In USA their recovery is on track, jobless rates are dipping. Fewer applications are filed in November 2014 for unemployment benefits. In the month of October it stood at 5.8%, while in September it was 5.9%. It's came off a peak of 10% after the sub-prime issue six years ago. It's getting rosey and rosier.
A new Men-in-the-Streets Talk for 2015 - Currencies!
Mixed data ECB is considering quantitative easing as it currency dip to a two year all time low against the US dollar. Even the Japanese yen is now at 120¥. A first time ever since 2007 to a US dollar, while the Aussie dollar is projected to dip below 79 US cents. Are these the actions of speculators? Even the Central Bank of Malaysia has issued a "stern reminder" to its banks requiring them to provide documentation for ringgit exchange for foreign currencies - the ringgit fell to an all time low in almost 5 years ( RM 3.67 in Feb '09). Russia is also not spared, their Ruble is also under attack but for reasons basing on its policy for Crimea and Unkrien. And there are hedge funds raising cash for the Argentine debt crisis that is anticipated to have a potential resolution.
What Gilters May Not be Good or is Gold going to glitter in 2015.
Before the 1986/88 global recession gold hit a all time high of US$ 800/oz before it went into a range bound of US$ 400/oz. Only in 2008, after almost twenty years did it go back to US$ 800/oz. The increase continued till it went above US$ 1800/oz before it retreated to the current levels of US$1100/oz. Your guess is correct! Are we going into a range bound gold price for another twenty years? A lot out there disagree as they believe that gold is a precious metal that is depleting. Their theorium of supply and demand. Which brings us to crude oil.
What's Installed for the Black Gold - crude oil?
It's all time low is US$32pb, it's all time high was US$140pb. It's also a commodity that's depleting. Today its ranging at below US$ 70pb. There's a lot of commentary about shale drillers in the US and OPEC in a full blown price war that's has resulted in the current price levels. OPEC is not in the near future going to trim or cut production as the current levels of excess stock pile is hurting producers while the consumers are enjoying. There is also the 300,000 barrels of Iraqi oil that's coming into the market that's pointing to a prolong crude oil price dip that not seeing an end any sooner.
So till then!
Adios Amigo!
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