THE BLIND CONSPIRACY: The Gold Market Is Heading Towards A Big Fundamental Change

SRSrocco's picture

SRSrocco

By The SRSrocco Report,

SRSrocco

The gold market is heading towards a big fundamental change that few are prepared.  While many analysts in the alternative media community suggest that the gold price is manipulated due to Fed and Central bank intervention, there is another more obscure rationale that is the likely culprit.  I call it, "The Blind Conspiracy."

But, before I get into the details of this Blind Conspiracy, there are a few very troubling developments in the alternative media community that I would like to discuss first.  The bulk of these concerns has to do with the increasing amount of faulty analysis and misinformation as well as the peddling of lousy conspiracy theories on the internet.

Why is this a big problem?  Because a lot of readers are being misguided as to the true nature of the serious predicament we are facing.  Half of the emails that I receive are from readers who are bringing up doubts based on other analysts' faulty analysis and misinformation.  Thus, it takes a great deal of effort to provide the real facts and data to counteract the damage being done by certain individuals, even those with good intentions.

Furthermore, an increasing number of so-called precious metals analysts have switched over to Bitcoin and other cryptocurrencies, believing that gold and silver will no longer function as monetary metals.  However, some of these analysts suggest that silver will still be valuable because it will be used as critical raw material in advanced products in our new HIGH-TECH WORLD.  I find this idea of a future modern high-tech world quite amusing when we can't even maintain the failing complex infrastructure we are currently using.

American Society Of Civil Engineers 2017:  U.S. Infrastructure Grade Is...???

According to the Amercian Society Of Civil Engineers, ASCE, they just came out with their grade this year for U.S. infrastructure.  Does anyone want to guess what overall grade we received here in the good ole U.S. of A?  The ASCE gave us a D+:

Well, at least a D+ isn't an "F" grade.  Here is the ASCE's Infrastructure Report Card Grading Scale for receiving a "D":

"D" GRADE = POOR, AT RISK
The infrastructure is in poor to fair condition and mostly below standard, with many elements approaching the end of their service life. A large portion of the system exhibits significant deterioration. Condition and capacity are of serious concern with strong risk of failure.

The ASCE U.S. Infrastructure Report also provides separate grades for different aspects of U.S. infrastructure.  For example, the U.S. Energy Infrastructure received a "D+" as well.  This is a brief description of the Energy Infrastructure:

Much of the U.S. energy system predates the turn of the 21st century. Most electric transmission and distribution lines were constructed in the 1950s and 1960s with a 50-year life expectancy, and the more than 640,000 miles of high-voltage transmission lines in the lower 48 states’ power grids are at full capacity.

Moreover, the report states that $4.5 trillion needs to be invested 2016-2025 to raise the U.S. infrastructure to a "B' Grade.  However, only $2.5 trillion has been budgeted.  Thus, we are $2 trillion short of the total amount needed.  Regardless, I doubt we will be able to spend anywhere close to the budgeted $2.5 trillion over the next decade for our infrastructure.  Unfortunately, I see the U.S. Government and private sector running into serious financial trouble by 2020 as the massive amount of debt and derivatives finally take down the system.

So, the question remains.  How are we going to move into a new HIGH-TECH world if we can't even maintain our current infrastructure?

The notion that we can bring on some new "Energy Technology" fails to consider the tremendous amount of raw materials, manufacturing, transportation, and logistics to repair and maintain our current infrastructure.  You see, we have much bigger problems than just replacing an energy source or technology.  But, to understand that principle, you must look past superficial thinking and "Silver-Bullet energy technologies."

Now, if you hear certain analysts suggesting that gold and silver will no longer be used as money in the future because cryptocurrencies will take over the monetary role in our new high-tech world, you may want to contact them and provide the link to the U.S. Infrastructure D+ Grade Report.

Destroying Once Again.... Certain Myths About The Gold Market

If I collected an ounce of gold for every email that I have received about patently false gold myths and conspiracies; I could buy one hell of a lot of silver....LOL.  Gosh, if I went back to my email folder and added up all the emails on this subject, it would number well over 500 in my ten years publishing articles in the alternative media community.  However, I continue to receive the same type of emails because individuals are still being misled.

Before I begin, let me say that I focus my work on disproving the faulty analysis by other individuals, and not directing anything negative towards the person.  I am adamantly against the idea of "targeting the messenger."  Rather, I like to target the faulty message.  So, there is nothing personal in my attempt to set the record straight.

Let me start off by saying.... THERE AREN'T MILLIONS OF TONS OF HIDDEN GOLD in the world.  Anyone who continues to believe this needs to pay close attention to the following information.

One of my readers sent me the following recent YouTube video by Bix Weir, titled "Vast Gold Riches Hidden In The Grand Canyon":

In the video, Bix quotes a New York Times article published on June 19, 1912, that proclaimed vast gold riches in the Grand Canyon.  According to Bix, this massive gold find is what prompted the starting of the Federal Reserve because billions of ounces of new gold from the Grand Canyon dumped into the market would destroy the monetary system.

While this may sound plausible to the layman, if we carefully read the article and do some additional research, we will come to a much different conclusion than what Mr. Weir is suggesting.

First, Bix makes a grave error during the interview when he states "billions of ounces of gold," rather than "billions of Dollars of gold."  Here is the segment of the article:

There's a big difference between a billion ounces of gold and a billion dollars worth of gold.  For example, the market price of gold in 1912 was $20.65 an ounce.  If we assume that $2 billion worth of gold was extracted from the Grand Canyon, it would equal approximately 100 million oz of gold.  If we take it a step further and convert it to metric tons, it would equal 3,110 metric tons.... a figure much much lower than one million tons stated by Mr. Weir.

Second, the article provides us with an idea of the very low quality of the gold found in the silt on the banks of the Grand Canyon:

As we can see, the individual in charge of the mining operation in the Grand Canyon stated that the value of gold was worth 50 cents per yard.  When gold miners refer to a "yard," they mean a cubic yard or a volume that equals 1.3 tons.  With an ounce of gold worth $20 in 1912, 50 cents a yard is a tiny amount of gold.  Thus, 50 cents worth of gold in a yard is approximately 0.025 oz or one-fortieth of an ounce of gold.

Let's compare the supposed vast Grand Canyon gold riches worth 50 cents a yard to the gold mining that took place in Alaska during the same period.  According to the data provided by the U.S. Bureau of Mines in 1912 Report:

This chart represents "Placer" gold mining in Alaska, which was the same type of gold mining that took place on the banks of the Grand Canyon.  Placer gold mining is the process of washing gold from gravel, sand or silt.  Lode mining is extracting gold ores from veins in rock.  Here we can see that the average value of gold recovered in Alaska in 1912 was $2.10 per cubic yard.  Now, why on earth would anyone want to go to the remote location in the Grand Canyon and mine gold for 50 cents a yard when you could receive four times as much in Alaska???  Please, someone forward that information to Mr. Weir.

Third, the notion of extracting Billions of Dollars of gold from the Grand Canyon fails logistics miserably.  Let's overlook  Mr. Weir's error in quoting billions of ounces of gold rather than billion dollars of gold and consider the tremendous logistics of mining that amount gold out of the Grand Canyon.  According to the same U.S. Bureau of Mines 1912 Report linked above, Alaska produced a total of 7.4 million oz of gold worth $154 million between 1880 and 1912:

So, in over three decades of mining placer gold in Alaska, the total amount was $154 million.  Furthermore, the value of the gold per yard was likely much higher between 1880-1900.  Regardless, it took a great deal of human resources, energy, and capital to produce the $154 million worth of gold and the most ever produced in one year during that time-period in Alaska, was 1,066,000 oz of gold in 1906 valued at over $22 million.

Which brings us to the next logical conclusion.... was it ever possible for anyone to produce billions of dollars worth of gold valued at 50 cents a yard in the Grand Canyon when a small percentage of that amount ($154 million) took over three decades to produce in Alaska?  Hell, even during the mighty California Gold Rush of 1848, the peak year of 3.9 million ounces in 1852 was only worth $80 million.  However, the average annual gold production for the California gold rush was only 1.3 million ounces per year valued at $26 million.  It would take a great deal of time mining gold during the famous California Gold Rush to equal just $1 billion.

Even at $1 billion, that is only 50 million oz of gold or a measly 1,555 metric tons of gold.  Again, nowhere near the one million tons of gold suggested by Mr. Weir.

Lastly, the supposed vast gold riches in the Grand Canyon came to a dismal end.  That's correct.  If we spent a few minutes doing a bit of research on the internet, we would find out The Rest Of The Ugly Story.

(American Placer Gold - Spencer Mining Operation 1911, Grand Canyon)

According to Arizona State history of gold mining at Lee Ferry in the Grand Canyon, the American Placer Gold company needed coal to process the gold.  Unfortunately, the only coal seam was 28 miles away.  So, the gold mining investors decided to incorporate a steamboat to transport the coal:

Investors decided a 92-foot steamboat would improve coal transport and gold production; it was ordered and assembled by late February 1912. Dubbed the Charles H. Spencer, the steamboat performed the way it was supposed to, but it burned most of the coal it transported in the process. Spencer also had trouble with his amalgamator and by 1912 his investors had seen enough and shut the project down. Spencer left, and his boat sank to the bottom of the Colorado River. The Charles H. Spencer is now on the National Register of Historic Places as a shipwreck in Arizona.

Just consider for a moment the type of intellectual thought process taken by these investors who couldn't understand that the steamboat would consume most of the coal during its 28-mile trip.

Thus, the LIFE & DEATH of the Great Vast Gold Riches in the Grand Canyon came to an abrupt end, not because there were billions of ounces of gold that would destroy the global monetary system, but rather due to the typical mistake made by investors.  And that is... the belief that utterly incompetent management and miners could extract low-quality gold that is uneconomical to produce.

So, if we look at the New York Times article that Mr. Weir quotes as his source of billions of ounces of gold, we can logically assume that it was likely written by the company spokesman to get more POOR UNWORTHY INVESTOR SLOBS to purchase the American Placer Gold stock before it went belly-up.  It's called the PUMP and DUMP.... a shady stock marketing technique that has been going on for hundreds of years.

If we can have an open mind and the ability to discern fact from fiction or lousy conspiracy theories, we can finally put an end to the notion that the world has a Million Tons of Hidden Gold in the world.

THE BLIND CONSPIRACY:  The Gold Market Is Heading Towards A Big Fundamental Change

Now that we have dispensed with certain conspiracies that don't pass the smell test, there is a real one that very few are aware.  I call it the BLIND CONSPIRACY.  The interesting thing about this conspiracy is that nobody really knows about it.  However, it behaves like a conspiracy because many individuals and parties are manipulating the market which is providing a false sense of security to the average investor.

Thus, investors with a false sense of security, continue to invest in STOCKS, BONDS, and REAL ESTATE at amazing inflated values.  Today, the Dow Jones hit a new record high of 24,272 points:

If you look at this chart of the Dow Jones Index, it is starting to resemble the Bitcoin chart.  However, Bitcoin's graph is moving up at a level  ten times more insane than the Dow Jones Index:

While the Dow Jones Index increased 4,200 points, or 21% since the beginning of 2017, the Bitcoin price has surged more than $9,000, or a staggering 1,125% increase.  Furthermore, the Bitcoin price doubled in just the past month.  This is completely insane.  Even though a lot of Bitcoin enthusiasts are shouting for $20,000 and $100,000 Bitcoin, if we are ever going to get there, there needs to be a serious correction first.  However, we may have already seen the top of Bitcoin at $11,400.

Folks, nothing goes straight up and then continues even higher.  I would be very cautious about investing in Bitcoin at this time.  Both the stock market and cryptocurrencies are extremely overbought... to say the least.  On the other hand, gold and silver have been selling off over the past several days and are even closer to their lows and cost of production.

Getting back to the Blind Conspiracy and the Big Fundamental Change in the gold market, investors are entirely in the dark about the dire energy predicament we are facing.  I continue to receive emails from individuals in various industries that tell me the "Situation is MUCH WORSE than you realize."  Also, there are good CLUES published in the media if you are IN-TUNE to this information.

According to this jewel, titled Oil Major: 70% Of Crude Can Be Left In The Ground, by Nick Cunnigham:

“A lot of fossil fuels will have to stay in the ground, coal obviously … but you will also see oil and gas being left in the ground, that is natural,” Statoil’s CEO Eldar Saetre told Reuters in an interview. “At Statoil we are not pursuing certain types of resources, we are not exploring for heavy oil or investing in oilsands.

If heavy oil and oil sands are to be left unproduced, then a lot of oil will need to stay in the ground. According to the USGS, about 70 percent of the world’s discovered oil reserves are in the form of heavy oil and bitumen. Much of that comes from Venezuela – one of the last places in the world that an oil company wants to do business in these days – and Canada.

Last year, Statoil abandoned Canada’s oil sands, selling off its assets to Athabasca Oil Corp. But Statoil is hardly alone in the exodus. ConocoPhillips unloaded a whopping $13.3 billion of oil sands assets to Cenovus Energy earlier this year. Shell sold off $4.1 billion in oil sands assets to Canadian Natural Resources. Meanwhile, ExxonMobil wrote off 3.5 billion barrels of oil sands from its book in February, admitting that they were unviable in today’s market.

ConocoPhillips’ CEO said that it would no longer invest in any oil project that needs a breakeven price of $50 or higher, according to the FT.

If the Major Oil Industry believes that upwards of 70% of the oil reserves should be left in the ground, how much do we really have left to produce??  Furthermore, it was quite surprising to see that the ConocoPhillips CEO said they would no longer invest in oil projects with a breakeven above $50.  Folks, there aren't many oil discoveries available with a price tag less than $50 a barrel.

Again, the clues are all around.  Let me repost the completely awful financial results by the second largest natural gas producer in the United States.  Chesapeake Energy produced the second highest amount of natural gas during the first nine months of 2017 at 2.9 billion cubic feet per day compared to ExxonMobil's 3.1 billion cubic feet per day.  So, what benefit did Chesapeake receive for producing the country's second largest amount of natural gas?  Take a look at the Q3 2017 Cash Flow Statement:

After everything was considered, Chesapeake's operations provided $273 million in cash (shown in the highlighted yellow).  For those who are not familiar with Cash Flow Statements, we subtract capital expenditures from cash from operations to arrive at their FREE CASH FLOW.  Unfortunately for Chesapeake, they spent a staggering $1.6 billion (highlighted in blue) on drilling and completion costs (capital) to produce their natural gas and oil.  Thus, Chesapeake's Free Cash Flow was a negative $1.3 billion.

That would have been terrible news if it wasn't for the sale of properties of worth $1,193 million ($1.2 billion.. two lines below the highlighted blue line).  Which means, the financial wizards at Chesapeake used asset sales to help pay for their natural gas drilling capital expenditures.  How long can Chesapeake sell properties to fund their drilling costs??

Are we starting to get a PICTURE here?  Regrettably, even highly trained energy analysts do not understand that the oil and gas industry is cannibalizing itself just to stay alive.  If investors do not understand just how bad our energy situation has become, they are BLINDLY investing in the worst assets (STOCKS, BONDS & REAL ESTATE) that derive their value from the burning of ENERGY.

This is the BLIND CONSPIRACY.  It's taking place right in front of our eyes, and virtually no one sees it.

We are going to experience a Massive Fundamental Change in the gold market because investors will finally begin to understand what a true store of wealth is versus one that is an ENERGY IOU.  Stocks, Bonds, and Real Estate get their value from burning energy IN THE FUTURE, while a gold or silver coin bought today, received its value from burning energy IN THE PAST.  That is a big difference that investors, even precious metals investors fail to realize.

Lastly, if you want to pay more for precious metals, than I suggest you don't check out our PRECIOUS METALS INVESTING section or our new LOWEST COST PRECIOUS METALS STORAGE page.

Check back for new articles and updates at the SRSrocco Report.

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Hillarys Server's picture

What a second. The title of the article is

The Gold Market Is Heading Towards A Big Fundamental Change

I spent ten minutes reading the whole thing to find out what the specific change is.

And the very last paragraph says

We are going to experience a Massive Fundamental Change in the gold market

So what is the change?

If I spend ten minutes standing at a falafel stand I want a falafel.

After ten minutes I don't want to hear "There will be a falafel"

Or "Click on this link for a report on falafels."

If the falafel is good I'll click on the link. But first the falafel.

First I want a return on the energy I expended to read the article.

Not an invitation to expend more energy to find out why I expended the initial energy in the first place.

Maybe the details on the massive fundamental change are in the Grand Canyon.

I am Groot's picture

Accelerated lead will be the only currency of the future. Yipee ki yay motherfuckers.

ZIRPdiggler's picture

I didnt think this article would ever end.  Gold is indeed dead.  Who cares what's in the Grand Canyon.  We dont ride horses any more and I am not a frontier settler.  I would like to point out that it is a little suspicious that there are vast areas in the Grand Canyon, off- limits to the general public.  The gold bugs and dealers refuse to acknowledge reality.  The entire financial/banking system as we know it is undergoing a massive overhaul.  The price of Bitcoin is a reflection of true USD inflation, as is the stock "market".  Bitcoin, even at $14,000+ still has a longs ways to go before it reaches fair value.  So, the gold dealers and PM newsletter writers address Bitcoin as if it is a fad or tulips, when all the evidence points to its price action as being symptomatic of a massive systemic overhaul.  Erroneous assumptions lead to erroneous conclusions.  If these guys wrongly assume that Bitcoin's parabolic rise is 'tulips' then of course they're going to validate their own wrong beliefs, in circular fashion.  Consider the information that reality so freely provides for us or choose to continue to ignore it.  Either way, it doesn't really matter, so long as the world continues to value the network-power of Bitcoin.  

andrej's picture

Personally, I'm still sitting on my physical gold, but I'm not buying it for the time being. Neither I'm buying cryptos. Reason: It's impossible to predict which cryptocurrency will prevail- Bitcoin, Bitcoin cash, Ether, Monero, Litecoin, or something else. Gold, on the other hand, is one & only. And you can hold it in your hand.

Pearson365's picture

If you don't cash out and buy something real that you can touch, you're an idiot.

Thom Paine's picture

Why do central banks, governments and the Fed worry so much about gold when there is bitcoin.

Surely gold has become irrelevant and Bitcoin the 'new gold' ......

Or maybe they know gold is the real alternative to currency devaluation.

 

Bitcoin is starting to look like the Weimar / Zimbabwe stock market.

MusicIsYou's picture

How do you argue against the truth when it's too hot to handle and too cold to hold?

MusicIsYou's picture

Rarely do people argue with me, that's because there's just no arguing with truth.

nuerocaster's picture

What is the capital value of Federal Reserve Notes, gold, Bitcoin?

Not all that much. You can trade them for other derivatives, perhaps profitably or perhaps not.

But what if you add political power and influence? Now you really have something. And even if you don't possess all that many notes, ozs, or bits.

What if you have new technology? Same story.

What if you have land, natural resources, machinery, heavy equipment, etc? Unclear. Many variables.

What about human resources? If your education and skills aren't a subset of the first two, then your notes, ozs, bits are probably best used for consumption.

Money is an information system. Basic info streams are medium of exchange, store of value, price discovery/indexing. Store of value is divided into two types. Consumption value and capital value.

The simultaneous liquidation of western sovereign bonds and conversion of said bonds from an asset class to a tax. severely impairs price discovery and signals the demise of capital value.  

 

Flankspeed60's picture

Everytime I hear another gold downer, I have to remind myself that the Chicoms and Ruskies are buying it by the ton. I have to assume they know something I don't, and that's good enough for me.

I am Groot's picture

Don't forrget the Turkeys too. The Rusians and Chinese are creating a brand new petro currency based on the Yuan backed by goal. The sole goal is to screw the US. We couldn't pass sanctions on anyone or write checks for big fancy things any more.

Pearson365's picture

Yes they do know something and do you know where they got their info?  www.gata.org

Goldennutz's picture

Jim Sinclair now sitting around in his connecticut home drooling on himself and babbling incoherently.

MrBoompi's picture

At least the author said the prices were manipulated, probably the only correct conclusion in his entire piece.  The rest of his arguements are nonsensical really.  I would not make my purchase decision based on unsubstantiated reports of large hoardes of gold being out there somewhere, even though I'm sure there probably are a few of them.  Nor does the meteoric rise in bitcoin have anything to do with gold price issues.  Bitcoin, at least yet, does not seem to be manipulated.  For this fact alone it makes this investment seem wiser, as actual supply and demand control the price as opposed to the whims of the superwealthy.  You almost always see these reports from people who are in the physical metals business, who make money regardless of whether the price is high or low as long as they are making a seigniorage fee.  They are usually large holders of metal too, which means getting every reader to buy might help their hoarde rise in value.  Greed and manipulation are rampant in the human race, and the gold and silver markets are evidence of that.  

ZIRPdiggler's picture

The gold bugs have to much attachment and emotional investment in PM.  They'll death-grip their ideas way beyond the point where it makes sense to continue to indulge them.  Einstein was wrong: Compounding interest is superceded by cognitive dissonance, as the most powerful force on earth.  

Apeon's picture

The commonality between the author and the Gold Bullion writer of the Grand Canyon------IS

 

""I have SPECIAL KNOWLEDGE""

JibjeResearch's picture

The civil war between BTC vs Gold, a revolution that will change the financial industry forever.

I'm on the Cryptos train...

Get you hand on Tezos, a $1 billion fund-backed cryptocurrency.

andrej's picture

ENERGY IOU!? Author obviously thinks Bitcoins can be converted back to electricity. Like some sort of Li-ion battery.


dgolcher's picture

I have been waiting for ages for someone to disproof Bix and something I knew intuitively...

But we all know Bix, Hoffman, High, jSnip... master pumpers and zealots. Thanks SRS

Clock Crasher's picture

I base all my research on the works of Comic books from the 60's when I'm not looking at UFO's with night vision in the evening - Bix Wier

You should be 100% invested in Silver.  Hey just letting you know I dumped all my silver - Hoffman

High - zero point energy emerging from the south pole complete with fallen angel alien creatures next month.  Bitcoin 100 Trillion per coin next year.  Web-Not

Market crash next week (2015).  Market crash Gold explosion next week (2016).  Market crash Gold explosion for real this time (2017) - Bo P. 

Look kids the circus has come to town!  

ZIRPdiggler's picture

Gold: $1260    Bitcoin: $14,600.   I rest my case.

MusicIsYou's picture

What they aren't saying is that 70% of energy resources have to stay in the ground because our geology, ecology, and earth's protective magnetic field depend on it staying in the ground.

gerryscat's picture

Blah, blah, blah.

JibjeResearch's picture

You are one funny looking dude :)

chickadee's picture

Gold is hard to create out of thin air, much to the chagrin of money printers and crypto-creators. Limited supply possible vs infinite supply possible.

pestulonpi's picture

If you consume all the sub-$50 oil, guess what happens? The oil price goes up! 

David Wooten's picture

"...the Amercian Society Of Civil Engineers, ASCE, they just came out with their grade this year for U.S. infrastructure."

The ASCE is an organization of taxpayer parasites who also profit from government's use of eminent domain.  Of course they're going to give the infrastructure a bad grade - they want taxpayers' money to 'fix' it.

Turquoise5's picture

Yup.  I need $4.5 billion to fund me too.  Quick let me issue a doom-porn report to justify the money flowing to me.

Clock Crasher's picture

Bix Wier & Andy Hoffman 

schill twins powers activate

Fuck Gold, Fuck Stocks, Fuck Bonds.  I should have bought a single acre in the Andes mountains at about 2,000 foot elevation and set up a homestead with cash 10 years ago when I still had cash.  

Monumental mistake was to start buying Precious metals back in the day as a late comer.  Now I am stuck in the paradigm of can't sell it now because it isn't worth much.  Can't sell it in the future if it revalues because we will be mid Armageddon and that's not the time to start a relocation and building project from scratch.  

I was blinded by greed and fantasies of rich fortunes in a non existent future life. 

Remember those "Inflation Nation" youtube channels and various other channels mid 2011?  The reset is finally here... naaaaah 

Loss of confidence might be impossible at the grass roots level.  No one cares about Gold.  Everyone banks with the Big4.  Try to tell People about the FRB etc and you can have them try out at an NFL combine as they dash away from you at 4.40 speed in the other direction. 

Good luck to everyone.  I think this might be a multi decade Gold bear market.  Firmly into 500 days since Gold hit it's higher high in 2016 and she is looking like breaking major support to the downside.  

Only thing that saves Gold is a financial crisis and that is 50/50.  During a financial panic the Gold will evaporate the night before.  since the Gold market will not be existent why not send the price well below 1,000 in the futures market?  It wont make a difference if its at a 1,000 or 10,000 since there wont be any around.  Taking the miners down with it.  

We departed from wisdom one hundred years ago and I don't see the situation improving anytime soon.  Full spectrum dominance.  

Edit:  I am never capitulating and selling my PM's.  I still am hopeful but only hopeful I really don't believe in Gold so much these days.  If anything they will be for my grandkids.  Very disapointed with Gold/Goldmarket.  Even a massive surge won't really make up for lost time and lost opportunity costs. 

Hillarys Server's picture

"Very disapointed with Gold/Goldmarket.  Even a massive surge won't really make up for lost time and lost opportunity costs."

My sentiments exactly.

I should never have trusted people who make infomercials and speak quickly without intonation.

Still like silver though since it's heavy, solid and shiny.

But I don't expect much demand for use in free energy machines developed by reverse engineering UFOs left by fallen angels or by the aliens that built the hollow space craft that we call our moon, that psychic predictive linguistic data sets show are hiding in the underground cities of Antarctica.

ZIRPdiggler's picture

There's not going to be a "financial crisis" unless you live in Seattle, San Fran, NYC, LA or any of the other large eastern seaboard cities lol.  Seriously though, everyone in alt media stop with the economic collapse nonsense.  It's starting to get embarrassing.

snblitz's picture

A multi-millionaire friend, who made his fortune in real estate development, told me that 98% of millionaires made their money in real estate development.

By real estate development he meant taking empty land and turning it into homes and businesses.

I believe planning commissions around the country have made that illegal these days.

Silver Savior's picture

Real estate sounds like a nightmare, heart attack and a pain in the ass just waiting to be unleashed.

Clock Crasher's picture

Turning raw land into rental complex is nice.  I myself wanted a closed loop aquaponic commercial farm with vermiculture to feed the fish who feed the plants who feed the vermiculite and build everything out of reinforced concrete and use bio diesel and solar n shit like that.  Max efficiency possible to make the margins fat and happy.  

Everyone needs clothes on their back, food in their stomach and a roof over their head.  Enter anyone of those three markets and your good to go. 

bshirley1968's picture

"I was blinded by greed and fantasies of rich fortunes in a non existent future life."

That pretty much says it all, doesn't it?

Instead of buying gold as a store of wealth and hedge, you were out to get rich.  I can relate.

Clock Crasher's picture

The best thing to do with savings is to spend those savings on something that in of itself will perpetually generate wealth with little to no maintenance.  

I was raised by a Television and the Government.  Fuck me.  

Well now we take one tiny incrimental step in what is a slightly better direction next time. 

green_dog's picture

I may be your long-lost twin.  I wasn't even a particularly late comer; started in 2003, when gold was $300.  I did fully believe in the GATA/Sinclair/Butler/other doom porn, this-is-it story though. I threw hard-earned money at it and have watched it get flushed down the shitter. Mostly I wasted it in mining shares, thinking I'd see positive leverage to let me buy more metal in the longer term. Yeah sure.  Gold is still up by a factor of four from when I started, but over the same time, the stocks have almost evaporated to zero. They played me like a piano. Crypto looked/looks like another scam and I've stayed out of it, having first learned about it in early 2013.  But if I'd put 10% of the money into Bitcoin that I wasted catching the falling knife in gold and silver shares, I'd be living on that homestead and never look back.

ZIRPdiggler's picture

Jim Rickards ought to be exhiled lol. That guy is so smart he's stupid.  Hasn't even really commented on Bitcoin.

Clock Crasher's picture

Amen.  I knew about bitcoin when it was under $1 but never thought much of it.  I remember watchign a Brother John-F video and he was showing bitcoin flash crashing to 10 cents in real time.

I never had money to throw at PM's until guess when- 2011.  So I cost averaged from 48 all the way to 13 and change mostly silver.  Have not touched metal in years and never plan to add another ounce.  I started throwing money at miners in 2014.. so, I have hope of a wash there.  Major losses in long volatility but that's another topic. 

Our point here is that if you are young and new to ZH and the wide world of The Money Masters think good long and hard about where and what you want to do with your money.  Now, if you have zero metals you might want to pick up a few ounces.  Now hear me clearly.  This money you use to buy a few ounces is money considered gone never to be seen again for all intents and purposes.  It is insurance against astronomical odds.  (take America from ocean to ocean and south to north border and quantify all the natural resources.. you think we can't survive debt collapse within time?)  Our wealth is not in the debt it is in the resources that are inside our borders.  The dollar crashes? so what.. we take our lumps, wipe the slate clean and go with a resource backed unit of currency.  In which case you would have wanted to have an established farm and mastery over its output before, not a pile of inert metal.  

I live in a megapolis in the NE USA and just my .02 if I could do it all over I would have acerage in a friendly South American country with friendly women, growing temperate climate 365, access to cheap labor and built a home in an area that has no such thing as property tax and if so, negligble.  

Is the reset just around the corner?  maybe- only God knows.  Is the reset another 10, 20 years in the future?  equally likely.  

The best thing about second hand knowledge is you can learn from long term failure without suffering long term failure yourself.  

Not telling up and coming heros here what to do or what not to, just saying.  Ok Gold 2018- lets see what your made of.  

Rant over thanks for listening.. and you young bucks.. do some critical thinking before acting.  Your actions today determine your quality of life in the future.  

Modo I live by now is "Don't believe the hype."

pestulonpi's picture

In my view, you can't understand gold or it's relationship to the dollar without discussing petrodollar recycling. Gold is irrelevant as long as the US federal government can issue debt without consequence ( either inflation or increase in bond rates). International demand for the dollar (driven by twin engines of 1. OPEC pricing in USD and 2. the outsourcing model which drives USD from the US to international accounts), fear of military reprisal, and US hegemony over banking infrastructure currently prop up confidence in the dollar. The weak link in the global psychology of dollar hegemony is the petrodollar. Once OPEC opens the door to non-dollar oil sales the spell crumbles. 

PlayMoney's picture

Holding physical PM isn't a trade. Its insurance against most likely the trigger as you speak....the dollar being junk through loss of the petrodollar trade. The premise of the so called pumpers is not wrong, it has just been prolonged by the Trillions of dollars the central banks are juicing. With all the anti dollar trade mechanisms coming about combined with the highly juiced asset prices it will end badly. When it does pop it will likely be sudden and drastic. Watch Saudi and when they announce they are using Yuan and/or rubble and that is the last straw. Be patient as the very few of us holding will be rewarded handsomely.

CHIIEFHANGMAN's picture

There is no sense rebuilding infrastructure now.  Wait until we are nuked and let the 'commies' pay for it.  Union no-bid contracts will drive the cost waaay up.

Pearson365's picture

We're pretty close to the year end back up the truck opportunity.  Could go a little lower still over the next week or 2 but even now its pretty good.

Clock Crasher's picture

Only reason I am buying a tiny amount is to gift to my infant niece.  When she celebrates her sweet 16 in 2033 Silver should be testing $50 again.  

silverserfer's picture

no your be living in a tent city with all the other crypto monkies who lost there asses during the next market correction. 

ILoveGooold's picture

Waiting for that 30 RSI in XAU/USD and I'm loading up.

Dragon HAwk's picture

When we have a One World Government.. Gold will be Worthless, as long as countries don't trust each other Gold will be the Rosetta stone. 

PlayMoney's picture

Central banks and the uber wealthy are stacking....that should be all you need to know as they control the system.

ConanTheContrarian1's picture

And you know this because.... Oh, yeah, the Internet!!!!