Loading ...A Most Interesting Chart
RINF , a most obscure ETF is a most Interesting Chart of You are Following Gold
http://www.proshares.com/funds/rinf.html
I never heard of this one until Rambus Posted it a few weeks back. Look how Gold and RINF Finally Bottomed at beginning of 2016.
RINF (Proshares Inflation Expectation) …Interestingly enough it started trading at the beginning of 2012
Just after THE Big Top in Gold
LOOK at how closely this ETF tracks with Gold.
SO…After all the discussion of Manipulation in the Gold Market…what does this Chart say ?
It says…that Gold DOES track with inflation !
Can it be as simple as that ?
Are the PTB Manipulating this Obscure ETF as well ? Somebody please tell GATA and Zero Sludge the gig is up .
Looks like our favorite Pet Rock is all about Inflation (Expectations) and that’s IT…which is what we figured all along eh ?
Close Up…Breaking Out Today ?
Added:
Wow……Look at this
There is a TIPs ETF called simply TIP
This one has a longer history than RINF…..
……….This is Checkmate for the Manipulation Crowd……………….
Daily ( Up Close) TIP Bottomed with Gold Jan 2016 and has been tracking it almost tic for tic.
“Treasury Inflation-Protected Securities, or TIPS, provide protection against inflation. The principal of a TIPS increases with inflation and decreases with deflation, as measured by the Consumer Price Index. When a TIPS matures, you are paid the adjusted principal or original principal, whichever is greater.”
Game Set Match ! Find another Cause Boys.
Oil (WTIC) has done the same – looks & smells as though there is an expectation of inflation…
Excellent charts and analysis Fully, thanks.
I don’t know sir fully
Gold seemed to outperform to the 11 peak. And since then
It has lagged Given where the tips are now shouldn’t we be at 1600 ?
The Point is they move together ..in lock step
Sometimes one moves more % wise than the other.
Gold follows Inflation Expectations , its very clear
I guess you could say …in a bull market Gold is above the TIP on this chart and in a bear
it is below. When they cross again it will be Bull time.
Never heard of the ETF but it makes perfect sense. Inflation is one reason i cited to friends this week who were shocked gold jumped on the rate hike. I said it signals the acknowledgement of inflation coming back, and gold is an inflation hedge.
The weaker dollar also makes sense fron an inflation standpoint.
It’s not just acknowledgement, it’s a bullhorn from the mountaintop that they are COMPELLED to raise rates – to me it just proves that Inflation is now REAL and not transitory. Why ever would they, in the face of sub 2% GDP forecast and causing Gov’t debt issuance to be more expensive, wish to raise rates and state more are to come? Their hand is obviously forced by the near 20-month steady rise in inflation and their action proves that they are now focused on trailing, but not too far, behind that trend. If inflation were not taking root, the Fed would be more than happy not to take action that might further dampen GDP or the cost of Gov’t borrowing. CONfidence is what is holding this $#!t-show together in the minds of the masses and that is rooted in Stock Market performance. I also believe it is during the Trump presidency, with the boot coming off the neck of business interests which fosters the velocity of $, that the Fed feels they need to act fast to start sapping money from the system before it gets out of control.
Agree – and here’s where the country/world gets into deep doo doo:
When inflation starts running beyond 2.5%-3% and the FED can no longer raise rates because of national debt. Then you lose control of inflation & all hell breaks loose. Thats when we see glory days for gold. Right now(current weeks/ months) are the gentleman’s entry. Unless you think inflation somehow goes back down with these pro-business policies in the pipe? I certainly don’t think so.
Thanks for refreshing this thread NickG – I’m 100% on board with your observations (consequences of policy) above. In another thread somewhere I think I mentioned to Fully I’ve gone from just a bull to a raging bull. I’m hoping others will chime in on this thread with what the latest rate raise means for them and their portfolio. Myself, the day of the rate raise announcement I went to my credit union and locked in a fixed (pre-3/15 rate) on what used to be a variable rt mortgage. If the fed has to lower rates again to save us (themselves) in some crisis my home is going to be worth a lot less than a variable int rate is going to save me. I don’t anticipate refinancing mortgage debt ever again that I can see. Next week’s fed chatter will be interesting.
The etf holds tips
Don’t know what planets other people live in, but where I reside everything is subjected to manipulation to varying degrees at times. Nothing new. For decades, even centuries. Different methodologies, some legal, some not.
Of course various entities try to manipulate interest rates in multiple ways where I reside, including various methodologies to organize of appearance; propaganda. Perhaps this or that manipulation of quoted PM prices is a means of manipulating the appearance of official inflation.
In the planet where I live various entities try to manipulate various stocks all the time. They issue commentaries and Guidances. Certain commodities like oil seem to be affected very much by Commentaries. Entities seem to push the market around with sell and buy orders in my reality. In my reality some official entities are actually charge with manipulating inflation and interest rates. Etc etc.
Nothing new where I live, seeing two markets correlated, and looking potentially manipulated. I perhaps live in crazy opposite world where black is white and white is black and up is down and green is zebra and oxen are paperclips, and where it is silly to think that there is coordinated pushing around of market prices. Or at least silly to think that that interest rates and PM prices wouldn’t be exempted from manipulations, or that interventions in one wouldn’t affect the other.
Until someone can explain:
* the timing of sudden downdrafts repeatedly
* someone laying off millions of dollars of gold contracts at the worst possible time – more than once
* someone buying millions of dollars worth of JNUG during a strong move down
and so on and so forth…manipulation is obvious and irritating. Does it change the trend of the market? No, but it does cause significant heartburn and many to bail at just the wrong time. With charts you will never convince me that there are not scam artists working the stocks to cause a puke, which they then run up to sell for quick profits. Spock refers to it all the time. THAT is manipulation of the worst kind and it has been going on long before Jesse Livermore appeared on the scene.
The key to all of this is the power of the markets and the power of a trend. Bull markets make money for stockholders when they sit tight; bear markets make money for stockholders when they place bets to the downside. The challenge – which is basic human nature – is to get right and sit tight. Good example: I had some leap puts on Hertz/Avis/Navient/General Properties. Got tired of holding and not seeing much action (remember, these are LEAPS and I get impatient, right? Perhaps bored.) So last week or two, here comes the big new – the rental car guys take it in the ear. My LEAPS jump!! Except…I sold them.I was sitting right, but couldn’t sit tight.
Agree with Karl and Silverboom
The everyday manipulation by large entities both ways is not in question
Its the perceived ubiquitous Intervention in Gold Only by Central Banks via their Evil Agents that we are speaking of.
Unless they can also manipulate Currencies and these TIPs type Inflation Protected Bonds and indeed the whole interest rate complex…how come these all co relate so well ?