Tis the season!

Reports keep coming out, giving Americans this false sense of hope.  With gas prices so low the little bit of loose change that the average person has in there pocket is making them feel overly confidant in their spending.  Christmas is here and we see the manipulation of advertizing hypnotizing individuals to buy, buy, and buy.  Many people in the U.S. live way beyond there means, so they spend credit, fiat that they do not have and probably never will.  Most people have acquired a mass amount of debt, so much so that the average citizen’s family debt is over 52,000 and the savings per family is under $8,000 those numbers don’t add up to a stronger economy, yet they keep spending what they don’t have. 

I say this because when I mention what a major impact Christmas has over the market, I just cannot stress how many positions one must understand to see just how this retail extravaganza affects the global economy.  Christmas is not just a major American holiday all of Europe and may other countries indulge is this free fall of debt, Americans are just primarily consumers so we see it on a larger scale.  While countries that Americans buy goods from seem to be doing better than average during this consumer holiday. For instance, Sweden that we buy jewelry and watches from and many high end items i.e. Rolex and Omega, not to mention the pharmaceutical companies that benefit from the stress of Christmas.  So many industrial companies are depending on this season and rely on the holidays for a majority of their revenue. Like China, where we get everything from, all benefit from sales for the last half of the year.

During this festive gut-wrenching holiday that is driven by guilt and a need to spend, and credit cards to be used at over capacity.  The need to buy presents for everyone you know is totally justified and expected before paying off your house or a your car or even your electricity bills, during this holiday all this spending seems like a reasonable idea and puts families in even more debt and panic heading into the new year.  When I talk about debt, I am not just talking about individuals, I want to include huge corporations and government as well. We have acquired massive debt and the numbers are growing yet all these reports are trying to convince people that we are headed in the right direction. With Christmas here we don’t need distractions like ISIS or Ebola to distract us and the news is all puppies and babies, in fact they avoid any negativity during the holidays. They want to keep us blind to the truth, out of sight out of mind.  

During the depressions in the past we have seen it first hand people lined up for aid and food, out in the streets begging for any help at all.  Now we are sheltered from it, we have a food stamp card, government assistance personnel, whole offices dedicated to housing, disability and welfare. Free government money is the new normal. 

An estimated 45 plus of Americans are on food stamps, that is about 15 percent of the population and I believe it is way more, but that is just what they report, more like 30 percent. Our children are growing up used to and accustomed to aid, and government assistance programs, they don’t see why it is a problem to be on assistance and don’t care about it at all. Most young women in America, single mothers depend and rely on that government check and while some do benefit from the situation, go to school and see it all as a temporary time and assistance in they’re life. Others make this a life choice and take full advantage of the help, just take what they can and are comfortable living off the government. While we stay blind to the numbers and are persuaded by the reports and the FED’s false confidence, energy manipulation and media. We sit back and spend just to enjoy a day with family and friends. Tis the season to sit back save and trade, take it from me, it may make your New Year a whole lot better. -Adrienne

Down under, but in the green.

     Since November 28 we have been holding short Nzd/Usd. One would have thought Usd strength had come to an end, but apparently it CAN go on. As is said, the one thing that is limitless is peoples ignorance. The Usd has continued to be used as a reserve of wealth even with all the potential issues within the Usa financially.
     My thoughts are that the Usd is in for a correction, but with the price of brent crude being so low and America being such a huge consumer of petrol, this free money has been reinvested into spending driving up the Indexes and making the US look viable again to outside investors. Usually even with these fundamentals the currencies eventually correct, even if just for a breath.
     With Switzerland voting no (supposedly) on increasing it's gold backing, this did not help in the reversal of Usd's strength. Not that I think that modest of an amount of gold would move anything, but what it did was reinforce the idea that central banks can operate with single digit % holdings. That along with low oil prices keeps the preexisting ideas intact.
     This week there was no data released for Nzd, but there was multiple economic data releases for Australia and the two pairs weighted against the Usd do move in tandem.
Aud GDP came weaker then the previous quarterly release, a drop of 0.2% in quarterly gain. During this week, Aud trade balance came out again negative, showing that exports are still lower than imports. Retail trade had dropped too, not helping that regions standings. I acknowledge this is not New Zealand economic data, but with the amount of time I plan on holding this position, they do have a high correlation of 0.96 to 1.00
     With things looking the way they have played out this week, this position will likely be exited this week with a gain. Quite a bit of data was released and thankfully it was in our direction. Some decisions in the world of precious metals helped on the Usd side and some data on the Nzd side helped out.

Liquid Gold

     While on vacation in the middle of the eastern Oregon checking in now and then to see spot prices.  I was not too shocked to return to the same thing that took place last week.  Gold is moving quickly, oil is the main initiator here, as I wrote last week, that TPTB would not let it get lower than $75.  Thursday it was $74.42 if the prices remained low it could cause a major problem for the Keystone pipeline and make it financially undo-able, the break even price for the new Canadian oil production is around $85, already up and running producers can do it for much less but this affects all the new projects.
     Is it really a surprise when it came down to the release of this passing, that we see oil rising.  The Democrats are now standing behind the approval for the Keystone XL pipeline.  All we have to do is sit back and wait for the president to sign it, since he is in Asia he will get to it sometime in the next week.  Even though Congress might try to take the responsibility away from Obama, he is the only one who can approve it because it crosses international borders.  The question every broker and oil executive is wondering, will he pass it?  Legislation's like this in the past have been vetoed and frowned upon by the White house administration.  The pipeline is a major concern for the environmentalists that the Canadian extraction could worsen global climate changes and threaten the U.S. waterways.  On the other side, this is huge for the U.S. to become energy independent, creating mass amounts of job growth that can lead to a strong U.S. economy and we are in extremely different circumstances than when this bill was pushed in 2008.
      We know that gold tends to follow oil in the market and the indicators to make calls happen fast.  With the rise of the Euro and the dollar longer than it should have been we have to add in all the factors that sway PMs for instance we have the Swiss Gold Initiative coming and traders on high alert waiting the vote, but many already assume it will be a no.  The physical gold moves the market way less than the digital kind.  Let us add GOFO Gold Forward Offered Rate, kind of a way to swap gold in return for USD a lease to own dollar rate.  However, there is not an interest like on a lease with a borrower and lender where the lender gains it is more of a swap because the lender is the one paying a rate of interest.  It is not the spot price of gold; it is a subtraction of LIBOR corresponding values.  These swaps are made from one up to 12-month periods.  Shorting mass amounts of gold drives up the lease demand and that GOFO then is lower.  There are no supply problems for contract and the idea of leasing metals appeals to many especially when they see the contracts lower than spot price like we have.  A negative GOFO shows that demand for the swap is high; this could be for lack of inventory by COMEX or the futures offered by the SGE.  These indicators with the GOFO could be that big changes in the PMs could be on the horizon, even if the demand is just so traders can short gold the GOFO has shown the bottom price before could it again?

Bought Nov. 14
SLV April 17, 2015 calls strike $15.50
paid $1.23

Red Pill, Blue Pill = Bad Trip

If you want to believe the surge in oil prices today are a direct reflection of a strong economy, you are sadly mistaken.  A huge pipeline exploded in Saudi Arabia.  Prices fell under $76, possibly the U.S., Israel, Iran, Russia, or ISIS blew up a pipeline to increase the value of oil.  Yet the government stands firm that it is the increasing deflation in our economy.  Most likely, it was someone like Goldman amping up their Christmas bonuses.  This could be the most transparent administration we have even seen; the GOP could not even wait twenty-four hours to move the price of oil.  When oil prices fall, it hurts the GDP, and that the new senate just could not have that.  Our world is looking like some mainstream action movie with conspiracy, shooting down planes, deadly viruses, and terrorists, domestic and foreign.  I mean ok, the elections are over let the destruction begin, first up red team raise oil, bomb something!  Now increase the price of health Insurance and monopolize it ASAP.

 Seems there are no repercussions for all of the bold ringleaders, blatantly unleashing these catastrophes on the world, why are the people so blind to facts and numbers.  It is no wonder they want to legalize marijuana, it is not just the tax that states make millions on each month, really it is the only true hope we have for the economy.  It has to keep us blind to the obvious conspiracies and manipulation generated by the Administration and their Central Bank club.  The market was down, oil was down, oil goes up market is at an all time high, not really rocket science. Now with McCain head of senate let the chaos of military spending begin. What do we need now? A war with Russia would be great, they do not buy many bonds, and we are already liquefying the Ruble, making Putin unappealing for China and Iran to align with.  Higher defense spending is about to be the new normal, most of the GOP is ready and waiting.

We could just be so naive that there may not have even been a pipeline explosion at all, they could have just closed it off to shift the demand.  Oil manipulation is an odd one, you would think that with everyone having a phone and how into our “live” media and You Tube coverage that we are in touch with all of it.  I have been on the set of movies and helped with digital imaging and voice-overs.  I have seen what people can manipulate with technology, even if you see it and hear it; the simple fact is it may not be real.  How many times do you think “they” have gone into a country or village to gain information or resources and said it was for something very different?  Need more money with oil, bomb, or close a pipeline then buy or sell.  Need more military spending create a war?  Need to know what China’s technology is capable of, poof make a plane disappear.  It goes on and on. What we are seeing with metals is just another fine example of mass manipulation.  

The Lesser of Two Evils

As Americans today is a very important day, as midterm elections come to an end, so do many politicians dreams for change.  The social issues that most Americans vote on, or are concerned about are the least important to the masses.  I am not saying that gay rights and abortion are not worth campaigning and voting for.  This year you may want to hold back your own personal donkey vs. elephant emotions, because how the FED is run, is on our table for a vote, this could be the most important issue we face historically.  Could the FED and its interest rates be run by congress for the first time in history?

 This is what people should be worried about, if you have money in a bank, these issues should be what your main focus is on.  That the interest rate polices would no longer be controlled by the FED.  These issues are huge; in fact, this election is the first time we have seen members of the GOP issue bills like this.  Even when a bill to audit the FED was introduced 2012.  We saw what challenging the FED did to Ron Paul.  The FED is running our economy, so lets put aside our emotions about these social issues and understand what is really on the ballot here, the less active the FED is the much stronger the USD is.  We are seeing this now, the USD is on a four year high, this is because of many factors. A few of those factors are the announcements about what is happening with the FED and its decisions to end QE.  The negative interest in Europe and now this legislation challenging the FED, we see the USD rising with people’s new sense of security in the market and economy.

            The outcome of this election, which if the GOP takes the office, the FED will have to answer to someone, means its days of control will be limited.  The GOP has yet to control the senate since the 2008 crash.  That does not say too much, since the democrats have been in control we are also massively in debt, even though we also have not seen a crash like that since.  For any group to change the position of the fed, it could be a potentially suicidal situation.  If the FED raises the Federal funds rate this would destabilize the economy all the leverage and carry trades unwind, the stock marked sells off, because of leverage the prices would crash.  On the other hand, spending money is the power congress has.  Lowering interest expanse, congress is empowered to spend more created and taxed dollars by the trillions.  It is kind of a lose-lose situation.

Elections should be a way to win and make changes without a fight or war, yet who can win when our leaders are lawless and we can only choose between the lesser evil. If you look at past elections and the puppets that America has, all of our presidents since Kennedy have been CIA run.  Regan just read the teleprompter, Bush… need I even comment, even Obama who I was all for until I looked at the facts.  Throw an election where we have someone like Putin up on the stage, no writers or hands in his pockets, just someone fighting and believing in us, in our country, not for all the corrupt aspects of money.

As an American, I do pride myself on freedoms that we have, everything from choice to ability.  However, there is a major price in this delusion, because we are brainwashed daily, media forces our belief system and desensitizes our souls.  Hear no evil, see no evil is how we view the world.  Even though we think we are free and that our votes are worth something, it is all a dream in a very corrupt world. Once we all wake up and see what is really happening, I do not mean your status on face book, we may really make a change for ourselves and nation.  

Green-spun out

“Gold and economic freedom are inseparable”-Alan Greenspan

             Let us just say that economic growth falters or asset prices start to fall, then what?  What will happen to the market?  Would the FED just start printing away?  The end of QE and the bond purchasing program not only drops the bond markets and overvalued stocks, it makes silver and gold look extremely bearish. Many factors could be playing into this with the Swiss Gold Initiative, Ebola, fear and other geopolitical concerns. All of these affect the market in an odd way since we see a huge demand for gold, yet the price is falling with demand growing, it hardly seems right. The analysts will do the blame game, and try to make sense out of it, who better to blame but the FED. Especially convenient when past members of the FED are blaming the system that they created or put in place.

  Greenspan stated that the FED’s balance sheet “is just a pile of tinder” and gold is a good place to invest, because he feels it will rise “measurably” in the next five years.  After 19 years at the FED, seems odd that he would slander the way they have been handling things, even with his successor Bernanke still in power, yet he said the FED “fell short of its goals” when it came to economic growth and unemployment.

 Alan had been on or near wall street since the 40s and knows his way around money and economics. During his time with the FED he used standard Taylor rule of economics, that every percent that inflation rises, the central bank should raise interest. This was not the view or beliefs Alan had from the 1960s. Greenspan seemed to have been a huge advocate for gold, in fact he published an article on Gold and Economic Freedom in 1966. Some of his statements in it are jaw dropping knowing now what he has done while in the FED, saying gold was a great way to save your money and was pumping up the gold standard. Just like what he is stating now, yet in 1966 gold was $35 an once.

 This was of course before he was a member of the FED or a consultant for President Ford, Bush and Regan. At this time his job and focus was being an economic consultant for his own company, backed by beliefs non-existent of his time in the FED.  From 1987 to 2005 Alan did not partake in any broadcast interviews unlike Bernanke his successor who makes regular public statements trying to gain assurance of the media and people, trying to gain transparency instead of the secretive past of the FED.  Greenspan before and while serving in the FED was also Director of Foreign Relations and served as director of huge corporations like JP Morgan, Mobil General Foods and many more. He even assisted Nixon as coordinator on domestic policy. Alan was regarded like a rock star to politicians and the financial world, until some bad calls were made, then the subprime mortgage crises that tarnished his reputation.

What is Alan really saying that you have less than five years before the market collapses, so you are welcome for the QE handout, now move over to gold?  Greenspan may be feeling guilty for the years he helped drain the money supply; he now is on a buy gold campaign when he is clearly a monetarist.  He is a major manipulator and is a key player in where we are today and 4 trillion dollars in debt.  Now he goes back after all we have suffered though, as if we do not know that PMs are a way to insure our money.  Is he just talking to the elite, because he knew the way to grow the economy in 1966 and did a 180 turn.  What is really happening here is major market manipulations; they sell paper gold from $1300 down to $1200. Manipulators are then guaranteed volume to be able to buy at traders stops.  Then they buy back positions at $1200 (if they can see the order books) then make money again when it rebounds, voila.

Putin Together a Team

Putin stated his opinion in a speech today from Sochi, he talked about the USD and how it is not the reserve currency that we once had. This was after he had just met with princes from the middle east, it seems Putin has started to form a team, and the US is not a pick. Vladimir also expresses how the US is dismantling its allies and the growing risk on global security, and international relations. He calls for interdependence globally, and looking for new economic ties. He stated that the global leaders are blackmailed into their idealism. That the US has a “self Appointed” leader, and humiliates its partners. Clearly Putin is not a fan of the US. Should he be?

He implied that social media in the US is running things. History of the US social media shows he is right. Would we see Russia differently if the media hadn’t portrayed it the way they did? “My whole life I have watched movies like Top Gun, Red Heat, etc. movies, shows and books that influenced so many of us to believe that the Russians were just evil villains, in fact it was instilled in us though many forms of the anti Russia campaign. He however is talking about a much deeper level of media run society. That we are being fed lies, while the truths are manipulated, concealed by TPTB, they say we are safe and things are fine. I personally would rather spend six hundred dollars on PMs than an iphone, but ten million people don’t agree with me. To TPTB us being blind sheep is better than the alternative, each American standing up grabbing a gun, taking out the fiat that doesn’t exist, investing in gold instead of a digital decimal point and seeing just how stable we really are. What the kids are learning now is very different than the lies that were in the text books just a few years ago.

 The more we withdrew and retreated, the more aggressive Putin has become, he may feel he has to prove himself, show his strength after the cold war era. Vladimir’s campaign seems to be a campaign for anarchy. What he is stating is terrifying because its so true. Out of all the world leaders we have right now, he is the only one that is making any sense of things, and other countries are taking notes, countries seem to be very  intrigued at the quite isolated Russian, now not being so quite or isolated. Should we be looking at what Russia is doing it seems like a few counties are climbing on board with going back to a classic gold backing, Germany, The Swiss, China and India not to mention the others on this team like Iran who if they jump ship on the USD well we saw what happened to Saddam and Qudaffie when they bailed on the USD so even though I am a true believer in PMs, I know what the US is capable of and know if they are pushing against the petrodollar and going for the gold we will find a way to make the price of GLD as low as we can. Almost time to hold short my friends and have a great weekend

Controlled Information FED to us

We will control the horizontal. We will control the vertical.  You are about to experience the awe and mystery of:  The Outer Limits.

As the stock market rises, we have to ask ourselves how many stock buybacks are taking place to artificially raise the market. The FED loans and funds these buybacks for a 1% rate and the bankers get their cut.  The FED doesn’t benefit from the halt on QE that’s why we wont see it end. We should look at Germany and see our very own future, since Germany is the only one who has experienced inflation to the extreme. Japan is experiencing the same fate with the illusion that funds are being printed out of thin air. The market is by far not a fixed market, but a central institutionally owned one. The information that we receive about unemployment and inflation is totally impossible “they” report that we are near full employment yet the public is out of work, job fairs overflowing, and students with masters degrees searching for any job to get hired. Other statistics show 93 million are jobless, so how do their numbers match up?

Does anyone remember The Plunge Protection team, the presidents working group on financial markets. This is not the FED or QE, none of that, this is a whole other entity in fact after “Black Monday” in 1987 Regan put together a team to prevent the market from having major downturns. The group was charged and accused of going way beyond their legal mandate in attempts to manipulate the stock market by using government funds to buy stock index futures and stocks or using moral suasion to have banks do their dirty work. The only way they really could don this is through the US treasury, the FED or the cooperation of banks. Quite possibly all of the above were done and still are, on OCT 2008 the Working group did issue a statement saying that the government may own certain shares in the firms that which it provided loans. Knowledge truly is the most powerful thing we have as humans we can not just rely on the numbers, the reports that are fed to us (no pun intended), knowing all aspects is the only way we will keep up with the TPTB.

Follow the yellow brick road

Experiences in Asian culture concerning paper money has not been so good, historically they have more tangible assets than we Americans do.  With the economy in such disarray, it looks like our own negative fiat experience is just beginning with the monetary challenges that we face in the East and West.  China and India combined make about one third of the global population, this is not including Russia and Iran who both seem to be on the same page as China and India.  Historically having and buying bullion has been a strong cultural way to secure their disposable income for centuries. Gold has not just been a social standard for these countries but a necessity, an insurance.

 The SGE is pushing to provide gold options; this could change the London fix price, something that they have been working on for some time now.  So will we see a mass selling spree of bullion?  I think not, not when it comes to physical gold.  We are not seeing just a trend in the buying of gold; we are experiencing a major shift in structure as a whole.  Russia and Asia are acting like their own CB by veering from the flood of QE and securing their own currency truly diversifying their own wealth backed by gold not oil.

For instance, Russia bought 37.3 tonnes of metal during a time when political tensions are at a high and Putin’s own currency is falling hard, they buy gold.  Putin does not seem concerned with much but the buying of metal, since this was the largest amount by the CB in the last fifteen years.  Putin’s battle with the bankers seems to be reminiscent of the Battle of Stalingrad or Napoleons invasion, he is finding a way to defeat the fall of his currency by investing in gold.  We are seeing this with China and India showing high numbers from the SGE surpassing last years.  The festivities this week in India caused gold to reach a high, during this week 20% of gold purchased annually happens during this festival.  In India, half of the jewelry bought in a year is for the some 10 million lavish weddings that take place, some lasting days.  Where the gold that is bought and passed down to the new families is considered more important than the bride and groom.  Since they are the second largest buyers of physical gold India makes up about 32% of the worlds gold buyers, we see a lot of volatility with the price as the puppetries try to keep it below a reverse level.

Fear of the FED and higher rates cause traders to get cold feet when it comes to gold, and you see more and more of the fluctuation in price and stocks as the market swings. All this year we have been seeing an anti gold campaign in the two largest buyers of the precious bullion with luxury bans.  We have to remember that India’s Reserve Bank is a branch of England’s (Rothschild’s).  These countries seem resistant to the ban and gold and metals are still in high demand, so why is it still low?  That way they can buy it up at a low cost.

The Swiss may have the Cheese

Little discussion has been on the important news prior to the referendum on November 30^th regarding the Swiss campaign to “save our gold”

            One of the largest groups of political representatives in the Swiss parliament are considered to be the national conservative members of the SVP Swiss People’s Party.  The SVP filed a initiative on August 26, 2011 with the Swiss government, Titled “Gold Initiative: A Swiss Initiative to Secure the Swiss National Bank’s Gold Reserves”, later changed to “save our Swiss gold initiative” This campaign is to retrieve the Swiss family’s gold and considered to be the peoples gold. The gold was sold off by The Swiss National Bank and the Bank for International Settlements. The initiative states that the physical gold must be stored in Switzerland, and total assets of the SNB must have 20% of assets backed by physical gold and can not sell the reserves. Gold of the Swiss National Bank must be stored physically in Switzerland. The Swiss frank now backed by 25% instead of the 40% that was required back in 1997. SVP blame the devaluation of the CHF on the lack of gold backing. The SVP argue that the FED and CB increasing their money supply has devalued not only the CHF but also the USD and EUR. The SVP say that if they hold gold to back the CHF it would stop the devaluation. This vote will not only would make other countries view gold as a huge monetary and safe asset, we would also see a huge increase on the EUR itself. A few other Countries seem like they are swaying the same way, we see China, Russia and others stocking up on the precious bullion. This could be the biggest global move for gold, as it would drive the gold prices sky high.

Reassurance is our only FEAR

Okay, with all the news being about Ebola, I did not want to engross my readers with more information that we already know. Let me be the one to put a twist on it.

            Anytime that the government is telling us that we have nothing to fear, we should be very afraid. I am quite sure Hitler told all the countries he took over and the people he killed “not to be afraid” as well. As history repeats itself time and again, a common theme is the reassurance to the people, to reduce panic and fear by the emperors and kings just as they turn their back on their own people and leave them to die. In 2014 I am stunned by the lack of important measures taken to prevent this disease from spreading.

            The incompetence is unreal, we are seeing it with the CDC, the hospitals, even our own president, who is making this seem like we have control over something that is already too big to regain any hope for the soon to be 100,000,000s of people infected. Let’s just estimate 8,000 people out of the say 20 million combined countries in Africa where infected bodies are laying in the streets and handled by family members, with no adequate systems for sewage and water. If it is transmitted by fluids, is it in the water ways and how long till it mutates in some of the highest populated countries and becomes airborne?

 According to Obama there is nothing to fear, and information given by the CDC members is overly reassuring, all is fine, despite the  attempts to track down all passengers and anyone who has come in contact with the infected, or that it costs over $150,000 to clean an apartment after, but its fine to travel. With Americas extreme caution and use of experimental drugs on patients any infected would be idiots not to come here or send a sick family member here or Europe for treatments. We now have an infected nurse flying on not one, but two flights. A nurse spoke out saying some members broke “optional” quarantine and went for soup. We have optional tests at airports and are flying in people from Africa.

Many may think this to be population control. I feel it’s way deeper than that NIH keeps pushing to vaccinate entire countries with a new Ebola vaccine, it may be that the true threat will lie in the vaccine itself. Pharmaceutical companies are just like many of the  bankers and the FED, corrupt and out for themselves. With the healthcare system totally turned around by Obama care and costing 300 billion more than expected. It seems to be nice timing for a major disease to break out that has no cure, the FEDs bubble is bursting and market collapsing, lets blame it all on the outbreak and ISIS while we gain more oil and buy up gold and PMs, sit back and burn the fiat to keep warm.

Market indicators of gold manipulators

Let us gain a different perspective on things, let me start by correlating some of the major players in the market and how they tie in to one another. One of the largest futures and options exchanges in the world is the Chicago Mercantile Exchange & Chicago Board of Trade) the CME group is described by The Economist as "The biggest financial exchange you have never heard of" created designated contract markets (DCM) of the CME group. The DCM are the outcome of four very large exchange groups merged into one, The Chicago Board of Trade (CBOT), NYMEX, and Commodity Exchange, Inc (COMEX) and CME. In 2010 they owned 90% of the DOWs index and 24% of the S&P Dow Jones Indices. The CME recently bought the Kansas City Board of Trade for $126 million.  Matter of fact they have a hand in everything it seems, they even provide “Clearing services” settlements that specialize in the “clearing of exchange trades”. Now they operate derivatives exchanges in London and are the new administrators for the LMBA. The CME even ended a 117 year run of the silver fix earlier this year with the LMBA. They even changed the trademarked name from “fix” to “price” just to ensure recognition because they could not keep the “fix” name.

 The question is when and who will gain control of the gold price? We know China has been trying now for a while and are close, China stated at the Gold Congress a month ago it wants control of the physical gold price. With how big the China HSBC has become, despite the controversies and money laundering. They seem to have a hand in all parties decision making and are working close with the LMBA and CME. The LMBA seems at odds with the Gold World Counsel (GWC) their former spokesperson, so what is really happening here.

            How much control does the Financial Conduct Authority (FCA) and International Swaps and Derivatives Association (ISDA) really have with the likes of JP Morgan, HSBC, Barclays, Deutsche Bank,  Scotia Mocatta and UBS the heavy holders of bullion and members of London Precious Metals Clearing Limited.  Since September 22 the LMBA has not been supplying the LME with forward curve data that has been supplied to us by the market makers since 2009, instead it is replaced with the Gold Forward Offered rates (GOFO).  

The demand for gold is still very high we see this when we look at charts showing tons being sold and mined. How do we find the true price and value of gold?  We do know gold is massively undervalued, and heavily manipulated by the market.  Do not just invest in PMs in case of the market crashing; invest because the fiat money will inevitably fall.  Time and time again the people that are holding PMs get rich not poor.  You own PMs not just to get rich, but to hold your own economic value.  Gold insures that you pass wealth down for generations to come, it is not just insurance for you, and it is true insurance for your children’s children and so on.  Don’t be mad at yourself that you missed the one chance you may have to buy gold in the next decade as low is they are, or that you can still even buy these physical metals at all.  In 2008 after the crash the estimated waiting list for PMs was 2-6 months out, if at all.  Estimates on price vary because of the physical gold supply, and that is really more limited than we could ever imagine.

Right past the point of Wrong

"The few, who understand the system, will either be so interested from its profits or so dependant on its favors, that there will be no opposition from that class.”  — Rothschild Brothers of London, 1863

With Rothschild and Sons Limited being one of De La Rue's advisors, its no surprise they won the bid and are signing on to a 10 year bank note printing contract with the bank of England that would begin in April 2015.  Mark Carney seemed confident as he tried to explain, "We have to accept that as this process moves forward, as some economies emerge from a period of exceptional unconventional stimulus, there will be greater volatility,” Carney said in an interview on CNBC today,  “That in and of itself should not influence the path of normalization of monetary policy."

            Not surprising they are “saving” the economy, none knowing how much the monetary inflation required for this will be?  In April 2015, should we see U.S. rates peak?  Maybe they will just keep printing enough fiat to totally collapse our currency altogether.  How do we fight the FED? We have to be very careful in this “gang war” of power. People really think its all about stocks, bonds and fiat, its not. It’s really about the empire and who is running it. It’s about Carney, Dimon, Rothschild and many more. It’s about mass global and social networks of feudalism. Spreading a virus that we all know is mutating and becoming airborne. It’s the building of artificial borders to use and control labor, people and commodities.

  It may be that they are redefining the problem to suit themselves. We the “common” people are always the last to know, unprepared and doomed to repeat the past over and over again. Is this an indicator of what is to come?  Print, print and print for the next decade, is that the new normal way to hedge?  Could it be much more?  I know it is.

           

"Give me control of a nation's money and I care not who makes its laws" — Mayer Amschel Bauer Rothschild

"It Shall Be" Are we keeping the faith?

If money was just based on faith instead of a physical commodity like gold or silver, we would need a name for it. That is just the idea when Fiat money came into play in the 20^th century.  Fiat translates from Latin to “it shall be”. With Fiat money the risk is huge when it comes to hyperinflation, since fiat currency is just a type of paper printed out, it has nothing backing it in true form. Since the change Nixon ordered in 1971 after the collapse of the Breton wood system, the conversion from the USD to gold no longer exists. Fiat money was then printed out, in fact supply and demand has nothing to do with fiat money, it truly is just paper. If the people lose “faith” in the USD, it will then be a worthless currency.

            Many gold holdings go unreported. Central Banks, countries and larger corporations are known to stockpile gold and metals without detection. We are seeing many other countries right now buying up gold and other metals in mass quantities. It is crazy to think that other countries are returning to a stable monetary system as we had pre 1971, a reliable gold backed currency. They are possibly quite ahead of the game. In the U.S. we see that our society is breaking down, with a population that cannot pay for basic needs or sustain itself with rising prices. The only reason we are not seeing people lined up for rations is that they now get food stamps and welfare via card.

           PMs seem to be the one thing overtime that has been guaranteed to hold value. Paper money is a game and unless you do not mind losing a lot, you can play, but remember there is a counter party who knows and plays better than you and backs every paper dollar printed.

Now that the Shanghai futures market is open with what seems as a better offer than COMEX, stating that it is backed by actual gold not just highly leveraged paper, we see a slight decline with the PM markets, it’s just the time difference and volume that are swaying it.

 China shows photos of a fashion catwalk with 13 million in gold bars seen though a glass floor just for decoration, so you can imagine what the investors are holding. Even with the luxury bans happening, smugglers are finding ways to get gold in to China and India. Look at the charts of China and Russia, they are accumulating mass amounts of physical gold and the demand is growing.

Positions:Long GLD June 19th, 2015 114.00 calls. Paid $6.80, currently $8.05, with a gain of +18.38%
Buy Gold $1191.50, Currently at $1223.20 for a gain of 2.66%

Interested in Yellen at Janet?

First off let me start by quoting myself...“after this Wednesday, gold will be skyrocketing”, overnight we finally saw the 1% jump in gold, 2% in silver, platinum 0.5% even palladium rose 0.4%. This is just the beginning. Other commodities rose as well with the capital rushing back in, as the USD weakened. The FED announced that they will not raise interest rates, knowing how unstable the economy is. With the focus on the Asian and European market, Britain's FTSE 100, Germany's DAX and France's CAC 40, showed the USD weaken quickly.

Traders and investors are afraid that Janet Yellen’s will take the views of her predecessors, Alan Greenspan or Ben Bernanke regarding her decisions about monetary policies, which will lead to market volatility as it has before. We can blame this meeting and low interest rates all we want, but Janet is not the only reason we are seeing the market move like this. I feel that people are hypersensitive right now, a lot is happening between ISIS, Japan, Ebola, etc. The world news is pumping us all up to panic, causing the market to act unstable and unpredictable.

The USD continues to drop right after Janet’s announcement, but also after a release came out from a meeting the FED had in September that stated, how if the dollar rises it could very well have a severely negative “impact on the fragile U.S. recovery”. When the FED states that they are worried about a strong USD, you can bet its going to weaken. When this happens, these decisions are made knowing well what will happen and what is happening now, you have to ask yourself why?  What are the true intentions?  This is when you have to look at all of it from new and sometimes odd perspectives.

Higher inflation is on the rise, it is important to get your positions correct and hedged accordingly.  If you have never traded metals now is the time to start, throughout history it has maintained purchasing power, and is a solid investment.

Positions:Long GLD June 19th, 2015 114.00 calls. Paid $6.80, currently $8.20, with a gain of +20.5%
Buy Gold $1191.50, Currently at $1223.20 for a gain of 2.66%

FED Found Economy Dead

Positions:Long GLD June 19th, 2015 114.00 calls. Paid $6.80, currently $7.95, with a gain of +16.91%
Buy Gold $1191.50, Currently at $1219.70 for a gain of 2.36%

The strength in the economy is not measured buy the market stocks; it is the FEDS balance sheet that rates it.

 Not any branch of government, agency even president can overrule the actions by the FED. The FED it is an independent agency, in fact they have there own rules and standard.  It may seem that the FED is this secret agency, comparable to the Illuminati or the Masons, with all these numbers, statistics, with many things to hide.

On the contrary Rosengren has published federal funds rate targets. He also released limited and edited minutes of committee meetings, along with announcements of interest rate targets, and how long they see those targets remaining.  On Rosengren’s “path to transparency” he even let an outside companies Deloitte & Touche along with one of there own inspectors mandated by congress to audit the fed.

 Of course, who knows how fourth coming they truly were with their information, what relationship these “good ol' boys” have with one another, and to what end the FEDs statements can be manipulated in an audit. The government and the people want into the FED. Now the chairman of the FED Ben Bernanke testifies regularly before Congress, and the public, quite possibly to just ease the media and people from pushing their way in. The FED may just be misunderstood by many, some see it as a essential need to stabilize currency, others see it as doing much more harm than good.  Charles Plosser president of the FED argues, “They don’t have the tools to wind down the stimulus”. If they don’t, then what is the “Doomsday Book”?  Will it ever be released?  The global economy should have collapsed in 2011, the book has been implemented and used since 2008, could it have so much to do with just why it didn’t?

The FED could just be the most sophisticated money-laundering organization on earth ever. They do not want us to know what is in that book.. Could it be page after page of ways to rule the world? Chapter 24.  Ensure a nasty untreatable bio-weapon or virus that will make its way to the U.S. In the panic, print more money.  Chapter 20 to make gold illegal and nationalize assets.  I personally think there is only one word in the book: RUN.

Oil for Thought

Positions:Long GLD June 19th, 2015 114.00 calls. Paid $6.80, currently $7.30, with a gain of +7.35%
Buy Gold $1191.50, Currently at $1210.20 for a gain of 1.57%

 In 1966 the central banks had 14 billion in U.S. dollars, the USD was bound to the gold standard so with only 3 billion in gold to cover the foreign holdings, it just wasn’t enough. When Nixon declared to “defend the dollar” he removed the USD from the gold slandered in 1971, and the USD became a debt based policy. He claimed he did this for monetary stability.

In 1973 he had secret meetings with the head of Saudi Arabia, and created a deal called The U.S.-Saudi Arabian Joint Commission for Economic Cooperation (JECOR) this stated that with a few exceptions, Saudi Arabia would sell oil in only U.S. dollars. Then invest the rest they made into the U.S. treasury markets, that way the IMF could give loans to other oil importers. The petrodollar recycling system, Saudi Arabia would only buy/sell oil in us dollars, this was presented as a buffer to the rising oil prices. The U.S. monetary restraints were removed now they could increase money at will, Fractional reserve banking was taking place.

Currency is everything to the powers that be, we see a major pattern within the governments and individuals who control the markets. Like gold, fossil fuels are limited and have been a billion dollar investment for major corporations worth killing for, even starting a war over. The main reason for going to war is challenging the USD, it’s the only thing our government sees as a true threat, we would love to belive its for the good of the nation or we are helping “them”, all the bogus reasons they state. As long as we need fossil fuels, and its sold in USD there will be a demand for the USD, America will do anything to keep it this way.

In a 1994 an interview with Dick Cheney, he is asked what will happen if the US invades Iraq, he actually lists off country by country how they would be affected if we  invaded Iraq. Scary thing is, it is happening in the present day, since we went to war with Iraq, he goes down a list of countries and groups that then would be in power, how the direct events would take place and end with Iran. The same Iran that we accused of making or having a nuclear weapons except they didn’t, even stated that they had no intention of doing so. Since 2004 Iran has been organizing their very own oil market and it wasn’t going to have any ties to the USD.

No surprise the government knew exactly what would unfold, the risk of the nations and lives that would be massacred, the money and military that would be expunged. I have stated before, I feel like these threats of terrorists and disease are extremely convenient, that all of the places these “events” are taking place, are in regions that we want access to, or need to gain control over. You may think to yourself, our government wouldn’t risk so many things for money and power, or oil. Oh but they are,  the Iraq war we campaigned for was primarily a result of Saddam Hussein switching the oil sold in USD to Euros. This of course is information that the American people were left in the dark about, even though this was the biggest geopolitical move of the nation.

Lets put it all together, Dick Chaney was also member of Project for a New American Century, they released a strategy called rebuilding Americas defenses, Strategy Forces and Resources for a new century. A way to expand the U.S. dominance worldwide, with major funding for the military spending. This stated that enforcing this would take years to achieve, “absent some catastrophic and catalyzing event similar to a new Perl Harbor”. Then 911 took place one year later. TA-DA, a new Pearl Harbor. We were able to invade and even impose the patriot act, without any resistance. While using terrorists as an excuse, weapons of mass destruction was a way in, a way that the people saw as justification. We know North Korea has weapons of mass destruction, you do not see us invading them.

As soon as we gained control over Iraq, the oil went back into USD.

Keeping up with the Keynesians

Positions:Long GLD June 19th, 2015 114.00 calls. Paid $6.80, currently $7.20, with a gain of +5.9%
Buy Gold $1191.50, Currently at $1207.60 for a gain of 1.3%

October is said to be the most frightening of all months, not just for costumes and Halloween, fear fest, etc. October is frightening most of all for traders, this is the month when the market has crashed in the past, including in 1927, 1987 and 2008. It’s no secret that this time of year is a tricky one (no pun intended), many past reports show even with the decline of S&P and large-cap index companies, it also shows October to be one of the best performing with returns at 10.9%. Personally, I don’t see the month having as much to do with the fear in the market as what is taking place in the geopolitical and global economic realm.

            I feel redundant saying it again, but now that the economic data is out, I can finally stop preaching about how the dollar is weak. The previous reports were wrong, the USD along with our economy is on the brink of collapse. Many people have lost so much faith and respect in the USD, that eventually they will turn to a greater currency. Could Harry Dent be accurate when he invested in Australia the way he has, will that be the better economy to live and invest in? Keynesian economics is dead and gone, now if they could print out deeds, we would at least have some collateral instead of just a mountain of debt. Even then, we would be entrapped in mortgages. There really is no room for growth at this point, we as a nation are tapped out due to the depletion of cheap energy, and an array of greedy puppet masters fueling the people and the market with blatant lies.

QE isn’t going to end just yet, not with the negative interest rates in the Euro and its uncertainty with investors, not to mention the bail-outs. The USD is only the lesser in all the evils, not truly a safe haven for foreign investors, it is just has the illusion it is. The capital we had from the colonial era is gone and we have piggybacked on societies’ that had our “new” technologies and ideas. With the huge entitlement outlays to fund, the U.S. will have to keep borrowing and printing, creating more and more debt.

Maybe I could have been spot on with my prediction that the manipulated rise of the dollar was to bring down the price in gold. It would be interesting to see how much bullion JP Morgan is hoarding along with the other owners of the economy. With the “revised” corrected data out on the housing and economics of the U.S, I am shocked to see just a small change in PM’s I would have thought that gold would be skyrocketing with the information released. 

Did I mention the COMEX manipulation? Let’s touch a little on that, traders are to believe that technical analysis and PMs is totally out. It’s not, just learn from the manipulators, they know what traders will do. It’s like getting into the mind of the puppet masters, Central Banks, the FED, etc. Volatility in the market is high in October with record fluctuations happening even higher. Singapore’s holiday and the Chinese market being closed for a week have affected the slow rise in PMs, however when it opens Wednesday and the new SGE reports come in, my prediction in gold skyrocketing has just begun.  

"All the perplexities, confusion and distresses in America arise not from defects in the constitution…, as much from downright ignorance of the nature of coin, credit, and circulation" — John Adams, August 25, 1787.

New Position "The Age of Gold"

We had a fantastic run for eight weeks holding short at $1309.88 when closed at $1191.50 with a gain of 9% My new position stands, GLD June. 19,2015 calls strike 114.00, price $6.60 bought long.

Lets get Phyiscal, Phyiscal

Strange days are now upon us… In January, physical bullion sales were astronomical and it was affordable for the most part the buyers were excited for the rise of the numbers. Now with the USD strong why are we seeing the same pattern, gold is dropping in value, yet buyers are fanatically buying the physical bullion up. In fact, more physical gold was sold in September than in October of 2013. Despite the current luxury tax, China and India are back buying the physical bullion. Reports show high demand of a 30% increase, possibly due to the current holiday in China and festival in India that is about to take place. Manipulation of the markets may be taking place by common interests and this is said to be a general rule to move the market in a direction that is beneficial to the parties involved. I say this because the buying power of gold shows strength, yet the price is decreasing daily. This is really only with the USD, if you look at other currencies you do not see the price of gold as low, worldwide the price and demand for physical gold is still very strong. If you look at the weekly reports from SGE vaults, they withdrew 50.3 tonnes in week 38, the demand is that high. Silver in London is declining while Shanhi (WPSE) leveled out without decline at SHFE, SGE vs. COMEX. What reports you compare determines the information you receive, reports like OTC tend to lag and COMEX can only give us so much. Seems that the world Gold Counsel would like us to think that the gold demand is low. Just like the U.S. government would like us to believe the USD is strong and that we’re not in a recession let alone a depression. Gold and metal trading has kept many traders afloat in times of uncertainty. If you are not yet trading metals, now is the time to start. Finally coming to an end of a good run, the position from 1309.88, now closed at 1191.50 with a gain of 9%. Cheers Friends.