Chyden Finance: profit from hypocrisy

“If a bridge collapses, you don’t focus your attention on the last truck that crossed it.”
Invest accordingly.
CWE

Baron Rothschild, who provided funding to Cecil Rhodes to establish the De Beers diamond cartel, is quoted saying, “Buy when there is blood in the streets.” Warren Buffet, paraphrases this sentiment with somewhat more tepid political correctness, “Be fearful when others are greedy, and be greedy when others are fearful.”
Markets experience cycles. Pardon [...]

CNBC reports that policy makers at the People’s Bank of China (PBC) indicated recently that they are ready to allow the Chinese yuan (CNY) to appreciate against the US dollar (USD).
In August 2009, Finance Ministers of the BRIC countries (Brazil, Russia, India, and China) began exchanging large quantities of USD for IMF-issued Special Drawing Rights [...]

Today, gold hit USD 1,130 USD 1,140 per ounce and oil approached USD 80 per barrel. Will we look back on this as a spike or with wistful nostalgia?
Invest accordingly.
CWE

“This hockey stick should take your breath away.”
In nominal terms the US market bottomed out in February/March 2009, about a month after this video was originally posted.
Notice that the major market indices are all up over six months ago. Note also that gold and silver are up.
Granted, two data points do not define a [...]

“Crime, once exposed, has no refuge but in audacity.”
—Tacitus
N. Gregory Mankiw is a Keynesian economist ensconced in Harvard University. His textbook, which I have had to use when teaching Economics, is one of the most popular on the market, even though it lacks many of the most basic graphs, is weak on vital microeconomic [...]

Those who forget my blog posts are doomed to repeat them.
In June 2009, I wrote, “Today, we are witnessing something of an anti-fall of the one remaining Great Power. Where once there was a bright shining Emerald City at the peak of the mountain — a magical and mysterious land called America — the sides [...]

Bloomberg.com reports, “The dollar’s share of global currency reserves fell in the second quarter to the lowest level in a decade as the holdings of euros rose to a record.”
Demand down, price down.
Keep watching those graphs on the right and invest accordingly.
CWE

A decade ago, one troy ounce of gold cost about USD 250. Today, a troy once of gold is going for about USD 1,000.
r = (FV/PV)^t, where:

r:
rate of return

FV:
future value (here, 1,000)

PV:
previous value (here, 250)

t:
time (here, 10)

And the calculator says…
r=14.87% per year, on average. Over the past decade, gold has returned approximately 15% per year, [...]