Blanchard Economic Research Unit

India's gold buying pushes metal to new high

Tue, 03 Nov 2009 22:30:11 +0000

NEW YORK — Gold prices surged to a new high Tuesday on news that India's central bank bought $6.7 billion worth of gold from the International Monetary Fund.

Blanchard analysts say gold will continue to set new highs after achieving $1,049.50 mark

Wed, 07 Oct 2009 19:06:35 +0000

The dollar, inflation, new investor demand remain key.

Gold poised to breakout as summer ends -- here's why

Tue, 04 Aug 2009 18:20:20 +0000

The slow trading months of summer are usually a time when gold prices decline, but indicators this year lead us to believe the metal is poised for a big breakout by the end of the third quarter.

Gold performing strongly into Q3 with many drivers poised to push it to new record highs in near-term

Tue, 04 Aug 2009 15:08:00 +0000

Blanchard's analysts say Summer doldrums have kept metal range bound, but prices remain strong as bull market continues

Budget Deficit Reaches $1 Trillion for the First Time Ever

Mon, 13 Jul 2009 19:46:19 +0000

Nine months into the fiscal year, the federal deficit has topped $1 trillion for the first time.

Blanchard has placed one of the rarest intact U.S. gold proof sets in existence - The Proof Gold Pittman Set

Tue, 26 May 2009 20:40:04 +0000

Blanchard and Company Inc. recently placed one of the rarest intact U.S. proof sets in existence – the 1843 John Jay Pittman three-coin gold collection.

The U.S. government is creating an unprecedented new supply of money, but where's inflation?

Mon, 04 May 2009 17:15:22 +0000

Blanchard’s analysts explain why we haven’t seen it - yet

Inflation is Coming

Wed, 25 Mar 2009 17:08:25 +0000

With the amount of volatility in the financial markets, it is hard to look too far into the future.  Investors, as well as the government, are purely looking in the short term when it comes to the economy.  However, if the past has taught us anything, to do well in investing, one must look beyond the short term.

Fed Announcement

Thu, 19 Mar 2009 16:42:05 +0000

Investors were caught off guard Wednesday, as the Federal Reserve moved towards a "quantitative easing" policy.  This type of policy is designed to lower borrowing costs for consumers and get credit flowing more freely again. By doing this, Chairman Ben Bernanke signaled his determination to avoid a repeat of the Great Depression and his willingness to pump as much cash into the economy as needed to end the current crisis.

What is next for gold?

Fri, 13 Mar 2009 16:26:59 +0000

UBS Investment Researches®: Gold<ul><li>Where could prices go?</li><li>Our econometric model indicates upside risk</li><li>Exposure to gold recommended</li></ul>

UBS Investment Research

Thu, 12 Mar 2009 20:10:47 +0000

Verbatim excerpts from the Union Bank of Switzerland’s UBS Investment Research which discuss the future prospects for gold.  UBS has the following to say about gold’s future price and the possibility of the creation of a new gold standard that  would include gold confiscation (“the implementation of restrictions on the private ownership of gold”).

Government bailout coupled with a collapsing economy to create rampant inflation and new record highs for gold

Fri, 06 Mar 2009 14:30:15 +0000

Blanchard and Company analysts see gold having a four-digit price floor

Rare Coins Outperform Stocks and Gold Over 25 years

Wed, 28 Jan 2009 11:30:00 +0000

In a tumultuous year for financial markets, it is noteworthy that rare coins outperformed all other assets considered, including gold, by a significant margin.” From “The Investment Performance of Rare U.S. Coins”  By: Raymond E. Lombra, Ph.D.

Gold will benefit ultimately from Treasury's moves to rescue the economy - but the question remains 'When?'

Tue, 13 Jan 2009 15:17:32 +0000

Rate cuts leave few options other than infusing additional liquidity, say Blanchard analysts

Paper vs. Physical Gold

Thu, 08 Jan 2009 16:15:07 +0000

There are three reasonable ways for individuals to diversify their investments through exposure to precious metals: they can invest directly in the physical metals; they can buy shares in a mining company; or they can purchase units of interest in one of several ETFs traded on stock exchanges.  (We strongly recommend against a fourth method, that of transacting in futures contracts, which we believe exposes the individual investor to unacceptable risk.)

Gold Confiscation - What Do We Really Think?

Wed, 07 Jan 2009 17:10:43 +0000

Do we still believe that gold confiscation is “very unlikely?”

The Bailout

Wed, 17 Dec 2008 16:31:18 +0000

The bailout package is now around $8.7 trillion dollars.

The Unwinding of Leverage

Thu, 06 Nov 2008 01:27:07 +0000

Markets around the world are being crushed by the unwinding of leverage by hedge funds and other institutional investors that has slammed both financial assets and commodities. 

What happened to gold? Blanchard explains price decline and what is ahead

Tue, 04 Nov 2008 15:46:07 +0000

The dollar, emerging markets, the global financial crisis all hold the key.

Gold and the Dollar

Thu, 30 Oct 2008 15:00:47 +0000

The collapse of Lehman Brothers in September led to a stampede to gold by investors who feared that the world’s financial system was on the verge of a meltdown.  The U.S. Mint ran out of coins and the vaults of Swiss banks were filled to overflowing with gold bars as investors sought a safe haven.  Gold prices jumped from $746.80 just before Lehman fell to $911.50, a gain of 22% in one month.  Five weeks later, gold had fallen to below $700.00 an ounce, the weakest level in more than a year and 34% below the record of $1,030.80 reached in mid-March 2008.  What happened?

How Bad Is It?

Mon, 27 Oct 2008 14:58:01 +0000

The financial press is full of comparisons between today’s market crash and the 1929 crash that led to the Great Depression.  As the market performs its daily task of balancing fear and greed, it becomes increasingly apparent that fear predominates.

Rare Coin Performance vs. Other Assets

Tue, 21 Oct 2008 16:58:15 +0000

Rare coins have outperformed the stock markets and gold during a year of severe economic turmoil.

Why did gold fall today?

Thu, 16 Oct 2008 20:25:46 +0000

Commentary From a Market Insider

Blanchard says investors are moving into gold as equities markets are rocked by collapse of financials

Mon, 15 Sep 2008 18:08:11 +0000

Gold is a safe-haven asset that serves as a store of value in weak economy.

Gold News - 9/11/08

Thu, 11 Sep 2008 23:12:24 +0000

The recent volatility and consolidation in gold has been a result of the declining price of oil and other commodities, and the increase in the dollar.

Blanchard says investor demand for physical gold has caused major shortage of product in the market

Thu, 21 Aug 2008 14:40:55 +0000

Year-end price target of $1,150 still in sight as fundamentals remain firm

Commodity super cycle

Tue, 19 Aug 2008 16:32:02 +0000

The impact of the commodity super cycle on gold is a tendency for gold, precious metals and other tangible assets such as rare coins to rise as demand for commodities rises.

Inflation is on the rise, how to protect your portfolio

Thu, 17 Jul 2008 16:40:03 +0000

With producer prices rising at the fastest pace in 27 years, Ben Bernanke, Chairman of the Federal Reserve Board, reported that “upside risks to the inflation outlook have intensified” in his testimony before the Senate Banking Committee. 

How safe is your money? What the IndyMac bank failure means.

Tue, 15 Jul 2008 18:20:50 +0000

As loan defaults mount and home prices continue to fall, US regulators are preparing for other banks in America to fail.  This has led Wall Street analyst to ask themselves:  How many will fail and who will be next?

Gold News - 7/8/08

Tue, 08 Jul 2008 16:53:11 +0000

Gold started the new trading week off strong on Monday, touching a high of around $933 before falling to around $915.

Blanchard says gold showing exceptional strength during traditionally slow months, look for new record highs by end of 2008

Tue, 01 Jul 2008 17:01:43 +0000

Investors shifting out of equities and into tangible assets to protect wealth.

Gold is up more than $17 this morning to around $943

Tue, 01 Jul 2008 15:10:45 +0000

The 1 percent increase in gold this morning can be attributed to both further weakness in the dollar and more near record highs in oil.

Gold is poised to continue its recent increase

Mon, 30 Jun 2008 17:27:08 +0000

Blanchard is extremely bullish for the second half of the year.  Gold is poised to continue its recent increase and will likely pass the $1,000 mark at some point in the next few months and then hit $1,150 by the end of the year.

Gold is up over $40 in past two days

Fri, 27 Jun 2008 16:53:17 +0000

Gold is up over $6 to around $923.  That totals over $40 over the past two days.  There is a huge amount of uncertainty and fear in the market right now and gold is the perfect assets for investors to protect and build their wealth.

Various quotes from Wall Street Leaders

Thu, 26 Jun 2008 17:05:54 +0000

What various Wall Street leaders are saying...

Gold news - 6/26/08

Thu, 26 Jun 2008 16:39:00 +0000

It took less than 24 hours for investors to negotiate through the Fed language from yesterday's meeting and determine that the statements did not lean as much towards curbing inflation as predicted...

Blanchard feels that the Fed likely will leave rates unchanged

Wed, 25 Jun 2008 16:48:22 +0000

Clearly many investors are waiting to see what will happen with the Fed meeting today. Since the dollar will react to the statements that accompany the rate decision, gold will likely move in the opposite direction.

Royal Bank of Scotland - Report on the Economy

Mon, 23 Jun 2008 14:27:28 +0000

What’s next?  The consensus seems to be that we’re going to see 1970’s-style STAGFLATION. 

Follow the Money

Fri, 02 May 2008 15:08:40 +0000

To know which asset class will appreciate in value, you have only to follow the money.  When the stock market is gobbling up all of the available discretionary funds, you know that alternative investments, such as rare coins, are going to do poorly.  On the other hand, bear markets in stocks cause net withdrawals, which in turn support the prices of alternative assets as investors seek better returns.

Rare Coins and the Dollar

Mon, 21 Apr 2008 15:37:32 +0000

The dollar has been slowly collapsing over the past five years, losing one-half of its purchasing power compared to the euro.  Crude oil has gone up by a factor of five, while gold has tripled.  The demand for the dollar is declining.  Hardly a day goes by without some central bank or major institution announcing that they have diversified out of the dollar into other currencies.

Perfect Storm

Wed, 16 Apr 2008 14:43:42 +0000

Gold is up over $15 this morning to around $945.

Rare Coins and Inflation

Wed, 09 Apr 2008 20:56:54 +0000

Increasingly, investors are becoming concerned about inflation.  Rising commodity prices and the falling dollar point to price pressures ahead and, with global growth still robust, the link between domestic output and domestic inflation may be waning.  

Rare Coins Lag Behind Gold

Tue, 08 Apr 2008 21:24:55 +0000

The real investment magic of rare coins stems from the fact that price increases from rare coins lag behind those of gold, which takes much of the guesswork out of investing in rare coins.

Fed's liquidity infusion is another quick fix to an unquantifiable market crisis

Thu, 13 Mar 2008 14:37:32 +0000

While the Fed's moves to provide $200 billion of liquidity to major Wall Street investment banks may provide a temporary boost to the stock market, analysts at Blanchard say the current global market crisis continues to unwind and gold will remain a strong investment safe-haven that will continue to increase in value.

The Fed's $200 Billion Liquidity Package

Wed, 12 Mar 2008 15:43:39 +0000

Yesterday morning, the Fed announced that it would lend $200 billion dollars to financial intuitions who do business with the Fed - basically the big boys on Wall Street.

Gold News - Mar. 10, 2008

Mon, 10 Mar 2008 15:59:57 +0000

Gold took a bit of a breather last week and closed just slightly below where it opened last Monday.  This morning gold is down about $8 to around $965.

Gold News - Mar. 5, 2008

Wed, 05 Mar 2008 20:58:12 +0000

Gold has rallied back from a drop of $17 yesterday.

Same Story - Different Day

Thu, 28 Feb 2008 18:35:43 +0000

Gold is up over $3 this morning to $963.

Gold News - Jan. 29, 2008

Tue, 29 Jan 2008 14:31:17 +0000

Gold has moved between a range of $15 this morning and hit a new record Of $934.  The metal is currently trading around $925.

Gold News - Jan. 28, 2008

Mon, 28 Jan 2008 21:11:07 +0000

Gold is up over $8 this morning to $920.  Since January 21, gold is up over $60.