More From Thunder Road

Sat, Jul 7, 2012 - 10:48am

Some weekend reading but also we have the winners of the latest Hat Contest.

Let's get to the Hat Contest first. Remember, for this contest, we used the closing Globex prices, as shown on the kitco chars on the main page. As everyone can see, gold closed at $1582.40 (yuck) and silver finished at $27.10 (ick). The entries were graciously compiled by Turdite "rl999" and the winners are:

  • In gold, with a guess of $1582.16 - "interwebzmonies"
  • In silver, with a spot-on guess of $27.10 - "himalaya2"

As per usual, I need the winners to email me at tfmetalsreport at gmail dot com. I need your shipping info.

OK, back to business. There wasn't a CoT yesterday. Because last Wednesday was a federal holiday and because the CoT is cranked out by federal employees (CFTC), the CoT won't be released until Monday. What a joke this is! Try getting away with that in the private sector. Do you think your private sector boss would allow this? If a report is due on Friday, then it's due on Friday. Additionally, it just goes to show how purposefully opaque the CoT is. As Uncle Ted has repeatedly pointed out, there is NO REASON that the CoT can't be released the day after the survey. The delay in releasing the information makes it less valuable and, therefore, the markets easier to manipulate. Releasing the CoT yesterday would have been after just TWO business days and, clearly, we can't have that now can we? Again, what a joke.

Finally, here's your reading assignment for the weekend. You may recall the emphasis I placed on the last issue of The Thunder Road Report by Paul Mylchreest. It was a comprehensive summary of the techniques and methods used by The Cartels to manipulate and suppress the prices of gold and silver. If you missed it or would like a refresher, the report can be found here:

In his latest report, Paul discusses an issue that is obviously near-and-dear to my heart: The Coming Change In The International Trade Settlement System (TCCITITSS). As regular readers know, I've been writing about this every chance I get. To read that Paul has come to many of the same conclusions is gratifying.

Please take the time to digest the report and discuss it in the comments section. I firmly believe that this Change is coming. The effects and implications of this Change will not be felt exclusively in the U.S., of that you can be certain. Therefore, we must all prepare.


Tr Report 27

About the Author

turd [at] tfmetalsreport [dot] com ()


Jul 7, 2012 - 12:12pm



Jul 7, 2012 - 12:15pm


Never wanted to claim #2...

Doesn't look like any of my fellow Turdites will be seeing me in one of my wife's dresses anytime soon. No yellow hat for me.

Jul 7, 2012 - 12:21pm


I'm looking forward to massive structural change and the volatility that goes with it. A seismic shift seems to be needed and I'm sure that's what we'll get.

My guess would be that it's not as orderly or on a calendar schedule like TPTB would've hoped or planned for.

Charles S. Hamlin
Jul 7, 2012 - 12:21pm


Turd, Thanks for all that you do and the endless time that you spend educating us all...also thanks to all of the regular contributors to the comments section, your opinions and input are invaluable.

All The Best, Charles

A little off topic, anyone have an opinion of the impact of the soon to be implemented "Cap and Trade" program in California? What little I know about does not sound good for a state already flush with economic problems.

Just A Regular Guy
Jul 7, 2012 - 12:22pm

Some ideas and help please?

Hi lads/ladies,

Just got home from working, been thinking over the last week or so about various bits-n-pieces. Before I get into this does anyone subscribe to "The Privateer" newsletter? If so, is it any good???

This is from it's website:

Ok, so what i'm interested/curious about is this. So about 1 month ago the fuel prices here have bounced around 1.42 - 1.55 AUD a litre for say a year or two. The price of WTI/Brent Crude or etc. had fallen a few weeks back, then before/after the Euro summit they went f'ken banana's up. Also the AUD has been steadily appreciating against the USD somewhat protecting the population here from crazy high prices for fuel/gas/oil (ok so it went down a bit, now it's back to 1.02ish 0.015).

This week we had other action going on that smashed the oil price up too (Iran/US balls in the Strait of Homuz - or so we're lead to believe). Now what I don't get, is TRADITIONALLY the oil scumbags/politicians etc. took f'ken ages to pass on price relief @ the pump say when the price of oil dropped or AUD went up a fair bit, and over the last 6-12 months tight-ass Tuesday doesn't exist anymore (there was a held belief long ago that Tuesday's were the cheapest days to get gas), what time during the day/week to get gas @ it's cheapest is anyones guess.

So i'm driving to work on the 3rd or 4th July, and I see Unleaded has gone down from 1.45 to 1.27 AUD, and I remember hearing oil had went up so I quickly pulled in and filled up my tank. The price now, despite the price of WTI/Brent going up, is @ 1.15-1.18 AUD/L. Anyone know why? I'm postulating that maybe some naughty bankers have been interfering? I know Dimon et. al. are in trouble over this, "allegedly". Then all this crap about Libor too..... Idunno it just seems so weird that all of a sudden, DESPITE the "new norms" that had been formed over the last say 2-3 years about gas in Australia, we are getting all this info. about rigging of markets etc. and banks/sovereigns being insolvent etc. But how does the price go down so much? Has some-one declared stealth default, therefore smashing down the oil price because they cannot afford to pay for oil anymore???? This is just way too weird. Anyone else see this phenomenon? Anyway take care.

@ Fortinbras they released Dids' name here in Kangaroo land. As much as I don't like war, I do, however, separate the soldiers/individuals from the institute. You, and Sgt.Diddum's family have my deepest condolences. Apologies for bringing this up again.


Daedalus Mugged
Jul 7, 2012 - 12:34pm

So close....

...and yet so far from a hat. Off by 5 cents in silver, and $2.60 in Au. I'd rather be lucky than good, but could I at least be one or the other once in a while?

On the TRR, that is really just lead in teaser for the full report. If I am not mistaken, he usually distributes first to people who pay him and then after a while, allows the full report out publicly. I would very much like to read the full report, but don't have it. Once the full report is in the public domain, a link or call out in a main post would be very helpful. Knowing what Paul is going to cover is nice, him actually covering it is better.

Sneed Hearn Just A Regular Guy
Jul 7, 2012 - 12:45pm


Absolutely first class independent analysis. Based in Australia, of course, but actually focuses on the world and US markets as well. You should be able to get a sample issue for free or try their 90 day trial.

Jul 7, 2012 - 12:52pm

This is interesting

The Tocqueville Gold Fund is a very good, open-ended fund. Talking his book? Maybe. Interesting, nonetheless.

Jul 7, 2012 - 12:53pm

Re-print from pervious thread

Anyone else hearing about Deutsche Postbank shutting off their ATMs? It's one of the largest, retail banks in Germany. Total system lock-up similar to RBS and Sberbank (Russia).

Stuxnet for Western banks???

Jul 7, 2012 - 12:54pm

Interesting until...

Interesting until he says the USA is a socialist country. That proves the guy knows nothing. He should open some books about real socialist countries instead of saying a country with so much extreme wealth difference and where you have to pay toll on the highway every 15 minutes is socialist. Anyway, that was interesting up to that point. Words do have a meaning.

Jul 7, 2012 - 12:56pm

I guess it depends upon where

I guess it depends upon where you cross the line into socialism.

High corporate rates. High personal rates. High property taxes. High sales taxes. All in order to fund an ever-expanding social welfare state and military-industrial complex.

Maybe not dictionary "socialism" yet but definitely not free market capitalism.

Just A Regular Guy
Jul 7, 2012 - 1:09pm

@ Sneed / Balz / Turd-F

Sneed - yeah I heard a few peeps say Privateer was good.

Turd/Balz - I tend to agree with Turd - remember the preceived wealth accumulated in the US is also a function of the USD reserve currency status. With regard to the way the federal political system of the USA looks from here it defiantly has a lot of hallmarks of something resembling all that is bad with regard to an evil "Socialist" or "Fascist" state. Loss of personal liberty, the every increasing presence of government, government corruption, state-run economy, etc. etc.

Great letter btw, very interesting!

@ TF - I go to bed dreaming of free-market capitalism

(my mind wanders and goes too The Four Yorkshiremen skit)

Monty Python - Four Yorkshiremen

Whatever term you call it, in my opinion, it doesn't really matter. What matters is that the end result of such shenanigans is the same/very similar.

Jul 7, 2012 - 1:21pm

Abraham Maslow

I just read Paul Mylchreest's report above and he mentioned Maslow's Hierarchy of needs. About everyone who has taken a few college classes is familiar with this concept since it is included in about every intro level psych, anthro, sociology, communication, class. but perhaps some of our colleagues here are not as familiar. Essentially, human motivation is prioritized. As we achieve each of the lower levels, we are motivated to focus our efforts on the next one. You can see that a person who is homeless is not too worried about their self-esteem at that moment--especially if there is food in the dumptster.

I believe this model provides an excellent priority list for your prepping. My view on stacking is that the metals will help me achieve these things below after my job fails me. Tells me when to cash out and what to purchase with it.

Physiological (the body) Needs

Your first priority should be housing where you are not likely to get evicted. Food, water, a way to keep warm--extended food and water supplies like a well, spring, stream, gardening and animal husbandry. My metals priority is to secure a lot with water. Not sure what to do about future property tax liabilities...

Safety Needs

Your next priority should be a way to keep yourself and family safe… distance from danger, guard dogs, firearms, but I believe most of all we need to live in communities of like-minded people—perhaps simply your nearby neighbors can be converted. It may be worth moving your family if you can find a location near work or where you can find other work.

Belonging Needs

Here is where I am persuaded that the “Community” fill the rest of the needs from here on up, as well as provides a better environment for the needs lower down on the pyramid. Here is where our current society--with its preferred kind of life we are persuaded to live by TV, music, and Movies--has failed humans. We are lonely. Our families are scattered. We don’t even know our neighbors names, let alone of we can trust them or not.

Self Esteem Needs

Within a true community is where a person finds self-esteem. Most of us currently find it in our jobs or with serving a humanitarian organization like the church. Again, communities of like-minded people provide esteem for one another as we learn each other’s strengths and weaknesses and find our most productive niche in society. My best friend's mentally challenged son may end up being the best goat-herder among us.

Self- Actualization Needs

Good luck with that one. I suspect very few people get there. I have achieved all my goals as a younger man (except being wealthy) and still don’t feel it. Seems just out of reach. What I do find here comes from my religion (Christianity—the way Jesus meant it to be lived) and the satisfaction I sense from knowing that I can help people with their own struggle to meet all these levels of need. Perhaps that why I keep reading and posting here.

Keep stacking.

Jul 7, 2012 - 1:24pm

Border Inspection Lock Downs

The EU Treaty was responsible for bringing down border gates, passport/visa requirements, import/export permits, etc. throughout Europe. It was supposed to give anyone the right to drive from Eastonia on the Baltic to Spain's Costa del Sol, without so much as slowing down at the border crossings.

Well, looks like things are changing back to the bad old days. When financially fragile, insolvent governments become frightened, they start going down the protectionist road.

Jul 7, 2012 - 1:30pm

Read Thunder Road

Connecting the dots, its makes sense that something happened with gold this last year. There's no logical reason gold quit moving up as the fundamentals have never been better for owning it.

The idea that the US is coordinating with China on US Treasuries and gold makes sense if the Chinese had issued some type of ultimatum after QE1 and QE2 which was killing the dollar. It certainly allows them to continue to sell Treasuries at a high and buy gold. The US benefits in the short term by keeping US Treasuries high and yields low, which of course the Fed's policy. It also means, however, we are participating in destroying our own world reserve currency. In the end this will be catastrophic for the US, as it means we either have higher interest rates down the line or must devalue our currency which will completely hose savers.

I suspect at some point, just before China moves to a gold backed currency, physical gold will become virtually unaquirable. At that point, if you don't own gold already, its too late.

I covered some of these issues back in January in my own blog under the title, "China takes advantage of US Fed stupidity". Hope its OK with Turd if I link to it.

If the modertaor finds the link unacceptable, no worries.

Just A Regular Guy
Jul 7, 2012 - 1:33pm

For the Silver Bulls

Interesting read. There's also an article somewhere about the return of the gold standard by Schiff (on

Dagney Taggart
Jul 7, 2012 - 1:37pm


Yes, words do have meanings. Please don't be confused by varying degrees of socialism. The US is the most fascist country on the planet right now because of the immense power grabs by THE multinational corporation, US Inc. and the smaller MNCs who form public-private-partnerships with it. At the low end the US has food stamps, disability, medicare, social security, public school indoctrination etc. On the high end you have multinational-corporations privatizing profits and socializing losses through their color of law proxies. So basically this all belches one big "f you" to whoever is left in the middle who falsely believes the United States is still a capitalist republic.

Jul 7, 2012 - 1:38pm
Missiondweller TF
Jul 7, 2012 - 1:41pm


Where are you seeing/hearing about Deutsche Bank ATM failures? Would love to read it. Didn't see anything Googling it.

dropout Missiondweller
Jul 7, 2012 - 1:47pm

Recovery? Not So Much.

"There's no logical reason gold quit moving up as the fundamentals have never been better for owning it."

Totally agree. Rather than watching the short term machinations of price - keep your eyes on the fundos.

Friday's BLSBS report is one such fundo, the worker disability ranks have outpaced job growth throughout President Obama's (so-called) 'economic recovery.' While the economy has created (BLSBS #'s) 2.6 million jobs since June 2009, fully 3.1 million workers signed up for social security disability benefits.

Some choice come November. Damned if we do and equally damned if we don't!

George Carlin - Voting is meaningless
Urban Roman TF
Jul 7, 2012 - 1:51pm

Ah, you see,

that's where it crosses the line into fascism.

The reason being that 99% of all that "welfare" goes to "private" companies, the ones who "outsource" all those "socialist" goodies. Such as JPM with its SNAP cards. Shirley you didn't think this was supposed to actually help any poor people? It's corporatism, as defined by Mussolini in the 1930s.

Privatize, verb: to sell off to hucksters.

The bottom line is, where does the political power accumulate? You can also apply that criterion when trying to figure out if the Bernank will print or not. If it would dilute the fortunes of the .01% you can rest assured he will not.

Response to: I guess it depends upon where

ink Missiondweller
Jul 7, 2012 - 1:51pm


It's not about Deutsche Bank. It's Deutsche Postbank.

Go to, search for Deutsche Postbank, sort results for Past 24 hours.

for example here:

try pasting the text in

Jul 7, 2012 - 2:13pm

Gold Lease Rates - bogus data?

This shows all the lease rates taking a nose-dive. Is this accurate? I would guess not.

Good Life, all!

Jul 7, 2012 - 2:16pm

Yeah, I wonder why these ATM failures aren't happening here

Although if they did happen here, God's own hilarity would ensue. Can you imagine if people couldn't swipe their EBTs?

Chapter Jackson - It's Free Swipe Yo EBT (Explicit)

I won't speculate about things like stuxnet, but it wouldn't surprise me if it something like that was the cause.

Precious little surprises me these days.

In any case, I would entertain the thought of what you would do if the ATMs stopped working and never came back up again - because sooner or later, it's coming here. Looks like later, but you never know.

Jul 7, 2012 - 2:21pm

working together is the key

<< Ephesians 4 >>
New International Version 1984


Do not let any unwholesome talk come out of your mouths, but only what is helpful for building others up according to their needs, that it may benefit those who listen. 31Get rid of all bitterness, rage and anger, brawling and slander, along with every form of hatred.
Dyna mo hum
Jul 7, 2012 - 2:25pm
Jul 7, 2012 - 2:28pm

Congratulations all Hat

Congratulations all Hat Winners! woohoo

Free Merc Dimes at Silver Lib

Jul 7, 2012 - 2:38pm

Deutsche Postbank


Sunday, 08.07.2012 von 00:00 bis 06:00 clock


Due to technical maintenance work, with the following restriction on the supply of cash would be raised:

    Withdrawals and deposits with the postal savings bank cards are expected on Sunday, 07/08/2012 from 00:00 to 06:00 clock in not at home and abroad possible.


The supply of cash in the mail Bankcard at the ATM is not affected.

We ask our customers for their understanding.

Disorder in Postbank ATMs continues Author: PR Newswire | 07.06.2012, 22:12 | 224 views | 0 |

BONN (Reuters) - A line problem, Deutsche Telekom has the ATMs of the Post Bankparalyzed nationwide. The problem has occurred early Friday morning and would last for a Postbank spokesman said tonight in Bonn. Technicians were trying to fix the problem. There was hope that the devices could be in the course of Saturday returned to service. Customers could, however, the machines in the financial centers, post offices, cash and at the Shell Group Stations use. / Wae / DP / he

Be Prepared
Jul 7, 2012 - 2:52pm

10 reasons the U.S. is no longer the land of the free

10 reasons the U.S. is no longer the land of the free

By Jonathan Turley

Every year, the State Department issues reports on individual rights in other countries, monitoring the passage of restrictive laws and regulations around the world. Iran, for example, has been criticized for denying fair public trials and limiting privacy, while Russia has been taken to task for undermining due process. Other countries have been condemned for the use of secret evidence and torture.

Even as we pass judgment on countries we consider unfree, Americans remain confident that any definition of a free nation must include their own — the land of free. Yet, the laws and practices of the land should shake that confidence. In the decade since Sept. 11, 2001, this country has comprehensively reduced civil liberties in the name of an expanded security state. The most recent example of this was the National Defense Authorization Act, signed Dec. 31, which allows for the indefinite detention of citizens. At what point does the reduction of individual rights in our country change how we define ourselves?

While each new national security power Washington has embraced was controversial when enacted, they are often discussed in isolation. But they don’t operate in isolation. They form a mosaic of powers under which our country could be considered, at least in part, authoritarian. Americans often proclaim our nation as a symbol of freedom to the world while dismissing nations such as Cuba and China as categorically unfree. Yet, objectively, we may be only half right. Those countries do lack basic individual rights such as due process, placing them outside any reasonable definition of “free,” but the United States now has much more in common with such regimes than anyone may like to admit.

The list of powers acquired by the U.S. government since 9/11 puts us in rather troubling company.

Assassination of U.S. citizens

President Obama has claimed, as President George W. Bush did before him, the right to order the killing of any citizen considered a terrorist or an abettor of terrorism. Last year, he approved the killing of U.S. citizen Anwar al-Awlaqi and another citizen under this claimed inherent authority. Last month, administration officials affirmed that power, stating that the president can order the assassination of any citizen whom he considers allied with terrorists. (Nations such as Nigeria, Iran and Syria have been routinely criticized for extrajudicial killings of enemies of the state.)

Warrantless searches

The president may now order warrantless surveillance, including a new capability to force companies and organizations to turn over information on citizens’ finances, communications and associations. Bush acquired this sweeping power under the Patriot Act in 2001, and in 2011, Obama extended the power, including searches of everything from business documents to library records. The government can use “national security letters” to demand, without probable cause, that organizations turn over information on citizens — and order them not to reveal the disclosure to the affected party. (Saudi Arabia and Pakistan operate under laws that allow the government to engage in widespread discretionary surveillance.)

And in a signing statement with the defense authorization bill, Obama said he does not intend to use the latest power to indefinitely imprison citizens. Yet, he still accepted the power as a sort of regretful autocrat.

An authoritarian nation is defined not just by the use of authoritarian powers, but by the ability to use them. If a president can take away your freedom or your life on his own authority, all rights become little more than a discretionary grant subject to executive will.

The framers lived under autocratic rule and understood this danger better than we do. James Madison famously warned that we needed a system that did not depend on the good intentions or motivations of our rulers: “If men were angels, no government would be necessary.

Benjamin Franklin was more direct. In 1787, a Mrs. Powel confronted Franklin after the signing of the Constitution and asked, “Well, Doctor, what have we got — a republic or a monarchy?” His response was a bit chilling: “A republic, Madam, if you can keep it.”

Since 9/11, we have created the very government the framers feared: a government with sweeping and largely unchecked powers resting on the hope that they will be used wisely. <See Full Article>

R man J
Jul 7, 2012 - 3:08pm

Dr J

After 35 years working for a large company, I view PMs as a way to have something to show for my hard work, something tangible. Sure their price is manipulated. BUT NOT THEIR WEIGHT. The weight in ounces, not the value in dollars, is wealth to me.

I relate to your comments on self-actualization. It is a comfort to know that there are men such as yourself in this land. I believe that there are people that are made righteous through the kindness of God that are scattered everywhere in America. I believe this has delayed the inevitable torrent of pain that is coming. I believe that percentage-wise, there are still more who revere the truth as it is in Jesus, in America than in most other countries. Not religious bigots, but harmless, humble generous people that you could entrust your life to and enjoy their company.

They are open minded about precious metals and invested in them, not to get rich, but because they know that the generation to come, to be quite frank, is at the wrong end of the ponzi, and they will need a foundation of wealth to build on. Owning precious metals with the idea that you may be is a potential door to showing others the provision and presence of God. That is a door to Self-Actualization.


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Key Economic Events Week of 4/15

4/16 9:15 ET Cap Util and Ind Prod
4/17 8:30 ET Trade Deficit (Feb)
4/17 10:00 ET Wholesale Inventories
4/18 8:30 ET Retail Sales (March)
4/18 8:30 ET Philly Fed
4/18 10:00 ET Business Inventories (Feb)
4/19 8:30 ET Housing Starts and Building Permits

Key Economic Events Week of 4/1

4/1 8:30 ET Retail Sales (Feb)
4/1 9:45 ET Markit & ISM Manu PMIs
4/1 10:00 ET Construction Spending (Feb)
4/1 10:00 ET Business Inventories (Jan)
4/2 8:30 ET Durable Goods (Feb)
4/3 9:45 ET Markit & ISM Services PMIs
4/5 8:30 ET BLSBS

Key Economic Events Week of 3/25

3/26 8:30 ET Housing Starts (Feb)
3/27 8:30 ET Trade Deficit (Jan)
3/28 8:30 ET Q4 GDP final guess
3/28 10:00 ET Pending Home Sales (Feb)
3/29 8:30 ET Personal Income (Feb)
3/29 8:30 ET Consumer Spending and Core Infl. (Jan)
3/29 9:45 ET Chicago PMI
3/29 10:00 ET New Home Sales (Feb)

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