Gold For December 2016 Delivery At $1,709.90

Tyler Durden's picture

Good news: at least it is not in backwardation. We wonder how long before Bernanke uses that excuse in a public tribunal.

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unwashedmass's picture


bennie boy, time to type the resignation.

EscapeKey's picture

Sorry for hijacking this, but I though there might some interest in this:


Peter Schiff & Ron Paul are todays guests on Alex Jones.

Horatio Beanblower's picture

...and Bernard von Nothaus.


Quite a line up.  

Ahmeexnal's picture

Some lineup. Why didn't they invite Lyndon LaRouche?

apartofthings's picture

Actually, one of his colleagues was on the show a few days ago. They're trying to get LaRouche on in the next week or so.

asdasmos's picture

Sprott or QE3 being priced in?

ZapBranigan's picture

Schiff and Paul's stock just went way down. (Junk away but AJ is a loudmouth, immature, status-seeking, fearmongering, juvenile horse's ass.  It's a real shame so many people follow that fuckbag.)

Pladizow's picture

The original Ron Paul, Merrill Jenkins, in 1971 wrote the book - Money: The Greatest Hoax on Earth.

Merrill was a man well before his time.

CPL's picture

Tribunal?  Resignation?


He won't be so lucky.  It'll be an open faced execution.  The mob may never understand his policies but they'll certainly understand how to quarter a man with an axe.

StychoKiller's picture

"An axe!  That takes me back..." -- Grand-Mama Addams, "Addams-Family Values"

Robot Traders Mom's picture

@ Tyler---Fucking hillarious!!!

Not only does ZH have the best information, the humor is dry and it reads like Deadspin for the financial world.

Well done.

Bam_Man's picture

Ha ha. Like there will even be gold available for delivery (at any price in $US) in 2016.

Cash_is_Trash's picture

Conductor Ben: All aboard the QE-bound express train.. We're pulling out all the stops.. Destination: Serfdom

Thomas's picture

Gold's a bubble. Sell the spikes (STS)! (I would buy, however, if I wasn't up to my ass in the stuff already. The problem that I can't seem to resolve is that I still can't eat the stuff.)

knukles's picture

New and Improved Fiat Diet.
Try consuming the proportionate amount of pennies, nickles, dimes and quarters.  And if that don't work...... 
Oh, never mind.   :)

sullymandias's picture

The nickels and pennies are worth keeping. Melt > Face. Plenty of pre-1982 pennies still in circulation. I don't bother to sort them out. I'm betting there will be plenty of machines to do that in the future.

bbbilly1326's picture

If you'll give me your gold, I'll see that you get fed regularly........

Infinite QE's picture

Is Yogi still short silver from $8???

Bam_Man's picture

And when the dumbass "you can't eat gold" crowd finally figures this out, then you will see the mother of all backwardations.

jus_lite_reading's picture

Exactly! Thats why you buy now! we all know the financial world is doomed. watch the moie Dr. Zhivago.

Dr. No's picture

Its brilliant.  Its like selling 100 year bonds.  Get the cash.  Let the bond holder come knocking on your door in a 100 years to collect.  no one home.  Same for gold in 2016.

Cash_is_Trash's picture

It's coming down at a faster rate than ever before.

Volckeresque interest rates won't stop this freight train going QE^3 mph.

SheepDog-One's picture

QE3, if there is one which I dont believe, will be a total faceplant!

Cash_is_Trash's picture

In Jim Rickards piece on KWN, he says the stock is the flow.

Meaning the fed balance sheet is large enough to perpetuate a stealth QE, or as most of would like to call it: backdoor QE.

Shameful's picture

He misses a very bonehead thing.  When those bonds are redeemed and the Fed is payed, well guess what those payments have to come from you guessed it fresh issuance.  so in effect to keep things stable the Fed must roll their purchases.  This keeps them level, problem is the 1.5 Trillion deficit.  All the Fed can do is roll the garbage on it's sheet, unless there is true financial wizardry I'm not sure how the Treasury pays the Fed X dollars and the Fed turns around and gives the Treasury X+ Y dollars without printing more.  Rickards is only right if they balance the budget, which has about as much chance as Stephen Hawking scoring 200 points as at the NBA All Stars game.

romanko's picture

no need for financial wisardry when it's all opaque and sitting in some "special vehicle"

one-sided entries anyone?

billhilly's picture

Shameful, ever since the KWN Rickards interview I have had the same craw stuck in my head but I have ignored it because no-one else has addressed it (at least that I had read), I just thought I was ignorant in some manner.  But now, YES, how the hell could the Fed just roll over existing Ts to continue QE?  The math does not seem to work.  Thanks

Dr. No's picture

If the FED maintained a level balance sheet, there would be no credit expansion since the treasury would only be newly issuing what is matured.  This will crash the system.  Well, its going to crash anyway so there will need to be some games played to make sure the selected scapegoat gets blamed.

sullymandias's picture

So Rickards specifically mentioned mortgage payments on the Fed's books. Some of those mortagees are still making payments. Those payments include some interest and some principal. In regards to the stealth QE, I think he was more focusing on the interest payments, not the principal payments. If both interest and principle are "reinvested", then the balance sheet expands.

Likewise, bond payments include some interest. If you're talking treasury, then yes, the US Treasury has to borrow more money from somewhere to make those interest payments. But the money then goes to the Fed, who can choose to either reinvest it or disappear it.

alien-IQ's picture

do you have to wear a suit to watch a tribunal? or can I wear my surf shorts and sandals (aka my trading uniform)?

knukles's picture

Shit man!  When in Rome do as the Romans do.
We can go naked and play with ourselves in public.

Heavy's picture

Beat me to it.  I was going to say naked, covered in orange juice and wielding a pitchfork...sigh.  At least we're all enthusiastic.  Additionally: Fair turnabout for us to jerk off while a tribunal puts Ben to a slow bureaucratic painful death?

BobPaulson's picture

I'm more of an engineer/scientist type: could you tell me where that curve fit comes from? Is that just a semi-log regression fit? Try that one on the human population and you get some cool numbers. 

I aint denying it'll go there, so don't flame me...

falak pema's picture

what happens to lady Blythe? Is JPM going to pension her off? Maybe she'll go to of the golden pond of pension bubble! aka L.K

prophet's picture

Must Read?

James Gleick "The Information: A History, a Theory, a Flood."

This one should be good fodder for a couple hundred thousand words time to commence the blogalicious blather and rants and perhaps even read the book.

from bloomberg:

On Gold:

Gleick: Money itself is an information technology. If you take a dollar bill, it’s just a token, an indicator that I have a claim on some amount of value.

People used to think it was worth something in itself because it was made of gold. Even now, we sometimes naively continue to have the illusion that a gold coin has value because gold is somehow precious.

Lundborg: Look at the rising price!

Gleick: Aside from the industrial uses, the dominant source of value for gold is something entirely psychological, because people agree that it stands for something.

It’s really a form of mass hysteria.

On Wall Street:

Gleick: The villainy in the financial sector over the last decade has expressed itself in an increasing abstraction of financial instruments. But it’s not the abstraction in itself. What’s to blame is the lack of regulation and lack of sense in the way it was all handled.


Anyone care to file a book review?

DosZap's picture

It’s really a form of mass hysteria.


Yeah wait till his Fortune is devalued 70:1, we'll see who is Hysterical.

hambone's picture

Yup - it's been dollars, silver, gold, conch shells, wampum, animals, land...all imperfect attempts to act as a store of wealth.  All have been gamed, just some much more than others.  The dollar is one of the biggest cons of all so now folks look for agreement / consensus for real stores of wealth.  Voila gold, stocks, silver, energy, ags, commodities, farm land, RE, CRE...anything hard or with some inflation adjusted value w/ real world practical utility.  None are prefect, none are really that great but some are far worse than others.

Babushka's picture

I am from the places and times in wild East where no money but some trades which were made in: petrol, tobacco, beens, canned food, vodka ( the entire universe of values and means)...

SilverRhino's picture

>> Gleick: Money itself is an information technology. If you take a dollar bill, it’s just a token, an indicator that I have a claim on some amount of value.

He confuses real money with the derivative of real money (fiat currency).  

If it's not intrinsicly valuable it's not REAL money.   

Translational Lift's picture

I guess people have been hysterical for the last 2500 years......

TruthInSunshine's picture

"Hey Bernank, which lamp post would you like?"

tallen's picture

Looks like an e^x exponential curve hahaha.


QE to the moon!

AldoHux_IV's picture

Politicians will say the fed the is a national treasure and such a trial would be un-patriotic and un-American.  The sheeple will believe them/won't care as Jersey Shore hits 100 episodes and the raping of America will continue unbeknownst to it's slaves.

rosiescenario's picture there are some speculators who take exception to the Mayan calendar?

Zero Debt's picture