dynamiteDERIVATIVES BLOW UP As Deutsche Bank Bank Run Commences…

ge2Did you know that the hedge funds alone manage around $2.7 trillion, according to Barclay Hedge data?
Even if a small portion of the trillions sloshing around out there, decides to enter into silver, the “white metal” will shoot through the roof.

gold-silver-investmentsSo who blinks first?
The ECB – knowing the collateral chains that will snap. The Bundesbank – knowing their entire banking system is at risk.  The German government – knowing it’s over for them if DB depositors have to take a haircut… Or Brussels (EU)…

JPM gold vaultWhile it is generally known to many that the Bank of England has a vested ‘interest’ in the London gold market, the consistently close relationship between the Bank of England and the LBMA tends not to be fully appreciated:

PutinThe unarguable scheme by western Central Banks to suppress the price of gold with paper gold is contingent on the ability to deliver actual physical gold into China and India.   In our educated opinion, the supply of gold available to make this happen is running low:  Central Bank gold stock plus investor custodial gold that has been hypothecated.
This is likely why the Fed/ECB/BOE are collectively having a difficult time pushing the price of gold lower after its big move starting in mid-December.  
At some point, gold is going launch out its current lateral consolidation and move much higher by the end of the year

Source: Nanex

Source: Nanex

Tomorrow is options expiry and judging by the open interest reported today, the bankers will surely attack tomorrow.  It seems that they have circled $1340 gold and will do everything possible to keep the price below the level.  As far as silver is concerned, it looks like they want the price below $19.50.

storm-wave-tsunamiGold will likely soar to a record within five years as asset bubbles burst in everything from bonds to credit and equities, forcing investors to find a haven”, reported Bloomberg last week, quoting Old Mutual Global Investors’ Diego Parrilla.
The metal is at the start of a multi-year bull run with a “few thousand dollars of upside” in a world of “monetary policy without limits” where central banks print lots of money and low or negative interest rates prevail…

AGXIIKDoes it come as any surprise that some of us buy real assets, even if it’s a few ounces of silver a week, like some of our stalwarts?
If nothing else,
it’s a middle finger f you to the elites who would have us by the knackers to do their bidding…


burning-mic-fireWith Gold and Silver Prices Smashed Again Friday Afternoon, GATA Chairman Bill Murphy’s Mic Was SMOKING…

It seems that Shanghai pricing is higher than the other  two , (NY and London). The spread has been occurring on a regular basis and thus I expect to see arbitrage happening as investors buy the lower priced NY gold and sell to China at the higher price.
This should drain the comex…