Gold World News Flash |
- Russia has more than doubled its gold reserves in the past five years.
- Take Gold With You On Your Journey Into The Unknown
- On A Gold Standard And The Free Market For Goods, Services, And Money
- Central banker berates Indians for preferring gold to a crappy currency
- Silver Price History & ‘The Hunt Effect'
- Guest Post: Economic Fallacies And The Fight For Liberty
- The Death of the American Teenager
- Silver: “You ain't seen nothing, yet” – Fractal Analysis
- For Ben Bernanke, Nothing Has Changed
- The Zero Hedge Daily Round Up #121 - 06/09/2012
- Silver Making a Play for the 'MOABO of the MOAMPC'
- Sprott Physical Gold Trust Announces Follow-On Offering
- The Next (Lack Of) Trading Casualty: Nomura's Brand New $270 Million Trading Floor
- The Gold Price Crossed Above $1,700 Today and is Still Targeting $1,740
- ‘Printing Banknotes’ – Draghi Says Officials Agree on ECB Unlimited Bond-Buying & Gold
- The Income And Substitution Effect
- Mogambo Nontraditional Policies (MNP)
- Hedge funds can push monetary metals higher, Norcini tells King World News
- The Elephant and the Flea
- John Rubino–Welcome To The Third World 06.Sept.12
- A Tax Hike by Default
- Gold Seeker Closing Report: Gold and Silver Gain With Stocks and Oil
- What Hedge Funds Are Now Doing In the Gold & Silver Markets
- Gold Daily and Silver Weekly Charts - Metals Capped While the Stock Market Flies on Hot Money
- Diana Zoppa — Catching Up With Diana-Alternate Universes and Gold Hits $1700 06.Sept.12
- Mickey Fulp–Mickey’s Majestic Monthly Market Review 05.Sept.12
- What Would Civil Unrest Look Like?
- Bill Gross: I Am Leaning to Gold over Bonds
- Russian Market Declines on Risk-off Sentiment
| Russia has more than doubled its gold reserves in the past five years. Posted: 07 Sep 2012 12:15 AM PDT Why is Putin stockpiling gold?
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| Take Gold With You On Your Journey Into The Unknown Posted: 06 Sep 2012 11:00 PM PDT Perth Mint Blog
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| On A Gold Standard And The Free Market For Goods, Services, And Money Posted: 06 Sep 2012 10:13 PM PDT Via Keith Weiner or The New Austrian School of Economics, A free market is composed of people who produce and trade the products of their efforts in exchange for the products of others. The free market is able to coordinate the activities of everyone, and enable everyone to optimize his results. Unfortunately, governments interfere in the free market. They do so by the use of force. The government always justifies its intrusions on the grounds of helping people. Government officials and voters are not aware of the lessons of Frederic Bastiat. The attempt of all to live at the expense of all is doomed. There ain't no such thing as a free lunch. Rather than helping people, the government's interference inevitably causes distortion. As destructive as government interference is in the area of production, it is that much worse in the area of money and credit. Every aspect of production and trade depends on money, so distortions in this area are magnified. Unfortunately, the government has distorted the monetary system so badly that both are accelerating towards destruction. The solution, and the only hope for civilization, is to rediscover the principles of free markets, particularly on the monetary realm, and begin returning to a gold standard.
The following thesis, while long, examines these themes in great detail; from Rand to Bastiat and the Nine 'Government-' and Seven 'Central Banking Monetary-' Interferences, the case for a 'proper' Gold Standard is clear:
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| Central banker berates Indians for preferring gold to a crappy currency Posted: 06 Sep 2012 09:17 PM PDT RBI Advises Against Gold Investment From The Times of India, Mumbai http://timesofindia.indiatimes.com/business/india-business/RBI-advises-a... MUMBAI -- On a day gold prices touched a new high, the Reserve Bank of India urged the public against choosing gold as an asset for savings or investment. "Because interest rates are very low, people are investing in gold. But the poor should never invest in gold, for whenever they have purchased gold, it either lands up in the temple or in the hands of the moneylender or, at most, it may be given away during a daughter's marriage," said RBI Deputy Governor K.C. Chakrabarty. ... Dispatch continues below ... 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/. Speaking at a function that marked the eighth edition of the M.R.Pai Awards, given in memory of the founder of the All-India Bank Depositors Association, Chakrabarty said that this is one area in which the association needs to educate the public. "How many poor people," Chakrabarty asked, "have managed to save money by buying gold? Banks are selling gold, but do they buy it back? And if they do, at what price?" The deputy governor added that the $60 billion worth of gold India imported annually was one of the main reasons behind the current account deficit. This is the second time that the deputy governor has spoken out against investing in gold. At an event in Delhi in July, he said that there was a need for a socio-cultural revolution to help Indians overcome their love for gold. India is the world's largest consumer of gold and is estimated to have imported close to a thousand tonnes in 2011. Although imports have dropped following the increase in customs duty in the 2012 budget, the value of imports continues to remain high thanks to the rise in prices and the weakening rupee. Despite the import drop, domestic gold prices continue to rule high with the yellow metal being seen as a strong hedge against inflation. 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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| Silver Price History & ‘The Hunt Effect' Posted: 06 Sep 2012 08:30 PM PDT by Dr. Jeffery Lewis, SilverBearCafe.com:
History remembers the last nominal high in the price of silver before the more recent high of $49.77 seen in April of 2011 as an anomaly that was largely induced by the Hunt brothers' purported attempt to corner the market by buying large quantities of silver and silver futures to the point where they held rights to over half the global amount of deliverable silver. This remarkable event began in the late '70s and led to a sharp rise in the price of silver to a then-all time high of $48.70 per ounce. The dramatic rally culminated in early 1980 after Comex silver exchange trading rules were changed to make margin purchases more difficult, thereby forcing the Hunt Brothers to miss a $100 million margin call. The price of silver then collapsed in a traumatic market event that occurred on March 27th of that same year, which has since been dubbed Silver Thursday. Although later forced to pay out over a hundred million dollars on civil claims that they had conspired to corner the silver market, a loss that ultimately led to their bankruptcy filing, the Hunts claimed that they were simply attempting to start a precious metals backed currency as an alternative to the virtually intrinsically worthless paper Greenback. Read More @ SilverBearCafe.com
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| Guest Post: Economic Fallacies And The Fight For Liberty Posted: 06 Sep 2012 08:01 PM PDT Submitted by James Miller of the Ludwig von Mises Institute of Canada Economic Fallacies And The Fight For Liberty
Former Labor Secretary, public policy professor at University of California, Berkley, and political commentator Robert Reich recently offered President Obama and Mitt Romney a proposal he thinks will help American workers. In lieu of almost 40% of workers in the U.S. not receiving paid vacation for holidays and sick days, Reich proposes that the federal government mandate every worker receive three weeks of paid time off. Reich calls the country's lack of a national leave policy "absurd." Further, he claims that imposing an increase in mandatory paid vacation would be beneficial not just for employees but employers as well. According to the union cheerleader, paying employees for taking time off is great for productivity because they come back with batteries recharged and higher morale. This boost in output would more than pay for the leave and for the hiring of additional labor to offset the absence. What Reich is arguing is that by increasing the cost of labor, somehow the unemployment rate will drop. Or that by paying employees to take time off, the extra productivity that would take place would both pay for the hiring of more workers and make up for the loss of time devoted to labor. And finally, Reich is assuming that employers have never taken such a policy into account and are blind to the low-hanging fruit of easy profits. To even the most unlearned observer, Reich's proposal comes off as pure nonsense in the sense that it would not just be damaging to an economy already strangled by regulatory mandates but it would actually be beneficial on the whole. Government intervention into the free choices of people always amounts to the picking and choosing of winners. Left to itself, the unhampered social system of production that is a free market economy is the best state of affairs for participants to maximize their well-being. Under interventionism, voluntary choices are replaced by dictation from the political elite. Reich's proposal for mandatory three weeks of paid vacation assumes that all workers, at all times, would have no issue with the requirement. He presumes that the policy would have immediate effect so that the up-front cost of labor would automatically be offset by increased production which in reality takes time to occur and isn't guaranteed. Reich's policy rests on the notion that economies can be finely tuned. His view is that the human energy expended on production is not an extension of the individual sovereignty of men but something to control and guide. This is general mindset of a central planner; especially one who has a high-profile academic position at a major university. Reich is far from alone in this regard. He is a respected commentator featured in the mainstream press. His colleagues offer the same suggestions for policymakers in the government to follow. In another example, recently on the Washington Post's Wonkblog, editor Ezra Klein offered up a compelling case for how Federal Reserve Chairman Ben Bernanke could get the housing market out of its slump. Cleverly titled "Uncle Ben's Crazy Housing Sale," Klein suggests that Bernanke go before the American people and announce that the Fed will begin buying mortgage-backed securities in an effort to bring 30 year mortgage rates down to 2.5% "for one year, and one year only." The goal is simple according to Klein: "If you have any intention of ever buying a house, the next 12 months is the time to do it. This is Uncle Ben's Crazy Housing Sale, and you'd be crazy to miss it." But as Rothbardian economist Bob Murphy aptly points out, Klein's proposal amounts to nothing more than the deliberate creation of another bubble. By taking potential demand that could conceivably be spread out over the next decade or so and concentrating it within the confines of one year, the intertemporal allocation of goods within the structure of production (housing in this case) becomes distorted and leads to unsustainable investment. So once Uncle Ben's crazy housing sale comes to an end, the demand for housing would in all likelihood plummet and the industry would be no better off. Also of importance is Klein presupposing that 2.5% is the most desirable rate for 30 year mortgage rates by not giving an explanation as to why. Further, he mentions that the housing market is appearing to have bottomed out and is on its way to genuine recovery. Yet his policy proposal rejects allowing for a natural recovery and boils down to the exact same monetary policy of low interest rates that created the housing bubble of the 2000s which laid the foundation for the financial crisis. It is the equivalent of injecting heroin into a junkie who is trying to go cold turkey. Though these are just a few examples of flawed policy recommendation, they are largely representative of the establishment's views. Like Princeton economist Paul Krugman, former Treasury Secretary Lawrence Summers, and even the New York Times editorial staff, Klein and Reich believe in the sanctity of government intervention over the market process. What passes for informed economic analysis is becoming more unhinged from reality by the day. The very same solutions are being offered that had a hand in causing the crisis to begin with. That is: interest rates suppressed beyond market levels, increased government spending, economic micro-management, housing market stimulus, and more accommodating monetary policy. Getting out of the way and allowing the economy to reach sound footing is too radical of an option for the busybodies of the state. Still, Keynesianism continues to fall short. Intellectuals of the school keep failing to recognize the harm their theories cause. Their policy recommendations are a rehashing of the same fundamentally pro-state theory: government needs to spend more and more money needs to be printed into circulation. Meanwhile the average private sector or low-wage worker sees a system stacked against him. Public sector workers receive better pay and benefits. Politically connected banks and large financial companies are bailed out for poor business decisions. Industries totally under government supervision such as health care and education have become terribly inefficient. Countless lives are lost or ruined from wars based on lies. The prices for necessities at the supermarket are always inching upward. Privacy is trampled upon by overzealous law enforcement. Wallets are treated like a grab bag by tax collectors. And the solution put forth is always bigger, more intrusive government. The false dichotomy of liberal versus conservative is played out in the West as if there is an actual difference between the two. In short, it's only a matter of time before the ideas ignored by the establishment are given more serious consideration by the greater public. As the Austrian school of economics emphasizes, the bust which follows an inflationary boom is a needed cure for the built-up malinvestment. Likewise, recessions should serve as a guide on the unintended consequences of public policy. They challenge orthodox teachings to justify themselves as the damage of prolonged unemployment takes it toll. Out of hardship can emerge new ideas for men to adopt and integrate. Thought then becomes a weapon against the existing order which sees its position of authority under attack. As Ludwig von Mises once wrote Thoughts and ideas are not phantoms. They are real things. Although intangible and immaterial, they are factors in bringing about changes in the realm of tangible and material things. In the course of human history ideas have been the catalyst for profound change. The American Revolution was being fought on an intellectual battlefield before the first bullet was shot at Lexington and Concord. Cato's Letters, along with the writings of Thomas Paine and Adam Smith, gave the revolting colonists a vision of the natural rights of man and the prosperity free enterprise brings. Radical pamphleteering was always a bigger threat to the British monarchy than any musket. Today, the liberty-minded versed in sound economics face an uphill battle. The corporatist establishment won't let go of their government privilege easily. Academics are too infatuated with their prestige to question the blatantly criminal syndicate that is the state. Against such forces, the battle may be tough but it is winnable in the end. Western governments are beyond bankrupt when it comes to unfunded liabilities. Their existence is dependent on the unsustainable and fraudulent practice of fractional reserve banking. Default is inevitable at this point. The broken promises of politicians will discredit government as a virtuous institution. The productive class, meaning those forced to fund the state and its beneficiaries, will stop sitting passively by. To win the fight against statism and the poverty it inevitably brings, the right to one's very humanity must be reasserted. From the beginning, mankind has been plagued with the conflict of power versus liberty. As libertarian author Rose Wilder Lane summarizes in her book The Discovery of Freedom: They replace the priest by a king, the king by an oligarchy, the oligarchy by a despot, the despot by an aristocracy, the aristocrats by a majority, the majority by a tyrant, the tyrant by oligarchs, the oligarchs by aristocrats, the aristocrats by a king, the king by a parliament, the parliament by a dictator, the dictator by a king…six thousands years of it in every language. Lane asks the most pertinent and direct questions that are never alluded to in contemporary political discourse: "What is the nature of man? The only political question is: What is the nature of the institution named "Government"? To Lane, government, or the state, is an abstract concept which does not exist. What exists "is a man, or a few men, in power over many men." By the same token, the prosperity brought forth through government-financed initiatives and inflation does not exist either. The printing of money creates no new wealth; just lowered purchasing power. All government spending comes from resources siphoned away from the private sector. For every dollar spent by lawmakers or bureaucrats means one less dollar devoted toward productive efforts. In short, free lunch economics is a fairytale. These principles, while plainly evident, cannot be stressed enough. State officials can't live outside the laws of economics or the laws of decent behavior. The sham is coming to a close before our eyes. The collapse of the Soviet Union proved that socialist regimes are incapable of rational economic calculation. The fiat money system that brought the world the slowly splintering Eurozone will eventually run its course. Establishment economists have resorted to outright lies to maintain the superiority of government paper money over the market's preference for gold. They are getting desperate because their stock answer is no longer being looked to as right by the public. In their quest for power, the political elite are looking more like the tyrants they really are. It's only a matter of time before enough people are fed up and declare their right to life, liberty, and property once again. The battle will be won in the long run no matter how perilous it appears in the short.
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| The Death of the American Teenager Posted: 06 Sep 2012 07:54 PM PDT from Silver Vigilante:
When in 1994 Business Week exclaimed "They're back!" about teenagers, the United States was a different place. Their baby boomer parents could afford teenagers buying pizzas, going to concerts, purchasing clothes, cosmetics, CDs, cars and computer games like never before. Today, the country is stricken by poverty, as 50% of the populations sits at or below the poverty line. Since the market collapse in 2008, while pundits and "authorities" pushed dope-like propaganda about "Greenshoots" and the "Recovery" incomes fell more than ever in American History. The teenager in 1994 was an advertiser's wet dream – a consumer group with loads of free time and the disposable income of their parents to pursue a life leisure. In 2012, it had fallen to the wayside, a battered corpse of diminishing returns as the teenager went from worrying about social norms to lamenting public education and work as a teenager..
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| Silver: “You ain't seen nothing, yet” – Fractal Analysis Posted: 06 Sep 2012 07:41 PM PDT Fractal analysis charts suggest that silver could push up to around $150. Yet, there are both higher and lower potential price targets to consider. by Goldrunner, MineWeb.com
The Fractal Silver Chart from the late 70′s is a bit different than today, mostly due to the effect that the deflationary psychology of the current period has had on Silver as a partly "economic metal." This means that the chart of Silver has been much more volatile, especially in downside corrections compared to the late 70′s charts. The Silver parabola is a less fluid form than the Gold parabola with Silver making sharp vertical rises along the way. The Gold and Silver parabolas are driven by the flows of Dollar Inflation to Devaluation, yet big money and Central Banks mostly invest in Gold. This leaves Gold's little sister, Silver, more prone to volatility and to speculation. This fact can create an advantage for Silver investors. THE 70′S SILVER BULL The first chart is an arithmetic chart of 70′s Silver. I have placed a blue angled line under the first portion of the late 70′s Silver Bull to show that Silver ran in an angled channel before its first thrust up to and above the 1975 high – the then historic high. I have drawn a green circle around the move up to the old high which likely corresponds to Silver's run up in 2011 to the old 1980 high. Yet, going forward this creates "timing issues" compared to Fractal Gold so the red circle might fit the timing of the current point in the Silver Bull, better. The sharp rise out of that red circle appears to fit the type of move that we expect Gold to make, soon, based on the fundamentals where the Fed has already printed over $1.3 trillion while the markets have not yet devalued the US Dollar. At this point in the 70′s Gold appears to have doubled its log channel which is more in tune with the "1st sharp price expansion in 79″ as noted on the chart.
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| For Ben Bernanke, Nothing Has Changed Posted: 06 Sep 2012 06:58 PM PDT From Monty Pelerin: The announced bond buying by Mario Draghi in Europe produced a substantial rise in our markets yesterday. Investors who were long stocks were undoubtedly happy with their likely unexpected windfall. The major averages all hit multi-year highs and gold closed over $1,700. As happy as investors were, one Ben Bernanke and his current boss, Barack Obama, were likely just as happy. The stock market is often confused as a marker for economic conditions. Higher stocks are said, incorrectly, to reflect a better or improving economy. Sometimes that is true; often it is not. Markets often respond more to liquidity than economic prospects. Decisions in Europe did two things for Ben Bernanke: [LIST] [*]They promised large injections of liquidity into the world economy. [*]They took some pressure off Ben Bernanke to act now in an attempt to boost optimism. Ultimately, the actions in Europe will do little but defer Europe’s collapse. As such, they have taken t...
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| The Zero Hedge Daily Round Up #121 - 06/09/2012 Posted: 06 Sep 2012 06:33 PM PDT When the world around you is falling apart; when your ever-so-nice neighbours with tertiary degrees and happy faces turn into savages, baring nothing more but hate and a confused sense of pity; when all the food dries up and you're questioning the sanity within that stupid little head of yours; when you wake up and find your son holding a knife to your neck... sit back and crack a tinny with your good mate "Julius Reade" over the inter-waves. Don't forget to smile. This is the Zero Hedge Daily Round Up.
Alternatively, you can download the show as a podcast on iTunes or any RSS capable device. RSS Feed: http://thefinancialreality.podomatic.com/rss2.xml Julius Reade
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| Silver Making a Play for the 'MOABO of the MOAMPC' Posted: 06 Sep 2012 05:48 PM PDT HOUSTON -- We've been involved in meetings the past couple of days but always with one eye on the markets and our various working trades. We share brief comments about those trades with Vultures (Got Gold Report Subscribers) in the GGR subscriber pages often, by the way. Vultures learn to check in to the member pages frequently, because we are constantly updating our comments embedded directly in the thirty-five or forty technical charts of gold, silver, mining share indexes, important ratios and quite a few of the guru-chosen small resource companies we track and attempt to game. The charts are where we do most of our communicating between Got Gold Reports. Vultures will recall that in July we reported then that the CFTC commitments of traders (COT) data was shaping up to be about as bullish as we had ever seen it then, with silver near or under $27. We shared similar comments then in a subscriber video and, after a delay, with the general public on our YouTube hub. For some time now we have held the notion that silver has been in a long "flag" or pennant consolidation as the second most popular precious metal "digested" the surge to just under $50 in April of 2011 (17 months ago). Flags are often continuation patterns that end up resolving in the direction of the prevailing trend sooner or later. Vultures will recall our contention that this particular consolidation could be "the mother of all mid-point consolidations," and in a recent video Got Gold Report (which we also shared with the public after a delay) we said then that if silver managed to break out above the flag consolidation we could be in the beginning stages of the "MOABO of the MOAMPC." Just below is a simple chart of silver showing the current attempted breakout of the huge flag consolidation. For those that don't already know what we mean by the "MOABO of the MOAMPC" we have a link to that recent video update just below the graph. It's too early to tell for sure if that's exactly what is underway, but what is for sure is that this is exactly what the beginning of that scenario would look like. Link to the recent video GGR that explains the "MOABO of the MOAMPC" notion: http://www.youtube.com/watch?v=PjkDiavXLTg&feature=plcp
Vultures please note, we have updated our own trading stops as noted in the welcome section on the Subscriber pages as of today. Just sign in to the GGR Subscriber pages for those new comments. That is all for now.
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| Sprott Physical Gold Trust Announces Follow-On Offering Posted: 06 Sep 2012 04:55 PM PDT
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| The Next (Lack Of) Trading Casualty: Nomura's Brand New $270 Million Trading Floor Posted: 06 Sep 2012 04:25 PM PDT
Reuters explains what we have been predicting for years:
And while jawboning (so prevalent lately) and threatening of layoffs is one thing, it is something totally different to see what it means in practice:
In other words kiss the principal equity trading group goodbye, in process reducing market volumes even futher. So who will survive? The ultra low, flow margin business Instinet which Nomura bought for $1.2 billion in 2007.
Considering that Knight's near death experience in the beginning of August resulted in stock volumes dropping to decade lows in the month, all that remains is for Instinet to go dark next, which it most certainly will once the group no longer generates any profits as the race to the margin bottom among agency brokers begins in earnest, which in turn will make the already broken equity market completely uninhabitable and a trading venue merely for Bernanke and his ilk, whereby the Princeton professor does all in his power to push the mark to myth value of America's very much insolvent pensions and retirement accounts into the stratosphere to perpetuate for at least a few more year the illusion that America's welfare state is not totally and utterly broke. As for Nomura's traders about to start receiving unemployment benefits, we have good news: consider this a first adopter advantage - you will have some extra time to learn valuable skills which none of your competitors currently sitting behind Bloomberg terminals but who too will soon be seeing pink slips, have, and will thus be at least modestly more marketable in a new normal in which nothing is what it used to be.
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| The Gold Price Crossed Above $1,700 Today and is Still Targeting $1,740 Posted: 06 Sep 2012 03:36 PM PDT Gold Price Close Today : 1702.60 Change : 11.80 or 0.70% Silver Price Close Today : 32.619 Change : 0.347 or 1.08% Gold Silver Ratio Today : 52.197 Change : -0.196 or -0.37% Silver Gold Ratio Today : 0.01916 Change : 0.000072 or 0.37% Platinum Price Close Today : 1585.40 Change : 10.80 or 0.69% Palladium Price Close Today : 647.00 Change : 0.85 or 0.13% S&P 500 : 1,432.12 Change : 1,551.00 or -1304.68% Dow In GOLD$ : $169.12 Change : $ 1.83 or 1.09% Dow in GOLD oz : 8.181 Change : 0.088 or 1.09% Dow in SILVER oz : 427.02 Change : 2.99 or 0.70% Dow Industrial : 13,929.00 Change : 244.52 or 1.79% US Dollar Index : 81.23 Change : -0.114 or -0.14% The GOLD PRICE crossed above $1,700 today, rising $11.80 to $1,702.60. I remind y'all, for an object lesson in the potential speed of gold moves, that 14 days ago only gold crossed above $1,600. Gold standeth now above its 20, 50, 150 (key long term moving average), and 200 DMAs. Gold left the 200 way back there at $1,645.79. The GOLD PRICE is still targeting $1,740 for this move. Watch for a reaction after that when you can buy, buy, buy. Bottom of that first correction after a market begins moving up is the safest place to buy always. Not always the most profitable, but the safest. The SILVER PRICE skipped 34.7 cents to end at 3261.9c. High came at 3298c as silver challenged the next milestone, 3300c. Day by day the GOLD/SILVER RATIO keeps on dropping. as silver outperforms gold. It has dropped from the summer highs (and highs for the move) at 59+ to 52.197 today, and left two gaps down along the way. 200 DMA now stands at 54.34. Doesn't have much more downside in it before a reaction will start that will take it at least to 54. If you have not yet swapped gold for silver, that will be your last change. This move will target something below 30:1. What would y'all think of a doctor who visited your house (y'all can tell this is a fairy tale already, can't you?) when your child had a temperature of 101º F. and recommended you pack the child in ice to lower that temp down to 89º F. ? That way, he says, "he won't be sick any longer." Y'all all know that lowering a sick person's temperature way below what's normal does NOT constitute a cure. Yet Central Banking Criminal Dr. Draghi announces that he, like Dr. Ben Bernanke, will cure the sick patient by holding down his temperature. This is what it means to suppress interest rates in a sick economy: it only makes the patient sicker, and might even kill him. It's worse than that. The European Stability Mechanism, the garbage can into which all the rotten bonds will be cast, will directly buy the bonds from countries in trouble, like Spain, Italy, and Greece. Now I'm just a natural born fool from Tennessee so subtleties are lost on me. Maybe y'all can explain to me exactly how this differs from outright monetizing government debt? This is what the German constitution forbids, remembering the Weimar hyperinflation when the Central Bank directly monetized government debt. This is the issue the German Constitutional court addresses on 12 September, but shucks! Constitutions don't mean nothing nowadays. When politics demand, judges yield, and so does law. And remember, when Draghi says, "The euro is irreversible," you are hearing the feckless Pop-Pop! of the Blarney Cannon. Nothing in this sublunary world of mutability is irreversible. Nothing. Only rule here is, "Everything changes, all the time." Once again today we saw the wisdom of the proverb, "Buy the rumor, sell the news." Draghi's Big announcement caused nothing more than a little mouse burp in the market. US dollar index fell 19.1 basis points (0.25%), but fell not through rugged resistance at 81.00. Japanese Nice Government Men took this opportunity to trash the Yen. It fell 0.62%, through its 20 and 50 day moving averages to 126.77c (y78.88). Euro rose only 0.25%, not much of a move and pretty wobbly on the chart. Barely poked its head through $1.2600 resistance to close at $1.2635. My, O, My! Lots o' joy in Stockville today! After all, lots more inflation will help the economy -- won't it? Yes, sweetheart, just shortly after hell freezes over solid. Dow gained 244.52 (1.87%) to close at 13,292, just below the August intraday high at 13,330.76 and the May high at 13,338.66. S&P500 actually exceeded its August and may high. It gained 15.51 (2.04%) to 1,432.12. Don't sell the farm to buy stocks just yet. When measured in gold, today's stocks closes are 7.5% below this years highs. Stocks will NOT outperform gold any time soon. My thanks to all you readers from Canada, Australia, New Zealand, Saudi Arabia, Thailand, and the US who have ordered my new book, At Home in Dogwood Mudhole. I deeply appreciate your confidence. Now some of y'all are still sitting on the fence. I'll tell you what. If the chapters "Pig Persuader" and "No Green Acres" don't make you laugh out loud at least once, or gasp in frightened horror when the horses run away with Justin and Zach, stowed away on the back of the wagon, learns to pray, I will refund your purchase price. I have not made up one single incident in Volume I (or II or II, for that matter). It's all true, it all happened right here in Tennessee on the Top of the World Farm. Here's the deal: you can make a pre-publication order at http://bit.ly/ahidm-vol1 and save the $5 shipping AND get an autographed copy. At Home in Dogwood Mudhole is 400 pages with maps and pictures, and it's more fun that you've had in a long, long time. 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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| ‘Printing Banknotes’ – Draghi Says Officials Agree on ECB Unlimited Bond-Buying & Gold Posted: 06 Sep 2012 03:31 PM PDT Draghi Says Officials Agree on ECB Unlimited Bond-Buying Draghi Says Officials Agree on ECB Unlimited Bond-Buying Youri Carma Excerpt From Bloomberg: European Central Bank President Mario Draghi said policy makers agreed to an unlimited bond- purchase program to regain control … Continue reading
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| The Income And Substitution Effect Posted: 06 Sep 2012 03:30 PM PDT The gold/silver story is starting to seep into the masses. It will happen slowly, but if just 5% of the masses start to buy real gold and silver and eschew the fraudulent ETFs, there will be a serious price explosion. Imagine what will happen if 15-20% of the public start buying...it will be interesting to watch the gold/silver ratio, because as both metals get more expensive, there will be a serious display of the economic law of "income and substitution effect," and we'll see the "silver is poor man's gold" axiom on display in a major way. - Dave in DenverBill Murphy was the feature interview on RT's "Capital Account." The topic was manipulation in the precious metals market and the coming silver market squeeze. This is a must-watch interview: LINK For all of us who have researched, studied, traded and invested in the precious metals market for the duration of the bull market, there is no question that JP Morgan has illegally manipulated the gold and silver market, likely on behalf of the Federal Reserve, in order to support the dollar. In the process, JP Morgan has reaped billions in ill-gotten, highly illegal gains. In another era (see Drexel Burnham Lambert circa 1980's), JP Morgan would have been shut down and the upper management prosecuted and sent to jail. But it's the "new" America and it's okay for the insider elitists to loot and pillage the system with the full complicity of the Government. But the market does not discriminate against income or wealth levels. Sooner or later the natural laws of the market will substitute in for the artificial manipulation and control being implemented. It will be ugly for those who are short gold and silver. China and Russia are aggressively accumulating the physical gold and silver that is being dumped on the market by western hemisphere Central Banks and bullion banks. I suggest you do the same... 
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| Mogambo Nontraditional Policies (MNP) Posted: 06 Sep 2012 03:29 PM PDT September 6, 2012 Mogambo Guru I was startled to read Reading Ben Bernanke's remarks, made at Jackson Hole, about using "nontraditional policies" at the Federal Reserve. Nontraditional policies, indeed! By "nontraditional policies" he no doubt means his current policies of 1) the inflationary horror of monetizing of debt by the simple expedient of simply creating the money to buy new government debt, and 2) the bizarre idea to purposely create inflation in consumer prices. Apparently, Mr. Bernanke is unaware that both of these sublime idiocies have been consistently denounced as moronic and suicidal for thousands of years (usually after they have failed miserably), and exist nowhere in the economic literature except as bad examples of traditional economic policy. He actually made this alarming admission in public, in front of witnesses, hundreds of them, in fact, while addressing the annual conclave of economic halfwits, lunatics, liars, hangers-on, goers-along, and mainstream media nitwits at Jackson Hole, Wyoming, all of which I rudely refer to as "The A-Holes at the J-Hole." Suddenly, I realized that I may have been too harsh in condemning him and his moronic colleagues for this obvious insanity. I can use this! Instantly energized, I nimbly hopped into the Mogambo-Mobile, started 'er up, screeched out of the driveway and, engine roaring, careened down the street with the radio blaring and a big ol' smile on my face, happily rolling through pesky traditional stop signs and blithely exceeding posted (and thus traditional) speed limits, which are so tragically traditional and thus at odds with the new "nontraditional policy." I was soon at the grocery store, parking in an oh-so-handy Handicapped-Only parking space as further nontraditional policy, and then having a heated conversation with the store manager, where I was breathlessly telling him all about the new Mogambo Nontraditional Policies (MNP) now in effect. I asked him, with mock earnestness, "Didn't you get the memo about nontraditional policies?" He replied, with a hint of exasperation in his voice, "What memo? You don't even work here! You're just that crazy old man who is always coming in here and upsetting the customers by telling them that We're Freaking Doomed (WFD) because of the inflation and ruination caused by the satanic Federal Reserve creating, and which is still creating, so much excess money and credit so as to fund the growing, bankrupting stupidities of a constantly enlarging, suffocating Marxist and thoroughly fascist government, over the last half-century, and the teeming hordes of government-dependent people that has now grown to over half the population." Wow! I was surprised and delighted at this unexpected knowledge about things economic! He must have listened to me, all these years, while spying on me with the security cameras! I was so proud of him that I excitedly and happily blurted out "Yeah! THAT memo!" Then he says, obviously getting irritated and growing tired of dealing with me, sneeringly asked "What?" I looked him straight in the eye, and as if speaking to some stupid Earthling child, earnestly said "Mogambo Nontraditional Policies (MNP) is what! If you are looking for a definition of Mogambo Nontraditional Policies (MNP), it's just like the 'nontraditional policies' of the Federal Reserve! "Thus, MNP are also arbitrary actions of an especially nonsensical, stupid, or suicidal nature that are bizarrely contrary to every bit of experience, evidence and theory of the last 4,500 years, enacted entirely at my insane whim, so as to desperately try to reverse the horrible effects of my disastrous mishandling of traditional policies, but now with a new policy of pursuing A Huge Guaranteed Failure (AHGF), thus hopefully benefiting from two wrongs making a right!" Again he said, with even greater exasperation in his voice, "What?" By this time, he is looking at me with a really dumbfounded blank look on his stupid face. So I impatiently, but gently, said "Enough theory, moron! In practice, henceforth MNP will include, but not be limited to, me marching in here like I own the place, taking all the groceries I want, any time I want, even if I have to call you at home in the middle of the night to make you come down here and open the store up especially for me. "And a further huge, stinking load of Mogambo Nontraditional Policies (MNP) is that I do not have to pay for anything. Everything is free to me. You will make it up on increased volume." At this, he is suddenly laughing at me, saying "You're trying that old joke in real life? What are you, some kind of crazy person?" Naturally, I said "I'm The Mogambo Guru! You tell ME! Hahaha!" Well, we both had a good laugh at that, him thinking that I was just trying to be funny, but could not be funny, like the time I tried to look handsome and could not, and like the time I tried to be intelligent and could not, and the time I tried to be romantic but could not, and the time I tried to raise an unstoppable army of undead brain-eating fiends to invade Washington, D.C., kill them all, and install me on a throne where I would be Omnipotent Emperor Mogambo (OEM), taking complete dictatorial control, putting the US dollar back on a strict gold standard and a banking system with no fractional banking. Thus, the economy would always be fine, everything would be fine because the money would always be fine, and the poor would fine as they enjoy zero percent inflation in prices, and indeed they would probably pay only gently falling prices, thus receiving the fabled "more for less," along with rising quality as a result of dog-eat-dog producers and suppliers competing for a limited supply of consumer money in a Darwinian marketplace where the best survive and the worst are weeded out. Verily, children would happily laugh and sing in their play, and puppies would wag their cute little tails all day, which I think rhymes this particular time, so you know it must be true, don't you? Anyway, Bernanke told his colleagues, "I hate puppies, and I hate Darwin, and I hate The Mogambo for exposing me as the desperate, panicked, know-nothing little twit that I am!" Okay, I admit that he did not say that, but he might as well have, as he actually DID say "it is also true that nontraditional policies are relatively more difficult to apply, at least given the present state of our knowledge." Hahaha! This proves what a complete doofus he is! Hahaha! Applying nontraditional policies is the easiest thing in the world, dude! Nothing is as easy as effortlessly creating unlimited amounts of money out of thin air to buy unlimited amounts of new government debt! Stupid and insanely suicidal, of course, but also very, very easy! Well, it doesn't take a Junior Mogambo Ranger Decoder Ring (JMRDR) to figure out that this laughable comment of his proves that he is just making up this stupid crap out of his lunatic, neo-Keynesian econometric head. Following that, one can only shake one's head and truly wonder about Bernanke's mental state when he lets slip that he is completely ignorant of the effects of his disastrous "nontraditional policies" when he says "Estimates of the effects of nontraditional policies on economic activity and inflation are uncertain," which makes me laugh even more, laughing even as my Mighty Mogambo Heart (MMH) is breaking about the future of the dollar and America. Well, memo to Ben Bernanke: The disastrous effects of creating too much money and credit are VERY well known, you dolt! And they have been very, VERY well known for thousands of years! Apparently Bernanke was stung by my rude remarks, and, realizing that they are true and that he really IS a lunatic neo-Keynesian econometric lowlife loser, tries to weasel around and give himself an out ("It wasn't my fault!") by lamely warning that "the use of nontraditional policies involves costs beyond those generally associated with more-standard policies." Higher costs? No foolin'? Hahahaha! So he is creating (along with the European Central Bank and the International Monetary Fund (both run by socialists!) massive amounts of money so as to monetize massive amounts of government debt, thereby doing something that has failed every time it has been tried in all of history by whole economies collapsing as their money was devalued to worthlessness? Hahahaha again! Of course, this pales in comparison to terrifying reality of his actually, unbelievably, tragically, horribly, and nontraditionally using monetary policy to "target inflation" to be at least more than 2%, and with rumors of his wanting 5% price inflation, instead of the traditionally-desired zero percent (or less!) price inflation. Yikes! We're Freaking Doomed (WFD)! And why is he doing this? As Tyler Durden of zerohedge.com writes about Ben Bernanke and Alan Greenspan, they are "directly responsible for a crisis, which over the course of 30 years of 'great moderation' pulled over $30 trillion in future demand to the present (benefiting almost exclusively the banker class), and which will guarantee pain and suffering for generations of Joe Sixpacks." Although Mr. Durden does not mention it because he is too polite, I will say that those selfsame Joe Sixpacks will suffer for generations because they consistently bought sixpacks of beer instead of consistently buying gold, silver and oil with that little bit of chump change. Perhaps you will find it instructional that if they HAD bought gold, silver and oil instead of beer all these years, they are already able to buy beer by the case. By the truckload! By the trainload! And soon, thanks to their prices exploding thanks to the evil Federal Reserve continually creating So Freaking Much Money (SFMM), they will able to buy their own freaking brewery, for crying out loud! Dozens of them! That's when they would really, really, REALLY realize the full implications of "Whee! This investing stuff is easy!" 
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| Hedge funds can push monetary metals higher, Norcini tells King World News Posted: 06 Sep 2012 02:59 PM PDT 5p ET Thursday, September 6, 2012 Dear Friend of GATA and Gold (and Silver): Hedge funds are getting interested in gold and silver futures and there's still plenty of room for them to push prices higher, futures market analyst Dan Norcini tells King World News today. An excerpt from the interview is posted at the King World News blog here: http://kingworldnews.com/kingworldnews/KWN_DailyWeb/Entries/2012/9/6_Wha... 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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| Posted: 06 Sep 2012 02:49 PM PDT The age of giant corporations is over. The age of the entrepreneur is here. This idea will change the way you think about your portfolio. It may well change the way you think about business. And if you follow it to its logical conclusion, it should inspire you to invest in the kinds of ideas best fitted for this new age. I've been kicking this idea around. It is a sort of vision of what the future will look like. In many ways, we're already seeing it unfold. The idea is not totally refined, but I'd be curious to hear what you think. Here goes. The 20th century was a century dominated by giant corporations. In fact, business historian Robert Sobel wrote a book about this. The Age of Giant Corporations, he called it. On the eve of World War I, America's business landscape was a land of sole proprietorship and small partnerships. Yes, there were big trusts in railroads, banks and steel. But as Sobel says, "they were islands in the industrial-commercial sea of small units." It was only later, post-World War I, that wealth and industrial power began to concentrate in the folds of the giants. In this age, it was financial muscle and organizational power that triumphed. As an investor, you could park your money with Ford or Standard Oil and do well over the decades. So we arrive at today, when we have companies worth hundreds of billions of dollars. Exxon Mobil is worth $400 billion, for example — an incomprehensible amount of money, really. Today's giants have incredible wealth and influence. And I believe that will probably remain true. But I think something's changed. The greatest value-creation stories going forward won't be in these giants. They will be in small companies led by talented entrepreneurs. It is here that their ideas will have the greatest impact and the conditions for the creation of new ideas are most fertile. The most-talented people won't stand working in bureaucracies of companies worth hundreds of billions of dollars. The idea itself isn't totally new. Charles Handy, a sort of business philosopher, saw all this happening more than a decade ago. He wrote a book about it called The Elephant and the Flea. The elephants were the giants. The fleas were small or independent operators. For him, we were turning into a world with a lot more fleas (not a flattering metaphor, I know). Handy saw the fleas as the innovators, the source of new ideas. The elephants needed them for these things. So a symbiotic relationship existed. The elephants provide security mostly. As Handy writes, they provide "secure household incomes for most, a convenient tax-collecting mechanism, a way of parceling society into boxes so that you knew where… they would be, and what they would be doing in the years to come." The fleas are about freedom and uncertainty. And while the elephants would continue to get all the attention, the fleas would have the bigger impact — especially in the game of wealth creation. What I want to own and back are the fleas. I think of longtime holding Contango Oil & Gas (AMEX:MCF) as a model of this kind of organization. Contango focuses on that part of the oil and gas business that creates the most value — the funding and drilling of an exploratory well to create reserves. This is when you make the most money — when you sink a well and find a bunch of reserves that didn't exist before. Everything else Contango outsources. The company has only eight employees. There is no doubt that Contango has created enormous value. Since inception in September 1999, every $1 invested in Contango is worth $7.50 today. This is an example of a kind of high-impact flea organization. The merit of collecting the Contangos of the world is that you can make a lot more money on the fleas. How hard is it for Exxon Mobil's stock to double? It would have to be worth $800 billion to do so. How hard is it for Contango, worth only $869 million, to double? It is much easier. One big find and it could double. Handy had another word for the leaders of these flea organizations. He called them "alchemists, meaning people who create something out of nothing, or turn base metal into gold. The word sounded less brash and thrusting than entrepreneur; it captured some of the idealism we saw in these people." CEO Ken Peak is an alchemist. There was nothing before. Contango was his creation. Born of an idea on how an exploration and production company should operate and what it should focus on. Handy found several characteristics among such alchemists. They had a passion for what they were doing. This passion, Handy felt, came from their ownership of the idea. The alchemists often had their identity bound up in the enterprise, and it may have even borne their name. (Handy writes how we forget sometimes that companies were originally the idea of a person or group of people. How many know that the great engineering firm ABB used to stand for Asea Brown Boveri? "The names of real people, once," Handy writes.) The alchemists, too, had an ability to stick with their dream, even in the face of lots of doubters. And finally, he found they had a third eye — they looked at the world in a different way than others. Put these characteristics together and you will not likely find them happy in a corner office of a bureaucracy. Where these people tend to go, where they tend to have the biggest impact, is in smaller organizations. As Handy writes, the big challenge for elephants is that efficiency and creativity are often antagonists. "Could large organizations allow creative individuals the space to experiment and, if successful, the right to be identified with the final product and to have some degree of legal ownership?" he asks. "Could they tolerate the waste created when experiments don't work out as they should?" Doubtful. There are exceptions, of course. Great alchemists will eventually find themselves at the top of giant companies that they created — think of Jeff Bezos at Amazon or Steve Jobs at Apple. By then, however, the greatest gains are behind them. The really big winners were the people who invested with Bezos and Jobs when they were still working in flea organizations, before they became elephants. This has always been true. But it is more true now in an age when the giants are really enormous. And the rewards for creating something on your own (and possibly selling your idea later to the elephants) are so great. As an investor, I'd prefer to collect promising flea organizations than invest in elephants. Regards, Chris Mayer, The Elephant and the Flea 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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| John Rubino–Welcome To The Third World 06.Sept.12 Posted: 06 Sep 2012 02:30 PM PDT www.FinancialSurvivalNetwork.com presents John Rubino of DollarCollapse.com started writing a series about how America is becoming a Third World Nation. He's up to 9 parts with no end in site. And the material keeps almost writes itself. PHD's can't get jobs, public services like police, fire and sanitation are being rolled back all around the country. Business owners who worked hard and established profitable businesses with the intent to one day sell out and retire now face the prospect of working until their dying day. A quiet depression is taking place and almost everyone is feeling it. And there's no end in site, so keep buying gold and silver and get ready for a long hard slog. Go to www.FinancialSurvivalNetwork.com for the latest info on the economy and precious metals markets.
This posting includes an audio/video/photo media file: Download Now |
| Posted: 06 Sep 2012 02:29 PM PDT September 6, 2012 [LIST] [*]While Congress does its best Thelma and Louise impersonation, Byron King prepares you for what lies over the proverbial "fiscal cliff" [*]The announcement that sent the S&P to a new post-2008 high... and the missing fine print [*]"I am not a gold bug," says Bill Gross... but he tells why he's a gold bull, for now [*]The inevitable conclusion to the 1933 Double Eagle saga... the folly of a $500 gold standard... fresh outrage over our "analysis is free, recommendations you pay for" business model... and more! [/LIST] "If you earn income in the U.S.," says Byron King, "or otherwise have ties to U.S. income -- perhaps any sort of government contract -- you're in the cross hairs of the reaper." It's one thing to hear mainstream media chatter about a "fiscal cliff" or "Taxmageddon." It's another thing entirely to know how it affects you as a taxpayer, an investor and/or a small-business owner. That's what Byr...
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| Gold Seeker Closing Report: Gold and Silver Gain With Stocks and Oil Posted: 06 Sep 2012 02:15 PM PDT Gold climbed to as high as $1713.08 by about 8AM EST before it chopped back lower in New York, but it still ended with a gain of 0.4%. Silver climbed to $32.987 in Asia before it fell back to $32.346 in early New York trade, but it then bounced back higher midday and ended with a gain of 1.24%.
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| What Hedge Funds Are Now Doing In the Gold & Silver Markets Posted: 06 Sep 2012 02:08 PM PDT  With gold breaking $1,700 and silver nearing the $33 level, today King World News spoke with acclaimed trader Dan Norcini to get his take on where we are in the gold and silver markets after this latest move. Norcini was quick to lay out the position of the hedge funds in both of these markets as they are seen as a key driver.
This posting includes an audio/video/photo media file: Download Now |
| Gold Daily and Silver Weekly Charts - Metals Capped While the Stock Market Flies on Hot Money Posted: 06 Sep 2012 02:08 PM PDT |
| Diana Zoppa — Catching Up With Diana-Alternate Universes and Gold Hits $1700 06.Sept.12 Posted: 06 Sep 2012 02:00 PM PDT www.FinancialSurvivalNetwork.com presents Today we caught up with Diana Zoppa to review the political parties and their conventions, discuss upward gold and silver prices and why you need to become a producer. The political parties have clearly become a force for evil in the world. Wherever the parties exist, suffering and poverty follow in their wake. Perhaps they were beneficial at an earlier time, but now they are strictly a negative. And gold surpassing $1700 the ounce today is a further indication that the elites are losing control of the economic narrative and the ability to mold and control people's perceptions. Which is why the global reset that so many of us have been anticipating is getting closer and closer. Go to www.FinancialSurvivalNetwork.com for the latest info on the economy and precious metals markets.
This posting includes an audio/video/photo media file: Download Now |
| Mickey Fulp–Mickey’s Majestic Monthly Market Review 05.Sept.12 Posted: 06 Sep 2012 01:57 PM PDT www.FinancialSurvivalNetwork.com presents The Mercenary Geologist joined us for our monthly market review. In July we were thinking that August would be a boring month. Well, we were wrong. Oil was up natural gas was down, gold, silver and platinum also went way higher as well. We don't cover agriculture, but if we did, well the ags really out did themselves too. All this talk of more money printing and the unstable global economy is definitely having an effect on commodities prices. When oil breaks $100, we'll definitely know that something is a foot. The September review promises to be real exciting. Go to www.FinancialSurvivalNetwork.com for the latest info on the economy and precious metals markets.
This posting includes an audio/video/photo media file: Download Now |
| What Would Civil Unrest Look Like? Posted: 06 Sep 2012 12:41 PM PDT From Monty Pelerin’s World: There has been much speculation regarding an economic collapse here and in other parts of the world. The mathematics of government finance seem to ensure one of two scenarios: [LIST] [*]Government’s inability to continue to pay its bills. [*]Massive money printing to pay bills which ultimately results in high (perhaps hyper) inflation and a currency collapse. [/LIST]Either scenario produces an economic and societal collapse. The shape of such an event is virtually unimaginable. I do not feel competent to describe how conditions would deteriorate and to what level. The following article by Matt Bracken does not pull any punches in sugarcoating what might happen. Let him explain how such an event could start and what it could look like. No American should want this event to unfold, but all should be aware of the potential that lies ahead. Here is Mr. Bracken’s take (warning, just the read is terrifying): [INDENT]In response to recent ar...
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| Bill Gross: I Am Leaning to Gold over Bonds Posted: 06 Sep 2012 12:39 PM PDT
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| Russian Market Declines on Risk-off Sentiment Posted: 06 Sep 2012 12:15 PM PDT By Alexei Medved, World Money Analyst Since my May column, the Russian market got hit badly. The popular US$ denominated RTS index fell 10.2% from 1489 to 1337. The developing financial crisis in Europe pushed investors into the "risk-off" mode, hence all risky assets were sold. This led to strong selling pressure on the Russian market as it is seen as high beta. A significant decline in the crude oil price also helped investors to justify selling Russian assets. As investors rushed into the perceived (perhaps wrongly so) safety of the US dollar, the USD/rouble exchange rate declined by about 6%, further magnifying the decline in the US$ prices for Russian equities. However, unless one believes that the oil price is headed lower and will stay low for a long time (a very unlikely scenario in our view), this correction could represent a good buying opportunity. We don't know if the global market correction has bottomed or if continued weakness lay ahead. The Russian mar...
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