Monday, March 31, 2014

Continuing holding Gold in yen and euro terms

Prisoners were not taken yesterday as gold, silver and platinum came under pressure, with only the ‘Russian sanctioned’ prospects for palladium keeping that metal firm. We, however, have no intention of changing our positions: we are long of gold in yen and euro terms and we shall remain that way.

Certainly we would prefer seeing gold trading better, but the fact that it has held the $1,300 level [and] well above its lows made months ago in yen terms, and has even held above the more recently lows made in euro terms, has impressed us and should impress others.


Via http://www.fastmarkets.com/north-america/73041-0-en

Wednesday, March 26, 2014

Dennis Gartman on Russian war potential

Things are indeed growing disconcerting. They shall almost certainly grow worse and the West has underestimated the seriousness of Putin’s intent to restore the former Soviet ‘empire’ to one that is Russian.

See more at: http://www.fastmarkets.com/gold-news/72641-0-en#sthash.0LNQ9hVD.dpuf

Tuesday, March 25, 2014

Gartman: Gold chart going higher quietly

Dennis Gartman thinks gold is going higher quietly in terms on Dollars, Yen, Euro and Chinese Renminbi.


"For the moment at least, the fear of war in Russia has been alleviated. But it's not eliminated. It's just been alleviated, and it was the fear of war that sent gold prices higher in the first place."

"Any incursion by the Russians into mainland Ukraine, while unlikely, but remotely possible, would send gold soaring. The chart is going from the lower left to the upper right."


via http://www.cnbc.com/id/101504625

Monday, March 24, 2014

Dennis Gartman on Russia and Mr Putin

Dennis Gartman has an idea on how the US White House can counter Russia's Mr Putin:

The smartest thing they can do to counter what Mr. Putin is doing is to fight him on the one weapon he has, which is oil. 

You could send oil down sharply and do very real damage to the Russian economy.




via CNBC 
http://www.cnbc.com/id/101518252

Tuesday, March 18, 2014

Dennis Gartman on Doctor Copper

"We'll argue that Dr.Copper is not sending a signal to the world of impending economic weakness but is instead sending a signal to the world that the banking system in China has very real problems."

"We suspect that some banks have already called in their loans made in this manner, and that what we've seen in the past week is the first layer of that loan unwinding; however, there is no way to quantify that notion and we offer it up as it stands, without hard data. However, our fear is that the last banks in … the smaller banks; the regional banks; the banks that are always last to the feeding trough … are still holding copper collateralized loans that have gone from badly performing to horrid to now deeply under water in the matter of days. Panic liquidation has set in; the margin clerks are in charge and it is then that prices make their lows, but there is no way to tell when or where and at what prices those loans shall be finally liquidated."


story via http://www.cnbc.com/id/101488168

Monday, March 17, 2014

Dennis Gartman interview on Russia Today



Watch from minute 4:50 to hear Dennis Gartman interview with Erin of RT

Friday, March 14, 2014

Gartman on March 2014 Jobs report

Dennis Gartman on why the last jobs report in March 2014 is a non event:

"We draw only that weather was and is a huge effect upon the numbers and we suspect that the Fed shall pay little if any heed to these figures when they meet next week, casting them all off as weather affected and turning their attention to other concerns."


via - http://www.fastmarkets.com/gold-news/72298-0-en

Thursday, March 13, 2014

Gartman to cover Long Gold/Short Copper trade

Gold and the precious metals are weak, but they are demonstrably less weak than are the base metals, with copper leading the way lower. The economic news out of China has laid waste to copper prices.

We shall then move to cover our long gold/short copper trades upon receipt of this market given that copper traded just below the supposed obscene number of $3.00 earlier today but has since rebounded.


via http://www.fastmarkets.com/gold-news/72298-0-en

Wednesday, March 12, 2014

Copper is weak, short or go to sidelines



Copper is weak. Watch the video above on copper trade, and potential for China to run trade deficits for several years.

Tuesday, March 11, 2014

Crop demand to beat expectations

Everybody knows there's going to be a big crop. Farmers like to plant corn. Three to four million acres of corn land should go into soybeans, but probably won't. I suspect the crop is going to be fairly good sized, but I think demand is going to be shockingly better than people anticipate. It's not making new lows. 

You learn in the business of trading that when something doesn't go down on bearish news, especially when something goes up on bearish news, you probably ought to be bullish on it.


http://www.midwestproducer.com/news/markets/market-forecaster-corn-soybeans-wheat-hogs-up-sharply/article_2cd96f76-a87c-11e3-8990-001a4bcf887a.html

Thursday, March 6, 2014

Gartman on Bitcoin's Mt Gox collapse

We have never been fans of Bitcoin, believing it to be nothing more than a scam of the first order and a breeding ground for drug dealing and tax evasion. 

We have pled with our clients around the world not to become involved with Bitcoin in any form or fashion, but even we are stunned by the announcement that the Bitcoin exchange, Mt. Gox, has gone bankrupt... or soon will... proving once again our old adage that "There is never just one cockroach.”

Mt. Gox had delayed paying out trading profits and/or holdings of cash or of Bitcoins themselves in recent weeks, blaming problems on technical circumstances... upon “server” problems... or upon other technical irregularities. Now it is being reported that Mt. Gox has suffered the theft of several hundred thousand of its deposited Bitcoins and that the theft took place a year or more ago and is only now coming to light. 

Others are already trying to fill the void left by Mt.Gox’ demise, but we shall again urge caution and in most instances shall counsel utter and complete avoidance of all things Bitcoin related.

We fear that even if these other “exchanges” can take the place of Mt.Gox, the damage done by this company’s failure shall be a pox upon the entire enterprise. Avoid Bitcoin if you can, for even if these other exchanges succeed, we can only suspect that participation in Bitcoin speculation shall eventually call the IRS attention upon those involved even in a modest way, and no one needs that attention. A word to the hopefully wise!


via  http://www.businessinsider.com/gartman-mtgoxs-collapse-is-a-pox-on-bitcoin-2014-2

Wednesday, March 5, 2014

Not expecting any major reductions of Fed accomodation

I don't see any major reduction in accommodation that the Fed is pushing into the system. We are far from tightening; we are still aggressively easing, with $65 billion still going into the system between each FOMC meeting. Yes, that's down from $85 billion, but still, those are massive injections of reserves into the system. 

The Bank of Japan is doing even more than the Fed. 

Tuesday, March 4, 2014

Gold in yen terms down only 2 percent

Over the course of the last several years, as gold in dollars is down something like 35% from its high, gold in yen is down only 2%. I think that's interesting.

If you think that the monetary authorities in Europe are going to be tighter, are going to be more hawkish than are the monetary authorities in the United States, you probably would not want to own gold in euros. You probably want to own gold in terms of dollars or in terms of yen. If you think the monetary authorities in Japan are going to expand the supply of reserves of yen faster than the European central bank, or the Fed here, or the Bank of Canada, or the Bank of England, then you would want to own gold in yen-denominated terms. 

Monday, March 3, 2014

Gartman: Buy some Corn

Corn looks like it's made its lows. If you look at it—the news has been, or was, egregiously bearish, and yet corn didn't make a new low. Corn actually, on the day of a very bearish crop report, opened limit down, closed limit up. That's the kind of activity that makes a bottom. 

If you have to buy something, go buy some corn.