Extremely heavy “Officers’ and directors’ selling”,which is good news for mining stocks!

Enormous amount of officers (insiders) selling…..largest amount in years.

The last two weeks have seen the largest insider selling of their personally owned shares that I can recall for years and at the same time, insider buying is very small in value. The “insiders” are the officers and directors of the major publicly traded companies. They are the most informed of all investors as in fact, they work at the very companies of the shares that they are selling.

The numbers are daunting in the last two weeks with the total value of buys of the officers and directors was slightly over $44,000,000. But the total of sales by the officers and directors for the last two weeks is NOW TAKE NOTE….OVER $1,189,000,000 ! Yes, that total is one billion one hundred and eighty nine million dollars.

We have never seen anything like it in the value of insider sales. Obviously some officers and directors are taking their personal money out of the market. After moves up such as the market has had, some selling should prove to be prudent and wise.

The media will probably not report these totals as it may interfere with business. That is the way it is.

But Mining Stocks are seeing buying!

As we are focused on mining stocks and hard assets, weakness or a bear market in the large industrial stocks such as the S&P 500 is generally good for gold and the mining stocks. AND it should be noted that one sector of all the market’s sectors, that has consistent insider buying with very limited insider selling is the mining sector. But keep in mind that the large brokerage houses will not inform investors of this as it interferes with business.

I have said that using technical and cyclical analysis that the stock market faced a decline of approximately 25% over the last three years. But since rates are under 1% with no decline in the money supply despite very low velocity, bear markets do not usually occur.

But insider selling and the fact that US traded stocks now are valued at the level of approximately 125% of US Gross Domestic Product, we would suggest to take some money off the table-officers are. It’s a serious warning so Soyez prudent! Faites attention.