Market Comments & News

Happy Thanksgiving.

Lots of Thanks, and lots of Giving.

So, the banks, it seems, couldn't push the prices of gold and silver down last Friday, like they usually do. Both, of course, increased dramatically in price. Possibly, next week could be quite interesting.

Got gold coins in your possession?
Got silver coins in your possession?


CHAPTER FIVE
The German Hyperinflation, 1922-1923

In the autumn of 1923, Lott Hendlich, a German widow in her fifties, returned to her native Frankfurt after an absence of more than four years in Switzerland. In 1919 she had gone to spend a few pleasant weeks in a Swiss village where her relatives lived. But almost immediately, Frau Hendlich broke her hip in a fall. During her long convalescence her chronic cough became worse, and the doctor attending her advised her that she was suffering from advanced tuberculosis. The months and years of her illness dragged on interminably even though her relatives were genuinely solicitous (they insisted on defraying all her expenses, including the fees of her doctor). At last, in September 1923, she was "cured" and considered well enough to return home. Her much longed-for homecoming soon became a nightmare.

In the stack of accumulated mail she found three letters from her bank; they delineated her ruin. The first–written in mid-1920 by a minor bank officer who had befriended her–advised her "to invest most of the funds in your rather substantial bank account" (amounting to over 600,000 marks, or the equivalent of more than $70,000 at the exchange rate prevailing in 1919). "It is my judgment," the writer continued, "that the purchasing power of the mark will decline, and I suggest you try to guard against this through some suitable investment which we can discuss when you come into the bank."

The next letter, dated in September 1922, and signed by another officer said, "It is no longer profitable for us to service such a small account as yours. Will you kindly withdraw your funds at the earliest opportunity?"

The third letter, dated several weeks before her return from Switzerland, announced, "Not having heard from you since our last communication, we have closed out your account. Since we no longer have on hand any small-denomination bank notes, we herein enclose a note for one million marks."

With gathering panic Frau Hendlich looked at the envelope that had contained the letter and the million-mark note. She noticed that affixed to it there was a canceled postage stamp of one million marks. Her bank account–which four years before seemed large enough to provide her with a serene existence to the end of her days–had been utterly consumed by inflation and could no longer pay for an ordinary postage stamp.

Received a flyer from an astrologer which included the following:

"A Rare Time of Luck and Fortune"

"The luckiest times occur when Jupiter and Uranus conjoin, and this only happens every 12-14 years. For the month of December, and ending on Jan. 3, Jupiter and Uranus conjoin for the third and final time in this cycle. And fortunately, no other planetary alignments are occurring that could alter or lessen the lucky energy."

"The next fall rally in gold and silver should commence near December 13. From the signals we see, this rally could be absolutely outstanding. Try your best to own physical gold and silver and trade the shares of the related companies. The next larger-faster phase of commodities trading can continue for another 7 years based upon previous historical cycles."

ttp://www.kitco.com/ind/Wieg_cor/roger_dec102010.html

a bit for fun... plausible?!

https://www.youtube.com/watch?v=2N8gJSMoOJc&feature=player_embedded

From Trader Dan at www.jsmineset.com:

http://jsmineset.com/2010/12/14/implications-of-the-long-bond-price-collapse/

From www.jsmineset.com:

"Technology can be among the most powerful weapons in the dictator’s armory. Propaganda, the suppression of the truth, particularly in democratic societies, will bring upon an age of enslavement where instead of yokes and chains, people in celebrated “free” societies like America will be bound by the soft restraints of ignorance, incuriousness, distraction and irrationality."
–Aldous Huxley
“Great is truth, but still greater, from a practical point of view, is silence about truth. By simply not mentioning certain subjects, by lowering what Mr. Churchill calls an ‘iron curtain’ between the masses and such facts or arguments as the local political bosses regard as undesirable, totalitarian propagandists have influenced opinion much more effectively than they could have done by the most eloquent denunciation, the most compelling of logical rebuttals.”
–Aldous Huxley

From E C DeGroot at www.jsmineset.com:

http://4.bp.blogspot.com/_m5i6pLhlNWU/TRI6UdVaPJI/AAAAAAAADvI/hUs8XEWz74E/s1600/GPM.JPG

Secular Trends Provide Generational Profits.

I’m so sure about this rally, I guarantee every stock on our list will be higher by Presidents' Day

Fellow Investor,

You have just a few days left to get fully invested before a 2011 small-cap rally that is going to blow your socks off.
Sound too good to be true after such a dull December?
In truth, the past few weeks have been the perfect setup for the rally that is headed straight your way.
If you’ve been watching carefully, you’ve seen day after day of low-volume unexciting trading on little or no news.
Ho-hum. No wonder investors have checked out.
But here’s the thing: Stocks haven’t lost any ground. In fact, they keep going up, even on no news.
So what do you think will happen when volume ratchets back up, traders return to the market and outstanding 4th-quarter earnings are revealed?
It’ll be like the shark tank at feeding time!

This Is Your Wake-Up Call

Louis Navellier here, and I can’t wait to capture big profits in the first quarter.
And I’m especially excited about small stocks. I believe the 26% rise in the Russell 2000 last year was just the start of a fantastic small-cap boom that is going to carry over into this year and reward investors who get in now in a big way.
The very best small companies are on fire, showcasing explosive earnings growth, innovative new products and rising market share for their key products. And they’re doing it in an economy that still looks like it’s on shaky ground (more on that in a moment).
I’m telling my subscribers that it’s “Lock and Load Time”—time to get fully invested in our top stocks. But time is of the essence, because even on low volume, our stocks are moving fast.
Case in point: Two of our best small-caps are up 23% and 33% in just the last 30 days.
More evidence: Our entire Buy List is up an average of 45% and our top 5 winners are up an average 149% each!
Now, our overall number includes a few stocks that have disappointed us, of course, but it also includes 11 stocks that are up more than 70% each!
Can you see why I’m so excited?
Before I get too far ahead of myself, let me show you why I’m forecasting a blowout small-stock rally in the next 8 weeks

The January Effect—Small stocks rise faster than blue chips from Thanksgiving to April 15th four years out of every five. With the Russell 2000 already up a tidy 8% since Thanksgiving, I’m confident we’ll tack on a lot more gains in thsi year.

The Bernanke Effect—Thanks to Helicopter Ben’s second round of Quantitative Easing, $600 billion will flow into the markets between now and June. A good portion of it will seek out the highest returns in equities, which is great news for small-cap stocks.

The Interest Rate Effect—Low interest rates don’t just make stocks look good compared to bonds. Low interest rates mean that small caps can borrow to expand operations, take over competitors and refinance existing debt.

The Innovation Effect—Cost-cutting can help a company survive, but companies need breakthrough new products to thrive. The stocks on our Buy List are true innovators, as shown by earnings that double, even triple, from quarter to quarter. Look for our companies’ earnings to accelerate, and M&A activity to grow in lockstep as big companies buy the innovation they can’t create on their own.

The Political Effect—Republicans are proving to be the investor’s best ally—they delivered significant tax cuts and killed a pork-filled budget plan before they even took control of the House of Representatives! With fewer job-killing regulations and aggressive pro-growth policies, small-cap stocks have little to fear from Congress.

The Recovery Effect—Shhh… don’t tell the “experts,” the recovery is real. In just the last month, we’ve learned that factory orders are UP, capital goods are UP, the ISM service index is UP, productivity is UP and consumer spending is UP. All great news for the fastest-growing stocks—small caps!

For more than 30 years, I’ve brought the most innovative companies in the world to the readers of Emerging Growth. And our track record shows just how wealthy these stocks can make you: We have beaten the S&P 500 by nearly $3-to-$1 over those 30 years.

No surprise that such strong results are fueled by fast-growing stocks that we find long before anyone else does:

Envirodyne +1,704%
Optical Coatings +1,579%
L.A. Gear +820%
4Kids Entertainment +786%
Photon Dynamics +971%
Glenayre Technologies +688%
Holly Corporation +457%
Hansen Natural +1,125%
América Móvil +347%
Valero +180%
NutriSystem +169%
IPSCO +107%
Radcom +164%
Spreadtrum +152%
And my risk-free trial guarantees that my current crop of small-cap stocks will hand you similar profits before the year is out—or you won’t pay a dime. No questions asked.

But you’ll need to hurry. This train is leaving the station… with or without you!

Add it all up, and you can see why I’m so excited about small stocks, and why I’m so eager for you to try Emerging Growth.

The Master Key to Picking
Great Small-Cap Stocks
If you’re with me so far, your next question is a simple one… how do you pick the best small-cap stocks to buy now?
The answer is simple: Earnings are the best indicator of a stock’s ability to turn promise into profits. And the best small-cap stocks—the only ones to make our Buy List—show their stuff with blockbuster earnings:

Our top precision instrument company earned just $0.04 a share this time last year. This year, $2.04 a share! That’s a testament to the company’s fantastic growth, higher margins, and revenues that quadrupled in just a year. Can Applied Materials say that?

Maybe the BDI is going down because so many new ships have come into operation.