Correlation Economics Backup

The Conference Board reports numbers on Help Wanted Online Ads each month. As you can see, the HWOL is inversely correlated to unemployment rate. So the recent drop in HWOL in June 2016 should be a bearish indicator for the unemployment rate in the U.S. Monitoring the HWOL is important to predict job numbers.   For more info, see this article .

The new numbers from May 2016 are out from the ECB and we see that there are no deposit flights yet, except for Italy and Austria. Italy seems very curious, as we have a banking crisis there, so maybe we are seeing some cracks there. Austria had a banking crisis with Hypo bank.  

We saw record GLD inflows yesterday. Someone bought 30 tonnes of physical gold in 1 day, the highest since 2009. As I said, gold is going much higher. And we are not even in delivery month September yet.

As a reminder, on April 21st PIMCO's Harley Bassman suggested "The Fed should monetize gold"... In " Rumpelstiltskin at the Fed ", Bassman goes down the well-trodden path of proposing Fed asset purchases as the last ditch panacea for the US economy, however instead of buying bonds, or stocks, or crude oil, Bassman has a truly original idea: "the Fed should unleash a massive Fed gold purchase program that could echo a Depression-era effort that effectively boosted the U.S. economy." He is of course, referring to FDR's 1933 Executive Order 6102, which made it illegal for a citizen to own gold bullion or coins. Americans promptly sold their gold to the government at the official price of $20.67, with the resulting hoard of gold was then placed in Fort Knox. The Gold Reserve Act of 1934 raised the official price of gold to $35.00, a near 70% increase. It also resulted in an implicit devaluation of the US dollar. As Bassman points out, over the three y...

Brother John has shown an interesting site to observe premiums on gold/silver between West and East: http://didthesystemcollapse.com/ Interesting to see this: