Where is the "PPT"?
secondrepublic
Posts: 2,619 ✭✭✭
Are they on vacation? I thought there was some iron-clad law that they would never let gold rise this high again. 
"Men who had never shown any ability to make or increase fortunes for themselves abounded in brilliant plans for creating and increasing wealth for the country at large." Fiat Money Inflation in France, Andrew Dickson White (1912)
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<< <i>The boys are running for the hills. Not only have they realized that they can't win right now but with thier tools (banks) all fighting for thier own survival its hard to rally thier "charge" >>
It is simply incredible how far and fast the banks have plummeted, I've been watching wells fargo as a potential purchase for my IRA but with most of the other banks below $5 I think I'll pass at $9 and see how low they can go.
Buying Wells earlier today at $9 would possibly have been a coup de tat. On a par with buying BA in 1982 @$6.
I think they are a very sound bank with a sound a balance sheet as any of the biggee's. A few months ago they were 28 and you tell me why they have slipped as far as they have unless it's just bear market news. They may even go lower.
Do not make an investment decision based on this post. Use your instincts.
They could be on vacation. No one has seen Geither since the Davos meeting. But maybe he's bunkered down in an office dictating orders to his PPT team members. It's no secret the PPT exists and it's no secret they are into controlling the markets. This is a perfect time where they must be in it to prevent major meltdowns. To think that these guys aren't playing 10-12 hours a day right now in the markets is ludicrous. If not now then when?
With all the momentum working in gold the PPT is smart enough not to buck the flow when it could cost them in other areas. They will bide their time to allow enough newbies into this market and then try to bang it down. That might not be until $1030, or even $1050 to $1100. The big difference between March 2008 and Feb. 2009 is that the sheeple are more up on the PPT/FED/Treasury games than ever before. They are not shaking out as easily as before. They are also working against all the gold buying in Europe and Asia. This is not hedge fund buying as occured in Sept 2007-Feb 2008, but this is people buying all around the world (except in the US of course).
The PPT has been busy enough the last few days providing the S&P and DOW with relief rallys, esp at end of day. It's either that or we would have headed towards sub 7000/700 levels. That only thing keeping it up was the traders and the PPT. The big institutions wanted the markets down so they could buy cheaper and unload their shorts in the money as they expired today. A new slate begins Monday. Without PPT help those indexes would have tanked much further under institutional selling pressure. The dollar had been headed up by itself so attacking gold won't help that any. The major banks don't seem to have the fire power right to assault gold, so they are trying to keep their own stocks above water. It doesn't surprise me that gold and silver are the least of their worries with how much carnage is out in the broad markets (currencies, bonds, stocks, etc.).
If you look close though, there are tracks over the gold stocks that have kept them underperforming gold for the past few days. The PPT gets a lot of bang for the buck by naked shorting gold stocks. To dump the bullion market one either needs to create a ton of derivative short contracts or find real bullion to sell. Hint: there is not a whole lot of CB bullion heading to market soon. And how many people are lining up to take the counter trade on the short derivative contract at some obscene level of leverage? Maybe they are learning their lessons finally. Only a few thousand shorts added to the Comex futures this week. Not enough to make any difference. Compare that to the 28,000 shorts that JPM/HSBC/GS tacked on during one week in January. Still, the PPT is probably just too busy to really pay attention to gold right now. Give them a long weekend to come up with a game plan and I'm sure they can leave some bear tracks for you. But something tells me they don't have the cooperation right now of all the other nations that helped them to crush gold last year. Many of them are fighting their own battles with their own currencies and stock markets. With gold futures expirations coming next week, it's a better time for the PPT to take their shot, esp now that gold has breached $1000.
Gold will never hit $1000 again, and certainly never in 2009
Is that quote familiar? It should be. There are a number of "laughing heads" around here who made that very claim...even as late as December. Well here it is in February and we're already there...with 10 more months to kill. Let's not muddle up the issue of being 100% wrong on gold for months....it got there, and that's all there is to that.
Well, time to trot out that tired old band to start chanting for $650 gold again.......
roadrunner
With the IRS going after a Swiss bank, issuing summons on thousands of people they don't know exist, there is no safe place on Earth that compares to physical possession of real assets.
<< <i>With the IRS going after a Swiss bank, issuing summons on thousands of people they don't know exist, there is no safe place on Earth that compares to physical possession of real assets. >>
In the long run, that kind of aggressive behavior by the taxing authorities can only be positive for gold.
Gold is the signaler of inflation.....and also deflation now that we've proved both ends of the spectrum. It is in the interests of the govt to keep the inflation alarm bell silenced, to keep inflation understated, and to make money from it. It is therefore in their interests now to ring the deflation alarm bell with vigor so that they can go about their business with 100% approval of the sheep. I don't think the PPT counted on the grass roots support that gold is now getting from Europe, Asia, Australia, etc. It's one thing to try and beat the tiny Comex with paper games. But taking on the whole world when they want physical gold is another story. The gold buying has been going on following the March 2008 crash when the first disconnects betwen paper gold/silver first started showing up. It hasn't gone away, much to the consternation of those looking to buy back in cheap at $650/$6 or $700/$8 once premiums eroded. Whatever premiums may have eroded in that time have more than been made up by the price/oz. increasing. Maybe next year Nadler.
Rumor has it that the PPT was seen vacationing this week at Jeckyll Island.
roadrunner
Bingo! That's really the deal.
So, was the "buy signal" for gold when it touched $1,000.00, or was it when gold stays above $1,000.00 for a certain amount of time?
Or was it $1,030.00? I forget.
I knew it would happen.
"Interest rates, the price of money, are the most important market. And, perversely, they’re the market that’s most manipulated by the Fed." - Doug Casey
<< <i>Are they on vacation? I thought there was some iron-clad law that they would never let gold rise this high again.
Yes we were.
Knowledge is the enemy of fear
<< <i>Geither, what a joke. >>
What gets me is that the guy isn't even an economist. And it's not like he had any foresight to predict what was going to happen. Sheesh.... at least pick someone who made the right calls (the economists Nouriel Roubini and Robert Shiller come to mind).
The problem is that OBama is a lawyer. Not an economist. I'm a lawyer too, and I don't have anything against my profession. But by and large, lawyers don't know Jack about economics, and Obama is pretty much ignorant on the subject, as far as his background and education show. The scary thing is that he's relying mainly on people who are either not even economists (Geithner) or who are economists but never showed any foresight about what was about to happen (Summers, Bernanke).
Obama may be "smart" but he doesn't seem to know what he's doing. It's all a wing and a prayer.
<< <i>
<< <i>Geither, what a joke. >>
What gets me is that the guy isn't even an economist. And it's not like he had any foresight to predict what was going to happen. Sheesh.... at least pick someone who made the right calls (the economists Nouriel Roubini and Robert Shiller come to mind).
The problem is that OBama is a lawyer. Not an economist. I'm a lawyer too, and I don't have anything against my profession. But by and large, lawyers don't know Jack about economics, and Obama is pretty much ignorant on the subject, as far as his background and education show. The scary thing is that he's relying mainly on people who are either not even economists (Geithner) or who are economists but never showed any foresight about what was about to happen (Summers, Bernanke).
Obama may be "smart" but he doesn't seem to know what he's doing. It's all a wing and a prayer. >>
Make no mistake, Goldman Sachs runs this country and they're running it in the ground while the fill their pockets.
"Interest rates, the price of money, are the most important market. And, perversely, they’re the market that’s most manipulated by the Fed." - Doug Casey
These Social-Progressive-Marxist-Leninist-Industrial-Democrats are trying to reinvent the wheel by fear and Keynesian dictate.
Comrade Renski
These Social-Progressive-Marxist-Leninist-Industrial-Democrats are trying to reinvent the wheel by fear and Keynesian dictate.
Oh no! My worst fears are being realized - is that a paper cutout of Chairman Volker standing behind Obama in the press conferences?
I suspected as much. Do they make this economic stuff up as they go along, or is there some kinda manual available? Not that I'd read it.
I knew it would happen.
as well as some other things mentioned here.
UBS....... US brokers were advised to not comingle with Swiss accounts for US citizens. yet i'm sure that didn't stop them all, except for the whales of finance.
I think the contarian view was that once we got out of the trading range (ie $800-$990), and then set a new all time high, then an "official" bull market green sticker would be afixed to gold. So the green sticker has yet to be awarded by Oz. But my thinking is that those jumping on a new bull post-$1030 would have just missed the first 40% move. Buying in at $1040-$1100 with the very real chance of a pull back to under $1000 is quite realistic. Those newbies would bail and not touch it again....or at least not until $1200+.
The real buy signal for gold was back under $850 when the tide turned quite sharply. For a better buy in point, check with Nadler and see if he has any vacant seats on his $650/oz. chartered bus. It may be a long wait but the upside is that the downside is limited.
Geithner falls into a long line of Treasury Chiefs that were hand selected because of their ties to key Wall Street Banks and their willingness to follow the play book created in 1913. Geither was right at Greenspan's and Paulson's side when the current mess was being concocted and sent into overtime. It matters little to TPTB of his knowledge in economics, but only that he is a member of the club and will follow the guidelines presented to him. In that respect he is a perfect choice considering the continuity.
roadrunner
Where's the PPT? I can only surmise that their gold-dampening activities must have been interfering with some other objectives of the Obama Team.
With Trillions of dollars in imaginary bonds held by deadbeat counterparties to worry about, I suspect that gold is only a consideration where appearances are concerned, such as an inflation indicator. The big money flows probably merit more elaborate planning and execution, and thereby have higher priority.
I knew it would happen.
What better day to maximize the ammo than to short gold when:
1. Obama is speaking to the nation on the economy (state of the Union) and the stimulus bill tonight. He needs to calm the masses and restore confidence. Gold knocking on $1000 door again is not what they want. They also don't want oil to rise yet either.
2. Bernake is being grilled by the Senate Banking committee this am. Whatever confidence Helicopter Pilot Ben can provide, has to happen to flow into tonight's broadcast.
3. The stock market is teetering at the 7200/750 points and hasn't been able to muster any strength for quite some time. 6000 was starting to look like the next step.
4. Gold has been too strong for too long
5. Gold options expiration day today....Wed are the futures. The commerical shorts want to maximize their payback.
6. Uptick rule still suspended
I think they picked a perfect day for a surprise gold hit and stock market lift. It was important to boost the market prior to Obama speaking tonight, so that he can hopefully help to boost it further. It has been hanging on a precipice as of late. I didn't see anything that should have helped lift the broad markets this morning....other than PPT assistance.
Soon they will formally announce the suspension of mark to market accounting for worthless SIV assets. Just remember the golden rule that Bush/Greenspan/Paulson followed: when the President speaks to the nation, the markets must go up and gold should go down. However that is accomplished is secondary to the mission.
roadrunner