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Gold Closes At 3-Month Highs; Best Asset Since Taper

Tyler Durden's picture


Gold has risen 6 of the last 7 days, breaking back over $1,275 and closing at three-month highs as the last 3 days have seen stocks and precious metals bid. Silver is on a 7-day win streak holding above $20 for the last 3 days. Despite fading back from highs today, gold outperformed stocks and bonds (on a flat USD day) and gold remains the best-performing asset (+3.75%) from the December Taper.


Gold hits its highest since mid-November...


Since the taper, Gold has outperformed...


Charts: Bloomberg


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Mon, 02/10/2014 - 20:28 | 4421942 The Duke of New...
The Duke of New York A No.1's picture

Tell dont the Bundesbank!!!... it might encourage them to ask for even more of their Gold back!.

Mon, 02/10/2014 - 20:50 | 4422017 Ray1968
Ray1968's picture

Monkey-hammer smackdown in 3...2....1...

Mon, 02/10/2014 - 21:01 | 4422064 Thomas
Thomas's picture

I just appreciate not having to put up with all the cat calling from the folks who never owned an ounce. If it breaks to all-time highs, it will tough not to cat-call them out, although I hope to resist the urge. Gold bug since 1999 and uber silver bug...

Mon, 02/10/2014 - 21:08 | 4422081 knukles
knukles's picture

And as pointed out before...
Just like post past tapers.
If this shit keeps on, since we're trundling right down the very same path as Japan when they started this same shit almost 30 years ago, extremely aggressive monetary policy monetizing everything under God's creation, fucked up fiscal crony capitalist stimulus, not to mention our foreign entanglements and increasing lawlessness by those sworn to maintain such...

Long term rates gonna be lot lower and gold a ton (pun intended, hah ha ha ha... maniacal laughter) higher.

Take a look at the historical series, folks.
It's right there before your very eyes.

But fuck all don't believe reality
Take some more blue pills

Mon, 02/10/2014 - 21:17 | 4422106 Mister Kitty
Mister Kitty's picture

There's no future with gold.  You'd be better off with cat food and ammo.  Bitches.

Mon, 02/10/2014 - 21:25 | 4422123 SafelyGraze
SafelyGraze's picture

these informations about gold are mistake because the tapers makes less dollars growth, like sequesters, and makes the dollars more value, not the gold, because gold is not announce taper

Mon, 02/10/2014 - 21:27 | 4422136 dryam
dryam's picture

Why isn't the headline "USD closes at 3-month lows"?

Tue, 02/11/2014 - 03:37 | 4423047 Gief Gold Plox
Gief Gold Plox's picture

Cause all the other fiat is crashing even faster :-P

Mon, 02/10/2014 - 22:20 | 4422351 Handful of Dust
Handful of Dust's picture

Time for MSM to bash gold harder ... and pump housing more.

Mon, 02/10/2014 - 21:54 | 4422249 Soul Glow
Soul Glow's picture

No need for ammo if all you have is kitty food.  If you have gold, however, you may need to be armed.

Tue, 02/11/2014 - 00:09 | 4422745 Wjunk
Wjunk's picture

You need the ammo to get the cats once you bait them with food. Times will come when eating cats may be high cuisine.

Tue, 02/11/2014 - 00:31 | 4422801 Soul Glow
Soul Glow's picture

Cats are for hunting mice, not for eating.

Tue, 02/11/2014 - 02:43 | 4423003 StychoKiller
StychoKiller's picture

Mister Kitty might like cat food, but I'll take canned ham and rice/beanz! :>D

Mon, 02/10/2014 - 22:47 | 4422469 manofthenorth
manofthenorth's picture

I see Gold is $1285 and headed up. It makes a miner smile. As a Gold miner I realize that it IS money. No problem selling every ounce produced. Selling nuggets for double spot on Ebay gives me much cofidence to appreciate that spot price is becoming increasingly meaningless. There are NO arguments to support lower Gold prices in the real world. That being said I am an ultra-uber Silver Bug. I sell all my Gold I produce to buy Silver. Silver is in a class all its own. 

Tue, 02/11/2014 - 01:39 | 4422927 LostPolarBear
LostPolarBear's picture

Why do you prefer silver to gold?



Wed, 02/12/2014 - 13:07 | 4428329 manofthenorth
manofthenorth's picture

The fact that most Silver is consumed is the biggest reason. Also the Gold Silver ratio is crazy at 70 to 1. It is produced at a ratio of closer to 9 to 1. Almost all the Gold produced is hoarded while most of the Silver produced is consumed in non-recycleable quantities that is to say it virtually disappears. As a miner I do not see Gold as overvalued so I have to assume that Silver is VERY undervalued. Silver really is in a class of it's own.



Tue, 02/11/2014 - 03:40 | 4423049 SilverSavant
SilverSavant's picture

I want some names, numbers and addresses.   Who for?   For whomever is always there to sell sell sell everytime gold and silver go vertical.   Really, I want to know the name or names of just who is doing the selling.   Not the name of the company, we already know that, I want the name of the person, so that I can meet that person on the street or at a party, or at a funeral. I want to know just who is the immoral son of a bitch that has caused me and mine so much heartache.   There is a wife who has depression, a husband sufferring with a depressed wife, many husbands getting asked those lovely questions about why the silver price is down.   Really, somebody knows the names.   Somebody knows somebody who knows.   I want those names.   I will pay for those names.   The time is long past when the world should know these names.  Then we should know the trail of names up the ladder to Jamie and Obozo's boss.  It is time to publish these names.   Let's take some real action and find the roots.   Let's find the taproot.  Let's find out where that taproot drinks it's water. 

Tue, 02/11/2014 - 00:59 | 4422866 Exponere Mendaces
Exponere Mendaces's picture

Wow, a whole 3.75% for gold since November 15th, 2013? Couple that with inflation and you've got a nice negative return there.

Maybe you can supplant that meager return with some MyRA's as well to make a real nice negative shit sandwich.

Tue, 02/11/2014 - 01:47 | 4422933 akak
akak's picture

Yes indeed, only the ultra-short-term picture, timeframe and perspective is of any value.

That is why history is totally irrelevant.  And boring, too.

Not like bitcoin!

Tue, 02/11/2014 - 09:14 | 4423344 Agstacker
Agstacker's picture

Buy moar stawks asshole!

Mon, 02/10/2014 - 20:32 | 4421952 CvlDobd
CvlDobd's picture

I'm scared to discuss miners for fear of a smackdown.

Mon, 02/10/2014 - 22:10 | 4422320 Spitzer
Spitzer's picture

Me too... I want to take the buy high sell higher approach with gold stocks this time. They are up enough to interest me a bit...


But come 8:30 tomorrow , BOOM

Tue, 02/11/2014 - 12:53 | 4424061 CvlDobd
CvlDobd's picture

From a chart perspective the 150 ma was support during the run up in gold since 2009, once under it's been an uphill battle. Gold is at that MA today and the miners are lloking to get over their 200 for the first time in a long time. Important close we have on our hands today.

Mon, 02/10/2014 - 20:36 | 4421954 NoDebt
NoDebt's picture

Houston (via the Marriner Eccles building), we have a problem.  We're losing yaw control.  Please send help.  No, the other Kevin, not Kevin Federline.

Mon, 02/10/2014 - 23:16 | 4422590 BTFDemocracy
BTFDemocracy's picture

Do you want Bacon?

Mon, 02/10/2014 - 20:35 | 4421962 SilverIsMoney
SilverIsMoney's picture
Best Asset Since Taper


but....but...but....the TV said that it was gonna.....!!!!

Mon, 02/10/2014 - 20:43 | 4422004 Mr Pink
Mr Pink's picture

So when they untaper gold will go down? Makes perfect sense to me

Mon, 02/10/2014 - 21:04 | 4422073 fijisailor
fijisailor's picture

When they untaper they have a lot more freshly created virtual dollars to throw at suppressing with naked shorts.

Mon, 02/10/2014 - 22:37 | 4422386 Soul Glow
Soul Glow's picture

Remember, life is a realism.  There is a truth in life.  There exists an existensiality, a breath of the vapors, but there is a third dimension, and unless you have hightened your inner guru, you - as well as the majority of people - you are living in the world of hard truth.

Sure, truth can be manipulated.  It can be lied about and covered over.  Yet every beginning has an end, and the end comes - maybe not when people expect it - but it comes.

The Federal Reserve Bank of New York has manipulated dollar assets since 1913 - for 100 years!  They have done as they have seen fit - they use a psuedo-science to promote their math - they hire people from the credited institutions to push their theories.  Yet remember, these theories are no more sound than any other science.

Which philosopher has right?  Which is correct, quantum mechanics or string theory?  How accurate is archeology really - they didn't get the date on the Sphinx right until a decade ago and they were thousands of years off.  Political science?  I mean, political science??

And when we have McCain, Rodham-Clinton, Obama, running around trying to dictate our policy, what does that really say about where things are headed?

Obviously our creative minds - or lack thereof in the sense that real creativity does not manipulate but illuminates - are about to run into the wall of truth.  Truth is, paper means nothing.  Paper is as good as the tree it came from (no direspect to trees).  WHen it comes to money, it is precious metal - it is real.  Maybe there are people out there who don't want money, and good for them.  Let them rove, let them wander - but remember, at the end of the day, there are people out there that want money - they are tied to their future.  And those people will find gold the best resource there is to sustain their hopes and fears.

Mon, 02/10/2014 - 23:16 | 4422600 fijisailor
fijisailor's picture

Some people DEMAND that their labor's wealth be preserved and even passed on to future generations.

Mon, 02/10/2014 - 20:33 | 4421964 gwar5
gwar5's picture

Breaking Bad


Germany better their gold back before the FED paper settles them.

Mon, 02/10/2014 - 22:28 | 4422393 Soul Glow
Soul Glow's picture

Germany's gold is gone.  All gone.

Mon, 02/10/2014 - 20:39 | 4421967 superflex
superflex's picture


Mon, 02/10/2014 - 20:35 | 4421970 fonzannoon
fonzannoon's picture

Silver is clinging on to $20 by the bones in it's fingers. The skin and nails have already ripped off. $20....freaking amazing. 

Mon, 02/10/2014 - 20:39 | 4421978 NoDebt
NoDebt's picture

Skin and nails are overrated anyway.

Mon, 02/10/2014 - 22:35 | 4422412 Soul Glow
Soul Glow's picture

Silver is bouncing off of an obvious support level - $20.  Oil is being kept at $100/b, the dollar is being floated in the middle of its long term range, and silver is a twenty.  And the twenty is the bill of today.

Think about how a $20 bill will buy what you need when you want it.  Put one in your bill fold and you can get a great lunch, a nice dinner.  You could go to a movie, do this or that.  That is what silver does - it will solve your momentary needs.

Buy silver.

Tue, 02/11/2014 - 03:42 | 4423053 SilverSavant
SilverSavant's picture

I want some names, numbers and addresses.   Who for?   For whomever is always there to sell sell sell everytime gold and silver go vertical.   Really, I want to know the name or names of just who is doing the selling.   Not the name of the company, we already know that, I want the name of the person, so that I can meet that person on the street or at a party, or at a funeral. I want to know just who is the immoral son of a bitch that has caused me and mine so much heartache.   There is a wife who has depression, a husband sufferring with a depressed wife, many husbands getting asked those lovely questions about why the silver price is down.   Really, somebody knows the names.   Somebody knows somebody who knows.   I want those names.   I will pay for those names.   The time is long past when the world should know these names.  Then we should know the trail of names up the ladder to Jamie and Obozo's boss.  It is time to publish these names.   Let's take some real action and find the roots.   Let's find the taproot.  Let's find out where that taproot drinks it's water. 

Mon, 02/10/2014 - 20:42 | 4421998 Greenskeeper_Carl
Greenskeeper_Carl's picture

Ya it's pretty amazing. I should have my tax return in a couple days, so if kinda like it to stay around here. The old conundrum. I want it to go up because I'd really like to be back in the green on my miners, but going up a lot means I can't buy as much physical. Whatever. Ill believe this is going somewhere when it breaks above 22 or 23, and gold hits 1400 or so. I still expect a smack down tomorrow. Or the venerable overnight smack down with almost no volume.

Tue, 02/11/2014 - 09:14 | 4423352 Agstacker
Agstacker's picture

From it's previous highs I've been salivating at silver around $20 and stacking as much as I can, beats the living hell out of a savings account at the bank.

Mon, 02/10/2014 - 20:42 | 4421992 Cacete de Ouro
Cacete de Ouro's picture

It would be interesting to see how the gold price would act if for two weeks:

- there was no one manning the BIS fx and gold trading desks in Basle and Hong Kong

- There were none of Michael Cross's minions manning the gold desk in the Bank of England

- There was no one in the FRBNY plunge room in NY manning the desk

- there was a 2 week Comex/Nymex holiday

- The Five Fixers fucked off for 2 weeks (SocGen, Barcap, Deutsche, HSBC and Scotia)

- The ECB market supervisor bureaucrats beat it for 2 weeks

- The Banque de France gold trading desk takes a walk by the Seine for 2 weeks


Come back to me when that all happens and I will gladly look at the price in real time for two weeks nonstop



Mon, 02/10/2014 - 20:49 | 4422014 Cognitive Dissonance
Cognitive Dissonance's picture

There will never be a time when Gold is not manipulated. It is simply too precious to those who want it and too dangerous to those who attempt to usurp it's natural power.

There will however be times when that manipulation is more or less effective. I suspect we are nearing a time when the manipulation will be less effective.

Mon, 02/10/2014 - 21:37 | 4422177 disabledvet
disabledvet's picture

this has been by far and away the best performer since taper.
the commodity itself is up over 250% in just two is massively in demand and the Federal Government has forced an energy operator to "switch the flow" to keep a large number of people from freezing to death.

Can't wait for the export ban to be lifted of course.
Interestingly one reason for the huge trade deficit numbers of the past quarter are massive imports of energy into "energy rich America."

Mon, 02/10/2014 - 22:42 | 4422452 Soul Glow
Soul Glow's picture

There are markets outside of markets.

The institution calls them black, what do you call them?

A buyer will always find a seller, it just doesn't work both ways.

Tue, 02/11/2014 - 00:20 | 4422774 Boxed Merlot
Boxed Merlot's picture

The institution calls them black, what do you call them?...



I suspect even my local GM / Tesla dealer would accept a pocketful of gold coins for a new ride.

Tue, 02/11/2014 - 03:41 | 4423055 SilverSavant
SilverSavant's picture

I want some names, numbers and addresses.   Who for?   For whomever is always there to sell sell sell everytime gold and silver go vertical.   Really, I want to know the name or names of just who is doing the selling.   Not the name of the company, we already know that, I want the name of the person, so that I can meet that person on the street or at a party, or at a funeral. I want to know just who is the immoral son of a bitch that has caused me and mine so much heartache.   There is a wife who has depression, a husband sufferring with a depressed wife, many husbands getting asked those lovely questions about why the silver price is down.   Really, somebody knows the names.   Somebody knows somebody who knows.   I want those names.   I will pay for those names.   The time is long past when the world should know these names.  Then we should know the trail of names up the ladder to Jamie and Obozo's boss.  It is time to publish these names.   Let's take some real action and find the roots.   Let's find the taproot.  Let's find out where that taproot drinks it's water. 

Mon, 02/10/2014 - 22:19 | 4422350 Spitzer
Spitzer's picture

@ Cacete de Ouro

Good post

But you would think by now, that the underlying physical demand from small and big buyers alike, would eventually break the paper market . At least by now. Whats a thousand tons here and there ? A hell of a lot is what... Yet the market keeps on going. There seems to be an endless supply of physical ...


Tue, 02/11/2014 - 11:34 | 4423785 Cacete de Ouro
Cacete de Ouro's picture

There are physical pools out there that the central banks have got control of - Ask Antkowiak

Mon, 02/10/2014 - 20:42 | 4421995 Meat Hammer
Meat Hammer's picture

But you can't eat it!  See, I can eat an FRN.

Mon, 02/10/2014 - 22:04 | 4422282 Pool Shark
Pool Shark's picture



For an encore, can you eat a Bitcoin?


Tue, 02/11/2014 - 01:48 | 4422943 akak
akak's picture

Yes you can, but they taste terrible --- like Foneystar's taint.

Tue, 02/11/2014 - 04:05 | 4423083 SilverSavant
SilverSavant's picture

Go sit in the corner.   Bad doggie.

Mon, 02/10/2014 - 20:42 | 4421997 People'sRepubli...
People'sRepublicof CT's picture

If only stolper would put out a sell gold reco!

Mon, 02/10/2014 - 20:42 | 4421999 dark pools of soros
dark pools of soros's picture

glad I moved 15% of my IRA into CEF before the breakout..  should have a solid year

Mon, 02/10/2014 - 20:51 | 4422022 Flakmeister
Flakmeister's picture

Fifteen hundreds bucks ain't gonna matter one way or the other....

Besides, it is all about when to sell, not buy...

Mon, 02/10/2014 - 21:22 | 4422117 dark pools of soros
dark pools of soros's picture

I'll sell CEF once gold crosses $1600 later this year

If all you have is $10,000 in your IRA you should get a second job

Mon, 02/10/2014 - 21:29 | 4422147 Flakmeister
Flakmeister's picture

Let us know when your CEF share count is 5 figures....

Mon, 02/10/2014 - 21:33 | 4422155 superflex
superflex's picture


Mon, 02/10/2014 - 21:36 | 4422168 dark pools of soros
dark pools of soros's picture

you dont even have a cash account with 5 figures

Tue, 02/11/2014 - 00:02 | 4422727 Flakmeister
Flakmeister's picture
CENTRAL FUND OF CANADA CLASS A NPV NON-VTG ISIN #CA153501101 10,000.000 $14.080 $0.11 $140,800.00 $1,100.00 0.79%

Wed, 02/12/2014 - 03:13 | 4427139 dark pools of soros
dark pools of soros's picture

stop snooping in grandpas accounts

Mon, 02/10/2014 - 20:46 | 4422008 Mr Lucky
Mr Lucky's picture

The goldbugs are salivating, and getting a budgie. However, if you want to know when to buy gold, I suggest you read Martin Armstrong.

Mon, 02/10/2014 - 20:58 | 4422055 NoDebt
NoDebt's picture

With no sarcasm I say "There has never been a better time to buy physical gold."

I don't care if you bought it at $1900/oz at it's recent peak.  It's not to be TRADED, it's to be OWNED.  It is a store of wealth across large periods of time.  GENERATIONS, if necessary (preferred, actually).  

You won't own your current car in 50 years.  You probably won't own your current house in 50 years.  And you damned sure won't own the same stocks in 50 years.  But you can sleep at night knowing you WILL own the same gold in 50 years.  And it will still buy roughly the same amount of stuff in REAL terms 50 years from now that it does today.

When you get a little extra scratch together, go buy some.  Don't bankrupt yourself doing it, but pick up a little here and there.  And stop looking at the spot price.  In 50 years, today's price will look like Tinkertoys in an era of skyscrapers.


Mon, 02/10/2014 - 21:27 | 4422129 dark pools of soros
dark pools of soros's picture

is that the investment advice you slinging down in Rodney Square???   Best head down Smyrna with that..

Mon, 02/10/2014 - 21:57 | 4422251 CultiVader
CultiVader's picture

youre such a fucking douche bag pools...i hope u fucking suffocate under a pile of elephant shit and stop posting your negative/condescending/arrogant/smarmy responses...though your points are at times cogent and allude to financial culture intelligently, your attitide stinks up the fuck off and die asshole piece of shit motherfucking cockgobbler...there I said it

Mon, 02/10/2014 - 21:59 | 4422255 dark pools of soros
dark pools of soros's picture

haha you only been here 32 weeks.. this place went nutter nation the last few years so I am more sorry for your ZH experience than anything else..  fuck group think

Mon, 02/10/2014 - 21:34 | 4422162 Mr Lucky
Mr Lucky's picture

There is a time to buy and a time to sell. If you don't know the difference, there will ba pain.

Mon, 02/10/2014 - 22:30 | 4422390 Spitzer
Spitzer's picture

Martin Armstrong... Are you trading paper gold ? Jumping in and out ?


Have fun with that. I already have a monkey and a dartboard..

Mon, 02/10/2014 - 22:46 | 4422463 Soul Glow
Soul Glow's picture

You make buying physical sound easy!

Mon, 02/10/2014 - 22:39 | 4422415 fuu
Mon, 02/10/2014 - 21:54 | 4422237 Seeking Aphids
Seeking Aphids's picture

Actually I won't own anything in 50 ashes will be spread across the Pacifc and I will be but a memory in the minds of a few. Which brings me to my question: how can we make money (to be honest, I am referring to that worthless fiat stuff as that is what I use to buy things) with gold over the next 1-10 years? i have been long gold miners for a number of years and am hanging on in the hope/expectation that they will come back once the suppression is complete. I know we are supposed to buy and hold PM's but I would rather enjoy the wealth now......I will leave some to my kids but still, 50 years out is really not worth contemplating unless you are a saint.

Mon, 02/10/2014 - 22:32 | 4422409 Spitzer
Spitzer's picture

I am Canadian... So the cheap prices have been gone for awhile now. Gold priced in CAD has been hovering $1400 when it was following  USD prices quite closely

Mon, 02/10/2014 - 22:17 | 4422315 Bluebear
Bluebear's picture

Did Martin Armstrong give a buy signal when gold was 1180?  Is he going to tell us where the intermediate top is?  1294?  Will he give a sell signal then?

If he is not providing trading advice, but long term investing advice, I don't see it in his writings.

His views on gold are useless to both trader and investor.

Mon, 02/10/2014 - 22:37 | 4422428 Spitzer
Spitzer's picture

His views on gold are useless to both trader and investor.


That is the best description of this clown Armstrong that I've ever read.. He tries to disagree with as much views as possible to make himself look unique.

Mon, 02/10/2014 - 22:48 | 4422475 Mr Lucky
Mr Lucky's picture

No he did not give a buy signal when gold was 1180, because gold will retest the low.

Tue, 02/11/2014 - 02:05 | 4422968 Bluebear
Bluebear's picture

Fine, if he says that it is going lower, then in what time frame?  What is the price target?  If it does not reach the target in that time frame, then what does the trader do?  Go long?  Stay short?

Anyone who completely believes Martin Armstrong's story that he has an infallible computer system for prediction should have their heads checked...

Tue, 02/11/2014 - 04:32 | 4423098 Uber Vandal
Uber Vandal's picture

Per Mr "To The Day" MA, on October 1, 2013, gold should have smashed through $1000, on it's way to about $650.

But, back May 4, 2013, the model shows gold going up in 2014



Tue, 02/11/2014 - 03:17 | 4423030 Squid-puppets a...
Squid-puppets a-go-go's picture

and it will go lower than wholesale cost because....?


if it ever does it will be the shortest lived manipulation in the history of theives and liars

Mon, 02/10/2014 - 23:52 | 4422692 fijisailor
fijisailor's picture

These guys call it like they see it.  They might not be right but they sure are not afraid to make a prediction with a time frame.

Mon, 02/10/2014 - 22:39 | 4422441 Tim_
Tim_'s picture

"There is no giant long-term CONSPIRACY in anything."

According to Armstrong, there are no conspiracies.

"This is how Hitler went after the Jews starting with the bankers."

Except for the one against the jews.

Mon, 02/10/2014 - 20:44 | 4422009 madbraz
madbraz's picture

Zerohedge conveniently ommitted treasury bonds from the list - number one

Mon, 02/10/2014 - 20:50 | 4422027 Flakmeister
Flakmeister's picture

You don't really expect to get "Fair and Balanced" news here? Do you?

Mon, 02/10/2014 - 22:04 | 4422283 MsCreant
MsCreant's picture

What bias do you notice specifically?

Mon, 02/10/2014 - 20:59 | 4422050 SilverIsMoney
SilverIsMoney's picture

HEY FOLKS... $6 open in Hong Kong! Almost up to 1280! The success continues...

Mon, 02/10/2014 - 21:01 | 4422062 fijisailor
fijisailor's picture

OK sufiy and you other guys.  Where's that massive short squeeze with a close above $1270?

Mon, 02/10/2014 - 21:11 | 4422088 Ness.
Ness.'s picture

The smackdown happens when you're sleeping.  You know, hit every bid in the thinnest of markets, hoping to get the worst possible price.  You know, prudent investing 101 stuff ;)


If we close above $1270 tomorrow (US).  Shorts should be, well, I'll leave it to Judge Smails...


It's easy to grin / When your ship comes in / And you've got the stock market beat. / But the man worthwhile, / Is the man who can smile, / When his shorts are too tight in the seat.

Tue, 02/11/2014 - 01:01 | 4422869 Greenskeeper_Carl
Greenskeeper_Carl's picture

I've sent kids younger than you to the electric chair. Didn't wanna do it, just felt like I owed it to him....

Mon, 02/10/2014 - 21:07 | 4422079 Bastiat
Bastiat's picture

I'm looking at 1280 spot right now.

Here's a good read for gold bugs:

Mon, 02/10/2014 - 21:35 | 4422172 Mr Lucky
Mr Lucky's picture

Jim Rickards' advice will bankrupt you.

Mon, 02/10/2014 - 22:26 | 4422374 Charles Nelson ...
Charles Nelson Reilly's picture

Yeah, a 10-20% allocation of physical gold in your portfolio like he advises will really bankrupt you?!?

Mon, 02/10/2014 - 21:12 | 4422089 monopoly
monopoly's picture

Just the opening act. The finale is way way down the road.

Mon, 02/10/2014 - 21:19 | 4422112 Bastiat
Bastiat's picture

On a long enough timeline the survival rate of every fiat currency drops to zero.

Mon, 02/10/2014 - 21:49 | 4422219 Pareto
Pareto's picture

Here comes the reality check for the FED that James Grant eluded to in December, in my opinion.......ok......I'm going to write it again for those that never saw it The FED can change what things look like, but, the FED can never change what things are.  

Mon, 02/10/2014 - 22:15 | 4422327 Dr. Venkman
Dr. Venkman's picture

That was rare moment of clarity on CNBC.

Mon, 02/10/2014 - 22:25 | 4422379 Pareto
Pareto's picture

Yup.  In 17 words he utterly destroyed (blew it to bits), any reason for anybody with half a brain to not understand the true essence and end result of FED policy.  We have all on ZH read diatribes and treatises on this subject.  But that moment when Grant handed Liesman his ass in like 5 seconds - there was nothing anybody, anywhere, that could say anything to refute or bury such clarity.  ZH should post that discussion again.  It should be a permanent link here somewheres just to keep us (me) grounded when we see the batshit crazy crap that will inevitably occur as this intellectual chaos continues. 

Mon, 02/10/2014 - 21:15 | 4422100 monopoly
monopoly's picture

Tyler, what is going on. Now $1,282.00?


Mon, 02/10/2014 - 21:16 | 4422104 Bastiat
Bastiat's picture

. . . and then some.

Mon, 02/10/2014 - 21:26 | 4422128 Australian Economist
Australian Economist's picture

One of my miners is up 65% since Jan 1st!


Shame I bought in August so I'm still down 15%

Tue, 02/11/2014 - 01:06 | 4422877 Greenskeeper_Carl
Greenskeeper_Carl's picture

Ya I'm in the same boat. I keep seeing them close in the green lately, but I still have a little way to go to get out of the red from buyin them last year.

Mon, 02/10/2014 - 21:36 | 4422166 DavidPierre
DavidPierre's picture


Jim Sinclair in Austin Tx.


I had the pleasure yesterday of hearing Jim Sinclair speak to a packed room.  I met up with GATA/Lemetropole cafe's Bill Murphy ahead of time for lunch and then we headed on down to the conference.  Jim was in Dubai for most of the past week (on TRX business) and flew 24 hours to make the conference. Though he claimed a massive case of jet lag, he was sharp, witty and did what I had "hoped" he would.

If you read Jim's website then you know that "he goes there" on nearly any and all topics financial and normally doesn't pull any punches. I have seen him speak several times before this . If you listen carefully he says more than he writes, he did not disappoint yesterday!

Before going any further I want to give you an idea of "who" Jim is. He started right out of the box yesterday saying that "honor" in the financial world is completely gone and that fraud is everywhere. Through his words to us you could feel his "genuity" both intellectually and spiritually. I would have no problem ever doing any deal of any size on a "handshake" with him. I've trained in various martial arts for 27 years and consider him the "master's master" of finance, not surprisingly his "Eastern studies" show through if you know what to look for.

OK, so what did Jim tell us? He did do a recap of derivatives and said that any and all "pre Lehman" derivatives are worthless and that "bail ins" are scary as hell and probably inevitable. Because "honor and integrity" are long gone, no one really knows what they have in their bank accounts. Your bank statements can say whatever they say but you won't know really know what you have until after the dust of bankruptcies and bail ins has settled. He spoke of gold's "triple bottom" and believes it highly unlikely that the $1,180-$1,200 level will be broken or even tested again. He rightly pointed out that gold has been acting very differently recently and the "feel" has changed 180 degrees. He also does believe that the bullion banks have now become long rather than short and they will again as they did in 1979 make more money and faster than anyone else in the gold arena.

He said that even if another retest of support or even a break were to happen it will be meaningless in the big picture. Gold and silver have been manipulated "too low" in price (under the cost of production) and that the unintended consequence of creating excess demand (especially from Asia) has put them on very solid ground and in very strong hands. The "pricing" mechanism of gold and silver will change, COMEX will become a "cash settled" market and become irrelevant while the "physical settled" markets (like the one he is chairing in Singapore) that are popping up in Asia will come forward and become the pricing mechanism. He also believes that 2014 will be a year of many many "events" which will cause changes and inflection points unlike any years in the past. He believes the Euro will rise (because the dollar will drop) and that ".56" on the dollar index is the obvious target. Not surprisingly he believes that Janet Yellen will flinch on "taper" and that "QE to infinity" will resume when she goes dovish. This action by the Fed will probably move our stock markets higher and the lows may already be in.

Privately during a break, Murphy asked Jim that if the bullion banks were now long, who would take the short side? The answer to this was "no one"...which would cause air pockets to the upside. Air pockets as in no offers and flash crashes upwards faster, greater in size and more violent than we have experienced to the downside. This is something that I've written about many times which would lead to a "reset". My personal opinion is that we can see one occur at any time, Jim disagrees as he believes it may occur 2-3 years out. This "3 years out" by the way is how long he believes that the next (he believes it may have already started) bull move will last which after listening to him will terminate in a "great reset".

He had already told us all of the above through his writings, what follows is what he told us but has not put in print to my knowledge. During the Q and A session he was asked about silver. Much to my surprise he is wildly bullish! In past sessions (and writings) whenever he was asked about silver he would say that "I am a gold guy", he was reluctant to and rarely spoke of silver. This has changed, he said and I quote "silver will lead and it will be gold on steroids". He followed up by mentioning that you will need to make a decision in the future about silver, while it will outperform gold by a huge margin there is a "monetary event" out there somewhere and that a decision will need to be made as to whether to hang on to your silver or to swap into gold. Don't worry, he was not talking "now", now he believes that silver will trade to $50 and possibly even $100 this year.

Another shocker to me was when a question was asked regarding the (waning) status of the Petrodollar. The questioner mentioned that in the past, whenever the dollar came under attack the U.S. would respond in some measure to support it, "what might the U.S. do this time around?" was the question. Jim answered bluntly and with one single sentence..."bomb Saudi Arabia". There was an audible gasp from the crowd as this would be horrific...but guess what, it's very true in my opinion. First off, were Saudi Arabia to accept anything other than dollars for their oil, that would be THE event that put a nail in the dollar's coffin. I have written on this subject before that our "allies" Saudi Arabia and Israel have been thrown under the bus regarding Syria and Iran. His answer was very logical yet you could feel the shockwave through the room as he said it.

I stood in line to ask a question and naturally 2 of my questions were asked and answered while in line but Jim said something that I had not seen him definitively print before. He was asked about the German gold and he bluntly said "it's gone". He said (and I love the common sense and down to Earth analogy) "if I owe you $100 and you only pay me back $1.50, then you are either a deadbeat or you don't have it. The German gold is gone". Another question while standing in line was about his "crazy" (in his own words) speculation that gold could even go to $50,000 per ounce at some point. He mentioned that a Goldman Sachs analyst (I did not catch the name) had also done a mathematical study and came up with the same number of $50,000 so he was no longer the "only crazy one out there" anymore.

So I got to thinking and put these 2 together as I have written on this in the past. To come up with a mathematical number for gold's price you must have 2 pieces (really 3) of information. You must know exactly how much gold there is and how much money supply (and total debt) in order to do the math correctly. In other words you need a numerator and denominator to put into your calculator (because we can no longer do math in our heads anymore) to come up with an answer. The amount of total gold held is your numerator and that is divided by money supply/debt as your denominator...and presto you get a number.

So this is what I asked, "today is the very first time to my knowledge that you've said the German gold is gone, we have not had an audit since 1956 of the U.S. gold so that may also be gone (I kicked myself later because I did not ask him what he believed the U.S. gold holdings actually are). How can you or anyone else mathematically come up with a dollar price of gold if in fact we don't have any left? In order to come up with a true final number, we must have a real number as the numerator. If the numerator is zero then the price of gold in dollars is actually infinity?". Jim's answer to this was simply "you cannot, this is why I always say that gold may go to prices that amaze even me".

To finish, I want to thank Mr. Sinclair for everything he has done over the last nearly 15 years for us "little guys". He has put more knowledge (for free) out and into the public on what was coming and how to ultimately protect yourselves than anyone else. He was asked "why" he did this, what motivated him? He wittily said that "Attila the Hun killed, Mother Theresa's what they do", he explained that trying to help people get out from in front of the coming economic and financial train wreck is "what he does". When listening to him speak you can feel this, it's a "heart thing" and an act of selfless honor.

Jim Sinclair is truly a "master's master"!

Mon, 02/10/2014 - 21:51 | 4422229 fijisailor
fijisailor's picture

Thanks for the report.  I read Jim's web site regularly and it's great to hear from someone at his symposium.

Mon, 02/10/2014 - 22:14 | 4422325 Alea Iactaest
Alea Iactaest's picture

Thanks, DP. I try to stop by the cafe daily. All your efforts are much appreciated.

Mon, 02/10/2014 - 22:17 | 4422335 Soul Glow
Soul Glow's picture

Gold.  Is.  Money.

Nothing else is.

Mon, 02/10/2014 - 22:49 | 4422495 Mr Lucky
Mr Lucky's picture

All money is fiat. At some point they will take  money digital in order to track track it. There will never be a new gold backed currecny. 

Mon, 02/10/2014 - 22:58 | 4422527 Soul Glow
Soul Glow's picture

You are using the parameters of what the mass media is telling you.  They have wants and needs and they are pushing them on you and you are believing them!

They, they will make requests!  We will either agree or not!  We have the choice!!

They want this yes.  Will it happen?  Will we choose to forget how to trade without institutions?!

Have you forgotten?!?!

Mon, 02/10/2014 - 22:59 | 4422545 jim249
jim249's picture

I can still rememeber those silver dimes quarters halves and dollars. That was money also and still is.

Mon, 02/10/2014 - 22:22 | 4422349 Kirk2NCC1701
Kirk2NCC1701's picture

If you're a gold trader/broker, you gotta love these upticks of a Sideways markets.  After all, there are precious fees and margins to be made from a "Dope on Hope".

Wake me when it's above $1800.

Mon, 02/10/2014 - 22:30 | 4422394 stateside
stateside's picture

2 gold closes over $1,280 forces the major shorts to cover and the gold Jr stocks start going gaga. 



Mon, 02/10/2014 - 22:36 | 4422420 webbie
webbie's picture

Gold up 300% since 2000

Bitcoin up  10,000% since 2012....

Either one better than counterfiet stocks but I sure am glad I picked Bitcoin. lol

Mon, 02/10/2014 - 22:55 | 4422500 Soul Glow
Soul Glow's picture

Why compare the two?  One is - or has been - outside the manipulation of the Fed and all their institutions.  The other is a physical good, something you can hold.

I don't mind a trade, in fact I respect it.  I have called equities up until last year (from the bottom, mind you).  I don't care what you put your cash in.  Just remember, paper is momentarily worthless, so if you can trade it, well, you are a thief in the night, a road warrior, a rebel.

At the end of the day though, there is only one trade for the smart, and it is precious metal for whatever ails you.

Mon, 02/10/2014 - 23:27 | 4422626 webbie
webbie's picture

I agree with you that Gold has been heavily manipulated...but in my opinion Bitcoin just has more utility in this "internet-age" than say Gold. Gold is good for an insurance against the bankers' ponzi schemes but I can't buy a pair of shoes over the net with a shaving of gold...

And if one's rebutle to that is, "well if the power goes out..." then they fail to realize how much of a non-factor gold and bitcoin would be at that point. Hell seeds and bullets would hold more value than both, in a scenario as such.

Tue, 02/11/2014 - 00:34 | 4422805 Soul Glow
Soul Glow's picture


Seeds, bullets, gold, that order.

Bitcoin or anything else.

Oh, and I'd rather have a tractor than bitcoin to barter with in that scenario.

Tue, 02/11/2014 - 00:41 | 4422817 greggh99
greggh99's picture

Nope. People still need money. In a collapse, gold and silver are money, maybe the only money people will trust. Bitcoin is nothing at that point.

Mon, 02/10/2014 - 23:40 | 4422666 Tinky
Tinky's picture

We'll see who has the last lol.

Mon, 02/10/2014 - 23:12 | 4422579 QE49er
QE49er's picture

Hi I'm William Devane. 

You know buying Gold is not about making lots of's about making a shitload of money in this ponzi scheme fiat monetary system that's about to implode. 

Seriously, what's in your safe?

Mon, 02/10/2014 - 23:16 | 4422592 TheWord
TheWord's picture

Hmmm...somebody get a sneak peak at Yellen's testimony, perhaps?

Mon, 02/10/2014 - 23:19 | 4422602 The Duke of New...
The Duke of New York A No.1's picture

NSA phone tapping intercept between the BUNDESBANK and the FEDERAL RESEVRE;

Ring, ring, ring... ring, ring, ring...

> "Hello."

> "Hello, dis is da Bundesbank calling, we received only 37.5 tons of our Gold in 2013, we were expecting delivery of another 50 tons of our Gold... where is it?"

> Click noise.

> "Hello, dis is da Bundesbank!, is anybody there?, hello?, hello?, hello?... is anybody there?"

> Blank dial-tone sound.

> "Heilige Scheiße, jemanden anrufen Baffin, ich denke, wir haben ausgeraubt worden!"

Tue, 02/11/2014 - 06:12 | 4423184 Sufiy
Sufiy's picture

Unprecedented Total Chinese Gold Demand For 2013 Was 2,181 Tons 

 Yesterday WSJ, Reuters and Bloomberg have created a lot of buzz in mass media about unprecedented Chinese Gold demand of over 1,000 tons in 2013. Koos Jansen reports that actual demand was almost double that and stands at 2,181 tons of Gold, excluding PBOC purchases! Gold is trading higher today at high $1287 in Asia after breaching $1270 level. The Mother Of Short Squeeze has finally arrived in the Gold market and Janet Yellen testimony today will provide the catalyst.

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