Central banks are institutions that manage a nation’s currency, money supply, and interest rates. Central banks also oversee a nation’s banking system and are the lenders of last resort in a time of crisis. Central banks are normally a separate body from the political establishment. The goal of central banks is to create stability and low inflation in the system.
Top Countries with the Largest Gold ReservesIs Gold Bullion at a Crossroads?Gold has had a remarkable run since it started its nascent rise in early 2001, climbing more than 650% between April 2001 and September 2011. Since then, gold prices have either taken a breather or are preparing for another upswing. Based on the gold purchases. Read More
Over the long term, I am watching how central banks are reacting in order to assess the gold market. I believe they will be a major force driving the yellow metal prices higher.Central Banks with Gold Aren’t SellingYou see, those who have the yellow metal stored in their reserves aren’t selling it.Consider the Central Bank Gold Agreement. Read More
Irrationality prevails in global stock markets and I believe it’s because of the actions of central banks. What’s happening with central banks and their involvement with equity markets not only is unprecedented, but it also will not end well.Japanese Stock Market Topping 20,000Just look at the chart below of the Tokyo Nikkei Average—a. Read More
With 20 central banks indicating they may lower interest rates even further, a world economic slowdown underway, and bellwether copper prices collapsing, U.S. multinational companies (and their stock prices) will not escape the malaise facing the global economy.Central Banks Concerned Regarding Global Economic Slowdown?The. Read More
The amount of pessimism towards gold companies is severe. If you have been listening to the mainstream financial outlets, you may be convinced by now that they are the worst investment you can add to your portfolio. But I disagree with this notion. In fact, I believe mining companies are setting up to provide investors with solid returns. Read More