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Gold Hits $1235 As Commodities Crash To 12-Year Lows Amid $45 Oil
The only other times that Bloomberg's broad-based (i.e. not all OPEC's fault) Commodity Index has fallen so far so fast was in 1999 (before stocks crashed) and 2008 (before stocks crashed). At 12-year lows, the raw material of the world's economies is flashing a big fat red warning signal that all is not well (despite stocks being a 'smidge' off record highs). WTI traded with a $45 handle... but apart from that, everything's great (oh wait and the 230 pip USDJPY roundtrip). Amid all this turmoil, gold just broke to $1235 - its highest in a month.
Gold is resurging...
As Commodities are at 12-year lows...
WTI trades with a $45 handle...
And USDJPY is in trouble...
Charts: bloomberg
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My son-in-law is interviewing for a job at the St. Louis Fed this week! INto the Belly of the Beast.
oil 20?
Prince Alwaleed bin Talal, the eccentric Saudi billionaire once labeled the "Arabian Warren Buffet," says that oil will never again reach $100 a barrel. "The price of oil above $100 is artificial," he said. "It's not correct." That's in an interview with…
lateast:
http://tersee.com/#!q=oil&t=text
Anyone besides me notice how Platinum always stays higher than gold? In order to maintain the image of gold being merely a commodity...
Gold and silver are money.
I think more accurately, fiat notes and accounts are currency as they serve as a medium of exchange.
But more specifically fiat currency is CREDIT, unlike gold which is money.
..at least that's what old, dead J P Morgan, who is burning in Hell maintained.
One must ask, does gold crash when stocks do?
Will stocks and gold hyperinflate together?
What happens to gold when the dollar falls as it's rising with the dollar?
During a deflationary crash, money buys more and more goods.
Expect gold and silver (money) to get stronger and stronger during the deflationary crash and during the hyperinflation that follows.
correct......AND don't forget the "fear" factor coupled with the loss of CONfidence in fiat
In a relatively honest market gold and equity, as real assets, should rise together.
In the last three years of the western Ponzi market, gold has been aggressively but covertly suppressed by the banks and “policy makers”.
Hyper-inflation is a bit of a misnomer as, what is really happening is that the fiat, which people are losing confidence in, is deflating in value against real assets/wealth which are intrinsically valuable.
In the Weimar,Germany hyperinflation, shares and gold shot upward in fiat valuation together until the fiat German Mark was dramatically re-valued downward..
Gold has the advantage of being more fungible than shares, real estate or certain other hard assets.
As long the world buys into the dollar Ponzi, the bankers can continue to suppress it in dollar value.
When the world loses confidence in the dollar’s ability to hold its value, gold will “necessarily skyrocket” (creds to the Choomster for that term).
Because of the paper scam at the LBMA forcing down the price, there is almost no physical gold or silver circulating.
Expecting gold and silver to launch well before there is a general loss in confidence of paper money as the rig is visible to enough people who will just remove the smidge of physical that is available.
There. Just finished loading up on junk .925 silver. Great buys and now topping off on food commodities for insurance. 11 Cords of dried hardwood, old wood cookstove, and wood stove. Propane tanks full and propane/gas generator on standby. Locked and loaded and closing up shop...
See you all on the other side... God speed.
Good for you El, but please note that junk silver is "90%", whereas "sterling silver" is 92.5%.
Tuco
During the last crash, the paper price of gold crashed right along with stocks. Why? Because most of the people holding paper gold had margin calls. Why? Because there was no more "value" to be had (Stawks were close to all time highs) unless you used leverage to goose your returns higher.
Gold will fall during a deflationary crash as there is less fiat USD to satisfy fiat USD based demand as people move into liquid "safe" assets. Gold can not be used to pay USD liabilities therefore will experience some liquidation to meet immediate USD based liabililites as events unfold. This occured during 2008 and isn't too suprising.
However, if USD injections do occur and manage to bring the demand / Supply of USD back into equaliberium, then gold will (again) reign superior like it always does in the longer run.
Remember Greensapn - "gold is a premier currency" and also his comment that no fiat currency including the USD can match it.
Don't speculate on fiat this, fiat that.
Gold and silver are the ultimate currencies.
Greenspan is also the douche who let the technology bubble form, pop and then as a remedy to fix such popped bubble, he created artifically low interest rates which set the stage for the financial crisis. The only reason why Ben and Yellen exist is because Greenspan blew up the global markets, twice!
Gold is a shitty currency but a sexy avenue for wealth protection.
Greenspan did a specific job while at the Fed with full knowledge of what he was doing.
The job is done. Back to reality.
Today 2 oz of gold will buy a milk cow...after the crash an oz of gold will buy half a milk cow.
Ohhh, you meant stocks...not livestock.
The FED's HFT Algo Commands Can Do $2. Oil If They Want...
Platinum is heavily used as a catalyst among other things and is a mostly hard thing to mine and most of it is produced as a secondary to copper in the refining process.
Platinum is a bit more scarce than gold. It is also not subject to as much insane 100-1 leveraged COMEX manipulation.
Noticed your handle, Mosin or Dragonov?
Platnium is 15 times more scarce than gold!
"Ectasy of Platinum!"
Tuco
The .1% ers Are Getting Into Physical PM's... Thats About It.
Hell, even the 99%ers are starting to get a clue. Silver coin sales are still skyrocketing, despite the $13/oz price crash orchestrated by the SLV.
JP Morgan is buying all the silver eagles and maples...wonder why if paper pms is so good?
uh, no they're not.
You must really hate your daughter.
Unless he is planning to strap a bomb to himself and kill the Reserve board, I would disown him.
Or at least expose some juicy secrets.
Or piss in the lobster bisque, just once.
"My son-in-law is interviewing for a job at the St. Louis Fed this week! INto the Belly of the Beast."
media experience helps
Former Warner Brothers Chief Barry Meyer Joins Board of Federal Reserve in San Francisco
http://variety.com/2014/biz/news/former-wb-chief-barry-meyer-joins-board...
DEATH TO THE MONEYCHANGERS.
"Gold hits $1235"
Wait for it...wait for it...wait for it...waaaaaait for it.......aaaaaaaaand it's gone!
Gold is not just money, it's also value. So why is everybody always so fixated on the pricetag?
$1235 is just a number, what matters most to me is what value gold will have after the whole house of card has collapsed.
Gold fat finger? That commodity just shot up to $1234, not crashing.
That's because its a currency, not a commodity.
Wrong. It is MONEY. Dollars, Yuan, Yen, and Euros are CURRENCY.
They are playing with the paper market but things will suck if people start calling for delivery of contract because COMEX etal can't cover it. I think this will be one of the big collapse signals.
If my name was Putin I'd buy all those naked paper gold shorts that keep getting dumped on the market, and request delivery.
I'd like to it myself really....
'Course, darlin'! It's risk off time.
I dunno why, but it reminds me of Tom Waits "Heart of Saturday Night", think'n that everything's OK, just paper over the week....
https://www.youtube.com/watch?v=f7UHd7NVegE
"Then you comb your hair
Shave your face
Trying to wipe out every trace
All the other days
In the week you know that this'll be the Saturday
You're reaching your peak?"
"It'll be like somethin' you've never seen before ..."
An UPTREND appears to be in progress ...
As Bush the Lesser put it:
Bring it !
Something will give.
PLANET SUCKO !
where everything sucks Donkey
most humans suck donkey dick, confirmed,ha...
More like the planet Klepton.
lol
He will defend banksters of people, great job.
Too bad gold and silver has not followed it down. I don't get this. I know I can do and make real shit if I have oil. PMs are just "barbarious relics" yet their price has not fallen at all? WTF?
re: Oil price drop
3 Billion people just now have more money to buy Gold and Silver.
The question is who is betting on what and in which direction? Thank god the market isn't rigged or anything.....
PMs are barbaric...when the Barbarians are at the gate, people want gold. Because Barbarians will accept gold to spare your life.
Offer a Barbarian your credit card and you'll have two seconds to say your prayers.
PM's and Bonds work really well in these situations...
I remember when Knuckles argued precisely this combination close to two years ago when bond yields were getting crushed. He might have been early, but, I like to think he was spot on.
It should be getting clear now: gold is not a commodity; gold is money. This is what deflation looks like as money buys more.
Is there NO intellectual integrity left here, when it comes to Gold?
Look, I have it and love it, but... c'mon... "Money is a store of value". So talk to me about said 'Store Of Value', Tyler and Goldbugs. Remember $1800?
Call $1235 a Surge? That's not a surge, comeback or anything. It's just a brief up-tick, a rebound of a few percent from its crashing and thrashing. Remember $1800?
Facts, stats and numbers matter. Especially here. Talk to us when it's ramping up to $1800 or more. Can't stand BS and hypocrisy. Not even -- and especially -- from my own ranks, because that's how the rot starts: from within. In the meantime, step away from that ZH goldbug water cooler!
Talk to me about gold prices and "Manipulation" by the Fed, Wall St, when the true beneficiaries of these price-beatings are those who benefit the most: the Saudis and Chinese (who, BTW, also treat it as an Insurance Policy, not as a destination). A rational person would therefore have to conclude that the Saudis and Chinese are far more likely to be behind said 'Manipulations' than just the Usual Suspects.
Gold: An asset, an INSURANCE POLICY, jewelry. Hasn't been "money" in our lifetimes and likely won't. Rational responses are welcome. Irrational ones or useless Ad hominems (that distract or re-direct and waste time) are not.
p.s. Ask yourself: "Just how much should a sane and rational person spend on any 'Insurance', before they are no longer rational, not deemed 'sane', or deemed as having a hidden Agenda?"
So you agree with Bernanke that central banks hold gold because of tradition? Or Greenspan who says it's money - perhaps the ultimate money?
The Fed is too busy manipulating oil lower to pay attention to gold.
The gold:oil ratio is 26....time for something to break...
Gold:Silver = 72:1, just sayin'....
I know! Too bad silver is so heavy and bulky in plausible values. However, you didn't finish your story, so I will.
Silver is roughly 16 times more common in the earth crust than gold, hence the notion silver should be roughly 16 times cheaper than gold. And so, 72:1 is definitely rather extreme, as you're "just saying".
But (from memory), I think gold is roughly 16 times more common in the earth crust than platinum, hence the notion... ehhhh... maybe platinum should cost about $20,000 per ounce? Yet today gold costs $1240/oz and platinum costs $1235/oz.
!!!!!!! :-o !!!!!!!
As a hard-core gold bug, I have to say...
I wanna get me some platinum [and silver].
On the flip side, with the global economy crashing the way it is (while the liar mainstream media and government screaming "the economy is starting to boom again"), sales of cars (platinum) and other industrial and consumer goods is already falling off a cliff, which doesn't bode well for the demand side of the issue (while gold still looks better than fiat during world-wide financial and economic collapse).
So.... just saying.
Exactly but not yet. My near term targets are gold $1265, oil $43.70 and HUI 208. At that point we should see a strong move up in oil, gold and the HUI with a breakdown in the dollar.
Short oil is the stupid play but long NUGT might be a safe play here and maybe buy some USO.
Buying up oil shale plays after they fall into bankruptcy court ( due to being unable to service their debts ) might be a good notion.
Probably not, the good wells won't be sold off in a bankruptcy proceding. Bad debt is always marked down so it's the HY junk bond owners and stockholders that get screwed. Management and assets mostly stay in place. Posters on ZH will never stand a chance of making a penny on any of those kind of deals if they do happen and I seriously doubt they will.
So far, Greenspan more or less called the bottom to the CFR elite in the case of the mistakenly omitted comments.
Kum bay ya, my Lord, kum bay ya;
Kum bay ya, my Lord, kum bay ya;
Kum bay ya, my Lord, kum bay ya,
O Lord, kum bay ya
Gold isn't money(?).
Bogart had it right.
"The stuff dreams are made of"
Flight to safety. I'm sure the Fed will whack it soon to make it look less safe.
Lots and lots of numbers are coming in making it look like we're in the beginning of a 2008-type implosion. At least the non-cooked numbers are saying that.
We may be seeing proof that Gold is money.
unknot the panties one short squeeze or liqidity scare is not a new bull market in gold, when 1265-72 rols around short the bitch it is going to 1100
if and only if you think the $USD is launching higher. I'm not convinced thats the case.
ZH mentioning gold is moving higher seems to always be a jinx, like an announcer saying this guy has made 15 freethrows in a row, and sure enough the next one is a brick.
KKKevin and the boys were still recovering from the blow and hookers over the weekend.
I fully expect the regularly scheduled XPM monkeyhammering to restart on the London open.
Slipping off now actually....
FWIW
Cheers
So gold is almost like money? Who knew!
Might be time to stack a few barrels of off road diesel.
I only want them to keep it down for say, another 6 months or so. Just long enough for me to get one more 'treasure-hunting' season in before it starts going up.
And it would be extra-nice if there were several of the "gold is a worthless relic!" types of stories in the MSM. Keep the estate-sale folks from deciding to take another look through the 'old jewelry' before stuffing it into a zip-lock bag and slapping a 5$ price sticker on it.
I've been finding some REAL nice items in the junk jewelry these days, people have gotten VERY careless. Even those who know there might be nice pieces in the pile don't seem to care. I stopped at a yard sale last year run by 2 old ladies. They had a table with jewelry, all marked 1 dollar each. Most were sterling, one or two were 14k, and heavy-assed old pieces too, so being an honest person I mentioned that they could get more for their pieces if they sold them for scrap.
One of them snorts, gives me this over-the-glasses kinda look, and goes, "I don't have time for all that shit."
O-kayyy...not a problem, Ma'am. I did a one-arm sweep of the table and bought it all, a truly amazing haul. (I'm an honest person, but I see no reason to be pushy about it.)
You are a good guy...but as my guru told me..."Take the money away from them, before they hurt themselves with it."
Thrift stores have good deals often about what bullion sells for, stones usually end up free.
We've been saying for a while now that gold will rebound significantly before continuing its trek downward.
http://www.globaldeflationnews.com/gold-elliott-wave-update-for-week-end...
The fat lady has arrived and is now backstage strapping on her 42DD bra with extra uplift.
Keep stacking. The blowhorns are telling you that he bottom in precious hasn't arrived. This is transitory they will say.
Ah yes, the ratcheting effect. If gold can stay here at this price under these circumstances when the boys are throwing everything at it but the kitchen sink, then think where it will be in 6 months to a year or three years from now.
*In over 6000 years of monetary history their has not been one FIAT Currency that has not gone to ZERO... I'M JUST SAYIN...*
And so, given that fact, the only sensible interpretation of the fact that humans allow predators to foist fiat upon them again and again (and regulate and make rules for banks and financial markets) is... humans are absolute, complete abject morons. And stupid too. Not to mention brainwashed from K to 12 and beyond, which might explain a bit, but not forgive.
We're saved! I mean doomed!
Or is it both?
Schroedinger's Boat, anyone?
I'm waiting to see what happens with Europe and their supposed QE on the horizon. If that happens the dollar should spike causing a drop in PM's for a sustained period of time.
Atleast that is what the history of his FUBAR economy has been.
We are a dirty shirt but we don't have blood, urine, feces, and cum stains on it...... that you can see.
Reminds me of a joke I heard a long time ago.
A guy wasn't feeling well so he goes to the doctor. He tells the doctor his ailments. After a few minutes the doctor says I'm going to have to run a few tests. The dr. Says he needs a blood, urine, stool, and semen sample.
The patient said, "I'm in a hurry. Can I just give you my underwear?"
The reflections in this forum are directly related to current discussions on the evaluation strategies of scientific production in Brazil. Refer also to the postgraduate system of evaluation of the subject in the country in which locus produces a significant portion of science and technology. Therefore emerge in very good time. Reiterate, for example, that the area of Public Health has robust knowledge serving vehicles in Brazil, which also stand out in the Latin American context, as indicated by SciELO data. In addition, analyzes that are not only reveal patterns of relationship between communities and areas of Public Health, but also point to the need for constant critical exercise about the modalities of knowledge placement. Not least, show that there is a need to deepen and diversify the investigation into the issues raised, which are still timid in the Brazilian context. Ripped Muscle X