Tuesday, September 18, 2012

PANDA BOND BOMB!

Which SHTF scenario do you pick? The breakdown of the MENA chaos into outright nuclear war? The Israeli strike on the "evil empire" of Iran? Another "terrorist strike" on our homeland? A total breakdown of the Eurozone "political" union? Another rising nationalistic tiger in the Far East? Another breakout/breakdown of the Mena chaos?

Maybe one big pissed off Panda that uses a new weapon. The BOND BOMB first strike. The annihilation of Japan without firing a shot. Just dump the the Japanese Bonds that the Chinese hold in reserves and watch the ultimate financial explosion. Chinese selling will trigger massive global bond selling. Japans long awaited desire to destroy the price of the Yen will come finally. This is going to get very interesting for Japan unless they quickly tuck tail and RUN! Which btw I predict they will. Once you have it explained to you in the most sobering of terms that you are committing Hari Kari with a Banzai charge into an enemy that will easily destroy you then you surrender and you do it quite quickly. The Chinese are not making a hollow threat. They hate the Japanese and will destroy them in a heartbeat if the Japanese don't blink.  ZH gave this nice summary .... "Ironically, this terminal bond war escalation would also mean that Japan's last ditch alternative is to threaten the US with dumping America's bonds in turn if the US i) does not step up on behalf of Japan and ii) if Japan is forced to promptly convert debt from one denomination into another. The fallout effect would be most dramatic.
It is unclear if China will proceed with this "scorched bond" step: should this happen there is likely no turning back as it would force a market test of the entire developed world. And as our readers know all too well, the entire developed world is insolvent, and the only reason why it has perpetuated the illustion that all is well, is because being a closed system, nobody has the incentive to defect. Until now that is, when suddenly over a piece of rock in the East China Sea, China may find itself pulling the pin on the global debt grenade."

There........you have it......not a shot fired...and the world is destroyed.....literally overnite. What a fragile world we have. China is threatening and has fired the warning shot. If you believe this cannot happen, then by all means don't ever own precious metals.

We need a pullback for all of the investors that need to buy PM equities to get into the trade at a  good price. In fact, technically we are getting fairly overbot on the daily and a pullback would be very healthy. Just don't count on it. I've talked about this move and the possible ways they can keep you out. One way is to provide NO meaningful pullbacks until their next trap door that drops it so fast it FREEZES you...and that could be a long way up before it comes. gl


51 comments:

  1. Yes, been waiting for the pullback to add...and that's one scary scenario. Talk about irony if we had to step in and save the people who tried destroying us in WWII...my father was on an aircraft carrier in the Pacific. Anyone read UNBROKEN?

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  2. http://www.zerohedge.com/news/tungsten-filled-10-oz-gold-bar-found-middle-manhattans-jewelry-district

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    1. It will get difficult to trade physical gold when it gets really bad, re-assay takes time so you don't get the Willy Wonka Bar. Silver re-assay is relatively simple. Also stick with 1 oz or less if you do trade. Better to convert those paper assets into needs first and maybe some wants because we're dancing at the edge of the abyss. Wood splitting maul for firewood and long dated cans of Alpo come to mind. Water collection and filtration, shelter and some basic food stores before winter sets in.

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  3. This comment has been removed by the author.

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  4. But, but I thought Panda's were cute and cuddly.......

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  5. well maybe not, makes no sense to kick u'm.....

    http://www.zerohedge.com/news/re-retaliation-fire-spotted-gate-chinese-school-kobe-japan

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  6. Jack Welsh on CNBS now pumping the corporatocracy and completely ignoring that the taxpayer bailed out GE....he ran GE into the ground with his derivative exposure to pump his earnings for years.....we are sooooo screwed. These scumbags will never be touched.

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  7. Just what we need.....another moron in politics for the PTB to manipulate
    http://newyork.cbslocal.com/2012/09/18/tim-tebow-i-havent-ruled-out-running-for-office-once-through-with-football/

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  8. lets get out of Dodge fast
    http://www.france24.com/en/20120919-naked-mohammed-cartoons-fuel-muslim-outcry-france-charlie-hebdo-french-paper

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  9. Anyone buy PPP on news on the Goldcorp sale? I'm in at 2.87 & 3/62...

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    1. bot some that I had sold and will add more if it gets to 5 and then hopefull breaks 4.80......got a nice core left after taking a profit

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  10. well, to sell ABIO or just lets it trickle up...up 17% today, strong volume over 50sma...
    http://s8.postimage.org/nmlr9nhs5/abio_9_19.jpg

    I'll stay

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  11. NKTR has been making nice steady gains. I am watching for a big POP so I can take a chance and sell covered calls.

    Sister, the only reason I know about these childhood stars, and Yes, the new Honey Boo Boo is because my daughter watches that stuff. I cannot help but cringe whenever its on, but she deserves her childhood. Reality is coming soon enough,...unfortunately.

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  12. Head of Bundesbank agrees with you! : http://www.slate.com/blogs/moneybox/2012/09/18/jens_weidmann_sites_goethe_to_imply_mario_draghi_and_the_european_central_bank_are_being_manipulated_by_the_devil_.html This is quite astonishing since no one believes in God anymore.

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  13. Hehehehe...All the above..The world is blowing up...China hacks a bunch Japans servers and we talk about APLLE APPLE APPLE on CNBS! too funny. Lets just whistle past the war zones.

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  14. hey folks, they walked OXGN down to .65 on 100share trades and now someone stepped in with 50K bids to reap a move higher....

    this is one insane market

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    1. http://s14.postimage.org/6eav65h6p/thats_gotta_hurt.jpg


      look at that chart and then add 10 more points down....slaughter...aetna dropped coverage of ms drug...

      might try to scalp if it finds a bottom

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  15. Replies
    1. Could but someone likes that .65-69 area...such a low float that mm's are shaking weak hands...

      QCOR dropped to 22 and if you jumped in there you just made $7 a share, see chart above...

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    2. ANX chart looks nice for further move up, a backfill to 50 would be good entry...

      http://s11.postimage.org/52psnkeoj/anx_9_19.jpg

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  16. Should hold the PPP kli....We are going to get a super spike any time.

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  17. Many thanks sheeps & kli, I'm holding, adding.

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  18. Also bought some pzg @2.70. Not too sure about this one...

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  19. Art Cashin:

    legendary trader W.D. Gann reportedly claimed that capital and commodity markets tend to top on or around September 22nd more oft than on any other day of the year. There is not apparent economic logic behind this reported observation, but the notion might very well have a certain appeal to astrologers, in as much as September 22nd happens to be the usual date of the Autumnal Equinox…the day that the earth crosses the Sun’s equator going south, and one of the two dates each year that the days and nights are of equal duration.



    This is the day which, according to ancient lore, the Sun enters its “Fall,” thereby reversing for a time the rising animal spirits and other good things associated with Spring and Summer, and setting the stage for untoward events to unfold. Apparently this concept is so ancient it pre-dates even the oldest Mesopotamian culture.



    Initially, we never took such notions seriously. This was despite the authority of W.D. Gann and even despite the research from the Department of Neuranatomy at Yale Medical School, which discovered that the human nervous system typically undergoes measurable perturbations during the late September time period (and in mid-March as well). However, subsequent to hearing of Gann’s proposed rule, and of Yale’s medical research, we have experienced firsthand the October Massacre of 1978; the October Massacre of 1987; the October Crashette of 1989; the 1997 Asian Collapse; the Long Term Capital rescue on September 23, 1998, etc. Also, remember the great Gold Boom of the 1970s, while bullion peaked on January 21, 1980, the Gold and Silver stocks made their all time bull market highs on September 22, 1980.



    This day also saw the major peak of many oil stocks, which were enjoying a parallel bull market at the time. Also prior to the Great Crash of 1929, the last stock index to make its then all time peak… the Dow Jones Utility Average… did so on September 21, 1929. Even as far back as 1873, there was such a panic that the New York Stock Exchange voted, on September 21st to temporarily close its doors...



    Besides stock market moves, numerous currency market moves also have keyed off this date. On September 21, 1931, for example, the British pound was devalued 28% overnight… from $4.84 to $3.50. Also, the now famous Plaza Accord of September 21, 1985, which started a dramatic run in currencies, occurred on the exact 54th anniversary of Britain’s leaving the gold standard. And recall a decade or so ago in 1992 when the French vote on the Maastricht European Exchange Rate Treaty was set for Sunday, September 20th. The British pound sterling collapsed a few days immediately previous to this vote… And finally, recall that the historic Gould-Fisk Gold Corner Panic” saw riot conditions as Gold peaked exactly on September 21st… the year was 1869.

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  20. Wow, sheeps! Three days to go...AG (First Majestic Silver) just hit 52-wk. high in spite of spot silver being down.

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  21. Honest & Sheeps,

    Here you go:
    http://finance.yahoo.com/news/how-to-retire-abroad--thailand.html

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    1. thanks Doc..the bio sector is on fire right now..looks like money is chasing low float symbols...

      CYCC made 20% move today and shorts might be trapped...as shares outstanding were reduced by 1-10 split months ago...

      QCOR was trade of day at 22 now at 32...almost as much volume as SPY

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  22. Chuck and Doc. Here is a short video of Matuku island. Went there in 2005 on the Tui Tai (aka ss rust bucket)

    http://vimeo.com/48279542

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    1. Goofyfoot heaven....Love it...everybody dies but not everybody lives....

      good stuff sheeps...now you have me itching for Costa Rica trip...

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  23. When the Tui Tai sailed from the main Island Viti Levu the passage was very windy and rough. Many were sick. Some how in the night a container of gasoline broke loose and spilled below decks and the cabins filled with fumes. I thought for sure we were going to blow up. The crew had all of the hatches open to vent the fumes. I rode out the storm laying out on an upper deck feeling the ship pound through the swells...Crazy.

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  24. Sheeps,

    Looks great, but did they have a kiddie wave pool there for us non-surfers??

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  25. So the reef was a mile offshore more or less. Inside the reef the water was calm and you could fish and kayak...snokle. But it is sharky there. One guy went for a snorkle and a few minute later he was standing on a rock waving his arms..I thought he was saying hey come check this out...not..a bunch of little sharks got aggresive and chased him out of the water... I also got stuck on a ponga at low tide after dark cause the crew could not find a route thru the rocks...Had to walk back to the boat at night..along the jungle. felt like a pirate so I drank some rum when we got back...harharhar.

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  26. Tui Tai..she's had a face lift.

    http://www.surfresortfinder.com/destinations/fiji/tui-tai-expeditions/

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  27. vix on a bit of a ramp...I need it. :{

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  28. would love to see some weakness the next two days on some of these miners.....most are trending at the top of the two hours channel......bring um down...or...break um out.....either way

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  29. they couldn't let oil break out....hehhehehe......biatch slap

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  30. positions being built in DCTH again..

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  31. Oil and fuel wata scam. I read that CITIZENS OF the United States are using fuel at levels of 2002. There is no shortage. Any spike in fuel cost is met with decreased demand.

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    1. Did you catch the ZH piece that the Saudis are pumping just a bit more........
      betcha they got the call for sum help before the election not to mention they are most likely chitting their pants right now!


      btw: whats NOT a scam now a days..........

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  32. QCOR about to go back online after news release from company....short squeeze is going to be epic....

    scalp it..

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  33. nobody getting let back in on the miner trade.....just rotatiing small pullbacks in individual miners....PPP today AUMN recently.......boy this is rough for the sideliners

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  34. miners most finish on HOD.......hmmmmmmm

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  35. yep good showing. Vix is loaded and market seems poised to drop. Looking for that spark. Like China blow a trawler out of the west Japan sea.

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    1. yup....if that happens you can wake up to gold over $2000

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  36. So true, Tom..."what's not a scam these days?" Scandals/criminals abound. In case you missed this interview, at least one person in the U.S. is telling the truth, I'm surprised they let him teach at NYU of all places: http://news.goldseek.com/GoldSeek/1347977604.php

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  37. shtf...French close embassys all over da world. US Beruit embassy comes under attack. Thousand-thousands take to the streets in protest of USA.

    In short, we are screwed and not in a good way.

    Euro looks like it is going over the falls.

    Good Viewing Simpson of Simpson Boles:

    http://market-ticker.org/

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