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Gold & The Federal Funds Rate
Submitted by Pater Tenebrarum via Acting-Man.com,
Wrong Assumptions
It is widely assumed that the gold price must decline when the Federal Reserve is hiking interest rates. An example is given by this recent article on Bloomberg, which informs us that SocGen believes “gold will be a casualty of Federal Reserve policy”. Never mind that the assumption that the Fed will now be able to simply embark on a “normal” rate hike cycle is in our opinion utterly absurd. It will only do that if the inflation genie unexpectedly gets out of the bottle, and is guaranteed to remain “behind the curve” if that happens (more on this further below).
It seems logical enough: gold has no yield, so if competing investment assets such as bonds or savings deposits do offer a yield, gold will presumably be exchanged for those. There is only a slight problem with this idea. The simple assumption “Fed rate hikes equal a falling gold price” is not supported by even a shred of empirical evidence. On the contrary, all that is revealed by the empirical record in this context is that there seems to be absolutely no discernible correlation between gold and FF rate. If anything, gold and the FF rate exhibit a positive correlation rather more frequently than a negative one!
Let us look at exhibit one – the 1970s:
So the gold price is falling when the Fed hikes rates? Not in the 10 years depicted above, when it did the exact opposite. It rose by 2,350% over the decade, and the vast bulk of the increase happened while the FF rate rose sharply. Gold did however plunge by almost 50% in a mid cycle correction from late 1974 to mid 1976 – while the FF rate actually went down – click to enlarge.
So the guessers at SocGen might actually have improved their statistical odds a bit if they had said “now that the Fed is hiking rates, gold prices should rise”. The reality is though that even if they knew perfectly well what the Fed was going to do next year – which they don’t, as not even the Fed itself knows – they could not possibly make a correct gold price forecast based on that information.
Let us look at a few more historical data – here is the gold price and the FF rate from 2001 to 2015. The best interpretation one can come up with on the basis of the raw data is that there simply exists no fixed correlation:
Gold and the FF rate since 2001: What the gold price ends up doing seems to have very little to do with the federal funds rate – click to enlarge.
It Simply Isn’t That Simple
Now, if you have taken the time to read the article at Bloomberg we linked to above in its entirety, you will have noticed that it actually offers no analysis whatsoever. The SocGen analyst quoted by Bloomberg is simply parroting the current consensus.
In August of 2011, the same guy would probably have told us why gold was certain to go higher over the next year (this is beside the fact that Wall Street loves to hate gold – after all, a rising gold price most of the time coincides with bad business for WS).
The way markets – and the economy for that matter – appear to be analyzed most of the time is as follows: a ruler is applied to the most recent tred in the data, so as to be able to extrapolate a target. Then stuff is made up to provide “reasons” for the forecast. This is quite an easy exercise, because at any given time, statistical data can be used to support just about any forecast.
This is why one first needs a correct theory – theory will help to constrain one’s forecasts (certain things are simply not possible) and can be used to properly interpret historical data. The data are practically useless by themselves. Naturally even a reasonably good grasp of theory will by no means ensure that one will be able to make a correct forecast – especially not in terms of timing. Considerable uncertainties will attend any attempt at prediction.
However, we can be absolutely certain that 99% of mainstream financial and economic analysts will fail to correctly forecast turning points in prevailing trends. The analysts quoted by Bloomberg will never tell us when the trend is going to change.
Once the trend has changed, they will however begin to “explain” the new trend to us at some point and forecast its continuation – after it has been underway for about three years. In the case of gold it may take a bit longer – last time they realized it was in an uptrend, the trend was about to celebrate its 10th birthday :)
Obviously, things are not as simple as these analysts are making them out to be.
The Fundamental Drivers of Gold
We have recently made an updated list of the most important fundamental drivers of the gold price – not necessarily in order of their importance. Moreover, many of these drivers are obviously not independent of each other. Here is the list:
- real interest rates, as determined by the difference in market-derived inflation expectations and nominal interest rates
- the trend in credit spreads
- the steepness of the yield curve
- the trend of the US dollar
- faith in the banking system’s solvency
- faith in the monetary authority
- faith in government more generally (with a special focus on fiscal policy)
- the trend in risk asset prices
- the relative performance of financial stocks vs. the broad market
- the rate of change in money supply growth
- the demand for money and the desire to increase precautionary savings
- the trend in economic confidence in general
- the trend in commodity prices
Below we show a simple chart that serves as a quick explanation why the trend in the federal funds rate as such is not relevant to the gold price. It is “simple” in the sense that while it is connected with point one of the above list of fundamental gold price drivers, it doesn’t employ a proper calculation of real interest rates (which would involve deducting expected price inflation rates from nominal interest rates).
Instead we have merely calculated the real federal funds rate by deducting the annualized rate of change of CPI from the nominal FF rate. This has not only saved us a bit of time (since the proper calculation mentioned above involves more steps), but it also keeps the focus on the one interest rate the Fed actually controls.
The “real” federal funds rate vs. the gold price. This obviously provides a much better explanation than the simple (and completely wrong) formula “FF rate up/gold down, FF rate down/gold up” – click to enlarge.
If one looks at the above chart more closely – readers can easily zoom in and out of it by constructing their own version at the Fed’s FRED database (in order to illustrate the point, we will show a close-up of the 1970s period below though) – one can see that even the real FF rate is only part of the explanation, or rather, insufficient as an explanation of the gold price trend.
In particular once can see that there are considerable leads and lags involved. These partly reflect market expectations of future trends in the fundamental backdrop and partly the influence of the other gold price drivers listed above. In short, it is the totality of contingent circumstances that needs to be considered when attempting to forecast the future trend of the gold price.
One has to adopt a holistic view of the economy and try to make an educated guess of the future evolution of the fundamental backdrop – always keeping in mind that there is a limit with respect to what can be known about the future. After all, new information constantly emerges – the only true “constant” in the market economy is the fact that is is subject to unceasing change.
A close-up of the real FF rate in the 1970s and the gold price reveals significant leads and lags in the negative correlation between these data series. These are based on market expectations as well as the other drivers of the gold price – click to enlarge.
Central Planning Quandary
We can conclude that it is simply incorrect that a rising federal funds rate “guarantees” further declines in the gold price. On the contrary, one could well argue that the decline in the gold price since 2011/12 very likely already more than fully discounts a period of rising rates.
One also needs to keep in mind that the Fed finds itself in quite a quandary. It has just begun to hike rates based on the trend in a lagging indicator of the economy (i.e., employment). At the same time, leading economic indicators are already indicating that a recession is probably fairly imminent. How likely is it that a true “rate hike cycle” will even happen?
If the Fed is correct that CPI statistics will soon show rising price inflation (which they may well, mainly due to base effects), it will be in an even bigger quandary. Any attempt to stay “ahead of the curve” will immediately lead to a dramatic implosion of the asset bubbles it has fostered with its ultra-loose monetary policy in recent years. The economy will be taken right down with them (actually, we believe it is even more likely that the economy will tank before the stock market does).
What one really needs to consider when thinking about the gold price is whether the idea that the economy is back to “business as usual” has any merit. The answer to this question is a clear and unequivocal no. Globally, the level of debt in the economy has increased by around 60% since the “great financial crisis” of 2008. In the US alone, the broad true money supply has grown by almost 115% since then (as of November 2015).
In spite, or rather because of these bubble-blowing efforts, the economy has produced the by far weakest recovery of the entire post WW2 period. Nota bene that this applies to the US economy, which has actually stood out as the best performing developed market economy in recent years. Meanwhile, all indications are that this weak recovery will soon succumb to another cyclical recession.
A recession could easily turn into a truly catastrophic bust if market confidence in the monetary authorities and the sustainability of the huge global debtberg evaporates – which will inevitably happen one of these days. What encore can the authorities offer when (not if) that happens?
Obviously, gold bulls have been wrong for the past four years and they may well be wrong for a while longer – we don’t think it is very likely, but obviously we cannot rule it out. Then again, prior to that the bears were wrong for 11 years running and gold is still up more than four-fold since late 1999/2000. How much has the S&P 500 gained since 2000? There is a good reason for this discrepancy, and that reason hasn’t disappeared – on the contrary.
Conclusion
Our assessment is that one simply cannot afford to ignore the fact that gold provides insurance against a potential blow-up of the global fiat money and debt bubble – regardless of its near to medium term price performance. Its performance is in any case only negative in USD terms – in no other currency can gold be deemed to be in a significant bear market. In fact, as we have recently pointed out, it is already making new all time highs in some fiat currencies.
Gold’s characteristic as a hedge/insurance against the consequences of policymaker machinations has recently gained additional importance in light of the fact that the echo bubble is clearly fraying at the edges already. Sooner or later there will be another full-blown crisis, at which point gold ownership will definitely be of great advantage. It is often said that the only certainties in life are death and taxes, but that is not quite true. There is another apodictic certainty: all booms driven by credit expansion will eventually blow up.
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Stinky Weaselteats 2016
"A bowl of warm Yak puss for every child's bed."
Progressive liberal democraps never let the facts or the truth deter them from imposing their bulshit agenda on taxpaying, working US citizens.
during the time the fed doubled the money supply gold lost 50% off its highs, something is gonna give and its not going to be gold. reality is temporarily suspended by manipulation, always a temporary condition.
The fed and it's proxies have all the tools in place to set the Gold price wherever they please. This may be a temporary condition, but the end of the manipulation is likely decades away imo. I think they will drive the price down to just above the cost of production, then keep it there for a very extended period of time.
"I think they will drive the price down to just above the cost of production, then keep it there for a very extended period of time."
What a daft thing to say, the gold price is already below the cost of production in most cases, that`s why so many miners have gone to the wall.
As for the rest of your post, absolute garbage.
Gold is money. Most people in the world know it, but US Americans don't. Even Europeans know it. That's why the banking cartel has maintained a strong dollar - gold trades inversely to it. Gold has risen in price all over the world, where people demand it, but not in the US, where people have forgotten its value.
Gold is up sharply against the Rand, Real and Ruble the last five years. Up 70% or more. And how did people in Greece feel about having some gold in their hands the last few years? Cyprus? Ukraine? Venezuela?
The world, and especially America, has gone stark raving mad thinking the USD is a "flight to safety" in the long run.
Completely agree. Why a victim of one fiat collapse would seek safety in an alternative fiat currency is beyond explanation.
If you hold physical gold why do you want the price to go up? Surely it is better to stack at lower prices so you can get more for your fiat.
I agree with what you say about gold vs other select currencies. And I have gold/want gold to go up. But over the past few years those people would have been better off holding US dollars instead of gold. I'm waiting for gold to go up against the US dollar. Still waiting...
When I was born in 1972 gold was cheap enough for everyone to wear the bling. My uncles and all their greaser freinds had big solid gold Italian horns that are now worth the average life savings of the typical American!
Fiat currency is worth less than toilet paper.
At least toilet paper is useful - fiat doesn't even make a good fire starter.
Metals, land, useful commodities, all have value.
Fiat worked VERY well to patch the sidewall of a bike tire flat that I had one time. Fold the fiat up and stick it between the tube and tire sidewall hole, pump the tire up, off you go...
Silver is Now a BUCK in 1980 Dollars — SRS ROCCO
http://thenewsdoctors.com/?p=565345
How about $5 in 1980 dollars?
An ounce of silver was exactly a buck in 1964 dollars, that's for certain.
Actually, the silver price was 92 cents in '64, according to the silver miner next pine tree south of dad's gold mine.
Edit; San Francisco mint quote.
Maybe it's not because the Fed hiked rates, but the gold price sure is going down, hard. I guess there might be some other reason.
Let's be specific though - it's the paper price in dollar terms. In all other currency gold is up in price. The dollar has been manipulated higher because all central banks are printing massive fiat and the dollars are not moving. SInce the dollar's value is based on velocity, and velocity is low, its value is high.
And once again, the paper price of gold is down. And a sidenote - We don't even know how much gold is currently available. COMEX and GLD are not a true source of physical, as they do not allocate, banks are rehypothicating ad infinum, and the central banks are likely lying about their reserves.
Words I'm tired of: Inevitably. Eventually. Finally. Ultimately. Someday.
Words I am inspired by.
Silver.
Gold.
BUY
THE
FUCKING
DIPS
BITCHEZ.
Still give me a warm fuzzy feeling, all day long.
The sun will INEVITABLY rise as it will EVENTUALLY set and FINALLY we will see the light which ULTIMATELY will turn to dark.
Conclusion...SOMEDAY, sooner or later, you will prove me right.... or wrong; it depends...if you are still alive. What an article!
Today, thanks to Fed-sponsored intervention, gold is negatively correllated to any data series that is increasing, and positively correlated to any series that's decreasing.
It doesn't matter what the data series actually is, just that gold goes down.
Gold and silver can never go to zero , fiat can in relation to gold and silver, if it was really bad gold and silver can go to zero in relation to food, however that is a brave new world...LOL
what is this "price" word and
what is price discovery?
Im thinking fiat is high risk and low return going long, unless many things change ,gold and silver , still have to discover the "real" price
After the crash of 2008 I researched the value of Gold versus the markets, the dollar, and inflation - going back to Jekyll Island and the evil therein creating the "Federal" Reserve (The Bankste'rs Bank).
I converted as much of my assets as I could to physical Gold in my possession.
I don't care if it goes to $1/Troy ounce, those fuckers aren't getting it.
Amen ebworthen, preach it brother.....
My stacks are still as beautiful today as they were yesterday. Price is irrelevant until I am looking to buy more,,,
Since when did evidence matter. It will eventually. We're beyond total retard.
"Gold has worked down from Alexander's time. When something holds good for two thousand years I do not believe it can be so because of prejudice or mistaken theory."
– Bernard M. Baruch
Not happy with that Big Ugly Axe To Grind you have Pater.
Not happy at all.
GOLD = $925
SILVER = $13
I hope you are right exartizo, I love a sale !!!
Define 'Price'
Value is a different thing all together.
What's the value of a small rectangle of paper? A clue.... Calorific, which, under some circumstances would make it more valuable than gold.
If it ever gets that bad, I want off the planet..
Fuck Yeah retards. Drive gold to zero. Seriously, do it. I want my great grandchildren (and I'm 39) to be able to buy real metal 90% off prices, never again in human history
Every month I have to sell as much gold as it takes to raise $2,498 to pay the part of my Dad's nursing home bill that's *not* covered by Medicaid. The lower the "paper" price, the more gold I must sell. I once had a lot. Now I have very little, and it's going fast.
Increasing gold price is generally correlated with rising inflation. The money supply has been inflated, however the velocity of money is very low so we have not felt the full impact of the inflation. The economy sucks, therefore the velocity of money will continue to suck. However if the economy ever improves, the velocity of money will have to increase; bringing with it, rising inflation and rising gold prices. The FED does not usually raise interest rates until the economy is healthy and heating up. They are raising rates now simply because they do not know that they are the problem and they do not know what else to do. They may very well cause a crash in the inflated stock market by doing this.
There is only one factor, do you trust the government?
Without trust in the government, you mus assume your wealth is at risk, and sensible people would move as much of that wealt has practical into a form the government can't steal so easily. At least don't let them do it electronically, make them roll a truck and some goons, you have a better chance.
gold can never go below fiat because you cannot print gold , or silver, so that will never happen, the rest is just paper games
But gold is mined, which has the same inflating effect as printing. If total above-ground gold is 160kt, then 3kt annual mine production is about 2%. If we ignore the jewelry and the bulging basements of Indian temples, and assume only half the gold is accessible and tradable (30kt in CBs, 30kt private bar/coin, 20kt industrial [ref]), then the mining inflation rate could be up to 4%.
Don't leave out war and what it's done to the U.S. deficit.The longer anybody can keep the Americans spending on war,the sooner they'll implode.
Here are some signs of a coming recession.
1. Investors in high-yield bonds are expecting to see their first negative return since the start of the credit crisis in 2008.
http://www.marketwatch.com/story/deteriorating-junk-bonds-flash-warning-signs-for-stocks-2015-12-07?dist=afterbell
2. Factory orders continue to drop
http://www.zerohedge.com/news/2015-10-02/us-factory-orders-flash-recession-warning-drop-yoy-10th-month-row
3. Default risk spikes
http://www.zerohedge.com/news/2015-10-02/us-financials-default-risk-spikes-2-year-high
4. M&A set record
http://michaelekelley.com/2015/05/29/mergers-and-acquisitions-set-record/
5. Iron ore prices tumble
http://www.marketwatch.com/story/iron-ore-prices-keep-crashing-adding-to-global-growth-fears-2015-11-30
6. Baltic dry shipping index tumbles
http://www.marketwatch.com/story/shipping-index-falls-to-all-time-low-stoking-fears-about-global-growth-2015-11-19
Here is how to prepare.
http://michaelekelley.com/2014/10/16/8-things-to-do-when-recession-happens/
Here is how to get your mind off this stuff.
http://michaelekelley.com/category/humor/
Good luck!
The author of the article twists himself into a pretzel trying to justify his BELIEFS and cherry picks a few supporting data points.
What's been the biggest drivers of the gold price today and the last few years? Free money, combined with greed (the higher the price, the more people want it), the commodity boom and prosperity in China and India.
The future? No free money, a major slowing of increasing prosperity in China and India, the greed bubble has burst, as falling prices have taken the wind out of the "gold is an investment" circus barkers. And last is rising interest rates, which will directly and indirectly dissuade the last of the of the investment clingons. Fact is gold returns nothing, and as other places to put money do have returns, in the absence of continually rising gold prices, money will move away from it.
Why is China and India and general prosperity so important? Because the largest user of gold is the jewellery industry, over 50% of annual production goes to it. Since gold is a luxury good, in both jewellery. 50% of annual production, and 15% in coin and small bullion, it's purchased with surplus income in good times. Purchases of luxuries decline when the economy is down.
The reality is that it's not central banks, bankers or bugs that control the price of gold, but the jewellery industry and general prosperity to buy gold as a luxury item.
Sure the "investors" can distort the price for short times, as in the recent bubble, and it can be manipulated on a daily or weekly or short term basis by speculators, but they don't control the long term trends.
"The reality is that it's not central banks, bankers or bugs that control the price of gold, but the jewellery industry and general prosperity to buy gold as a luxury item."
That has to be one the dumbest fucking comments ever uttered on Zero Hedge. Congrats blockhead.
An article posted on ZeroHedge from Pater Tenebrarum.
I haven't quite figured out how it works (not that it is a priority in my life), does ZH need approval of authors beforehand to post their content or not? Then, it might be a moot point because if ZH posts something it is because they tacitly approve of its content and the original author likely seeks exposure.
Note, his first name apparently is not Peter.
Hey, I'm guessing, it must be Scandinavian in origin. Then again, I could be wrong (just ask any women who have known me).
No matter, this guy has a track record. And yes, I've been aware of him and his actingman website for sometime. He has a track record. His articles are coherent. He is creditable.
So of course his article here has technical data to support his argument.
Your data, my data, the gov's data, the MSN's data ..... gets a bit subjective and nebulous.
Here's my take: If the "one bank" actually exists (research Jeff Nielson's writings), then technical analysis is somewhat irrelevant. The One Bank could/can/has (over time) mostly shaped the perspective & reality to their line of thinking (it's good to be king).
The thing is, what/who is really behind the curtain? If you're Martin Armstrong you think no one, just grasping politicians (of course, the moment he acknowledges otherwise is the moment he nukes his entire PI theory of cycles and pretty much, his whole commercial existence). Folk like Pater (and ZeroHedge) apparently, straddle the line (far as I can tell).
Others go full retard and have a host of conspiracy thinking they wish to share.
I read it all, I look for proof. Rational, logical thought, indisputable facts, not the lies and statistics of .gov bureaus seeking to cover their asses and keep their funding/paycheck/pensions.
Can't find any ultimate proof from any side, just much to be leery of ... especially from the status quo, governmental narrative side.
-----
Gold and Silver were hit hard today. Was that a concertive action on the part of the PowersThatBe via their multitude of proxies? Difficult to say. Oh, I've little doubt that the Exchange Stabilization Fund /Plunge Protection Team exist, and ZH readers likely know of Central Banks meeting bi-monthly at the BIS and that they can and do coordinate their activities (and have for many,many,many decades),
Need proof? Focus some research on the late '20's and the U.S. Fed (and entire U.S.A. by extension) being this patsy to keep the Bank of England from reaping the consequences of their foolish action in pegging their currency too high in respective to Gold after WW1). The CB's, of course, prefer to hide their actions, or work thru proxies for the really dirty work. Like comedian George Carlin observed, it's a club, and you ain't in it.
So would I seek to hide my activities if I was an evil-bent oligarch issuing instructions to my bought off minions (e.g. FED Heads).
To be clear here. FED is privately owned (Big banks own it's stock). Fed ostensibly is controlled/overseen by Congress which is the ultimate joke seeing as Congress is just the ultimate whore for money (of which the CB's dispense).
The very,very last thing I would want as a behind-the-scenes-controller is for a policy to be traced back me and my family. Let expendable politicians & bureaucrats take any blowback heat.
Repeat. it is only logical that those at the top want as much anonymity and (if worst comes to worst) deniability as possible. I get it, last thing they'd want is any physical blowback. Their being so refined, I-inherited-my-money-via-blue-blood, old family money, gentile and all that.
What's the truth?
Well, unfortunately, I can't view behind the curtain.It would take the resources of the NSA/CIA/FBI to see behind the curtain. All the more reason if I was an oligarch, that I would make it a priority to compromise those agencies and get them to do my bidding.
Not too difficult.
Buy off a few congressmen. get MY people appointed into the upper management tier of important agencies. Easy/Peasy. Shute, why not go for the "brass ring" and insert a Manchurian Candidate into the oval office.
----
I'm just talking. Words from an anonymous nobody with a (website provided) generic bag covering his head. Oh, the ignominy.
But then, Look about. Do you see anything matching these words?
What I do believe is that where there is smoke, there's fire.
And I see a lot of smoke.
It's Pater, not Peter. Pater Tenebrarum means 'Father of Shadows' in Latin.
Days like today are when you clean the shop out of bullion. It was busy at my little local coin shop. Way busy. The guy knows me and he always glad to see me because I pay cash or trade. I am never in hurry so I just told him to help the other customers. I just looked around and found a 1803 large cent. You sure don't see those very often. That was tempting but it wasn't good enough for $200. I like my numismatics but today was straight up bullion with a tendency towards numismatics.
Do I really HAVE to tell you that these ATB's are available. You all do realize that they only made 45 thousand of these coins? Mine are shipped. Maybe I should buy MOAR?
I rarely tell anyone to buy something but if you all miss this one then I can't help you in life. I don't care where you buy them from, it is just that JM Bullion was cheapest this morning and they have good service.
http://www.jmbullion.com/2015-5-oz-atb-saratoga-silver-coin/
I'd like some Fed official or member of congress to explain to me how a falling gold price with 0% interest rates and all-time high physical demand correlates with the out of control spending and the race to debase attitude by every central bank on the planet means that economic obviousness of tightening means that gold prices should fall when the basics of economics has stood on its head!?!?!?!!!!!!
None of this shit makes any economic sense but they sure seem to believe their own press let alone their ability to defy the basic fundamentals of monetary theory and supply and demand.
Oh and they need to explain how the fed who uses the paper futures contact market can explain supply and demand when their is 200+ claims on 1oz of physical gold at the comes.
Let the hilarity ensue and sorry for possible miswording of my statement/? Of Mr. Yellens handy work.
For the record I tried!
Those "claims" everyone keeps talking about are only for COMEX. The entire COMEX/CME (CME is all the related exchanges) represents only 20% of world gold trades. And that paper gold that everyone keeps talking about is also a red herring. The vast majority will never want to take possession of physical. Why? Because then they would have to pay for it.
Imagine you are personally dabbling in futures, and lots of smaller investors do. Say you buy 10 contracts. A $10 movement one way or another is $10,000. Lots of people have $20k to $40k to play with. Great, you've made/lost a bit of money.
HOWEVER to take delivery of those 10 contracts? That will cost you over a million dollars.... Do you have a $1.1 million? or just $20k to play with? See the difference?
Oh, and naked shorts are illegal. They do happen, but not as often as people believe.
And that "record demand" you speak of? Coins and small bullion are only 15% of the market. So it doesn't really make much of a difference to overall gold demand.
Are you watching the Shanghai Exchange and Chinas accumulation? Russia and India's purchases? It appears not.
He is on the gov. propoganda team. Without a doubt.. Gold is a key test issue for people like him. If you want to know who the traitors are just ask them their opinion on gold. If they respond like him, well then you KNOW!
The funniest thing is that the bugs and conspiracy theorists like you guys are the easiest people to manipulate. You've been lead down the conspiracy path without even realizing it. And you DEFEND your views as if they are your OWN.
You are so rigid that you can no longer think for yourself, and instead just insult any ideas, people and thoughts that aren't your own.
You are the real government bitches, and have swallowed the conspiracy propaganda whole. How does it taste?
Dup
Dude the only one being led down the prim rose path are those who are following our government. Any normal person cant stand these assholes.. and anyone who tries to defend them either..
Get your glasses on and tell me from this picture silver is a bad long? You people are the fucking stupid ignorant ones.. Silver is a healer! FUCK YOU!
http://www.zerohedge.com/news/2015-12-17/all-world%E2%80%99s-money-and-markets-one-visualization
Its people like you who follow those in power blindly that are the problem.
Trust your feelings LUKE!
Why they keep trying to catch a falling knife is beyond me. Haven't the gold bugs lost enough money on the way down?
Any of you PaperBugs cash in and get true wealth with your scrip yet?
If your ruler is made of taffy it can be hard to measure things.
All this technical mumbo-jumbo and chicken bone tossing will never determine the future price of gold.
However I've discovered the secret. I happen to know exactly how to make the price of gold rise or drop fast.
The price of gold will always fall immediately after I buy some and rise whenever I sell some.
Anyone who wants to know when I'm buying or selling just message me and I'll let you know.
This is fight club.
Who has the gold? No one really knows do they?
Keep stacking.
Word of the day: apo-dick-tick
Thanks for the link.