Speculation is, at last, starting to rise that the HK$/US$ peg could break. The all-powerful governments are suddenly being seen as no so powerful. The massive dollar rally that our model has been forecasting is rather straight-forward. The higher the US$ rises, the more deflation will be exported to economies that are out of sync […]

In China, the Shanghai share market broke its major psychological support at 3000. The selling pressure has continued to expand on time here in January as oil also broke its major psychological support at $30. These levels are not really important, technically speaking, but they are more important to fundamentalists. In the case of Shanghai, the […]

Deutsche Bank sold off its gold storage facility in London as it continues to exit from the financial markets and contracts back to being a core bank. The gold vault was bought by the world’s largest bank in terms of market value and assets under management, which believe it or not, is now the Industrial […]

With Japan closed (Coming of Age Day) we were forced, yet again, to watch the excitement unfold on the Chinese exchange. Most of the talk was on the foreign exchange market where the off-shore currency quote (CNH) saw a huge jump (940bp) on the Hong Kong overnight quote to a 6.5850 (last seen +1.5% against […]

Country 2011 2012 2013 2014 % of Total 2014 Afghanistan 6,344,642,495 7,152,304,412 7,288,702,809 7,528,550,402 0% Albania 2,471,402,948 2,599,863,604 2,773,278,168 2,665,216,203 0% Algeria 191,369,117,586 200,586,904,406 201,436,605,684 186,350,597,819 1% American Samoa 0% Andorra 0% Angola 28,786,209,253 33,414,773,293 32,780,375,986 28,130,311,504 0% Antigua & Barbuda 147,868,736 162,045,102 202,580,587 297,046,138 0% Argentina 46,265,809,101 43,223,271,091 30,533,921,358 31,410,823,483 0% Armenia 1,932,472,154 1,799,374,401 […]

The goldbugs spun the tail that China was going to save them by making gold $50,000-$100,000 an ounce because money, in their minds, has to be tangible. However, China’s $3 trillion-plus in foreign currency reserves was the biggest stockpile in the world, They had no such intention of swapping it all for gold. As a […]

As you would have expected, all eyes were on Shanghai as the stock market opened with no limit restrictions imposed. It was not to be the session from hell that some dealers had feared but was almost calm. It is human nature to want to sell when they are restricted. When they have the ability […]

Why has China become so important? Largely because global investors are in this transition mode and do not understand how or why the foundation of everything is changing beneath them. The market turmoil in China spread around the world on Thursday as global investors took their lead from China as a contagion unfolded with no real understanding. […]

For the second time this week, China’s stock exchange saw a closing due to limit down (7% move). It happened early in the day (actually, only half an hour into the trading day) which spread an uneasy tension to the Nikkei and Heng Seng. The Nikkei lost 2.33% (as the JPY strengthened), whilst the HSI […]

The U.S. share market has fallen following the problems in China. We elected the Daily Bearish Reversal at the 16933 level and this warned of a test of the next important support zone. A daily closing below 15980 will warn that we may in fact penetrate last year’s low and pull off a slingshot move. […]