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Gold Celebrates America's Three Month Can Kicking, Soars

Tyler Durden's picture





 

Remember that persistent seller of epic and oddly periodic amounts of gold futures contracts, whose dumps have resulted in two NYMEX "stop logic" shutdowns in the past month alone, and whose daily tape bombing is now watched carefully by all (even the CFTC's Bart Chilton who can rejoice - the CFTC is now open and he can go back to "supervising" the market and stuff)? Well, he is mysteriously absent this morning, as gold (which is now back in backwardation for the second day in a row) soars by $50 from $1275 to $1320 in the matter of minutes, showing just how furious the short covering spreed in the gold space can and will be when it becomes clear just how right Dagong was. The next such instance of clarity we expect will take place in December, early January when the farce repeats itself.

 


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Thu, 10/17/2013 - 07:20 | Link to Comment Legolas
Legolas's picture

We need to throw the gold Ring of Power into Mount Doom, located in the heart of Mordor (Washington).  The question is, who will volunteer for the quest?

Thu, 10/17/2013 - 07:34 | Link to Comment BeerBrewer09
BeerBrewer09's picture

Damn, I want to buy some new argentum when it falls under $20.

Thu, 10/17/2013 - 07:40 | Link to Comment Doña K
Doña K's picture

I still think it's transfer of payment from one institution to another. Sell hard from an oversees account and node to the other to buy hard as soon as the selling stops in a US account.

Someone is helping someone else. It could also be taxation differentials in play from the same institution 

Thu, 10/17/2013 - 07:47 | Link to Comment GetZeeGold
GetZeeGold's picture

 

 

Lots of room to make up on that debt level/gold chart....a whole lot.

Thu, 10/17/2013 - 07:54 | Link to Comment boogerbently
boogerbently's picture

China downgrade.

The "spenders" won.

Continued printing assured.

 

Thu, 10/17/2013 - 08:00 | Link to Comment SilverIsKing
SilverIsKing's picture

1. Gold likes fiscal irresponsibility.

2. US Government is 100% fiscally irresponsible.

Therefore, gold will get what it likes forever.

Gold to the moon and beyond.*

* until someone dumps a few million paper ounces on the market during thin trading.

Thu, 10/17/2013 - 08:34 | Link to Comment Max Hunter
Max Hunter's picture

Gold will go up only as much as they let it. No higher. The cat's paw will stop this water shooting from the spout.

Thu, 10/17/2013 - 08:42 | Link to Comment negative rates
negative rates's picture

May the farce be with you.

Thu, 10/17/2013 - 08:38 | Link to Comment Pegasus Muse
Pegasus Muse's picture
Early Stages of Hyperinflation Next Year-John Williams

 

16 October 2013

Economist John Williams says the U.S. budget and debt ceiling circus is not the real problem.  Williams contends, “The issue here, very simply, is the long term solvency of the United States of America. . . This gap based deficit is going to kill us . . . We are going to be in very serious trouble in this next year, and the global markets know this is happening.”  Williams goes on to explain, “They are not going to address the long term solvency problems of the United States.  That’s going to trigger a massive decline in the dollar in the not-too-distant future, and that, in turn, will give us the early stages of hyperinflation in this next year.”  Williams says, “We’re basically at a point where we can’t kick the can down the road.  This is it. . . . Going forward from here, you’re going to generally see a weaker dollar, and it will get much weaker.  You’re going to have a dollar panic, but I can’t give you the exact timing on that.” Another potential problem is a credit downgrade of U.S. debt.  Williams says, “If we get a downgrade here, that would accelerate the process of the dollar selling and moving us again into the early stages of hyperinflation.”  Williams says you can protect your wealth by holding hard assets.  Williams goes on to say, “If your assets are denominated in dollars and Treasury bonds, those will become worthless in hyperinflation.”   

http://usawatchdog.com/early-stages-of-hyperinflation-next-year-john-williams/

Thu, 10/17/2013 - 14:02 | Link to Comment fockewulf190
fockewulf190's picture

Expect big turbulence throughout November as the biggest delivery month of the year at the COMEX crawls ever closer.

Thu, 10/17/2013 - 07:35 | Link to Comment malikai
malikai's picture

Closed again. Beware, the 'seller' will probably be back..

https://www.quantsig.net/live.html

Thu, 10/17/2013 - 08:18 | Link to Comment oak
oak's picture

this could be lead, inflection and wide, which one? the dsdev narrowed, the change will come when it expands in an opposit direction.

Thu, 10/17/2013 - 10:02 | Link to Comment malikai
malikai's picture

It's normal, just closed. When dCorrel is positive, it's likely leading. Wide can happen in a lead as well. If you're subscribed, you can see a good current example of a lead by looking at Gold/BTC Ratio. There's some real good action in BTC right now.

Thu, 10/17/2013 - 12:37 | Link to Comment oak
oak's picture

thank you sir.

Thu, 10/17/2013 - 07:36 | Link to Comment JenkinsLane
JenkinsLane's picture

Wtf

Thu, 10/17/2013 - 10:46 | Link to Comment Legolas
Legolas's picture

You're right, terrible post.  I dreamed last night that I actually found the reset button and was able to hit it.  Unfortunately, I woke up this morning feeling like I was on the edge of Mount Doom after throwing the ring into the fire and realizing there was going to be no trip home.

 

Thu, 10/17/2013 - 07:22 | Link to Comment Cognitive Dissonance
Cognitive Dissonance's picture

CNBC.com comedy article of the day. "Gold is so yesterday, the VIX is the new safe haven."

 

As a traditional safe-have asset, gold typically rallies during periods of
heightened economic risk, but in recent years gold's behavior has befuddled many
analysts. Over the course of the over two-week U.S. government shutdown, for
example, gold has fallen 3.35 percent.

 

"As the world becomes more virtual, the value of a physical commodity as a
store of value or hedge against turmoil is falling," said Scott Nations,
president and CEO of NationsShares, told CNBC Asia's Squawk Box.

Thu, 10/17/2013 - 07:23 | Link to Comment lewy14
lewy14's picture

The Magnetar trade on global financial ruin is the new safe haven.

Still trying to construct one: the magical, multi-leg self-funding hedge that pays off when the world ends.

Ideas?

Thu, 10/17/2013 - 07:25 | Link to Comment GMadScientist
GMadScientist's picture

Amusing you still think there will be a counter-party with legs for you to attempt to hump, dear poodle.

 

Thu, 10/17/2013 - 07:34 | Link to Comment Arius
Arius's picture

NO suprise here...

GOLDman recommendation last week was very clear ...

Nice timing though to pick the pockets of US muppets .... got to love to see their faces in the morning when they see the screens ... awake up stupidos! yeah, well they never will ... they have ill gotten gains which are being stolen mercilessly from them.

Thu, 10/17/2013 - 07:43 | Link to Comment Doña K
Doña K's picture

Vicks vaporub? The word says it all.

Thu, 10/17/2013 - 07:29 | Link to Comment Urban Redneck
Urban Redneck's picture

real education/knowledge paired with real skills and discipline

Thu, 10/17/2013 - 07:32 | Link to Comment malikai
malikai's picture

Don't forget good, trustworthy and educated family and friends.

Thu, 10/17/2013 - 08:37 | Link to Comment Max Hunter
Max Hunter's picture

Some food and water sounds prudent. They want you to believe in their digital world. Could we make it any easier for them? Jesus God in Heaven.

Thu, 10/17/2013 - 08:37 | Link to Comment Max Hunter
Max Hunter's picture

Some food and water sounds prudent. They want you to believe in their digital world. Could we make it any easier for them? Jesus God in Heaven.

Thu, 10/17/2013 - 07:34 | Link to Comment lewy14
lewy14's picture

Good answer. But I was thinking of something easier.

Like an algo set up to break even on VIX term structure (sell some long dated, buy short dated) and jackpot when it inverts.

(One does not simply "buy" the VIX).

Thu, 10/17/2013 - 07:44 | Link to Comment GMadScientist
GMadScientist's picture

That's not a hedge, that's timing, and not even good timing.

 

Thu, 10/17/2013 - 07:48 | Link to Comment lewy14
lewy14's picture

I got this idea from the Artemis guys - Tyler was posting their stuff on the VIX a while ago.

If you've got a better idea I'm all ears. Not sure about why the timing thing isn't good; the whole point to a self funding hedge is that the timing isn't sensitive - you can just keep waiting.

Thu, 10/17/2013 - 08:54 | Link to Comment GMadScientist
GMadScientist's picture

Happy Sailing!

http://www.zerohedge.com/sites/default/files/images/user5/imageroot/2012/04/Fear%20Trade.jpg

In short (pun intended), once you start setting up the butterfly, you can't exit until there isn't a market from which to collect.

Thu, 10/17/2013 - 07:47 | Link to Comment Squid-puppets a...
Squid-puppets a-go-go's picture

i'm certain there's a Boromir meme for your post

Thu, 10/17/2013 - 09:13 | Link to Comment Urban Redneck
Urban Redneck's picture

You want a short cut to winning at a rigged table game... go to work for the House. Otherwise, the only way to win is not to play their game. If you insist on staying on the playing field, then I would recommend PE/VC where the basis tends to be a multiple of cash flows as opposed to an even more inflated multiple of what the next next biggest fool thinks forward earnings are going to be.

Thu, 10/17/2013 - 07:34 | Link to Comment spinone
spinone's picture

Go long horse drawn well drilling equipment

Thu, 10/17/2013 - 07:38 | Link to Comment Poor Grogman
Poor Grogman's picture

The collapse trade has gone into backwardation recently, as more people would rather have the actual collapse now rather than paper promises of future collapse...

Thu, 10/17/2013 - 08:03 | Link to Comment prains
prains's picture

....not to mention a collapse trade is the essence of an oxymoron

Thu, 10/17/2013 - 10:27 | Link to Comment AugmentedFourth
AugmentedFourth's picture

I'm still trying to get rid of all the Zimbabwes from my last collapse windfall!

Thu, 10/17/2013 - 07:40 | Link to Comment Acet
Acet's picture

The Farse is strong in these ones.

Thu, 10/17/2013 - 07:49 | Link to Comment Pope Clement
Pope Clement's picture

Yeah baby, Viva Persia !

Fri, 10/18/2013 - 05:35 | Link to Comment Acet
Acet's picture

Touche'!

Thu, 10/17/2013 - 07:54 | Link to Comment GrinandBearit
GrinandBearit's picture

If an asteroid or comet does ever hit the earth again, I hope it lands right on top of CNBC headquarters.

Thu, 10/17/2013 - 08:36 | Link to Comment Manipulism
Manipulism's picture

Hey but Martin Armstrong said it also:

The fundamentals are really worthless because you can always extract just the ones to support your current view to “talk your own book” as they say. The Dow Jones Industrials bottomed within the channel nicely on the daily level and the target was on point as well the first week of October – the 9th (see Array). This is NOT a pattern of a major top. This is a basing pattern and equities may be the last savior we have. If you cannot store gold, you cannot keep excess money in a bank, and if you are European, well you may just have to get as much out of Europe as you possibly can – equities are movable, transportable, and liquid.
This is why I do not like people who try to pretend the sale in gold on Friday was not real. It is better to realize the trend sh you DO NOT buy losing your shirt and then lose confidence or your marriage because you followed some gold “analyst” who just talks it up and his own self-interest. If the market is doing something you think is wrong, well may be you better check you logic.

http://armstrongeconomics.com/armstrong_economics_blog/

Lately he sounds like a MSM shill.

 

Thu, 10/17/2013 - 10:42 | Link to Comment Cthonic
Cthonic's picture

No single asset class is panacea.  That said, most Western investors on the whole remain heavily underweight in gold and other precious metals holdings.  Gold is a form of insurance and the vast majority who stand to lose the most (upper middle class) aren't carrying a policy.

Thu, 10/17/2013 - 10:49 | Link to Comment Bay of Pigs
Bay of Pigs's picture

Marty sounds a lot like Gartman. Sad, as most of us know now that he sold out to get out of prison. It's the only explanation that makes sense as he was a staunch gold bug for many years.

Thu, 10/17/2013 - 08:51 | Link to Comment Svendblaaskaeg
Svendblaaskaeg's picture

"..As the world becomes more virtual, the value of a physical commodity as a
 store of value or hedge against turmoil is falling.."

LOL - pull the other one!

Planet Earth, 20 March 2000

"..Snowfall are now just a thing of the past.."

"Children just aren't going to know what snow is, he said."

"British children could have only virtual experience of snow. Via the internet, they might wonder at polar scenes - or eventually "feel" virtual cold."

http://www.independent.co.uk/environment/snowfalls-are-now-just-a-thing-...

Thu, 10/17/2013 - 07:21 | Link to Comment GrinandBearit
GrinandBearit's picture

Banksters won't have it.  They'll most likely slam it back down... some way, some how.

When gold spikes $100+ overnight, then I'll start getting excited.

Thu, 10/17/2013 - 07:25 | Link to Comment Randoom Thought
Randoom Thought's picture

Lol ... who do you think controls price? You don't actually think that gold price moves are detemined by "market forces", do you?

Thu, 10/17/2013 - 07:49 | Link to Comment GrinandBearit
GrinandBearit's picture

Never ass-u-me.

Regardless of why/how it moves, big dips are all buying opps.  I've posted that here MANY times.

Thu, 10/17/2013 - 07:27 | Link to Comment firstdivision
firstdivision's picture

You act as if a slam down on price is a bad thing.  I pray they go full on Armaggedon and slam it to $1 so people panic in the streets and are willing to sell their gold to me, and I'll double the price to them and give them $2. 

Thu, 10/17/2013 - 07:45 | Link to Comment ParkAveFlasher
ParkAveFlasher's picture

That's charitable! +1

Thu, 10/17/2013 - 07:45 | Link to Comment GrinandBearit
GrinandBearit's picture

I take full advantage of these discounted price levels, believe me. 

Recently bought more at $1260  :o)  

Thu, 10/17/2013 - 07:46 | Link to Comment Zero Debt
Zero Debt's picture

Why such a perfect cap at 1320?

Thu, 10/17/2013 - 07:51 | Link to Comment GrinandBearit
GrinandBearit's picture

You noticed that too.

Thu, 10/17/2013 - 07:23 | Link to Comment SoilMyselfRotten
SoilMyselfRotten's picture

Well grin, this is the biggest overnight move i can remember in a long, long time. Baby steps!

Invert that chart and its what we typically see.

Thu, 10/17/2013 - 07:53 | Link to Comment GrinandBearit
GrinandBearit's picture

Agreed, but they'll be much larger moves coming the near future.

Thu, 10/17/2013 - 07:27 | Link to Comment Randoom Thought
Randoom Thought's picture

And what does this imply? To me, it says that gold is treated by the banks, not as money, but as a commodity to be manipulated. It has no tangible value to Wall Street.

Thu, 10/17/2013 - 07:24 | Link to Comment swanpoint
swanpoint's picture

Silver too, Bit-chez.

Thu, 10/17/2013 - 08:21 | Link to Comment SilverRhino
SilverRhino's picture

And the price action in silver is almost completely identical in terms of slope, percentage rise and light smackdown in response to the spike.  

Thu, 10/17/2013 - 07:24 | Link to Comment GMadScientist
GMadScientist's picture

Where's that fat little gnome, Faber?

Thu, 10/17/2013 - 07:27 | Link to Comment Charles Nelson ...
Charles Nelson Reilly's picture

Tagging Asian box and showering in his gold.

Thu, 10/17/2013 - 07:35 | Link to Comment spinone
spinone's picture

How's that for a topper?

Thu, 10/17/2013 - 07:38 | Link to Comment Teddy Tenpole
Teddy Tenpole's picture

 

 

I tagged an asian box once, tighter than hell.

Thu, 10/17/2013 - 07:39 | Link to Comment GMadScientist
GMadScientist's picture

That's a Shar-Pei.

Thu, 10/17/2013 - 07:38 | Link to Comment GMadScientist
GMadScientist's picture

"Taking golden showers from Asian boys" you say?

Thu, 10/17/2013 - 07:27 | Link to Comment goldenbuddha454
goldenbuddha454's picture

I really wish Cruz would have saved his filibuster for yesterday's fiasco.  It would have had a much greater impact on America.  As it is now, his filibuster will go down as mostly ineffective.  Timing is everything.  Had he filibustered for the last 24 hours up until the an hour or two to default, people would have actually attempted to find out what the ruckus was about instead of flipping through to TMZ and ET to find out the latest on Miley Cyrus. I hope this is lesson learned for Cruz.  I think he's as close as it gets to the real deal.

Thu, 10/17/2013 - 07:43 | Link to Comment Teddy Tenpole
Teddy Tenpole's picture

 

 

I think you're as close as it gets to being akak (ie: super douche).

Thu, 10/17/2013 - 08:02 | Link to Comment BandGap
BandGap's picture

This whole charade was a test run. Air all your dirty laundry and get the masses ready.

Thu, 10/17/2013 - 07:27 | Link to Comment FreeNewEnergy
FreeNewEnergy's picture

Tylers, WAKE UP! There will be no repeat of the debt ceiling crisis. Maybe the government CR funding, but the debt ceiling has been SUSPENDED, and the power to borrow more put exclusively in the hands of Oblahblah.

There will be no more debt ceiling debate. This bill took that completely off the table.

Thu, 10/17/2013 - 07:28 | Link to Comment firstdivision
firstdivision's picture

How much longer until OPEC demands all payments in gold/silver/bitcoins?

Thu, 10/17/2013 - 07:31 | Link to Comment duo
duo's picture

that's the real question.  Everything else is noise.

+100

Thu, 10/17/2013 - 07:36 | Link to Comment Teddy Tenpole
Teddy Tenpole's picture

 

 

need I even say it?  (pssst, it's never)

Thu, 10/17/2013 - 10:16 | Link to Comment RaceToTheBottom
RaceToTheBottom's picture

Not really never.  But it is setting up as an all or nothing war between the Printing Don't matter crowd and the PM crowd. 

Once the financial prostitutes decide the game is up, it will switch very fast....  All IMHO

Thu, 10/17/2013 - 08:09 | Link to Comment Doña K
Doña K's picture

@firstdivision

Iran Turkey are doing gold for oil now, but..... Sadam, Quadafi, House of Saud next? Powerful inflate-or-die stuff in play.

fasten you seatbelts

 

Thu, 10/17/2013 - 08:12 | Link to Comment Cognitive Dissonance
Cognitive Dissonance's picture

The USA or its proxies will 'drone' any nation or individual who (seriously) tries to circumvent the global reserve currency.

Most cornered animals will fight to the death.

<The US global reserve currency will die.....a long drawn out death. But die it will.>

Thu, 10/17/2013 - 08:22 | Link to Comment sumo
sumo's picture

"The USA or its proxies will 'drone' any nation..."

And that includes KSA, if it gets out of line and threatens the petrodollar.

Thu, 10/17/2013 - 08:37 | Link to Comment Zero Point
Zero Point's picture

Just after the US military starts pointing their weapons the other way.

Thu, 10/17/2013 - 07:35 | Link to Comment Teddy Tenpole
Teddy Tenpole's picture

 

 

wow tyler, so gold wil rrrrip all the way to 1,360 on the next short cover wave...LOL

...another tremendous interview with tyler durden...

Thu, 10/17/2013 - 07:37 | Link to Comment toadold
toadold's picture

Deary me, the "We Buy Gold" and the "Cash for Gold" signs are still up. So who are the bottom feeders selling the stuff they buy to?....Heh.

Thu, 10/17/2013 - 07:40 | Link to Comment GMadScientist
GMadScientist's picture

Good thing too; if you had to steal those chains from the ghetto in person, you might not make it home.

Thu, 10/17/2013 - 07:40 | Link to Comment Quinvarius
Quinvarius's picture

Slam dunking over the Goldman midget.

For the next 90 days, do we even have a debt limit?  I have not heard a number yet.

Thu, 10/17/2013 - 07:42 | Link to Comment GMadScientist
GMadScientist's picture

I've heard "3 ka-jillion" bandied about.

Thu, 10/17/2013 - 07:41 | Link to Comment jballz
jballz's picture

 

does make me wonder why there was no stop trigger on the way up, the way there was on the two big sell days. Why are they making gold rally?

 

 

Manipulation, bitchez

Thu, 10/17/2013 - 07:45 | Link to Comment Teddy Tenpole
Teddy Tenpole's picture

 

 

more buyers than sellers?

Thu, 10/17/2013 - 07:52 | Link to Comment GetZeeGold
GetZeeGold's picture

 

 

Do you have a newsletter?

Thu, 10/17/2013 - 08:06 | Link to Comment prains
prains's picture

YES

 

i believe it's called the Dipshiticus; Daily Dribbles and Odd Secretions

Thu, 10/17/2013 - 08:12 | Link to Comment RealityCheque
RealityCheque's picture

Of actual gold...yes

Of paper that says "gold".... who the fuck knows anymore.

Thu, 10/17/2013 - 07:55 | Link to Comment NoWayJose
NoWayJose's picture

They are not making gold rally, they are just temporarily suspending their selling. None of the factors that lets them hold down gold has changed. My stack is shining brighter, and I have two pre-agreement orders of silver on their way, but the manipulators have not lost control (yet). I am happy, but skeptical that this move won't get slammed yet again.

Thu, 10/17/2013 - 07:58 | Link to Comment Quinvarius
Thu, 10/17/2013 - 07:51 | Link to Comment Calculus99
Calculus99's picture

If I was Chilton I'd re-open that investigation.

Can't have loose cannon bulls bringing this market into gross disrepute by bidding up price $40+ in a matter of minutes.

 

Thu, 10/17/2013 - 07:53 | Link to Comment Devotional
Devotional's picture

Is this a legit rally? anyone?

Thu, 10/17/2013 - 08:00 | Link to Comment NoWayJose
NoWayJose's picture

I don't believe legit rallies happen over a 10 minute timeframe. If it is legit it will climb steadily but slowly for a few more days. It looks more like a quick spike up (or a quick short cover) and that buyer may be done.

Thu, 10/17/2013 - 08:42 | Link to Comment GetZeeGold
GetZeeGold's picture

 

 

As legit as a rally can be from Tijuana.

Thu, 10/17/2013 - 08:26 | Link to Comment sumo
sumo's picture

A legit rally would have Jim Cramer crying on camera in anguish over "his people", and demanding the Fed open the gold window.

Thu, 10/17/2013 - 07:56 | Link to Comment jubber
jubber's picture

seems to be a lot of support in this today..., could the  Chinese be finally calling time on the paper market as well?

Thu, 10/17/2013 - 07:58 | Link to Comment ratpack1968
ratpack1968's picture

We are so fucked. Lead, rations, Jack Daniels and cigarettes will be as good as gold soon.  

Thu, 10/17/2013 - 08:03 | Link to Comment GetZeeGold
GetZeeGold's picture

 

 

Fella could have himself a pretty good weekend in Vegas with all that stuff.

http://www.youtube.com/watch?v=F5qqfsQGYus&list=PL4E46FDF3B9897B2D

Thu, 10/17/2013 - 08:11 | Link to Comment RealityCheque
RealityCheque's picture

Getting drunk and smoking is a priceless endevour. There is no amount of AU I would swap for that warm feeling of being nicely twisted on grog and enjoying a roll-up.

Unless you're offering some Krugerrands. Then I may consider. ;)

Thu, 10/17/2013 - 08:01 | Link to Comment Devotional
Devotional's picture

Portugal is to sell its next pile of treasuries/debt in USD ... these asshole politicians are going to crucify us too. Hard assets everyone, it just makes sense does it not? I cannot believe that our leaders are marching everyone into the abyss.

Thu, 10/17/2013 - 08:30 | Link to Comment sumo
sumo's picture

"I cannot believe that our leaders are marching everyone into the abyss"

Yeah, it's not like politicans have ever done that before ;-)

Thu, 10/17/2013 - 08:58 | Link to Comment GMadScientist
GMadScientist's picture

Draghi is to sell its next pile of Portuguese debt...these assholes...

Thu, 10/17/2013 - 08:14 | Link to Comment youngman
youngman's picture

The New York Clan will be selling their paper gold as they think everything is fixed now in the Government...the world will be buying as they see the US is not fixed....in fact they see it is failing..and fast

Thu, 10/17/2013 - 08:22 | Link to Comment jubber
jubber's picture

moving up again

Thu, 10/17/2013 - 08:37 | Link to Comment GrinandBearit
GrinandBearit's picture

$1320 area is the line in the sand.

Thu, 10/17/2013 - 08:25 | Link to Comment Sufiy
Sufiy's picture


So, in the end Higher Debt Limit does mean Higher Debt Amount???

Jim Rickards – Why China is Buying Gold & Calling for a De-Amercanized World

 


  Jim Rickards steps in with his analysis of the recent China Call to De-Americanized World and its implications for the Gold market. China buys Gold by tons now on the dips and taking the physical delivery. http://sufiy.blogspot.co.uk/2013/10/jim-rickards-why-china-is-buying-gold.html#


Andrew Maguire: Gold Smashdown, FED Defends The Dollar And How Goldman Sachs Operates. GLD, MUX, TNR.v, GDX

 

"Andrew Maguire presents to us the chronicles of ongoing war behind the curtain with FED defending the US Dollar at the crucial level 0.80 and how the FED's #1 Gold Prime Dealer Goldman Sachs operates in the Gold market. Now we have more information on why Goldman Sachs has issued the Sell Call on Gold last Wednesday. 


   All these revelations will never lead to the higher Gold prices without Buyers and one can argue that this manipulation can go forever. According to the Andrew Maguire the key crucial difference now is that Central Banks are buying and, particularly, China is taking all available Gold for physical delivery now."


Catalyst: Uncovering China’s Rush for Gold GLD, GDX, MUX, TNR.v


"While a lot of people are still wondering why the Gold is beaten down again, it is important to keep the big picture in front of you. As it is happening with Copper now the main player in this market is the same - China is on track to implement state level plan to diversify US Dollar based assets.   We would like to share with you brilliant report conducted by Jan Skoyles on this subject."

Thu, 10/17/2013 - 08:32 | Link to Comment JPMorgan
JPMorgan's picture

PMs soar and so they should on the news of more reckless can kicking and guaranteed debt creation.

But be wary and ready, option expiry near the end of the month.

Thu, 10/17/2013 - 08:36 | Link to Comment gianakt
gianakt's picture

Chinese spoted selling long bond, and buying gold through BIS all morning long!!!

Thu, 10/17/2013 - 08:38 | Link to Comment OliverTwist
OliverTwist's picture

When gold was down a lot of $$ within a minute, some were saying: Who is so stupid to sell like this?

Now gold is up in the same manner, but I can`t hear the same people saying: Who is so stupid to buy like this?

 

Thu, 10/17/2013 - 08:46 | Link to Comment RhoneGSM
RhoneGSM's picture

Ollie: Short covering is asset preservation. Short selling is optimism in callling a correct move.

Thu, 10/17/2013 - 08:57 | Link to Comment GMadScientist
GMadScientist's picture

Trading debt paper for promise to deliver paper is stupid.

Thu, 10/17/2013 - 11:53 | Link to Comment lemarche
lemarche's picture

BECAUSE MANIPULATION CAN ONLY LAST SO LONG... YOU CAN BANG THE MARKET WITH 5000 CONTRACTS AT MARKET, SURE...

BUT YOU CAN T KEEP IT THERE FOR LONG...........

THAT S ALL THERE IS HERE...

Thu, 10/17/2013 - 08:48 | Link to Comment ZH Snob
ZH Snob's picture

they buy it under 1300 and it shoots up over 1300; they stage another naked short, get it back under 1300 and buy some more. 

 

anyone see a pattern here?

Thu, 10/17/2013 - 08:52 | Link to Comment sumo
sumo's picture

Yep, TPTB are having fun. Because even after MF Clusterfuck Global and the CFTC Clown Show, there are still muppets who want to trade futures.

Thu, 10/17/2013 - 08:57 | Link to Comment FunkyOldGeezer
FunkyOldGeezer's picture

So... this wasn't a manipulation of any kind? It surely works both ways.

Thu, 10/17/2013 - 09:08 | Link to Comment Sufiy
Sufiy's picture

And here we go with more real news that matter:


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. http://sufiy.blogspot.co.uk/2013/10/gold-catalyst-chinese-agency-downgrades.html#

Thu, 10/17/2013 - 09:36 | Link to Comment The Continental
The Continental's picture

US government and Federal Reserve have made a secret deal with the Chinese government:  you help us suppress the gold price while we load the boat and we'll continue to sell out T-bills in a discrete and non-disruptive manner.

 

China wants their gold back, the gold that was stolen by the US when it granted China most-favored nation status.

 

Thu, 10/17/2013 - 09:36 | Link to Comment The Continental
The Continental's picture

US government and Federal Reserve have made a secret deal with the Chinese government:  you help us suppress the gold price while we load the boat and we'll continue to sell out T-bills in a discrete and non-disruptive manner.

 

China wants their gold back, the gold that was stolen by the US when it granted China most-favored nation status.

 

Thu, 10/17/2013 - 11:40 | Link to Comment rosiescenario
rosiescenario's picture

Like the majority here, I had figured the massive, focused paper gold sales, clearly designed to drive the price down, were coming from our Fed via one of its tribal minions in NYC. The logic here being, if you are selling something (notes, for eample) denominated in U.S. dollars, you need to keep their apparent value up.Today the thought crossed my mind that just maybe this is not the real picture.

 

What if you were a foreign country that was holding many U.S. dollars and you were very nervous because more and more were being created out of thin air. So you decide to hedge these dollars with something that moves counter to the dollars' weakness.....something like, maybe, gold. But you have a bunch of these damn $$ and you need a real shit load of gold to adequately hedge your dollars. How do you go about amassing all that gold at a decent (low) price?

 

Well, you periodically nuke the paper gold market. So, maybe, I had been wrongly accusing my own government of manipulating gold's price.....maybe it has been China all along???? AND, since my own government sees the advantage to them of weaker gold prices, all their regulatory functionaries are instructed to turn a blind eye to this most obvious market manipulation. Hell, maybe my own government actually cooperates with the Chinese under the threat from them to actually quit buying the notes I must keep selling to financemy deficit government operation?

 

 

Thu, 10/17/2013 - 11:50 | Link to Comment lemarche
lemarche's picture

IN YOUR TEETH B*TCHES !!! MANIPULATORS AND al...

MOVE ANNOUNCED YESTERDAY ON MY TWITTER...

THIS GIVES A TASTE OF WHAT THE UPMOVE ON GOLD WILL LOOK LIKE IN THE NEXT FEW MONTHS...

+40$ in 15MINUTES (with no retracement so far...)

NEXT TARGET 1330...

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