The Case for Gold
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PLEASE NOTE THAT THIS INFORMATION EXPRESSES THE VIEWS AND OPINIONS OF SEABRIDGE GOLD MANAGEMENT AND IS NOT INTENDED AS INVESTMENT ADVICE. SEABRIDGE GOLD IS NOT LICENSED AS AN INVESTMENT ADVISOR.
Tailwinds Driving the Gold Market
Read MoreShift in Speculative Gold Positioning Suggests Transition to Bull Market
The positioning of traders on COMEX appears to be shifting in a manner that supports a significant change in sentiment and price direction. The Speculators are moving from net short to net long, which was the key factor driving price this month.
Tumbling Bank Stocks Point to Problems in the Financial System?
Banks stocks continue to perform much worse than equities generally as this graph of the ratio of BKX to the S&P 500 index shows. BKX is an index of large US bank stocks.
Credit Markets Betting Against the Fed?
On December 16, the Federal Reserve raised interest rates for the first time in nine years. Such an important move deserves close analysis. In her news conference of the 16th, Janet Yellen staked her rate hike decision on inflation expectations... that the potential for "overheating" in the economy "requires" modest monetary "tightening" now.
US GDP Shocker Another Blow to Fed Credibility
The Federal Reserve wants you to believe that the US economy is strong enough for it to normalize its interest rate policy. And the stock market wants to believe that it has tripled since the bottom in March, 2009 because the US economy is strengthening and will soon achieve 'escape velocity'.
Gold Investors Watching Bank Stocks
A healthy financial system is generally not a positive for gold. Rising investor confidence in banks typically runs in parallel with greater risk tolerance and less interest in gold, which is the preferred home for the risk averse.
Fed Credibility at Risk as the Economic Illusion Begins to Vaporize
As we have frequently stated, the current state of financial markets — including a gross over-valuation of financial assets and an unsustainable debt load — is deeply dependent on the belief that the Federal Reserve knows what it is doing and is able to stimulate economic growth.
Gold on the Brink of a Breakout?
There is now a lot of data to suggest that the gold rally we have called for is now close at hand. The supporting data is of three kinds: the structure of the gold market; the reaction of markets to the Fed rate hike last week and the performance of the US economy.
COT Update: the Shorts Bring Lots of Rocket Fuel to a Nascent Gold Rally
As discussed previously on these pages, the COMEX Commitments of Traders (COT) report published weekly by the CME is one of the best indicators for the western speculative sentiment that tends to drive gold prices in the short term. The report for the week ending Tuesday, December 1, 2015 made a very bullish situation even more so.
Trader Positioning Signals Potential Rally in Gold
As discussed previously on these pages, the COMEX Commitments of Traders (COT) report published weekly by the CME is one of the best indicators for the western speculative sentiment that tends to drive gold prices in the short term. The report for the week ending Tuesday, November 24, 2015 is among the most bullish ever.
Sentiment Indicators Support End to Gold Correction
As discussed previously on these pages, the COMEX Commitments of Traders (COTs) published weekly by the CME is one of the best indicators for the western speculative sentiment that tends to drive gold prices in the short term.