Gold World News Flash |
- James Turk -- They're Not Going to be Able to Save the System This Time Around
- Buy Signal in the PM Sector
- Paul Craig Roberts says: U.S. Gold Gone! - YouTube
- Guide: Pathogenesis & Change Factors
- Brand New “Smart Money” Now Betting On Gold & Silver Sector
- Piketty Is Rickety On Government Complicity
- Hong Kong and Shanghai exchanges plan gold and silver alliance
- Gold rose fast in recent years and will do so again soon, von Greyerz tells KWN
- Lars Schall interviews Bill Kaye about gold suppression and the aftermath
- U.S. Justice Department raises stakes in forex probe
- In The News Today
- The Quest To Freeze "Putin's Billions"
- Why Housing Has Stalled — And Why Everything Else Will Follow
- Military Wars, Economic Wars, Currency Wars & $10,000 Gold
- The Canadian Housing Bubble Puts Even The US To Shame
- Chinese Trump Russians As Manhattan's Top Apartment Buyers
- The Secret Silver Stockpile, Part II
- Stalin, Hitler And The 5-Year Plans Of Banksters
- The Cost of Code Red - Speculative Bubbles
- Stock Market Bubble Phase: Gold Capitulation Follow Up
- Gold And Silver Prospects From A Russian Point of View
- Gold Bounces Back Above $1,300 as Ukraine Crisis Escalates
- Illuminati 2014 Predictions!! We must reach mass awareness!
- The Weekend Update is Now Available
| James Turk -- They're Not Going to be Able to Save the System This Time Around Posted: 28 Apr 2014 12:57 AM PDT When the spot price of gold is higher than the future price, it's a rare occurrence called "backwardation." James Turk from GoldMoney.com says, "The weird thing that has happened and it's never happened in history, when the gold price was driven down last year to its lows in June 2013, gold... [[ This is a content summary only. Visit http://www.GoldSilverNewsBlog.com or http://www.newsbooze.com or http://www.figanews.com for full links, other content, and more! ]]  |
| Posted: 27 Apr 2014 11:05 PM PDT Read the Latest News About: Gold Silver Economy Central Banking It looks like gold and silver stocks bottomed on Monday, April 21,... {This is a content summary only. Click on the blog title to continue reading this post, share your comments, browse the website, and more!} |
| Paul Craig Roberts says: U.S. Gold Gone! - YouTube Posted: 27 Apr 2014 11:00 PM PDT Charleston Voice |
| Guide: Pathogenesis & Change Factors Posted: 27 Apr 2014 09:40 PM PDT by Jim Willie, SilverBearCafe.com:
If somebody had asked Greenspan in 1995 whether the day would ever come when the US Federal Reserve would install Zero Interest Policy and keep the 0% rate in place indefinitely, then install Quantitative Easing and keep the bond monetization in place permanently, approximately 0% of the experts would say the day would arrive. |
| Brand New “Smart Money” Now Betting On Gold & Silver Sector Posted: 27 Apr 2014 09:00 PM PDT from KingWorldNews:
I guess the bad news is that at age 61 I am being pulled in more directions than normal. The good news is I know just how much fun the next five or six years are going to be. So I have absolutely no trepidation about any part of the market I'm in, which is a truly spectacular place to be. |
| Piketty Is Rickety On Government Complicity Posted: 27 Apr 2014 08:27 PM PDT French economist Thomas Piketty’s book on inequality – Capital in the Twenty-First Century – has gone completely viral. Mainstream economists like Paul Krugman and Joseph Stiglitz endorse it. So does Economist magazine. The Financial Times and New York magazine both call him a ”rock star economist”. Slate notes:
Is Piketty right or wrong about inequality, its causes and the prescription for addressing inequality? Piketty Is Right about InequalityWe noted in 2010 that extreme inequality helped cause the Great Depression … and the 2008 financial crisis. We noted in 2011 that inequality helped cause the fall of the Roman Empire. In a few short years, mainstream economists have gone from assuming that inequality doesn’t matter, to realizing that runaway inequality cripples the economy. Pikettey correctly notes that inequality is now the worst in world history … and will only get worse. Asset Prices Rise Faster than WagesPiketty argues that the main cause for inequality is that the rate of return on capital – land, natural resources, stocks, bonds and other assets – is far higher than the growth rate of the economy:
Because the growth rate is much slower than the rate of profit from holding capital assets, the asset-holders’ wealth increases much faster than the wealth of workers. In other words, working stiffs can’t keep up with those who make their money from investing in (and seeking rent from) land, stocks, bonds and other assets. Piketty – a rigorous data researcher – is probably right that this is one of the main causes of inequality. Government and Central Bank Policy Is What Is Making Assets Soar and the Economy SinkBut Piketty underplays the fact that bad government and central bank policy have greatly widened the gap between growth rate. After all, Fed chairman Bernanke, Treasury Secretary Geithner and chief economist Summer’s entire strategy was to artificially prop up asset prices – including the stock market – and see this, this, this and this. At the same time, government policy has harmed the general economy, caused unemployment and hurt the average American. Indeed, real wages have actually plummeted since 1969, and most of the new jobs that have been created are part times jobs with no benefit. In other words, bad government and central bank policy have made the rate of return on capital much higher … but lowered wages. As such, bad policy is the core cause of the recent increase in inequality. Nobel economist Joseph Stiglitz said in 2009 that the government’s toxic asset plan – a scheme to inflate the value of assets held by banks – “amounts to robbery of the American people”. Bailouts Feather the Nests of the Fatcats, While Doing Nothing for the Average AmericanThe American government’s top official in charge of the bank bailouts writes:
What’s he talking about? Well, the Fed threw money at “several billionaires and tens of multi-millionaires”, including billionaire businessman H. Wayne Huizenga, billionaire Michael Dell of Dell computer, billionaire hedge fund manager John Paulson, billionaire private equity honcho J. Christopher Flowers, and the wife of Morgan Stanley CEO John Mack And the bank bailouts weren’t a one-time thing in 2008. The government has been – continuously and massively – been bailout out the big banks for the last 6 years. Indeed, virtually all of the banks profits comes from government bailouts. A top banking analyst estimates that subsidies to the giant banks exceeds $780 billion dollars each year. A study of 124 banking crises by the International Monetary Fund found that bailing out banks which are only pretending to be solvent – like most of the big American banks – harms the economy. So growth is slowed, while the richest fatcat bankers rake in the dough. Indeed, the bailout money is just going to line the pockets of the wealthy, instead of helping to stabilize the economy or even the companies receiving the bailouts:
(Top economists, financial experts and bankers say that the big banks are too large … and their very size is threatening the economy. They say we need to break up the big banks to stabilize the economy. If we stop bailing out the Wall Street welfare queens, the big banks would focus more on traditional lending and less on speculative casino gambling. Indeed, if we break up the big banks, it will increase the ability of smaller banks to make loans to Main Street, which will level the playing field. We’re all for forcibly breaking them up. But we don’t even have to use government power to break up the banks … the big banks would fail on their own if the government just stopped bailing them out.) QE: the Greatest Wealth Transfer in HistoryIt’s been known for some time that quantitative easing (QE) increases inequality (and see this and this.) Many economists have said that QE quantitative easing benefits the rich, and hurts the little guy. 3 academic studies – and the architect of Japan’s quantitative easing program – all say that QE isn’t helping the American economy. The Federal Reserve official responsible for implementing $1.25 trillion of quantitative easing has confirmed that QE is just a massive bailout for the rich:
Even the president of the Federal Reserve Bank of Dallas said that Fed’s Fisher said that “QE was a massive gift intended to boost wealth.” Billionaires have admitted that they are the beneficiaries of QE. For example, billionaire hedge fund manager Stanley Druckenmiller said the following about QE:
And Donald Trump said:
Economics professor Randall Wray writes:
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| Hong Kong and Shanghai exchanges plan gold and silver alliance Posted: 27 Apr 2014 08:23 PM PDT
Cities' gold and silver exchanges to start talks on deal for tie-up, allowing mainland bourse access to international market through Hong Kong The Chinese Gold and Silver Exchange Society will soon kick off talks with the Shanghai Gold Exchange for a potential alliance, the president of the local gold bourse told the South China Morning Post. This will mark another potential tie-up |
| Gold rose fast in recent years and will do so again soon, von Greyerz tells KWN Posted: 27 Apr 2014 06:22 PM PDT 9:20p ET Sunday, April 27, 2014 Dear Friend of GATA and Gold: While the gold sector couldn't be more demoralized, Swiss gold fund manager Egon von Greyerz today tells King World News that the gold price can rise very quickly and indeed did rise very quickly in recent years, and he expects it to rise quickly again. An excerpt from the interview is posted at the KWN blog here: http://kingworldnews.com/kingworldnews/KWN_DailyWeb/Entries/2014/4/27_Mi... CHRIS POWELL, Secretary/Treasurer ADVERTISEMENT Safe and Private Allocated Bullion Storage In Singapore Given the increasing risks in financial markets, it is more important than ever to own physical bullion coins and bars and to store them in the safest vaults in the world in the safest jurisdictions in the world. Gold advocates Jim Sinclair and Marc Faber have recommended Singapore. Now, with GoldCore, you can own coins and bars in fully insured, segregated, and allocated accounts in Singapore with the ability to take delivery. Learn more by downloading GoldCore's Essential Guide To Storing Gold In Singapore: http://info.goldcore.com/essential-guide-to-storing-gold-in-singapore And for more information call Daniel or Sharon at +44 203 0869200 in the United Kingdom or at +1-302-635-1160 in the United States. Or email them at info@goldcore.com. Join GATA here: Porter Stansberry Natural Resources Conference Committee for Monetary Research and Education http://www.cmre.org/news/spring-meeting-2014/ Canadian Investor Conference 2014 http://cambridgehouse.com/event/25/canadian-investor-conference-2014-inc... New Orleans Investment Conference https://jeffersoncompanies.com/new-orleans-investment-conference/home * * * 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 Buy precious metals free of value-added tax throughout Europe Europe Silver Bullion is a fast-growing dealer sourcing its products from renowned mints, refiners, and distributors. Because of a legal loophole that will close soon, you can acquire the world's most popular bullion coins free of value-added tax throughout the European Union. You can collect your order in person at our headquarters in Tallinn, Estonia, or have it delivered in any of the 28 EU countries. Europe Silver Bullion is owned and operated by North American and European experts in selling, storing, and transporting precious metals. We have an extensive product inventory of silver, gold, platinum, and palladium, and our network spans the world. Visit us at www.europesilverbullion.com. |
| Lars Schall interviews Bill Kaye about gold suppression and the aftermath Posted: 27 Apr 2014 06:17 PM PDT 9:15p ET Sunday, April 27, 2014 Dear Friend of GATA and Gold: On behalf of Matterhorn Asset Management's Gold Switzerland Internet site, financial journalist Lars Schall interviews Hong Kong-based fund manager William S. Kaye about the objectives of gold price suppression by Western central banks and, upon its failure, the likely transition into a new world financial system. The interview is 38 minutes long and can be viewed at Gold Switzerland here: http://goldswitzerland.com/gold-price-rigging-allows-continuation-of-fla... CHRIS POWELL, Secretary/Treasurer ADVERTISEMENT Silver mining stock report for 2014 comes with 1-ounce silver round Future Money Trends is offering a special 18-page silver mining stock report about how to profit with the monetary and industrial metal in 2014, and it comes with a free 1-ounce silver round. Proceeds from the report's sales are shared with the Gold Anti-Trust Action Committee to support its efforts to expose manipulation in the monetary metals markets. To learn about this report, please visit: Join GATA here: Porter Stansberry Natural Resources Conference Committee for Monetary Research and Education http://www.cmre.org/news/spring-meeting-2014/ Canadian Investor Conference 2014 http://cambridgehouse.com/event/25/canadian-investor-conference-2014-inc... New Orleans Investment Conference https://jeffersoncompanies.com/new-orleans-investment-conference/home * * * 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 Buy metals at GoldMoney and enjoy international storage GoldMoney was established in 2001 by James and Geoff Turk and is safeguarding more than $1.7 billion in metals and currencies. Buy gold, silver, platinum, and palladium from GoldMoney over the Internet and store them in vaults in Canada, Hong Kong, Singapore, Switzerland, and the United Kingdom, taking advantage of GoldMoney's low storage rates, among the most competitive in the industry. GoldMoney also offers delivery of 100-gram and 1-kilogram gold bars and 1-kilogram silver bars. To learn more, please visit: http://www.goldmoney.com/?gmrefcode=gata |
| U.S. Justice Department raises stakes in forex probe Posted: 27 Apr 2014 05:13 PM PDT By Caroline Binham and Kara Scannell U.S. criminal prosecutors have flown to London to question individuals as part of their probe into the alleged rigging of foreign exchange rates in a sign that the stakes are getting higher for the traders involved in the sprawling probe. The Department of Justice, in its first significant move since announcing in October that it would investigate alleged manipulation of the $5.3 trillion forex market, invited several UK-based currency traders "on the periphery" of the investigation to attend voluntary interviews in London rather than the U.S., according to three people familiar with the department's tactics. The UK financial regulator also requested attending the interviews. The first wave of interviews took place in London at the beginning of the year but more are planned, the people said. ... ... For the full story: http://www.ft.com/intl/cms/s/0/d6abe8be-cdff-11e3-bc28-00144feabdc0.html ADVERTISEMENT Jim Sinclair to hold gold market seminar in Toronto on April 26 Mining entrepreneur and gold advocate Jim Sinclair's next gold market seminar will be held from 1 to 5 p.m. Saturday, April 26, at the Pearson Hotel & Conference Centre at Toronto's Pearson International Airport, 240 Belfield Road, Toronto. For details on tickets, please visit Sinclair's Internet site, JSMineSet.com, here: http://www.jsmineset.com/2014/04/01/toronto-qa-session-announced/ Join GATA here: Porter Stansberry Natural Resources Conference Committee for Monetary Research and Education http://www.cmre.org/news/spring-meeting-2014/ Canadian Investor Conference 2014 http://cambridgehouse.com/event/25/canadian-investor-conference-2014-inc... New Orleans Investment Conference https://jeffersoncompanies.com/new-orleans-investment-conference/home * * * 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: |
| Posted: 27 Apr 2014 05:06 PM PDT There is no means of avoiding the final collapse of a boom brought about by credit expansion. The alternative is only whether the crisis should come sooner as the result of a voluntary abandonment of further credit expansion, or later as a final and total catastrophe of the currency system involved. –Ludwig von Mises ... Read more » The post In The News Today appeared first on Jim Sinclair's Mineset. |
| The Quest To Freeze "Putin's Billions" Posted: 27 Apr 2014 04:49 PM PDT Just over a month ago, in the latest round of sanctions against Russia, and specifically Putin's inner circle of advisors and lieutenants, one person was singled out - Gennady Timchenko, part-owner of the Gunvor Group commodities trading company, the fourth largest oil trader in the world with over $90 billion in 2013 revenues. This name was particularly notable because as part of the justification for adding Timchenko to the list of sanctioned oligarchs, the US Treasury said that "Putin has investments in Gunvor and may have access to Gunvor funds." This is curious because in 2008 The Economist also linked Putin to Timchenko. Timchenko promptly sued but later dropped the case, and The Economist issued a statement. "We accept Gunvor's assurances that neither Vladimir Putin nor any other senior Russian political figures have any ownership in Gunvor." Yet somehow, despite the repeated denials that Putin has a direct or indirect interest in the massive oil trading company, the Treasury department apparently knows better. As the NYT reports, "Seth Thomas Pietras, Gunvor's corporate affairs director, said Mr. Putin "does not and never has had any ownership, direct, indirect or otherwise, in Gunvor," nor is he "a beneficiary of Gunvor," and "he has no access to Gunvor's funds." After the sanctions statement, Gunvor executives flew to Washington to meet with State Department officials and congressional aides. "We're providing evidence but have not seen any sort of evidence from them yet and don't know if we ever will," Mr. Pietras said. He said the company's banking partners had been satisfied by its explanations. The Treasury Department, however, was not. "We remain confident that the information on the relationship between Putin and Gunvor is accurate," said a Treasury official, who asked not to be identified in a public dispute with the company." Still, whether or not Putin has a stake in Gunvor is of secondary importance - what matters is that tomorrow, as part of yet another round of sanctions by the US Treasury, among those likely to be on Monday's list, are Igor Sechin, president of the Rosneft state oil company, and Aleksei Miller, head of the Gazprom state energy giant. Which brings us to the topic of this post, namely the quest for Putin's billions. Because if there was anything the Gunvor sanction escalation showed, is that the US is not afraid of going those who are in the Putin circle of not only trust but, certainly, money. To be sure, so far the American government has not imposed sanctions on Putin himself, and according to the NYT, officials said they would not in the short term, reasoning that personally targeting a head of state would amount to a "nuclear" escalation, as several put it. But that doesn't mean the Treasury can't go after those who are nearest to Putin, both in terms of power, and certainly money. The problem, as the US is starting to realize, is that those alleged billions that Russia's leader may (or may not) have access to are quite difficult to track down. There is much speculation and conjecture, but the facts are still rather slim. Here is what is known:
The US may not be sure just where Putin's billions are buried preventing a laser-guided strategy, but that just means it will engage in a shotgun approach and slam all those financiers and oligarchs who are closest to Putin - even those whose goodwill is so critical to keep Russian gas flowing to Germany and the UK.
Still, this does beg the question - is Putin really a billionaire? Officially, of course not.
Philanthropist, no. But if indeed Putin has highly confidential access to up to $70 billion, that would probably make him the wealthiest person on earth. And thus most influential. Still, with no hard numbers and org charts highlight Putin's equity stakes and bank accounts around there world, there is mostly speculation:
Then, there is the indirect way of estimating Putin's wealth:
Indirect estimates, however, always leave much to be desired:
Which brings us back to Gunvor, which is sternly denying any relationship with Putin, even as the US Treasury openly rejected this explanation, with its explicit language. Did Putin have some or all of his billions at the Cyprus-based company? Perhaps, but the cross holdings are so well-hidden not even the NSA likely knows who owns what. Indicating the complexity of Russian-oligarch org charts, here is just a "simple" summary of what Gunvor's stakeholder Timchenko owned, via Bloomberg:
Confused yet? Here is more on the ties between the commodity magnate and the Russian president from a 2008 FT profile:
Keep in mind, this is just one billionaire in Putin's entourage: consider the spaghetti chart of cross-holdings, ownerships and stakes if one charts Putin with all his closest oligarchs. As for those who ended up "less than close" with Putin, just Google Khodorkovsky. And somehow the Treasury is supposed to keep tabs on all such relationships and track stakeholder interests which in all likelihood were defined only by a verbal arrangement? Of course, it isn't. Which is why in tomorrow's round of sanctions, the US Treasury will most likely push further and, as rumored, may go as far as the two most powerful men in Russia (behind Putin of course) - the heads of Rosneft and Gazprom. Will Jack Lew's department finally sink a battleship in its shotgun approach to isolating the financial pawns, knights, bishops and rooks in Putin's chessgame? And if so, what happens if suddenly Putin realizes that the US financial trap may be getting warmer and warmer, and even the nuclear option is being contemplated. Will that be enough to force the former KGB spy to backtrack after over 2 months of opportunities to do just that? Somehow we doubt it, and in fact it will likely accelerate the Russian offensive both in the Ukraine and elsewhere around the world. If nothing else, though, in a few more months of escalating sanctions of those most near and dear to Putin, if not Putin himself, the world may finally have its first official glimpse of what and where are "Putin's billions." |
| Why Housing Has Stalled — And Why Everything Else Will Follow Posted: 27 Apr 2014 03:31 PM PDT It’s not easy being a mainstream economist. You spend your life building models that become your professional identity. And when those models fail to describe and predict reality, you’re left wondering about the meaning of it all. The latest case in point is US housing. Keynesian economic models say that if you lower mortgage rates you get more houses bought, sold and built. A nice, simple piece of cause and effect. But today’s mortgage rates are at levels that would have incited a buying frenzy a generation ago, employment is rising — yet home sales, home building and mortgage originations are all flat-lining. Zero Hedge and Automatic Earth recently posted good discussions of the current state of the housing market. See: Economists Stunned By Housing Fade US Housing is Down For the Count Both articles conclude that housing is weak and getting weaker. But the real question is what this means for the rest of the economy. Is housing a discrete sector dealing with its own supply/demand issues, or is it a sign of things to come for consumer spending, government tax revenues, and business investment? The argument for the latter scenario is based on the idea that newly-created currency pouring into the financial system pumps up asset prices, which convinces people that they’re rich enough to indulge in new cars, new clothes and nice vacations — and more stocks, bonds and houses. But this “wealth effect” only works when the amount of debt in the system is low enough for new paper profits to change behavior. If people already carry too much debt, then they don’t feel comfortable borrowing, even at historically low interest rates, and asset prices become harder and harder to support. Either they stall or start moving lower, which shifts the wealth effect into reverse and sucks the air out of the economy. The reason why most economic models didn’t see housing rolling over and don’t think it will affect the rest of the system in any event is that most Keynesian models don’t pay attention to society’s balance sheet. A given amount of new debt is supposed to increase “aggregate demand” by the same amount whether the government and consumers are debt-free or buried under a mountain of obligations taken on in years past. The fact that debt levels, especially student loans, are hitting records probably explains why housing isn’t behaving according to script. The other fuel for a wealth effect-driven boom is the stock market. Here again, a nice pop has coincided with a big jump in margin debt, which investors take on when they borrow against stocks to buy more stocks. Late last year margin debt hit a new record and since then has gone even higher. Now it’s at levels that, based on history, imply less bang for each new borrowed dollar. Going forward it will be harder for investors to generate big returns by borrowing money and buying more equities. Taking profits will begin to seem more and more prudent, until sellers swamp buyers and the markets correct.
Click here for a great explanation of why pretty much every stock market valuation measure is now flashing either yellow or red, from John Hussman. Assuming that equities plateau or start falling, what does that do mean for government’s strategy of using asset bubbles to pump up the consumer economy? Probably it derails it. The question is when. Hussman notes that periods of extreme overvaluation like today are good indicators of low average stock market returns over the next decade, but not necessarily great trading signals. Stocks might get more overvalued before they stop. But that would raise the risk of a crash, which would have an even more serious impact on investor psyches. So either way, this year or next, the wealth effect will become the poverty effect, and asset owners will become asset sellers. |
| Military Wars, Economic Wars, Currency Wars & $10,000 Gold Posted: 27 Apr 2014 03:00 PM PDT  Today a 42-year market veteran warned King World News that the world now faces military wars, economic wars and currency wars. He also believes this could easily lead to $10,000 gold and included an important chart. Below is what Egon von Greyerz, who is founder of Matterhorn Asset Management out of Switzerland, had to say.This posting includes an audio/video/photo media file: Download Now |
| The Canadian Housing Bubble Puts Even The US To Shame Posted: 27 Apr 2014 02:32 PM PDT Since the bursting of the first US housing bubble in 2007, one of the primary explicit goals of the Fed has been to reflate the very same housing bubble (whose pop, together with the credit bubble, nearly wiped out the western financial system) as housing, far more than stocks, is instrumental to the "wealth effect" of the broader population (as opposed to just the 1%). Sadly for the Fed, instead of recovering previous highs, median housing prices (not to be confused with the ultraluxury high end where prices have never been higher) have stagnated and are now in the downward phase of the fourth consecutive dead cat bounce, curiously matching a like amount of Fed monetary injection episodes. But while the Fed has clearly had a problem with reflating the broader housing bubble, one which would impact the middle class instead of just those who are already wealthier than ever before thanks to the Russel 200,000, one place which not only never suffered a housing bubble pop in the 2006-2008 years, but never looked back as it continued its diagonal 'bottom left to top right' trajectory is Canada. As the chart below shows, the Canadian housing bubble has put all attempts at listening to Krugman and reflating yet another bubble to shame.
Here is the Globe and Mail's take:
So if indeed the Fed is intent on reflating the housing bubble for all, not just for some, perhaps it is time to take a look at what the northern neighbor is doing and do the same. Of course, the question remains how much more "up and to the right" movement is left in Canadian home prices, where the Chinese and Russian oligarch bid is, according to some, an even greater factor in setting marginal prices than in the US and Hong Kong. |
| Chinese Trump Russians As Manhattan's Top Apartment Buyers Posted: 27 Apr 2014 01:40 PM PDT With Canada having closed the door on the cash-for-canadian-citizenship housing bubble blowing machine, it seems the Russian oligarch sanctions have left a gaping window for the Chinese to swoop and spend their billions. As Reuters reports, for the first time in history, wealthy Chinese top wealthy Russians are the biggest buyers of Manhattan real estate. It seems Manhattan real estate will always be home to some desperate capital flow, money-laundering 1%-ers cash - no matter what the price.
It wasn't so long ago that Russian oligarchs dominated the world of real estate, buying status-heavy apartments like the $88 million dollar Robert A.M. Stern penthouse. Now, Russian activity in the real estate market has dropped off since the unrest in Ukraine, and the U.S. imposing sanctions on Russia.
"In our own business we're seeing almost a 50 percent of an increase compared to five years ago. I mean Chinese is a culture that we love to have tangible assets and real estate being one of them. So this is something that's not just in New York. We just like to buy real estate." The current hot commodity for Chinese buyers in the Big Apple is Central Park's One57. Here, they can spend $18.85 million for a three-bedroom or $55 million for an apartment taking up the entire 81st floor. The building comes with all of the amenities of a five-star hotel. |
| The Secret Silver Stockpile, Part II Posted: 27 Apr 2014 11:34 AM PDT In the first part of this commentary, readers were presented with the context which leads us to believe that there is (must be) a "secret stockpile" of silver, and that the holders of (the vast majority of) this stockpile are the ultra-powerful (industrial) Silver Users, allies of (if not tentacles of) the One Bank. We know this because the crash in silver inventories between 1990 – 2005 meant we were on a collision-course with inventory default nearly a decade ago. Since that time; silver demand has intensified, while continued price-suppression has led to only anemic growth in mine-supply. These parameters for imminent inventory default have only been hidden by a massive (and clumsy) falsification of inventories. We know the silver is still being consumed, in industry, in jewelry, and in record quantities of minted (legal tender) silver coins. We know that nearly a decade ago there was no longer enough silver remaining in inventories to satisfy that demand, while the supply-deficit in the silver market persists. Ipso facto, there must be "a secret stockpile" feeding silver into the bankers' depleted warehouses – and delaying (not preventing) the inevitable default ahead of us. Thus the purpose of making readers/investors aware of this secret stockpile is not to discourage or daunt them that this stockpile means that the One Bank's manipulation games in the silver market can be perpetuated forever (or at least into the distant future). Rather, the purpose of this piece is to explain why we haven't already seen "inventory default", or simply the collapse of the silver market. Obviously the two most-important variables here are the size of this stockpile, and the "burn rate" (the rate at which this stockpile is dissipating). With respect to the size of the stockpile; for convenience, let's assume that this corresponds to Ted Butler's estimated "global stockpile" (about 1 billion ounces). Recall the definition of a stockpile: the amount of silver in existence which may come onto the market at some (undetermined) higher price level. With regard to any reserves of silver held by non-Western governments; with silver becoming a "rare earth" metal itself (to quote a quip from Butler), it's safe to assume that any such stockpiles would not be coming onto the international market – at any price. With respect to our own holdings of silver; we converted our wealth from paper to metal to escape the bankers' fraudulent (and effectively worthless) paper currencies. It's safe to say that for these "strong hands" still holding onto their silver that this silver will also not be coming onto the market – as long as it can only be converted back into this same, fraudulent paper. This means that deeming all the world's "stockpile" of silver to be held by the Silver Users is, at worst, only a small fiction. We have no way of precisely verifying this quantity, and we recognize that Mr. Butler's estimate was (of necessity) a rough approximation. Thus we accept that there is some considerable (upward) latitude as to the size of this stockpile. We can now safely assume (in hindsight) that there is no downward latitude of Butler's estimate of a 1 billion ounce global stockpile, because if there was, it would have already been exhausted – and the global silver market would have already collapsed. This becomes apparent once we look at the real burn-rate of stockpiles. |
| Stalin, Hitler And The 5-Year Plans Of Banksters Posted: 27 Apr 2014 09:50 AM PDT The 2008-2013 Plan Stalin's infamous five-year plans started with a “trial version” in late 1928. By “trial version” this meant his plans already included show trials of political enemies with frequent death sentences. Designed and executed for Hitler, the German banker Hjalmar Schacht's five-year plan of 1934-1938 directly applied Keynesian “remedies” for the economy and public finances. Schacht's plan was called a “groundbreaking fiscal stimulus program”, creating work by rebuilding the nation’s worn infrastructures, jettisoning the gold standard, imposing capital controls, and increasing State debt, after “diluting” the State's previous debt. |
| The Cost of Code Red - Speculative Bubbles Posted: 27 Apr 2014 09:46 AM PDT (It is especially important to read the opening quotes this week. They set up the theme in the proper context.) “There is no means of avoiding the final collapse of a boom brought about by credit expansion. The alternative is only whether the crisis should come sooner as the result of a voluntary abandonment of further credit expansion, or later as a final and total catastrophe of the currency system involved.†â€" Ludwig von Mises |
| Stock Market Bubble Phase: Gold Capitulation Follow Up Posted: 27 Apr 2014 09:16 AM PDT At the beginning of the month I theorized that stocks were about to enter a final bubble phase, and that during that process gold should deliver a capitulation phase to end the three year bear market. This is a follow up to see how things are playing out now that we have another months' worth of price action behind us. For stocks it still remains to be seen whether or not they have one more surge higher into a final top. If one just looks at the NASDAQ it would appear that stocks have begun moving down into a bear market. However as I pointed out in my previous article it's not unusual to have one, and sometimes two very severe corrections before a final leg up in a ending bubble phase. As I pointed out in my previous article the NASDAQ had two back-to-back 10% corrections before a final 34% surge into that 2000 top. |
| Gold And Silver Prospects From A Russian Point of View Posted: 27 Apr 2014 08:51 AM PDT One of the biggest problems for the West, the US in particular, is its increasingly parochial perspective from the narrowest of lenses, fully colored by the elite's use of its main propaganda machine, the Maintstream Media. It will not work for people to expect more from their government, rather, people have to demand and expect more from themselves, for in the end, people will discover all they really had to rely upon was themselves and failed to do so. |
| Gold Bounces Back Above $1,300 as Ukraine Crisis Escalates Posted: 27 Apr 2014 08:32 AM PDT John Kerry and other U.S. officials and once again banging the war drums. In the most recent comments, Kerry said that the United States is “ready to act against Russia.” The truth is that the U.S. has been acting against Russia for quite some time in various ways. The implication here is that the U.S. government is now ready to act militarily, however subtly it may have been stated. To get an idea of just how quickly the conflict has been escalating, here are some of the headlines from the past week alone: |
| Illuminati 2014 Predictions!! We must reach mass awareness! Posted: 27 Apr 2014 08:03 AM PDT We have a pending economic collapse, a 17 trillion dollar economic collapse. Obama used his "executive orders" to bypass congress and issued a police state to be started after such a catastrophe. The government has also purchased 1.6 BILLION rounds of hollow points. That's the biggest ammo purchase... [[ This is a content summary only. Visit http://www.GoldSilverNewsBlog.com or http://www.newsbooze.com or http://www.figanews.com for full links, other content, and more! ]]  |
| The Weekend Update is Now Available Posted: 27 Apr 2014 06:27 AM PDT The latest issue of the Iacono Research Weekend Update has been posted to the website and is now available for subscribers here. There will be four changes to the model portfolio as detailed in the first discussion topic below along with commentary on gold stocks and tech stocks in the second topic: Adding More Stocks and Bonds [...] |
Systemic failure and its pathogenesis have been over 50 years in progress, with countless events. The origin is found with the cabal murder Kennedy, but the climax finale will be found with the Saudi Petro-Dollar rejection and the arrival of Eastern gold-backed currencies. The pathogenesis is fierce, vicious, multi-faceted, coordinated, enforced, unstoppable, destructive, vile, with many unfortunate aspects and facades. The extreme vulnerability of the financial crime syndicate can finally be seen, the symptoms obvious.
I've been in this place several times before in my career, where you are coming out of a bear market into a bull market. What's fantastic for me is being part of the Sprott organization, I have the financial resources and the human resources, and the reputation resources to take advantage of it.
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