Friday, September 26, 2025

Finally Doing Some Rebalancing

My wife and I have finally decided that the time has come to buy a house in the country.

We're going to sell some of our gold in exchange for a small house.

We expect to spend one third of our gold on the house, and one sixth on refurbishing. All together, we'll be spending half of our gold on the house.

The process of refurbishing is expected to take three years, and will happen in stages.

Our motivation for this rebalancing is driven mainly by a desire to "get on with it". We can't wait for ever for the perfect opportunity. So, we're taking advantage of the latest boost in gold prices to get a foot in the door.

We've seen the following changes in market conditions since my assessment at the start of this:

The Dow/Gold ratio has declined since January, which means that gold has outperformed the Dow:

  • Jan 2017 = 16.4
  • Jan 2019 = 18.2
  • Jan 2021 = 16.2
  • Jan 2023 = 18.8
  • Jan 2025 = 16.3
  • Sep 2025 = 13.5

The PSI20/Gold ratio is also down. But only slightly. It was at 79, and it's now hovering around 77.

PSI gold ratio


Gold has also outperformed real-estate. Our apartment in Porto is up 50% since 2021, while gold is up 100%:

  • Jan 2017: 10 part real-estate, 20 part gold, 5 part cash - for a total of 35
  • Jan 2019: 15 part real-estate, 20 part gold, 5 part cash - for a total of 40
  • Jan 2021: 20 part real-estate, 30 part gold, 3 part cash - for a total of 53
  • Jan 2023: 24 part real-estate, 33 part gold, 3 part cash - for a total of 60
  • Jan 2025: 24 part real-estate, 40 part gold, 6 part cash - for a total of 70
  • Sep 2025: 30 part real-estate, 60 part gold, 5 part cash - for a total of 95

Looking forward in time, we'll see the following changes due to our rebalancing. However, only time will tell if we made a financially smart move.

  • Oct 2025: 50 part real-estate, 40 part gold, 5 part cash - for a total of 95
  • Jan 2027: 60 part real-estate, 30 part gold, 5 part cash - for a total of 95

Only when we check back in 2028 will we know exactly how smart or stupid this was. If real-estate outperforms gold, we've been "smart". But if gold outperforms real-estate, we've been "stupid".

1914 Sydney Half Sovereign - St. George.jpg
British gold sovereign

By Benedetto Pistrucci - Own work, Public Domain, Link

Saturday, September 20, 2025

Dimorphos and Didymos revisited

Three years have passed since NASA’s DART probe hit the asteroid Dimorphos. An impact that shortened its orbit around its parent asteroid Didymos by ten minutes.

Successful mission

The result was well within what NASA had predicted, and was therefore considered proof of concept for the kinetic impactor method. However, a study of debris ejected by the impactor shows that large fragments are moving faster than expected.

Something is a little off relative to their theory.

Erroneous predictions

On the other hand, I made two predictions that have not come true. One about the composition of the asteroid, and another one about its change of orbit.

I was also under the misapprehension that the goal of the impact was to widen the orbit. But my prediction had to do with changes to the orbit, independent of whether they are made wider or shorter. So, this is not a big deal.

My main point was that the orbit would be less impacted than predicted by NASA, and that the orbit might even be partially or fully restored to its original after a few years.

This didn't happen. But the reason for this may be found in the unaccounted for energy observed by NASA.

Stability of orbits

My position when it comes to the stability of orbits is that the role of static electricity is underappreciated by astronomers.

Gravitational attraction and electrostatic repulsion
Gravitational attraction and electrostatic repulsion

The two bodies involved in an orbit are both negatively charged. My thinking is therefore that the impact on the smaller body should've been partially countered by the force of electrostatic repulsion. The combination of gravity and the electrostatic force should've mitigated the impact of NASA's probe in much the same way that a shock absorber overcomes mechanical shocks to cars.

Ejected fragments

But if a large number of fragments are ejected from the impacted object, much of that object's initial charge is lost. This is because charge resides mostly at the surface. The shock absorber is damaged, as it were. Much of the repelling force that existed in Dimorphos before the impact was taken over by fragments.

The fragments, highly charged as they were, got in this way an extra boost. Once released from the surface of Dimorphos, they accelerated away from Dimorphos and Didymos with more energy than predicted by NASA.

The net result of this was that NASA got the smaller orbit that it predicted, but also the more energetic fragments than it predicted.

My prediction, on the other hand, failed because the fragments took away the shock absorber effect that I had expected to see.

Had Dimorphos remained intact, with little to no debris ejected, my prediction may well have come true.

Jupiter's Children

An interesting aspect of this is that the ejection of debris from Dimorphos is similar in form to the theory that Jupiter ejects moons whenever it is sufficiently stressed to do so.

Jupiter ejecting a moon
Jupiter ejecting a moon

The idea is that Jupiter will eject a moon every now and again, and that this happens with the assistance of electrostatic repulsion.

Once a blob of matter is pushed sufficiently high up, electrostatic repulsion kicks in, and the blob is thrown into space.

This explains the large number of moons orbiting large planets like Jupiter and Saturn. It may even explain Venus' odd behavior and apparent recent arrival in our solar system.

Objects thrown into space by parent objects gain extra energy from electrostatic repulsion.

However, this doesn't explain Dimorphos composition, which is different from what I had expected.

Bundle of rubble

As it turned out, Dimorphos was not the solid rock that I thought it would be. It was a bundle of rubble instead, which begs the questions. How was this assembled? Which force pulled it all together?

My position is that gravity is too weak to pull dust and rubble into lumpy asteroids. I'm not a big fan of the accretion disc theory. But the composition of Dimorphos seems to confirm this model. It can be argued that Dimorphos is the result of millions of years of steady growth due to gravity.

However, we can equally argue that the process of assembly is driven by static charge. Neutral bodies are attracted by charged bodies. Dust sticks to charged balloons. The phenomenon is well known. It's also a lot stronger than gravity.

Conclusion

The experiment performed on Dimorphos by NASA has taught us a lot about asteroids and orbits. But it has not provided conclusive evidence one way or another when it comes to the various theories related to this. All we can say is that the gravity only model is at a loss when it comes to explaining the extra energy evident in debris ejected by Dimorphos. Our competing mode, on the other hand, is only kept standing precisely because there was excess energy transferred to the debris.

Wednesday, June 4, 2025

The Ideal Breakfast

I discovered at a relatively young age that a protein rich breakfast will keep me going long into the afternoon before my energy level drops. This is in contrast to cereal which satisfies for about an hour before the effect wears off. Bread with spreads last a little longer, but nothing satisfies quite as much as bacon and egg.

However, we're constantly told that bread or cereal is better for us, not least when it comes to our digestion, so it came as a bit of a surprise to me that a piece of bread with bacon and egg, and not much else, had no bad effect on my digestion.

But one slice of bread is not enough. I've therefore gone back to take a pinch of cumin seeds every morning, and I'm having a bowl of oatmeal porridge as well. To top it off, I make myself a pot of tea.

When these things are combined, my digestion works like clockwork, and I assume that some similar combination will work well for others as well.

There's no point in copying my breakfast completely. If you prefer coffee to tea, I'm sure the effect is no different. Extra slices of dark bread in stead of porridge is probably good as well, and the cumin seeds are probably not essential for most people.

However, the ideal breakfast doesn't come without protein, so bacon and egg it must be, or something similar.

-2019-07-30 Streaky bacon, fried egg on toast, Cromer (1).JPG
Bacon and Egg

By Kolforn (Kolforn) I'd appreciate if you could mail me (Kolforn@gmail.com) if you want to use this picture out of the Wikimedia project scope. This file is licensed under the Creative Commons Attribution-Share Alike 4.0 International license. You are free: to share – to copy, distribute and transmit the work to remix – to adapt the work under the following conditions: attribution – You must give appropriate credit, provide a link to the license, and indicate if changes were made. You may do so in any reasonable manner, but not in any way that suggests the licensor endorses you or your use. Share alike – If you remix, transform, or build upon the material, you must distribute your contributions under the same or compatible license as the original. - Own work, CC BY-SA 4.0, Link

Wednesday, May 28, 2025

Ice Increasing in Volume while Decreasing in Extent

Climate alarmists are struggling with the fact that global ice cover has increased in volume for the last six years straight. Snow and ice was supposed to become a thing of the past, yet here we are with more snow and ice than back in the 1990s.

So, the alarmists are now forced to blow the dust off of their science books which clearly state that temperature is but one driver of ice formation.

Precipitation plays an important part in it too, and climate realists have pointed this out from the start. Antarctica is more likely to gain than lose ice in case of higher global temperatures, because Antarctica is a desert with hardly any precipitation. It can only gain in ice if precipitation increases.

The expected result of higher global temperatures is an increase in ice volume on land and a decrease in ice extent on water, because sea ice will melt in warmer water, and more moisture in the air will result in more ice in cold places, especially dry places like Antarctica.

This fact has been known for decades, yet it's only now that the alarmists are pointing this out, desperate as they are to hold onto their core belief in global manmade warming.

But the realists have held this position all along. The alarmists are late to the party. Besides, the supposed negative effect of global warming was desertification and rising sea levels. Now we have a greening planet and stable sea levels. The world is in a better place, so the climate isn't and never was anything to worry about.

Above average ice volume
Above average ice volume

Sunday, May 25, 2025

$ 110,000 Bitcoin

Something odd happened at the peak of Bitcoin mania back in 2017. All of a sudden, all financial papers replaced their gold tickers with Bitcoin tickers. It was not a case of one or two papers doing this. Every mainstream paper did this in unison.

Never mind that the Bitcoin market is a feather-weight relative to the gold market, and Bitcoin has no strategic importance in global politics. Everyone was suddenly rooting for Bitcoin while hiding gold from view.

Search interest for Bitcoin, gold and silver
Search interest for Bitcoin, gold and silver

Predictably, search interest for Bitcoin went parabolic, with small investors drawn into the casino as a consequence.

The spike in interest peaked out just as the price of Bitcoin reached its 2017 peak:

Price  of Bitcoin
Price  of Bitcoin

What followed was a price collapse, and it wasn't before the pandemic of 2020 that the price of Bitcoin made another peak. People were locked at home with little to do but gamble with their government handouts.

Then, as Covid restrictions were lifted, there was another price collapse that lasted until a new price pump started in 2024, which has sent the price of Bitcoin soaring to new heights for no good reasons at all.

As of writing, the price of Bitcoin has reached a new all time high of $ 110,000. However, Bitcoin hasn't outperformed gold this year. It's up 15% while gold is up 28%. Yet, new Bitcoin highs get covered on TV, while new highs in the price of gold get but an anecdotal mention in financial papers.

The situation for Bitcoin is strange, because it's reaching new highs despite less search interest on Google. Bitcoin isn't going up because of more interest. It's going up despite less interest, and this is happening in the context of main stream media enthusiasm.

What makes this even stranger is that gold has had an important role in finance and geopolitics since the dawn of history, while Bitcoin has no such function. Why then has a unison media decided to promote this newcomer while at the same time hiding the heavyweight old-timer?

1959 sovereign Elizabeth II obverse.jpg
Sovereign

By Heritage Auctions for image, Mary Gillick for coin - Newman Numismatic Portal, Public Domain, Link

Wednesday, May 14, 2025

$ 3,000 Gold

Gold has been trading well above $ 3,000 since last quarter, which means that my prediction from late 2023 came true, even if late by a few months. However, 2023 wasn't the first time I mentioned this target. My first prediction dates back to January 2021. That's more than four years ago, so even thought I was right in the end, my call for $ 3,000 was a little too early to be impressive, or even noteworthy.

But now that the target has been reached, it remains to be seen if we'll be stuck in a sideways pattern for a while as predicted back in 2021. So far, new all time highs have eluded us. But will this persist for months on end? Only time will tell. As of now, nothing significant can be read out of the chart as to gold's next big move, and we can therefore assume that it won't be doing much for quite some time still.

Quarterly performance of gold up until May 2025
Quarterly performance of gold up until May 2025


Monday, May 12, 2025

Early Spring in Oslo, Late Spring in Porto

Spring came early to Oslo this year. Some five weeks early to be exact. The evidence for this can be seen on how green all the trees have become. Compared to the typical mid-May picture of Oslo, the amount of green in April was ahead by more than a month. As I write this, Oslo looks more like it usually looks in June, rather than May.

Southern Norway has been caught in a prolonged spell of warmer than normal weather, and the evidence is clear as day.

The same cannot be said about Porto, which has been caught up in one cold spell after another. Spring has been unusually wet and cool, and this has led to a later than normal spring. The evidence for this is not as easy to spot as in Oslo, but I have flowers on my balcony that can be used for this.

I took this picture of my bougainvillea on April 30 2021, and we're still not that far. I'd say we need another week before it reaches this level of lushness, so that means that spring has been delayed by three weeks down here.

Bougainvillea April 30, 2021
Bougainvillea April 30, 2021

So, Oslo is ahead by five weeks and Porto is delayed by three weeks. This should come as no surprise because our planet on the whole doesn't change its temperature by more than a few decimals of a degree from one year to another. If one area is warmer than normal, other areas have to be cooler.

It's impossible to say anything conclusive about the climate based on any one extreme, because there are for sure other extremes other places weighing the balance the other way.