Digging The Ditch

330
Mon, Apr 8, 2013 - 12:12pm

Isn't it great? In the world of leverage, rehypothecation and malfeasance, it's like Friday never happened. That lousy BLSBS, the crappy participation rate, all of it...never happened. Our blissful, fiat utopia chugs forward. For a few more days, at least.

I don't even know where to start on this fine Monday. The Yen? North Korea? 6,000,000 ounces of "silver" withdrawn from the SLV? Heck, let's just dive right in.

Here's a logical starting point. Santa's old pal, Yra Harris, has his own site and has written this insightful piece about the Japanese mega-QE. (Suddenly, I have this image in my head of an old, Japanese Godzilla movie with an horrific English overdub where Godzilla is a big, gansta-looking T-Rex with a big golden QE chain around it's neck, stomping on a senior living center filled with octogenarian Japs. Maybe Pining can cook this up for us?) Anyway, back to Yra's article. Read this now: https://yragharris.com/2013/04/07/billyjoel/

So, if Yra's right and, frankly, why wouldn't he be...Global bond yields are about to plummet and other currencies, particularly the euro, are about to rally. Thus, here are two charts of the euro. Keep in mind that, in general, rising euro = falling dollar = happy metals.

And there sure is plenty of disinformation out there, attempting to get you to sell your metal. One of my favorites is the continued "interest rates are rising" theme. Really? And which rates are those?? Here's a chart of the U.S. Long (30-year) Bond. Uhhh...rates rising? Not so much.

Speaking of disinformation...What's with all of the recent preponderance of worry and articles over confiscation? Why now? The metals bull market is over, right? We're all supposed to be selling our hard assets and safely moving back into paper, right? So, why all of the talk about confiscation? To me, it's just more disinfo, aimed at getting you to sell. Anyone spouting confiscation fear at the present time should be put on your "Disinfo Agent/Paid Troll List" and watched very closely in the future.

One guy who I know IS NOT a disinfo agent is Alasdair Macleod at GoldMoney. Here's his latest. You should read it. https://www.goldmoney.com/gold-research/alasdair-macleod/gold-price-suppression-the-game-goes-on.html

And here's some more Jackass for you, from the Greg Hunter website. It's worth a listen but I've already informed Jim that there's no way I'm going to follow suit and begin referring to him as "Dr. Willie". Maybe "Dr. Jackass" but not "Dr Willie"...unless, of course, I turn this into the TF Urology Report.

Large Widespread Cutoff of Supply Chains Coming-Jim Willie

And I've got this stray crude chart laying around this morning. As you know, we've been following along as it rallied to $98, then fell to $89 and then rallied back to $97. Well, check this out. I've not seen this anywhere before. Maybe it's something we need to keep an eye on going forward.

Finally, you're probably wondering about the title of this thread. Does it have any deeper meaning? Why, yes it does as a matter of fact. I announced in the comments of the Saturday thread that I had a new theme song. It's off of the new CD from the great Bruno Mars. The title is "Natalie" but when I hear it, instead of the three syllables of Nat-a-lie, I think "Blythe Mas-ters". Now, of course I realize that our old nemesis, The Wicked Witch, has moved on to greener pastures within The Morgue. Regardless, she's the one who put her face on CNBS a year ago and proudly proclaimed that JPM is "simply helping their clients" and that their positions are "fully hedged". Oh, really? Hmmm. Well, as President O'Bottom likes to say, the project is "shovel-ready". I hope to break ground by late next week. 

Video unavailable

(And please, this is all metaphorical and figurative. I'm not threatening anyone with physical harm. Just like how Bruno isn't out there hunting down some ex-girlfriend named Natalie. It's just a song...and a darn good one, at that!)

OK, that's all for today. Remain calm and keep stacking.

TF

About the Author

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turd [at] tfmetalsreport [dot] com ()

  330 Comments

SilverSurfers
Apr 8, 2013 - 6:14pm

I just don't know

In the cave man days, when supply and demand worked, and traders felt comfy all over, and market mogambo guru werent so complicated, when transiting towards both economic deflation and financial inflation, running concurrently, which when then overlaid by interconnected commercial dots, and transnational exploitation, with manipulation up the yang yang, juxtaposed QE Zirk and Kaplop, betwix years of the dog and cat, with santas, elfs, oracles of golden miceinie and taking heads abound, in coffin corners, speaking through soundwave activated transducers, and through wireless electrode magnetic laser bombs, ducking sun flares, by on-off switches after detection by wavering illuminanties, towards an overly-populated earth, filled with contamination, when every thing was completely spelled out, even the bus stop times were dependable, as we knew where to sit, and who fault it clearly was, in days of vynles and optically burned CDs, where lyrics actually were, as mr potatoes couches, where simplicity ruled the lands of the meek, in which were disposed millions on tholitamide and prosac, I had a handle on things.

Today, well, I just dont know.


Apr 8, 2013 - 6:15pm

Re: Sprott

It's redemptions. Po people want their money back. 

Remember besides interviews on USAwatchdog, KingWorld News and CNBC, Sprott is a money manager. he manages people's money and put's it in this fund and this fund. He has many other funds, he puts people's money in. You can do some forensic searching to find out where he puts his money and other peoples money. There is another fund where he really has alot of people's money stored that he began selling last year.

When people need their money back, he has to sell them. I didn't look at the article, but I assume it is not Eric Sprott selling, but it's his foundation?

Same thing happened last year and the blogisphere went ape. Sprott ain't gonna sell any of his silver.

¤
Apr 8, 2013 - 6:34pm

USD Hegemony

I hate bringing it up, but the US is not just going to roll over and cough of the reserve status in order to facilitate a cheaper USD in order to monetize their debt. It's still the strongest of a weakening bunch of major currencies that virtually guarantees this strength for some time I think.

As we've seen for awhile now it appears the USD will keep rising to the top (for the foreseeable future) until it gets technically knocked off it's perch (or violently via Chinese rhetoric) by some type of event that no one can predict with accuracy in what would be a truly modern day/post WWII historical event.

So yeah...I agree with GL on the Australia move among many others taking place all over the place. If the US doesn't physically/militarily kick the crap out of some country they'll do whatever is within their means (they have lots of levers) to be as disruptive or coercive as possible. It happens all the time and the robust drone program (death from above) or all the "rebel' uprisings via US intelligence agencies (U'mm...Syria, Egypt, Libya etc?) is proof of that.

So...just about everything your seeing, whether it's some type of domestic policy tinkering to outright market steering and MSM MOPE etc. and all the other foreign meddling and pressure on (and within) other countries is all part of that USD hegemonic grip their tightening as they feel their grip loosening. That's what people do, they hold on tighter.

The US will either totally disrupt the balance of things (via military or monetary slash & burn) or they'll establish a choke hold militarily or encircle them and make others think twice. Isn't this what we've been witnessing up until now? Why would they stop when they are already effectively monetizing their debt to date whether it seems possible or wrong on some level?

They could care less about style points as long as it's effective.

This is the proto-typical new Ameri-skizm I've mentioned many a time on here. We haven't seen anything yet but I have a feeling we will very soon. It's already in motion all over the place and about to rear it's head in S. America at some point. Why wouldn't it?

https://www.youtube.com/watch?v=AwdjreJKggg

https://www.youtube.com/watch?v=bABbVn9DQns

jonathanmarktaylor AstroTurd
Apr 8, 2013 - 6:41pm

And what's wrong with being gay??

Some people are gay....Get over it!

¤
Apr 8, 2013 - 6:42pm

Syria and the US: The complicity of silence

🇸🇾 🇺🇸 Syria and the US: The complicity of silence | Empire

How will a post Assad Syria be a game-changer for the U.S. and regional players?

The fate of Syria may be settled by armed conflict within its borders, but it is also shaped by a range of global political interests. Iran, Turkey, Saudi Arabia, Israel, England, France, China, Russia and the US all have competing stakes. The US has a long history of involvement in Syria--one that the Obama administration can learn from in setting a new foreign policy. Empire investigates what's at stake for international powers and for the country itself, with a special focus on opposition fighters in Syria, especially Jabhat al-Nusra.

opticsguy
Apr 8, 2013 - 7:01pm

Aero

I wonder how many of us Aero grads are actually working in the field. I got out of rocket science in 1986 after Challenger and taught myself optics, and have been doing that ever since.

From another forum, but on topic since we're talking about ditches. Real coozie.

¤
Apr 8, 2013 - 7:05pm

Answer: To continue to live in a time warp and be left alone

What Does North Korea Want?

By Harry Kazianis

April 9, 2013

1026126623_7ff5b30b99_b EBG6NYSM4VCJ

Over the weekend, in between some gardening and walking the streets of Cambridge, Massachusetts with my wife, I decided to bulk up on any and everything that is North Korea. One of my favorite books on the subject is Victor Cha’s The Impossible State: North Korea, Past and Future. I had the chance to read the book about six months ago, and I was fascinated by just the sheer breadth of knowledge Professor Cha presents to the reader. You can dislike his conclusions or politics, but the book is well written, finely researched, and should be on anyone’s reading list trying to gain insights into Pyongyang’s motivations or next move.

There is one part of the book that struck me as noteworthy for obvious reasons (Disclaimer: I am a non-resident fellow at CSIS’s WSD Handa Program):

“A study I (Professor Cha) directed at the Center for Strategic and International Studies (CSIS) in Washington, D.C. tracked all DPRK provocations on a weekly basis from March 1984 to the present. It charted these provocations against all periods of negotiation involving the United States. The finding was that every DPRK provocation for the past thirty years has been followed within months (on average 5.9 with the United States, 6.3 with South Korea) by a period of dialogue and negotiations in which the North got something they needed. In October 2006, the North’s nuclear test was a brazen act that led to international condemnation, UN Security Council sanctions, but also a period of intense negotiations with the United States. Similarly, during the Clinton administration, the North launched its three-stage Taep’odong-I over Japan at the end of August 1998, and by October the two were holding missile talks in New York. That’s playing a pretty good hand with a bad set of cards. The point here is not to argue that this was the primary cause for the Yeonpyeong Island shelling. Instead, it is to demonstrate that there is a logic to North Korean belligerence that cannot be deterred in the same way a second DPRK invasion has been successfully discouraged.”

So to follow Professor Cha’s line of reason, what does North Korea need this time? Is Pyongyang looking for food aid or a cash injection to keep its economy from collapsing? Maybe now we know why Dennis Rodman said Kim Jung-un wanted President Obama to call him after all, he wants to present Washington with his wish list.

What if the Obama administration and its South Korea allies don’t take the bait and decide there will be no negotiation? Will Pyongyang continue to ratchet up tensions? What will North Korea do then?

One thing is for certain, the next few weeks will be very interesting. Stay tuned.

https://thediplomat.com/the-editor/2013/04/09/what-does-north-korea-want-this-time/

Mr. Fix
Apr 8, 2013 - 7:08pm

Reply to USD Hegemony

 Assuming that the United States is suddenly going to get religion and go out and defend the dollar's world reserve status, is like expecting a leopard to suddenly change its spots .

 The current cast of characters in charge, have a stated mission to destroy the US dollar.

 Sure wish I had a link to that, but I know I read it this week, It is a direct quote by an administration official.

 Expecting our current administration to do anything that is in the best interests of the United States, or its citizenry, is delusional at best.

 Every single decision made in the past five years has been carefully designed to have the worst possible outcome for the United States.

 Every single decision going forward will also be carefully designed to have the worst possible outcome for the United States.

 That's just the way it is,

 I'm just the messenger.

The Watchman
Apr 8, 2013 - 7:18pm
¤
Apr 8, 2013 - 7:24pm

Messenger

Interesting take. 

What makes anyone think what the US federal govt. does is (or ever was) in the best interests of it's citizenry except maybe in the late 1700- early 1800's? That's a naive belief to believe in, but very human to hope for.

I once shared that hope a very, very long time ago until I realized that's all it was. Misguided hopium.

Time will tell and the can is always kickable I guess on many prognostications.

Just like Russians in the US streets by March...some type of end of the world or whatever on April 15th ...or is it May now?

Time will tell...but previous messengers have been saying the same thing for a very, very long time. But...I guess you know something some of us don't.

Care to share what your privy to? Any dates in mind for the great collapse this week? To many people's chagrin and astonishment, the USD will remain strong (or very viable) longer then anyone can guess or even hope for.


Apr 8, 2013 - 7:26pm

Speaking of delusional

Mr Fix:

Every single decision made in the past five years has been carefully designed to have the worst possible outcome for the United States.

Every single decision going forward will also be carefully designed to have the worst possible outcome for the United States.

Yup, every single decision has been made to injure the good ole USA in the worst possible way. Every single one. Even when we switched Mouse to a better kibble. 

Cry Me A River
Apr 8, 2013 - 7:27pm

Gotta Go!

We Have Tickets To The Ramada Room At The Holiday Inn To See "Murph And The Magic Tones!

https://www.youtube.com/watch?v=B5A1AAWY3y0

القراع عصفور
Apr 8, 2013 - 7:33pm

i'll bite

Never Cry Shitwolf
jonathanmarktaylor SilverSurfers
Apr 8, 2013 - 7:38pm

Bigots like you should be barred!

Moderator alerted.... we are now in the 21st century and do not have to out up with bigots like you!

¤
Apr 8, 2013 - 7:42pm

Yen 100

It'll break it by Wednesday would be my guess....or tonight. :-0

https://www.marketwatch.com/investing/currency/usdjpy


Apr 8, 2013 - 7:48pm

I provided the wrong link to

I provided the wrong link to the article "The “Trans-Pacific Partnership”: Obama’s Secret Trade Deal" I accidentally linked to an IMF Paper.

https://www.globalresearch.ca/the-trans-pacific-partnership-obamas-secre...

AgAuthaChristie
Apr 8, 2013 - 7:49pm

In fairness to Mr Fix

It does explain why so many good restaurants across the nation have recently replaced the fine coffee they used to serve with Folger's crystals.

Lamenting Laverne
Apr 8, 2013 - 7:55pm

@ That_1_Guy - Swedish rescue model

I think it was a good model back then, but I don't think it will work this time, and the reason is relative size. Back then the rescue was approx. 65B SEK or 18.?B USD. It was local in one country, before the banks went on an international expansion route for real - and before derivatives were widely used. I made the following quick example on the back of a napkin: Swedish 2011 GDP: 538B USD or 413,6B EUR. One big Swedish bank (that will also be covered partially by input from other subsidiary countries, in case of meltdown, while at the same time being countries that will also have their own banks to think about) has the following key indicators of size, which I think is likely to apply to other banks and countries. Numbers are snippets from balance sheet in billion EUR. Total Assets: 677 Cash CBs: 8 Cash Credit Institutions: 10 Loans to the Public: 346 Interest bearing securities: 94,9 (loss when interest up) Shares: 28 Derivatives: 118,7 (Value questionable in next crisis) Assets already pledged before any crisis: 169 Liabilities: Derivatives: 114 (Sure to be called in next crisis) Deposits and debt*: 485,7 Equity: 28 *(I take this to mean from e.g. pension funds, that would not be good to shave too hard) This is only one bank. If the derivatives blows up - only that hole will eat approx 1/4 of GDP to make whole. If they ignore derivatives and renege on those - the deterioration in interest rates could easily make non-performing loans and loss on interest bearing instruments more than the country can handle with 413B GDP. Just imagine a full deposit guarantee, like they did back then, for all deposits and bondholders of 485B with an economy of 413B - and this is for one bank only. They can't resolve this without losses on deposits and bondholders when the derivatives blow up and interest rates go up. That is why we got the Cyprus message. The jig is up.

Bollocks
Apr 8, 2013 - 7:55pm
So It Goes
Apr 8, 2013 - 7:59pm

@ The Watchman - ASE sales

Thinking out loud.

You reported that 768.5 thousand is the updated sale of 2013 ASEs from the US Mint for the month of April.

https://www.usmint.gov/mint_programs/american_eagles/?action=sales&year=2013

This means that for the last two (AND ONLY) update reports from the US MINT for April (and remember the last week of March was NOT reported) is:

Early April 2013 - 876.5 thousand and 

April 8, 2013 - 768.5 thousand for a total of

1.645 Million ASE's sold in April.

I think that these two numbers are really quite close. This suggests to me that either:

A. THE US MINT IS NOW LIMITED AND RUNNING AT FULL CAPACITY

or

B. There's plenty of silver AND some bumbling bureaucrat at the US Mint continues to make the same mistake over and over and forgets to order enough silver to meet public demand.

I might say that if it is choice A - where might be the limitation? Could it be that there's plenty of silver and that the US Mint's machines are running 24/7 - or could it be that:

THERE'S JUST NO MORE FUCKING SILVER TO BE HAD!

Oh I dunno - We'll just have to see.

So it Goes.

ballyale
Apr 8, 2013 - 8:00pm
القراع عصفور
Apr 8, 2013 - 8:04pm

Bollocks

if you look closely, Vlad is giving a double thumbs up! suddenly, i find myself seeing a more human side to the man:-)

onealpha
Apr 8, 2013 - 8:07pm

Thin Skin Here

Chill out

tmosley القراع عصفور
Apr 8, 2013 - 8:08pm

Vlad was overheard saying

Vlad was overheard saying "Hey, you come to my country, and protest all you want."

or

"If I had known protests were like this, I would have allowed them YEARS ago."

القراع عصفور
Apr 8, 2013 - 8:10pm

Merkel says

bevare uv da purple nurple!

akhutch Bollocks
Apr 8, 2013 - 8:16pm

Re: Great expressions all-round, in this pic...

Looks like Putin's head is down and giving a double thumbs up ;-)

BIGNASTY
Apr 8, 2013 - 8:30pm

US Mint SE sales April..........

oopss duplicate info, plus they did it better

Hagarth
Apr 8, 2013 - 8:30pm

Is that Mark Carney ....

trying to hide his schwing with crossed hands? 

Bollocks
Apr 8, 2013 - 8:33pm

Dryocopus pileatus re: thumbs up

Well spotted. I missed that. yes.

Mr. Fix
Apr 8, 2013 - 8:35pm

Okay, it took me a while, but I found the story.

Intelligence insider: Obama administration agenda to “kill U.S Dollar”

Please comment on this article at Canada Free Press

Is there any defensible scenario for this administration to want to “kill the dollar?”

director[at]homelandsecurityus[dot]com (By Douglas J. Hagmann)

30 March 2013: This week, I had a series of very sobering discussions with my highly-placed source within the intelligence world. The information he provided hit me like a proverbial tons of bricks. It connects everything we are seeing play out across the world, from the economic problems in Europe to the U.S. DHS ammunition acquisition orders and even the “gun control” debate. If you’re like me, you’re looking for clarity, context and focus with regard to all of the events we’re constantly hearing about but seem to lack legitimate explanation. I believe this report will provide the context and clarity we are all seeking, but I must warn you that the picture is not pretty.

 

The economic agenda: In plain sight

Some might be surprised to learn that the fate of America’s economy has already been determined, verified and announced by the Obama White House. Yet, it has received scant attention from the corporate media. In 2011, economist Kyle Bass interviewed a senior member of the Obama administration about its planned solutions for fixing the US economy and trade deficit[i].

Among the questions he asked was about U.S. exports and wages, but the question itself was not nearly as important as the response he received from this senior administration official. In fact, this single, seven word response clarifies everything, explains everything, and leaves little else to discuss:“We’re just going to kill the dollar.”

You may find the rest of the story at this link:

https://www.homelandsecurityus.com/archives/8046

 After that, there's just not much to talk about.

Keep stacking!

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