Marin Katusa: Winter is Coming, How Investors Can Win in the 'Colder War'

The Energy Report: Your book, "The Colder War," is based on the idea that world domination will come through control of the energy economy, and that Russia is winning the fight. How is Russia using the petrodollar to achieve energy supremacy?

Marin Katusa: Under the leadership of President Vladimir Putin, Russia has reestablished itself as the alternative to the American superpower. Putin has aligned himself with nations like China to work in concert against U.S. interests globally. Furthermore, a new bank formed by the BRICS countries Brazil, Russia, India, China and South Africa will attempt to assert itself as an alternative to the International Monetary Fund.

The Colder War will be a long battle, just like the first Cold War, but in the Colder War, judgment day of the petrodollar will be the critical battle. One must understand global politics and the Colder War to be a successful investor in the energy sector.

TER: What is China's role in this struggle? Continue reading "Marin Katusa: Winter is Coming, How Investors Can Win in the 'Colder War'"

Don't Get Ruined by These 10 Popular Investment Myths (Part IX)

Interest rates, oil prices, earnings, GDP, wars, peace, terrorism, inflation, monetary policy, etc. -- NONE have a reliable effect on the stock market

By Elliott Wave International

You may remember that after the 2008-2009 crash, many called into question traditional economic models. Why did they fail?

And more importantly, will they warn us of a new approaching doomsday, should there be one?

This series gives you a well-researched answer. Here is Part IX; come back soon for Part X.

Myth #9: Inflation makes gold and silver go up.

By Robert Prechter (excerpted from the monthly Elliott Wave Theorist; published since 1979)

This one seems like a no-brainer. The government or the central bank prints more bonds, notes and bills, and prices for things go up in response. Gold is real money, so it must fluctuate along with the inflation rate.

Once again, it doesn't happen that way. Let's examine the history of inflation and the precious metals since the low of the Great Depression.

Inflation occurred relentlessly from 1933 to 1970, yet gold and silver remained unchanged over the entire time. True, the government fixed the price. But markets are more powerful than any government, and if the market had wanted precious metals prices higher, it would have made them go higher. Continue reading "Don't Get Ruined by These 10 Popular Investment Myths (Part IX)"

Weekly Futures Recap With Mike Seery

We've asked Michael Seery of SEERYFUTURES.COM to give our INO readers a weekly recap of the Futures market. He has been Senior Analyst for close to 15 years and has extensive knowledge of all of the commodity and option markets.

Michael frequently appears on multiple business networks including Bloomberg news, Fox Business, CNBC Worldwide, CNN Business, and Bloomberg TV. He is also a guest on First Business, which is a national and internationally syndicated business show.

Gold Futures

As I talked about in yesterday’s blog I am telling investors to remain neutral as I do believe gold prices will remain choppy to lower for the rest of 2014 as prices rallied $9 to trade around $1,200 per ounce as extreme volatility has entered this market and I think today’s price action was very impressive due to the fact that the U.S dollar was up over 50 points which is generally very bearish precious metals, however China cut their interest rate pushing many commodities prices higher. Gold futures are trading above their 20 but below their 100 day moving average moving higher despite the fact that the ECB looks like they’re going to utilize more stimulus which is remarkable in my opinion as I do think if the U.S dollar continues to move higher eventually that will be very bearish gold prices so sit on the sidelines as you do not want to trade a choppy market. This market is extremely volatile with big up price swings and down swings so avoid and move on to a trendy market like the S&P 500. Volatility in gold is amazing lately with many days of a $30 – $50 trading range which is incredible going into the holiday season, however if you remember last year gold’s low was near December 31st and we opened up the next day around $20 higher and I think the same thing will happen because of the fact that stock sales which are losers are sold to offset winning trades come the month of December so I still look for another leg down but still would sit on the sidelines at the current time.
TREND: NEUTRAL
CHART STRUCTURE: POOR
Continue reading "Weekly Futures Recap With Mike Seery"

How To Avoid The Mistake Most Investors Are Making

By: Brad Briggs of Street Authority

It finally ended...

The Federal Reserve recently announced that it would end its third (and possibly final) round of quantitative easing (QE).

This brings to close the $1.7 trillion that was pumped into the economy in this round alone. October marked the last month of the $15 billion in monthly bond purchases -- down from $85 billion when QE3 started in 2012 -- and ends the nearly six-year bond purchasing program.

You can see what the program has done to the balance sheet of the Federal Reserve:

The central bank's bond purchasing program has sent the stock market soaring... and hopefully you've been able to capitalize on this tremendous bull market. Continue reading "How To Avoid The Mistake Most Investors Are Making"

Goldzilla

"History shows again and again how nature points out the folly of man" – Blue Oyster Cult, Godzilla

I would have written off the gold sector long ago in its ongoing bear market had I thought for one moment that gold's utility as insurance against the acts of monetary madmen/women in high places had been compromised in any way. On the contrary, the monetary metal is simply having its price marked down in a bear market while its value, especially given its current price and all that has gone on in the financial system over the last 3 years remains just fine.

Indeed gold, an element dug out of the ground for centuries, once as money and now as a marker to sound money systems will one day be shown to be a calm oasis from the fallout to global monetary shenanigans currently ongoing. At least it would be an oasis to those who have valued it as such. It is going to feel like a giant dinosaur (minus the kitsch value) ripping through a city built on paper to the multitudes who have taken the bait on the current too big to fail global inflationary operations. They will fail. Timing is the only question. Continue reading "Goldzilla"