BLSBS Friday

Fri, Jan 6, 2012 - 11:19am

Well, it's BLSBS Friday once again. I could write another snappy missive regarding the bs and nonsense that is the latest monthly, wholly-manipulated government statistic but what would be the point? Instead, I thought you'd enjoy a video of Mrs F and I enjoying our coffee while listening to LIESman et al wax philosophic about the joys and wonders of delayed-reaction keynesianism.

Charlie Brown Teacher Speaking

Anyway, just read this and you'll get the real story:

The "market" for paper precious metal continues to be a joke. After having the audacity to trade up and through 1630 in the first hour of trading, gold was summarily crushed by the Forces of Darkness in the last 45 minutes or so. Whatever. The bad part is that I printed these charts an hour ago and now they're sort of obsolete. Sorry. I'd re-print them but my freaking printer just broke. UGH. It's going to be one of those days. Anyway, here are your charts.

First, here's an hourly gold. Again, gold rallied almost exactly to this line about an hour ago, only to be savagely attacked by the awaiting monkeys.

More significant are the daily and weekly charts. Here you can see that we are slowly making progress but now is still not the time to be extraordinarily bullish. When gold is finally allowed to clear 1640, I'll get interested. When gold then breaks back above 1700, I'll get wildly bullish.

At the risk of sounding like a broken record, silver continues to be actively suppressed. That said, let me state this clearly:

I am of the firm belief that the spike in April put the fear of God into the EE. They have manipulated the takedown ever since simply so that they can cover their massive short position and eventually transform it into a net long position. They are not yet finished with this project. We will be able to decipher when they are done by looking at the CoT reports and the charts.

Regarding the silver charts, you can clearly see a continuing desire to keep silver under $30. Why is $30 so important? A glance at these charts should tell you all you need to know.

Once silver breaks above the first downtrend line, confidence will rise that the forced "correction" is over and some spec money will begin returning to the pit. Breaking 30 will also set up the next stage, which would be a run toward $35 and the main, downtrend line that connects the highs of April with the highs of September. WHEN silver breaks back above that line, it's on! Until then, we can't be sure that the EE is ready to let it happen.

I must take a moment to update Pigatha, too. She is right back to the all-important 81.50 level this morning. Again, this level served to contain the rally last January. Will it do so again this January? Maybe. Since the euro makes up something like 55% of the POSX, further euro weakness will propel this index higher. As you can see, once through, 81.50, the next stop might be as high as 84.

Here are some items to add to your weekend reading list. First up, a 2012 look-ahead from Patrick Heller:

Next up, please take time to read this article from Jeff Nielsen. He covers in great detail one of the central theses of this site. Namely, that the Fed is actively stimulating the purchase of treasuries, through their primary dealers. The idea that there is currently no QE is absolute nonsense. The PDs are simply doing the covert dirty work of the Fed. Again, without the PD buying, where would rates be? Rates would have to rise dramatically from current levels to attract actual, organic, free market buying. The U.S. government debt service cost for fiscal 2011 was $454B. What would it cost to service service the debt if the 10-year rate was 5% instead of 2%? Would would it cost at 8%? Rates, therefore, cannot be allowed to rise as higher rates would only serve to accelerate the unraveling of The Great Ponzi.

Mr. Turk has weighed in on silver. He compares it to AAPL. I hate this comparison as it makes silver sound like some kind of fiat-based, wealth accumulation scam. However, his rationale and price targets jibe with mine, so, here you go:,_But_Silver_is_the_Next_Apple.html

I spoke with The Tech Team this week and we are beginning to build the site changes that I mentioned in the video earlier this week. The changes are designed to enhance the revenue of the site which will, in turn, allow me to offer significant new levels of content. I hope to have these changes in place by the end of the month and I will keep you posted in the progress and what I am thinking. In the meantime, do not forget that the only revenue that this site receives is from the advertisements. The generous Turdite donations help considerably and I am extremely grateful for them. However, please continue to give our sponsors your occasional attention.

Lastly, I discovered a few days ago that one of my all-time favorite bands had called it quits. (Well, actually, they're going to try to continue without one of the founders but it won't be the same.) I first discovered the BoDeans back when I was in college. They wrote rock-and-roll songs about love and angst and longing. I was immediately hooked. The guys tried for almost 30 years to gain a national following and they actually came close a couple of times. Now, they're just beaten down old farts like me. God bless you Kurt and Sammy. A heartfelt hank you for providing part of the soundtrack to my life.

Here are the boys back in 1989, almost making it to the big time:

Video unavailable
BoDeans - You Don't Get Much - Live From the Pabst
BoDeans - Closer to Free (Live at Farm Aid 25)

As I close, I see that The Cartel counter-attacks have stopped and the metals are rebounding. Good. They'll probably be rangebound for the rest of the day. Enjoy your weekend. Check back tomorrow for release of the latest TFMR podcast. I had some technical difficulties in recording it but I think you'll enjoy it regardless.


About the Author

turd [at] tfmetalsreport [dot] com ()


Dr Durden
Jan 6, 2012 - 6:51pm


I've seen the BoDean's more times than I can count. If I had known they were done, I would have made more of an effort to see them one last time. Kinda sad, great live band - screw yer Phish these guys could jam, too!

Jan 6, 2012 - 7:09pm

A fascinating interview of

A fascinating interview of the liberal who wasn't afraid to have Ayn Rand on his show.

Phil Donahue on Ron Paul & Foreign Policy
Jan 6, 2012 - 7:20pm

@Shill - great vid - I

@Shill - great vid - I remember watching Rand on Donahue. She had one of the most "romantic" things to say ever about a dead spouse during that talk - but that's another story.

Problem I have with the comments is this - easy to go to war or not, closing the straits is a problem for any nation that needs to buy that oil. So what if the Iranians do try to close it and/or mine it? Wouldn't stopping that or retaliating against it actually be one of the definite ways you "protect US interests"? Or should we just pull in our horns and let other nations more dependent on that route take car of the problem? Just wondering.

silver foil hat
Jan 6, 2012 - 7:23pm

Away for a day or two... not sure if posted yesterday...

edit... noticed that it was dated today so I guess this is new. Hopefully it gains some traction in the House too.

Dyna mo hum
Jan 6, 2012 - 7:31pm

Thanks Shill for the Ron Paul piece

Now if I can just get the hair on the back of my neck to lay down I will be ok!

Jan 6, 2012 - 7:50pm


watched the interview last nite.....interesting to see him still pulling his punches on the PTB.....he knows the game......he and Posner were the last men standing on MSM against the Iraq invasion and were putting up a good fight. POOOF ....gone.....hehehhehehe......not even a word about them was like they never you have a broken country a broken constitution and half the peeps still don't understand whats happened. Cpn just asked what would happen if they closed the straits......hehehhehe....that tells you he still doesn't get offense intended cpn......i like you but you have been used your entire life as a shill for these are trying to get through your bias but its hard to change and admit your entire life has been used by them......some people do ....maybe you will ....i see hope

Jan 6, 2012 - 7:55pm

Wow that lease rate...

Last time the lease rates did that, bad things followed.

Jan 6, 2012 - 7:57pm

RP predictions

if everyone could see that...maybe we would have a chance

Jan 6, 2012 - 7:57pm

SteveB & EBAY

I don't understand your post.

An Ebay seller at $336 shipped (when reputable dealers are $29x shipped) means what?

Jan 6, 2012 - 7:58pm

And by we

I mean humanity

Jan 6, 2012 - 7:59pm
BoblovesHawaii tpbeta
Jan 6, 2012 - 8:00pm



cpnscarlet kliguy38
Jan 6, 2012 - 8:03pm

@kliguy38 - Always

@kliguy38 - Always the "gentleman", but answer the damn question. You always love to lob a veiled insult then not answer the direct question - gets tiresome.

Or are you saying that the oil going thought there is an illusion of some kind or that we really don't need it? But why am I trying to read your mind - ANSWER the question.

Jan 6, 2012 - 8:06pm

Gold Lease Rates

Scary that this is happening again in such a short amount of time. Last time before December was what? August/September? If the EE is trying the same stunt again this fast, they must be desperate.

Jan 6, 2012 - 8:17pm


I listened to Ann Barnhardt's interview today and she seems to think the solution boils down to - buy lots of guns and ammo, remove all cash from systems even if FDIC insured, close all investment accounts including retirement accounts, and do not ever pay our federal income taxes again. Over half of the population have almost zero savings, their 401K's have dropped to 101K's, but they do have the guns and already do not pay federal taxes. Is this really a pathway of being prepared??

We all talk to many people about the economy, politics, and about the America that has lost its way long ago. There is little agreement as how to fix this big mess. We often look like a herd of elk surrounded by hungry wolves and will be picked off, one by one. We cannot allow the enemy to push all of our buttons because it is just in their plans. Difficult times are truly coming but we cannot allow that to change our own value systems.

Socrates: He taught everywhere that an upright man and a happy man are all one. That they that do good are employed; they that spend their time in recreations are idle; To do good is the best course of life; he only is idle who might be better employed. A horse is not known by his furniture, but qualities; so men are to be esteemed for virtue, not wealth. - They who know what they ought to do, and do it not, are not wise and temperate, but fools and stupid.

So much of what we see today is changing the values that we have gained from this blessed nation. Confusion is being pumped through all forms of the media and it is changing our values into the values of the unrighteous. (Rev. 22;11). jmo

Jan 6, 2012 - 8:18pm


I guess you should grab them and flip them for a nice profit.

I just checked apmex and their 10 oz engelhard are @ $327.70 plus shipping.

Jan 6, 2012 - 8:33pm


on my way out for awhile but heres a go at it...... False flag events and starting wars are our specialty....always have been. Google gulf of tonkin.......WE started the war by propagating a false attack.... We tried to get Saddam to attack with provoke after provoke .....he knew he would be crushed like a bug and wouldn't bite..... he had no WMDs he wasn't in on 9/11 etc etc ...He WAS a tinhorn dictator that WE put in power but that didn't stop us from taking him out and his oil and dumping 2 trilllion in the sand for the oil companies and MIC. and we keep on playing the same game my friend. DO YOU REALLY think that Iran will block the SoH.....hehhehehe....and if they did guess what WE GET OUR WAR MY FRIEND......that should be VERY clear by now...........your question bears no need to answer ....its obvious.. WE GET OUR WAR. Maybe this time we can take out more than a few million civilians.....heck NUKE um that should really make a lot of us happy...hehehheheehe oh my just gets better everytime.

Jan 6, 2012 - 8:34pm


I wasn't trying to be argumentative. I was try to learn something.

Are those Ebay prices for Engelhard? And since it seems Engelhard gets a high premium over other bars, why do you use them to make a comparison to paper prices?

Jan 6, 2012 - 8:35pm
Jan 6, 2012 - 8:39pm

Asuming Smiddy

that you connected all the dots, then they need a planned event to take down the stock market. The war with Iran?

Jan 6, 2012 - 8:43pm

NW View....

I always enjoy reading your posts. Believe it or not, today I was reading Apology of Socrates to help my kiddo with a school assignment. I had not read it before. Doing good, yes. I am trying to get in the habit of asking myself what good can I do today. Because I really believe the only hope our nation has is if each one of us focuses on changing ourselves, from the inside out.

Thanks again, NW View.

maravich44 kliguy38
Jan 6, 2012 - 8:47pm

@kilguy38. Agree,Agreed! War Machines.

.. the complex has much that they want to test in real/actual battle. Let's hope for (*The Battle of Mount Evermore*) instead.//
Jan 6, 2012 - 8:49pm

Hunt Brothers Coming Again

I saw some discussion on the Hunt Brothers in the comments about what kind of impact they actually had on the silver market. Whatever impact they had, there is one thing that I am sure of and that is there will be attempts to hoard silver again. When the fiat paper ponzi really starts its downward spiral, there's not many bigger motivational forces to buy silver than the realization that everyone's wealth held in dollars or bonds is about to disappear.

Jan 6, 2012 - 9:00pm

kliguy38, I know running a


I know running a blog is very taxing as Turd knows, but it's a shame you shut yours down. Good to have you here though....speak often and speak loudly please.

Jan 6, 2012 - 9:06pm


thankyou and I have reopened....i don't provide a link in deference to turd's site but feel free to revisit....I opened a week ago and will provide posts for as long as the PTB allow it up.....can u read between the lines....hehhehe

Smiddywesson Senseosensei
Jan 6, 2012 - 9:09pm

Asuming SmiddySubmitted

Asuming Smiddy

Submitted by Senseosensei on January 6, 2012 - 8:39pm. Hat Tip! 0

that you connected all the dots, then they need a planned event to take down the stock market. The war with Iran?

Can't say. I am in my cups. That means that if I post anything, I will get up in the morning, make coffee, log in, and cringe at what a colossal assh*le I am.

With that caveat, does the stock market need an event to make it drop, or do they just need to unplug the heart lung machine that has kept its heat beating since 3/9/2009?

My country is dying. It's time to get life threateningly drunk.

Goodnight everybody.

Jan 6, 2012 - 9:17pm


I had four uncles that fought in WW2 all wound up in the european theater and two received PHs and BS... one the SS.......My uncle Bunny was so severely wounded the second time at Casino by a German machine gun that after his bowel resection and 2 mo recovery he went AWOL in an Italian cave ....they were sending him for his third magic wound.... My uncle Larry was a pro heavy weight boxer that had been the national GG boxing champion and he was a celebrity in our city.... He would never return to boxing after he served..... My family is not a bunch of chicken hawks.... I'm 220 and 6foot...there are some here that have met me personally so I dare not exagerate....but I think it takes a true patriot to do what that little gay marine that released the documents to Wikileaks did than what many of the people that know better and keep their mouths shut. They WANT your silence.....They WANT you unaware......they know you are SHEEP.....

Jan 6, 2012 - 9:21pm


Next week looks hard.

Current position of/and Dollar strength/Euro weakness(as well dollar moved/gold didn't).

Odd neg lease rate issue?

Are there Treasury auctions Mon-Thurs?

They held gold at last rally price.

Gold priceline daily@1614.45 (weekly@1596.70) - trade/hedge away from these prices.

Dr G
Jan 6, 2012 - 9:23pm

10 0z silver bars   Low

10 0z silver bars

Low is $336.00 w/free shipping (buy now)

High w/bids $375.00

Physical and paper prices really are separating.

I don't think so. eBay has never been a valid source of prices, in my book.

Bullion Direct has 10 oz bars starting at $307.

Provident has them for $298.

Physical and paper aren't even coming close to separating.

Jan 6, 2012 - 9:39pm


Lets go back to the early 1990's where the tactic was duping not provoking. Different strategy, same result but he was given tacit approval to invade the satellite, Kuwait, on the grounds of their slant drilling. So Hussein did invade, and then he was double-crossed as this action was all of a sudden was not allowed. Then we get the fabricated incubator story, consent is rallied, and bombs start to drop.

Nayirah Kuwaiti girl testimony

Oh Yeah and Cheney (love that guy) flies into Saudi showing Fahd and family, satellite imagery that Iraqi tanks are on their doorstep and certain destruction is imminent, so the Saudis should give American airforces priority/control of their airfields. And they do. Awesome.



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Key Economic Events Week of 4/15

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