This time around the loss of confidence will extend to central banks themselves, and the only sure place to hide in our opinion will be gold…
In the MUST LISTEN Market Update below, Eric Sprott discusses the recent price weakness in gold relative to the continued STRONG performance of silver and the mining shares.
“Silver Just Won’t Break….It Could Get VERY Explosive Here..”
“This is going to be a huge crisis. Alan Greenspan was on CNBC saying this is the worst thing he has seen in his career. He’s not talking about what has already happened. He’s talking about what is ABOUT to happen. He understands how screwed up the economy is because he helped screw it up. . . . One of these days, you are going to see gold moving up at $100 clips routinely when people really perceive the dangers in the fiat world and come to grips with how much money these central banks are going to PRINT…”
And it’s not what you expect…
“A systemic Lehman event is in progress…”
The USFed is so strapped, so deeply under siege, so overwhelmed, that it requires urgent help from the USDept Treasury.
So they have expanded QE to become Double Barreled Hidden QE to Infinity.
The Gold price will find its true value and price over $10,000 per ounce. The Silver price will find its true value and price over $400 per ounce. In reaching these levels, the ratio will return to the 25-1 range. Several steps have been laid out toward the return of proper price to precious metals.
The steps will each involve a quantum jump in the Gold & Silver prices. The process will take a few years, but might be breath-taking in speed once the process is begun.
The steps involve:
The gimmicked rigged corrupted USTreasury Bond market is currently cruising along with about $40 billion Failures to Deliver on a DAILY basis in the bonds.
It indicates counterfeit or naked shorting by Wall Street banks. They have found a way to bring in liquidity to their broken insolvent big banks, selling USTBonds they do not own.
The central bank helm is managing a gigantic volume, hidden in numerous ways.
In reality, QE kills capital and ASSURES an economic collapse.
It is happening before our eyes…
The 2008 crisis saw the Fed use some of its tools, but not all of them.
The Fed’s most powerful tools, gold revaluation and money printing, were never employed in that crisis.
QE4, if used to fund government infrastructure spending, can be inflationary, but if the next crisis is severe, only gold revaluation will work to end it.
Many of us are now predicting another round of QE, quite possibly before the leaves are finished falling off the trees this fall around the country.
The one thing the Fed really is frightened of is contracting bank credit. And this idea of collateral liquidation leading to more selling of collateral by the banks to cover loans is sort of self-feeding into nasty collapse if you like in asset prices.
Now that’s not going to happen because they are going to print money to insure it doesn’t happen.
We are very very close to that sort of tipping point and I think that people who have an understanding of this are not going to hang around and wait for the Fed to print money. They are going to go quite quickly against the dollar…
Anybody who doesn’t own physical silver or gold could miss out. I think there’s a big change coming.
- Committee anticipates that it will be appropriate to raise the target range for the federal funds rate when it has seen further improvement in the labor market
- Even after employment and inflation are near mandate-consistent levels, economic conditions may, for some time, warrant keeping the target federal funds rate below levels the Committee views as normal in the longer run
(Translation: ZIRP is here to stay)
- Fed to maintain accommodative financial conditions
- Somehow no rate hike is now algo bearish for PMs as Gold & silver instantly knocked lower on the release…
Full FOMC statement is below:
In the latest Keiser Report, Max and Stacy Herbert discuss those who plow ZIRP (zero interest-rate policy) and those who sow QE (quantitative easing) reaping it as taxi cab medallion owners ask for bailouts.
In the second half, Max interviews Sandeep Jaitly about negative yielding bonds.
The more blatant the Fed becomes with its market interventions, the stronger the stench of desperation becomes…
The Fed is going to be in easing mode a year from now. They might try to raise interest rates one time, which I think would be like playing with fire. If they do try to raise rates once at this next meeting or the one that follows, I think they’ll have to reverse it out by the end of the year because the economy really does seem to be slowing down.
You can’t tolerate a slow-down when you reach a certain point of death.
John Rubino joins Rory Hall & Fund Manager Dave Kranzler below in a discussion about the factors that will ignite the global financial and economic system into flames:
In this MUST WATCH interview with CNBC, our favorite Fed critic Jim Grant predicts that the Fed will be forced to revert to easing rather than raising interest rates in 2015, and that “The Fed can change the way things look, but not what things are.”
Grant’s full interview is below:
In this MUST LISTEN interview with Future Money Trends, Eric Sprott issues a warning that PHYSICAL gold & silver are FINALLY on the verge of BREAKING the paper markets, stating: “I will be right!!”
Full interview is below:
Our favorite critic of the Federal Reserve, Jim Grant was back on CNBC to provide his perspective on Janet Yellen & the Fed preparing to hike interest rates.
Grant unleashes another epic rant against the Fed, and ‘the virus of radical monetary policy‘.
Full must see interview is below:
You may have heard the news, the European Central Bank have started up the printing press. They are soon to print upwards of €60 Billion a month. The crowds of economic pundits have collectively cheered. Ireland stands to enjoy significant near term benefits, but at what cost?
They speak of lower government borrowing costs for new debt, by lowering funding costs and thus the hurdle that projects must meet to become viable. They believe our exchange rate will fall and our goods will be come cheaper abroad. US products and services will be flying off the shelves, etc. Well, it is absolute nonsense.
Yes there will be short term benefits. Any time you give a liquidity jolt you temporarily relieve pressure. But the longer term risks are far far greater, now that the act of QE has been taken. Essentially the technocrats have short circuited the capitalist system which continuously prices risk based on perceived repayment risks and cost of funds. This is a road to ruin as returns become obscured by official and politically motivated credit flows.