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DOW Jones Industrial Average
- Current Market Quotes
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The ratio of gold to
silver prices is around 80-to-1. The historical average ratio is
about 20-to-1 |
Pay attention to gold and silver
reserve/resource ratios, or how much they’re producing relative to how much
they still have in the ground.
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The Earth's crust contains
about 15 ounces of silver for every one ounce of gold.
That long-term relationship (15 to 1 ratio) between gold
and silver was true for many centuries.
Today, however, one can obtain 70
ounces of silver for the price of an ounce of gold. (70 to 1 ratio)
The huge disconnect from the historical ratio forms an important contention
that silver could deliver
greater upside than gold as the mother of all
currency, as the financial crisis plays out across the globe.
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Best Performing Mutual Funds
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Best Mutual Funds in Last 3 Months
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ASSORTED STOCKS AND
FUNDS BELOW - FOR RESEARCH
Note the 52 week high and low - PE Ratio (price to earnings) and
Dividend Yield
Pipelines TransCanada
TRP Kinder Morgan
KMP
Teppco TPP
Williams WMB Dynergy DYN
Pengrowth Energy Trust Canada
PGH
Harvest Energy
HTE Penn West
PWE
Florida Power FPL
Canada Energy Trust
ERF (Note the
dividend Yield)
Brazil Petroleum
PBR
Natural Resources and Uranium
Billiton Limited Australia
BHP
Food Resources
Archer Daniels Midland
ADM
Bunge BG
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Wireless, Computers
and Technology Intel
INTC
Cisco Systems
CSCO
Qualcomm QCOM
Research in Motion RIMM Computer Speech NUAN
Apple AAPL
Intl Bus Machines
IBM
Google
GOOG
Yahoo YHOO
Microsoft
MSFT Microsoft may consider Yahoo again
General Electric
GE WalMart
WMT WalMart In Mexico
WMMVF
China Funds and Stock
Templeton Dragon Fund
TDF
China Tech CNTF
Latin America Telecom
AMX
Mutual Fund
PRLAX
Stem Cell Research
GERN
STEM
ALXN
KOOL
Financial Crisis from Credit Default Swaps - American International Group
AIG
Bank Stocks Bank of America
BAC
CitiGroup C
JPMorgan Chase
JPM
Wells Fargo WFC
Auto Stocks General Motors
GM
Liquidated
Ford F
Toyota TM
Nissan NSANY
Oil Stocks
(XOM) Exxon Mobil
(BP) British Petroleum
(CVX) Chevron
(COP) Conoco
Phillips
Ethanol Stocks VeraSun Energy
VSE is the largest ethanol
stock. The stock price is down 40%.
Pacific Ethanol
PEIX a large ethanol stock is down from
a high of $42 a
share in 2006 to under $1 now
Since January 2008, a popular exchange-traded fund (ticker:
GLD) that
tracks the price of gold bullion is up 9% - versus a 32% loss for an ETF
that tracks gold miners (GDX).
The breakdown comes thanks to the credit crisis and a surge in input costs
that have sapped profits of companies that mine gold.
August 2010 -
Gold advanced on signs that the global economic recovery is sputtering,
helping to revive demand for the metal as a store of value. Gold is up 9.3
percent this year and set for its 10th straight annual advance, the longest
winning streak since at least 1920, as investors shield their wealth against
economic turmoil and the prospect of currency debasement.
July 2010 China has moved to liberalise its gold market further,
increasing the number of banks allowed to trade bullion internationally and
announcing measures that will encourage development of gold-linked
investment products. The move by Beijing’s central bank comes as the
country’s investors pour record amounts of money into gold, in a trend that
is becoming a significant factor on global prices. Last year,
Chinese
investors bought 73 tonnes of bullion, up from 18 tonnes in 2007. The new
policies were likely to increase liquidity in the domestic gold market and
spur the development of gold financial products, analysts said. China is the
world’s largest gold producer and the second-largest consumer, after India,
but its domestic market remains constrained by limited investment products.
In terms of Gold the Dow lost 77% purchasing power
from 2000 to 2008.
Jan 2000. The Dow at 11,750. If you
invested $11,750 in the Dow, you could have bought
41 ounces of gold ..462 barrels of oil ..134 pounds of copper.
May 2008. The Dow at 13,000. If you invested $13,000 in the Dow it
would only purchase
14.38 ounces of gold or 65% less than it did in 2000. 105 barrels of oil or
77% less, 74% less copper
Starting Jan. 1, 2012, New Tax - Section 9006 of the Obamacare
will amend the Internal Revenue Code to expand the scope of Form 1099. Every
time a member of the public sells more than $600 worth of gold to a dealer,
the transaction will have to be reported to the government by the buyer.
Currently, 1099 forms are used to track and report the miscellaneous income
associated with services rendered by independent contractors or
self-employed individuals. Form 1099s will become a means of reporting to
the Internal Revenue Service the purchases of all goods and services by
small businesses and self-employed people that exceed $600 during a calendar
year. Precious metals such as coins and bullion fall into this category and
coin dealers have been among those most rankled by the change.
This provision, intended to mine what the IRS deems a vast reservoir of
uncollected income tax, was included in the health care legislation
ostensibly as a way to pay for it. The tax code tweak is expected to raise
$17 billion over the next 10 years, according to the Joint Committee on
Taxation.
Those already outraged by the president's health care legislation now have a
new bone of contention.
Since March 2009 the Securities and Exchange Commission is still soliciting
comments and proposals concerning restoring "The uptick rule"
Sec.Gov
The uptick rule was instituted by the SEC following the Great Depression,
said that the short selling of stocks could be done only after the share
price ticked higher above the prior sale. The rule was designed as a
guardrail to prevent short sellers from driving the price of a stock lower
at a faster clip.
In a short sale, an investor borrows a stock from a broker, sells it to
other investors, and tries to buy it back at a lower price before returning
it to the original lender. The difference in the transactions is kept as a
profit.
The SEC made the controversial decision to eliminate the uptick rule in June
2007 after its analysis showed it did little to prevent the manipulation of
share prices. Of course, many market participants point to the SEC's
decision as the catalyst that helped short sellers thrive in 2008.
The Fifth Amendment states, "No person shall be deprived of life,
liberty or property, without due process of law; nor shall private property
be taken for public use, without just compensation."
Critics of the current financial system argue that using Federal Reserve
notes as legal tender, rather than gold or silver-backed currency, means the
value of Americans' money and thus their "property" is siphoned away by
inflation, a process perpetuated by the government's reliance on legal
tender. Gold and silver, critics say, don't lose their value on the whims of
the Federal Reserve.
U.S. Rep. Ron Paul, R-Texas, even favors abolishing the Fed's system of fiat
currency to return to dollars backed by gold. "Throughout its nearly
100-year history, the Federal Reserve has presided over the near-complete
destruction of the United States dollar," the Texas Republican said. "Since
1913 the dollar has lost over 95 percent of its purchasing power, aided and
abetted by the Federal Reserve's loose monetary policy.
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Mortgage rates for 30-year fixed U.S. home loans
around 5%
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