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Here we go again,
Gold $1676.90 OFF $38.10
Silver $30.91 OFF $ 1.35Don’t know which is sadder either watching these foolish paper dragons scare holders of physical gold and silver with their dirty tricks or sensing their induced fright in people from losses they believe they are experiencing on days like these.
The only thing I know for sure is I have to pay more for less at the supermarket and I’m being bombarded on TV with Monsanto hacks telling me prop 37 here in California is a “no vote.”
Sorry, I’m not falling for manipulated metal prices(only to get great buys), thinking cereal boxes are as full as you would suppose from their box sizes and I’m not falling for all the hired quacks trying to get my approval against labeling Frankenstein foods.
I was thinking of food debasement because our currency debasement is a never ending story that requires us to add to our physical holdings with today being another great opportunity. This id not the day to be scared but the day to be bold with a few buy orders. Step up to the plate and take a few swings. I’ve been doing just that, even at last week’s higher prices. Early next week I’m going in for a few more pieces.
Jim Sinclair is looking for $6000 on the yellow metal. Mr. Sinclair is 71 years old and is referred to in the gold community as “Mr. Gold” for his past brilliant forecasts.
As the people get squeezed more and more by governments and as more and more inflation creeps into the system gold will always be your family’s savior.
Disclosure:
I use http://www.golddealer.com and http://www.apmex for my coin transactions.
Gold $1720.50 OFF $21.10
Silver $32.07 OFF $ 0.75Little men in the halls of power are paper-pushing gold lower with elections nearing in hopes of redirecting attention away from what gold has been shouting about their failures.
The games will be quite expensive down the road with the public holding the bag when the piper has to be paid.
It seems we currently have other big players in the game:
Billionaire Investor Giustra Stays Positive on Gold
posted on Oct 21, 12 01:28PM Use the IP Check tool [?]
Sunday, 21 Oct 2012 12:23 PM/marketwatch.com
By Dan Weil/excerpts
Billionaire Canadian investor Frank Giustra, who has been bullish on gold for at least 10 years, is sticking to his guns.
Gold’s appeal lies in the fact that it’s a tangible asset, Giustra says “It is moveable. It is easily transferable across borders in times of crisis. It’s a currency. It’s liquid. It’s easily tradable. I’m a fan of all hard assets, but particularly gold. It’s the largest part of my portfolio, and it will continue to be until this cycle is over.”
Frank joins the ranks of other billionaire gold holders like Carlos Slim from Mexico, the richest man in the world.
Check out http://www.kingworldnews.com and read the story concerning the LBMA being a Ponzi scheme in a part three interview of a London trader.
The whole Exchange operation is like a casino but when you go to cash in your chips that represent gold and silver you find that the cashier’s vault is empty. The Comex and LBMA today shouldn’t even be called metal exchanges but rather “betting parlors” or “bucket shops.”
The current environment with physical gold and silver is like it was in late 2008 following the financial crisis when the metals were beaten down with paper sales, people wouldn’t sell physical because they didn’t believe the posted prices.
The interview ended with these two sentences: “But we will see a day when silver(as well as gold) can no longer be capped through paper trading and various games being played at the LBMA and COMEX, and in the end, it will be the physical market which will be the deciding factor. At that point you will see the real price of silver for the first time, and it will leave people in disbelief.”
Why can’t one establish an ETF
or an LLP for the purpose of
Holding Gold,ie the “Sixteen to One Mining Exchange Traded Fund”
(For the express purpose of group ownership of Gold. They are doing it in the oil and gas industry. The participants are partners in the operation and enjoy a significant tax advantage. The fields of endeavor are in exploration,
extraction, pipelines, storage
as well as tankers.N.Y. metal changes
Gold $1749.90 UP $1.60
Silver $33.20 UP $0.24A quote from Jim Sinclair today:
“It’s clear that demand for the US Dollar is waning and certainly when national leaders watch a US debate like the performance yesterday they must reinforce their theories significantly that the path our nation is on is one of currency debasement.”
Our job is trying to save and add to our gold
Gold $1751.40 UP $14.00
Silver $32.99 UP $ 0.29The following is an excerpt from a London metals trader interview recently from kingworldnews.com relating to physical gold:
“We are continuing to see the bids get raised in these markets. This has become a competition for the central banks and sovereign buyers to get rid of their dollars and euros as fast as they can, and swap it for something of real value.
Meanwhile, the bullion banks run the COMEX and they are not stupid. They are going to ring the register on this managed money. The commercials have been doing extremely heavy short covering into the weak-handed longs which have been selling, but they are also covering into fresh shorts from speculators and managed money.
The question now is, where is the inventory going to come from to fill all of these physical orders? The physical market is already tight as a drum. I would be surprised if there is much more downside in this environment. Yes there is this game of the commercials covering into weak-handed longs, and fresh shorts, but there is reality here, and reality is the physical market, and these buyers have moved their orders higher, and will continue to do so.
Remember the old days, Eric, when the Indians would say, ‘I’m not buying at these levels. I will wait for a large pull back.’ Well, those days are gone. The physical market used to be India, and if India was on a buyers strike, the gold market would come down an awful lot in terms of price.
India would just say, ‘We’re the biggest gold buyers in the world, so we will just step back and wait for our price. We will wait for our price because we already have plenty of gold here.’ But now you’ve got too many competing entities all trying to acquire physical gold.
Suddenly China has overtaken India. So India doesn’t have the luxury of sitting back. India is back in the market now. India is back buying in the mid-$1,700s. India was back yesterday. India is back today. They need to buy gold and they are stepping ahead of other entities and becoming a large buyer.
The Indians are not stupid. They know the commercials harvest the weak hands on the COMEX. Once they see open interest get to a certain level, they fully expect a reaction in the price. But your readers have to understand that there isn’t going to be a ‘correction’ this time, there will only be a ‘pull back.’ There is a big difference between a pull back and a correction.
The reasons for this is there are just layers of central bank and sovereign physical buy orders in here right now. Some of it has already been filled. There has been tonnage filled at higher levels than we are currently trading. As soon as we went through $1,760, we started to see central bank buying.
Each layer below current levels there are exponentially larger physical orders. I would also point out that when we have seen smashes in the past from say 2008/2009, the difference this time is that the physical buying is now coming from central banks all over the world. That is what is different this time, and this is why we are not going to see a waterfall decline in the gold market.”
Gold $1768.80 UP $6.20
Silver $34.09 UP $0.11The following was presented by the contributor Mark at the http://www.agoracom.com’s website under the security forum for PRB:
“Then There Was This. from Zerohedge.com. (one of my fave websites to visit). This is an article posted by the chief investment officer of Guggenheim Partners in New York and Chicago, Scott Minerd, who concentrates on an angle often raised by Jim Sinclair, the (purported) U.S. gold reserve’s “coverage ratio” of the U.S. money supply.
Minerd writes: “The U.S. gold coverage ratio, which measures the amount of gold on deposit at the Federal Reserve against the total money supply, is currently at an all-time low of 17 percent. This ratio tends to move dramatically and falls during periods of disinflation or relative price stability. The historical average for the gold coverage ratio is roughly 40 percent, meaning that the current price of gold would have to more than double to reach the average. The gold coverage ratio has risen above 100 percent twice during the 20th century. Were this to happen today, the value of an ounce of gold would exceed $12,000.
Well, dear reader, my guess currently stands at $18,000 the ounce, so the estimates are getting closer. But if gold only makes it to $12,000/ounce, I’m sure I’ll manage somehow…as silver will be many hundreds of dollars per ounce…and the “new” gold.”
Printing Money – Price of Gold – Preservation of Wealth
October 9th, 2012 by admin golds
by Egon von Greyerz – October 20121. Worldwide money printing continues unabated
2. Just In 10 years $120 trillion have been printed making global debt $200 trillion
3. World GDP has gone from $32 trillion to $70 trillion 2001-2011
4. Thus $120 trillion debt is required to produce a $38 trillion annual increase in GDP
5. The marginal return on printed money is negative in real terms
6. Thus the world is living on an illusion of paper that people believe is money
7. This illusionary paper wealth will implode in the next few years
8. The initial trigger will be the collapse of the world’s reserve currency – the US dollar
9. The dollar is backed by $120 trillion of US government debt and probably NO gold
10. All currencies will continue their race to the bottom and lose 100% in real terms against gold
11. This will create a worldwide hyperinflationary depression
12. All assets financed by the credit bubble will go down in real terms
13. This includes stocks, bonds, property and paper money of course
14. The financial system is unlikely to survive in its present form
15. The banking system including derivatives has total liabilities of around $1.2 quadrillion
16. With world GDP of $70 trillion, the world is too small to save a financial system which is 17x greater
17. This is why there will be unlimited money printing and hyperinflation
18. The only asset that will maintain its purchasing power is gold Click here for chart
19. Gold has been money for 5,000 years and will continue to be the only currency with integrity
20. Western countries’ 23,000 tons of gold is probably gone. See recent article by Eric Sprott.
21. The consequence is that most of the gold in the banking system is likely to be encumbered
22. This means that Central Banks one day will claim it back against worthless paper gold IOUs
23. Thus gold and all other assets within the banking system involve an unacceptable counterparty risk
24. Gold should be held in physical form and stored outside the banking system
Weekly Closes
Gold $1781.30
Silver $34.51Just got back from the hardware store where it was 20%-off Saturday. Noticed on the way out they had CHUCKLES so I picked up five as they used to be my childhood favorite. Returning home the receipt said regular price $1.29. W0W! Heck, I remember when I paid $0.10 each years ago but that’s when gold was selling at $35 an ounce.
The important point to keep in your mind, gold will ALWAYS protect your purchasing power.
October 5, 2012
My Dear Friends,
Today’s employment figure is a shock. A shock not because they are good, but rather because the fabrication is totally transparent. On the other side is the candidate of Wall Street and the Banksters. There is no choice here between good and bad, capable or incapable. No matter who wins, the transition to a one world central bank and a single currency is unavoidable. Both parties are experts on the art and science of stealing an election. Who knows, that might cancel itself out.
If I was a young married man, I would not have children. I would not want them to have to live through the end game of all of this transitioning into the new world of Big Brother’s matrix. I have given you the end game financially which is the Federal Reserve balance sheet’s impact on dollar confidence. I know what the new world will look like, making me totally delighted to be 71.
Gold will protect you in this transition. Silver will give you a cheap thrill followed by a spiritual experience devoid of a teacher.
Respectfully,
Jim(Sinclair)Quote of the the day from Jim Sinclair:
“There is no way that the present giant shorts in the good gold shares can cover. The only reason they are not yet in panic is their long period of winning has made even the smartest of them stupid.”
Below is linked a chart of the relationship between gold and the popular gold and dilver index, the XAU. It is quite clear that the shorting of the shares versus gold by the hedge funds is over with the double top formation on the graph.
Gold $1776.70 UP $23.40
Silver $34.61 UP $ 0.62The $1800 level on gold and the $35 level on silver are the chart areas where the cabal is staging their defense in preventing the metals from moving higher. Will they succeed? If at all, only for a short period of time.
In the following linked article below Dr. Darryl Schoon spells out where we are headed compliments of the “out of control” Federal Reserve. Yes, they have no other choice but to remove all the mortgage garbage from the bank’s balance sheets before the whole financial system collapses but at their expense? No, ours and the expense is ruining our currency. Sporatic past financial trials leading up to this terrible time period have been brought to us by the buffoon, Alan Greenspan, necessitating massive currency expansion just to keep the ship afloat.
Anyway, read Dr. Schoon’s presentation and get informed so you are better prepared to weather the coming storm.
Friday’s closing metal prices
Gold $1773.00
Silver $34.52From Jim Sinclair
http://www.jsmineset.comMy Dear Friends,
You can be absolutely sure the 7 touches capping sells at $1775 were for the purpose of accumulation.
Our newly created trillionaire banksters will be long of cash gold in their own depositories.
Gold is going to $3500 and beyond much, much, much faster than it took to get to go above $1900.
If you think the major banksters are either short or flat on this gold move, you are seriously bonkers.
Regards,
JimThe following is silverdoctors.com’s account of what took place in the silver market last Friday, 9/21/12.
“After silver exploded through $35 on this today’s COMEX open, we wrote this morning that should silver hold $35 through today’s weekly close, the metal would quickly run to $37-$37.50 early next week as a massive short squeeze developed.
The cartel understood the predicament they were in, and responded with a massive paper dump on the market to stuff price back below $35.
Between 10:35 and 10:50am EST, an astonishing 62.5 million ounces of paper silver were indiscriminately dumped on the market to induce the sell-off- nearly twice US annual silver production of 36 million ounces!!”
—————————————————-
The attack in continuing in the thinly traded Asian markets tonight with silver at $33.94, off $0.58, while gold is also lower by $11.60 at $1761.40.
It is quite evident we are dealing with desperate men intent in hiding the fact that the U.S dollar’s reserve status is being seriously questioned by many countries around the world. Sadly in the end, the cost of these charades will be billed to the people.
Jeff Berwick says you won’t be able to buy gold and silver in two years. Something to ponder.
Weekly closes
Gold $1770.50
Silver $ 34.68Gold may be on the verge of an extended run based on the following imformation that was just received:
Battleships, aircraft carriers, minesweepers and submarines from 25 nations are converging on the strategically important Strait of Hormuz in an unprecedented show of force as Israel and Iran move towards the brink of war.
Western leaders are convinced that Iran will retaliate to any attack by attempting to mine or blockade the shipping lane through which passes around 18 million barrels of oil every day, approximately 35 per cent of the world’s petroleum traded by sea.
A blockade would have a catastrophic effect on the fragile economies of Britain, Europe the United States and Japan, all of which rely heavily on oil and gas supplies from the Gulf.
The Strait of Hormuz is one of the world’s most congested international waterways. It is only 21 miles wide at its narrowest point and is bordered by the Iranian coast to the north and the United Arab Emirates to the south.
In preparation for any pre-emptive or retaliatory action by Iran, warships from more than 25 countries, including the United States, Britain, France, Saudi Arabia and the UAE, will today begin an annual 12-day exercise.
They will practise tactics in how to breach an Iranian blockade of the strait and the force will also undertake counter-mining drills.
The multi-national naval force in the Gulf includes three US Nimitz class carrier groups, each of which has more aircraft than the entire complement of the Iranian air force.
The carriers are supported by at least 12 battleships, including ballistic missile cruisers, frigates, destroyers and assault ships carrying thousand of US Marines and special forces.
The British component consists of four British minesweepers and the Royal Fleet Auxiliary Cardigan Bay, a logistics vessel. HMS Diamond, a brand-new £1billion Type 45 destroyer, one of the most powerful ships in the British fleet, will also be operating in the region.
In addition, commanders will also simulate destroying Iranian combat jets, ships and coastal missile batteries.
By Sean Rayment, Defence Correspondent
10:00PM BST 15 Sep 2012
Bernanke Unleashes The Path To New All Time Highs In Precious Metals
Submitted by Tyler Durden on 09/13/2012 13:17 -0400
There was one thing, ONE THING only that Bernanke could do, to become a gold bug’s best friend today, than merely announcing QE 3/4. It was to announce open-ended QE. This means this is the Fed’s final shot and there is no way to frontrun the Fed any more by definition. It means the terminal start of currency debasement is now here. It also means that the path to all time nominal (and inflation adjusted) highs in gold, which is now just $160 away, silver, platinum, and all other metals, as well as all other hard assets is now clear.
$1764.30 UP $32.90
Silver $34.51 UP $ 1.20The madman at the Fed continues to destroy our curreny’s purchasing power. If you don’t have gold and silver and their stocks as a hedge against your wealth it strongly appears you headed towards financial hardship.
One could mint and sell “proofs” like the people on the “tube”
how hard would it be for this company to start minting its own tokens perhaps suitable for coinage though perhaps not to be called coins. so as to not get in trouble with the US government. Anyone heard of decas? http://www.coinbooks.org/esylum_v12n27a24.html
i used to have some but they got stolen.
Gold $1735.30 UP $34.00
Silver $33.68 UP $ 0.97“Gold is truly going to and through $3500. The gold business is the best business to be in.” Jim Sinclair
It pays, sooner or later, to have an active program in place for buying gold and silver coins on scary reactions.
Gold $1691.30 DOWN $4.90
Silver $32.21 DOWN $0.15There are always rumors flying around the marketplace concerning where all the physical gold is coming from, especially over the past weeks as gold has moved higher and traded above $1700 for an instant yesterday.
Most likely western nations have been leasing out their gold in increasing numbers as soverign debt problems continue to swell. The only question that might remain is, will they be able to get it back? With paper products representing physical that is certainty not behind these instruments, it seems like a collapse of the paper market and the leasing market could take gold much higher, well beyond most people’s imaginations.
The following countries, more than likely, have been buying the leased gold(does the U.S. really have any physical gold left?):
China – Russia – Bangladesh – Philippines – Saudi Arabia – Thailand – Belarus – Venezuela – India – Sri Lanka – Mauritius – Mexico – Bolivia – Colombia – South Korea – Turkey – Kazakhstan – Tajikistan – Serbia – Ukraine – Mongolia – Malta – Greece – Argentina.
From Jim Willie:
“Expect a price move toward $1800 very soon. Expect a Silver price move also, as it more clearly has broken out from the year-long consolidation, back over $30/oz. Moves in the two metals could come fast and furious. The Eastern world has consistently been big buyers, but now the Western world is seeking safe haven from the ruin in banks and bonds.”
The Federal Reserve Is An Impotent Rodent – Gold Prevails
Weekly closes
Gold $1670.70 UP $52.70
Silver $30.82 UP $ 2.72In the later part of the linked Max Keiser’s interview below a guest from London states that for the U.S. to pay off its $16 trillion debt with its supposed gold holdings that a price of $60,000 would have to be used.
In 1980 the equilibrium price of $850 would have done it for the same thing with a much lesser amount of debt.
The price of $1670 in the realm of the big picture is by no means expensive.
Gold is your best friend during these troubled times.
http://maxkeiser.com/
Select the “Debt Bomb.”Gold $1651.60 UP $13.00
Silver $29.83 UP $ 0.50Gold for the past few months has been etching out a bottom formation and now appears has gathered enough strength to attack the important $1651 and $1658 resistance areas as it flexes its muscle today. If the metal blasts through these levels it could indicate that expanded financial troubles are upon us. From purely a chart perspective, it is expected than gold and silver may be due for a little resting in here.
Nevertheless, the higher metal prices of the past few weeks should feel great, especially, for those who have a methodical bullion coin purchasing program in effect.
Evening metal prices
Gold $1663.20 UP $24.60
Silver $30.17 UP $ 0.84Pushing through the $1658 area on gold, if it holds, is significant. It is technically significant as well as politically significant. When one considers how many paper obligations were entered into in holding gold down by the bullion banks as many big banks wobbled, it is a wonder gold was able to shake off the paper selling pressure. This action bodes well for more pent up energy being released in higher prices with the bettering of the important $1658 level.
The day is coming when the paper gold market totally implodes for its inability to caugh up physical gold which frankly, does not exist as a basis for those contracts. Paper gold contracts should have never been allowed to affect physical prices. Are there possible suits coming from gold producers who obviously have been robbed?
The bottom line is the bankers are selling paper contracts as they take delivery on the physical metal from physical sellers. In the end, it is speculated, the public will pay the cost of the losses in shorting paper gold while the bankers keep the gains and the physical on the expected appreciation . Why would anyone think it would be any different?
More insight into the price suppression of gold and silver by Mike Maloney:
http://goldsilver.com/news/gold-and-silver-manipulation-high-frequency-shearing/
World’s 10 biggest gold mines:
http://www.mineweb.com/mineweb/view/mineweb/en/page34?oid=156837&sn=Detail&pid=102055
Comments by Bob Rinear as they appeared in Satueday’s International Forecaster:
Gold and silver aren’t priced by physical supply and demand. Their prices are set totally and wholly by paper trading. Futures. Derivatives. Forward leases. Swaps, Government interventions, etc.
While many roll their eyes and snicker at anyone that suggests that these markets are controlled and manipulated, the fact is that they are and they have been for decades. In Gold there was the “London Gold Pool” of the 60’s that set the price at 35 dollars the ounce and bought and leased gold daily to keep that price locked. You can’t exhibit a stronger case of “manipulation” than that. In Silver it really began being manipulated by the coinage act in 1965 and President Johnson himself stated that investors shouldn’t try and look for gains in silver because the US would “dis-hoard” their stockpile to keep the price down. In other words, our Government via the President of the United States declared flat out that they would manipulate the silver market. It doesn’t get much clearer than that.
After the London pool went under, and Central banks and Governments got more technology via communications equipment, the manipulations went from outright “open outcry” to underground. But it was and still is there. Yet not many understand how it works, and thus their attention is diverted in the wrong area. For instance JPM is usually the target of the silver manipulation crowd because on any given day they might be short a third of the entire silver production for a full year. In fact one silver trader Andrew McGuire went to the CFTC and forecasted that a manipulation would occur on a specific day, and “bingo” just like he said, the price moved to the levels he suggested and at the exact time. Obviously it was manipulation. Lawsuits flew. At one time I believe there were more than 4 separate suits about manipulation.
That is why there’s so much outrage over a recent Financial Times article that says they are close to shutting down the CFTC investigation into silver manipulation because after 4 years they’ve not found enough evidence of it. So who’s right? Are all the silver traders just nuts and there’s really no manipulation? Or…is the CFTC just covering for JPM? Is this an example of the foxes guarding the hen house? Yes and no. They see the manipulation, but they are not allowed to prosecute the perpetrators. Why? Because the perp is the Government.
The time is getting short to totally grasp what’s ahead.
From Martin Armstrong:
I have never been one to yell fire in a crowded movie. But this is getting absolutely ridiculous. The global economy is in such a tailspin and there is nobody with a solution no less even a hint of what is developing so rapidly before everyone’s eyes, it appears just hopeless to save society.
The HYPERINFLATIONISTS, presume that government will continue to just print, for they cannot see that government is turning aggressive against the people for the bondholders will not tolerate such a policy and demand austerity with higher taxes. This is a Monmouth battle that is being waged and then they fail to grasp that state and local governments cannot print money and are becoming very Draconian raising taxes and prosecuting anything they can to raise money.
The federal governments are not coming to the rescue of state and local because they know they cannot. There are always counter-forces at work that must be balanced. There is a substantial difference in trend between national governments worldwide and state as well as local municipalities. This can only end in real profound collapse.
This is the reason to buy gold – to survive the future.
Analysts at Goldman Sachs, whose views on commodities are regarded as highly influential, today reiterated their 12-month gold price target of $1,860 an ounce: ‘As we expect gold prices will continue to be driven in large measure by the evolution of U.S. real interest rates and with our U.S. economic outlook pointing for continued low levels of U.S. real rates in 2012, we continue to recommend long trading positions.’
Also, broker Credit Suisse raised its 2012 gold price forecast to $1,850 an ounce, saying the metal, as a clear beneficiary of the uncertainty and dislocations in financial markets, has further upside with the crises set to continue.
Gold $1614.70 DOWN $7.20
Silver $27.98 DOWN $0.20The current daily gold chart is linked below:
http://stockcharts.com/h-sc/ui?s=%24gold
Gold continues to be within a resting phase. During this period the reaction bottoms have been rising while the 1640 area appeats to be its present resistance level. This pattern has etched out a right ascending triangle. In all probabilities prices should break out through resistance and head higher.
In the meantime, expect continuing attempts by the paper miscreants to effect the market lower with more and more promises based on nothing more than the blind faith by ignorant people for them to deliver physical gold. Once this gig concerning paper versus physical gold is up, the prices that you have been following in past months will in the future be at the lower end of an historical chart that will be displaying its future prices at numbers that will amaze you.
In the futuue, your wealth will be commonly denominated in ounces of gold you physically control with the paper promises only being mentioned in history books as the financial devices that were created by bankers to suppress gold values for their own selfish ends.
Gold $1617.00 UP $12.20
Silver $27.55 UP $ 0.21Jim Willie, again, spells out what’s happening today with commercial gold storage and the big banks and it’s not pretty.
The desire of gold is not for gold. It is for the means of freedom and benefit.
–Ralph Waldo EmersonThe following link to an interview on King World News may shock you concerning gold:
“One of the best ways to stagnate in the mining industry is to stop exploration”
Rob McEwen
Check out the current editorial by Jim Sinclair at jsmineset.com concerning his fired up attitude relating to the out of control crooks in our industry depressing share prices and what he is doing about it and his challenge to us.
Below is a response to the article from a poster at the Canadian Agoracom.com website’s forum section:
posted on Jul 19, 12 07:22PM
Gold Industry CEO’s should and need to fight back and soon. Another view of the shenanigans!
“Chris Powell, Secretary and Treasurer of the Gold Anti-Trust Action Committee (GATA) told Bernie Lo on CNBC Asia that central banks are continuing to manipulate the gold market as they are interested in supporting government bonds and the dollar and keeping interest rates low While buying as much Gold as they can on any weakness.
Further evidence of rising interest in gold is seen in the fact that due to the increased flow of gold bullion into Switzerland, the most respected depository, Via Mat International, is currently adding capacity to their storage facility. Powell also warns about “paper gold” and says that we “try to persuade investors that if they are purchasing gold, they had better get real gold – the metal. They should not get “paper gold” nor keep it or real gold within the confides of banking system.”
He further asserts that “there are huge naked short positions in gold” and estimates that perhaps “75% to 80% of the gold that the world thinks it owns does not exist and is just a claim on a bullion bank that is underwritten basically by the British and American FED’s.”
Cheers, Mark
(Kitco News) – The amount of new gold discovered has not kept up with the current pace of mine output, as the easy-to-reach gold deposits are being depleted, said a mining consultancy group on Tuesday.
From 1997-2011, there have been 99 discoveries of gold deposits containing at least 2 million ounces of the metal, totaling 743 million ounces of gold in reserves, resources and past production as of the end of 2011, said the Metals Economics Group in a research report.
“Assuming a 75% resource-conversion rate and a 90% recovery rate during production, these 99 discoveries could potentially replace only 56% of the estimated gold mined during the same period, if they are economical to mine,” they said in their report,
“Strategies for Gold Reserves Replacement: The Costs of Finding and Acquiring Gold.”
The challenge for producers is “not that there is no gold left, but that all the ‘easy’ gold has been found,” they said.The total amount of gold in reserves and resources at development-stage projects on a global scale roughly matches current mine production. “However, with increasing risk of political, regulatory, and tax instability in many resource-rich nations, declining grades, rising costs, and dramatically longer development times, the amount of gold available for production in the near term is likely far less than has been found,” they said.
Gold $1621.90 UP $25.00
Silver $28.30 UP $ 0.78For the past few months gold has been etching out a possible short term bottom in the $1530 to $1540 zone. With a last of $1621.90 the metal has vaulted past its 50 day moving average line on the chart at $1601.66, this is all positive. The best case scenario for a possible short term directional change higher would be for gold to stay above the $1600 mark.
Gold – broaden your horizon.
http://www.martinarmstrong.org/files/Why%20You%20Should%20Buy%20Gold/index.htm
Gold $1621.80 UP $12.00
Silver $29.07 UP $ 0.10It appears gold has done some important chart work in the $1530 ro $1540 area and it may be enough to halt this intermediate downtrend.
We’ll see.
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