(Mike Larson is out today. With the wild action in the markets today, Larry Edelson, editor of the Real Wealth Report and Supercycle Trader, wanted to give readers this special Afternoon Edition.)
Just over a week ago in an exclusive webinar, I told members of my Supercycle Trader service and Real Wealth Report that the first of the New Year was looking like holy hell would break loose.
Market Roundup
And wow, has it. Stocks tanked all over the globe. China’s main stock index, down almost 7%, setting off circuit breakers. Hong Kong, down more than 3%. South Korea, down 5.75%.
And that’s just Asia. The carnage is racking up in Europe as well, where Germany’s DAX was hit with a 4.4% kick in the pants. In the U.S., the Dow tumbled more than 400 points at the open but cut its losses in the end, falling “only” 276 points.
What’s the cause? Why the carnage? It’s simple:
FIRST, global stock markets have been splintered, limping along in a mirage based on a few high-flying stocks, for months now. True for Asia. Europe. And the United Sates.
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| Tensions are rising between Iran and its Middle East rivals. |
So when you have markets that are not being supported by the troops, so to speak, it’s just a matter of time before those markets implode.
SECOND, the still-strong U.S. dollar is making DEFLATION worse on virtually every continent. That’s because when global economies weaken and investors start to run for cover, the dollar strengthens by default.
Case in point: Even China’s yuan has been sliding against the dollar, despite Beijing attempting to haul its slide by recently shuttering foreign exchange operations at three major Chinese banks.
THIRD, the war cycles I have been warning you about! Just consider the weekend’s events of an escalating war of words between (a) Saudi Arabia/Bahrain and (b) Iran.
As you may know …
The Saudis and Bahrain just ended formal diplomatic relations with Iran because … their embassies were attacked yesterday, due to the Saudi’s beheading of a leading Saudi Shia cleric.
So the fear now is a Saudi-Iran war, along with regional Shia-Sunni violence!
Is it any wonder gold is starting to lift its head, up over $17 today, right on cue with my forecast? Hardly!
Is it any wonder oil is starting to rally, right on cue with my forecast that it would bottom TODAY, Jan. 4? Hardly!
Today’s action shows again why it’s a dangerous world. You can still invest profitably, but you need to get the best advice and to look at all corners of the globe for the signs of the war cycles that will determine which way the markets go.
Best wishes,
Larry
(Editor’s note: See information on Larry’s Supercycle Trader service below.)
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Mike Larson will return tomorrow and will read over your comments and respond to as many as possible.
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Lyft Inc. just got a boost in its battle with Uber Technologies Inc. in the ride-sharing segment of the new economy. General Motors (GM) said it will invest $500 million in Lyft. The investment is part of a $1 billion financing round for Lyft, and is the biggest deal by an automaker in the ride-hailing industry.
Have you taken advantage of such services for your transport needs? Was it a pleasurable experience? Let us know below.
Reality TV star and business mogul Donald Trump has released his first paid television ads in the run-up to Republican presidential primary voting. “I am very proud of this ad, I don’t know if I need it, but I don’t want to take any chances because if I win we are going to make America great again,” Trump said in a statement. Although designed as a paid announcement, the advertisement received heavy free coverage on the national newscasts.
Speaking of Republican presidential candidates, Mitt Romney, who ran in 2012, said concerns about Jeb Bush’s electability was one of the key reasons he thought about running again this time before he decided against a year ago. “A Bush-versus-Clinton head-to-head would be too easy for the Democrats,” he told the Washington Post in an interview. Romney added that he’s still being encouraged to run again but said he won’t do it.
Do you have a comment about the market activity today – stocks, the dollar, gold, other commodities? Just another bump in the road or an indication of a big selloff in the works? Add your comments below.
The Money and Markets team
PS: TODAY IS THE FINAL DAY! Your last, and most likely ONLY opportunity get join in on the incredible profits of Larry Edelson’s Supercycle Trader EXPIRES in just a few hours.
And to make sure you’re covered through 2020, Larry has agreed to pay for you to receive an additional THREE YEARS, free!
Investors are racing to join Larry as he continues to achieve incredible gains, just like the 93% success rate Supercycle Trader had in November, and the 100% success rate on closed trades in December!
But that’s no surprise to those in the know. The cycles Larry follows have accurately predicted EVERY major economic event since 1929!
Nearly all Supercycle Trader memberships have now been taken. Enrollment could close at virtually any moment without notice. In any case, your final chance to join ends tonight!
Click this link now to see what the cycles are predicting for 2016 … and to join now. But hurry! This FINAL chance to join ends in just a FEW HOURS!
Larry Edelson, one of the world’s foremost experts on gold and precious metals, is the editor of Real Wealth Report and Supercycle Trader.
Larry has called the ups and downs in the gold market time and again. As a result, he is often called upon by the media for his investing views. Larry has been featured on Bloomberg, Reuters and CNBC as well as The New York Times and New York Sun.
{ 74 comments }
Thanks Larry, as RWR subscriber with today action in Gold, is your cycles saying this is probably the bottom in GOLD?
You wrote: “Is it any wonder gold is starting to lift its head, up over $17 today, right on cue with my forecast? Hardly!”
Thank-you very much Larry!!!
I was truly amazed that the Dow tanked so little making a comeback off of the daily bottom and the fact that gold did not climb more. Oil will not do much till the bullets fly. Foreign funds are still piling in seeking a home from danger. Tuesday should be interesting.
I believe there will be a safe asset disaster.
Including gold and silver.
Sell at $1300. Then down to $300
Shawn, you must read Harry Dent as well as me, this is his forecast.
Harry Dent and Larry both preach cycles and love to slap themselves on the back; but Harry as you say, concludes from these cycles that gold is going down to $300 or so before bottoming. I do not think that Larry has recently made that prediction. Reading cycles must be something akin to reading tea leaves. I agree that gold is a safe haven at this stage in time; but I base my conclusion on only one cycle: WHAT GOES AROUND, COMES AROUND.
Gold at $300/oz.? Sure! After the dollar gets creamed.
And just think this being an election year and a leap year, the world has one more day to go to Hell in.
Please drop info sent to this address, and change e-mail my new address, It is
Carl.spear@icloud,co
Dollar and Gold going up at the same time? Unless a war breaks out this is very unlikely in my view
Glad i didnt buy freeport at recommended buy you set. Maybe later.
Ha ha ha I read right here in Nov. Larry gold at 1064 you wrote down 11/25, up 12/15, Down 1/1, up 1/26, down 2/4, up 3/18. I thought myself what bunch baloney so I wrote it down just see if any lil incrementals were touted as hige victories. And come to find out tou told bunch others just the opposite? Thats like saying the membership is about full. OUT
nope the gold forecast is wrong it should be up way more by now into march buit could fall big time after may
Dear LARRY, I have been with your “Real Wealth ” report for years. With the market tanking today, what is your advice to proceed. ??? I did buy superCycle for a few months ago but got discouraged since I lost money in my IRA which I can’t afford to do. I still have Real Wealth. Should I start to buy gold stocks or best to buy a little physical gold coins???
Thanks, Ruth Barker.
Looked like a Happy New Year from the Market today! I think this will be a harbinger of things to come. I looked back at the prognosticators from the firms below from last year…..all were wrong….TOO HIGH.
Sample:
Goldman, Barclays, CS: 2100…..bit high but not too bad
Citi: 2200
UBS: 2225
MS: 2275
Oppen: 2311
RBC:2325
and etc.
They always predict cautiously higher and I suspect will do so again this year.
Anyhow, I suggest everyone look at a 5 year chart of the Value Line (Arith). It looks like a setup for a horrible Spring.
Thank you Larry. You saved me from big loses. I did exactly what you told us to do in Real Wealth Report except I went a little heavy in FCX. I started buying at $7.00 and followed it down to $6.15. I still think in the long run I will make money. My thanks is for the money you saved me by keeping me out of gold as it tanked. I wish I could afford to buy your SuperCycle but just can’t afford it at this time. Please don’t forget us In your Real Wealth Report.
Dear Larry, over the weekend I was on CNBC website and there was a link about the end of Social Security in 2016. Do you have any thoughts on that?
Thanks, A.Riconte
They try to scare you in order to sell you something.
Speaking of bold predictions to sell us stuff. I have been bombarded with ads to subscribe to publications that tout the end of OPEC and unlimited free energy made from sand for 56 cents a gallon. There is nothing on the Net except an article about using silanes as a rocket fuel. Does anybody know anything about this? Jim
Jim – just found it ! Look up “Green Energy Sand Box”. A company called Bloom Energy – there, the secret is out! Reversed a NASA scheme to make oxygen on Mars. Take a prevalent type of sand, bake it into plates, coat them with some sort of green or black ink, pump in oxygen on one side, natural gas, ethanol or other fuels on the other, and it is a kind of fuel cell that provides power. ebay put 5 Bloom Boxes on their San Jose campus, and says they can save $100,000 on electricity, for what it’s worth. Bloom Energy is a private company, but considering an IPO (naturally).
You note, by the way, this scheme still requires fuel, but apparently just re-uses it again and again.
Jim/Chuck – if you ever want info on those annoying teaser emails, there’s only one place to go: stockgumshoe.com. That one was actually promoting solar and silica panels (technically from sand).
BEAUSE OF THE HEAT THE SAND FUEL GENERATES ALL ENGINES WOULD HAVE TO BE REDESIGNED . PLUS ACCOMODATIONS WOULD HAVE TO BE MADE FOR A WHITE POWDER WHICH IS EXHAUSTED . NOT GOING TO HAPPEN.
I have also been flooded with what I believe to be rubbish sales pitches about getting energy from sand. Lately I read something about a catalyst developed to convert natural gas to gasoline; and believe that this may be what it is all about. Hitting the unsubscribe button does not seem to always work to rid these pitches,so now every day first thing I do is to clean my mail of such ilk. I despise people who try to play the public as suckers. It would be appreciated if someone with more knowledge about this would express their comments.
Check all these hypes on GUMSHOE.com Stocks. They reveal all the garbage without selling you a subscription. Good info.
There are so many wild statements and rubber numbers flying around best to duck. The end of SS would start a grey revolution in my opinion and there is no way Obama could sugar coat such a move. 401K and IRA’s a different story. Using that stored up money to pay off the 19 trillion dollar deficit and handing out government IOU’s seems more logical although risky. Governments are desperate for money anything is possible and on the table.
well social security payments are viable but medicare isnt
Growing international capital flows set the stage for devastating currency crises in the 1990s and for a globalised financial crisis in 2008. The growth of the shadow banking system, without any corresponding extension of regulation, set the stage for latter day bank runs on a massive scale. These runs involved frantic mouse clicks rather than frantic mobs outside locked bank doors, but they were no less devastating. What we are going to have to do, clearly is relearn the lessons our grand fathers were taught by the Great Depression.
You are absolutely right. The Fed has smugly indicated that they have controlled (prevented) depressions. They have done nothing of the sort.
Indeed, they have done nothing but extend and wind the financial rubber ban much tighter…. so that when it finally does break for the next one…..it will be oh so much worse than the “Great” one of the 1930’s. We will soon see the carnage.
From Larry’s news-blast above: “Is it any wonder oil is starting to rally, right on cue with my forecast that it would bottom TODAY, Jan. 4? Hardly!”
Yeah, that is a surprise since I seem to recall Larry saying that OIL would BOTTOM in the $20/barrel range, not the high 30’s
Larry, I have been following you for years but of late you are really disappointing me. You said gold would bottom in Nov, then early Dec, then mid Dec, so you and all your charts really have no clue. Since you started your Super Cycle, I feel like you have deserted the Real Wealth subscribers. Every single day I get email begging me to subscribe to Supercycle and saying “This is your last chance” This has been going on for weeks. Get real, most of us cannot afford to pay the fee, you can’t even get gold right so why would I pay more?
Larry
Not so sure that you give any real advice ! Look back over the last 5 years and your recommendations not so pretty ! I challenge you to spell out exactly what you see in the markets 2016.. Stop listing generalities and timeframes that you justify your recommendations>
Gold price at end of 2016
US Stock markets price at end of 2016
EU Markets price at the end of 2016
Dollar/Euro exchange rate
Stg/Euro /Exchange rate
Cannot see you providing this data based on all your charts >
John
I email your analysis and research reports to a financial advisor. I find the remarks interesting. Thank you . rita brown.
Rita financial advisers are a dime a dozen. When you get his remarks you better check them with yet another adviser and then in turn another. They are all out to fill up their own pockets first and leave you a few breadcrumbs if their Ouija board is anywhere near to being correct.
God gave us financial advisors to make the weatherman look good.
You said you would let us (your Real Wealth subscribers) know when to get in the market
and start buying gold. I can’t decipher if today’s post is the notice to start buying gold.
Please clarify. thanks
I thought it was interesting that the Mitt Romney quote was included, since the word on the street is that it was Jeb Bush’s handlers that wanted him to run if Bush demonstrated that his campaign was the failure that it is. But Romney said that he decided against running because of Bush’s campaign. Or maybe it was just his PAC’s money.
I have to give this one to Larry. His Nov. 25th article gives a gold chart with gold bottoming on Jan. 1, 2016. Now only time will tell if the Jan. 25th pull back is right on target.
He must give different “clients” different charts. I’m looking at an Edelson prediction that has gold “over 1100” on January 1.
When Mitt decided against running again I was saddened. I always felt he would have been good for the country. I am an independent and I just can’t see me ever voting for Mr. Trump. I think he is a boastful buffoon who is to reckless to have the most powerful office in the world.
I generally agree with your assessment but when you look at the alternatives we are offered by either party he looks pretty good. I don’t believe he is near as rash as he is being portrayed. The Washington Establishment is terrified of him and that’s good enough for me. Jim
Jim, you have very low standards and little understanding of the duties of the U.S. chief executive and commander-in-chief of the armed forces. Electing this capitalist blowhard who has no experience as a statesman would be a global embarrassment for the U.S . electorate and clearly demonstrate their stupidity. If he makes the candidacy, go ahead, waste your vote, and demonstrate yours.
Frank,
Our current commander in chief along with the overwhelming majority of congress is an embarrassment to their office. They demonstrate their stupidity, or should I say reinforce our stupidity, on a daily basis .
Point taken! But, if Trump somehow gets the nomination and my choice is Hillary Clinton I will vote for him. He is a lightning rod for people fed up with the status quo. When it gets down to actual voting things will be quite different. I bet he loses in Iowa and New Hampshire. Herman Caine was leading at this point in the last election. I have no idea how this is going to turn out. The latest Quinnipiac Poll has Bernie Sanders defeating Clinton and Trump in a national election. Jim
Gee Frank the one we have now wins the award for stupid of the stupid. I guess that leaves you a close second. (<:
Mule
Frank, what we have right now is embarrassing.
Me too Jim.(<:
Mule
Vic he may be a boastful buffoon but he is best of breed at present. Americans are clutching for hope of any kind security number one, improved economy and a truthful government that does not fling out rubber numbers constantly. If your an elderly person like myself you like the elephant and I have a long memory. Over the decades we have listened to blowhard politicians making promises they never keep, political infighting, and the 1%’ers emerge to control the world. People are fed up with the status quo period and also frustrated because they seen no solution on the horizon or among the pitiful GOP big buck controlled offerings.
I read elsewhere something from the “Stock Trader’s Almanac” It says that over the past 65 years, January has been an accurate indicator for the following year, nearly always. And the first 5 trading days show how January will go 87.7% of the time. Every down Jan. since 1950 preceded either a bear market, a 10% drop, or a flat market. Over the last 41 years, the first five days have been up 85.4% of the time. They have been down 50% of the time. Is today’s big drop telling us something? I checked Amazon – the book is just under $30 – a few bucks less as a Kindle.
Correction: They have been down 50% of the time for the last 24 years.
Larry. I think you have a wiiner. I did my taxes in October . I had uge losses on your last recmendation so I am low on money and can,t afford to go with you on your new program Best of luck anyway. bruce
Inflation is bad also. ( re: the report of deflation.)
Fran government can crunch the numbers to which ever way suits their purpose. Yes inflation is bad but the rejigging of the consumer basket has driven down and now eliminated COLA increases. This year its a drop in gas prices that flat lined COLA but I do not own a car so how did this help me? They want more inflation which will erode the paper dollar and thus reduce their debt but to much inflation (that’s why the fed targets 2%) then they must raise rates to choke it off but by raising rates they increasing their debt interest borrowing costs. Deflation well people just sit back on their money waiting for lower prices.
Larry, I am a Real Wealth subscriber. Concerning gold, in October you said “as long as these cycles are not upended by some larger force, then gold should crack the $1,000 level and put in a major low. If so, then gold will be poised for a very major rally heading into March of next year — the first leg up in a new bull market.” In Oct., Nov., and Dec. you said to buy gold bullion at $975 or better and silver at $13.50 or better. Are you now saying it’s time to buy gold and silver bullion, ETFs and shares? Would like some direction here rather than continual solicitation for Super Trader.
Donald Trump is offering racism and xenophobia. He claims will that he will America great again but has not offered one detail of how he would do so other than building walls and creating lists. He will defeat ISIS but does not say how. His Republican opponents are not much better offering nothing but fear, racism and more ways for the wealthier to become even wealthier.
Maybe he’s just following the obammy/clintoon model Ed. (<:
Mule
Way to go Ed here is your diploma you passed. Go down the list of the rest of the GOP offerings and see if you can place a $2 bet on a winner. Not just one that wins an election but one that actually does something for the people and keeps his promises. Yep I know none available. You can switch to the Democrat side they have a so called 1 horse race although I like Bernie but he lacks the big money and to be truthful it takes big bucks to enter the winners circle.
cmon Bernie sander wants to spend another 30 trillion on govt.programs he said were a rich country we can afford it Bernie sanders is a complete moron he believes in wealth redistribution just like hillery and Obama all these democrats are oblivious to whats going on around them to me………….. WEALTH REDISTRIBUTION MEANS……………… TAX …TAX MORE AND THEN SPEND IT
for the year 2015 the nasdaq was up 5.7% and the DJIA was down 2.2% the NYSE was down 6.4% and the S&P 500 was down 0.7 %
U.S. DEC. ISM manufacturing index came in at 48.2 below expectations down from NOV. 48.6 CHICAGOS PMI INDEX for DEC. came in below expectations at 42.9 down from 48.7 in nov. CHINAS CAIXEN manufacturing index showed continued weakness and contraction.
Perhaps larry could clear this up with a double audited signed affidavit of his tax return,separating how much he makes from his newsletters and real trades over the past 10 years. Buffett and soros have funds so easier to check who is real…they dont just talk the talk…if i had audited believable evidence i may subscribe after comparing to others….
Hi Larry: I’ve been a faithful subscriber for years…reading each column very carefully. Those of us without a fortune to invest are very concerned about what is coming too. We need practical advice on what happens when the bank folds that holds our mortgage, personal loans, credit cards. This scenario includes a huge number of your readers as well as investors that can afford to write off their losses and think nothing more of it.
Thank you.
this weekend I took the time to go through the energy sector which included competitors in the major oil/ gas industry , and competitors in the independent oil and gas industry, and competitors in the oil and gas refining industry , and competitors in the oil and gas drilling industry, and the competitors in the oil and gas services industry , and the competitors in the oil and gas pipelines industry the numbers I saw shocked me a full 65% are in penny territory either relegated to otc pink sheet or bulletin board stocks I don’t see most of them holding off creditors much longer or getting new cash flows from their banks the next 6 quarters will be quite bloody I see the sharks in the water most companies will see their leases and equipment sold for pennies on the dollar this is coming up fast and it will affect the banking sector also
this is going to effect the economy and the stock market I guess the Saudis got what they wanted cheap oil does have a price ….. to be paid
Dear Larry, I began subscribing to the RWR on an annual basis about 5 years ago; hoping to grow a small inheritance into something more substantial. I subsequently upgraded to lifetime membership including the Weiss Elite and the Gold and Silver Trader when offered, because you talked up metals and miners as something that was immensely profitable and immanent throughout. I was soon removed from the Gold and Silver Trader for reasons still not completely understood. Keeping in mind that the RWR metal and mining recos over the years have not panned out; GDX, GDXJ, SA, KGC, DDC, IAG, and let’s not forget FCX. So, do I now want to join the SST? I’m afraid not! I’m afraid that I may be removed again like I was from the GST, I’m afraid that the evidence of your success needs more objective scrutiny, and I’m afraid that my now very much smaller inheritance can’t stand more fees and losses. Thanks so much!
Cake Daddy, Now you get the picture very clearly. Wondering how much you wasted before you saw the light?
Is it any wonder gold is starting to lift its head, up over $17 today, right on cue with my forecast? Hardly!……What forecast? Haven’t even predicted a bottom yet, so yes, the gold market is doing exactly what was forecast, whatever that means?
Probably $10…… Remember College Economics 101?……. When any product is artificially pushed above it’s supply/demand curve (Cheney/bush $18/barrel), the snap back below the normal curve is related to how far above the curve it was pushed ($140/barrel)…… Dick was wrong on many fronts then and wrong on many fronts now… :(
Incidentally, only Bernie Sanders is running on returning Glass-Steagall to law….. Those not aware of how important Glass-Steagall is to our financial future might want to Google it….. ( Hint: the Big Banks are making highly leveraged and highly risky derivative bets (that they could never pay back) with our savings accounts, with G.S. off the books)
Only Bernie Sanders is running on small personal contributions from individuals, now black pools….. Does he sound like the ONLY candidate “of and for” the average citizen (the 97%)?
and if you listened to his speeches he sounds like Obama on overdrive all his plan is to spend other peoples money he said the united states is a rich country and we can afford to spend another 30 trillion dollars on social programs this guy is like 100 yrs old and senile he s totally out of touch with reality he complains the minoritys of this country are not taking part in the wealth effect and we need to do wealth redistribution to make things right this guy is out of touch with the times we are no longer a rich country we used to be a creditor nation now we are a debtor nation because of barack obamas reckless spending habits now our national debt stands very close to 19 trillion dollars and Bernie and hillery have only one plan spend spend spend and tax tax and tax more
Did you ever go to and graduate from college? Are you an under-educated angry white guy who believes it is someone else’s fault?
Keep sending us information. We can procede to make better choices when we have
more opinions. I don’t like Harry Dent’s predictions, they seem to undo yours. I would
rather believe you. Happy New Year! Beverly
Larry,
Is this the DROP in the Dow which you have been talking about for months that would scare the dickens out of investors/analysts who don’t have a clue of what is going on? Is the Dow Bottomed now? or will it go down even lower? or when will the Dow starting to Thrust over 30,000 like you had predicted??
Larrys a con man
So much for oil bottoming hey sucker
Right on cue LOL!
Hey guys he doesn’t have any idea when and what gold or anything is going up or going down,,,,its just a great income stream for him and the like,,,,read the news and do some indepth investigation and make your own decisions its a lot less costly.
And Larry,,remember Karma is a great and real thing.
Be careful and look after yourself