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Gartman October 15: "Gold Is Acting Crappy... Looks Weak... Looks Awful"

Tyler Durden's picture


The perpetual contrarian indicator, matched only by FX guru Tom Stolper, strikes again:

"Gold is acting crappy. It looks awful on the charts and it's just not doing what it should be doing. Gold looks weak. Thank goodness I have owned it in terms of Yen. It saved me from losing 25% instead of only down about 7%. That's still an eggregious loss. Gold still looks awful. One has to suspect it is probably going to go lower again. I like steel a whole lot more than i like gold."

That was, of course, everyone's cue to buy some $50 lower.


Perhaps it is time for Gartman to unwind his "ETF."  Oh wait.


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Thu, 10/17/2013 - 09:00 | 4064552 Yen Cross
Yen Cross's picture

  You're so full of shit Gartman. I've listened to you brag about owning gold vs the euro for months you asshat...

Thu, 10/17/2013 - 09:04 | 4064569 Arius
Arius's picture

shake the tree one last time before yellen comes in ...just whatever muppets are left ...

i have a feeling Goldman lead the pack with its SELL call last week, of course, a week earlier than the other "experts" ... the cheap shills armstrong, gartman etc. are out in force ... of CNBS had the famous article ... FT article is missing to complete the picture (but again i have not followed it might already been out).

Thu, 10/17/2013 - 09:06 | 4064580 GetZeeGold
GetZeeGold's picture



Gartman makes Cramer look sane.

Thu, 10/17/2013 - 09:09 | 4064592 john39
john39's picture

whores will do what whores will do.

Thu, 10/17/2013 - 09:11 | 4064598 Pladizow
Pladizow's picture

I cant even bother to come up with a clever post.

Thu, 10/17/2013 - 09:25 | 4064635 Manthong
Manthong's picture

“I like steel a whole lot more than i like gold”

Latex is for liking, too.

Thu, 10/17/2013 - 09:29 | 4064642 LedMizer
LedMizer's picture

I like lead better than steel - better penetration and holds it's value.

Thu, 10/17/2013 - 09:41 | 4064698 petolo
petolo's picture

Steal when you need it.

Thu, 10/17/2013 - 09:43 | 4064706 Max Hunter
Max Hunter's picture

Extraordinary insight. Thank you CNBC. You are my rock.

Thu, 10/17/2013 - 09:48 | 4064717 Harlequin001
Harlequin001's picture

Like they say, 'never, ever buy at a bottom...'

Treasuries are looking good yeah... not.

So, next time I want some mindless investment advice I know where to go...

Thu, 10/17/2013 - 09:49 | 4064719 Lets_Eat_Ben
Lets_Eat_Ben's picture

I just got off the phone with Mr. Gartman and he loves to talk with goldbugs". Help old Dennis understand what movees the price of gold; he could use the education 757-238-9346 and he is looking forward to your calls =)

Thu, 10/17/2013 - 09:49 | 4064728 Harlequin001
Harlequin001's picture

waste of money, he's been saying the same thing all the way up from $260...

Thu, 10/17/2013 - 10:12 | 4064784 PP
PP's picture

In China there is a joke:

if you separate Hebei province from china and establish a new country, then world No.1 steel producing country is still China, No.2 steel producing country is Hebei.

Hebei's steel output is bigger than European Union and 1.8 times than USA. It is 164 million ton.

Hebei people thanks Gartman to promote their product.

Thanks Gartman.

Thu, 10/17/2013 - 10:17 | 4064808 fonestar
fonestar's picture

This asshat can try and barter using a few metric tons of steel when his whole paper mache empire comes undone.  Somehow, I don't think he will be taking delivery of that either though.

Thu, 10/17/2013 - 10:28 | 4064858 Herd Redirectio...
Herd Redirection Committee's picture

Yes, when the price of something is unbelievably low, esp. when it shouldn't be, DO NOT buy low.  I repeat, DO NOT buy low.

You want to buy something with good performance in the last 6 months. 

Damn, all that sarcasm takes it out of me.

Thu, 10/17/2013 - 12:02 | 4065246 akak
akak's picture

"Gartman is talking crappy .... looks fat and stupid .... looks awful."

Thu, 10/17/2013 - 11:24 | 4065084 Diogenes
Diogenes's picture

I've heard funnier jokes.

Thu, 10/17/2013 - 10:17 | 4064810 Manthong
Manthong's picture

I did take a few longs on the 11th at about 15:00 EST.

Thu, 10/17/2013 - 10:27 | 4064848 bozzy
bozzy's picture

Max you must be British with that SOH. Anyway you look at it Gartman is a silly fucker - if he owns gold he owns gold. To talk of owning it in terms of yen is simply saying the way he bought resulted in tn FX saver combination which he would like to pretend is now a single bet. Silly cunt.

Thu, 10/17/2013 - 12:12 | 4065287 jmcadg
jmcadg's picture

Gartman talks of owning gold in terms of Yen because he probably holds GLD thinking he owns physical. Twat.

Thu, 10/17/2013 - 09:30 | 4064654 hangemhigh77
hangemhigh77's picture

I think he likes cock the most though.

Thu, 10/17/2013 - 09:37 | 4064677 Cacete de Ouro
Cacete de Ouro's picture

Steel cocks

Thu, 10/17/2013 - 09:41 | 4064700 CHX
CHX's picture

Called steeldo.

Thu, 10/17/2013 - 09:55 | 4064738 Proofreder
Proofreder's picture


Steely Dan

Australian slang for a dildo

Thu, 10/17/2013 - 12:37 | 4065401 bread n circuses
bread n circuses's picture

close but no cigar.


Fagen and Becker named the band after "Steely Dan III from Yokohama", a strap-on dildo mentioned in the William S. Burroughs novel Naked Lunch.

Thu, 10/17/2013 - 11:01 | 4064987 rosiescenario
rosiescenario's picture

...Blue Steeler....well lubed with AstroGlide........

Thu, 10/17/2013 - 09:57 | 4064743 Nothing but the...
Nothing but the truth.'s picture

Gold's only acting crappy thanks to Fed manipulation you fat fuck.

Thu, 10/17/2013 - 09:16 | 4064609 BoNeSxxx
BoNeSxxx's picture

I have news for the world if anyone cares... US total debt per person +$52,000.  Debt per household +$135,000.

I am in the 8% and I don't have it.  None of my neighbors have it. My parents don't have it. My brothers don't have it.

Print baby print... we are dashing on this check when it comes.

Thu, 10/17/2013 - 09:19 | 4064620 greatbeard
greatbeard's picture

>> I don't have it.  None of my neighbors have it.  My parents don't have it.

Don't hold out on us deserving boomers, check your kids and your grandkids. You have any idea what greens fees are these days?

Thu, 10/17/2013 - 09:23 | 4064629 Stackers
Stackers's picture

Whats up with the fakes "executive office suite" Gartman is sitting in front of ? cant afford a real office ?

Thu, 10/17/2013 - 09:26 | 4064640 DaddyO
DaddyO's picture

These talking heads can say whatever they want, it hasn't changed my direction one iota!

Prep on, Patriots!!


Thu, 10/17/2013 - 10:09 | 4064782 Miffed Microbio...
Miffed Microbiologist's picture

Me too! I'm a proud owner of 2 Maple Leafs as of yesterday and I'm sleeping fine. Just need to hitch up the boat to the truck now... be back soon.


Thu, 10/17/2013 - 09:27 | 4064644 bigdumbnugly
bigdumbnugly's picture

and gold says:

"Gartman Is Acting Crappy... Looks Weak... Looks Awful"
Thu, 10/17/2013 - 09:20 | 4064621 Bangin7GramRocks
Bangin7GramRocks's picture

Exactly. It's all funny money so print more. I'd like to lock into a few 2% mortgages before the crash.

Thu, 10/17/2013 - 10:01 | 4064755 The Continental
The Continental's picture

They are coming next for your bank accounts and pension assets, believe it. At this point, I don't even care about the price of silver and gold. I just don't want the bastards to get a penny of my honestly earned money. I'm moving accounts balances in dollars down to the minimum and buying more physical. And belive me, I already have a lot.

Bragging about oning an asset denominated in Yen versus the dollar has to be the most retarded thing somone can say. But when a socalled financail expert says it, you know that Orwellian double-speak and government MOMO is at full tilt. Gartman has zero credibility to the thinking man. And he is a shill and a whore for the Wall Street banks.

Thu, 10/17/2013 - 16:36 | 4066524 StormShadow
StormShadow's picture

Yes, but he knows the Riddle of

Thu, 10/17/2013 - 19:53 | 4067138 MeelionDollerBogus
MeelionDollerBogus's picture

And only pays for gold using the iron price!

Thu, 10/17/2013 - 09:11 | 4064595 Urban Roman
Urban Roman's picture

Is he the one that hates it so much that he gets the urge to sell 2000 tons at 3:00 AM?

Thu, 10/17/2013 - 12:31 | 4065370 Silveramada
Silveramada's picture

lol..not the physical market...

Thu, 10/17/2013 - 10:10 | 4064785 booboo
booboo's picture

I am with Armstrong on this, gold is in a downward trend but don't let that stand in your way of "loading up the (Tonka) truck". I like gold as much as the rest but I am waiting for it to go lower, if not, oh well, that's on me. Make your case and buy buy buy!

Thu, 10/17/2013 - 11:24 | 4065085 constantine
constantine's picture

There is not a single one of Armstrong's theories that isn't completely full of crap.  Read his letters from prison circa 2010.  He was predicting dollar collapses, and soaring gold, RMB, Rubel just like all of the other liberatarian types.  

His use of chaos theory to back his extremely linear concept of historical phenomenon is not only inconsistent with chaos but completely counter to it.

His understanding of the intelligence sector belongs in science fiction novels, not serious analysis.

Thu, 10/17/2013 - 12:28 | 4065356 rayban
rayban's picture

Spot on. It was out yesterday:

Thu, 10/17/2013 - 09:06 | 4064577 Keyser
Keyser's picture

Much like Gartman's public admission on CNBC that he's missed all the market moves of late. Nothing like someone being paid for financial advice admitting they can't find their ass with both hands on international television. 



Thu, 10/17/2013 - 09:17 | 4064615 Arius
Arius's picture

it is not simply incomptency .. it is intentionally misleading investors ... basically stealing ... once in awhile admit fault, or give a good call, but 99% just take the opposite of his advice, another Stolper...

i suspect GOLDman is somewhere beyond the curtain

Thu, 10/17/2013 - 10:33 | 4064879 Bay of Pigs
Bay of Pigs's picture

Yes, Gartman pretty much bashed gold from 2001 to the present. He only jumped into the sector when gold rose strongly from $800 to $1900 (2008-2011). He missed the entire run from 200 to 1000 (2001-2007).

He is completely full of shit on gold fundmentals and why it is a hedge against endless printing of fiat, QE, ZIRP, inflation, etc...

Thu, 10/17/2013 - 10:39 | 4064910 jcaz
jcaz's picture

Gartman can talk about his "holdings" all day long, but the fact is the majority of his income is derived by these $400 appearances on CNBC,  just like Josh Brown and other clueless twats that have plenty of free time to appear on this network.....

Thu, 10/17/2013 - 12:39 | 4065412 akak
akak's picture

And what is up with his nonsensical doublespeak about "owning gold in yen (or euro, or dollar) terms" anyway?  If that is not pure obfuscational bullshit, I don't know what is.  You either own GOLD, or you own yen (or euros, or dollars) --- you can't, and don't, own both at the same time.

Thu, 10/17/2013 - 09:06 | 4064578 Stoploss
Stoploss's picture


Thu, 10/17/2013 - 09:07 | 4064585 RSloane
RSloane's picture

You are simply lacking appreciation for what passes for brilliant technical analysis at CNBC these days. Yeah, me too.

Thu, 10/17/2013 - 09:39 | 4064688 Nothing but the...
Nothing but the truth.'s picture

And Yellen will shove a pile of more printed dollars up his fat arse soon.

Thu, 10/17/2013 - 10:16 | 4064805 zjxn06
zjxn06's picture

"gold is acting crappy"

Gold doesn't think...doesn't act...doesn't care.

Gold is a "dumb" metal that just sits there...and preserves purchasing power.

Thu, 10/17/2013 - 11:19 | 4065062 constantine
constantine's picture

"Thank goodness I have owned it in terms of Yen. It saved me from losing 25% instead of only down about 7%. That's still an eggregious loss."

This is total nonsense.  So somehow owning gold hedged a loss in JPY/USD.  WTF is he talking about.  There is no arbitrage there.  The people that listen to him must be total dimwits.  I'm going to the coin store and buy some American Eagles with Yen.  Apparently they cost 18% less that way.  I can't believe how stupid this is.  It would be laughable if it weren't so sad.

Thu, 10/17/2013 - 09:01 | 4064554 Capitalist
Capitalist's picture

Looks like gold is going from the lower left to the upper right.

Thu, 10/17/2013 - 09:01 | 4064555 GMadScientist
GMadScientist's picture

"Fast Money"


Thu, 10/17/2013 - 09:07 | 4064583 sodbuster
sodbuster's picture

It's GONE!

Thu, 10/17/2013 - 09:01 | 4064557 sumo
sumo's picture

Poor ol' Dennis. Da Boyz often tell him when they are going short, but never when they're covering.

Thu, 10/17/2013 - 09:05 | 4064574 Calculus99
Calculus99's picture

Love it :)

Thu, 10/17/2013 - 09:02 | 4064560 NoWayJose
NoWayJose's picture

Gartman has pushed the yen angle for a while. I wouldn't doubt he was short gold in US dollars. Have a happy morning, Gart...

Thu, 10/17/2013 - 09:02 | 4064561 ziggy59
ziggy59's picture

Fartman, its the goose that laid the Golden Egg...not steel egg, u fat fuck..

Thu, 10/17/2013 - 09:04 | 4064570 goldenbuddha454
goldenbuddha454's picture

or the PB egg

Thu, 10/17/2013 - 09:27 | 4064648 ziggy59
ziggy59's picture

Or Cadbury creme filled...

Thu, 10/17/2013 - 10:01 | 4064753 Proofreder
Proofreder's picture


Deep-Fried Deviled ...

being served again at the State Fair this year

Thu, 10/17/2013 - 09:02 | 4064563 gafgroocK
gafgroocK's picture



He's one of the BEST fades they get on CNBC!

Thu, 10/17/2013 - 09:03 | 4064565 Tinky
Tinky's picture

"Steel over Gold"


Thu, 10/17/2013 - 09:08 | 4064590 The Shootist
The Shootist's picture

What an asshat. Owns yen gold. Im sure he missed out on paper gold's rally today.

Fact is, gold should be at $2,000 an oz but paper gold's funnier than Gartman.

Thu, 10/17/2013 - 09:09 | 4064566 Paper CRUSHer
Paper CRUSHer's picture

Gather round my children, in this ZH congregation and hour of need let us join hands in unholy company and recite the following passages from the sacred scripture.

FIRST PRINT(august 15th 1971):

 Into thy heavens shalt thou almighty chopper ascend'

'Down from thy skies colourful bills shalt descend'


'Countless and infinite shalt rain upon thee'

'Worthless shalt I become as thy fall unto thee'


'Billions upon billions of collateral thou must pledge'

'Millions and millions of gold bullion thou must hedge'


'As far as thy can see thou nation shalt contine to spend'

'Wretched man for a moment contemplate how thou must end'


'Thousands upon thousands of thou manufacturing jobs shalt continue to disappear'

'Then in an instant,out of the ether thousands of burger flipping jobs shalt appear'


'Once forbidden,forever and ever moar thou wicked man shalt continue to borrow'

'For it is written, thy poor fucker joe sixpack shalt suffer many pains and sorrow'


'Upon thy kingdom wonderous creatures thy vampire squid and whales shalt feed'

'Bless thy wisdom and courage to defend against thou tryanny,slavery and greed'


'Thou HFTs shalt bringeth reign of terror and world domination and plunder thee'

'But oh,EBTs shalt giveth thy strength and honour to captivate thy cannibal within me'


'Thou time shalt come when thy bald king no longer rule thy fiat empire'

'Tiny queen shalt be appointed thy throne and print for eternity into thy fire'


'Endless lies and deciet of thy Keynsian masters to whom I obeyed no longer follow'

'Ruthless and unforgiving thou must become as thy path of truth shalt grow narrow'


 'Freedom oh foolish man with thou false wealth you shalt never attain'

'Kingdom upon hungery and homeless men you shalt forever remain'


'Damnation greets thy worshippers of all forms of fiat, cast,creed and colours'

'Salvation awaits thy chosen ones gold and silver the slayers of unhloy US dollars'


'Taketh thou deep breath and spit at thee'

'Maketh thou metals companions be free'


'Cast down into thy abyss shalt you all sink'

'Thou fruits of labor worthless pieces of ink'


'Condemned to death since thy beginning of history'

'Ancient metal of kings stepforth reclaim thy victory'




Thu, 10/17/2013 - 09:03 | 4064567 surf0766
surf0766's picture


Thu, 10/17/2013 - 09:04 | 4064568 LawsofPhysics
LawsofPhysics's picture

All of my ounces are sleeping soundly in their safe.  What the fuck is this douchebag talking about?

Thu, 10/17/2013 - 09:25 | 4064637 SimMaker
SimMaker's picture

Same here.....but apparantly that asshole thinks the safe is worth more....




Thu, 10/17/2013 - 09:05 | 4064572 Sufiy
Sufiy's picture

Gold Catalyst: Chinese agency downgrades US credit rating

 We have the downgrade of the US rating where it matters most: by the Buyers of US IOUs. S&P or Moody's will not dare to make the move as DOJ was very fast to remind S&P who is in charge, but Fitch this time was more following the real mess coming out of Washington, DC with its Negative Watch for US rating.   Now the desire of China to buy all available physical Gold can be put into perspective of long term state-level planning to diversify its currency reserves out of US Dollar based assets. Gold Catalyst - John Williams: Very Serious Trouble in this Next Year - Weaker Dollar and Hyperinflation GLD, MUX, TNR.v, GDX

 "John Williams is very respected economist who is providing  the real economic data, which is not massaged by the government desires and wishful thinking. His view at the crucial juncture for US Economy and Health of US dollar us very important to share now.   Gold celebrates today "The Deal" and it looks like that Debt Ceiling Raise Does Mean Increase in the Amount of debt after all."

Thu, 10/17/2013 - 09:06 | 4064579 SheepDog-One
SheepDog-One's picture


Thu, 10/17/2013 - 09:07 | 4064582 ZH Snob
ZH Snob's picture

Does he recommend owning physical steel? 

Thu, 10/17/2013 - 09:28 | 4064651 sdmjake
sdmjake's picture

Actually i like that recommendation assuming it is bored blued steel...just sayin.

Thu, 10/17/2013 - 09:07 | 4064584 Hubbs
Hubbs's picture

The way I figure it, will proably lose no matter what I do.

Money Market? Inflation. Check.

Stocks? a correction. Check.

Gold? commissions and manipulation in price. Check

Real Estate? Joblessness and low wages=inability to buy house. Check.

Work harder to make up the difference? Higher marginal tax extraction.


Time to get that little piece of farmland, etc. Nevermind January 15. There is no other option now execpt to continue the current course and brace for impact.

Thu, 10/17/2013 - 09:07 | 4064586 youngman
youngman's picture

He forcasts from History...if Gold is down  for three weeks ..he has sold his....if its up for three weeks..he bought a long time ago...

Thu, 10/17/2013 - 09:08 | 4064587 razorthin
razorthin's picture

Translation:  TPTB will keep their thumb on it.

Thu, 10/17/2013 - 09:14 | 4064589 FunkyOldGeezer
FunkyOldGeezer's picture

...but Gold hasn't acted as it should and it does look crappy on the charts. Personally, I can see it shooting up only when inflation really takes hold and everything else is going up too. At the moment it looks like there are more deflationary pressures coming into play, in the short term.

So add all the media Goldbugs to the list of people to hate too. Too many of them wear their hearts on their sleeves and let emotional responses guide their (publicly quoted) babble.

Thu, 10/17/2013 - 09:27 | 4064650 unununium
unununium's picture

It will shoot up *just before* the sheeple become aware of inflation. Can't have any escape routes.

Thu, 10/17/2013 - 12:02 | 4065248 Thisson
Thisson's picture

History has shown that gold performs best during periods of deflation, not periods of inflation.  Gold would benefit from bad debts being written off and from perpetually low real interest rates.  Rising inflation implies rising interest rates, which would be expected to keep a lid on gold's performance.  Remember, gold is money.  One wants to hold money when profits from lending it are low, and when other assets are suffering (deflating).  When contemplating whether we will have inflation or deflation, keep in mind that it is possible to have inflation when measuring in fiat while also having deflation while measuring in gold.  I hope I've provoked some thought with this comment!

Thu, 10/17/2013 - 09:11 | 4064597 Winston Churchill
Winston Churchill's picture

I suspect he may be right for the wrong reasons.

OPEX day in November may find a true bottom for the gold manipulation schemers.

I'm keeping some dry powder just in case.

Thu, 10/17/2013 - 09:17 | 4064602 TrulyStupid
TrulyStupid's picture

If the charts look awful it's because they are designed to look awful. In a paper gold market that is completely driven by the large trading houses computer algorhythms... the current charts are only setting up the next trade for the house. Fundamentals no longer matter in the minds of most price chasers.. only the modern day voodoo of technical analysis.

Thu, 10/17/2013 - 10:35 | 4064891 Herd Redirectio...
Herd Redirection Committee's picture

Gold doesn't have a 'chart'.  It has a painted chart. (I am reminded of Robin Hood: Prince of Thieves for some reason).

Momo and HFT, thats all that matters these days.

Thu, 10/17/2013 - 09:17 | 4064616 AON
AON's picture

And in spite of his being wrong in an epic fashion on countless occasions he is still one of the most arrogant pompous asses in the industry.  Nothing humbles someone who is this clueless and this stupid.

Hey Gartman,  go fuck yourself!  Better yet, come suck my dick.  Maybe that will shut you up.

Thu, 10/17/2013 - 09:20 | 4064622 cooterman
cooterman's picture

he been right the last nmonth

Thu, 10/17/2013 - 09:24 | 4064633 orez65
orez65's picture

"he been right the last nmonth"

So have broken clocks, been right twice a day.

Thu, 10/17/2013 - 09:20 | 4064623 Atomizer
Atomizer's picture

Gartman, take a look at the futures. BTFD.. hurry up!

Thu, 10/17/2013 - 09:21 | 4064625 sgorem
sgorem's picture

is it any wonder why the worlds sheeple are being driven to the financial slaughter house with the non stop utter bullshit that people like dennis fartman and his ilk keep spewing on the msm? steel? wtf. there's light at the end of the tunnel fellow ZHer's, hold fast to YOUR gold and silver and buy the fucking dip when possible.

Thu, 10/17/2013 - 12:05 | 4065263 Thisson
Thisson's picture

Agreed.  Steel and Copper are only smart bets if you expect improvement in the real economy.  That's impossible as long as global monetary policy is set by central planners rather than by free markets, due to Ludwig Von Mises' economic calculation problem.

Thu, 10/17/2013 - 09:23 | 4064627 orez65
orez65's picture

"Gold Is Acting Crappy ..."

"Guns don't kill, people do"

"Gold is not acting crappy, the Bullion Banksters are making it act crappy"

Thu, 10/17/2013 - 13:56 | 4065843 hidingfromhelis
hidingfromhelis's picture

Over time, the quantity of dollars required to buy an ounce of gold is acting crappy.

Over time, the quantity of dollars required to buy a standard house is acting crappy.

Over time, the quantity of dollars required to buy a barrel of oil is acting crappy.

Over time...the common theme sure as hell isn't gold.

Thu, 10/17/2013 - 09:24 | 4064631 arnoldsimage
arnoldsimage's picture

it's always the same with these ass clowns. gartman... why didn't you suggest u.s. steel when it was down near sixteen. they always recommend the stock after the move up. like a weatherman telling you it's going to rain after you're soaked from head to toe.

Thu, 10/17/2013 - 09:24 | 4064632 MFLTucson
MFLTucson's picture

Another American Fraud!! Get this asshole off the news.  He is a shill for the bankersters and everyone knows it.  Buy dollars Gartman and go fuck yourself!  I totally expected something like this today as Gold turns higher.  Next out will be the Federal Reserve gansgters to lie to the people.

Thu, 10/17/2013 - 09:31 | 4064658 fijisailor
fijisailor's picture

Yea. Buy some physical steel and store it in your backyard for a rainy (rust prone) day.  Better yet, drop it all on your head.

Thu, 10/17/2013 - 09:32 | 4064660 FunkyOldGeezer
FunkyOldGeezer's picture

Charts looking back over 20 years tend to be more truthful than ones looking back over the past month or two.

Gold peaked over 2 years ago now and hasn't had a meaningful rally since. Same for Silver. They may well be downlegs in an overall bull market, but 2 plus years is one heck of a downleg. At approximately 30% (Gold) and 55% (Silver) down, and little strength showing, who's to say it can't go further?

Until physical regains the upper hand, paper reigns supreme. Until that happens or inflation visibly ramps up, so that everyone can see it, surely all bets are off?

The one question no-one knows the answer to is 'what will give back the upper hand to physical' ? Draining inventories have had little impact so far, nor has diminishing production for investment purposes or the weakness of the Dollar, 10 year treasuries or the threats of financial chaos and war. So what's going to be the catalyst?

Thu, 10/17/2013 - 12:13 | 4065289 Thisson
Thisson's picture

2 years is not a meaningful leg down.  Look at the great depression - that's a 20 year leg down!

Silver is unlikely to go much lower because it actually gets consumed when used to manufacture other products, thus must be relaced, yet will not be replaced unless it's priced higher than the marginal producer's cost to dig it out of the ground.  Unfortunately, as an industrial metal, it can't go much higher either unless the real economy improves or it becomes more widely used as money.

Gold, measured in paper dollars, can go down further as it is not consumed, and therefore its cost of production is irrelevant because its price is more dependent upon speculators and real interest rates (opportunity costs).  However it is not dependent upon the real economy improving for it to gain value.  It can go up as debt deflation occurs, so long as real interest rates remain low.

So to me, Gold has better prospects as it can increase significantly in price even if the clowns in charge of our economy dont enact sensible policies that improve the real economy.


Thu, 10/17/2013 - 19:27 | 4067054 MeelionDollerBogus
MeelionDollerBogus's picture

Look at the 2006 drop. Then 2008. Then 2011. The period of the drop is doubling but the intensity, log-scale, is on par. Meaning it will be roughly double the time to reach the past high but it will happen & far exceed.

Thu, 10/17/2013 - 09:34 | 4064665 nakki
nakki's picture

Speaking of crappy "acting"!!

Thu, 10/17/2013 - 09:38 | 4064686 eddiebe
eddiebe's picture

Bernanke to his counterpart central bankers around the world: 


Thu, 10/17/2013 - 09:50 | 4064730 Salt
Salt's picture

If he likes steel so much, guess he's buying GM too.

Thu, 10/17/2013 - 09:54 | 4064736 lizzy36
lizzy36's picture

Gartman is only down 2.6% this year.

He should only be allowed to speak of that which he is an authority on:monetizing newslwters and investing during the Reagan era.


Thu, 10/17/2013 - 09:57 | 4064744 Antifederalist
Antifederalist's picture

Gold is a "slam dunk sell on a deal in Washington".


Fade the mainstream chatter.

Mogambo is right, this investing stuff is easy.



Thu, 10/17/2013 - 10:07 | 4064775 TaperProof
TaperProof's picture

No wait you guys, I think he's on to something.  I'm going to buy some bars of steel to keep in my safe at home.

Thu, 10/17/2013 - 10:08 | 4064778 MrMorden
MrMorden's picture

You can't eat steel.

Thu, 10/17/2013 - 12:42 | 4065427 akak
akak's picture

But judging from his girth, I bet Gartman would give it a good try.

Thu, 10/17/2013 - 10:08 | 4064780 monad
monad's picture

I like to steal too, but QE is so much easier.

Thu, 10/17/2013 - 10:12 | 4064793 edwardo1
edwardo1's picture

I like pretty much everything more than I like Gartman, used napkins, shit on my shoe, you name it.

Thu, 10/17/2013 - 10:15 | 4064799 wcvarones
wcvarones's picture

Holy crap.  Is Gartman the worst investor in history?

Look at his ETF.  He lost 20% from March 2009 until he shut down in March 2012.


How the fuck do you lose 20% when every asset class in the world is skyrocketing?  What a moron!

Thu, 10/17/2013 - 10:19 | 4064819 eddiebe
eddiebe's picture

If Gartman is a moron, I'm a hyper-moro, my investments are down more than 20%, but I'm not selling one fucking PM stock even if they go to 0.

Thu, 10/17/2013 - 10:45 | 4064940 wcvarones
wcvarones's picture

GDX was up 30% over that period -- it has collapsed after Gartman shut down.  So he doesn't even have that excuse.

I'm with you on the miners, but I prefer physical.  Bought a buffalo last week.

Thu, 10/17/2013 - 10:18 | 4064815 HamRove
HamRove's picture


Thu, 10/17/2013 - 10:21 | 4064826 rationaldemocracy
rationaldemocracy's picture

Good advice on steel - this is what I come to zero hedge for

Will be buying some on first trade

Thu, 10/17/2013 - 10:24 | 4064837 quasimodo
quasimodo's picture

Didn't you hear? The shutdown is over, please go back to your cubicle

Thu, 10/17/2013 - 10:23 | 4064835 quasimodo
quasimodo's picture

That broad needs some steel_____. Otherwise it's all just noise from her mouth. Thanks for the laugh tho, made my day watching those three(one overweight needing a shave) musketeers parroting what they were told before they went live.

Thu, 10/17/2013 - 10:34 | 4064882 safe as milk
safe as milk's picture

i thought you said cartman...

Thu, 10/17/2013 - 10:45 | 4064939 lynnybee
lynnybee's picture

 gee, gold is gorgeous around my neck & wrists; i am totally transformed from an ugly old lady to a real beauty when i put on gold jewelry.   i now know what the people in India know.   gold makes me look & feel like a million bucks,  it's a feeling, people, it's a feeling..... HOOKED ON A FEELING ! & I LIKE IT. 

Thu, 10/17/2013 - 10:55 | 4064969 Bastiat
Bastiat's picture

You have a good heart and a strong spirit -  you can't be ugly.

Thu, 10/17/2013 - 10:46 | 4064945 lynnybee
lynnybee's picture

p.s.  i'll gladly take more of that "crappy" gold.



Thu, 10/17/2013 - 10:58 | 4064978 jackinrichmond
jackinrichmond's picture

hey banzai, can you do gartman in a clown suit ?

Thu, 10/17/2013 - 10:59 | 4064980 Bluz
Bluz's picture

Same sex marriage is legal now Dennis and I hear Jon Nadler is available.

Thu, 10/17/2013 - 11:02 | 4064990 Hongcha
Hongcha's picture

The gov wants to condition the publick from looking at silver and gold as a store of value.

There is no way that is happening in Asia; the befuddled Indian PM notwithstanding.

But here in the U.S. people have no clue and off their gold goes to China, India, USSR.  Gov has indeed made serious inroads here in the U.S.

Next they are going to try to do away with paper.

They want it all trackable, all stop-and-goable at the flip of a switch.

Watch and see.

To paraphrase Wm. Burroughs, Control begets more Control.


Thu, 10/17/2013 - 11:30 | 4065105 Cthonic
Cthonic's picture

 "Next they are going to try to do away with paper. They want it all trackable, all stop-and-goable at the flip of a switch."

I unfortunately share your view and believe releasing the new series c notes is the interim step in this process.  Most of the old series is 'stranded' offshore; will be very difficult if not impossible for holders to exchange in a forced redemption.  Xerox upgrade in place; ready to issue/handle a lot more EBT cards?

Thu, 10/17/2013 - 11:10 | 4065026 B for BS
B for BS's picture

What is the rationale of saying that the loss was much smaller as gold is owned in terms of JPY? Yes, the loss in JPY is smaller but then the JPY is losing a further 13% YTD vs the USD so the overall loss in USD is the same! I never understood what the idea here is... Like saying: yeah I am doing great as I own gold in Argentina's Pesos or Zimbabwe's Dollars. So what? The end result in your base currency is the same after the fx conversion!

Thu, 10/17/2013 - 12:41 | 4065418 Seeking Aphids
Seeking Aphids's picture

You just don't get it...he doesn't buy $US with his Yen - he is using his Yen to purchase a 50 Tatami water-front home overlooking the delightful Fukushima bay....they say the sunsets there are to die for...........

Thu, 10/17/2013 - 11:35 | 4065120 americanspirit
americanspirit's picture

Gartman is long TEPCO - says it's a screaming buy at these levels.

Thu, 10/17/2013 - 11:38 | 4065138 Carl LaFong
Carl LaFong's picture

One of the best buy signals I've seen in a year.

Thu, 10/17/2013 - 11:42 | 4065154 TaperProof
TaperProof's picture

This guy sounds like he might be a little slow.  "golds not dun doin what its sposed to be doin so i dont want to own things that are not doin things i like them to do , steel price go up so i buy steel , steel good gold bad"

Thu, 10/17/2013 - 13:12 | 4065211 Bastiat
Bastiat's picture

Gartman has a long history as shameless anti-gold fiat pimp.

Thu, 10/17/2013 - 12:45 | 4065442 akak
akak's picture

Cram another doughnut in your piehole, fat man, and shut the fuck up about that which you don't know shit.

Thu, 10/17/2013 - 12:45 | 4065443 Smiddywesson
Smiddywesson's picture

Look at the issue from another perspective:

Do you believe that the system is going to crash tomorrow and there won't be another series of attacks on gold, to be accompanied by margin hikes? 

I don't.  The end of the system is soon, but not that soon.

So my advice would be to keep stacking and don't accelerate purchases beyond the emotional or financial limts that you can withstand if they choose to push it lower, because they can and will continue to step in and push it lower as long as the system survives.

Thu, 10/17/2013 - 13:01 | 4065514 Vooter
Vooter's picture

LOL...what a moron. I mean, the guy HAD to know that gold would stop acting "crappy" the second Congress did what anyone with 1/64th of a brain knew they were going to do, guaranteed: PRINT MOAR. Too funny...

Thu, 10/17/2013 - 13:06 | 4065540 QEternity
QEternity's picture

45:1 paper gold looks pretty crappy. When the shtf, real gold is gonna be looking pretty fucking golden. It's like musical chairs. Long as the music is playing the people keep dancing, and then when it stops a lot of people wind up with fake chairs. Revolution of the free shit army

Thu, 10/17/2013 - 13:32 | 4065702 paint it red ca...
paint it red call it hell's picture

Gartman / bullshit =1, watch the DX weekly and the AU futures monthly.

Thu, 10/17/2013 - 19:19 | 4067026 MeelionDollerBogus
MeelionDollerBogus's picture

USD index aka DX or DXY has no bearing on inflation, gold price, bond yields, etc., it is a useless arithmetic artifact.

As for AU futures, in what currency & relative to what real prices of food, land or wages - where?

That's what matters. Real purchasing power of real things. Goods, services, time, energy, raw materials.

Thu, 10/17/2013 - 19:09 | 4066973 MeelionDollerBogus
MeelionDollerBogus's picture

Gartman is a funny fucking joke. Gold isn't in terms of yen, dollars, euros, it's gold. PAPER is in terms of yen, euros, etc., which means Gartman never had any gold & never plans to.

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