kohalakid

Chance of a Depression Now 5 Percent

Uh, yeah..exactly what "London metal exchange" is he talking about.
Precious metal trading in London is all OTC. There is no "exchange".
And "naked shorting" or forward selling or futures are not "illegal" in the wonderful world of commodities.
When some of the easy facts are wrong, you gotta question the conclusions that are drawn.


On Nov 18 09:33 AM turtle1663 wrote:

> Here´s what will trigger the final collapseÑ
>
> THE BIGGEST GOLD CRIME STORY OF THE CENTURY MIGHT BE SOON COMING
> TO
> FULL LIGHT. EVIDENCE IS BEING ACCUMULATING THAT THE CLINTON ADMIN
> WITH
> RUBIN AT USDEPT TREASURY REPLACED PERHAPS THE ENTIRE CONTENTS OF
> THE
> FORT KNOX GOLD WITH TUNGSTEN BARS PLATED BY GOLD. THE SALTED GOLD
> BARS
> ARE FASTING BECOMING A GLOBAL CRIME ISSUE. HONG KONG DISCOVERED THEM,
>
> AND NOW ASSAYERS ARE TRYING TO AUTHENTICATE MOST OF THE GLOBAL GOLD
> HELD
> IN BANKS. ENTIRE NATIONS ARE AT RISK. BEFORE LONG THE USGOVT COULD
> BE
> DECLARED A ROGUE NATION INTERNATIONALLY. $$$
>
> Evidence is being gathered by perhaps a dozen key gold traders with
>
> diverse connections to the gold industry. They tie the delivery systems,
>
> the authentication processes, the assayers, record keeping, big
>
> financial firms, and trading platforms. Evidence mounts that as many
> as
> 1.5 million 400-oz gold bars were replaced at Fort Knox during the
>
> Clinton Admin with tungsten bars covered with a thin gold plate.
> This
> was a complex metallurgical feat, from what is told. The first 'salted
>
> bars' were discovered in Hong Kong a month ago, reported by the Hat
>
> Trick Letter. Since that time, tens of thousands of bars have been
>
> examined, usually using four test holes drilled for direct sampling.
>
> Other non-invasive methods are being used as well, such as
> electro-magnetic tests to detect the actual lattice structure of
> the
> metal to distinguish gold from other substitutes. Word came this
> week
> that almost every available assayer in the world is currently tied
> up,
> charged with proving the authenticity of gold bars worldwide, right
> now!
> Rob Kirby suspects that the Street Tracks GLD exchange traded fund
> might
> be loaded with such salted bars. It is a perfect destination for
> them,
> since the Wall Street syndicate prevents any audit. The total value
> of
> gold removed within the plot was worth over $500 billion. So where
> are
> the real gold bars stored? My guess is the same location where the
>
> Madoff money is secretly held.
>
> My view is the story is not only credible, but it is the climax to
> the
> US financial collapse. In time the United States will be isolated,
>
> declared a Rogue Nation, unable to fund its debt except with
> monetization, whose leaders and former leaders face international
>
> prosecution. The resulting inflation will undermine the USDollar
> to the
> point that it will not be accepted. A USTreasury default will be
> forced,
> all in time. To be sure, some demand for gold might be frozen into
>
> inaction obviously, as customers would fear owning fake gold bars.
>
> However, the significantly greater effect is that sellers of gold
> will
> scramble to purchase real gold bars, so as to avoid fraud charges,
>
> criminal prosecution, and jail time. They will be motivated to repair
>
> the fraudulent transaction with full expedience. The replacement
> effect
> will cause an extraordinarily huge demand. Only at that time, will
> the
> risk of exposing the stolen gold come, as the thieves will want to
> cash
> out on their crime, at least partially.
>
> The removal and illegal swap of gold has precedent. In the 1960 decade,
>
> around 1968, President Lyndon Johnson ordered the removal of 7000
> of the
> 8000 tons of gold from Fort Knox, and had it sent to England. The
> motive
> was to support the gold price at the time. Just a few years later,
> the
> US under President Nixon abandoned the US$ Gold Standard, as dictated
> by
> the Bretton Woods Accord. The gold was replaced during the Johnson
> Admin
> in Fort Knox by lead bars plated by gold. A contact of mine was in
> the
> USMilitary Police at the time. He reported long caravans exiting
> Fort
> Knox for weeks at a time, but the details of shipments were not known
> to
> the guards, only their duties.
>
> For some excellent forensic financial analysis on the fake gold project,
>
> called Operation Grand Slam, see Rob Kirby's article. It is entitled
> "On
> Doing Gods Work: Gold Finger - A New Take On Operation Grand Slam
> With
> A Tungsten Twist (CLICK HERE or CLICK HERE), dated 12 November 2009.
>
>
> news.goldseek.com/Gold...
>
> ?$$$ GOLD MARKET BREAKDOWN IS WITHIN VIEW. LONDON GOLD IS BEING DRAINED
>
> BY THE CHINESE. A DISMANTLE OF THE CRIMINAL APPARATUS IS THEIR GOAL.
>
> UPON FULL BREAKDOWN, THE GOLD PRICE WILL BE RELEASED FROM PAPER
>
> TENTACLES AND RISE SHARPLY. $$$
>
> Pressures mounted in early October at the London metals exchange
> as gold
> contract holders demanded delivery of gold. My source tells me that
> the
> parties demanding gold were almost exclusively Chinese. It is mostly
>
> private billionaires. Their stated motive was to diversify out of
>
> US$-based assets. Their rumored motive was to ruin the exchange,
> expose
> the chronic fraud linked to government ministries, and force the
>
> USDollar to fight in the open to demonstrate value or lack of value.
> The
> source said the next round of gold contract delivery pressure comes
> in
> late November, then again in March 2010, and finally in June 2010.
> He
> said the gold is gradually being drained in London, and that all
> demands
> for gold delivery were met in October, using legal force, the courts,
>
> and powerful attorneys. Not a single gold contract was settled for
> cash
> with a 25% dividend bribe. He concluded that the financial system
> will
> be broken at the gold-USDollar cross beam. He openly stated that
> he
> could not conceive of the system holding together past June of next
>
> year, and a severe test is likely in March 2010. He said with sly
> tone,
> "There is a saying: Watch out or you become shit before your own
> shovel.
> That is what is happening to the BOYZ right now. The people in the
>
> driver seat of the bulldozer have clear instructions what to do in
> the
> gold market." When the breakdown comes, it will be next to impossible
> to
> trade in USDollars, to settle commerce in USDollars, to finance the
>
> USTreasurys, to supply the USEconomy with credit, and to maintain
> the US
> banking system. The banks in the United States will then shut down
> in
> all likelihood.
>
> My view is that a battle royal is being played out with gross global
>
> pressures, between the old broken insolvent corrupted powers of the
> West
> versus the new wealthy ambitious powers of the East, led by China.
> The
> future chapters will possibly involve the Intl Court in The Hague
> for
> prosecutions against the Wall Street firms and former USTreasury
>
> officials. It will possibly involve a wave of murders from the middle
>
> levels, working up, since the guilty parties operate with impunity
> and
> government protection. It will surely involve relentless attacks
> on
> COMEX and London CME for gold deliveries, where collateral requirements
>
> are not enfoced. The practice is known as naked shorting, illegal.
> It
> will probably involve the isolation of the United States, with full
>
> recognition of a crime syndicate lodged within its government ministries
>
> and capital markets. These are truly incredible times.
>
>
> excerpt from Jim Willie's Hat Trick letter 15. Nov 09

Has the Dollar Been Debauched? (Hint: Check Out the DJIA Priced in Gold)

If you are basing your gold trading on "insiders" with CASH FOR GOLD signs in their storefronts, you're making a big mistake. There are a lot of reasons to own gold, but the fact that a gold buyer in a storefront, who probably wasn't in the gold business a year ago, is buying gold means nothing.
He's flipping it to a refiner probably on a daily or weekly basis to keep the cash flowing.


On Nov 18 05:40 AM Carlos Lam wrote:

> When gauging gold's long term prospects, there's no question that
> the Dow/gold ratio is where to look. I don't know if we'll get to
> 1:1, but it sure is looking that way given Dr. Bernanke's money printing.
>
>
> As an aside, gold isn't in a bubble. I still see jewelers hanging
> out "CASH FOR GOLD" signs, which means the insiders are buying.
> When I see "GOLD FOR CASH" signs go up, I'll start thinking about
> closing out positions.

Another Central Bank Bites the (Gold) Dust

Cable, music and game software will never become too expensive for the masses. When it gets close, the Democrats will have the government subsidize it for the "poor". But the "inconceivable ignorance" will live on.


On Nov 18 07:40 AM Beach Bubba wrote:

> Normally, in times such as these the peasants take up pitchforks
> and hoe handles to storm the Bastille; however, the peasants can't
> read or listen to anything other than ear-plug music and reality
> TV...oh well.
>
> What will happen when cable is priced out of reach to the dirty masses,
> music and game software become to rich for the peons; will they
> attack with their super-sized drink cups in hand..... They will die
> in the streets of worse than rubber bullets, water canon sweeps and
> inconceivable ignorance.

The Art of Silver Manipulation

Since the banks with the short positions are hedgers, their loss should be zero. They gain on the long side of their position and lose on the COMEX hedge side.


On Nov 14 09:06 PM Barryyes wrote:

> These banks have been holding short for some time. Can anyone calculate
> the loss they have taken on this position so far?

The Art of Silver Manipulation

The one thing I like about you is your consistency. No facts, no logic in your conclusions, just name calling and berating.

At least I put my bio out there, showing who I am and what I've done for 30 years and that maybe I actually understand how the markets operate.

You just hide, with no bio, no facts and a whole bunch of name calling.

You must have been loads of fun on the playground in third grade.


On Nov 14 04:45 PM 5142152-337 wrote:

> Thanks for the solid piece, Ed.
>
> You have one idiot ranting and raving again. I guess he's in bed
> with JPM...or wishes he was...
>
> In any case, keep up the fine work. We can only hope CTFC honcho
> Gensler puts the squeeze on the rats hoarding all the cheese. If
> we take him at his word, he's going to do SOMETHING! Lets hope for
> the best.
>
> As for the nay-sayers, well, as Kathy Griffin so aptly said: Just
> suck it!

Gold Could Take a Breather. Time to Place Some Stops

The Open Interest on Dec gold is down almost 50,000 lots in the last week or so.
That represents almost 5 million ounces of gold.

The decline shows shorts are covering by buying from willing long sellers.

Short covering rallies can be fast and furious, but the caution this article advocates seems very prudent. Long term bull markets can't be built on short covering.

The Art of Silver Manipulation

This article is nothing more than a rehash of the same invalid argument Ed Zimmer makes every week or so: the nasty Big Banks want to keep silver down.

Ed just never seems to address the fact that these banks are 2 of the largest physical precious metal dealers in the world and that Commercial Trader is, by COMEX and CFTC definition, a hedger, meaning they are offsetting their price risk using COMEX futures.

I addressed this in my post to Ed's recent "Silver Futures Show Markets Are Acting Strangely" from Oct 21 and have asked him to respond but he seems content to keep throwing silly conclusions out there in the face of facts that scream otherwise.

Ed, you need another windmill to rail against. Your logic just doesn't work against the facts here.

Again, Ed please respond to my post regarding your Oct 21 article.

Gold ETF Adds a Little Metal to Its Inventory

In the last week or so, Open Interest in Dec COMEX gold has fallen by about 20,000 lots, representing 2 million ounces.
That means rising prices have seen shorts cover positions by buying from willing sellers and that this rally is NOT being driven by fresh retail buying, but is merely translating the dollar's decline into higher spot gold prices, pushing shorts to cover.
That seems to mirror what is happening at GLD. The retail buyers aren't buying, so there's no need for the market makers to create new GLD shares by delivering gold to the vaults.


On Nov 11 01:36 AM eromanga wrote:

> Yeah, but it just doesn't make sense that we can have trading days
> of up to 20m GLD shares over the past six months and yet an impossibly
> few new ounces of the yellow metal are going into the vault. When
> you compare the rapid build up of inventory in the six months leading
> up to March, it just doesn't add up.
> And the GLD mouthpiece(s) say nothing, which only goes to encourage
> wingnuts such as the guys above who suggest that the gold in the
> vault is just someone's imagination.
> GLD should explain WTF is going on. I can well imagine that gold
> bears are creating short positions in the ETF by borrowing stock
> to short GLD. Should this be allowed. These people are just "creating"
> gold or printing money.

Gold Breaks $1,100: Does It Matter?

The statement by the Chinese official makes a lot of sense. Why should they buy gold with US dollars when they can buy domestically mined gold and pay for it with yuan they just cranked off the printing press? They can use the dollars to buy US businesses or real estate or commodity resources.


On Nov 10 12:25 PM FDNY RET wrote:

> If China buys it's domestic gold with those worth--less--every day
> U.S. dollars, then who will hold those dollars??. And what will they
> do with them.
> At least the IMF can dump them into that bottomless pit of third
> world'rs who never pay them back anyway, so "why care"?

Gold ETF Adds a Little Metal to Its Inventory

Yeah, yeah, yeah..and the moonwalk was done on a sound stage in Culver City, CA and the pope is really a Martian.

You have no basis for such a statement.

On Nov 10 08:58 AM USisCorrupt wrote:

> What difference does it make anyway? The Gold in the ETF is paper
> anyway. It has long since been loaned out or promised to someone
> else. All the US Equity markets are just one Giant Ponzi Scheme.
> If you want the REAL thing BUY it and HOLD it yourself. Or be another
> Bag Holder!

10.2%

Because a dollar spent by the government is taxed (taken) at the expense of a productive enterprise. A borrowed dollar must be eventually paid back, after again taxing the productive elements of our economy.
Government creates nothing. They just take from one and give to the other. If business saw that the government had it's fiscal house in order and that taxes (takings) could be reduced, it encourages business to expand and hire.
Hiring and business investment is anemic now because business is scared to death about the regulations and increased taxes being thought up by the current administration.
Would you spend $50 million to build or expand a new production facility in the US with the raft of additional restrictions, regulations and taxes being proposed in Washington??
Hiring comes from a willingness of businesses to invest and the environment in Washington is not conducive to that.

On Nov 07 12:07 PM bob adamson wrote:

> Mr. Ferguson -
> Whatever other affects such massive and immediate cuts in spending
> might have, I fail to see how it would increase the demand for workers
> anytime in the foreseeable future. If you disagree please explain.
>

What's Up with Gold Inventories?

Geeezzzz...
What is your problem??
I responded to a post questioning the auditing of GLD. They do get audited by an independent company twice a year.
No, obviously I have not personally witnessed the audit. Have you personally entered their vaults in London to see that they are short gold? I'm just tired of people guessing and supposing that they don't have what they say they have when there is absolutely no evidence to support such a theory.

If you don't like owning "paper gold" in whatever form that's fine and I understand the reasoning behind physical possession of metals. If you don't want to own GLD or SLV or futures or options that's just peachy with me. But why berate others who want to invest in that manner?? GLD and futures and options all fit MY investment objectives, along with holding physical gold, which I do.

You can have your opinion and express and explain it to others.

Can you engage in a reasonable discussion without being a jerk?


On Nov 07 03:27 PM 5142152-337 wrote:

> kohalakid.....re: your "GLD is audited". I have one question: Did
> YOU WITNESS this audit? If not, please shut up, there are some of
> us out here that want more than a piece of paper (its worth kinda
> what gold and silver ETFs are worth) to show there is PHYSICAL
> gold and silver backing the paper being stuffed in unsuspecting sheeple
> pockets.

What's Up with Gold Inventories?

GLD is audited twice a year by an independent auditor. If you'd like to read the full audit for this year, which was reported on Oct 21, 2009, go to the GLD website and view the Inspectorate report just above the Spider logo.
The only method for the creation of GLD shares is the delivery of physical gold to custodian vaults.
What makes you think it's all a myth???


On Nov 07 02:25 PM paxjds wrote:

> Tim, I love your articles and I am a follower. But GLD in my opinion
> has no Tonnes of gold. Many articles have been writen that articulate
> that. Perhaps you shoud write Ficticious or Created Gold Tonnes till
> GLD opens its Vaults quarterly to prove it has Tonnes and the Corret
> Tonnes there. I believe GLD is no more than Ancient Mythology.

What's Up with Gold Inventories?

For the last 3 days, open interest in the Dec COMEX gold contract has dropped. If the buying and increased price is due to short covering and not fresh retail buying, which would show up in GLD, then I'd expect spot gold prices to pull back a bit.
Short covering rallies don't last forever.

What's Up with Gold Inventories?

GLD and SLV do not lease out their metals. There is no provision in their prospectuses allowing the trustees to do that. and the GLD FAQ section specifically says they never lease or loan their gold.
SLV and GLD are backed by physical metal, not futures or forwards or anything but physical metal.


On Nov 07 12:51 AM The Recusant wrote:

> PastTense wrote: "Are any of the gold ETFs safer than the rest?"
>
>
> Try CEF or GTU, they aren't ETFs but are trusts. Both have independent
> audits twice a year and list the gold they have. CEF also has silver
> bullion in its portfolio while GTU has just gold bullion. Here is
> a quote from www.goldstockbull.com
>
> "For investors that prefer not to hold the physical gold, yet place
> a high value on the safety of their investment vehicle not to default,
> I recommend the Central Trust of Canada (CEF) or its all-gold counterpart,
> the Central Gold Trust (GTU). Unlike the popular ETFs such as GLD
> and SLV, these funds do not lease out your gold and they always maintain
> 90% or more of assets in unencumbered, segregated and insured, passive
> long-term holdings of gold and silver bullion."
>
> However, you will likely pay a higher premium (% of NAV) for GTU
> or CEF shares than for GLD shares but CEF has been around for almost
> fifty years and is located in Canada.