This page has been archived and commenting is disabled.
10 Signs The Paper Gold Crash Unleashed An Unprecedented Demand For Physical Gold And Silver
Submitted by Michael Snyder of The Economic Collapse blog,
The crash of the price of paper gold on Monday has unleashed an unprecedented global frenzy to buy physical gold and silver. All over the planet, people are recognizing that this is a unique opportunity to be able to acquire large amounts of gold and silver at a bargain price. So precious metals dealers now find themselves being overwhelmed with orders in the United States, in Canada, in Europe and over in Asia.
Will this massive run on physical gold and silver soon lead to widespread shortages of those metals? Instead of frightening people away from gold and silver, the takedown of paper gold seems to have had just the opposite effect. People just can't seem to get enough physical gold and silver right now. Those that wish that they had gotten into gold when it was less than $1400 an ounce are able to do so now, and it is absolutely insane that silver is sitting at about $23 an ounce. If the big banks continue to play games with the price of gold, we are going to see existing supplies of physical gold and silver dry up very quickly.
And once reports of physical shortages of gold and silver become widespread, it is going to absolutely rock the financial world. But this is what happens when you manipulate free markets - it often has unintended consequences far beyond anything that you ever imagined.
The following are 10 signs that the takedown of paper gold has unleashed an unprecedented global run on physical gold and silver...
#1 According to Zero Hedge, the U.S. Mint set a new all-time record for the number of gold ounces sold on Wednesday...
According to today's data from the US Mint, a record 63,500 ounces, or a whopping 2 tons, of gold were reported sold on April 17th alone, bringing the total sales for the month to a whopping 147,000 ounces or more than the previous two months combined with just half of the month gone.
#2 Precious metals dealers all over the United States are having a really hard time keeping up with demand right now. According to Chris Martenson, many are warning customers to expect waiting times of five to six weeks at this point...
In the U.S., all of the dealers I talk to are reporting huge demand and brisk buying. Silver in any form is quite hard to come by unless you want to pay premiums of 20%+ per ounce above spot price. Delivery times are 5 to 6 weeks out now – that's an unusual situation. If this recent slam was designed to scare people away from gold, it did not have that desired outcome; in fact, just the opposite.
#3 Individual dealers all over the country are confirming that we are seeing a voracious appetite for precious metals at the moment. For example, the following is what a spokesperson for JM Bullion had to say...
We still have certain things in stock, like 10 oz bars, while others, like Silver Eagles, are a bit of revolving inventory.
The shipments are going out as soon as inventory comes in.
Our main challenge right now is actually getting the silver into the boxes and shipped out – we have been experiencing astounding volume.
This appears to be a widespread phenomenon. Just check out what other dealers are reporting...
“There has been a marked increase in demand since the plunge,” said Mark O’Byrne, executive director at Dublin-based investment and bullion specialist GoldCore, referring to the drop in gold prices seen Friday and Monday. Gold futures lost more than $200 an ounce, or over 13%, on those two days. They were at $1,392 an ounce, moving higher ahead of the close on Thursday.
GoldCore has seen more buying than selling on Wednesday and Thursday, with buy orders “lumpier and from high net worth clients, and with most of the selling in small orders of less than 50 ounces, said O’Byrne.
On Wednesday, David Beahm, executive vice president at Blanchard & Co., said his precious-metals investment firm has seen “2008-like demand” for gold since Monday.
#4 Large international banks are also experiencing tremendous demand for physical gold and silver by customers right now. The following is what Keith Barron told King World News about what he is hearing...
At the Bank of Nova Scotia in Toronto the gold window has been absolutely swamped. I have confirmed there were people lined up in droves recently for multiple-hours at a time to buy gold and silver bars and coins....
I then confirmed with UBS today in Zurich, Switzerland, that they are experiencing exactly the same thing. They told me people are waiting in long lines for bullion related bars and coins. The physical market is incredibly tight, and there is a huge buying opportunity right here.
The damage in gold will not be long-term because physical supply is already drying up. Asian countries have been aggressively buying gold. This really is an unprecedented opportunity for investors. This takedown in the metals has created incredible demand for both gold and silver, and anyone who wants to unload dollars or euros and put them into gold because they don’t trust the currency, now is the time to do it.
#5 The demand for physical gold and silver is heating up over in Europe as well. For example, the following is from an emergency message posted on the website of a precious metals dealer in the UK...
Due to the unprecedented demand triggered by the recent fall in the Gold Price we are currently not able to guarantee Next Day Delivery of orders.
We anticipate that all orders will be delivered within 7 days of receipt by us.
Whilst we appreciate that these delays are frustrating for our customers we would like to stress that all accepted orders are guaranteed at the order price and will be dispatched as soon as possible.
It is necessary for all of our staff to be utilised in fulfilling orders and we ask for your cooperation by not calling us to query delivery times. If you do need to contact us, please do so by e-mail and we will endeavour to respond within 48hrs.
#6 On the other side of the globe, demand for precious metals is skyrocketing as well. According to Bloomberg, people are "running through the gate" to get gold in Australia...
Gold sales from Australia’s Perth Mint, which refines nearly all of the nation’s bullion, surged after prices plunged, adding to signs that the metal’s slump to a two-year low is spurring increased demand.
“The volume of business that we’re putting through is way in excess of double what we did last week,” Treasurer Nigel Moffatt said by phone, without giving precise figures.
“There’s been people running through the gate.”
#7 Reuters is reporting that customers are waiting for up to three hours to buy gold in Japan...
A week ago, as the yen-denominated price neared a new peak, jewelry stores and gold merchants across Japan saw long lines of mostly older Japanese looking to cash in on unwanted jewelry and other items that they had held for years.
But on Tuesday, buyers outnumbered sellers by a wide margin. At Ginza Tanaka, the headquarters shop of Tanaka Holdings, gold buyers waited for as long as three hours for a chance to complete a transaction.
#8 According to a Chinese article quoted by the Blaze, there is a mad rush to buy gold in China right now...
People have to rush to buy gold … gold bullion out of stock yesterday, investors yesterday to spend as much as 600 million yuan to buy 20 kilograms of gold bars
The mad pursuit gold insufficiency is not just a game for the rich. Yesterday, the Yangcheng Evening News reporter learned from the East flowers to Bay store, many growers, pork traffickers, fishmonger recently put down his job went straight to the mall to buy gold.
#9 According to Reuters, dealers in Singapore are having significant trouble finding enough of a supply to keep up with the intense demand for gold that has erupted this week...
"People are actually buying everything, gold bars, gold coins. People are rushing to get a hand on it. We have a problem meeting the demand because we are unable to get new supply," said Brian Lan, managing director of GoldSilver Central Pte Ltd in Singapore.
#10 Bloomberg is reporting that over in India people are "flocking to stores" to purchase gold jewelry and coins...
Gold buyers in India, the world’s biggest consumer, are flocking to stores to buy jewelry and coins, betting a selloff that plunged bullion to a two-year low may be overdone.
“My daughter is just six months old, but I think it is never too early to buy gold,” said Sharmila Shirodkar, a 28- year-old housewife, while displaying a new pair of earrings she bought from a store in Mumbai’s Zaveri Bazaar. “I had been asking my husband every day if prices will go down more. I couldn’t wait anymore.”
If the big banks were trying to scare people away from gold and silver by crashing paper prices for those metals then they have utterly failed.
Instead of being frightened away, the global appetite for physical gold and silver is now more voracious than ever.
If the prices for gold and silver stay this low, we are eventually going to start seeing some very serious shortages in the marketplace.
And once reports of shortages of the actual physical metals become widely circulated, it will cause an "adjustment" in the marketplace that will shock everyone.
So hold on to your hats. We are entering a period of time when there will be unprecedented volatility for the prices of precious metals. It will be quite a roller coaster ride, but if you can handle the ups and downs it will be worth it in the end.
- 92813 reads
- Printer-friendly version
- Send to friend
- advertisements -



More discount gold? I wish it did. There's lots of FIAT paper still coming my way that need someplace safe to store.
But it's too good to happen.
STACKED. Thankyoufuckingbanksters...
I just want to know who is willing to sell gold at such knok down prices, how they can do it (presuming their purchase price is higher) and where that bullion is coming from.
If all the big banks are releasing enough gold to take the sting outof demand, this will largely stifle any upward movement.
institute martial law in major us cities involved in the founding of the nation on the anniversary of the ride, that's not weird at all.
if you can mitigate by market dilution then ok.. the average american already can't afford gold. this is a tug of war between powers.
look, as far as investments go i'm gonna put my call in for dependable honest people, but seriously, they are trying to crush the individual actor.
Nobody sold any gold. They hit the futures with a 400 tonne short sale first with 100 tones on on Fridfay 12th which took the price down to long term suport and then 2 hrs later with another 300 tonnes to smash it.
There is nothing market based about this and to be blunt I suggest it was necessary to enable the banks to force short covering on long positions so they wouldn'rt have to deliver physical to settle since they are experiencing record outflows from Comex stocks. Taken with Cyprus in context I'd say that the banks are in a hole...
Here is bottom line, guys:
"1. Gold is a Currency: This is rule number 1. It is not a decorative or industrial metal, it is a permanent store of value, as dictated by Greeks in Lydia around 700 B.C. And, it shall be ever thus.
2. The price of gold cannot fall, it can only be manipulated lower: When gold’s price falls, it is an unnatural act. It can only occur as the result of an international cabal of Central Bankers and politicians. Its a conspiracy, and we know who the guilty parties are.
3. If the price of gold is rising, it is doing so despite enormous and desperate efforts by manipulators to prevent the rise: This is the corollary to the prior Rule of Gold manipulation. Gold runs up despite the overwhelming opposition to it.
4. The world MUST return to the Gold Standard one day: It is inevitable that we will return to a Gold Standard. We all know this to be true. When we compare the size of the money supply to past amounts when there was a Gold Standard, we can derive prices of Gold in the $7,000, $10,000 even $15,000. Hence, we know its cheap even at $2,000.
5. Central Bankers are printing money relentlessly, and this can only drive Gold prices higher: NOTE: You must ignore, for the moment, that Gold has not gone higher for the past 2 years as Central Banks around the world have ramped up QE. This only means that ultimately, Gold will go much much higher.
6. Gold works whether the economy is good or bad: When we have a red hot economy, Gold is your hedge against inflation. When we have a bad economy, Gold is a safe harbor against collapse. It is a one way trade that never fails!
7. Gold will survive after the world economy crumbles: Gold is the ultimate currency, as it has a value that will survive even after the whole world tumbles around you. Get yourself some gold coins and a Glock and you will be just fine when the whole world goes to shit. We welcome the era envisioned in the movie Mad Max.
8. Never admit that Gold is essentially a sucker’s bet: Never discuss how in the last century, gold has run up only be to trounced in repeated massive sell offs (always blame rule #2 for this). Do not discuss how this has happened in 1915-20, 1941, 1947, 1951-66, 1974-76 1981, 1983-85, 1987-2000 and 2008.
9. Gold is a rejection of government, and their control of fiat money and finance: There are no printing presses that produce gold, it is finite, natural and God created. How much we scrape out of the ground each year is limited, and the only variable to the old equation. (Just ignore Man’s natural tendency to organize into to City-States over the past 12,000 years).
10. All Gold discussions must contain ominous macro forecasts: Your description of why Gold is going higher must consist of spurious correlations, unprovable predictions, and a guarded expectation of bad things in the future. Avoid empirical data at all costs.
11. Gold is always rallying in one currency or another: Sure, it may be down 30% in Dollars, the reserve currency it is priced in, but you can always find a currency falling faster than it does and claim you own it in that denomination. Last week, it was up in Japanese Yen. This week, it is up in Zimbabwe dollars.
12. China & India know the value of Gold; the Western world does not: The massive buying of gold by consumers in Chindia reflects the culture, intelligence and investing savvy of the people in these countries. The West doesn’t get it, and it is their loss.
Bonus rule: Never admit Gold might be falling because it trades on human emotions and psychology and has no intrinsic value whatsoever."
You know what my sign was? When I went to my LCS and there was a line coming out the door and on into the parking lot. By the time I got inside they announced they were sold out of everything. Even fuckin' platinum and palladium.
http://www.youtube.com/watch?v=ZS2Z19yTuPI
What if gold starts to become as scare as silver and premiums start rising? It isn't, and they haven't.... YET.
Can't wait until tomorrow night to watch the live spot prices again:
http://www.pmbull.com/gold-price/ - It's addictive! Driving me nuts now.
Gold on that page can still be had for just $21 over spot. Heck, some dealers are selling silver for $8 or $9 over spot at this point. The same kind of rise in gold premiums could make bank, without any increase in actual gold prices.
So which is it? Gold premiums will start to rise, or silver premiums will come back down, or none of the above?
Fudd's 1st Law:
If you push something hard enough it will fall over.
This is going to be the problem for paper, the disconnect between the paper and physical price will cause an increase in volume of people wanting to take delivery. Something has to give. I do believe Cyprus was the catalyst for this run, paper is worthless.
"Farce!" That's what you were looking for.
n. a short comedy in which qualities and actions are much exaggerated; ridiculous or empty parade.
We sold an ounce today for $1575 (no lectures please-boat repairs). Paper price and physical price have parted company.
Maybe with your boat fixed you won't lose so much of your PMs any more. So many accidents lately.
My first question before getting on ANY boat:
Read ZeroHedge much?
And if the answer is yes?
"the yachts contend..."
Hysterical, hyperventilating articles like this actually do the PMs a disservice, making the believers in this asset look like braindead hillbillies (maybe on purpose?) I am fully diversified into the PM space, but this is ridiculous--if there are "shortages" they will exist precisely for the time it takes to produce more. This author is a moron.
i tried buying 25 ounces of Gold and wound up with 50 !!!!!!
Poor Dear!
tradition
I strongly believe that gold take down was a "tune up" of things to come very soon.
- Apple takedown
- Bitcoin takedown
- Gold takedown
When the whole system is ON MARGIN, that's what it takes to collapse something is 72 hrs.
What is next?
That collapse has moved to 168 hrs. You just gained 96 hrs of pure unadulterated fun.
+ 1
As long as physical gold is available, I am looking forward to it!
Free bitcoins for Zero Hedge readers at http://babkjl.wordpress.com/2013/04/20/free-bitcoins-for-zero-hedge-readers/ No catch, just try out a small amount. Donations to the pool from bitcoin supporters welcome. First 3 requests already received 0.015 bitcoins each.
Where do I go to get my free bit-coin. I want it to be color coordinated with my free cell phone. Can I buy bit-coins with my monthly EBT card?
The bitcoin haters are out in force, it appears.
The offer is legit, I got .011 bitcoins in my wallet this morning. Thanks!
Comex contracts mature this week. Let's see what happens by Thursday. Recognizing that they're full of verbiage as to allowing cash settlement, it would be a pretty big fucking black eye to have to explain that 'price is down because of massive selling, but somehow, even with all that selling we can't come up with the gold to deliver to those crazy enough to defy the trend and take delivery'.
I personally can't believe the shit that gets pumped out by the MSM and 'expert analysts' and accepted at face value.
If Maria Buttaroma says so, it must be true.
or Steve Liesman
or Joe Kernan
And Andrew Ross Sorkin.
'Nuff said.
tingly all over
"Fartaroma" is what you get when CNBS farts in your general direction...
If you can't touch it you only own it if you get there before the ponzi implodes.
Just keep stacking, just keep stacking. I'm smiling as I don't have to stand in line, or wait on the phone.
I am most quizzical of those who maintain
that Physical is out of their domain
Oh sorry, it's that gansta rappa in me.....
Continue averaging in with appreciable buys everytime a smackdown over 7% occurs. Remember you are "freezing" your purchasing power. It keeps an entire system of fraud, piracy, and malignancy from usurping your stored labours. That is what this really is: FIAT is a clandestine means to confiscate portions of your unique labour inputs. Better to sink it into PMs, bury it under a fencepost than to watch it be diluted and redistributed.
Since one cannot maintain confidence any longer in a system replete with fraud and open in defiance of the rule of law, and because it has captured all regulatory bodies no prosecutions can or will be made, hold fiat at your own peril.
Countries are implementing trade workarounds which isolate the dollar. Japan is doubling its monetary base. The Swiss have pegged to the Euro. The whole global currency bag seems to have been sewn up. PMs are portable, easily transportable, durable collateral accepted worldwide by high pedigree and dens of iniquity. Everything else is subject to even greater whims of control that depreciate. That it has not yet been exercised yet, doesn't mean it wont. When another super-Lehman event occurs, remind yourself of all the powers arrayed which seek to strip you of sovereign money.
Somehow people lining up around the block to buy Gold feels more like a top, than a bottom to me.
Perhaps, but when have we had a QE1,QE2,QE3 and a QE4ever to factor in to the charts?
Personally I would like to see the charts confirm a bottom before I jump in the water. I don't see that yet.
Be careful or you'll be left onshore. I'm sure there were many people who said similar things 5 years ago.
@xxxx - If you mean the 0.01% of the populace who understand monetary theory enough to seek stores of value, then those 'lines of people' must be simiply daunting..
So the charts finally confirm a bottom.
But there's no supply.
What to do?
as the price rises more will become available, really quite simple. as you watch the gold ball, keep scaning the horizon as this is only the beginning of the dolla demise and greatest bubble burst known to mankind...oildollar death first, then bond reprice and chaos to ww3. the trends repeat to the same outcome...
i originally thought the same thing sorta....but than i thought that the rest of the world is probably not bombarded daily on what garbage the metals are.......so i see them as the animals heading to the hills first....
Just waiting for JamesCole to come on here and deny that there is any increased demand for physical gold and silver --- and once again blame the rising premiums on "greedy dealers".
congress is working on a pm price gouging bill......no worries akak.....america is sooooo close to legislating utopia..............................
lol. yes, it feels so close now... Just. One. More. Bill!
When PM's crashed in 2008 people were dumping them. This time they are lining up to purchase them. Doesn't sound like a top. PM's have a long way to go before we see a top.
I think this has as much to do with the now permanent fear of the market throughout the public. Individual investors in securities are few and far between. There are no day traders or such this time around. My coin store had only 3 1/4 oz bars but I took them along with a steal on a PCGS 1895-O dollar.
I was buying Gold at that time for $750 but it was loathed back then. There is way to much bullishness right now for my taste.
'There is way to much bullishness right now for my taste'
~~~
That's because you're a dipshit who doesn't understand the difference between 'bullishness', or the correct interpretation of BEARISHNESS for anything paper... People aren't BUYING gold so much as they're trying to dump little paper notes...
I suppose when TSHTF in hyperinflation, & when you see a $20 loaf of bread, [which is followed by an attempt at 'PRICE CONTROLS' ~ which produce long bread lines], you're going to interpret that as BREAD MANIA & wait until the price drops to 'get in'... Moron...
"Feels like",
but doesn't look like.
Have you ever known a "top" buying frenzy after a 25%+ drop? Buying frenzies occur on the upward side of a parapola.
Unless, of course, the world is upside down. Wait...
Ah yes, the well known 'delayed top' reaction. Found only in the gold market, where the panic buying (so as not to miss out) occurs 2 years after the recent high in prices, on a massive, record volume beat down that crushes the price. In typical 'blowoff top reaction' (but without the blowoff top I guess) people rush to buy before it gets too cheap. What the fuck, do you even think about whether what you're typing is even vaguely sensible?
I did not get caught in this epic takedown. In fact I made money shorting it. Did you? It amazes me how people can make investment decisions based on the Gold gurus. I got a email today from Jim Sinclair calling for $50,000 Gold. I think the old guy has finally gone completly off his rocker.
I listen to Sinclair very carefully. He has a mountian of experience. That doesn't mean that his forecasting is worth diddly. I filter it, and chew on it, and filter it some more.
I am totally bought into his QE to infinity thesis. He has seen too much of human nature to think that Bernanke or the rest of the cabal will act in the interest of humanity - shoot the TBTFd and distribute their assets to responsible mid-sized banks, and stop the money printing. This is all about protecting management and bond holders in the TBTFs. Well, maybe even some stockholders.
They will keep printing. You can see it happening. If the US turns into Zimbabwe (should I say when?) then $50K gold might not seem so foolish.
Sinclair now calling for $50,000 per oz sounds a lot like another gold analyst I respect even more...
sinclair is a kwn talking head.............wouldnt trust him just as i wouldnt trust krugman................
I'm still waiting, kito, for you to name me the last 5 cases where a FIAT currency ended in deflation...
~~~
If the goal of TPTB was to deflate, they could have easily stood back and let the system collapse 5 years ago... It would have happened in no time flat & we'd be on our way to a vital economy by now... But what did they do?... They put a puppet in as figurehead [Obama], who made sure that the banks got everything they wanted [which was to NOT deflate], & a massive propaganda campaign to lie to the people about how things have turned the corner & the economy is fine... It's not... Jobs numbers are false, & more people than ever are on food stamps...
So now we're in the Thomas Jefferson paradigm of "controlling by inflation, then deflation"... The QE 'rhetoric' will wax & wane long enough for the jew banking families who own the Fed to keep collecting interest payments for as long as they can, and in the process, suck every last bar of gold off the market...
From a certain perspective, this paper gold takedown is helping to achieve that purpose... Why? because as I've said before the REAL 'low hanging fruit' are people's 401k's [which will undoubtedly get DieselBOOM'ed]... Isn't it just nifty that when that's about to happen, you can't find a gold coin anywhere?...
Whether they want to deflate or not. It is going to happen at this rate the only question is do go through some a case of explosive inflation first when the market shits. If everyone is broke and up to their eyeballs in debt the credit aka money will not flow so much into the economy. Everyone is decoupling and paying down debt. If the people can't deleverage faster than loss of sales the businesses have to cut margin at some point to keep from going under. Printing is going to cause deflation if the money being printed keeps being miss-allocated into an almost closed loop of Fed -> Banks -> stock market -> equities including peoples savings in 401ks, iras, pensions then FED -> Treasury -> Government finally FED -> Primary Dealers (aka banks) -> Treasury Bills. We get the crumbs afterwards. Those crumbs are becoming less and less and people getting more and more into debt. It is vicious self defeating feedback loop. They don't want to fix it. They are working to destroy the last vestiges of the American middle class, that is their real goal. I'm not a gold bug but I know this much, when a bunch of sociopathic nihilists are on full out theft and destruction mode anything that preserves capitol and is out of these people's reach is a good thing at any price.
They are working to destroy the last vestiges of the American middle class, that is their real goal.
~~~
That's all anyone needs to know...
So called 'ELITE' can never have full control until the only two classes that exist are themselves... & serfs... Everything that they do is done with that purpose in mind...
I just laugh at the whole thing because, history shows, when you push humanity to the point where they have NOTHING LEFT TO LOSE, the pendulum tends to shift the other way...
What ever happened to all those Pharoah's anyway?... It seemed like they had it made... Had it all figured out...
This quote is from Jesse @ Jesse's Cafe Americana.
"By the way, some in the media were spreading the rumour on Friday that Goldman Sachs was in the bullion market buying physical with both hands on Friday. If and when that sort of thing comes out, it might prove to be their 'bridge too far' because then those they have betrayed by them (again) may turn on them as well who are disgusted by the actions in the markets".
Has anyone considered the possibility that some other major CB has asked the .fed for its gold back? If so, is this a tactic for the .fed to 'convince' that CB they don't need the gold (it is a tradition and has no value) plus a way to buy the physical in case they actually do want it back...???
just FYI, personally, i have been waiting for this 'dip' (or actually a larger one) to 'load the boat' (one without mechanical problems).....
Ben has to keep printing. At $85B/month, he's still losing ground.
there will be more printing or QE because we have debt growing every day. this means interest payments are growing as well. if interest rates rise it will be impossible to grow the economy while servicing the debt. there is no acceptable scenario for the west that doesn"t involve more printed money.
with the high cost of energy here to stay any uptick in comsumption results in a increase in price causing a slowdown in economic activity. it is impossible to achieve sustained growth to pay down the debt, we are technically FUBAR
all stops are pulled to maintain the satus quo,
FUBAR is SNAFU in the New Normal.
If you made money shorting the selloff, then presumuably you're experienced enough to know that blowoff tops are signaled when the lineups out the door correspond with people 'rushing to get in before its too late' as the price goes vertica like real estate in 2005, 2006, or .com stocks in 1999). When people line up out the door to buy something because the price is down, your usual reaction will be for the seller to raise the price until the demand dries up. They don't usually drop the price further (unless they're motivated by something other than immediate profit).
And as for the 50k call by Sinclair, he must be reading the 'freegolders' over at fofoa.
Al, you wrote:
"And as for the 50k call by Sinclair, he must be reading the 'freegolders' over at fofoa."
Yes, sure looks that way......
Sinclair said in 2001 that gold would hit 1650 by the January 2011.
He missed it by 7 months. Any of you boys can name someone to match that level of accuracy in prediction?
Seems like buying the dip to me.
http://research.stlouisfed.org/fred2/series/BASE
Thanks for posting the link - up 75 billion in 2 weeks (what else can happen when they monetize 85 billion/month). The line is going straight up, with no end in sight. Pretty sure all those guys at the bullion banks are aware of the correlation between monetary base and price of gold. But apparently most of the 'analysts' in the 'community' haven't noticed, or maybe got all flustered by the current price drop and forgot about it. Rajat bhatia, want to comment? Or maybe you could just put out some diversionary smartass comment to dodge the question.
Come on brother, don't hate me, I'm just here to learn :-) and a bit amused, gotta admit :-)
Tell me Al, what do you do?
Yep, dodge the question, what a fucking surprise.
you wanna know what i do too? or you just hate logic and love to troll?
I see trolls breeding again, Indian names too now?
Must be slow at the call centers lately for "Brian" and "Jason".
Didn't Janet Yellen just turn into a hawk??? ;-)
Anybody can SAY they're going to cut back QE. But first they have to figure out who picks up the tab for the 85 billion/month in debt they're buying. The official story is that QE is about economic stimulus, but it's really about monetizing an unsustainable debt. It's the government that really can't afford rising interest rates, not the economy.
+1000 for several highly pertinent and well-distilled truths.
+1000 for well distilled vodka..........................
Did someone mention Vodka...........................
You make an interesting point. Usually that happens after things go parabolic. Gold went quasi-parabolic two years ago. We have been in a freaking consolidation for two years. The MSM sounds as if gold was up 50% in the last month. The MSM makes no comparison with stocks comin out of the '08 low. S&P 500 has more than doubled from its devilish 666 bottom. Gold has run from $690 to $1,900 but fell from the recent $1,600. S&P didn't quite hit 1,600. Relatively speaking, where is the bubble? This doesn't seem like 2000 with taxi drivers talking about how their WorldCom stocks had doubled last week.
Only smart money is buying. Look, if you ask the average person about Gold or Silver prices they have no fuckin clue what you are talking about!! Lets not forget that only 1 % of Americans hold Physical Gold or Silver. They are the ones buying so, where the fuck do you see a bubble? Come talk to me when the guy at your local bar is Staking...
there is NOT enough gold for it to become a bubble.
Zhers MUST SEE the world's perspective on gold and holding it physical...
if possible at all.
The rest of the world needs to love and stash gold more than dollars....and the guy at the bar in RIO ain,t there yet.
Its a top when the price tops out. This is (We are) a bunch of wiseguys who are tired of being messed with by the central thiefs (banks) and who see an opportunity to preserve some purchasing power on the cheap.
#11). Any amounts of physical Gold and Silver had damn well better be backed up with an equivalent amount of lead and gunpowder !
Equivalent????
Hardly necessary.
Hardly necessary what?
I have quite a few more ounces of lead above ground than I've lost in that recent boating accident.
I wish I had the same weight in gold that I do either lead or fmj
I expect most would go heavier on the lead - cheaper (though not as much so of late) too.
In weight or value?
I keep mine inside a 3 inch diameter 0.5 wall thickness steel pipe inside a pressure cooker packed with ball bearings and some of Tyler's special lyposuction based TNT.
OT
Glenn Beck has Obama fucked,,, Believe it or not I think he has reached his limit,,,Alex Jones has finally convinced him.
http://www.youtube.com/watch?feature=player_embedded&v=PODZaaMTwfg
Obama will only be fucked, when that Bastion of News "Journalists" aka NewsUrinalists. known as "The View", etal, tell the sheeple that Obama is fucked.
No they will be TRUMPED!!!!!!!!!!!!!! It's inevitable..............You think the view will sustain this awakening
Epic Facepalm Compilation ULTIMATE EDITION
http://www.youtube.com/watch?v=W-_sABor77E (2:51)
[HD] Epic Facepalm
http://www.youtube.com/watch?v=DUvADbpqGlQ (1:39)
Get a hobby that has......................
Donald (Another winner America can be proud of) Trump tweeted (LOL) today asking if ObamaDontCare was gonna pick up the hospital tab for the Frat Boy from Boston since his preexisting conditions don't count anymore.
By Jesus' wounds, we are so fucked....
Would be terrible to see Beck Breitbarted. Beck has caved in the past when he promised to do something and then pretended as if it never existed.
My guess is that there are three possibilites -
- Beck loses his nerve
- Beck gets pressured into doing nothing
- Beck gets Breitbarted
I do not believe that there is any way that Beck will cross the line. Alex Jones knows a lot more than he tells ... and he will not cross the line. He likes his fame and wealth too much.
Number 4, Beck could pull a Drudge. Several years ago Drudge had a major screw up on something he was reporting. It almost did him in.
Kind of like Kyle Bass's recent comment that he is "perplexed" by why gold is plunging.
Bullshit. He knows exactly why, but he is smart enough to keep his mouth shut.
Hmmmmm ... that's the second gatekeeper to call a spade a spade with Washington in the past four days. There is something fishy about it, but I can't put my finger on it.
My only thought is that it is part of the accelerating takedown (discrediting 'democratic' [LOL!] government in order to bring in the New Order...worse than the current one, if that's even possible to contemplate). We'll soon see...if similar actions are taken against Westminster and other European ruling 'elites' (that's newspeak for scum). The first domino to fall was the replacement of Ratzinger (a closet Jesuit and a Knight of Malta) by an openly Jesuit Pope....
i-dog,
How the fuck are ya,,,, missing lately don't abandon us now these are interesting fucking times bro.....all the help we can get!!!
Best Regards
The kill switch
http://business.financialpost.com/2013/04/18/meltdown-15-of-worlds-gold-miners-face-collapse-after-plunge-in-price-strips-169-billion-off-market-value/
not sure if this is a repeat...video of older brother being arrested. http://21stcenturywire.com/2013/04/20/video-was-tamerlan-tsarnaev-murder...
My only regret is that I bought a bit too early, but I've still got my stack at hand, untouched, same number of pounds.
I'm pouncing at 20-22, my dealer has plenty of pre 64 coin bags and lots of 10 oz and larger bars
He's got lotsa rounds also. just out of the cheapie sunshines, which are my favorite since the decoder feature........geeks love that shit almost as much as Pet Rocks, Beanie Babies and BitCoins
Better too early than too late. My basis is 1600. Did I pay too much?
I have always maintained that in ten years, I would not be quibbling about paying $30 or $22
I am somewhat awestruck by the gold silver ratio widening though, but I am usually most comfortable buying on the opposite side of the herd
I am one intelligent mother fucker, although I still do some stupid things.......
Tru dat!(err, the 2nd part!) hatin Muzzies is a big stupid...
hey Ted...Muzzie have hackers too! They now know where yu live...how many rounds yu got...and what yu do Friday afternoons! ... comin for yur stack sometime soon! An you thought they were 'brain dead'!!!!
Big Slick,
Too much what?
Time horizon my friend!
Count your savings in ounces. If you have a job, in a few weeks someone will throw more paper at you.
"Trade a player a year too early rather than a year too late."
- Branch Rickey
You did not pay too much, you were priced in (think poker not market).
Michael, Great post. I've been saying this all week. Now that they have put fear in the paper ponzi of our precious, they won't be able to deliver the real thing! Demand will be through the roof for physical and paper will be sold off as fast as possible. Perfect storm for metals, don't believe what they say your physical is worth, at this point they will probably do just about anything to get it... Remember when?
http://www.motherjones.com/files/imagecache/colorbox-large/photoessays/gold-order.jpg
With so much good content all through the week, why does zero hedge have to resort to gold pimping like some late night infomercial?
I wish you would try to be unbiased for a little bit and acknowledge the following truths...
Gold is NOT an investment. It is a speculation like all the rest of the wall st casino games. An investment is capital improvements, automation, better delivery metrics, cost control software, data bases etc. Gold is (no matter how much you scream to the contrary) a speculation. It is a bet on inflation, deflation, hyper inflation, anything fiat, the zombie apocalypse, whatever you can dream up. It is not an investment. It is a bet just like a stock which only goes up or down depending upon the number of greater fools.
Gold is filthy. It terrorizes the earth with its mining. Its procurement has unleashed tons of toxic mercury across the globe. Its mining has ruined fisheries and destroyed native cultures. It possesses mens minds. It has placed untold numbers of people in near slavery in 3d world countries so that vain women can adorn themselves with it and greedy men hoard it in vaults and tin boxes doing nothing productive what so ever.
It does make nice crowns and fillings which is a worthy use.
As much as I despise the man Warren Buffet, he is absolutely correct when he asks the question...Would you take all the gold in the world melted down into a cube 60' x 60' x 60' or a trillion fiat dollars, all the farmland in america and a ton of productive assets sprinkled on top?
If you chose gold then you are indeed not only immoral, greedy, myopic, backward thinking but the greater fool.
Before you lay down all the red arrows which I know will blindly be forthcoming....think of a rational reply to what i just wrote and challenge any part of it.
Pound sand.
Pound sand.
+2(x)
That would be a waste of good sand.
As I suspected. Proof too that not only is my essay true but that the average intelligence of the reading population here is even lower than I thought
Hah! True that!
Fuck you motherfucker.
i came to this site as a goldbug and i stay as a goldbug.
any thread to discuss gold interests me.
i've lost nothing because i started buying over 10 years ago and now i know enough to buy the dips.
thanks to experience and ZH.
i posted on zh 2 weeks ago that the next 3 weeks was looking interesting .
nothing has changed that - there could be the last big buy opportunity - but it must be physical
this is not a gold pumping thread it is a read and learn thread.
Some people will always remain willfully ignorant. Not much I can do about that. You could perhaps give classes?
Why, when you are the undisputed master?
I'll say it again: you gold-hating, historically and monetarily clueless paperbugs are SUCH a hoot!
Mate, i can safely say i outrank you in any life metric you care to challenge me on.
Education and life status being the easiest.
Hotness of wife, length of dick whatever.
So dont go throwing the ignorant card around here.
Hey, aren't hot wives usually the sluttiest?
And I bet she can skin you alive with her demands.
Those boasting about such things are usually the ones devoid of it :-)
And aren't folks called bhatia rapist peadophiles?
http://www.smh.com.au/world/india-police-arrest-suspect-over-rape-of-gir...
cant generalise can you?
Don't forget narcisism, mate.
Ok , i lied about dick length.
Its my secret shame.
pud is a backpack term means pointless up downs
gold holds it's value over time a weeks pay in 1910 might have been 12 dollars, which was a bit over a half oz. a half oz today is around $700 a reasonable weeks pay for a tradesman or teacher perhaps.
Fuck 'blood gold'. If it wasn't for mining, the people you said are exploited would starve.
Gold is insurance. It maintains a person's buying power.
I junked you, because your post, while stupid, is not as stupid as TPTB ruining the world wide economies with their market manipulation and inflation inducing experiment.
Additionally, as TPTB get more desperate with their failed experiment, how much will farmland be worth when every leader becomes Mugabe and either nationalizes it, or raises taxes on it, which will have the same effect.
That is stupid on so many levels. So sweat shops are good too? Child labor is good? What an incredibly callous and ignorant thing to say.
So far as "protecting" you...your gold is only worth what someone else is willing to trade for it. Period. Fiat dollars or cans of spam. I assure you that when the world goes over the cliff you will wish you had the spam.
You, Sir, really are intelligent . My compliments :-)
Idiot PUD, ANY investment (or wealth savings vehicle) is "only worth what someone else is willing to trade for it". That is a tautological truism without an iota of insight, or for that matter relevance.
You gold-hating paperbugs are SO amusing!
Tell me sir, what is investing?
Something which is for all practical purposes essentially impossible in this corrupt age of (failing) statist economies.
The best that the average person can hope for today is to preserve their capital, and holding physical assets outside of the financial system, such as gold, silver, platinum, and real estate is a logical means of doing that.
@ akak
Upvote the trolls and they'll go away. Less pay.
Jus' saying.
Another attempt to talk up gold n silver. Looks more like a retail sucker play. if you're queue at the coin store is in the sun, don't forget to wear your tin foil hat.
right now not much more than giving you an h1b visa to take someone else's job for less.
LOL, you know your economy is in the dumps , don't you? Why would I need a job in your country? Not like there are any jobs in America to seek a H1B visa for. And Indian Economy...booming
To be self evident is to hold the truth. Well then, write it clearly B-hat when it must be stated. It can be said truthfully that many Americans are tired of putting up with the preservation of deceit and corruption-they post those thoughts here on ZH. Things are clearly getting out of hand. Action is necessary to preserve the kids from the tentacles of the beast. So, some Americans are doing what they should be doing: action. It might not be correct or be in their best favor but Americans are good at a couple of things, and one of them is aiming. So they take aim, whether hit or miss.
Explain why you attempt to extrapolate reason from your ego? Logic tells me the caste system is to blame for such a protagonist, self-entitled, and callous demeanor. Your statements simply compound the problem rather than construct a method of ideas which can lead to building a process of fruition. Many questions arise. How many properties will lead you to the throne in your family? How many patients will die under your "care" to prove your expertise? "I am who creates to be." Learn about that in your own method then add something to learn from.
great! so go back. and take your mother and father and grandmother and grandfather and everybody else back with you. please.
You are one illogical, stupid idiot. I didn't say one thing about children. For you to make that leap shows your bias.
Ask yourself, do you think the children in the following story would want their parents to work in a dangerous mine or have no job instead. Oh, that's right there are plenty of jobs in a first world country.
http://www.zerohedge.com/news/2013-04-18/euro-legacy-greece-children-pic...
If it wasn't for mining, the people you said are exploited would starve.
If you knew anything you would know, and should know, that children mine gold. They do so in Africa and in the Amazon. Many of them and many of them die doing it.
Still in favor of it?
God you are so fucking stupid. Kill yourself now.
Yeah, children also work in sweatshops in China and Malaysia --- therefore we must ban the worldwide sale and wearing of sneakers too. Idiot!
They also sew footballs in Indian.
Want to ban soccer?
Following PUD's "logic", we must.
For the children!
Don'y forget the iCrap
mining fucks the kids and the land..
plump pudding can you explain what are sneakers to a starving troll?
Can you eat those?
well - if usa and canada are first world countries - i'll tell you one thing. if you want to come from india on an h1b visa - there IS LOTS OF WORK FOR YOU!
otherwise - well - there ain't a whole lot besides fast food.
Not aimed at you particularly. There is simply no magic commodity or instrument that will sufficiently weather all storms. Gold, rice, stocks, FRN's, etc all serve a different purpose at different times under different or even overlapping conditions. To have a conversation about which one investment is going to save our ass when the SHTF is laughable really.
I'm not suggesting that there is. I am suggesting that there is another side to the gold story that rarely gets told. I choose to live as moral a life as I possibly can and that means not consuming what i don't need and what serves no useful purpose.
I will not entertain any arguments made from the slippery slope of "useful purpose."
(I did not junk you btw)
Do you make your own post-consumer recycled toilet-paper?
What, aren't you reading his posts here?
If those are not recycled toilet paper, I have never seen it.
People save. Saving gold is moral as it is not a vital economic material...except for savings.