Gold World News Flash |
- GoldSeek.com Radio Gold Nugget: Dr. Marc Faber & Chris Waltzek
- Silvers Long-Run Value
- Bullion Bank Trading – A Closely Guarded Secret!
- Who Would Sell Gold or Silver Now?
- Gold Breakout and Silver Going Parabolic
- Ima Casanova Uncovers the Under-Covereds
- Abandoned Principles
- Strategic Metals - Gold, Tungsten & Molybdenum
- Silver Prices Displaying Some Bubbly Characterisics
- Gold Seeker Closing Report: Gold and Silver Rise To New Highs Again
- Things
- On CNBC Asia, Ben Davies explains why gold is better than gold ETFs
- Maybe the Fed could persuade the LBMA to get into corn storage ...
- Gold & Silver-When To Sell? Real Estate-When To Buy? Mike Maloney
- Daily Report - The Big Show
- As Radioactive Iodine Cloud Passes Over Korea, Government Downplays Risks
- Midas Comments for 06 April 2011
- Silver's Long-Run Value
- On FX
- London Gold Market Report
- The Big Show
- Silver and Gold Prices Have Entered the Second Upleg of a Bull Mark
- Antal Fekete's Open Letter To Ron Paul: "Impeach Bernanke"
- Silver Has A Long Way To Go
- The True Meaning of the Word “Bailout”
- Feeling Depressed? 27 Depressing Statistics About The U.S. Economy That Will Make You Feel Even Worse
- Adrian Douglas: Bullion bank trading -- a closely guarded secret
- Why Record Gold Now?
- Lew Rockwell: Use the dollar or else
- Silver Is Getting Too Popular… Right?
| GoldSeek.com Radio Gold Nugget: Dr. Marc Faber & Chris Waltzek Posted: 06 Apr 2011 07:02 PM PDT GoldSeek.com Radio Gold Nugget: Dr. Marc Faber & Chris Waltzek
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| Posted: 06 Apr 2011 06:51 PM PDT Bullion Vault
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| Bullion Bank Trading – A Closely Guarded Secret! Posted: 06 Apr 2011 06:08 PM PDT If investors think they own large amounts of bullion in "unallocated" accounts they should take a very close look at what has been presented here and try to work out where exactly the underlying assets that back their investment might be hidden. The inescapable conclusion is that the unallocated accounts are unbacked or backed with no more than 2% of the bullion required. The gigantic revenues that the precious metals market generates for the banks seems to be been omitted from the Annual reports entirely.
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| Who Would Sell Gold or Silver Now? Posted: 06 Apr 2011 06:07 PM PDT Mainstream media, the majority of the public and value investors all believe that the precious metals are in a bubble. But that is because they do not understand the foundations underpinning a move into hard assets.
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| Gold Breakout and Silver Going Parabolic Posted: 06 Apr 2011 06:06 PM PDT Right now all you need to know are two things. First, take a look at the above breakout. Second, consider the estimation that 1% of global assets and 0.30% of pension assets are allocated to Gold and gold shares. Folks, this is absolutely stunning. This is why this bull market will be the greatest bull market in generations. George Soros knows what he's talking about when he says, "Gold is the ultimate bubble."
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| Ima Casanova Uncovers the Under-Covereds Posted: 06 Apr 2011 06:04 PM PDT McNicoll, Lewis & Vlak Investment Analyst Imaru (Ima) Casanova specializes in "under-covered" and turnaround companies in the resource sector. In this exclusive interview with The Gold Report, Ima describes several situations that fit her investment parameters, including the unique field of royalty companies.
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| Posted: 06 Apr 2011 05:45 PM PDT There should be no confusion as to the origins of the global economic crisis that began in 2008. This crisis was set in motion in the 1960s, when policymakers in the United States abandoned the core principles of economic orthodoxy: balanced government budgets and sound money backed by gold. Large budget deficits and the possibility of financing them with paper money fundamentally changed the way the economy functioned and brought about a worldwide transformation that, over time, has deindustrialized the United States and left it heavily in debt. Paper money revolutionized all economic relationships by making credit abundant instead of scarce. In a complete break with the past, the government was no longer constrained in its ability to spend, and international trade was no longer required to balance. Economists, however, remained oblivious to this corruption of capitalism, and economic theory was left entirely unrevised. Most damagingly, economists and policymakers continued to believe that "free trade" would continue to produce the same benefits under a paper money regime as it had under the gold standard. They altogether failed to notice as free trade evolved into something entirely different, debt-financed trade. Moreover, they failed to grasp that debt-financed trade did not bring about the same permanent expansion of well-being as free trade, but instead permitted the development of extraordinary, debt-financed global imbalances that have thrown the world into a new depression now they have begun to come unwound. The economic crisis confronting the United States—and, therefore, the world—is not cyclical. It is structural. The US economy is simply no longer viable as it is currently structured. The hard truth is that the United States produces very little that the rest of the world cannot buy much more cheaply from developing countries, where wage rates are 90% lower. The forces of globalization are hollowing out US industry and leaving the country incapable of producing as much as it consumes. These trends will only accelerate in the years ahead so long as current policies continue and current misconceptions about the benefits of debt-financed trade under a paper money regime persist. A multi-trillion-dollar policy response in the United States and around the world has halted the downward spiral in economic output and asset prices—at least for the moment. It has also demonstrated that we really are all Keynesians now. Keynesian stimulus is not enough, however. Government spending is propping up the economy without correcting—or even targeting—the structural flaws that caused the crisis. Keynes was right to advocate government spending to stimulate the economy during a depression. However, as his advice was not put into practice during his lifetime, he left us no exit strategy, no theory of how to eventually wean the economy off government life support. Therefore, it is now necessary to take Keynesian analysis a step further. Stimulus is not sufficient; a structural overhaul is required. Japan's twenty-year Great Recession offers insights into how this might be done. The expansion of government debt in Japan to more than 200 per cent of GDP has demonstrated just how great a government's capacity to borrow actually is. It is not enough for the government to borrow just enough to support 1-2 per cent GDP growth year after year. Japan's experience shows the government of a large industrialized country has enough debt capacity to borrow on a large enough scale not merely to support the economy with a steady drip of stimulus, but enough to completely restructure the economy so as to restore its viability. Japan did not do that, but the United States could and must. It will require only a few more years of double-digit unemployment before a grassroots protectionist backlash sets in and Americans vote for high trade barriers. Protectionism would deal a great blow to global prosperity, but it is inevitable unless the United States completely reformulates its economic policy. Fortunately, a five- to ten-year window of opportunity exists for the US government to get to grips with the nature of this crisis and implement the radically different policies needed to permanently resolve it. The United States economy must be fundamentally restructured if the country is to avoid moving toward terminal decline. New advanced industries must be developed to enable the country to produce products the rest of the world needs and can't buy anywhere else at any price. This will require the government to invest in 21st-century industries on a scale great enough to give the United States an unassailable lead in the technologies of the future. It is tragic that a series of terrible policy mistakes has led to this situation where the United States must now rely on the government to restructure the economy. However, America's economic degeneration began long ago, when Presidents Johnson and Nixon broke the link between dollars and gold. Regrettably, only the US government has sufficient financial and organizational capacity to carry out the economic overhaul necessary to restore the nation to the path of sustainable prosperity. The private sector in the United States did not win World War II. The government took the reins of the economy during that war and steered it to victory. This national emergency will also require a government-directed solution. Regards, Richard Duncan P.S. For more perspective on economics in the age of paper money you can visit my blog at www.richardduncaneconomics.com. Abandoned Principles originally appeared in the Daily Reckoning. Daily Reckoning founder Bill Bonner recently wrote articles on stagflation and introduced his new book Dice Have No Memory: Big Bets & Bad Economics From Paris to the Pampas.
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| Strategic Metals - Gold, Tungsten & Molybdenum Posted: 06 Apr 2011 05:30 PM PDT The week end miner
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| Silver Prices Displaying Some Bubbly Characterisics Posted: 06 Apr 2011 05:27 PM PDT Cullen Roche submits: What if someone had come to you at Nasdaq 3900 in late 1999 and told you that the Nasdaq was going to decline 80% over the next few years? Would you have gotten out after such a great run or would you have continued pouring money into an environment that surely felt "different this time"? What if I told you your upside was capped at 30% and your potential downside was 80% over the course of the next 36 months? Would you take that bet? This might be the exact situation we are looking at with the price of silver today. If you study the Nasdaq bust and the prior 6 year rally in silver prices you will see some remarkable similarities. After settling at around $7.50 in 2005 silver prices went on a 420% tear to their current price over $39. In 1994 the Nasdaq Composite settled around 750 Complete Story »
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| Gold Seeker Closing Report: Gold and Silver Rise To New Highs Again Posted: 06 Apr 2011 04:00 PM PDT Gold rose $11.35 to a new all-time high of $1462.15 by midmorning in New York before it fell back off a bit in the last few hours of trade, but it still ended with a gain of 0.39%. Silver surged $0.643 to a new 31-year high of $39.743 before it also fell back off, but it still ended with a gain of 0.59%.
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| Posted: 06 Apr 2011 01:30 PM PDT The following is automatically syndicated from Grandich's blog. You can view the original post here. Stay up to date on his model portfolio! April 06, 2011 05:04 PM [LIST] [*]Paradigm Capital Raised it’s target price on Alderon Resources 50% to $6.40. You can email company at [email]info@alderonresources.com[/email] to ask for copy of report. [*]Global Hunter Securities initiates coverage of Sunridge Gold with a $2.40 target. They noted they used very conservative numbers including roughly half the current metal prices (used gold at $635) and called SGC a takeover target. Sorry, copies of report are only available through GHS ([url]www.ghsecurites.com[/url]) [*]Focus on nickel and cobalt [*]Arab turmoil to effect energy markets for years [*]Financial prophet says Fed must be stopped [*]Copper outlook [*]Not good [*]Christie – Brutally honest (that drives Liberals mad) [/LIST] [url]http://www.grandich.com/[/url] grandich.com...
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| On CNBC Asia, Ben Davies explains why gold is better than gold ETFs Posted: 06 Apr 2011 01:21 PM PDT 9:19p ET Wednesday, April 6, 2011 Dear Friend of GATA and Gold: Touring the world promoting gold as an alternative form of money (and his fund as a good way of investing in it), Hinde Capital CEO Ben Davies turned up on CNBC Asia's "Squawk Box" program Sunday and explained why gold is underowned, why governments wage war against it, and why exchange-traded funds are not the most efficient and reliable way of investing in gold. The interview is a little more than 6 minutes long and you can watch it at the CNBC Internet archive here: http://video.cnbc.com/gallery/?video=1867495953 CHRIS POWELL, Secretary/Treasurer ADVERTISEMENT Sona Drills 85.4g Gold/Ton Over 4 Metres at Elizabeth Gold Deposit, Company Press Release, October 27, 2010 VANCOUVER, British Columbia -- Sona Resources Corp. reports on five drillling holes in the third round of assay results from the recently completed drill program at its 100 percent-owned Elizabeth Gold Deposit Property in the Lillooet Mining District of southern British Columbia. Highlights from the diamond drilling include: -- Hole E10-66 intersected 17.4g gold/ton over 1.54 metres. -- Hole E10-67 intersected 96.4g gold/ton over 2.5 metres, including one assay interval of 383g of gold/ton over 0.5 metres. -- Hole E10-69 intersected 85.4g gold/ton over 4.03 metres, including one assay interval of 230g gold/ton over 1 metre. Four drill holes, E10-66 to E10-69, targeted the southwestern end of the Southwest Vein, and three of the holes have expanded the mineralized zone in that direction. The Southwest Vein gold mineralization has now been intersected over a strike length of 325 metres, with the deepest hole drilled less than 200 metres from surface. "The assay results from the Southwest Zone quartz vein continue to be extremely positive," says John P. Thompson, Sona's president and CEO. "We are expanding the Southwest Vein, and this high-grade gold mineralization remains wide open down dip and along strike to the southwest." For the company's full press release, please visit: http://sonaresources.com/_resources/news/SONA_NR19_2010.pdf Join GATA here: An Evening with Bill Murphy and James Turk https://www.amsterdamgold.eu/gata/index.asp?BiD=12 Or a colorful GATA T-shirt: Or a colorful poster of GATA's full-page ad in The Wall Street Journal on January 31, 2009: http://gata.org/node/wallstreetjournal Or a video disc of GATA's 2005 Gold Rush 21 conference in the Yukon: Help keep GATA going GATA is a civil rights and educational organization based in the United States and tax-exempt under the U.S. Internal Revenue Code. Its e-mail dispatches are free, and you can subscribe at: To contribute to GATA, please visit: ADVERTISEMENT The Gold Standard Now: It Can Work Today a dollar is worth 80 percent less than it was 40 years ago, and less than 5 percent of its value a hundred years ago. We deserve a dollar that is as good as gold, a dollar that will hold its value from year to year so we can be financially secure and our economy can generate more and better jobs. For most of America's history, our dollar was literally as good as gold. But on August 15, 1971, our politicians destroyed the link between gold and the dollar. They destroyed the foundations of our economic system. A new Internet site, TheGoldStandardNow.org, provides news and cutting-edge analysis about this most important issue and explains how the gold standard worked in the past and how it can work in the future. Visit us today: http://www.thegoldstandardnow.org/about/137-welcome-newsmax
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| Maybe the Fed could persuade the LBMA to get into corn storage ... Posted: 06 Apr 2011 12:54 PM PDT ... or General Foods to make a breakfast cereal called Derivatives Flakes. * * * Farmers Looks to Earn Their Corn with New Storage Bins By Greg Meyer http://www.ft.com/cms/s/0/53ff8bc8-6070-11e0-9fcb-00144feab49a.html NEW YORK -- Soaring corn prices have sparked a rush by US farmers to build storage bins across the Midwest, with many hoping to profit from an expected shortage by hanging on to grain supplies. The rapid pace at which bins are being erected has made the glint of galvanised steel a more common sight in rural parts of the US, their growing presence a sign that farmers expect to fetch higher prices for their corn as the country's stocks fall to critically low levels. "Storage has had an incredible boom," said Michael Swanson, agricultural economist at Wells Fargo. "Farmers have built more on-farm grain storage in the last three to four years than they've built in the previous 30." Government economists believe that US corn inventories will fall sharply before combine harvesters start rolling in the autumn, to 675 million bushels by August. Corn futures prices have doubled in a year to surpass $7.70 per bushel, breaking records set in the commodity price spike of 2008. ... Dispatch continues below ... ADVERTISEMENT The Gold Standard Now: It Can Work Today a dollar is worth 80 percent less than it was 40 years ago, and less than 5 percent of its value a hundred years ago. We deserve a dollar that is as good as gold, a dollar that will hold its value from year to year so we can be financially secure and our economy can generate more and better jobs. For most of America's history, our dollar was literally as good as gold. But on August 15, 1971, our politicians destroyed the link between gold and the dollar. They destroyed the foundations of our economic system. A new Internet site, TheGoldStandardNow.org, provides news and cutting-edge analysis about this most important issue and explains how the gold standard worked in the past and how it can work in the future. Visit us today: http://www.thegoldstandardnow.org/about/137-welcome-newsmax But farmers selling to merchants often fetch far less than Chicago futures prices, a discount known as "basis." Holding back grain allows them to bet that discount will shrink, or futures rise, as supplies dwindle. The US Department of Agriculture counts 12.5 billion bushels of capacity on US farms, 900 million more than four years ago. "We've had our best years the last couple of years," said Charles Sukup, president of Sukup Manufacturing, an Iowa bin maker. "It makes farmers pretty sick when they say, 'Gee, if I only had a bin I could have stored this grain for a few months longer, and paid for the bin in one year.'" Brock Grain Systems, a unit of Warren Buffett's Berkshire Hathaway, says on its website that storage "allows farmers to market their grain when they are ready." The Indiana-based company did not return calls. Grain merchants such as Archer Daniels Midland, Bunge, and Cargill are also adding millions of bushels of commercial silo capacity across the US, the world's top exporter of corn, soyabeans, and wheat. Many farmers are already cashing in. Between December and March the amount of corn stored on farms plunged 46 per cent to 3.4 billion bushels, as corn was sold to grain elevators and ethanol plants. The price of corn sold for imminent delivery currently exceeds future delivery dates. Higher-yielding harvests can sometimes overwhelm silos, driving down the basis for farmers. This has also made storing grain on the farm more attractive. James Layton of the Chicago commodity consultants Laymac sees dozens of metal storage units bins rising as he travels the Midwest. "You can spot them because the new bins shine so much," he said. Ethanol refiners, operating at record rates, are especially appealing to farmers because they need to run constantly and have little on-site storage of their own. They could bid up the price of stored corn until harvests begin in September. "The guys who can carry the corn the longest are going to have some big-time opportunities in the fall," said Mr Layton. Join GATA here: An Evening with Bill Murphy and James Turk https://www.amsterdamgold.eu/gata/index.asp?BiD=12 Or by purchasing a colorful GATA T-shirt: Or a colorful poster of GATA's full-page ad in The Wall Street Journal on January 31, 2009: http://gata.org/node/wallstreetjournal Or a video disc of GATA's 2005 Gold Rush 21 conference in the Yukon: Help keep GATA going GATA is a civil rights and educational organization based in the United States and tax-exempt under the U.S. Internal Revenue Code. Its e-mail dispatches are free, and you can subscribe at: To contribute to GATA, please visit: http://www.gata.org/node/16 ADVERTISEMENT Prophecy Resource Spins Off Platinum/Palladium Venture: Company Press Release, January 18, 2011 VANCOUVER, British Columbia -- Prophecy Resource Corp. (TSX-V:PCY)and Pacific Coast Nickel Corp. announce that they have agreed that PCNC will acquire Prophecy's Nickel PGM projects by issuing common shares to Prophecy. PCNC will acquire the Wellgreen PGM Ni-Cu and Lynn Lake nickel projects in the Yukon Territory and Manitoba respectively by issuing up to 550 million common shares of PCNC to Prophecy. PCNC has 55.7 million shares outstanding. Following the transaction: -- Prophecy will own approximately 90 percent of PCNC. -- PCNC will consolidate its share capital on a 10 old for one new basis. -- Prophecy will change its name to Prophecy Coal Corp. and PCNC will be renamed Prophecy Platinum Corp. -- Prophecy intends to distribute half of its PCNC shares to shareholders pro-rata in accordance with their holdings. Based on the closing price of the common shares of PCNC on January 17, $0.195 per share, the gross value of the transaction is $107,250,000. For the complete announcement, please visit: http://prophecyresource.com/news_2011_jan18.php
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| Gold & Silver-When To Sell? Real Estate-When To Buy? Mike Maloney Posted: 06 Apr 2011 12:48 PM PDT Share this:
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| Posted: 06 Apr 2011 12:46 PM PDT It goes almost unnoticed that gold and silver are making new bull market highs on a weekly basis. Occasionally it will get an honorable mention in the press when they need to fill in some dead space. God forbid that an analyst actually ... Read More...
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| As Radioactive Iodine Cloud Passes Over Korea, Government Downplays Risks Posted: 06 Apr 2011 11:46 AM PDT
It appears that the Standard Operating Procedure following the Fukushima fallout so far has been: 1) deny, 2), deny 3) deny, 4) raise safety limit, 5) collapse in a sniveling heap of guilt. Korea seems to be between step 1 and 2. As the following animation from ZAMG demonstrates, courtesy of Northeastern winds, a major cloud of radioactive Iodine 131 is currently passing right over South Korea. Making matters worse is the fact that it is currently drizzling in the landlucklocked nation, putting people on edge. Yet one cursory look at Korean press, in this case Arirang, demonstrates that absolutely nothing has changed in how governments, ready to sacrifice everything at the altar of mass panic, interact with their population when it comes to sensitive issues such as radioactive rain. "Meanwhile unlike many have anticipated the Korea Meteorological Administration assured that the seasonal winds accompanied by rain approaching from Japan will have almost no impact on Korea." Well, there's spin and there's facts. And for what it's worth the animation shows the facts. This way at least some people will have the choice of making an informed decision. Others may just wake up with superhuman powers soon enough.
More from Arirang:
While we are glad to hear that by Friday the radiation should clear out, we can't help but wonder what happens to that one day between Wednesday and Friday...
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| Midas Comments for 06 April 2011 Posted: 06 Apr 2011 11:36 AM PDT I sent this to Bill Murphy for his Midas Comments for 06 April 2011. Mark J Lundeen [CENTER]* * *[/CENTER] Hi Bill Here is the chart for the Silver/Gold Ratio (SGR) for your Midas Comments. At the end of trading for 05 April, the ratio closed at 37.06, or 37.06 ounces of silver for one ounce of gold. The last time the SGR fell this steeply was in 1998, when Warren Buffet purchased his 130 million ounces of silver. [CENTER] [/CENTER] Normally I would expect a bit of a rest and pullback in the metals markets. But I don't think this is going to happen because investment demand from the public is now supporting the gold, and especially the silver market in a big way. The next theme I'm expecting to hear from the main stream financial media is that interest rates are going to start moving up, and that rising yields in bonds have negative implications for the prices of gold and silver. NOTHING COULD BE FUTHER FROM THE TRUTH! Precious met...
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| Posted: 06 Apr 2011 11:33 AM PDT by Adrian Ash BullionVault Wednesday, 6 April 2011 The bluntest difference between gold and silver? Warren Buffett... WE'VE BEEN inundated here at BullionVault with comments and queries in response to Gold Value $3844, Paul Tustain's new video presentation. Apologies if we've not got round to answering your email yet. Chief amongst the queries? "What's your view of silver?" Which on a risk-adjusted, 'fair value' basis, is tougher still to answer. Just as you can with gold, you could plug your own forecast for changes to the silver price – under different levels of consumer-price inflation – into Paul's gold value calculator (see column E. You'd also need to reset the "Current price" to $40 of course in cell E3). Simply running this exercise for silver but using Paul's view of the various gold price outcomes, the current "fair value" would come out nearer $109 per ounce – again, like gold, significantly higher than today's market price. But silve...
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| Posted: 06 Apr 2011 11:32 AM PDT
How about those FX markets of late? They’ve been an easy call, right? Actually I think there may be some blood in the streets. All the Euro bears are bleeding profusely. Those who played dollar Yen from the short side are having a miserable time. The short EURCHF trade has just gone to hell. But by far, the worst of the lot are those poor souls who thought that shorting the Yen crosses against the Europeans was such a hot idea. For them, well, there isn’t much that can be said. A grouping of Losers   
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| Posted: 06 Apr 2011 11:31 AM PDT from Adrian Ash BullionVault Weds 6 Apr., 09:35 EST Yen Carry Trade Spied Behind "Free Lunch" Record in Gold, Indian Festival-Buying Sees Silver Substitution The WHOLESALE PRICE of gold reached new record highs vs. the Dollar in London trade on Wednesday, breaching $1460 per ounce as world stock markets also pushed higher. Crude oil rose to new 30-month highs, while US and Eurozone government debt prices fell ahead of tomorrow's pre-announced European Central Bank rate hike. Silver prices today broke fresh 31-year highs just 30 cents shy of $40 per ounce. "Massive Yen/gold trade went through yesterday," said one London currency trader to BullionVault on Wednesday. "Carry trade is back. Markets selling Yen and buying everything else. Looks like a free lunch." "There's nothing a trader loves more than a free trade," HSBC currency strategist David Bloom told Bloomberg yesterday, noting that anyone selling Yen to buy higher-yielding currencies now has the G7 ...
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| Posted: 06 Apr 2011 11:29 AM PDT Fear is a very foolish way to rule a nation, because fear is very tiring over time. No matter how tyrannical the despot, no matter how great the imposed terror; there comes a time when the people simply lack the energy to be afraid any longer, Fear vanishes from the population, and all that is left is blind uncompromising unquenchable rage." -- Michael Rivero It goes almost unnoticed that gold and silver are making new bull market highs on a weekly basis. Occasionally it will get an honorable mention in the press when they need to fill in some dead space. God forbid that an analyst actually recommends gold because they will suddenly find themselves "out of time". For weeks the commentators on Bloomberg focused on gold's failure to move above 1,440.00 and insinuated that this is what a top looks like. Yesterday they found out just how wrong they are and I feel that merits some comment along with some projections about what is coming down the road. So here it goes. ...
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| Silver and Gold Prices Have Entered the Second Upleg of a Bull Mark Posted: 06 Apr 2011 11:11 AM PDT Gold Price Close Today : 1457.70 Change : 5.90 or 0.4% Silver Price Close Today : 39.384 Change : 20.9 cents or 0.5% Gold Silver Ratio Today : 37.01 Change : -0.047 or -0.1% Silver Gold Ratio Today : 0.02702 Change : 0.000034 or 0.1% Platinum Price Close Today : 1796.10 Change : 0.10 or 0.0% Palladium Price Close Today : 785.00 Change : 0.00 or 0.0% S&P 500 : 1,335.54 Change : 2.91 or 0.2% Dow In GOLD$ : $176.23 Change : $ (0.23) or -0.1% Dow in GOLD oz : 8.525 Change : -0.011 or -0.1% Dow in SILVER oz : 315.53 Change : 0.82 or 0.3% Dow Industrial : 12,426.75 Change : 32.85 or 0.3% US Dollar Index : 75.88 Change : -0.035 or 0.0% Stocks rose today, gainsaying that key reversal they posted the first half of yesterday. What really nags and twists my brain is that stocks and gold are rising at the same rate. This is not right. I don't mean "not right morally", but that the world simply doesn't work that way. Stocks have been in the G$172 - G$188 (8.32 oz to 9.095 oz) range since January. This has been a long trip above the 200 DMA, in a bear market. That means that it constitutes only an upward correction during a primary downtrend. Stocks will NOT outperform gold during gold and silver's primary uptrend (bull market), because they already HAD their primary uptrend from 1982 thru 2000. Up and down trends alternate 15 - 20 years at a time. All paper assets -- bonds, stocks, dollar denominated assets -- trade opposite to hard assets. Pendulum swung from paper to hard assets in 2000 - 2001. Therefore, stocks present performance against gold is an anomaly, a quirk, a fluke that should end soon. What is driving the silver and gold bull market? Monetary demand, that is, a flight from the dollar and all fiat currencies. Look at history. Although stocks resemble a hard in that they own bricks, mortar, and machines, they do NOT outperform silver and gold in inflationary or hyper inflationary periods. And what are silver and gold telling us? Occam's Razor says the most obviovus explanation is probably correct. Most obvious explanation is that silver and gold have entered the second upleg of a bull market and the strength of that leg always steals your breath. But why are stocks rising, too? New dollars from QE2 run first to financial assets, but that will expire with QE2. Thereafter, the dollar's illnesses will remain, still driving silver and gold. Stocks today added 32.85 to 12,426.75, a new high for the rally that began in March 2009. S&P 500 reached 1,335.54, up 2.91 points. More than all that, something feels strange. It's all well and good to make chin-boogey about the demise of the dollar, but it's a cruel and terrifying prospect. What would happen if the just-in-time delivery system broke down? Want to answer that? Go into your pantry and add up how many days would lapse before your food supply gave out. Then think about millions in the same situation. Chaos and brutal violence raise their heads. Y'all need to secure your families in three areas: food and water, protection, and location. Forget buying silver or gold or any other investment until you've covered those bases. Protection means firearms to protect yourself and knowing how to use them. Location means a place to live or run to outside urban turmoil. Call me crazy, but I intend for my family to survive and prosper on the other side of whatever crisis government corruption brings on our heads. Remember: no crisis last forever. One day it will end and we will get a chance to build a stable, just economy. Here's one more item: every person in America lives in fear of government. Why does that thrill of terror electrify your gut when the blue lights shine in your rear view mirror? Why do you leap to paw thru your glove box for your papers? Why? Because you know if you stand on your rights you might catch some spiteful, petty tyrant that will take you to jail, and more than anything you are scared of going to jail. Or when the phone rings and it's the IRS calling, you picture yourself and your family, shivering under a bridge in front of a fire in a 55 gallon drum eating moldy soda crackers. You live in fear, because you are realists. You well know that you stand no more chance of getting justice in an American court than deaf bat has of surviving a hurricane. Now how do you imagine government will treat you in a crisis? Ask the folks who survived Katrina. Back to today's markets: The US DOLLAR INDEX lost another 34.5 basis points today, eroding and eroding. If it falls through the last low, 75.25, it will simply sink out of sight, like your wedding ring disappearing into the garbage disposal one nanosecond after you switch it on. It has no momentum one way or the other, so we just have to watch and wait. Against the yen the dollar is doing well. At 85.409Y/$ (117.08c/100Y) today the yen has sunk to its lowest level since April 2010. Euro broke out upside above its November high, closing at 1.4330. Next logical target is 1.5144, the 2009 high. Gold in euros appears to have broken out to the upside. The GOLD PRICE performed as well as anyone might ask, adding 5.90 on Comex to close at $1,457.70. Yesterday it made a new high, today closed higher. Gold is targeting roughly $1,525. Buy the breakout! SILVER PRICE refuses to stop climbing. Comex today added 20.9c by silver's 3938.4c closing price. Today's high was 3976c, and we can expect that round number 4000c will give silver some difficulty. However, 4200c is a reasonable target. Gold/silver ratio hit 37.012, another new low. Yes, this is outrageous but will get more outrageous still. On this day in 1862 began the Battle of Shiloh at Pittsburg Landing on the Tennessee River. It was one of Tennessee's finest hours, and her governor, Isham Harris, actually led a charge. Confederate General Albert Sidney Johnston caught Grant by surprise and drove his panicked army back against the river. But Johnston, who everybody accounted the best soldier in either army, took a bullet that severed his popliteal artery. He bled to death, leaving PGT Beauregard, a complete incompetent, in charge. Beauregard frittered away the Southern advantage won by so much blood the first day, failing to follow up. During the night Union General Don Carlos Buell was able to reinforce Grant from the river's east side. Although Forrest discovered this reinforcement and tried to report it to Beauregard, it did no good. To those with eyes to see, Shiloh proved that the war would be much bloodier than anyone had imagined. In the Union Army of Tennessee 49,000 men met 45,000 in the Confederate Army of Mississippi, with 13,047 Union casualties and 10,699 Southern. Nearly 3,500 were killed. I know because I grew up hearing about it. My daddy, born in 1910, fifty years after the battle, grew up in Michie, about seven miles from the battlefield. Argentum et aurum comparenda sunt -- -- Gold and silver must be bought. - Franklin Sanders, The Moneychanger The-MoneyChanger.com © 2011, The Moneychanger. May not be republished in any form, including electronically, without our express permission. To avoid confusion, please remember that the comments above have a very short time horizon. Always invest with the primary trend. Gold's primary trend is up, targeting at least $3,130.00; silver's primary is up targeting 16:1 gold/silver ratio or $195.66; stocks' primary trend is down, targeting Dow under 2,900 and worth only one ounce of gold; US$ or US$-denominated assets, primary trend down; real estate in a bubble, primary trend way down. Whenever I write "Stay out of stocks" readers inevitably ask, "Do you mean precious metals mining stocks, too?" No, I don't. 
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| Antal Fekete's Open Letter To Ron Paul: "Impeach Bernanke" Posted: 06 Apr 2011 10:28 AM PDT
IMPEACH BERNANKE! F.R. credit (F.R. notes and F.R. deposits) is legally created if it has been issued in accordance with the law. The law says that F.R. credit must be backed by collateral security at the time of issuance, usually in the form of an equivalent amount of U.S. Treasury paper. The procedure is as follows. The F.R. bank seeking to expand credit takes its Treasury paper, owned outright and free from encumbrances, and posts it as collateral with the Federal Reserve agent who will then authorize the issuing of credit. In other words, if the F.R. banks do not have the unencumbered Treasury paper in their possession, then they cannot create additional credit legally. There is some evidence that the F.R. banks do not have F.R. credit available to make the kind of purchases Dr. Bernanke is talking about as part of his Quantitative Easing. Nor do they have unencumbered Treasury paper in sufficient quantity that they could post with the F.R. agent for authorizing the issue of additional F.R. credit.
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| Posted: 06 Apr 2011 10:14 AM PDT  I postulated in my article the Silver Rocket that silver is in the early stages of a mania phase. This phase is where the public starts buying and buying, because they see only blue sky in the value of an asset. I think we are in a mania phase for a couple of reasons…
No investment goes straight up… except in a hyperinflation.More Here..
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| The True Meaning of the Word “Bailout” Posted: 06 Apr 2011 10:00 AM PDT It doesn't take a raving cynic like me, rabidly spewing flecks of spittle while screaming in outrage, "We're freaking doomed!" to realize that, regardless of what you have heard, the federal government will, indeed, bail the states out of their messes. In fact, it already has, and it will do more and more of it. Here is the way it is working so far: the federal government loans money to the states to pay for unemployment benefits. Then the federal government passes a law that says the states don't have to start to pay back any money at all, interest or principal, for five years, and, in fact, interest on the borrowed money does not even start accruing until then! If "loaning money and not wanting it back" ain't a bailout, then I am not sure what "bailout" means, which is not surprising, in that I apparently do not understand what a lot of things mean, like when I got that date with Wanda, who said, "If you try to kiss me one more time, something is going to happen to you," which is so nebulous compared with the usual, "Try to kiss me one more time and I am going to shoot you with the pistol I have in my purse," or, "Try to kiss me one more time and I'll have my daddy shoot you with the gun he has in HIS purse!" Well, as it turned out, Wanda almost ruptured my spleen as a result of my not understanding the true meaning of what she said, which happens all the time, like, for example, I was in line at the pharmacy and I was, you know, passing the time constructively by graciously educating the other people in line about how We're Freaking Doomed (WFD) because the Federal Reserve has created so much money that it created bubbles in stocks, and bonds, and housing, and derivatives, and size of government in a long, crippling, simmering inflation in consumer prices, and now the evil Federal Reserve is creating even MORE money, in quantities that are Whole Freaking Multiples (WFM) of the monetary horrors of the Federal Reserve under the previous chairman, the moronic Alan Greenspan (1987-2006)! This is when the people all started complaining, "Shut up about the Federal Reserve and the inflationary horror that will destroy us!" Here's another case where I misunderstood what they meant. I thought they meant that they wanted me to expound on some other important topic that ALSO proved that We're Freaking Doomed (WFD)! So I started telling them that the equivalent of 7 out of 12 people work for the government, a school system, a tax-supported private agency or a non-profit organization, which means that more than half of all the workers in the USA do not make a profit by their labors with which to pay taxes to support the government's spending! My voice rising to an exciting crescendo, I shouted, "What in the hell kind of insane economic system, even from another dimension beyond space and time, can have a minority of all workers make enough profit to support themselves, the government, and still possibly begin to pay for incomes of the majority of workers? And especially when they all owe, individually and collectively, more money than the human mind can comprehend?"" I was surprised that nobody said, "Excellent! Well said! Bravo! You have given us plenty to think about, and hopefully help us to mend our stupid ways! Thank you, Handsome Informed Stranger (HIS)!" I was further surprised when, again, I was met with a chorus of angry voices saying, "Shut up! Shut up!" to which I cleverly replied "No, YOU shut up!" It was then I realized my mistake: They were all just trusting and ignorant people just trying to get along, and they liked it that way. I sigh. Unfortunately for them, they will pay for their folly, as they subsequently did not receive the invaluable Mogambo Gift Of Investing Wisdom (MGOIW), which is to buy gold and silver when the Federal Reserve is creating so much money, especially when they are doing it for such a long time, and doubly-especially when they are creating increasingly, insanely, unbelievably, astoundingly, staggeringly MORE money to support governmental spending that is – literally! – half the economy, and have plans to continue doing it for a long time, too! I mean, simply buying gold and silver to save one's financial butt is the way it has worked all throughout history, so how simple can it be? Whee! This investing stuff is easy! The Mogambo Guru The True Meaning of the Word "Bailout" originally appeared in the Daily Reckoning. Daily Reckoning founder Bill Bonner recently wrote articles on stagflation and introduced his new book Dice Have No Memory: Big Bets & Bad Economics From Paris to the Pampas.
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| Posted: 06 Apr 2011 09:25 AM PDT
No little pills are going to fix these problems. - Ilene at Phil's Stock World Courtesy of Michael Snyder: 27 Depressing Statistics About The U.S. Economy That Will Make You Feel Even Worse
The sad truth is that the U.S. economy is in the midst of a long-term decline and it is coming apart at the seams. Right now the Obama administration and the Federal Reserve are attempting to "paper over" our economic problems with massive amounts of government debt and paper currency, but in the end it is not going to work. When you analyze the numbers objectively, it leads to the inescapable conclusion that we are headed for another Great Depression. That is a very depressing thought, but there is no denying that decades of debt and incredibly bad decisions are starting to catch up with us. The economic pain that is coming is going to be absolutely mind blowing. It would be nice if our politicians and our business leaders suddenly started making incredibly wise decisions so that we could bring the U.S. economy in for a "soft landing", but the chance of that happening is so small that it is not even worth mentioning. It is time for all of us to face up to the truth. In this day and age it is really easy to get caught up in the trap of feeling depressed, but once we understand exactly how bad our problems are it can be empowering because then we can start focusing on solutions. The following are 27 depressing statistics about the U.S. economy that are almost too crazy to believe.... #1 The Obama administration projects that the federal budget deficit will be approximately $1,600,000,000,000 this year. Right now the Republicans and the Democrats are fighting tooth and nail over budget cuts. The Republicans are proposing to cut the budget deficit by 3.8%. The Democrats only want to cut it by 2.1%. #2 The U.S. economy actually grew more between 1930 and 1940 than it did during the decade that recently ended. #3 Over the last decade, the number of Americans without health insurance has risen from about 38 million to about 52 million. #4 Agricultural commodities are absolutely soaring. The price of corn has more than doubled over the last 12 months. Considering the fact that corn is in literally thousands of our food products, that is a very frightening statistic. #5 Between 1999 and 2009, real median household income in the United States declined by 5.0%. #6 It is being estimated that total U.S. government debt will grow by 42 percent by the year 2015. #7 According to the Pentagon, the cost of the first week of attacks on Libya was 600 million dollars. #8 The average American now spends approximately 23 percent of his or her income on food and gas. #9 According to the U.S. Energy Department, the average U.S. household will spend approximately $700 more on gasoline in 2011 than it did during 2010. #10 It is being projected that for the first time ever, the OPEC nations are going to bring in over a trillion dollars from exporting oil this year. Their biggest customer is the United States. #11 According to the Economic Policy Institute, almost 25 percent of U.S. households now have zero net worth or negative net worth. Back in 2007, that number was just 18.6 percent. #12 China produced 19.8 percent of all the goods consumed in the world last year. The United States only produced 19.4 percent. #13 The United States has lost an average of 50,000 manufacturing jobs per month since China joined the World Trade Organization in 2001. #14 The U.S. trade deficit with China in 2010 was 27 times larger than it was back in 1990. #15 U.S. home values have fallen an astounding 6.3 trillion dollars since the peak of the real estate market in 2005. #16 According to RealtyTrac, one out of every 45 U.S. households was hit with a foreclosure filing in 2010. #17 The number of homes that were actually repossessed reached the 1 million mark for the first time ever during 2010. #18 New home sales in the United States set a brand new all-time record low in the month of February. #19 Now home sales in the United States are now down 80% from the peak in July 2005. #20 The financial condition of American families continues to deteriorate rapidly. In 2010, one out of every eight American families had at least one family member that was unemployed. That number was the highest it has been since the U.S. Labor Department began keeping track of that statistic back in 1994. #21 There are now more than 6 million Americans that the government says have given up looking for work completely. #22 According to the U.S. Bureau of Labor Statistics, the average length of unemployment in the U.S. is now an all-time record 39 weeks. #23 Americans now owe more than $900 billion on student loans, which is also an all-time record high. #24 Average household debt in the United States has now reached a level of 136% of average household income. #25 According to the Federal Reserve, between 2007 and 2009 median household net worth in the United States fell by 23 percent. #26 The Federal Reserve also says that median household debt in the United States has risen to $75,600. #27 According to a recent article posted on the website of the American Institute of Economic Research, the purchasing power of a U.S. dollar declined from $1.00 in 1913 to 4.6 cents in 2009. Sadly, the Federal Reserve is working very hard to get rid of the little bit of purchasing power that the U.S. dollar has left.
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| Adrian Douglas: Bullion bank trading -- a closely guarded secret Posted: 06 Apr 2011 09:21 AM PDT 5:16p ET Wednesday, April 6, 2011 Dear Friend of GATA and Gold (and Silver): GATA board member Adrian Douglas, publisher of the Market Force Analysis letter, discloses today in his letter that the investment houses functioning as the major bullion banks fail to include in their annual reports anything about their precious metals trading. Douglas' study is titled "Bullion Bank Trading -- A Closely Guarded Secret" and you can find it at the Market Force Analysis Internet site here: https://marketforceanalysis.com/article/latest_article_040611.html CHRIS POWELL, Secretary/Treasurer ADVERTISEMENT The Gold Standard Now: It Can Work Today a dollar is worth 80 percent less than it was 40 years ago, and less than 5 percent of its value a hundred years ago. We deserve a dollar that is as good as gold, a dollar that will hold its value from year to year so we can be financially secure and our economy can generate more and better jobs. For most of America's history, our dollar was literally as good as gold. But on August 15, 1971, our politicians destroyed the link between gold and the dollar. They destroyed the foundations of our economic system. A new Internet site, TheGoldStandardNow.org, provides news and cutting-edge analysis about this most important issue and explains how the gold standard worked in the past and how it can work in the future. Visit us today: http://www.thegoldstandardnow.org/about/137-welcome-newsmax Join GATA here: An Evening with Bill Murphy and James Turk https://www.amsterdamgold.eu/gata/index.asp?BiD=12 Or by purchasing a colorful GATA T-shirt: Or a colorful poster of GATA's full-page ad in The Wall Street Journal on January 31, 2009: http://gata.org/node/wallstreetjournal Or a video disc of GATA's 2005 Gold Rush 21 conference in the Yukon: Help keep GATA going GATA is a civil rights and educational organization based in the United States and tax-exempt under the U.S. Internal Revenue Code. Its e-mail dispatches are free, and you can subscribe at: To contribute to GATA, please visit: http://www.gata.org/node/16 ADVERTISEMENT Prophecy Resource Spins Off Platinum/Palladium Venture: Company Press Release, January 18, 2011 VANCOUVER, British Columbia -- Prophecy Resource Corp. (TSX-V:PCY)and Pacific Coast Nickel Corp. announce that they have agreed that PCNC will acquire Prophecy's Nickel PGM projects by issuing common shares to Prophecy. PCNC will acquire the Wellgreen PGM Ni-Cu and Lynn Lake nickel projects in the Yukon Territory and Manitoba respectively by issuing up to 550 million common shares of PCNC to Prophecy. PCNC has 55.7 million shares outstanding. Following the transaction: -- Prophecy will own approximately 90 percent of PCNC. -- PCNC will consolidate its share capital on a 10 old for one new basis. -- Prophecy will change its name to Prophecy Coal Corp. and PCNC will be renamed Prophecy Platinum Corp. -- Prophecy intends to distribute half of its PCNC shares to shareholders pro-rata in accordance with their holdings. Based on the closing price of the common shares of PCNC on January 17, $0.195 per share, the gross value of the transaction is $107,250,000. For the complete announcement, please visit: http://prophecyresource.com/news_2011_jan18.php
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| Posted: 06 Apr 2011 09:21 AM PDT The 5 min. Forecast April 06, 2011 12:02 PM by Addison Wiggin – April 6, 2011 [LIST] [*]Gold hits a record, for no obvious reason: Tocqueville's John Hathaway on why that's a good thing [*]Washington fiddles over $33 billion while $14.2 trillion national debt burns: Frank Holmes with a stunning chart tracking the national debt and the gold price [*]Saudi's legendary oil minister emerges from retirement: Why he sees "$200-300" oil [*]1099 repeal hits another snag… An electric Rolls-Royce… an inquiry into the secrets of Strategic Currency Trader …and praise for the "mellow wisdom" of Bill Bonner [/LIST] 0:00 — The spot price of gold is touching $1,460 as we write and on its way to another new high. Silver is now 43 cents away from the $40 mark. On days like this, we love to peruse the financial media and read their explanations for these precious metals' historic run. Yesterday was particularly entertaini...
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| Lew Rockwell: Use the dollar or else Posted: 06 Apr 2011 08:58 AM PDT 4:51p ET Wednesday, April 6, 2011 Dear Friend of GATA and Gold (and Silver): Lew Rockwell today joins those who have been wondering how the U.S. government can liken gold and silver currency creator Bernard von NotHaus, founder of the Liberty Dollar, to Osama bin Laden. (Several times in recent years your secretary/treasurer has spent some cordial hours in von NotHaus' company, and as much as the meeting might have been improved by 72 virgins, or even a half dozen, he somehow always forgot to strap himself with explosives.) Rockwell writes: "A nation that is confident about its money's future would not fear currency competition. A nation with a dying money uses every possible means to crush the competition. That is precisely what is happening in the case of the so-called Liberty Dollar." Rockwell's commentary is headlined "Use the Dollar or Else" and you can find it at his Internet site here: http://www.lewrockwell.com/rockwell/use-the-dollar-or-else176.html CHRIS POWELL, Secretary/Treasurer ADVERTISEMENT Prophecy Resource Spins Off Platinum/Palladium Venture: Company Press Release, January 18, 2011 VANCOUVER, British Columbia -- Prophecy Resource Corp. (TSX-V:PCY)and Pacific Coast Nickel Corp. announce that they have agreed that PCNC will acquire Prophecy's Nickel PGM projects by issuing common shares to Prophecy. PCNC will acquire the Wellgreen PGM Ni-Cu and Lynn Lake nickel projects in the Yukon Territory and Manitoba respectively by issuing up to 550 million common shares of PCNC to Prophecy. PCNC has 55.7 million shares outstanding. Following the transaction: -- Prophecy will own approximately 90 percent of PCNC. -- PCNC will consolidate its share capital on a 10 old for one new basis. -- Prophecy will change its name to Prophecy Coal Corp. and PCNC will be renamed Prophecy Platinum Corp. -- Prophecy intends to distribute half of its PCNC shares to shareholders pro-rata in accordance with their holdings. Based on the closing price of the common shares of PCNC on January 17, $0.195 per share, the gross value of the transaction is $107,250,000. For the complete announcement, please visit: http://prophecyresource.com/news_2011_jan18.php Join GATA here: An Evening with Bill Murphy and James Turk https://www.amsterdamgold.eu/gata/index.asp?BiD=12 Or a colorful GATA T-shirt: Or a colorful poster of GATA's full-page ad in The Wall Street Journal on January 31, 2009: http://gata.org/node/wallstreetjournal Or a video disc of GATA's 2005 Gold Rush 21 conference in the Yukon: Help keep GATA going GATA is a civil rights and educational organization based in the United States and tax-exempt under the U.S. Internal Revenue Code. Its e-mail dispatches are free, and you can subscribe at: To contribute to GATA, please visit: ADVERTISEMENT Sona Drills 85.4g Gold/Ton Over 4 Metres at Elizabeth Gold Deposit, Company Press Release, October 27, 2010 VANCOUVER, British Columbia -- Sona Resources Corp. reports on five drillling holes in the third round of assay results from the recently completed drill program at its 100 percent-owned Elizabeth Gold Deposit Property in the Lillooet Mining District of southern British Columbia. Highlights from the diamond drilling include: -- Hole E10-66 intersected 17.4g gold/ton over 1.54 metres. -- Hole E10-67 intersected 96.4g gold/ton over 2.5 metres, including one assay interval of 383g of gold/ton over 0.5 metres. -- Hole E10-69 intersected 85.4g gold/ton over 4.03 metres, including one assay interval of 230g gold/ton over 1 metre. Four drill holes, E10-66 to E10-69, targeted the southwestern end of the Southwest Vein, and three of the holes have expanded the mineralized zone in that direction. The Southwest Vein gold mineralization has now been intersected over a strike length of 325 metres, with the deepest hole drilled less than 200 metres from surface. "The assay results from the Southwest Zone quartz vein continue to be extremely positive," says John P. Thompson, Sona's president and CEO. "We are expanding the Southwest Vein, and this high-grade gold mineralization remains wide open down dip and along strike to the southwest." For the company's full press release, please visit: http://sonaresources.com/_resources/news/SONA_NR19_2010.pdf
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| Silver Is Getting Too Popular… Right? Posted: 06 Apr 2011 08:41 AM PDT By Jeff Clark, BIG GOLD It’s no secret that the silver market is red hot. As I write, silver American Eagles and Canadian Maple Leafs are sold out at their respective mints. Buying in India has gone through the roof, especially noteworthy among a people with a strong historical preference for gold. Demand in China continues unabated. Silver stocks have screamed upward. So, as an investor looking to maximize my profit, I have a natural question: is the silver trade getting too crowded, meaning we’re near the top? Have the masses finally joined the party such that we should consider exiting? After all, it’s not a profit until you take it, and you definitely want to sell near the top. There are several ways to measure how crowded the silver market might be. I prefer to look strictly at the big picture and not get caught up in the weeds. This means I’m looking for signs of market exhaustion or the masses rushing in. Nothing says “peak” more than an in...
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