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Gold nudges $900 per ounce in Asia
on Bernanke rate-cut hint
By Chris Oliver
Last update: 10:34 p.m. EST Jan. 10, 2008Print RSS Disable Live Quotes
HONG KONG (MarketWatch) -- Gold futures nudged the $900 per ounce level for the first time in electronic trading in Asia early Friday, extending gains after rallying nearly $12 per ounce in New York after comments by Federal Reserve Chairman Ben Bernanke were widely interpreted as a signal further interest-rate cuts were on the way. February gold futures traded as high as $899.90 per ounce, before easing back. The front month bullion contract was quoted at $891.4 per ounce at midday in Tokyo, down $2.2 from its close of $893.60 on the New York Mercantile Exchange. Apart from a sudden jump and pull back in early Australian trading, the metal was trading within a $3 to $4 per ounce range, traders said. "It is likely to continue going higher overall in the bigger picture perspective as the Federal Reserve is likely to continue slashing interest rates with the market now expecting 50 basis points," said Sue Trinh, a senior currency strategist with RBC Capital Markets in Sydney.
Gold's Two-Stage Mini Blow-Off" by AlexWallenwein
Gold's rocket-blast higher on Tuesday, January 8, occurred in two stages and demonstrated a most unusual pattern:
Courtesy of Kitco.com
After a brief blip upwards right at the open in Sydney, gold commenced a steady, slow upward trend throughout most of the day. After Sydney closed, it dropped a wee bit and then began an asymptotic moon shot that was immediately capped upon the London open.
During the entire London trading day, gold virtually flatlined as if someone had pulled the plug on its EKG, but as soon as London's trading desks closed and New was on its own, the Hong Kong pattern began to re-establish itself - only to be capped again toward the end of the session.
All of that occurred at a time when the charts looked rather toppy for gold and would ordinarily invite expectations of some consolidation in the days to come. News-wise, there were very few reasons given for this two-stage mini blow-off that would withstand scrutiny.
Oil and commodity price rises reportedly occurred "on the back of" rising gold, so they could not be the reason. In any case, the price of oil only "inched" higher in Asian trading. There were no big jumps, and oil didn't even recover what it lost on Monday.
The Iranian attack boat "crisis" can't be the reason, either. I wasn't there. I don't know whether the US ships were really threatened or not, or whether they possibly strayed into Iranian waters to provoke the attack - a day before the crucial New Hampshire primary vote, just so people wouldn't get any ideas of voting for someone who does not want to continue our military occupation of the middle east. All I know is that the 'attack' occurred well before Monday, and yesterday the gold price hardly budged and even ended down, so don't tell me that was the reason.
Let's see. What else could have caused this? What's more, what could have caused the price to go flat during the precise hours of the London trading day and at the end of New York trading?
Assuming there was a good, pin-pointable reason for gold to jump, a reason we just don't know about, what could possibly have been the reason for the extended flat-lining during the precise hours of London trading? We just don't know so here we go, speculating again:
Maybe traders and investors worldwide are just smarter than we are allowed to give them credit for. Maybe they know 'the jig is up' or will be up soon, so they temporarily overwhelmed the defenses of the gold price controllers?
Not that I'm complaining. The controllers are doing a fantastic job keeping the raging bull in check so it doesn't all just fizzle out in a huge blow-off top like it did in 1980. That way, the gold bull is likely to be preserved for many years, even decades to come. Thanks, guys!
Naturally, it's not just all niceness and altruism on their part, however. They benefit by being able to get rid of any remaining short plays. The good part about those is that there aren't that many in play any more, and under current conditions, central banks will be hard pressed to find too many takers when it comes to gold leasing. Who wants to short the gold market in an environment like the one we live in, with gold about to hit $900 and no let-up in sight? Maybe in late spring early summer they'll have a chance again - but that window is getting smaller and smaller.
Quite possibly, the market is sensing the Fed's desperately uncomfortable position between the proverbial rock and a hard place: Cut, and they doom the dollar, hike and they doom the economy. Just in time to relieve the Fed from that dilemma, however, the Bushmeister announced a possible tax stimulus coming down the pike. That seemed to help the dollar quite a bit on Wednesday..
At least something positive comes out of this mess. Lower taxes are always good for the economy. If only they realized that doing away with income taxes entirely and booting the Fed off its perch on top of that would be an even better treatment plan.
Well, it may be that the controllers' tactics finally put them in such a bind that dramatic tax cuts turn out to be the only effective policy tool remaining on their hands. In that case, however, who is going to pay the Fed its hard-earned interest on the national debt?
Tsk, tsk. Poor Fed. It can't lower and it can't hike. It now has to rely on its vassal, the US government, to keep the economy going - and soon that vassal may realize that it can do far better without its overlord.
What will happen now if the government needs more money to fight more wars? On the one hand, with the it's hands tied, the Fed can no longer just loan the money into existence because that will be inflationary and thereby the equivalent of cutting rates. On the other hand, when tax cuts are the last policy resort the government can't squeeze the money out of the people anymore.
What to do, what to do?
Can the US government borrow from China, then? Yes, but only to the extent of US imports from China. China will only buy treasuries with dollars it earns, but China itself has inflation problems and so must let its currency rise faster against the dollar and other currencies. Therefore, with Chinese goods getting more expensive (even as they get more toxic and defective, thereby reducing demand) and with the US economy slowing down, demand for imports will shrink, so China won't earn as many dollars to loan back to our government by buying treasuries.
Hmm.
What if our poor government sees itself forced to both occupy Pakistan and bomb Iran - or maybe only one or the other? Where will it get the money? Will China (and possibly India) replace the Federal Reserve as our lender(s) of last resort? If so, these two countries will gain an extraordinary level of influence over US policy, don't you think?
It would be a good thing for anyone to own some gold in such times. Quite possibly the world's traders and investors, both large and small, were sniffing the wind yesterday and sensed something like this coming. Maybe that's why gold jumped so fast in a week during which neither the charts nor the news are indicating that much pressure under the price of gold.
Maybe it would be good for you to get some, too.
Got gold?
Alex Wallenwein
gold spike holding @ 890ish/
Fed. 2)3)7day RP 9.00B [net ADD +1.50B
Fed. 3)1day RP + 6.00B
Fed. 14day RP + 9.00B [ soFar
Aden Sisters article: Mega Move Underway,
Stay With It
http://www.321gold.com/editorials/aden/aden010708.html
Fed. 22.50B Matures Thursday
6.00B 14day
6.00B 6day
8.00B 43day
2.50B 1day
sorry to see but agree.
Fed. 1day RP + 2.50B [net add 1.00B
http://www.ny.frb.org/markets/omo/dmm/temp.cfm
China's gold futures jump to daily limit upon debut
http://news.xinhuanet.com/english/2008-01/09/content_7389678.htm
SHANGHAI, Jan. 9 (Xinhua) -- China gold futures contracts surged to the daily 10 percent limit on Wednesday, minutes after the official debut trading started at 9 a.m. on the Shanghai Futures Exchange (SFE).
Seven contracts were trading, with the benchmark price set at 209.99 yuan (28.8 U.S. dollars) per gram by the SFE a day earlier, at a level lower than world gold prices.
The key contract for June delivery was the first to climb 9.98 percent to 230.95 yuan per gram, followed by the daily limit surges of other contracts for July-to-December delivery.
The contract size was set at 1,000 grams, larger than the originally expected 300 grams, to discourage individual investors who lacked the ability to take risk.
Trading was from 9 a.m. to 11:30 a.m. and from 1:30 p.m. to 3 p.m. Beijing time each weekday.
The SFE said earlier it would impose strict risk controls on gold futures. It would also set a minimum margin requirement of seven percent of the contract value.
Analysts believed investors would need at least 24,000 yuan to secure a futures contract, as most futures brokers would ask for a12 percent cash deposit for each contract.
China's gold futures trading was launched at a time when international gold prices have repeatedly been hitting new highs.
Gold prices climbed more than two percent on Tuesday against strong oil prices and a weakening U.S. currency. A troy ounce of gold for February delivery added 18.30 U.S. dollars to settle at 880.30 U.S. dollars on the New York Mercantile Exchange.
Shang Fulin, China Securities Regulatory Commission (CSRC) chairman, stressed the financial nature of the precious metal and called for "joint efforts for the stable operation" of the new futures product at the launch ceremony in Shanghai.
China was the world's third largest gold producer, and the country's gold consumption in the manufacturing sector was about 9.2 percent of the global total, according to Shang.
The CSRC approved the launch of gold futures trading last month. Gold was the fifth new futures products approved in 2007 after zinc, rapeseed oil, polyethylene and palm oil.
China's gold futures jump to daily limit upon debut
http://news.xinhuanet.com/english/2008-01/09/content_7389678.htm
SHANGHAI, Jan. 9 (Xinhua) -- China gold futures contracts surged to the daily 10 percent limit on Wednesday, minutes after the official debut trading started at 9 a.m. on the Shanghai Futures Exchange (SFE).
Seven contracts were trading, with the benchmark price set at 209.99 yuan (28.8 U.S. dollars) per gram by the SFE a day earlier, at a level lower than world gold prices.
The key contract for June delivery was the first to climb 9.98 percent to 230.95 yuan per gram, followed by the daily limit surges of other contracts for July-to-December delivery.
The contract size was set at 1,000 grams, larger than the originally expected 300 grams, to discourage individual investors who lacked the ability to take risk.
Trading was from 9 a.m. to 11:30 a.m. and from 1:30 p.m. to 3 p.m. Beijing time each weekday.
The SFE said earlier it would impose strict risk controls on gold futures. It would also set a minimum margin requirement of seven percent of the contract value.
Analysts believed investors would need at least 24,000 yuan to secure a futures contract, as most futures brokers would ask for a12 percent cash deposit for each contract.
China's gold futures trading was launched at a time when international gold prices have repeatedly been hitting new highs.
Gold prices climbed more than two percent on Tuesday against strong oil prices and a weakening U.S. currency. A troy ounce of gold for February delivery added 18.30 U.S. dollars to settle at 880.30 U.S. dollars on the New York Mercantile Exchange.
Shang Fulin, China Securities Regulatory Commission (CSRC) chairman, stressed the financial nature of the precious metal and called for "joint efforts for the stable operation" of the new futures product at the launch ceremony in Shanghai.
China was the world's third largest gold producer, and the country's gold consumption in the manufacturing sector was about 9.2 percent of the global total, according to Shang.
The CSRC approved the launch of gold futures trading last month. Gold was the fifth new futures products approved in 2007 after zinc, rapeseed oil, polyethylene and palm oil.
Fed. 1day RP + 1.50B [net Drain -1.00B
http://www.ny.frb.org/markets/omo/dmm/temp.cfm
Fed. 1day RP + 1.50B [net Drain -1.00B
http://www.ny.frb.org/markets/omo/dmm/temp.cfm
Goldcorp Achieves Record Gold Production in 2007; Further Growth Forecast for 2008
Tuesday January 8, 8:00 am ET
VANCOUVER, BRITISH COLUMBIA--(MARKET WIRE)--Jan 8, 2008 -- All Amounts in $US unless stated otherwise
GOLDCORP INC. (Toronto:G.TO - News)(NYSE:GG - News) announced today that its gold production in 2007 increased 35% to 2.29 million ounces, at the high end of its guidance range of 2.2 million to 2.3 million ounces. Gold production in the fourth quarter of 2007 was a record 633,000 ounces.
ADVERTISEMENT
Total cash costs for 2007 have not yet been compiled, but are expected to be slightly higher than the guidance of $150 per gold ounce, due primarily to lower copper prices realized during the fourth quarter.
"Goldcorp ended the year with its highest quarterly gold production ever," said Kevin McArthur, President and Chief Executive Officer. "We believe 2008 will extend our peer-leading growth profile, with gold production expected to increase 14% over 2007. This growth comes from high quality, long-lived assets with intriguing exploration potential and strong cash flows. Goldcorp's business continues to expand substantially - building big mines in safe countries, with over 80% of its gold production expected from NAFTA countries in 2008. This impressive value-creation remains unmatched among senior gold producing companies."
http://biz.yahoo.com/iw/080108/0345952.html
Goldcorp Achieves Record Gold Production in 2007; Further Growth Forecast for 2008
Tuesday January 8, 8:00 am ET
VANCOUVER, BRITISH COLUMBIA--(MARKET WIRE)--Jan 8, 2008 -- All Amounts in $US unless stated otherwise
GOLDCORP INC. (Toronto:G.TO - News)(NYSE:GG - News) announced today that its gold production in 2007 increased 35% to 2.29 million ounces, at the high end of its guidance range of 2.2 million to 2.3 million ounces. Gold production in the fourth quarter of 2007 was a record 633,000 ounces.
ADVERTISEMENT
Total cash costs for 2007 have not yet been compiled, but are expected to be slightly higher than the guidance of $150 per gold ounce, due primarily to lower copper prices realized during the fourth quarter.
"Goldcorp ended the year with its highest quarterly gold production ever," said Kevin McArthur, President and Chief Executive Officer. "We believe 2008 will extend our peer-leading growth profile, with gold production expected to increase 14% over 2007. This growth comes from high quality, long-lived assets with intriguing exploration potential and strong cash flows. Goldcorp's business continues to expand substantially - building big mines in safe countries, with over 80% of its gold production expected from NAFTA countries in 2008. This impressive value-creation remains unmatched among senior gold producing companies."
http://biz.yahoo.com/iw/080108/0345952.html
Fed. 1day RP + 2.50B [net drain -3.75B
http://www.ny.frb.org/markets/omo/dmm/temp.cfm
Fed. 1day RP + 2.50B [net drain -3.75B
http://www.ny.frb.org/markets/omo/dmm/temp.cfm
W@G1 QQQQ 01/07/08 for a 01/09/08 close
51.00 dr_sean
50.35 bob3
50.10 frenchee (playing the fill-the-gap theory)
49.25 rayrohn
Futures (2) + World Indices
http://www.cme.com/dta/del/globex.html
http://money.cnn.com/data/premarket/
World Indices (2) Mini Charts
Updates every 60sec ~ Watch the dates!!
http://www.wwfn.com/commentary/oscharts.html
http://www.allstocks.com/markets/World_Charts/Asian_Stock_Markets/asian_stock_markets.html
Will The Truly Efficient Market Please Stand Up?
ContraryInvestor: January 2008
http://www.contraryinvestor.com/mo.htm
Chapman: Gold, Silver, Economy & More
by Bob Chapman
The International Forecaster
Sunday, 6 January 2008
http://news.goldseek.com/InternationalForecaster/1199655419.php
US MARKETS
We have now reached the point where gold has exploded past its all-time high of 850, having gone as high as 869.10 already in thin trading before the large specs swing fully back into action. Technically speaking, there are no longer any upper limits. Gold is now in virgin territory with fundamentals so good that if you had asked us to come up with a more bullish scenario for gold only a year ago we could not have come up with a more bullish situation than we now have. The cartel, in a gloriously pitiful attempt to stop gold or to at least slow it down this week, has now expended its last market-crashing power by use of yen hits, having used up the remaining 500 or so Dow points they had at the beginning of the week. Gold just yawned and was spectacularly unimpressed by all this blather. The cartel stopped the resource stocks from making new all-time highs (barely), but they have only delayed the inevitable for a few days. If you consider the jobs report of only 18,000 new non-farm jobs with 5% official unemployment, this is the same scenario we saw last year when the Fed was setting up for a surprise .5% rate decrease. Such a decrease would send gold past the ozone into the stratosphere even if February gold futures are rolled over at the end of January. In addition, with the economy going into a recession and consumer spending going into the tank while the subprime and credit-crunch debacles continue to deteriorate and a derivatives thermonuclear meltdown looms, the dollar has not got a snowball's chance in hell of putting on any but the briefest and weakest of rallies. So now it would appear based on all the foregoing that the cartel has shot its proverbial wad, leaving only two courses of action.
First, the cartel can try to press a further yen-hit on gold by unwinding the carry trade further and by creating a bigger liquidity drain that will take the stock markets beyond a 10% correction, thereby plunging them into a 1929 crash scenario from which they may never recover and which may send gold to the moon as a safe-haven from the ensuing stock market bloodbath. This hardly seems like a viable alternative for several reasons in addition to gold's potential for a safe-haven explosion.
First, the cartel is out of gold to sell in support of this move. What gold is left is being held by banks for dear life as Anglo de-hedges. Second, the large specs have protective derivatives to profit from any downturn, the greater the downturn, the greater the profit. Third, the cartel would then be unable to have their final run-up and rip-off like they did in the dot.com bubble because it would be too expensive to resurrect the stock markets even assuming that such a stock market resurrection was possible. Fourth, and most importantly, this is an election year, and the GOP is toast if the stock markets go down. There are those with selfish interests among the Illuminati who do not want that to happen because they want to stay in power themselves or provide a fighting chance in the upcoming elections for those they wish to put in power. Also, this could send Ron Paul's campaign into overdrive.
The second alternative is to simply give up the gold battle, weaken the yen, and everyone have a party. They could still try to put a lid on gold under this alternative using gold leases and sales, but they do not have enough left to do anything but slow it down slightly. This would bring them to the final stock market blow-off top they are looking for so they can exit using Project Turquoise leaving the sovereign wealth funds, pension funds, insurance companies and hedge funds holding the proverbial bag as the stock markets plunge into oblivion. They wanted to use their sale proceeds to buy gold on the cheap, but the credit-crunch, caused by their own greed, has cut them off from utilizing that alternative by causing everyone to flee to gold as a safe-haven and by weakening the markets to the point where only the combined intervention of the PPT and carry traders can keep them from exploding and going down in flames, much less propelling them further upward. Even now, the Fed is going to further multiple auctions and increasing the amount of loans to be auctioned from $20 billion to $30 billion, so the system is still locked up and may never recover again. It may be now or never for the cartel and its hopes for a stock market blow-off top.
The cartel is trying to rip off the sovereign wealth funds, pension plans, insurance companies, hedge funds and other big players mainly through two diabolical methods. First, there is the final blow-off top we just spoke of previously where the insiders will jump out the back door at the last minute without anyone's knowledge using the dark pool of liquidity provided by Project Turquoise. Those left holding stocks after the insiders bail will find that they own little more than an empty shell that has been drained of assets by corporate raiders, or by losses sustained due to hyperinflation, high interest rates, recession, depression, derivatives downgrades and losses incurred when derivatives are marked to market, not to mention potential losses from credit default swaps and interest rate swaps that may occur in the inevitable derivatives washout that will make the subprime debacle look like a tiny blip on the radar screen. Second, the cartel is using devaluation of the dollar to force some of these entities to invest in the US, with any unused dollars being useful for little more than a bonfire when the dollar finally crashes. If not invested in hard assets, stocks, bonds, derivatives and/or commodities, hyperinflation will render dollar-denominated forex reserves worthless. Once this money is invested, it is subject to the final rip-off using Project Turquoise and/or to ensuing devaluation in the inevitable depression to follow. And the ensuing depression will not only push down the value of hard assets, it will bankrupt most of the surviving companies. No company is sacred, not even the Fed, because some of the Illuminati have secretly stashed away tens of thousands of metric tonnes of gold and they will use this to establish a new currency and to buy assets from old bankrupted companies, be they central banks, transnational corporations or otherwise, at fire sale prices with the idea being to glom all the assets and reform them into new bigger banks and bigger companies that will form the core of the new world government and corporatist fascist system - order out of chaos! Even many of the Illuminati may not survive because they have bungled their plans for world government and a world economy big-time! So buy gold, silver and their related assets or prepare to get vaporized!!! Yes, Russia, China, Japan, the Orient and the Middle East - that means you too!!!
America’s current problems began in 1988. We began a recession in 1989 that lasted through 1992. It was accompanied by a national real estate correction that saw house prices in California fall 40% overall, and where expensive homes fell 55%. The Fed had a great opportunity to purge the system, but Sir Alan Greenspan and Wall Street had no intention of allowing that to happen.
The course was set. It was then a question of when the financial system would become so corrupted that it would crash. We have reached that point. At one time crashes were relatively unpredictable events. Crashes happened and the causes were examined later. Today, governments and central banks have manipulative authority. They plot and scheme with corporate America, Wall Street and banking to continually loot the country. It is called corporatist fascism.
Up until seven years ago the strong dollar policy and gold suppression held sway. The reason for gold suppression was to keep the price down, not allowing gold to reflect true economic conditions. In addition, in a one-world system of government and a world monetary system, there would be no need for gold reserves. The proceeds from the sales of gold were used to manipulate gold, silver and other markets. In the meantime, India, the Middle East and Asia were major gold buyers. There were other buyers as well. Buyers you haven’t heard about. The sellers were buyers. The elitists who control the central banks, who sold the gold of the people, have also privately and secretly been repurchasing the gold for themselves. The longer gold stayed cheap, the more they liked it. A good example was in 1997-98, when England virtually gave their gold away under the auspices of now PM Gordon Brown at about $272.00, the buyers for almost all that gold were the Rothschilds, for themselves and others. In mid-October 1987, when the US hit the gold market illegally, dropping gold $100 an ounce in a day, the same Rothschilds were the buyers. They and other Illuminists have been buyers all the way up. The reason is that just in case their scheme for world government doesn’t work, they will still control vast amounts of gold to restart a currency or currencies based on gold reserves. These people are not dumb. We can assure you of that.
That system worked well up until seven years ago when some investors began to realize that the US battle to maintain a strong dollar was futile and that is when gold sales by governments and central banks got serious. No more strong dollar policy. That policy was no longer possible. The dollar was finally doomed.
The elitists are now faced with a major predicament. All currencies are falling against gold and they are running out of gold for sale. We now have a credit crisis that is international and we have falling real estate markets in the US, UK, Spain and Ireland. Investors and some central banks are switching to euros and yen, which in time will fare little better than the dollar. They still do not get it either.
Now, international banking is scrambling for survival in a battle that has already been lost. We fully expect their financial system will move from one calamity to another over the next three to five years. Yes, we could have that one staggering blow that could take the system down, but do not plan on that. The elitists are still arrogantly in control. In spite of that, they have lost, and the system will continue to deteriorate as stagflation takes gold and silver to previously unexpected heights.
Chapman: Gold, Silver, Economy & More
by Bob Chapman
The International Forecaster
Sunday, 6 January 2008
http://news.goldseek.com/InternationalForecaster/1199655419.php
US MARKETS
We have now reached the point where gold has exploded past its all-time high of 850, having gone as high as 869.10 already in thin trading before the large specs swing fully back into action. Technically speaking, there are no longer any upper limits. Gold is now in virgin territory with fundamentals so good that if you had asked us to come up with a more bullish scenario for gold only a year ago we could not have come up with a more bullish situation than we now have. The cartel, in a gloriously pitiful attempt to stop gold or to at least slow it down this week, has now expended its last market-crashing power by use of yen hits, having used up the remaining 500 or so Dow points they had at the beginning of the week. Gold just yawned and was spectacularly unimpressed by all this blather. The cartel stopped the resource stocks from making new all-time highs (barely), but they have only delayed the inevitable for a few days. If you consider the jobs report of only 18,000 new non-farm jobs with 5% official unemployment, this is the same scenario we saw last year when the Fed was setting up for a surprise .5% rate decrease. Such a decrease would send gold past the ozone into the stratosphere even if February gold futures are rolled over at the end of January. In addition, with the economy going into a recession and consumer spending going into the tank while the subprime and credit-crunch debacles continue to deteriorate and a derivatives thermonuclear meltdown looms, the dollar has not got a snowball's chance in hell of putting on any but the briefest and weakest of rallies. So now it would appear based on all the foregoing that the cartel has shot its proverbial wad, leaving only two courses of action.
First, the cartel can try to press a further yen-hit on gold by unwinding the carry trade further and by creating a bigger liquidity drain that will take the stock markets beyond a 10% correction, thereby plunging them into a 1929 crash scenario from which they may never recover and which may send gold to the moon as a safe-haven from the ensuing stock market bloodbath. This hardly seems like a viable alternative for several reasons in addition to gold's potential for a safe-haven explosion.
First, the cartel is out of gold to sell in support of this move. What gold is left is being held by banks for dear life as Anglo de-hedges. Second, the large specs have protective derivatives to profit from any downturn, the greater the downturn, the greater the profit. Third, the cartel would then be unable to have their final run-up and rip-off like they did in the dot.com bubble because it would be too expensive to resurrect the stock markets even assuming that such a stock market resurrection was possible. Fourth, and most importantly, this is an election year, and the GOP is toast if the stock markets go down. There are those with selfish interests among the Illuminati who do not want that to happen because they want to stay in power themselves or provide a fighting chance in the upcoming elections for those they wish to put in power. Also, this could send Ron Paul's campaign into overdrive.
The second alternative is to simply give up the gold battle, weaken the yen, and everyone have a party. They could still try to put a lid on gold under this alternative using gold leases and sales, but they do not have enough left to do anything but slow it down slightly. This would bring them to the final stock market blow-off top they are looking for so they can exit using Project Turquoise leaving the sovereign wealth funds, pension funds, insurance companies and hedge funds holding the proverbial bag as the stock markets plunge into oblivion. They wanted to use their sale proceeds to buy gold on the cheap, but the credit-crunch, caused by their own greed, has cut them off from utilizing that alternative by causing everyone to flee to gold as a safe-haven and by weakening the markets to the point where only the combined intervention of the PPT and carry traders can keep them from exploding and going down in flames, much less propelling them further upward. Even now, the Fed is going to further multiple auctions and increasing the amount of loans to be auctioned from $20 billion to $30 billion, so the system is still locked up and may never recover again. It may be now or never for the cartel and its hopes for a stock market blow-off top.
The cartel is trying to rip off the sovereign wealth funds, pension plans, insurance companies, hedge funds and other big players mainly through two diabolical methods. First, there is the final blow-off top we just spoke of previously where the insiders will jump out the back door at the last minute without anyone's knowledge using the dark pool of liquidity provided by Project Turquoise. Those left holding stocks after the insiders bail will find that they own little more than an empty shell that has been drained of assets by corporate raiders, or by losses sustained due to hyperinflation, high interest rates, recession, depression, derivatives downgrades and losses incurred when derivatives are marked to market, not to mention potential losses from credit default swaps and interest rate swaps that may occur in the inevitable derivatives washout that will make the subprime debacle look like a tiny blip on the radar screen. Second, the cartel is using devaluation of the dollar to force some of these entities to invest in the US, with any unused dollars being useful for little more than a bonfire when the dollar finally crashes. If not invested in hard assets, stocks, bonds, derivatives and/or commodities, hyperinflation will render dollar-denominated forex reserves worthless. Once this money is invested, it is subject to the final rip-off using Project Turquoise and/or to ensuing devaluation in the inevitable depression to follow. And the ensuing depression will not only push down the value of hard assets, it will bankrupt most of the surviving companies. No company is sacred, not even the Fed, because some of the Illuminati have secretly stashed away tens of thousands of metric tonnes of gold and they will use this to establish a new currency and to buy assets from old bankrupted companies, be they central banks, transnational corporations or otherwise, at fire sale prices with the idea being to glom all the assets and reform them into new bigger banks and bigger companies that will form the core of the new world government and corporatist fascist system - order out of chaos! Even many of the Illuminati may not survive because they have bungled their plans for world government and a world economy big-time! So buy gold, silver and their related assets or prepare to get vaporized!!! Yes, Russia, China, Japan, the Orient and the Middle East - that means you too!!!
America’s current problems began in 1988. We began a recession in 1989 that lasted through 1992. It was accompanied by a national real estate correction that saw house prices in California fall 40% overall, and where expensive homes fell 55%. The Fed had a great opportunity to purge the system, but Sir Alan Greenspan and Wall Street had no intention of allowing that to happen.
The course was set. It was then a question of when the financial system would become so corrupted that it would crash. We have reached that point. At one time crashes were relatively unpredictable events. Crashes happened and the causes were examined later. Today, governments and central banks have manipulative authority. They plot and scheme with corporate America, Wall Street and banking to continually loot the country. It is called corporatist fascism.
Up until seven years ago the strong dollar policy and gold suppression held sway. The reason for gold suppression was to keep the price down, not allowing gold to reflect true economic conditions. In addition, in a one-world system of government and a world monetary system, there would be no need for gold reserves. The proceeds from the sales of gold were used to manipulate gold, silver and other markets. In the meantime, India, the Middle East and Asia were major gold buyers. There were other buyers as well. Buyers you haven’t heard about. The sellers were buyers. The elitists who control the central banks, who sold the gold of the people, have also privately and secretly been repurchasing the gold for themselves. The longer gold stayed cheap, the more they liked it. A good example was in 1997-98, when England virtually gave their gold away under the auspices of now PM Gordon Brown at about $272.00, the buyers for almost all that gold were the Rothschilds, for themselves and others. In mid-October 1987, when the US hit the gold market illegally, dropping gold $100 an ounce in a day, the same Rothschilds were the buyers. They and other Illuminists have been buyers all the way up. The reason is that just in case their scheme for world government doesn’t work, they will still control vast amounts of gold to restart a currency or currencies based on gold reserves. These people are not dumb. We can assure you of that.
That system worked well up until seven years ago when some investors began to realize that the US battle to maintain a strong dollar was futile and that is when gold sales by governments and central banks got serious. No more strong dollar policy. That policy was no longer possible. The dollar was finally doomed.
The elitists are now faced with a major predicament. All currencies are falling against gold and they are running out of gold for sale. We now have a credit crisis that is international and we have falling real estate markets in the US, UK, Spain and Ireland. Investors and some central banks are switching to euros and yen, which in time will fare little better than the dollar. They still do not get it either.
Now, international banking is scrambling for survival in a battle that has already been lost. We fully expect their financial system will move from one calamity to another over the next three to five years. Yes, we could have that one staggering blow that could take the system down, but do not plan on that. The elitists are still arrogantly in control. In spite of that, they have lost, and the system will continue to deteriorate as stagflation takes gold and silver to previously unexpected heights.
Fed. Ops: 26.25B Matures this week. *
Mon: 6.25B 3day
Thu:
6.00B 14day
6.00B 6day
8.00B 43day
Float(1): 34.25B
Float(2): 74.25B
*with all the confusion over RPs & Term Auctions being increased by 50% to 30b from 20b it still stinks of manipulation in favor of the bankers as usual, Yep l'm psssed.
=========================================================
Temp Ops:
Perm Ops:
=========================================================
Public Debt:
Limit ~ $9,815 T
1/03 ~~ $9,194 T
=========================================================
Tue: President Bush departs to the Middle East for meetings with heads of state.
Thu: 1 p.m.: Federal Reserve Chairman Ben Bernanke speaks on financial markets, the economic outlook and monetary policy, to the Women in Housing and Finance club, Washington, D.C.
Fri: 12:45 p.m.: Fed Gov. Frederic Mishkin speaks on monetary policy flexibility, risk management and financial disruptions, at a New York Fed symposium, in New York.
Fed. Ops: 26.25B Matures this week. *
Mon: 6.25B 3day
Thu:
6.00B 14day
6.00B 6day
8.00B 43day
Float(1): 34.25B
Float(2): 74.25B
*with all the confusion over RPs & Term Auctions being increased by 50% to 30b from 20b it still stinks of manipulation in favor of the bankers as usual, Yep l'm psssed.
=========================================================
Temp Ops:
Perm Ops:
=========================================================
Public Debt:
Limit ~ $9,815 T
1/03 ~~ $9,194 T
=========================================================
Tue: President Bush departs to the Middle East for meetings with heads of state.
Thu: 1 p.m.: Federal Reserve Chairman Ben Bernanke speaks on financial markets, the economic outlook and monetary policy, to the Women in Housing and Finance club, Washington, D.C.
Fri: 12:45 p.m.: Fed Gov. Frederic Mishkin speaks on monetary policy flexibility, risk management and financial disruptions, at a New York Fed symposium, in New York.
CDE:
From: raybiese 1/5/2008 1:04:06 AM
To: Woody who wrote (64823) of 64859
"I can't believe the heavy hand that is keeping CDE down .. a great example of the power of the dark side"
It looks like someone at the TSX sold some more Dec 15-31/07 going up 1.7 mil short (16.8 to 18.5) versus a 0.5 mil drop from Dec 1-15/07. The 'Top 20' comes out every 1/2 month.
http://www.tsx.com/en/pdf/ShortPositions_Dec31-2007.pdf
Weird stuff seems to happen with recent acquisitons being completed eg. (CDM.TO/CDE: Bolnisi and Palmarejo) & (YRI.TO/AUY: MNG.TO) probably due to arbitrage. I don't pretend to understand the nuances.
There is a call option overhang at $5/Jan08 so someone has a considerable interest in keeping it <$5 until Jan18th. The P/C ratio is nasty low (32.7% Dec30, 27.5% Dec21, if I calculated correctly). On the other hand, someone else has a considerable interest in getting it above $5 before Jan 18th.
So far this has been great fun to watch & suspect it will continue to be.
All just IMHO, mdm
OT/Disclosure: I am recently long a bit of CDM.TO/CDE (~2%) at $4-ish. I hate to admit it, but I just did it for fun. Just don't consider me a trader!! I just try look for "big value" with LT & VLT trend reversals, hold my breath, pull the trigger and watch for a while. ST timing really is usually bad and this has conditioned me with a high pain threshold. I fully expect to be whipsawed, diced, pickled, fried, inverted, rotated, mutilated and shredded like a hanging chad. This is just a fact of life.
But semi-seriously, I am north of the border and plodding along with retirement funds. So I gotta look at things happening in the US then 'divide by the $CDW'. C'est la vie... but OTOH when the MNG.TO-->YRI.TO deal completes, it'll be getting some Yamana at ~$2.41 basis from a LT hold of MNG.TO (~5%). With the strength of the Cdn$ over the last few years, decisions must be made from different trend charts, sector trends and company selections. For me, the $SPTGD did not 'break out' of it's 3 year (Jan/05 to Dec/07) downtrend channel until last week.
http://stockcharts.com/h-sc/ui?s=$SPTGD&p=D&yr=3&mn=0&dy=0&id=p78272272509
In fact, the $GOLD:$CDW did not rise above Feb07-Mar07 and July/06 peaks until Nov/07. It still hasn't broken above the May/06 peak.
http://stockcharts.com/h-sc/ui?s=$GOLD:$CDW&p=W&yr=10&mn=0&dy=0&id=p19947403141
IMHO, the expodential action in the $HUI & $SPTGD in the past few days can only be explained by large scale short covering and 'new year' portfolio re-positioning. So far, the $SPTGD volumes haven't matched the Sept-Oct/07 levels in the recovery from the mid-Aug/07 sector haircut. I do not believe that 'public frenzy' is behind this ....at least not yet (although ETF physical gold holdings now exceeded many smaller countries). The Cdn & US economies are different yet intimately linked. As a 10 year trend, the price of gold is normally just a reflection of US dollar weakness and has been a wash in Cdn$. All except for a few major 'value' shifts, notably Q1-2001 to 1Q-2003 and Q4-2005 to mid-2006. The Cdn$ is small enough to be blown around by large international winds. (Similarly, the $WTIC:$CDW is holding it's up-trend channel but that's another day.) For me, the possible trend shift may be either a weakening of the Cdn$ in concert with the US$, may be a major LT 'value' shift or just a nasty whipsaw spike. My bets are for new highs for the $SPTGD/$HUI. The jury is still out.
mdm
Predictions For 2008
by Tim Iacono
January 2, 2008
http://www.financialsense.com/fsu/editorials/iacono/2008/0102.html
Yesterday's review of predictions for 2007 wasn't nearly as good as the year before, but then the bar was set rather high back in 2006. As it was, the results were again mostly A's with a few lower grades in areas where predictions probably shouldn't have been made anyway.
Of course, when three of the ten predictions are oil, gold, and the dollar, guesses of up, up, and down really are slam-dunks.
[Uh-oh, there is at least one horrible precedent for when someone glibly says something is a slam-dunk and then the ball ends up bouncing skyward after it slams into the rim.]
Making guesses where no data would be available to judge the guess until February resulted in a couple "incompletes" - that will be avoided this year. And maybe doing the 2008 predictions on January 2nd this year (without the requisite hangover) will produce better results when they are reviewed one year from now.
We'll see - off we go ...
1. Lots More Pain for Housing
There is a near consensus that housing is in for more trouble in 2008, but this is not one of those cases where it would be better to go against the crowd - that will happen in another couple years or so when your friends and neighbors tell you that real estate is a horrible investment. Just like back in 1995-1996, when no one wanted to go near an open house five years after that last peak - that's when you'll know we've hit bottom.
Housing prices will fall another 10 percent nationally, based on the year-over-year change to the 20-city S&P Case Shiller Home Price Index for October 2008 (this report gets released at the end of December and showed a 6.7 percent decline as of last week.)
In some areas home prices will reach 2003 levels, which, in California, would still be more than double the price at the 1995-1996 bottom but will be a painful 40 percent below the 2006 peak. Don't let talk of stabilizing sales for new or existing homes confuse the issue of home prices - home prices will continue to fall as long as inventory remains at historically high levels.
2. The Dollar Will Continue to Go Down
The eight percent decline in 2007 on the trade weighted U.S. dollar index (against the Euro, Yen, Pound, etc.) was such a success that there will be another, slightly smaller, decline in 2008. By year-end the index will be at 71 or 72 and economists will marvel at how the trade deficit is narrowing and how gross domestic product is receiving welcomed support due to more exports.
The Japanese yen will gain the most against the greenback and both the euro and the Canadian loonie will strengthen, but not as much as in 2007. The British pound will lose ground to the buck as credit and housing market problems accelerate in the U.K.
3. It Will Be a Bad Year for U.S. Equities
The Dow and the S&P 500 Index will decline by 5 percent and the Nasdaq will gain 1 percent. Foreign stocks will continue to do better than U.S. stocks, but there will be fewer high-flyers than in 2007.
The Chinese stock market will gain more than 50 percent by summer and then lose most of the gains by year-end. The Japanese stock market will be one of the top performers in the world.
4. Short-Term Interest Rates Will Go Much Lower
The Fed will cut interest rates by a quarter-point at every meeting and at one meeting they will cut by a half-point putting the Fed Funds rates at an even two percent by year-end.
They'll continue to talk tough about inflation occasionally but no one will really care - inflation will be the least of the country's problems by summer.
5. Energy Prices Will Continue to Rise
The price of crude oil will rise to over $130 per barrel before ending the year at $115 per barrel. Just like $3 gasoline wasn't a big deal, $4 gasoline won't be a big deal either - unless of course you use your car a lot and/or you don't make a lot of money. Then it will be a big deal.
Natural gas, a laggard over the last two years after a spectacular rise in 2005, will surprise to the upside in 2008.
6. Gold and Silver Will Continue to Rise
Gold will spike to over $1,000 per ounce and finish the year just below that mark. Silver will hit $22 per ounce and end the year at $19. There will be at least two gut-wrenching corrections that will cause many new investors to make an early exit from precious metals markets, but they'll be back.
People will start talking about junior mining stocks at cocktail parties - just like internet stocks in 1997. (I'm going to keep saying this until it's true).
7. Economic Growth will Turn Negative, Consumption will Decline
This is the year that the American consumer finally pulls back in a big way and real economic growth will be negative in two quarters. Home equity, the source for much of consumer spending in recent years, will vanish more quickly due to falling home prices than it did when people were spending their home equity like drunken sailors.
8. Reported Inflation will Remain Contained
More people will realize that the government's inflation numbers are bogus. They won't be happy about it.
9. Job Growth Will Turn Negative by Year-End
State and local governments will cut back on hiring due to shrinking tax revenue and fewer people will eat out - two important props for the job market will be partially removed. Employment in health care will continue to boom and even fewer people will talk about the looming Medicare crisis.
By the end of 2008, year-over-year job growth will turn negative but it will be impossible to really know for sure until sometime in 2010 when the Bureau of Labor Statistics completes all its revisions for 2008.
Help wanted signs at coffee shops and restaurants will slowly disappear which will be unfortunate for those teenagers who finally have to start looking for low-paying jobs to buy their next iPod or cell phone because their parents have spent all their home equity.
10. Hillary or Barack will Win the Election
It's too bad Ron Paul isn't ten or fifteen years younger - in another eight years the country will be ready for him.
Fed.1)2) 6dy RP + 6.00B [net Drain -3.75B
Fed.2) 3day RP + 6.25B
http://www.ny.frb.org/markets/omo/dmm/temp.cfm
Fed.1)2) 6dy RP + 6.00B [net Drain -3.75B
Fed.2) 3day RP + 6.25B
http://www.ny.frb.org/markets/omo/dmm/temp.cfm
In the heat of battle with the boyz
it can be very frustrating...don't show em ur hand.
chit l missed close out this morn while freez my ass 12 degrees
no power so l'hold next run up.
yes l keep notes on fed stuf...they only show last 25 days action.
publish same day usual after 12:00pm
No, but u must include older RP's
43day still out till 1/20
Fed. Net Drain -18.75B {ty}
lol/
Fed. stuff 29.25b matures Thur:
10b 14day
5b 6day
14.25b 1day
Fri: 13.50b
Debt has ATH 9,229
#msg-25617590
Futures (2) + World Indices
http://www.cme.com/dta/del/globex.html
http://money.cnn.com/data/premarket/
World Indices (2) Mini Charts
Updates every 60sec ~ Watch the dates!!
http://www.wwfn.com/commentary/oscharts.html
http://www.allstocks.com/markets/World_Charts/Asian_Stock_Markets/asian_stock_markets.html
Ray, nice win in new year/
SLW..running like Forest Gump /
SLW..running like Forest Gump /
Sean, yup & add ave down dreams
need that bounce but gold price making me smile & added some calls SLWBD Feb 20s.
Fed. 1day RP + 14.25B [net add +10.25B
http://www.ny.frb.org/markets/omo/dmm/temp.cfm