The Dow and gold were up strongly yesterday. Gold is recovering well, moving from weak hands to stronger ones. Not much else to report. So we'll tell you about our weekend... "I've been to Buenos Aires twice," said Jorge. "First, when I did my military service... and second, when I went after I got married."
On Sunday night, we returned from a two-day horseback trip up into the Argentine mountains. After 18 hours of riding over the worst terrain you can imagine – and sleeping on the hard stone floor of an unheated refuge at 9,500 feet – we showed up at the house bruised... worn-out... windburned... and sun beaten.
Gold seems to be coming back fast. It rose $38 per ounce yesterday. Of course, the Fed's monetary meddling doesn't work. And it will most likely cause a financial disaster. But the biggest scandal of today's central bank policy is that it is essentially the grandest larceny of all time.
We don't like the looks of it... Advisors are too bullish. Investors are too complacent. The financial authorities are too confident. All up and down Wall Street... in central banks and in Washington... the stuff that goeth before the fall is thick, sticky and stinky.
Nothing special happened yesterday. The Dow rose to recover some of its recent losses. Gold fell to give back some of its recent gains. Stock market advisors are unusually bullish. Investors are unusually bullish. Barron's is unusually bullish. All of which makes us think this is a good time to be unusually bearish. Sell stocks. Buy gold. Be happy.That's...
"You Americans don't understand anything. You have to come to Argentina and live here for a few years. Then you'll understand America."; We had to ask, "Huh?"; "When you're here, you can see more clearly how things really work... and don't work. You see the real nature of things... especially government. Believe me, you Americans have all sorts of...
Gold fell 3.4% for October – ending the month at $1,719.90/oz. This is still a 69% gain on our 20% allocation to the metal. AFP Provida shareholders qualified for another dividend during the month. The stock price is now up 37.2% since we recommended it in May 2011.