be surprised when inflation shows up in a few months, you can cynical sigh that it 'was meant to be'.

The US Federal Reserve is not the only central bank to take such steps. The British and Japanese central banks have already announced that they would purchase their respective government debts, while the Swiss National Bank is selling its francs to weaken its currency.

Gold responded as we expected - up $17/oz overnight, closing at $US956.95. I might add that gold also found support at the $880/oz level as expected.

There are a number of ways you can gain exposure to gold:
1. Derivatives such as options, Contracts for difference, futures
2. Gold mining stocks
3. Funded emerging gold producers
4. Exchange traded funds (ETFs)

The gold holdings of the world's largest gold-backed ETF, the SPDR Gold Trust, rose to a record 1,084 tons on March 18, up 1.4% in a single day. Silver holdings in the world's biggest silver-backed ETF, iShares Silver Trust, rose 1.3% on Wednesday. People might talk about "an ebb in demand for gold in India", but trust me its not going to be Indian consumers driving gold to $2,000. Its going to be speculative investment in the financial capitals. People like me have been talking about this day for 10 years. This is it - the wave has crest. Don't be shy - your time is here. Jump up on that surf board because the Fed sharks are in the water. Just let them drown in their own paper money.

India gold demand also ebbed on Thursday as traders said prices were too high. Demand should pick up in mid-April to May as the wedding season begins. Other precious metals tracked gold higher, also benefiting from the weaker dollar. Spot silver surged to $13.68 an ounce, its highest since Feb. 26. It was last at $13.45/52 an ounce from $12.88.
For more information on precious metal investments - see our Commodities and Speculative Equities blogs.
Andrew Sheldon
Post a Comment

Japan Foreclosed Property 2015-2016 - Buy this 5th edition report!

Over the years, this ebook has been enhanced with additional research to offer a comprehensive appraisal of the Japanese foreclosed property market, as well as offering economic and industry analysis. The author travels to Japan regularly to keep abreast of the local market conditions, and has purchased several foreclosed properties, as well as bidding on others. Japan is one of the few markets offering high-yielding property investment opportunities. Contrary to the 'rural depopulation' scepticism, the urban centres are growing, and they have always been a magnet for expatriates in Asia. Japan is a place where expats, investors (big or small) can make highly profitable real estate investments. Japan is a large market, with a plethora of cheap properties up for tender by the courts. Few other Western nations offer such cheap property so close to major infrastructure. Japan is unique in this respect, and it offers such a different life experience, which also makes it special. There is a plethora of property is depopulating rural areas, however there are fortnightly tenders offering plenty of property in Japan's cities as well. I bought a dormitory 1hr from Tokyo for just $US30,000.
You can view foreclosed properties listed for as little as $US10,000 in Japan thanks to depopulation and a culture that is geared towards working for the state. I bought foreclosed properties in Japan and now I reveal all in our expanded 350+page report. The information you need to know, strategies to apply, where to get help, and the tools to use. We even help you avoid the tsunami and nuclear risks since I was a geologist/mining finance analyst in a past life. Check out the "feedback" in our blog for stories of success by customers of our previous reports.

Download Table of Contents here.

'Buying Philippines Property – Download a free sample chapter!

The Philippines property market remains one of the strongest in Asia thanks to rising incomes, rising population and rapid rates of urbanisation. The administrative reforms of the Arroyo government have given way to improved administration under Aquino. ASEAN countries can be expected to achieve even greater price gains than Western markets, demonstrating that this super cycle is far from over.

Buying Philippines Property 2010
- Download the table of contents or buy this 2-volume eBook at our online store for just $US19.95.

Investment Strategy

If you are investing for the long term, you still need an investment strategy. Dont be fooled by the rhetoric of fund managers. The reason they advise you to 'buy & hold' is because they dont want to compete with you in sell-offs. Markets and industrial sectors are cyclical, so they demand trading to get the best returns. Fund managers actually cant hope to match the performance of small investors (if you are half good) because they have to manage huge amounts of funds and charge you a fee besides.
MY ADVICE is (i) look at a range of market indices and decide upon what level of correction would give you the justification you need to get in & out of the market. It might be a 5-10% retracement or a break of trend. (ii) Diversify if you dont have an intimate knowledge of the company or management. More than 30% in one company is aggressive.

'Buying NZ Property – Download the free sample readings!

The NZ property market is shaping up as one of the most attractive property investment markets for the next few years. High yielding property and the collapse of the NZD make NZ the perfect counter-cyclical investment if you buy right! In addition, there is no capital gains tax, transfer taxes, VAT/GST or wealth taxes in NZ, so rest assured that NZ property is tax-effective! Learn more now!

New Zealand Property Report 2010 - Download the table of contents or buy this report at our online store for just $US19.95.