Wednesday, December 17, 2014

SANTA YELLEN

 How can ya not appreciate a nice X-mas present? You'd have to be a Grinch not to appreciate Yellen's X-mas spirit. The boyz need their bonuses too. Nice squeeze on Wall Street today even though the language was so confusing Steve Liesman admitted being baffled by the bullshit. Of course that was the intention, even though little changed in the Fed's attempt to unwind themselves from  a completely Catch 22 market. How DO you get out of a debt supercycle and raise interest rates in a no growth economy. Nice trick if you can pull it off but ya better have that real growth in GDP when ya start ta tighten Santa. 

Alas therein lies the rub for the Fed. You can jawbone growth all ya wanna and fudge the numbers til the cows come home, but baby you gotz a structural problem that just AIN'T gonna let you raise those rates. Numero uno you have your sister across the bond that's can't even disguise their disaster. They're sinking so fast they can't even fake their numbers enough to hide it. Its all about the spin now and the spin is getting harder and harder to pull off. 25% unemployment in the southern Eurozone and 50% youth unemployment is not budging. You can only socialize those slow boiling problems so long before they blow. 

Maybe you can play pretend forever. Maybe unending fiat printing does work. Maybe the Austrians are wrong and the Keynesians are right. Neoliberalism is the answer and free market capitalism is a quaint idea relegated to the scrap heap of history. You like your centralized masters, then you can KEEP your centralized masters. 

Gold and silver may have been real money for 6000 years but now they're just another commodity. Same as iron, copper, and lead. You like what you're getting now? Did you watch the Yellen press conference? Did you LISTEN? It was gobbledeegook. It was blather. "Ummm we will hold ummm and maybe then if further dictates ummm and if  it will demonstrate ummmm then we won't.......ummm."  Sadly that was pretty much the press conference, and the market rallies 300. gl

Sunday, December 14, 2014

BLACK GOLD....TEXAS T

Go ahead and cheer about that cheap oil you're getting, but just  remember for every Yin there's a Yang.....for every Up there's a Down. The crash in oil can be attributed to a multitude of factors including pure manipulation to affect a specific political/economic outcome, but underlying all of these variables is the simple fact the Supercycle collapse in demand has been present for the past 5 years and NEVER came back in spite of the much ballyhooed "recovery". You can only hold up a commodity as vital as oil so long before its weight crushes you.

On the other hand you have gold and silver physical demand remaining at record levels but price action dictates just the opposite is happening. Funny how that works in the paper casino. It will equilibrate eventually.

Back to black gold. There's a problem. Too many of you believe oil can't get cheap enough and I certainly like that price at the pump, but economically speaking, the global economy is still tied to oil in a multitude of ways that may not be readily apparent. For instance, global derivatives related to oil may be as high as 110 TRILLION!. That is NOT something that can withstand a 50% drop in price in a matter of a few months without some blowups. That's going to create tremendous strain on the banking sectors with counter-party risks going exponential. Just imagine the high yield bonds tied to the "new" oil boom in the U.S. alone. Can you say monumental blowups as these default. Oil is a currency for many emerging countries and with the current price, you can basically shut down their bond funding and their GDPs. Its going to take a few more months before these risks show their true colors, but needless to say, the PTB want this action to transpire or Oil wouldn't be at these levels.

Bottom line someone is out there and they want this system, to undergo an implosion. Who that someone is may never be fully known. One thing is certain and that is the "someone" probably has plenty of gold bullion and big bullets. The currency war has now entered another level of risk.gl





Wednesday, December 10, 2014

WE TORTURED SOME FOLKS..... BIG DEAL

Now move along slime balls. Let the real men run this show. This is no country for old weenees. After all we've got a global war to run and its no time to take our foot off the pedal for some sentimental, snot-nosed pansies. Oh sure, I know there's always going to be a question out there, that we went too far, but hell, what do you expect? There might have been a few boyz out there, that just tortured more than they should have. After all what do you expect from elite individuals that were selected from some very specific psychological profiles for these very key positions. 

For instance here are a few questions that helped us separate the men from the girls to become safeguards of the American way. 

1) When you had frog dissection in High School biology did you volunteer to stay late after school to work on not only your frogs but other classmate's frogs?

2) When you were in high school did you get the crap kicked out of you regularly?

3) When you were in high school did you kick the crap out of smaller boys, girls, or tiny dogs?

4) Did your school year book vote you the student most likely to torch a nursing home?

These are some of the questions we used to choose our men from, and I know right away you're going to criticize these type of questions. Well, General Hayden reassured us that we needed to get to the bottom of who attacked us on 911. In fact after seeing the candidates that passed these selection processes, he seemed to be very confident that we would get the answers he needed. 

NBC news had a hard hitting expose` on the Senate torture release and made it a point to show that torture MAY have provided some intelligence that MIGHT have been actionable, even though the study said it did NOT.  It even asked one of the two psychologist (that appeared ON AIR) that were paid 80 million dollars to develop and administer the program (thats right 80 MILLION blood dollars) if he thought that torture was the right thing to do. This paragraph is actually not satirical, its just what we have become. Imagine asking a torturer, that was paid 80 million if he thought it was the right thing to do. What is worse was his casual, so what, demeanor and answers, but what may be even WORSE was they put it on the NBC nightly news. Can it get any more obvious how conditioning the sheep has become so sick its just in your face now. This will all blowback  here to YOU and to ME. Its coming....count on it!

We used to stand for something....at least we gave the appearance we did. oh well.........I'm nauseated.....I'm going to turn on 24 and watch Jack Bauer torture some folks......gl







Monday, December 8, 2014

SPOON FEED ME

Did you ever have the feeling over the past few years, that you were being treated like a baby. You know what I mean. You wake up in the morning and flip on the tube and virtually every main stream outlet is telling you the same story. It almost seems like there is just one centralized source of news nowadays.  You want to slurp it up because its warm and good, but it just doesn't seem to want to stay down. After you have had one two many spoonfuls, you start to churn deep down inside and feel like you want to HURL!  Whatever they just fed you was extremely fowl and made you entire intestinal tract turn upside down. You know what I'm talking about. 

Take the BLS numbers last Friday when they told you we has 400 BILLION new jobs formed. Of course Steve Liesman was effusive for most of the morning and afternoon along with numerous other members of the CNBS cheerleading squad, until they had one lone CNBS guest pundit come on late in the afternoon to throw the facts onto the CNBS pump. What a doomer. Why would he come out and tell you the other side of the BLS numbers that NO ONE would talk about all day. Like the facts the most of the jobs created were part time jobs and that we had actually lost an enormous number of full time jobs. That most of the jobs created were low wage entry level jobs. 

Did they tell you last week on CNBS that the great "car numbers" were created by giving loans to "ham sandwiches". Personal note, I know that dealers are literally giving liar loans to anyone that will fill out the papers. Hmmmm......where did this happen before? BTW any ham sandwich can go buy a Tesla now. I hear there are plenty available now that gas is cheap.

HOUSING you ask? Well its SOOOO good that the banks are going to be mandated to reduce the down payments required for loans from 20% down to 3%. Are you puking all that baby food yet....you should be.

How about that improving economy. Its so good that gas demand and oil demand has fallen through the floor. With price dislocations like this, I'm sure that only "good" things can happen now to the economy. 

You either get it by now or you deserve more baby food. Hey... I understand. It tastes a lot better than Precious metal food. Eat up. you deserve it. BTW in case you didn't notice it we had the 4th outside reversal day in three weeks in PMs today. For those of you that still give a chit, that is something you had better pay attention to. There is a real war goin' on there. gl





Wednesday, December 3, 2014

A LONESOME TRADE

Its been over three years now that gold became an "unfavored trade" as the the paper short game destroyed what was "seemingly" the place to be IF the Fed was going to print money to mask the incredible debt created to keep a foundering economy from drowning. Do you ever feel like you've been had? It made fundamental sense. Just buy gold and their leveraged counterpart miners. After all how could the price of gold go down if TRILLIONS of dollars and OTHER currencies were going to be printed around the world. No one in their right mind would not want to buy protection. But something happened on the way to the forum. Sorry for the mixed metaphors.

There were many that cautioned the Fed was going to crush the paper price of gold. So in turn they also crushed the miners. There were signs it would happen such as Volker's comments in a biographical piece that his biggest mistake in 1980 was "not controlling the price of gold". Who would have thought THEY were that mindful of such a "barbaric" relic. It was relegated to the scrap heap of history until you realize that it was singularly the most important threat to their paper fiat ponzi. If  the paper price kept flashing red, it would alert the sheep there was not only a problem BUT a solution/alternative and that just wasn't going to be allowed to happen like it did in 1980 when Volker was forced to raise rates to over 18%. This time was going to be different. At least for awhile so time could be bought while the next transition of banking control occurred.

That part of the game is not in our pay grade, but what was in our pay grade and provided for us was a long period of time to see just what WAS on the horizon and accumulate cheap physical gold and silver. Its natural to wake up many mornings and look at the paper price of PMs and feel like you were just kicked in your balls. I have felt that way and I'm sure many of you have also. Surprisingly from my perspective is how well I do sleep considering the devastation in price of gold and silver and the miners. Many of you have brought up how dangerous it is to remain in the paper system and it certainly has been depicted here by myself as a fool's game, whether you are in miners or for that matter any stock in this casino. I believe and I still do believe they have a very high chance of closing the casino and readjusting all of the rules while taking your chips in the name of national security as CONfidence erodes.  But of course many of you have your own reasons for remaining at the table, including that you just don't believe what I said.

When gold and silver was a crowded trade, and going up up up from the fall of 2008 to 2012 I mentioned that it was becoming a crowded trade. I also posted in 2012 it was a broken trade technically but I would stay in. I had several reasons I had to stay and had traded bear markets before and knew the consequences. The price depreciation on the miners was devastating and may not be over yet, but I'll maintain my positions in such miners as GORO, SSRI, and others I've mentioned.

They have given you time. I thank them for the illusion that we have had for the past six years. I believe however there is a severe price to pay going forward. Some of you have already paid that price in lost wages, lost jobs, higher health care and food costs.....some of you are actually doing better as I have at my job. I have NO delusions. This is insanity, but I also know it could go on longer than one thinks is possible.

Maybe you feel alone like the character sitting above feels. I think that you should be thankful for the last three years and the time you've had to acquire real money as many countries like Japan, Venezuela, Nigeria, etc teeter on collapse.... Listen to the music and enjoy it.....just be careful it doesn't put you to sleep. I apologize for the kindergarten banter, but this illusion propagated daily on MSM is really boring and I'll stoop to anything to entertain myself in the face of some of the memes they're putting out to the sheep now. so gl and to those of you suffering, just understand this is the bear of all bears and you're not alone.














Sunday, November 30, 2014

MADAME PRESIDENT

Just in time for the new year to welcome the next Presidential news cycle. How can you not like her? She's fresh. She's likable. She's attractive, and dog gone it she's been selected so get used to it. Yes boys and girls its the beginning of the next election cycle and you can get a jump on it if you like today. Think of it. If you know WHO your next President is then you can invest accordingly. That is a big bonus for you ponzi pumpers so I'm here today to help you make money in the stock market.

Oh I bet you're one of those conspiracy theory nut jobs that believes Hillary was involved in the Benghazi mess. That's ridiculous. She was only the Secretary of State and said very clearly to the Congress that "why couldn't we just be friends"....or sumthin' like that after a grueling day of questioning shortly after losing a dear friend and fellow State Department colleague. You can't blame her for that.

I know there are millions of people out there needing someone that is willing to stand up to Congress just like Hillary did when the Afghanistan and Iraq wars were perpetrated on an unsuspecting public. After all, she understood the insanity of these corporate wars, she fought against the Vietnam War and even smoked dope and painted signs. She's a real person. She's not going to join the neocon war cabal. She's going to fight for YOU and for YOUR safety from the invading hoardes of Zombies.

Even more importantly she will maintain the strong social alliance that has kept our nation strong. 60 million Food Stamps can't be allowed to deteriorate. But more importantly she'll keep our defense strong. She'll spend trillions on that important sector. In fact instead of a chicken in every pot....she's going to promise an MRAP in every town square. Its the least she could do for the "hard core" supporters. 

If you don't like it, you know what you can do about it. You get out there and organize. You get out there and work your tail off in your republic. See if we care. Get out there and tell your friends to vote for candidate B. Reach down in that fat little wallet of yours and pull some of that crisp green fiat out and spend it for your candidate. We don't care. After all, its a free country. 

Yup....I like her. She's just what we need....and deserve. So you naysayers get out there and participate all you want to subvert her, but right here and right now I am here to tell you she's a CINCH! So fight her, but we really DON'T CARE. btw this is satirical for those of you satirically impaired.







Tuesday, November 25, 2014

YOU CAN'T STOP WHAT'S COMIN'

It's a fact. When all of this mountain of paper decides to re-enter the system, the storm unleashed around the world will be something the modern world has never seen. There will be a price to pay for unfettered money printing.

“Every step you take is forever. You cant make it go away. None of it. You understand what I'm sayin?”

Oh isn't that quaint. A price to pay? What an antiquated idea. Surely there are some more tricks to take away those IOUs that we've managed to steal from our future generations and pretend we were just trying to "save the system" for them and their benefit like it benefited the older generations TODAY. 

What would you say if you found out that if you were to try and acquire over 20 million dollars in physical gold that you have to pay a premium of over 300 dollars an ounce? What if you found that it still took over 8 weeks to gain delivery of the gold? There are some high net worth individuals out there so go ahead....... fact check it.

What would you do if you had ridden this bull market? What would you do if you knew the game was rigged so to speak by "fiat". You didn't gain that wealth by being stupid. "You know how this is going to turn out, don't you?" I won't repeat the rest of the dialogue, but if you have the "smart money" then you know how this ends. You may not know exactly when but you know HOW.

Of course there are the technical players still trying to divine the answer on the "game". Some of them have been fairly accurate, but many of the best have been confounded leaving them destroyed by the Bear of all Bears. Of course there are those of you that find that statement completely insane. Again I would refer to this piece of wisdom.  "IF the rule you followed, brought you to this, of what use is the rule?"

Sometimes one becomes confounded by forces that are beyond your depth of knowledge and certainly your control. One then has to adapt or be destroyed. Those are not necessarily the choices one wants but it certainly appears to be obvious which choice one has to make. We're at that juncture for anyone that has had the ability to reach this point in the Supercycle of supercycles with a stake in this "game". Some are like the money managers that have failed to keep pace with the "market indices" and feel desperate this late in a "bull market".  Drawing on some more old wisdom "all the time ya spend trying to get back what's been took from ya, more is going out the door. After a while you just have to try to get a tourniquet on it."  Maybe you have your tourniquet. Maybe you just need to get out of the paper game. Maybe your that good of a trader that you believe you can handle what's comin'.

Let's say you believe you're that good. You think when the music stops and deep down you know it will, that you can get out and make your deal in time. Just understand first WHO or WHAT you're dealing with.  "You don't understand. You can't make a deal with him. He's a peculiar man. You could even say that he has principles. Principles that transcend money or drugs or anything like that. He's not like you. He's not even like me."

For those still interested in prognostication or playing in this casino, I found a chart that struck me as very interesting that I had posted here in September. I thought enough of it then to post it and just by luck I found it and will repost it. You can take what you wish from it but its certainly still very much in play. We just might have set a very nice bear trap in PM's. One thing is certain. We will find out soon enough. gl and happy turkey day










Sunday, November 23, 2014

WHY IS EVERYONE SO AFRAID?

What is out there that has all the world's Central Banks either holding interest rates near Zero or even going negative as some European Central Banks have recently begun?  After all, a steady meme of  "all is good"  is repeated daily through every Main Stream Media outlet. Metrics showing a steady albeit underwhelming growth are paraded weekly in front of the hungry investment class. The same pundits shout out for anyone that might be still listening just how wonderful the Central Bank's money printing has been for the economy. Yet 5 years later after the great recession was declared "Over", we're still printing. You remember that don't you? Remember? In LATE 2008 in a backward looking pronouncement a "recession" was declared that began in late 2007. BUT what was amazing is that less than 12 months later the "recession" was declared to be "over". Yet we still have a ZERO interest rate policy. How can that be?

I know that our "unemployment" is improving with the "new math". You know......subtract one million full time jobs with good pay and benefits and then ADD 1.2 million part time jobs with lower pay and no benefits which equals 200,000 new jobs for the BLS (bullshit lower salary) report. They feed that to you the first Friday of every month at 8:30 EST and tell you you're "winning" the war against deflation.  

One of my favorites is the CPI index and just how incredibly stable it has become as the various metrics within it are constantly juggled by the bean counters to show NO inflation.....even as numerous essentials within it are blowing through the roof.  

Its all good. Ignore the record 96 million Americans 16 and above no longer working. Ignore the 50 million Americans on Food Stamps. This isn't a depression because in a depression people stand in line for food. Not this one. They figured out how to stop that detail by printing EBT cards that are indistinguishable from everyday Credit Cards. In fact JPM issues them for the Government......LOL. You can't make this stuff up.

So go ahead and swallow that statistical sandwich that you're fed, but just remember, you can fool an awful lot of people all of the time, but one day Nature is going to slam the door on your CONfidence game. CONfidence is all you have and you're losing that game. gl





Tuesday, November 18, 2014

PONZI PUMPERS

Are you a Ponzi Pumper? Do you believe that we're in a sustainable recovery and that printing trillions of Benny Bucks is a real solution to the real problems facing the economy? Then you're a Ponzi Pumper. Do you believe that Japan can print Trillions of Yen and cure their economy? You're a Ponzi Pumper. Do you believe that Draghi can print Trillions of Eurobux and rid the EU of their economic woes? You do? Then you're a Ponzi Pumper.

Do you really understand what a Ponzi Pumper is? I'll try to explain in my simplistic way. It means that you think that demographically challenged developed nations can keep on printing endless amounts of paper fiat for precious resources from developing nations and they'll just keep on taking these IOUs or we'll invade them. Seems simple enough. You play ball or we'll crush you like bugs. You see how it works. Its really not to complicated and it can just go on forever, at least it seems that way while its going.

The problem is history is replete with a long list of these Ponzies. They all end. They go back thousands of years and the end is always the same. One day CONfidence in the Ponzi suddenly just collapses. Sure there are some variations to the theme but century after century has its own Ponzi Pumper Puncture, and once that air starts to leave the balloon the door closes down fast on the Ponzi Pumpers.  You say that sounds far fetched in this digital day and age with the most powerful empire in history. Just remember what is keeping this balloon afloat. Its all CONfidence. Its the air that keeps this game afloat. Once its punctured the balloon comes down. Pump it Ponzi Pumpers......because if you're a Ponzi Pumper, you need to be pumping extra hard right now. gl







Sunday, November 16, 2014

COGNITIVE DISSONANCE

Did you ever stop and consider just how completely upside down the world has become. Whether you are a righty or a lefty, surely you know what I'm talking about. Consider that our current President was a "community organizer" before he went into politics. Once in the Senate he made numerous speeches against the banking monopoly and the incursions in the Middle East. Now that he's president, he promotes the surveillance state and the military incursions around the world. 

Just think about our two recent Secretary of states. Hillary and Lurch. Everyone knows that Lurch was a protester against the Vietnam debacle after winning his awards for bravery. Hillary was solidly fighting the military industrial complex until she began her illustrious career. Now you can't find a bigger democrat chickenhawk that Billary. My neighbor is a huge fat cat Repulican and told me last year, he could vote for Billary. 

What is it with that top level of politicians. They all seem to become victims of brainwashing once the attain that level. Does someone sit them down and explain how the system works and says you can join us or you can have your brains splattered on the asphalt of some shitty Dallas street. I would like to think they had to be threatened, but most likely most succumb to the allure of riches waved under their pitted nose.

You're welcome to explain this conflict anyway you wish, but no one (except buttfox) can argue that with the implementation of the Patriot Act and the NDAA and the current surveillance state, the freedoms we once enjoyed are long gone in the rear view mirror. 

I hope all of you can separate yourselves from these realities and enjoy the holidays coming up. I live in two worlds. The world of reality and the world of illusion. I know the difference, and I know most of you do the same. Don't feel isolated, a lot of Americans are starting to wake up. Maybe not in time, but maybe, just maybe we get through all of this bruised and beaten but intact. Best wishes to all of you. gl