« A Yen And A Gold | Main | Sorting through the Rubble in Post-Bubble America »

Comments

Blunt Force Trauma

Wow, that is quite a list of Christian and Right-wing talk stations. I'm surprised they are even 'allowing' you on their air. Perhaps they're trying to be controversial and mock your knowledge of events. But you're a tough and intelligent person, you'll show them! Good luck!

Blunt Force Trauma

...come to think of it, Elaine, why is it what appears to be a hawker of gold, which you despise, is booking you on those radio stations?

http://www.gold101.com/ContactUs.asp

I'm confused.

Elaine Meinel Supkis

They are letting me on the air again! NO ONE ELSE WILL. And I warned them I will not lie. Right now, gold is soaring due to lower and lower interest rates. I don't see that changing now. Only when the entire system collapses, will it change at this point. We went through a crisis just two weeks ago.

The Fed made it perfectly clear the ONLY route out is for everyone to drop interest rates across the planet and flood the world with money. EXCEPT FOR CHINA. And maybe, Germany. Germany is under tremendous pressure to flood the world with more money for speculators to pop into the commodity markets.

Right now, they are upping the ante with ALL commodities. This is politically unacceptable since it will start riots across the planet. But in gold, this is a 'quiet corner' to park money. Like in the 1980s.

Gold rose by over 500% during that time. So it will now, again.

If there is any radio station, by the way, that will pay me or even put me on for free to talk about raising interest rates, I welcome this.

IT WILL NEVER HAPPEN. I have been shoved off the air for many years now. It irritates me no end.

But the Gold 101 people know that I will not be their creature. I am starting my own podcasts this week, hopefully. There, I can be totally free. And I can ditch these guys in a second if they try to stop me from telling the truth.

Elaine Meinel Supkis

Also, I have a long history of reaching out to religious fundamentalists. HAHAHA. I am the Whore of Babylon. They listen to me and freak out. But this may be very amusing.

shargash

Good luck with the fundies. :)

Back to the carry trade, check out this article (http://www.financialsense.com/fsu/editorials/gnazzo/2008/0303.html) and scroll down to the second chart. It plots $JPY (Japanese Yen index) over the S&P 500 going back to last summer. The negative correlation is astounding. The Yen & the S&P are joined at the hip.

The more I think about it, the more astonishing it is. I had thought the carry trade was mostly in treasuries. They are safer and give a consistent return. That's also clearly what the Japanese want, since it drives the dollar up at the same time as it drives the Yen down.

However, I do not see the same correlation between the Yen and treasuries. Nor do I see it between the Yen and any commodity I track (oil, gold, silver, and several agricultural products).

The past few days I've been watching a real-time Yen/Dollar quote in one window while I watch various US stock indices in another. And the correlation between Yen movements and stock market movements is down to the minute.

I don't know what else this could mean, except that Yen from the carry trade is going into (and out of) the stock markets. If true, that is insanely risky and very dangerous. I will note again that carry trade money does not seem to be going into commodities or treasuries (heh...or at least it is not coming OUT of them the way it is coming out of the stock market).

Elaine Meinel Supkis

CORRECT, Shargash. I said before: the US is now the carry trade! The yen is up but the dollar is down! The dollar is giving out sub-inflation rate loans which are being used to buy gold, oil and other commodities. Thus there is a direct correlation between the dollar nosediving and those going up.

The yen is very much attached to the stock markets or rather worse: THEY ARE FOLLOWING THE YEN. The yen goes up in value, stocks fall. Yen goes down vis a vis the dollar, stocks rise. This has been going on for about a year.

The comments to this entry are closed.

Blog powered by Typepad