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  • Do You Think That Gold And Silver Are Broken? [View article]
    It isn't about Gold. It has NEVER been about Gold. Or Dollah! Dollah! Dollah! Or even about how much air time and print inches the Master Baiters of the Universe deign to allow any indiviual or institution or fund to have.

    It's about whether a tiny elite - whether deserving or undeserving - can possibly take every bit of wealth and power unto itself, without destroying the very thing they sought to own.

    I posted this on a thread about the French election, which I predicted very accurately - to no avail:

    Pretty much everything I said came true - pretty much exactly - and they still staged another Flash Crash!

    Well, smaller market participants can't do anything about it.

    I just turned on - and immediately off - the midday Fast Ninnies, featuring Pudgy Putz (who should not be appearing on air in the first place, totally against the best interests of his firm's remaining customers, if they have any) trashing Gold, despite Gold stocks now sitting at their lowest levels in 1100 years, 7 months, and 3 1/2 days - or thereabouts.

    I still fail to understand why the leaders of the world's financial system, in their infinite wisdom, are still acting like the 2008 Great Crash was the most terrific thing since sliced bread and must be repeated, so the remaining eensy, teensy bit of the world's wealth not yet in the hands of the upper one percent of the upper one percent can be snatched away from the anyone in the 99.99999999999 percent below them who might not yet be living on the beach in a tent eating grubs. (How dare mere mortals try to take one penny from We Billionaires Now Elevated to Gods.)

    This is their last chance, IMO. A reprise of 2008, and there effectively will be NO world financial system, because there will be no financial services sector left to run it.

    As for forcibly imposing a market construct where anyone who actually produces THINGS - the materials, energy, and industrial sectors - is relegated to the bottom of the pack, while anyone who pushes clicks in cyberspace or the like - think 1997 - is relegated to the top of the pack - Well, there's been a very large generational shift in this country the past 15 years.

    The average age in the US is now middle age or above. And people over 40, let alone over 50 or 60, are just not enamored of a Faux Market a la 1997 based on clicks and eyeballs. (Or an ever-growing pyramid of derivatives upon derivatives.)

    Those without pimples have already almost disappeared from the market. And if you push out the few remaining over-40 Risk Takers - like me and those like me - you are this time going to be left with an all-Kiddie market.

    You want the fastest possible deterioration, that's where you get it!

    An entire market of Nicks and Fabrices and Patrices. An entire market of young male "rogues," who have been trained in the Mantras of "Shorts always win" and "the more volatility the better" and "it's purely a shoot 'em up computer game, so treat it as such."

    The financial services industry worldwide has given their imprimatur to a market of piranhas.

    And when there is no fresh meat for piranhas to consume, they begin to consume their fellow piranhas.

    We are disturbingly close to that juncture now.
    Apr 23 01:08 PM | 15 Likes Like |Link to Comment
  • Oil and Gold Commitment of Traders Tell a Story [View article]
    Carlos,

    That is ALWAYS this particular setup in Commodities - always for years and years and years.

    In the case of Oil, many actual Producers still hedge heavily.

    In the case of Gold, hardly anyone hedges anymore - virtually none of the major producers do.

    The "commercials" category in Gold is almost all "merchants," i.e. those like Kitco or other wholesalers, those buying Gold to fabricate into coins and jewelry, and even brokers working as surrogates for entire small countries! who need Gold for coinage.

    None of this will come as the slightest surprise to people who have been in the sector for even a short while.
    Dec 17 05:32 PM | 15 Likes Like |Link to Comment
  • Gold Bubble in Them Thar Hills? [View article]
    If Gold reflected the past three decades' inflation accurately, instead of having been manipulated, it would currently trade at between 2400-2600.

    So the author may talk to us about "bubbles" with a straight face when Gold is well above 2600, not before.

    Whatever the word is for ANTI-bubble is where Gold is right now.
    Aug 6 07:49 AM | 15 Likes Like |Link to Comment
  • That's Not What The End Of The Gold Bull Market Would Look Like [View article]
    Tim,

    Just HOW Through the Looking Glass is their idiotic move today?

    The Ninnies CANNOT come up with a unified Script, to the extent they are all loudly shouting absolutely Babelish commentary completely at odds with one another:

    "Gold down because Fiscal Cliff about to be averted."

    "Gold down because Fiscal Cliff NOT about to be averted."

    "Gold down because Treasuries taking the Safe Haven bid."

    "Gold down because Treasuries NO LONGER taking the Safe Haven bid."

    "Gold down because Dollah! Dollah! Dollah! looks great."

    "Gold down because Dollah! Dollah! Dollah! looks terrible."

    "Gold down - I kid you not - because Queen Elizabeth visited the Bank of England vaults and swore on her Crown Jewels that the UK's Gold wasn't made of Tungsten."

    "Gold down - I also kid you not - because Meredith Whitney says Bank Stocks are better."

    Why not?:

    "Gold down because it's Tuesday - or Wednesday - or Thursday - or Friday . . ."

    "Gold down because it's Sunny - or Cloudy - or Raining - or Snowing . . . "

    Or more likely:

    "Gold down because Gary Gensler is on vacation in the Bahamas and left his 22-year-old assistant in charge."

    "Gold down because King Solomon's Mines were found in Rwanda, which was quickly made the 51st US state."

    Or best of all, "Gold down because JPM's London headquarters doesn't have a nice enough roof for Rogue Bankers to jump off, a la Dresdner."
    Dec 18 02:36 PM | 14 Likes Like |Link to Comment
  • Has Paul Krugman Gone Too Far This Time? [View article]
    Once again - Listen to ME - not because I am brighter than they are, but because I am absolutely correct:

    Move that 250,000 up to a minimum 5 million and preferably 10 million, and no one in either party will really have a leg to stand on objecting.

    In other words, just adjust to exempt small businesses and successful farmers and small manufacturers and successful professionals and most executives and small traders and investors . . . and get the "punitive" pound of flesh from the really Big Guys who can afford it.

    Make up the rest via eliminating real - not imaginary - concrete corporate loopholes, again concentrating not on ordinary business people and professionals and traders, but rather on those groups the public DOES hate and frankly has a right to hate at this point: substantial-sized hedge funds, financial engineers of all stripes, outsourcers.

    The Dems have to stop alienating the Main Street small business people and professionals and trader/investors.

    In return, the GOP has to "offer up" the Big Guys, who have frankly harmed everyone who isn't them by pure bullying the past several years, within the Market and without.

    Honestly, what the Koch Brothers or Mr. Soros or Sheldon Whatshisface or any number of others have wasted on political advertising and blogsites and Botnets and other types of pure influence peddling could have instead been used to - I dunno - BUY Greece - Yes, the whole country! - or maybe fund an entire new world highway system or rail system or electric grid or the total GDPs of Goddess knows how many smaller countries.

    You talk about government waste? Well - rather government waste spent on THINGS than Koch Brothers waste or MoveOn waste or Trump waste or Sheldon-fella waste spent on NON-STOP PROPAGANDA.

    (And somewhat related, really: Rather real trading or investing versus Non-stop Market Propaganda by HFT and other means.

    (This is how most of the real public consisting of real people now feel.)
    Nov 12 05:12 PM | 14 Likes Like |Link to Comment
  • The Next 10 Years: Much More Misery [View article]
    The Libertarian Market Nihilists are almost all "young dudes."

    Terrific that in its infinite wisdom, SA makes this an Editor's Choice, though.

    Whenever SA starts sounding like Zero Hedge - "Technical Analysis of Propaganda" - a new Bullish move is imminent, and the Hedgie "Smart Money" is once again about to be proven less, not more, "Smart" than everybody else.
    Oct 20 06:59 AM | 14 Likes Like |Link to Comment
  • Why A Romney Win Could Be Bad For The Market [View article]
    Paul,

    That's why we need to get our party back into sane hands again.

    Norquist and Friends aren't REAL Republicans. They're not even real Conservatives.

    They're Libertarian Birchers, a la Angela Lansbury in the Manchurian Candidate. Only Angela was acting. Ryan and his sponsors the Kochs and Mr. Ricketts are not.

    The sad part of all this is that Chameleon Governor Romney DOES probably have some Big Tent, Centrist, Sane inclinations.

    But he abandoned them when he agreed to put Paul Ryan on the ticket. As a classical New York Republican in the Teddy Roosevelt and Nelson Rockefeller tradition, I'm furious at the betrayal.

    If another loss forces the GOP back to its roots and encourages Sane Ones in the party to throw out the Libertarians for good, then a Romney loss would not only be good for the Market - which dearly needs some real and lasting stimulus at this point - but for the United States as well.
    Oct 12 09:05 PM | 14 Likes Like |Link to Comment
  • Enviable Demographics And The Baby Boomer Retirement Myth [View article]
    Baby Boomers are aged 48-66 in 2012.

    We are in what are normally our peak years for career advancement, earnings, and achievement.

    Attempting to push Boomers off centerstage so the clamoring generations behind us can steal our thunder - and our money and our jobs - has been a propaganda push of the first order, an attempt to incite generational warfare.

    Boomers are in general very angry about this, one important reason there is so much distrust of American institutions and political elites.

    Note that we are not only 1/3 of the current US population, but possibly as much as 1/2 of the truly active electorate.

    Both parties should be pandering to us, not dissing us every chance they get.
    Mar 30 07:17 AM | 14 Likes Like |Link to Comment
  • Goldbugs on Parade [View article]
    Slew of stories out overnight that G-20 finance ministers will once again "tackle commodity speculators." I posted the following at a couple of these sites:

    The real solution to keeping commodity prices fair is to insulate them from CURRENCY speculators.

    The speculation is NOT in commodities themselves. It's in currency.

    And that's because commodities are still primarily priced against the "Emperor" US Dollar, rather than against Fair and Neutral Baskets of World Currencies.

    As long as commodities are priced against the US Dollar, the US - still a very rich country, despite its problems - will continue to export commodity-based inflation to the many countries, some extremely poor, whose currencies trade against the Dollar.

    I believe everyone in the world who is at all intelligent and informed knows this is the real problem, but neither the G-20 nor the US nor China, which stubbornly clings to its "Strong Dollar-Weak Yuan" orientation, yet has the will to make Currency Basket Pricing of commodities a reality.
    Feb 11 01:25 AM | 14 Likes Like |Link to Comment
  • Gold: A Fate Worse Than the Cover of Time Magazine [View article]
    This now ranks as one of the loudest, shrillest, and of course, silliest Anti-Gold Propaganda campaigns I have ever seen - except for the last one, in August of this year, right before Gold rocketed upwards, without many market insiders on board.

    They clearly now INSIST on a second chance to claim their right as Mast. . .rs of the Universe to take over the sector from all those uppity, unwashed non-insiders who somehow got the jump on them.

    And this nonsensical campaign is flying in the face of so much daily - practically hourly - news that should be further boosting the sector, if "technical" game-playing - otherwise known as bullying - were not being allowed to trump all fundamentals.

    ***Collahuasi strike hits China where it hurts.

    ***Gold Fields strike may involve up to 6,000 NUM members, and when NUM members get angry, it spreads.

    ***Three-day annual Gold Conference beginning in China.

    ***Bucyrus buyout at big premium proves WHAT?

    ***Anglo-American follows erstwhile child Anglogold in getting in cash through asset sales, probably to cover remaining metals hedges. Their banker is HSBC, I believe.

    *** While Silver apparently getting whacked over the head with a two by four, word that every single Silver ETF and fund around the world is buying furiously.

    ***Indian demand for Diwali was through the roof - never higher - say reports, showing how a growing middle class in a gold-centric country or region - think ahead, think China! - is extraordinarily Bullish for Gold.

    ***Hajj beginning today in Middle East. Reports that Gold demand there, too, is absolutely through the roof.

    ***Annual War Games by the Iranians begin Wednesday. No reports whatsoever in US media, let alone business media.

    *** These Games are just two weeks or so prior to the Iranians taking over the annual presidency of OPEC. And some of the energy-heavy former Soviet republics have announced they will be attending December OPEC meeting as observers, as Russia has been doing.

    *** Nist.gov timeserver is still off-line, which means it has been broken into by Asian hackers again. These hackers, IMO, are directly in the employ of the shadier Asian HFT firms, which sooner or later will be arrested and put out of business.

    *** And talking about shady: Former entire Lehman departments going to Japanese banks? While one of the architects of Bear Stearns's wonderful performance is now the Guru of the "Bond Vigilantes?" Am I the only one who finds this disturbing?
    Nov 15 05:45 PM | 14 Likes Like |Link to Comment
  • GM And Ford: Still Value Traps [View article]
    "Value traps" as opposed to all those horrid cloud computing and other "eyeball" tech companies with no or meager profits which are granted absurd P/Es?

    While Ford's current P/E is what? 4? 5? minus 10?

    Of course, it's not just the auto companies. Wall Street also fails to appropriately value manufacturers in general, aerospace, energy, agriculture, resources of all kinds . . .

    In other words, Wall Street advances the concept of a completely "hollowed out" economy by failing to recognize the value of companies which actually employ a lot of people in good-paying jobs, provide multiplier effects to the communities in which they operate, and contribute to the true wealth and security of the United States.

    But they'll support to the hilt purveyors of yoga outfits, seven-dollar coffee, chi chi foodstuffs, or 300 dollar handbags, plus gaming apps and the aforementioned ad agencies in cloud computing camouflage.

    Does this remind you of the Roman Empire in the final days of its decline?

    It should.
    Aug 19 06:45 PM | 13 Likes Like |Link to Comment
  • When This Indicator Hits 19, Stocks Always Rally [View article]
    Lou,

    By my technique - Technical Analysis of Propaganda - we have to be close, too - although it will take some dramatic-sounding announcements to do it.

    The Uber Bears are scariest when they are in the background, growling very softly.

    They are NOT scary when they are jumping up and down on trampolines, making so much noise, all one wants to do is throw pies at them. Zero Hedge, for instance, has turned into a parody of itself.

    I believe they are now calling for the Apocalypse at 5 AM tomorrow morning and urging everyone to jump in their cars, drive to the nearest remote cave, settle in with canned goods and a shotgun, and emerge in five months to see if they can flee the Mad Max motorcycle gangs who will clearly be in charge then.

    Mechanically, the various PPTs know what they have to do to calm the markets: Let Gold and Gold stocks rally, let Brent and Brent stocks rally - and they have a very good excuse with Nexen - let the Commodity Currencies rally.

    Of course, they are doing the exact opposite right now.

    But they'll figure it out eventually.

    Re Announcement Land: Europeans talking up Short selling bans again - which actually worked pretty well last autumn.

    And Bill Clinton made a very Gordon Brown-like plea for the US and the World helping the Europeans, because we are all in this together, last night - which shows at least some of the Dems are about to push for not only QE, but cooperative stimulus of all sorts.

    My party, the GOP, truly needs to start putting its thinking cap on and figure out whether pumping for a falling market will help or badly hurt us in the election. I believe the latter. Go too far - and we are on the verge of it now - every single one of those "new Republican" congress members who got elected last time on the wrong kind of promises loses this time around.

    The Extreme Supply Siders are totally miscalculating the mood of the populace right now.
    Jul 23 08:26 AM | 13 Likes Like |Link to Comment
  • Gold Still Misunderstood by Many Analysts [View article]
    From the Gold Boards at Yahoo Finance:

    I read that piece by Jim Willie, and I think he's wrong, not only because geopolitics are still as antsy as can be.

    There are two other major reasons:

    100-plus influential lawmakers, split literally down the middle by Party, reintroduced a Chinese currency manipulation bill Friday.

    It is no coincidence that the Yuan was actually DOWN against the three Deficit currencies for these past several weeks Gold has been under (silly season) pressure.

    The Kudlowite "Emperor Dollah" boys are now strongly sounding like Chinese agents, working against the best interests of the United States and her people.

    This is a horrid corner for them to have worked themselves into. And it is far better to absorb any small losses in their Gold short positions than risk another Gold spike up ahead.

    Of course, this is also - in spades! - the situation for the Oil shorts. But that market is now such a morass, it's filthy, and there may be a few more battles.

    There don't have to be more battles in Gold. Well enough is well enough, especially with XAU/TSX earnings coming up. Short side should bow out gracefully and stop fighting.

    The second significant factor is Ron Paul's extraordinary win in the CPAC straw poll.

    Dr. Paul's core constituency is very much pro-Gold, and I, for one, am impressed that they were able to trounce the Kudlowite wing of conservatives so decisively.

    Purely in PR terms, there will now be hundreds of stories around the world about Dr. Paul's feelings about Gold and the Fed and currency wars.

    We all - Bull or Bear - understand deep down that if Dr. Paul ever actually got his way about a full Fed audit, Gold would zoom right past that inflation-adjusted $2400 target in days, maybe hours.

    I don't think it will happen, because there'd be too much damage to the world financial system.

    But with Dr. Paul's newly-acknowledged popularity, it is now a Damocles Sword hanging over the vulnerable necks of the Gold finaglers - even China.
    Feb 13 02:44 PM | 13 Likes Like |Link to Comment
  • Is China Behind the Big Silver Short? [View article]
    No, China is NOT behind the Big Silver Short.

    JPM and HSBC are behind the Big Silver Short.

    If you consider HSBC synonomous with "China," I believe you are several decades wrong.
    Dec 26 04:44 PM | 13 Likes Like |Link to Comment
  • Smaller Explorers vs. Major Miners [View article]
    Those of us who have been in the sector for decades know - "technical analysis of propaganda" - exactly how the Gold Haters work.

    Out of the blue, there have been something like 847 negative stories about Gold in Africa over a three-day period, with Bloomberg leading the way.

    Therefore - all together now - this PROVES that Kinross's takeout of Red Back at an immense premium was the tippy tip beginning of a slew of deals in 2011.

    In fact, there was a pretty significant little deal last week in which Newmont acquired a 30 percent or so interest in one of the Simon Village properties - one which may well be folded into Banro - the big prize - over the next few years.

    With great fanfare, the US dropped the DRC from "most favored nation" status at the insistence of Hollywood bleeding hearts - which is actually positive, not negative, if you understand the situation there.

    China, India, Korea, Israel, and even Kazakhstan are literally rushing into the DRC, where the Canadians and South African groups, of course, are already well-established.

    The DRC is the next Tanzania, and by all early signs, even better. If the US isn't leading the charge, bad for the US, but good for Canada, Korea, China, India, and everybody else.

    In any case, I predict that Africa has already replaced Latin America as the epicenter of the next spate of Gold sector M&A activity.

    The idiotic propaganda of the past few days just confirms what savvy Gold investors already know.
    Dec 23 11:17 AM | 13 Likes Like |Link to Comment
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