Open, Weekend Thread

I am going to be away for the next 36 hours, or so. Sadly, the mother of my friend "Sweetness" passed away earlier this week following a long battle with cancer. She was only 70 years old. She should have had at least 20 more years of birthdays, baptisms and weddings. Instead, that evil, insidious disease claims her as another victim. Do me a favor. Relax and be happy this weekend. Take some time away from all the endless C/C/C/Fed/ECB nonsense. Sit back, count your true blessings and thank your Creator for the opportunity to live and love.

That said, here's a little C/C/C/Fed/ECB nonsense to help you pass the time.

Several Turdites have enquired whether or not I am familiar with a blogger named David Malone. Honestly, I had no idea who he was. Now that I've read some of his stuff, I'm going to be keep track of his site. You should probably do the same.

http://www.golemxiv.co.uk/

For our weekend discussion, let's concentrate on two of his recent posts. First up, this gem on MFing Global. At the risk of prejudicing your opinion, let me just say this: I agree 100% with this post. I wish I'd written it myself. Please take time to read and understand what David has written here.

http://www.golemxiv.co.uk/2011/12/plan-b-how-to-loot-nations-and-their-banks-legally/

Now, having read that, go back and read this from November of last year:

http://www.zerohedge.com/news/bank-america-forces-depositors-backstop-its-53-trillion-derivative-book-prevent-few-clients-dep

Hmmm. Yes, I'm sure that's going to end well. When just a small portion of BoA's CDS blow up, the counterparties (JPM, GS et al) will steal the personal deposits of millions of everyday Americans. Oh don't worry. I'm sure the Fed/U.S. govt will step in and honor the FDIC guarantees but, in the end, it will be just another $1T transferred to the TBTF banks, all "paid for" by the American taxpayer.

OK, onto article #2. This one has to do with the impending hostilities in the Persian Gulf. Unlike the first post, I can't say that I agree with 100% of what David writes here. However, it is certainly worth your time to consider.

http://www.golemxiv.co.uk/2012/01/a-new-reserve-currency-to-challenge-the-dollar-whats-really-going-on-in-the-straits-of-hormuz/

Lastly, I would be remiss if I didn't discuss the selloff in the PMs today and their failure to breakout and head higher as I had hoped. I believe we got our answer in the OI numbers that were just released for yesterday. Recall that yesterday, gold soared to almost 1665 before it was savagely beaten back. If gold was not a horribly manipulated market, you would have expected total OI to decline or at least be stable. Longs would be closing contracts by selling but maybe a few new shorts would enter and the result would be an offset in the total OI. Instead, what did we see? Total OI increased by almost 4500 contracts! This, my friends, tells you all you need to know. Though The Cartel can see the writing on the wall and they are working to flatten their huge net short position, they are clearly not yet ready to let gold resume its decade-long bull market.

I'm happy to report, though, that the silver OI was almost exactly as I had hoped. Unchanged! In the past, a decline in gold would have caused JPM to pile on lots of fresh shorts and OI in silver would have increased, too. Instead, a flat OI tells me that the EE is nearing the end of the position flattening process they began back in May. Be patient, folks. Silver is about to explode! Could it go lower still before it rockets higher? Of course it could. In the end, however, silver is about to be free of the shackles of overwhelming EE suppression. I am extremely confident that silver is going to have a big, big year.

That's all for now. I'll have more for you on Sunday.   TF

264 Comments

jrobb316's picture

Lindsey Williams

Williams says, and I believe him, the main reason they tell him TPTB's plans is because they have a "moral code" to tell the sheep what is going to happen.  It is their choice to listen or not.  I believe this because everything that is going on, from the IMF plans, Rockefeller's memoirs, UN Agenda 21, GMO crops, etc, etc, its all public for anyone to read.  They know that most people are too lazy to do it, therefore are sheep to the slaughter.  There truly is so much information out there that no one will have an excuse when the SHTF for real.  I forget the show, but there was a TV show pre-911 that basically was the script for what happened that day.  Product placement if you will.  They put that stuff in movies and video games, plus it desensitizes you.  Speaking of video games, Battlefield 3 that just came out has almost all their maps taking place in Iran.  Why is that I wonder?

I am not a huge fan of Williams, it can be painful to listen to and if you listen to one you basically heard all his interviews, but I think there is good and valid intel that comes forth.  Like everything, we need to do our own due diligence.  Because his sources are people in the oil business, thats mostly what his predictions are about and he has a good track record of oil price foreknowledge.  Also his one source didn't do a death bed confession, he gave Williams information for many many years.

JimmyTheHand's picture

Hey Turd

I am sorry for ya'lls loss. Thoughts and prayers are with you guys. Lost my Mom a few years ago, she was 59. Damn hard thing to handle, even more so when you feel you've been robbed of time with the ones you love. Give Sweetness a hug and do what you can to remember easier times.

SRSrocco's picture

A CHANCE OF A LITTLE HUMOR

SRSrocco's picture

MY THOUGHTS ON LINDSEY WILLIAMS...

Lindsey Williams is a nice enough chap, but a lot of his theories don't thread water.  Maybe he has received information from the "POWERS THAT BE", but in the end... IT DOESN'T MATTER.  I do not believe in the Grand Conspiracy that the Wealthy have designed this huge takedown of the financial markets to bankrupt the middle class and take over the assets for pennies on the dollar.  The reason why I state this is due to the FALLING EROI - energy returned on invested. 

When I get to my article on this subject, I will go into detail that THE MAJORITY OF ASSETS:

Commercial Real Estate

Residential Real Estate

Warehouses

Strip Malls, Retail Outlets, Malls

Large Part of the Supply Chain

Will lose a great deal of their value as they will not be functional as time goes by.  For the wealthy to control these sorts of assets in the future.... THE JOKE WILL BE ON THEM.

Save_America1st's picture

Gainesville Coins phyzz storage email...

Hi all...

I just got an email from GVille Coins regarding vault storage for PM's at their site.  Here's the link.

http://www.gainesvillecoins.com/secure-storage.aspx

I happen to live about 7 miles away from GVille Coins here in the Tampa, FL area.  I'm wondering what everyone thinks of this.  Should I utilize this facility for storing some of my phyzz?  Should anyone???  

You can see at the link where they make a big point of specifically stating that your phyzz would be 100% segregated...harkin back to MF'ing Global and their criminality which brought the terms of segregation and hypothecation  of investment accounts to the forefront of all our conversations.  

I happen to be a local here who knows most of the people at GVille pretty well so far after the last year of buying I've done at their place in person.  

I'm wondering if this is a good idea or not...and I can talk to them in person about it if I need to.  If any of you think this is a good or bad idea or have questions you can suggest for me to ask them then let me know and I'll take it to them.

Or should this just be totally ignored no matter how respectable they have always been and should I just keep my phyzz near me and hidden, etc.??? 

Drifter's picture

In case of future

US govt confiscation orders large holding vaults will get raided first. First you go after the large amounts then the small, it's economy of scale.

A bird in the hand is worth 2 in the bush.enlightened

SilverLeaf's picture

Fake bullion warning

Saw this earlier tonight on the Kitco site: http://www.ozcopper.com/fake-silver-warning/  

Be careful out there folks - Chinese fakes are steadily improving in quality. Stick with reputable dealers, avoid eBay, avoid generics, invest in a small troy ounce scale, and examine your purchases closely. Weight has historically been one of the easiest ways to distinguish a fake, but the Maples shown on the ozcopper site are only half a gram off from what they should be.

</tinfoil hat on> As the precious metals market progresses, I wouldn't put it past the EE to flood the market with high quality fakes using expensive presses that only government mints can afford. Tainting the supply is going to be an obvious way to shake people's faith in precious metals as the flight to sound money picks up steam. </tinfoil hat off>

TruthPreeminent's picture

Save_America1st

     Ask them who insures the metal.  OK, how will this insurer, when the stuff hits the fan, be able to cover the exponential amount of claims that will occur?  (The insurer will probably be insuring other stuff at other entities besides metal at Gainsville so what happens if they can't cover all the claims?)  OK, so if they can't cover all the claims, basically the stuff really isn't insured.  If the stuff isn't insured then what happens if someone comes and robs them?  Or someone or some entity just  takes the metal?  In general, I guess I am just wondering how  insurance will really work if everything collapses.  For example, the FDIC will not possibly be able to pay out all the money owed to people if banks fail en masse.   I have no problem with Gainsville as I have used them many, many times.  I am just wondering how insurance in general will work if everything collapses.  (Just trying to think ahead of the curve.)

     As an aside, Bullion Direct, which nobody seems to know about, allows for FREE storage of your metal.  There is no minimum when you buy and store as long as you have an account set up and send them a timely check.  Never had a problem with them.

It's just my guess but I think as time goes on it will become increasingly obvious that it doesn't matter what one owns-- one had better have it on one's property if he or she really wants to "own" it whether food, or money, or whatever.  Anything that is not on one's  property will be difficult, if not impossible, to reacquire if things get really bad.  A weapon of self defense should not only be on a person's property, but at arm's length when the stuff hits the fan.

    Just my take.

Edit: I don't own a firearm yet and if silver goes up and my prediction from a couple  of weeks ago that silver will probably go below 26 turns out wrong, then I'll probably start buying lead instead and the metal thing that the lead goes into.   :)

Larry L's picture

$2,000 Gold by May

Where do you think Silver will be May?

Jasper's picture

Silver by May

Silver will be $38.43, closing price on May 30, 2012!

TruthPreeminent's picture

Bullion Direct

I should mention from my post above that Bullion Direct storage is unallocated metal.  But, the advantage is that you can buy one oz of bullion at a time and store it and it would cost no more than if you purchased 1000 oz at one time as long as you don't pay with a credit card.  I do not work for them or represent them in any way but they have good prices and are open for buy or sell 24/7.   

Have a good weekend everyone!       TP

Lumpy's picture

Reality. Ours vs Theirs (EE)

The pyramid of power is a LAW of nature.

Always the Top of the pyramid and the bottom.  Politics, religion, food chain, corporations, pride of lions, sports, who gets picked last on the playground, etc.

It is undeniable.  The ones on the top are there for a reason.  Born into power, or extremely intelligent,  extremely corrupt,  extremely wealthy, extremely connected etc.

My point?      When you have had CENTURIES to consolidate power.......YOU GOT THE POWER.

Why doesn't the dollar collapse?   The power doesn't want it to.

Why don't the Chinese unpeg from the dollar?  The power doesn't want them to.

Why no prosecutions for blatant corruption at the highest levels?    Guess who.

Why don't the metals break out?  Yep,  that one has been mentioned here a few times.

Our REALITY.  We bitch and moan about all the corruption, lack of prosecutions, total disregard for the laws, total disregard to the Massive debt,  TOTAL DISREGARD FOR THE BOTTOM.

Their REALITY.  They can do whatever the hell they want, whenever the hell they want to do it.  Without fear of prosecution or anything else.  The rules are for the bottom not them.  Their reality is luxury, privilege, POWER and CONTROL.

Been that way FOREVER.  It's nature's way.

IT's when all of that INTOXICATING POWER goes to their heads and they squeeze the BOTTOM a little too hard things get ugly.

The rise of the Tea Party, Occupy Wall Street, Ron Paul supporters,  Turdites, etc. show the BOTTOM is getting pissed.  What concerns me is how will the TOP react to the uprising of pissed off bottom dwellers.   My guess is the same way any GIANT BEAST would thrash around while under attack.

I'm really starting to believe that the POWER will not Collapse.  THE ENTIRE WORLD LIVES UNDER THE SYSTEM.  The Financial System will be ADJUSTED here and there, and agreed to, because the alternative would be the END. The end of CIVILIZATION and the COMFORTABLE WORLD the TOP love so much.  They've worked so hard to create it.  IT's NOT GOING DOWN EASY.

I just don't see the PM's EVER RISING to crazy, you're rich over-night numbers without a collapse of the system.  

THEIR REALITY TRUMPS OUR REALITY.

ClinkinKY's picture

@ Lumpy

I just don't see the PM's EVER RISING to crazy, you're rich over-night numbers without a collapse of the system. 

You're probably right that I won't see it in my lifetime. However, I'll be happy to just know that I'm leaving my son, and his family, the opportunity to avoid being totally wiped out if/when  the SHTF:)

My only regret is that I won't be able to see/hear him say "Damn, my Dad wasn't 'crazy' after all"wink

Lumpy's picture

@ClinkinKY

Being cautious for your family and buying PM's is a great idea Clinkin.  It's funny,  my Dad thinks I'm the crazy one when I talk to him about PM's.    

ClinkinKY's picture

From "Hope and Change" To NDAA and SOPA

http://img692.imageshack.us/img692/5541/detain.jpg

ClinkinKY's picture

In case you haven't noticed, I work "graveyard shift":)

http://www.caglecartoons.com/media/cartoons/107/2012/01/10/104223_600.jpg

zilverreiger's picture

rickards iran

"If Iran gets nuclear weapons, Iran has said they will burn Israel to the ground. "
 

this is a falsehood, a known mistranslation used by the warmongers

ClinkinKY's picture

Iran and Israel

So your saying that Iran's "I'manutjob" just wants to be BFFs with Israel? For every "mistranslation" you can find, there is a video of "I'manutjob" speaking of the coming of the "12th Imam" and/or the destruction of Israel. I'm not going to engage in a debate with you over something that anyone with a computer can do the research for themselves.

beinki's picture

Teaching to shoot

Green Lantern's picture

(No subject)

Audrey's picture

Who do you trust?

"The Imam said this regime occupying Jerusalem must vanish from the page of time."

It would appear the desire for regime change is universal.

When one considers the quality of (corrupt) leadership we suffer today, maybe universal regime change is the way to go. BO in his own deceitful way is just as crazy as the rest of them, after all did he not reveal the true nature of the US regime on New Year's Eve?

Name one leader in power today you could trust to look after the interests of us ordinary folk?

When one looks at the bi-lateral currency agreements currently being arranged between Iran, China, Japan, Russia, India and so on it's little wonder the regime controlling US corporate interests is playing its predictable game.

Who cares if Iran had a bomb anyway; it would be a bit like standing alone with a dueling pistol, facing not one opponent but three hundred. Pull the trigger, you may kill one of your opponents but as soon as you do that's it, game over, your dead 299 times over.

The regime in Iran is not stupid, even though most westerners are being conditioned to think so, which is about all they have been taught about Iran, and all that they probably know. Iran, like China has had previous experience with the west, and justifiably have good reason to invest in defence. How many countries has Iran or China invaded in the past few centuries - how many the US, and for what reasons?

Anyway, if the crazies in charge of US foreign policy do start a war let's hope (for their sake) they can do better than this:

16 U.S. NAVAL SHIPS AT THE BOTTOM OF THE PERSIAN GULF!

ClinkinKY's picture

That's the point

Who cares if Iran had a bomb anyway; it would be a bit like standing alone with a dueling pistol, facing not one opponent but three hundred. Pull the trigger, you may kill one of your opponents but as soon as you do that's it, game over, your dead 299 times over.

The prophecy of the "12th Imam" is that Armageddon must happen before the 12th Imam returns to rule over the Muslim worldwide caliphate. Believe me, I don't trust our leaders either. But at least their actions aren't driven by the belief that we must see the "end of the world as we know it" before peace and harmony reign on earth. The end of the Fed, sure, I'll go along with that:)

Don't believe me? Google  "12th Imam".

Smiddywesson's picture

So?

This is like watching a who done it, lot's of speculation on what might happen next, but nobody really knows but the insiders.

My personal belief has been we devalue within the first three months of the year, and that hasn't changed.  When one country goes under and has to devalue, they all have to follow suit or watch their global mountain of derivatives and counterparty risk pull everything down a black hole.  How's Europe doing?  My opinion hasn't changed at all.

That being said, I was willing to admit I was wrong early and jumped in long on PHYS, CEF, and a few other funds grounded in physical.  That rally fizzled, but I again admitted it wasn't going to happen and closed most of my positions but Hecla.  

Sorry guys, I know most of you are frustrated, but I had a great trading week.  I was wrong, TWICE, and finished the week with a $9.11 loss (911?) and didn't get shaken out of my miner.  Accepting wins, knowing when you are wrong, being patient, and controlling position size (money management) are completely under our control.  What the Boyz do to PMs are not.  I am absolutely pumped up and looking forward to Tuesday.

Hang in there GoldMania, we are tracking a mortally wounded beast, sooner or later it has to happen.

ouchtouch's picture

Vault Storage/Gainesville

I have nothing against Gainesville, but I would never store my metal in a vault owned by someone in the business of buying and selling metal.  I also would not store my cash or securities with a company in the business of gambling in the stock market casino, a la MF Global.  There is no need to take the risk that the company will give in to temptation and appropriate my assets.  There are good vaulting companies that do not engage in buying and selling.  I make an exception, sort of, for Goldmoney, as with their service the metal is held in an independent vault owned by ViaMat, and an independent third party administrator controls movement of metal in and out of the vault.  Independent auditors monitor all of this.  I don't see any of these safeguards with Gainesville's vault system.

Stratajema's picture

Re: Gainesville Coins phyzz storage email...

I like Gainesville Coins and make purchases from them because of their low premiums.

I haven't looked into their new storage service but the operative words to evaluate the safety of their new service are: Allocated, Audited, Insured, Unencumbered and the newest one Inspected.

Allocated title in your name to the coins or bars.  Check to see that the metal is held under a bailment agreement where creditors can't reach and apply the metal to satisfy any judgement against Gainesville.

Independently audited metal holdings by a well-known audit firm.

Insured by an insurance company that has sufficient capital and low derivative exposure.

Unencumbered: can't be leveraged, hypothecated or commingled.

Inspected gold bars or slabs to detect counterfeits.  (e.g. Ultrasound inspection device used by goldmoney dot com on gold bars it purchases.)

Of course you have to also assess their experience and ability to maintain proper vault procedures and protection.

Eric Original's picture

Costa cruise liner sinks off Italy

My wife and son are currently on a different Costa ship right now.  Whew!  That was too close for comfort.  Got an email this morning stating that this was not their ship, and they are fine, but they did do a couple of evacuation drills yesterday.

Not to make light of it, because 6 people died, but seeing the picture makes me wonder how much physical was lost at sea!

Cruise Liner Costa Concordia

murphy's picture

EO

No way Ferd makes good on claims of this size. I'm looking for a new company to broker for.

Smiddywesson's picture

@cluelessone

sorry...but there have been A LOT of johnny-come-lately's that have...

As far as I can remember, Turd Ferguson never pushed the buy and sell keys in my account, I did.

I utterly reject the concept that an analyst is some sort of guru that you turn to for advice that is always predictive of the end result.  He or she is someone to turn to for a frank discussion of both sides of the trade, because each trade HAS to have valid arguments on both sides of the trade, otherwise there'd be nobody to take your trade.  

The mark of a GREAT analyst is to tell you when neither argument on the long or the short side is convincing.  If he's saying "I don't know" then don't take that trade.  Once in the trade, if he says the balance has changed, it's not an admission of guilt, the argument for the other side of the trade has just gotten stronger, so get out of the trade.

Winning in this game isn't about predicting all winning trades, it's about finding smart trades, being selective in only taking the one's you have confidence in, and adapting to change. 

Be Prepared's picture

@Smiddywesson - That was so good....

Smiddy... that was so good it needs to be posted again....

I utterly reject the concept that an analyst is some sort of guru that you turn to for advice that is always predictive of the end result.  He or she is someone to turn to for a frank discussion of both sides of the trade, because each trade HAS to have valid arguments on both sides of the trade, otherwise there'd be nobody to take your trade.  

The mark of a GREAT analyst is to tell you when neither argument on the long or the short side is convincing.  If he's saying "I don't know" then don't take that trade.  Once in the trade, if he says the balance has changed, it's not an admission of guilt, the argument for the other side of the trade has just gotten stronger, so get out of the trade.

Winning in this game isn't about predicting all winning trades, it's about finding smart trades, being selective in only taking the one's you have confidence in, and adapting to change. 

cpnscarlet's picture

In case you didn't get it...

I used the terms "rube" and "bumpkin" talking about Williams very tongue in cheek since this is what most sheeple would think looking at him and hearing his twangy speech. I'm still on the fence in my opinions about his predictions.

Okay, so I guess I missed or forgot that he is now saying there will be war with Iran sometime later THIS year. Got it, thanks.

And why would TPTB say anything true about themselves to this guy? Beats me, but most humans have a conscience that not's totally dead (unlike Diamon, Gensler, Corzine, Clinton, (add your own faves to the list)). Could be Williams' reasoning is right, but I'm not convinced. 

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