Second leg of the new bull market in gold?
Q: Is the current up-move the start of the second leg of the new bull market in gold?
A: Yes, our research indicates an inflection point is taking shape. February 28 may see gold select a direction north or south of 1256 according to Martin Armstrong and we concur based on our own calculations.
Q: Of the Market Mavens what have we been hearing lately about the price of gold?
A: Many market mavens have been in the press lately, here’s a short re-cap: according to Michael Belkin we’ve started the base of the second leg of the bull market in gold. Now’s the time to go long in gold and silver shares. However, Jim Rogers is forecasting a new low under $1,000/ounce needs to happen before we find the bottom price.
Marc Faber has recently expressed the view that the stock market could continue to rally, despite being over-valued by standard metrics. This is because the International investor has no place better to go. Gold will participate in this rally, which is projected as a crack-up boom.
David Stockman provides us with the most insightful information, based on his being an insider at the highest level, in both politics and finance, he is unique in this regard; he tells the truth. The real workings of what is happening in the markets is more akin to a casino, filled with high frequency trading pools and day traders, all of whom will make a rush for the exits and move to safety into precious metals. Timing to be determined but the March 15th date is looming as the crescendo of emotional concern (aka panic) due to a Government debt ceiling.
Former White House Budget Director David Stockman drops a bomb in his latest interview by saying, “I think what people are missing is this date, March 15th 2017. That’s the day that this debt ceiling holiday that Obama and Boehner put together right before the last election in October of 2015. That holiday expires. The debt ceiling will freeze in at $20 trillion. It will then be law. It will be a hard stop. The Treasury will have roughly $200 billion in cash. We are burning cash at a $75 billion a month rate. By summer, they will be out of cash. Then we will be in the mother of all debt ceiling crises. Everything will grind to a halt. I think we will have a government shutdown. There will not be Obama Care repeal and replace. There will be no tax cut. There will be no infrastructure stimulus. There will be just one giant fiscal bloodbath over a debt ceiling that has to be increased and no one wants to vote for.”
Photo-credit: Thomas Hawk via Visual Hunt / CC BY-NC
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