The world discovers the price of commodities via the futures market, where different commodities can be bought and sold almost 24 hours a day. Each transaction represents a contract, at the end of which, the underlying commodity has to be physically delivered or settled in cash. This price discovery mechanism makes complete sense to find the market value of commodities, but utterly fails for Gold and Silver.
Continue reading How and why the futures market misrepresents the true value of Gold and Silver
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It is widely believed that the European Union and the Euro have brought prosperity and economic growth to Europe, but I am here to contend that there is nothing further from the truth, and that the mainstream definitions of recession and depression are inadequate at best and deceptive at worst.
Continue reading Is Europe undergoing a decade long inflationary depression?
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Silver is widely regarded by the mainstream and financial media as a mere commodity and its true value is often unacknowledged. Silver has been dubbed “The indispensable metal” in virtue of its physical properties and conductivity.
Continue reading Four different approaches to measure the price of Silver
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Gold is regarded by pundits, financial advisors and mainstream commentators as a commodity, and evaluated as such. However, in the humble opinion of Yours Truly, Gold is an asset with intrinsic value, constant marginal utility and no counterparty risk, making it money and not a commodity. And this begs the question, how should we value and trade Gold if we consider it to be a currency?
Continue reading Six different approaches to measure the price of Gold
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