Thursday, May 19, 2016

The U.S.$ Bull Market Is In Trouble
Sprott's Rick Rule: 
"Everybody points to a number of different factors in the precious metals market, but I think the most important is that precious metals trade contra to the U.S. dollar, particularly the U.S. dollar as expressed by the U.S. 10-Year Treasury. U.S. Treasuries have been in a 35 year bull market .. Whether or not U.S. Treasuries have further to rise is less relevant than whether you are the beginning or the end of that bull market. The interest rate on the U.S. 10-Year Treasury has fallen from 15% to 1.7%, in what has been an absolutely historic bull market. And I would venture to guess that the bull market in the U.S. 10-Year Treasuries is much close to the end of the bull market than to the beginning .. If you believe, as history has shown for the last 30 years, that gold primarily trades contra to the U.S. dollar, particularly contra to the U.S. dollar as expressed by the U.S. 10-Year Treasury, then the gold bull market has lots further to go."
LINK HERE to the article

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