Even gold – which set a record high USD terms overnight – will not be immune. In fact, any time you see something making record highs, a correction is not far away. With gold, investment demand (as a hedge against bad monetary policy) is pushing the price up.
June 9th, 2010 | Dan Denning | 90 comments | ContinuedAll Posts Tagged With: "asset deflation"
The Collapse of Complex Asset Values
In the name of “stimulus” and “recovery” and to supposedly correct the excesses of the market, none of the normal free market mechanisms to punish the excesses are being allowed to function. Instead of acknowledging that markets work in boom/bust cycles of progress, excess, and consolidation, today’s generation of policy leaders want to eliminate cycles to preserve their fictitious wealth and power!…
January 29th, 2009 | Dan Denning | 7 comments | Continued
Mail From Our Dear Readers
Today’s Daily Reckoning is brought to you by your fellow readers. That is, your editor has been busy putting the finishing touches on the January issue of Diggers and Drillers. In the meantime, you can read some of the wit and wisdom of the DR Australia’s world-wide fan base. Happy Australia Day and see you Monday!…
January 23rd, 2009 | Dan Denning | 2 comments | Continued
Organic Contraction at BHP
BHP announced yesterday it was cutting six thousand jobs globally. It will shut down the nickel operation at the Ravensthorpe mine indefinitely and reducing production at the Mt. Keith Nickel mine. What’s more, it will reduce coking coal production by 15% in Queensland and lay off 1,000 workers. BHP is the world’s largest producer of coking coal, so this tell you how much the global demand for steel has fallen off…
January 22nd, 2009 | Dan Denning | 1 comment | Continued
The Permanent Portfolio
Today’s Daily Reckoning begins with an outsider’s look at the Australian banking sector. Then we’ll take a Prime Ministerial look. And finally, a Gallic technical trader’s look. All three perspectives suggest that Australia’s banking sector is a lot less insulated from the global crisis than its advocates have suggested. But don’t take our word for it…
January 21st, 2009 | Dan Denning | 17 comments | Continued
