Gold Breaches Nominal High Of $1,500/oz; Inflation Adjusted High Of $2,400/oz Remains Long Term Target

Tyler Durden's picture

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SME MOFO's picture

Everytime it goes up and I'm not maxed out long in my futures account I feel like someone is stealing from me

but the only reason I set up the futures account was to hedge my physical position

Instead I've been texas hedging the whole way up, I think I may have a problem.

Is there some kind of rehab for this?

SME MOFO's picture

old timey swimsuit is the key!

bigelkhorn's picture

that is true I guess.

Damn you guys noticing some storms coming over your place. 


I just Had a look at the FFT guys. And they are predicting a big set of tornados to come.

They have been VERY SPOT ON in the past...and say : "Expect it to be very bad over the next couple of days in the US mid-west, south and maybe even up toward the Canadian borders.  At least one F-5 will come out of this, maybe more than one"

Stay safe people. MIght get rough.


ZeroPower's picture

Another day, another full $ up on silver. Lol.

goldfish1's picture

Wasn't it here that I read at $47 silver, JPMorgan is toast?

ZeroPower's picture

No, it was a big joke at $36/oz. Apparently due to "the way their derivatives contracts are tied into the price" --> LOL.

That comment was directly from Blythe herself. So, dont believe everything you read. Or their handle for that matter.

MonsterBox's picture

Man, its nice to FINALLY be on the right side of something.  But Tyler is right, we should "take pause" as both PMs have shot up pretty fast lately. 

Still, neither is accepted or pushed by the MSM so they really don't fit the "bubble" profile, yet.

HelluvaEngineer's picture

I think we've reached the point where big money is escaping the dollar, and trying to do so without spiking these prices.  There may not be a pullback for a long time.

Sudden Debt's picture

even a 4$ dip wouldn't catch my attention now.

Eyes to the horizon and straight on.




THE DORK OF CORK's picture

The Euro needs more money as the ability to produce sovergin money is limited by ECB decree - its as simple as that in many ways.

I am becoming more and more convinced that the rise in Gold is chiefly a Euro phenomena.

The Euro is a sovergin money / nation state  killer.

goldfish1's picture

Perhaps more informed reading on the subject is in order.

Jim Willie today:

50 Factors launching gold

THE DORK OF CORK's picture

Look all I am saying is that the high priests in the ECB know the central bank war model is dying so they have to reinvent themselves for the 21rst century if they want to remain in the debt game.

A altruistic monetory policey would simply involve a treasury producing goverment money and full deposit  banks rising or falling based on their investments - this would be inherently self regulating.

However Its never going to happen this side of the dark age

Although you would need a gold mechanism to settle foregin trade unless you want to go back to the war model.

Anyhow this Donald Duck cartoon accurately conveys how the old CB war model works , replace high explosives exported to foregin lands with mercantile products both fiat and real goods and you get the picture.


hugovanderbubble's picture

Please take a look to US - Munibonds 10yrs CDS and 5yrs CDS...

Long-John-Silver's picture

We will awaken one morning and be shocked by a dramatic rise in Gold. It's sitting on a compressing spring and the straps holding it down are about to be torn asunder.

cranky-old-geezer's picture

Dollar index dropping like a stone since monday midday, now 74.39.

74.18 is the magic number.

duo's picture

We need an AGQ 10:1 split!

Just Observing's picture

But Dave Ramsey keeps saying I'm an idiot owning gold and ought to get rid of it and put my currency in "good growth stock mutal funds"........what to do, what to do.....

writingsonthewall's picture

...on every journey there will be people pointing you in the wrong direction - the trick is to work out who is trustworthy and who isn't.


The real question is what will you tell Dave Ramsey when it turns out he is 100% incorrect?

akak's picture

Since 2001 Dave Ramsey has ALREADY been proven to be, oh, about 500% incorrect!

That guy is probably an unwitting shill for the banksters, but a shill he is nonetheless.

cranky-old-geezer's picture

DR preaches to the sheeple masses who don't have a clue what's really happening.

Yes stocks have had a nice runup since March '09 thanks to Bernokio's massive money injections.  And it may keep going.  But the dollar is collapsing now.

HelluvaEngineer's picture

Preferably one with high loads.  You know, Scottrade will let you buy many of these with no commisions!

PS - you forgot that short haired bimbo that tells Oprah viewers to keep their money in the bank.

writingsonthewall's picture

Everybody loves Gold!

I had an argument with someone recently who was adamant that 'Gold has little value in the real world' - which I have to admit was rather ironic - someone describing a FIAT money based system as 'the real world'.

This is no bubble - this is the end of a FIAT currency, the only questions remain are 'how long' and 'how fast' - decline is inevitable.


Anonymouse's picture

What burns my butt in all of this is that the Bernank is screwing me over from all sides.  I get no interest on savings because of this ass, and now he is making sure that I lose my shirt when I move my USD overseas.  He must be lying awake at night worrying that someone outside his circle is NOT getting screwed.  Bastard

If it weren't for my gold and silver, I'd be totally done over.

Sudden Debt's picture

I guess he was talking about his gold wedding ring.

Most weight about 2 to 3 gramms.



ak_khanna's picture

The way Banksters are currently minting money.

They are driving the USD index down and pumping up everything else. This process will continue till there are no long positions left in the USD index and no short positions in any of the commoditie­­­s, stock or currencies other than the USD.

The operators are then likely to take the long position on the dollar and short position on everything else. They would then use their money power to move the markets in the direction which would get them the maximum profit while screwing all other traders / hedge funds / investors.

The stock, commodity and currency exchanges have been reduced to gambling dens whereby the more powerful traders with deep pockets move the markets to maximize their own profits at the expense of the remaining not so powerful players. The big boys have enormous money power to move the markets in the direction which results in maximum profits for themselves­­­. They effectivel­­­y use the media to lure the other players in the market to a position where they would incur maximum loss.

The markets will turn downwards only when the banksters have eliminated all the short positions and only they themselves have positioned themselves to profit when the market falls


When an unexpected world event catches the banksters with their pants down and the softwares they use to rig the markets go berserk beyond their control.

HelluvaEngineer's picture

Please quit posting the same damn spam 10 times a day.

Steroid's picture

How much would the inflation adjusted high be with John Williams' numbers?

GoldFinch42's picture

Based on inflation through March 2010, the 1980 gold price peak would be $2,377 per troy ounce, based on not-seasonally-adjusted-CPI-U-adjusted dollars, and would be $7,559 per troy ounce in terms of SGS-Alternate-CPI-adjusted dollar.

We still have a long way to go in this bull market.

mogul rider's picture




RobotTrader's picture

Funny how as PM prices go up, Chinese Internet stocks go up even faster!

I think the entire growth stock and PM sector is getting too crazy, eventually there is going to be a rotation back into big cap, slower growth names.

I mean really, how much longer can this last??


HelluvaEngineer's picture

That's amazing.  Pretty soon that chart is going to start moving to the left!

cranky-old-geezer's picture

Yes RT stocks are doing well, no argument on that.  I too wish I had bought apple in '03.  But that's hindsight.  I have no faith in equities at this point. 

And faith is all there is now (since fundamentals are gone). Faith that Bernokio will continue single-handedly supporting equities, which he is likely to do.  I see no reason he would stop.

But I'm not a faith guy.  I like fundamentals.  PMs have the fundamentals now.

Sudden Debt's picture

Yes... you're right... it sucks being you...


Robo, you should know that gold and silver will keep rising untill banks can return at least a 10% div.

That's what pulled down gold in the 80's.

And if you look at the div's of CITI and BAC, that's not yet happening.

And now that those German and Irish banks will have a liquidity problem in the next 2 years, that's like a guarantee that gold and silver will keep going up for the next 2 years.




Hephasteus's picture

Still not as funny as posting a chart of gold getting hammered down with a bold proclamation to sell just last night and waking up with that chart just squatting on 1500+.


RobotTrader's picture

WYNN is up $7 pre-market.

Heh, I wonder when the last time NEM or GG were up $7 pre-market???

GOSPLAN HERO's picture

Great news ... the USD still buys many Zimbabwe dollars:

1.00 USD = 361.900 ZWD

When will the USD reach parity with ZWD?

jimijon's picture

I bought two 100 Trillion Zimbabwe Dollars for $4.00 on ebay about six months ago.

Today they are going for $5.00 a piece. Not a bad return!

Silver Shield's picture

The CPI adjusted high for silver is $132.07 but the REAL silver high accounting for the increase in the money supply is @ $500.

HEHEHE's picture

This price movement lately seems to be more the fear of the unknown than anything else.  1) If there's QE3 and no real movement on the US debt reduction front then PM's go to the moon. 2) If there's QE3 but no meaningful movement on the US fiscal front you'll probably see a minor correction say 10-15%.  3) If there's no QE3 and meaningful movement on the US fiscal front there will be a major correction 30-40%.  Scenario 2 seems most likely given the way DC works.  The corrections would be post run-up of course which will likely continue, though not at this pace, through the end of QE2.  I have a feeling this summer is going to become a violent sh*t storm in many places in the world.

gall batter's picture

HEHEHE, there's a violent shit storm in many places now.  Not much news about Japan but the people there are suffering.  The Gulf of Mexico is laden with petroleum and Corexit.  And the wars, wars, wars.  

HEHEHE's picture

Not arguing with anything you are saying as we a a select few informed people out there- and I don't say that to sound elitist; I am saying this summer you are going to start seeing the "Dancing With Stars" watchers and I-porn droolers start waking up and getting pissed off in a lot of places that people didn't expect.

I still get a chuckle when a friend of mine last summer said how amazed he was they got that oil cleaned up so fast, when I told him it was because they dumped thousands of gallons of a toxic dispersant to make it dissolve into the water table he looked at me like I had three heads.  Not only do people not want to hear the truth most of them don't want to believe they are as gullible as they've been listening to the MSM and the gubmint.