New Highs Today

Fri, Apr 5, 2013 - 10:36am

No, not in gold or silver, of course. Nope, today saw a new high in the LSHI!

Of course, longtime Turdites know what the LSHI is but, if you need a refresher, you can find the definition on the Turdisms page.

Oh boy that was fun. Joe Kernen throws it to "Hampton Pearson at the Labor Department" and ole Hampton proceeds to drop a bomb on the Fort Lee crowd that left them speechless. He might as well have blasted some 14-megaton flatulence the way the room went silent in shock! The Shill looked like a deer in the headlights. Austen Goonsby went into SPIN overdrive and, of course, LIESman began to sweat profusely.

What does it all mean? The U.S. economy sucks and it ain't getting any better. Period. End of story.

And please, please, please...DO NOT BUY THIS GARBAGE ABOUT QE∞ ENDING. It can't and it won't.

And recall....and I say this with 100% certainty because I heard it with my own two ears...The Bernank said that:

  1. He might look at "slowing the asset purchases" when unemployment falls to 6.5%.
  2. He doesn't expect 6.5% unemployment until mid-2015, at the earliest.

And, regardless, it doesn't matter. QE∞ isn't about growth or jobs or anything economic. It's about providing a constant bid in the bond market so that rates stay at 2% or lower. Again...Period. End of story.

I could go into the specifics of the lousy data but why? You've probably read about it elsewhere and if you haven't, I can just give you this link. It pretty much tells you all you need to know:

So let's turn the discussion back to gold and silver. That they haven't exploded higher today is due to several factors, one that I'll show you below. Primarily, though, sentiment is lousy and momentum is all to the short side. Therefore, it's very difficult to turn things around in one day. IT WILL TURN. AND SOON. But it's always going to be unlikely that such a major shift can occur in one day. So, we wait. And we continue to buy at these deeply-discounted prices. And we add to our stacks.

Now check this out. This is outrageous! When the headlines hit at 8:30 EDT, gold prices immediately jumped as new orders hit and a few buy-stops were triggered. Then, while we were still between 8:30 and 8:31, gold sharply reversed and fell back by $14! There is only one way for this to have happened so quickly: A huge sell order was placed above the market BEFORE the news with the intent of capping any surprise rally and blunting the momentum. If you ever wanted direct evidence that the metals are manipulated and managed, there you have it. And sadly, it worked. Halting the rally at 1575 emboldened the shorts to drive it back down and now, as I type, gold is still just $1565 and silver is up a measly 19¢ and barely over $27.

So, here we sit. The metals should be screaming higher but there not. So what else is new? They should have been screaming higher since October. And though we've bounced a bit today, we are clearly still not out of the woods for a drop below $1525 and $26. Today's action helps and I suppose that The Washout is slightly less likely today than it was yesterday. But we must remain guarded and on the lookout.

The first thing gold needs to do is to hold these gains and close today back above $1560. It then needs to stay above $1560 next week. Still, though, it would be foolish to "call a bottom" before gold gets back above $1625. Silver, too. As you can see on the chart below, every time this year it has had a chance to form a bottom, it has failed. Now our first target is $28. Don't even think about getting excited/optimistic until that level is regained and, frankly, don't get confident that a bottom is in until price is back above $29.40. That's a long way from $27.

Anyway, the moral of the story remains the same: Just stay patient and keep adding to your stack. You are on the right side of this. The end of the Great Keynesian Experiment continues to unfold right before our eyes. Do not lose courage or be swayed by the day-to-day machinations of the Cartel-controlled "markets". They don't matter. All that matters is that you continue to add to your financial protection by the accumulation of physical precious metal. One more time...Period. End of story.


About the Author

turd [at] tfmetalsreport [dot] com ()


Apr 7, 2013 - 3:07pm

Sorry for the laziness but

Sorry for the laziness but its just so much easier to C&P from the other thread;

Of course Dan is correct. Money could, conceivably, continue to flow into the short side and money flows will dictate short term price.

However, The Specs are being led by the nose by The Commercials... JPM, their two friends and the pit locals/swap dealers/ raptors whatever. At a time of their choosing, a short squeeze will begin. Price will skyrocket. Perhaps even 10% in a day. It will then follow-through on even more short covering and long buying in a repeat of Jan-Feb 2012.

Re silver supplies. Judging overall supply by the availability of monster boxes is totally off base. You're never going to drain the market of silver by 500 ounces at a time.

Where the supply concerns lay is in 5,000,000 ounces or in 10,000,000 ounces. That's where the problem is. Try buying and delivering 10,000,000 ounces outside of the LBMA system and see how far you get.

Apr 6, 2013 - 11:21pm


Since he has been booted, how can I take him off ignore? ;-)

Apr 6, 2013 - 7:28pm

COT-Pimping Little Bourgeois Huckster

T, my Man,

"Explain it to me like I'm a four-year old." This COT being bullish, I can dig. BUT, does that come with a caveat? Can a Bullish COT suddenly swing the other way, like a door that hits us in the ass?

Can a bullish COT today, mean a bear run tomorrow? I'm hoping for a HEH future and I don't want any little bourgeois huckster moments to infringe on my hopes.

Also, if silver supplies were so tight, as some have written, why haven't the few monster boxes at Apmex sold out? How many sellers do they have, at these depressed prices? Seems they would have a majority of buyers, and be out of MBs by now, IMHO.

Green Lantern
Apr 6, 2013 - 6:27pm

Don't know if anybody posted

Don't know if anybody posted this yet. System is up and down.

Only a few weeks ago in NY, Sinclair that people had two years to exit the system. He changed his tune fast.

You must exit the system immediately because the Financial Nazis struck in Cyprus and now are moving directly towards you. This is simple fact, which if you ignore will be akin to the rise of the Nazis in Germany for those that knew they should, but never made the decision to leave that system.

RE: Huckster. To the anonymous writer you are a coward, fearful, angry person. This will be passed on through your loins on to your children, if you have any. Your inability to speak whatever truth in an honest fashion is only matched by your inability to tend to your own financial matters. You shouldn't be investing in gold. With every penny you have, you should be investing in fixing yourself and finding peace of mind. Money will do you no good and no amount of money will give you character. You fortunately have time to redeem yourself both financially and ethically. If you do not know how to do that, find a coach, a teacher, a psychologist, a preacher that can show you. You're a taker. That is why we are all here because there are more takers in the world than givers. One day you learn, even if it is at the moment of your last breath, that piece of mind can only be had by giving. Turd does that pretty well.

I Run Bartertown
Apr 6, 2013 - 3:24pm

El Gordo

Good luck with that hip. Seems like they've gotten really good with those, glad to hear it's looking good.

Mariposa de OroKatie Rose
Apr 6, 2013 - 2:47pm

Yes, Katie Rose!

I agree that it is something to be concerned about! I'm trying like crazy to get stocked up on my thyroid medication. I had one recent shipment go into that alternate universe with the nearby portal. I've been having problems/time delays in getting my rx filled/delivered, for the last year! I've had it with CVS and their lame excuses. Now trying Aetna. I just hope I can get enough before the plug is pulled. I also made something of a panic purchase. I'd been thinking about getting it for awhile anyway but was put off by the price: just over $2200! It's a Katadyn saltwater to freshwater emergency filter. It's for life boats. We've had a hella dry season. Half my plants died. It didn't help that I was off island for a month visiting family, friends and two awesome Turdites BUT, even with my TLC, it wouldn't have been enough to keep the wind and salt off my plants. I'll have to come up with a solution for that problem later but this dry season, even the coconut trees are really suffering. If we ever get to water rationing, this new device will come in very handy. If ever get completely cut off and have a nasty dry season, it will literally be a life saver. I've also made another large order of sprouting seeds. Those I can do very easily and they are not subject to the weather outside or theft like the other stuff. Yeah, I could have bought more shiney but decided other things are more important.

Visit the FAQ page to learn how to track your last read comment, add images, embed videos, tweets, and animated gifs, and more.

El Gordo
Apr 6, 2013 - 2:38pm

If you see the name(s)

of either Chuck Roast or Ferris Wheeler you will know that I have been there.

Apr 6, 2013 - 1:39pm

sarc off

To be clear, I support your decision. My post read funny maybe. Sarc on/off is something I rarely use. You can see why.

Subscribe or login to read all comments.


Donate Shop

Get Your Subscriber Benefits

Private iTunes feed for all TF Metals Report podcasts, and access to Vault member forum discussions!

Key Economic Events Week of 7/6

7/6 9:45 ET Markit Service PMI
7/6 10:00 ET ISM Service PMI
7/7 10:00 ET Job openings
7/9 8:30 ET Initial jobless claims
7/9 10:00 ET Wholesale inventories
7/10 8:30 ET PPI for June

Key Economic Events Week of 6/29

6/30 9:00 ET Case-Shiller home prices
6/30 9:45 ET Chicago PMI
6/30 10:00 ET Consumer Confidence
6/30 12:30 ET CGP and SSHW to Capitol Hill
7/1 8:15 ET ADP Employment
7/1 9:45 ET Markit Manu PMI
7/1 10:00 ET ISM Manu PMI
7/1 2:00 ET June FOMC minutes
7/2 8:30 ET BLSBS
7/2 10:00 ET Factory Orders

Key Economic Events Week of 6/22

6/22 8:30 ET Chicago Fed
6/22 10:00 ET Existing home sales
6/23 9:45 ET Markit flash PMIs for June
6/23 10:00 ET New home sales
6/25 8:30 ET Q1 GDP final guess
6/25 8:30 ET Durable Goods
6/26 8:30 ET Pers Inc and Spending
6/26 8:30 ET Core inflation

Key Economic Events Week of 6/15

6/16 8:30 ET Retail Sales
6/16 8:30 ET Cap Ute and Ind Prod
6/16 10:00 ET Chief Goon Powell US Senate
6/16 4:00 pm ET Goon Chlamydia speech
6/17 8:30 ET Housing Starts
6/17 12:00 ET Chief Goon Powell US House
6/18 8:30 ET Initial Jobless Claims
6/18 8:30 ET Philly Fed
6/19 8:30 ET Current Account Deficit
6/19 1:00 pm ET CGP and Mester conference

Key Economic Events Week of 6/8

6/9 10:00 ET Job openings
6/9 10:00 ET Wholesale inventories
6/10 8:30 ET CPI for May
6/10 2:00 ET FOMC Fedlines
6/10 2:30 ET CGP presser
6/11 8:30 ET Initial jobless claims
6/11 8:30 ET PPI for May
6/12 8:30 ET Import price index
6/12 10:00 ET Consumer sentiment

Key Economic Events Week of 5/25

5/26 8:30 ET Chicago Fed
5/26 10:00 ET Consumer Confidence
5/27 2:00 ET Fed Beige Book
5/28 8:30 ET Q2 GDP 2nd guess
5/28 8:30 ET Durable Goods
5/29 8:30 ET Pers Inc and Cons Spend
5/29 8:30 ET Core Inflation
5/29 9:45 ET Chicago PMI

Key Economic Events Week of 5/18

5/18 2:00 ET Goon Bostic speech
5/19 8:30 ET Housing starts
5/19 10:00 ET CGP and Mnuchin US Senate
5/20 10:00 ET Goon Bullard speech
5/20 2:00 ET April FOMC minutes
5/21 8:30 ET Philly Fed
5/21 9:45 ET Markit flash PMIs for May
5/21 10:00 ET Goon Williams speech
5/21 1:00 ET Goon Chlamydia speech
5/21 2:30 ET Chief Goon Powell speech

Key Economic Events Week of 5/11

5/11 12:00 ET Goon Bostic speech
5/11 12:30 ET Goon Evans speech
5/12 8:30 ET CPI
5/12 9:00 ET Goon Kashnkari speech
5/12 10:00 ET Goon Quarles speech
5/12 10:00 ET Goon Harker speech
5/12 5:00 ET Goon Mester speech
5/13 8:30 ET PPI
5/13 9:00 ET Chief Goon Powell speech
5/14 8:30 ET Initial jobless claims and import prices
5/14 1:00 ET Another Goon Kashnkari speech
5/14 6:00 ET Goon Kaplan speech
5/15 8:30 ET Retail Sales and Empire State index
5/15 9:15 ET Cap Ute and Ind Prod
5/15 10:00 ET Business Inventories

Key Economic Events Week of 5/4

5/4 10:00 ET Factory Orders
5/5 8:30 ET US Trade Deficit
5/5 9:45 ET Markit Service PMI
5/5 10:00 ET ISM Sevrice PMI
5/6 8:15 ET ADP jobs report
5/7 8:30 ET Productivity
5/8 8:30 ET BLSBS
5/8 10:00 ET Wholesale Inventories

Key Economic Events Week of 4/27

4/28 8:30 ET Advance trade in goods
4/28 9:00 ET Case-Shiller home prices
4/29 8:30 ET Q1 GDP first guess
4/29 2:00 ET FOMC Fedlines
4/29 2:30 ET CGP presser
4/30 8:30 ET Pers Inc and Cons Spend
4/30 9:45 ET Chicago PMI
5/1 9:45 ET Markit Manu PMI
5/1 10:00 ET ISM Manu PMI

Recent Comments

Forum Discussion

by SteveW, Jul 11, 2020 - 6:36pm
by SteveW, Jul 11, 2020 - 6:25pm
by TexasTonto, Jul 11, 2020 - 5:19pm
by ja1920voo, Jul 11, 2020 - 11:37am
by tork311, Jul 10, 2020 - 3:17pm