With gold and silver hammered again Friday and gold briefly breaking below $1100, Silver Expert David Morgan joined the show, discussing:
- 5 MILLION oz Retail Silver BACKLOG
- Morgan Breaks Down Physical Market: Shortage in the Wholesale Market, or Just in Retail?
- At What Point Does the Retail Market Put Stress on the 1000 oz Bar Market?
- Funds Attempting to Trigger $1070 Stops, Send Gold Towards 3 Figures
- Closer to the Edge of the Cliff- “At Some Point, Something’s Going to Give!”
- Shemitah Week is HERE: Is the BIG ONE on the doorstep? Eric and David weigh inThe SD Weekly Metals & Markets With The Doc, Eric Dubin, and David Morgan is below:
- After a Brief Rally, Bear Market Likely to Resume With a Vengeance- the END GAME IS APPROACHING!
- Run On Silver Developing As Physical Demand Goes THROUGH THE ROOF
- Is the Bond Market About to Find Religion?
- Alasdair Explains Why the Next Crisis (Which He Believes is Likely to Begin in About a Month) Will Spread From A Banking Crisis to a CURRENCY CRISIS
- In the Words of Eric Dubin: Its Going to Get REALLY UGLY
The SD Weekly Metals & Markets With The Doc, Eric Dubin, & Alasdair Macleod is Below:
What I believe we will see is what we have always seen as a final result of fiat currencies, a collapse of confidence. Call it what you want, a deflationary collapse, or hyperinflation, the end result will be “confidence” in the U.S. dollar will collapse.
A break in the confidence of fiat currency will end with many currencies being replaced, this is a major part of your coming “re-set”.
Ask yourself this, in a financial collapse, “what will be safe”? Will your bank, broker or insurance company be safe, or even still solvent? Will our over indebted government be safe?
Will the pieces of paper or digital credits issued by this “safe” government and held by your “safe” institution …really be safe?
What is going on with the Currency Chaos!?!
Today we cover the surprise currency policy announcement of the week, one which honestly couldn’t have come at a worse possible time for the Euro currency. It’s a move that has already taken the proverbial gasoline, and poured it on the bone-dry kindling that is the European currency pool.
The real question remains though: why was this measure taken right now, of all times?
Could it not have waited until after the renewed Greek election troubles had come and gone?
This desperate action seems to be aimed as a front-running measure to hedge against something serious, which lies directly ahead of us.
What has these folks spooked enough, to reverse key policies which began over 3 years ago, and risk the kind of turbulence we’re now witnessing?
Congressman & former Presidential Candidate Ron Paul joins the show this week, discussing:
- Putin’s response to US sanctions with economic retaliation- implications for US economy & the US Dollar- It is very significant, dumping of US dollars has begun…The dollar can’t be maintained. One reason the dollar has been sustained as well as it has been is who wants to buy yuan or euros? But ultimately they will buy the real money, and that’s gold!
- Paul on the Coming collapse of the dollar & all fiat currencies: Officials in charge of monetary policy are very aware of what’s coming– they believe as long as it is orderly they will be ok…The problem is when people lose confidence in a currency, they lose confidence completely. There’s nothing orderly about it! There’s always a panic, and that’s hard to manage. There will be a day when people will panic in the financial markets, not only in the dollar, but in the world-wide system!
- The former member of the House Financial Services Committee explains why his nemesis at the Federal Reserve works so hard to discredit gold, and what he wishes he would have asked Ben Bernanke during his grilling of the Fed Chairman at his House Hearings on the Fed’s Monetary Policy.
The MUST LISTEN SD Metals & Markets with Former Presidential Candidate, Sound Money & Freedom Champion Ron Paul is below:
We are at the doorstep of a major USTreasury Bond breakdown. The TNX (10-year bond yield) is at the 3.0% doorstep, as 3.5% looms very likely in the coming months. If and when the breakout comes, it will make the Taper Talk backfire seem rather insignificant, as a gathering storm will hit like a financial hurricane on every continent.
A currency crisis is in powerful early stages, an extension of the enduring Global Financial Crisis that bank leaders had no desire in quelling for over five years running.
A USDollar currency crisis eruption could send the 10-year USTreasury Bond yield past 3.5% easily, then later toward the 4.0% level in a sudden burst.
It is not just the Gold market they are losing control, but the nemesis to gold, the USTreasury Bonds.
Russia & China are at an advanced stage to replace the USDollar in its key role as trade settlement medium and global reserve currency within banking structures.
The big conflict will come when the Chinese no longer are able to convert their USD sh*t paper into Gold bullion.
Only then will Beijing light the fuse.
This time, the Federal Reserve has created a truly global problem. A big chunk of the trillions of dollars that it pumped into the financial system over the past several years has flowed into emerging markets. But now that the Fed has decided to begin “the taper”, investors see it as a sign to pull the “hot money” out of emerging markets as rapidly as possible. This is causing currencies to collapse and interest rates to soar all over the planet. Argentina, Turkey, South Africa, Ukraine, Chile, Indonesia, Venezuela, India, Brazil, Taiwan and Malaysia are just some of the emerging markets that have been hit hard so far. In fact, last week emerging market currencies experienced the biggest decline that we have seen since the financial crisis of 2008. And all of this chaos in emerging markets is seriously spooking Wall Street as well. The Dow has fallen nearly 500 points over the last two trading sessions alone. If the Federal Reserve opts to taper even more Wednesday, this currency crisis could rapidly turn into a complete and total currency collapse.
I hope that you are ready for what is coming next.
If you are tired of the gurus’ gold and silver predictions (which in the short term have been largely wrong thanks to 2013’s massive paper smash but remain sound fundamentally in the long term), here is an unemployed Average Joe silver investor’s outlook and predictions for silver over the short, medium, and long term:
Peter Schiff joined our friend Sean from the SGTReport over the weekend to discuss the Federal Reserve, the impending collapse of the United States, and all things Obamacare.
As for the Fed’s recent announcement that QE will continue unabated Peter says, “The Fed will keep blowing air into the bubble until it bursts and the only thing that will stop them is a currency crisis… The Fed has to maintain the illusion and the only way to do that is with the drug of QE.”
On Obamacare and government entitlements Peter says, “We once had a great free market economy that was the envy of the world. People were coming here from all over the world to participate in FREEDOM. We had limited government and maximum prosperity. Even though we had no government benefits at all, the poor people from all over the world wanted to come here. Why did so many poor people want to come to a country with no welfare benefits, no medicare and no food stamps? Because they knew that the best way to get out of poverty was the OPPORTUNITY to work in a FREE MARKET… We had a great country and we screwed it up.”
In this excellent video, Dont-Tread-On.Me’s Chris Duane discusses his view that the most money will be made by astute investors AFTER the collapse of the US dollar.
The ECB’s grand bond plan is now in jeopardy after Italian voters rejected EU conditions. Italy’s electoral earthquake is “a catastrophe for the euro and the European Union”, according to Luxembourg’s foreign minister, Jean Asselborn.
During the past four years, whenever the euro has declined significantly versus the U.S. dollar, German investors have fled to the safety of gold and been rewarded. Historically, when the Euro has declined by 8% to 20% since the start of 2008, gold in local currency Euro terms has risen by 14% to 41%, compounded annually.
So far the majority of demand for gold in Europe has been from more conservative German investors and savers due to their knowledge and experience of inflation and hyperinflation. As the Eurozone debt crisis escalates, demand will be seen across the European Union and not just in Germany.
Submitted by Morris Hubbartt:
If the implosion of Lehman could only get the dollar to 89.11, is there really any hope for the bulls now? I don’t think there is. I’ve labeled the dollar chart the “Triple Hammer Chart”, because I see 3 powerful chart patterns, and all of them are very bearish for the dollar.
Silver is setting itself up for a nice rally. The set-up is very similar to last fall. At the bottom of the chart, note the bullish breakout of the Aroon indicator. Silver is my favorite asset in the precious metals group, for adding fresh risk capital. The Bollinger bands are tightening, and that is usually followed by an explosive move.
By SD Contributor AGXIIK:
America will soon suffer a horrible reset. That’s inevitable.
But the people of this country and their unique nature, with the resolve to roll up their sleeves, deal with the reset, and get back on to a sound hard asset backed currency (even if they have to dig it out of the ground with their bare hands) will reestablish a sound economy, like the one embodied in the best elements of the Constitution and Bill of Rights along with the beliefs and morality that existed before the banksters came to rule the land. The present day currency cargo cult will come to an end.
I have optimism in that. But until we go cold turkey on a century of debt and take the cure, these things will not happen. The longer we wait, the worse the reset will be.
Submitted by Stewart Thomson
I refer to gold bullion as “Queen Gold”, and the US T-bond as her secret agent James T. Bond. At some point, Sir James is going to outlive his usefulness to your queen, and a great bear market in bonds will unfold.
Specifically, I believe that the pressure put on all fiat currencies by the global tidal wave of QE, will make it appear that hyperinflation is a “done deal”. I don’t think you are going to experience full hyperinflation in this crisis, but you’ll get something very close to it.
As that happens, central banks around the world will likely begin raising rates aggressively, to combat the severe institutional loss of confidence in all fiat currencies. So, should you hold & buy gold now, or wait until 2015? The answer is that you should buy now.
Legendary gold trader Jim Sinclair sent subscribers a shocking and MUST READ email alert last night regarding the possibility that the dollar as reserve currency will enter the initial stages of hyperinflation by mid-year, and the effects the debasement of the dollar will have on gold.
Sinclair states that by midyear of 2013 the US Federal Reserve will have to make a decision in order to keep the US bond market which is US interest rates at the low levels that have been promised until employment has made a sustained recovery and that The Fed’s defense of the US bond market is demanded by the huge pile of original and old OTC derivatives that still haunt the monetary system as specific performance contracts with any financing floating in cyber space. This could drop the US dollar below .7200 to .5600 on the USDX in a short period of time.
Sinclair states that the effects of the Fed’s increased pace of quantitative easing will lead to severe cost push inflation, a derivative of hyperinflation running from mid 2013 through 2017, and that This will be the entrance to the second phase of the gold market ascendancy. Gold got to $1900 on threatened systemic failure. Gold will go to $3500 and above on pure monetary fiat currency concerns.
Jim Sinclair’s full MUST READ alert on the imminent cost-push inflation/hyperinflation of the US dollar due to QE∞ is below:
Chris Martenson of PeakProsperity.com says, “We have an economy that requires constant exponential growth . . . that won’t happen. We’re on an unsustainable course.” Martenson says the next 20 years will look nothing like the last 20 years. He predicts, “The crisis really is going to belong to the people who don’t see it coming.” Martenson believes, “Global growth will never return to its former glory days.” The days of cheap natural resources are gone. Martenson says to go along with that phenomenon, “The risks are piling up in the financial system. . . . The Federal Reserve is printing, printing, printing . . . we’re going to have a world class currency crisis.” Given the current situation of a broken money system and dwindling natural resources, Martenson says, “I don’t see how you avoid a hard landing at this point.” Join Greg Hunter as he goes One-on-One with Chris Martenson.