RETIRE.FUND: Gold

Showing posts with label Gold. Show all posts

Friday, January 18, 2013

Achtung! Germany wants its Gold back, Schnell!!

This week the German Central Bank (Bundesbank) applied to repatriate its gold reserves from both the U.S. Federal Reserve Bank in New York and the French Central Bank in Paris. (Think they know something we don't?)
Wonder if they trust their Central Bank counterparts.....hmmmm...

On another international note, Japan is doing whatever it takes to downgrade the Yen at this writing. (Yea another currency joins the race to the bottom)

While you are contemplating that, here is an interesting Chart from Bloomberg detailing the price of gold in the year after U.S. Federal Elections.

If you dont own gold, may be you should buy some now!
ED

COM-2013-Post-Comeback-Gold-Stocks-01112013

COM-2013-Post-Comeback-Gold-Stocks-01112013

Monday, June 18, 2012

Physical gold and silver have been safe havens for 4,000 years!

As we sail into the uncharted waters of massive government debt around the world, one wonders how our children will deal with such debt as we are thrusting upon them by basically living beyond our means for most of the past 40 years. Our homes became our secondary bank, where you could dip into what seemed to be an ever increasing amount of home equity, every year to buy a new car, a boat, a vacation or whatever. No problem! Money was cheap and houses always increased in value. No more!

After a Trillion dollar meltdown in real estate, and trillions more squandered in a derivatives market which no one seems to understand, the major banks of the world stood on the brink in 2008, before governments came to the rescue. Now the question is, who will rescue the governments. Certainly not the insolvent banks who are still hiding Trillions of debt from the derivatives fiasco from their books and from share holders.

Governments, especially democratically elected ones, almost always take the path of least resistance when dealing with debt and deficits. It is, in most western democracies, political suicide to take a stand to say NO MORE, and begin austerity measures that might attempt to mitigate such huge debts. So, they push those debts down the road so to speak, and the road leads directly to our children and grand children, and it tremendously threatens their future well being, in every sense of the word.

In the U.S.A. for instance, the government is now showing a deficit of 15.4 Trillion dollars. This is, by any measure, a massive and mind numbing number, which will never truly be paid off. It is however, only a fraction of what the USA truly owes. When the future promises of medicare, and old age security are calculated into the mix, the number reaches over 202 Trillion dollars. As a stack of $1 bills, that number would reach our moon and back again, several times over. It is truly staggering, and it cannot be paid, unless of course, our governments instigate rapid and possibly hyper inflation.

At this writing, approximately 10,000 baby boomers will retire, every day, for the next 18 years!!!

With Europe on the brink of imploding, its currency soon to be an after thought, and the U.S. dollar (the usual go-to safe haven) building up to its own massive implosion, where could a lone investor turn for some sort of comfort! Well, where people have turned for currency comfort for the past four thousand years. To gold and silver, that's where!

In 1964 one gallon of gas cost approximately 25c in U.S. currency. Today, that same 1964 quarter will buy you even more gas than it did then. There is only one reason and that is the silver content of that coin. That was the last year those coins contained 90% silver content. (today the melt value of that quarter is about $7) Over the next few years the content was reduced and eventually completely eliminated from coins.

For the past ten years, gold has moved in lock step with U.S. Government debt.

Last year, the Chinese government began encouraging its citizens to add physical gold to their savings. For the past three years China has been buying more and more gold for its foreign currency reserves in lieu of American dollars (U.S. government debt, of which China still holds over $1 Trillion.)

You will hear great American investors like the venerable Warren Buffett chide that gold is a worthless investment that does nothing as you stand around guarding it. It is now a provable fact that, if Mr. Buffett could have sold all of his shares in Berkshire Hathaway stock in 2002 and just bought gold, he would now be 500% richer. How is that for holding value!!!

Today there are vested interests who will do whatever it takes to bring down the price of gold and silver, as their position in the financial world depends on it. Institutions like central banks and large banks such as J.P. Morgan, who have probably the largest silver short in history at present. Don't be fooled or afraid of these dealings. No one can hold back a river with a bucket brigade for very long. The flood is coming, bet on it!!

If you do not have physical gold and silver in your savings plan, then at least consider these thoughts. It may be the only way you will be able to leave value to your grand children as their generation is saddled with the most massive debt the world has ever witnessed.

HP

Thursday, April 12, 2012

Why savers should be saving gold and silver now!

Friday, September 23, 2011

Gold and Equities VS the U.S. Dollar - US Treasuries are not a safe place to be!

NEW YORK - JUNE 24: A trader works on the flo...

Image by Getty Images via @daylifeI know that, when everyone starts to panic, most investors see the U.S. dollar as a safe haven. This week investors are piling into U.S. Treasuries as they have in the past during past times of fear and uncertainty. The problems in Europe have shaken confidence and the market plumeted yesterday on those fears. It would appear that, what the market has not done, is price in any hopeful sign that the European Union might actually come up with a plan similiar to the U.S. T.A.R.P. plan, which, in hindsight, was very positive for U.S. stocks, and which did not lose any money for taxpayers in the long run. If the E.U. comes up with such a plan in the near term, there could be a dramatic pop in markets that are currently ruled by fear. There seems to be no pricing in of any good news that may eminate from Europe in the coming week(s).

In the mean time, the best "safe haven" of recent years, gold bullion, and by proxy, gold miners, have taken a beating this week. They have taken a beating only if you consider the price of gold over the course of the past month where bullion prices spiked as high as $1900. Compared to the rest of 2011, gold is still up a healthy 20% or more. It is only back to mid July prices. That, my friends, is a healthy pullback, not This is not 2008 all over again. The fear is overblown. It may well be 2009 all over again as equities test those "generational lows" once again. I know this may be a contrary view, when compared with many market followers, but if I am right, this is the time to take the advice of Warren Buffett who famously said "buy when all others are fearful".

I am a buyer right now. A buyer of select equities in tech and pharma. A buyer of gold miners. A buyer of top Lithium miners. A buyer of select Canadian banks. If things go lower, I will buy more. Today I doubled down on small and mid tier gold miners like San Gold, and Brigus Gold. I even bought speculative stocks like TNR Gold and Nautilus Minerals. I bought more Talison Lithium. I bought more Rodinia Lithium.

I like Cenovus Energy and Suncor in the oil sector, TD Bank, RBC and BMO in banking.
I even like Manulife Financial as they are trading at an all time low this week. I like solid Techs like Intel, Microsoft, Apple and Google. I am watching HP since they announced thier new CEO today, Meg Whitman. I think there are great buys out there, and I am taking advantage of the irrational fear as everyone runs to the not so safe haven of the U.S. dollar.

I do not like the prospects for the American dollar, the Euro or, for that matter, most fiat currencies. Gold is bought and sold by central banks around the world, and it would not surprise me to hear in the coming weeks that countries like Italy have sold some of their gold stocks to pay down debt. Certainly that would account for the current weakness in bullion prices, which will rebound as fiat currencies, including the USD once again, lose favor with investors.

No one has a crystal ball, least of all this writer. However, it is those investors who seize the moment, who most often come out ahead of the herd. I hope you are one of those.

Happy investing.HP

Saturday, July 23, 2011

The Global Physical Gold & Silver Reserves Race is the New Nuclear Arms Race

Gold Key, weighing one kilogram is used to acc...

Image via Wikipedia

Why it’s Still Buying Season for Gold and Silver Mining Stocks

July 21st, 2011

The old Cold War USA-USSR nuclear arms race has been replaced by the East-West Central Bank battle to accumulate physical gold and physical silver reserves. While Western Central Banks and their puppet bullion banks have distracted and goaded private citizens with the invention of fraudulent bogus paper gold and paper silver derivative products, including ETFs more recently, and paper futures contracts for a much longer period of time, they themselves have been making sure to avoid the very fraudulent paper products they have invented and have been diving headfirst into real physical precious metals.

As Central Banks continue to significantly devalue all major global currencies through excessive creation of new supply out of thin air in a digital world where “new money” is never even printed into paper/cotton form but only is created as digital bytes that are sent across international borders, the private families that are the majority shareholders in the world’s most powerful Central Banks have engaged in heavy buying of physical gold in particular, and to a lesser degree, physical silver. In 2010, Central Banks as a group, became net buyers of physical gold after two decades as net sellers. EU Central Bankers became net buyers of physical gold for the first time during the 1st Quarter 2011 since their introduction of the heavily flawed Euro into circulation in January of 2002.

As of April 2011, China was, according to “officially reported” statistics, the sixth-largest official holder of gold, with 1,054.1 tonness, according to World Gold Council estimates. The U.S. was still reported to possess the largest gold reserves at 8,133.5 tonnes. However, all of you know by now that I believe all “officially reported” statistics, whether the statistic is GDP, unemployment, inflation, or gold reserves, to be a charade and mockery of the truth. To this day I am highly skeptical of the US reported reserves of 8,133.5 tonnes, especially since these reserves have neither been independently audited nor independently tested to ensure that they meet good-for-delivery bar status since Dwight D. Eisenhower was the US President in the 1950s. As for China’s “officially reported” holdings of only 1,054.1 tonnes, anyone that takes these reported stats at face value as the truth is a fool for any number of logical reasons. One, China reported that its “official” gold holdings were a constant 600 tonnes from 2003 to 2009 and then reported that it had increased its holdings to more than 1,000 tonnes overnight in 2009. Since China lied about its gold reserve holdings for more than 6 years, one cannot and should not assume that their “officially” announced 1,054.1 tonne level was truthful. Since China made that announcement in 2009, their “official” gold reserve level has not increased at all.

Anyone that believes that China has not accumulated more gold, and lots of it, since that time, does not understand the Chinese government and Chinese bankers. Chinese bankers have been studying the best ways to invest in gold and silver for many years now in preparation for this global monetary war and they realize that one of the best ways to invest in PMs is to own the real thing. Furthermore, there are multiple mechanisms by which China could be secretly increasing their gold reserves out of the scrutiny of the public eye. In 2008, China replaced South Africa as the largest gold producer in the world, but nobody really knows exactly how much gold China produces or how many proven/ probable reserves or how much measured/indicated resources they own. Thus, China could be increasing gold reserves significantly on in-house production alone. Certainly we know that China is increasing its silver reserves through a policy of decreasing its domestic silver exports and increasing its foreign silver imports.

For example, last month, China’s General Administration of Customs reported that its net imports of silver nearly quadrupled year-over-year in 2010 to more than 3,500 metric tons. Also of important note is the fact that in 2010, China exported 1,575 metric tons of silver, 58% less than in 2009, and imported 5,159 metric tons of the metal, 15% more than in 2009. This is a huge change if one realizes that from 2005 to 2010 China transitioned from a net exporter of 2,900 metric tonnes of silver to a net importer of 3,500 metric tonnes.

From 2005 to 2010, China increased its gold holdings in its State Administration of Foreign Exchange (SAFE) more than tenfold from a very small starting point of USD $4.2 billion to USD $48.1 billion. However, China could be increasing gold (and silver) reserves significantly through purchases in its Sovereign Wealth Fund – purchases that are not made available for public inspection or consumption. For China to publicly announce their buildup of gold and silver reserves that would drive up the price of the very commodity they wished to accumulate more of would be akin to then-Chancellor of the Exchequer Gordon Brown’s foolish decision to pre-announce in 1999 that the UK would be selling half of its gold reserves.

Also of important note are the following facts. China only recently deregulated gold in 2003 to allow gold prices in China to mirror international prices. The Shanghai Gold Exchange only opened in October of 2002. In late 2009, the Chinese started making gold and silver bullion easily accessible to its citizens through introducing physical sales of multiple size bars at its banks and China finally legalized ownership of 99.999% pure silver bullion. The Chinese typically have a tendency to buy PHYSICAL gold and PHYSICAL silver, not the fraudulent paper gold and paper silver derivatives invented by bankers to suppress the price of gold and silver. For the first time ever, Chinese citizens will be able to buy silver futures in Hong Kong this week and later in Shanghai; however, since the Chinese are fond of owning Physical metals, perhaps even the majority of Chinese may settle these futures contracts with physical delivery. Furthermore, even when the option to buy gold and silver ETFs in China becomes a reality, the average Chinese citizen may shy away from these products due to his or her propensity for owning real gold and real silver.

For Asians in general, gold and silver have always been money. In Thailand, the word for money “ngen” is also the word for silver. In China, the word for bank combines the characters for “silver” and “movement”. In China not only is private demand strong AND relatively young, but even in India, private ownership of gold bullion bars was not legalized until 1990. Thus, the war between East and West over gold and silver will intensify in coming months and coming years. The objective of the East will be to release the gold and silver price from the clutches of Western price suppression schemes while the objective of the West will be to hoard gold in an attempt to prevent citizens of Western nations from owning the asset that will protect them the most from their currency devaluation schemes.

The current talk in the mainstream financial media about gold being a bubble at $1,600 an ounce and of silver having already reached its top of its long-term peak at $50 an ounce is simply rubbish. A bubble is never defined by high prices, the perception of high prices or even a decade long rise in prices. What defines a bubble is a meteoric rise in price that is not supported by fundamental reasons. For example, the US NASDAQ dot.com stock market was a bubble because dot.com stocks that had zero earnings were trading at impossible valuations and sometimes double and triple digit dollar values per share. However, the fundamental reasons that have driven gold from $250 to $1,600 and silver from $4 to its current $39 – $40 range are even stronger today than they were at the beginning of this precious metals bull. Therefore, it is impossible for a bubble in gold and silver to exist at their current prices and at this current time.
And for this reason, this is precisely why the global nuclear arms race has been replaced by a global physical gold race. Welcome to the new global war in precious metals.

About the author: JS Kim is the Managing Director of SmartKnowledgeU. SmartKnowledgeU now offers monthly subscriptions to our premium investment newsletter, the Crisis Investment Opportunities newsletter, an investment newsletter that has returned well over a cumulative 200% (on all opened and closed positions) since its launch in June 2007 to present day.

Thursday, June 2, 2011

Economies of U..S.A. and Canada on divergent paths!

According to the U.S. National Bureau of Economic Research, U.S. and Canadian job markets have struck a divergent path since December of 2007 when the recession in the USA began. This chart explains how divergent those paths have been in graphic terms.

At this writing, Canada has reproduced all of it's recession job losses and, in fact, has increased that number by 2%.

When the Canadian dollar was trading at .77 cents I wrote an article that basically told you to "hold on to your loonies". I reiteratted that sentiment over a year later when the loonie was trading at .97 cents to the usd again telling you to hold on to your loonies. Now, even with the Cannuck buck trading at over $1.04 usd I am reiterrating that same sentiment. Hold on to your loonies!

In the 1950's the Cannuck buck traded around $1.08 to $1.10 to the usd. I believe those levels will be reached again and will hold true for the forseeable future. There are many reasons for this opinion, not the least of which is the massive debt load of the U.S. and a number of it's states. The U.S. bond market is in for a financial tsunami at some point beyond when quantitative easing ends, and maybe before that time.

The U.S. has been, for the past year, buying up to two thirds (2/3) of all of it's own debt on the bond market. As that giant Kenseyian experiment ends, listen carefully for the underwater earthquake that could eventually spawn a Tsunami called hyper inflation.

Markets usually like inflation. Commodities like inflation. Even housing likes inflation and remember, the U.S. Federal Reserve always errs on the side of inflation. The problem is, once this Genie is out of the bottle, no one really knows where it will go, but it does not bode well for the usd.

Since commodities love inflation, and Canada is a country rich in almost every single commoditiy from water, to wheat, grains, cattle, oil, gas, gold, silver, lithium, diamonds, gypsum, lumber, seafood, coal, etc. etc look for the cad to strengthen, even from these levels. As two billion more people from China to India, Brazil, Russia and Indonesia join the middle class, the demand for all commodities will climb, and climb and climb.

Anyone who thinks the commodities bull market is over will miss out on huge upside. This lull is a buying opportunity and when everyone gets extremely negative over the next month or so, it will be even a better buying opportunity.

Look for Canadian interest rates to remain above U.S. rates, to rise slowly and strengthen the Cannuck buck.

Now remember, "hold on to your loonies"!

Happy investing.

HP

Friday, April 8, 2011

San Gold predicts 84% increase in output in 2011

San Gold Corp
www.SanGold.ca
TSX: SGR || OTCQX: SGRCF

Right: SanGold Rice Lake Mine.

Over the past year, the Share price of mid tier gold producer, SanGold, has gone from $5 to $2.52

That selloff was, in my humble opinion, way over done, and San Gold is primed to out perform in 2011 and beyond. In the past week alone, the company announced its production of gold is up significantly in Q1 and it has a new, rich discovery at the 007 property. Production has increased at their Rice Lake mine beyond the capacity of their mill, with an abundance of ore waiting to be processed.

This is not a small prospector, but a mid tier, producing gold miner, with two producing mines and processing capacity which has to be increased this year just to keep up with its own production of gold. To this point, management has been tilted toward an overwhelming technical and production expertise, while not taking advantage of marketing to best advantage. I believe this will change as new management takes the reins which has already begun.

Sangold highlights:

Two mines in production - Rice Lake and The Hinge. The Hinge went into production within two years of discovery.
The 007 zone has started bulk sampling.
Mill production approaching capacity as new ore development comes online.

Consistent growth and market appreciation since 2005.

Revenues tripled from 2008 to 2009 -- from $8.7M to $27.8M.
On track to double revenues again this year.(2011)

J.S. Kim, of Smart Knowledge - Investing in Junior Miners in 2011.

Image by slideshow bob via Flickr

Will Junior Mining Stocks Be THE Investment of 2011?

January 25th, 2011

If you think gold and silver as an asset class are severely misunderstood, and they are, then multiply that misunderstanding 10 times, and you will realize the level of misconceptions that exist around junior mining stocks.

The typical propaganda disseminated by bankers that surround gold and silver every single year when gold and silver corrections occur dominates the mainstream financial landscape right now. In fact, even though a rapid correction in gold/silver prices and gold/silver mining stocks is normal behavior at least twice a year, for every single year of this 9-year gold and silver bull, every single correction and consolidation phase has elicited chatter from the same financial shills about the end of the precious metals “bubble”. And amazingly every year, the mainstream financial media grants them a platform to spread their disinformation to confuse investors.

Last year, when gold dipped from $1,421 an ounce to $1,332 an ounce in just 6 trading days in November, an analyst I spoke to in Asia told me that he would not buy gold until after the bubble completely burst and that he would consider buying gold when it reached $600 an ounce. I believe that he is still waiting to buy today.

You may feel that this is an odd time to write a piece about one of the riskiest sectors in the precious metal investment class, especially as gold and silver prices continue to plummet in the futures markets but the proper time to buy, of course, is when fear is high and prices are low.

Buy Physical Gold and Physical Silver Through a Commercial Bank and You May End Up With a Vault Full of Air

Image via Wikipedia

December 2010 By - J.S. Kim the editor of Smart Knowledge University.

Recent news this week again proves that bankers are among the largest charlatans in the universe. First Jim Rickards reported that a Swiss bank refused to deliver roughly $40 million of gold bullion to a wealthy client for 30 days and only finally physically delivered his gold when the client brought in his lawyers and threatened to take his story to Reuters and other syndicated financial news networks.

Then later this week, James Turk reported that he is aware of another individual that has been trying to take physical possession of approximately $550,000 of silver for two months now from a Swiss bank with zero luck. Turk further elaborated that the bank has been trying to pressure the client into accepting the cash equivalent market value of the silver rather than deliver the physical silver to the client. In both of these cases, I presume that neither of these Swiss banks ever held allocated gold and silver for their clients or if they did, had then leased out the gold/silver or sold the same gold/silver to multiple clients, and thus were forced to stonewall their clients until they could secure the physical metal. Why else would a bank take 30 days to deliver something that was supposed to be sitting in a vault in an allocated account?

Gold or Coal for your Christmas, Retirefund Stocking?

Image by Jenn and Tony Bot via FlickrThis Christmas, should you put more gold in your Christmas stocking, or will a lump of coal actually increase your retirefund.

Well, if the choice is between the Euro and gold, I say gold, hands down!! If the choice is between the U.S. dollar and gold, I still say gold. However, there is a growing chorus singing the praises of dirty old coal, as a solid, short term (6-12 month) investment for your retirefund, possibly, even better than gold.

TNR Gold Corp, has many irons in the fire, and many reasons for us to like its stock in 2011!

While Sarah Palin busies herself with TV shows about Alaska, Junior gold miners are staking claims from Alaska to the Yukon as Gold prices head toward $1500 per oz and beyond.

Here we highlight one such stock, TNR Gold Corp.

Canadian dollar - Hold on to your Loonies Canada!

The Canadian dollar went to parity last week for a short time before dropping back to the .99 cent U.S. range. It dropped another half cent later in the week to around .985 US.

This surge and short pull back can be easily explained in the context of the U.S. dollar. Essentially, it is dropping, like a stone, in the face of more quantitative easing (QE2) on the agenda of FED chairman Ben Bernake.

Gold, Lithium and Rare Earth Metals, all in Penny Stock, TNR Gold Corp.

TNR Gold Corp is preparing, to spin off it's wholly owned subsidiary, International Lithium Corp, in an IPO at the end of Q3. TNR owns 14 properties on three continentents in gold, Lithium and Rare Earth Elements or REE's.

All this, and on Friday, it was trading at a measley .17 per share.
Yes it is a penny stock. Yes it is a junior. Yes it is speculative.
However, at only .17 per share this stock has enormous potential.

The "Gold" in TNR Gold Corp. is actually Lithium!

If you are interested in investing in pure lithium plays then be aware of the upcoming IPO for International Lithium corp (ILC) You should also be aware of the parent company, TNR Gold Corp and it's holdings on three continents. It currently has a .20 cent stock price, owns 100% of International Lithium corp and it plans to enrich it's share holders through the spinoff of the pure lithium company.

Basically, if you own TNR Stock, you will automatically own the Stock of ILC when it is spun out in Q3 this year. You will continue to hold all of your TNR stock and you will automatically get 1 share and 1 warrant (can be exchanged for shares) in ILC for every 4 shares you own of TNR. You will own both companies, at a very cheap price.

This is a story we think will make money for us as we are accumulating TNR stock at the .20 cent price.
(PS: If you took our advice on July 8th on Salares Lithium, then you are welcome to the 98% you will make on that stock as Talison Lithium of Australia, the biggest supplier of lithium into the Chinese market, buys Salares, but hold on to those shares, as the new entity will be much more valuable in 2 months)

The lowdown on TNR:
TNR Gold Corp (TNR-TSX-v)
We think TNR is the "sleeper" in the Lithium space and it is currently flying under the radar of most investors. TNR Owns 16 gold, copper, Lithium, and REE properties in Nevada, Canada, Argentina and Ireland.
More importantly, TNR "owns 100% of International Lithium Corp"which it will spin off in an IPO.
ILC owns 9 Lithium brine properties in Argentina, Nevada, and Canada, while TNR will retain it's gold, copper and rare earth deposits in Canada and Ireland as well as one Lithium play in Argentina. TNR may actually be the best "short term" play in the sector as it prepares the IPO for International Lithium Corp. as owners of TNR stock will automatically own stock and warrants in International Lithium when it is spun out next month. (one share and one warrant for every 4 shares of TNR) Thereby owning "both" companies after the IPO next month.

Institutional Holders of TNR stock include some serious players:
Barrick Gold, Pinetree Capital, Tocqueville Fund, Solitario, and NovaGold.

Research Notes: TNR Gold Corp
Projects of TNR Gold Corp

On the lithium front, International Lithium holds 17 highly prospective lithium and rare metals projects.
Most notably, the Mariana project is a large 120 squared kilometer lithium brine project wholly owned by ILC to ensure all aspects of the resource can be controlled. Situated in one of the most prolific lithium producer region of Argentina (bordering Chile), past sampling over approximately 3 km returned values from 188 to 283 mg/L lithium, and 423 to 698 mg/L boron. ILC crew is currently completing a grid-sampling program, hydrogeologic, and structural studies on the salar to generate a 43-101 Technical Report.

Remember, I told you about Salares Lithium "before" the take over by Talison. If you "waited" to see what would happen with Salares, you missed the first double. (However you should hold on as we believe it will double again this fall)

Now I am telling you about TNR Gold Corp.

You could wait, again, but that could be hazardous to your retirefund!
HP

Wednesday, May 19, 2010

Greece! It has less people than the city of Los Angeles! Now ask yourself, is U.S. cash a trap waiting to be sprung

Image by Steve Rhodes via Flickr

The Euro is suffering because of the initial reluctance of the EU countries to take action regarding the Greek debt crisis. A devaluation of the Euro is overdue, and necessary. It will actually strengthen the Euro's trade deficits over time, and bring prosperity (eventually) But forget Portugal, Ireland, and Spain. In the greater scheme of the international markets, they are small fry.

However, it is the eventual devaluation of the U.S. dollar that should have Americans much more concerned. Beware of what is happening in California, Florida, Illinois, Ohio, Michigan, North Carolina, New Jersey and even Texas. These states have all spent over 1 billion on their unemployed alone, bankrupting their unemployment budgets. They also have between 13.7 and 17% unemployment, huge debts and deficits, and in some cases, housing prices have been cut in half.

Like the "Pigs" of Europe, these states also cannot print their own money, thereby inflating their way out of the current malaise. As the PIGS of Europe are having a huge, negative impact on the Euro, these states, (the HUGE federal debt notwithstanding) will have the same affect the U.S. dollar. It is a certainty. The only question is, how long can "king dollar" (as Larry Kudlow likes to call it) remain king. It currently is only king because there are no princes in waiting (as regards other world currencies). So, is "Prince Gold" quietly mounting a coup against the King. How about "King Commodity" who is somewhat weakened right now, but will be gathering strength as 2010 progresses.

Many developing countries, including China, India, Indonesia, Russia, South Korea, Brazil etc. are already looking to gold as a substitute for the prominence of the U.S. currency. Many individual investors and fund managers in these countries and throughout the west, have also moved into gold and commodities as a hedge against the demise of the usd. Some have recently added the Canadian and Aussie dollar to their international currency accounts as these two countries are considered "commodity rich"!

Whether they are right or wrong, sentiment is what moves the market. Anyone who thinks that gold, oil, uranium, titanium, natural gas, copper, diamonds, platinum, palladium, REE's or Lithium are not good places to put your money in this environment, just isn't paying attention. We are taking advantage of the current market disarray and buying these commodities

The U.S. dollar is a bubble waiting to explode into hyper inflation. Cash is a trap waiting to be sprung, and the current downturn is just that, a downturn that was expected and somewhat welcome by smart investors. Being in cash at the beginning of May was smart. Being in cash in June won't be.

Sunday, January 17, 2010

A new, world class, gold deposit is born!

(Update-March 5th 2010 _ Apollo gold is "in play" after latest drill results - MSN Money)

I have been high on Apollo Gold since I first bought the stock at .45 several months ago, and have been doing home

work ever since. Earlier this month, I sold some APG at .51 to finance the purchase of more Wilan Technologies. I believe that these two companies have enormous upside potential in the short to medium term. That is why I bought more Wilan and bought back into Apollo Gold last week.

Apollo Gold is set to release it's latest core results from it's Grey Fox site near Timmons Ontario. This site is now tied into their already producing "Black Fox Mine" which will produce around 100,000 oz in 2010. Apollo also bought the Pike River property which connects Grey Fox and Black Fox and which has a rich history in itself.

gold analysts currently have Apollo Gold as a strong buy and I couldn't agree more. It is still trading in the .45 range per share (for now). Those analysts, and this writer believe it is better priced in the short to medium term somewhere between $2 and $3.50 and I believe this may even be too conservative.

Because of it's current production at Black Fox, and it's great core drill results at Grey Fox coupled with it's acquisition of Pike River, we believe it is a world class deposit in the infancy stage. Once the bigger dogs in the gold business get more familiar with the numbers and drill results, we think Apollo will be a takeover target in 2010. In that case, all bets are off and the target price goes straight up.

One note of caution is that Apollo hedged 30% of it's production at $867 per oz, in early 2009, however, this will not keep shoppers at bay nor should it keep you from making some money on Apollo Gold.

Previous Article: Apollo Gold

APG.T

Latest Analyst Report:

J. Taylor - The Au Report - "Apollo Gold has enormous upside potential and has one of the highest potentials for capital appreciation relative to risk involved. We think this company's Black Fox Mine, from which management expects to produce more than 100,000 ounces this year, represents the beginning of a world-class gold mining operation in the making. We say that on the basis of upside exploration potential not only on the producing Black Fox Mine but also on the basis of drill results from the Grey Fox and historical data from the Pike River Property, which Apollo recently acquired from Newmont. With Apollo currently trading at only 42% of NAV, enormous growth in earnings and cash flow starting to take place, enormous upside potential with regards to resource/reserve base and attributable production, Apollo is a perfect takeover target"!

APG.T AGT-Nasdaq

Update, Feb 17th 2010 - Great drill results at Grey Fox
Update, Mar 5th 2010 - Great drill results at Pike River

RETIRE.FUND

Friday, January 18, 2013

Achtung! Germany wants its Gold back, Schnell!!

Monday, June 18, 2012

Physical gold and silver have been safe havens for 4,000 years!

Thursday, April 12, 2012

Why savers should be saving gold and silver now!

Friday, September 23, 2011

Gold and Equities VS the U.S. Dollar - US Treasuries are not a safe place to be!

Saturday, July 23, 2011

The Global Physical Gold & Silver Reserves Race is the New Nuclear Arms Race

Thursday, June 2, 2011

Economies of U..S.A. and Canada on divergent paths!

Friday, April 8, 2011

San Gold predicts 84% increase in output in 2011

Tuesday, January 25, 2011

J.S. Kim, of Smart Knowledge - Investing in Junior Miners in 2011.

Will Junior Mining Stocks Be THE Investment of 2011?

Monday, December 20, 2010

Buy Physical Gold and Physical Silver Through a Commercial Bank and You May End Up With a Vault Full of Air

Friday, December 17, 2010

Gold or Coal for your Christmas, Retirefund Stocking?

Thursday, December 2, 2010

TNR Gold Corp, has many irons in the fire, and many reasons for us to like its stock in 2011!

Sunday, October 17, 2010

Canadian dollar - Hold on to your Loonies Canada!

Sunday, September 26, 2010

Gold, Lithium and Rare Earth Metals, all in Penny Stock, TNR Gold Corp.

Tuesday, July 13, 2010

The "Gold" in TNR Gold Corp. is actually Lithium!

Wednesday, May 19, 2010

Greece! It has less people than the city of Los Angeles! Now ask yourself, is U.S. cash a trap waiting to be sprung

Sunday, January 17, 2010

A new, world class, gold deposit is born!

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