The Impartial Lens

 Global monetary order is evolving as the Chinese Renminbi has recently entered the IMF’s Special Drawing Rights (SDR’s) basket of top-tier currencies which determines currencies that countries will receive as part of IMF loans.

  ‘The time to repair the roof is when the sun is shining’. – John. F. Kennedy The uncertainty that dominates the global markets is breeding fear which we believe will ultimately send precious metal prices higher.

 India has recently surpassed China to become the fastest-growing economy in the world. Prime Minister Modi’s new reforms are countering years of anti-capitalist regulations of previous heads of state. We believe that India has the potential to be among the strongest economies over the long-term.

  For those of us with little interest in dealing with the headaches of being a landlord or simply lacking the funds to be one but still would like to earn cash flow from real estate, investing in Real Estate Investment Trusts (REITS) provides a solid option.

   We wrote in June 2015 in a post titled ‘Investing in China’: ‘China is on the move. it has currency swap agreements with a lot of major trading partners. It has opened up its internal markets to the outside world and together with a stable currency,

Thanks to exchange-traded funds, we can now invest some capital via an online brokerage account to access and profit from some juicy gains being made around the world. This year we have seen Peru (EPU) lead the way with a 63% surge since late February. 

   Gold’s long-term trend remains intact with a $300 rally over the past 7 months.  We went long Gold on 1 February 2016 and the physical price has increased by 22% since. GDXJ (Junior Miners) has surged 158% since the 3 February.

 It’s important to remember that gold and silver trade against the price of the U.S. dollar, the dollar is the counter-balance to gold and silver. When the $U.S. strengthens we usually see pressure on gold and silver prices and when the $U.S. weakens, gold and silver usually rally.