Trade Deficit Worsens
By CIGA Eric
An economy with structural deficits (consumes more than it produces) will show an increased trade deficit as the economy improves. This will only serve to further weaken the dollar. Gold is now entering the sweet spot.
Click charts to enlarge
![clip_image001[4]](http://jsmineset.com/wp-content/uploads/2009/09/clip_image00141.jpg "clip_image001[4]")
![clip_image002[4]](http://jsmineset.com/wp-content/uploads/2009/09/clip_image0024.jpg "clip_image002[4]")
Dear Mr. Sinclair,
We know the issues with ETF’s. This company ETFs Securities just launched a new gold ETF that holds the bullion in Switzerland and claims more stringent audit rules and daily bar listings.
More legitimate than GLD? Who knows – as you often state, nothing replaces metal in hand. Maybe they are attempting to capitalize on the out of favor status of GLD. Either way it represents at least a bit of additional gold demand. It will be interesting to watch how this competes with GLD.
http://www.etfsecurities.com/msl/etfs_physical_gold_us.asp
Best Regards,
CIGA Marc
Jim,
Federal Debt Held by Foreign & International Investors (FDHBFIN) and the Equilibrium Price (FDHBFIN/OZ)
CIGA Eric
Hi Jim,
I guess there was no rush after all!
Best,
CIGA Bernie
US to start purchases of ‘toxic assets’ next month
WASHINGTON (AFP) – US authorities will launch a much-delayed program to buy up "toxic assets" in the banking system by early October, a Treasury official said.
"The dollars will start to be invested later this month (or) early next month," said an official who asked not to be identified.
The purchase of these assets was the original purpose of the 700-billion-dollarTroubled Asset Relief Program passed by Congress last year, but officials backed away from this idea at the time because of problems in pricing the assets.
Hi Jim,
Below is the latest Gold Currency Index daily chart. It is continuing to consolidate that recent breakout as gold battles the $1,000 level. The material breakdown in the US dollar (chart also below) should provide gold with the fuel to take out this psychological resistance. It’s getting interesting…
Best,
CIGA Erik
Prometheus Market Insight
http://www.prometheusmi.com
Click charts to enlarge
Jim,
The greatest tragedy of economic fraud!
CIGA Marc
U.S. poverty rate hits 11-year high as recession bites
Thu Sep 10, 2009 4:35pm EDT
By Lucia Mutikani
WASHINGTON (Reuters) – The U.S. poverty rate hit its highest level in 11 years in 2008 as the worst recession since the Great Depression threw millions of Americans out of work, a government report showed on Thursday.
The Census Bureau said the poverty rate — the percentage of people living in poverty — jumped to 13.2 percent, the highest level since 1997, from 12.5 percent in 2007.
About 39.8 million Americans were living in poverty, up from 37.3 million in 2007.
Despite signs the economy was showing signs of crawling out the slump that started in December 2007, the poverty rate would rise gain this year and beyond 2010 as unemployment would stay elevated for a while, analysts and the government warned.
