Trump Reportedly Redrafting Immigration Ban After “Disgraceful” Court Decision

After losing last night in a not so shocking 3-0 decision, courtesy of the 9th Circuit Court of Appeals, the White House is rumored to be redrafting its travel ban executive order this morning with more specific language to address concerns raised by the court.  The report of a redraft comes from Joe Scarborough of MSNBC, who cited unnamed sources, so, as always, the information must be taken with a grain of salt.  Here is what Scarborough told viewers earlier this morning:

“I’ve heard from several sources that the White House is right now working on redrafting an executive order but want to make sure that it is tight enough to pass.”

Meanwhile, Trump once again blasted the 9th Circuit’s “disgraceful decision” over Twitter early this morning:

LAWFARE: “Remarkably, in the entire opinion, the panel did not bother even to cite this (the) statute.” A disgraceful decision!

— Donald J. Trump (@realDonaldTrump) February 10, 2017

 

The President’s tweet references the following excerpt from a blog post on Lawfare which criticizes the 9th Circuit’s 29-page opinion that didn’t even bother to cite the statute granting the President fairly broad and unilateral authority to restrict immigration at his own discretion.

This case is about two big questions, only one of which the panel’s per curiam today even mentions. The first question is how broad the president’s authority is to limit admissions from the relevant seven countries—and to what extent that authority is limited by constitutional law—under a statute that gives him the sweeping power to do this:

 

(f) Suspension of entry or imposition of restrictions by President

 

Whenever the President finds that the entry of any aliens or of any class of aliens into the United States would be detrimental to the interests of the United States, he may by proclamation, and for such period as he shall deem necessary, suspend the entry of all aliens or any class of aliens as immigrants or nonimmigrants, or impose on the entry of aliens any restrictions he may deem to be appropriate.

 

Remarkably, in the entire opinion, the panel did not bother even to cite this statute, which forms the principal statutory basis for the executive order (see Sections 3(c), 5(c), and 5(d) of the order). That’s a pretty big omission over 29 pages, including several pages devoted to determining the government’s likelihood of success on the merits of the case.

Scarborough’s reporting this morning came after he released a tweet storm last night calling for a redraft of the controversial executive order while also blasting the 9th Circuit’s decision.

This immigration EO was a disaster from the start. The president should start over, have agencies draft it more narrowly, and sign it.

— Joe Scarborough (@JoeNBC) February 9, 2017

Yep. This is Miller and Bannon’s handy work. The White House should redraft the order relying the interagency process this time. https://t.co/IGHquzdQcK

— Joe Scarborough (@JoeNBC) February 10, 2017

Regardless of what you think of Trump, Bannon, or this order, the Ninth’s decision is constitutionally weak. Trump needs to draft a new EO.

— Joe Scarborough (@JoeNBC) February 10, 2017

I hate the White House EO. But this court order is ridiculous.

— Joe Scarborough (@JoeNBC) February 10, 2017

I’ve read the Ninth’s decision. They’re lucky they won’t have to read Justice Scalia’s reversal of their opinion. It would be brutal.

— Joe Scarborough (@JoeNBC) February 10, 2017

 

Of course, Trump seemed to be ready for an immediate fight last night tweeting in all caps: “SEE YOU IN COURT, THE SECURITY OF OUR NATION IS AT STAKE!”

SEE YOU IN COURT, THE SECURITY OF OUR NATION IS AT STAKE!

— Donald J. Trump (@realDonaldTrump) February 9, 2017

 

For those interested, we wrote a very thorough review of the 9th Circuit’s decision last night (see “Court Of Appeals Unanimously Rejects Trump’s Travel Ban: Full Ruling“).  Here is the summary of the court’s decision:

“We hold that the government has not shown a likelihood of success on the merits of its appeal, nor has it shown that failure to enter a stay would cause irreparable injury, and we therefore deny its emergency motion for a stay.”

 

The three-judge panel hearing the case included Judges William C. Canby Jr., a Jimmy Carter appointee; Richard R. Clifton, a George W. Bush appointee; and Michelle T. Friedland, a Barack Obama appointee.

 

“Rather than present evidence to explain the need for the Executive Order, the Government has taken the position that we must not review its decision at all. We disagree,” they wrote.

 

“In short, although courts owe considerable deference to the President’s policy determinations with respect to immigration and national security, it is beyond question that the federal judiciary retains the authority to adjudicate constitutional challenges to executive action.”

That Gorsuch confirmation can’t come soon enough for the Trump administration.

The post Trump Reportedly Redrafting Immigration Ban After “Disgraceful” Court Decision appeared first on crude-oil.news.

Air-Force Test-Launches Minuteman ICBM From California

The rattling of sabres grows ever louder. Military.com reports that the Air Force says an unarmed Minuteman 3 missile has been launched from California’s central coast in the latest test of the intercontinental system.

The missile blasted off at 11:39 p.m. PDT Wednesday from Vandenberg Air Force Base northwest of Los Angeles.

The Air Force says the missile carried test re-entry vehicles that headed for a target area 4,200 miles away to the Kwajalein Atoll in the Marshall Islands in the Pacific Ocean.

The Air Force routinely uses Vandenberg to test Minuteman missiles from bases around the country.

This test involved personnel from Vandenberg’s 576th Flight Test Squadron and the 91st Missile Wing, Minot Air Force Base, North Dakota.

In this photo provided by U.S. Air Force, an unarmed Minuteman III intercontinental ballistic missile launches during an operational test on Saturday, Feb. 20, 2016 at Vandenberg Air Force Base, Calif.

The post Air-Force Test-Launches Minuteman ICBM From California appeared first on crude-oil.news.

Why For Traders, “It’s Still All About Trump”

By Mark Cudmore is a former FX trader who writes for Bloomberg

It’s Still All About Trump

A visa decision affecting seven very small economies does not seem like a markets story but there are clear trading implications in this case. The first is that, no matter how much investors might wish otherwise, markets are still inextricably linked to the new U.S. president.

The Trump trades – long dollar and U.S. equities, short Treasuries — received a boost Thursday as the president promised a “phenomenal” tax plan within weeks.

Not long after, Trump suffered a major setback in the appeals court on his immigration ban. The markets have ignored this decision for now, but they should reconsider.

The limitations on Trump’s ability to bully the system are being emphasized. This will embolden members of Congress to stand up to him if they don’t support his tax plan. And there appears to be many who don’t – even from his own party.

That puts further doubt on an already vague promise. No sign of details and no guidance on the timeline for implementation.

Trump’s immediate reaction to the legal decision — “See you in court” – shows he is determined to fight this all the way up to the Supreme Court. This may distract him from the domestic economy.

The more positive spin is that he will now be even more motivated to deliver a larger success quickly on tax (or infrastructure) to compensate for his failure on immigration.

Another plus for markets: he’s walked back his rhetoric on the issue of Taiwan, making nice and endorsing the “One China” policy in his chat with Chinese President Xi. The backdown shows — perhaps — a greater grasp of international reality creeping into his game. It also goes some way to soothing concerns about an imminent trade war, on that issue anyway.

In the interim, Trump’s meeting with Abe will overshadow the short-term fate of the dollar, and versus the yen in particular. Abe is bringing a load of investment promises which Trump is sure to promote heavily. If he does, without mentioning currency manipulation, then USD/JPY can have a decent spike higher.

The point is, much as we might like to focus on other inputs, Trump is still deciding the direction for many key assets. Investors shouldn’t underestimate this effect – even from tangential topics like visa policy.

The post Why For Traders, “It’s Still All About Trump” appeared first on crude-oil.news.

Gold Prices Up 5.8% YTD – Trump ‘Honeymoon’ Ends

Gold Prices Up 5.8% YTD – Trump ‘Honeymoon’ Ends

Gold prices continued to shine this week reaching $1,244.70 per ounce and and has posted gains in five of the last six weeks. This week it reached a new three-month high – it’s highest since the Trump win and has climbed over 6% this year, beating the gains made in the same period in 2016.

gold-prices-rally

The yellow metal has climbed 4.30% in the US dollar, 3.38% in the Euro and 1.35% in the sterling, in the last 30 days. This week gold is marginally higher in dollars and pounds but 1.5% higher in euro terms after the euro weakened on concerns of contagion due to the unresolved issues with Greece and other so called “PIIGS” nations and their still vulnerable banks and economies.

This performance has surprised many commentators and analysts as gold’s three month high has come at a time when stock prices are also breaking records.

When we are asked in years to come what we learnt from the Trump administration, the first thing that will come to mind is ‘Rules no longer applied.’

Whether you are for or against Trump, there is no denying that the rule book of what elected politicians should and should not do has been wholly torn to pieces and thrown out the window.

For starters, Trump appears to expect to be busy during his first 100 days putting in place exactly what he promised he would do, during his election campaign. This is almost unheard of. As Frank Holmes writes, the media took Trump literally but not seriously, his supporters took him seriously but not literally. The outcome of these expectations are showing themselves.

We take a brief look at what has driven gold this week and ask what the end of Trump’s honeymoon means for the gold price.

Strong stocks…strong dollar?

This week the gold price hit a three-month high and has surged over 7.5% so far this year. As we have shown in recent weeks, January saw gold post its biggest monthly gains since June 2016 (see table below) when surprise and uncertainty surrounding Brexit was driving the markets.

gold-prices-trump

It may come as a surprise to some, but we are not just seeing reactions to everything that comes out of Trump’s mouth, office and Twitter feed at the moment. (Soon people will begin to realise that not every tweet can be seen as some kind of constitutional crisis). Attentions are beginning to refocus on the implications of what Trump may or may not succeed in doing, the wider US economy and, of course, what is happening elsewhere.


The gold price is being pushed upwards not only by the uncertainty surrounding Trump’s economic, foreign and domestic policies, a more dovish Fed, the growing populist movement in Europe, ongoing currency printing and debasement by central banks, growing inflation and the strength of the US dollar.

It is not just in Trump’s case that conventional rules no longer apply, they also appear to have been thrown out the window for precious metals in these first few weeks of 2017, namely that a strong US stock market means weak gold. Instead apparently strong economies, a record breaking stock market and recent highs for gold all seem to be able to exist in one realm of reality.

But this is a feat unlikely to last in the long-run, which only appears to be good for gold. As Frank Holmes points out in a recent piece, the rally on Wall Street is beginning to slow-down and investors are turning to gold.

 

stocks-trump

Investors turn to gold at end of the honeymoon

Earlier this week we wrote about how you should really buy your loved one real gold  this Valentine’s Day, by setting up a GoldSaver account, rather than waste money on the usual jewellery, chocolates and flowers.

As Frank Holmes explains it seems gold is also what we should turn to when the love affair is over, which is exactly what institutional investors are doing as the rose-tinted glasses and honeymoon with Trump disappears.

As we mentioned last week, the World Gold Council’s report for 2016 showed that gold demand climbed to it’s highest in four years, by 70%. Much of this was driven by ETF demand, which had their second-best year on record. Flows into gold ETFs have continued this year. Currently GLD holdings are 150 tonnes below their peak of 2016, but still at significant levels.

The inflows into GLD are perhaps having some effect on the gold price. These significant inflows are likely coming from institutional buyers which are indication of perhaps further gains in the gold price.

Holmes also highlights the growing demand for gold as a safe haven and hedge against uncertainty. He explains that as the world starts to get a proper feel for the Trump presidency, fund and investment managers have been ‘given a strong opportunity to demonstrate [their] value in the investment world.’

Institutional buying was no doubt influenced by leading hedge fund manager Stanley Druckenmiller who announced this week that he had bought gold in late December and January. Goldcore readers will remember that we wrote about Druckenmiller’s gold sales on the night of Trump’s victory. At the time he declared that he no longer saw the reasons to hold gold.

Today however he does, in an interview earlier this week he stated, “I wanted to own some currency and no country wants its currency to strengthen. Gold was down a lot so I bought it.” Quite the about turn!

It is likely that comments from the likes of Mario Draghi and Fed Chair Janet Yellen, that economic growth could be derailed, have encouraged Drukenmiller to buy back the gold he was so sure was right to sell

Uncertainty, gold’s best friend.

According to Bloomberg, Druckenmiller also pointed to the uncertainty over whether or not Trump will back the House Republican’s tax plan, as a reason for his precious metal’s purchase.

Holmes also points to this uncertainty as reason for the slow down in the Wall Street rally and gold’s climbs. Two campaign promises regarding infrastructure and tax reform, appear not to be moving anywhere. In fact, the chance of tax reform happening in the first 100 days days, even 200 days looks ‘less and less likely.’

Even though Trump has signed an executive order that is designed to reduce red-tape, companies, executives and shareholders seem increasingly lukewarm in their responses to Trump’s changes.

The most notorious of these was the Executive Order banning the immigration of citizens from seven countries. Holmes writes”

“…many in the business world have traditionally depended on foreign talent. That’s especially the case in Silicon Valley, where close to 40 percent of all workers are foreign-born, according to the 2016 Silicon Valley Index. (Around the same percentage of Fortune 500 companies were founded by immigrants or children of immigrants, including Steve Jobs, whose biological father was Syrian.) One of the more dramatic responses toward the travel ban was Uber CEO Travis Kalanick’s dropping out of Trump’s business advisory panel, following an outcry from users of the popular ride-sharing app who saw his participation with the president as an endorsement of his immigration policies.”

And whilst we may not all agree with Trump’s protectionism ideas and planned policies, Holmes argues that it is difficult not to see why US companies might feel like they need some level of protection. He refers to “China’s ascent as an economic and corporate juggernaut”.

“Take a look at the chart below, using data from Fortune Magazine’s annual list of the world’s 500 largest companies by revenue. Whereas the U.S. has lost ground globally over the past 20 years, China’s share of large companies has exploded, from having only three on the list in 1995 to 103 in 2015. The number of Japanese firms, meanwhile, has more than halved in that time.

But this, combined with how it is received across the various areas of US policy and lawmaking, is making predictions regarding the financial climate, so uncertain.

The weakening in the US dollar, something Trump has been pushing for since the week of his inauguration, combines with a dovish Federal Reserve, expectations of higher inflation and growing demand for a safe haven, have each helped to support the gold price.

The broken record of uncertainty

The most imminent threat of uncertainty comes from Trump. His proposals are running into problems and the new President’s reactions each time he realises the meaning of checks and balances are not even worthy of a prediction.

In turn, whilst Trump’s words to clearly have an impact, there is a wider world out there that is also trying to navigate financial crises, political changes and security issues. We have written before about ignoring the hype. Right now, it is difficult not to as one cannot disparage the thought that is the US-centric news that is supporting gold and will likely send it much higher.

But, the wider-outlook is what makes gold a good investment for the long-run. Presidents come and go, but their impact takes time to unfold and in the meantime there are decisions, trades, wars and elections going on across the world that also feed into the long-term gold trade.

Not too mention the looming milestone of a bankrupt America hitting the $20 trillion national debt mark in the coming weeks.

Gold as Druckenmiller alluded to, is a currency. But unlike sovereign currencies, it holds its value and does not rely on outside sources to maintain its value.

We’re starting to sound like broken records here but we strongly believe that the uncertainty and unpredictability that exists across much of the geopolitical sphere, but is exacerbated by Trump, makes being long-gold right now, an entirely logical and prudent decision. Providing it is owned in non digital, website, technology dependent formats of actual gold coins and bars that you can sell to many providers and take delivery with a phone call or a visit.

Gold and Silver Bullion – News and Commentary

Germany brings its gold stash home sooner than planned (CNBC.com)

Gold futures end lower after five-session rise (MarketWatch.com)

Greek Two-Year Bond Yield Crosses 10% Amid Creditor Dispute (Platts.com)

London wholesale gold market mulling UK-focused trade body: sources (Bloomberg.com)

Gold Stashed in Bag Shows Hurdles in Italy’s Tax-Evasion Fight (Bloomberg.com)

Lettuce and spinach shortage prompts supermarket rationing (IrishTimes.com)

Look out: Gold and bonds are sending a signal reminiscent of 1987 and 1973 market crashes (CNBC.com)

“Savers will seek to escape financial assets and shift to gold” – Dalio (ValueWalk.com)

Fear in a time of Trump: How Wall Street thinks about risk (MarketWatch.com)

Treat others as you would have them treat you (SalientPartners.com)

Death Of The Petrodollar – Oil, Gold in Yuan – Williams (ZeroHedge.com)

7RealRisksBlogBanner

Gold Prices (LBMA AM)

10 Feb: USD 1,225.75, GBP 980.23 & EUR 1,151.35 per ounce
09 Feb: USD 1,241.75, GBP 988.18 & EUR 1,161.04 per ounce
08 Feb: USD 1,235.60, GBP 989.47 & EUR 1,160.10 per ounce
07 Feb: USD 1,231.00, GBP 995.14 & EUR 1,154.43 per ounce
06 Feb: USD 1,221.85, GBP 978.34 & EUR 1,138.15 per ounce
03 Feb: USD 1,214.05, GBP 970.93 & EUR 1,128.99 per ounce
02 Feb: USD 1,224.05, GBP 966.14 & EUR 1,131.88 per ounce
01 Feb: USD 1,210.00, GBP 960.01 & EUR 1,122.03 per ounce

Silver Prices (LBMA)

10 Feb: USD 17.62, GBP 14.15 & EUR 16.55 per ounce
09 Feb: USD 17.71, GBP 14.10 & EUR 16.58 per ounce
08 Feb: USD 17.74, GBP 14.20 & EUR 16.66 per ounce
07 Feb: USD 17.60, GBP 14.21 & EUR 16.49 per ounce
06 Feb: USD 17.60, GBP 14.10 & EUR 16.39 per ounce
03 Feb: USD 17.28, GBP 13.84 & EUR 16.10 per ounce
02 Feb: USD 17.71, GBP 13.95 & EUR 16.38 per ounce
01 Feb: USD 17.60, GBP 13.91 & EUR 16.29 per ounce


Recent Market Updates

– Gold Buying Russia To Intensify Diversification On Trump ‘Unpredictability’?
– Gold Prices Rising Mean “Impending Market Volatility”
– Gold Bullion Banks To “Open Vaults” In Transparency Push?
– Ignore Sabre-Rattling and Buy Gold
– Buy Gold Because of Uncertainty not Doomsday
– The Alternative Fact of the Cashless Society
– Silver, Platinum and Palladium As Safe Havens – Reassessing Their Role
– Why 2017 Could See the Collapse of the Euro
– Dow 20K … US Debt $20 Trillion … Trump and $15,000 Gold
– Switzerland’s Gold Exports To China Surge To 158 Tons In December
– Blockchain – Central Banks Banking On It
– Sharia Standard May See Gold Surge
– Gold Price To 2 Month High As Fiery Trump Declares New American Order
– Gold’s Gains 15% In Inauguration Years Since 1974

Interested in learning more about physical gold and silver?
Call GoldCore and speak with a Gold and Silver Specialist today!

The post Gold Prices Up 5.8% YTD – Trump ‘Honeymoon’ Ends appeared first on crude-oil.news.

Gold Prices Up 5.8% YTD – Trump ‘Honeymoon’ Ends

Gold Prices Up 5.8% YTD – Trump ‘Honeymoon’ Ends

Gold prices continued to shine this week reaching $1,244.70 per ounce and and has posted gains in five of the last six weeks. This week it reached a new three-month high – it’s highest since the Trump win and has climbed over 6% this year, beating the gains made in the same period in 2016.

gold-prices-rally

The yellow metal has climbed 4.30% in the US dollar, 3.38% in the Euro and 1.35% in the sterling, in the last 30 days. This week gold is marginally higher in dollars and pounds but 1.5% higher in euro terms after the euro weakened on concerns of contagion due to the unresolved issues with Greece and other so called “PIIGS” nations and their still vulnerable banks and economies.

This performance has surprised many commentators and analysts as gold’s three month high has come at a time when stock prices are also breaking records.

When we are asked in years to come what we learnt from the Trump administration, the first thing that will come to mind is ‘Rules no longer applied.’

Whether you are for or against Trump, there is no denying that the rule book of what elected politicians should and should not do has been wholly torn to pieces and thrown out the window.

For starters, Trump appears to expect to be busy during his first 100 days putting in place exactly what he promised he would do, during his election campaign. This is almost unheard of. As Frank Holmes writes, the media took Trump literally but not seriously, his supporters took him seriously but not literally. The outcome of these expectations are showing themselves.

We take a brief look at what has driven gold this week and ask what the end of Trump’s honeymoon means for the gold price.

Strong stocks…strong dollar?

This week the gold price hit a three-month high and has surged over 7.5% so far this year. As we have shown in recent weeks, January saw gold post its biggest monthly gains since June 2016 (see table below) when surprise and uncertainty surrounding Brexit was driving the markets.

gold-prices-trump

It may come as a surprise to some, but we are not just seeing reactions to everything that comes out of Trump’s mouth, office and Twitter feed at the moment. (Soon people will begin to realise that not every tweet can be seen as some kind of constitutional crisis). Attentions are beginning to refocus on the implications of what Trump may or may not succeed in doing, the wider US economy and, of course, what is happening elsewhere.


The gold price is being pushed upwards not only by the uncertainty surrounding Trump’s economic, foreign and domestic policies, a more dovish Fed, the growing populist movement in Europe, ongoing currency printing and debasement by central banks, growing inflation and the strength of the US dollar.

It is not just in Trump’s case that conventional rules no longer apply, they also appear to have been thrown out the window for precious metals in these first few weeks of 2017, namely that a strong US stock market means weak gold. Instead apparently strong economies, a record breaking stock market and recent highs for gold all seem to be able to exist in one realm of reality.

But this is a feat unlikely to last in the long-run, which only appears to be good for gold. As Frank Holmes points out in a recent piece, the rally on Wall Street is beginning to slow-down and investors are turning to gold.

 

stocks-trump

Investors turn to gold at end of the honeymoon

Earlier this week we wrote about how you should really buy your loved one real gold  this Valentine’s Day, by setting up a GoldSaver account, rather than waste money on the usual jewellery, chocolates and flowers.

As Frank Holmes explains it seems gold is also what we should turn to when the love affair is over, which is exactly what institutional investors are doing as the rose-tinted glasses and honeymoon with Trump disappears.

As we mentioned last week, the World Gold Council’s report for 2016 showed that gold demand climbed to it’s highest in four years, by 70%. Much of this was driven by ETF demand, which had their second-best year on record. Flows into gold ETFs have continued this year. Currently GLD holdings are 150 tonnes below their peak of 2016, but still at significant levels.

The inflows into GLD are perhaps having some effect on the gold price. These significant inflows are likely coming from institutional buyers which are indication of perhaps further gains in the gold price.

Holmes also highlights the growing demand for gold as a safe haven and hedge against uncertainty. He explains that as the world starts to get a proper feel for the Trump presidency, fund and investment managers have been ‘given a strong opportunity to demonstrate [their] value in the investment world.’

Institutional buying was no doubt influenced by leading hedge fund manager Stanley Druckenmiller who announced this week that he had bought gold in late December and January. Goldcore readers will remember that we wrote about Druckenmiller’s gold sales on the night of Trump’s victory. At the time he declared that he no longer saw the reasons to hold gold.

Today however he does, in an interview earlier this week he stated, “I wanted to own some currency and no country wants its currency to strengthen. Gold was down a lot so I bought it.” Quite the about turn!

It is likely that comments from the likes of Mario Draghi and Fed Chair Janet Yellen, that economic growth could be derailed, have encouraged Drukenmiller to buy back the gold he was so sure was right to sell

Uncertainty, gold’s best friend.

According to Bloomberg, Druckenmiller also pointed to the uncertainty over whether or not Trump will back the House Republican’s tax plan, as a reason for his precious metal’s purchase.

Holmes also points to this uncertainty as reason for the slow down in the Wall Street rally and gold’s climbs. Two campaign promises regarding infrastructure and tax reform, appear not to be moving anywhere. In fact, the chance of tax reform happening in the first 100 days days, even 200 days looks ‘less and less likely.’

Even though Trump has signed an executive order that is designed to reduce red-tape, companies, executives and shareholders seem increasingly lukewarm in their responses to Trump’s changes.

The most notorious of these was the Executive Order banning the immigration of citizens from seven countries. Holmes writes”

“…many in the business world have traditionally depended on foreign talent. That’s especially the case in Silicon Valley, where close to 40 percent of all workers are foreign-born, according to the 2016 Silicon Valley Index. (Around the same percentage of Fortune 500 companies were founded by immigrants or children of immigrants, including Steve Jobs, whose biological father was Syrian.) One of the more dramatic responses toward the travel ban was Uber CEO Travis Kalanick’s dropping out of Trump’s business advisory panel, following an outcry from users of the popular ride-sharing app who saw his participation with the president as an endorsement of his immigration policies.”

And whilst we may not all agree with Trump’s protectionism ideas and planned policies, Holmes argues that it is difficult not to see why US companies might feel like they need some level of protection. He refers to “China’s ascent as an economic and corporate juggernaut”.

“Take a look at the chart below, using data from Fortune Magazine’s annual list of the world’s 500 largest companies by revenue. Whereas the U.S. has lost ground globally over the past 20 years, China’s share of large companies has exploded, from having only three on the list in 1995 to 103 in 2015. The number of Japanese firms, meanwhile, has more than halved in that time.

But this, combined with how it is received across the various areas of US policy and lawmaking, is making predictions regarding the financial climate, so uncertain.

The weakening in the US dollar, something Trump has been pushing for since the week of his inauguration, combines with a dovish Federal Reserve, expectations of higher inflation and growing demand for a safe haven, have each helped to support the gold price.

The broken record of uncertainty

The most imminent threat of uncertainty comes from Trump. His proposals are running into problems and the new President’s reactions each time he realises the meaning of checks and balances are not even worthy of a prediction.

In turn, whilst Trump’s words to clearly have an impact, there is a wider world out there that is also trying to navigate financial crises, political changes and security issues. We have written before about ignoring the hype. Right now, it is difficult not to as one cannot disparage the thought that is the US-centric news that is supporting gold and will likely send it much higher.

But, the wider-outlook is what makes gold a good investment for the long-run. Presidents come and go, but their impact takes time to unfold and in the meantime there are decisions, trades, wars and elections going on across the world that also feed into the long-term gold trade.

Not too mention the looming milestone of a bankrupt America hitting the $20 trillion national debt mark in the coming weeks.

Gold as Druckenmiller alluded to, is a currency. But unlike sovereign currencies, it holds its value and does not rely on outside sources to maintain its value.

We’re starting to sound like broken records here but we strongly believe that the uncertainty and unpredictability that exists across much of the geopolitical sphere, but is exacerbated by Trump, makes being long-gold right now, an entirely logical and prudent decision. Providing it is owned in non digital, website, technology dependent formats of actual gold coins and bars that you can sell to many providers and take delivery with a phone call or a visit.

Gold and Silver Bullion – News and Commentary

Germany brings its gold stash home sooner than planned (CNBC.com)

Gold futures end lower after five-session rise (MarketWatch.com)

Greek Two-Year Bond Yield Crosses 10% Amid Creditor Dispute (Platts.com)

London wholesale gold market mulling UK-focused trade body: sources (Bloomberg.com)

Gold Stashed in Bag Shows Hurdles in Italy’s Tax-Evasion Fight (Bloomberg.com)

Lettuce and spinach shortage prompts supermarket rationing (IrishTimes.com)

Look out: Gold and bonds are sending a signal reminiscent of 1987 and 1973 market crashes (CNBC.com)

“Savers will seek to escape financial assets and shift to gold” – Dalio (ValueWalk.com)

Fear in a time of Trump: How Wall Street thinks about risk (MarketWatch.com)

Treat others as you would have them treat you (SalientPartners.com)

Death Of The Petrodollar – Oil, Gold in Yuan – Williams (ZeroHedge.com)

7RealRisksBlogBanner

Gold Prices (LBMA AM)

10 Feb: USD 1,225.75, GBP 980.23 & EUR 1,151.35 per ounce
09 Feb: USD 1,241.75, GBP 988.18 & EUR 1,161.04 per ounce
08 Feb: USD 1,235.60, GBP 989.47 & EUR 1,160.10 per ounce
07 Feb: USD 1,231.00, GBP 995.14 & EUR 1,154.43 per ounce
06 Feb: USD 1,221.85, GBP 978.34 & EUR 1,138.15 per ounce
03 Feb: USD 1,214.05, GBP 970.93 & EUR 1,128.99 per ounce
02 Feb: USD 1,224.05, GBP 966.14 & EUR 1,131.88 per ounce
01 Feb: USD 1,210.00, GBP 960.01 & EUR 1,122.03 per ounce

Silver Prices (LBMA)

10 Feb: USD 17.62, GBP 14.15 & EUR 16.55 per ounce
09 Feb: USD 17.71, GBP 14.10 & EUR 16.58 per ounce
08 Feb: USD 17.74, GBP 14.20 & EUR 16.66 per ounce
07 Feb: USD 17.60, GBP 14.21 & EUR 16.49 per ounce
06 Feb: USD 17.60, GBP 14.10 & EUR 16.39 per ounce
03 Feb: USD 17.28, GBP 13.84 & EUR 16.10 per ounce
02 Feb: USD 17.71, GBP 13.95 & EUR 16.38 per ounce
01 Feb: USD 17.60, GBP 13.91 & EUR 16.29 per ounce


Recent Market Updates

– Gold Buying Russia To Intensify Diversification On Trump ‘Unpredictability’?
– Gold Prices Rising Mean “Impending Market Volatility”
– Gold Bullion Banks To “Open Vaults” In Transparency Push?
– Ignore Sabre-Rattling and Buy Gold
– Buy Gold Because of Uncertainty not Doomsday
– The Alternative Fact of the Cashless Society
– Silver, Platinum and Palladium As Safe Havens – Reassessing Their Role
– Why 2017 Could See the Collapse of the Euro
– Dow 20K … US Debt $20 Trillion … Trump and $15,000 Gold
– Switzerland’s Gold Exports To China Surge To 158 Tons In December
– Blockchain – Central Banks Banking On It
– Sharia Standard May See Gold Surge
– Gold Price To 2 Month High As Fiery Trump Declares New American Order
– Gold’s Gains 15% In Inauguration Years Since 1974

Interested in learning more about physical gold and silver?
Call GoldCore and speak with a Gold and Silver Specialist today!

The post Gold Prices Up 5.8% YTD – Trump ‘Honeymoon’ Ends appeared first on crude-oil.news.

Trump Reverses, Agrees To Honor “One China” Policy In First Phone Call With Xi

In a major reversal to his stated foreign policy framework with China, in his first phone call held with China’s president Xi Jinping held on Thursday night, President Donald Trump agreed to honor the “one China” policy, easing a key source of diplomatic tension between the world’s two largest economies. The phone call came just one day after Trump sent Xi a letter stating he seeks a “constructive relationship” with China, and took place hours after a US Appeals Court ruled against the Trump Administration’s executive order on immigration. 

“The two leaders discussed numerous topics and President Trump agreed, at the request of President Xi, to honor our ‘One-China’ policy,” the White House said in a statement Thursday. “They also extended invitations to meet in their respective countries. President Trump and President Xi look forward to further talks with very successful outcomes.”

The White House statement described the call as “lengthy” and “extremely cordial,” providing no further details on what they discussed. Representatives from both sides would meet later to discuss and negotiate on “various issues of mutual interest,” it said.

The call came after U.S. and China military aircraft had an “unsafe” encounter over a disputed part of the South China Sea, the first publicly confirmed incident since May. The two surveillance planes flew within 1,000 feet of each other near the Scarborough Shoal, which is claimed by both China and the Philippines, a U.S. treaty ally.

Xi said it was necessary for both sides to increase cooperation, state-run China Central Television said. The Chinese president said his country was willing to boost ties with the U.S. on trade, investment, technology, energy and infrastructure. Xi also said the two countries should enhance communication in international and regional military affairs. “Facing an extremely complicated global situation and rising challenges, there’s a greater need for continuing to enhance cooperation between China and the U.S.,” Xi said, according to CCTV.

While Chinese Foreign Ministry spokesman Lu Kang also said the conversation was “very good” and “extensive,” he noted that “respect for the One-China policy is the obligation of the U.S. side.” The country’s dealing with Taiwan must come within that framework, Lu said at the ministry’s daily news briefing in Beijing. 

“The one China principle is the political foundation of the China-U.S. relationship,” he said. “From the phone call between the two presidents, we can see that the American government is committed to the One-China policy, and we appreciate that.”

Lu added that “ensuring this political basis does not waver is vital for the healthy, stable development of China-U.S. relations,” Lu said.

In December, then president-elect Trump angered Beijing by talking to the president of Taiwan and saying the United States did not have to stick to the policy, under which Washington acknowledges the Chinese position that there is only one China and Taiwan is part of it. No issue is more sensitive to Beijing than Taiwan. China and the United States also signaled that with the “one China” issue resolved, they could have more normal relations.

A spokesman for Taiwan President Tsai Ing-wen said in a statement it was in Taiwan’s interest to maintain good relations with the United States and China.

The U.S. and Chinese leaders had not spoken by telephone since Trump took office on Jan. 20. According to Reuters, diplomatic sources in Beijing said China had been nervous about Xi being left humiliated in the event a call with Trump went wrong and the details were leaked to the media.

In a separate statement carried by China’s Foreign Ministry, Xi said China appreciated Trump’s upholding of the “one China” policy. “I believe that the United States and China are cooperative partners, and through joint efforts we can push bilateral relations to a historic new high,” the statement quoted Xi as saying. “The development of China and the United States absolutely can complement each other and advance together. Both sides absolutely can become very good cooperative partners,” Xi said.

Taiwan’s top China policymaker, the Mainland Affairs Council, said it hoped for continued support from the United States and called on Beijing to adopt a “positive attitude” and “pragmatic communication” in resolving differences with Taiwan. China is deeply suspicious of Tsai, whose ruling Democratic Progressive Party espouses the island’s formal independence, a red line for Beijing, and has cut off a formal dialogue mechanism with the island. Tsai says she wants peace with China.

In a statement to Reuters, lawyer James Zimmerman, the former head of the American Chamber of Commerce in China, said Trump should have never raised the “one China” policy in the first place. “There is certainly a way of negotiating with the Chinese, but threats concerning fundamental, core interests are counterproductive from the get-go,” he said in an email.

“The end result is that Trump just confirmed to the world that he is a paper tiger, a ‘zhilaohu’ – someone that seems threatening but is wholly ineffectual and unable to stomach a challenge.”

Jia Qingguo, dean of the School of International Studies at Peking University and who has advised the government on foreign policy, said Trump had created a lot of uncertainty but was now back on track. “Trump has reassured people that he will be a responsible president,” he told Reuters. “…This is good news for China, because stable U.S.-China relations are good for China. Now we can do business.”

The White House described the call, which came hours before Trump plays host to Japanese Prime Minister Shinzo Abe, as “extremely cordial”, with both leaders expressing best wishes to their peoples. There was little or no mention in either the Chinese or U.S. statement of other contentious issues – trade and the disputed South China Sea – and neither matter has gone away. China on Friday reported an initial trade surplus of $51.35 billion for January, more than $21 billion of which was with the United States.

The post Trump Reverses, Agrees To Honor “One China” Policy In First Phone Call With Xi appeared first on crude-oil.news.