Market News

Gold goes on fresh rampage as Yellen doubles down on dovishness

Market News | March 29, 2016
Gold rebounded from one-month lows Tuesday after Federal Reserve chief Janet Yellen pulled off the unthinkable: issuing an even more dovish speech to the Economic Club of New York than her comments after the Feds March meeting. Earlier Tuesday, an S&P/Case-Shiller housing-price index got the ball rolling for gold by posting a 5.4% increase for…

Gold key as Fed risks overshooting inflation target

Market News | March 29, 2016
Inflation is still by no means going gangbusters, but nascent signs that prices are starting to rise should have investors thinking about gold as a portfolio hedge. Crude oil has rallied by about 50% since its February lows; the S&P/Case-Shiller housing-price index posted a 5.7% rise in January; and the Consumer Price Index for February…

GDP forecasts crumble after weak spending report crushes growth expectations

Investment | March 28, 2016
U.S. growth cheerleaders dodged a bullet last week when the Commerce Department upwardly revised its fourth-quarter GDP estimate from 1% to 1.4%. But the outlook for the current quarter took a sharp downward turn with Mondays release of new spending and trade data. Despite a strong pending-home sales number and a Dallas Fed manufacturing report…

Trumps candidacy to fuel more Fed easy money, analysts say

Market News | March 24, 2016
Federal Reserve Chairwoman Janet Yellens Keynesian credentials are plain to see. A quick Google search of Janet Yellen Keynesian reveals articles such as Janet Yellen: A Keynesian woman at the Fed (New Yorker, April 3, 2013) and Yellen looks toward a Keynesian approach (Reuters, Feb. 13, 2014). Keynesian economists, of course, favor easy-money policies in…

Chinas exploding gold imports power Perth Mint to record profits

Market News | March 24, 2016
One of the worlds major sovereign producers of gold and silver coins and bullion, the Perth Mint, is reporting record profits for the past two quarters. The driver? China. In terms of gold bars, cast bars that we are selling, a lot of that is going into Asia, primarily into China, CEO Richard Hayes asserted….