If you know someone that actually believes that the U.S. economy is in good shape, just show them the statistics in this article.  When you step back and look at the long-term trends, it is undeniable what is happening to us.  We are in the midst of a horrifying economic decline that is the result of decades of very bad decisions.  30 years ago, the U.S. national debt was about one trillion dollars.  Today, it is almost 17 trillion dollars.  40 years ago, the total amount of debt in the United States was about 2 trillion dollars.  Today, it is more than 56 trillion dollars.  At the same time that we have been running up all of this debt, our economic infrastructure and our ability to produce wealth has been absolutely gutted.  Since 2001, the United States has lost more than 56,000 manufacturing facilities and millions of good jobs have been shipped overseas.  Our share of global GDP declined from 31.8 percent in 2001 to 21.6 percent in 2011.  The percentage of Americans that are self-employed is at a record low, and the percentage of Americans that are dependent on the government is at a record high.  The U.S. economy is a complete and total mess, and it is time that we faced the truth.

The following are 40 statistics about the fall of the U.S. economy that are almost too crazy to believe…

What makes the silver (and gold) manipulation the perfect crime are a number of elements; short term price control through High Frequency Trading,  compliant regulators and the fact that most victims don’t even realize they are being had, as the sellers are mostly just reacting to the deliberately-set lower prices. It’s hard to end an ongoing crime in progress when so many don’t realize it is in progress. Worse, there are still some who profess that there is no manipulation underway. And for the few who do realize what’s really going on, what can you do about it when the regulators are in bed with the manipulators? Perhaps the options are limited, but that’s not the same as non-existent.
I believe that an impartial review of the CFTC by the GAO could end the silver manipulation.

 

goldcotGold & Silver COT Report by SD Contributor Marshall Swing:

Commercial longs added 1,037 contracts to their total and covered 255 net total shorts to end the week with 49.60% of all open interest, a decrease of 1.09% in their share of total open interest since last week, and now stand as a group at 59,630,000 ounces net short, which is a decrease of almost 6.5 million net short ounces from the previous week

The Belgian Central Bank said yesterday that about 25 tons of the European nation’s gold reserves have been lent to bullion banks according to Bloomberg. Nearly 10% or about 25 metric tons of the National Bank of Belgium’s remaining 227.5 tons of gold reserves are currently lent to bullion banks, Director and Treasurer Jean Hilgers told the central bank’s annual meeting in Brussels. The proportion of gold reserves on loan declined from 84.3 tons on December 31, 2011, and averaged 48.1 tons in 2012 as loans matured and some gold loans were reimbursed early. Hilgers said that the Belgian central bank sees gold lending decreasing further this year. During the 1990’s, Belgium sold some 1,000 tons of gold into the market – more than three quarters of its remaining holdings. The Belgian gold reserves, which had already seen sizeable liquidation in late 1978, fell from 33.7 million ounces on 12/31/88, to just 5.7 million ounces on 03/31/98, or a fall of 83% in less than 10 year.

sinclairJim Sinclair sent an email alert to subscribers over the holiday weekend regarding the Eurozone’s proposal to take down shadow banking and asset rehypothecation.
Sinclair states the proposal is a direct blow to the global banksters:
Now we have a proposal which when adopted would be a Euroland Blockbuster. A direct kick in the slats of Shadow Banking, something that will never occur in the USA. Euroland would unravel the collateral chains of Shadow Banking there, if you can call it that, a knee capping.

Sinclair states the Eurozone’s latest proposal is more evidence that the Euro will ultimately prevail over the USD, to the contrary of US MSM MOPE This is, in the final analysis, more evidence that the Euro in whatever form it ends up, two or one, will take ascendancy over the dollar, certainly if these proposal become solid action.

Sinclair’s full alert is below:

paradigm shiftGold and USTBonds aint a market. Their so-called official trading arenas are empty rooms with USGovt and USFed devices filling the empty space, creating a phony price. The false Gold price has no real supply. The false Bond price has no real demand. The claimed price is not where Supply meets Demand to clear the table on the market.  Neither Gold more the USTBonds are a real market.
A Paradigm Shift is underway. The United States and its fascist allies are not in control. They will not find a path to retain or regain control. They have no solutions. The most powerful element of the shift has been the movement of gold wealth from Western locations to Eastern locations.

The world reacts by searching for a USDollar alternative, since the removal of the Gold Standard has crippled the world and permitted widespread fraud. The new standard will usher in the new Gold Trade Standard.
The US account holders will be treated with stock shares in conversion for the dead banks, whose value will converge quickly to zeroExpect soon the result to be a climax with bank runs.The bank runs will coincide with bullion bank runs, the fast removal of gold held in inventory vaults at the bullion banks.

What is life going to look like as our precious water resources become increasingly strained and the western half of the United States becomes bone dry?  Scientists tell us that the 20th century was the wettest century in the western half of the country in 1000 years, and now things appear to be reverting to their normal historical patterns.  But we have built teeming cities in the desert such as Phoenix and Las Vegas that support millions of people.  Cities all over the Southwest continue to grow even as the Colorado River, Lake Mead and the High Plains Aquifer system run dry.  So what are we going to do when there isn’t enough water to irrigate our crops or run through our water systems?  Already we are seeing some ominous signs that Dust Bowl conditions are starting to return to the region.  In the past couple of years we have seen giant dust storms known as “haboobs” roll through Phoenix, and 6 of the 10 worst years for wildfires ever recorded in the United States have all come since the year 2000.  In fact, according to the Los Angeles Times, “the average number of fires larger than 1,000 acres in a year has nearly quadrupled in Arizona and Idaho and has doubled in every other Western state” since the 1970s.  But scientists are warning that they expect the western United States to become much drier than it is now.  What will the western half of the country look like once that happens?

Russia, Greece, Turkey, Kazakhstan and Azerbaijan expanded their gold reserves for a seventh straight month in April, buying bullion to diversify foreign exchange reserves due to concerns about the dollar and the euro. Russia’s steady increase in its gold reserves saw its holdings, the seventh-largest by country, climb another 8.4 metric tons to 990 tons, taking gains this year to 3.4% after expanding by 8.5% in 2012, International Monetary Fund data show. Kazakhstan’s reserves grew 2.6 tons to 125.5 tons, taking the increase to 8.9% this year after a 41% expansion in 2012, data on the website showed. Turkey’s holdings rose 18.2 tons to 427.1 tons in April, increasing for a 10th month as it accepted gold in its reserve requirements from commercial banks. Belarus’s holdings expanded for a seventh month as did Azerbaijan’s. Interestingly, Greece’s gold holdings climbed for a fourth month, according to the IMF data. This could be a sign of rising economic nationalism in Greece or that the Greek central bank realises that if Greece leaves the euro and is forced back onto the drachma that gold reserves will offer a modicum of protection. Only a modicum, because Greece’s gold reserves remain miniscule especially considering the scale of their debts.

Zeal052413ASilver has suffered horrendously in 2013’s opening months, plunging dramatically to miserable lows.  This exceptional weakness has naturally kindled extreme bearishness.  Predictions abound for silver to continue selling off indefinitely.  But amidst this severe carnage, the silver bullion held by the flagship silver ETF has remained flat.  This is an extraordinary bullish divergence in the face of rotten sentiment.

Silver is almost certainly the most volatile of the world’s more-popular markets.  When silver starts moving, it often moves fast.  Fortunes are won and lost in a matter of months, a very exciting or terrifying prospect depending on which side of the trade you are on.  The key to silver’s price action has always been gold.  Silver follows gold, usually dramatically leveraging the yellow metal’s fortunesSilver is a gold play.

Last weekend we broke the news to US readers that the HKMEx was closing and would cash settle all futures contracts effective Monday, 5/20.
The intrigue around the exchange’s failure exactly 2 years after it’s 2011 launch just increased substantially, as 4 high level HKMEx executives have been arrested after being found with over $1/2 billion in false bank documents.
The HKMEx founder and CEO Barry Cheung Chun-yuen is reportedly now also under investigation for his involvement in the scandal.

Our current fiat currency standard is terminal, nations around the world are dropping the U.S. dollar as a medium of exchange, central banks are buying gold, and Americans are seeing price inflation during an economic downturn.
In order to avoid a systemic financial crisis here in the U.S., we need to focus on solutions.

Play

In this week’s SD Weekly Metals & Markets, The Doc & Eric Dubin discuss:

  • The cartel’s epic failure to smash silver under $20 and gold under $1300
  • An update on shortages/delays and premiums in the wholesale physical silver market
  • Eurozone finance minsters’ claim the banksters’ $80 Trillion shadow banking system will be shut down as the unlimited asset rehypothecation is a systemic risk in a financial crisis

SD Weekly Metals & Markets is below:

bail-inJim Sinclair has sent an email alert to subscribers tonight, warning that legislation enacted by the Fed, Bank of Canada, and BOE (as broken in April by SD) means that bail-ins are coming to North America without any doubt, and will be remembered as the “Great Leveling”.
Sinclair states that after examining the legislation, utilizing multiple banks to protect your wealth (expecting to receive multiple maximum FDIC pay-outs in the event of bank failures will fail, and your assets will be Cypruss’d. 

Sinclair’s full alert is below:

China Gold June Imports_0In this episode of the Keiser Report, Max Keiser and Stacy Herbert have a look at the narcissists’ rally as we drown in central banking their currency wars and their quantitative easing without wealth creation. In the second half, Max talks to Jim Rickards, author of Currency Wars, about why we don’t need to worry about a recession because we’re in a depression! They discuss US Federal Chairman, Ben Bernanke’s, plan to not Beggar Thy Neighbor, but Enrich They Neighbor by jumping out of the printing plane together with simultaneous devaluations. And, in terms of gold, Keiser and Rickards suggest maybe it’s the Chinese manipulating the price of gold . . . and not the US Federal Reserve.

The results are finally out and 2012 proved to be another record year for the continued squeeze in the top 5 gold miners.  Not only did gold production decline 1.3 million ounces from the top 5 year-over-year, their average yield dropped another 6%.  As gold yields continue to decline, it causes more stress for the mining companies.  Thus, it takes more energy to produce the same or less gold.

This is indeed the major problem facing the gold mining industry going forward.  Below we can see just how much average gold yields have declined in the top 5 gold miners (Barrick, Newmont, AngloGold, Goldfields & GoldCorp):