Gold Goes Vertical As Goldman Reiterrates Harsh QE Expectations

Tyler Durden's picture

(could not find any more gratuitous usage of the world "gold" in the title)

Well, we sure hope you, ahem, bought the dip. A $17 vertical move in minutes is an appetizer of what will happen when Bernanke says the wrong word at J-Hole (and he most likely will).

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Internet Tough Guy's picture

He's getting his shine box. Nobody can put a shine on a pair of shoes like robo. Mirror like.

Au Member's picture

Blythe Masters just rang, wanted to know why no one was shit scared of her team anymore.

Hephasteus's picture

real variable x

People finally learned calculus. It was the unreal variables that kept them in the dark so long.

Miss Expectations's picture

Perhaps he's looking for a photograph of wildebeests running know a wildebeest ass shot.

Yardfarmer's picture

ha ha. the geek has his head back deep in the sand

Yardfarmer's picture

ha ha. the geek has his head back deep in the sand

Cognitive Dissonance's picture

It seems the barbarous relic isn't quite as barbarous as some of the world's fiat currencies appear to be at this moment.


ArrestBobRubin's picture

The only barbarous relics around here are:

The Fed

Fiat Money

Keynesian economics

Zero Debt's picture

+3. Contenders:





Kaiser Sousa's picture

'you cant eat gold though"....

but it sure buys a lot of food.....

Cognitive Dissonance's picture


You asked yesterday for some proof to back up my contention that the markets are manipulated via national security directives. I posted a reply. Did you see this?

This was implemented way back in May of 2006, way before the markets showed any real stress. Why? And do you think they ever stopped cooking the books national security style? The first rule of lying is to lie some more to maintain the first/second/tenth/hundredth lie.

knukles's picture

Anybody see what's going on here?  Plain as poop on the sidewalk.
Goldilocks loves mayhem, volatility and distress.  Tis' where money is made.

Imagine a set up like this fictional paradigm.

For some reason (for the sake of this exposition, it matter not why, when or motives, it just is what it is) several large bullion dealers carry humgoloid short positions in gold and silver and 'round abouts option expirations generally associated with the COMEX contracts beat the prices down.  And of late, they've seemed to find comfort at some sub $1200 price.

Even further it is rumored that they may be doing this on behalf of some serious money institution which shall remain nameless. (Can you count the number of beans in the jar, or identify the 3 letters of the acronym of the interested party?)

Now, let's further suppose that the short positions undertaken to suppress the price of the items in question might be getting kinda in the so called "hurt locker", cobblers turning blue, a short squeeze developing if somebody else, like some sociopathic entity really wanted to screw the pooch and set up a bundle of longs and calls against the opposition.

And then make big noises to cause the market to rally, squeezing the very puss out of the odd lot pimples operating on behalf of the nameless sponsoring entity.  Who, BTW will likely not answer any telephone calls, silence meeting the pleas for help emitting from the squeezed.

And there endeth Father Knukles Epiphany of the 'Morn.
Those being screwed might well remember that famous passage from Lord Lloyd's 23rd Psalm..

He holdeth my head beneath deep waters,
He stealeth my soul....


taraxias's picture

Holding hands with Johnny Bravo and weeping.

akak's picture

Speak for yourself! 

If we never see that dishonest, disingenuous, malicious, malevolent, attention-seeking whore and narcissist again here on ZH, we would all be far better off, and able to engage in some REAL discussion and honest argument without so many threads (and EVERY thread touching on gold, curiously) being sidetracked and polluted with his outrageously nonsensical and distracting bullshit.  He is the very definition of an online troll, endlessly repeating the same tired and simplistic disinformation and lies while forever refusing to acknowledge or respond to the challenges of numerous other posters, and only intrudes here to disrupt and sully the conversation.  If this forum had ANY moderation, he would rightfully have been banned many months ago.

RockyRacoon's picture

The zit-faced little teenager never crossed my mind until you guys brought him up.

How memorable he is -- make that was.

Jim B's picture

Ben is a loser, QE V9.9999 will be bad for savers and the economy as a whole.  Short term pain avoidance for long term destruction.

hugolp's picture

Short term pain avoidance for long term destruction.

Thats what a central bank is all about.

firstdivision's picture

I see the Feds have made 1052 the line in the sand today. 

unwashedmass's picture

options expiry in gold -- max pain, max happiness JPM -- 1200.08

silver 17.32

don't put anything past these guys in such staggeringly corrupt markets. flames are pouring out the windows at the Comex. they are now THREE months in arrears on gold deliveries.

if you'd like to write to bart chilton at the CTFC and compliment them on their incredible work and intelligence....and ask how much they expect to make this year....its

hack3434's picture

They will not and cannot do anything. Expect the worst out of people and you will not be disappointed. 

Treeplanter's picture

Hush, peasant.  Don't encourage them.  I want to cash out some miners at a nice price to bet on the TBT.  You maka me nervous.l

cossack55's picture

Bart and da Boyz have been hangin wid da SEC boyz and can more easily be reached at

Voodoo-economist's picture

whats the reasoning behind the exact figures if i may ask?

Mitchman's picture

Tyler, to use your nomenclature, is it fair to call Bernanke's specch the A-hole at J-Hole?

theoakman's picture

Meanwhile, deflationists are bragging about the 2% return they will earn over the next year on their treasury bonds.

VK's picture

The huge appreciation in capital is where the games at! From 4pc to 1pc, you get a HUGE return. In a pure deflation, you can't be long anything. We'll get there, a point where the 10 year is yielding 10pc or more in a highly deflationary environment as cash becomes scarce and real interest rates are 20pc or more on cash. But in the mean time, the bond market bubble will ride a huge wave to an ultimate top! Capital appreciation bitchez!

augmister's picture

+1  Point up!  In DEFLATION, everything but cash will get sucked down into the black hole....

Quintus's picture

Deflation will make it impossible for loans to be repaid.  Therefore the Banking system will fold.  

Deflation will reduce the Treasury's tax income dramatically, and reduce the amount of money available for them to borrow.  Therefore Government will print money to make up the shortfall.

I do not see how either of these inevitable outcomes make holding 'Cash' i.e. Debt created by the latter entity and leveraged up then distributed by the former, a good thing to hold.

MachoMan's picture

Simple, timing.  You can agree on the conclusion without agreeing on what to do in the meantime...

Quintus's picture

Yeah.  Timing the implosion of Lehmans worked out really well for lots of people, and that was before officially sanctioned lying, obfuscation and 'Mark to Fantasy' FASB rules were introduced to ensure that nobody really knows what's going on in the Financials.

When your bank with your 'Cash' in it goes under, are you sure you'll have gotten your money out just ahead of time?  When the Treasury bubble bursts as the wave of new issuance smacks headfirst into the wall of diminished investor capital (inevitable in deflation) are you sure you'll have sold your bonds just before the rest of the world decides to?  Even if you have, what will you do with your FRNs?  Buy Gold?  Too late, it won't be available.

I think I'll just jump straight to the endpoint and let those trying to sneak in one last trade before the curtain comes down take their chances.

MachoMan's picture

First of all, timing the implosion of real estate/the general economy did work out incredibly well for some...  it's called conviction...  sometimes it's wrong...  sometimes it pays off...  but conviction none the less.  Sometimes trades are lottery tickets that require little conviction...

Second, we can even agree that everything can change on a dime, and still have different opinions as to timing...  some of us think that we will languish through the pain of deleveraging (deflation) for quite some time...  as austerity is attempted.  And that a flight to quality is necessary to continue rolling over debt (range bound and can't print without spooking the herd).

Third, you don't have to put all your eggs in the same basket...  there are many assets that act as viable investments during both deflationary and inflationary periods...  I'll leave you to figure those out (but the price on the more obvious ones has been increasing; hint: not bonds).  Generally, an incredible amount of risk can be removed from the table by acting without leverage...  maybe you don't hit a home run or win the race, but you got something left after the fire.

LePetomane's picture

I wouldn't touch treasuries with your dick and someone else pushing. Well, maybe with a bullet strategy.


Deflation will be a shortlived phenomenom b/c it scares the crap out Government policymakers who,  in spite of their cruel dependency on lofty real estate valuations in order to balance their books, fancy themselves a cut above market forces.

MachoMan's picture

When posed with the choice of deflation or hyperinflation (where we are now), you still think deflation is a short lived phenomenon?  Is a 2+ year phenomenon short lived?  What kind of timetable are you looking for?

You want to know the real bogeyman, the one that really scares the crap out of government policymakers?


TomB's picture

Time to search that DOW 10,000 hat again.

silvertrain's picture

Silver isnt standing around either..

Grifter's picture

Was stuck in a meeting from 8-10 EST, came back to my desk & saw silver discovered a hidden stash of viagra, angry I didn't pull the trigger on my APMEX order at 8am like I should have when I first got into work.  Eff.

DosZap's picture

You and me (kickin my arse).

tmosley's picture

I felt the same way.  I was holding to pull the trigger on Thursday.  Maybe I'll be be right.  If not, then gold and silver will be back at the forefront in a big way over the next few months as manipulation continues to break down. 

doggings's picture

and Dow @ 9993 lol.

Henry Chinaski's picture

Somebody (something?) is selling equities and buying GLD & SLV. 

Gold or GLD, chicken or egg?