Important Week Ahead

161
Sun, Sep 8, 2013 - 11:34pm

I interrupt my regularly scheduled article to bring you more late breaking news. I'll save my historical treatise for another date as everyone seems focused on the events in Syria and whether or not the Fed will continue QE. No sense in fighting the news trend and since many of you are already talking about it, I might as well dedicate this Sunday Evening/Monday Morning post thread to Syria and QE3.

 Last week was a pretty intense week with accusations that the administration is committing war crimes, a 100 point plunge in the Dow on Friday morning, and Crude getting a boost on Syria. The Syrian situation is giving a rise to saber-rattling between the US and Russia that we haven't seen since the Cold War of the 1950's and the Gulf of Tonkin. As we learned on Friday courtesy of Jim Comiskey, Russia is sending military ships to the Syrian coast

https://articles.chicagotribune.com/2013-09-04/news/sns-rt-us-syria-cris...

Will Russia consider a strike against Syria an international violation and act of War against the Russians?

In case you haven't seen it, on Sunday Russia issued a 100 page report saying that the Syrian rebels are behind the Sarin Gas attacks and that John Kerry and the US are liars. 

https://www.theblaze.com/stories/2013/09/05/russia-delivers-report-to-u-...

"The Russian statement warned the United States and its allies not to conduct a military strike against Syria until the United Nations had completed a similarly detailed scientific study into the Aug. 21 attack. It warned that what it called the current “hysteria” about a possible military strike in the West was similar to the false claims and poor intelligence that preceded the United States invasion of Iraq."

What I'd like for you to keep in mind about Syria is that Israel has invaded Syrian airspace 3 or 4 times this year and struck surgical targets including anti ship cruise missiles. No fuss was made by US media or much discussion about it in the alternative media. Russia also has already been sending anti-ship and anti-air craft missiles to Syria, and reports indicated that they have been sending in technical experts to set up the system. 

https://michaelsnyder.mensnewsdaily.com/2013/09/russia-has-equipped-syri...

 So with on going missile attacks between Israel and Syria, continued Russian involvement in the region, why has the threat of a garden variety missile strike by the US become an international incident? Has what has already been going on reached a peak? Or is there a reason the US media wants us focused on this event? 

Taper Talk

As most of you have heard by now Friday's nonfarm payroll report showed that while the economy created 169,000 new jobs, the numbers were below expectations and represented a continued drop in labor participation. Remember, the Fed has said that it is decisions regarding taper was predicated on improving unemployment.

Whether or not the Fed tapers , the threat of tapering will certainly continue to build up and any fall in the major stock indices or the metals will surely be attributed to the anticipation of the Fed tapering and it's possible impact on economic activity. As many you have noted, as well as most metal analysts, a taper would have disastrous effects on the economy. In addition, all that money that is sitting in the bank reserves is unlikely to get lent out thereby reducing reserves and threatening bank contagion, and a very inflationary situation that the Fed would find unacceptable. 

As I mentioned in a previous article, the Fed has focused it's monetary policy specifically on mortgage backed securities as a swap where the reserves mostly remain with the banks. I suggested that the mantra QE to infinity does not address the ways in which the Fed could begin influencing other area's of the economy if it decided to lessen the amount of MBS it buys. Also the anticipation of what the Fed will do is occurring as the prospective new Fed chairman, Larry Summers, is going through his selection process. Larry Summer's has said that QE3 has had virtual no effect positively or negatively on the economy. 

Finally, a lighter piece of news announcing the new Obama Presidential Library....it's an outhouse. It has stirred a bit of controversy in this small New Mexico town.

https://www.wnd.com/2013/09/obamas-presidential-library-is-an-outhouse/

About the Author

  161 Comments

ancientmoney · Sep 9, 2013 - 10:57am

Connor smells one more gold smackdown to $1050 or so . . .

before being allowed to go to $5000.

Apparently, JPM does not yet have enough phyzz in stock . . .

https://goldscents.blogspot.co.uk/2013/09/is-manipulation-in-metals-about-to.html

According to Toby, we should know in the next couple weeks.

tyberious · Sep 9, 2013 - 11:02am

GoToWebinar - GoldSeek.com LIVE! Jim Willie of "Hat Trick Letter

Mon, Sep 9, 2013 11:00 AM - 12:00 PM EDT

Gramp · Sep 9, 2013 - 11:04am

The Winters Here... Make one think Ahead!

Resources must be readied months in advance for the coming Winter.

I have been training for survival and didn't even know it! yes

Bundle up and follow ol' Gramp! wink

https://www.youtube.com/watch?v=oG5hOk7YZgo

Hammer · Sep 9, 2013 - 11:16am

If you can get past the first

If you can get past the first paragraph or so, a decent explanation of the effects of Basel III imo.

https://www.thestreet.com/story/12029877/1/big-bank-bashers-see-first-un...?

¤ · Sep 9, 2013 - 11:20am

Do you prefer silver or gold?

Sept. 6, 2013, 11:40 a.m. EDT

Why investors like silver more than gold

By Myra P. Saefong


APMEX.com

SAN FRANCISCO (MarketWatch) — Investors have taken a big interest in silver lately and their infatuation looks set to continue this year, despite gold’s advance.

True, both metals haven’t done very well most recently, posting losses in five out the last six sessions, but a big-picture view on prices and exchange-traded funds shows just how much silver’s turning heads.

In August, gold futures climbed more than 6% and since the end of June, they are up about 12%. Those figures pale in comparison to the 20% increase in silver futures for last month and quarter to date.

Silver’s also set for the first quarterly gain since the third quarter of last year.

“Given the outperformance in silver over gold, we can assume that there are factors in play other than traditional safe-haven demand,” said Tom Lydon, editor and publisher of ETFtrends.com.

Silver exchange-traded funds were the best performing ETFs in August, Lydon said in a report this week, noting that they were bolstered by bargain-hunting speculators as well as by escalating geopolitical tensions surrounding Syria.

The physical-silver-backed iShares Silver Trust SLV -0.39% saw net fund inflows of $88.2 million last month as of Aug. 30, according to IndexUniverse. That compares with gold-backed SPDR Gold Trust’s GLD -0.02% fund outflows of $227 million as well as outflows of $15.9 billion among U.S. equity funds and $6.66 billion among U.S. fixed-income funds, IndexUniverse data show.

“Psychologically, the slow money likely sees SLV as more attractive than GLD for the simple fact that it hasn’t been talked about for the past half decade,” said Adam Koos, president of Libertas Wealth Management Group. “People like new and exciting, and gold might be [psychologically] becoming old hat to some,” he said. “It also goes without saying that the price per share is cheaper when buying SLV.”

Broad demand

But demand for silver is broader than that.

“For investors, silver is much more of an industrial material than gold and accordingly has potential double benefits from both industrial and investment demand,” said Michael Haynes, chief executive officer at online precious-metals dealer APMEX Inc.

The U.S. Mint said sales of its American Eagle silver bullion coins remain “brisk.” They’re up about 45% year to date, compared with the same period last year, according to spokesman Michael White.

The Mint sold a total of nearly 39 million of those one-ounce coins in 2011, which was its record for a single calendar year. So far in 2013, the Mint accepted orders for more than 33 million coins. At the current demand pace, the Mint will set a new record for sales this year, White said.

Silver’s much more affordable than gold for individual investors, and their interest is in holding physical silver, according to Edmund Moy, chief strategist at gold-backed IRA provider Morgan Gold.

Moy pointed out that while he was director of the U.S. Mint, from 2006 to early 2011, sales of the number of ounces of American Eagle silver bullion coins outpaced sales of American Eagle gold bullion coins.

The ratio of silver ounces to gold ounces, based on U.S. Mint sales, has been roughly 48 to 1 this year, he said. In July, it was 87 to 1 and in August, it was 315 to 1.

marketwatch.com

Hammer · Sep 9, 2013 - 11:21am

....and one from The

....and one from The BBC.....

  1. Banks have been forced to significantly increase the amount of capital they hold to absorb potential losses and to improve the quality of that capital (so that we can be more confident that the capital will do its job in a crisis). In the UK, for example, banks probably now hold twice as much loss-absorbing capital relative to their loans as they did in 2008 (although some experts, including the chairman of the influential Independent Commission on Banking, Sir John Vickers, argue that banks should be forced to double their capital again).
  2. A backstop to the Basel risk-weighted capital adequacy requirement (stay awake) has been introduced with a leverage constraint - which forces banks to hold a certain amount of capital relative to their gross loans and investments, rather than their risk-weighted loans. If this sounds a bit technical and complicated, what you need to know is that this leverage rule will make it easier to see how much capital is in the system. That said, many would argue that the minimum ratio of capital to loans under this leverage constraint (just 3%) is far too low.
  3. There are new rules to make sure banks hold more cash or equivalents of cash, so that they can meet surges in demand for repayment of what they've borrowed from depositors and creditors without sparking a panic.
  4. Banks are being forced to more carefully and prudently match the maturity of what they borrow with the maturity of what they lend - so that they are less vulnerable to having no cash when their creditors want their money back.
  5. In the US, UK and eurozone, in three different ways, steps are being taken to insulate retail banking from the perceived volatility of investment banking. In the UK, this is being done by putting retail banking behind a firewall or ring fence - the fruits of the Independent Commission on Banking set up by the chancellor.
  6. On 3 October, a good deal of trading in derivatives, commodities. credit and currencies will be obliged to take place in what will look much more like central market-places, with guarantees against non-settlement provided by what are known as central counterparties. This is supposed to address two of the major flaws highlighted by the Lehman debacle, which is that regulators and investors could not see the risks Lehman was accumulating, nor how its woes could inflict damage on a series of other banks and investors.

There is also a good deal of work in progress. One of the more important projects is to prevent better regulation of the banks shunting all the risks of finance over to unregulated firms - so-called "shadow banks" - in a dangerous way.

To state the bloomin' obvious, there is no point making banks safer, if by doing so we have simply created a whole new species of financial weapons of mass wealth-destruction.

If, for example, the supply of loans to the economy came to a halt because a series of hedge funds, and peer-to-peer lenders, or other new-generation lenders went Pete Tong, we would not take much comfort from the fact that the culprits were not official banks.

DJ Pete TongDJ Pete Tong's name is rhyming slang for wrong

Also under review is how to "resolve" banks that get into difficulties at minimum cost to taxpayers.

This will involve making it easier to hive off and protect the parts of banks viewed as essential to the functioning of the economy (our deposits, the system for moving money around and the loan-making processes) and bailing-in rather than bailing-out.

If you are still with me (you are probably the only one) bailing-in is where losses are forced on professional investors who have lent to banks, as opposed to bailing out, where the rescue costs are heaped mainly on taxpayers.

That is why what is going on at the Co-op Bank is an incredibly important precedent. The attempt to rescue it involves arguably the UK's first bail-in, an initiative to dump £500m of losses on its bondholders rather than taxpayers.

https://www.bbc.co.uk/news/business-24014490?

agNau · Sep 9, 2013 - 11:27am

The question is not when they will taper....

it is when will they end the taper? Like allowing the spring to decompress, and waiting for the proper moment to begin compressing it once again......to attempt a roll back on squeezing rates once again. Will the market finally view the evidence of manipulation and not buy the staged rally? Where have all those bonds gone? Jesse explains the situation nicely: https://jessescrossroadscafe.blogspot.com/2013/09/comex-deliverable-gold... We are approaching the end of taper talk IMO......which HAS BEEN AN ACTUAL TAPER. The evidence abounds. All one need do is ignore the talk and threat, and view the results.....and realize the question is "when will the taper end?"....but, the bigger question will be....will the engineered rally back into bonds work? The gold inventory is signalling a move higher is an absolute......imperative.......in controlling the speed of the rise. I am still looking for a more normal appearing build to the exit side of a large cup & handle formation .....the rise is once again about to start to open more trade in the metal(per Jesse article) I believe and have said weeks ago, as this build progresses the rise will steepen......which falls in line with any bull as more buyers emerge as the opportunity becomes more evident. The difference this time lies in the fact that the majority of the physical buyers are not "Trading" the asset....they are converting out of fiat.....so as time passes the market will clear selling faster, and sellers will become more scarce......hence the steepening rise. *An attempt at another bond rally makes sense and falls in line with the need to print "moar". *The way things are progressing all the war talk is winding down.........and all we MAY see will be perhaps JK shooting a pebble from a slingshot into Syria..........or perhaps farting in Assad's general direction.......time and EVENTS will tell. In either case, the talk adds to the burn off of overbought indicators in markets, and sets the stage for another rally as well. We will see.

Mr. Fix · Sep 9, 2013 - 11:30am

New Surprising Strategy:

Russia Launches New Surprising Strategy: Appeasement

Submitted by Tyler Durden on 09/09/2013 - 10:24

In a time when Obama is pitching his entire campaign around one core, if strawman, theme - preventing future chemical weapon attacks by the Assad regime, Putin once again shows why when playing geopolitical chess, it is safe to bet on the pesky Russian. Moments ago, Russia suggested that Syria skip straight to step 2 of the US military campaign, and hand over its chemical weapons to "international control" which would immediately obviate the US campaign completely, whose entire premise for public consumption is just that - to put Syrian chemical weapons under adult supervision and third party control.

  • RUSSIA SAYS WILL URGE SYRIA TO PUT CHEMICAL WEAPONS UNDER INTERNATIONAL CONTROL IF THAT WILL AVERT MILITARY STRIKES
  • SYRIA SHOULD GIVE UP WEAPONS IF IT WILL AVOID STRIKE: RUSSIA
  • LAVROV SAYS SYRIA’S CHEMICAL WEAPONS COULD BE DESTROYED

And now the ball is in Obama and Kerry's court following this surprising move of appeasement by Russia, and implicitly by Syria.

Mr. Fix · Sep 9, 2013 - 11:32am

Fed Uberdove Admits Policy Causes Asset Bubbles

Fed Uberdove Admits Policy Causes Asset Bubbles (And They're Here To Stay) - Full Speech

Submitted by Tyler Durden on 09/09/2013 - 11:12

San Francisco Fed head John Williams - known for his extremely dovish views on monetary policy (and support of record accomodation) - appears to have taken some uncomfortable truth serum this morning. In a speech reminiscent of previous "froth" discussions and "irrational exuberance" admissions, Williams explained:

  • *WILLIAMS SAYS POLICY MAY YIELD ASSET BUBBLES, UNINTENDED RESULT
  • *WILLIAMS: ASSET-PRICE BUBBLES AND CRASHES 'ARE HERE TO STAY'
  • *WILLIAMS: ASSET-PRICE BUBBLES ARE 'CONSEQUENCE OF HUMAN NATURE'

His words appear to reflect heavily on the Fed's Advisory Letter (from the banks) from 3 months ago - warning of exactly this "unintended consequence." This, on the heels of Plosser's recent admission that the Fed was responsible for the last housing bubble, suggests with the black-out period before September's FOMC about to begin, the Fed is sending us a message that Taper is coming - as we know they are cornered for four reasons (sentimentdeficitstechnicals, and international resentment).

ancientmoney · Sep 9, 2013 - 11:34am

@Mr > Fix re: Putin's end-around . . .

Reminds me of Lucy pulling the ball away just when Charlie Brown is in kicking motion. Obama and Kerry must be gnashing their teeth.

¤ · Sep 9, 2013 - 11:47am

Hong Kong Next In Line For Taper Worries?

Sept. 8, 2013, 11:39 p.m. EDT

Is Hong Kong next to feel the taper chill?

Commentary: Property exposed on warnings of fund outflows

 Craig Stephen

HONG KONG (MarketWatch) — Plans by the U.S. Federal Reserve to taper its financial-asset purchases have already sent various emerging-market currencies into a tailspin. Could Hong Kong be the next to suffer?


ShutterstockEnlarge Image Will Hong Kong be the next victim of the Fed’s tapering? Craig Stephen considers the possibilities.

On Friday, Hong Kong Monetary Authority chief Norman Chan said the money which had flooded into Hong Kong since the start of U.S. quantitative easing will “inevitably” reverse as the Fed begins to taper. He put the total of QE-driven inflows at 100 billion Hong Kong dollars ($12.9 billion).

Hand-ringing warnings from Hong Kong officials are hardly uncommon, and up to now have largely been ignored by investors. But as we move from expectation of tapering to execution, is it time to start paying attention?

The upcoming Federal Reserves Open Markets Committee meeting on Sept. 17-18 is widely expected to give more clarity on how tapering — or reduction of financial-asset purchases by the Fed — will proceed.

Already, the mere expectation of a reversal in the unprecedentedly accommodative U.S. monetary policy has jolted Asian markets. One effect of QE was to boost the attraction of riskier assets, including those in the emerging markets. Now, as this cheap-money pot gets removed, higher-risk carry trades are being reassessed.

So far, it has been countries running current-account deficits and reliant on foreign-fund inflows for growth that have been punished. The two most affected economies in the region have been Indonesia and India, where the rupiah USDIDR +18.09% has sunk to multi-year lows, and the rupee USDINR -1.09% to historic lows.

But who will be hit next if there is a tapering contagion? The risk is that the search for other vulnerable currencies or asset markets will now spread.

China, for one, has been getting increasingly vocal about the risks. At last week’s Group of 20 meeting, its deputy finance minister repeated calls for the world’s largest economy to be “mindful of the spillover effects” as it reduces its support for financial markets.

With a closed capital account and large trade surplus, China officials should in theory be less concerned about shifts in Fed policy. Yet this overlooks how China has become more reliant on hot capital flows for its cheap financing costs in recent years.

One explanation for this concern about U.S. monetary policy is that officials have already had a whiff of what a post-tapering world might hold. Some analysts blame the recent spike in Chinese interbank rates in June on an unwinding of the popular yuan carry trade as risk capital retreated.

China’s leaders now know that their financial markets are no longer ring-fenced from global finance.

Hong Kong by contrast is well known to be closely connected to international financial markets and the actions of the Fed. Its currency peg to the U.S. dollar means it effectively has to follow U.S. monetary policy....(more)

https://www.marketwatch.com/story/is-hong-kong-next-to-feel-the-taper-ch...

Hammer · Sep 9, 2013 - 11:47am

If Kerry has gone ahead and

If Kerry has gone ahead and laid the groundwork for rationalising attacking Assad, then it gives Russia a free pass to look good by offering a peaceful solution knowing it wont make a blind bit of difference in the long run anyway imo. Bad tactical error by Kelly imo. Easy points for Putin who are already up to their necks in Syria from way back anyway.

Syria has always been a proxy geopolitical stage for Russia, China The US and it allies.

Bollocks · Sep 9, 2013 - 12:02pm

Uh-oh

RT sources: Syrian rebels plan chemical attack on Israel from Assad-controlled territories

Published time: September 09, 2013 15:59

A chemical attack may be launched on Israel by Syrian rebels from government-controlled territories as a "major provocation", a number of sources have told RT.

The news comes as Russian Foreign Minister Sergey Lavrov proposed that Syria puts its chemical weapons arsenal under international control for subsequent destruction in order to prevent a possible military strike against the war-torn republic.

Moscow also urged the Syrian authorities to join the Organization for the Prohibition of Chemical Weapons. The offer has already been passed over to the Syrian Foreign Minister Walid al-Muallem, who met Lavrov in Moscow for talks on Monday. 

We don’t know if Syria will accept the offer, but if imposing international control over chemical weapons stored in the country can help to avoid military strikes, we are immediately going to start working with Damascus,” Lavrov said.

https://rt.com/news/syria-rebels-chemical-attack-israel-618/

Mr. Fix · Sep 9, 2013 - 12:05pm

Vladimir Putin's new strategy:

 Vladimir Putin has adopted a strategy to make the United States look bad to to the international community.

 At least now Obama, Kerry, and Vladimir are all on the same page.

 Everyone is working together to make the United States look bad.

 I'm starting to sense a touch of coordinated effort here.

 This will not end well for the United States.

Gramp · Sep 9, 2013 - 12:12pm

For sure...

The Propaganda Machine is in high gear. We don't have Cable TV, so manage to avoid the direct bombardment in our home. Though while away for the weekend, I couldn't resist the clicker... When Geraldo Rivera starts speaking with greater integrity than our 'Leaders' , watch out folks.

There is a steady stream of reasons why we MUST Act in S yr'i`a being driven down the throats of the American populace. Disturbing.

When I visit My Grand Parents, and they start to tell me how we NEED to act in S-ri'a... Well, not sure if Joeseph Goebbels could have done such a fine job himself.

· Sep 9, 2013 - 12:16pm

Petrodollar

I ran across a well written, simple article explaining the shift from Bretton Woods to the Petrodollar system: https://ftmdaily.com/preparing-for-the-collapse-of-the-petrodollar-system/

If all this is new to you, the article may make some sense of the situation. There is enough detail to satisfy.

The US abused its privilege and printed too many dollars prior to 1971. Now we have continued that abuse with the pertodollar system. There is just no way to absorb overprinting of any reserve currency that is connected to a limited commodity. 

Also, I knew Turd was a serial entrepreneur, but he spelled his first name wrong on that Used Car sign. Totally out of character with his normally meticulous writing style!

TomMack · Sep 9, 2013 - 12:16pm

not yet ready for prime time

If there is any truth at all behind Syria agreeing to have their chemical weapons monitored, Tuesday night will be interesting very interesting to hear what Obama has to say

Mr. Fix · Sep 9, 2013 - 12:19pm

I wonder what Obama's next move will be?

Syria Welcomes, Would Comply With Russian Chemical Weapon Disarmament Initiative

Submitted by Tyler Durden on 09/09/2013 - 11:59

"I state that the Syrian Arab Republic welcomes the Russian initiative, motivated by the Syrian leadership's concern for the lives of our citizens and the security of our country, and also motivated by our confidence in the wisdom of the Russian leadership, which is attempting to prevent American aggression against our people"- Syrian Foreign Minister Walid al-Moualem

Another false flag in 3...2...1...surprise

ancientmoney Bollocks · Sep 9, 2013 - 12:21pm

@Bollocks re: Syrian rebels gas Israel . . .

"A chemical attack may be launched on Israel by Syrian rebels from government-controlled territories as a "major provocation"

---------------------------------------------------------------------------------

Sounds like a Mossad operation. They may have some "dancing Israelis" just to hearken back to their success on 9-11, and rub it in a little.

DeaconBenjamin · Sep 9, 2013 - 12:26pm

gold coins 'stacked up like poker chips' on 18th century pirate

Undersea explorers have discovered a trove of buried treasure that may lead to the discovery of more than 400,000 gold coins.

Barry Clifford and his team of archaeologists also found a musket and thousands of lead balls in the 18th century pirate ship they found off the coast of Cape Cod.

Treasure: Barry Clifford shows a concretion containing coins which was recovered around the wreckage of the Whydah, a ship that sank during a ferocious storm off Cape Cod in 1717

Treasure: Barry Clifford shows a concretion containing coins which was recovered around the wreckage of the Whydah, a ship that sank during a ferocious storm off Cape Cod in 1717

Explorer: Barry Clifford (pictured in 2000), has been searching the site with his team for 30 years

Explorer: Barry Clifford (pictured in 2000), has been searching the site with his team for 30 years

'There's just a tremendous amount of material on board the vessel,' he said.

They also found thousands of lead musket balls beneath the sand.

During the expedition, which culminated on September 1 they travelled 1,500 feet from the shore off Cape Cod, for a three-day expedition.

Gun: An X-ray image reveals a pistol embedded in a concretion which was found in the same wreckage as the concretion of the coins

Gun: An X-ray image reveals a pistol embedded in a concretion which was found in the same wreckage as the concretion of the coins

Analysis: Barry Clifford reviews an X-ray image of a concretion showing a cannon ball and coins that diver and conservator Chris Macort had recorded in Brewster, Mass

Analysis: Barry Clifford reviews an X-ray image of a concretion showing a cannon ball and coins that diver and conservator Chris Macort had recorded in Brewster, Mass

Their mission was made difficult by thick fog which made it hard to locate the exact site.

The divers then descended into a pit approximately 10 to 15 feet in diameter and is 35 feet below the water's surface, and their findings were fruitful.

Clifford said: 'The bag was so heavy with artifacts, coins and lead shot, that he couldn't lift anymore.

Riches: Another X-ray image reveals coins embedded in a concretion

Riches: Another X-ray image reveals coins embedded in a concretion

Reconstruction: The 18th century pirate ship, Whydah, was recreated during a programme on Channel 5 in the United Kingdom

Reconstruction: The 18th century pirate ship, Whydah, was recreated during a programme on Channel 5 in the United Kingdom

The team X-rayed the rock, and discovered it was stacked inside the sediment with coins and gold.

'That's one of the things we've been looking for,' Clifford said.

'400,000 gold coins is something we just learned in addition to that. It's crazy.'

The team are now planning to head back out on Tuesday or Wednesday to begin a three-day effort to unearth more of the plunder.

He said: 'It's a treasure trove of history.

'This is the only documented pirate treasure that's ever been discovered.'

Many of the artifacts discovered on the Whydah are on display at the Whydah Pirate Shipwreck Museum in Provincetown, Mass.

The Whydah was a slave ship that was captured by notorious pirate captain 'Black Sam' Bellamy in February 1717, just two months before it sank in 1717

https://www.dailymail.co.uk/news/article-2415873/Treasure-hunter-finds-g...

Subotai · Sep 9, 2013 - 12:27pm

This is why you stay out of other countries' client states

The Russian move looks truly astute, and no matter what the U.S. does now we're screwed.

If we buy in to the Russian offer the civil war drags on and the resistance becomes more radicalized. They resent us because we didn't help them. Maybe the Israelis decide to really get involved and things go totally haywire.

If we strike anyway we lose the support of the miniscule number of allies we already have. And we don't make any new friends. Even exercising military power we look weak.

To say nothing of what happens if, God forbid, we lose a carrier to an anti-ship missile.

Syria is a Russian client state. The Russians take that sort of thing very seriously. If they feel we are encircling them, things will get ugly.

ancientmoney · Sep 9, 2013 - 12:47pm

The world closing in all-round . . .

It seems the leadership (oxymoron) of the U.S. is being squeezed in all manner. The Fed can't quit QE (taper) or the economy implodes, and they can't continue QE as they invite hyperinflation and/or massive bond-selling by China, others. The debt limits are being reached for the umpteenth time, as the FSA grows and grows. Russia, China, and other BRICs are formulating a new trade block, to eliminate use of the dollar--the only thing keeping USSA floating. U.S. has been attacking ME/NA countries that border Russia and/or that are not controlled by western banking interests. Iraq, Afghanistan, Libya--check. Still to go: Syria, Iran, Sudan, ??. Obama now backed into a corner in Syria. Is it worth it to start a war that could end the world to save the international bankers' hides one more time? Once China starts selling USTs on massive scale, and the world turns to a gold-based settlement system, the inflation that has been poured into the ROW will come crashing back to the U.S. The western bankers will be washed away. Is obama trying to make threats to keep Russia and China at bay? If so, how long can it continue? Obama would like to keep the slow, dripping grind of ever-lower U.S. living standards going--sort of like the frog in a bucket of water over the fire. But, if he can't have that, it seems he wants/needs the war to cover for the bankers' last 100 years of errors. Gold and silver are held down, as adversaries of the dollar and all fiat, pending a resolution to all the pending chaos. No doubt gold and silver will be freed some day, but not before other issues are resolved, one way or the other.

Gold Dog · Sep 9, 2013 - 12:51pm

Of course they are stacked like poker chips!

Pirates don't play bridge.

US- Stay out of Syria! <--- What the hell are we thinking?

Dog

ancientmoney · Sep 9, 2013 - 12:56pm

The fiat regime is the basic problem, but never addressed . . .

https://www.bullionbullscanada.com/us-commentary/26361-bloomberg-the-poor-are-better-off-poor

95% or more of the U.S. and world's current economic ills can be traced back to, and are the result of greed by bankers and those close to them, via use of fractional reserved, fiat monetary systems to control most everything.

Because the wealthy and powerful got that way via that system, it is extremely difficult for them to give it up.

Free markets need to start at the local level, and controlled markets avoided entirely. Today, there is still enough trust in the bankers' systems that most people think the bankers/pols will fix it all.

But, that trust is waning.

argent rampant · Sep 9, 2013 - 1:00pm

@Subotai

Lots of good comments here, but yours sums the situation up nicely.

One other thing to add - Russia's relationship with Iran will be greatly enhanced by their standing by Syria and we have already seen that the Russians are moving ahead on that front as as well.

Obama plays basketball, but Russians play chess.

Galearis · Sep 9, 2013 - 1:01pm

Syria

Russian missiles are to be expected, but do they include Sunfire anti-ship cruise missiles? If so and if the US attacks with aircraft carrier fighter bombers - or cruise missiles from ships - within 150 miles of the coast, this could cost them some serious naval losses. It would also constitute a very serious international incident. If the US lost a carrier, would that be an excuse to carry this war more aggressively - and a similar scenario is even more dangerous when these criminals get around to Iran...

How much of this is to protect Israel?

I strongly suspect a lot of it. The US foreign, well let's face it, war policy is about destabilizing M.E. Arab states (and Iran) to the point that they are incapable of organizing hostile acts against israel...This is amazing given that the trade off (price) for this will be a huge disruption of oil shipments out of the region...And possibly beyond into Muslim border states with Russia... I wonder why Russia is not playing hard ball with the Euro zone by playing its own energy card - oil...As it stands now, Europe gives lukewarm support to the US but stands to get deprived of oil from the M.E. and potentially from Russia...It would seem the Euro Zone wants to see the money supply from the FED continue to the Euro banks more than it wants to see a stable energy supply from its suppliers in the M.E. and Russia.

Pipeline plans are in play and has anyone given any thought to how difficult it would be to protect soft targets like pipelines against Muslim insurgents? Perhaps disrupting pipeline construction plans for Russia in the M.E. is seen as a benefit to US foreign policy. But I do not see how the US will not be blamed for the coming fiasco to economies worldwide when oil shipments are curtailed..

CONtext: there are those in Washington that think a nuclear war is winnable.

I do not recognize the United States anymore and consider it a completely deranged rogue state. I believe a growing majority of countries have similar fears.

FWIW,

G.

· Sep 9, 2013 - 1:12pm

Potus response to Syrian agreement:

That teleprompter reading, mindless puppet will somehow spin this to take credit for it. Because that is what sociopaths are experts at doing--spinning, denying, accusing, stealing credit. I can just hear it now:

My subje..., er fellow Americans,

I am pleased to announce... (turn to other teleprompter) ... that the Syrian government has agreed ... to our demands and is turning ... over their chemical weapon arsenal to ... the United nations. ... Once again, my tough international ... policy of non-negotiation with terrorists has ... yielded favorable results. (insert democratic applause track) ... I was able to persuade that jack, er, my good friend, Mr Putin to ... pressure his ally, Syria, into this ... concession. Therefore, we have no need of a ... strike, so I have decided to order our military forces to stand down.

Uh, Thank you and God bless ... Keny, er, America.

ancientmoney · Sep 9, 2013 - 1:23pm

@Dr. J re: TOTUS . . .

Too funny! 

Unfortunately, I think he's more likely to pronounce, "its too late; you used chemical weapons, and you must pay."

Backing down now does not help the international bankers, who have him wired right up the a$$.

· Sep 9, 2013 - 1:37pm

ancientmoney

Ah yes,

The banker, string-pullers. I forgot about their motive in all this.

The pipeline must be stopped!

"Oops. we didn't mean that. Errant missile. Fat finger. We will prosecute the programmer who made this trajectory error. At lease no civillians were killed"

Notice: If you do not see your new comment immediately, do not be alarmed. We are currently refreshing new comments approximately every 2 minutes to better manage performance while working on other issues. Thank you for your patience.

Become a gold member and subscribe to Turd's Vault

Contribute

Donate  Shop

Get Your Subscriber Benefits

Exclusive discount for silver purchases, and a private iTunes feed for TF Metals Report podcasts!

Key Economic Events week of 11/26

11/27 9:00 ET Case-Schiller home prices
11/27 10:00 ET Consumer Confidence
11/28 8:30 ET Q3 GDP 2nd guess
11/28 10:00 ET New home sales
11/29 8:30 ET Personal Income and Spending
11/29 10:00 ET Pending home sales
11/29 2:00 ET November FOMC minutes

Key Economic Events week of 11/19

11/20 8:30 ET Housing Starts
11/21 8:30 ET Durable Goods
11/21 10:00 ET UMich Sentiment
11/21 10:00 ET LEIII
11/21 10:00 ET Existing Home Sales

Key Economic Events Week of 11/12

11/14 8:30 ET Consumer Price Index
11/15 8:30 ET Retail Sales
11/15 8:30 ET Philly Fed
11/15 8:30 ET Empire State Fed
11/15 10:00 ET Business Inventories
11/16 9:15 ET Industrial Prod and Cap Utilization

randomness