However Greece unwinds, the other PIIGS are even bigger problems that will have to be dealt with. Unfortunately, GS and JPM will be the last ones to take any pain from this because ultimately they are in control of the political decision-makers. The corruption is beyond mind-blowing. I also think it's a bad signal that the war rhetoric toward Iran is escalating quickly. The elitists are losing control and whenever they lose control, they start a war.I got a call from a buddy of mine who is in the process of moving his family out of the country. He's here for a bit and stated that he had a bad feeling that something ugly was getting ready to happen in the markets. Coincidentally, or maybe not, I had just been thinking about the how the war rhetoric toward Iran was escalating to a pretty terrifying level. Of course, it might be just the rhetoric of bluffing. But please make no mistake about it. The elitists are losing control. If Greece defaults and goes bust, it will set off a much bigger daisy-chain of financial nuclear explosions throughout the PIIG consortium and its financiers. Historically, without any variance, when the elitists lose control they start a massive war.
Got gold? GLD and SLV will be useless and worthless when the real fireworks go off...
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"The elitists are losing control and whenever they lose control, they start a war"? Example please.
ReplyDeleteDude, all through history starting with Rome. The underlying cause of every major war in history is economic collapse. I know that's a blanket statement that nitpicking historians will shoot holes in but I stand by the statement. And the richest family on the earth - the Rothschilds - have been making money financing both sides of every major war for at least the last 300 years. War is about big bucks - period. The rest: religion, political differences, etc is all varnish.
DeleteI hear you Dave but I replied because I thought it was a sweeping statement. Wouldn't you agree that the elite, or the Rothschilds, may have in the past planned certain economic collapses, and therefore these collapses could be considered "controlled"? So maybe economic collapses lead to war but certainly they are not necessarily caused by the elites losing control.
DeleteThat line of theory goes beyond what I'm willing to accept absent hard proof. I will say that once they realize they are losing control, then perhaps the controlling elitists do their best to precipitate conflict. I think in general the people in position to benefit from fraud and looting keeping doing thinking they won't lose control. But once control starts to slip away is when the militarism and totalitarianism envelops the system (and currency debasement, cultural collapse etc.). The Patriot Acts/Homeland Security Act/Detainee Bill/latest Bill Obama signed that erased Habeus Corpas are all signs to me that "they" know they they are on the precipice of losing control. What they do from here to precipitate chaos, who knows. Milton Friedman was big on the idea creating chaos as a means of implementing attempted control.
DeleteThomas Edison & Thomas Jefferson on monetary reform
DeleteWhat should the average citizen know about US War Crimes?
What should the average citizen know about US war history?
What is the leverage point for Occupy’s victory?
What does monetary and credit freedom look like?
My personal history of the 1% choosing to kill a million children each month
Summary:
Monetary and credit reform is a policy objective to end transfer of trillions of the “99%’s wealth to an oligarchic “1%.” The US banking collusion only and always co-exists within a larger oligarchy with government for legal protection, and media for public propaganda. This paper presents histories in monetary reform and US government crimes in war suppressed by today’s US corporate media’s history texts and news journalism. When the oligarchy’s voice is professionally exposed as obviously and egregiously lying in omission and commission in claims of central importance of the past and present, government and corporate media loses credibility in an “emperor has no clothes” transformation. Refutation of the oligarchy’s voice with objective and independently verifiable facts, especially in light of current War Crimes and Constitutional destruction, supports our policy goal for monetary and credit reform because the public will seek alternative voices to build a brighter future. To support our goal of upgraded economic policies, we should be open to synergy with ecological and resource-based economic models, and network with Occupy.
http://dailycensored.com/2012/03/06/thomas-edison-thomas-jefferson-on-monetary-reform/
war does seem to be looming quite large and approaches closer by the day...
ReplyDeletestock markets usually tank somewhat during wars, oil shoots up, usually...think gold/silver will be somewhat of a replay of the 70's? usually gold/silver go up during times of war...
In a crises gold doesn't go up. not anymore, it did long ago. this gold bull is dependant on everything else going up since 2001.
ReplyDeletethis forbes article is probably the most accurate i have read for a while..
1 - price of gold moved by marginal buyers
2 - gold in the hands of mom and pop investors, retail. all the "taxi" driver internet bloggers
3 - that is used by professionals to trade both sides.
safe haven it's not - all is correlated. the day gold silver will disconnect i might start believing it.
When you have gold friends like this.....
ReplyDeleteSo gotgoldreport - Arends - got stopped out in silver and the GDXJ in the 25 to 26 area. How sad is that. And others use that as a faded buy in.
As I said before who needs enemies when you have friends in the community like this who are just plain traders.
At these levels its all just a big trade - and not a calculated investment.
And this is while the HUI is at 500 again which is supposed to be a good entry level. Its all laughable.
And all this in the face of "fundamental" good reasons for gold to rise!!!! This should tel us something not so.
And all this rubbish about physical verses paper. There is absolutely no disconnect.
Don't need friends...need AUDITS!
DeleteGermany to Review Bundesbank Gold Reserves in Frankfurt, Paris, London and New York Fed
The German Federal Audit Office has criticised the Bundesbank’s lax auditing and inventory controls regarding Germany’s sizeable gold reserves – 3,396.3 tonnes of gold or some 73.7% of Germany’s national foreign exchange reserves.
There is increasing nervousness amongst the German public, German politicians and indeed the Bundesbank itself regarding the gigantic risk on the balance sheet of Germany's central bank and this is leading some in Germany to voice concerns about the location and exact amount of Germany’s gold reserves.
The eurozone's central bank system is massively imbalanced after the ECB’s balance sheet surged to a record 3.02 trillion euros ($3.96 trillion) last week, 31% bigger than the German economy, after a second tranche of three-year loans.
The concern is that were the eurozone to collapse, Bundesbank's losses could be half a trillion euros - more than one-and-a-half times the size of the Germany's annual budget.
http://www.zerohedge.com/news/germany-review-bundesbank-gold-reserves-frankfurt-paris-london-and-new-york-fed
POOF~FIAT
And by the way - Clive Maund has been more accurate than any of the Turks, Sprotts, Embry etc as a trade and long term.
ReplyDeleteYou serious? How long have you been following Maund? T, S, and E are probably a bit optimistic and aggressive in the targets they set. But they're long term prediction is "gold/silver going much higher." I don't know what Sprott and Embry's long term targets are, but I know Turk's is similar to mine.
DeleteMaund is nothing more than amateur chart reading. Somewhat analogous to palm reading. At best he goes thru periods where he might be a little better than 50/50 - a coin toss. Dating back to 2001, his accurately reported track record is abysmal. In fact I stopped looking at his work in late '05 because he was so wrong all time. Maund does a great job of revisionism when he publishes his freebie shit so he can sell his subscription stuff.
Goldman Secret Greece Loan Shows Two Sinners as Client Unravels
ReplyDelete“The Goldman Sachs deal is a very sexy story between two sinners,” Sardelis, who oversaw the swap as head of Greece’s Public Debt Management Agency from 1999 through 2004, said in an interview.
Goldman Sachs’s instant gain on the transaction illustrates the dangers to clients who engage in complex, tailored trades that lack comparable market prices and whose fees aren’t disclosed. Harvard University, Alabama’s Jefferson County and the German city of Pforzheim all have found themselves on the losing end of the one-of-a-kind private deals typically pitched to them by securities firms as means to improve their finances.
http://www.bloomberg.com/news/2012-03-06/goldman-secret-greece-loan-shows-two-sinners-as-client-unravels.html
A Good Argument For Letters Of Marque And Reprisal
Mistake?
Not a prayer in hell. The deal had a confidentiality agreement so Greece couldn't go shop it. It was further designed to be unable to be unwound without a ruinous cost, which turned out to be a realized risk (duh!), designed by of course Goldman, which booked 12% of its revenue in 2001 off these deals.
http://market-ticker.org/akcs-www?post=202997
Guy was ahead of his time.....
ReplyDeleteGeorge Carlin: Death Penalty for Bankers
http://maxkeiser.com/2012/03/07/george-carlin-death-penalty-for-bankers/
Dave, which country is your friend moving to?
ReplyDeleteYep, it is going to be a 'on pins and needles' March and remainder of the year.
Somewhere in the Caribbean. Understandably he doesn't want to disclose the location to me via phone, internet. And if I knew I wouldn't disclose. I told him a while ago that for sure what he's doing will give him a better survival probability for what's coming, but I don't think life will be any better anywhere else, especially if a big war starts. I'll go down fighting the bastards.
ReplyDelete