Gold World News Flash |
- Bill Murphy: JP Morgan is FINISHED! “There's going to be a JPM silver scandal to rival LIBOR”
- More Than Half Of All Americans Are At Least Partially Dependent On The Government
- A Summary of Graham Summers? Articles About the Coming Collapse of the EU, the Euro and Europe?s Banking System
- Alf Field?s Analysis of the Trend & Price of Gold/Silver in 8 Great Articles
- Credit Where Credit is Due – Great Call: The Stefan B. Silver Chart From Early 2012
- How To Avoid Financial Fraud In The Gold Market
- Gold Seeker Closing Report: Gold and Silver Gain Over 1%
- Silver Update 8/21/12 Stopped Clock
- Minus Waterfall Selloffs, Silver Mine Production Shadows Silver Spot Price In Past Year
- Gold Buyers Prosper in Crisis-Hit Italy
- From free enterprise to Bailout Nation via bigger government and Robert Rubin
- GATA secretary's interview with Jay Taylor posted at VoiceAmerica
- Euro Optimism Surges, A Greek Tax Revolt Flares Up: It’s Decision Time
- Nick Holland Presentation On What Gold Investors Want
- The Next Billion-Dollar Trade (You Won't Guess Where It Is)
- What 40 Years Of Gold Confiscation By The US Government Looks Like
- Bill Murphy from GATA: Gold And Silver Begin Launch On Schedule
- How High Can Oil Go?
- The Gold Price Smashed Out of it's Triangle Loudly Breaking Out to Close Up $19.80 at $1,639.90
- What Happened To Gold? – Part 2
- Richard Russell - The Key To Stocks, Gold & Growing Old
- Minetta Tavern charges $140 for its cote de boeuf for two. That’s a 56 percent increase from May 2009, when the restaurant charged $90.
- Are gold cycles turning up with easy money?
- Gold Daily and Silver Weekly Charts - The Old Switcheroo
- Gold Triange Breakout Objectives at 1700 and 1750
- Greece to Receive Concessions in Terms
- Russia Accumulates Gold As Price Consolidates Below Resistance At $1,644/oz
- Gold: Gaming the System
- Silver Hits 2-Month High
- Gold's Little Brother Is Talking
| Posted: 22 Aug 2012 12:16 AM PDT from AltInvestorsHangout: "There's going to be a JPM silver scandal to rival LIBOR… it's in the pipeline. They're in TROUBLE… They've been hosing the American public and they've been caught and our whistle blower's going to do a Madoff on them." – Bill Murphy
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| More Than Half Of All Americans Are At Least Partially Dependent On The Government Posted: 22 Aug 2012 12:00 AM PDT from The Economic Collapse Blog:
Read More @ TheEconomicCollpaseBlog.com
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| Posted: 21 Aug 2012 11:20 PM PDT No one seems to understand what is happening in Europe the way Graham Summers does and, as such, his insightful articles keep appearing on this site as the best choice to convey the message. Below are introductory paragraphs to each of 12 articles with hyperlinks to each should you wish to read any in their entirety. By: Lorimer Wilson, editor of www.munKNEE.com (Your Key to Making Money!) and www.FinancialArticleSummariesToday.com (A site for sore eyes and inquisitive minds). I have thoroughly enjoyed the daily 5-10 hours I have spent over the last 36 monthssearching the internet for the most informative articles and then editing them for posting on munKNEE.com and my feeder site FinancialArticleSummariesToday.com (1,700 to date) but I’m finally taking some time off. I leave on a 30 day trip to China beginning next week (with Arnold Bock) and likely will not be posting very many articles during that period. I hope to have a number of guest contributors fill the void dur...
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| Alf Field?s Analysis of the Trend & Price of Gold/Silver in 8 Great Articles Posted: 21 Aug 2012 11:20 PM PDT Below are 8 articles by Alf Field with links to the introductory paragraphs of each of the articles with links to each of the individual articles. Set aside some time because I doubt you can read just one! Not enough time to read them all? Make plans to come back tomorrow. By: Lorimer Wilson, editor of www.munKNEE.com (Your Key to Making Money!) and www.FinancialArticleSummariesToday.com (A site for sore eyes and inquisitive minds). I have thoroughly enjoyed the daily 5-10 hours I have spent over the last 36 monthssearching the internet for the most informative articles and then editing them for posting on munKNEE.com and my feeder site FinancialArticleSummariesToday.com (1,700 to date) but I’m finally taking some time off. I leave on a 30 day trip to China beginning next week and likely will not be posting very many articles during that period. I hope to have a number of guest contributors fill the void during that time so stay tuned. You visit this site because you a...
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| Credit Where Credit is Due – Great Call: The Stefan B. Silver Chart From Early 2012 Posted: 21 Aug 2012 11:15 PM PDT [Ed. Note: The technical calls don't get much better than this one, at least so far. Here's Stefan's original posted prediction.]
LIFT-OFF BY Q3 2012!
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| How To Avoid Financial Fraud In The Gold Market Posted: 21 Aug 2012 10:03 PM PDT By Vin Maru Financial Alchemy and Fraud In Gold The gold bull market is alive and well as the summer doldrums come to a close and gold accumulation and trading starts to heat up going into the fall. As the gold bull market matures and it draws more attention from investors all around the world, [...]
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| Gold Seeker Closing Report: Gold and Silver Gain Over 1% Posted: 21 Aug 2012 10:00 PM PDT Gold jumped to as high as $1641.25 in early New York trade before it drifted back lower into the close, but it still ended with a gain of 1.02%. Silver surged to as high as $29.501 and ended with a gain of 1.6%.
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| Silver Update 8/21/12 Stopped Clock Posted: 21 Aug 2012 09:36 PM PDT |
| Minus Waterfall Selloffs, Silver Mine Production Shadows Silver Spot Price In Past Year Posted: 21 Aug 2012 09:25 PM PDT from Silver Vigilante:
According to data relinquished by the USGS, an agency of the Department of the Interior, U.S. silver mine output was 2, 729,594.43 troy ounces in May, 7% percent more than April's production. Compared with May 2012, the month after silver ran to nearly $50, the output is a 14% decrease. Nevada produced 778,046.94 troy ounces in May, an increase of about 154,329 troy ounces from April and up 202,545 troy ounces from May 2010. In other states, product was down slightly versus last month, but much so compared with last year. Production in other states totaled 1,951,547.49 troy ounces in May, an increase of 16,075 troy ounces from April, but overall down from May 2010′s level of 2,617,066 troy ounces.
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| Gold Buyers Prosper in Crisis-Hit Italy Posted: 21 Aug 2012 08:00 PM PDT by Reuters via CNBC:
Times are now so tough that Valerio Novelli, a ticket inspector on Rome's buses, is planning to sell his old gold teeth. "I can't get to the end of the month without running up debts," said Novelli, 56, who has to support an ex-wife and daughter. "I know I won't get much, but I need the money." In a country suffering from economic crisis, buying gold off desperate people has become one of the few boom industries. City centres are being transformed as traditional shops go out of business, their signs replaced by ones that announce "Compro Oro", or "I Buy Gold". The Eurispes thinktank estimates the number of "Compro Oro" shops has quadrupled in the last two years. The growth of the industry is "a very good indicator of the level of hardship in the country," said Gian Maria Fara, the think tank's president. "Business is very good, you can really feel the crisis," said 30 year-old Alexia Messi, who works in Oro Change on Via Medaglie D'Oro in northern Rome. It opened its first branch five years ago and now has seven outlets in Rome.
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| From free enterprise to Bailout Nation via bigger government and Robert Rubin Posted: 21 Aug 2012 07:29 PM PDT A Review Of: A Capitalism for the People: By Nick Schulz http://www.aei.org/article/the-italians-job/ "I believe in American exceptionalism, just as I suspect that the Brits believe in British exceptionalism and the Greeks believe in Greek exceptionalism." When President Obama spoke these words, on April 4, 2009, he waded into a long-raging debate on American exceptionalism. And he set off a torrent of speculation about whether he believed the United States, thanks to its history, institutions, and character, stood apart from (and above) other nations, or whether he was really saying that, since all nations are in some sense unique, no nation is truly unique, including America. Luigi Zingales certainly thinks America is exceptional, or at least that it used to be; and in his new book, he argues that we must recapture some elements of what made America exceptional if we want the nation's future to be as prosperous as its past. Zingales is an economist at the University of Chicago's Booth School of Business and writes frequently for popular business and political publications such as City Journal. In 2003, he co-authored (with Raghuram Rajan) an important, if underappreciated, book called "Saving Capitalism from the Capitalists." ... Dispatch continues below ... ADVERTISEMENT Prophecy Platinum Announces Wellgreen Preliminary Economic Assessment: Company Press Release VANCOUVER, British Columbia, Canada -- Prophecy Platinum Corp. (TSX-V: NKL, OTC-QX: PNIKF, Frankfurt: P94P) reports the results of an independent NI 43-101-compliant preliminary economic assessment for its fully owned Wellgreen nickel-copper-platinum group metals project in the Yukon Territory. The independent assessment, prepared by Tetra Tech, evaluated a base case of an open-pit mine (with a mining rate of 111,500 tonnes per day), an on-site concentrator (with a milling rate of 32,000 tonnes per day), and an initial capital cost of $863 million. The project is expected to produce (in concentrate) 1.959 billion pounds of nickel, 2.058 billion pounds of copper, and 7.119 million ounces of platinum, palladium, and gold during a mine life of 37 years with an average strip ratio of 2.57. The financial highlights of the preliminary economic assessment, shown in U.S. dollars, are as follows: Payback period: 3.55 years Prophecy Chairman John Lee says: "We are pleased with the preliminary economic assessment results. The numbers indicate that Wellgreen is one of most exciting mineral projects in the Yukon. The company is drilling to upgrade and expand the resource base. The infrastructure is excellent as the project is only 1,400 meters in altitude and 14 kilometers from the paved Alaska Highway, which leads to the Haines deep seaport. Discussions are under way with support from local stakeholders regarding permitting and logistics." For the complete press release, please visit: http://prophecyplat.com/news_2012_june18_prophecy_platinum_announces_res... He immigrated to the United States from Italy, and this experience has shaped his views about capitalism profoundly, helping him appreciate the exceptional nature of his adopted country. "Capitalism in the United States is distinct from its counterparts in Europe and Asia," he writes, "for reasons that reach deep into history, geography, culture, and the institution of federalism." He contends that this distinctive form of capitalism is an essential component of American exceptionalism. He notes, for example, that America's free-enterprise system developed when the federal government was relatively small. "At the beginning of the 20th century," he says, "when modern American capitalism was taking shape, U.S. government spending was only 3 percent of gross domestic product." When a similar system of market economics took hold in Western Europe after World War II, in contrast, government's share of the economy in those countries was over 30 percent. Why does this matter? "When government is small and relatively weak," Zingales says, "the most effective way to make money is to start a successful private-sector business. But the larger the size and scope of government spending, the easier it is to make money by diverting public resources. ... Thus in nations with large and powerful governments, the state usually finds itself at the heart of the economic system, even if the system is relatively capitalist." While Zingales does not mention it, there is a large body of economic literature demonstrating that the size of the state at the time an economy modernizes is correlated with how well the economy performs. The fact that the U.S. government was so small when it began to modernize helps explain America's extraordinary economic performance and its dynamism. Thanks to this auspicious beginning, the American economy was much more hospitable to entrepreneurship than other countries were. America's system of free enterprise was noteworthy for its relative lack of crony capitalism and rent seeking, and its embrace of vigorous market competition unencumbered by government interference. Other factors have contributed to making America's economic system exceptional. It emerged without heavy influence from foreign powers or the direct and sustained influence of Marxism. The New World's colonial developments were driven not so much by the quest for gold as by the quest for freedom. The openness of America's frontier and its sparse population made mobility easy and undermined centralization of government power. Zingales also stresses the populist roots of American culture and the federalist system enshrined in the Constitution. "For all of these reasons," he concludes, "the United States constructed a system of capitalism that comes closer than any other to embodying the free-market ideal of economic liberty and open competition." That system has served the American people -- and the millions of immigrants who have come to these shores -- extraordinarily well. Not just because it helped make America the wealthiest large nation in history, but also because it was the fairest economic system ever contrived, especially when compared with Europe. Zingales writes: "I came here in 1988 from Italy because I was trying to escape a system that was fundamentally unfair. Italy invented the term nepotism and perfected the concept of cronyism, and it still lives by both. You are promoted based on whom you know, not what you know. ... I emigrated to the United States because I realized that it offered me an inestimably brighter future than my native country. And when I got to America in 1988, I wasn't disappointed. I experienced for the first time the inebriating feeling that any goal was within my reach. I had finally arrived in a country where the limits to my dreams were set only by my abilities, not by the people I knew." Zingales arrived here at the end of the Reagan presidency, when American capitalism was reinvigorated after the malaise of the 1970s. So it's easy to see how he could be enamored of the country's economy. But his personal story didn't end there; if it had, this book would have been just another lovely account of an immigrant successfully seeking good fortune in the land of the free. Instead, Zingales documents how the United States has changed since then, how much it has betrayed its exceptional character, and how much this matters for the future. "It wasn't long after arriving in the United States that I began to notice things that felt more like home," he says, "as if I were watching a movie I'd seen before." In this movie, the government intervenes to pick winners and losers in the economy; to blunt the necessarily rough edges of competition; to rescue failing but politically well-connected firms; to bail out the undeserving and reckless. The first scene of this movie is the rescue of the hedge fund Long Term Capital Management in 1998. Warren Buffett offered to rescue the firm after it made a series of bad arbitrage wagers. Given the firm's weak financial position, Buffett's terms would understandably have been extremely costly to the original investors. But the Federal Reserve stepped in and "coordinated a rescue effort that proved more generous to LTCM's investors and managers -- a group that happened to include David Mullins, former vice chairman of the Fed." Another scene is the successful effort by Citigroup in the late 1990s to overhaul the Glass-Steagall Act: "At that time, the head of the Treasury was Robert Rubin, who worked very hard to convince his fellow Democrats to change the law. Rubin left the Treasury in July 1999, the day after the House passed its version of the bill by a bipartisan vote of 343 to 86. Three months later, on October 18, 1999, Rubin was hired by Citigroup at a salary of $15 million a year, without any operating responsibility. It is hard not to see a connection between these two events." It's not just Rubin's swift turn through Washington's revolving door that troubles Zingales: More important, he indicts Rubin for being, in his role as economic adviser to Bill Clinton and later Clinton's secretary of the Treasury, "the person who may have done the most to make bailouts the prevailing doctrine in the United States." In the mid- and late 1990s, a series of economic crises threatened developing countries in Latin America and Asia. Following the "Rubin doctrine," Mexico was bailed out in 1994. This was followed by South Korea, Thailand, and Indonesia in 1997. Brazil received a bailout in 1998. These bailouts helped the receiving nations, of course, but helped the banks that lent money to them even more. The examples Zingales cites of crony capitalism and bailouts in the 1990s were followed by still others in the next decade. These include the imposition of steel tariffs by President Bush in 2002 to protect sensitive constituencies, and the Bush administration's offer to corporations of "special rates to repatriate their profits." Zingales does not mention it, but he could have included the unfunded prescription-drug mandate, a giveaway that was pushed by health-care interests. It wasn't just Bush 43-era Republicans. "At the time," he notes, "Democrats were becoming cozier with big-business interests, launching 'public-private partnerships,' a way to suck money from the government while pretending to do good." The most egregious examples of crony capitalism and bailouts occurred, of course, with the 2008 financial panic, the subsequent recession, and the federal government's ham-handed response: the interventions to address problems at Bear Stearns, AIG, General Motors, Chrysler, Rubin's Citigroup, and more. Zingales is not ideologically opposed to government interventions to stem a panic. His critique is different, and it has two parts: First, he'd like to see greater recognition on the part of policymakers that it was earlier government meddling that paved the way for excessive risk-taking in the financial system. Second, he'd like to see recognition that there is a right way and a wrong way for governments to respond to panics. "I am not opposed to the idea of a government intervention in such extreme circumstances, but I do object to the way it was done," he writes. "When a drug addict is undergoing a withdrawal crisis, one certainly should not stand by and do nothing -- but one also should not give the addict a full year's supply of drugs, which is roughly equivalent to what the U.S. government opted for with TARP. The program was a pillage of defenseless taxpayers that benefited powerful lobbies: not just the triumph of Wall Street over Main Street, but the triumph of K Street over the rest of America." Zingales is rightly outraged by the behavior of his adopted country's political and financial elites over the last two decades. Their actions have eroded the exceptional character of the nation's free-enterprise system and put the nation on a path toward the crony capitalism and corruption he fled when he left Europe. Fifty years ago, the great Italian liberal thinker Bruno Leoni remarked that "it seems to be the destiny of individual freedom at the present time to be defended mainly by economists." Half a century later, we are fortunate to have an Italian-born economist so powerfully and persuasively defending America's once-exceptional free-enterprise system. ----- Mr. Schulz is the DeWitt Wallace Fellow at the American Enterprise Institute and the editor of American.com. Join GATA here: Toronto Resource Investment Conference New Orleans Investment Conference * * * Support GATA by purchasing DVDs of our London conference in August 2011 or our Dawson City conference in August 2006: http://www.goldrush21.com/order.html 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 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 Fred Goldstein and Tim Murphy open All Pro Gold Longtime GATA supporters Fred Goldstein and Tim Murphy have brought their many years of experience in the precious metals and numismatic coins to All Pro Gold as metals brokers who specialize in the delivery of gold and silver bullion bars and coins as well as numismatic gold and silver coins. Fred and Tim follow these markets closely and are assisted by a team of consultants in monitoring market trends. All Pro Gold offers GATA supporters competitive pricing on all bullion products and welcomes inquiries. Tim can be reached at 602-299-2585 and Tim@allprogold.com, Fred at 602-799-8378 and Fred@allprogold.com. Ask about their ratio strategy and the relationship of generic $20 dollar gold pieces to 1-ounce gold bullion coins. Visit their Internet site at http://www.allprogold.com/.
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| GATA secretary's interview with Jay Taylor posted at VoiceAmerica Posted: 21 Aug 2012 06:59 PM PDT 8:55p ET Tuesday, August 21, 2012 Dear Friend of GATA and Gold: Your secretary/treasurer was interviewed for about an hour today by financial letter writer Jay Taylor on his VoiceAmerica Internet radio program, "Turning Hard Times Into Good Times." The interview begins at about 32 minutes and 50 seconds into the program and it's archived at the program's Internet site here: http://www.voiceamerica.com/episode/63808/libor-rigging-why-would-gold-b... CHRIS POWELL, Secretary/Treasurer ADVERTISEMENT Fred Goldstein and Tim Murphy open All Pro Gold Longtime GATA supporters Fred Goldstein and Tim Murphy have brought their many years of experience in the precious metals and numismatic coins to All Pro Gold as metals brokers who specialize in the delivery of gold and silver bullion bars and coins as well as numismatic gold and silver coins. Fred and Tim follow these markets closely and are assisted by a team of consultants in monitoring market trends. All Pro Gold offers GATA supporters competitive pricing on all bullion products and welcomes inquiries. Tim can be reached at 602-299-2585 and Tim@allprogold.com, Fred at 602-799-8378 and Fred@allprogold.com. Ask about their ratio strategy and the relationship of generic $20 dollar gold pieces to 1-ounce gold bullion coins. Visit their Internet site at http://www.allprogold.com/. Join GATA here: Toronto Resource Investment Conference New Orleans Investment Conference * * * Support GATA by purchasing DVDs of our London conference in August 2011 or our Dawson City conference in August 2006: http://www.goldrush21.com/order.html 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 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 Prophecy Platinum Announces Wellgreen Preliminary Economic Assessment: Company Press Release VANCOUVER, British Columbia, Canada -- Prophecy Platinum Corp. (TSX-V: NKL, OTC-QX: PNIKF, Frankfurt: P94P) reports the results of an independent NI 43-101-compliant preliminary economic assessment for its fully owned Wellgreen nickel-copper-platinum group metals project in the Yukon Territory. The independent assessment, prepared by Tetra Tech, evaluated a base case of an open-pit mine (with a mining rate of 111,500 tonnes per day), an on-site concentrator (with a milling rate of 32,000 tonnes per day), and an initial capital cost of $863 million. The project is expected to produce (in concentrate) 1.959 billion pounds of nickel, 2.058 billion pounds of copper, and 7.119 million ounces of platinum, palladium, and gold during a mine life of 37 years with an average strip ratio of 2.57. The financial highlights of the preliminary economic assessment, shown in U.S. dollars, are as follows: Payback period: 3.55 years Prophecy Chairman John Lee says: "We are pleased with the preliminary economic assessment results. The numbers indicate that Wellgreen is one of most exciting mineral projects in the Yukon. The company is drilling to upgrade and expand the resource base. The infrastructure is excellent as the project is only 1,400 meters in altitude and 14 kilometers from the paved Alaska Highway, which leads to the Haines deep seaport. Discussions are under way with support from local stakeholders regarding permitting and logistics." For the complete press release, please visit: http://prophecyplat.com/news_2012_june18_prophecy_platinum_announces_res...
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| Euro Optimism Surges, A Greek Tax Revolt Flares Up: It’s Decision Time Posted: 21 Aug 2012 06:36 PM PDT Wolf Richter www.testosteronepit.com Euro optimism is once again gushing through the system on the hope that the debt crisis could be wished away with a nod by German Chancellor Angela Merkel or with a wink by the Bundesbank in direction of the European Central Bank, which is dying to print unlimited amounts of moolah to buy sovereign bonds—and old bicycles, if it has to—in order to force yields down for debt-sinner countries like the US Spain and Italy. There is even hope that sudden German “flexibility” might solve the Greek debacle when Prime Minister Antonis Samaras heads to Berlin for his session with Merkel, based on indications in Germany that those with the power to say “no” are getting cold feet. But there was an incident in Greece that they should bear in mind. It started Friday on the island of Hydra, a tourist spot of 2,700 souls. Officers of the financial police checked taverns, bars, and souvenir shops for tax violations. At a seafood tavern, an inspector discovered that patrons weren’t given Value Added Tax receipts, though required by law. An old trick: cash income remains undeclared and disappears; the VAT, though collected from customers, also disappears rather than being turned over to the state. To investigate the case, the owner was taken to the police station, where she fainted. So she was taken to the hospital under guard. Her 25-year old son who worked at the tavern and copiously insulted the inspectors was also arrested—the straw that broke the camel’s back. Enraged, people threw rocks and firecrackers at the police station, shut off water and power, and demanded that the guy be released. Others blocked the port to prevent ferries from docking so that police couldn’t transfer him to Athens. Some forced their way onto a ferry and scuffled with the crew. The next morning, riot police from the mainland made their way through the shouting people to the police station and freed the officers of the financial police holed up in there. The owner’s son was released because he wasn’t the owner; he claimed he’d planned on issuing receipts to his patrons, or whatever. On Sunday, his mother was taken off the island. The tax revolt in Hydra came at an inconvenient time: just before the all-important meeting in Berlin. So the Greek government was quick to condemn the revolt. But tax fraud is pandemic in Greece. The financial crimes squad (SDOE) announced today that 4,067 taverns, bars, souvenir shops, and the like on 46 islands and in prominent tourist locations on the mainland had been checked between July 6 and August 19; of which 55.7% had committed violations. It’s been getting worse, in tandem with the economy. Last year, violations were found in 53% of the establishments. And there had been other incidents of revolts, writes Angelos Stangos:
Tax fraud from the bottom to the top of society is one of the causes of Greece’s financial problems: the money just isn’t coming in. Now, costly promises politicians made to their voters have to be broken. For years, Greeks benefitted from the artificial manna of cheap euro debt and European Union funding, but the system has run into a wall—and Merkel has an opportunity to decide if taxpayers in Germany and other countries (including the US through participation in the IMF) should fork over endless billions to fund benefits, services, and boondoggles that Greeks themselves refuse to pay for. The other option is default. “A weapon of the weak when they reach the point of not being able to pay their debts,” said Panayiotis Lafazanis, a Greek politician. Closer to the truth than anything else emanating from his wily colleagues in parliament. The government is already selectively defaulting on its obligations, paying only salaries and pensions of civil servants. Other disbursements have been stopped. And nothing works anymore. Read.... The Greek Bailout Sham Is Getting Gummed Up. So should Greece, as it has been suggested, follow in the footsteps of Argentina, which rose from the ashes after its default? Not so fast. To stave off another collapse, the government in Argentina is imposing ever more trade barriers and capital restrictions. Read.... Argentina’s Creeping State Control, by stilettos-on-the-ground economist Bianca Fernet.
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| Nick Holland Presentation On What Gold Investors Want Posted: 21 Aug 2012 06:27 PM PDT Nick Holland of Goldfields did an excellent presentation at the end of July on what gold miner investors are looking for. It's very insightful and gives some interesting facts that shops like CIBC have price targets of $1214/oz but the 8 majors as of March 2012 had a Notional cash expenditures of $1380. He notes that if CIBC's target of $1214 was accurate then the majors should basically wind down their shops. See link here.
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| The Next Billion-Dollar Trade (You Won't Guess Where It Is) Posted: 21 Aug 2012 05:11 PM PDT By Dr. Steve Sjuggerud Tuesday, August 21, 2012 George Soros made more than $1 billion in September 1992 on a simple idea – that Britain's currency was out of whack and would fall apart. John Paulson made more than $1 billion in 2007 on another simple...
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| What 40 Years Of Gold Confiscation By The US Government Looks Like Posted: 21 Aug 2012 05:05 PM PDT The chart below, which is a time series showing the total "Gold Held by the US Treasury and the Federal Reserve" (which for all intents and purposes are interchangeable), demonstrates vividly the moment when the US government enacted Executive Order 6102, aka the "forbidding the Hoarding of Gold Coin, Gold Bullion, and Gold Certificates within the continental United States" order which criminalized the possession of monetary gold "by any individual, partnership, association or corporation." But not the government of course. Spot the moment after which gold confiscation by the US government (also known as USD devaluation) from its citizens was legalized.
The actual April 5, 1933 order, which in the coming years will make a repeat appearance with absolute certainty, is below.
What was the point of Executive Order 6102? It was two fold.
As for the process the government had in place to deal with those who refused to voluntarily hand over their gold quietly, curiously there was only one case of prosecution, which however should make it very clear that holding gold in "authorized" bank safes is about the dumbest thing one can do the next time the US government decides to devalue the dollar, and change the rules.
The fact that the custodial bank of the 5000 ounces of gold is the bank that would subsequently become JPMorgan is not lost on us. Finally, to those who have some gold ETF certificates in a brokerage account, which by law are the possession by DTCC's Cede & Co. - a bank owned institution - we wish the best of luck to anyone hoping to preserve of even recover any of the invested wealth in such instruments. And remember: when in doubt, recall Bernanke's immortal words: "gold is not money."
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| Bill Murphy from GATA: Gold And Silver Begin Launch On Schedule Posted: 21 Aug 2012 05:04 PM PDT Youri Carma Excerpt: So far so good… although they're still doing that 1% cap job on gold. It isn't $1,640 that's resistance, it's the 1% rule. The London trader yesterday said he would be buying gold aggressively if it got … Continue reading
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| Posted: 21 Aug 2012 05:02 PM PDT Synopsis: The race for resources is pushing oil ever higher…Is $1,000 a barrel on the horizon? By Marin Katusa, Chief Energy Investment Strategist Do you believe in gold – not just as an investment, but as a currency? Do you believe that nonstop central-bank money printing and manipulation will destroy fiat currencies and send gold soaring? If so, ask yourself this question: why will the world need all that gold? If gold replaces dollars, yen, euros, pesos, rubles, and yuans, what will governments buy with their gold? They will buy the bare necessities: essentials such as energy, food, and resources to develop infrastructure. The item at the top of that list is oil. We need oil for everything, from the screen you are looking at to the jet fuel in a B2 bomber. From plastic cups to skyscrapers, our world depends on black crude. Simply put: If you believe in gold, you should also believe in oil. The argument that gol...
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| The Gold Price Smashed Out of it's Triangle Loudly Breaking Out to Close Up $19.80 at $1,639.90 Posted: 21 Aug 2012 04:49 PM PDT Gold Price Close Today : 1639.90 Change : 19.80 or 1.22% Silver Price Close Today : 29.421 Change : 0.832 or 2.91% Gold Silver Ratio Today : 55.739 Change : -0.930 or -1.64% Silver Gold Ratio Today : 0.01794 Change : 0.000294 or 1.67% Platinum Price Close Today : 1506.50 Change : 9.60 or 0.64% Palladium Price Close Today : 623.60 Change : 16.50 or 2.72% S&P 500 : 1,413.17 Change : -4.96 or -0.35% Dow In GOLD$ : $166.44 Change : $ (2.89) or -1.70% Dow in GOLD oz : 8.051 Change : -0.140 or -1.70% Dow in SILVER oz : 448.78 Change : -15.44 or -3.33% Dow Industrial : 13,203.58 Change : -68.06 or -0.51% US Dollar Index : 81.89 Change : -0.570 or -0.69% Breakout confirmations came sharp and fast for the silver and GOLD PRICE today, but the day didn't treat stocks or the US dollar index quite so kindly. Overnight the GOLD PRICE knocked and knocked on $1,622, then at the New York Open gapped up, jumping clean from 1628 to $1,635, then hitting $1,641. Close found it up $19.80 at $1,639.90. Thus gold today loudly broke out, and confirmed silver's breakout yesterday. It doesn't stop there. Generally gaps come in pairs, the first a "breakaway" gap, then a little sideways trading, then another gap near the move's top, the "exhaustion" gap. This move probably has another $15 in it before it slows down. Gold is set up now for a rush to $1,680 - $1,725. The SILVER PRICE broke through 2900 cents on its New York open, then climbed like a young Sherpa all day. After a 2949c high, it ended 83.5 cents more expensive at 2942.1c. I can't stand it when people say "I told you so," but do I remember somebody saying if silver got through 2860c it would run? Did I imagine that? The SILVER PRICE rose 2.9% today, the GOLD PRICE 1.2%. Add to that mix: yesterday the GOLD/SILVER RATIO fell 1.06%, today another 1.6% to 55.739:1. All this is moving in the right direction for much higher silver and gold prices. Silver ought to reach its 200 DMA (30.56) on this move. Owch! I nearly forgot. Gold finished the day just above its crucial 150 DMA ($1,624.09). Today the GOLD PRICE also smashed its way out of that even-sided triangle that has contained it all month long. Buy the breakouts! Buy the breakouts! Here is one of those silly anomalies that allow our Rulers to herd us like sheep: talking obviates acting for central banks. Back in July the gassy head of the European Central Bank, Super-Mario Draghi, boasted that he would do anything necessary to keep the euro together. Gas, all gas -- he did nothing, but in the world of pure illusion we live in, where even most of the people are wet cardboard, that's enough to boost markets. Euro rose to a 7-week high against the US dollar today, but on news of -- what? Nothing. Speculation, gas, that the ECB may act soon to do something about Italy and Spain's ballooning borrwwoing costs. Take this to the next level of ludicrousness: there's nothing Draghi can do. Nothing. He can't buy the bonds, he can't bail out Italy and Spain, he has no bucket big enoguh to hold all the garbage. Yet he spoke, and therefore need not act. More likely than the talk is a behind the door intervention by the Nice Government Men, since the dollar tumbled through 82 resistance today and skidded to a stop at 81.885, down 57 basis points or 0.73%, a meaty move that technically breaks the last low and threatens to drag the dollar lower (as if something that low could be dragged lower!). More to the technical point, the euro today did gap up, above the crucial 62 day moving average (123.98) AND piercing the reigning downtrend line. This doesn't put the scabby euro in any great position, since the downtrend line higher, around 127.70 today, promises to stop it as well. Euro closed at $1.2472, up 1.01%. Trying to be objective as I deal with such a hateful topic, is like trying to write compliments about the slugs eating your tomato plants. I confess the euro has built a uptrend from its July 120.42 low and today broke out upwards from an even-sided triangle. Higher prices are in its future, insofar as one can make a rational and logical inference about an irrational and illogical government-manipulated market. Japanese yen rose 0.17% to 126.16 cents (Y79.26). Remains beneath 200 and 50 DMAs, headed lower. STOCKS fell across the board today. Tried to climb the mountain early, but about 10:45 tripped, stumbled all the way down the mountainside, then over the edge into the gully at the mountain's foot. Owch. Dow slipped 68.06 or 0.51% to 13,203.58. S&P500 dwindled 4.96 (0.35%) to perch at 1,413.17. Looking at the Dow, it reached its rising wedge's top boundary today and fell back like the Wicked Witch of the East facing Dorothy with a bucket of water. S&P500 looks the same. Both are struggling against this year's highs. If they can beat that mark, they will benefit from a wave of enthusiasm that will blow out like a bad tire on hot concrete, but it will carry them slightly higher. Argentum et aurum comparenda sunt -- -- Gold and silver must be bought. - Franklin Sanders, The Moneychanger The-MoneyChanger.com 1-888-218-9226 10:00am-5:00pm CST, Monday-Friday © 2012, 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 bubble has burst, primary trend down. WARNING AND DISCLAIMER. Be advised and warned: Do NOT use these commentaries to trade futures contracts. I don't intend them for that or write them with that short term trading outlook. I write them for long-term investors in physical metals. Take them as entertainment, but not as a timing service for futures. NOR do I recommend investing in gold or silver Exchange Trade Funds (ETFs). Those are NOT physical metal and I fear one day one or another may go up in smoke. Unless you can breathe smoke, stay away. Call me paranoid, but the surviving rabbit is wary of traps. NOR do I recommend trading futures options or other leveraged paper gold and silver products. These are not for the inexperienced. NOR do I recommend buying gold and silver on margin or with debt. What DO I recommend? Physical gold and silver coins and bars in your own hands. One final warning: NEVER insert a 747 Jumbo Jet up your nose. No, I don't. 
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| What Happened To Gold? – Part 2 Posted: 21 Aug 2012 03:30 PM PDT Dear CIGAs, Please take a moment to review Alf Field's article posted here on JSMineset August 1st.
What Happened To Gold? – Part 2 August 1, 2012, at 11:46 am by Alf Fields My Dear Extended Family, I have known Alf Fields for what seems like forever. I have long held that the Continue reading What Happened To Gold? – Part 2
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| Richard Russell - The Key To Stocks, Gold & Growing Old Posted: 21 Aug 2012 03:23 PM PDT  The Godfather of newsletter writers, Richard Russell, had a number of interesting thoughts regarding gold, stocks and growing old. Here is what Russell had to say: "A lot of my subscribers are over 60 years of age, and no doubt many of you are looking forward to your 80s. So I thought the following might be of interest."
This posting includes an audio/video/photo media file: Download Now |
| Posted: 21 Aug 2012 02:24 PM PDT *** NOTE *** - That Côte de bœuf for two cost 6.2 ounces of silver in May 2009 (at $14.50/ounce), but only 4.6 ounces of silver today at $30 an ounce. Peter Luger Steak Prices May Soar as Drought Culls Herds … Continue reading
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| Are gold cycles turning up with easy money? Posted: 21 Aug 2012 02:22 PM PDT 21-Aug (MarketWatch) — My cycle work in gold indicates we're due for a few months of strong upside action. Using cycles based on 5.5 months, gold was due for a low between June 11 and 15 after its December 29 low at $1522.48. [source]
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| Gold Daily and Silver Weekly Charts - The Old Switcheroo Posted: 21 Aug 2012 02:12 PM PDT |
| Gold Triange Breakout Objectives at 1700 and 1750 Posted: 21 Aug 2012 01:40 PM PDT courtesy of DailyFX.com August 21, 2012 11:27 AM Daily Bars Prepared by Jamie Saettele, CMT The alternate gold count was confirmed today with the trade above 1640.80. “A break above 1640.80 would confirm that wave C is underway towards 1700 (Fibonacci extension is just below that level and the 2/10 low is just above 1700).” Using the same triangle measuring technique used recently in USDCAD and crude and used today in the EURUSD and USDCHF, objectives for gold are 1703.56 and 1754.26. LEVELS: 1610 1620 1630 1650 1700 1750...
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| Greece to Receive Concessions in Terms Posted: 21 Aug 2012 01:37 PM PDT Front and center this morning, the currencies are on the rally tracks versus the dollar. We had two things move the currencies higher overnight. First came the Reserve Bank of Australia's (RBA) meeting minutes. You will recall me telling you yesterday that the markets were looking for signs that the RBA felt the Australian dollar (AUD) was overvalued and they needed to cut rates to weaken it. Well, there were no such words in the minutes, and the A$ took off for higher ground. Right now, the A$ is up ¾ cent (0.75), which is a very strong move! Then came the news that concessions are possible for Greece so long as Prime Minister Samaras shows a willingness to meet the main targets set out in his country's bailout program. That news came courtesy of a senior lawmaker with German Chancellor Angela Merkel's party. The markets like hearing this news, for it gives Greece a little breathing room, which they didn't have before, and almost guaranteed that Greece would fail the inspection. And maybe they will still fail it, but for now, the markets have breathed a sigh of relief, and that has the euro (EUR) trading above 1.24. Yesterday, I actually stepped away from the trading desk and worked in my office! A rare thing for me, as I usually like to be around the trading and camaraderie. But I had a ton of writing and reading to do, so I stepped away. The reading I did made me realize that we are in for a ton of fun in September. OK, maybe not exactly fun, but it will seem like just about every day has something in store for us. For instance, we end this month with the annual Fed head boondoggle called Jackson Hole. Of course, it was at Jackson Hole that Big Ben Bernanke announced round two of quantitative easing a couple of years ago. So the markets will be quite interested to see what he has to say this time around. Germany's Constitutional Court will on Sept. 12 make their decision known on the legality of using the ESM to recapitalize the troubled Spanish banks and go around the Spanish government. We will also in September see what the Troika has to say about Greece's plans to cut debt. And then are a ton of other things like central bank meetings including the ECB and Fed, elections and… drumroll, please… most likely the request from the White House to raise the debt ceiling as we grow closer and closer to the current ceiling of $16.4 trillion. But before we get to the end of the month and Jackson Hole, we'll have two weeks of waiting, and a lot of sawdust being left on the floor from meetings between heads of state. That leaves the currencies and metals with no place to really go. So I'm taking off the next two weeks, see ya… HA! Just kidding! Although I will be missing some time coming up soon (not sure yet when), as I have to have more surgery on my mouth (this time it will be major, and not outpatient stuff, UGH!). You know my mother used to tell me that my potty mouth was going to get me into trouble someday… I wonder if this is what she meant! Remember yesterday I told you about the Bundesbank and how powerful they once were and how they had criticized the European Central Bank (ECB) and their plan to buy bonds in "unlimited amounts" to keep bond yields at "fair levels." I also mentioned that I hoped that the ECB wouldn't announce the details. Apparently, the Bundesbank still carries a big stick — at least a stick big enough to make the markets sit up and pay attention! You see, after I hit "send" yesterday, the euro dropped like a rock, and all the signs pointed to the Bundesbank's criticism of the ECB as the reason. That selling didn't last too long, as the euro had gained back lost ground and more by lunchtime. Did you see the news on yet another investment scandal here in the U.S. yesterday? This from Bloomberg: "Whitman Capital LLC's Doug Whitman was convicted of insider trading following a trial in which he spent more than two days on the stand telling jurors he was innocent." How many of these have there been since 2000? Remember all the Internet stock scandals, the corporate scandals and then the investment scandals? And people still want to invest in equities here? WOW! My friends over at The 5 Min. Forecast talked a bit about the scandals yesterday. Let's listen in: "'I hear more and more people say the market is rigged against them,' writes Chris Mayer. 'They say it is a game for insiders to fleece gullible outsiders. "'Wall Street has not helped this image at all. There seems to be no end to lurid scandals or crises of confidence in the system.' "We chronicle many of them here in The 5 — Knight Capital's 'trading glitch,' or the 'disappearance' of customer money from MF Global. 'The Facebook IPO may have been the last straw,' ventures Big Picture blogger and Vancouver favorite Barry Ritholtz in his latest Washington Post column." Spain issued some Treasury bills this morning and the auction was successful, as the full allotment of 4.5 billion euros of 1-year bills were sold, and the yield fell by quite a bit. Today's auction saw the average of 3.07%, versus the previous auction of 1-year bills, which came in at 3.92% on July 17. And this news has helped the euro, in addition to the news about Greece getting some concessions. And back to the A$ and the RBA last night, now that I've let the RBA meeting minutes sink in. I liked what the RBA DID say. They did say that the Australian domestic economy could weather a fragile global economy, and that the expansion rate for the economy will over the "medium term" be at around the economy's trend pace. That's central bank parlance for our economy will not weaken anytime soon. And when a central bank says something like that, you can bet your sweet bippy that they won't be cutting rates any time soon! For the past two weeks, I've told you how the U.S. dollar long positions in the futures contracts had been reduced. It happened again last week, with dollar long positions reduced by 27,000 contracts. The three currencies that saw the bulk of the buying were A$, Canadian dollars/loonies (CAD) and — believe it or don't — Mexican pesos (MXN). So for the past three weeks, U.S. dollar long positions have been greatly reduced. These are indications, folks, that we're about to see the dollar slip back into the underlying weak dollar trend. Of course, things can always change on a dime, but the trend is definitely your friend here as long as you are use foreign currencies to diversify your investment portfolio so that you don't have 100% of your investments denominated in dollars. I was talking with Chris Gaffney yesterday — briefly, I must add, for Chris is off here and being stretched like inspector gadget these days. But I gave him my PowerPoint from my Vancouver presentation, and he wanted to know what the slide was that had a picture of a guy looking very frustrated with his head on his desk. I said, that's Chuck at the desk each morning writing the Pfennig and being very frustrated because he called for the Treasury bubble to pop two years ago. Of course, back then, I had no idea that the Fed was going to become the largest owner of Treasuries and take down 61% of the Treasury auction supply last year! I still think that the Treasury bubble will be the worst bubble we've ever experienced, but as long as the global community allows the Fed to print money and buy Treasury supply, the bubble will avoid the pin in the room. But it won't last forever, and when it finds the pin, we'll experience a Minsky moment. I've told you all about my association with the great economist Hy Minsky before, so I won't bore you with those details again, but just mentioning a Minsky moment brings back some great memories for me. I was a young man, strong as an ox, and a pretty fair country athlete. I played ball almost every night of the week and tournaments on weekends. In the winter, I would play any pickup basketball game at any time. And then I got into volleyball. I didn't have two nickels to rub together, but things were good. I thought I was invincible. Now that I've taken that journey down memory lane, let's talk about the data from yesterday here in the U.S. Existing home sales were strong in July. Buoyed by cheaper prices for existing homes, and record-low mortgage rates, existing home sales increased to 4.89 million annually, from 4.72 million annually in June. Notice I said that the sales were buoyed by "cheaper prices"? Without these cheaper prices, existing home sales would be floundering. Prices in some areas of the country have stabilized, but in others, they continue to fall. And then commodities, specifically agriculture. It's not just corn crops suffering from the drought this year, folks. Soybeans, too, are suffering, and anything else that grows out of the ground and needs water. The S&P GSCI Spot Index of 24 raw materials rose 0.7% this morning alone, to 673.82, the highest level since May 3. This gauge has jumped 20% since its low on June 21. But not to worry, the Fed doesn't count food and energy in their inflation calculations. So there's no inflation, folks. Move along, these aren't the droids you're looking for! HA! Then There Was This, from CNBC: "There's a different sort of drought plaguing California, the nation's largest farm state. Its $38 billion agricultural sector is facing a scarcity of labor. "'This year is the worst it's been, ever,' said Craig Underwood, who farms everything from strawberries to lemons to peppers, carrots and turnips in Ventura County. "Some crops aren't get picked this season, due to a lack of workers. "'We just left them in the field,' he said. "The Western Growers Association told CNBC its members are reporting a 20% drop in laborers this year. Stronger border controls are keeping workers from crossing into the U.S. illegally, and the current guest worker program is not providing enough bodies." If crops are being left in the field, that's going to push prices higher. But there's no inflation here. Of course, I hope you all are with me on this, that I'm being facetious or a smart a** like my wife calls me all the time. Of course this is inflationary! To recap: The currencies were influenced by the Bundesbank criticism of the ECB plan to buy bonds at first yesterday morning, but soon forgotten, as the currencies got back on the rally tracks by noon. The RBA didn't mention the need to weaken the A$ in their meeting minutes, and instead talked about the strength of the domestic economy being able to weather the fragile global slowdown. And Greece received some concessions, and that's good news for the euro, as the markets were pricing in a failure of the Greeks to pass the inspection of their debt-cutting programs. The Greeks may still fail the inspection, but at least for now, the markets are breathing easier. Chuck Butler Greece to Receive Concessions in Terms originally appeared in the Daily Reckoning. The Daily Reckoning, published by Agora Financial provides over 400,000 global readers economic news, market analysis, and contrarian investment ideas. ".
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| Russia Accumulates Gold As Price Consolidates Below Resistance At $1,644/oz Posted: 21 Aug 2012 01:19 PM PDT Today's AM fix was USD 1,624.00, EUR 1,308.94, and GBP 1,030.26 per ounce. Yesterday’s AM fix was USD 1,615.25, EUR 1,306.84 and GBP 1,028.04 per ounce. Silver is trading at $28.95/oz, €22.40/oz and &ound;18.44/oz. Platinum is trading at $1,495.75/oz, palladium at $604.70/oz and rhodium at $1,025/oz.
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| Posted: 21 Aug 2012 01:07 PM PDT SafeHaven
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| Posted: 21 Aug 2012 12:49 PM PDT SPOT MARKET prices to buy silver rose to their highest level in two months Tuesday, hitting $29.09 per ounce– 3.5% up on last week's close – after extending gains from yesterday's trading. "This changes [silver's] posture to bullish," says the latest technical analysis note from bullion bank Scotia Mocatta.
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| Gold's Little Brother Is Talking Posted: 21 Aug 2012 12:33 PM PDT Early this morning, gold may have achieved an upside breakout from a key symmetrical triangle formation. Read More...
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A very large segment of the population has figured out that it can use voting as a tool to get more money and benefits from the government, and that is a very dangerous thing. Once upon a time, the free market was the one that distributed nearly all the wealth in our system. But now the federal government has become a giant deluded "Santa Claus" that distributes goodies to the American people far beyond its actual capacity to do so. In fact, we are borrowing 
Spared the waterfalls that the paper price of assets are prone to due to the critical mass of singular and unified investors and institutions, silver mine production since a year ago did not trend as tragically as the Devil's Metal spot price. Although it was up in May 2012, it was still down from a year ago.
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