As the MUST SEE 5 year silver US dollar chart below reveals, it appears the year plus sideways trading action in silver with minimal volatility is about to end.
As the chart below documenting the 8 bear markets in silver over the past 50 years demonstrates, the bear market in silver is nearing exhaustion.
Cartel manipulation of the gold & silver markets has become so blatant that even Bloomberg is now openly admitting that the West is being drained of physical gold thanks to blatant market rigging.
As the 20 year gold & silver intra-day average Bloomberg charts below clearly demonstrate, The (PM) fix is in:
In the sixties Europe started demanding gold for their surplus dollars, causing a substantial outflow of gold bars from the US Treasury. From the peak to the bottom in 1971 the United States lost almost two-thirds of their official gold reserve. The exorbitant privilege of the dollar seemed untenable, but when president Nixon closed the gold windows in 1971 there was no viable alternative for the mighty US dollar (yet). The rest of the world had no other option than to accept being paid in a currency which could no longer be redeemed for gold.
After collecting the data of the last five years from the IMF website we made a graph of the cumulative current account balance from 1980 till 2013…. We present to you the ‘Exorbitant Privilege’ of the United States in one significant graph!
Today’s MUST SEE chart of the day depicts the labor force participation rate for white males over 20 in the US from 1955-present.
Perhaps Obama was holding the chart upside down when touting his supposed jobs recovery? Looks more like a cliff dive to us, but what do we know about charts and economic data?
Today’s must see Chart(s) of the day depict a massive waterfall decline in gold.
No, we’re not talking about the daily COMEX open futures chart (or the chart on the day of any FOMC statement or public appearance by Bernanke), but rather COMEX registered and total gold inventories.
As the 2 charts below clearly demonstrate, both COMEX registered and total gold inventories have just plunged to new multi-year lows.
As today’s Chart of the Day (courtesy Bloomberg) demonstrates, on a year-over-year percentage change basis, gold bullion is currently exhibiting the strongest buy signal of the entire bull market, far surpassing the previous buy signals placed in 2005, 2007, and late 2008-early 2009.
Must See year-over-year percent change of gold bullion chart for the duration of the bull market is below:
Just like the previous times in 2006 and 2008, this precious metals market is now marking time before the next up-leg begins, and it will be similar in scale to the up-legs that followed the 2006 and 2008 corrections.
The one huge difference is that in 2006 and 2008, China was not actively and aggressively accumulating physical gold.
A little more patience is all that is required – i.e. “sit tight and be right.”
Fridays nonsense aside in the markets, we present a 13yr daily chart of gold that shouldn’t need any explanation:
Today’s chart of the day examines gold premiums in China in the wake of the April smash. In late April when Jim Willie stated that physical gold was trading at a massive premium in Asia, many readers scoffed. As the Bloomberg chart below demonstrates, physical gold premiums did indeed skyrocket in the wake of the cartel’s epic paper takedown, with premiums jumping from $7 to $120/oz!
“Premium is a function of demand and supply, and right now you could interpret the high premium in Shanghai as a sweetener to entice the overseas gold supply to flow into China.” -Bank of China’s Qu
The graph below shows that since the beginning of this year nearly 250 tons of gold from the vault removed is. A reported volume of 250 tonnes of physical metal would be good for a 22nd place in the world ranking of countries and entities with the largest gold reserves, a place between the 280 tons of gold from Austria and 227.5 tons of Belgium. The chart below contains the data that the SPDR Gold Trust put daily on its website, along with a daily fixing of the gold price.
The exodus of gold from GLD inventories has continued, even as the price of gold has rebounded over the past 2 weeks.
Visual evidence of GLD’s draining inventory is below:
Today’s charts of the day examines US Mint gold eagle and silver eagle sales totals from 2008-2013.
Surprisingly, while ASE sales have increased the most on a percentage basis, it is US Mint gold eagle sales that are literally going parabolic.
MUST SEE US Mint Gold & Silver Eagle sales charts are below:
The Japanese have lost 2 decades when priced in nominal terms…with relentless and never ending quantitative easing.
When priced in real terms (gold)…forget about a return to 1/1 (Nikkei/oz) ratio that is often talked about…the Nikkei has crashed to a 1/1GRAM ratio!
Chart of the Day: Nikkei Index 1984-2013 Crash…Priced in Gold
The editor of Marketupdate, a Dutch website about gold, silver, currencies and the financial crisis has sent us 2 MUST SEE charts documenting Russia official accumulation of gold reserves from 1996-2012.
It should not come as a surprise to SD readers that Russia’s official gold reserves are up nearly 5 fold in the past 6 years, from approximately 200 metric tons in 2006, to nearly 1,000 by the beginning of 2012.
Russia’s accumulation also puts into crystal clear perspective the shocking totals the Chinese are accumulating, at nearly 1200 metric tons/YEAR!
Chart(s) of the day below:
With the financial MSM salivating over the fiscal cliff, today’s chart of the day brings a little perspective to the situation.
Obama’s proposed tax hike solution, compared to a visual of the true severity of the problem facing our country via unfunded liabilities.
For over a year we have maintained here at SD that as the gov’t debt crisis accelerates and reaches the end game, the PIIGS will become F UK US PIIGS as France, the UK, and finally the US reach a solvency/ debt crisis on the same stage currently experienced by the southern European nations such as Greece.
Today’s Chart of the Day vividly drives this point home, as US per person debt is now an astonishing $53,378- a full 35% higher than that of Greece.
Today’s chart of the day is an astonishing look at global gold jewellery/ coin demand…with the US demand literally not even registering on the chart vs. demand in India, Thailand, Hong Kong, and China.