Has Bernanke Become A Gold Bug's Best Friend?

Tyler Durden's picture


Below we present the indexed return of ES (or stocks) and of gold over the past 24 hours since the Bernanke announcement of virtually infinite ZIRP, and the latent threat of QE3 any time the Russell 2000 has a downtick. It is unnecessary to point out just when Bernanke made it all too clear that the Fed has nothing left up its sleeve, expect to directly compete with the ECB over "whose (balance sheet) is bigger," as it is quite obvious. What is not so obvious, is that for all intents and purposes, Bernanke may have unwillingly, become a gold bug's best friend, as gold (and implicitly silver) has benefited substantially more that general risk. Much more. So for the sake of all gold bugs out there, could the Fed perhaps add a few more FOMC statements and press conferences? At this rate gold should be at well over $2000 by the June 20 FOMC meeting.

And yet it is not smooth sailing: the time has come to watch out again for potential CME margin hikes (or rumors thereof) in gold at any given moment. After all, any increase in the price of protection against central planning stupidity is "irrational" and must be promptly punished by the keepers of the trillions in "stable derivative markets", who are too busy to police the MF Globals of the world and instead have a mandate of killing any PM price breakout.

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Thu, 01/26/2012 - 15:20 | 2100511 redpill
redpill's picture

You can always tell when PMs are on a tear because Robo is nowhere to be seen!

Thu, 01/26/2012 - 15:23 | 2100521 nope-1004
nope-1004's picture

Or Benocide just spoke publicly, jittering, shaking, convulsing, and lying.

Silver and Gold MUST be bought.  Right MDB?


Thu, 01/26/2012 - 15:25 | 2100530 fuu
fuu's picture

C'mon Ben, make it rain some more.

Thu, 01/26/2012 - 15:30 | 2100544 nope-1004
nope-1004's picture



Current fears of inflation are largely over stated.  I attribute rising food prices in developing nations a result of the people of those nations seeking more sophisticated diets.


- Benocide, 2011


Keep yapping Ben.  Silver and gold spike with every lie.


Thu, 01/26/2012 - 15:31 | 2100555 Everybodys All ...
Everybodys All American's picture

Translated : Shut up sheeple, I'm a Yale graduate magna cum laude. Perfect score on the SAT.

Thu, 01/26/2012 - 15:34 | 2100567 I think I need ...
I think I need to buy a gun's picture

i'm pretty sure that was an intentional prick to the dollar bubble yesterday

Thu, 01/26/2012 - 15:45 | 2100600 BaBaBouy
BaBaBouy's picture

Like I Keep Saying, GoldManip is on Bitchez ...

It's their top DeWalt "TOOL", to keep their "System" afloat, for now...


US fiat print limit is now $16.4 Trill, hehehe that otta last them a couple of months...


Evantual Manip will fail, and GOLD beyong $25K.

Thu, 01/26/2012 - 15:45 | 2100607 GetZeeGold
GetZeeGold's picture



A couple months.....let that actually sink in.



Thu, 01/26/2012 - 16:22 | 2100713 theXman
theXman's picture

BB has always been gold bug's best friend. He started in Fed in 2001. The gold bull market started in 2001 (more or less). That is not a coincidence.

Thu, 01/26/2012 - 18:02 | 2100988 AgShaman
AgShaman's picture

The "King of Sell-Outs" didn't set down the bag of golf clubs in the lightning storm on the 18th green and slither off to his European villa until 2006.

BB didn't leave his Ivy league "Cush" until 2002....then on the Syndicate's "Board" for a few years as an apprentice. He didn't get passed the baton until 2006.

The US Treasury and FED have been secretly suppressing original money for alot longer than 2001.

My guess is it took a few years for the effects of Billy and the Rube's de-regulation policies to get the snowball moving.

After that....it's been a bubble building in everything the Central Bankers and their Investment Banking and Corporate Partners could get their parasite hooks locked into.

I bet it was real convenient to remove the "fractionals" from the Casino Construct....and build global command centers like the CME Groups "Derivative Deathstar". Short pig-tails with big cannon plugs hooked to algorithmic computers on site to manage all those beautiful digits flying thru the "interlinks"....churning profits.

2001 was just when alot more starting catching on to the ponzi. Like when you're trouncing thru the woods in the mountains and the hair stands up on the back of your neck....as if something was watching and stalking you. The perceptive will look around and often times spot the wolf or the cougar......most will continue onward like the sheep....flirting with a bad ending.

Thu, 01/26/2012 - 16:32 | 2100728 Caviar Emptor
Caviar Emptor's picture


...to the tune of Diamonds Are A Girl's Best Friend: (apologies to Marilyn Monroe)


John William's words may be quite sentimental

But Bernanke is a Bug's Best Friend

Indian demand can be very monumental

But Bernanke is a Bug's Best Friend 


Analysts grow cold as a trend gets old but remember this to the end

Do yourself a favor and just smile to Marc Faber 'cause

Ben is just a Bug's Best Friend! 




Thu, 01/26/2012 - 15:38 | 2100585 XitSam
XitSam's picture

Rising food prices in developing nations are not a problem. They can just switch to eating cheaper food than rice and wheat. Like dirt and sand.

Thu, 01/26/2012 - 15:46 | 2100611 blindfaith
blindfaith's picture

don't forget MUD, we need vitamins too.  Many Africans have already found it stops hunger pains.

Thu, 01/26/2012 - 16:07 | 2100670 akak
akak's picture

Melamine, plastic rice and lead-coated infant trinkets work well too.

Thu, 01/26/2012 - 15:48 | 2100610 TruthInSunshine
TruthInSunshine's picture

With each instance of The Bernank's trembling lip, gold - me precious - finds a bid.


--Anonymous Poet

Thu, 01/26/2012 - 16:11 | 2100682 mick_richfield
mick_richfield's picture

( Spoken by Bendacious )

Now my charms are all o'erthrown,
What strength I have is only from the bucks
Whose virtue fades each time I run the press.
I must be now confined by you
Or sent, like Rodney Dangerfield, Back
To School!  That is my dukedom where
A mild deceiver like myself can still
Make good.

Thu, 01/26/2012 - 15:50 | 2100622 kito
kito's picture

@nope-sorry but bernanke is partially right. there are not enough farmers to keep up with the worlds growing appetite. many farmers are beginning to retire..as per jim rogers, the average age of a farmer is in his late 50s..couple that with chinas growing middle class looking to eat more than just rice and vegetables.....if an outright deflationary depression doesnt hit the world, food price increases, coupled with oil, would be most accurately reflective of true supply/demand issues............

Thu, 01/26/2012 - 16:12 | 2100667 dwdollar
dwdollar's picture

The average owner of the farm is in his 50's. His kids and grandkids can't afford their own farmland do to the fact that farmland is finite and people like Jim Rogers bid it to the stratosphere. They remain on the family farm and within System D.

Thu, 01/26/2012 - 16:58 | 2100814 kito
kito's picture

people like jim rogers bid it to the stratosphere??? are you for real? do you have a clue about commodities??????

Thu, 01/26/2012 - 17:47 | 2100921 dwdollar
dwdollar's picture

What part of Jim Roger's wealth >> average farmer's wealth don't you understand? The great Jim Rogers (and people like him)... The men who made a lot of money at the end of a debt super cycle Ponzi by trading paper to greater fools. Now they want to trade it all in for physical assets. Maybe that's smart, but it's hardly fair to those who spent their whole lives being infinitely more productive (while being shoved to the bottom for it by paper whores). Alas, life isn't fair. Anyways, we'll see how Jim Rogers (based halfway across the world) is able to keep his land when the game is over.

Thu, 01/26/2012 - 17:28 | 2100898 xela2200
xela2200's picture

Forget that. Monsanto is killing them all with their seed patents and its practices. Farmers who use Monsanto seeds are not even allowed to store any seeds from harvest for future planting. A practice that has been in place since farming began. Some are even genetically engineer to produce lower yield in second generation. If anybody wants to go into agribusiness, I would recommend some other country (Australians kind of speak English). Between Monsanto, Cargill, bleeding hearts and well intentioned bureaucrats you will be too busy for farming.

Thu, 01/26/2012 - 19:26 | 2101183 spdrdr
spdrdr's picture

"(Australians kind of speak English). "

Maybe so, but currently we are stuck with a Fabian Socialist Prime Minister (=President) and government, a doddering Opposition (supposedly "Conservative") who are unable to articulate any conservative policies in abject fear of offending the "new green" trend of their supposed electoral demographic of latte-sipping doctor's wives in wealthy urban suburbs.

Wait until we can clean out all of these full 'tard commies and fellow-travellers, the "green" watermelons, and all the other useless cunts who have overrun this once great country over the last 20 years.

Once you get the "all clear", by all means emigrate here.  You will be welcome, black, brindle or brown, whatever. Australia needs people who can farm.




Fri, 01/27/2012 - 00:28 | 2101688 xela2200
xela2200's picture

OK Mate, but hurry because the guy with all those aquaponic videos doesn't seam like is going to last until then.


Thu, 01/26/2012 - 16:13 | 2100690 Irelevant
Irelevant's picture

This chart explains why prices are soaring. It`s a exponential chart :), like the debt chart, like the growth paradigm, like the oil consumption chart. This is Beijing traffic today, this was Beijing traffic in 1990. You will never have resources that are finite in nature grow exponentially! So, at some point, something will have to give.

Thu, 01/26/2012 - 16:30 | 2100735 PhattyBuoy
PhattyBuoy's picture

"I attribute rising food prices in developing nations a result of the people of those nations seeking more sophisticated diets."

Has Benny stepped foot in a US grocery store recently?

Food price inflation through the roof !  30% to 40% in last 12 months ...

Costco large box of tide from $16.00 to $25.00 in last 6 months ...


Fri, 01/27/2012 - 03:54 | 2101876 Libertarian777
Libertarian777's picture

I guess take two iPads and call dr Ben in the morning? iPads are very sophisticated, every family should eat iPad.

Thu, 01/26/2012 - 15:28 | 2100545 WonderDawg
WonderDawg's picture

Didn't we play this same song over and over again last year?

Thu, 01/26/2012 - 15:55 | 2100640 SWRichmond
SWRichmond's picture

Patience, grasshopper

Thu, 01/26/2012 - 17:20 | 2100872 CompassionateFascist
CompassionateFascist's picture

Elemental Economics. Put a paper dollar on the the table. Suspend another paper dollar above it. Drop. The sound of silence. Put a silver eagle on the table. Drop another on top. Hear the difference? It's the sound of real money.

Fri, 01/27/2012 - 01:04 | 2101730 Hulk
Hulk's picture


Its the same old song, 4 tops @ $1900...

Thu, 01/26/2012 - 15:28 | 2100543 redpill
redpill's picture

My physical is stocked away safe and sound, but it's too hard to resist trading these knee jerk market moves..


30% bitches!

Thu, 01/26/2012 - 15:40 | 2100592 trav7777
trav7777's picture

bbbbut....bbbbut...DECOUPLING!!  Paper going to zero "imminently"!!!!1

Thu, 01/26/2012 - 16:19 | 2100680 akak
akak's picture

Dance, Bob Moriarty, dance like a good little troll clown.

Keep spewing your insane, spittle-flecked rage against silver, and make us laugh even more.

Thu, 01/26/2012 - 16:21 | 2100709 Long-John-Silver
Long-John-Silver's picture

Unlike Meth Man and Johnny Bravo we will forget you. You fail even at being an entertaining troll.

Thu, 01/26/2012 - 16:49 | 2100788 akak
akak's picture

He SHO do hate dem niggahs, doe!

Thu, 01/26/2012 - 16:52 | 2100798 tmosley
tmosley's picture

The Sword of Damocles hangs over your head Trav, but you are too stupid to move your fucking chair.  Or rather, you are too evil to allow others to move theirs.

Thu, 01/26/2012 - 17:15 | 2100828 akak
akak's picture

Not only too evil to advise others to move their chairs, but more than that, evil enough to berate and bully them to sit still and insist that they NOT move their chairs, meanwhile attempting to nail their chairs in place.

Thu, 01/26/2012 - 18:24 | 2101046 smiler03
smiler03's picture

tmosley and akak,

You two are like a pair of stuck records. Can't you change the bloody double act?

Thu, 01/26/2012 - 19:06 | 2101089 akak
akak's picture

Can't you stop bitching about posts of no apparent consequence or interest to you?

I respond to lies, dishonesty and disinformation of my own accord, and based on my own standards --- if tmosley happens to feel and respond similarly, that is his business and his alone.  Should I refrain from responding to Trav's bullshit anti-silver propaganda, or any other post, merely because tmosley might happen to have already responded to it as well, or vice versa?

Get a life.

Thu, 01/26/2012 - 18:56 | 2101114 tmosley
tmosley's picture

My apologies for being consistant.

If you want flip-flopping, perhaps you should visit the forums of any of the "top-teir" presidential candidates?

Thu, 01/26/2012 - 15:50 | 2100623 blindfaith
blindfaith's picture



I guess you don't realize that your PHYSICAl location is tracable thru your computers ID address.  Now they know you have some and it is safely stored until the boys show up one evening to collect...for the national good.

All you bragards need to tone it down, Ain't to smart.

Thu, 01/26/2012 - 15:53 | 2100633 redpill
redpill's picture

Child please, it ain't here.

Thu, 01/26/2012 - 15:55 | 2100641 Random_Robert
Random_Robert's picture

My computer doesn't have an ID address...

I guess I'm safe.



Thu, 01/26/2012 - 16:12 | 2100689 fuu
fuu's picture

I was just thinking it is a good thing my machines have IP addresses. These ID addresses sound dangerous.

Thu, 01/26/2012 - 21:58 | 2100797 Blank Reg
Blank Reg's picture

Quick! How do I get one of those IP addresses? Do they sell them at Walmart?

Fri, 01/27/2012 - 00:55 | 2101718 Non Passaran
Non Passaran's picture

They used to but because of people like Jim Rogers the world ran out of them (IPv4)

Thu, 01/26/2012 - 16:53 | 2100802 peekcrackers
peekcrackers's picture

I dont have address .. I must even safer

Thu, 01/26/2012 - 22:29 | 2101536 HungrySeagull
HungrySeagull's picture

Ain't no gold here. IP traces to a data center 2 counties over.

Thu, 01/26/2012 - 15:44 | 2100604 SheepDog-One
SheepDog-One's picture

Robo obviously was driven to utter madness when he called the gold top at $900 and sold. He now consider gold and anyone who likes gold his arch nemesis, like a Batman cartoon. I hope the guy can seek some professional help before its too late.

Thu, 01/26/2012 - 16:33 | 2100691 akak
akak's picture

Rumor has it that poor RobotTarder was last seen compulsively masturbating to his basement bedroom posters of the Bernankster and Jon Nadler, fervently repeating:   "I believe in paper!  I believe!  I BELIEVE!!"

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