Investor Alert: Oil & Gold Remain At Record Highs -- And the Safe Banks Are Buying Oil, Signaling A Bet on Inflation
I don't usually post about the global economy unless it's such a big shock wave, that it becomes a story that may actually affect readers of this blog. (I blogged about the subprime bubble burst three months before it happened, but this is something going down, as we speak.
So, I wanted to post this economic alert because I know a lot of people are invested in the stock market (and the more you hate me, the more likely you are more heavily invested). I feel we may be in for a fundamental shift as to what we are used to seeing. And with the market opening up for the year, down the most since the Great Depression, I think we already are.
HERE'S THE ALERT: Please make sure you follow up with your own research -- and this information may change...but for now...I'm going with THIS:
Sources tell Strategy Update that the banking institutions are pulling money out of the stock market and buying oil, like there is no tomorrow. They must know oil will continue to rise (past $100 -- and then some). Which is a bet that inflation is going to be worse than expected in early '08. Gold will follow oil's rise, as well -- and many of the gold mining stocks are up as much as 8%-9%, as well.
Part of the problem, keeping the price of oil (and therefore gold) high, is the threat of Nigerian rebels trying to seize control of the oil fields, resembling a scenario you would expect to see on "24". And according to Rueters, the attack may happen in days.
To save space here, since this is not your usual Mayor Sam story, I put the Full Alert/Analysis Here
UPDATE: Once again, Zuma Dogg brings you "news before it happens. Here's Reuter's version of the story, in retrospect, that they just posted at 8:22pm this evening. Reuter's follow-up aftermath story to ZD's.
zumadogg@gmail.com
So, I wanted to post this economic alert because I know a lot of people are invested in the stock market (and the more you hate me, the more likely you are more heavily invested). I feel we may be in for a fundamental shift as to what we are used to seeing. And with the market opening up for the year, down the most since the Great Depression, I think we already are.
HERE'S THE ALERT: Please make sure you follow up with your own research -- and this information may change...but for now...I'm going with THIS:
Sources tell Strategy Update that the banking institutions are pulling money out of the stock market and buying oil, like there is no tomorrow. They must know oil will continue to rise (past $100 -- and then some). Which is a bet that inflation is going to be worse than expected in early '08. Gold will follow oil's rise, as well -- and many of the gold mining stocks are up as much as 8%-9%, as well.
Part of the problem, keeping the price of oil (and therefore gold) high, is the threat of Nigerian rebels trying to seize control of the oil fields, resembling a scenario you would expect to see on "24". And according to Rueters, the attack may happen in days.
To save space here, since this is not your usual Mayor Sam story, I put the Full Alert/Analysis Here
UPDATE: Once again, Zuma Dogg brings you "news before it happens. Here's Reuter's version of the story, in retrospect, that they just posted at 8:22pm this evening. Reuter's follow-up aftermath story to ZD's.
zumadogg@gmail.com
Labels: cnbc, global economy, gold, los angeles politics, news, nigeria, oil, reuters, stock market, wall street journal, zuma dogg
Posted by Zuma Dogg @ 1/08/2008 10:17:00 AM
33 Comments:
First you have a homeless guy who lives in a van and begs for coffee attempting to advise the major presidential candidates.
Now he thinks he's a financial genius.
When I think of financial geniuses I think of people like Donald Trump or Warren Buffett who have like what probably at least ten homes?
I don't think of a homeless guy living in a van when I think of who I want money tips from.
That's like taking diet advice from a fat guy.
Higby, when is it going to end? Are you going to listen to us before Dave Elliott destroys your blog? Noone takes you seriously anymore.
santa monica sally?
don crackers?
santiago?
anniebonny?
hmm-m-m-m
Take it or leave it, jealous loser. You can call Donald Trump or Warren Buffet and aks what they think. (I wouldn't call Trump, though, because he specializes in real estate, not financial markets. Anyway, take it or leave it. A lot of people may keep from losing their asses if they look into what I am saying, and decide to act upon it. I'm not a genius, because I didn't come up with this stuff myself. Again, ZD just seems to know who to listen to, when. We'll see if I was correct on this alert, or not, loser. And remember, the reason you are jealous, is because you cannot believe a guy in his van, who behaves the way I do can read the writing on the wall, when you would have looked at the same research and ended up confused. Glad I could help, loser.
l.a.woman?
"""""""""""""""
;}
:}
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Tah, dah!
Thanks for staying here, ZD. Pay no attention to the bitter unemployed jackass behind the curtain at 10:35.
Signed,
Not invested in the market, but, heavily invested in buying gas for my SUV.
Thanks 10:57 am,
Yeah, wish I had tons to invest, too.
But this post isn't really intended for people to start throwing money into oil and gold...
but to the people who are invested in mutual funds and the tech stocks and most other sectors...either get out now...or put it in gold, oil (and I think wheat/commodities will be going up, too).
Do not think your stocks that just went from $200 a share, to $150 a share this week will be seeing $200 again, anytime soon...AND, to be safe, I would be watching the market carefully for a nice rally (if you are down), but that rally may not hit -- and it may tank even further...so i would be OUT...or IN oil/gold.
So the post is more about wealth preservation, than encouraging people to throw money into the market.
Because I DO feel that we will be experiencing cycles we are not used to seeing in our times...so when people expect the same old ups and downs, not figuring that there could ever be a big seismic shift is when people get burnt.
(Ooops, had one on red and one on black -- but green came up. ZD says you will be seeing more and more days where "00" Green comes up on the roulette wheel.)
How about Zu-m-m-m-a Dogg?
It should be interesting to hear Obama define "sacrifice." When and if he does. Will he drop the national speed limit like Carter did? That alone made poor Jimmy Carter into the big grinch of the 70's.
Anonymous said...
Will Obama drop the national speed limit like Carter did?
I'M HEARING YOU -
IT REQUIRES MUCH EFFORT TO GET A BURROW TO SPEED OVER 15 MILES PER HOUR. SAVVY
Holy crap! What kind of shovel does one use to burrow 15 miles per hour??
10:49 AM,
Neitzche said that if you look into the absyss it looks back at you. He left out the part about how the abyss grabs hold of your eyelids, holds them wide open, and then slithers into your very soul. I am all abyss now. Put your ear near my mouth and hear the howling wind at the core of me... Black Pete is going to stuff transgressors into your yawning sack and carry them to some unknown hell. The message is clear: Know your manners or be damned. You will receive Black Pete's ultimate vengeance.
11:49 AM said...
Holy crap! What kind of shovel does one use to burrow 15 miles per hour??
The one embedded in your arse. You are being told to bend over and used by assholes like John Hagee and Benny Hinn for their own gain.
Mr. "send back all illegals," who on earth are you commenting with? Find some holier than thou blog to espouse your answers to immigration.You chaff my hide dude. Brain dead, dead ends. If the future is doomed why take in breath. The future is your movie, the possibilities are without limit. Shine forth brave souls! Respectfully, Sally.
12:04 WTF are you talking about???
On the heels of a very curious move by Citibank to decrease the amount of cash allowed by Citibank customers to withdraw from their ATMs, word now comes that Citi may cut its workforce bt 5% to 10%.
Citibank told customers in December that outgoing wire transfers from the bank’s accounts would be limited to just $2,000 per day. But wait, there’s more, last week, under the guise of responding to a wave of fraud from automated cash machines, Citi also announced a limit on cash withdrawals from its ATMs in New York City. And you thought the money in your bank account was yours. There could be a perfectly reasonable explanation for all of this. But the simplest explanation is almost always the best. Citibank is in desperate need of its capital. The best way to keep your customers money is to prevent them from taking it out of the bank. It’s a kind of low-level, mild-mannered capital control.
"It should be interesting to hear Obama define "sacrifice." When and if he does. Will he drop the national speed limit like Carter did? That alone made poor Jimmy Carter into the big grinch of the 70's."
Hey excuse my impertinence but wasn't it "Tricky Dick" Nixon that changed the national speed limit to 55 mph and had the long haul truckers going nuts?
Silver is almost $16. an ounce today, it usually goes up and down with gold but is lagging lately.
Might be a way to go, I got a couple 1000 ounce silver ingots that also work great as door stops.
Marty WTSP's quotes Neitzche and looking into the abyss. My stockbroker "friend" looked into the abyss and recommended "we" buy "Countrywide Mortgage" stock cause it is underpriced!
Soon after I threw him into the abyss.
Silver is almost $16. an ounce today, it usually goes up and down with gold but is lagging lately.
Might be a way to go.
THANKS FOR THE NOTICE. I LIKE THAT!
That's a laugh! Dave doesn't have $16 let alone sixteen cents.
1:31pm,
LOL! You DID kinda get me on that one. But when I get my multi-million dollar rap contract, I'll know what to invest it in. (YES!!!, that's a joke!)
Unions pump $1 million into phone-tax campaign
By Kerry Cavanaugh, Staff Writer
...Organized labor has contributed more than $1 million to help Los Angeles Mayor Antonio Villaraigosa persuade voters to approve a Feb. 5 ballot measure that would maintain the city's telephone utility users tax. If voters reject the tax, the city could lose as much as $270 million a year currently generated by residential and business telephone calls. Villaraigosa has warned that if the city loses that money, services will be cut and employees could lose jobs.
Los Angeles County Federation of Labor Executive Secretary-Treasurer Maria Elena Durazo said unions are bankrolling the campaign because losing the telephone tax would hurt city services and the public employees who provide them. It also directly impacts workers, and could cause layoffs if those services are cut. We could suffer."
So far, Villaraigosa has collected $1.6 million in cash contributions from allies including developers and business interests for the campaign to support the measure - but the bulk of the money has come from unions.
The Service Employees International Union and the Los Angeles Police Protective League have each given $250,000,
What a failure our mayor is for putting the city in this position.
What an embarrassment Villaraigosa turned out to be for Los Angeles.
A real black eye in history.
Mayor Sam should make a deal with CNBC to produce a reality show based on Zuma Dogg as the homeless stock guru who lives in a van. My favorite part would be Zuma calling traders on the floor "jealous crybaby" and singing Journey during public comment at the Federal Reserve.
Mayor Sam should make a deal with CNBC to produce a reality show based on Zuma Dogg as the homeless stock guru who lives in a van. My favorite part would be Zuma calling traders on the floor "jealous crybaby" and singing Journey during public comment at the Federal Reserve.
YOU GOT THAT RIGHT.
Prop. S fundraising:
Yes: $1,600,000
No: 0
Walter can play Zuma's song.
^^^^^^^^^^^^^^^^^^^
Walter Moore has always been a loser, so how does this change anything?
WHY WERE THE POLLS SO WRONG ABOUT OBAMA/CLINTON?
Here's something I blogged in '07 that may also be applying to polls:
HILLARY CLINTON VS BARACK OBABMA: Google Trends data shows 'Barack Obama' leading 'Hillary Clinton'.
SO WHAT? Here's why:
Google ratings mean nothing in predicting election results.
Why not? It only represents active internet users. (Skewing younger, demographically.)
However, during a Presidential election all the little ole ladies and older, non-internet savvy users come out to vote.
[Clinton DID do well with ladies and older people, and maybe the polls aren't reaching all of these people. So I DO believe you may see this again. (polls being more wrong than usual.)]
Gold is trading at nearly $900.00 an ounce. I'm hanging on to my futures until later this year.
Silver is at $15.94 an ounce, and platinum fell to $1,558.80 an ounce.
I agree on gold futures through the year. Currently, you may see some profit taking make the price dip...and in late february, when derivative come due (and it's gonna be a disaster/waaaaaay short)...we should see some more of what we saw already this year. (Down, down, down...) Which is good for gold, right? So if people want to buy gold...don't be scared by the current high prices...although it may give back some in the short run (as people take profits), gold's stock is rising. Personally, I like mining stocks, better than regular gold, cause it's faster, although riskier.
Zuma - I do a little placer mining on the side. It feels good to have a few ounces of gold dust safely tucked away. If you're ever near Riverside, look me up... I'll gladly teach you how to pan a few gold flakes.
James Davenport,
Are you the famous IT professor, or just someone who shares the same name?
Zuma - expect my email message to you shortly.
What do you mean by putting money in oil/gold? Be specific. I have money in Vanguard mutual funds, should I put it in Exxon stocks?
How do you buy gold? Do you buy over the internet?
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