Sunday, May 16, 2010


Just a summary of my position today provided by a copycat (kidding). Saves me a lot of time for restating.

The following are some snippets from the most recent issue of the International Forecaster. For the full 38 page issue, please see subscription information below.


Wednesday was another wild day to the upside in precious metals. Spot gold rose $22.80 to $1,242.70, as June rose $18.00. Spot silver rose $0.37 to $19.64 and June rose $0.23. As you can see after the Comex spot close the shorts went to work on both metals again. It is interesting that the CME traded 241,207 contracts Thus, the late closes of the outside months are becoming more important due to their increasing volume. The mainstream analysts, economists, pundits and the media, who are wrong 70% of the time, are falling all over themselves trying to explain why the PM’s are all hitting new highs. They most often blame the sovereign debt problem and what has been going on in the EU. Throwing $1 trillion, of which the US will supply $65 billion via the IMF, only addresses the public debt and does not consider the private debt. As we know from history throwing money at debt, or to solve a financial or economic problem never works. Worldwide public and private debt is staggering. What these intellectually dishonest characters won’t discuss is the gold and silver suppression scheme that has been underway illegally from 1967-1988, and the legal suppression since 1988. That will be solved once JPMorgan Chase goes to trial either civilly or criminally in the near future. We see little hope of criminal proceedings against members of the Illuminati, but civil court is actually much better due to wide latitude in discovery. No matter what happens no one from Morgan will go to jail, so the civil approach is better along with billions in fines. This is the story all these characters are trying to hide. Let’s hope we can get swift justice and a swift resolution. Morgan in the meantime is running around in circles trying to cover its silver shorts. These characters just happen to be blind to the fact that gold and silver have been in a bull market since June 2000, and billions of dollars have already been made. Just ask our subscribers. Gold and silver are going to continue to trade sharply higher in the years to come. None of these characters will deal with the truth and reality because they are paid not too.

Gold open interest rose 6,636 contracts to 583,954. We should reach $1,300 over the next several days. The gold and silver Comex and share shorts are getting buried, and that is going to continue. Gold is now recognized as a currency again. What is paramount is that the US government’s suppression of the gold and silver markets is coming to an end. Secondly, the world, except for perhaps 10% of its inhabitants, are not in gold and they all are potential buyers. The XAU rose 1.81 to 186.08 and the HUI rose 3.39 to 491.76.

The Austrian Mint sold more gold in two weeks from April 26 than in the entire first quarter because of soaring European demand. German and Swiss are major buyers.

The Swiss refinery Argor-Heraeus says demand for small gold bars and minted products has jumped 10-fold since the beginning of the year.

$5,000 invested in gold in 1913, the year the Federal Reserve Act was passed, is now worth $287,500.

The Dow rose 148 to 10,896; S&P rose 147 and Nasdaq 298 Dow points. The yen fell .0040 to $.9317; the euro fell .0067 to $1,2634; the pound fell .0132 to $1.4814; the Swiss franc fell .0006 to $1.1093; the Canadian dollar fell .0009 to $.9806 and the USDX rose .41 to 84.88. The 10-year T-note was 3.57%.

Oil fell $0.85 to $75.52; gas rose $0.02 to $2.21 and natural gas rose $0.15 to $2.28. Copper fell $0.01 to $3.18; platinum rose $39.00 to $1,709.80; palladium rose $10.55 to $542.75 and the CRB rose 1.87 to 266.82.

Thursday was a day of rest for gold and silver. Spot gold fell $13.90 to $1,228.80, as June fell $9.60. spot silver fell $0.17 to $19.47, as June fell $0.16. Gold in euros hit another record high at 988.92, as investors fled from the euro. We want to remind you that less than 1% of Americans own gold and silver or the shares, so we have some upside. Just remember be patient and stay long. Gold open interest rose 4,602 to 588,106, as silver OI rose 308 to 123,049. The XAU fell 3.30 to 182.76, as the HUI lost 6.89 to 484.86. Do not forget gold is the antidote to fiat fraud. Gold sales at central banks are at their lowest levels in 20 years.

Friday saw an attack on gold and silver. Gold had been up to almost $1,250.00 but the spot close was off $1.40 to $1,227.40, June rose $3.30, a strong close. Spot silver fell $0.27 to $19.20, as June fell $0.15. Gold in pound sterling hit a new high at 852.02; in Swiss francs at 1.388.66 and in euros at 989.34. the gold low was $1,217. As we predicted $1,218 would be tested to fill the gap and so it was. Gold open interest rose 10,952 contracts to 599,058, as silver OI rose 3,997 to 127,046, as the cartel shorted even more. In gold the COT commercials increased their net shorts by 11,058. They are in deep trouble. The Illuminists’ nightmare continues. The HUI rose 3.50 to 487.43, as the XAU rose 2.04 to 183.80.



  1. Is the noose tightening around our necks? Just read this, need to go and read the actual text of the bill for myself...will do so tomorrow morning:

  2. Gold storage accounts exist legally in Swiss banks....thats the way.Google it

  3. "The Number One Reason Gold Could Enter Mania Phase Soon" from The Market Oracle:

  4. Nationalization of 401(k) and IRA Pension Plans? 15-May-10 10:25 am There have been hearings on this subject already and further comments are being solicited next week by the Dept. of Labor and the Treasury Department. Although ostensibly being considered to provide certain payouts from pension plans, it is more likely that it would be a thinly veiled confiscation of the retirement savings of Americans in order to shore up shaky labor union pension funds as well as provide financing for trillions of dollars of US. indebtedness that may otherwise lack sufficient interest from overseas as well as here. The idea would be to involuntarily remove all the assets from all the pension accounts and substitute U.S. IOUs in lieu thereof with a guaranteed minimum payout pursuant either to Regulation or an Executive Order. As with any annuity type arrangement, the death of the participant would leave nothing remaining for other family members to inherit. The House Minority Leader has already told the Obama administration to keep its hands off the private pensions of America but I am not waiting to see whether they listen, notwithstanding how lunatic and revotinig this whole idea is and how likely a Bolshevik-like move such as this will lead to all kinds of turmoil here . I am planning to remove all of my POT shares from my IRA and pay the tax thereon rather than wake up one morning to see that I no longer have those shares but rather a promise to pay me something in the future which may prove to be a bunch of crap. Like Social Security. I have little confidence that our judiciary would reject any such looting attempt under the "Takings" clause of the Constitution as that provision has already been severely eviscerated in the Kelo decision and additionally, efforts by individuals to prevent the government from taking their gold in exchange for unwanted pieces of paper in 1933 proved unsuccessful once the government declared that it needed to seize everybody's gold because of a "national emergency" that, as it happens, lasted for 40 years.
    Guys...this is from a guy I have been talking to for several years on the POT board..He is not a nut...Is this possible..Thoughts?

  5. “The U.S. Treasury and Labor Departments will ask for public comment as soon as next week on ways to promote the conversion of 401(k) savings and Individual Retirement Accounts into annuities or other steady payment streams, according to Assistant Labor Secretary Phyllis C. Borzi and Deputy Assistant Treasury Secretary Mark Iwry, who are spearheading the effort.”

    Government Takeover of 401(k)s and IRAs?

    Bloomberg reports that the Obama Administration is considering measures to encourage Americans to convert their 401(k)s and IRAs into Government-provided annuities. The story has attracted a lot of negative commentary in the blogosphere:
    Will Collier, Coming Soon: Substituting Government Annuities for Your 401(k)?
    The International Forecaster, IRA's and 401k's to be Crammed Down While Tax Collections Plunge
    The Market Ticker, 401k/IRA Screw Job Coming?
    ROFASix, Is the Government Coming for Your IRA and 401k?

    House Republicans to Obama Administration: Keep Bureaucrats’ Hands off Americans’ 401(k)s
    House GOP Savings Solutions Group Warns Secs. Geithner & Solis Against Gov’t Takeover of Individuals’ Savings Plans

    Washington, May 4 -

    House Republican Leader John Boehner (R-OH) and members of the House GOP Savings Solutions Group sent a letter to Labor Secretary Hilda Solis and Treasury Secretary Timothy Geithner warning the Obama Administration that the government should keep its hands off of the retirement savings of Americans, and should reject proposals that would dismantle or nationalize the private 401(k) system in favor of a government-run retirement security regime. Several Administration officials, including the Vice President, have voiced support for efforts to create so-called “Guaranteed Retirement Accounts” or impose new government mandates which would undermine 401(k) retirement savings plans and jeopardize employers’ willingness to continue offering them to their workers. Boehner issued the following statement:

    “The American people are asking ‘where are the jobs?’ They aren’t asking for job-killing policies that jeopardize their retirement savings. Unfortunately, Washington Democrats are pursuing policies that make it more difficult to offer 401(k) savings plans to their workers, and some are even advocating replacing them with government-run accounts and ending 401(k)s altogether. That’s unacceptable and not the solution Americans need at a time when they are still rebuilding their retirement, college, and personal savings.

    “Republicans are committed to offering better solutions, and the proposal we have offered – the Savings Recovery Act – will help restore Americans’ savings and ensure that Washington does not stand in the way of families’ ability to save more. It’s time for Democrats to stop advocating policies that will destroy Americans’ savings and work with Republicans on better solutions to help rebuild them.”

  6. Well...anyone looking at the market tonight? Not going to pretty in the AM...I'm in...TZA, FAZ, CZI, and TYP...has not been easy holding them...I'm short...GS, F, AA, C, POT, SCCO(PCU), BAC, AAPL, FCX and a few others...GL everyone this coming week...gonna get rough, IMO. Bought shares of SMN last week also...almost sold everything on Friday, thinking we'd have another Monday pop. Strong conviction we are correcting and will go below 9500 with-in a matter of I'm holding short. I am not short or long gold/silver for now...not sure about gold, but I think silver will begin to trend down soon...GL everyone!

  7. IRA confiscation along with Savings already happening with ZIRP, later will be higher taxes when you draw or change the rules when you draw (i.e. after age 75+ when most people will be dead).

    Physical gold and freshwater seafood outside of the Gulf should hold up well. 200 dma on both S&P and DOW will be tested, should that fail the 250, 300, 500 and then 400 dma are next, whatever it takes to bottom out the daily on the RSI and Stochs. I don't know because the computers are faster than me and when someone pulls the plug manually is beyond me.