Antidote For Manipulation

Monday, February 11, 2013 at 1:47 pm

Though, admittedly, it's anecdotal.

So, let's see...The Cartel uses the Chinese New Year holiday to jam price through the 200-day moving average. This trips a bunch of sell-stops and here we are. The gold chart now looks lousy and it is below each and every relevant moving average. Once again, if the LegHounds are going to go to work on ya, you'd better just let them finish their business. This too shall pass, though, and the opportunity to trade some paper may even present itself very soon.

So, what's this anecdotal antidote, you ask? Well, here's just a sample:

"Not only has Putin made Russia the world’s largest oil producer, he’s also made it the biggest gold buyer. His central bank has added 570 metric tons of the metal in the past decade, a quarter more than runner-up China, according to IMF data compiled by Bloomberg. The added gold is also almost triple the weight of the Statue of Liberty."

"Hi Turd.  Just got back to my apartment in Bangkok.  Went to china town, its Chinese New Year today.  WOW. Talk about quite the time.  I am here for a month exploring the city and trying to drum up some international business contacts.  Anyways on to why I emailed you. The gold buying was freaking NUTS!!! Stores were packed.  I walk by a huge horde of people and a big announcement, I weave through the line to see what the commotion is.  It is Disney announcing a new line of gold coins and jewelry they are launching, people were going berserk.  I thought I would mail you some pics.  Thought the Turdites might enjoy."

So, take it all for what it's worth. However, it certainly seems that if The Monkeys insist on jamming price lower in NY, there's an unlimited supply of physical buyers around the rest of the globe, from Central Banks to ordinary citizens. The question is: On whose side do you want to be on, the paper sellers or the physical buyers?

Lastly, I was honored to be on with Dr. Janda again yesterday. Here's a link if interested in listening: http://www.davejanda.com/audio/TurdFerguson021013.mp3

Have a great day.

TF

Comments

Texas Sandman's picture

Dumb as a stump

Submitted by Texas Sandman on February 11, 2013 - 3:20pm.

Obama:

"Spending problem?  Sure we have one.  We aren't spending enough!"

Groaner's picture

have you had your Uh Oh Spaghetti Os with horse meat today?

Submitted by Groaner on February 11, 2013 - 3:21pm.

http://www.telegraph.co.uk/foodanddrink/foodanddrinknews/9863542/Tesco-c...

Yes quit horsing around and try some real horse meat with your favorite spaghetti, you will never go back.. yum

Groaner's picture

The next REALLY BIG SHOE TO DROP

Submitted by Groaner on February 11, 2013 - 3:23pm.

The bond market bubble.. Talk about bubbles?

http://finance.fortune.cnn.com/2013/02/11/banks-bond-bubble/

Nana's picture

Take Care Of Yourselves

Submitted by Nana on February 11, 2013 - 3:31pm.

c[_]  c[_]  c[_]

Cups of hot chocolate, hot coffee and hot tea for everyone in snow areas. 

Groaner's picture

Yellen says FED has tools to exit...

Submitted by Groaner on February 11, 2013 - 3:36pm.

Exit where the insane asylum?

There is no way possible they can ever stop buying debt which will raise interest rates.. What a bunch of liars

SilverTree's picture

HELLO!

Submitted by SilverTree on February 11, 2013 - 3:43pm.

Groaner's picture

Yeah silver,, that sums it up..

Submitted by Groaner on February 11, 2013 - 3:50pm.

and I thought I have been sarcastic.. 

pretty sad.. this country has changed gradually for a long time now.. sorry for all those misguided flag wavers out there.

ForWhomTheTollBuilds's picture

Hello!

Submitted by ForWhomTheTollBuilds on February 11, 2013 - 3:58pm.

I don't know whether to laugh or cry hysterically, so I will now do both.

Show this to your friends and they will say it's no big deal, just don't piss off the govt and you-will-be-fine-whydoyouhavetomakeeverythingintoabigcontreversylikewearealldoomedorsomething?

Turd Ferguson's picture

KWN problems solved

Submitted by Turd Ferguson on February 11, 2013 - 4:02pm.
MODERATOR

And this will likely be worth your time once it's released.

http://kingworldnews.com/kingworldnews/KWN_DailyWeb/Entries/2013/2/11_Art_Cashin_-_Key_Indicator_That_Just_Spiked_Is_Huge_Warning.html

Stratajema's picture

Just FYI, the gold last year

Submitted by Stratajema on February 11, 2013 - 4:04pm.

Just FYI, the gold last year that was imported into China via Hong Kong, did not necessarily go to the China central bank for their gold hoard.  Some of that gold went to meet private demand which ZeroHedge forgets to mention when they post their China gold buying graph every month.  Yes, we can assume that a lot of that imported gold went to the central bank, just not all of it.  Also keep in mind that China central bank buying of gold doesn't necessarily have to flow through Hong Kong and show up in the numbers. 

Nevertheless, I believe that China is importing and retaining 1/2 of the world's annual mine production of gold.

Groaner's picture

Wall Street and all the Financial markets need to regain

Submitted by Groaner on February 11, 2013 - 4:04pm.

TRUST. Yes they need to change their image to really reflect on how they operate..

For example.

On CNBC they should show a scene just like a Major Las Vegas Casino with all the glitter and hype with show girls of course.

Show Stock machines, where you put in your savings to buy a stock just like a slot machine.. Or how about roulette wheels where you place your bet like in the futures market and then they show how the little ball never seems to roll into the color you pick.

Yes we could go on and on .

You get the picture.. Vegas Street,, enter at your own safety 

Texas Sandman's picture

Yellens "tools for exit"

Submitted by Texas Sandman on February 11, 2013 - 4:04pm.

Just call "911"

Turd Ferguson's picture

Hmmmmm......

Submitted by Turd Ferguson on February 11, 2013 - 4:06pm.
MODERATOR

http://www.reuters.com/article/2013/02/07/turkey-gold-idUSL5N0B776O20130207

ancientmoney's picture

Snippet from Brodsky at QBAMCO. . .

Submitted by ancientmoney on February 11, 2013 - 4:13pm.

"Through policy-administered currency devaluation, fiscal agents and monetary authorities would bid for gold in terms of their currencies. Imagine the following pronouncement, if you will:

"Today, the Federal Reserve System announces a program of gold monetization in which the Fed offers to tender for any and all gold in qualifying forms at a price of US $20,000 per troy ounce. The program will be conducted through participating U.S. chartered banks, which will be instructed to properly assay gold and exchange it for U.S. dollars to be placed in customer bank accounts as deposits. Deposit holders will be entitled to make withdrawals in the form of dollars or gold at the fixed exchange rate.

By establishing the fixed exchange rate substantially above past market prices for spot gold, the Board of Governors believes enough gold will be tendered to produce a supply of new base money sufficient to adequately reserve the stock of U.S. dollar-denominated deposits in the global banking system. The Fed will monitor the tender process to ensure the soundness of the exchange rate and the ongoing viability of the US dollar."

Done. The trillions in net unreserved bank obligations, including those appearing and not appearing on bank balance sheets, would be fully reserved. Banks would be healthier than ever and ready to lend. The debt on the balance sheets of businesses, homeowners, consumers, college graduates and car owners would still be there but would pale next to their new incomes, which would multiply more or less by the same amount as the currency devaluation. Tax receipts would multiply in kind – without raising marginal income tax rates – swiftly closing budget deficits without cutting spending (seriously). With coordinated and administered monetary devaluation all balance sheets would once again be leverage-able. The global economy would be almost immediately ready to grow. It would be economically stimulative.

We think administered currency devaluation must and will occur, as it is already occurring less formally. Banks and central banks would endorse it; their profitability would soar as lending soars and interest rates would remain low and stable. Politicians would happily champion it, as it would seem to the majority of the indebted and increasingly under-employed electorate to be a windfall solution."

Okay Smarty-Pants, When?

------------------------------------------------------------------------------------------

No hard date, but eventually (soon) . . .

ag1969's picture

Sorry, I could not resist

Submitted by ag1969 on February 11, 2013 - 4:15pm.

Louie's picture

@ Turd- Things that make you go Hmmmmmmmmmmmm.......

Submitted by Louie on February 11, 2013 - 4:18pm.

Trade in Turkish gold bars to Iran via Dubai is drying up as banks and dealers increasingly refuse to buy the bullion to avoid sanctions risks associated with the trade.

Exactly what I thought yesterday.  Even though IAR & Nadir bars are supposedly London good delivery bars, they no longer want them in Dubai.  I suspect the dealers there are being threatened with sanctions if they deal in the Turkish bars.  My bet would be that dealers will still buy them, but that they are discounting the purchase price because they know they will have to melt and re-cast them.

RationalMind's picture

What's optimal fiat currency position (physical & electronic)?

Submitted by RationalMind on February 11, 2013 - 4:21pm.

@ancientmoney posting got me wondering - "The only way to beat the FR policy is to keep as little as possible in fiat to pay the bills; sell any paper asset available, and use proceeds to buy food, water, protection, and physical PMs".

The old rule of thumb was to have sufficient 'cash on hand' for 6 months of living expenses (this was probably during a time when job mobility was not an issue). Has anyone done any modeling or thinking on how much fiat is needed when SHTF, and assuming one loses his/her job during the event? It seems one needs enough fiat to ensure real assets (e.g. RE) doesn't go into foreclosure, etc. It will take a period of time (more than 6 months?) before PMs take their rightful place (new currencies that are PM backed being created, etc). In addition, how much of said cash position should be physical vs electronic (bank holiday impact)? 

Any insights (especially from other countries that have gone through this) will be much appreciated.

Pining 4 the Fjords's picture

Janet Yellen is right, they do have an exit strategy

Submitted by Pining 4 the Fjords on February 11, 2013 - 4:21pm.

Bugzy's picture

Snow on the east coast

Submitted by Bugzy on February 11, 2013 - 4:23pm.

Nope. Not here.

there again. As I am currently touring Belize .........

lot of coconuts though.

BIGNASTY's picture

Glad to see somebody

Submitted by BIGNASTY on February 11, 2013 - 4:27pm.

Glad to see somebody looking out for our best interest. I'm mean why should we even have a crazy notion of a separation of powers when O clearly knows best. Hope this solves KWNs problems.

http://thehill.com/blogs/hillicon-valley/technology/282269-white-house-p...

Turd Ferguson's picture

Hey pining...

Submitted by Turd Ferguson on February 11, 2013 - 4:33pm.
MODERATOR

would you pls email me at tfmetalsreport at gmail? I have a question/request for you. Thx!

Mr. Fix's picture

Worth a read, seems about right to me.

Submitted by Mr. Fix on February 11, 2013 - 4:50pm.

Guest Post: Show This To Anyone That Believes That "Things Are Getting Better" In America

Submitted by Tyler Durden on 02/11/2013 - 13:25

The economic collapse is not a single event.  The economic collapse has been happening, it is is happening right now, and it will continue to happen.  Yes, there will be times when our decline will be punctuated by moments of great crisis, but that will be the exception rather than the rule.  A lot of people that write about "the economic collapse" hype it up as if it will be some huge "event" that will happen very rapidly and then once it is all over we will rebuild.  Unfortunately, that is not how the real world works.  We are living in the greatest debt bubble in the history of the world, and once it completely bursts there will be no going back to how things were before. But other than that, everything is rainbows and lollipops, right?

http://www.zerohedge.com/news/2013-02-11/guest-post-show-anyone-believes-things-are-getting-better-america

 
JY896's picture

Gold-for-oil

Submitted by JY896 on February 11, 2013 - 4:50pm.

"A Turkish official told Reuters that trade with Iran through a third party was no longer allowed under tighter U.S. sanctions which went into effect on Wednesday.

"For example, Halkbank would not be able to be an intermediary in India's oil purchases from Iran," he said."

Is it just me, or is one possible interpretation of this that the only recourse left is DIRECT trade in gold (or barter) from buyer to seller of oil? And doesn't the Bloomie article from the weekend re: Russia 'swapping' its oil for gold imply pretty much the same thing?

I don't really see global demand for the product shipped by the world's producers of the black stuff declining sharply anytime soon. If India, China, et al NEED Persian hydrocarbons, they will get them one way or the other. If in the process their reliance on the reserve currency of a 'competing economic partner' [at best]  or 'geopolitical rival/adversary' is diminished, so much the better. Until kinetic steps are taken by said 'partner' to change this trend, the only question is the rate at which this will continue to accelerate.

Turd Ferguson's picture

I don't think I can make it this year

Submitted by Turd Ferguson on February 11, 2013 - 4:57pm.
MODERATOR

But that shouldn't stop anyone else...

77.jpg

17.jpgDear FreedomFest attendees,

 

Lots of news to report about this year's big show. First and foremost:

 

When we ask past attendees, what famous libertarian they want to speak at FreedomFest, John Stossel is their #1 choice - by far.

 

Your wish is our command: We are happy to announce thatJohn Stossel is coming to FreedomFest and will be taping a special editionof his Fox Business show, STOSSEL, at FreedomFest on the first day of the conference, Thursday, July 11, 2013. And you all are invited!

 

John Stossel is famous for his investigative reporting on ABC's primetime newsmagazine 20/20, and since 2009, on Fox Business Network. I always love his confronting government officials and business leaders for their bad policies and stupid mistakes. He is the host of "Stossel" (Thursdays at 9 PM/ET), a weekly program highlighting current consumer issues with a libertarian viewpoint. Stossel also appears regularly on Fox News Channel (FNC) providing great analysis and debunking myths about the government and the economy. His latest book is "No, They Can't: Why Government Fails But Individuals Succeed."

 

John will be drawing from our list of great speakers for his show, includingSteve Forbes, Art Laffer, Jim Rogers, Steve Moore, Charles Murrayand many more. As a FreedomFest attendee, you will receive a complimentary ticket to the STOSSEL show with preferred seating.

 

Sign up now at
or call at 1-866-266-5101

Important Note: NOW is the time to take advantage of the early bird special, Register for only $395 per person / $595 per couple.  The discount ends March 15, only one month away!

 

John Mackey in the News!

 

Second announcement: This week's Barron's printed my review of John Mackey's revolutionary book, "Conscious Capitalism: Liberating the Heroic Spirit of Business." It's my first book review in Barron's. Click here to read it

 

John Mackey is a long-time friend and co-ambassador to Freedom Fest (along with Steve Forbes). At this year's conference, we are planning a unique panel called "Just Business: Libertarian CEOs Debate the Best Capitalist Model." Which model is better? John Mackey's "Conscious Capitalism"... Charles Koch's "Market-Based Management"... or John Allison's "Objectivism," based on Ayn Rand's philosophy? Don't miss it.

 

A Powerhouse Panel of Successful Investors

 

We're also putting together another great session at FreedomFest: "The Libertarian Hedge Fund Panel" with investment gurus Jim Rogers(original partner with George Soros), Art Laffer, Donald Smith and Cliff Asness, with Steve Forbes as moderator. This will be part of our 3-day financial freedom seminar.    

 

100th Anniversary of the Federal Income Tax and the Fed

 

Last Sunday was the 100th anniversary of the 13th amendment to the US Constitution, the federal income tax-the engine of big government. It was technically never ratified but we are stuck with it nevertheless. We're arranging a panel on "In Search of the Ideal: Fair Tax, Flat Tax, No Tax?" with top libertarian tax experts (TBA).

 

The Federal Reserve, the engine of inflation, was also established in 1913 - and we've suffered the Great Depression and the Great Recession, and never-ending inflation ever since, all because of the Fed and the end of the discipline of the international gold standard.  

 

This graph tells the sad story of the Fed:

 

 74.jpg

 

So we can see that before the creation of the Fed (1913), inflation was relatively tame and occurred only during wars. But after 1913, inflation increased 30 fold, or 3,000%!

 

The Fed is doing its part to finance the out-of-control deficits, buying $85 billion a month in Treasuries and mortgages. The money supply (M2) is now growing at a 10% annual rate. More inflation is on the way!

 

Our distinguished panel of free-market economists will discuss this topic: "End the Fed? Now What?" with debates on the gold standard, free banking, or a monetary rule.

 

Who Are the Modern-Day Gladiators?

 

As you know, our theme this year is "Are We Rome?" We will have debates and panels on this vital theme. Has America seen its best days? The Heritage Foundation just released its Economic Freedom Index, and shows a clear decline in economic freedom in the United States.

 

We face serious headwinds in America. Last week I met with George Will ("the most powerful journalist today" -- Wall Street Journal) at his offices in Georgetown, and he was decidedly pessimistic about our monetary system and the fiscal insanity in Washington.

 

"When the economy recovers, interest rates will explode upwards and the federal budget will be out of control," Will warned. He expressed concern that the economic recovery will be cut short.

 

78.jpgWill is a big fan of FreedomFest, and would like to come (though he has yet to commit). He's also a big baseball fan.

 

We are planning a special panel on sports called "Who Are The Modern Day Gladiators?" The answer is of course the booming sports industry.   To paraphrase Keynes, "Better that a man tyrannize over his favorite sports team than his fellow man." Can competitive sporting events replace war to fulfill man's desire to fight?  

 

Other speakers on this "Rome" theme: FEE president Lawrence W. Reed will speak on "The Fall of Rome and Modern Parallels."

 

Steve Forbes on his book, "Power Ambition Glory: The Stunning Parallels between Great Leaders of the Ancient World and Today . . . and the Lessons You Can Learn."

 

Charles Kessler, editor at Claremont Review of Books, will speak on "Cicero: The Life and Times of Rome's Greatest Politician."

 

Jo Ann Skousen, entertainment editor of Liberty magazine and a professor of English literature at Mercy College, will be giving three lectures on "Greek and Roman Mythology: Everything You've Always Wanted to Know." It should be fun.

 

And don't forget the exhibit hall, "The Trade Show for Liberty," where you will encounter over a hundred freedom organizations, think tanks, and financial exhibitors.

 

Plus the ever-popular Anthem film festival.

 

As in the past, Laissez Faire Books is our official bookstore -- and will be hosting their own "Laissez Faire Day" at FreedomFest with speakers Jeffrey Tucker, Doug French, and many more.

 

You can see why Steve Forbes attends all three days. FreedomFest is the greatest libertarian show on earth. "FreedomFest is where the best ideas and strategies are fleshed out. I wouldn't miss it for the world."

 

Join Steve Forbes, John Stossel, and thousands of others like-minded free thinkers July 10-13 at Caesars Palace.

 

Special Rate at Caesars Palace

 

Note: We also have reserved a room block for us for only $129 a night (considering that every room at Caesars is like a suite, this is a bargain). Sign up today!

 

We're also adding details soon about luncheons, breakfasts, special events, and our gala Saturday night banquet.

 

See you in Vegas in July!  

 

Yours for peace, prosperity and liberty, AEIOU,

 

ms signature  

 

Mark Skousen

Producer, FreedomFest

"The world's largest gathering of free minds"

July 10-13, 2103, Caesars Palace, Las Vegas

 
rss's picture

The Travels of Marco Polo Chapter 24

Submitted by rss on February 11, 2013 - 4:58pm.

The Travels of Marco Polo--Chapter 24

Furthermore all merchants arriving from India or other countries, and bringing with them gold or silver or gems and pearls, are prohibited from selling to any one but the Emperor. He has twelve experts chosen for this business, men of shrewdness and experience in such affairs; these appraise the articles, and the Emperor then pays a liberal price for them in those pieces of paper. The merchants accept his price readily, for in the first place they would not get so good an one from anybody else, and secondly they are paid without any delay. And with this paper-money they can buy what they like anywhere over the Empire, whilst it is also vastly lighter to carry about on their journeys. And it is a truth that the merchants will several times in the year bring wares to the amount of 400,000 bezants, and the Grand Sire pays for all in that paper. So he buys such a quantity of those precious things every year that his treasure is endless, whilst all the time the money he pays away costs him nothing at all. Moreover, several times in the year proclamation is made through the city that any one who may have gold or silver or gems or pearls, by taking them to the Mint shall get a handsome price for them. And the owners are glad to do this, because they would find no other purchaser give so large a price. Thus the quantity they bring in is marvellous, though these who do not choose to do so may let it alone. Still, in this way, nearly all the valuables in the country come into the Kaan's possession.

 
 
http://en.wikisource.org/wiki/The_Travels_of_Marco_Polo/Book_2/Chapter_24
treefrog's picture

homemade full automatic

Submitted by treefrog on February 11, 2013 - 5:00pm.

"i love weaponizing black and decker tools"

baobab1961's picture

December U.S. Budget Deficit

Submitted by baobab1961 on February 11, 2013 - 5:04pm.

Last year we've got the december 2011 U.S. budget deficit on january 12, 2012

Today is february 11, 2013 and I can't find the december 2012 U.S. budget deficit.

Can somebody help me ?

Thanks !

fats's picture

another snow storm?

Submitted by fats on February 11, 2013 - 5:12pm.

It's raining here in MA today - forecast says 4's and sunny the rest of the week.  I'd like to see the snow stay, but I'm not seeing the same forecast as you!

ancientmoney's picture

Run, Dorothy, run--and Toto, too!

Submitted by ancientmoney on February 11, 2013 - 5:31pm.

opticsguy's picture

Silvertree

Submitted by opticsguy on February 11, 2013 - 5:34pm.

do you have a larger image of that poster?

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