Gold and Silver advance/Cannot get any physical gold or silver from Bank of Nova Scotia
Is Dick Fuld running this show? The Eurozone bailout, now being referred to as Euro TARP,
is doomed to fail. While nothing has been officially announced the
markets are rallying broadly on the back of a news article published by
CNBC on Monday. The
details are lacking as to the actual structure but speculation is
already running rampant across the financial markets as to what it
might look like. What is presumed is that Euro TARP will follow the
proposal originally proffered by Tim Geithner
on his European trip recently. That proposal had been widely dismissed
by the G20 as they couldn't come to terms on any type of structure.
The current idea outlined by CNBC will bypass the G20 entirely and
allow the European Investment Bank (EIB), a bank owned by the member
states of the European Union, to take money from the European Financial
Stability Facility (EFSF) and capitalize a special purpose vehicle
(SPV) that it will create. The SPV will then issue bonds to investors
and use the proceeds to purchase sovereign debt of distressed
European states, which will hopefully alleviate the pressure on the
distressed states (PIIGS) and the European banks that already own their
sovereign debt. If alarm bells aren't already going off they will be
in just moment as you get the gist of the rest of this disastrous plan.
HSBC
has just released their latest weekly hedge fund return compilation
report. There is no sugarcoating this: it is a complete bloodbath. It
is no surprise why hedge funds are desperate to pull off any sort of
month end rally. Without it we fear the hedge fund space, which at last
check was approaching $2 trillion in AUM, will collapse by 25% after
the new year when the full carnage of the redemption requests is made
public. And while we know that Paulson is a, well, liquidator is such a
harsh word, but if the word fits (unless of course he makes whole all
of his more "senior" investors with his personal cash, something which
has been vaguely rumored), we certainly had no idea just how pervasive
the decimation within the hedge funds ranks was until we saw the
mid-September results. We really, really hope the collusive short
squeeze-cum-month end rally works out for the hedge fund community,
becuase it really will be "or else."
Weimar hyperinflation "When Money Dies" PDF file
Jim Sinclair’s Commentary
International cooperation seems lacking.
Germany slams ‘stupid’ US plans to boost EU rescue fund
Germany and America were on a collision course on Tuesday night over the handling of Europe’s debt crisis after Berlin savaged plans to boost the EU rescue fund as a "stupid idea" and told the White House to sort out its own mess before giving gratuitous advice to others. By Ambrose Evans-Pritchard
8:51PM BST 27 Sep 2011
German finance minister Wolfgang Schauble said it would be a folly to boost the EU’s bail-out machinery (EFSF) beyond its €440bn lending limit by deploying leverage to up to €2 trillion, perhaps by raising funds from the European Central Bank.
"I don’t understand how anyone in the European Commission can have such a stupid idea. The result would be to endanger the AAA sovereign debt ratings of other member states. It makes no sense," he said.
Mr Schauble told Washington to mind its own businesss after President Barack Obama rebuked EU leaders for failing to recapitalise banks and allowing the debt crisis to escalate to the point where it is "scaring the world".
"It’s always much easier to give advice to others than to decide for yourself. I am well prepared to give advice to the US government," he said.
The comments risk irritating the White House. US Treasury Secretary Tim Geithner has been a key driver of plans to give the EFSF enough firepower to shore up Italy and Spain, fearing a drift into "cascading default, bank runs and catastrophic risk" without dramatic action.
The danger for Germany is that America will lose patience, with unpredictable consequences. The US Federal Reserve is currently propping up the European banking system in a variety of ways, including dollar swaps.
More…
Jim Sinclair’s Commentary
Gold is a lot more than simply the paper exchanges.
Asia Gold: Buyers rush in after price slump; premiums up
SINGAPORE/MUMBAI – Asia’s gold bugs have raced to snatch up physical material after the sharp correction in prices, just as the world’s biggest gold consumer India prepares for its festival season.
The surge in buying interest boosted gold premiums in the region. In Tokyo, the spread between local and global prices returned to the positive territory for the first time since March.
A strong rally in the dollar and margin calls triggered a 10-per cent tumble over just four sessions in spot gold.
Prices fell to a 7-1/2-month low of US$1,534.49 (S$1,971.97) on Monday, 20 per cent below the record of US$1,920.30 hit in early September, and rebounded to about US$1,650.
"We’ve seen a lot of buy-on-dip type on the physical market," said Dick Poon, manager of precious metals at Heraeus in Hong Kong. "While speculators were busy liquidating their positions on the futures market, we didn’t see any selling of physical material."
Poon said the strong investment interest in gold from the region is likely to support the bullish sentiment in bullion.
More…
Jim Sinclair’s Commentary
The following note is from our good friend Kenny:
Dear CIGAs,
Today’s hard overrun of MAJOR support at $1584/$1675 and down to a low of $1535 (in spite of Friday’s punch down into that major support on a low of $1631.70), produced a 105 point rally action back up to $1640, and a close of $1630. We did not expect an overrun of 1584 at worst, but today’s rally back and close into the core of the support bracket itself indicates the beginning of a bottom action has begun.
We now expect a bottom action to occur at or above today’s low of $1535. Today’s extreme sell off and hard rally action does make the possibility of a narrow bottom quite possible.
The drop from $1923.70 to $1535 has generated an impressive wall of resistance, but which could be overcome in relatively short order if gold generates a narrow V bottom followed by hard rally action. Even so, the bottom should be visibly resolved here within another 14 to 15 days at most ff we are to have a moderately fast or a fast return to a test of the recent high ($1923.70), and thereafter, higher highs.
Our internal figures remain long term bullish…
Good
evening Ladies and Gentlemen:
As I promised you last night, gold and silver would advance as the
shorters who try and cover their non backed supply of paper come in
contact with the huge number of buyers wishing to buy metals. When you
have an absence of sellers and a plethora of buyers, the price rises.
Gold rose by $58.10 to $1650.60 by comex closing time. The price of
silver rose by
Scotia Macotta - out of 1 oz/5 oz bars and 1oz Gold coins
Weren't people supposed to SELL their Gold in the liquidation Gartman Bubble
selloff? Blythe, you are in Barney Rubble soon!
Click here for Scotia Macotta...
Position Limits Oct 18th. Delayed again. Most likely will be delayed on Oct 13, for another 34 years or until JPM has covered.
I'm with Pete on this one LOL. I have given up on this.
Federal rules set to rein in speculative commodities trading face further
delays, as regulators struggle to finalize the controversial proposal amid
threats of legal challenges.
The Commodity Futures Trading Commission decided on Tuesday to push back an
Oct. 4 meeting during which the agency had been scheduled to vote on the
rules. The commission’s chairman, Gary Gensler, *is expected to notify his
fellow commissioners that the agency is likely to take up the proposal on
Oct. 18*.
Bart Chilton, a Democratic member of the agency... more »
About
a month ago, after everyone in the wholly conflicted media (just ask
one question: who pays all that advertising money - nuf said), on both
the left and the right, was ignoring the most promising presidential
candidate this country has had in decades, Jon Stewart decided to take
Ron Paul under his wing, and made it clear that while those who don't
matter can pretend to ignore Ron, the one man who does, and who reaches
more than most of the legacy "serious media" combined, has certainly
noticed Paul. Naturally Stewart could have left it there, especially
given his own personal political view. To his great credit, he did not.
Instead last night in an extended exclusive interview, he presented
Ron Paul in a way that he should have been presented from the
beginning: no tricks, no gotchas, no gimmicks, no commercial breaks
every 45 seconds. Hopefully this is the beginning of the transition of
the Paul campaign to one where he has enough critical mass to be taken
seriously by everyone - something "everyone" should be doing regardless.
Jon Stewart's Extended Interview With Ron Paul
About
a month ago, after everyone in the wholly conflicted media (just ask
one question: who pays all that advertising money - nuf said), on both
the left and the right, was ignoring the most promising presidential
candidate this country has had in decades, Jon Stewart decided to take
Ron Paul under his wing, and made it clear that while those who don't
matter can pretend to ignore Ron, the one man who does, and who reaches
more than most of the legacy "serious media" combined, has certainly
noticed Paul. Naturally Stewart could have left it there, especially
given his own personal political view. To his great credit, he did not.
Instead last night in an extended exclusive interview, he presented
Ron Paul in a way that he should have been presented from the
beginning: no tricks, no gotchas, no gimmicks, no commercial breaks
every 45 seconds. Hopefully this is the beginning of the transition of
the Paul campaign to one where he has enough critical mass to be taken
seriously by everyone - something "everyone" should be doing regardless.Guest Post: Euro Tarp - Why It Will Be A Screaming Failure
Is Dick Fuld running this show? The Eurozone bailout, now being referred to as Euro TARP,
is doomed to fail. While nothing has been officially announced the
markets are rallying broadly on the back of a news article published by
CNBC on Monday. The
details are lacking as to the actual structure but speculation is
already running rampant across the financial markets as to what it
might look like. What is presumed is that Euro TARP will follow the
proposal originally proffered by Tim Geithner
on his European trip recently. That proposal had been widely dismissed
by the G20 as they couldn't come to terms on any type of structure.
The current idea outlined by CNBC will bypass the G20 entirely and
allow the European Investment Bank (EIB), a bank owned by the member
states of the European Union, to take money from the European Financial
Stability Facility (EFSF) and capitalize a special purpose vehicle
(SPV) that it will create. The SPV will then issue bonds to investors
and use the proceeds to purchase sovereign debt of distressed
European states, which will hopefully alleviate the pressure on the
distressed states (PIIGS) and the European banks that already own their
sovereign debt. If alarm bells aren't already going off they will be
in just moment as you get the gist of the rest of this disastrous plan."The Carnage...The Carnage..." - Presenting The Complete September And YTD Hedge Fund Bloodbath
HSBC
has just released their latest weekly hedge fund return compilation
report. There is no sugarcoating this: it is a complete bloodbath. It
is no surprise why hedge funds are desperate to pull off any sort of
month end rally. Without it we fear the hedge fund space, which at last
check was approaching $2 trillion in AUM, will collapse by 25% after
the new year when the full carnage of the redemption requests is made
public. And while we know that Paulson is a, well, liquidator is such a
harsh word, but if the word fits (unless of course he makes whole all
of his more "senior" investors with his personal cash, something which
has been vaguely rumored), we certainly had no idea just how pervasive
the decimation within the hedge funds ranks was until we saw the
mid-September results. We really, really hope the collusive short
squeeze-cum-month end rally works out for the hedge fund community,
becuase it really will be "or else."Doug Casey: How To Prepare For When Money Dies
I'd say the world's biggest bubble is real estate in China, but real estate bubbles are just starting to deflate elsewhere, too—in Australia and Canada, for example. It's relatively hard to short real estate, of course. Shorting bank stocks is an indirect way to play it. I'd say bonds are the short sale of the century. They're going to be destroyed. Bonds pose a triple threat to capital because:- Interest rates are artificially low, and as interest rates rise—which they must—bonds will fall.
- Bonds are denominated in currencies, and most currencies, let's say dollars, are going to lose a lot of value.
- The credit risk of most bonds, certainly those issued by governments, is high.
Weimar hyperinflation "When Money Dies" PDF file
September 27, 2011, at 6:27 pm
by Jim Sinclair in the category In The News |
Print This Post | 
Email This Post
by Jim Sinclair in the category In The News |
Print This Post | Email This PostJim Sinclair’s Commentary
International cooperation seems lacking.
Germany slams ‘stupid’ US plans to boost EU rescue fund
Germany and America were on a collision course on Tuesday night over the handling of Europe’s debt crisis after Berlin savaged plans to boost the EU rescue fund as a "stupid idea" and told the White House to sort out its own mess before giving gratuitous advice to others. By Ambrose Evans-Pritchard
8:51PM BST 27 Sep 2011
German finance minister Wolfgang Schauble said it would be a folly to boost the EU’s bail-out machinery (EFSF) beyond its €440bn lending limit by deploying leverage to up to €2 trillion, perhaps by raising funds from the European Central Bank.
"I don’t understand how anyone in the European Commission can have such a stupid idea. The result would be to endanger the AAA sovereign debt ratings of other member states. It makes no sense," he said.
Mr Schauble told Washington to mind its own businesss after President Barack Obama rebuked EU leaders for failing to recapitalise banks and allowing the debt crisis to escalate to the point where it is "scaring the world".
"It’s always much easier to give advice to others than to decide for yourself. I am well prepared to give advice to the US government," he said.
The comments risk irritating the White House. US Treasury Secretary Tim Geithner has been a key driver of plans to give the EFSF enough firepower to shore up Italy and Spain, fearing a drift into "cascading default, bank runs and catastrophic risk" without dramatic action.
The danger for Germany is that America will lose patience, with unpredictable consequences. The US Federal Reserve is currently propping up the European banking system in a variety of ways, including dollar swaps.
More…
Jim Sinclair’s Commentary
Gold is a lot more than simply the paper exchanges.
Asia Gold: Buyers rush in after price slump; premiums up
SINGAPORE/MUMBAI – Asia’s gold bugs have raced to snatch up physical material after the sharp correction in prices, just as the world’s biggest gold consumer India prepares for its festival season.
The surge in buying interest boosted gold premiums in the region. In Tokyo, the spread between local and global prices returned to the positive territory for the first time since March.
A strong rally in the dollar and margin calls triggered a 10-per cent tumble over just four sessions in spot gold.
Prices fell to a 7-1/2-month low of US$1,534.49 (S$1,971.97) on Monday, 20 per cent below the record of US$1,920.30 hit in early September, and rebounded to about US$1,650.
"We’ve seen a lot of buy-on-dip type on the physical market," said Dick Poon, manager of precious metals at Heraeus in Hong Kong. "While speculators were busy liquidating their positions on the futures market, we didn’t see any selling of physical material."
Poon said the strong investment interest in gold from the region is likely to support the bullish sentiment in bullion.
More…
September 27, 2011, at 9:44 am
by Jim Sinclair in the category General Editorial | Print This Post | Email This Post
by Jim Sinclair in the category General Editorial |
Print This Post | Email This PostJim Sinclair’s Commentary
The following note is from our good friend Kenny:
Dear CIGAs,
Today’s hard overrun of MAJOR support at $1584/$1675 and down to a low of $1535 (in spite of Friday’s punch down into that major support on a low of $1631.70), produced a 105 point rally action back up to $1640, and a close of $1630. We did not expect an overrun of 1584 at worst, but today’s rally back and close into the core of the support bracket itself indicates the beginning of a bottom action has begun.
We now expect a bottom action to occur at or above today’s low of $1535. Today’s extreme sell off and hard rally action does make the possibility of a narrow bottom quite possible.
The drop from $1923.70 to $1535 has generated an impressive wall of resistance, but which could be overcome in relatively short order if gold generates a narrow V bottom followed by hard rally action. Even so, the bottom should be visibly resolved here within another 14 to 15 days at most ff we are to have a moderately fast or a fast return to a test of the recent high ($1923.70), and thereafter, higher highs.
Our internal figures remain long term bullish…
09/27/2011 - 16:07
![[Most Recent Quotes from www.kitco.com]](http://www.kitconet.com/charts/metals/gold/t24_au_en_usoz_2.gif)
![[Most Recent Quotes from www.kitco.com]](http://www.kitconet.com/charts/metals/silver/t24_ag_en_usoz_2.gif)
No comments:
Post a Comment