The richest one percent of this country owns half our country's wealth, five trillion dollars. One third of that comes from hard work, two thirds comes from inheritance, interest on interest accumulating to widows and idiot sons and what I do, stock and real estate speculation. It's bullshit. You got ninety percent of the American public out there with little or no net worth. I create nothing. I own.
Monday, July 20, 2015
GOLD MINERS SLAUGHTERED
Precious metals sector is under pressure yet again. In early morning trade, Gold (NYSE: GLD) broke below its important technical support, triggering stop losses. At one point, the yellow metal was down 5%. Those of you who have subscribed to the newsletter would recall important warnings that Gold’s recent two year consolidation was not a basing pattern.
Chart Of The Day: 5 year compound return for miners is lowest in modern history
Source: Short Side Of Long
Golds sell off impacted the overall sector, including miners. Gold mining index (NYSE: GDX) is currently down 8%. Furthermore, the index has lost almost 50% over the last 12 months. Barrick Gold Corporation (NYSE: ABX), one of the worlds biggest mining companies, is currently selling off by as much as 12.5%. Shockingly, Barrick has lost almost 45% in 2 months; while Silver Wheaton (NYSE: SLW), wordless biggest silver miner, is down almost 40% in in the same time period.
Finally, I leave you with a chart, which shows that Philadelphia Gold & Silver Index is approaching important support levels dated all the way back to early 2000’s. As a sidetone, the 5 year compound rate of return for the Precious Metals mining index is now the lowest in its modern history (since early 1980s).