Silver and the Miners Wait Patiently for Gold - David Brady (13/12/2019)

Dec 13 16:12 2019 Print This Article

December 13,2019

The Fed surpasses expectations for more QE

to address potential liquidity issues in the repo market around year-end. This

means interbank funding issues are getting worse, requiring ever more stimulus.

Meanwhile, Trump announces a phase one trade deal with China “in principle”,

which means nothing substantive has been agreed whatsoever. Yet, the stock

market eats it up and we head to new highs. Meanwhile, the bond market takes a

hit, with the 10-year yield rising back up to 1.95%.

It is no surprise that Gold, despite

setting a marginal higher high yesterday, ended the day near its low.

Silver didn’t fare much better, although it

did close up slightly for the day and relative to the previous close.

Miners did not escape the pain but still

continue to outperform the metals. The clear standout recently has been SILJ,

Read More

About Article Author

Sprott Money

Established in February 2008, Sprott Money Ltd. is a leading precious metals wholesale, institutional and retail dealer selling gold, silver and platinum bars, coins and wafers online and over the phone. Sprott Money's storage program gives clients the ability to store their precious metals in multiple storage facilities located in Canada, the United States and internationally. Sprott Money Blog, which covers world events, geopolitics and of course precious metals.

Related Items

Ahead of the January FOMC - Craig Hemke (28/01/2020)

January 28, 2020 Much of the talk surrounding gold thus far in 2020 has focused upon geo-political and pandemic risks. While all of this is relevant to price in the short-term, the discussions being held by the Fed's FOMC this week will have a much more durable impact. At this point, I wouldn't exp ...

Tech Talk for Tuesday January 28th 2020

Pre-opening Comments for Tuesday January 28th U.S. equity index futures were higher this morning. S&P 500 futures were up 21 points in pre-opening trade. Index futures were virtually unchanged following release of December Durable Goods Orders at 8:30 AM EST. Consensus was an increase of 0.3% versu ...

Taleb: What Size Tail Does the Smart Money Bet On?

Statistician/philosopher Nassim Nicholas Taleb critiques “behavioral” economics and finance as he looks at the differences between “binary forecasts” and “real world payoffs,” in a recent paper for the International Journal of Forecasting. Much of the argument will be familiar to those w ...

Wednesday: FOMC Statement and Press Conference, Pending Home Sales

Wednesday:• At 7:00 AM ET, The Mortgage Bankers Association (MBA) will release the results for the mortgage purchase applications index.• At 10:00 AM, Pending Home Sales Index for December. The consensus is for a 0.5% increase in the index.• At 2:00 PM, FOMC Meeting Announcement. No change to ...

Gran Tierra Energy Inc. Announces 2019 Year-End Reserves and Operational Update

Achieved 200% 1P Reserves and 101% 2P Reserves Replacement Added 25.3 MMBOE of 1P Reserves Primarily in the Company’s Four Core Assets Under Waterflood Increased 2P Net Asset Value per Share to $6.28 Before Tax and $4.54 After Tax CALGARY, Alberta, Jan. 28, 2020 (GLOBE NEWSWIRE) — Gran Tierra ...

Sweet Spot for Gold’s Fundamentals

Gold cannot lose this year. Let me explain. The most bearish points for Gold (aside from a blowoff in inflation) are when an economic recovery gains traction or when the Fed raises rates to combat inflation. All three scenarios entail stable or rising real interest rates and, therefore, no investm ...

CBO Projection: Annual Budget Deficit to be above 4% GDP for the Next Decade

Remember the promise that the 2017 Tax Cuts and Jobs Act (TCJA) would "pay for itself", and that the current administration would reduce the deficit? Hoocoodanode? ("Who could have known?",Popularized by my former co-blogger Tanta!)The Congressional Budget Office (CBO) released their new The Budget ...