GOLD PRICE
World gold price is expected to back down
LONDON. The contract price of gold is predicted to return dropped for a second day in London. At 09:38 London time, the contract price of gold for quick delivery fell 0.3% to U.S. $ 1,813.68 per troy ounce. Meanwhile, the contract price of gold for December delivery fell 0.5% to U.S. $ 1,816.80 per troy ounce on the Comex, New York.
Easing of anxiety-related European stock markets boosted demand for gold as well as trim as an alternative asset. "The statement issued by the leadership of Germany and France related to Greece to help ease the anxiety will default to Greece so as to encourage action to buy on the stock market," explained Nick Trevethan, a senior commodities strategist at Australia & New Zealand Banking Group Ltd.
Even so, Trevethan predict, gold prices could climb back to the level of U.S. $ 1,900 if it is approaching U.S. $ 1,850.
Just for the record, a record price of gold is created on September 6 at the level of U.S. $ 1,921 per troy ounce. This year is the year that the bullish gold-11 as investors move to diversify its investments from the stock market and currency markets. It is not surprising, because the price of gold has surged 27% this year, outpacing the global stock market surge, commodities, and government securities markets.
Showing posts with label international. Show all posts
Showing posts with label international. Show all posts
Thursday, September 15, 2011
Sunday, February 27, 2011
U.S. dollar would fall?
Now Ben Bernanke - the U.S. central bank chief - is printing money to restore the economy. But soon, he will most likely be printing money to finance government spending only bigger.
When investors finally realized what was happening, they immediately would reduce the ownership of their dollars and U.S. bonds. As a result, the longer the Fed would print even more money to cover the U.S. deficit until ... the dollar falling faster than the U.S. central bank's ability to print new money.
Basically, the Federal Reserve is doing a really dangerous game, which can threaten the stability of world financial system. Once the toothpaste is already out of the tube, are very difficult to enter them again.
When investors finally realized what was happening, they immediately would reduce the ownership of their dollars and U.S. bonds. As a result, the longer the Fed would print even more money to cover the U.S. deficit until ... the dollar falling faster than the U.S. central bank's ability to print new money.
Basically, the Federal Reserve is doing a really dangerous game, which can threaten the stability of world financial system. Once the toothpaste is already out of the tube, are very difficult to enter them again.
Friday, February 25, 2011
United States broke
Until the 1970s, the United States is the world's largest creditor. Then in the mid-1980s the U.S. became a debtor and ... since the late 1990s is the world's LARGEST DEBTOR.
This means that the U.S. government owes more money than any other country in the world. Except when additional government debt is eventually solved by raising taxes and controlling spending, only two options left: default (inability to meet obligations) or high inflation.
But the U.S. is almost impossible to pay off debt with higher taxes because it would cause a second Great Depression or a second Great Depression. So the only way to overcome the advantages of this debt is through a devaluation of U.S. dollar is superb.
According to Economists Joshua Aizenman and Nancy Marion, inflation helped reduce U.S. government debt from 122% to 25% of GDP from 1945 to 1973. So do not be surprised if the Fed (U.S. central bank) decided to continue with monetary easing for the U.S. government continue to finance its deficit.
Conclusion: The apparently quantitative easing to infinity or PRINTING MONEY without limits is the best solution at this time. But investors are still advised to remember that the U.S. government can only print money on an ongoing basis during the U.S. dollar remains the world's reserve currency. If not, we will witness a remarkable collapse of major currencies in the world.
This means that the U.S. government owes more money than any other country in the world. Except when additional government debt is eventually solved by raising taxes and controlling spending, only two options left: default (inability to meet obligations) or high inflation.
But the U.S. is almost impossible to pay off debt with higher taxes because it would cause a second Great Depression or a second Great Depression. So the only way to overcome the advantages of this debt is through a devaluation of U.S. dollar is superb.
According to Economists Joshua Aizenman and Nancy Marion, inflation helped reduce U.S. government debt from 122% to 25% of GDP from 1945 to 1973. So do not be surprised if the Fed (U.S. central bank) decided to continue with monetary easing for the U.S. government continue to finance its deficit.
Conclusion: The apparently quantitative easing to infinity or PRINTING MONEY without limits is the best solution at this time. But investors are still advised to remember that the U.S. government can only print money on an ongoing basis during the U.S. dollar remains the world's reserve currency. If not, we will witness a remarkable collapse of major currencies in the world.
Tuesday, February 8, 2011
Americans began to cut the budget in 3 departments
NEW YORK. United States (U.S.) would be economical poured funds for the community. Debt continues to rise, making the U.S. must cut its budget in several departments.
Today, White House Budget Director Jacob Lew said, President Barack Obama gives the choice difficult for Congress to cut the state budget. Threatened budget cut is the program's budget environment, development and services for the poor.
"Pruning is not an easy thing, we have to do something previously considered can not be done," said Jacob.
Fiscal 2012 budget submitted next February 14 will be cut in a number of headings. Among U.S. $ 350 million in the Department of Health and Human Services. U.S. $ 125 million in the Environmental Protection Agency and U.S. $ 300 million in Department of Housing and Urban Development.
Trimming worth U.S. $ 775 million from the three courses are only a small part of a larger plan of trimming. "We have to choose which programs do not require much funding. It is a difficult choice, because of budget cuts in one department may be impacting into many sectors," Jacob sighed.
End of 2010 the U.S. debt was recorded more than $ 14 trillion. Since 2008, the trend of increasing debt has reached U.S. $ 1 trillion every 7 months. In comparison, from 2002 to 2008 increased by U.S. $ 1 trillion just happen in 20 months. While the 1995-2000 period increased by U.S. $ 1 trillion happen in the next 5 years.
Gross Domestic Product or GDP the U.S. is now almost equal to the amount of debt incurred. In fact, the Congressional Budget Office (CBO) provides estimates of the deficit in 2011 amounted to U.S. $ 1.5 trillion. Thus, the debt is predicted to exceed U.S. GDP this year.
Nico Omer Jonckheere, Vice President, Research & Analysis Valbury Asia Futures said the deficit is predicted to reach 5% -10% of GDP over the next few years. "Even if the U.S. economy does not recover, this condition will continue," he said. If GDP growth between 3% -4%, meaning the amount owed is almost always faster than bigger economic growth.
Today, White House Budget Director Jacob Lew said, President Barack Obama gives the choice difficult for Congress to cut the state budget. Threatened budget cut is the program's budget environment, development and services for the poor.
"Pruning is not an easy thing, we have to do something previously considered can not be done," said Jacob.
Fiscal 2012 budget submitted next February 14 will be cut in a number of headings. Among U.S. $ 350 million in the Department of Health and Human Services. U.S. $ 125 million in the Environmental Protection Agency and U.S. $ 300 million in Department of Housing and Urban Development.
Trimming worth U.S. $ 775 million from the three courses are only a small part of a larger plan of trimming. "We have to choose which programs do not require much funding. It is a difficult choice, because of budget cuts in one department may be impacting into many sectors," Jacob sighed.
End of 2010 the U.S. debt was recorded more than $ 14 trillion. Since 2008, the trend of increasing debt has reached U.S. $ 1 trillion every 7 months. In comparison, from 2002 to 2008 increased by U.S. $ 1 trillion just happen in 20 months. While the 1995-2000 period increased by U.S. $ 1 trillion happen in the next 5 years.
Gross Domestic Product or GDP the U.S. is now almost equal to the amount of debt incurred. In fact, the Congressional Budget Office (CBO) provides estimates of the deficit in 2011 amounted to U.S. $ 1.5 trillion. Thus, the debt is predicted to exceed U.S. GDP this year.
Nico Omer Jonckheere, Vice President, Research & Analysis Valbury Asia Futures said the deficit is predicted to reach 5% -10% of GDP over the next few years. "Even if the U.S. economy does not recover, this condition will continue," he said. If GDP growth between 3% -4%, meaning the amount owed is almost always faster than bigger economic growth.
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