This post was published at CNBC Television
This post was published at GoldSilver (w/ Mike Maloney)
There is a new Gold Rush 2.0 currently underway across the world, and prospectors have their eyes set on Winnipeg City in Manitoba, Canada.
In 1848 through 1849, the news of gold quickly spread around. People from Hawaii and Latin America were the first to hear the breaking news. Next came the rest of the U. S., Europe, Australia, and China in 1849, as the peak rush was seen in 1852, after gold reserves became harder to mine. The buzz around bitcoin is similar, although information dissemination is now much quicker and as the euphoria of bitcoin mining spreads across the globe, many cryptocurrency players have started their descent onto Manitoba in search of cheap power for their digital mining operations.
The gold rush ushered in the development of California in the 1850s and ultimately it became a state. Roads, churches, schools, and entire towns were built, to house the gold miners who sought nothing more than to extract the yellow metal from the foothills. A similar fate may await one Canadian city.
CBC News has learned that international investors have had interviews with ‘commercial real estate companies, economic development organizations, cryptocurrency industry players and Manitoba Hydro,’ who view the area as a ‘top-tier location’ to open up a mining shop. CentrePort Canada, North America’s largest inland port, offers 20,000 acres of cheap commercial land in Winnipeg, says early interest from Asian investors and South American companies who want to mine cryptocurrencies is currently underway. CentrePort president and CEO Diane Gray said, ‘we’ve had inquiries from very large non-Asian companies, some of which have roots in North America and are looking to expand significantly.’
This post was published at Zero Hedge on Dec 22, 2017.
The best performing precious metal for the week was palladium, but it clocked in with a price decline of 1.41 percent. In an interview with Sharps Pixley’s Lawrie Williams, precious metals specialist Ted Butler said his analysis shows that, for at least the past nine months or longer, Goldman Sachs and JPMorgan Chase are taking 80 percent of all COMEX physical deliveries of gold and silver. Butler believes that someone would only take delivery if you thought the price was going to go up in value. A Shariah-compliant gold ETF targeting Malaysian institutional investors will be made available by Affin Hwang Asset Management. The ETF was listed on the Kuala Lumpur stock exchange on Wednesday. Traders are still reluctant to bet against gold even with impending tax cuts and rate hikes, thought to be negative for the yellow metal. Bearish positions on bullion futures and options were at a five-year low last week. Weaknesses
The worst performing precious metal for the week was platinum, down 5.53 percent. Traders surveyed were overwhelmingly bearish ahead of next week’s Federal Reserve rate hike expectation. The world’s second biggest market for gold, India, reported a third consecutive month of decreased imports. Additionally, Australia’s Perth Mint reported gold sales of 23,901 ounces last month, about half of the prior month’s volume
This post was published at GoldSeek on 11 December 2017.
Some people were predicting Bitcoin would push through the $10,000 level before the end of the year. At the rate it’s going, it may happen before the end of the month.
Bitcoin is on a roll. The cryptocurrency broke $9,000 over the Thanksgiving holiday and quickly pushed up to $9,700. There are also increasing signs of mainstream adoption. CME Group plans to list Bitcoin futures beginning in mid-December, and Coinbase says it added more than $100,000 new users over the Thanksgiving holiday.
Some analysts look at all the action in the world of cryptocurrency and predict the demise of gold. But there are plenty of reasons to believe gold will be just fine.
Last month, Jim Rickards called the raging gold vs. Bitcoin argument a ‘phony debate,’ because cryptocurrencies and precious metals are fundamentally different things.
From my perspective, you might as well discuss gold versus watermelons or bicycles versus bitcoin. In other words, it’s a phony debate. I agree that gold and bitcoin are both forms of money, but they go their own ways. There’s no natural relationship between the two (what traders call a ‘basis’). The gold/bitcoin basis trade does not exist.’
The managing director of Australia’s biggest gold mining company recently made a similar point. Sandeep Biswas called Bitcoin a new age currency entering into the mix with old age currencies, but he doesn’t view it as a threat to the value of gold.
This post was published at Schiffgold on NOVEMBER 27, 2017.