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The Pricing System Is Broken - A Thursday Conversation with Andrew Maguire

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As we watch today some of the worst and most blatant gold price manipulation in recent memory, what a great time to get some perspective from our old friend, Andrew Maguire.

So what the heck is happening today? Why is price being smashed on COMEX and what is being accomplished? Andy explains the significance of the month-end PM Fix for the Banks and the BIS.

But also, what the heck happened back on March 24? Why did the OTC/spot market break? What are the long-term consequences and, more importantly, what happens next? For that, be sure to listen to the final ten minutes of this discussion.

Many thanks to Andy for so freely giving of his time today. Please be sure to give this podcast a thorough listen. Knowing that the Digital Derivative and Fractional Reserve Pricing Scheme is on its last legs may give you some comfort after having to endure again today the same old overt price manipulation tactics.

TF

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sengfarmer
Apr 30, 2020 - 10:46pm

new members

I've never seen so many so fast :). Congrats Turd.

hindsight101
Apr 30, 2020 - 10:32pm

Great interview Craig with Andrew

Put some perspective on Thursday's action.

The $31.06 GDX break out will be at some risk, at week's end, but at least it survived the monthly close.

HistoryStudent
Apr 30, 2020 - 9:46pm
mavensBard the Bowman
Apr 30, 2020 - 9:44pm

Ditto what Bard is asking here...

Actually has me considering pulling a Tx. Sandman and standing for delivery on a contract of my own.

F it! Floor it!

Silver Monkey, you wanna make a run to NYC and back with me to Smokey and the Bandit 5Koz of silver back to a very, very deep Michigan lake?

Smokey And The Bandit Theme ( East Bound And Down ) by Jerry Reed
Stevediva
Apr 30, 2020 - 9:05pm
Bard the Bowman
Apr 30, 2020 - 9:01pm

When will the new exchange be running?

Does anyone have an indication of when this new exchange will be functional? It sounds close, and maybe I missed it during the interview.

Thank Craig for having Andrew on. Anyways great

AGXIIK
Apr 30, 2020 - 8:03pm

I'm not sure if my equanimity re. the thrashing of metals price

is well placed.

Simon Black of Sovereign Man today commented that the price of silver has never been lower in the last 5,000 years when viewed in relation to gold price or any other asset class for that matter.

Using the cuneiform scribed clay tablets of Assyrian banker and trader transactions, with thousands of the tablets supporting these trades done in silver and gold, the records spoke to the value of silver in gramsof monetary weight. 8.33 grams was one shekel. One shekel was fair value for a certain quantity of barley.

Gold was valued 10 fold over silver. GTSR ratio held for millenia. 10 to 1

For most of recorded history in financial, trading and banking transaction, moved in a range of 10 to 1 to 20 to 1 for 5,000 years. The stability of this ratio has stood the test of time. I assume the changes in this ratio over 5,000 was a result of civilizational shifts and not arbitrary revaluation by some emperor or pharoah.

That gave article gave me peace of mind in doing my AU for AG trades over the last 2 weeks. With an average 96 or 98 to 1 when the GTSR moved from 120 to 1 down to 112 to 1 today, my actual trade spread was trading friction.

The dealer needs to make a profit. Given that he had some deep stacks of .999 bullion rounds, at $2.60 over spot I was happy to make sure he made a decent profit, allowing him to buy and retain a good inventory Today he had 3 different types of rounds including some older AMARK coins. I asked him if he bought a private collection? He nodded.

Silver was acquired at a dollar equivalent ranging from $3.75 over spot two weeks ago to a trade today where the dealer offered silver a $2.60 over spot traded for Krugerrands at $5 spot.

There was a day not long ago where dealers sold AG for 49 cents over spot for generic rounds and $2.39 over for ASE. A couple of thoughts occurred to me

I traded a GTSR close 100 to 1, 10 times as much as the wise men of Assyria throught was reasonable in their lending and exchanges.

It's well known that silver is in short supply. Steve St Angelo comments on that fact regularly in his articles

Right now silver is ridiculously low priced when compared to the price of gold. Acquiring silver at $17.53 right now is so attractive I ended up buying extra silver outside the trade. The trade netted me 573 oz of buffaloes. I hate odd numbers when buying AG so I rounded up to 600 and another 34 oz to round up the trade 2 weeks ago.

Happily I now possess 1,800 fresh new ounces of silver.

My only question is how many bushels of barley and head of AUrochs might I acquire for 100 ounces of silver. That 300 shekels. And that is a potent sum

Studs EgonBoggs
Apr 30, 2020 - 7:34pm

Banned, indeed

I've been there for years yet, when I tried to comment today, following my comment from yesterday, no soup for me! ZH does indeed tolerate vicious comments on a wide variety of subjects, just not anti-bank, anti-political establishment stuff, I guess. My initial comment was brought on by my observation that so many postings there these days are from banks and I see a lot of govt. cheerleading. Oh, well.

Studs EgonWizdum
Apr 30, 2020 - 7:24pm

Buy-out makes sense

Makes sense. My comment that got me banned was very broad(as you see).

If a mild critique of content, banks and the govt. establishment get you banned... damn!

Fargo Rodger
Apr 30, 2020 - 7:18pm

Andrew and Craig are amazing

Andrew and Craig are amazing together. Love this interview.

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