Weekend Assignment

Sat, Sep 29, 2012 - 12:02pm

If you can spare a few minutes this weekend, please check out this video.

You may recall that, last month, I recorded a podcast with David McAlvany of McAlvany Financial. Here's a link in case you missed it: https://www.tfmetalsreport.com/podcast/4131/tfmr-podcast-26-david-mcalvany-mcalvany-financial-group. I had met David earlier this summer at FreedomFest and had come away impressed. Here was a guy...an actual investment advisor...who seemed to "get it".

As part of their marketing plan, McAlvany Financial is producing three videos this year that attempt to describe and summarize some of urgent financial issues that are bubbling just below the surface. The first video, which dealt with the ongoing financial crisis in Europe was released back in the spring.

The Fuse is Lit | European Perils | Part 1

Just this week, they released part 2 of "The Fuse Is Lit" series. This one is entitled "Asian Ascendance". For my part, I agree with almost all of David's conclusions here and I highly urge you to watch the video. The only area in which my opinion differs from David's is regarding a collapse/bubble in treasuries. I don't think this is imminent, at least not likely in the next 3-5 years. Perhaps because QE∞ was announced post-production, David may have since re-evaluated his position. I'll have to check with him to see. Regardless, this is definitely worth 25 minutes of your time.

The Fuse Is Lit Part 2 Asian Ascendance


That's all for now. Have a great weekend!


About the Author

turd [at] tfmetalsreport [dot] com ()


El Gordo · Sep 29, 2012 - 12:08pm

Top ten (although I saw there

Top ten (although I saw there were at least 10 "reads" in front of me.

Warren Peace · Sep 29, 2012 - 12:09pm

One more week with the powers in place at JPM

One more week with the powers in place at JPM.

(At least one more)lol

So It Goes · Sep 29, 2012 - 12:12pm


I've got nothing to say. Just never been in the top 10 for now. It's just fun.

Gotta catch up on my reading today.


Bollocks · Sep 29, 2012 - 12:16pm


URST wink

Bugs Bunny Theme - This Is It
SV · Sep 29, 2012 - 12:44pm

Homework will be embarked upon!

Oh, how QE to infinity soils the pants of Americans all over with dreams of credit cards!


Missiondweller · Sep 29, 2012 - 1:03pm

Great video Turd! Thanks!

Just watched the top video. Its a fantastic summary I will definitely share with family.

ReachWest · Sep 29, 2012 - 1:20pm

Judge throws out CFTC's position limits rule

For anyone interested, here is a background link on Judge Robert Wilkins of the U.S. District Court for the District of Columbia:

Judge Wilkins was nominated by President Obama in mid 2010.


What-ever comes of this decision to strike down the Position Limits rule - at very least, it will result in more lengthy delays. Just what the Cartel needs - more time to continue with their corrupt tricks.

Xeno · Sep 29, 2012 - 1:29pm

Hey Judge Wilkins..

Hey Judge, you are quoted as ruling that; "Wilkins ruled that, by law, the CFTC was required to prove that the position limits in commodity markets are necessary to diminish or prevent excessive speculation."

Judge, you sir are a first class idiot and ignoramous. By their very nature, excess speculation is diminished and prevented by position limits. But excuse me, being a judge you of course had no idea or understanding of such a basic premise.

Time to hang up the robe and retire to paradise with the more than likely big bucks payoff you got for such an ignorant ruling.

Lets spread the word boys, stack PM's and lets take these sons of bitches down.

DayStar · Sep 29, 2012 - 2:06pm

Harvey's Up!

Record prices for Euro and Swiss gold, judge says no to CFTC position limits, Greyertz on hundreds of trillions in new printing, video of WTC7 demolition, planned fall of the House of Saud; all this and more on the Harvey Report

Today's post: https://www.tfmetalsreport.com/comment/574803#comment-574803

Thread: https://www.tfmetalsreport.com/forum/4132/harvey-organ-should-be-interesting-read-today?page=1#comment-574803

Katie Rose · Sep 29, 2012 - 2:08pm

Thoughts on bartering...

I hope I am not hijacking the thread, but I have waited till the weekend to post about something I have been mulling over in my mind.

Awhile ago there was a weekend thread about bartering, and the best items to have to barter with.

I believe many here concluded that having alcohol available to barter with was the best option.

I personally believe that it is the most dangerous option, and if you want to die early, be my guest.

Here's why.

When we moved to Eastern WA we needed help with fencing, etc. We asked the elder in our new church if he knew of anyone who could help us. He recommended a Christian Ranch for men who were in treatment for drugs and alcohol. We spoke with the pastor at the ranch, and concluded that this was a ministry we wanted to support. So out the men came with supervisors to work for us.

We loved these men. They had such wonderful testimonies of how Christ had turned them around.

Here is the bottom line. They stole a lot of money from us, all my Mom's gold, and a third of my silver. Even the supervisors were in on it.

We learned something about addicts.

They lie, charmingly.

They steal, that is how they finance their addictions. They are masters at finding what you so carefully have hidden. They are like bloodhounds on a scent. If they even imagine you have something that they want, they will find it. They will have someone distract you so they can search.

They manipulate. They are Master Manipulators.

When TSHTF, these men will be desperate for anything that will fill their addictive needs. They will have very little to barter with. Once they know you have alcohol, they will descend on you in a pack. They never operate alone. They always pack. They will be armed because they will steal guns from others. They always can get a gun.

This is what I have personally observed.

If you resist, you will die. It is that simple.

Given my heartbreaking experience with the men from the Ranch, I urge you to reconsider having alcohol as a main barter item. Alcoholics and Meth Addicts are lawless. Alcohol feeds the same receptor sites in the brain as Meth. A Meth addict in need of a fix is a very dangerous man indeed.

I am stock piling matches, soap and other items from the Dollar Store. There is simply NO WAY I would have any alcohol on my property when events get ugly here.

It is funny, but we have done a lot of bartering since we had so much of our savings stolen. We have found of everything we have offered, soft onion/ chive goat cheese is the most popular item. Followed by chocolate goat's milk.

People go bonkers over the soft goat cheese. They go wild over chocolate goat's milk. Both are simple to make, and folks are really, really happy to take home a few containers of homemade goat's cheese, or a half gallon of chocolate milk. wink

We also have found that offering the use of our 4 x 4 pickup to neighbors and friends for their hauling needs has softened many hearts. It is a simple thing to do, and has opened many doors for us.

But by far, the most popular thing we have done is the homemade goat cheese.

Forget the alcohol, I am stocking up on Junket Rennet Tablets. Without them, cheese making is impossible. smiley

Nigel Black · Sep 29, 2012 - 2:13pm

@Katie Rose

Thank you for your post on alcohol. I agree with you. 

My parents are/were both alcoholics (and divorced) and when they would (individually) come over to visit us, they would steal anything of value to finance their addictions (they struggled to hold down employment due to the mess they created in their lives). They would even steal from my children and nieces/nephews - imagine these people stealing from their own grandchildren because they want another bottle of booze? Can you imagine what they (and others like them) would do if the SHTF? Because of this, I won't let them in the house anymore - we have been ripped off royalty - by family, no less. And my kids cannot understand why their grandparents would do this to them.

Thanks for waking me up to this again - I do have a little alcohol in the house, but it will never be used for barter.

· Sep 29, 2012 - 2:16pm


...I watched the videos. Very informative and sobering.

I find his quaint references to the rule of law amusing. That is so 19th century. Rather that "gets it," as Turd says, I'd say he almost gets it.

El Gordo · Sep 29, 2012 - 2:25pm

Philharmonics arrived today

My little mini-stack of Philharmonics arrive today. The pictures don't do them justice - they are beautiful coins. I still prefer the Libertads, but I will be getting more Philharmonics. Now if I can just remember where I put them before my drug addicted neighbors come over, presumably to watch college football since they had to pawn their own TV.

opticsguy · Sep 29, 2012 - 2:43pm

It's not just alcohol

Vicodin tablets are a currency (and they meet most of the criteria for money). Even a recent immigrant housekeeper knows to search your house for them, and their location will be given to professional thieves for later use.

Considering maybe a quarter (by some estimations) of US adults are on Xanax, Valium, Oxycontin, or Vicodin, there will be a convulsion within society if these supplies run out.

DayStar · Sep 29, 2012 - 2:56pm


Katie, I would agree on alcohol, but not on the resisting. I don't know exactly what you envision when these addicts come calling next when the fit hits the Shan. As a woman in a best case scenario you might get away with just being robbed. A man is not likely to live, at least that was the experience recently in Bosnia, and also at many other times in history. The men die, and the women are taken. I intend to meet invaders of our village with lethal force, because the alternative will probably be death. Since fortified defenders have a decisive advantage, I hope to be able to withstand a force that is sizably larger than my own. Notice I said "village". I believe with isolated homesteads it will be, as you said, "If you resist, you will die." The fortress has always been the anchor of the frontier, and that is the social structure to which we will likely revert after the crash. The big cities will die. Individual homesteads will die. Forts strong enough to withstand the marauders will be the survivors.


swampman · Sep 29, 2012 - 3:09pm

The Chinese Mirror

Among other things, China has hundreds of millions of very low paid workers producing much of the world's goods. China will do whatever it takes to keep this slave-like production line operating until China is THE number one economic power in the world. The U.S. can't compete with it, and because of it, our debt is only going to get worse until we collapse economically. BUY MORE GOLD AND SILVER turdites!

"When China looks in the mirror it must be the U.S. staring back.
The two countries are now complete economic polar opposites.

One nation, the world’s largest creditor. The other nation is the world’s
largest debtor nation. One nation has the highest academic scores, the
other has the lowest in the developed world. In China, its all paid in
cash, in the U.S. its all on debt.

It gets even more bizarre, as reported today, Chinese securities
regulators are considering lowering taxes on securities investments.
This comes at a time when the U.S. is set to increase capital gains
taxes from 15% to 23%.

No matter how much the U.S. prints they can’t reflate the housing bubble
in the country, and in China, no matter what rules and regulations they
put in place they can’t get prices to go down."


foxenburg · Sep 29, 2012 - 4:03pm

@Katie Rose

"Forget the alcohol, I am stocking up on Junket Rennet Tablets. Without them, cheese making is impossible."

Katie, read up on cardoon - it's a thistle - used here in Extremadura, Spain as a coagulant in cheese making. Not only does it free you from dependence on rennet, but it makes a very distinctive cheese. And is also kosher, which widens your appeal. I understand cardoon thistle is a fairly easy to grow variant of the artichoke family.

I may have mentioned before, in a previous life I owned a small farm near Cape Town and made cheese from a herd of Swiss Saanen goats. At the time I had never heard of thistle rennet and so have no practical experience of its use. 

Good luck with your goats. Magical, intelligent animals. I had a particular big rock on a hillside and would sometimes go and sit on it. The goats would see me and crowd around. And climb up and try and lick me. And breathe on me. It sounds a little kinky, but the overall effect was so soothing, calming - despite their weird rectangular pupils always giving them an alien look.

btw. for the first time in a year I am slowly regaining my faith in gold. It's been very depressing. I spent the price of a couple of (UK) houses around December 1 at about $1750 and what with buyers premium (Krugerrands) have been underwater almost since the day after I bought. Unfortunately I have not had my goats to commiserate with - in their place a wife whose repeated comment has been along the lines "well, you said you knew what you were doing". Such are the slings and arrows of outrageous fortune.

SteveW · Sep 29, 2012 - 4:09pm


So for a little weekend relaxation I'm watching Ohio State at Michigan State when the commentator says something about the Michigan State School of Packaging and how the graduates of that program are guaranteed a job. Is this what it has come to? A 4 year program for a BS in packaging to work at Fedex?

When I was at University several generations ago I had a summer job packaging fireworks. No degree needed!

I wanted to learn more, but all the links to the program that google found returned errors. So I guess the School can't run a web page but they probably pack good.

SteveW · Sep 29, 2012 - 4:19pm

I just don't understand

as a Canadian how "an obviously-corrupt judge issued a ruling against the imposition of position limits as mandated by Dodd-Frank."

I learned that the US had separated judicial, legislative and administrative powers and that the role of judicial was to interpret and uphold the law only striking down those laws that were incompatible with the Constitution or English common law.

Well maybe I do understand. I've seen George Carlin and judges are "in the back pocket".

RRJJ · Sep 29, 2012 - 4:37pm

So what exactly do we think

So what exactly do we think will happen to silver tomorrow night? Is this ruling really that important? Then again maybe the Cartel will just use it as an excuse to smash silver. Read on another forum some people saying silver could get smashed a ton. I really hope this doesn't happen. My guess is we will see 33.5 and then physical buying kicks in and "saves" us. What does everyone else think?

Katie Rose · Sep 29, 2012 - 4:37pm

@ foxenburg

It sounds to me like you have caught "the goat bug." wink I've got it bad.

Perhaps you ought to get yourself some goats again, and spend time away from your "drippy faucet wife."

As you know, there is nothing more funny and joyous than baby goats. You can go outside in a bad mood and their antics will always light up the day. It's guaranteed.

Go for it!!!!!!!!!!!!


And I will check out that plant you mentioned.

Torpedo Fish · Sep 29, 2012 - 4:58pm


I will not liquidate my longs as I hate to do that... instead I will hedge it with new shorts. I think a price bellow $33.00 is in cards

Marblesonac · Sep 29, 2012 - 5:04pm

I have a different view

JPM already was grandfathered for their large short silver position. Position limits kept a rich person or corporation from taking a large long position in say silver to crush JPMs shorts. This looks much more positive for silver longs now.

Missiondweller · Sep 29, 2012 - 5:21pm

@ Rose

About 6 months ago someone posted great incites from experience in Bosnia (Daystar?). It seemed from that that canned meat was excellent for barter. I recall corned hash especially being useful.

· Sep 29, 2012 - 5:37pm

somehow this sentence made my day:


I may have mentioned before, in a previous life I owned a small farm near Cape Town and made cheese from a herd of Swiss Saanen goats. 

AC_Doctor · Sep 29, 2012 - 5:53pm

Keep accumulating AG on dips...

Keep accumulating AG on dips and then we will sit back and watch the fireworks show in late Oct. or early Nov.


· Sep 29, 2012 - 6:16pm

The always interesting and rarely maudlin Mauldin:

Uncertainty and Risk in the Suicide Pool
By John Mauldin
September 29, 2012

New Publishing Schedule for Thoughts from the Frontline
Jumping into the Suicide Pool
Probability Theory and Retirement Portfolios
Obsessing on Risk, Ignoring Uncertainty
An Uncertain Spain
Orlando, Portland, Atlanta, and South America

“By ‘uncertain’ knowledge, let me explain, I do not mean merely to distinguish what is known for certain from what is only probable. The game of roulette is not subject, in this sense, to uncertainty; nor is the prospect of a Victory bond being drawn. Or, again, the expectation of life is only slightly uncertain. Even the weather is only moderately uncertain. The sense in which I am using the term is that in which the prospect of a European war is uncertain, or the price of copper and the rate of interest twenty years hence, or the obsolescence of a new invention, or the position of private wealth owners in the social system in 1970. About these matters there is no scientific basis on which to form any calculable probability whatever.”
-John Maynard Keynes, The General Theory of Employment, 1937

“... there are known knowns; there are things we know that we know. There are known unknowns; that is to say there are things that, we now know we don't know. But there are also unknown unknowns – there are things we do not know we don't know.”
-Donald Rumsfeld, Secretary of Defense, 2002

“There are four types of men:

1. One who knows and knows that he knows... His horse of wisdom will reach the skies.
2. One who knows, but doesn't know that he knows... He is fast asleep, so you should wake him up!
3. One who doesn't know, but knows that he doesn't know... His limping mule will eventually get him home.
4. One who doesn't know and doesn't know that he doesn't know... He will be eternally lost in his hopeless oblivion!”
-Ibn Yami, 13th-century Persian-Tajik poet

For the past 80 years, we have created ever more sophisticated models of risk in the economic and investment worlds. With each new tool we create to measure risk, we seem to think we have somehow gained more control over our future. Paradoxically, we appear to believe that the more we understand risk, the more we can somehow control our exposure to it. The more we build elaborate models and see correlations between events and the performance of our investments and the economy, the more confident we become.

And if by some ill fortune we encounter a period of lengthy stability in our models and portfolio performance, we are likely to imbibe a cocktail of collective hubris: we actually think we understand some things in a quantifiable way. We thereupon seek to take on more risk at precisely the time when additional risk is the most disastrous. This week we explore the difference between risk and uncertainty. Perhaps we can even tie all this into our understanding of secular bull and bear markets.

.... https://advisorperspectives.com/commentaries/millenium_092912.php
silver foil hat · Sep 29, 2012 - 6:39pm

RRJJ... and others for position 'limits'

I got to thinking while I was out today we're assuming one side only of the limits.

What if the 'no-limit-position-limit' works in favor of a certain sovereign 'fund' that is looking to obtain as much metal as possible. (or another, more nefarious goal)

It works both ways now...... they are no longer 'limited' to a certain position size limit.

It would be very interesting to see if such a tactic was used to the advantage of calling out all the owned contracts for actual settlement, if a fund had a newly 'unlimited' (read: contracts on more than what is available for delivery) number of contracts for metal.

We always knew those shorting could flaunt the law and hold an excessive short position.

Now the shoe is on the other foot, and any long contract holder is no longer limited in size on any delivery month.

Methinks this is not quite the wonderful news those who have shorted are looking for.

Hey judge, did you ever study the Hunt Brothers? Your ruling would allow another "Hunt Brothers" scenario. And this time, there's nothing the CFTC or the CME could do about it.

Unless and until another circuit provides the best justiss money can buy..... then it will be up to SCOTUS to hear the case (if they ever do) to set the rule for the country..... or what's left of it by then.

Ca Lawyer.... is this how you see it too? Or am I way off the mark?

Roark · Sep 29, 2012 - 6:42pm


That post is likely the single most important user post I have read in a week. The importance of knowing and unknowing can not be dismissed by any prudent man.

LongGoldLongSilver · Sep 29, 2012 - 7:11pm



Maybe a month of consolidation in gold before a final and successful stab at the ATH? Usually, things tend to heat up in the precious metals toward the end of the year.

https://miningstockvaluator.com -portfolio tracker & analysis of gold and silver stocks

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