Eric Sprott: "Paper Markets Are A Joke: Prepare For Bullion Prices To Go Supernova"

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Tue, 07/05/2011 - 19:04 | 1427971 Michael Victory
Michael Victory's picture

 

paper is.. paper.

stack metal and get ready for the end of fiat again.

Watch – Fiat Money & Inflation in France

 

Tue, 07/05/2011 - 19:31 | 1428099 He_Who Carried ...
He_Who Carried The Sun's picture

The real money is not where everybody is looking for it!

Tue, 07/05/2011 - 22:38 | 1428510 Ahmeexnal
Ahmeexnal's picture

Paging Mr. Methman:

 

"It only costs 5 bucks to dig an ounce outta the ground".

 

Tue, 07/05/2011 - 23:30 | 1428629 akak
akak's picture

Do not invoke the name of the Cursed One!

Wed, 07/06/2011 - 01:07 | 1428759 eureka
eureka's picture

Well then, Sprott must be "the annointed one" - though perhaps in a paralel, timeless universe: Sprott predicted in fall of 2009 and January 2010 that gold would double or tripple or quadrouple "very, very soon". Perhaps years pass in split seconds in Sprott World, or perhaps timing is secondary to overall sentiment. From my perspective all asset classes are elevators going up and down in interrelated, yet fundmentally speaking insane patterns; investors therefore, by definition, are mad dogs, whatever asset they "believe in, for whatever time duration. Personally, I place my peace in productive and creative labors - i.e. real assets, which no one else controls; the "market" is not my God. Fuck the market and sleep well.  

Tue, 07/05/2011 - 19:44 | 1428129 dlmaniac
dlmaniac's picture

Prepare for confiscation. One thing you can be 100% sure is that the Mafia, uhhh I mean US government, always kicks the table when their ordinary shenanigans no longer work.

Tue, 07/05/2011 - 20:44 | 1428230 theinebriatedsot
theinebriatedsot's picture

They can try - but who'll 'give it up'? You think people will meekly comply like in the 1933? No chance. And if the "Gestapo Pigs" try to find it....people will just hide it that much better. They'll NEVER attempt confiscation - that would be an admission that their system they've set up has failed, and gold really is worth something. This is why hardly any 'Boobus Americanus' owns any: they still believe the claptrap that "gold is just a commodity" which has been taught for nearly 100 years.

Tue, 07/05/2011 - 21:00 | 1428253 akak
akak's picture

I pretty much agree with you, inebriatedsot.

First off, there was NO "confiscation" of gold back in 1933-34 --- it was a call-in and voluntary surrender of gold instead.  Sure, the federal fascists made the possession and sale of gold illegal, but there were absolutely no door-to-door searches, or any draconian actions of the sort, to grab gold from individuals.  And even in that naively law-abiding era, only 20 to 25% of all the outstanding US gold coins were turned in to the government --- does anyone REALLY believe that the percentage would be higher, or even close to that, today?

Second, having stated the above, I can easily imagine our current federal jackbooted thugs attacking the personal possession of gold (and silver) once again, via either onerous transaction taxes (exempting "legitimate users" of course --- bullion banks, hint hint), or else by outright prohibiting the purchase of precious metals by the public, while still allowing them to hold what they own, or to sell it to dealers, but not to other individuals.  But I think any such measures would be short-lived, as such desperation would probably merely mark the death throes of the current fiat monetary paradigm, and quite possibly the power of the federal government itself.

Tue, 07/05/2011 - 21:41 | 1428372 GeorgeHayduke
GeorgeHayduke's picture

"...outright prohibiting the purchase of precious metals by the public, while still allowing them to hold what they own, or to sell it to dealers, but not to other individuals."

I would guess that silver and gold become the money of the underground or "gray" market at that point in time.

Also, I completely agree with you that there will be two levels of law for gold and silver ownership if it comes to that point; one law for the elites and one, more prohibiting, law for the serfs. My guess is they will wrap the law in the flag and add plenty of fear about terr'rism so most peasants will bow down with their usual unquestioning compliance for such a tyranical law. If so it may finally show some folks that the sheople's compliance is as much a part of the problem as as the tyrants. We can only hope.

Tue, 07/05/2011 - 21:53 | 1428396 akak
akak's picture

My guess is they will wrap the law in the flag and add plenty of fear about terr'rism so most peasants will bow down with their usual unquestioning compliance for such a tyranical law.

I am actually rather surprised that we have not by this point seen some much-hyped interception of "terrorists" being apprehended while "smuggling" gold as an integral part of their devious evil-doing --- along with the concurrent demonization of the sale or mere possession of physical gold, and the linking of it to "financial terrorism".  Just wait for it, though.

Tue, 07/05/2011 - 23:09 | 1428578 Unbeliever
Unbeliever's picture

They've thought of this ploy; they haven't needed to employ it yet.

Wed, 07/06/2011 - 04:10 | 1428872 fredquimby
Wed, 07/06/2011 - 07:19 | 1428958 hamurobby
hamurobby's picture

The msn was practically touting Libyan gold as terror funding. They could not sterilise Qaddafi's gold like they could Libyas deposits in the banking system. 

Tue, 07/05/2011 - 19:49 | 1428138 disabledvet
disabledvet's picture

Certainly John Law paid the price for his scheme.  It's hard to imagine a "place" as France was "at war continuously" for the entirety of Louis XIV's (was it 70 year?) reign.  By today's standards we would call the 30 years war "total war" for sure, although it's hard not to call the entire age for all intents and purposes "total war." The irony of course is that it ultimately led to Napoleon.  Of all lessons in history i still believe this is a most fundamental one.  But first!....

Tue, 07/05/2011 - 22:56 | 1428549 Hearst
Hearst's picture

And Germany's hyperinflation led to Hitler.  Is there a trend forming here..?

Wed, 07/06/2011 - 00:51 | 1428748 Transformer
Transformer's picture

And we have been at war since 1945, if you count the cold war, which cost the same as a real war.  Thats 66 years. 

Wed, 07/06/2011 - 02:10 | 1428810 Oh regional Indian
Oh regional Indian's picture

Hmmmmmmmm.....
Another key 66th anniversary, one we should be paying real attention to, is 16th july, Trinity...
It's still with us.....
ORI

http://aadivaahan.wordpress.com/2011/07/04/a-year-and-a-day-later/

Tue, 07/05/2011 - 18:32 | 1427972 johnnymustardseed
johnnymustardseed's picture

Hi-ho silver away!!!

Tue, 07/05/2011 - 18:37 | 1427980 Badabing
Badabing's picture

paper = physical a hundred to one. always has, always will.

fixed it

Tue, 07/05/2011 - 21:16 | 1428296 BrianOFlanagan
BrianOFlanagan's picture

Repost: paper = physical.  Always has,  always will.  

 

The only thing going supernova is the hype from the Sprott crew.

 

Tue, 07/05/2011 - 21:18 | 1428306 akak
akak's picture

Beat it troll.  Your shilling for the bankster elite is pathetically laughable.

Tue, 07/05/2011 - 21:23 | 1428327 BrianOFlanagan
BrianOFlanagan's picture

just giving you the truth, Akak

Tue, 07/05/2011 - 22:02 | 1428418 akak
akak's picture

That's spelled "trollth".

Not to be confused with "trololo":

http://trololololololololololo.com/

Tue, 07/05/2011 - 23:38 | 1428642 Libertarians fo...
Libertarians for Prosperity's picture

Akak - Can you explain to me how the recent change in SIFO rates supports the silver shortage hysteria?

 

Tue, 07/05/2011 - 23:41 | 1428648 akak
akak's picture

WilliamtheRedneckRepugnicantGunslinger,

Can you explain to me why gold AND silver are both up over 400% in the last decade, when the stock market has been flat during that same period (and falling in real terms)?

Wed, 07/06/2011 - 00:15 | 1428699 Libertarians fo...
Libertarians for Prosperity's picture

Wow.  Answering a question with another question!  Are you a politician?

It's ok if you don't know that answer - I already know you don't.  You're just another bitter, goofy, doomer bobble-head who is only capable of puking up the same tired catch-phrases as 95% of the other ZH doomer goons.  You bring nothing but ants to the picnic.

 

 

 

Wed, 07/06/2011 - 00:24 | 1428711 akak
akak's picture

And we all already know that you are the same vicious, dishonest, malicious troll who has been discredited, banned, and returned under yet another new alias here more times than I can count. 

Fuck you.

Wed, 07/06/2011 - 07:48 | 1429013 Badabing
Badabing's picture

repost: paper = physical a hundred to one. always has, always will.

fixed it again

Tue, 07/05/2011 - 18:38 | 1427981 JW n FL
JW n FL's picture

Lead ='s whatever I want it too!

Tue, 07/05/2011 - 18:58 | 1427993 akak
akak's picture

BrianOTrollAgain,

You're funny when you're an idiot.

But it is always entertaining to see desperate pro-Establishment sheep such as you rage and flail when confronted with the imminent collapse of their beloved status-quo paradigms. 

Sing, O Muse, of the agony of the Great Troll!

Tue, 07/05/2011 - 19:04 | 1428030 Bay of Pigs
Bay of Pigs's picture

Hey akak,

Speaking of trolls, our guy Jeff Christian was on BNN today. Here's what I posted over @ Turd's site after watching him,

Well, he didn't disappoint on his perma bearish stance. He said gold should top out at 1520-25 (July-August), then go down to 1440-1460, but could "easily go down to 1380". His "ceiling" for gold was 1540 with a possible "spike" to 1600.

LOL. Keep up the good work Jeff. You've been dead wrong for ten years, so why change now?

Why this guy gets interviewed at all is beyond me.

 

Tue, 07/05/2011 - 19:08 | 1428041 fonestar
fonestar's picture

Because Christian and the MSM don't understand why Gold is at $1,500 or ask what is stopping it from going to $10,000.  They don't understand fundamentals.  They don't understand supply and demand.  They sure as hell don't understand the signs of a dying currency!

Wed, 07/06/2011 - 07:40 | 1428993 TheFourthStooge-ing
TheFourthStooge-ing's picture

Why this guy gets interviewed at all is beyond me.

Well, Douggie Kass gets interviewed too, and his predictions regarding gold make those of Christian appear almost reasonable, even though they still fall short of the threshold of sensibility.

Because Christian and the MSM don't understand why Gold is at $1,500 or ask what is stopping it from going to $10,000.  They don't understand fundamentals.  They don't understand supply and demand.  They sure as hell don't understand the signs of a dying currency!

They don't understand that, even though they think they're insiders, they're in line to be shorn along with the rest of the sheep.

(They also don't understand that a squid eating dough in a polyethylene bag is fast and bulbous. Got me?)

 

Tue, 07/05/2011 - 19:12 | 1428049 akak
akak's picture

Thanks for the update BoP!

Yes, as bad as Jeff "100:1" Christian is in his so-called analyses, his record of disingenuous bullshit and outrageously incorrect and misleading disinformation can't hold oa candle to that of Jon "Gold is in a bubble but NOT in a bull market!" Nadler.  ANYONE who dares quote or interview him, at this point in the game, automatically proves themselves to be either part of the Empire of Darkness, or merely an incredibly naive and ignorant idiot.

Tue, 07/05/2011 - 19:17 | 1428059 High Plains Drifter
High Plains Drifter's picture

It is incredible how so many people simply hate metals.  Kind of reminds me of "trader dude"  douchinger.

Tue, 07/05/2011 - 19:37 | 1428114 akak
akak's picture

"Because gold is honest money, it is disliked by dishonest men."

- Ron Paul

Tue, 07/05/2011 - 21:58 | 1428409 madmax1965
madmax1965's picture

Exactly! and the dishonest men in DC are like a bunch of drunk sailors on liberty!

 

In the absence of the gold standard, there is no way to protect savings from confiscation through inflation.  There is no safe store of value. - Alan Greenspan 

Tue, 07/05/2011 - 19:52 | 1428143 disabledvet
disabledvet's picture

as I recall there were many sellers of silver pretty much right at the high.  Wasn't Eric Sprott one of them?

Tue, 07/05/2011 - 20:03 | 1428167 Bay of Pigs
Bay of Pigs's picture

Yes, and he took that money (profits) and reinvested in what? Oh, that's right, silver miners.

This Sprott bashing is absurd.

Trolololo....

Tue, 07/05/2011 - 21:00 | 1428266 bruinjoe93
bruinjoe93's picture

He went from one high beta silver-related investment to a higher beta silver-related investment.  

Tue, 07/05/2011 - 21:33 | 1428353 Iam_Silverman
Iam_Silverman's picture

"as I recall there were many sellers of silver pretty much right at the high."

Yep.  There are those that can see an intermediate top in the market, and are smart enough to act on it.  It doesn't mean that they have abondoned PM's, but why begrudge someone some profit taking?

Hell, even RoboTrader was offering a monster box of Silver at $49 to $50!

Tue, 07/05/2011 - 19:11 | 1428045 BrianOFlanagan
BrianOFlanagan's picture

please give me the expected date of that collapse so I can mark it on my calendar.  I'll add it to the long list of failed prophecies from the professional fear mongers.

Tue, 07/05/2011 - 19:36 | 1428066 akak
akak's picture

Ah yes, the oft-repeated Center-Thinkers' Creed:

"It hasn't happened yet, therefore it will never happen at all."

One would think that all of the previously-considered "can't happen" events of the last few years would have cured you center-thinkers of your innate, ignorant and total faith in the status-quo power structure and its associated paradigms.  But alas, center-thinking is almost invariably a terminal illness.

Tue, 07/05/2011 - 19:45 | 1428127 BrianOFlanagan
BrianOFlanagan's picture

Keep the faith, oh loyal silver parishioners...

 

 

Tue, 07/05/2011 - 19:47 | 1428133 Missiondweller
Missiondweller's picture

Likea 9.0 earthquake hitting japan causing a tidal wave that knocks out a nuclear plant...causing a meltdown. No way. I would never happen!

Tue, 07/05/2011 - 23:00 | 1428555 Midas
Midas's picture

Housing never goes down.

The US will never default.

The U$S will always be the reserve currency.

Tue, 07/05/2011 - 23:28 | 1428625 akak
akak's picture

Stocks for the long haul.

The Thousand-Year Reich.

The sun never sets on the British Empire.

Japan has never been defeated by foreigners.

The unsinkable Titanic.

If man were meant to fly, he'd have wings.

Constantinople is impregnable.

Rome is forever.

 

Center-thinking through the ages.

 

Wed, 07/06/2011 - 01:42 | 1428797 Midas
Midas's picture

Well played sir...

Tue, 07/05/2011 - 19:42 | 1428123 traderjoe
traderjoe's picture

Yes, gold and silver have been terrible investments over the past, oh, 10 years. The stock market's done way better... /s

Tue, 07/05/2011 - 21:19 | 1428312 mick_richfield
mick_richfield's picture

Oh, that's easy little troll!

The Collapse began in August of 2008.

 

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