Saturday, May 30, 2015

We Are Now Living In A World Headed Toward Bursting Financial Bubbles And Disaster

Three Former SEC Officials Write Letter to SEC Chief Mary Jo White Asking Her to Stop Protecting Corporate Cronyism

What We Learned over Dinner from a Swiss Central Banker

"Ferguson Effect" Triggers Nationwide "Crime Wave"

The unintended consequences are law enforcement will be hesitant to use force, while the criminal element will feel emboldened to commit more crimes.  Awesome.

Creator Of Infamous "Hope" Poster Lashes Out At Obama, Calls Americans "Ignorant And Lazy"

$60,000 Gold May Be Laughably Low-Bill Holter

Thursday, May 28, 2015

Silver is a special metal

It's Official: Austria Repatriates Gold, Confirms Loss Of Faith In Bank Of England

The "Revolving Door" Goes Full Retard: SEC Hires Goldmanite Who Previously Worked At The SEC

Why I’m Looking Forward to the Next Big Crash

This Is What Happens When A Millennial Tries To Get A Job

Man Asked To Speak To Chinese Officials Issues Warning About The Most Important Move Of The Decade And China’s Golden Agenda

U.S. Scared To Death As China Just Secured Larger Flow Of Gold As Part Of Its Plan To Back The Yuan With Gold

A Zero Interest Rate World Will End In Tears

Wednesday, May 20, 2015

Chinese Gold Standard Would Need a Rate 50 Times Bullion’s Price

My long-term target for the price of gold was $6,300, based on two proprietary calculations, namely research on cycles, money supply figures, and various pricing ratios.  They did not take into account QE rounds.

I guess I should revise it upward.

The Mystery of China’s Gold Stash May Soon Be Solved

"If The Public Knew About Obama's Lies And Cover Ups, Mitt Romney Might Be President" - Judicial Watch

Even Harvard Economists Admit Fed Policy Has "Created Dangerous Risks"

Ray Dalio On Gold Buffett Is Making A Big Mistake

Corinthian collapse sparks effort to cancel student loan debt

And so it begins...the next bubble to pop is student loan debt.

In India, Gold Is Not Only Money But Now Pays Interest

"Don't worry:  when the crap hits the fan, we'll return your gold.  We promise." - Indian banks

Folks, possessing physical gold is equivalent to having insurance against financial catastrophe.  Hence, why would one store it inside financial institutions?  The whole concept of owning physical precious metals bullion is to get it OUT of the financial system.

Custodial accounts are fine, depending on the jurisdiction.  Switzerland and Singapore come to mind.  Banks...not so much.

China’s Upgraded Military, The IMF And The Move That Will Send Gold Skyrocketing

Time Is Quickly Running Out To Escape The System As The War On Cash Destroys The Last Vestiges Of Freedom

Friday, May 15, 2015

Before You Buy That Rothko…How the CIA Covertly Nurtured Modern Art as a Cold War “Weapon”

David Stockman – We Are Now Entering The Terminal Phase Of The Global Financial System That Will End In Total Collapse

Obama Becoming Global Joke? King Of Bahrain Snubs US President, Meets Horse Instead

Flash Crash Scapegoat Nav Sarao Complained More Than 100 Times About The Real Market Manipulators

Beware of blowback, ye whistleblower...

Even the FDIC doesn’t think it’s ready for the next banking crisis

I'm not endorsing The Sovereign Man website or newsletter, but Simon Black is spot on in his assessment on the FDIC's under-fundedness.

In fact, I warned of the precarious nature of the FDIC in 2013 in several presentations, and how bank bail-ins are written into laws for most of the developed economies under the thumb of the corrupt BIS.  Depositors:  you have been warned.

Here was the presentation in 2013.  Note the mandate is 1.15% coverage on guaranteed deposits, a dangerously low reserve requirement.  And the FDIC doesn't even meet that low threshold.

The trouble with cash

George Orwell - A Final Warning

Thursday, May 14, 2015

Ray Dalio - Comments on gold portfolio allocation - Excerpt from interview with CFR

Ray Dalio of Bridgewater Associates sounds like a lunatic gold bug in this interview.  The problem with that assumption is Bridgewater happens to be the largest hedge fund in the world, with $150 billion of assets under management.  Dalio has (Wall Street) credibility and is widely respected.

The venue is also interesting.  This interview took place at the powerful and influential Council on Foreign Relations conference.  According to conspiracy theorists and the paleoconservative John Birch Society, the CFR is "Guilty of conspiring with others to build a one world government..."  The CFR has traditionally been negatively biased against gold, as it poses a threat to fiat currencies.  Furthermore, a gold standard hampers central bankers' capability to create unlimited currency units (and credit) out of thin air.

Hence, it is surprising that the CFR gave Dalio the microphone to spread some truth about gold.  The powers-that-be must have gone ballistic, as one of their own went off the reservation.

"If you dont own gold...there is no sensible reason other than you don't know history or you don't know the economics of it." - Ray Dalio

U.S. Launch Of QE4 To Trigger Frightening Bond And Currency Collapse, Hyperinflation And A Silver Move That Will Shock The World

Tuesday, May 12, 2015

Who’s Got the Gold?

America's Vanishing Worker: The Truth Behind The "Recovery" Propaganda

A Portrait of the Classical Gold Standard

War Threat Rises As Economy Declines — Paul Craig Roberts,

Greece Effectively Defaults To IMF Using SDR Reserves To "Repay" Fund; 1 Month Countdown Begins

In sum: the IMF paid itself on behalf of Greece and will now be forced to pay itself back for paying itself later this month. Or, put differently, Greece has prepaid the IMF with IMF money it doesnt have.

Rental Armageddon Continues

Institutional buyers (i.e. hedge funds) are pulling back on the housing market, while the retail buyer is stepping up.  Guess which ones are the smart money?  And which ones will have the rug pulled from underneath them?

Is This Company's 74% Surge In The Past Week Confirmation That Grexit Is Imminent?

I'm long the printing press.

Kerry Meets Putin For The First Time In 2 Years As Russia And China Launch First Ever Joint Naval Drill

Obama is letting his lackey Kerry kiss the ring of Putin.  In martial arts terms, US foreign policy is tapping out to Putin.  The CIA/US had no business stirring up the hornet's nest in Ukraine anyway.

Friday, May 8, 2015

Buy Silver or You Will Die!

It’s the news everyone dreads—a call from the hospital. And it’s about one of the most important people in the world…
Your mother.
[Every ALL-CAPS ITEM below contains silver or is required in its use.]
You hear the nurse talking urgently through your TELEPHONE and you realize it’s serious…
You grab your REMOTE CONTROL and turn down the volume on your PLASMA TV that’s playing your favorite DVD movie. You push the BUTTON and the SPEAKERS go mute. You press “save” on the KEYBOARD of your COMPUTER.
“Yes, she’s okay,” the nurse tells you. “But you need to come to the HOSPITAL right away.”
That’s all you need to hear. You yell to your spouse and grab your CELLPHONE to call your siblings.
“Is she alright?” your wife asks frantically. She was using the VACUUM CLEANER and WASHING MACHINE and didn’t hear the conversation.
“Yes, but hurry,” you reply, reaching to turn off the STOVE.
Your wife springs into action—she pushes the TOYS out of the way, grabs a WATER BOTTLE from the REFRIGERATOR and closes the MICROWAVE door.
You run to the bedroom and put on that new SUNBLOCK SHIRT she got you and check yourself in the MIRROR. You notice the glint off your SOLAR PANELS shines brightly through the WINDOW. You’re sweating and are glad the AIR CONDITIONER and AIR PURIFIER are working.
Your wife opens the LATCH to the front door. You notice she’s wearing those EARRINGS you got her for Christmas, the ones you put in with the CD of her favorite singer.
You unlock the car with your REMOTE KEY and rev up the ENGINE. Your wife opens the POWER WINDOWS while you adjust the POWER SEATS.
You leave the RADIO off, and are impatient at the STOPLIGHT, even though you can already see the CELLPHONE TOWERS on top of the hospital. Your wife is talking to your other family members on her CELLPHONE.
You pull up to the toll booth and the SCANNER beeps you through quickly. Your wife glances at her WATCH, and you remember she needs a new BATTERY.
You enter the hospital through the AUTOMATIC DOOR and a receptionist uses an IPAD to give you the room number. The indoor temperature is cool and you remember reading about the new INSULATION the hospital used in construction. You quickly push the ELEVATOR BUTTON for the second floor.
You reach the room and there is your mother, lying on a RECLINING BED, with a BREATHING TUBE in her mouth. She’s connected to NUMEROUS HOSPITAL DEVICES, some of which display readouts on a COMPUTER SCREEN. You try not to panic, as you see various SURGICAL INSTRUMENTS lying on a nearby SILVER tray.
“Your mother is on MEDICATION,” says a doctor walking into the room. He has a STETHOSCOPE around his neck and EYEGLASSES perched on his nose.
“She fell and sustained some injuries, but she will be okay.” You see the BANDAGES on her face and arms, and the doctor notices your concern.
“We’ll take some X-RAYS to be sure she didn’t break any bones,” he says. “And she’s already on ANTIBIOTICS, so we’ll catch any infection before it starts.”
You take a deep breath of relief as you realize she’ll be okay. You grasp your mother’s arm and notice she’s still wearing her favorite BRACELET.
The doctor uses a LAPTOP to update her status. The nurse uses a WATER PURIFIER to fill the water pitcher and sets it on the ANTI-SCRATCH surface of the nearby table.
You settle into a PLASTIC CHAIR beside your mother and take a deep, relaxing breath. It then dawns on you just how much…

Silver Is Essential to Modern Life

There are numerous medical examples like this every day, where silver served a cornerstone purpose to treat a hospital patient. In fact, if you’ve ever been treated by a doctor or admitted to a hospital, you’ve been a direct recipient of one or more of the medical benefits of silver. From simple bandages to life-saving equipment in operating rooms, silver is quite literally a lifesaving precious metal.
Silver is used in nearly every major industry today, from biocides and electronics to solar panels and batteries. In fact, silver is so embedded in modern life that you do not go one day without using a product made with or by silver. It’s everywhere, even if you don’t see it.
Due to the exponential increase in the number of uses for this precious metal, demand has exploded. Check out silver’s growth…
  • Jewelry and silverware use is up 27.2% since 2011.
  • India imported 5,500 tonnes of silver last year, 180% more than just two years ago.
  • Solar power accounted for 29% of added electricity capacity in America last year. “Eventually solar will become so large that there will be consequences everywhere,” says the US Solar Energy Industries Association.
  • China’s solar industry is exploding—it represented about 0.2% of the global market in 2009, but last year soared to 17%.
  • Silver demand in China exceeded a quarter million ounces last year for the first time in history.
  • New uses for silver continue to be discovered. The latest fashion—a “scough”—uses silver nanoparticles to trap and kill germs and pollutants.
  • Total industrial demand is projected to increase 5% per year through 2016—and outpace global GDP growth.
  • In spite of the fall in price, ETF demand soared in 2014, as total holdings exceeded the 2011 record high.
Demand is relentless. - Jeff Clark

Monday, May 4, 2015

Two-Thirds Of US Millionaires Fear "They Will Lose It All" If The Market Crashes

The Catalyst For The Next Global Crisis Is About To Be Triggered

Commodities Gone Wild

The divergence between the prices of crude oil vs. precious metals is counterintuitive, because there is roughly an 80% correlation over the long-term--not an inverse relationship.

Perhaps regression to the mean is occurring after bouts of overshoot/undershoot.

"Stop Being So Negative": Putting It All Together

This is a good excerpt of where the global monetary system is headed.

Sales of $100 Million Homes Rise to Record Worldwide
“People want trophy homes,” Eyal Ofer, a Monaco-based shipping and real estate magnate, said in interview earlier this week at the Milken Institute Global Conference in Beverly Hills, California. “They’re a scarce commodity. And they’re better than gold because you can boast about it.”

Bill Gross: "This Is All Ending"

The bond king speaks.  And it ain't pretty.

Sunday, May 3, 2015

Insanity Grips The Western World — Paul Craig Roberts

WSJ Slams Bernanke's Rambling Blog Post: "Stop Blaming Everyone" For Your Mistakes 
The mainstream is beginning to sound a lot like some fringe blog

System-Wide Bail-In And Global Financial Meltdown

Finance 101:  when bond yields (interest rates) rise, bond prices decline.  What was considered "safe" will prove to be anything but.  Which means banks, insurance carriers and pension funds will be in deep doo-doo.

There Is No Solution To The Crisis
The Oligarchy will not do what is best for the people. This is still about trying to retain power as is and protecting their own.
I will leave you with a quote from president Lincoln;
“The money powers prey upon the nation in times of peace and conspire against it in times of adversity. It is more despotic than a monarchy, more insolent than autocracy, and more selfish than bureaucracy. It denounces as public enemies, all who question its methods or throw light upon its crimes. I have two great enemies, the Southern Army in front of me and the Bankers in the rear. Of the two, the one at my rear is my greatest foe.”
Lincoln then prophetically added:
“I see in the near future a crisis approaching that unnerves me and causes me to tremble for the safety of my Country. Corporations have been enthroned, an era of corruption in high places will follow, and the money power of the Country will endeavor to prolong its reign by working upon the prejudices of the People, until the wealth is aggregated in a few hands, and the Republic is destroyed.”
There is no solution to the crisis, merely a choice of which roads to choose, a deflationary debt collapse, or a hyperinflationary dollar collapse or World War III. Pick your poison...

Major U.S. Retailers Are Closing More Than 6,000 Stores

Saturday, May 2, 2015

The High Cost of Centrally Planning the Global Climate

As I've said in the past, the beneficiaries of a carbon credit exchange are the banks who set them up.  They profit while all consumers pay a steeper price.

Friday, May 1, 2015

US Treasury Bonds,The Godfather Of All Bubbles

What Happens When You Hand Over Your Gold To The Bank Of England For "Safekeeping"

Man Asked To Speak To Chinese Officials Says China To Back Currency With Gold, Triggering A Major Crisis In The West

It's Gold (And Silver) Slamming Time

Gold Manipulators Busted After Zero Hedge Report On Flagrant Gold Spoofing
And while we are delighted that yet one more alleged case of gold manipulation is now confirmed, we are curious if the CME, CFTC and DOJ will also prosecute instances of gold manipulation when the ultimate outcome is the price of gold going lower instead of higher, such as the one documented in "Vicious Gold Slamdown Breaks Gold Market For 20 Seconds", "Stop Logic" Gold Slam Was So Furious It Shut Down CME Trading Again" and on countless other occasions most of which have been duly documented on this website.

Finally, we wonder: will the CME, CFTC, DOJ, and FBI pursue as promptly all those instances of constant S&P 500 manipulation and spoofing we profiled over the past week in particular, and over the past 6 years in general? Or was this merely another "Sarao" case when several (non-Caucasian) traders are scapegoated by the regulators, with the naive expectation that investors will suddenly assume the market - in this case that of gold - is no longer rigged?