ECB Bail-inThe Diesel has just dropped the boom again, as the Chairman of Eurozone Finance Minsters warned Wednesday that uninsured depositors in Eurozone banks could face losses in Eurozone bank stress tests- as the Eurozone stress tests could result in banks being shut down by the EU, with the Cyprus template bail-in resolution used to impose losses on depositors.

Is Dieselboom trying to start a Eurozone wide bank run?

Submitted by Stewart Thomson:

Obviously, the decline from $1500 to $1320 has left a lot of gold investors stunned.  In a situation like this, I think it’s important to keep things very simple, or you can create a panic in the “gold building”, when there is no fire. The media has reported substantial “mom and pop” gold buying, around the world. Chinese, Japanese, and Indian households are accumulating gold, but so are households in America, Canada, England, and Australia.  That buying is being countered by ETF selling, and this “battle” is likely creating the range between $1440 and $1480.  The price action of gold will likely determine the next big move for silver.  I think that silver will grind its way higher, towards the $27 area, while many bears think it is headed towards $18.

China Gold June Imports_0Gold imports by China from Hong Kong more than doubled to an all-time high in March as buyers underscored increased bullion demand in the world’s second-largest economy. This demand was fuelled no doubt by the record fall in the gold price on April 12th.

Mainland buyers purchased 223,519 kilograms (223.52 metric tons), including scrap, compared with 97,106 kilograms in February, according to Hong Kong government data. If this buying trend continues the Chinese look set to break all previous gold consumption records.

silver stockpileBrotherJohnF discusses silver’s technicals, the US Mint ASE sales (currently running double the 2012 sales pace, and already nearing 20 million ounces sold in 2013) and examines the legislative history of the ASE sales program from the national defense stockpile in his latest Silver Update:
Silver Stockpile

Jim Sinclair’s chartist Bo Polny, who predicted the April smash in gold and silver when the majority of PM investors thought the bottom was in (including Sinclair himself) has issued an update to his call for May 10th-13th to be the big turn dates for both gold and silver.
Polny states that Friday through Monday is a period for extreme caution in silver as the final bottom will be placed, and cautions that silver will likely re-test the April bottom of $22.  He states that Until May 13, 2013 has passed, silver is extremely vulnerable to a support break!

Full update is below:

I had the opportunity yesterday to speak with one of the western world’s most courageous and astute women, Karen Hudes, Former Senior Counsel to the World Bank—now turned whistle-blower.
It was a powerful conversation, as Karen spent 20 years with the World Bank as an attorney and economist, before being “let-go” after reporting internal fraud and corruption.
During the interview Karen indicated that the world is rapidly changing, with western power structures breaking down, economic & political influence gravitating to BRICs nations, all amid a pending currency transition which will highly favor precious metals.   Hudes stated: All of the countries of the world are going to allow precious metals to serve as currency, and this will be an underpinning for paper currency, as we’ll have both systems at the same time.”

Trader and forecaster Rick Ackerman says, “As far as the Fed getting off the easing regimen, it’s not possible . . .You’d kill the system right now. There’s no way out, and although we put off the day of reckoning, it can’t be put off indefinitely.” Obama Care is one of the biggest headwinds facing the economy. Ackerman says, “January 1st, everybody is going to get socked with at least a 30% increase in their insurance premiums . . . Obama Care is the worst bill ever . . . I don’t see how the economy can survive it.” Ackerman does not believe gold prices will skyrocket but contends, “One thing I have always been absolutely confident about is that gold, relative to any other asset you can think of, will hold its purchasing power.” Ackerman fears confiscation of bank deposits and says, “All depositors everywhere should be scared for their money. Cypress should have spooked the whole world, and it did! I think it makes the likelihood of some sort of black swan event even greater.” Join Greg Hunter as he goes One-on-One with Rick Ackerman.

quantitative easingSkip the supposed theory and purpose of Quantitative Easing, and ask yourself what is its equivalent weight? Suppose we use the $85,000,000,000 per month that is officially acknowledged and round it to $1,000,000,000,000 per year and relate that $1 Trillion per year to items more easily understood:

  • What is $1 Trillion expressed in truckloads of one ounce Silver Eagles?

gold cartelWe see the lions as issuers of fiat, Gazelles as owners of gold, and if you are uncertain as to which you are, the issuers of fiat will  financially eat you alive.  Cyprus was an overt wake up call.  Many people in the U S think it will not happen to them.
It already has.

Federal ReserveIf the American people truly understood how the Federal Reserve system works and what it has done to us, they would be screaming for it to be abolished immediately.  It is a system that was designed by international bankers for the benefit of international bankers, and it is systematically impoverishing the American people.  The Federal Reserve system is the primary reason why our currency has declined in value by well over 95 percent and our national debt has gotten more than 5000 times larger over the past 100 years.  The Fed creates our “booms” and our “busts”, and they have done an absolutely miserable job of managing our economy.  But why do we need a bunch of unelected private bankers to manage our economy and print our money for us in the first place?  Wouldn’t our economy function much more efficiently if we allowed the free market to set interest rates?  And according to Article I, Section 8 of the U.S. Constitution, the U.S. Congress is the one that is supposed to have the authority to “coin Money, regulate the Value thereof, and of foreign Coin, and fix the Standard of Weights and Measures”.  So why is the Federal Reserve doing it?  Sadly, this is the way it works all over the globe today.  In fact, all 187 nations that belong to the IMF have a central bank.  But the truth is that there are much better alternatives.  We just need to get people educated.

The following are 11 reasons why the Federal Reserve should be abolished…

bail-inIreland’s Finance Minister, and current European Council President, Michael Noonan, is introducing a proposal to European finance ministers that will hit depositors that hold over €100,000 in the event of future bank collapses.
The Irish know a bit about bank wind-downs, and maybe have realized sticking it all on the tax payer, severe austerity, doesn’t leave citizens with many euro’s left to consume and jump start the economy.
Noonan is proposing at Tuesday’s meeting in Brussels that large depositors (over €100,000) are “bailed in” as part of future bank wind-downs.

SinclairJim Sinclair sent an email alert out to subscribers Monday, advising precious metals holders that the recent take-down in the metals was not a short play, but a desperate attempt to help the dollar and to keep the system alive.

Sinclair states that The not-anticipated result of the take down on paper gold was to wake a sleeping elephant of physical demand from other every corner of the globe. The opinion of the operators is that if the gold banks can keep pressure up on paper gold the huge demand for physical will fizzle. The world outside of North America has recent memories of monetary situations exactly the same as now. They know that paper is in its final stage and gold is in a major ascendancy.
Sinclair is so confident that gold is moving majorly higher that he advises readers: If you have two cars sell one to either initiate or increase your gold and unique gold producer position. If you live in a metropolitan city, sell both!

Sinclair’s full alert is below:

Jeff Nielson from Bullion Bulls Canada joins SGT to discuss the global flight out of paper gold and silver and into PHYSICAL bullion. We also talk about the new CBC documentary “The Monarchs of Money” – and how it attempts to elevate the Central Banksters to benevolent servants of the financial markets, even as it shares some truth. We wrap things up with a conversation about deflation VS inflation VS hyperinflation — Jeff says, without a single additional printed dollar, the US and all major countries on earth could find themselves in a state of hyperinflation the minute the Banksters unleash the TRILLIONS already printed.

silverCOTGold & Silver COT Report 5/3/13:

Commercial longs removed 2,573 long contracts from their total and covered 5,507 total shorts to end the week with 50.74% of all open interest, a big increase of 2.40% in their share of total open interest since last week, and now stand as a group at 71,150,000 ounces net short, which is a decrease of almost 15 million net short ounces from the previous week. 

break downIn this episode of the Keiser Report, Max Keiser and Stacy Herbert discuss the Great Leap Forward in central banks’ central planning which has driven the Housewives of China to buy 300 tons of gold, an act of disloyalty to the central bank revolution. Max notices that Mrs. Wang has displaced Mrs Watanabe as the most important buyer in global financial markets. In the second half, Max talks to Alasdair MacLeod about everything to do with the physical and paper gold markets – from open interest to naked short selling by bullion banks.
MacLeod states that trouble is brewing, and that he expects that Central Bank intervention is likely to break down much sooner than Bernanke believes is possible, and likely by Q4 2013!