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Gold Hits 1-Month High In Aftermath Of Goldman's (And Gartman's) "Slam Dunk Sell" Advice
Just two weeks after Goldman's "Slam Dunk Sell," report, the price of gold is surging once again. Goldman's Currie (in direct opposition to BofAML's Curry) argument that post debt-ceiling, "... with significant recovery in the U.S., tapering of QE should put downward pressure on gold prices," seems like another round of wishful thinking as physical premiums for gold around the world surge to record highs and spot prices reach one-month highs. Of course, while Goldman had a few days of positive reaction after their call, it is none other than Dennis Gartman who provided the bottom-tick in the latest exuberance.
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SWISH!!!
Nuttin but net!
But can it break 1350? That's the real question...
(I bet it can!)
Did briefly, then settled back
And this tweet from Bill Fleckenstein last night....
Bill Fleckenstein @flecksthoughts 12h
Bill just now at dinner: If the 10-year can trade back through 3, it's game time... The Fed has lost the bond market - it's totally over.
At the same time JPM tripled its COMEX inventory of eligible gold, from 158063.381 ounces, as of the close of 10/16, to 479563.381 ounces, as of last night. I guess JPM didn't get the Goldman memo.
JPM buying silver on a regular basis now too.
How any of these muppet masters are still walking the streets with skin on their hides is beyond me.
Hebei people Thanks Gartman again that he recommand buy Steel and sell gold. Hebei is A Chinese province with 168 million ton steel annual output and make most of air polution to north China.
Several days ago A boss suddenly flee and left his steel factory and workers in Hebei province. This is common.
Most of Chinese steel trading companies has already bankruptcied and most of Chinese steel factories are on the brink of collapse.
Thanks Gartman, to promote steel and recommand people to sell gold.
Can it break $13,500....or $135,000? That's the real question:
For an answer, I would pose some questions:
1. Can the Fed stop QE?
2. Is Gold a world-class product, easily recognized, in almost every culture?
3. What is the track record of Gold, versus Fiat?
4. Why does Gold trade completely unlike ANY other commodity?
5. Why do all of the mainstream people bash Gold the way they do?
Forget complicated theories....Wall Street's problem....the DotGov's problem...is that they are overly-complicated....think simple.
Simple math is where you find the answers.
JMO.
KISS, the overlooked principle that makes life so much more worth living to the fullest...
DaddyO
Simple math is where you find the answers.
Dammit......no one said anything about a math test today!
@ GetZeeGold:
Fortunately, I have in my hands, a copy of the much-coveted, "Teachers' Edition", so I have all the answers to Friday's test. I'll trade you the answers for your Reese's peanut butter cup...deal? (Okay)
1. Can the Fed stop QE? (Not a chance in hell, unless they deliberately want to destroy the economy. The Catch-22 is, if they don't stop QE, they'll hyperinflate the shit out of everything, which will destroy the economy anyway.)
2. Is Gold a world-class product, easily recognized, in almost every culture? (The book answer, wants you to say "Yes"...but it's a loaded question...Gold is recognized in EVERY culture, so while a Yes answer is acceptable, a "No" with explanation is better.)
3. What is the track record of Gold, versus Fiat? (Gold is undefeated. Fiat is the glass-jawed wimp that people 'who don't know boxing' cheer for.)
4. Why does Gold trade completely unlike ANY other commodity? (Gold trades completely unlike ANY other commidity, because "Gold is money without debt". Money without debt attached to it, is the same thing as "money that trades without parasites attached to it", leeching off of it).
5. Why do all of the mainstream people bash Gold the way they do? (Because they're parasites, who serve no productive purpose in society.)
“This planet has — or rather had — a problem, which was this: Most of the people living on it were unhappy for pretty much of the time. Many solutions were suggested for this problem, but most of these were largely concerned with the movements of small green pieces of paper, which is odd because on the whole it wasn’t the small green pieces of paper that were unhappy.”
-- Douglas Adams (Hitchhiker's Guide to the Galaxy)
Croesus, On a nice roll this morning...
HAHA...yeah, I'm in rare form today, actually...,is it a full moon?
. The oft quoted corollary:
“The study of money, above all other fields in economics, is one in which complexity is used to disguise truth or to evade truth, not to reveal it.” --- John Kenneth Galbraith
eyeballing that graph gold could break 1360 and still remian in it's 2 year down trend. A year ago it was over 1700. This is not a normal commodity market because gold is not a commodity. A 12 year ramp and a 2 year sharp decline? What commodity has that kind of curve?
This is monetary stuff and the action driving the price of gold is not in the tiny Comex market but in the Forex. In Forex there are always 2 trades XXX/YYY. We we see gold being 'sold by the ton' we are actually seeing someone use their paper gold to buy some currency in the billions.
The only thing keeping this crazy market intact is a few remaining ounces of physical (GLD still has 28 million or 890 tons but that is down from 1350 in January.)
Unless you have some insight into the 4 trillion dollar a day Forex market playing the gold trade will be very dangerous. Just stack some physical seems to be the wisest move.
BONDS. Gold is acting inverse to bonds & real estate.
Once you realize that it makes perfect sense.
You don't need to know forex on this unless you're buying in one currency & holding in another.
Even then most of the time it doesn't matter.
Well there's a suprise! Goldman sending the muppets in the wrong direction AGAIN!
Wait, goldman LIES?
So, is the gold price manipulated or not?
Why would you even think to ask such a question?
According to zerohedge, its manipulated when its going down, not when its going up.
I have noticed something similar, though it's not limited to ZH.
Many here (myself included) believe that it is manipulated when it goes up and down because it is a controlled market (for now).
That's the push/pull of real demand versus paper smack-downs.
Where is the edge of the ring? When do we get to see gold break free from the carnival barkers and see gold smackdown GS? Max keiser last year really thought his band of silver vigilantes could break Blythe's desk, but that effort just fizzled, with no explanation about what exactly did or did not happen. Was the effort doomed from the beginning?
Except now Blythe is out & the prop trading desk is closed.
'real demand'...????
There is no 'real demand' almost 100% of the gold market is for gold derivatives. You could buy tons and not move the price at all.
This can go on only as long as the physical market and the derivatives market are tied to the ability to deliver actual metal.
"We looked into the abyss if the gold price rose further. A further rise would have taken down one or several trading houses, which might have taken down all the rest in their wake. Therefore at any price, at any cost, the central banks had to quell the gold price, manage it. It was very difficult to get the gold price under control but we have now succeeded. The US Fed was very active in getting the gold price down. So was the U.K."
-- Eddie George, Governor Bank of England, in a conversation with Nicholas J. Morrell, CEO of Lonmin, September 1999
now will u 2 asses pull ur heads out of said assess....
INteresting quote, thanks. Now that China is buying up all that gold, why would they act any different than the UK and the US? They need the gold to become one of the currency players. With that will come the responsibility to act EXACTLY like the US and UK.
BTW, I hold a large % in Gold/Silver and am looking to increase but I am always asking these questions.
Do we ever see huge paper raids that increase the price?
No... we just get assholes that like to dump 800,000 ounces into a London fix / Comex open.
Spyker - In case you did not understand the whole theme/ thinking behind ZH , it's not a site for sheeple. You would be better off joining up with the likes of CNBC/ Bloomberg , for like minded sheeple.
U left out Marketwatch...
And Yahoooooo...
Yes, many believe that it is manipulated down not up. They believe that the natural trend that the manipulators are trying to thwart is the theoretical inverse relationship between the price of gold and the amount of paper money being created. Given this, whether or not you believe it, why is it inconsistent to only believe that it is only manipulated downward?
Do you have a similar difficulty in believing that the FED only manipulates bond yields downward?
Gartman = Shill.
It's written all over his face, his aura exudes it.
They both have great trading records!
Gold Spikes to $1349.00 - Is Initial Claims Report Leaked Again?
Gold has spiked to $1349 well before 8.30 am when Initial Claims Report is scheduled to be released. Is the data leaked again?Update 8.30 am:
All jobs' data is WORST than expected again. How can we get on that "Early Bird" email list? It is just getting totally ridiculous, is there ANY rule of law left in the U.S.?http://sufiy.blogspot.co.uk/2013/10/gold-spikes-to-134900-is-initial-claims.html#
September Nonfarm Payrolls Huge Miss - Gold Spikes Up, Data Leaked Again GLD, MUX, TNR.v, GDX
worse
WORSTER
WORESTERESTER
Gold buyers buy gold because they are afraid of the financial system. GS is correctly viewed as a Muppet mining firm with no redeeming value even as a contrary indicator.
I like to think of them as a cuntapalooza.
Gold at a high Oil at a low..copper trending lower....corn at a lower low...nflx trades at 390 and 315 on the same day...the only thing that make sense is CNBC viewship at a all time LOW
Meanwhile, Bitcoin is over 190 dollars.
$190 for an INVISABLE coin?..............
They're really packable!
It's spelled "invisible". And they're not invisible, any computer can read them.
Nobody likes a spelling Nazi.
Let's see. I can join a pool and maybe mine one bitcoin every two to three months, after I purchase a bitcoin miner or build a computer with enough graphics cards to mine at a decent rate. Minimum investment for a miner is about $300 and a real nice 'puter with a multi-GPU setup could easily run over $2500.
Then I get to pay for the electricity these machines suck down churning away at solving some prime number equation. Built some 'puters in my day and ran benchmarks like Prime and SuperPi which see how fast you 'puter can calculate Pi to 2 million digits.
Guess what Copernicus? The CPU and GPU get real hot running these excercises and your power draw goes thru the roof. You can easily pull 300-400 watts while running a benchmark on a computer. Now run you computer or miner 24/7 for 2 month and viola, you get a bitcoin. After electricity costs, you are lucky if you break even.
Finnaly, Bitcoin is fiat. There's no ifs, ands or buts about it. It is fiat. All fiat currencies go to zero. No fiat in the history of man has not ever gone to zero.
Gold and silver have never gone to zero.
End of story.
Good Day!
WHICH is a 25% drop.
To get down to a more fair value of $3 each would repaet this move only 14 more times. Given each of these 1 bad days just a week or 2 apart and in no time when gold is over 3000 / oz btc will be $3 or less.
One month high? Gee, thantks PTB. Pumble the fucking shit out of gold for two years and the crowd cheers when it's able to raise it's head up off the mat long enough for a "teeth knocked out" grin. Desperate audience. Gold isn't going anywhere.
When Volker said the only mistake they made was not controlling the price of gold, someone was listening.
As we reach a trillion a month in QE....I can't see any reason to own real money....like gold. That's crazy talk there.
I'm moving to Zimbabwe bitchez!
>> As we reach a trillion a month in QE
Yeah, except we haven't. Mindless hyperbole. One of the most annoying things about the metals are mindless pumpers, such as yourself, who make any rational discussion of market actions impossible. Gold Brownshirts.
I like to think more than one step ahead.....sometimes I think two steps ahead.
Rational discussion and you're calling goldbugs "brownshirts"? LOL, listen you fuckan asshole....they ARE printing $85B a month that we know of, and it's getting worse, not better.
Draw your own conclusions where this is headed. Or are you going to talk about the FED and tapering now?
>> you're calling goldbugs "brownshirts"?
Clearly reading comprehension isn't one of your strong suits. I called the pumpers who jump anybody's shit who isn't cheering every move in gold, up or down, brownshirts.
>> listen you fuckan asshole...
Suck my dick, skidmark.
>>.they ARE printing $85B a month that we know of,
So you don't know the difference between $85B and $1T? You are even more stupid that it initially appeared.
beard
a trillion a month does seems outrageous....remember that when it actually goes to a trillion a onth...if the system holds together that long.
GOLD shirts.
Your paper contains about 7200 BTU/lb. You might as well buy more to keep you warm at night, bitch. Now shut the fuck up and sit down.
OK.....I'm sitting down here.
>> Your paper
You are indeed a mindless pumper.
>> Now shut the fuck up and sit down.
So tell me where my post was wrong. Has gold not been pummeled for two years now? Is a one month high something to celebrate after such an ass whoopin'? Is Volker not connected to the Obama brain trust and did he not say that?
Gold has seen this level many times in it's downward pummeling.
Hang around a while, newbie, and manybe you'll learn a a bit about the gold/fiat battle. Besides, that cheerleader outfit looks silly on you.
What's the matter? Had to dump your Sprott shorts at the open?
As far as "newbie" is concerned, I've been accumulating metals since the late '80s and really don't give a shit about the fluctuations since I'm not selling.
I'm sure you've got it all figured out.
>> don't give a shit about the fluctuations
Odd, you seem awfully sensitive about today's little blip in price.
For every "pumper" there's a "basher". As I see it, the basher wants his hands on sombody else's gold. I would like the POG to drop to $1200 or lower again, simply to load up. But at the same time, I'm not going to pretend to bash gold in order to meet that end.
>> I would like the POG to drop to $1200 or lower again, simply to load up.
You've been accumulating gold since the 80's but you need to wait for gold to go back down to $1,200 to load up? Why $1,200? It hit $1,200 in June, why didn't you load up then? I don't know, I could be wrong, but I think you're full of shit.
I did load up then, both gold and silver. I even acquired mining claims. But since I don't have unlimited fiat (unlike some), I needed to build up my dry powder in the meantime. $1200 is simply my target price. I can definately see it going there again, but if things change, I will adjust accordingly.
I first loaded up under $300 over a decade ago......I ignored the criticism back then as well.
If you don't want to buy gold......then don't.
Hey, greatbeard, you're looking for a fight where there isn't one. What makes you so prickly this fine day? Maybe a shave and a haircut would brighten your outlook. Cheer up!
Amazing what a shave and a haircut can do to one's outlook !!!
Shave the grey away, is what the Hulk says !!!
Gold was what?... something like $40 back in 1971? Stocks have also gone up a lot since then. So, these arguments are mindless. The question is where are we headed in the future. My personal opinion is stocks have done well as we've borrowed from the future to buy stuff which inflated earnings. Earnings are warped by borrowed money. I don't think that will last much longer. Therefore, I think gold outperforms dramatically in my lifetime. I own both but certainly not out of some delusion that stocks are going to do better on fundamentals. If you were to criticize any asset based on a two-year period, you wouldn't have any investment options.
The world's elites ran out of tricks with the last financial crisis. Rather than be embarassed by a collapsing stock market, they decided to do what they do best... cheat. Create money and re-inflate the bubble. This bubble's different, right?
"When Volker said the only mistake they made was not controlling the price of gold, someone was listening."
That would be the Russians and the Chinese.
What's Chinese for "do what we say or we'll blow up your currency via the gold price"?
but you don't know where I've been, Lou!
you don't KNOW WHERE I'VE BEEN!!!
Gartman's wife recently filed for divorce ,she could no longer fund her lavish lifestyle due to her dumbass husband's consistently incorrect calls.
We wish his wife luck.
that spike being swiftly dealt with now
The debt ceiling debate is over, and I have yet to see a recovery nor any tapering. Goldman fucking its own clients again. I predict that the US will taper, once it decides to finally default on its debt.
The debt ceiling debate is over, and sanity (fiscal responsibility) lost. Big time. How can tapering happen when, in less that a week, Federal debt has increased by over $350 BILLION? At this rate, by February, we'll be needing to create $1 Trillion per month as Faber suggested. http://www.etfguide.com/commentary/1138/Will-U.S.-Public-Debt-Reach-$22-Trillion-by-Feb.-2014/
Clearly $85 billion per month is totally insufficient.
nothing interesting can happen before the price of gold has gone down to zero
Ever since China (PRC) decided to allow its citizen-slaves to own gold, I've felt like there was going to be a floor under gold at around $1000/oz. The unrest there, should gold fall too far below that, might be uncontainable. Of course, I also feel that the PRC has been secretly forcing the US to suppress the POG so that they, China, can buy every ounce available at a cheap price. Certainly China has the leverage to do such a thing, what with all their US debt holdings.
It might be payment to not crash the US bond market
Gartman is a better fade than Cramer.
short Gartmans in Euros
or maybe that's Bhat
Dong?
Can't go long dong when Gartman's involved
$1,000 would still be the best deal for the Gold bulls over the next few months, and I'm as bullish on the metal as anyone.
$1,000 would-
a) Force all but the most committedlong term bulls out
b) create such a negative feeling in the market - "Gold is 100% finished, it will likely NEVER rally again in your LIFETIME" - These kinds of media reports etc.
c) Create so much crowing from the anti-Gold crowd (when you crow about the market you're about to be let down), and most importantly
d) The rubber band would be fully stretched so when it's released, boy will it fly
Oh, and one more, it would enable the savvy bank traders (there are a few, not many) to load up so the Gold perma bulls would have them on their side and not against.
And other while I'm thinking aout it, the fact that Gold will be viewed as a sell into resistance (remember, it's never coming back) means it attracts retracement selling on the way back up, forcing those shorts to cover at ever higher and higher prices.
Having said all of that, $1,000 doesn't look likely but you never know, this is a BIG BIG game that's being played at the moment.
Bullish on Gold and Silver.
Isn't the Congress giving back the magic wand to the Treasury Department? ...Should be good for gold.
So where is the "sweet spot" whereby GS will lose the ability to manipulate gold and silver prices? Or, when will these commodities break free into the blue skies of real supply and demand pricing?
I never see this topic addressed directly, so forgive me here. Why would anyone invest in something in which the price can be manipulated? Isn't that why one invests in gold and silver to begin with, because it is supposed to be a safe haven from the central bankers's manipulation?
(Please fling only soft fruits and veggies, I'm on blood thinner and bruise easily.)
I don't look at gold/silver so much as an "investment" but as a way to protect and preserve my accumulated wealth in an uncertain future.
I expect the metals to appreciate but anything above protecting my purchasing power is gravy.
But if the price of something can be manipulated by others, how can you use it to protect or preserve anything? It's like saying that you have a special safe house somewhere, but you've given the keys and the location to a biker gang.
You stop pricing anything at dollars. Ever.
you go to pricing in silver ounces or copper ounces for example.
we just trade with each other, without them, withing paper. Problem solved.
Are you suguesting that Gartman and Goldman would lie to the American people? Come on, thats as silly as saying that Obama is a liar!
Everything can be and is manipulated to the maximum allowed by natures limits.
My guess is that when TPTB can't hold back the price of gold or any other commodity anymore ( if that ever happens) they will actively support it and extract value that way, until such a time as they will just change the rules again. I'm certain those contingencies are already worked out and ready to be implemented at a time of their choosing.
Which would mean that gold and silver can never be a safe haven, so long as banksters exist anywhere in the world. We need a Final Solution for these fat rat bastards.
The economy died in 2008. The FED has been pumping monetary blood into a corpse since then, simulating life. The Main Street economy has been holding on by its proverbial fingertips waiting for the recovery that never came. Now Obamacare and a whole bunch of new income taxes kick in in 2014 and will deliver the coup de grace to what's left of the consumer. The bulk of the middle class is tapped out and treading water. Retail stores are all at the end of their temporizing ropes - no more lease extensions, no more refis, no more mulligans. No business in it's right mind is hiring any full timers now, no one. The name of the game is part timers and subcontractors. I'm in healthcare and I know of what I speak.
So in the mean time, as the US and EU economies flounder, China and Russia grow stronger and accumulate gold. The gasoline on the dollar funerla pyre is the ongoing rejection of the US dollar and US soveriegn debt. This is the beginning of the end for dollar hegemony. In short order the tab for 50 years of dollar overissuance and exorbitant privilege will come due and it will be reflected in massive dollar devaluation and gold rising to $5000 and beyond. There is no escaping the tally man.
All MSM and Wall Street banksters are mouthpieces for the US government status quo and the FED and they have been given strict marching orders: pumo the dollar, dump on gold, support over evil empire, and the truth be damned.
America is on its death march. We are all part of the collective mass mindedness that is marching to the edge of the cliff. This is within a mega trend shift of world power from West to East.
Gartman follows the Herd, he is NOT a prognosticator.