It’s that time of the morning again for the COMEX open waterfall smash of gold and silver, a daily occurrence in the now week-long post QE4 massive cartel intervention in the gold and silver markets. 
Gold has been smashed all the way back to Sinclair’s famous $1650, and silver has been smashed to a $29 handle.

*Update: 2nd wave of smash sends silver to $29.71, gold to $1641!

2013 Silver Eagles As Low as $2.59 Over Spot at SDBullion!


While the rumors/excuse among the financial media for the week long smash of the metals are that Paulson’s fund is liquidating his gold position, we find it highly difficult to believe that Paulson would be dumping his positions without regard to price daily on the COMEX open.  Paulson selling/ fiscal cliff fears are merely the cover used by the cartel for one last massive smash of the metals prior to full blown monetization by the Fed.

That said, buyers in size (ie China) continue to step aside and allow the selling to continue, meaning there is now a legitimate chance that the cartel will achieve their ultimate goal in silver, and paint a negative annual return on the charts for the 2nd consecutive year.

Silver to $29.91:

*Update: 2nd wave of smash sends silver to $29.71

Gold to $1651


*Update: $1650 support breaks, as gold now down another $10 to $1641:

  1. Wow! The violent attack against the metals continue. In the past I would get frustrated by these raids but now I only get frustrated with the BS spin that the media puts on it. They blame it on everything other than what it actually is hoping everyone is stupid enough to believe it. Oh well, keep stackin’. 

    • The boyz know where the sell stops are by virtue of their position.  They sell unbacked paper to hit the stops.  Over at Harvey Organ he detailed how many silver longs are standing for delivery.  Crazy high number this month.   Yesterday’s raid failed to shake any silver longs out.  That’s never happened before.  So, the boyz hit it again today. 

    • In a free market this would be true. Unfortunately the size of the silver market leaves it vulnerable to manipulation by JPM, the custodian of SLV. It is supposed to be backed by physical silver, but they are just floating paper to drive the price down and cover their shorts. It is not natural supply and demand when supply and demand is controlled by the cartel.

    • So liquidating gold also means a silver liquidation? I smell a rat. Reason longs aren’t jumping in yet is they are waiting to pounce when it goes even lower.

  2. Wow, the Fed announces QE4 and unlimited, unsterilized bond purchases and so that should obviously mean metals sell off?  Does the cartel really believe people are that stupid?
    Guess what boyz, those of us who have been stacking the past few years are just looking and laughing or are on the phone with a coin dealer buying more.  And as for your other currency?  The disinformation campaign in the mainstream media?  Yeah, that is also losing its currency.  I’ve spoken to more and more people who have canceled their tv subscriptions lately because they know it is all total crap, total lies, total propaganda.

    • Today’s drop is being blamed on a report that John Paulson may be in the process of liquidating his gold position and a surprising GDP revision to the upside. Apparently those events supersede unlimited money printing by not only our government but most governments around the world. Yes, the cartel is banking on the ignorance of the general public.  

  3. I wonder why china and other gold buying nations are letting this happen
    Also if the Fed is trying to debase the dollar with all the QEs wouldn’t the best option for it is let the gold price increase??
    We lost 3 dollars in 3 day,, I think we need 3 weeks now to get the 3 dollars back!

    • China is smart.  They are trying to acquire all the gold they can without running up the price.  They may even be behind some of the paper short selling.

  4. Just gotta love the cartel.  Two recent events point to how desperate the boyz are.  First, they(western bullion banks) pressure India to stop importing gold.  Why would they do that unless supplies were low.  Second, they trot the Queen on down to the London gold vault for a photo op.  No worries Germany, Australia, Ghana.  We have your gold or at least bars that look like gold.  However, you may need to share.  Factor in decreased mine output and I think the cartel boyz are getting closer to panic mode.

  5. I’m In Heaven, I’m In Heaven, I’ve been singing this all morning. Hell let them raid, I’m jumping up and clicking my heels as I have a few Fiat to spend and they are just making it a lot easier for me. Lol
    @UglyDog Thanks for the explaination of the Longs waiting for Delivery makes more sense now and has made this hit enjoyable. Keep Stacking..

  6. I wonder how that 4 year old investigation into silver is going at the CFTC. Nothing to see here, move along. Wonder if they have uncovered any evidence of market manipulation yet (sarc). Maybe Bart Chilton should apply for a job more in line with his obvious talents such as hairdressing, telephone sanitiser or used car salesman 3rd class.

  7. It only stands to reason that after the QE4 announcement, that they would hit it as hard as they possibly could to shake the majority out. Those who know better and have the “begonias” to hang on will reap the benefits in the not very long term. This is a show, a play, a skit….it’s all fake and truth will out. Good fortune.

  8. Something has gone wrong. The sell is too big, too obvious. The SHTF I think. When the cartel sell, where does this leave their short positions? when is the deadline for the shorts? They can’t simultaneously buy and sell and leave the price lower? 

  9. Here’s what is going on in the economy which explains why the usual group must get the metals down as low as possible.  I can only imagine the implications for going over the Fiscal Cliff and possible credit downgrade.  Remember Fitch warned back  in Sept of a downgrade if the U.S. went over the fiscal cliff and didn’t make responsible steps to get finances in order.  Then there’s Moody’s and the rest of the herd to also worry about.  Egan Jones did an downgrade back in Sept 2012 to AA-. This is not looking good and any tax increases will hurt the middle class.

  10. I have $1000 to buy more silver with. Think I will wait until Saturday when the coin dealer at the pawn shop readjusts his prices for the week. Tomorrow will be an interesting day to watch the closing. The lower it goes the higher my ounces will be…

    • I’m in the same boat as you Crissy, can’t wait for tomorrows close. I was going to buy a couple of days ago but I’m glad I held off. Try and get it below spot as there wil be a few scared chickens out there. Lol

    • I couldn’t wait and just got back from the LCS. Bought them out of all the dimes and halves they had and only ended up with just under 11 oz. Guess that means more fiat left for the next batch. I almost feel guilty handing them a few pieces of paper for all that silver, almost.

    • @Crissy Good for you, I’m holding off till tomorrow and drive an hour to my nearest LCD in Bangor. If the price goes up, so be it but I’ll still be ahead as I will be HOLDING PHYSICAL and they will be holding, as you say, “Pieces of Paper”

  11. Not one to overtly complain since i can now buy more, however i have never seen the dollar index fall concurrently with PM prices. Am i correct in my recollection that the usual arrangement is inverse or have i reached my mental limit. Last dollar index shows 79.24 down 0.15
    with silver and gold moving in the same southernly direction. Please feel free to tell me the sky is no longer blue and also falling. 

  12. Doc posted this article on Oct 17th


    Lesson learn here, if you have limited capital, never listen to this so call experts else you will get screwed big time!

    The only thing you need to rely on is that you need the ability to read the charts. Right now, I’m shorting the metals! And never follow me, coz by the time you follow me, I may have closed my positions…


    • I hope it goes to $1, cause I don’t care how many pieces of paper the market says it’s worth.

      Lovers of lies love phoney paper money.

      Lovers of truth love hard assets.      

    • Here we go again another Chart analyst. I for one don’t follow Morgan or the Chart Predictors but it seems when the PM’s get hit out come the told you so’s, follow me.
      I’m ecstatic right now because off the hits as I’m going to be buying a bunch more of Physical but the differance between you and me is; I’m holding for the Long Term and not cashing in for Fiat which will be useless in the long run.

  13. Well, one theory I can put forth is that this seems like a well coordinated effort and defense of the Dollar. This is all about protecting the sentiment of the Dollar and keeping spreads low on the 10 and 30 year Treasuries. The best way to do that is to beat down the fear that the Dollar is going to go over the cliff. And you accomplish that by shorting the 1 thing that is a proxy to bad governance and uncontrollable debts… Precious Metals.

    • there is little doubt the fingers of the government is all over this. seeing this crap pisses me off to no end, but also tells me that someone is scared of the metals – so I’m doing the right thing by accumulating them.

  14. I just ENJOY reading the posts related to the ups and downs of the silver market!  After reading the above posts, its OBVIOUS most (except for a couple–you know who you are–) know EXACTLY what is happening.  Buyers, GO OUT AND BUY.  Not tomorrow, today!!!!!  Little will happen with the price tomorrows close vs today, and the sellers, if you can find them, will be more reluctant to sell Saturday, because they’ll want to see how the UPTICK on Monday goes.  Its the old adage again:  If you don’t hold it, you don’t own it.  Right now (Crissy, Ugly, March, and other educated silver stackers) get that green trash out of your hands and into that beautiful white metal!

  15. One rational arguement for buying today vs. waiting for the weekend is the coin dealers may raise their premiums; thus while the spot price may continue to decrease, the price YOU pay mey soon actually increase.

  16. Tomorrow will most likely be the last working day for most of the western world and Christian faith in 2012. This is the last chance for the cartel to knock down and shake out the paper long weak hands before 2013 arrives and the QE to Infinity SHTF early next year.

  17. @Ugly.

    I was remembering when I had a conversation with a “goldy” and told him I was going to get rid of some.  He said I’ll take all you got.  So, I took him up on it. On the drive over to him I was sweating–cold sweats–fingers trembling, the works.  I almost turned around several times, but I figured I came this far, and I KNEW it was the right move.  So,  I gave him 41 beautiful new 2006 Buffalos. We counted out the cash together, and I took off to see my silver guy and dumped the cash on him for silver eagles.   I haven’t looked back since.  Made a nice tidy profit and keep stacking (although I favor junk silver waaaaaayyyyyyy ahead of any other white metal).

    • In my opinion if you have significant assets it is better to split your stack between silver and gold.  My only knock on silver is that it takes a lot of space and is heavy.  In a grab and go situation I can carry significant gold in my bug-out bag.

  18. A) The USD Index is a meaningless measure of strength relative to gold or silver.  The Index is based on a basket of other fiat paper currencies, so it says absolutely nothing about gold or silver prices or value.  Gold could be $10,000 and Silver $625, and the US Index can remain at 0.80.  Of course, by then a gallon of gas will cost US$20.
    B) So, David Morgan said he does not think silver is going below $30, and Silver dips below $30 today.  Well, all it means is that he underestimated the power and degree of corruption and manipulation going on in the financial markets.  I think everyone would agree that things have gotten exponentially worse even compared to only months ago, so the death throes of the cartel is becoming more and more evident.  David Morgan has been one of the most honest about what he thinks, and to favor silver over gold takes a lot of guts and courage.  Remember, most precious metals experts still view silver as secondary to gold, but silver has been used as money by more people and for a longer period of time than gold.
    C) I believe the main aim of the price suppression is to have lower temporary prices by year end, so that they can claim gold and silver didn’t do as well in 2012.  People will get their annual accounts, and see lack-luster performance in gold and silver (relatively speaking).  And it is just a psychological game to these people.  I think the cartel is absolutely furious that silver has been called the best performer of 2012, so they’re doing their best to prevent that.  But what’s so special about annual performance numbers, when the trend line over time for both Gold and Silver is up?
    All that is needed is a little patience.

  19. Dayum.  One mint BU roll of Franklins later, plus 8 more in very good condition, and my junk silver stack is really banging come the end of 2012, and the world didn’t even end.  TPTB are just making this too easy.  Like Chrissy and others have said, it’s unbelievable what near worthless fiat currency can buy these days.  Happy Holidays to all my fellow stackers out there.

  20. Ugly:  The problem with gold in a bug-out bag is that you’re probably not going to buy an effin Mercedes, so getting fiddles from the corner grocery won’t do with a bag full of Buffalos…..but you are absolutely correctamundo on silver’s bulk and weight…..thats why WE love it, right?

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