In his post China Likely Bought 10,000 Tons Of Gold…And If They Did, Here’s Why Chris established his understanding towards the act of the Chinese government purchasing ten thousand tons of gold. He believed that, even under the circumstances of the growing value of the dollar, purchasing gold in this historical low point of gold is a smart move for both government and individuals. However, I treat this problem from different aspects. I believed that the act of the Chinese government purchasing this huge amount of gold is just an act out of sheer necessity. And individuals shouldn’t purchase gold since the gold price will continue its dropping.

From the graph, it seems gold has already come to reach its floor, however, the high value of gold always makes no sense and the price around 1000 still ain’t the identical value for gold. Thousands of years ago, when gold first becomes the “money” of human, the only reason for its value was because it is a rare metal. And later after the second world war, the gold standard appeared for the cause of the recovery of the economy. Nowadays on the other hand, more and more gold has been discovered and gold itself has lost its value as a rare metal. The only reason that the gold price remains high is in the definition the world gave it. Just as what Warren Buffet said n his interview that “I’ll never invest gold even if it reached the point of 800.”

comment from China’s stock markets change forever next week

The “Shanghai-Hong Kong Stock connects” program simply creates the world’s second-largest equity market by market cap, only below “The New York Stock Exchange”. The combination of the two stocks is definitely a positive news for all investors as well for the rising index of the Chinese stock market. But under all these gigantic concept, the problem comes again, how can investors make their profit from this big deal. From my aspect, I believe three decisive factors will be affected by the scheme.

First, it will simply stimulate the slumpy real estate industry. The bubbled real estate industry could be regarded everywhere in China. In Beijing, the average price of efficient house has been reached to 4000 dollars per square meter when the average income for Beijing people is 4000 dollars per year. However, the vacancy rate is up to 70 percent. The successful combination of two stock markets will act as a cardiotonic towards the dying real estate market.
Secondly all plate of different industry’s stock will be influenced positively by the increased floating capital in both market.
Finally the index of both market will increase a lot in the following month with everything going in the right way.
After all, right now all investors is pulling their attention to the Chinese stock market and an explosive fusion in the investment world is inevitable.

comment

United Nation always lays its hand in all corners. And it is, for no doubt the biggest profiting institution under the tag of “make the world a better place”. And the United Nation does not have a reason to employee millions of staffs and volunteers to give loans and insurance to people under “unsafe circumstances”

Saving and assisting the poor while at the same time profiting is a very hard work. The sentence “the happiness that brought them caught me in.”(Muhammad Yunus) could also be treated as” the higher efficiency it could increase amount the workers brought me in.” Think about the great fortune it takes when a huge organization (banks government…) first took away people’s happiness by giving them not enough money or a bad circumstance. And then the organization’s critical friend, the social entrepreneurs, gives the micro financial support to these unhappy people to raise their happiness. Finally poor people become happier and could contribute their life even more to the profiting organizations.

So it comes back to the question, ” If the United Nations was fully funded why would we need the Arc or social enterprise?” the answer is if they do help them, the strength of the machine of society will become lower and definitely low efficiently.

in his post “Oli Price Dives in the Past Weeks: Good or Bad?”， Darren established his opinions on the negative influence the dropping of the price of oil brought us, and showed his concerns about the future of crude oil market. However, his opinion is so closed to the text that I believe there are much more issues to discussed about on the problem of the price of oil.
The question what caused the price drop of oil wasn’t clearly developed in Darren’s blog. from my point of view, the mix power energy and clean energy are the biggest villain of oil industry. But that was not the only issue, the oil industry was always monopolized by feel giants and they are the price maker of the market. This drop in price of oil could be treat as a great solution to deal with the raising of strong dollar and the global economic.


Oil price was getting its historical low point and is dying for a bounce. the increasing force of USD gathered with the depress of the solar market will finally lead to this rebound of the price of oil. And I believe in the following one month oil will get back to the price around 83.

comment: http://www.cnbc.com/id/102162141

(1 dollar to Japanese Yan reached it’s peak in 7 years.)

During the past three weeks, the value of US dollars has been grown in a tremendous speed. The strong US dollars seems to be a great advantage for the US citizens since they could afford much more than they used to. However, there are huge problems for the entire nation behind the appearance of the atrong USD.

First the strong USD is not a good news for US citizens working outside of The State. The money these people earned become worthless compared to the strong USD. Thus, it becomes even more tough for them to support their families in the state.

Secondly strong USD ain’t acting so good for exporters. Exporters are now facing the hard choice of either remain the foreign currency price unchanged with less value, or to raise the foreign currency price while losing the quantity demand.

Thirdly, huge firms ain’t happy. These firms have to be paid more to their employees, and they earned less in foreign countries.

Finally the government ain’t happy about the bright dollars. USA being a big debtor country is not satisfied to own others even more money. The rise in value of dollars meant their own others more and more money.

For all, the growing USD is a two aged sword toward the entire nation. And it is an issue all Americans must concern.

Government’s acts are always foolish in the mouse of its citizens. However, in these citizens’ mind they like the “protection” government provided. Just like these local Canadians, they fought back the “Indian Act” on their mouse, but the truth is they like to be protected by the new government. They have their materialized benefit of having zero tax which gives them a much more viable economic status compared with the foreign people.

Compared to their cultural discrimination, local Canadians, in their soul choose to kneel down toward materialized benefit.

 (Indian bow to the government)

And now, the government finds out that their cultural invasion has been so successful that they do not need to give welfare to the local Canadians. So, they was trying to show out another policy to make “a fair play” for all Canadians. Now, the local people in their mouse say the government learned to respect them while in their heart being sad for losing their privileges.

Nonetheless, what can they do? They could only say yes to the new policy because now the key to the play is not on their hand anymore.

Government, on the surface maximized the utility for Canada. When the truth is the huge profit for hundred years of cultural invasion has to be even more.

http://www.cbc.ca/news/canada/background-the-indian-act-1.1056988g

Gold price is coming to 1191.1 per ounce just by the end of today. And I believe it might have chance to broke the lowest price in recent five years of 1185 per ounce recently. And here is this article about warren buffets’ hatred about gold.

So here is my analysis of the declining. Firstly, gold have been overly evaluated as a rare metal. Without the gold standard, it will just be treat as a metal. Based on the high technology of this age, exploiting gold have become much easier. And the amount of global reserve of gold  is massive. So the scarcity of gold will certainly caused the price of gold drop back.

However the old appreciation of gold is still holding gold’s price. Here is a prediction graph for gold during the 20th century

And here is a graph for the truth for gold price in recent years.

We can see clearly how much people used to have their trust in gold. However, until today, people like my grandmother is still saving huge amount of gold in her home and have his old traditional judgement of gold.

I stand firm with Warren Buffett and I’ll not invest on gold not even go short for it. For my simple reason that I don’t invest on others’ judgment.

http://www.nasdaq.com/article/why-warren-buffett-hates-gold-cm267928

Addicts shoot up in safe haven in Canada

“It’s nothing personal, I always liked him.”———— “The god father”

What is a business group? A business group include huge families, governments, banks and everyone who get the muscle to decide. And it is not communisms. So why do business people need ethics? It is simple, ethics brought profit. 

And here in Vancouver, we see this totally ethical place, The Insite, Where people could shoot up clean and safe. And the question comes again, why do the government uses 3 million dollars per year to provide this spot for people to get high? And again, the reason is simple. Profit.  Notice, the profit I’m talking about is not the hundred million dollars government earned by selling drugs. The profit is far beyond that.

Everyday, this peaceful city have gentle gangsters fighting with each other at night. And the gangsters are nice people, they only deal with their business never disrupt the citizens. We could see on newspaper about two man taking their shotgun into some small restaurant and blowed the brain of some core person in KGB but we don’t see anyone else get hurt.

While for the gangsters, The Insite is a perfect news for them. Although the Insite seems to be a price ceiling (The price of drugs selling from the gangster could not be above the price of same product in Insite). But it acceded the demand for drugs in a tremendous speed. With shoot up become legal in Vancouver, more and more drug adductors will move to the city and the gangsters will have tongs and tongs of profit to earn.

The amount of HIV in the city is decreasing rapidly, citizens are happy and they love the government. More and more people want to have drugs, the gangsters are happy and they appreciate the cooperation from the government. With profit from selling drugs as well as making citizens rich people and the gangsters happy, government are happy.

And we can see our ethic business movement is a win-win for all.

http://www.cnn.com/2013/04/11/world/americas/wus-canada-drug-safe-haven/

APPLE’s press conference has been pitching the top line for almost a month. But, result on the big day shows to be pathetic. By Sep 9th, the day when the press conference goes, Apples’ stock market first  reached its peak of 4.7 percent grows then comes to a drop of 7 percent when finally by the end of the day stabled at a 0.5 percent grows. This press conference for the new I PHONE and I WATCH seems to have become the worst one through the 38 years since 1976.

Looking at the diagram we could simply see the stock price raises quickly with the publish of Iphone 6 while dropped in stairs with every detail published in I WATCH.  We started to question if Apple still get the muscle for it’s magic innovation or have it becomes a piece of crap that tried to stick I POD NANO with a bracelet and sold in tripled prize.

I was also shocked by the I WATCH and treat this press conference to be stupid. But later reviewing the press conference I found that the core for our new APPLE have nothing to do with design or a screen “bigger than bigger”. The core of our new Apple have lead Apple into a new top the apex of a new APPLE system. The core is the APPLE PAY.

Apple Pay could make paying bills so simple and fast that no holders of The new apple will ever use a credit card for their orders in MacDonald. And in a short period of time Apple Pay will pressure VISA card and make the globe a new globe of APPLE.  Apple Pay have become so competitive that it leads to a 3 percent stock increase for Apple Inc. And as well a 3 percent decrease for the online shopping  terrance EBAY.

MaYun the founder of ALIBABA have made a great fortune in the old payment system, but apple   with its new system APPLE PAY have simplified paying bills into a new level.  With the right motion of Apple Pay, I believe the stock of Apple will have chance to reach 150$ in four month.

link: http://www.marketwatch.com/story/3-reasons-why-apple-has-its-mojo-back-2014-09-10?page=1

http://www.marketwatch.com/story/us-stocks-futures-lower-as-fed-hike-fears-in-focus-2014-09-10