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Thank You Swiss National Bank For $2000+ Gold
Confirming that this is a market for idiots, by idiots, was the 4 am response in the price of gold, which following the SNB's Swiss Franc peg announcement did not surge, as it should have considering that the SNB just singularly changed the role of the CHF from a "flight to safety" to a carry currency, making gold the only island of stability in a world of fiat insanity, but instead plunged by over $50. Subsequent attempts to regain the $1900+ level were met with constant program selling for no other reason, than just because someone 'else' was selling. Of course, the logic is completely and totally the opposite. But don't take our word for it: here is Reuters: "Switzerland's decision to peg the erstwhile safe-haven franc to the euro may finally give gold bugs the chance to see prices hit the once-unimaginable $2,000 an ounce mark, as the metal holds on track for its strongest annual rally in three decades. By buying euros in unlimited amounts to weaken the franc, the SNB is in effect putting more of its own currency into circulation, which threatens to trigger inflation. It has also impacted the Swiss currency's status as a haven in its own right. While gold prices initially dipped as the move sparked a rush to liquidity in the form of other currencies such as the dollar, the SNB move is likely to lend firm support to gold in the medium term, analysts said." Precisely. And it is not only Reuters: Bank of America's MacNeill Curry said that Gold will probably rise to $2,050 this year. The rationale - identical to the above: SNB decision to peg franc to euro should also support gold. "They have taken out one of the big safe-haven assets, which is the Swissie." As for the amount of time the idiots will need to realize that QE3 coupled with the SNB action means that gold is now valued somewhere well over $2000: at least a few days...Which everyone who looks for even the smallest golden pullback will be happy to take advantage of.
From Reuters:
"All in all, Switzerland is now on a quantitative easing policy in the foreign exchange markets," said Peter Fertig, a consultant for Quantitative Commodity Research. "If the Swiss franc is no longer a preferred safe haven due to intervention by the SNB, it will have (a positive) impact on the demand for gold."
Much of gold's rise this year - it is currently up 34 percent since January, on track for its largest yearly gain since 1979 - has been fueled by cheap cash, provided chiefly by Western central banks battling debt piles large enough to derail global growth.
Even without the SNB, the deterioration in the euro zone debt crisis and the U.S. economy's inability to create a single job last month had already prompted many analysts to upgrade their gold price targets this year.
The $2,000 mark is now coming clearly into view -- though its sustainability at that level is unclear.
"$2,000 is just another number. There is no reason why it can't go through that, can't go a long way through that," said Natixis strategist Nic Brown.
"This explosion in liquidity creates demand for gold and creates the perception for gold prices to go higher," he said. "But ultimately, this is a bubble fueled by liquidity."
Adjusted for inflation, gold already hit $2,000 an ounce in October 1980. In 1980s money, Tuesday's record high gold price of $1,920.30 an ounce is only worth $720.
But its rally is impressive nonetheless, with the metal set to end September with its twelfth quarterly gain in a row, its longest such winning streak in at least 30 years. Switzerland's move is just the latest piece of supportive news for the metal.
"I think gold is headed for $2,000. In theory, this could happen in a matter of days," said Frank McGhee, head of precious metals trading at Chicago's Integrated Brokerage Services.
"In reality, if this type of intervention action was taken and was ultimately seen to be ineffective, then the market will get new strength from that."
Who may do most of the buying? Why the same printing madmen themselves:
The most recent data from the International Monetary Fund shows the world's central banks have bought some 200 tonnes of gold this year, led by Mexico, Russia and South Korea. Investors in exchange-traded products backed by physical gold have increased their holdings by a net 75 tonnes in 2011.
The Swiss National Bank's "shock and awe" decision may prompt even more of this kind of investment.
So while the robots, the vacuum tubes and the algos are decidedly confused what to make of the noisy intraday momentum, the ultimate direction of the price of gold is beyond obvious. That's ok - anyone long gold since the triple digits has more than enough patience to wait. After all, it won't be the first, or last, time, the Ph.D.-programmed robots need a little time to regain their bearings in a market that has just seen a 180 degree overnight change in virtually everything.
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Everyone on the planet thinks $2000 is a gimme. Even people looking to short it.
Now might be a good time to take some profits and buy quality growth stocks like Lululemon, Travel Zoo, Chipolte, solar stocks, small chinese stocks, Linked In, Apple, Amazon and BubbleRUs.com. Everyone in the world still wants an iPad more than food or even life itself.
I think I can eat Chipolte, maybe Apple, and I'd take a shot at eating some Amazon too.
"bubble fueled by liquidity." ...makes me think.
If the central banks and institutions are printing/borrowing money to go and buy gold, PM prices may eventually have a problem when liquidity dries up.
Gold is liquidity. There is ALWAYS someone around who will take your gold.
when liquidity dries up, LMFAO!
LE, liquidity will dry up when the paper chase comes to a halt. It is only a matter of time as ZIRP is a trap. Always has been, always will be. Good luck.
LE and DoChen, I meant the liquidity in credit as a carry trade to go into PMs, not the liquidity in the gold market. My bad.
The Swiss have a Population that like America carries guns.. we will see how things shake out there.. as a test to how things will work out here.
A difference is that the Swiss, unlike Americans, don't use their guns very much.
http://news.yahoo.com/2-3-killed-nev-restaurant-were-guardsmen-182135440...
http://www.youtube.com/watch?v=IaxOZ-fbe6M
http://www.nraila.org/Issues/Articles/Read.aspx?ID=72
SwitzerlandAnd then there is Switzerland, where the laws are similar to those in Israel and gun availability is comparable to that in the U.S. In Switzerland, handgun licenses are available to any law-abiding applicant. In half the Swiss cantons (similar to U.S. states), licensees are free to carry their personal handguns concealed. Beyond this freedom of ownership, every law-abiding military-age Swiss male is issued a firearm and he must keep it at home to perform his mandatory militia obligation.
Good catches JW!
Yes, but they have few deadbeats or minorities collecting welfare, so a rodney King type event is unlikely.
Unless "the jews" orchestrate it, right JW?
http://www.google.com/#sclient=psy&hl=en&source=hp&q=talmud+quotes&pbx=1&oq=talmud&aq=2&aqi=g5&aql=&gs_sm=c&gs_upl=0l0l1l1396l0l0l0l0l0l0l0l0ll0l0&bav=on.2,or.r_gc.r_pw.&fp=422aca6f1b1d5ac1&biw=1920&bih=997
6. "It is forbidden to disclose the secrets of the law. He who would do it would be as guilty as though he destroyed the whole world." - Jektat Chadasz, 171, 3
7. "Every goy who studies the Talmud and every Jew who helps him in it, ought to die." -Sanhedryn, 59a, aboda Zora 8-6, Szagiga 13
8. "To communicate anything to a goy about our religious relations would be equal to the killing of all Jews, for if the goyim knew what we teach about them they would kill us openly." -Libbre David 37
9. "If a Jew be called upon to explain any part of the rabbinic books, he ought to give only a false explanation. Who ever will violate this order shall be put to death." -Libbre David 37
10. "A Jew should and must make a false oath when the goyim asks if our books contain anything against them." -Szaaloth-Utszabot, The Book of Jore Via 17
11. "The Jews are human beings, but the nations of the world are not human beings but beasts..." -Saba Mecia 114, 6
12. "When the Messiah comes every Jew will have 2800 slaves." -Simeon Haddarsen, fol. 56-D
13. "Jehovah created the non-Jew in human form so that the Jew would not have to be served by beasts. The non-Jew is consequently an animal in human form, and condemned to serve the Jew day and night." - Midrasch Talpioth, p. 225-L
http://www.stormfront.org/forum/t284925/
Where in the hell is all that shit from???
http://www.youtube.com/watch?v=quTXwTjgfc0&feature=related
better to know who is up to what..
I never knew I was to be a slave to the Jews?? learn something new every day!
http://www.youtube.com/watch?v=JA6vRC1xW_c&feature=related
Incredibly pathetic that you know all that 2000 year old bullshit
even sadder that you base your life and relationships on it being true (or believed by any modern jew)
fix your own house first, schvatze
Are you insulting JW or dumbfucks who read the bible and teach it? Because 2000 year old bullshit seems to have a big fucking presence either way.
After the 3%+ rise in the gold price Friday, the expected smash down occurred at 4 am. -- just as McShirley predicted. Can TPTB keep it up? Nah....
Andrew McGuire, the PMs whistleblower, says the Pan-Asian exchange settling in physical metal is the real game-changer that will kick into high gear this fall -- says they are only just getting started and are now ready to ramp up!
He says:
Pan-Asian exchange gold to be stored at the new facilities in Hong Kong, with no premium for the physical, over the 'paper' gold. Hence, the LBMA clients and new institutional buyers getting into the gold game will flock to the new Asian exchange putting massive demand on the physical gold. The GLD, bullion banks, and shorts will be routed since it is known they use paper gold trading as fractional reserve system with very little physical gold backing. Of course, the Chinese know all this, that's the plan! The physical gold will bolster Chinese RMB's currency convertibility, internationalization, and help it be seen as a gold backed play.
We are about to see what the market discovery price of physical gold really is.
I hope you are correct. No way in hell will these fucks on this side of the world do the right thing voluntarily. Maybe the asians can make them.
How many currency traders got caught in the peg move and HAD to sell their gold off?
'yawole; UNLESS ITS CONFISCATED" lol
SPREAD THE POVERTY.....all according to plan my liebschen,
all according to plan.
Looks like we have a "Mexican standoff" in Europe between the deadbeats, the germans, and now the swissies. Come to think of it, who knew them fuckers could swim that far?
Nadler Here!!! With your daily gold forecast!!! As everyone knows the Nadler has been spot on with his gold forecast for the last 5+ years and today willo be no different as we all know Gold is a barbarous relic! My current forcast for the week has gold at 1300 usd by the end of the week! Get ready for the big plunge! The great gold crash of 2011 is in full swing!!!
This guy sounds trustworthy. I believe him.
lol
LOl as well
"Confirming that this is a market for idiots, by idiots..."
Shouldn't that have been:
"Confirming that this is a market of idiots, for idiots, by idiots..."
Just trying to properly honor the words of ol' Abe.
Great play on the Hugh name, not seen this one before!
Is anyone really surprised about this?
Gold broke last month. 2000 dollar gold is crazy talk. This shit is going to go off it's rocker telling stories to a drunk coked up steven speilberg that scares the shit out of him kind of insane. 2300 by the end of the month.
This thing broke down during the budget fight. Because there is NO anwer. There is no budget. There is no believable path forward. It's where entire lives and beliefs and trusts in wealth get washed away like Michael Jackson blackness.
Gold was NEVER able to pass 40 bucks an AM fix. It started doing 60 and 80 bucks a fix last month.
"If the Swiss franc is no longer a preferred safe haven due to intervention by the SNB, it will have (a positive) impact on the demand for gold."
I guess he means when all the passengers on the starboard side of a sinking ship run over to the other passengers on the port side.
I don't think it's helpful.
"$2,000 is just another number. There is no reason why it can't go through that, can't go a long way through that," said Natixis strategist Nic Brown.
Tell that to Nasdaq 5000.
$5,000 gold a "no brainer" at this point:
" By buying euros in unlimited amounts to weaken the franc, the SNB is in effect putting more of its own currency into circulation, which threatens to trigger inflation."
Boondoggle Palooza!
Pssssttt.... hate to be the foist to break da nu's, but gold was aXtually down today - by over $20. Dont worry, it'll be our secret, I wont tell anyone else, I promise.
"They have taken out one of the big safe-haven assets, which is the Swissie."
The dopes are buying the US toilet paper for lack of knowledge of what is safe.
the fed must have hired mr. whipple.
they're pulling out all the marketing ploys.
I disagree: they know exactly what is safe and what is not. They know the US toilet paper has shit all over it.....as does everyone else's. What you gotta understand is all these "Central Planners" [bankers] are in the same club together [at least in the West.] As Don Barzini said: "to refuse is NOT the act of a friend." These fuckers will do anything to save their system, no matter the cost or unpopularity of their edicts. Next prediction: the Germans WILL bailout the Euro system. Do the German people want that? Of course not.....but the Central Planners do, and their dick-sucking politicians will go along....to "maintain the status-quo." This is all hugely bullish for gold: as more and more people see and finally figure out what's happening, they'll withdraw their savings from the fiat system and buy gold and / or silver with it.......
Just remember be nice to the mama San and you will get the pick of the litter
Gold prices are headed much lower. Gold had extremely bullish news today. What did it do? It dropped over $60 from its high. This is very bearish folks. Gold is about to get hammered below 1600. Watch & learn.
dude, you want to know why? typical behavior from the assholes.......
http://kingworldnews.com/kingworldnews/KWN_DailyWeb/Entries/2011/9/6_Ben_Davies_-_Silver_Headed_to_%2465_%26_Gold_to_Soar.html
maybe you can learn something........
I also expect a major plunge and locked in longs.
Then Margin req's will be higher again and we'll see $1450 faster than anybody would have think.
I can get -16 votes for my 1st reply in this thread but I compare gold right now to Oil.
Oil had to go to $200 per barrel huh? There was no supply.
Anecdotal and N=1, but a family member went to buy a couple ounces Au today and the pm dealer didn't have any in. She's on the waiting list for delivery, got in at today's price. Big enough dealer in a city of 300k+ people that I wouldn't have expected them to run out.
"Bank of America's MacNeill Curry said that Gold will probably rise to $2,050 this year."
What he didn't say is that Bank of America will be selling the shit out of gold at $2025.
"Bank of America's MacNeill Curry said that Gold will probably rise to $2,050 this year."
Balderdash. Gold will either be at $3050 or $1050. It's not just going to trade up or down $150 in 4 months. No wonder BAC is almost belly up.
Moving into gold will be a panic as they dump the "safe" Swiss franc and run into a buring building---the USD---only to scream and run to gold....like the Chinese are already doing.
hehehe....if it was Balaam's ass telling us that the price of gold was "such and such" people might get the picture a little faster. The London Fix is just some jackasses, with no gold of thier own to sell, telling the rest of the world what they think price should be.
I have gold. And no, I won't sell it for $2,000 per oz. Not for $10,000 per oz either.
Silly jackass! Print some more paper, now.