Wednesday, March 31, 2010

Quote of the Month and Follow-up to Yesterday...

"I think a top in the dollar is at hand. I’m not even sure it’s correct to say the dollar went up, in reality, the Euro went down. But as many problems as the Euro has, the British Pound and US dollar are going to crater as well. It’s just that in the race to the bottom, the Euro has on a temporary basis been going down faster"...Bob Moriarity - LINK

(click to enlarge)

I wanted to share this humor, which I copied from Ed Steer's "Gold and Silver Daily" which is free and recommended by this blog and can be found here:  LINK

And one more quote, call it "quote of the day," also copied from Ed Steer's daily today:

How long can the US government protect the dollar’s value by leasing its gold to bullion dealers who sell it, thereby holding down the gold price? - Paul Craig Roberts, 24 February 2009,

At this point, for those who watched Bill Murphy's riveting disclosure of emails which proved that JP Morgan illegally manipulates the silver futures market, Mr. Roberts' comment is purely rhetorical.  For those who don't believe that the Fed/Big Banks manipulate the gold/silver market to their benefit, I would urge you to watch Murphy's testimony.  I think the action in gold/silver this week is partially a result Murphy's/GATA's undisputable proof delivered to the CFTC/Govt on live t.v. for the world to see.  Please note that the major U.S. media is covering this up, but Russia's version of "CNBC" is doing an interview with Murphy in Dallas.  At least the rest of the world is interested in The Golden Truth.


  1. Gold didn't go up either. The dollar went down for the most part and gold will get it's just due.

    Do not defy the Greatness of the State.

    It is ALL Powerful. Worship it.

    It is now the Great I Am.

  2. LOL

    On a relative strength basis, after gold took it's extreme overbot sell-off in early December, has trended sidways in consolidation while the dollar screamed higher from 76 to 82.

    Gold has performed like a champ in this context. IF the dollar takes another cliff-dive, gold will rocket past the $1220 high.

  3. What will stop the ongoing manipulation? It seems like they have been doing it for decades, why would they stop now?

  4. Just like every other instance in history when Govt's try to control markets, they'll lose control and chaos will ensue.

    My view is that the Chinese will eventually undermine paper gold with sheer demand for physical gold. The physical gold market is so much stronger now than it was when I first started trading this stuff over 8 years ago.

  5. TPTB are not all powerful, despite the yelping of those who would have one believe that The Fed, Treasury, and their banking minions are implacable forces whose will can not be defied. The reason they are not intractable is that the the aforesaid entities do not exist within a closed system. It is truly a global system and the abuses that the local lords have committed have surpassed acceptability by those who have been made to suffer the systematic abuses of power.

    It's hard to see that the tide has turned, because the manifestation of the sea change, a currency collapse, for example, have not yet emerged. But they will, and it isn't decades a way, more like months and years.
    Hold onto your had and your physical lest ye go out with the tide of history.

  6. You got that right Dave. One just has to look at the difference in price for paper gold and physical gold. There is a huge premium to get physical bullion. I think the premium will only continue to grow as demand continues to outpace supply. Owning physical gold is the only safe way to play it. I have owned the GLD & SLV etfs but have recenlty moved out into physical and have no plan on selling anytime soon.

  7. Imagine what the true premium would be if China or India wanted to buy 100 tonnes of 400 oz LBMA bars, verified quality and guaranteed physical delivery to the location of their choice.

    I don't know but would love to hear guesses. Clearly the IMF does not have that delivery capability otherwise they would have sold their 190 tonnes to Sprott or to the other big financial entity (Euro-based big bank) that bid on the IMF gold and was denied...

  8. I don't know why Ed Steer is confused about the action of Congress, it is quite simple.

    1. Madoff was running a hedge fund and lost $50 billion, which was, is very easy to do on the trades he was running.
    2. To get the investors money back he pleaded guilty to a Ponzi scheme, which is technically impossible to do in a bank backed hedge fund monitored operation.
    3. Madoff then went to Country club jail where he gets out for weekends and has tennis courts for relaxation together with no work duties and a weekend pass.
    4. The investors then claimed not only their losses but also their potential profits from the Government compensation scheme for fraud victims. As it is an "admitted" Ponzi scheme the claimants don't even have to prove any "paperwork" just make a deposition together their estimate of the losses. This is not a claim under the investors compenation scheme which would have only paid out limited sums this is direct fraud insurance by the US government for all losses under a "Ponzi scheme".

    Clearly Congressional oversight is needed to "wet the beaks" to get the whole $50 billion, now probably a $100 biliion paid out.

    But then of course Ed Steer probably knows all this stuff anyway.

  9. Dave,
    I am no chartist but we are setting up the dollar for a double over the shoulder boulder holder elliot wave move either up or down if you really look at it!

    All sarcasm aside, the long term fundamentals of the buck are terrible and while those of other currencies suck as well there is one money that things are looking very good for. Any guesses?

  10. LOL. Great description of EW. I think Prechter is looking for 200 on DX and 200 on gold LOL

  11. @Anonymous - I was psyched when the reports hit the tape a few weeks ago that Madoff got his ass kicked. I think he's in more of a "don't bend over to pick up the soap" place than he is a tennis jail like Boesky was.

  12. Dave, well then according to "ANOTHER" the oil shaikhs in the middle east are going to be the richest people on earth after TSHTF, and paper money goes the way of the Dodo.

    Unless ofcoure they have been sold gold covered tungsten bars all these years lolz.

    By the way there are four pages worth of posts by "ANOTHER".

  13. China, India, Rothschild family. Arabs piss too much of their money away. They are not wise people. They have been raked over the coals by U.S. bankers and defense companies.