Decades of Wealth Destruction

Dear Members, For the last ten years the largest gold producers in the XAU have destroyed shareholder value! They have: Increased aggregate net debt from $1B to $41B Increased common shares outstanding by over 100% by carpet bombing investors with paper (2.07x) Yet estimated gold production only rose from 38M oz to 43M oz for…

Southwest Airlines May Be On The Edge

The airlines industry should serve as a reminder just how quickly and dramatically things change on Wall Street. Publicly traded stocks of major airline carriers were the toast of the town during 2013 and 2014. Southwest Airlines Co. (NYSE:LUV) saw some of the biggest gains in the sector. Throughout most of 2012, LUV stock was…

The 74-Trillion Dollar Question…

Dear Reader, Of the nearly 800 trillion in the derivatives markets, Deutsche Bank owns approximately 74 trillion! This bank is doomed! Even the IMF recently said that Deutsche Bank is the greatest risk to financial stability. “Among the globally systemically important banks, Deutsche Bank appears to be the most important net contributor to systemic risks,…

The Message from Bond and Stock Prices

Dear Reader, Stocks are at all-time highs, and so are bonds. Although, this is happening for two very different reasons: stocks are at all-time highs because the markets are pricing in more stimuli from central banks, as well as the fake jobs numbers that point to an economy that is, at least on the surface,…

How To Play The Biggest Risk

Dear Members, FMT Advisory has one of the best trends records in the entire investment universe. We also have some of the best bottom-up research and industry connections in the world. Our largest trend concern has only gotten worse, and that is our fear of long-term inflation running much higher than its medium long-term average.…

Is Silver’s Bull Run Dying? Not So Fast!

On Friday, Yahoo Finance columnist Seana Smith ran an article entitled, "Why silver’s post-Brexit bull run may soon be over." The main thesis is that Brexit has added uncertainties to the global economy that were already brewing, thus driving valuations for risk-off assets. Silver bullion has been one of the biggest beneficiaries, jumping up about…

The Higher The Rise, The Harder The Fall

Never has the market looked so strong, and yet so weak. The benchmark S&P 500 is now up nearly 6% year-to-date, which, if the trend continues, forecasts double-digit returns for 2016. A much more positive-than-expected jobs report also lends support to the bullish argument. However, anybody with half a brain cell can recognize the perilous…