Replies to post #252 on Politics & Money

[SOROS]

What happens when there is NO COMEX gold price quoted, because they CANNOT deliver on a quoted price that is hundreds lower than a REAL Asian price where you can get delivery?

China has a conservative 8,000 tons of REAL gold. Russia has 10,000-20,000 tons. Fort Knox, most experts say, was raided long ago and has very little.

They may kill PAPER gold prices, but the game is starting to collapse around them, as people in Dubai and India are paying $500 OVER the COMEX quoted PAPER price BECAUSE they DEMAND delivery of REAL gold! SAME FOR SILVER!

Massive debt bubble and paper stock bubbles with ZERO way to unwind it. FED must keep printing faster and faster, but they have NO IDEA how to stop it. They are doing the ONLY thing they can think of to do. Not very comforting.

Matter of time until life as most know it begins to collapse. The scary part is what will Barry's domestic police, who he wants "as strong as the military," do when the dam breaks?

Maybe the sheeple can fan them away with PAPER stock certificates?

[SOROS]

Major Insider: Time to Buy Gold; The Chinese Want to Make the Yuan Gold Backed

Robert Wenzel
Tuesday, June 4, 2013

I have mentioned Philippa Malmgren before ( http://tinyurl.com/m8zs8by )

Philippa Malmgren is an insider's insider. She was Special Assistant to the President for Economic Policy on the National Economic Council. She was also a member of the President's Working Group on Financial Markets, aka, the Plunge Protection Team. Her client list includes every elite corporate firm in the world (Take a minute to look at the list, its mind boggling, the list is here: http://tinyurl.com/kk2l4o5 ). You don't get much more insider than this.

She is out with a new comment on gold ( http://tinyurl.com/nx3asn9 ). In it she seems to hint that there might have been a conspiracy to push gold down (Remember this is coming from a major insider, who travels in the circles she is talking about):

"Why Won't Gold Go Up? After all, gold should be rising given that every major central bank is expanding the monetary base by historic magnitudes. Japan is doubling the monetary base. The UK is about to print until they reach what the new Governor calls "escape velocity" which is as yet undefined. The US has open-ended Quantitative Easing that will last at least until nearly full employment is reached at 6.5% to 5.5%. The ECB has not even started to monetize the debt but hopes to as soon as the Germans give in. So, why did the gold crash of 2013 happen on April 12th? Gold lost an almost unprecedented 84 USD an ounce that day.

Conspiracy theories abound. It seems the Japanese bond market and gold are highly correlated. As the JGB market sells off, due to their effort to create inflation, every bank starts hitting it's VAR driven risk limits and has to raise cash.

Maybe the Fed did it? Like all central bankers who are pursuing QE, Chairman Bernanke, is bound to hate it if the market puts more trust and faith in gold than in government. Some observers are now going crazy with the possibility that the Federal Reserve and other central banks might somehow have encouraged the sudden sell pressure. Central banks are either selling or exchanging gold for credit. Cyprus sold 75% of it's gold, though that does not begin to provide enough cash for them. The IMF is selling too. Euro zone banks are all pledging their gold as collateral against the generous and probably repayable loans the ECB is extending to them.

Is it materially important that JP Morgan and other investment banks are net beneficiaries of money printing but also maintain massive short positions? Why did several banks all issue "sell gold" notes just before or in the months before the record price drop? Were they prescient or forcing a desired outcome?"

Note her comment on who has been buying gold during the recent selloff and what it means (my bold):

"The most interesting piece of the puzzle is that the Chinese have emerged as the biggest buyer of gold, mainly in large off market. They want the Yuan to emerge as a hard, gold-backed currency in a world where everyone else has chosen to inflate and devalue. The recent bilateral currency deals with Australia, France Russia and Singapore, and many others, reflect this desire to displace the USD as the world's reserve currency. It may be an interesting and long race between the Chinese reaching for convertibility and the Western central banks straining credibility."

So what is her advice to investors?:

"Gold bulls have a rare chance to double up now. Gold bears will have a hard time doubling down from a record profit. Meanwhile, apparently the Indians and everybody else in the emerging markets recognizes a good deal when they see it. As inflation pain continues to make headlines from high tomato prices in Brazil to the same for onions in India, no emerging market investors have any illusions. Inflation for them is here for the duration. A gold backed Yuan is increasingly sounding like a sensible idea."

http://www.economicpolicyjournal.com/2013/06/major-insider-time-to-buy-gold-chinese.html

[SOROS]

Are you a Democrat, a Republican, or a Southerner?


Here is a little test that will help you decide.


The answer can be found by posing the following question:

You're walking down a deserted street with your wife and
two small children.

Suddenly, a Terrorist with a huge knife comes around the
corner, locks eyes with you, screams obscenities, raises the knife,
and charges at you...

You are carrying a Kimber 1911 cal. 45 ACP, and you are
an expert shot. You have mere seconds before he reaches you and your
family. What do you do?

Democrat's Answer:

* Well, that's not enough information to answer the question!

* What is a Kimber 1911 cal. 45 ACP?

* Does the man look poor or oppressed?

* Is he really a terrorist? Am I guilty of profiling?

* Have I ever done anything to him that would inspire
him to attack?

* Could we run away?

* What does my wife think?

* What about the kids?

* Could I possibly swing the gun like a club and knock
the knife out of his hand?

* What does the law say about this situation?

* Does the pistol have appropriate safety built into it?

* Why am I carrying a loaded gun anyway, and what kind
of message does this send to society and to my children?

* Is it possible he'd be happy with just killing me?

* Does he definitely want to kill me, or would he be
content just to wound me?

* If I were to grab his knees and hold on, could my
family get away while he was stabbing me?

* Should I call 9-1-1?

* Why is this street so deserted?

* We need to raise taxes, have paint & weed day.

* Can we make this a happier, healthier street that
would discourage such behavior.

* I need to debate this with some friends for a few days
and try to come to a consensus.

* This is all so confusing!


............ ......... ......... ....... ......... ......... ...
Republican's Answer:

BANG!

............ ......... ......... ......... ..... ......... ......

Southerner's Answer:

BANG! BANG! BANG! BANG! BANG! BANG! BANG! BANG!
BANG ! BANG! BANG! BANG!
Click..... (Sounds of reloading)
BANG! BANG! BANG! BANG! BANG! BANG!
BANG!
BANG!
BANG!
Click

Daughter: 'Nice grouping, Daddy!'
'Were those the Winchester Silver Tips or Hollow Points?!

Son: 'Can I shoot the next one?!'

Wife: 'You are NOT taking that to a Taxidermist!