But... But... It Was Supposed To Go To Zero

Tyler Durden's picture

What kind of goddamned bubble pops and then goes right back up? Oh wait, did the Central Banks retract the 8-K where they all promised they are done printing for ever and ever (granted, countersigned by Linda Green and Jean Claude Junker, and edited by the WSJ)? That must be it! Oh, and gold at $1,521, back to those lofty, long ago levels from April 27. Cue CNBC on precious metals popping. And yes, that giant sucking sound is the CME preparing silver margin hike 6 through 666.

Of course, there are still those who prefer to use this currency:

(yes, from Banzai)


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Upswaller's picture


wirtschaftswunder's picture

My local roadside watermellon seller converted to "buying silver" 2 weeks ago.

This weekend?...Yep. Watermellons!

palmereldritch's picture

It's when the guy in the truck selling turnips is converted...

Fish Gone Bad's picture

I just picked a mess 'o turnips this afternoon to have with dinner.

Ahmeexnal's picture

Great source of iodine to protect you against the fukushima cloud of death.

tmosley's picture

Presuming he has iodine in his soil.  And that it isn't already radioactive.

DoChenRollingBearing's picture

tmosley, point for you.  Gas went from $4.15 to $4.09 at the Shell station near where I work.

I will re-submit this to you again when I see you around.


Troll Alert!  Do not fcuk around with tmosley!  He has demonstrated intellectual superiority (granted, bearings have no brains) re me in light-hearted pissing contests.

And it looks like he is a chemist.  Aggresive trollers / cyberstalkers best be aware that chemists can create all kinds of nasty substances that can be left on doorknobs, slipped into drinks, etc.

Fight Club OK.  Beware of being evil.  You will lose.

Michael's picture

tmosley works for these people;

I just figured out what CNBC stands for; "Central Neo-Bank Cartel" channel.

The reporters on that channel are Central Neo-Bank Cartel employees.

This revelation makes it a lot easier to see who the reporters on CNBC actually are without the special glasses.

They Live - Obey, Consume, This is your God


Thank me.

Michael's picture

This is exactly what the TV talking heads are saying about our leader Obama concerning the OBL situation;

OBEY: We have faith in our leaders


tmosley's picture

tmosley, the ANARCHO-CAPITALIST, the guy who encourages everyone who will listen to own physical silver and gold, the guy who spends hours per day decrying the filth and corruption at all levels of our society, works for who now?

My job is to make the future better.  About to start animal trials on a cure for prostate cancer (which works even after metastasis).  That is my job.  I have quite a bit of spare time in my job, because the experiments run themselves after they are set up, and I don't even set them up, I just design them.  There are technicians for that work.  

We already made what amounts to a cavity vaccine (here: http://www.selectdefense.com/), and are pursuing numerous other projects for everything from antimicrobial medical devices to antimicrobial coatings for metals to antimicrobial drugs that can work in concert with conventional antibiotics to destroy the bacteria's ability to gain resistance (by targeting our drug to their antibiotic pump--either the pump is going to be there, or it isn't, so either our drug kills it, or the conventional antimicrobial does).

But hey, I guess it is easier to just divvy the world up into two classes--those who agree with you on every single thing, and paid shills.  Especially if you are a crazy person.

What does it all mean's picture

Tmosley, there is no such things as a perma bull market.  Silver will be rangebound for a while... stop telling people to only buy.  

Case in point 38 -> 49 -> 34 is a staggering 26 point move.  at current 37, it is like buying it at 11.  So there... It is about trading, especially in the last 5 weeks, NOT buy and hope!



TheBillMan's picture

Uh, Sir.  Physical NEVER went to $34 an ounce.  The paper market certainly did, but the physical market has been trading at 10% to 20% over "spot" ever since the engineered takedown in the silver market.  Dumbasses only shot themselves in the foot since investors only used the dip in price as a buying opportunity.

Hephasteus's picture

Michael didnt mean to say you. He simply comes in and puts a post up high with his own focused rant. He made a mistake and read the troll name wrong.

Fish Gone Bad's picture

Awhile ago I decided to put edible plants in various plots of open land to see how they did.  If things ever got really scary, then I would know where the mustards, potatoes, beets. and lettuces were planted.  So today was, "Lets see how the turnips-that-I-hated-to-eat-as-a-child" turned out.  They are not as disgusting as I remember, and the greens are edible as well.

buck4free's picture

The Event Horizon is a physics term used to describe the boundary between two realms with discontinuous rules, so you can't look from one realm into another, but you can move from one realm into the other (that is, if you like being sucked into a black hole). In this case, it is the economic rules of monetary metals versus the economic rules of industrial metals, which prevent us from seeing the proper gold/silver ratio, and which explains why the market always seems to be searching for it. I believe that these two sets of rules are being "merged" in silver, but most of us can't see it coming. We live in a world of unstable digital fiat money, with 100's of trillions of unstable "dollar" derivative bombs out there, which are considered "investment vehicles" by very rich entities. Yet, at current silver prices of $12-13 an ounce, the market value of annual global silver production is only about 8 billion dollars. For a precious metal that is also indispensible to society, this kind of pricing is ridiculous. Since silver is literally more important than gold, yet gold retains the sentimental favorite crown, watch for the "optimum gold/silver ratio" to eventually come to its new resting place around 5:1, with the potential for parity.

Slartebartfast's picture

BTFD Baby!  I did.  Yippie Ki Yay Motha-F*c*er!!!!

uhb's picture

nope. the event horizon is a spaceship to hell ;)

tiger7905's picture

At least he could buy some, a friend of mine tried to buy some from his local Canadian bank up here in Toronto (one of the big 5) and was told they couldn't do it.


Hephasteus's picture

"My local roadside watermellon seller converted to "buying silver" 2 weeks ago.

This weekend?...Yep. Watermellons!"

First off you don't go to a local roadside watermellon stand.

Secondly watermellons aren't fucking ripe and don't sell at a local watermellon stand 2 weeks ago.

Thirdly You're the shittiest rhetoritician that ever fucking popped out of a smelly cunt that was concieved right next to a shit ball that attached to your mothers uterus after your dad fucked her in the ass and then blew his mental disorder sperm all in her smelly cunt.

Fourthly You're not a internet personality. You're a goddamn mental disorder. Part of a gang of sick fucking mental disorders too fucking stupid to realize that if you don't stop your goddamn persistant mental disordering you're going to get cunt punted to another goddamn galaxy.

So why don't you walk up to your commanding officer and ask him why the hell you're part of gang that is so fucking wrong that nobodies even going to pretend to give a shit about fixing you.


chumbawamba's picture

Wow.  That is hate.

I am Chumbawamba.

Hephasteus's picture

Yep this guy has to be CIA because he just created the most intense nuclear hatred In me I've ever experienced.

Temporis's picture

You need to STFU Texas Gunslinger.

Where the fuck are my shit talking, poo throwing silver trolls... MATH MAN... WHAT-DOES-IT-ALL-MEAN... DANGERTIME.



Silver to the moon.

Shock and Aweful's picture

Those motherfuckers only show up to talk shit when silver gets its balls busted . . .so you may not hear anything from their cunt-mouths for a while....and that suits me just fine.



narapoiddyslexia's picture

And poof, gunslinger's comment is gone. A permanent "ignore" switch would be better.

Bringin It's picture

I think it should stay there with strike thru's, circled in red so everyone can see the comment being <figuratively> burned at the stake as an expression of sanction by the community.

What does it all mean's picture

1.  I am not a silver bull or bear necessary.  Definitely a bear at 45-49.  and ambivalent here, but definitely a bull < 25.

2.  I find you guys hilarious, a mere $2 pop, and you are declaring victory.  

Once again, ZH and these silver bugs scatter when it is down 4%, but gloat when it is up 2%.  (UPDATE:  it is now down again...)

Good luck to all.

Idiot Savant's picture

Ok, I'll bite. Don't get too far ahead of yourselves fellas. The FED/banks/CME have shown that they have plenty of tricks up their sleeves. If/when silver breaches $50.00, I'll be impressed. Until then, I'll take the counter argument and stay on the sidelines. Everyone here is so utterly convinced that QE3 is imminent, I can't help but be skeptical. While I believe we'll see QE3, 4, and 5, I think there will be some lag time in between, during which metals will be slaughtered.

Aside from miners, I've never heard of anyone getting rich by buying and holding au/ag. There are plenty of people that have lost a lot of money though. I suppose it's my contrary nature, but when everyone is so damned convinced that metals are going to the moon, it makes me nervous. I can't stand the herd mentality, as it usually ends badly.

I have a decent position in gold/silver, but I'm not going to add to it. There are too many wild cards to be presented over the summer. Good luck to everyone that's buying hand over fist though.

HoofHearted's picture

I typically agree with what you're saying, but there aren't too many who are convinced that PMs will go to the moon. You see a fair number of contrarian thinkers around here, but try tuning in over at MarketWatch. Go see what CNBC is saying. You're being a contrarian to the contrarians, which puts you on the side of Jim Cramer and several others. God knows I don't want to be there.

I have a fairly large sized proportion in physical metals, plus some miners to boot. I did sell some silver and gold when silver was at 47-48 per and gold was up in the 1560s or so. I hope that the Bernank lets QE2 end without another trick up his sleeve and we see massive selling of anything of value. If silver goes back to the 25 range, I'm loading up the truck with all the fiat I have and also converting some of the short bets I have over to physical precious metals. I'm hoping we get the month of July (and maybe August) to see the good stuff on sale before the Bernank explodes the hell out of the USD for the last time. We'll see.

tmosley's picture

Well said.  Zerohedge is not the street.  One should learn the difference between the two, it might just save your life (savings) one day.

rocker's picture

Tyler's on a roll today.......Dam, you got to love Zero Hedge for it's value content.  LMAO  Thanks ZH and Staff. 

tmosley's picture

Indeed.  ZH is literally the best.  Anyone who hasn't should consider donating.  Running this place isn't free.

hamurobby's picture

ZH made donating painless with paypal. It takes only a few seconds and it feels so gooooooood.

dussasr's picture

Zerohedge wasn't the street a year ago.  With the large increase in traffic these comment boards, unfortunately, look more like the street every day.

magis00's picture

My informal polling says otherwise -- those who know what QE is, or have heard of zerohedge, are maybe 2-3 in 100 of those I know, and this is largely among semi-affluent 20-30yr olds in graduate school.


If they aren't eyes-open, my guess is "the street" is not represented by ZH.  Just sayin'.

Bringin It's picture

You're being a contrarian to the contrarians

I liked that.

traderjoe's picture

Just to be clear - the 'herd' in precious metals represents .01% of the population. Ask the average Joe/Jane on the street if they have any savings in silver or gold. I hope the price stays down long enough for more people to get aware and accumulate. But the herd is in fiat paper and not precious metals.

Manthong's picture

Gas is going up in fiat price but silver goes up in price faster.

It seems to me that when the price of a tank of gas is equal to an ASE the herd will get in the game.

Stampede might describe their move in.   

rocker's picture

Precisely. They can have my stuff at a triple from here, maybe. I don't need to sell any of it.

   Hell, by then. We may have a new currency.  

DosZap's picture

A tank of gas is EQUAL or more than an ASE..........

What do you drive?

Rocket-Man's picture

"But the herd is in fiat paper and not precious metals."


+$39/oz now to get out of the herd

Moe Howard's picture

I have had three contacts at work about PMs.

1. I purchased 90% silver a guy inherited from his dead father.

2. A woman at work need my help about selling gold. I lent her my scale, and gave her a couple of web links to a calculator for PMs and Midwest Refineries, after explaining I have never sold gold.

3. Totally unrelated, another guy [manager in another area] I barely know contacted me, a mutual friend said I might know something about selling gold. I did the same as 2 above but no scale.

Nobody, and I mean nobody, has ever asked me how to purchase silver or gold. Does that sum up the general population? I think so. If they save at all, it is a 401k or IRA. I think after 2007-08, they don't save at all.

Ahmeexnal's picture

No, Spain did not get rich by raping and plundering it's new world colonies of au/ag.

Neither did Belgium from it's colonies in Africa. Neither did XXXX from it's colonies in YYYY.

Yep, they actually lost money like you brilliantly conclude.


/sark ozy


Idiot Savant's picture

Sorry, I thought I was very clear when I used the word "buy". Yes, plenty of people/countries have gotten rich by stealing, raping, pillaging, and digging.

Again, I haven't heard of anyone getting rich by buying and holding. Buying and holding is just a hedge against inflation. However, current buyers seem to think they're going to get rich.

buck4free's picture

It's all relative isn't it? 'Rich'?

Ask someone thats lived through a hyperinflation what 'rich' is...

Its preserving any connection to 'real' wealth, while everything deriviative gets obliterated.

e_goldstein's picture

A good rule to remember. Wealth is tangible, riches are paper.

nope-1004's picture

Maybe google Eric Sprott or James Dines.  Just a suggestion.

Also, many buyers are watching the Comex publish false inventory numbers, post fake audit reports, and throw unbacked paper into a market where physical is being gobbled up by 20% of the global population.  A default is a certainty.... just don't know when.

The current buyers are the future, and the future is China, purely based on population momentum.  I don't know if I'll get rich from PM's, but I do know that I'd rather be running with the Chinese herd than the fat, lazy, American Idol crowd.

By the time you realize who got rich and who didn't, it's too late.  By then, your fiat is useless.