ITS A GREAT PITY THAT THE FIGHT ON BALANCING THE USA BUDGET ENDED IN DEADLOCK.BOTH THE DEMOCRATS AND REPUBLICANS WERE RESPONSIBLE.WE DO NOT THINK THEY REALISED THE DAMAGE THEY DID.THE MAJORITY VOTED FOR THE DEMOCRATS SO LET THEM HAVE THEIR MEDICAL SCHEME.THE SO CALLED "TEA PARTY" WERE ALSO VOTED IN ,MANY IN FORMER DEMOCRATIC SEATS BY THINKING VOTERS WORRIED BY THE EVER INCREASING DEBT AS THE DEFICIT DRIVES THEIR GOVERNMENT FURTHER OUT OF KILTER.ONE CANNOT RUN A COUNTRY ON BORROWED MONEY FOR EVER.
SEE REST OF THIS ARTICLE BELOW ALERTS AND NOTES
28 NOVEMBER REVEIW.
With the year end closing rapidly upon us and all the holidays ahead the market usually wanes some what.Since trading numbers are lighter than usual,are also erratic we do the final page updates in January 2014,for the pages in the index above,which then gives a more accurate figure.
That said it has been a marvellous year for stocks and shares.Now they are slightly overbought and the trend is likely to be a modest retreat.
We shall deal with the Tapering issue in the new year.We really do not fear it to the extent mentioned by doom sayers.The Main post will published in December as well.
21 ALERT.
Gold demand has fallen about 20% in the third quater of this year,possibly caused by India banning the import of the metal to preserve their currency.How ever now an increase in imports is taking place in countries bordering on India,leading to the suspicion that illegal trade into India may be increasing.A smaller decrease has taken placee in the Western World ,but a slower increase is taking place in the East
13 ALERT Australa's punitive super tax on resources led to the cou being less attractive to investors.It also did not produce the revenues that were expected and stopped development of new mines.It led to the demise of the labour government then.A further carbon tax only further distressed the country.Now in electioneering Abbott has said he will repeal both taxes to restore Australias competitiveness and already the fruits of this policy are beginning to flow through.This should be a lesson to us, here in South Africa. You have been warned!
7 ALERT Mark Cutifani CEO of Anglo American at a Chamber of Mines conference has pointed out eight out of ten South Africans are some way dependent on mining for income.The fastest way to eliminate poverty is to work hand in hand with major miners on the NATIONAL DEVELOPMENT PLAN BY GOVERNMENT.
2 ALERT GLENCOREXSTRATA will obtain a secondary listing on the main board of the JSE on the 13 November.Their primary listing is on the LSE.They have large interests in copper and coal amongst other metals.This move should shake things up locally.
NOTE 1 The latest page updates are always at the bottom of the index above.
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IT MIGHT BE SEEN AS PRESUMPTUOUS FOR ME TO TELL THE AMERICAN PEOPLE ON HOW TO RUN THEIR COUNTRY,BUT I COULD NOT HELP TO NOTICE THAT EVEN IN LAST WEEK BOTH TURKEY AND A RUSSIAN STATE BOLSTERED THEIR GOLD HOLDINGS.HOW EVER YOU LOOK AT IT CONFIDENCE HAS BEEN SHAKEN.EVEN CHINA WHO HAS HELPED AMERICA WITH VERY LARGE AMOUNTS OF MONEY WAS WORRIED.
The question is what do countries worldwide do to bolster their reserve currencies ?
1.They have not entirely lost faith in the US Dollar,but obviously they feel they should have some alternatives as well,to meet all eventualities.
2.Europe followed a different route during the recession,although they are not out of the woods many countries were impressed by their belt tightening and refusial to print paper notes with out backing.Therefore countries are opting to hold quantities of Euros in their reserves as well.
3.GOLD is seen as a reserve currency,with out borders and is as popular as ever.When Cyprus defaulted the Union wanted to take their whole gold holding as colatteral for a further loan,but was strongly resisted by them.
4.The United States still keeps large reserves of gold in their vaults in Philedelphia and at Fort Knox as a back up.One could also count their and many other countries "strategic" reserves of oil and other minerals as reserves as well.
THERE IS ALWAYS A CRY THAT THE PRICE IS MANIPULATED DOWNWARDS.How ever all countries are likely to prefer a stable,not volatile price and probably WILL NOT let the price fall very low as this would damage the worth of their reserves.
