People who were sitting on the board of the NY Fed, were directing some of these bailout funds directly to their own banks in a blatant, absolutely undeniable conflict of interest that again represent the very heart of this system: it is a system run and operated by bankers, for bankers, and in which bankers tend to do very well, while the rest of the country MELTS DOWN.
In this MUST WATCH interview with CNBC, the Interest Rate Observer’s Jim Grant explains why the 2 greatest opportunities for investors right now are Russia & gold.
“Gold, to me is a very sound inoculation against the harebrained doctrine of modern central bankers. If you harbor doubts about the efficacy as do I of five years of monetary printing via quantitative easing & suppressed interest rates, and wonder how this unprecedented experiment is going to pan out, you can do worse for yourself than to hedge (with gold) from an unscripted monetary outcome.”
Grant concludes that investors should own gold because: “It stands to benefit from the demonstrated, as opposed the theoretically likely, crack up of the current monetary arrangements.”
Grant’s full interview on opportunities in Russia & Gold is below:
Dr Ron Paul, the popular Presidential candidate and America and the world’s most popular libertarian voice, told CNBC yesterday that he “still believes in gold” and that “gold could go to infinity.”
Paul informed the MSM host why the long term case for gold remains intact (while Jackie DeAngelis stated gold’s 8% performance year to date is disappointing):
“Timing is the only thing. I remember watching gold when it was 35 dollars an ounce and we thought if it ever hit a hundred dollars, the world would come to an end. And then a thousand dollars, so; no, it’s good as long as we continues to do this [print money] , you know, it could go to infinity because when people just leave the dollar, who knows what.”
One of the keys we watch here along with the US dollar is the price and movement of gold.
If you do any research on gold at all, you will quickly discover that there is a commonly held view that Central Banks hate gold and think of it as a useless asset that does not earn interest.
As usual, if you dig a little deeper and do more research you discover a different story.
The official policy of the Central Bank (Federal Reserve)/government is: inflation is necessary for “growth,” i.e. economic expansion. The unstated reason for this official support of inflation is that it’s easier for borrowers to service their debts as their income inflates.
Just as the Federal Reserve cannot directly force you to stick the needle of monetary heroin (debt) into your arm, it also can’t force employers to pay employees more.
Central Bankers engage in “Price Stabilization”. Their actions are supposedly private. Professionalism demands secrecy but total secrecy is difficult to ensure. At what level in the organization would you expect that information “leaks” begin to occur? At the bottom? In the middle? Not likely!
Are you still so sure you want to play those markets now?
Take delivery. Remember Jim Sinclair’s advice about GetOutOfTheSystem!
Expect these people in the global Central Banker-Government partnership to change the rules whenever they see fit to achieve their ends.
The Federal Reserve, the central bank of the U.S., is nearing the end of its ability to manipulate the U.S. economy without producing consequences worse that those it set out to avoid in 2008.
The Fed has no good exits from seven years of market manipulation. If it continues its current policy of reducing purchases of assets, the so-called “tapering,” it risks throwing the U.S. into a recession.
If it reverses course and pauses the taper and later increases asset purchases, it risks destroying confidence in the dollar among foreign creditors of the U.S.
Both outcomes are potentially disastrous, but there are no good outcomes on the horizon. This is the result of manipulating markets to the point where they no longer function as markets providing useful price signals and guiding the efficient allocation of capital. Today markets are a mirage, created by the Federal Reserve, which is caught in a prison of its own device.
In this breaking news update, WeAreChange’s Luke Rudkowski reports on the scene in Germany, where the German “End the Fed” protest organizer Lars Maehrholz nearly lost his life as the vehicle of a friend was just fire bombed by an anonymous perp just as Lars was entering.
Lars had received numerous threats since Monday’s Fed protest prior to the fire-bombing.
It appears the police are following the Michael Hastings fire-bombing/crash investigation playbook, as according to the official German police report, the vehicle reportedly “just started burning“.
The answer to this question has huge implications worldwide as the risk of sovereign debt default has never been higher.
It appears they want to be able to change the rules if they think they need to. Even including bank depositors.
In a ground breaking case that has MAJOR potential ramifications on the legality of future bail-ins in the US, the US Supreme Court has ruled in favor of some hedge funds that will be paid the full value of the debt they owned (Argentina debt).
While this ruling only applies to bond holders, it might apply as a precedent to any future default situation.
Germany has decided its gold is safe in American hands.
“The Americans are taking good care of our gold... Objectively, there’s absolutely no reason for mistrust.”
Absolutely no reason for mistrust, or absolutely no gold left to repatriate?
We’ll let our readers come to their own conclusions.
The sudden emergence of End the Red rallies in Germany is a fascinating development and one that I had no idea was happening until today. It seems that rallies are spreading throughout Germany protesting the corrupt and dying global status quo. One of the key targets of these groups is the U.S. Federal Reserve system, which as I and many others have maintained, is the core cancer infecting the entire planet.
Future generations will look back at Central Banking as we look back at slavery.
Gold is to poised ‘rise in May/June and make a TOP in June before a final summer low’.
The June 28, 2013 Gold Bottom at $1180 will hold as THE FINAL BOTTOM.
The coming summer low will be the FINAL ENTRY LOW and the ‘Buy’ of a Lifetime followed by a Moon Shot to $2000 before year end!
Yellen continues QE taper down to $35 billion/month:
- Fed to taper QE an additional $10 billion beginning in July
- Beginning in July, the Committee will add to its holdings of agency mortgage-backed securities at a pace of $15 billion per month rather than $20 billion per month, and will add to its holdings of longer-term Treasury securities at a pace of $20 billion per month rather than $25 billion per month.
- Waiting on the inevitable Gold & silver smash to commence…
Full FOMC Statement is below:
Things couldn’t be better in our blissful economic utopia. I mean, for crying out loud, look at the stock market! It goes UP every day!! Things must be better than they’ve ever been.
The reason why the rich and get richer and everyone else is stuck in neutral and getting squeezed more every day is Fed policy.
Since direct debt monetization began five years ago, the “stock market” has soared and nearly tripled. IF you had wealth and were able to participate, you’re pretty happy and you can at least still afford to drive and eat. IF, on the other hand, you’re just a regular guy or gal with a spouse and a family, struggling to make ends meet, here’s what you’ve had to endure, instead:
Rather than invest in failing infrastructure, central banks and governments are acting like hedge funds, betting on the stock market and OTC derivatives, using fiat credits that are borrowed or printed.
The bottom line: While global citizens are told to “grin and bear” austerity, their leaders are having a “good ‘ole time” spending trillions of dollars, at the stock market casino.
In the MUST WATCH video below, Sovereign Man’s Simon Black breaks down in explicit detail how exactly the Fed works, as well as its massive conflict of interest.
The collapse of the dollar began in 1913…it is nearly complete.
In this EXCLUSIVE, MUST LISTEN interview with The Doc, Eric Sprott dissects the fundamentals in the gold and silver markets, coverage of manipulation finally reaching the mainstream, and reveals his updated outlook on gold & silver.
Eric discusses why the precious metals options markets always expire at MAX PAIN for the customers, and why he urges all PM investors to STAY OUT of the futures options markets, and simply accumulate physical metal.
Sprott explains how PM manipulation shifted from being conducted solely by the Central banks to the dealers active daily participation that we see now, and discusses how much he personally lost when a Barclays trader manipulated gold down into the London fix.
Regarding his price outlook for the metals, with silver trading under $20 and gold trading near $1250, is Eric still looking for new highs in 2014?
His answer might shock you.
The Doc’s full Exclusive interview with Eric Sprott of Sprott Asset Management is below:
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:
The Federal Reserve has intentionally lowered interest rates to such an extent that investors feel they have no choice but to chase the riskiest assets just to catch a few additional basis points.
Now we see that junk borrowers are increasingly using tactics such as “add-backs” in order to make earnings look better.
This allows low quality borrowers to borrow, while at the same time providing an excuse for investors to buy garbage.
Think I’m exaggerating the problem?
It was all over the news last week, both mainstream and gold sites. Barclays was caught manipulating the gold price. They were fined £26M, and forced to pay a client who was damaged by their action. The trader who worked for Barclays, Daniel Plunkett, was also fined and banned from working in the financial sector. Here is a link to an article at the Financial Times.
Is the Barclays scandal the long awaited smoking gun- incontrovertible proof that the gold market is indeed manipulated?
It certainly started out as central bank manipulation, doing everything possible to cover their theft and resulting deficiency of replaceable physical gold. Almost all of their unauthorized reselling or hypothecating went unnoticed or without any ability to stop the activity.
China had a lot of its gold stored in the United States that was stolen in the 1990s. She has since become the world-leading economic powerhouse and is now in a position to force the Rothschild elites to make good on the theft, which they are doing.
China wants to see the price of gold at the current low levels as she continues to buy up as much of the [not so readily] available supply. The central bank manipulation continues as a means of protecting the last vestiges of the soon-to-fail petro-dollar, and soon-to-fail as the world’s reserve currency upon which almost global trade is based. The Chinese are willing to see gold stagnate at current levels as a better bargain during the final stages of their accumulation.
It works for both sides for totally different reasons.
First the Bundesbank, now the Austrians?
The National Bank of Austria is demanding a full audit of Austria’s 150 tonnes of gold reserves on deposit in London at the Bank of England- 80% of the nations total gold reserves, after succumbing to pressure from the Austrian public.
In a public statement, Ewald Nowotny, Governor of the National Bank of Austria stated: “I acknowledge the request. Any grocery store is obliged to do inventory once a year. It is the only way of getting rid of these unreasonable allegations”.