Sydney Gold Traders pay great prices for your unwanted gold, silver, platinum and fine jewellery

Now check the price to see if you want to sell your things:

31-Aug-2015 Everyday Sydney Gold and Silver Prices

Gold Price $1583/oz, $50.89/g
Silver Price $20.36/oz, $0.65/g

Call us 02 9231 2535 or go to Sydney Gold Traders to find out more live gold and silver price. Or just bring your gold, silver , jewelry to Shop. Let us test and evaluate them for you.

Sydney Gold Traders
Suite 12A, Level 5 the Dymocks building
428 George Street
Sydney 2000

Phone: 1300 550 118 or 02 9231 2535 (business hours AEST)

For the past 15 – 40 years, debt and prices in most markets have moved upward, broadly speaking, in exponential trends. See the following log-scale graphs. US T-Bonds: T-Bonds have been rallying in their bull market since the early 1980’s. Will they continue, correct, or crash? Doug Noland says it is “The Beginning of the Great Global Unwind.” See chart. Doug Noland: “I really fear for the unwind of the ‘global government finance Bubble’ – the grand finale of a multi-decade period of serial bubbles. It’s history’s first systemic global Bubble, encompassing the world’s Credit systems, securities markets and monetary systems more generally.” bonds_1984_August_2015

bonds_1984_August_2015

Corn: Since the late 1990s corn prices have increased in an erratic exponential pattern. Corn prices are currently way below trend. Deflationary forces push it downward but devaluation of currencies will push it upward. corn_1984_August_2015 corn_1984_August_2015 Dr. Copper: It has the same basic pattern as corn and sugar (not shown). copper_1984_August_2015 copper_1984_August_2015 Silver: Silver prices increased exponentially since 2001, peaked in April 2011 at more than double the exponential trend price (as drawn), and crashed to about half the exponential trend price. silver_1984_August_2015 silver_1984_August_2015 The Message from the Markets Paper markets such as T-Bonds and the S&P 500 have been levitated by central bank “money printing,” government support, and the inevitable devaluation of fiat currencies built into the structure of the financial system. Paper markets move higher – exponentially – as currencies devalue and reset or crash to lower levels, and then repeat. “Buy for the long term” works if you buy the lows and lighten up at the highs. Few people succeed. NOW is NOT the time to buy most stocks, while NOW is the time to buy silver and gold. However, few people will transfer their digital currencies into physical metal, and most will regret not doing so. Commodity markets increase in price due to the same devaluation of currencies that propels paper markets higher. They also fall when global economies weaken, or when countries manipulate commodity prices lower (e.g. crude oil) to damage the economies of enemies. These tactics have been used for decades – and will continue to be used by global governments. But people and economies need commodities such as silver, copper, crude oil, and sugar. Devaluations, manipulations, supply, demand, taxes, HFTers, and government legislation can push prices far higher and lower for years. Perhaps some commodity prices will stay low for a while longer, but remember:

  1. Central banks heavily influence the supply of money and will inflate their currencies. The exponential increases in prices will continue unless we devolve into a deflationary depression that overwhelms the considerable efforts of central banks to inflate.
  2. Central banks fear deflationary forces and will inflate and devalue their currencies to avoid deflation.
  3. Politicians will spend and borrow, and create exponentially increasing debt which increases the money supply and devalues their currencies.
  4. Silver and gold act like commodities but also as monetary metals. When economies, stock markets, and bond markets become unstable due to excess leverage and overly optimistic valuations (like now), when people, hedge funds, and institutions become fearful, they want real assets, like gold and silver, not debt based paper that can devalue rapidly. A trickle of demand for silver and gold can quickly become a flood based on fear and worry.

GENERAL CONCLUSIONS Economic policies that devalue currencies and create inflation … will create inflation. Yes, it is stupid but central banks and governments everywhere use the same flawed thinking. How are those policies working for people in Venezuela, Argentina, and Ukraine today? Is it conceptually different in Greece, Russia, the UK, Japan, or the US? Silver prices are currently low compared to global debt, CEO bonuses, government spending, official US national debt, the S&P 500 Index, silver prices in 2011, money in circulation, gold prices, military spending, pension underfunding, and the prices of college tuition and health care. Silver prices will increase substantially in the next five years. If a government subsidizes butter, it will get more butter. The US government, and many others, currently subsidize social welfare spending, food stamps (SNAP), poverty, disability income, corporate welfare, military adventures, dependence upon government, media propaganda, financial corruption, medical expenses, Medicare, congressional corruption, and so much more. Expect more of the same. The consequences of most of the above will directly or indirectly increase silver prices over the next five years. Thought Experiment: Place a few assets in a virtual time capsule that you will open in the year 2020. Do you want gold coins, silver bars, paper dollar bills, a stock index ETF certificate, a junk bond issued by an insolvent “fracking” company, Apple stock certificates, Venezuela Bolivars, Russian Rubles, junk silver coins, or Hillary 2016 campaign buttons? In 2020 we will recognize that the value of silver coins, silver bars, and gold coins has increased substantially compared to the other options. Invest and purchase financial insurance, such as silver and gold, accordingly.   Original Article 

Gold prices rose to a fresh seven-week high on Monday, as the meltdown in financial markets intensified.

The price of the yellow metal gained more than 4% last week amid a global sell-off of equities and commodities. The upward momentum in gold prices began the previous week when China devalued its currency, the yuan. And, last week the release of the minutes from the Federal Open Market Committee (FOMC) meeting left market watchers unsure about an interest rate rise in the US in September, adding to uncertainty caused by China’s devaluation of the yuan. This in turn, as well as a number of other factors, including falling prices of other commodities, have led investors to turn to gold.

Last Wednesday, the Federal Reserve released its minutes of its July meeting, and they revealed that the economy is nearing but not quite ready for an interest-rate increase. The chance of a rate hike by the Fed in September is rapidly fading. And, while it seems that the markets might still be pricing in more than 50% chance of a December hike, some economists are already predicting that the Fed will delay any rate hikes till next year.

Global investors are on edge following last week’s and yesterday’s sell-off. The carnage impacted equity markets in Asia, Europe, and the U.S.

The sell-off in the Chinese stock market sent shockwaves across the globe in what some are calling “Black Monday.” The Shanghai Composite index fell by an additional 8.5%. It was the largest single-day loss for Chinese stocks since 2007.

In Japan, the Nikkei dropped 4.6% and entered a correction (a correction is when an index or a stock falls 10% from its high). The STOXX Europe 600 Index, Europe’s version of the S&P 500, plunged 5.3%. In Germany, the DAX fell almost 6%, while French stocks lost 7%. In London, the FTSE 100 traded down by 6%. The German stock market is now in an official correction.

The Dow Jones Industrial Average plummeted more than 1,000 points in early trading, but later pared much of this loss to settle at around 500 points lower.

Meanwhile, the S&P 500 was down 21.53 points at that time, at 1.946.25 points. According to Reuters, all 10 major sectors on the index fell, and more than 90% of its stocks were in correction territory at their session lows.

Emerging markets are suffering even more. India’s stock market lost 5.9% overnight. Brazilian stocks were trading 4.7% lower. The MSCI Emerging Markets Index, which follows the stock markets of 23 developing nations, entered an official bear market two weeks ago.

The global sell-off also pounded the prices of commodities, which were already at multi-year lows. The price of copper hit a new six-year low. And oil plunged 3% lower. It’s now trading for under $39 a barrel. Reuters reports that oil is having its longest streak of weekly declines since 1986.

While main-stream media are quick to blame China for the sell-off, and even though the Chinese economy may be slowing down dramatically, one must not forget that the prices of global stocks were already artificially high due to the monetary policies of the major central banks. What happened in China was merely the catalyst for the long overdue correction.

Today, China cut interest rates for the fifth time since November and lowered the amount of cash banks.

The People’s Bank of China (PBoC) reported that the one-year lending rate will drop by 25 basis points to 4.6% effective Wednesday, while the one-year deposit rate will fall a quarter of a percentage point to 1.75% And the required reserve ratio will be lowered by 50 basis points for all banks to cover liquidity gaps.

My guess is that the move may halt the market slide for now, but it is unlikely to solver the underlying problem.

More than $5 trillion have already been wiped out from the value of global stocks since China unexpectedly devalued the yuan. The panic intensified at the end of last week, when U.S. equities, which had remained relatively stable, tumbled as investors dumped the biggest winners of 2015.

While Monday’s global meltdown has investors wondering what’s next, unfortunately, the future doesn’t look too bright — at least not in the short term. While we may see some temporary relief, I think there is more downside to come. And, now the sell-off is also raising questions about the US Federal Reserve’s anticipated interest rate hike.

Some market participants believe the U.S. central bank could postpone raising interest rates until December, as officials are likely to remain concerned over weak global growth and inflation pressures.

The Financial Times states that it reduces the chances that the central bank will raise rates next month, “and could even spur it to keep them on hold until 2016.”

Amidst this carnage, gold held firm and topped $1,170 at its peak yesterday to hit fresh six-week highs. Although its run lost some steam, this short-term pullback only represents liquidation as investors sell gold to cover stock losses

Meanwhile demand for gold remains extremely robust. Data from the Swiss customs bureau showed that Switzerland’s gold shipments to India more than tripled in July compared to the month of June while exports to China and Hong Kong fell.

Swiss gold exports to India totalled 69,393 kg in July, the data showed, against 21,493 kg in the previous month, helping drive total exports to a four-month high of 164,665 kg, up 67% month-on-month.

Combined shipments from Switzerland, a major refining, processing and storage centre for precious metals, to China and Hong Kong eased to 27,920 kg last month, their lowest since August and down 13% from June, the data showed.

As I have mentioned on many occasions, the monetary expansion since the recession has done little to stimulate economic growth. All it has done is to artificially prop up the prices of global equities and bonds. The bubble created by the actions of central bankers is now beginning to burst.

The economic and financial turmoil rumbling through the world economy is only going to deteriorate as concerns about the world economy intensify. While stocks continue to fall, gold prices will rise.

With gold about to enter its seasonal bullish period and a myriad of problems erupting across the U.S. and global markets, now is the time to play it safe with your portfolio. Make sure you have some physical gold and have it stored out of the banking system.

On Sunday, June 29, the Associated Press ran the following headline: “Greek Banks will not open Monday.”

After a lengthy cabinet session, it was decided that Greek banks would remain closed for 6 working days, along with restrictions on cash withdrawals. In addition, financial sector officials confirmed the Athens Stock Exchange would not open the following week.

ATM withdrawals were capped at 60 euros ($66) per day. Web bill-paying banking was allowed, but moving money out of the country was prohibited. A side notice reported that Greeks could not remove cash from safety deposit boxes.

A Goldseek.com column at the time commented presciently that “the convenience of ease of access to a local safe deposit box can be offset by the fact that governments and banks can lay claim to their contents at the stroke of a pen. It would be unwise to view Greece as an exceptional case.”

Greeks who paid attention were aware months beforehand that a “bank holiday” could be in the cards. But for most people (ourselves included?), there is an inertia in the human condition. It tends to express itself as “deer in the headlights,” a feeling of being overwhelmed, or just plain denial.

According to the Financial Times, “Greek deposits are guaranteed up to €100,000, in line with EU banking directives…” But with few deposits over €100,000 left in the banks after six months of capital flight, an analyst quipped, “it makes sense for the banks to consider imposing a haircut on small depositors as part of a recapitalization… It could even be flagged as a one-off tax.”

One bank spoke of withholding (stealing) at least 30% on deposits above 8,000 euros ($8,800). This is known as a bank “bail-in,” and it’s a scheme that our own FDIC now has at the ready to rob depositors if needed in the next crisis.

Think it can’t happen here? Think again.

The Cyprus accountholder “haircut” two years ago paved the way for what’s taking place now in Greece… and for what could take place HERE in the near future. Many observers regarded Cyprus as a “test case” to see how the public would react – a first attempt for such a procedure in a public setting.

Right into the weekend, politicians and bankers said everything was under control. However, bank employees and others “in the know” were getting their funds out. Then, on Sunday, the powers that be revealed their true intentions – closing for a “bank holiday” and taking “bail in” money from account holders whose balance exceeded a certain amount.

The stated rationale was that most of the money to keep the banks solvent was taken from illegally sourced Russian accounts.

But the recently revealed truth is that much of the penalty theft fell upon British, French, Germans, and Cypriots – many of whom had been building retirement accounts for decades.

Public shock about what happened in Cyprus blew over fairly quickly. Meanwhile, others – the U.S. (2010), Canada (2013), and the EU (2014) – either had already passed similar banking “bail-in” language or proceeded to add it soon thereafter.

Right now, YOUR bank almost certainly limits what you can withdraw per day. It establishes conditions wherein it can refuse to let you have your own money “without good reason.” It even allows for a “bail in” in the event the bank could not otherwise remain solvent.

And banks are now starting to tell customers what they can and cannot keep in a safety deposit box.

Welcome, involuntary shareholders!

You have now become an involuntary “shareholder” in your bank – potentially obligated to help fund their mismanagement through crippling loss of your capital. That a European analyst would dare say in public that “it makes sense for the banks to consider imposing a haircut on small depositors as part of a recapitalization…” should be a shock to your financial core.

In 2013, one of Mexico’s wealthiest industrialists, Hugo Salinas Price (born in Pennsylvania), wrote an open letter to the Greek government suggesting issuance of a one-tenth ounce silver unit. It would circulate alongside the country’s primary currency – be it the euro or a re-issued fiat Drachma. The un-denominated silver coin, which he proposed naming the “Owl,” would have a guaranteed never-to-be- reduced valuation, set daily by the central bank.

Several years ago, Price proposed that Mexico introduce a one-ounce silver coin, the “Libertad.” As with the Owl, it would circulate as a parallel currency to the Peso, priced initially at about 15% over spot. Even though every Mexican state representative voted Si, the central bank refused to mint and issue it!

The best line ever from The Magnificent Seven…

Perhaps you’ve seen a 1960 western – now available in stunning Blu-ray format – titled The Magnificent Seven. Starring Yul Brunner, Eli Wallach, Charles Bronson, and Steve McQueen, it chronicles a group of hired gringo gunslingers employed in a Mexican village. They work for little pay in order to rid the town of a band of outlaws who periodically swoop down from the hills, robbing the unfortunates of most of their food and meager finances.

In an immortal line that so poignantly speaks to the coming events for many Americans, the bandit chief, Calvera (Wallach), responds to the Seven’s leader, Chris (Yul Brunner) when he expresses concern about the peasants’ plight:

“If God had not meant them to be shorn, he would not have made them sheep!”

This, folks, may be your fate, lest you take steps soon to acquire sound money in the form of precious metals. That portion of your wealth represents survival insurance – and yes, even potential profit.

Gold and silver bullion are free of counterparty risk and provide protection from the ravages of incompetent, untrustworthy financial houses, cynical politicians, and government agencies at all levels. Like the bandit leader in the movie, all they want from you and yours is “Just a little bit more.”

As the global and domestic situation continues to unravel, will you be an eagle – or a sheep?

Sydney Gold Traders pay great prices for your unwanted gold, silver, platinum and fine jewellery

Now check the price to see if you want to sell your things:

28-Aug-2015 Everyday Sydney Gold and Silver Prices

Gold Price $1566/oz, $50.34/g
Silver Price $20.23/oz, $0.65/g

Call us 02 9231 2535 or go to Sydney Gold Traders to find out more live gold and silver price. Or just bring your gold, silver , jewelry to Shop. Let us test and evaluate them for you.

Volatility has dominated the marketplace — with U.S. stock markets opening surprisingly lower Monday on concerns over China’s weak economy — and has made many investors question who is to blame for the uncertainty. According to Dr. Doom, rating agencies and investors should be taking the heat.

“Recent market volatility – in emerging and developed economies alike – is showing once again how badly ratings agencies and investors can err in assessing countries’ economic and financial vulnerabilities,” famed economist Nouriel Roubini said in a column for Project Syndicate. Roubini

“Ratings agencies wait too long to spot risks and downgrade countries, while investors behave like herds, often ignoring the build-up of risk for too long, before shifting gears abruptly and causing exaggerated market swings.”

Roubini noted that fingers are often pointed at politicians or banks in times of financial turmoil, but rating agencies and analysts “who misjudged the repayment ability of debtors, including governments, have gotten off too lightly.”

The famed economist said the issue is that ratings agencies’ processes are often backward-looking and downgrades occur too late.

“Moreover, ratings agencies lack the tools to track consistently vital factors such as changes in social inclusion, the country’s ability to innovate, and private-sector balance-sheet risk,” he added.

He noted that given these concerns, investors and regulators have tried to find alternatives like sovereign interest-rate spreads and credit default swaps, which have largely failed.

“Indeed, the recent sudden rise in market volatility suggests that [investors] are as bad as rating agencies at detecting the early warning signs of trouble,” Roubini said.

After shocking markets with a lower opening price Monday on concerns over China’s economy, U.S. stocks surged Thursday, experiencing the biggest rally since 2011. The Dow was last up 1.35%, or 219.49 points, while the S&P 500 Index was last up 1.47% on the day.

In order to properly assess a country’s macro investment risk, Roubini suggested that analysts require looking “systematically at the stocks and flows of the national account to capture all dangers, including risk in the financial system and the real economy, as well as wider risk issues.”

Based on Roubini’s assessment, using China as an example, he said if the country continues to rely on leverage to stimulate growth; the world’s second-largest economy will fail to achieve its targets and become more fragile over time.

What the global economy needs is “an approach that removes the need to rely on the ad hoc and slow-moving approach of ratings agencies and the noisy and volatile signals coming from markets,” he said.