Thursday, May 24, 2012

BANK RUN!

The real fear of the game. That complete and utter loss of CONfidence is lost on the system. That the deleveraging process suddenly implodes into chaos. This is the part that makes me root for the Central Bankers. This is where I get scared and my craving for justice and a return to free capital markets collides head on with reality. That reality will NOT set you free. It will send you through gyrations trying to understand the repercussions of a complete deflationary implosion. THIS is what the central bankers are in a race against time to prevent. To retain control of the current system without a crash landing. Extend and pretend is what was embarked on and is what will be used contrary to any verbal intonations to the contrary. There is no choice for the game but more monetization. Anyone that has doubts only needs to ask themselves this one question. What is the other side of this coin? COLLAPSE ......and that is going to be fought to the end. The outcome is still going to be a collapse and the question is whether its a controlled collapse or a SWOOOSH!. This will be controlled but in what form. Bank runs cannot be allowed and they will need to be stopped before the systemic spread occurs. This will manifest itself in gold bullion accumulation by sovereigns and individual investors alike and will result in an explosion in the gold price to purchase physical gold.

The key to this is physical gold. That is....gold in your possession. It is a SHTF investment. There will be no pure gold standard coming so forgettaboutit it as an "investment" or currency. This is a "store of wealth" for you.....or a pure SHTF investment in the nearer term if we get into the currency debasement spiral, and that brings us back to the Bank runs. They are going on and they are accelerating. We need the Central banks to step in soon with another bazooka, which is why I want to hold on tight to my PMs and PM equities. Let them play the game in the clouds. We are peasants in the whole scheme of things and we're going to have to take care of our own little world. My latest visit to the heart of the investment world reinforces that we have as much advantage with what is coming as many top pros have. They are just as confused by what is taking place. They for the most part are just followers. gl

22 comments:

  1. I thought yesterday that we might get a "stick save" late in the day and we did. My NKTR & SVM and even the S&P turned green during the last 15 minutes of trading.

    Earlier in the week, Phil Davis and the Keystone Speculator felt the S&P could bounce to the 1340 area. Now,...they are not so sure. Phil feels that there is too much resistance.

    One thing to keep in mind though is that many traders/investors may start their holiday weekend early, making it a 4 day weekend. Thus, the trading volumes today will likely be low. With low volume, the bots could push this market significantly in any direction they want.

    Let's see what happens.

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  2. You sure you were in NYC? Hehehehe

    http://www.thesmokinggun.com/buster/bank-robber/darth-vader-robs-bank-734801

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    1. tom....ehehehehe....just finished brunch on upper east side looking over central park by the Frick.....i must say i was thinking of the "proles" that i would soon rejoin.....organizing my thots for post tomorrow.....great visit.....

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  3. REPORT: Facebook's Underwriters May Have Helped Hedge Funds Short The Stock

    http://tinyurl.com/cl9b29m

    Check out the chart in that story. 25% shorts! This was one of the greatest retail robberies I've ever seen. :) The casino operators milked this one to the fullest.

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  4. Something to consider when and where you store your stacks...

    http://www.dailymail.co.uk/home/moslive/article-1222777/The-raid-rocked-Met-Why-gun-drugs-op-6-717-safety-deposit-boxes-cost-taxpayer-fortune.html#ixzz1vsC9CIm8

    Hey, you never know!

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  5. inching closer to that PM ramp.

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  6. http://www.zerohedge.com/news/iaea-says-has-found-highly-enriched-uranium-iran

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  7. In a market kinda left on it's own in holiday llight traffic ya see the truth. market down, pm and miners up. Some player(s) is not around to kill this.

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  8. HUI trying to recapture the 430 level. should be a good sign for the miners

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  9. Just a guess...over the weekend the EURO gets defended somehow....

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    1. long weekend is nice setup

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    2. Another huge jump in commercials shorting the USD.

      http://news.goldseek.com/COT/1337974471.php

      Can take it as bullish for the EUR although could also be seen as the after effects of defending the EUR for so long. My gut tells me that we will enter next week with some action by the FED. I saw a Reuters article about how the Greek situation is affecting the US Economy and that may be the tell hinting at preparations of the blame game and excuses for the next round of QE. Nice weekend all.

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    3. i can tell you the boyz in ny are very uncomfortable with the entire euro news and i got the sense its beginning to take its toll on them....one was with merill ba and the other was a hedgee.....both were strained after the wednesday market session....not going well.....ben cannot let this keep leaking or there will be no patient left alive on the operating table

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  10. Yes, too many vocal euro shorts. This would be inflationary..yes?... Prolly a deposit insurance scheme, jaw bone about saving Greece. About time for THAT again. This should be good for PM's?

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  11. http://finance.yahoo.com/news/silvers-rally-look-continue-2012-122000887.html

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  12. PMs and PM equities decoupling today from market .....this is overalll money flow indicator for me to hold tight.....may be a bumpy ride .....dont care

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  13. overall decoupling pattern for days now.....havent looked at the monthly candles but..........

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  14. big tail for the hammer on the monthly gdx

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  15. Interesting read:

    Sheila Bair, Others Wonder If JP Morgan Is Too Big To Regulate

    http://www.nasdaq.com/article/sheila-bair-others-wonder-if-jp-morgan-is-too-big-to-regulate-20120515-00942

    Just goes to show you how useless Dodd-Frank is. Yet Obama trumpets it as a major accomplishment.

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  16. Fricking Reply not working.....

    Glad you had a nice trip shame the weather wasn’t better for ya but it certainly sounds like you got the VIP treatment!! Nothing better than tooling around the City with folks that know what’s going on!!!

    Gotta admit though I’m surprised you passed up the visit to the Squid’s Lair, not many folks get that opportunity, plus it would have been a great story to tell the Proles! hehehehe

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    1. i was with an ex gs hedgee and his arrangement was with some fairly high up gs boyz.....until i am more comfortable i will just accept the nyse trip next time.....its just me tom.... i just liked the look i got at the proprietary trading platform in the hedge office.....that was all i could handle...... hehehehehehe they showed it to me when i told them yahoo was blocking my look at the major holders in my miners.....it was funny.....they pointed and said.....not on ours.....heheheheheheheheheh

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