This page has been archived and commenting is disabled.
Commodity Complex Pummeled In Preparation For QE 3
Not at all surprising, the entire commodity complex just swooned, supposedly on the latest DOE inventories data, which saw a surge to 2878K versus expectations of -1600K, up from 616K previously (same surge in gasoline inventories, which surged to 2553K on expectations of 900K). We say not surprising, because crude, and thus all the other uber-correlated commodities, needs to drop at least $10-15 from here before the Fed can then proceed to triple its price once the money from QE 3 start sloshing around. We expect significant more downside weakness in Crude as the realization that QE 3 is inevitable finally dawns on Wall Street. Remember the Catch 22: everything (commodities, stocks, etc) has to go far lower, before everything surges yet again post the next monetary easing episode.
»
- 14517 reads
- Printer-friendly version
- Send to friend
- advertisements -
HAHAHAHAHAHAHA!
No words...too much laughter!
markets dropping
sweats, shakes, panic
need my QE heroin fix
Wow will everyone pls chill out - the chart is as clear as day, we NEED to come back to 35.00 or just under to back and fill properly before resuming the march towards $100.....all is well, stop being so granular!
Nearly touched 35.55 .I think from here on it is up and with corrections. But the second bottom has now set in and the bottom for June IMHO
How long does it take for actual GAS prices at the pump to drop?
How long does it take for your physical PM Dealer to drop his prices?
That LAG time is getting longer and longer. Confidence in policy must be dwindling. The FEDs will be ultimately forced into another form of QE, a true sign that they are powerless over the Laws of Free-Market Economics.
You can’t run an economic engine on water-downed paper (QE octane 39); it needs fuel. Adding more water doesn't get you anywhere.
Yeah, it's like watching ice melt or Teddy Kennedy getting out of a limo.
Stop crying - nothing happening DJI down 80 points so what?
Why all this doom and gloom scenarios? It's nowhere near 2008,
Dow will be inflated to 20000, that doesn't mean it's really going anywhere
only in terms of debased dollars, that's all. Just will be more volitile
while pussies jumping on and off the train.. China hard landing,
China soft landing, Greese, Portugeese, Debt Sealing, Blahh Blahh
every hour new story and people running back and forth.. Relax,
nothing really has been change.
Contrary to this post's title, Natural Gas is doing its usual unfathomable `Thursday is Opposite Day` dance, futures UP 3% plus.
(oop nm, John Law Lives already noted this... I missed it amongst the flame wars)
The lower the fiat dollar price of paper silver goes the short the half-life of the radioactive CRIMEX will be.
If we see $30/oz next week then the 60 days to the physical silver extinction event will be cut to 30 days.
If we see $25/oz the following week then the 30 days to the physical silver extinction event will be cut to 10 days.
Take the fight to the banksters.
Get silver whacked before Friday's NFP so it has a lower starting point for the net move up.
Physical silver buyers attack.
Exactly. A great buying opportunity. There will probably be more, but a great one coming up.
People, how hard is this? Buy physical, BTFD.
Nothing worse than playing monopoly with no paper monopoly money.
Free-Market Economics ?
GATA's January 31, 2008 advertisement in The Wall Street Journal - do these 5 committee members look like "conspiracy theorists" or "domestic terrorists" ?
http://www.gata.org/node/wallstreetjournal
My take on this:
The Treasury Department's Exchange Stabilization Fund should really be called Market Manipulation Fund
If the gold leased by central banks is sold for fiat dollars then the leasees now have liabilities that increase with the fiat dollar price of gold increasing 25% year-on-year.
Gold hedging at $300-$500 made Barrick/AngloGold shareholders come out BIG LOSERS when covering at $1k-$1.3k - the BIG WINNERS were the guys who they bought these hedge contracts from.
"the provision of international credits and joint efforts to influence asset prices - especially gold and foreign exchange." - 'influence' you should consider to mean 'rig'.
The supreme law of the USA (aka Constitution) says do not issue bills of credit. And it goes without saying that fractional reserve banking and leverage are also unlawful.
The capital markets that are constantly moving funds from one fiat paper currency to another and with the fundamentals of all fiat paper currencies being bad has been metaphorically characterised as moving from one room to another in a burning building. To complete the metaphor, when the building is fully ablaze these funds will be jumping out of the window.
Warren Buffett's 2002 description of derivatives as financial weapons of mass destruction.
Just to show how many people are actually invested in gold/silver, a little anecdotal evidence.
I listed a bunch of Playboy magazines on ebay the other day, one of which was the September 1980 issue with the story of the Hunt Bros. attempt at cornering the silver market, a great read and something a silver investor might find worth owning, just for, say, kicks.
I listed about 8 of these magazines and the only one that has not received a single page view (besides my own, today) was the one with the Hunt brothers' story.
PLAYBOY SEPTEMBER 1980 BUNKER HUNT SILVER MARKET CORNER
I usually do a good job stuffing my titles with keywords, but maybe not this time. Still, all the other magazines listed have at least 4 pageviews, this one, none. Shows how many people are interested in at least researching and understanding the silver market.
looks like the male-mind has evolved, y'know, it's "tits or GTFO" nowadays, all pictures, reading for comprehension/knowledge is old skool.
clever ad tho' - good luck with your auction.
(by "ad" I mean your post & link here ^^ )
There is 2 completely things taking place in silver.
Physical silver is being bought hand over fist.
Paper silver is being sold hand over fist.
The paper silver sellers will hand to the physical silver buyers the opportunity of lower prices and hasten the default of the COMEX.
Since I am not a trader, I find it amazing that I was able to predict exactly the sequence of commodity shakedown preceding (to be seen) QE3.
I'm not bragging.
I'm giving huge kudos to ZH. Thank you for helping me see how the rigged game works.
It's interesting because I have both physical PMs and paper PMs (PSLV). The interesting thing is I never feel bad about owning the physical stuff when the paper price goes down. It just doesn't phase me. Especially since I've seen these completely rigged waterfall declines before.
Concerning the paper, however, it terrifies me. I've got a finger hovering on the sell button in my account.
ZH helped me to see the obvious MOPE going on:
1. Geitner's announcement of the recovery worth saving - history repeating itself. This plus a bunch of other facts (pre softening by the asian market on the PMs by margin hike, etc. etc.), that QE3 was on its way and the Crimex smackdown was imminent.
2. The need to smash the commodity complex, as well as have stocks go down to raise the bogeyman spectre of deflation.
3. The way that JPM frontruns every thing and lies out of every orifice.
I got completely out of paper silver before the latest smackdown. I'm waiting to buy back in (either paper if I'm going to play the game a bit longer, if it's playable, or physical if TEIN).
Again, not bragging, definitely some dumb luck involved.
But Kudos to ZH for "lifting the scales from my eyes" on this complete bullshit.
Oh right, and the margin hikes. They're definitely coming on the PMs, despite not having to use them to manipulate the price down (my guess). I'm thinking they want to send an overt message to the market, which is "we always win, now what you gonna do?"
To everyone panicking, this is all short term. Better to hold the physical, as you'll sleep better at night (and no one knows what is going to happen to all the paper).
I take it silver is down today based on who is commenting on what?
When silver hits $25/oz we can all get twice the oz we were getting only a month ago - sweet.
Tav777 got all his training at ENRON.
1:15 EDT - CL getting a look at 100 again
.
Canary in the coal mine post.
Short and Brilliant.
http://saposjoint.net/Forum/viewtopic.php?f=14&t=2626&st=0&sk=t&sd=a&sta...
Does this make sense (from DJ wires): 'gold futures down because of weak job numbers'?