Ideas and analysis on money, markets and the world around us.
This article looks at the likely consequences of the Bank for International Settlements’ introduction of the net stable funding requirement (NSFR) for bank balance sheets, insofar as they apply to their positions in…
Read the articleIn last week’s report it was suggested that a test of recent support levels of $1800 for gold and $27 for silver could not be ruled out. A small pull-back did materialise, with gold falling $22 at one point, before…
Read the articleBasel 3 is on course to regulate the LBMA out of existence. And with it will go all the associated arbitrage business and position-taking on Comex, because most bullion bank trading desks will cease to exist. The only…
Read the articleThis week, gold convincingly challenged and overcame the $1800 level and silver shot through the $27 barrier. From last Friday’s close, gold rose by $51 to trade at $1820 in European morning trade, while silver rose…
Read the articleThere is a growing recognition in financial circles that price inflation will increase significantly in the near future, and official estimates that it will be a temporary phenomenon limited to an average of 2% are…
Read the articleGold and silver were little changed on the week, with gold at $1769, down $8 from last Friday’s close in early morning European trade, while silver was at $25.95, down 4 cents. The last trade date for Comex gold and…
Read the articleAs well as financing escalating government deficits, central banks face an additional problem of replacing contracting bank credit to the non-financial private sector if a slump is to be avoided. The problem comes at…
Read the articleGold and silver continued to rally in lacklustre trading this week, and our headline chart shows that silver has now regained the losses since the start of the year, while gold is still 6% under water. In morning…
Read the articleThe oil price crash on the back of the COVID-19 lockdowns has accelerated the coming supply crunch. Both national and international oil companies have slashed CAPEX and maintenance spending, which will accelerate…
Read the articleThis article explains why attempting to achieve economic outcomes by managing interest rates fails. The basis of monetary interventionist theories ignores the discoveries of earlier free-market thinkers, particularly…
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