Utah doubles down on gold laws amid inflation fears, distrust of Fed

 

 

Gold’s Price Is A Product Of Debt

Posted: Apr 01 2011     By: Jim Sinclair      Post Edited: April 1, 2011 at 12:58 pm
Filed under: General Editorial

Dear Friends,
Gold is a product of debt, not business activity.
If there was no business and no debt there would not be any interest in gold.
If there was good business and no debt there would not be much interest in gold.
When there is over the top Western world debt in either good or bad business gold goes over the top.
When there is a problem with the reserve currency over Western world debt, by default gold goes over the top, re-enters monetary system holdings, and makes 80% of the gains it will make.
Respectfully,
Jim

How The Fed Gave Goldman Millions In Exchange For Defaulted Bond Collateral

Submitted by Tyler Durden on 04/01/2011 16:08 -0400

While it is no surprise that the day after Lehman failed, every single bank scrambled to the Fed to soak up any and all available liquidity after confidence in the entire ponzi collapsed, what is a little surprising is that of the 6 banks that came running to papa Ben, and specifically his Primary Dealer Credit Facility, recently upgraded, or rather, downgraded to accept collateral of any type, two banks (in addition to Lehman of course which at this point was bankrupt and was forced to hand over everything to triparty clearer JPM), had the temerity to pledge bonds that had defaulted (i.e. had a rating of D). As in bankrupt, and pretty much worthless. Now that the Fed would accept Defaulted bonds as collateral: or "assets" that have no value whatsoever is a different story. What is notable is that the two banks that did so were not the crappy banks such as Citi or Morgan Stanley, but the two defined as best of breed: Goldman Sachs and JP Morgan. It is probably best left to the now defunct FCIC to determine if this disclosure is something that should also be pursued in addition to recent disclosure that Gary Cohn may have perjured himself by not disclosing truthfully his bank's discount window participation. However, we can't help but be amused by the fact that of all banks, the ironclad Goldman and JPM would be the only ones in addition to bankrupt Lehman to resort to something so low.

Here Come "The Boots On The Ground": EU Approves "Possible" Military Operation For Libya

Submitted by Tyler Durden on 04/01/2011 14:49 -0400

While it has been made very clear that no US "boots" would be on the ground in Libya, except for those beloning to CIA operatives of course, no such stigma applies to Europe. Which is why we were not surprised to read the following from RIA Novosti: "The European Council on Friday approved the decision to mount an EU military operation to support humanitarian efforts in Libya, if asked to do so by the United Nations. "The EU will, if requested by the UN Office for the Coordination of Humanitarian Affairs (OCHA), conduct a military operation in...order to support humanitarian assistance in the region," the council statement read." Of course, humantiarian assistance only works best with silver tipped warheads and laser scopes. And honestly who didn' expect that the goal for Triopli's oil would mean a land invasion any minute? Oil most certainly did, with WTI just closing at a fresh 2.5 year high of $108.

Seth Lipsky: When private money becomes a felony offense

 

Record silver backwardation threatens dollar, Turk tells King World News

 

If they're so tired of a depreciating currency, they can use gold

 

Hourly Action In Gold From Trader Dan

Posted: Apr 01 2011     By: Dan Norcini      Post Edited: April 1, 2011 at 1:41 pm
Filed under: Trader Dan Norcini

Dear CIGAs,
Click chart to enlarge in PDF format with commentary from Trader Dan Norcini
For further market analysis and commentary, please see Trader Dan’s website at www.traderdan.net





Chart of the Day: Silver Coin Mania.

 

 

 

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