The Fed Disappoints

Tue, Dec 13, 2011 - 3:48pm

HAHAHAHAHA! That's a good one! As if having the Fed overtly printing money would solve all the worlds ills.

Once again the media incorrectly spins today's FOMC minutes as a postponement or even a (gasp!) cancelation of further quantitative easing. Buy the dollar! Your evil Sith masters are such responsible stewards of the economy that they are prepared stop the presses and enforce credit discipline upon a spoiled, bloated populace.

What a joke. Up goes the dollar and down goes nearly everything else. Please, I hope you are able to see through the fog of this nonsense. Again I ask you, from where is this year's $1.5T U.S. budget deficit getting its funding? From where did the U.S. government get their funding last year? From where will they get it next year?

Oh, whatever. I'm not going to go through all this stuff again. QE to infinity is the only possible option, whether or not Maria Headiromo and Bob Pissonme agree makes no difference, whatsoever.

Anyway, back to important matters. I trust that the continued weakness in the metals is not catching anyone by surprise. Nothing has changed from yesterday or last week and the selling continues. Gold looks almost certain to head toward its 200 day moving average near 1615 and silver looks to be headed to 30. The big question is:


Maybe. However, I've got a sneaky feeling that they won't. I suspect that we will see a capitulation in paper selling when gold doesn't stop at 1610 and silver doesn't stop at 30. I've maintained for some time now that paper gold was vulnerable to a drop to 1550 and that paper silver could drop toward 25. Why change that forecast now?

I just saw the OI numbers for yesterday and they are very interesting to say the least. The Feb11 contract only saw its OI drop 1500 contracts. For a drop in price, this is an extremely surprising number. First of all, this nearly confirms for me that much of the front-month trading is done by WOPR. There seem to be very few, human holders of these contracts. Also, it's clear that much of the decline yesterday was due to the initiation of new short positions by The Cartel. Again, with lease rates at -0.5%, this shouldn't surprise anyone. The BIG story is the rise in Dec11 open interest by a net of nearly 500 contracts, from 1545 to 2034! The question is: Who is jumping the queue and why? Is global demand for physical metal this month finally going to be sufficient to explode the Death Star? Is this why The Cartel has desperately suppressed price over 0 in the past 3 months? I sure can't wait to see what tomorrow's numbers are.

As I wrap up, gold is 1633 and silver is 30.65. I sincerely hope that the discussions here over the past week have helped prepare you, financially and mentally, for this brutal selloff. Keep the faith. The only thing truly declining in value is paper gold and silver. I say this with confidence because thephysical gold and silver you have in your possession is invaluable and thus insulated from the day-to-day shenanigans of the paper market.

I'd like to type more but the LTs are planning a birthday party tonight for Taylor Swift and I have to go bake a cake. I hope to have more commentary this evening. TF

About the Author

turd [at] tfmetalsreport [dot] com ()


Dec 13, 2011 - 5:24pm


I'm not a reporter,

I'm a pitchman!

Dec 13, 2011 - 5:40pm

western bankstering need be careful.

BACula sitting right on the edge of going down with any consistent market sell off. The use of the markets to smash gold & very much less silver now, is churning the guts of the criminals. Whatever the dead head fed goons do from print fiat to smash metals, there's citizens taking a growing heaping position in physical metals. Let'em push the whole pile of fiat shit over the precipice to bring down paper leveraged fiat gold & silver of over 100 to 1 down to where ever. The rat bastards will never recover on the physical end and mobs will hang them for now metal in the vaults. You and I know litigation will grow as with hpig vs. jpig over 20 bars of gold/silver. Spending all those litigation dollars for a petty 20 plus bars says how desperate the criminals are to cover the horrendous exposure of people demanding delivery; trading in funny money. This is all so close to falling into the abyss, the criminals along with it, the ilk are smelling the porking pig mens fat asses of bacon frying crisp to burning daily. Oh this will be good as the real perpetrators offer up all the greedy vampire squids upon the alter of paper fiat ponzi and its collapse. Eventually we'll take care of the black dark superior EE heads behind it all and kill the beast. It will be frightening for some but not for those united in preserving the republic. We're beyond scared. We're ready for opportunity to meet preparation and sweep the ilk from off the face of our restoring constitutional nation. One nation under God and not fraud.

Dec 13, 2011 - 5:45pm


just popped in to check spot

target in range

will it break 1600 overnight?


bigger question

will CNI sell me any?

last time

all they would part with was the roo at under 1600

Bay of Pigs
Dec 13, 2011 - 6:01pm


Is that you from Mish's board a few years ago?

Dec 13, 2011 - 6:06pm
shaz Bay of Pigs
Dec 13, 2011 - 6:20pm

nope only  Mish i know is a


Mish i know is a fisherwoman who posts at

I'm just a guy who likes wood

and shiny things...

If i stole a handle that is well known

i would be down with changin it...

Shaz short for Shazam

kooky Saturday morning super-hero show many moons ago

Dec 13, 2011 - 6:22pm

Oh Boy! I was on pins and

Oh Boy! I was on pins and needles waiting for this announcement! Who could of guessed no rate hike???

sarc off/

Came across this video awhile ago, Dr. Alan Sabrosky, fmr head of studies with the Army War College.

Video unavailable
Dec 13, 2011 - 6:23pm


cme's doofy throws corpsezine under the bus.

1st comment on that thread "is the bus OK?"

c-me doofy will not get out of this alive. Wait until the guns come out to silence the low level ilk of the EE.

Dec 13, 2011 - 6:28pm

So you shredded those...

credit card receipts and the delivery receipts for your prep supplies. SO WHAT, read this and then go build a fire pit, pronto!


banal comments JimmyTheHand
Dec 13, 2011 - 6:46pm

All due respect to Turk, some

All due respect to Turk, some of that is talking his book. Of course there's a better choice in a deflation than silver- cash. To suggest otherwise would ignore all monetary history. Physical gold and cash would be the best choice in such an environment.

Dec 13, 2011 - 6:53pm

From the result of the $134 Billion USTBonds confinscated

If this can clean up this mess without bloodshed I am all for it!!!

Thousands of trillions of dollars? You have GOT to be kidding me! As soon as I read that, I had to know more... because I had enough information to be convinced that this was not a spurious lawsuit. I immediately lined up an interview with Fulford to clear this up. The bottom line is that the Dragon Family intended for these bonds to be stolen. They represented only a small percentage of the overall asset base... all of which is clandestinely registered within the Federal Reserve and the Bank of International Settlements! Fulford gave an introduction to the story in this interview -- and I then found out much, much more as time went on. This was an elaborate sting operation that has brought us to where we are today -- where a vast international alliance of 117 countries now has a legal way to end the financial tyranny of the Old World Order. ... Cabal struggles desperately to create fascist world government as multiple criminal investigations zero in on them

The fascist cabal known as the Bilderbergers, CFR, committee of 300 etc., is desperately and without hope trying to start WW3 and install a fascist world government in an attempt to pre-empt criminal investigations closing in on them from all sides.

Their efforts will fail because the Pentagon and the agencies in the US (with the exception of homeland Gestapo) are preparing to remove them from power, according to CIA and other sources.

For example, multiple investigations are closing in on alleged President Obama, including one for illegally declaring war on Libya. A count among US representatives show the votes necessary to impeach him are there, US law enforcement officials say.

In addition, evidence of bribery and other forms of illegally tampering with government is being compiled against George Soros, among others. There is also a lot going on under and on the surface in Europe, Japan and the Middle East....

In the US, as mentioned last week, the Obama regime has asserted the right to murder and imprison Americans without due process, meaning he has declared the US to be a fascist dictatorship. Again, it looks on the surface like the plans for a world fascist government are proceeding smoothly.

Fortunately for the rest of the human race, the fascist power grab is really just a sign of desperation....

The problem is that almost the entire leadership structure in Washington D.C. is corrupt and compromised, but people in the Pentagon and the agencies are so used to taking orders that they do not know what to do when their leaders become dysfunctional.

For example, there are enough votes in the US Congress and Senate now to impeach Obama, but the problem is nobody can agree on a replacement.

The various corruption investigations against the Obama regime can remove him [and the greater architecture of corruption behind the scenes] from power, but nobody knows what to do next.

The only answer is for the military to set up a temporary government headed by the Joint Chiefs of Staff until the garbage can be removed from Washington D.C. and Wall Street. The military rightly claim that armies are not good at governing. However, they are good at cleaning up a mess -- and restoring constitutional order.

The US military also worry about being able to meet the payroll, but the backers of the new financial system have already promised generous financing to ensure a restoration of US economic might -- and a gradual transition of the military industrial complex into something that can be self-supporting and good for the planet.

h/t CauseChange

Dec 13, 2011 - 6:54pm

so Velocity

if we all stopped paying our taxes,

and the roads went to crap, police force disbanded, firemen went home, would u be safe in your bunker somewhere out in the desert?

or would u be living in fear somewhere in the city, prayin that u didnt get attacked by a roving band of thugs or had your house set on fire

dont get me wrong, i am not happy where alot of my tax money is going now a days, but not to sure that would be a reasonable action in this melting pot of individuals we live in...

Dr Durden
Dec 13, 2011 - 6:54pm

Perfect timing

To cash out my 4th and 5th retirement accounts this year.

You know, cause the dollar is so valuable and stuff now.

And the reason they have Gartman on the CNBS is because "the news" is a fucking cartoon and they need to keep the children watch that fictional nonsense entertained.

Dave T
Dec 13, 2011 - 6:58pm

Lease rate

Turd - You pretty much nailed it with calling the sell-off, and using the -0.5% lease rate as a warning sign. For perspective, could you tell us what the lease rate was before this indicator moved into the danger zone, and perhaps give us an idea of how quickly it moved?

Mike7.62 DaddyO
Dec 13, 2011 - 6:58pm


Shredded paper burns better than unshredded. It makes an excellent campfire starter in dry conditions, especially when used in conjunction with the secretion of more metals, both base and precious, and the celebratory libations around the fire afterwards.

Dec 13, 2011 - 6:59pm

Strange Happenings

I was on a buying spree today and kept running into strange happenings. I watched as several of the companies I had buy orders in for went below my buy price and my orders were never executed. I watched this over and over again throughout the day and saw thousands of transactions under my buy price and my orders were never executed. Some of them even closed below my buy price and my orders were not executed?

I'm not really versed on the inner workings of the market but this didn't make much sense to me. Can anyone help me with an explanation?

silver foil hat TF Metals Admin
Dec 13, 2011 - 6:59pm

wopr figured it out back in the early 80's

there was no winner with the "Kenya option"?

Damn, that wopr was good.

Or it was just the illimniati sneaking a message into 80's culture. I wonder what they're trying to tell us now hidden in modern pop culture about their future plans?

Silvergunn silver foil hat
Dec 13, 2011 - 7:06pm


Read the interview I and CauseChange just posted on in this thread, long and insightful!

Dec 13, 2011 - 7:15pm

Just paid APMEX a little

Just paid APMEX a little visit, and a Merry Christmas to me, and a big F- U too Ben and company One of each blend if you will.

Lower prices, how dare you threaten me Ben...Keep it coming I am a weakling for a sale.... Bitches!

Dec 13, 2011 - 7:15pm


I hear Fulford is a relative of Leo Wanta.

Dec 13, 2011 - 7:18pm

I think that MF Global woman

I think that MF Global woman who phoned it in to cme will have the accident, and not Duffy

Dec 13, 2011 - 7:20pm

Looks like 1705 wasn't

Looks like 1705 wasn't "stout" support. Not to bash on Turd or anyone else too much but TA means nothing imo, especially in totally controlled and manipulated markets.

USD over 80 though, just funny to see it there again. Wth is it doing there? Wth is it doing anywhere except 0 or maybe single digits at best? Well, as long as the USD index is mostly a function of the Euro it's probably okay where it is right now, but against real money/wealth it should be trending towards zero right now (well, 1/1600 or 1/1700 is pretty close to zero actually :)).

Gramp Shill
Dec 13, 2011 - 7:22pm

Fucking Right Shill...

I'm on the prowl for a few o z's as well.

Fuck those guys. Stuff it down even more you goons, I been waiting.

Economical Disaster
Dec 13, 2011 - 7:22pm

Realtors: We Overcounted Home

Video unavailable
Realtors: We Overcounted Home Sales for Five Years Published: Tuesday, 13 Dec 2011 | 5:21 PM ET

Data on sales of previously owned U.S. homes from 2007 through October this year will be revised down next week because of double counting, indicating a much weaker housing market than previously thought.

The National Association of Realtors said a benchmarking exercise had revealed that some properties were listed more than once, and in some instances, new home sales were also captured.

"All the sales and inventory data that have been reported since January 2007 are being downwardly revised. Sales were weaker than people thought," NAR spokesman Walter Malony told Reuters.

"We're capturing some new home data that should have been filtered out and we also discovered that some properties were being listed in more than one list."

Dec 13, 2011 - 7:24pm
Dec 13, 2011 - 7:25pm

Gold lease rates


Dec 13, 2011 - 7:26pm


Gotta pipe in and say I agree with velocity on this. Nothing will change until the EE is starved of its forced revenue stream. The "police force" is becoming more and more militarized, confrontational and intimidating towards everyday citizens. What happened to "peace officers"? In the end they will side with the State not the people (except the few officers that still believe the oath they took). Firefighters? How bout volunteer fire departments, those guys are awesome! The roads are crumbling now, but that's because its a gov't monopoly, lots of waste, no accountability.

TAXATION IS THEFT.......plain and simple. The roving thugs are already prevalent, they just wear really nice suits.

Sometimes we be-friend the bully so as not to be beaten.

Dec 13, 2011 - 7:34pm

2012 ASE's and AGE's

anyone know when these go on 'sale' or become available? - been hoping price would keep down to get sleeve or two or more.

Dec 13, 2011 - 7:35pm

Re: 9/11 & MOSSAD

So the US should invade Israel because about 1/10000 of a percent of their population maybe attacked the US? Yeah, that totally represent the whole country, nuke em all! And btw you do not get a few dozen tons of explosives (at least) into the NYTC without the approval/help of some US entity.

Dec 13, 2011 - 7:57pm

Why do price falls still scare me?

I know the score. I know in the end they have to print to keep the game going. I know that they are probably printing now behind the scenes. I know that as more and more people learn to distrust the banks gold and silver become attractive alternative stores of wealth. Perhaps most importantly I know that the prices of gold and silver have been supressed and that when the suppression comes to an end they will explode upwards like a beach ball that has been held under water.

Yet in spite of this knowledge, when the prices are hit like they are this week I still feel the gut-knot of worry. Why? If I know they have to go up why am I worrying about the short term?

1. My profits are tiny and easily pushed into the red. I've been long now for over 6 years BUT until the last year or so I've mostly been long the miners--and they've barely moved. Add a bit of panic selling from May 2006 and Nov 2008 into the mix and my profits are tiny. If we drop back down to $25, I will be under where I was in 2006. Spending so many years learning about this stuff yet having nothing to show for it weighs on the ego.

2. The panic of 2008 also weighs heavily still. When everything I predicted would happen came to pass and yet gold and silver went down it blew my mind. Some of my large cap miners went down nearly 90% (and haven't returned yet to their previous levels). It was this action which finally convinced me that gold and silver were being manipulated. But there is NO sign of it letting up. If anything it seems to be getting worse. I still have less money in my accounts than I did in Mar 2008 before Bears Stearns.

3. I see NO sign of a deviation between paper and physical. When CEF, PHYS and PSLV premiums start ramping up then I'll start to get excited. In the meanwhile I've seen people posting about coin shortages since Sep 2008. I attribute most of that to supply chain problems.

4. Gold and silver prices have been expertly capped and controlled through the worst of the crises during the last 6 months. If the recent blowups aren't enough to break them free, what is? Unless the entire system is completely obliterated, will they ever break free of their current trading ranges?

5. Normalcy bias makes it hard to envision the entire system being completely obliterated.

6. Many rumours have passed by without us seeing any evidence towards their truth. Anyone come forward with any Tunstan bars? Anyone come forward with PROOF that they got paid a huge premium to settle in cash? Nope. Nope.

Finally, as pointed out by lengendary gold-hater Denninger recently and as is illustrated by the effects of margin hikes. There is a lot of leveraged money in gold and silver. I don't think we are immune to a liquidity crunch like 2008. Especially now that the EE has painted the tape to make gold and silver appear to move WITH the stock market. I don't use any leverage myself anymore but I do have 80%+ of my assets in PMs. If silver falls to $12 before taking off to the moon it is going to be really, really, really hard to hold on for that ride.

This has been a long hard road and during it there have been life choices that have passed me by while I've been waiting on it. I'm getting tired of being used as the EE's punching bag but right now I really don't see any sign of an end to it. I can only hope that it's darkest before the dawn.

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