NEWS OCTOBER '12 (public)
I will offer to any NEW subscriber 6 months of free COACHING if the price of Gold is not higher than $ 1720 before end of 2012!
Tuesday - Wednesday october 30-31, 2012 - Major us stock markets to be closed today and may also be tomorrow - November 1st is a major holiday in europe -
MAJOR US STOCK MARKETS WERE CLOSED MONDAY AND ARE ALSO CLOSED TODAY.
Not only do we have a major Hurricane but also a Blizzard and a Full Moon. This is how fast things can happen in today's world! Are you prepared for what will sooner or later happen on the Financial Markets? Or do you still believe in Santa...?
Monday October 29, 2012 - 9 days to go for the American presidential elections -
Over the last few election cycles, gold prices have tended to drop or stay flat during the election year only to see positive performance throughout the rest of the term, If history is an indication, now is a good time to start loading up on gold. If you missed the recent rally, then this may be the right time for you to jump back in. With the election so close, history suggests that gold prices will begin another uptrend soon after a winner is announced. The election actually doesn’t hold any uncertainty for the gold investor. Obama or Romney? As far as gold is concerned, it doesn’t matter. The deficit spending and money printing will continue, and along with them, higher and higher gold prices. The hard truth is that “the U.S. economy is past the point of no return". There are no solutions that will calmly undo the damage and make everything OK again. If spending levels were cut drastically and quantitative easing brought to a halt, as favored by fiscal conservatives, the economy would contract severely and America would be facing a Greek situation. On the other hand, if we pursue the neo-Keynesian, interventionist policies favored by the establishment and liberal-left, then the country continues along a path to potentially serious inflation.
The latest data from the International Monetary Fund (IMF) : Brazil increased its gold reserves for the first time since December 2008, expanding its holdings by 1.7 tons last month to 35.3 tons, while Turkey bought 6.8 tons and Ukraine added .3 tons. The Germans are coming for their gold, the nation with the second-largest gold reserves behind the U.S. is getting fidgety about its holdings. Germany’s federal auditors issued a report recommending that its central bank get control of its 3,400-ton gold reserve — worth about $190 billion — that is stored at the U.S. Fed, the Bank of France, and the Bank of England. They noted that those reserves “have never been physically checked by the Bundesbank itself or other independent auditors regarding their authenticity or weight. Almost 300 "concerned Netherlands citizens" have joined the German initiative for insight about the gold reserves. In a petition the citizens committee demands "full openness on the quantity and storage location of the Netherlands’ physical gold, and on the extent and nature of the gold claims."
|The EU has - in fact - with the help of local politicians, invaded most of Europe with little bloodshed and no guns; similar to what Hitler did in the 1940's....
Greece and Spain are in “depression, not recession,” because of austerity measures. Greece has spent months in talks with its creditors, headed by the troika of the IMF, the European Central Bank, and the EU, while uncertainty lingers over whether and when Spain will seek its own bailout after a fresh wave of downgrades to its banks and regions, including Catalonia. Things are so bad in Europe that the U.S. dollar has looked like a safe haven to many investors.
So much for those pretending you cannot eat Gold: Gold continues to serve as a crucial crisis currency for Iran, with couriers from Turkey carrying enormous amounts of bullion in their luggage to Dubai, where the gold is shipped on to Iran. Reuters reported Tuesday that “official Turkish trade data suggest nearly $2 billion worth of gold was sent to Dubai on behalf of Iranian buyers in August. The shipments help Tehran manage its finances in the face of Western financial sanctions
Investors are shifting from paper to physical” — that is, from exchange-traded funds and products (ETFs and ETPs) to bullion. “Total coin and bar purchases are up 96% since 2009, while net additions to ETPs are down 73% over the same period. While ETPs include the ownership of physical bars, it’s clear that increasing numbers of investors are buying more bullion than proxies. This is a remarkable shift, especially given the claimed popularity of GLD.
|When I read the remarks made by most Politicians and many economists, it is clear they don't understand the BASIC mechanisms of the Economy, Financial System and Human Behavior...
Friday october 26, 2012 - History learns that we always have landslide elections during depressions and recessions -
Yesterday the Gold & Silver sector came back roaring hereby indicating we probably have a important formation. Similar remark for the American stock markets. The oversold position of the markets adds to this point of view. Interesting is that several stocks which we advise in our shopping baskets veered up dramatically while others Broke out .
|gold & silver share
Thursday October 25, 2012 - Socialism make the rich poorer and sends the poor and middle class into misery -
13 days to go for the American Presidential Elections....Investors don't like uncertainty! For the last couple of months, there has been a parlor game on Wall Street and in Washington about who will become the next Treasury secretary. After all,Timothy F. Geithner has made it clear he plans to be out of that office at the end of the year whether President Obama is re-elected or not. But there is another wrinkle in the parlor game calculus: Ben Bernanke, the Federal Reserve chairman, is likely to need a successor, too. If Mitt Romney wins the presidency, he has already pledged he will replace Mr. Bernanke, whose term as chairman ends in January 2014, in just over 15 months. However, Mr. Bernanke has told close friends that even if Mr. Obama wins, he probably will not stand for re-election. That would be a one-two punch, with two of the most important jobs in the nation up for grabs. And over the last couple of years, especially at the depth of the financial crisis, the relationship between the two people in those roles has been increasingly important. They are the equivalent of roles in a buddy movie.
A Nobel price for Belgian Politicians/Authorities and here comes Jim's formula again: Ford Belgium closes AS EXPECTED (one has to be an idiot not to) its Belgian assembly line and adds an additional 13,000 (directly and indirectly) to the unemployment total. Not only are 13,000 men and women now unable to PRODUCE wealth but they have become an extra outlay for the Belgian Government. Such ALWAYS results in MORE TAXES (and a Wealth Tax)....and more REGULATION which in turn results in more factories being closed and more capital leaving the Country. In the end the SOCIALIST system collapses leaving nothing but misery and a historic lesson. One is that the People always get the politicians it deserves and Two there is nothing like a free meal. The irony of this story is that Joe six-pack doesn't even understand that by voting for these kind of politicians he is part of the problem. [the news about Ford echoed as far as the USA] - GOT PHYSICAL GOLD?
I call Belgian Ruling Politicians IDIOTS and Karl Lagerfeld calls french President Hollande an IDIOT and Western Europe has become RED-SOCIALIST and mark my words: CAPITAL will leave Western Europe at an increasing speed. For this reason Investors must stop wasting their energy by investing in most European Stock markets. Only two exceptions exist at this time: Switzerland and Norway. However I have my reservations about both countries and one should ONLY invest in Multi-Nationals quoted on these markets and avoid local operating companies. Last but not least, don't wait until it's too late to move your savings out of political reach.
Writing a scenario for the future is extremely difficult but I tend agree with Jim Rickards. The 2nd video clip explains in detail how the New World War will look like.
This is a fairly good scenario for World War III and it shows how the price of Gold and Oil will be affected by this in the future. Are you prepared? Are you invested properly? ready for the truth or do you prefer to BELIEVE the lies of the authorities...Ford Genk, Belgian style !?
The Gold and Silver sector is fishing for a Bottom. Check the PF charts and the THIN BLUE line to see where this bottom will probably establish itself.
Wednesday October 24, 2012 - if you want to know the truth, better listen to the opposition -
Updated sections: Crude oil ,
14 Days to the US Presidential Elections or 14 days during which one can enjoy a Vacation and be sure no major financial slide will happen ! I expect financial markets to wake up after November 14...once they know who's gonna be in charge: Obama and Goldman Sachs or Miktt Romney.
Nigel nailed it again....mind the way Van Rommel and Guy Verhofstadt are behaving.
More sable rattling and Iran threatens to stop Crude Oil export. By doing so the country can seriously damage the International Economic system. The USA/NATO keeps 70 Type B-61 nukes in Turkey at the air Incirlik close to the Syrain border. No coincidence the price of Oil is slashed the very day Iran threatens to stop exporting Oil and only weeks before the American presidential Elections. Goldman Sachs & the PPT can rig the markets (short term)...click here for the charts.
Earnings will continue to come down all over the world but QE will continue to increase and the money will go somewhere. We know where !!! do you ??? The economy is one but the Stock Markets/Financial markets sometimes listen to different tunes.
There is only ONE WAY to get out of this depression: less TAXATION, less REGULATION and less GOVERNMENT and more CAPITALISM. More socialism will make the richer poorer but put the poor on the street!
Tuesday October 23, 2012 - Last big debate between Obama and Romney in Boca Raton, Florida
Nothing has changed. Nothing can be changed. Nothing will change no matter who is in the hot seat known as the Presidency of the USA. Whomever is elected will be the Bag Man of a colossal monetary event. Like I published time ago, the point of no return has been passed since long and the Economy Plane WILL CRASH ! Even God is unable to keep it flying. The next President will inherit the economic calamity that is coming. Either he will try to make survival better or push the USA into the Abyss faster. Clear is that Europe after Rajoy, Hollande and Di Rupo have been elected...these guys do all within their power to slaughter Spain, France and Belgium as fast as possible.
A 71 year old Florida man is facing a misdemeanor charge after he went to a Democratic Party headquarters and threw a penny at workers there, claiming that the change was "all he has left after being taxed by Obama," cops report.
This is the Grand Finale in Boca Raton. History learns that during a time of economic depression or recession we have LANDSLIDE ELECTIONS. Therefore I have little doubt that Romney will be elected as the next president of the USA.
In Europe the Morons keep searching and finding ways to tax those who still have savings so they can redistribute these to those who have none and buy more votes. This is how Socialism and Communism work. No doubt this will go on until Western Europe goes bankrupt and collapses. The deficit which remains after taxation will be filled by more Quantitative Easing or Money Printing by the ECB.
The Bank of Canada has been the most responsible actor on the global financial scene for the last six years. The Canadian banking system for the most part avoided the credit splurge that led to a collapse bubble and came though the Great Recession relatively unscathed. The Canadian federal government has a debt-to-GDP level of 34% and a very comfortable trade situation. There is, however, a problem of private debt growing too fast as the BOC has maintained very low interest rates to combat the fear of global recession. BOC Governor Mark Carney is a very astute global economic observer and also serves as the Chairman of the Financial Stability Board, which is the macro-prudential advisor of global banking. Mr. Carney would like to curb the borrowing of Canadian citizens but raising rates is a difficult proposition because of the current strength of the Canadian dollar. Again, the Bank Of Canada is caught in a trap of not being able to raise rates because of a very strong currency and thus having to find an alternative policy to slow the growth of credit.
The Gold and Silver sector is OVERSOLD but in the process of building a bottom which is strong enough to launch the next bull run. Same remark for our designated Stock markets. My charts will tell you well within time what to expect for the next couple of months....
Opening accounts with financial institutions in the Western World gets increasingly difficult and I STRONGLY ADVICE to work on it NOW before it becomes impossible!
Even if you don't plan to use it, you MUST ensure you have a legal escape route and a plan B NOW !
Same remark for your Gold holdings: 1 - they must be PHYSICAL and 2 - out of political reach!
So there is a magic wand after all. A revolutionary paper by the International Monetary Fund claims that one could eliminate the net public debt of the US at a stroke, and by implication do the same for Britain, Germany, Italy, or Japan. One could slash private debt by 100pc of GDP, boost growth, stabilize prices, and dethrone bankers all at the same time. It could be done cleanly and painlessly, by legislative command, far more quickly than anybody imagined. The conjuring trick is to replace our system of private bank-created money -- roughly 97pc of the money supply -- with state-created money. We return to the historical norm, before Charles II placed control of the money supply in private hands with the English Free Coinage Act of 1666. Specifically, it means an assault on "fractional reserve banking". If lenders are forced to put up 100pc reserve backing for deposits, they lose the exorbitant privilege of creating money out of thin air...more . Incredible that the Political Morons REFUSE to learn from History....and this fairy tale will have a bad ending: Hyperinflation, civil war, world war, misery....make your pick.
They want the Herd to keep believing in Santa Claus and will try to keep the mirage of Fiat Money alive as long as they can because once the People see the Emperor has no clothes, its' GAME OVER.
Monday October 22, 2012 - Mitt Romney is america's last chance -
Updated sections: Dollar, $-Gold ,
Politics are presented in a different way depending where you live and how the media PROPAGANDA works. So little time, so much to redistribute...(Obama)
The EU is a political union. therefore, it will only stop to exist once individual countries decide de leave the union because the domestic situation gets out of hand: civil war, social unrest. The more taxation, the higher risk of unrest....Graph below does not include VAT and other taxes...Expect to see WEALTH TAXATION in Belgium before december 2013.
Commercial Gold Positions or COT is a joke. You are looking at least seventy-five percent at a managed spread position. Now when gold falls they take off the short aside of the spread and let the long run. When gold rises you do the opposite. All the COT numbers are nonsense and a means of operating the markets. COT experts give buy and sell signals which help the physical metals dealers profit on their spread trading. The COT experts help this spread trading looking for immense profit to profit immensely. Nonsense makes markets so the COT analyst looks like a genius while really interpreting nonsense when he/she is being duped into a tool to help the metals dealers spread position profit.
|Buying Real Estate using a Mortgage is a risky business as the Mortgage in fact is a LEVERAGE on the "one way" bullish investment!
Any shelter (home) and a roof above your head costs money irrespective whether you buy or rent your home. Those who rent know exactly what it will cost; those who buy however don't. Assume you pay cash for a home, you have to include a number of cost factors to the total cost of your shelter: real estate taxes (which are increased for second residences), insurance, HOA fees and the fact that your capital cannot be invested in a more rewarding way (you could for example invest the amount into Gold) . Last but not least don't forget to include the amortization of the building and the fact that the resale price may FALL and not go up as many like to believe. Real Estate prices do go up - most of the time for 50 years - and fall for about 26 years. This is especially true in times of (hyper)inflationary recession and depression. Real Estate is a High Order Capital Good and its price ALWAYS comes down during such a recession. For those who bought their property at a top or during a secular bear trend of Real Estate, the monthly payments are no savings but outright LOSSES. Examples are many: 1926 in Florida, the Weimar depression in Germany, the 2006 Real Estate crash in the USA, the Real Estate crash in Ireland, Britain, Spain, Portugal,...
Freedom of expression? Not longer in Spain. This makes me throw up.....Spain’s government is drafting a law that bans the photographing and filming of members of the police. The Interior Ministry assures they are not cracking down on freedom of expression, but protecting the lives of law enforcement officers.The draft legislation follows waves of protests throughout the country against uncompromising austerity cuts to public healthcare and education.The new Citizen Safety Law will prohibit “the capture, reproduction and editing of images, sounds or information of members of the security or armed forces in the line of duty,” said the director general of the police, Ignacio Cosido. He added that this new bill seeks to “find a balance between the protection of citizens’ rights and those of security forces.” BE ADVISED - The dissemination of images and videos over social networks like Facebook will also be punishable under the legislation...more [this is a state of War and Fascism, similar to Curfew]
Friday October 19, 2012 - exactly 25 years ago we had the Crash of 1987 - how many remember?
Updated sections: Bonds general USA & Germany (mind the xxxxx wedge for German Treasuries) , Treasuries in the EU , Corporate Bonds , €-Gold and €/$ ,
Important notice to subscribers: we try to keep the site compact and therefore only change/add important content. To make it easier to pinpoint the changed/added content, we shall keep the alterations/additions in RED for at least one week.
Propaganda and Reality....about life and Obama(care) so much loved by European Media !? or how socialism kills the economy and prosperity.
Euro-Gold is almost oversold and the Euro overbought. See Gold/euro section for more...
Thursday october 18, 2012 - the dow jones climbing the wall of worry towards 30,000 !
Updated sections: Uranium, Recession proof shares, Agriculturals, Copper, Platinum,
Europe is the Asylum run by the fools...or take your money and run as fast as you can... During an interview with "Le Monde" Francois Hollande states that "recovery for France and Europe" is just around the corner and the fact that the EU (leaders) received the Nobel price for peace, proofs it...so much for the public statement of a Super-Idiot !
France or the next big surprise. During the time Sarkozy was the french president I was somewhat worried he may have saved "La Belle France". But as we all know, the French voters took care to replace him with a Hollande who is raising taxes and scaring away capital. He is closely following his socialist agenda and so guarantees to sink the French economy. [don't keep any French shares, sell you French vacation house NOW….take the money and run!]
Once France will join the club of Greece, Italy, Spain and Portugal, the Euro will be blown apart. The scenario towards the Apocalypse will look as follows.
1. unsustainable finances (debt) - Jim's Sinclair vicious circle
2. decreasing real spendable income
3. high inflation and hyperinflation
4. increasing social unrest
5. Increasing taxation and regulation
6. more and more bankruptcies and companies leaving the country
7. police state tactics (for your own security, money laundering)
8. Rising crime
9. Banking/financial crisis and currency collapse
10. Internal or external war.
As a result Capital and Talent will flee the Marxist countries for better…and will ensure that my 30,000 Dow Jones Target becomes reality. [see communicating financial vessels]
There is still something left of the American Spirit like there is still something left of the Communist/Socialist/Marxist spirit in Europe. Where do you think it is wise to keep your savings?
On several occasions Goldonomic explained why certain designated markets will continue to climg the Wall of Worry and why we shall see back the old historic tops of the Dow Jones and the SP500 and why we will see a Dow Jones of 30,000. Having said this, we have a collection of buy signals for the better than average behaving stocks listed in our RECESSION PROOF SECTION. High time to add to your positions or to initiate some. [do scroll down and also check the stocks at the bottom of the page].
The price of Bread, Pizza and Pasta will continue to go up....
Wednesday, October 17, 2012 -
Will Gold and Silver and Gold and Silver mines continue to correct for a long time? What can we expect later this year and for 2013?
Will the Dow Jones crash later this month like some analysts pretend? ...or will stocks continue to climb the Wall of Worry?
Should one stay invested in European Stocks or get out asap?
Tuesday, October 16, 2012 - are you still naively believing in the stories of authorities ?
Everything seems normal and then suddenly it is not...or are you a boiling frog? (picture is courtesy of Zero Hedge)
Now is the time to prepare, not when it's too late; then it is harder to find alternates the closer we are to the Black Swan. You can, of course, try to be "smart" and hope you will be safe and ride it out or you can take your precautions and be happy if those wonderful politicians solve all problems they created in the first place. The problem is that if you're wrong, you will have lost it ALL!
Monday, October 15, 2012 - the Nobel priZe was given to Frankenstein - this is catastrophic!
Today Nobel Prizes are given for Genocide ! Belgian and Norwegian citizens should be ASHAMED!
The first panacea for a mismanaged nation is inflation of the currency; the second is war. Both bring a temporary prosperity; both bring a permanent ruin but both are the refuge of political and economic opportunists. – Ernest Hemingway
Friday, October 12, 2012 - Democracy is more than fair elections, it also is a state of mind...
Updated sections: Gold & Silver Juniors (partly updated),
The boiling frog story is a widespread anecdote describing a frog slowly being boiled alive. The premise is that if a frog is placed in boiling water, it will jump out, but if it is placed in cold water that is slowly heated, it will not perceive the danger and will be cooked to death. The story is often used as a metaphor for the inability of people to react to significant changes that occur gradually. [wikipedia]
This expression can be associated with "Glaubensunwilligkeit". Many Savers and Investors simply refuse to understand that certain investment instruments are simply WORTHLESS and they refuse to admit they have to move at least part of their savings out of political reach. Personally I find it hard to understand the reasoning of these people. They make me think of all the Jews waiting to be deported to the extermination camps.
The Gold and Silver Junior Index technically becoming oversold and is supported by the 50 day MA and the 200 day Moving Averages...more
The Dutch Real Estate market looks grimmer each day and the Belgian real estate is about to start it's downward slide. I expect the french to move on in sequence. NOW it's almost too late to sell...remember the market dries out and selling becomes impossible as time moves on. Real estate is a HIGH ORDER CAPITAL GOOD and its price ALWAYS falls (even in nominal terms ) during a hyperinflationary depression.
During tonight's only vice-presidential debate Joe Biden has been behaving like a disrespectful slime! Something we now also often see in Western Europe. A shame for the USA.
I am shocked to see that so many Financial Professionals with decennia of experience fail to UNDERSTAND the paradigm shift we have. Although some have years of banking experience, they keep BELIEVING in worthless Fiat paper money, fractional reserve banking, bank deposits and Treasuries which are an inherent part of the scam! They also keep believing in DERIVATIVES and bank manufactured investment instruments (Tak21, Tak23...). I know window dressings and propaganda can mislead simple minds but it amazes me that professionals also buy the story...or are they simply afraid to admit the truth to their customers???
Thursday, october 11, 2012 - Wealth is accumulated in down markets and realiZed in up markets.
Short term markets are a Casino and playing these is like playing Chess against a computer...High Frequency trading are the main reason behind FLASH CRASHES. This is about yesterday's market action: A single mysterious computer program that placed orders - and then subsequently canceled them - made up 4 percent of all quote traffic in the U.S. stock market last week, according to the top tracker of high-frequency trading activity. The motive of the algorithm is still unclear. The program placed orders in 25-millisecond bursts involving about 500 stocks, according to Nanex, a market data firm. The algorithm never executed a single trade and it abruptly ended at about 10:30 a.m. ET Friday. "Just goes to show you how just one person can have such an outsized impact on the market," said Eric Hunsader, head of Nanex and the No. 1 detector of trading anomalies watching Wall Street today. "Exchanges are just not monitoring it." Hunsader's sonar picked up that this was a single high-frequency trader after seeing the program's pattern (200 fake quotes, then 400, then 1,000) repeated over and over. Also, it was being routed from the same place, the Nasdaq ."My guess is that the algo was testing the market, as high-frequency frequently does," says Jon Najarian, co-founder of TradeMonster.com. "As soon as they add bandwidth, the HFT crowd sees how quickly they can top out to create latency."..more
|The ultimate goal of many of these programs is to gum up the system so it slows down the quote feed to others and allows the computer traders (with their co-located servers at the exchanges) to gain a money-making arbitrage opportunity.
Spain Downgraded to one level above junk by S&P on Risks. Spain is only one of the many countries on the bucket list. Spain's debt rating was cut to one level above junk by Standard & Poor’s, which cited mounting economic and political risks as the government considers a second bailout. The country was lowered two levels to BBB- from BBB+, New York-based S&P said in a statement yesterday. S&P assigned a negative outlook to the nation’s long-term rating and lowered the short-term sovereign level to A-3 from A-2. “The negative outlook on the long-term rating reflects our view of the significant risks to Spain’s economic growth and budgetary performance, and the lack of a clear direction in euro-zone policy,” S&P said. “The deepening economic recession is limiting the Spanish government’s policy options.”..more
The world is living on an illusion of paper that people believe is money. This illusionary paper wealth will implode in the next few years. The initial trigger will be the collapse of the Euro or the world’s reserve currency – the US dollar. The same applies to the Euro and other Fiat Paper currencies. The dollar is backed by $120 trillion of US government debt and probably NO gold. All currencies will continue their race to the bottom and lose 100% in real terms against gold. This will create a worldwide hyperinflationary depression.
All assets financed by the credit bubble will go down in real terms. This includes certain stocks, bonds, property and paper money of course. This process has already started...see the Goldonomic Model Portfolio.
The financial system is unlikely to survive in it's present form. The banking system including derivatives has total liabilities of around $1.4 quadrillion. With world GDP of $70 trillion, the world is too small to save a financial system which is 17 times greater. This is why there will be unlimited money printing and hyperinflation.
|The only asset that will maintain its purchasing power is PHYSICAL gold.
Last month I already published that there is a correlation between the exchange rate of the Dollar/Euro and the price of Gold. This correlation can stop existing at any time.
Silver is holding well and starts to become OVERSOLD! Remember the correction catches the attention of the Media when it's almost over.
Wednesday, October 9, 2012 - this is what happens when markets are overbought!
In medieval Europe, the number of women on trial for witchcraft climbed in sync with the debasement of currency. In revolutionary France, the Reign of Terror that slaughtered 17,000 wealthy counter-revolutionaries aligns perfectly with the deterioration of the purchasing power of the assignat note and in the most vile example: dramatic hyperinflation in Germany in the 1920s allowed Hitler to rise to power by blaming Jews for the country's economic woes. Also remember Filip le Bon in France who arrested the Templars and tortured most of them to get hold of their Gold...HISTORY RHYTHMS, remember Robin Hood and other fairy tales....those who were voted in power are bad, bad, bad and the Herd... dumb, stupid and ignorant! Many are too greedy to spend $ 1,000 and rather let them be robbed by charlatans and the markets....they are sick and would rather listen to a plumber rather than consulting a professional!
More Communism/Fascism in Europe: ECB states that salaries MUST come down (exception for the salaries of the employees and members of the EU-Polit-bureau) and Petty Government officers are granted more and more power. The regulation/legislation is so complex that it almost becomes impossible not to break some law. Today in some EU-countries Government officials can fine any civilian for an amount up to €350/$455 without going to court.! This is fascism sold as democracy. Extremely dangerous for your savings. For this reason we advise to keep at least 50% of your savings out of political reach ! DO IT NOW WHILE IT IS STILL POSSIBLE and before the trap is closed...not amazing that certain USSR regions want to adhere to the EUSSR.
|"Government inflicted "austerity" on its people and savage (and senseless) budget slashing - of money being spent on people - make deficits worse, not better; and lead to the total collapse of the economy. That is exactly what is happening.
As explained only days ago, the Gold and Silver sector was overbought and we needed a correction....this is exactly what we have now. Hopefully the sector will move to its OVERSOLD POSITION to allow readers to further accumulate or initiate positions. Note that the correction will become most visible when it is ENDING and it can last days, weeks or months. Markets do at certain times stay Overbought or Oversold for some time.
Monday & Tuesday, October 8 - 9, 2012 - columbus day - Wall street closed
Updated sections: Gold & silver majors (use trailing stops for Royal Gold @ Franco Nevada , Investment Pyramid, World Indexes (new PF charts)
German Gestapo customs seize Stradivarius violin, demand $1.5 million ! This story remembers me of Germans travelling outside their beloved country just before WW II and were arrested because of a manuscript...the custom officers pretended the book was meant to be published abroad. An acclaimed concert violinist has been told to pay $1.5 million in duty to German customs who confiscated her Stradivarius saying she may plan to sell it, the instrument’s Japanese owner said Thursday. German-based Yuki Manuela Janke, 26, was returning home through the Frankfurt airport on September 28th when customs officers seized her violin, valued at $7.6 million, Nippon Music Foundation said. German authorities demanded she pay customs duty to the tune of 19 percent of the value of the 1736 instrument, also known as “The Muntz”, if she wanted it back, said the foundation’s managing director Kinya Narabayashi...more (who would be so stupid to exchange such a piece of value for worthless fiat money anyhow?)
Europe and the EU is protesting and WILL fall apart...but before the authorities will try to burn down the house and legally steal ALL they can ! Spanish people have balls...and soon Van Rommel & buddies will have to flee Brussels in the middle of the night dressed as women.
SAN FRANCISCO (MarketWatch) — This earnings season threatens to be one of the roughest since U.S. companies started to pull themselves out of the Great Recession — even if, as usual, results don’t live up to the worst of the gloom-and-doom forecasts. Revenue streams are drying up as China’s growth slows and Europe reels from crisis to crisis. Companies are finding fewer places to cut costs. It’s looking so bad, in fact, that results won’t have to be that great to inject a burst of optimism into the market...more . Having said this, remember the economy and the stocks market are two of a kind and one can slide down while the other one goes up!
The entire EU austerity plan is based on a false premise. This disastrous error is now clear beyond any reasonable doubt. The Teuto-Calvinists believe, or profess to believe, since much of their dogma is national self-interest dressed up as theory that the fiscal multiplier is around 0.5. That is to say, fiscal retrenchment worth 1pc of GDP will cut output by half as much, or around 0.5pc over two years. There is pain, but at least there is gain. This is based on the IMF's analysis of fiscal crises over the decades. Well, it has not worked out like that. Ireland has contracted at nearly seven times the speed, Spain four times, and Greece three times. As you can see, the multiplier is around 1.0 for the big countries, which is why France can expect a devastating year in 2013 as it tightens pointless by 2pc to comply with EU rules...more
New product or a 50 g x 1 gr combibar which sells at a premium of 5% to 6% above spot. Could come in handy in the future to pay for small expenses....
Syria is strategically important for the Middle-East and Chinese, Russians and Americans know it. Therefore a direct intervention, like in Libya, is impossible at this time. The situation would change if and when there is a war between Turkey and Syria. Note that the Turkish army is important in size and very well equipped and Erdogan won't let go of the Kurdish Oil fields. Turkey being a NATO member, a state of War has severe implications for the NATO. Got Gold?
Friday October 5, 2012 - the Legal theft will only get worse!
Updated sections: World Stock market indexes - will we see All TIME HIGHS for the Dow Jones Industrial Index and SP500 ??
The Belgian Government sneakily confiscates € 210 million from tax pension savers. They call it an advance on what savers normally will have to pay on their 60th birthday. Extremely easy operation as banks and authorities are each other's best buddies. The Spanish government showed the way and I expect other European countries to follow in sequence. This is the beginning of the end.
ECB has no choice but to maintain the key interest rate close to ZERO. Any breach through the 6% would force the EU into monetization of it's debt and light the fuse of Hyperinflation. IMF Chief Economist says the crisis will last a decade. The world economy will take at least 10 years to emerge from the financial crisis that began in 2008, the International Monetary Fund's Chief Economist Olivier Blanchard said in an interview published on Wednesday. Blanchard told Hungarian website Portfolio.hu in an interview conducted on September 18th that Germany would have to accept higher inflation and a real strengthening of it's purchasing power as part of the solution to Europe's problems.
Gold and Silver shares are bouncing up their 50 day moving averages. Expect higher prices over the next couple of days and weeks. QE III and Co. starts to seep into the Financial Markets. Gold expressed in South African Rand is booking record after record and there is no doubt it will positively influence Earnings and Cash Flow figures of the depressed South African mining stocks. IMPORTANT: Be aware that market volatility is going to increase over the coming months....
Gold is overbought and a correction is plausible but not certain. The correction would be a technical test of the breakout levels which are different for each Fiat currency and can happen at any time between today and the end of 2012. As a rule, price falls back until it bounces into the TREND LINE it previously broke: see Candle and Point and Figures charts in the subscribers' sections.
The American Stock market remains strong and keeps moving as expected. See the subscribers' section for trend channels, support and resistance levels. See Recession Proof section for individual stocks.
thursday october 4, 2012 - count down: 34 days to go before the american elections and ______ days before gold confiscation !
Updated sections:Pound & £-Gold, Reminbi Gold , Krona & Krona-Gold, SA Rand & ZAR-Gold (all time high) , Rupee-Gold (preparing a new bull run)
On October 1st, 1936, the French Government (Front Populaire) devalues the french franc by 25% to 35%. A decree banned the trade of gold and the owners of more than 200 grams of gold are by law forced to exchange it for Fiat Francs at the price of Gold which was valid BEFORE the devaluation. (This was the carrot).
Postwar France is in a state of exceptional economic and financial despair . Attempts to return to the Gold standard in totally unrealistic conditions, that is to say without taking into account the reality of the inflationary period of war, and the victors requirements for repair, have paved the way for a series of economic and financial crises that have weighed on the currency.
The various crises (Dollar, Pound Sterling, Mark ...) pushed investors once again to exchange the paper for Real Money or Gold.
The increase in demand for gold at the Bank of France, in exchange for paper money, pushes the government to enact a law inviting holders of gold to declare their assets and purchase price.
As a result 87 tonnes of Gold were recovered by the Banque de France. Later on it also became illegal to HOLD and/or to TRADE Gold. Dealers and Holders of Gold were pictured as Gangsters. The unpopularity of these decisions led the government to backtrack on 9 March 1939. Possession and trade of gold and again became free. Overjoyed, the Treasury indemnified those who had brought their gold....with worthless Fiat Paper!
There is not the slightest doubt in my mind that similar actions will be seen again. For this reason your Gold/Silver holdings are NOT SAFE as long as you don't safe keep these PHYSICALLY in YOUR NAME out of POLITICAL REACH. Goldonomic Friends know it is still possible to do such "legally" today but be advised this window can be closed at any time?
It would be difficult for Government to send out inspectors with metal detectors but the authorities could offer a premium (25% to 35% like the french in 1936) and focus on physical Gold holdings in Tax Free zones and Gold held by Financial Institutions (GLD, SLV,...).
As the economic and social conditions get worse, it will be rather easy to label Gold/Silver trade as Money Laundering and Terrorist Financing acts and so ban any official Gold trade. As a matter of fact I am sure that such a regulation will be acclaimed by the Herd...
The Middle-East is a powder keg and the FUSE to it may be Syria and NOT Israel like many think. Remember the danger always comes out of a corner nobody expects. Strategically, Syria is extremely important for the Middle-East geo-politics. Especially because its' neighbor Turkey is the outward post of the Western World. Yesterday there were incidents between Turkey and Syria and it would be a bad omen to see Turkey involved in the local War. Because it is a stronghold for the NATO it could ignite WW III. Having said this Kurdistan sits on an important quantity of Crude Oil !
Short term action is CASINO, RUSSIAN ROULETTE. Short term, Gold and the Dollar can go up, in the short run Gold can go up and Gold shares come down. Remember at all times that there are plenty of mechanisms in the financial markets which in the short run are ILLOGIC.
Last night we had the 1st of 3 US presidential debates. Interesting to see which puppet is the best liar.....and which media is able to sell the BEST PROPAGANDA. As usual Republicans will watch the Fox church and Democrats MSNBC/NBC. No doubt the statistics/polls will be cooked like the Inflation figures and other important economic statistics are. It all boils down to Taxes and less Spending....and more recession. [Spains spends 42% of their budget on their Government. If once includes Defense the USA spends more than 50%.] As Obama says, the Republicans and the Democrats are using the same advisers...so one should not expect much change. Even if Romney is elected. The problem is Government and the fortune it costs to keep it alive. Under these conditions I don't see how it is possible to create 12 million new jobs in the USA? Romney shined as a defender of the FREE MARKETS. Obama suffered under 4 years of Recession. This is why landslide elections happen.
Inflation is a more than proportionate growth of the Money Supply. It becomes HYPERINLFLATION as soon as there is MONETIZATION of Debt = Government prints Fiat Money to pay for its expenses and the People understand that Prices won't be coming down any more and that is better to get rid of Fiat Money whatever what. Hyperinflation therefore is a combination of a PSYCHOLIGICAL-SOCIAL action by the People and action by the Authorities. The Major Reason why Authorities are rigging interest rates below 6% is that once they break through this level, the DEBT starts to rise exponentially and automatically forces Government to monetize the Debt. Having said this one may not take into account the Price of Real estate into the Inflation equation because the Price Level of Real Estate ALWAYS comes down during times of high inflation and hyperinflation because it is a High Order Capital Good.
Wednesday October 3, 2012 - Count down: 35 days to go BEforE the American elections
The outcome of elections is never 100% certain. Especially not today as we often have landslides (and vote manipulation). The odds are that Obama will be voted into office for another 4 years but Financial Markets will move carefully and avoid excesses until after the elections. For this reason I don't expect any dramatic changes until mid-November.
$-€ 1.30 to 1.38 is the MAL (maximum activity zone) for the US-Dollar - Euro exchange rate. The euro was strongly oversold and it is plausible to see it steady/firm until Christmas and New Year. Technically we do have a STOP LOSS SIGNAL for the Euro which remains valid unless the exchange rate is able to clear the Maximum activity zone...see subscriber section for the Point and Figure chart and details.
|As the odds are that the financial markets won't show excesses during the next 35 days they are the ideal time to move certain assets out of political reach. After the elections the Authorities and People will again be confronted with the bitter reality of failing financial and economic systems and the witch hunt for money and the Legal Theft will resume.
It makes me smile each time I see people trying to convince themselves (!?) that one or another candidate would serve best a country. The times of HONEST politics and honest politicians are rare and as a rule we can say that the Elected politician is a puppet which will kiss your feet before and kick your ass after he's elected. We live in a time where the economy is rotten....and a rotten economy means there are MANY different problems.
Santander mortgage borrowers face higher repayments. Mortgage costs for thousands of borrowers will jump from tomorrow when one of the country's biggest lenders raises it's standard variable rate (SVR). Santander's 0.5 percentage point rise in its SVR to 4.74pc will result in an average increase of £26 a month or £312 a year for a typical £100,000 mortgage. The switch is expected to affect hundreds of thousands of customers, although Santander has not disclosed the figure. It will also futher affect the Spanish Real Estate and Spanish Banks..more. This is WHY the ECB tries to keep the key interest rate BELOW 6%. Many mortgages in Europe have a flexible interest rate. The monthly payments increase each time a certain level is broken and increases the number of foreclosures. Different to the USA in Europe one cannot simply send back the keys of the house and move out; as a rule a contract was signed together with the mortgage giving the bank access to 'ALL PRESENT and FUTURE ASSETS' in case of foreclosure. Remember that each additional foreclosure affects the balance sheet of a bank!
All time high for Gold in Swiss Franc and NOBODY seems to notice....!????
Tuesday October 2, 2012 - Those who don't realize we have a paradigm shift are blind and deaf!
On several occasions I wrote that France would be the biggest surprise in Europe. Today it has become obvious Hollande is pushing France into a DEPRESSION! Mr Hollande likes to quote Leon Blum, the Popular front leader of the interwar years. The reality could hardly be more cruel. He is replicating the disastrous deflation policies of Labour Chancellor Philip Snowden in 1931, before the Labour Party woke up to the delicious possibility that you could lift two fingers to the forces of reaction and leave the Gold Standard. Worse yet, he is perilously close to re-enacting the desperate deflation decrees of Pierre Laval -- an ex-Socialist dreamer, pacifist, and utopian who lost his way, and ultimately cleaved too closely to foreign ideologies -- and like Laval he is doing so to uphold a fixed exchange system that is slowly asphyxiating his country and no longer makes any sense. ...more [Change Hollande will bring...for the worst !]
I really don't understand those who succeed in writing another, sometimes different story each day to explain a secular Long Term Trend. !? Those who do must have s special talent....and those who read the message or listen to it must also have. The Goldonomic site is a living book which explains it all...but one must have the will to read and re-read the key chapters. History is written day by day and history we are living now !
It is not abnormal that the price drops back in order to test the very level it broke out from. This also applies to the price of Gold. Whereas we have a breakout on the candle charts for Silver, the Point and Figures charts of Silver expressed in Dollar, Euro and Swiss franc still have to confirm the new breakout. See PF charts in the subscribers' section for correct price levels.
Whatever is written or said, the point and figures charts for Gold and Silver are not drawn overnight. The trends and trend channels are often older than many people who are trading these markets today. While it sometimes is necessary to adjust a trend channel, most of the time the lines on the PF-charts are so strong that each time the price bounces off the bottom (blue trend line) and top (red trend line). Having said this, it in fact would be possible to forecast the price of Gold and Silver expressed in the major Fiat Currencies while living on an island where one would only receive the price of Gold and Silver expressed in these Fiat Currencies on a daily basis. Hence, the excuses given by the Talking Heads for rising and falling prices are most of the time completely imaginary.
Monday October 1st, 2012
The days of the Dollar as Reserve currency are numbered. It is no more a matter of IF but rather one of WHEN! China announced on Sept. 6, 2012 that any country that wishes to sell Crude Oil using it's currency, the Renminbi, can do so. The next day, Russia announced it will sell China all the Crude it wants and will not expect to be paid in US dollars!
Updated sections: Portfolio (listing simplified), Recession Proof shares (Procter & Gamble added), Bonds/Treasuries (clear top)
|WHAT THE GOLD PRICE SHOULD BE LIKE...
|$- Monetary Base Change
|Monetary Base (Billions)
|Offical US Gold Holdings
|261,5 million oz.
|What the gold price should be