OCMGX wound up the week at 23.81, for a profit of $497 this week on my gold play, bringing my imaginary account to $10,222. Given that there is absolutely no sign from the Fed that they'll stop printing, and an article in the Telegraph that world gold production is in decline, me thinks I'll just sit and profit for the time being, though I must say I think a small pull back might be in the cards.
On the muni bond front came this: "In California's latest offering-- a sale Tuesday of $1.9 billion in bonds maturing in June 2013-- the state had to pony up 4% annualized tax-free yield to lure investors to the deal. Less than two weeks ago, the state paid a yield of 2.48% on a bond with a similar maturity" http://latimesblogs.latimes.com/money_co/2009/11/california-muni-bond-sale-tax-free-market-yields.html That is a really bad sign for the Governator.
This article is a good treatise on the chances of bond defaults by the seven biggest economies in the world, rating which one is the most likely to default.. and the (well) winner is.. http://www.prudentbear.com/index.php/thebearslairview?art_id=10307
Nothing too earth shattering this week, just more of the same.. stock markets & gold up, more unemployment and misery in Hooverville. At some point either the markets will sink... or... life in Hooverville will get better, but right now there is a serious disconnect between the party on Wall Street and the misery on Main Street.
Nice blog. I followed a iink from calculated risk...I too am following the muni bond story...agree on the disconnect between Main St. and Wall Street, but would add K Street as the folks in DC seems equally clueless as to where we are heading. The gold rush reminds me of the oil runup, of 18 months ago or so...looks like the same game plan. I sold my GDX,but am still holding SLW, as silver has been moving up, but with less frenzy than gold.
ReplyDelete