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Out Of JDST @ $7.90
Out of JDST @ $7.90
Last JDST GTC filled @ $8.01
Stop Loss in @ $7.90
Last GTC filled @ $8.01
Stop Loss in @ $7.90
Yup
Looks like it isn't gouing to even pause in the $8's. JNUG now over $40.
I decided to bracket the $8's
If it doesn't turn by $7.90, I will be out.
JDST $8.51 (OB) GTC just got hammered!
$8.51 GTC just got hammered!
Nope
I have GTC's in @ $8.51 and $8.01
JDST $8.91 Buy just filled
JDST $8.91 Buy just filled
And a lid was 4-fingers (g)
Woops! The orders are for JDST
I saw the posting error (thanks) and rechecked my GTC's. They are what I intended JDST orders.
Saudi prince: $100-a-barrel oil 'never' again
Saudi billionaire businessman Prince Alwaleed bin Talal told me we will not see $100-a-barrel oil again. The plunge in oil prices has been one of the biggest stories of the year. And while cheap gasoline is good for consumers, the negative impact of a 50% decline in oil has been wide and deep, especially for major oil producers such as Saudi Arabia and Russia. Even oil-producing Texas has felt a hit. The astute investor and prince of the Saudi royal family spoke to me exclusively last week as prices spiraled below $50 a barrel. He also predicted the move would dampen what has been one of the big U.S. growth stories: the shale revolution. In fact, in the last two weeks, several major rig operators said they had received early cancellation notices for rig contracts. Companies apparently would rather pay to cancel rig agreements than keep drilling at these prices. His royal highness, who has been critical of Saudi Arabia's policies that have allowed prices to fall, called the theory of a plan to hurt Russian President Putin with cheap oil "baloney" and said the sharp sell-off has put the Saudis "in bed" with the Russians. The interview has been edited for clarity and length.
Q: Can you explain Saudi Arabia's strategy in terms of not cutting oil production?
A: Saudi Arabia and all of the countries were caught off guard. No one anticipated it was going to happen. Anyone who says they anticipated this 50% drop (in price) is not saying the truth.
Because the minister of oil in Saudi Arabia just in July publicly said $100 is a good price for consumers and producers. And less than six months later, the price of oil collapses 50%.
Having said that, the decision to not reduce production was prudent, smart and shrewd. Because had Saudi Arabia cut its production by 1 or 2 million barrels, that 1 or 2 million would have been produced by others. Which means Saudi Arabia would have had two negatives, less oil produced, and lower prices. So, at least you got slammed and slapped on the face from one angle, which is the reduction of the price of oil, but not the reduction of production.
Q: So this is about not losing market share?
A: Yes. Although I am in full disagreement with the Saudi government, and the minister of oil, and the minister of finance on most aspects, on this particular incident I agree with the Saudi government of keeping production where it is.
Q: What is moving prices? Is this a supply or a demand story? Some say there's too much oil in the world, and that is pressuring prices. But others say the global economy is slow, so it's weak demand.
A: It is both. We have an oversupply. Iraq right now is producing very much. Even in Libya, where they have civil war, they are still producing. The U.S. is now producing shale oil and gas. So, there's oversupply in the market. But also demand is weak. We all know Japan is hovering around 0% growth. China said that they'll grow 6% or 7%. India's growth has been cut in half. Germany acknowledged just two months ago they will cut the growth potential from 2% to 1%. There's less demand, and there's oversupply. And both are recipes for a crash in oil. And that's what happened. It's a no-brainer.
Q: Will prices continue to fall?
A: If supply stays where it is, and demand remains weak, you better believe it is gonna go down more. But if some supply is taken off the market, and there's some growth in demand, prices may go up. But I'm sure we're never going to see $100 anymore. I said a year ago, the price of oil above $100 is artificial. It's not correct.
Q: Wow. And you said you are in agreement with the Saudi government to not give up market share?
A: This is the only point I'm agreeing with the Saudi Arabian government on oil. That's the only point, yes.
Q: Should the Saudis cut production if they get an agreement with other oil producing countries to take oil off the market?
A: Frankly speaking, to get all OPEC countries to approve and accept it, including Russia and Iran, and everybody else, is almost impossible You can never have an agreement whereby everybody cuts production. We can't trust all OPEC countries. And can't trust the non-OPEC countries. So it's not on the table because the others will cheat. The past has proven that. When Saudi Arabia cut production in the '80s and '90s, everybody cheated and took market share from us. Plus, remember there is an agenda here also. Although Saudi Arabia and OPEC countries did not engineer the reduction in the price of oil, there's a positive side effect, whereby at a certain price, we will see how many shale oil production companies run out of business. So although we are caught off guard by this, we are capitalizing on this matter whereby we'll live with $50 temporarily, to see how much new supply there will be, because this will render many new projects economically unfeasible.
Q: What about the theory of the pressure on the Russians? There's a theory that the U.S. and the Saudis have agreed to keep prices low to pressure Russia because of what Putin has done in Ukraine.
A: Two words: baloney and rubbish. I'm telling you, there's no way Saudis will do this. Because Saudi Arabia is hurting as much as Russia, period. Now, we don't show it because of our big reserves. But I'll tell you Saudi Arabia and Russia are in bed together here. And both are being hurt simultaneously. And there's no political conspiracy whatsoever against Russia. Because we are shooting ourselves in the foot if we do that.
Q: You said the price of oil will dampen the shale revolution in America. How?
A: Shale oil and shale gas, these are new products in the market. And we see big ranges. no one knows for sure what price is the breaking point for shale. Wells have a higher production cost. And very clearly these will run out of business, or at least not be economical. At $50, will it still be economically feasible? Unclear. This is a very much developing story.
Q: Some people believe this crash in oil will create a lot of new mergers in the energy industry. Do you agree?
A: No doubt about that. For sure there'll be a lot of consolidation in the market. Because many small and medium-sized companies can't afford this. Because they are very much dependent on the price of oil. Big companies like Exxon and Chevron are weathering the oil market crash because they are integrated vertically. But no doubt there'll be some mergers and acquisitions coming in one to two years.
Q: Let me switch to the terrorism in Paris. Terrorists killed the cartoonist who joked about the prophet Mohammed. What is your opinion on this?
A: What took place is a horrendous crime that no one can permit and accept. And unfortunately these small minority people are ruining the name of Islam. Now the whole world — Muslims, Christians, Jews, Hindus, Buddhists, atheists — have to come together and be united, and be sure to eliminate those minority of the Muslim community. Those that hijacked our religion and try to eliminate them not only militarily. That's happening right now against ISIS (the Islamic State) by the Americans and their allies. But also mentally, educationally and culturally, also. This is a disease we are getting at now. This really will put us in the Middle Ages unfortunately. It feels like the Middle Ages right now. But I think that the world is united. I just heard, for example, (U.S. Secretary of State) John Kerry giving a speech in French, which was very nice of him to do. It was a calming process for the French people. My foundation is in communication with the presidential palace in France and the French government, to see what we can do to ... (support) these families and these victims, innocent victims that were under attack. And then we have to show that Islam really is united with Christianity, and Judaism, and other religions in the world to limit this disease from from Earth.
Q: Back to finance. Interest rates have gone down. The 10-year yield dropped below 2%. The Federal Reserve ended quantitative easing. But markets seem to be thinking the other way, that rates are going lower.
A: You are talking about the last two weeks. And remember, the last two weeks were a Saudi panic situation, price of oil collapsing. The stock market collapsing. So don't use this as the barometer indicator, the last two weeks. This was a panic situation. The Fed is navigating rates higher slowly.
Q: The stock market started the year off with heavy selling. What about some of your other investments, in media, banking and in technology? Such as Twitter or jd.com. Would you put new money to work in this market today?
A: Clearly the year began with a sell-off because there are so many events that came together. People are taking profits because 2014 was very good. And also, they had this oil crisis, whereby everyone was caught off guard by this major crash in the price of oil. But I think the U.S. economy is doing really very well. Especially relative to the rest of the world. The big question right now is what happens to Germany. Because Germany really is the anchor of all Europe. Also, Japan, and India, and China. These are the three major countries that the world depends on. So, there are opportunities. But also many risks here. If Japan, China, India and Germany improve 1% or 2%, this would be a major improvement for growth globally.
Q: Do you think the European Central Bank should come up with stimulus?
A: There's a struggle right now between ECB President Mario Draghi, who is pushing for a stimulus, and Angela Merkel of Germany, who is worried about having inflation. We're seeing a clash over there between these two ideas. But I think that Draghi is preparing the market for a stimulus. Yes.
Maria Bartiromo is anchor and global markets editor at The Fox Business Network. Her 'Opening Bell' show is live Monday to Friday 9-11 a.m. ET. She can be reached on twitter @mariabartiromo and @sundayfutures.
Saudi prince: $100-a-barrel oil 'never' again
Saudi billionaire businessman Prince Alwaleed bin Talal told me we will not see $100-a-barrel oil again. The plunge in oil prices has been one of the biggest stories of the year. And while cheap gasoline is good for consumers, the negative impact of a 50% decline in oil has been wide and deep, especially for major oil producers such as Saudi Arabia and Russia. Even oil-producing Texas has felt a hit. The astute investor and prince of the Saudi royal family spoke to me exclusively last week as prices spiraled below $50 a barrel. He also predicted the move would dampen what has been one of the big U.S. growth stories: the shale revolution. In fact, in the last two weeks, several major rig operators said they had received early cancellation notices for rig contracts. Companies apparently would rather pay to cancel rig agreements than keep drilling at these prices. His royal highness, who has been critical of Saudi Arabia's policies that have allowed prices to fall, called the theory of a plan to hurt Russian President Putin with cheap oil "baloney" and said the sharp sell-off has put the Saudis "in bed" with the Russians. The interview has been edited for clarity and length.
Q: Can you explain Saudi Arabia's strategy in terms of not cutting oil production?
A: Saudi Arabia and all of the countries were caught off guard. No one anticipated it was going to happen. Anyone who says they anticipated this 50% drop (in price) is not saying the truth.
Because the minister of oil in Saudi Arabia just in July publicly said $100 is a good price for consumers and producers. And less than six months later, the price of oil collapses 50%.
Having said that, the decision to not reduce production was prudent, smart and shrewd. Because had Saudi Arabia cut its production by 1 or 2 million barrels, that 1 or 2 million would have been produced by others. Which means Saudi Arabia would have had two negatives, less oil produced, and lower prices. So, at least you got slammed and slapped on the face from one angle, which is the reduction of the price of oil, but not the reduction of production.
Q: So this is about not losing market share?
A: Yes. Although I am in full disagreement with the Saudi government, and the minister of oil, and the minister of finance on most aspects, on this particular incident I agree with the Saudi government of keeping production where it is.
Q: What is moving prices? Is this a supply or a demand story? Some say there's too much oil in the world, and that is pressuring prices. But others say the global economy is slow, so it's weak demand.
A: It is both. We have an oversupply. Iraq right now is producing very much. Even in Libya, where they have civil war, they are still producing. The U.S. is now producing shale oil and gas. So, there's oversupply in the market. But also demand is weak. We all know Japan is hovering around 0% growth. China said that they'll grow 6% or 7%. India's growth has been cut in half. Germany acknowledged just two months ago they will cut the growth potential from 2% to 1%. There's less demand, and there's oversupply. And both are recipes for a crash in oil. And that's what happened. It's a no-brainer.
Q: Will prices continue to fall?
A: If supply stays where it is, and demand remains weak, you better believe it is gonna go down more. But if some supply is taken off the market, and there's some growth in demand, prices may go up. But I'm sure we're never going to see $100 anymore. I said a year ago, the price of oil above $100 is artificial. It's not correct.
Q: Wow. And you said you are in agreement with the Saudi government to not give up market share?
A: This is the only point I'm agreeing with the Saudi Arabian government on oil. That's the only point, yes.
Q: Should the Saudis cut production if they get an agreement with other oil producing countries to take oil off the market?
A: Frankly speaking, to get all OPEC countries to approve and accept it, including Russia and Iran, and everybody else, is almost impossible You can never have an agreement whereby everybody cuts production. We can't trust all OPEC countries. And can't trust the non-OPEC countries. So it's not on the table because the others will cheat. The past has proven that. When Saudi Arabia cut production in the '80s and '90s, everybody cheated and took market share from us. Plus, remember there is an agenda here also. Although Saudi Arabia and OPEC countries did not engineer the reduction in the price of oil, there's a positive side effect, whereby at a certain price, we will see how many shale oil production companies run out of business. So although we are caught off guard by this, we are capitalizing on this matter whereby we'll live with $50 temporarily, to see how much new supply there will be, because this will render many new projects economically unfeasible.
Q: What about the theory of the pressure on the Russians? There's a theory that the U.S. and the Saudis have agreed to keep prices low to pressure Russia because of what Putin has done in Ukraine.
A: Two words: baloney and rubbish. I'm telling you, there's no way Saudis will do this. Because Saudi Arabia is hurting as much as Russia, period. Now, we don't show it because of our big reserves. But I'll tell you Saudi Arabia and Russia are in bed together here. And both are being hurt simultaneously. And there's no political conspiracy whatsoever against Russia. Because we are shooting ourselves in the foot if we do that.
Q: You said the price of oil will dampen the shale revolution in America. How?
A: Shale oil and shale gas, these are new products in the market. And we see big ranges. no one knows for sure what price is the breaking point for shale. Wells have a higher production cost. And very clearly these will run out of business, or at least not be economical. At $50, will it still be economically feasible? Unclear. This is a very much developing story.
Q: Some people believe this crash in oil will create a lot of new mergers in the energy industry. Do you agree?
A: No doubt about that. For sure there'll be a lot of consolidation in the market. Because many small and medium-sized companies can't afford this. Because they are very much dependent on the price of oil. Big companies like Exxon and Chevron are weathering the oil market crash because they are integrated vertically. But no doubt there'll be some mergers and acquisitions coming in one to two years.
Q: Let me switch to the terrorism in Paris. Terrorists killed the cartoonist who joked about the prophet Mohammed. What is your opinion on this?
A: What took place is a horrendous crime that no one can permit and accept. And unfortunately these small minority people are ruining the name of Islam. Now the whole world — Muslims, Christians, Jews, Hindus, Buddhists, atheists — have to come together and be united, and be sure to eliminate those minority of the Muslim community. Those that hijacked our religion and try to eliminate them not only militarily. That's happening right now against ISIS (the Islamic State) by the Americans and their allies. But also mentally, educationally and culturally, also. This is a disease we are getting at now. This really will put us in the Middle Ages unfortunately. It feels like the Middle Ages right now. But I think that the world is united. I just heard, for example, (U.S. Secretary of State) John Kerry giving a speech in French, which was very nice of him to do. It was a calming process for the French people. My foundation is in communication with the presidential palace in France and the French government, to see what we can do to ... (support) these families and these victims, innocent victims that were under attack. And then we have to show that Islam really is united with Christianity, and Judaism, and other religions in the world to limit this disease from from Earth.
Q: Back to finance. Interest rates have gone down. The 10-year yield dropped below 2%. The Federal Reserve ended quantitative easing. But markets seem to be thinking the other way, that rates are going lower.
A: You are talking about the last two weeks. And remember, the last two weeks were a Saudi panic situation, price of oil collapsing. The stock market collapsing. So don't use this as the barometer indicator, the last two weeks. This was a panic situation. The Fed is navigating rates higher slowly.
Q: The stock market started the year off with heavy selling. What about some of your other investments, in media, banking and in technology? Such as Twitter or jd.com. Would you put new money to work in this market today?
A: Clearly the year began with a sell-off because there are so many events that came together. People are taking profits because 2014 was very good. And also, they had this oil crisis, whereby everyone was caught off guard by this major crash in the price of oil. But I think the U.S. economy is doing really very well. Especially relative to the rest of the world. The big question right now is what happens to Germany. Because Germany really is the anchor of all Europe. Also, Japan, and India, and China. These are the three major countries that the world depends on. So, there are opportunities. But also many risks here. If Japan, China, India and Germany improve 1% or 2%, this would be a major improvement for growth globally.
Q: Do you think the European Central Bank should come up with stimulus?
A: There's a struggle right now between ECB President Mario Draghi, who is pushing for a stimulus, and Angela Merkel of Germany, who is worried about having inflation. We're seeing a clash over there between these two ideas. But I think that Draghi is preparing the market for a stimulus. Yes.
Maria Bartiromo is anchor and global markets editor at The Fox Business Network. Her 'Opening Bell' show is live Monday to Friday 9-11 a.m. ET. She can be reached on twitter @mariabartiromo and @sundayfutures.
Added 2 more OB's on JDST @ $8.51 and $8.01
Added 2 more GTC JNUG orders @ $8.51 and $8.01
And Gold @ $1224.90 in Sydney this evening.
What do you want to bet I get some of those JDST $8.91's in the premarket while JNUG Slams $38 hard?
Should have filled when Gold went up yesterday.
But alas, it didn't.
If it is not where you expected it to be, SELL.
Trading cost <$10.
Today is all that counts. Tomorrow is a crap shoot and yesterday is over.
It is much better to watch it with $$ in your account instead of the shares. Especially if it is going against you.
Read back through the last 10-15 messages
This was a hijacked company. The shares don't exist., The attorneys who set it up were all convicted of the crime and were sent to federal prison.
Don't spend any money here. It will all be lost.
It would correspond with a gold price near $1225
And a JNUG price of $38
I think both are achievable.
GTC in for JDST @ $8.91
GTC in for JDST @ $8.91
Zeev used to call a bid like this an OB. For outrageous bid.
Passed on JDST and bought some FNMA
You should put in a buy stop for FNMA @ $2.60.
Might run to $6 or even $46 on Fantasyland.
FNMA approaching your $2.60 Buy trigger
Sold last of JNUG @ $36.61 +$11.62 bucks
How is gold connected to the rise in US real interest rates?
By Annie Gilroy • Jan 5, 2015 1:40 pm EST
Real interest rates and gold
Gold is used as an investment alternative. Investors think that it protects money’s purchasing power. As an investment, gold has to compete against other investments that are available in the market such as equities, bonds, real estate, and currencies. The interest rate is one of the most important variables that determine the attractiveness of the other investment alternatives.
US Real rates
As real interest rates–nominal interest rates minus the inflation rate rise, other investments usually become more attractive. This reduces the demand for gold and vice versa. So gold usually holds an inverse relationship with real interest rates.
Tracking interest rates
For US real interest rates, we’ll look at the three-month Treasury bill (or T-bill) rate minus the year-over-year change in the consumer price index (or CPI). We’ve talked about CPI and PCE in the previous part of this series.
Increasing US real interest rates
The three-month real interest rates are negative since inflation is higher than the nominal interest rates for three-month T-bills. However, they’ve started to increase because of falling inflation in the United States. The CPI for November was 1.3%, much lower than 1.7% for the previous three months. The real interest rate was -1.29% for November compared to -1.69% for October.
Gold prices have an inverse relationship with real interest rates. So increasing real interest rates doesn’t bode too well for gold prices. This, in turn, impacts gold-backed ETFs such as the SPDR Gold Shares (GLD) and the Gold Miners Index (GDX) as well as gold companies such as Goldcorp Inc. (GG), Barrick Gold Corp. (ABX), Newmont Mining Corporation (NEM), Kinross Gold Corporation (KGC), and Yamana Gold (AUY).
You can also consider ETFs that invest in U.S. Treasury bonds such as the iShares 20+ Year Treasury Bond ETF (TLT).
I am ready.
The real question is why would the market be pricing T Bills higher than the face and lowering the interest rate?
What would be making the investors so motivated that they would put their $$ into T Bills at a premium to face and getting a lower yield?
Would that be safety of the dollar? Wouldn't be the T Bill yield. Could it be the increase in the DXY of 13%+ since July makes a good global yield?
What is that going to do to gold?
Please pardon me if I am stating the obvious.
T Bills have a face interest rate and a face payment amount.
Once the T Bill has been created and sold to the investmant public, the only thing that can be changed is the owner and what the subsequent owner pays for the T Bill.
Here is how the yield changes on a T Bill. The original investor buys a Bill that has, for instance, a $10,000 purchase price and a 2% interest rate. If he decides to sell that Bill later, the Treasury has no obligation to buy it back until maturity. That means the "Market" must put a buyer and seller together for the transaction.
A new buyer wants the T Bill because he is concerned with the safety of the market and wants a T Bill so he can sleep at night. He is willing to pay $10,500.00 for that $10,000 @ 2% bill and thus his yield is lower than the face amount because his purchase price was higher than the face and has no affect on the 2% payments on the $10,000 bill.
If the market rates for T Bills had gone up and the new buyer had purchased the T Bill for $9,500, his yield would have been higher because he paid less than $10,000 for the $10,000 face 2% T Bill.
Haven't set a buy price yet
Watching and waiting. JDST could easily hit $8's. JNUG would be @ $40 ($4 presplit) if that happens. Still sitting on half of my JNUG $24.99 buy with my finger on the trigger.
JNUG $33.35 in premarket
JNUG, UWM: Big ETF Inflows
By BNK Invest, December 23, 2014, 11:55:56 AM EDT AAA
Comparing units outstanding versus one week ago at the coverage universe of ETFs at ETF Channel, the biggest inflow was seen in the Daily Junior Gold Miners Index Bull 3x Shares JNUG, which added 12,499,999 units, or a 17.8% increase week over week. Among the largest underlying components of JNUG, in morning trading today Market Vectors Junior Gold Miner GDXJ is up about 2.4%.
And on a percentage change basis, the ETF with the biggest increase in inflows was the ProShares Ultra Russell2000 UWM, which added 850,000 units, for a 37.0% increase in outstanding units. Among the largest underlying components of UWM, in morning trading today is down about 0.6%, and 22nd Century Group is lower by about 1.9%.
http://www.nasdaq.com/article/jnug-uwm-big-etf-inflows-cm426375
Everything you always wanted to know about gold but were afraid to ask
20 part lesson http://marketrealist.com/2015/01/gold-indicators-investors-updated-brace-pain/
A little something to make you go Hmmmmmmm???!!!