Thursday, September 16, 2010

Speaking Of Eunuchs, Tim Geithner Fires More Blanks At China

As a follow-up to yesterday's post, I wake up to this headline on Bloomberg News: "Geithner Says U.S. Examining Ways to Push China on Yuan Rise"  You've got to be kidding me.  Let's see, if I'm China and I'm facing someone like Tim Geithner making an attempt to force-feed me financial policy, I'd say "bring it on, eunich."  A serial tax-cheater sitting on top of the world's largest amount of Government debt, a large part of which is financed by those whom Geithner attacks, issued by a corrupted, ponzi-scheme system in collapse...If I were the Chinese, I would send Geithner a little note wrapped around some medical marijuana that said "smoke a little more of this with your boss."

Talk about the "emperor has no clothes" syndrome.  I'm not really sure where the U.S. has any leverage to enforce its will anymore on the rest of the world.  Especially upon those - China - who have been enabling the U.S. Government to continue digging the hole for its own coffin by recycling paper trade dollars back into the financial heroin of Treasury debt to which this country is addicted.

Here's the link to article: Geithner's Farce  About all I can say is that I wish Charles Dickens were around for this, because this is kind of material that fueled his great literary legacy.  The fact of the matter is that all Geithner will accomplish is to further irritate the Chinese, likely exacerbating the eventual consequences when the Chinese pull the plug on the U.S. financial life-line.


  1. Dave,
    It would be worth watching Chinese treasury numbers by Oct 12/2010 here ->

    No one can read Chinese mind, some diplomatic insult in the making.

    From India

  2. Ya I do watch those. There's a TIC report out today too.

    Here's the thing, the MORE interesting information to see would be what the Chinese are doing behind the scenes to hedge their Treasury exposure.

    The TIC report number is what they WANT us to see. I want to see what they DON'T want us to see. Know you what I mean?

  3. Dave, Geithner is one of the most pathetic Cabinet members in American presidential history. This is just more evidence of his "wimp" factor. I wouldn't be surprised to see him leave after the mid-term elections.

  4. You are spot on with this:

    "a corrupted, ponzi-scheme system in collapse"

    At this point I don't think China needs to do anything. They are following a Sun Tzu premise, never interrupt your enemy while he is making a mistake.

    Joe M.

  5. LOL. Totally agree VV. He's a puppet for the big banks, specifically Goldman. It was bad enough that Obama selected him in the first place, but after the tax cheating was revealed and Obama still kept Geithner up for the nomination, I shorted Obama heavily.

    Obama will go down as a worse President than Bush. Yes, Obama stepped into an impossible situation, but his policies have done nothing more than both extend Bush's venue AND he's actually piled on more legislation and EO policy that is making the impossible even worse - if that's possible lol.

  6. What can one say that already has been notch Dave top notch indeed.

    Please link that TIC report if you would be so kind.


  7. I can't resist. This is the Business Page headline from the NYTimes:

    "China Hinders U.S. Recovery, Senators Tell Geithner"

    Ha ha ha ha ha ha.... OMFG ha ha ha ha

  8. Latest TIC:

  9. Dave,

    What are some good small cap silver mining companies that have a lot of side potential?

    Ricky T

  10. OT

    I ve these new all-time highs in the gold price. Now some of my mid tier and junior producers only have 30 percent to go to set new 52 week highs!

    Is there something wrong with this picture? I long for the $1100 gold price because my shares were much higher.

    IF you're selling paper (shares) and you have a virtual printing press, who care what the gold price does, you just sell more paper (shares) you don't have to hit the bid and thereby the price. All with the blessing of the ever-vigilant regulators.


  11. Dave-

    Can you elaborate on your comment on Eurasian Minerals a few posts back?

  12. Anonymous/OT - that's not an OT comment btw. I agree the juniors are way lagging. But they're going to explode over the next 6-12 months. They're overdue.

    Jayhawk. Take a look at EMX's website and then you tell me. They have a lot of value in all of their assets that is not being recognized by the market, but will w/in the next 12-24 months.

    Ricky T: Here are the ones I like and own: Eurasian Minerals, Victoria Gold, Silver Dragon, ECU Silver.

    I don't believe in owning a diversified portfolio. I believe you can do thorough due dili and find winners. I think I have with those 4.

  13. looks like turbo timmy has some friends in the north

  14. Dave-

    I will look into them further. Thanks.

    There's a Von Mises seminar this Sat in the Springs. You would love it

  15. Great blog Dave.

    Got a Twitter feed?

    gold miner expat

  16. Dave,

    What do you like about Silver Dragon Resources? What are the risks?

    Ricky T

  17. Ricky, all the information you need to know about SDRG is on its website. Just based on the amount of silver in the two 43-101's its filed this thing is worth at least $2-$3 per share depending on how much value you want to give proved silver in the ground.

    Right now the market is giving them about 50 cent/oz. That's absurd.

    The Mexican property has roughly 25mm ozs proved. It is thought by several people who have looked at that property, including "Mr. Silver" of Mexico who originally sold the property to SDRG that it has at least 100mm ozs.

    As for China, the sky is the limit. SDRG owns 40% of the Dadi property, with Shengda, China's largest silver producer and the developer of Dadi, owning 50%, the Chinese Govt actually owns 10% of SDRG.

    Shengda operates what is the largest silver mine China adjacent to Dadi and Shengda thinks Dadi could be bigger than that mine.

    You can swim around the SDRG website to fill in the missing spots.

  18. Dave,

    Why don't they trade on the tsx-v? A lot of investors are hesitant to buy into a company that doesnt trade on the venture. Does management have past experience with takeovers?

    Thanks for the great info!
    Ricky T

  19. Stay tuned on that, Ricky. They actually in their last press release announcing the hiring of a new CFO referenced a possible TSX listing.