Why Greece Matters and What It Means To You

YEAH!!!!!

Thanks Turd, for helping me stay abreast of this shell game.  Global duck duck goose?

...so I can take out the 401k to put it into gold and silver. Then the problem is...what is the next job? I'm working on that right now...

Turd, I was lucky enough to speak to Eric Sprott a couple days ago, and he told me silver will become a currency again.
We have seen this already in gold...and have heard from Hugo Salinas Price about his efforts to remonetize silver in Mexico, but Sprott seems to believe the market will take care of this for us in respect to silver. 
After speaking with him for nearly an hour, I can say definitively that ES is one of the true Good Guys, for those interested.  He essentially told me that he enterred the silver market as a manic investment in order to stand behind the little guys against the banksters. 

http://silverdoctors.blogspot.com/2012/02/eric-sprott-silver-will-become...

I also agree with Sinclair that Greece cannot be labeled a default.  I think this is the whole purpose of Blythe's new European position as well.  This next month should be quite interesting to say the least.  Keep stacking!

Conclusion... just keep stackin.

I came to that same end. But in a more simplistic fashion. One constant in today's world is that the leaders worldwide will keep making the wrong decisions (with the exception of Iceland). Because the right thing is too difficult in one way or another. Our leaders are consistently enept. And the wrong policies are bullish for precious metals. So my CDS insurance is the one with no counterparty risk. And it has performed well, even though it is being kept from signaling a default. You would think more of the smart money would get on board sooner. But that's precisely how I know it's not a bubble. Rather its still a buy and hold.

Be right and sit tight.

Firstly, another great post by our Turd. Well done old bean.

Despite the well laid out logic though, I can't help but feel that some global institution (IMF?) is going to come in and loan/pay for the paultry Greek debt. I mean, in the global scale of trillions, it's peanuts at a few billion - probably goes right back to banks anyway. Don't be surprised if the fed does it through some back door trick so Joe Citizen picks up the tab. It will buy a little more time, but not that much as the consequences mount. So, I don't believe March 20, or before, is going to be as bad as predicted here. Its too obvious, and too soon. I could well be wrong, but it's a hunch based on the slimy weasel banker tactics I've seen so far in this "crisis"...

My question is this. Wouldn't a default drive banks to liquidate positions in gold and other assets in order to try and cover massive losses causing a short term dollar rise and push PM's lower? In other words wouldn't a Greek default look a lot like 2008? Or did that already happen this past summer? So I guess the question is this: did the market already price in a total Greek default? Are their any safe haven assets left to sell? Just thinking out loud!

Sweet. Looking forward to that.

Also, thanks for laying this out kindergarten style, Turd. I've always maintained a margin call scenario playing out as the cookie continues to crumble. Got my fingers crossed for another bear raid this week cause silver is like crack to me now, I start to get all fuzzy if I can't buy some on a regular basis.

country ever approve of those CDS.s??? Yeah the banks make bad bets and lose on those CDS.s and the sheeple have to pay for it.. nothing wrong here! 

It will not change unless the people change.. they will not, so time for a really big change..

Greek default, or another Gulf war? At this point who cares! It is all bad news. And it is getting worse.

I will be amazed if they find a solution for Greece. And, it they do what about Ireland, Italy, Spain and Portugal? They will all want some kind of deal as well. You can kick they can as far as you like. Sooner or later it will hit a wall.

So, if not Greece, what about Iran? Seeing oil going higher will not help anyone. UCO was a good call Turd! And, does anyone think the economic screws the west is putting on Iran is going to help? Same BS we did to Japan before PH.

It is time for a reset.

However, the EE and  others who push all the buttons, will design everything for their gain.  When we see the gold graph going up at 45% and the dollar also headed north at the same time, then we will know that the end of the old economics is near.  jmo

14 billion measly euros?  Is that all?  It might be hard for greece to come up with that if they had to pay with sound money or something like the debtors leading up to WW2, but we're talking fiat money here.

Do you really think that the people who have the power to print money will risk their power by allowing cds instability over 14 billion euros?

They can easily kick this can down the road another year by just typing in some numbers.  Yes they will try to use fear to get as much money extracted from the real producers in Greece, but in the end their power is quite easy to defend.

My prediction is that they will squeeze greece until they can see no more blood dripping out, then the bankers  will simply type in up to a 14 billion euro transfer to the greek treasury in exchange for some 1% interest priority bonds of some kind.  The bankers will borrow money from the ECB which will be at a lower (or even negative) interest rate- guaranteeing them a profit, offered a cheap put on this collateral by the ECB -guaranteeing that they will be made whole,   Greece will pay off their old bonds with the loan from the bankers, and the can will be thoroughly kicked.

Profits will run to the banks, and losses will be socialized by way of the ECB. 

I am having a hard time getting worked up about 14 billion when it is in the interest of people who print money to make sure the system continues.

Edit to add the most important part:  QE to infinity! and Keep stackin!

Then the problem is...what is the next job? I'm working on that right now

Your next job soon will be figuring out what you will be eating today and where you will be sleeping. It will be a full time job, however there will be no benefits. No retirement plan, no health plan, no plan at all, except your plans on how to keep your body and soul together.

Whoever holds your 401(k) will probably give you shit if you try to cash it out. The way to get around those assholes is to tell them you want to roll it over into an IRA. Most brokerages allow IRA accounts. Then you simply logon to the broker website and tell them to close the IRA out. Simple, don't have to talk to anyone and you get a check in a few days.

Better do it soon, I'm not sure how long the system has got. We're real close to something. When the banking kill switch is used on a country, something's up and it's not going to be very pleasant when it hits.

Not to poo-poo the awesome meat found in the Greece post, but I'm diggin' the idea of webinars with the Turd. 

I think that could take my man-crush to a whole new level.

The most important thing to the money printers is to maintain their control over the printing press. Although I often doubt their intelligence and it's possible they don't see the great waterfall of events that a disorderly Greek default would cause, I tend to believe that they will continue to keep the malinvestments caused by cheap money hidden for as long as possible. In other words, they'll print print print in order to keep the ponzi from imploding and if another 70% Greek haircut is needed a year from now in order to do so...so be it.

If Greece does default, I'm not convinced that it would be bullish for the PM's in the near time. The greater flight to safety may still be in the dollar. However, at some point that will change to the gut reaction of safety being into gold and silver. Whether a Greek default is the point of this switch, who knows. But barring whatever immediate knee jerk idiotic reaction the market has, the long term consequences of print print print only means that gold and silver will rise.

The market's main concern over the Euro seems to be of the Euro falling apart, not of how many Euros are being printed. Like Turd said, rising Euro means falling dollar which means rising metals, so in the next couple weeks may be a time to get short term bullish on silver right as everyone gets concerned about the default. To do so, though, I'd certainly wait until after Thursday's COMEX options expirations to get bullish.

TheSilverJournal.com

Saulysw, I commented before I had read your post and didn't mean to ignore you and write the same thing.  I have rarely commented here in the past because by the time I read everyone else's comments, my thoughts usually have already been expressed.

Uncanny how that happens here in turdville.  :>)

The European Economic Union (EU) is a bureaucracy run by economically ignorant technocrats. Whereas it's predecessor the European Economic Community (EC) was a brilliant idea because it only dealt with the free movement of people, goods and services, across a labrinth of borders and through a spiders web of red tape regulations. The EU is now a political entity not an economic zone. The Euro will not survive. The EU was doomed from day one when it's focus changed from an economic community and became a political entity.

The 'Rule of Law' with 'Equal Justice' for all and 'Honesty' held in high regard is now dead. Not only in governmental dealings, but in corporate dealings, between countries, right down to between individuals. The trust between government and those governed is now completely broken. 

In his last newsletter before he retired last year, legendary financial mind Harry Schulz wrote, "Roughly speaking, the mess we are in is the worst since the 17th century financial collapse. Comparisons with the 1930's are ludicrous. We've gone far beyond that. And, alas, the courage and political will to recognize the mess and act wisely to reverse gears, is absent in U.S. leadership, where the problems were hatched and where the rot is by far the deepest."

Those fundamentals HAVE CHANGED. They have become far WORSE!    

Until the 'Rule of Law' with 'Equal Justice' for all and 'Honesty' are once again held in high regard by the majority and adhered to, the fundamentals will only worsen. In this environment gold and silver will only become more valuable. Continue watching the fundos and keep on stackin! 

Turd wrote: <<The ECB cannot simply print money like The Fed can. So, a direct rescue loan of $14B would likely come from The Fed via the IMF.>>

Isn't this why Jim Sinclair keeps saying 'QE 3 to infinity' ?

Fed's limitless printing --  or better yet, digitizing  (zero cost) -- of fiat ?

Now needed to bail out Greece, etc.

Waiting for 'the other shoe' to drop-- what will be 'BIG ENOUGH' to take our collective minds off the colossal frauds?  War?  Terror attacks?

My personal bet is [pandemic] 

Research 'colloidal silver' ( a 'universal antibiotic, can be made simply and safely at home), and then take some more silver Maples off the market (.999 pure vs. Eagles @ .99 pure) 

Thanks for the post, Turd. A fine assessment in the face of completely baffling events.

Never been much of anything but an investor and stacker all my life. Now, I'm pretty much just a stacker. Now I just need to keep convincing the family to do the same.

Outstanding again Turd. You really have a great way of explaining things in a clear, concise way. I had all this info in my head already, but now I can put all the pieces together like a jigsaw thanks to you.

Turd=Winner!

Dr Durden,

I can relate to your addiction. I have it too. The only relief I find is going to the LCS and buying a coin or two, or loading up on some prep items. But the thing that really snapped me out of it was buying some gold.

On posting first without reading the article, I fear that when Pining spilled the beans on what happens when you are first, that the reward is so tempting, so grand, so bacony, that many will keep their finger on F5, waiting for hours for Turd to complete his lofty thoughts, just so they can write "first" and send it a nanosecond before someone else. The possibilities of substantive posts to lead off the comments--especially relevant ones-- has radically declined. But I really appreciate it when someone posts "New Thread" at the end of the old one.

I tried to get 6K out of my bank on a Friday afternoon a few weeks ago and was told that I would have to make arrangements for a sum that large! Really! I was just cashing my check and pulling out my fiat savings.

I think I'll go down to the coin shop...

Brilliant analysis by TF,  has to  be ,  since i agree:)...i have a hunch  we get out north later this week  given this infernal  silver expiry on Thursday, ,  (we better) but... there seem to  be reflationary events popping up all over, and if TPTB  has the choice of a brisk  little debt leavening inflation in an election year, versus TEOTWAWKI well,  as Richard Russell coined,  its   'inflate or die".

Hmmm..... Let's see.. US markets closed... silver up 33 cents or 1%..... who could have guessed it?

I also have to plead guilty to learning from Pining on my First, First on Friday. A triple FFF. Pining inspired me to have at the ready, Me and Pining Mc Gee video, ready to roll once I secured my place in Turd annuls. I have to say the pressure is off now and I never have to worry about being first ever again.

GLTA being first.