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So Much For Reduced Volatility - Commodity Complex Slides Again

Tyler Durden's picture


And following the overnight set of news which confirms our January assumption that the keyword of 2011 will be "stagflation" the entire commodity complex once again slides. It is unclear if the move is predicated more by fears of inflation or of economic contraction. After hitting almost $40 overnight, Silver has once again taken the daily tumble back to the sub $37 level. The catalyst today is crude, following the DOE announcement that crude inventories surged to 3,871K barrels on expectations of 1,500K, and Cushing inventory hitting 1,124K compared to 102K previously. WTI slides to sub $101, even with the latest series of margin hikes which purportedly is supposed to mitigate volatility. So much for that.


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Wed, 05/11/2011 - 10:44 | 1262957 Zing
Zing's picture

This is what you want backing the currency Tyler (gold)?

Wed, 05/11/2011 - 10:50 | 1262976 tmosley
tmosley's picture

You prefer nothing?

You're like Wile E. Coyote, out over the cliff, making fun of the people who have built their homes on solid ground.  Living in the open air is fine, until the second you look down.  Then you're fucked.

Wed, 05/11/2011 - 10:51 | 1262988 Zing
Zing's picture

I prefer sovereign money with safeguards inplace, including limits on leverage. That is all that is needed.

Wed, 05/11/2011 - 10:51 | 1263004 tmosley
tmosley's picture

Yes, put your trust in the regulators.  The "right" regulation will fix everything.

~Go back to sleep, little sheep~

Wed, 05/11/2011 - 10:59 | 1263088 Don Quixotic
Don Quixotic's picture


Words on a paper [the law of man] are small consolation compared to a physical safeguard [the law of nature].

Wed, 05/11/2011 - 11:08 | 1263137 LowProfile
LowProfile's picture

Gold simply needs to trade freely, unencumbered by paper games.

Freegold is coming...  The world demands it!

Wed, 05/11/2011 - 11:22 | 1263207 What does it al...
What does it all mean's picture

tmosley, stop the disinformation.  You and ZH itself are not being fair, and leading idiots to slaughter house.  38-> 49 -> 34...  it is killing most "investors"

Traders like JPM/GS/Glencore/SAC are making hey on your expenses.  No, it is no going to zero, but it aint going to 100 either.

Good luck to all!

Wed, 05/11/2011 - 11:31 | 1263262 tmosley
tmosley's picture

Uhhh, try 8->10->15->10->22->19->34->28->38->49->34

You don't know what you are talking about.

A year ago, how many people thought we would knock on the door of $50 silver?  I don't think you can deny that $100 is a possibility, ESPECIALLY without giving a time frame.

Wed, 05/11/2011 - 11:48 | 1263273 What does it al...
What does it all mean's picture

It was a staggering 26 points swing in 5 weeks.  At 36 right now, it can constitute a $10 basis.  Your timeframe is over 5+ years.  In 5+ years, it can go to 15 or 65, BUT NOT 100!  You don't know what you are talking about.

Come on, they will just hike it 6 more times....  

Stop lying to yourself.

The price path speaks for itself.  It is a TRADING instrument, not a investing instrument.  And for those of you thinking that it will go to $100, or $1000.  Then stop looking at the tape, because that is the only way it will materialize for you.  All points to the conclusion that Tmosley is doing a pump and dump or maybe even being paid by Glencore or one of those physical commodity sellers.

The last time that I checked, JPM Chase ATMs still dispense these fiat money, just fine....

Wed, 05/11/2011 - 11:56 | 1263372 tmosley
tmosley's picture

Uhhh, you and I seem to be talking about different things.  I only encourage people to invest in PHYSICAL silver.  We don't give a shit about the spot price, because our premium on physical has EXPLODED.

Also, you don't get to tell me what my time frame is.  And that progression I wrote--it's 2.5 years, not 5.

You don't understand the dynamics of this market if you think there can't be a sudden run-up in price.  Hell, you are ignoring the fact that it ALREADY DID THAT ONCE.  Not a single one of the fundamentals have changed.  No reason to think it won't run up again, and stronger, especially as the COMEX creaks and groans under the enormous weight of it's open interest, even as it's foundations of registered metal are removed at a record pace.

And yes, I have been collecting a paycheck from some company I have never heard of for 2 and a half years to "pump" something that has been incredibly profitable for every person who bought, with not 1 out of 500 who invested on my word being down a penny, but indeed being up by hundreds of percent.

Your agenda is showing.

Wed, 05/11/2011 - 12:05 | 1263422 Reptil
Reptil's picture

There's two types of buyers here. The traders, looking for volume (up or down), and the bugs, buying physical, for long term investments. Just like the MO of those two is different, so will the price of a leveraged SLV diverge from physical metal.

At some point, like always happened, the elastic band that is the dollar will break. Instead of saying silver cannot go to a 100, ask yourself how low in buying power US dollars can go....

Discussing this issue, as I've done all last week, is tiresome, since western traders can't imagine the end of the market conditions that have been in place the last 40-50 years. Yet, everything changes, all the time. TD or Tmosley don't have an agenda other than any of us (gain more of x). They just take the possibillity into account that it'll all turn into confetti... And so are a few others.. Me included.


Wed, 05/11/2011 - 12:12 | 1263451 Sophist Economicus
Sophist Economicus's picture

Your timeframe is over 5+ years.  In 5+ years, it can go to 15 or 65, BUT NOT 100!  You don't know what you are talking about.

Really?   So your crystal ball is better than everyone elses?   Maybe you want to enact regulations or legislation to protect ZH readers from themselves - or the 'poor sheep being led to slaughter'?

You have a right to your own opinions, but your vision of the future is no better than anyone else here -- including a blind pig's.  


Sorry - you fail


Wed, 05/11/2011 - 13:37 | 1263981 What does it al...
What does it all mean's picture

My crystal for the last 5 weeks is clearly better than yours.

Wed, 05/11/2011 - 13:55 | 1264035 LawsofPhysics
LawsofPhysics's picture

That is all fine and good if your lifespan is five weeks.  Mine is not.

Wed, 05/11/2011 - 13:58 | 1264054 What does it al...
What does it all mean's picture

I hope my lifespan is longer than that as well.  But who is to say that your crystal ball for the next 5 years is better than mine?  At least mine was right for the last 5 weeks.  That's it.  No more, no less.

Wed, 05/11/2011 - 14:21 | 1264184 tmosley
tmosley's picture

I would look at the ones who were right the last five years.  And the five years before that.

Hmmm, I wonder, what group of people have been firmly correct over the last ten years?

Wed, 05/11/2011 - 16:10 | 1264752 Banjo
Banjo's picture

What does it al: Go back 40 years buy gold or silver. See what it's worth today run the numbers.

If you went out and piled into Silver with your life fortune after a run up of over 160% poor you, probably deserver to be cautioned, NOTHING GOES UP IN A STRAIGHT LINE and corrections are healthy for a bull market. I was concerned that we would see a blow off too early in silver. This pullback is actually good to establish a new base to build and launch on.

My prediciton is ending of QE2 with massive and i mean MASSIVE pullbacks in dollar values of stocks, commodities flight to bonds. Leading to two outocmes

  • Govt esentially keeps economy depressed
  • Govt prints like crazy and inflates.

Good investing to you sir.

Wed, 05/11/2011 - 13:15 | 1263890 JW n FL
JW n FL's picture

Synthetic Tops in Commodities Provided by the CFTC to the detriment of Americans and Betterment of “People’s Republic of China”!


Every time the CFTC releases its Margin Hike Press Release after hours here in the United States.. China gets to front run the Fucking Dip!


It is not bad enough that the idiots who back test blindly will cause artificial drag on the market with the Synthetic Peaks that have been provided to them, the algo’s can NOT even grasp the concept and for the most part the people who are programming are going to favor the numerically correct solution based on the larger law of averages..


But an American Commission, that is supposed to protect Americans.. is empowering China to once again have the upper hand?


What the FUCK?


Our Government has given China enough freebies for the week! And last week and pretty much going forward for-fucking-ever!


I hate stupid people! I hate the stupid Government that allows 50,000 jobs to go to China a MONTH! Now China gets to front run the downward pressure in Metals which benefits CHINA! Which is a foreign Power! More than the Americans it is supposed to help in the long run!!




Senate Republicans blocked a Democratic Bill to End tax Breaks for Moving U.S. Jobs Offshore! 50,000 Manufacturing Jobs a Month since 2001 have LEFT! The United States for China!


How much more are we going to have to give China? When is enough stupidity enough? This Country is FUCKED! And no one gives a shit! Everyone wants to pray for the rapture or live the lie of the Treasury! And where in the FUCK are the people charged with securing the national Security of the Country? Those mother fuckers are the First ones that should be hung for treason.. going back 30 – 40 years!

Wed, 05/11/2011 - 20:53 | 1266046 StychoKiller
StychoKiller's picture

"'Tis death to counterfeit", is NOT just a man-made law, but a natural one -- sooner or later, Mother Nature is gonna demand REAL payments on mankind's easy money users -- NO fiat will be accepted!

Wed, 05/11/2011 - 11:15 | 1263179 Slim
Slim's picture

You know, while I agree with everything you've said here (and I do acknowledge other alternatives) - I really question why you need to take shots and make condescending remarks toward someone that holds a different point of view.  Personally, the last thing I want is to surround myself with a bunch of confirmation bias info and yes-men all day long, simply no value in ego stroking.  It is valuable to constantly challenge your own opinions and continue to update yourself on the arguments of others holding a different or even directly opposing view.  One of the things that has kept me safe in this world is thinking for myself and not ever completely trusting anyone or anything, and that includes my own point of view (likely the single most important risk management foundation you can have). 

My 2 cents anyway, it's not meant to make less of you or your argument but meant to encourage you to see the value in keeping an open mind and not ever fully settling on a single view point.  Take it for what you will.

Wed, 05/11/2011 - 11:19 | 1263220 What does it al...
What does it all mean's picture

I agree with you 100%.  ZH itself and people like Tmosley simply have a hidden agenda.  The price path speaks for itself!


Wed, 05/11/2011 - 11:36 | 1263294 Imminent Crucible
Imminent Crucible's picture

Tmosley has a hidden agenda? What about you--you're a totally disinterested casual observer? TM is pretty in-your-face with his hidden agenda.

Here's something you might have missed: The PMs have been in a huge decade-long bull market. Buying silver at $4.25, as I did, is "investing". Buying it in paper like SLV, at $48 after a 9 mo. run from $18, is not investing. It's momo speculation.

Here's something else you missed: When five margin hikes hit silver and forced out the leveraged longs, where did it go? It hit the 35-36 level and bounced.$SILVER

So we know that the paper momentum crowd didn't pile in until after silver had roughly doubled from 18 to 35 or so. So the question you have to ask yourself is, what took silver from $9 in October 08 to well past $30, where the paper fools rushed in?

When you figure out the answer to that question, you'll stop braying about the silver bubble.

Wed, 05/11/2011 - 11:44 | 1263330 What does it al...
What does it all mean's picture

Yes, I have no silver position and not planning to do anything in it.  

I do think people like you need to realize that a 300% return is the same as buying S&P back in March 2009.  No big deal.  The correction will hurt you more, and if Silver goes back to $5, maybe I will think about buying it.  Everybody has an agenda.  But I truly don't own/short silver right now. (or the past 3 weeks.)

I do see that ZH always gloat when silver is up, and crying foul when they hike the margins.  Clearly biased.  So be careful people.  Something is fishy here.  Not exactly a biasefree news source when it comes to the PMs.

Wed, 05/11/2011 - 12:00 | 1263394 fuu
fuu's picture

"I do see that ZH always gloat when silver is up, and crying foul when they hike the margins.  Clearly biased. "


Oh that is just precious right there.

Wed, 05/11/2011 - 12:18 | 1263481 Reptil
Reptil's picture

Of course they have their preferences. Who doesn't? I'll tell you... robots with remote control don't. (I.o.w. most of the human population in the "free" west)

The "paper game" cannot be won, since the game is rigged. This can be proven with facts (in case you're not really reading ZH). I presume, and read a valid desire for a free and unmanipulated market in the articles presented here. PMs as they're tangible objects, are impervious to the "paper game", but the derivatives of iSilver are not. If you or anyone doesn't understand this concept, I'd suggest you read up on what currency actually is, and what any currency must be to become valid. It's a means of valuing your wealth for one. The dollar certainly doesn't anymore (despite Nixon's assurances). Because that's what we have to go on... Nixon's assurances.

Draw your own conclusions...

Wed, 05/11/2011 - 12:58 | 1263770 NidStyles
NidStyles's picture

You crying about Bias, while advocating your lack of it. Then you say everyone has it.


Tacit support is still support, no matter the methology behind it.

Wed, 05/11/2011 - 13:20 | 1263914 Reptil
Reptil's picture

huh?? your post doesn't make sense.

I'm not crying about anything. Posting one's opinion on the internet I hardly call "support".

What do you think? That we're that stupid, to just believe anything at face value?


Wed, 05/11/2011 - 12:14 | 1263470 tmosley
tmosley's picture

I do think people like you need to realize that a 300% return is the same as buying S&P back in March 2009.  No big deal.

lolwat?  The absolute low was 735.  It's not even up 100% from that VERY SPECIFIC time frame.

Also, I think it's HILARIOUS that a shit-eating troll like yourself is trying to call people who deal in REAL numbers "biased".  "Herp a derp, if it goes back to $5 I'll buy."  What kind of stupid shit is that?  Your profile says you have been here for more than a year, but you can't see the dollar debasement?  THAT is some obvious assed bias right there.

You've tried every possible combination of troll characteristics, from fake bull to bear, to "disinterested" "observer".  All have failed.  Maybe it's time to give up? 

Wed, 05/11/2011 - 12:18 | 1263483 writingsonthewall
writingsonthewall's picture

You're missing the point - who's buying silver for a return?

Only speculators who got burned in the margin hike - the rest of us are heavy in physical and it's got nothing to do with profit.

I intend to sell my silver for my brand new 'amerixo dollars' or 'uni-currency' or whatever else the shit they bring out to 'fix the fiat' this time.

I certainly won't be exchanging it back for dollars, pounds, yen or anything else for that matter.


Take a clue from the news - "record low interest rates for a record length of time" - do you not understand the magnitude?

Maybe you think this happens every recession - maybe you're only 14 and don't remember previous recessions - maybe history isn't your strong point.

Paper currency only has value while people have faith in it - the same would happen to tomatoes if you discovered I had a 'magic tomato tree' which could produce billions of tomato's in a day like Ben's printer does for dollars.

I mean who would exchange anything of any rarity for tomatoes then?

Wed, 05/11/2011 - 14:07 | 1264114 LawsofPhysics
LawsofPhysics's picture

Exactly.  The silver and gold I have is a long term hedge against uncertainty.  I think most of us will participate in a system so long as we have faith that we are not simply being set up.  The world is waking up to the fact that the financial sector is a cancer that the broader sectors of the economy (that actually create things of real value) can no longer support.  People with half a brain know the value of their labor and they realize that their buying power and compensation is being stolen by paper-pushing criminals.  Fraud is the status quo and more and more people see that.  Thanks to greed, paper has become so far removed from reality there is no turning back.  Black market volumes growing by leaps and bounds as people say "fuck it".  How many people on food stamps now?  Already in many American neighborhoods people are bartering with one another trading goods and services that they see as valuable.  The financial fucknuts have forgotten that there is a real cost for creating capital (in whatever form it may be) and their failure to fess up and police themselves will take the world back to the stone age.

Wed, 05/11/2011 - 14:22 | 1264191 Toxicosis
Toxicosis's picture

Then fuck off and don't come here.  If you don't like what you see or here, why bother commenting.  You're not being forced to do jack shit.  If you love the U.S. dollar, than so be it.  If we shit on your parade, take your bat and ball and go hit in another park.  All in all fuck off!!

Wed, 05/11/2011 - 12:08 | 1263434 tahoebumsmith
tahoebumsmith's picture

Folks, relax in your seats while the next set on the puppet show is staged. What you see here is the kick off of President Obama's 2012 campaign. He fought and beat the evil Bin Laden and now he will defeat the evil speculators like he vowed a few weeks back in his speech with Eric Holder. Soon by the 4th of July, the American Lemmings will be waving Obama flags at every parade across America, meanwhile the country will continue its decent into the abyss. Just look at the approval ratings blasted all over the msm today...Obama's rating jumped to 60%!!! La De Fricken DA.. As the destruction of American continues, the sheep are baaaaing louder then they have in a while and bending over to take some more.

Wed, 05/11/2011 - 11:35 | 1263291 tmosley
tmosley's picture

I don't do what you claim.  If you actually read the comments I was replying too, and learned the history of those posters who made those posts, you too would see that they are not only highly biased, but that they are a bunch of liars.

I don't mind contrary opinions.  There are plenty of bears here that get on well with everyone else.  It's just that there have been an influx of trolls recently.  A troll is a person who does not accept logic or facts unless they support their case, and who goes further and literally lies, or presents half truths to support their "case".  I fight these people by pointing out their lies, and making it generally unpleasant for them so they will leave.  I have a long history of doing this.  It might surprise a lot of people, but I DO have an open mind on silver--I just haven't seen an argument that actually holds up to scrutiny.  Those who really want to be silver bears despite all logic and reasoning against it respond to my scrutiny with nastiness.  Sure, I might have started it by calling them morons, but who cares?  This is Fight Club.  If you can't take a few barbs, then you don't need to be making comments.  That doesn't mean you shouldn't respond to them.

Wed, 05/11/2011 - 12:30 | 1263588 Slim
Slim's picture

Got it.  I don't have a frame of reference on post history for many accounts so if the comment is more an ongoing personal argument that's something different.  As I've followed this site over a few years I've just seen it become more and more centered on one particular viewpoint and a lot of posters seem totally locked into it and attack anyone who doesn't see the world exactly how they do (they value protecting "turf" more than open exchange of ideas).  At the end of the day whether one is locked into normalcy bias or TEOTWAWKI bias, they are doing themselves and society a disservice in being locked and no longer thinking critically.  Personal viewpoint is that if everyone did their best to gather info, think independently, and was willing to listen openly to the views of others, the world would be infinitely better off and we'd have avoided much of the idiocy we are currently dealing with.

Wed, 05/11/2011 - 12:55 | 1263641 Math Man
Math Man's picture

A troll is a person who does not accept logic or facts unless they support their case, and who goes further and literally lies, or presents half truths to support their "case".


This makes tmosely a master troll.

Wed, 05/11/2011 - 13:00 | 1263783 Zing
Zing's picture


Wed, 05/11/2011 - 13:00 | 1263785 NidStyles
NidStyles's picture

Does that make you the Supreme Overlord Troll?

Wed, 05/11/2011 - 13:13 | 1263872 tmosley
tmosley's picture

See?  A nice big lie from our little neighborhood troll to illustrate my point.  Thank you, Meth Man.

Wed, 05/11/2011 - 13:33 | 1263960 Math Man
Math Man's picture

Enjoy your silver when it trades right back to your cost basis below $20.

The short covering rally that ended last night has set us up to go much lower.  Now that the shorts have covered, we are basically out of buyers, and anyone who bought the dip is screwed.  It happens with every bubble.  Peak, drop, quick rally, massive drop.

Just pull up an old NASDAQ chart.  The similarities are frightening (for longs).

I also recommend you read this:

You've been buying the wrong metal Tmo...


Wed, 05/11/2011 - 14:24 | 1264203 tmosley
tmosley's picture

Hurp a derp.

The premiums (and your choice of lies) tell the tale more clearly than I ever could.

Enjoy watching your agenda fall to pieces.

Wed, 05/11/2011 - 14:49 | 1264326 Toxicosis
Toxicosis's picture

So meth-user is FOFOA the droid your looking for.  Both silver and gold are considered monies.  Both are tradeable, barterable, and fungible.  You're obviously interested only in paper and stocks.  Most of us here are interested in holding PHYSICAL hard money for protection against future loss of fiat purchasing power.  Which by the way has been accelerating since the fed took over almost 100 years ago.  Those are the facts, not wishful thinking or paper fiction.  Good luck with trading paper, you're gonna need it.

Wed, 05/11/2011 - 12:05 | 1263432 writingsonthewall
writingsonthewall's picture

Oh listen to the contradictory tmosley.

You don't want regulation....except when it protects you from making a loss....or when it breaks up giant banks created through the process of capital accumulation...or when it stops profiteering......or when it prevents the cornering of the wheat / rice / bean market....or when it stops your pension being raided.....or when it ensures that there will be water in the tap when you turn it on.

Regulation is an inevitability in free market capitalism

Regulation distorts the market and opens it to rigging

Regulation puts the regulators in control of your lives

Free market capitalism will always lead to Government control - you're just a hypocrite when you call for the end of regulation - or simply a fool who hasn't thought the consequences through properly.


Nobody likes market interference and regulation - but without it you wouldn't know if your local shop would have any food on any particular day - and I don't see how society could function under such circumstances.


You have not considered the alternative to regulation properly - you dream of a fantastic world where companies fall and are replaced by mre efficient ones and the consumer isn't battered by constant re-invention and that this isn't exploited by business owners who work out that 'here today gone tomorrow' is a great way of 'making profit' don't like to pay taxes - but you're happy to be protected by the numerous laws which are designed to protect you from unscrupulous businesses - which require a vast system to produce them (the executive , the senate and congress)

You don't like to pay pensions to the public sector - but you're happy to allow the police to protect your 'property' and happy for the fire service to put the fire out on your roof - you just want them to work for nothing - right?


Typical libertarian - living in bubbles.

Wed, 05/11/2011 - 12:23 | 1263512 tmosley
tmosley's picture

What regulation am I asking for, exactly?  I am asking for the EXCHANGE, a PRIVATE ENTITY to make rules in a manner that makes sense for them, rather than using the rules to favor one party on the exchange at the expense of another.  Where do you get this nutzo idea that in a libertarian society, consumers suddenly have no right to complain?

You go on and on about crap that doesn't even make any sense.

And for your "here today gone tomorrow" bit--there is a reason businesses say "since XXXX year".  Businesses that have been around for a long time aren't going to just up and close shop to run a one time scam.

Might I suggest you refrain from cleaning your car, or your home, or anything else, as that process would only cause them to get dirty?

Also, stop telling me what I do and don't like.  You don't even have a command of basic premises, and use tortuous logic to arrive at predestined conclusions.

All that crap about how I am so misguided and evil, yet you are doing the exact same thing that I am, and hold the exact same opinions about most things.  You just refuse to call a spade a spade, preferring to call it a heart, and confuse yourself in a truly epic manner.

Wed, 05/11/2011 - 11:13 | 1263166 morph
morph's picture

So you'd rather have a currency backed by lexmark printers?

Wed, 05/11/2011 - 11:33 | 1263287 Ballz
Ballz's picture

Load up Fort Knox with white iPhones...

Wed, 05/11/2011 - 11:13 | 1263167 Sophist Economicus
Sophist Economicus's picture

How about sovereign currency with a float to gold and other commodities if desired.   Basically the system we have now without the 100 to 1 or more paper leverge setting the 'artifical' price of gold.


Screw government safeguards (oxymoronic wouldn't you say?).   If i want to get rid of your currency, you 'pay' me in hard assets -- gold, bushels of wheat, that you need to convert your soveriegn currency in the marketplace for those 'hard asets'.   The markeplace will determined how valuable your currency is to them


Wed, 05/11/2011 - 14:34 | 1264264 Fiat2Zero
Fiat2Zero's picture

Dude you're a fucking idiot.  Do a little research on the history of paper money.  It always goes to zero, despite whatever "safeguards are in place."  The usual safeguard is to back the currency with gold.  Eventually, the safeguards are watered down (e.g. fractional reserve) in order to finance whatever current debacle the Government is involved with, usually a war.  When all safeguards are removed, and the printing presses are going non-stop, the collapse occurs.  It usually takes awhile for the corpse to realize it's dead and fall over, but fall over it does.

Here's a rag for your bloody nose you fucking tool.  Clean up and go home.

Wed, 05/11/2011 - 13:17 | 1263883 JW n FL
JW n FL's picture

Synthetic Tops in Commodities Provided by the CFTC to the detriment of Americans and Betterment of “People’s Republic of China”!


Every time the CFTC releases its Margin Hike Press Release after hours here in the United States.. China gets to front run the Fucking Dip!


It is not bad enough that the idiots who back test blindly will cause artificial drag on the market with the Synthetic Peaks that have been provided to them, the algo’s can NOT even grasp the concept and for the most part the people who are programming are going to favor the numerically correct solution based on the larger law of averages..


But an American Commission, that is supposed to protect Americans.. is empowering China to once again have the upper hand?


What the FUCK?


Our Government has given China enough freebies for the week! And last week and pretty much going forward for-fucking-ever!


I hate stupid people! I hate the stupid Government that allows 50,000 jobs to go to China a MONTH! Now China gets to front run the downward pressure in Metals which benefits CHINA! Which is a foreign Power! More than the Americans it is supposed to help in the long run!!




Senate Republicans blocked a Democratic Bill to End tax Breaks for Moving U.S. Jobs Offshore! 50,000 Manufacturing Jobs a Month since 2001 have LEFT! The United States for China!


How much more are we going to have to give China? When is enough stupidity enough? This Country is FUCKED! And no one gives a shit! Everyone wants to pray for the rapture or live the lie of the Treasury! And where in the FUCK are the people charged with securing the national Security of the Country? Those mother fuckers are the First ones that should be hung for treason.. going back 30 – 40 years!

Wed, 05/11/2011 - 10:49 | 1262996 Tortfeasor
Tortfeasor's picture

You could throw out the chart if we had a real backing.  

Wed, 05/11/2011 - 11:01 | 1263104 TruthInSunshine
TruthInSunshine's picture

The fact that crude oil supplies are threatening to flood inland areas of the U.S. (and other developed nations) is highly bullish and shows that the U.S. consumer is highly resilient to high prices, and that the economic fundamentals are quite strong, indeed!




Wed, 05/11/2011 - 10:50 | 1263000 Cognitive Dissonance
Cognitive Dissonance's picture

You know, I think you're right. This is so much better.

Wed, 05/11/2011 - 12:41 | 1263678 Tramp Stamper
Tramp Stamper's picture

Who would wipe their ass with cardboard????????

Wed, 05/11/2011 - 12:51 | 1263724 augie
augie's picture

we all will be soon enough.

Wed, 05/11/2011 - 12:44 | 1263680 Tramp Stamper
Tramp Stamper's picture


Wed, 05/11/2011 - 10:53 | 1263038 UGrev
UGrev's picture

For the record. I junked you. I know less than nothing about being a trader, and nothing has me beat by a long shot; and even I know that the system is being wagged like a floppy dick. So shut your pie hole because even people like me understand how the criminals are anal gaping us with large, veiny, oversized phalices. 

Wed, 05/11/2011 - 11:02 | 1263115 Zing
Zing's picture

yes, and they are doing the same with commodities, only you don't seem to realize it.

Wed, 05/11/2011 - 11:14 | 1263192 ATM
ATM's picture

yes it may appear as though they are fucking with commodity prices now while they still can but that will not and cannot be a perpetual thing. Eventually the commodities, when priced in fiat, will do nothing but appreciate.

I however prefer to view fiat priced in commodities to better discern it's real value. Flip that chart over and you will see that the dollar priced in gold is a piece of shit and getting worse, always getting worse and it is because of the regulators, the politicians and the bureacrats yet I think you want them to do something to fix themselves.... Odd.

Wed, 05/11/2011 - 15:44 | 1264624 Slim
Slim's picture

I don't disagree with what you are saying but revisit early 1980s gold.  From the peak at $800 oz we had nothing but inflation and a weakening fiat dollar on any basis one could imagine except gold - especially when many here would argue that inflation has been dramatically understated.  And yet, according to gold the USD only strengthened tremendously over that period and is still not remotely close to inflation adjusted parity (even using low inflation) from that point. 


I can't tell you how this ends or what the right price is but just realize that no one on this site ever ever seems to post the flipside argument to gold i.e. price matters and built into any price of precious metals/proxy currency is sentiment and an expectation of future actions which may in fact be uncertain.  Where gold vs. USD ends is unknown and as a pure play on some/any degree of preservation it doesn't matter providing you have some diversification.  However, for an all in play getting the price wrong has mattered a whole lot and those who got it wrong in the early 1980s are still crushed on a purchasing power by any metric 30 years later. 


I post this because it's important that people understand it.  It is an easily demonstratable risk that most people on this site fail to acknowledge as remotely possible and yet - it is the overwhelming majority of recent experience outside the last 5 years.

Wed, 05/11/2011 - 21:02 | 1266064 StychoKiller
StychoKiller's picture

I can think of $14Trillion+ reasons why purchasing power is a non-issue...

Wed, 05/11/2011 - 11:20 | 1263216 UGrev
UGrev's picture

on the contrary. I'm well aware of it. The patterns are pretty obvious, especially recently. I am using the manipulation to my advantage, however, and buying as close to the bottom as I can on each dip. I haven't been perfect, but I'm still up quite bit since I was buying silver at 10-12/oz.

Meanwhile, you are aligning yourself with the belief that just becuase a manipulated market is getting hammered like your fat sister at a frat hoggin' party, that it somehow is not the way to roll? You're a delusional twit. 

Wed, 05/11/2011 - 11:09 | 1263142 DeadFred
DeadFred's picture

Eewww, it will take a while to get those images out of my mind, even if they're true. Especially since they're true.

Wed, 05/11/2011 - 11:22 | 1263221 UGrev
UGrev's picture


Wed, 05/11/2011 - 14:48 | 1264339 Fiat2Zero
Fiat2Zero's picture

"Gold Standard," heard of it?  Read some history.  Amazing ignorance.

Wed, 05/11/2011 - 10:44 | 1262959 tmosley
tmosley's picture

Silver margin hike looming.  It was pre-announced to their buddies, who drove down silver--a vain attempt to make it look like cause and effect are reversed.

Wed, 05/11/2011 - 10:46 | 1262972 Ray1968
Ray1968's picture

I seriously looks like another hit job.

That's fine. Keep the prices down so I can buy more next payday.

Wed, 05/11/2011 - 10:48 | 1262981 tmosley
tmosley's picture

Exactly.  I will likely make a second purchase this month if this shit keeps up.

Wed, 05/11/2011 - 11:38 | 1263301 Ballz
Ballz's picture

Look at it this way, they can only hike margins to a point.  Once it is impractical to do so anymore, they have lost that tool.  Then the fun begins...

Wed, 05/11/2011 - 14:33 | 1264269 LawsofPhysics
LawsofPhysics's picture

Not exactly, but when everyone knows that physical metals are priced 100x the "paper" price, will it really matter.  If TPTB won't clean up the system, I am happy to establish my own medium of exchange with my neighbors.

Wed, 05/11/2011 - 11:43 | 1263311 cowdiddly
cowdiddly's picture

Thats what I was thinking. Dang I backed up the truck on the dip last week and here they come again 4 days latter. Im tapped out till payday. I wish if they want to give all the remaining silver on earth away they would at least give a fella some time to round up some more 2 ply. Maybe the will get real nasty by the end of the week. I hope.

Wed, 05/11/2011 - 10:45 | 1262960 fuu
fuu's picture

Every Wednesday is 10% off day at the House of Benron!

Wed, 05/11/2011 - 10:54 | 1263053 UGrev
UGrev's picture

BOGO baby!!

Wed, 05/11/2011 - 11:58 | 1263398 fuu
fuu's picture

We just need a 6 month EDLP.

Wed, 05/11/2011 - 10:48 | 1262968 Don Quixotic
Don Quixotic's picture

As per TF's call, it touches 39.50 and now we look to see it test the 36.50 support and then make a double bottom at 35... that guy is good.

Wed, 05/11/2011 - 10:56 | 1263032 narapoiddyslexia
narapoiddyslexia's picture

He is. He predicted this. He's been right about 80-90% of the time since Feb 1.

Wed, 05/11/2011 - 11:02 | 1263092 FriedEggs
FriedEggs's picture

+1 same thing...

I missed the most recent (BTFD) and am not missing this one. We just need some product from Kitco for us folks north of the border:-) The shelves are currently empty for us...(unless you want 1000oz bar)




Wed, 05/11/2011 - 11:15 | 1263182 jackpagan
jackpagan's picture

Buy NWT Mint, cheaper overall than KITCO.  No tax on .999 bullion or higher under NAFTA. 

Wed, 05/11/2011 - 14:21 | 1264197 narapoiddyslexia
narapoiddyslexia's picture

He opinied that it was best to let it play out into next week.

Wed, 05/11/2011 - 10:50 | 1262975 Cognitive Dissonance
Cognitive Dissonance's picture

And so PMs are marginalized among the other commodities.

When will PMs regain their status as 'real money'?

Wed, 05/11/2011 - 10:49 | 1262990 rubearish10
rubearish10's picture

Once 10yr Tsy's fall "out of range".

Wed, 05/11/2011 - 10:53 | 1263002 SheepDog-One
SheepDog-One's picture

After Armageddon and people are trading seashells and beads alongside PM coins.

Wed, 05/11/2011 - 10:51 | 1263013 Tortfeasor
Tortfeasor's picture

Maybe it's a message to fed prosecutors: Bring more Rajaratnam-type prosecutions and suffer our wrath

Wed, 05/11/2011 - 10:50 | 1262977 rubearish10
rubearish10's picture

Specs could get "credit lines" for margin expenses too. Banks and B/D's might as well extend it since the consumer won't even nibble past school loans.....

Wed, 05/11/2011 - 10:48 | 1262982 SheepDog-One
SheepDog-One's picture

Doesnt matter what 'price' gold and silver is, that price is in worthless Bennibux anyway, and for oil, $100 is the new $150 in Stagflamerica.

Wed, 05/11/2011 - 10:51 | 1262991 Robslob
Robslob's picture

Agree...Turd is the word when it comes to understanding silver movements...

Wed, 05/11/2011 - 12:38 | 1263623 RockyRacoon
Wed, 05/11/2011 - 10:52 | 1262999 SP666_IsComing
SP666_IsComing's picture

It will get MUCH MUCH worse.

SP666 is going to be blown through.

Comet Elenin is coming Sept 27, 2011.  From mythology, stars are considered angels and comets are considered archangles. Comet Elenin will be the mightiest archangel of them all.  It will try to overpower the sun (god of old) when it crosses directly between the earth and sun and it will literally fall to earth.  This comet is the origin of all the old myths about the mightiest angel who fell from grace, banished by god (the sun), and fell to earth … better known to everyone as Lucifer.

This comet’s vapor trail is saturated with dust (as all comets are) and it will sweep and engulf the earth in October (the fallen angel).  The massive vapor and dust tail will engulf the earth and create enormous rainclouds for DAYS all over the world.  Water levels will rise everywhere.

A massive flood is coming in October!  This is not a joke. This is not a test.

SP-666 will be taken out before October!

Wake up world.  Take positions as appropriate.  Survive.

Wed, 05/11/2011 - 10:56 | 1263035 Tortfeasor
Tortfeasor's picture

Member for 5 days and 55 minutes.  Not suprised

Wed, 05/11/2011 - 10:54 | 1263047 Don Quixotic
Don Quixotic's picture

He's giving a bad name to us No0bs... ugh.

Wed, 05/11/2011 - 11:11 | 1263155 LowProfile
LowProfile's picture

Please junk this thread into the void.  Ugh...

Wed, 05/11/2011 - 12:36 | 1263638 RockyRacoon
RockyRacoon's picture


Wed, 05/11/2011 - 11:09 | 1263141 SP666_IsComing
SP666_IsComing's picture

When this thing lights up the sky brighter than the sun a week before it eclipses it, you then will be surprised like never before.

Wed, 05/11/2011 - 11:22 | 1263233 ATM
ATM's picture

you'd better do the math on that puny little comet. Unless that ice ball goes thermonuclear it isn't lighting up anything.

Wed, 05/11/2011 - 11:29 | 1263249 Don Quixotic
Don Quixotic's picture

Lucifer's Hammer by Larry Niven and Jerry Pournelle... It was a good book. I'll give you that.

Wed, 05/11/2011 - 11:31 | 1263279 Dr. Engali
Dr. Engali's picture

What a moron. Go troll the yahoo boards.

Wed, 05/11/2011 - 12:34 | 1263626 SP666_IsComing
SP666_IsComing's picture

Markets are starting to react. It will get much more violent.  SP666 is coming in a very short time.

Wed, 05/11/2011 - 11:42 | 1263323 ColonelCooper
ColonelCooper's picture

God Like Productions just called.  They said you need to hurry up and get back over there.  The idiots are beginning to calm down and they need you to stir them up a bit.

Wed, 05/11/2011 - 14:11 | 1264144 Fascist Dictator
Fascist Dictator's picture

hehehehe.....was just thinking he sounds like a

Wed, 05/11/2011 - 10:54 | 1263005 VFR
VFR's picture

The more you look at this market the more you realise yor not the one shaking the dice. 

IIt'll be interesting to see the trading volumes on Silver later 

Wed, 05/11/2011 - 10:51 | 1263010 Long-John-Silver
Long-John-Silver's picture

A Snake will move like this when you cut it's head off. I wonder if the Snake manipulating commodity prices has lost it's head.

Wed, 05/11/2011 - 10:52 | 1263019 AldoHux_IV
AldoHux_IV's picture

Just more market manipulation-- nothing but more opps at getting physical.

Wed, 05/11/2011 - 11:03 | 1263099 Zing
Zing's picture

and yet you guys want this manipulated commodity to back the currency.  See the irony here?

Wed, 05/11/2011 - 11:07 | 1263145 tmosley
tmosley's picture

Maybe you don't see that when it becomes a currency again, it will be too large to manipulate.

Right now, you are playing with a deflated balloon, questioning how something so floppy is going to hold air.

But then, I suspect you have an alternative agenda here.  Lots of that shit going around lately.

Wed, 05/11/2011 - 11:20 | 1263214 bothsidesnow
bothsidesnow's picture

How is the premium today Mopey? Let's see is the premium priced in FRN's? Stick to your message I will hold physical no matter what the price is in FRN's.

Did you ever think the dealers of physical may be manipulating you by jacking the premium when the price is falling to squeeze the last dollars out of you fucktards.

Think about that one.

Wed, 05/11/2011 - 11:25 | 1263234 Zing
Zing's picture


Wed, 05/11/2011 - 11:42 | 1263321 tmosley
tmosley's picture

ASEs are still $7.

1oz bars (specialty--all that APMEX has left) are up to $10.05

5oz bars are mostly gone, those left are up to $3.50 per oz

100oz bars are about $2 per oz 

Ebay is higher that that.  I guess everyone on Ebay JUST DECIDED to charge more, huh?

Christ, what a fucking moron.  You don't even know what supply and demand are, or how they affect price.

Wed, 05/11/2011 - 11:57 | 1263377 bothsidesnow
bothsidesnow's picture

Yes I do know what supply and demand is and my research tells me that their is ample supply of silver.

Why would anyone pay a premium when price is falling - their is no shortage of silver.

The dealers are manipulating you. How do you know their supply is gone it's just like the Morgue how do you know - you don't. Their supply is gone because their website says so or you call them and they say it is.

As for Ebay, If I was an Ebay moron and just bought some silver at the top and saw it drop like it did last week yes I would jack the premium to sell it to zealots and fucktards like you.

Velocity equation Mopey, further monetization is mathematically impossible.

You really should read this before your physical hits 16 again:




Wed, 05/11/2011 - 12:02 | 1263418 tmosley
tmosley's picture

lol, you don't even know how Ebay works.

Here's a hint:  it's an AUCTION site.  The buyers set the price, not the sellers.

Behold!  the mighty "bothsidesnow" has done research, and concluded that there is ample silver supply, AMPLE I TELL YOU!  This mighty brain-being offers no proof or analysis, and rather demands that you take it infallible word!

And yes, YES, behold, he has declared that indeed there shall be NO monetization, that it is MATHEMATICALLY impossible!  Because as we all know, addition becomes impossible at high numbers!

Yes, let us yield all thoughts and actions to this mighty creature from beyond the stars, who KNOWS ALL!  Yes, SELL YOUR SILVER, forthwith!

Wed, 05/11/2011 - 12:12 | 1263457 bothsidesnow
bothsidesnow's picture

Exactly my point, the buyers are morons.

I guess you could have additional monetization but at that point the Fed would be essentially fining you or imposing a penalty on you for not taking the money.

If that happens they still win - LOL.

If you look at my post pre-top I said hedge your physical.

Oh once again I forgot what site I'm on no hedging needed here because we are holding are physical for Weimar America when we can take out our guns and kill everyone that comes running for our physical.

Sick, warped fucktards you are.

Wed, 05/11/2011 - 12:29 | 1263526 tmosley
tmosley's picture


"I knows better than the market!  I has mathematicals!"

Wed, 05/11/2011 - 12:44 | 1263686 RockyRacoon
RockyRacoon's picture

Lookie here.  I have approx. 25,000 eBay sales since 1999.  I've seen the market for precious metals.   The buyers are the price-setters and they have not only raised the bar, they have kept it high.   eBay is a microcosm of the other metals trading venues.  We talk a lot about volume here.   The auction bidders and watchers has escalated to levels I've never seen before.   The watch/bid ratios are important indicators of interest and action.   Bottom line:  It's far from over.

Wed, 05/11/2011 - 14:03 | 1264064 What does it al...
What does it all mean's picture

seriously?  Ebay?  I guess it is as good as anything else...

Wed, 05/11/2011 - 14:26 | 1264229 tmosley
tmosley's picture

A large market with thousands of participants on either side, which confirms what we have seen across all other PM dealers large and small.

But you won't understand that, because you have an agenda.

Wed, 05/11/2011 - 11:14 | 1263175 Bay of Pigs
Bay of Pigs's picture

No irony. Just stupidity on your part. Your lack of knowledge and general understanding of monetary history is astonishing.

It's almost like you enjoy being a sock puppet and professional dick sucker for your criminal financial masters.

Wed, 05/11/2011 - 11:39 | 1263292 UGrev
UGrev's picture

So you agree that it's manipulated? then you must, by logic, agree that if it was not manipulated that it would be suitable to back the currency. Which begs the question: Who's dick are you sucking? Benny the jets', Timmay, new List<string>{all;banksters;} or some combination therein? Go choke on your tongue. You're a stain upon humanity. 

Wed, 05/11/2011 - 11:20 | 1263224 NinetyNinePlus
NinetyNinePlus's picture

Agreed. This is an old song: commodity wack-a-molel is the "stong dollar policy."

Paper contracts for tangibles down in the Western markets, up in the East.

Unless I'm about to sell physical or am insane enough to try to trade these (any) markets, or using leverage, who cares? Chcking the price all the time only makes sense if I am buying more or about to sell, or this constant "measuring" is some kind of compensating. (Keeping score is where a lot of the heat on this blog comes from.)

Consider the low paper price a discount for the difficulty of taking delivery or the counterparty risk involved.: a flaw in the price discovery mechanism. When default is even more likely, the paper price will converge.. on zero!

Stop trading, get physical and sleep at night.

Be seeing you.

Wed, 05/11/2011 - 10:53 | 1263028 vast-dom
vast-dom's picture

Pure BS! SLV should be at $50+ precisely because of stagflation and all other data today.



Wed, 05/11/2011 - 10:56 | 1263043 RobotTrader
RobotTrader's picture

Starting to feel sorry for General Jim.

I mean, that guy has the worst luck.

Two days after his "This Is It!" call in 2008, PM stocks promptly collapsed by 45%.

One day after his "$1,650 is in the bag!!!" call a couple of weeks ago, XAU was shanked by 20% in a matter of days.

Now, 24 hours after his KWN interview claiming $1,764, the Cartel comes out and gut punches him again.

Poor guy can never get a break.

Wed, 05/11/2011 - 11:00 | 1263098 Cognitive Dissonance
Cognitive Dissonance's picture

I agree. The downtrend in Gold is so obvious. <sarc>

Wed, 05/11/2011 - 11:04 | 1263112 rubearish10
rubearish10's picture


Wed, 05/11/2011 - 11:05 | 1263118 tmosley
tmosley's picture

Thanks CD.  Robo is such a fucking moron, ALL the time.  I have never seen such confirmation bias in my life.

Wed, 05/11/2011 - 11:11 | 1263174 luk427
luk427's picture

Lets compare net worth statements: Jim Sinclair vs Robo vs Eric Sprott. One of these doesn't belong with the others. 

Wed, 05/11/2011 - 11:20 | 1263226 Cognitive Dissonance
Cognitive Dissonance's picture


Sounds like an old Don Imus "Cardinal Egan" [Bernard McGuirk] character skit.

Wed, 05/11/2011 - 11:39 | 1263305 Bay of Pigs
Bay of Pigs's picture

CD, Most of these trolls and PM bears refuse to look at long term charts on gold or silver. It shows they are totally wrong and that they have no idea what they're talking about. It's gets tiring pointing out that simple fact to these useless pricks. 

Wed, 05/11/2011 - 11:41 | 1263315 Catullus
Catullus's picture

To be fair, I don't see robo using 3 year charts with logarithmic scales. Keep that 50 dma line on a log-scale, no one will notice.

Wed, 05/11/2011 - 11:50 | 1263353 Cognitive Dissonance
Cognitive Dissonance's picture

I don't think I have ever seen Robo use a 3 year chart. He's pretty much a one and five day wonder.

Wed, 05/11/2011 - 12:05 | 1263435 Catullus
Catullus's picture

True. I do get the feeling SLV is falling into a herding mentality. I do hear people at work trading it. They don't know what they're doing and pull out the rally monkey in hopes of a better vacation this summer. I don't know how I feel about it. Its hard to tell them to monetize some gains into physical or real things.

Wed, 05/11/2011 - 12:47 | 1263699 RockyRacoon
RockyRacoon's picture

Wish I could post this one for you, CD:

It's a chart to make the eyes go misty.

Wed, 05/11/2011 - 11:07 | 1263151 Internet Tough Guy
Internet Tough Guy's picture

Poor momofade, still angry that General Jim can buy and sell him.

What's your price target for yellow rocks, momo? Didn't you sell at 1100?

Wed, 05/11/2011 - 10:57 | 1263054 ivars
ivars's picture

Not exactly as I predicted, but in general, silver crash leg 2 continues. Now down to 31,5 than back a bit and down to 28-30 in rapid succession ( this week or early next) .

Same for oil.


Wed, 05/11/2011 - 11:16 | 1263208 Bay of Pigs
Bay of Pigs's picture

Another rear view mirror guy. 

We don't see 28-30 this week or next will you just go away please?

Wed, 05/11/2011 - 10:56 | 1263063 Thunder Dome
Thunder Dome's picture

The fact that 'silver bugs' universally believe that they have the banks by the balls is pure comedy/ignorance.  500 comments of gloating all last night.  Is it a coincidence silver being smashed as I type?  I think not.


I ask, who are the suckers here? 


Can't you guys see that all the people pumping silver have a vested financial interest in money going to the space?  This is genocide.

Wed, 05/11/2011 - 10:59 | 1263093 Zing
Zing's picture


Wed, 05/11/2011 - 11:15 | 1263194 What does it al...
What does it all mean's picture

Silver is a trading asset/product, like ZN, ES, CL... 

There are some hidden agendas on this site/blog, like tmosley.  

Investors beware, traders are having a blast!

Wed, 05/11/2011 - 21:32 | 1266112 StychoKiller
StychoKiller's picture

While you're focused on the tree right in front of you, the Fed, the US Govt, and pretty much every other World Govt, is burning down the forest(s)!  Hiding in the Fiat-tinder is soon gonna be a misguided option!

Wed, 05/11/2011 - 11:01 | 1263109 Don Quixotic
Don Quixotic's picture

It's like my advisor at Wu-Tang Financial said, "You gotta diversify your bonds... friend."

Wed, 05/11/2011 - 11:08 | 1263158 tmosley
tmosley's picture

Awww, u mad you missed the run?

And the thread last night was not "gloating", it was a running flame war between the bugs and the trolls.

Wed, 05/11/2011 - 11:15 | 1263177 Thunder Dome
Thunder Dome's picture

Are you asking if I missed the dollar rally?  No, I caught it.  Was all over it.

Wed, 05/11/2011 - 11:14 | 1263191 Thunder Dome
Thunder Dome's picture

Stick to your long-term thesis and get stomped, tripped, trapped and tricked in the short-term.

Wed, 05/11/2011 - 11:46 | 1263328 tmosley
tmosley's picture

That is literally the dumbest thing I have heard on this thread, and that is saying a LOT.

Wed, 05/11/2011 - 10:57 | 1263064 Robslob
Robslob's picture

We feel sorry for you all evens out in the wash.

Wed, 05/11/2011 - 11:00 | 1263071 bothsidesnow
bothsidesnow's picture


When you run out of the living for conspiracy theories and market manipulation and why gold and silver are falling you can always pick on the dead for days like today.

You know, Fibonacci and RH Elliot I'm sure they are talking to the Morgue, Timmay, Bernank, TPTB, HSBC, COMEX, Soros, Paulson, Goldman Sucks from their graves.


Wed, 05/11/2011 - 10:59 | 1263090 RobotTrader
RobotTrader's picture

Looks more like 2008 crash in the PM stocks all over again.

Investors in REITS, utilities, and retail stocks don't have to suffer through selling panics like this:

Wed, 05/11/2011 - 11:04 | 1263129 TruthInSunshine
TruthInSunshine's picture

Yeah, you're right. No one got crushed into fine sand holding those assets you glowingly speak of in 2000, 2003 or 2008, and they are good to go from here, now that the same 'Bernanke Put' that was in place in 2008 save them this time.


Wed, 05/11/2011 - 11:17 | 1263189 gjp
gjp's picture

This time they really do seem unstoppable.  Another all-time high in RTH today and AMZN too.  I can't believe the winning bet is on the US consumer, but I guess as long as the US toilet paper is accepted far and wide, they will still have the most 'purchasing power'.  Who knows though, it's not really about fundamentals any more is it?

Wed, 05/11/2011 - 11:51 | 1263343 TruthInSunshine
TruthInSunshine's picture

This time really is different.

Or not.

Wed, 05/11/2011 - 12:00 | 1263410 Bay of Pigs
Bay of Pigs's picture

Hey Robo,

Why not buy something that is totally out of favor instead of your insanely over valued high flyers? Gold/XAU ratio at its highest level since the spring of 2009. This left for dead sector should be a no brainer buy right now shouldn't it?

I'm sure looking back you'll be right either way it goes...


Wed, 05/11/2011 - 15:36 | 1264582 tmosley
tmosley's picture

Wait until it hits 0.250, as it did in 2008.

Robo is using too short of a time scale, and thus, as usual, misses the point.  He couldn't even begin to comprehend it.

And he should have charted it against $gold, not GLD, which is subject to decay.

Wed, 05/11/2011 - 11:05 | 1263108 Florida Joe
Florida Joe's picture

Any day there is a big auction of treasuries, the price of gold and silver is smacked down to make the dollar look stronger, and thus help the sale. This has been true for months and months. Check it out. 

Wed, 05/11/2011 - 11:03 | 1263120 DK Delta
DK Delta's picture

Falling prices in commodities is not stagflation. Stagflation is rising consumer prices in the face of real economic contraction. If commodities continue to fall that will lead to price deflation. 


In the 70's commodities boomed and this was poster child period for stagflation.

Do NOT follow this link or you will be banned from the site!