Let me tell you guys something. I went to Sclazi Park today so my son and freind could use the skate park but it was locked until April !. They jumped the fence and had a blast with no one there. It was absolutely beautiful. My dog ran free all around the large fields and the sunset was amazing. There was not one other person or car there. This is a very big place. As we were leaving (it was dark) I was amazed to see that the tennis courts were lighted. But for who?? No one was there. We drove to Greenwich CT and had a great dinner. I took Route 1 , The Boston Post Road south toward home so the kids could see the exotic cars at the showrooms. We actually saw the amazing 16 cylinder VW can't pronounce the name of that car that goes 251 MPH and sells for I guess around $400,000.00 They were shooting a commercial at Miller Motor Cars so we saw the car drive out of the showroom and into the parking lot. My god how much money is up there. We saw Maseratis, Bentlys, you name it!! Where did I go wrong. There is a lot of money up there. I mean gobs of it. This country is giving so much money to a few while so many are starving, homeless, jobless and suffering without proper medical attention.
I am personally upset when I learned tonight that a relative of mine is getting a free ride that he does not deserve. I wish I could vent and say what it is but can't. Hopefully he does not read this board.
I see how people around me are profiting on others by preying on them.
This country is not in good shape.
I would not be surprised if we saw some people lose it and do things that are hurtful to those whom they feel robbed them of there lives.
How can some be paid so much while others scrape for whatever they can find.
Think of those who are sick and dying because they helped at the World Trade Center disaster. It's not 911, its what I just said. Lets stop branding and marketing disasters. What about those from Katrina?, Rita? The floods? Tornadoes? I don't mean to leave anything out.
I know Darfur is ugly. And the Tusanmi. We aren't talking about that anymore but the devastation is still there.
The tide comes and goes. The money flows the same way. Out of the pockets of those who need it and into the already stuffed pockets of others. Like the guy who looks like he slept in his suit. He has so much. Why not help out a little. if he dies of a heart attack tomorrow is he leaving it for a good cause. I am just disgusted right now. The fed dropped the rate just in time for my town to increase our annual tax bill. Another 2%.
Like I said, it comes right out of one persons pocket and into another.
Help me to understand.
Thank you
Ships are safe in harbor but thats not what ships were built for.
<< <i>Let me tell you guys something. I went to Sclazi Park today so my son and freind could use the skate park but it was locked until April !. They jumped the fence and had a blast with no one there. It was absolutely beautiful. My dog ran free all around the large fields and the sunset was amazing. There was not one other person or car there. This is a very big place. As we were leaving (it was dark) I was amazed to see that the tennis courts were lighted. But for who?? No one was there. We drove to Greenwich CT and had a great dinner. I took Route 1 , The Boston Post Road south toward home so the kids could see the exotic cars at the showrooms. We actually saw the amazing 16 cylinder VW can't pronounce the name of that car that goes 251 MPH and sells for I guess around $400,000.00 They were shooting a commercial at Miller Motor Cars so we saw the car drive out of the showroom and into the parking lot. My god how much money is up there. We saw Maseratis, Bentlys, you name it!! Where did I go wrong. There is a lot of money up there. I mean gobs of it. This country is giving so much money to a few while so many are starving, homeless, jobless and suffering without proper medical attention.
I am personally upset when I learned tonight that a relative of mine is getting a free ride that he does not deserve. I wish I could vent and say what it is but can't. Hopefully he does not read this board.
I see how people around me are profiting on others by preying on them.
This country is not in good shape.
I would not be surprised if we saw some people lose it and do things that are hurtful to those whom they feel robbed them of there lives.
How can some be paid so much while others scrape for whatever they can find.
Think of those who are sick and dying because they helped at the World Trade Center disaster. It's not 911, its what I just said. Lets stop branding and marketing disasters. What about those from Katrina?, Rita? The floods? Tornadoes? I don't mean to leave anything out.
I know Darfur is ugly. And the Tusanmi. We aren't talking about that anymore but the devastation is still there.
The tide comes and goes. The money flows the same way. Out of the pockets of those who need it and into the already stuffed pockets of others. Like the guy who looks like he slept in his suit. He has so much. Why not help out a little. if he dies of a heart attack tomorrow is he leaving it for a good cause. I am just disgusted right now. The fed dropped the rate just in time for my town to increase our annual tax bill. Another 2%.
Like I said, it comes right out of one persons pocket and into another.
Help me to understand.
Thank you >>
The way of this world.
The best understanding that I can give for it is...... that in the end, all things even up and each will be rewarded (or punished) for their deeds in life.
We need to hammer down what this country's position genuinely is on free enterprise. We can't have the progression toward backdoor monopolies at the same time we perform wholesale bail outs of companies or entire industries. And every time we bring up regulation it is fiercely opposed with concessions of self-regulation out of dire international competitive requirements. Who should be running this country? Should it be proportional to wealth with the argument that the more money one entity has the higher their stake? Should it be one person one vote with equal representation in government? Big business is p*zzyfooting around the core in sayiong what they are really doing in this country, though it is abundantly clear. We don't choose our representation. Competing special interests with focused money provide their candidates to us. Never in the individual's or even a demographic's specific interest, but in collective big money interest. The problem isn't that big business needs to go away. It is that everything is unbalanced to a dangerous degree. True, rebalancing would inhibit growth some, but unrestrained growth is not in the nation's best interest despite what their loudmouths would say in other words. The other big problem is fat and complacent voters who make their decisions on superfluous issues, dangled like carrots in 20 second commercials usually misrepresented even. Ask them to name even one of their state legislators and you'll find a huge statistical disparity between answers there and naming an American Idol winner. Keep them entertained with trite BS and pass them a beer and they'll assume the Alfred E. Newman mantra.
I have to agree with the others. Those proposals would destroy the USA.
And about this....1. It is most unusual to see the markets go up, prior to a three day weekend. It is counter intuitive and does not seem to make any sense
I believe if you were to study the markets that you would find the days preceeding 3-day weekends are up more than they are down. I see nothing "wrong" about last Thursday's activity in either the equity or precious metals markets.
When one becomes emotionally involved in markets it is best to take a few steps backward and be an observer.
All opinions are well put. I am glad others don't mind speaking up for their beliefs be them popular, in agreement or individual. That's what makes thus country great!
Ships are safe in harbor but thats not what ships were built for.
The Hunt Brothers would have certainly have reached 16:1 w/o FED intervention and instantaneous margin requirement changes. As it was they still got it down to under 20:1 which is quite admirable by any standard. One single family against the entire gang of silver commercials + Wall Street. It was the last time the silver market was anything close to a "true market."
Some Barrick DIRT - links between JPMorgan, Barrick, Bush, etc. Linking the world's biggest derivatives banker with probably the world's most heavily hedged/derivatized producing gold miner: From GIM Axetone's thread:
The J Taylor interview …
EXPLAINING A SPOT DEFERRED CONTRACT …
Doyle: A normal short sale would be a lousy device to manipulate a market because a short sale is inherently speculative and dangerous. If you sell something short, the upside potential of your investment is limited but your downside is unlimited.
Taylor: Right. Your upside is limited because the price of an item can’t go below zero but in theory it can rise to infinity.
Doyle: Exactly. However, Barrick’s spot deferred sales contracts are super-short sales of gold – short sales on steroids. The gold used to make the short sale is borrowed by J.P. Morgan for Barrick’s account.
The borrowed gold is immediately sold into the market and the dollar proceeds from the sale of the gold are invested in money market instruments that produce a higher rate of return than the gold lease rate. From 1996 through 2001, J.P. Morgan loaned gold to Barrick at a lease rate of approximately 1.5%. J.P. Morgan then reinvested the proceeds at a rate of interest of approximately 6.5%. The 5% interest premium, or “contango” was profit to Barrick. If the price of gold fell, Barrick realized additional profit. A sweet deal. But what made the spot-deferred sales contracts truly extraordinary was the fact that, with most of the contracts, Barrick had 15 years to repay the borrowed gold; had no margin calls at any gold price; and had “evergreen” provisions that effectively restarted the 15-year term each year.
Taylor: Our subscribers are familiar with what is known as the gold-carry trade but that normally didn’t involve long-term loans and it normally would involve margin payment requirements if the gold price began to rise. Is this the only case you know of which involved such long term loans and no margin?
Doyle: It’s the only one we have been able to find. Barrick itself says its spot deferred contracts are unique. What is most interesting is that these began back in 1988 when Barrick described itself as a smaller, higher cost producer with a weak balance sheet. So you have to ask yourself the question, why would someone be willing to lend gold with no margin calls for ten years or more if he didn’t have the absolute certainty that it is going to be repaid? We don’t know what other kinds of credit enhancement were provided. We don’t know what the reasons were for J.P. Morgan extending such generous terms.
Taylor: Right. Why would J.P. Morgan make such seeming extraordinarily reckless loans to such a noncredit worthy borrower?
Doyle: J.P. Morgan does say in their answer to our complaint that they have legitimate business.
Now if that isn’t enough why not examine the various US and Canadian political elites that have been board members .
EXPLAINING PAST AND PRESENT BARRICK BOARD MEMBERS …
Doyle: Barrick actually has two boards - its Board of Directors and its “International Advisory Board.” Brian Mulroney, the former Prime Minister of Canada, is a member of Barrick’s Board of Directors and is the Chairman of Barrick’s International Advisory Board. Former President George Bush served as Honorary Senior Advisor to Barrick’s International Advisory Board. Members of that Board have included Karl Otto Pohl, former President of the German central bank; Senator Howard H. Baker, a former Majority Leader of the U.S. Senate and White House Chief of Staff; Senator William Cohen, a former U.S. Secretary of Defense; Andrew Young, a former U.S. Ambassador to the United Nations and Mayor of Atlanta; and Vernon Jordan, a former President of the Urban League, NAACP Field Secretary and a former Senior Partner in Akin, Gump, Strauss and Feld.
Taylor: Wasn’t there a CIA connection with Barrick?
Doyle: The CIA connection was actually through Barrick’s initial investors. At its inception, Barrick’s principal investors were Saudi Arabians who had close ties to the Saudi Intelligence Services, or to the CIA, or to both. Those Saudi Investors were Sheikh Kamal Adham, the head of Saudi Intelligent Services at the same time that President Bush was head of the CIA; Adnan Khashoggi, the first of the Saudi investors in Barrick; and Prince Nawaf bin Abdul Aziz, one of the biggest of the initial shareholders in Barrick and now head of Saudi Intelligence Services. Sheikh Adham was the CIA’s principal liaison to the Middle East and was so closely tied to the CIA that he even had an agency codename: “Tumbleweed.”
Taylor: What do these colorful folks know about the mining industry? I’m sure Barrick has had some technically competent folks on their board who know the mining industry. But many of these people of influence in the company appear not to have any substantial knowledge of the mining industry. Herbert Hoover was a mining engineer so his addition to a mining company board might make sense. But George Bush? Brian Mulroney?
Doyle: We failed to find any connection that the Advisory Board members had with mining, mineral development or geological engineering.
Now lets look at the JP Morgan and Barrick Gold connection a little closer …
EXPLAINING THE BEGINNINGS OF THE JP MORGAN & BARRICK UNION …
Doyle: Barrick and J.P. Morgan have a contractual relationship through the spot deferred sales contracts and the master trading agreements that govern the operation of those spot deferred contracts. During the course of the trial of the motions to dismiss that were filed by J.P. Morgan, they claimed that Blanchard had failed to allege a viable economic motive for them to participate in the conspiracy with Barrick. What Blanchard discovered and included in our later filings was that, from 1996 though 2001, J.P. Morgan had an ownership interest in Barrick! To give you a bit of background – it will give you whiplash following this, but here it is.
The controlling shareholder of Barrick in 1994 was Horsham. In 1994, Horsham joined with Argo Partnership, LP, which was an investment partnership in which J.P. Morgan Securities owned a partnership interest, and acquired a controlling interest in Trizec Corporation. In 1996, the remaining equity in Trizec Corp was acquired by Horsham and the interests of Horsham and Argo were merged to form TrizecHahn Corporation, which became the controlling shareholder of Barrick.
Taylor: So J.P. Morgan then actually had a controlling interest in Barrick?
Doyle: TrizecHahn did. And J.P. Morgan – through Argo – became a significant beneficial owner in Trizec Hahn. At the same time, the Managing Director of J.P. Morgan Capital Corp became a director of TrizecHahn and also served as a member of its audit and executive committees. Securities and Exchange Commission filings show that the ownership in Argo were held by J.P. Morgan Capital Corp and J.P. Morgan Securities Inc. In its 1999 Annual Report, TrizecHahn said that it realized $1.3 billion or 1,600% on its original investment in Barrick!
Obviously there is collusion going on here … In the words of Bill O’Reilley of the NO SPIN Factor … What say you?
The Hunts did have a Sinclair advising them, but that was only after they were told to pack their bags.
Today the inbreeding runs deep: FED = JPMorgan = Barrick = ?? No wonder so many good deals are being given out by the FED! Too bad JPM had to give back $8/share.
I posted this on the "What is happening with silver" thread, but I think it's worth posting here as well:
We seem to have a double headed monster. There actually is a bit of a scarcity and second, the wholesalers aren't willing to sell at a loss.
I can grab a nice batch tomorrow of .999 refined, but it's going to cost me in the $17.50 range. Some wholesalers are willing to sell some at a loss just to keep up the cash flow. It's good to have friends in the right places.
The real underlying issue here is that there is a real scarcity factor starting to appear. It can only get larger.
Edit from that post now several hours later, it appears the Asian market is pushing spot back up so it's likely to cost me in the $18 range now, maybe more if the spot price continues to move up tomorrow.
What really grabbed my attention was the fact that there is, in fact, a scarcity issue beginning to rear it's head.
It's common knowledge among some that there is only around 50% of refined .999 silver in comparison to refined gold. Silver is by far the scarcer metal by a factor of 2 to 1.
Prices are going to have to reflect that sooner or later. Hopefully sooner.
"Lenin is certainly right. There is no subtler or more severe means of overturning the existing basis of society(destroy capitalism) than to debauch the currency. The process engages all the hidden forces of economic law on the side of destruction, and it does it in a manner which not one man in a million is able to diagnose." John Marnard Keynes, The Economic Consequences of the Peace, 1920, page 235ff
<< <i>I posted this on the "What is happening with silver" thread, but I think it's worth posting here as well:
We seem to have a double headed monster. There actually is a bit of a scarcity and second, the wholesalers aren't willing to sell at a loss.
I can grab a nice batch tomorrow of .999 refined, but it's going to cost me in the $17.50 range. Some wholesalers are willing to sell some at a loss just to keep up the cash flow. It's good to have friends in the right places.
The real underlying issue here is that there is a real scarcity factor starting to appear. It can only get larger.
Edit from that post now several hours later, it appears the Asian market is pushing spot back up so it's likely to cost me in the $18 range now, maybe more if the spot price continues to move up tomorrow.
What really grabbed my attention was the fact that there is, in fact, a scarcity issue beginning to rear it's head.
It's common knowledge among some that there is only around 50% of refined .999 silver in comparison to refined gold. Silver is by far the scarcer metal by a factor of 2 to 1.
Prices are going to have to reflect that sooner or later. Hopefully sooner. >>
if it keeps going i wonder how they will spin it on CNBC, i thought they were ready to toss confetti today and bring out a matador, it was real garbage on the air today (IMHO)
<< <i>Members of this Forum tend to be fiscally conservative.
Most on the Forum have fixed rate mortgages at the lower end of the spectrum.
Most of Forum members have hard assets such as rare coins, silver or gold.
Most Forum members have guns and lots of ammunition. >>
Bear,
Great post from 2004!!!!!!!!!!!!!!!!!!!!!! >>
Well, there's certainly no argument there. I'd say that's spot on.
I remember reading an article shortly after the last mid-term election and Pelosi was pushing a bill to outlaw ammunition since she knew she could never overturn the 2nd Amendment. Within a month I purchased almost 20,000 rounds in the two calibers I needed. This is the place to go.
The stuff keeps forever, so I'm well stocked in that area.
"Lenin is certainly right. There is no subtler or more severe means of overturning the existing basis of society(destroy capitalism) than to debauch the currency. The process engages all the hidden forces of economic law on the side of destruction, and it does it in a manner which not one man in a million is able to diagnose." John Marnard Keynes, The Economic Consequences of the Peace, 1920, page 235ff
You can become a member for $15 a year, IIRC, and get an additional 10% off everything. The membership pays for itself in your first order, plus you then get the monthly catalog with regular specials.
"Lenin is certainly right. There is no subtler or more severe means of overturning the existing basis of society(destroy capitalism) than to debauch the currency. The process engages all the hidden forces of economic law on the side of destruction, and it does it in a manner which not one man in a million is able to diagnose." John Marnard Keynes, The Economic Consequences of the Peace, 1920, page 235ff
<< <i>Silver is up $1.00 since yesterday afternoon. >>
It's also down $3.20 in the last 6 trading days.
Just a matter of perspective.
"Lenin is certainly right. There is no subtler or more severe means of overturning the existing basis of society(destroy capitalism) than to debauch the currency. The process engages all the hidden forces of economic law on the side of destruction, and it does it in a manner which not one man in a million is able to diagnose." John Marnard Keynes, The Economic Consequences of the Peace, 1920, page 235ff
Sinclair and Norcini had some bold commentary on Sinclair's site today
another thing to look at down the road is Beijing...will there be an olympics?...
there are tremendous amounts of natural resources being diverted to Beijing for the Olympics....food, fresh water, factories are already being told to shut down so the air won't be black with soot and smog. This is putting a huge burden on the billions who live there and already creating a growing dust devil of turmoil amongst it's own people, let alone problems with Tibet and political ramificationsthere.
"This is putting a huge burden on the billions who live there and already creating a growing dust devil of turmoil amongst it's own people, let alone problems with Tibet and political ramificationsthere."
They have a very profound problem. The sleeping giant has been awakened but while he was sleeping the rest of the world was working out resource allocation, international diplomacy, public welfare, transportation and infrastructure, personal freedoms, and ten thousand other house cleaning duties like keeping the air and water clean enough to sustain the health of the population. Unfortunately, the giant has awoke in the 21st century and most modern societies have evolved well past the problems that the giant is just now becoming aware of and they did that many years ago. The giant has much work to do and a short time to get it done before the indiginous population starts to get a little rowdy.
agreed - but, as the history of the giant has shown - the rowdy masses will just be forced (violently) into accepting whatever the ruling class mandates
<< <i>agreed - but, as the history of the giant has shown - the rowdy masses will just be forced (violently) into accepting whatever the ruling class mandates >>
History has also shown that the rowdy masses often become just as violent and freedom can be a powerful driving force once it becomes a possible reality.
Ruling classes don't always stay as the rulers. Our own history is an example, the Czars in Russia is another, even Australia became it's own country in a similar manner. History is replete with just such examples. China had it's own revolution not that long ago, that's how Chairman Mao came into power. Nothing says it can't happen again, only a very small percentage of the population there is actually a member of the Communist party.
China is trying to mix Capitalism with Communism and that's walking a fine wire. Akin to trying to keep an oil and water suspension in place without the natural separation that nature says will have to eventually occur.
As far as I'm concerned, we should boycott these Olympics. Don't forget, China has it's own share of Al Qaeda on their Western border. We don't hear much about it because China is a virtual black hole as far as news getting out. They have their own share of terrorism as well. The Olympics would be a perfect place for them to make their presence known. When a Country outlaws religion, even Islam will appeal to many. Owning a Bible in China can get you put in jail, owning a Koran will get you a death sentence.
"Lenin is certainly right. There is no subtler or more severe means of overturning the existing basis of society(destroy capitalism) than to debauch the currency. The process engages all the hidden forces of economic law on the side of destruction, and it does it in a manner which not one man in a million is able to diagnose." John Marnard Keynes, The Economic Consequences of the Peace, 1920, page 235ff
“there are tremendous amounts of natural resources being diverted to Beijing for the Olympics....food, fresh water, factories are already being told to shut down so the air won't be black with soot and smog.”
This is so very strange!
I saw a 15 minute program the other day by a VERY smart investment guy from China. His advice was to stay out of all Chinese investments until after the Olympics.
He says that over one half of all the countries resources are going into putting on the best face possible to the West, and that once this is over there will be many changes including de-linking the Yuan from the Dollar.
He also made the statement that government orders had been issued for ALL factories to close down for 6 weeks before the Olympics to cut pollution.
He said that the West had a very twisted idea of how good things really were in China. That although great progress had been made in the developed part of China, which consisted of about 40%, the undeveloped part, that consisted of 60%, was still the same as it was 100 years ago.
And all this talk about China's potential problems is why I refuse to believe that basic resource prices will continue to the moon. It might go on for 10 more years or perhaps end tomorrow. However it is a big bag, and I dont want to be holding it when it pops.
If China was smart, they would invade Russia right now and secure their basic material needs for the next 100 years. How smart are they?
He also made the statement that government orders had been issued for ALL factories to close down for 6 weeks before the Olympics to cut pollution.
My sister works for a company that contracts a lot of work to China and travels to there every 2 months. She has told me the same, that they will shut down for some time. This should cause a nice a inventory build in raw materials. I cant see how that is good for prices.
She also told me that many companies are looking for alternative to Chinese manufacturing as it is getting too expensive. Wages are up 30-50% over the past 2 years while the Yuan has appreciated 15%. The combination is stressing corporate profit margins.
BEIJING -- Bank of China Ltd., which has been the most heavily invested in U.S. subprime securities among Asia's financial institutions, said it halved that exposure by the end of last year and posted better-than-expected profit for 2007.
Separately, Industrial & Commercial Bank of China Ltd., China's biggest lender by assets, said its 2007 net profit rose 65%. Bank of China Unfazed
Nice to have cash. That's what happens when one creates, builds, manufactures things. You have cash.
Pimco has stated that they are sitting on $50 BILL in cash just in case they need it.
GIM'ers seem to feel that this current gold move will run to $950-$966, then fall back to $880-$920....and then make another assault at the $1000 mark. Seems to be a reasonable assessment.
"...run to $950-$966, then fall back to $880-$920"
A very reasonable assessment methinks.
And, more on China. Of course Mrearlygold is the guru on all things Chinese but I would welcome a strong and cordial relationship with China. We should offer free techincal assistance in urban planning/affairs, we should make our universities and educational resources available, we should do everything we can to help them partner with us. There are certainly philosophical differences and a divide of understanding to be bridged. We should try to understand.
Interesting example of the Chinese mind: The Master that I study from over the last 9 or so years, Cheng Jin Cai, offered a comment to me last week and it took me a few days to get it. I asked him if he could draw a character for our little class that has been together learning from him for so long. Something simple, maybe just one character so that our class could be remembered. I suggested that we could put the character in a small place in the back of our school, just a little spot out of the way for people to remember us. He answered "There is not enough room." I replied that we only needed a very small place but he smiled, turned and walked away. What he meant is that we are too big, we are too great to do us the proper honor so there is not enough room. It was a great compliment from Master but if that comment had been misunderstood, it could almost be seen as an insult. There is much learning to be done between our cultures.
I am just wondering how many people will be walking away from bad car loan debt like the housing. I think the next credit problem will be with small thrift banks, who will fill the pinch of bad car loans. This could maybe weigh heavy on the economy. Just my opinion.
Here is a very handy link to a PDF file posted by Kitco. This is the Fortis commodity hedge book file, that tells which mining companies are still in the hole from selling Gold in the derivatives market.
I remember reading a few months ago that Barrick and many others had gotten out of their hedge positions, not so according to this report!
Barrick is still in the hole to around $2 BILLION in it's hedge book and has no intention of covering it. Their solution appears to be buying other companies to help offset their own hedges. They made $2 BILL in the 1990's by selling their forward gold production in the gold carry trade (interest rate profits for gold production). It was the major reason gold did nothing in the 1990's and why no infrastructure improvements or upkeep was done.
Not content to try to own only half the world, the FED and Treasury are proposing to congress a bill that would get them the rest: The SWAT team. Like Reagan's 1987 PPT, this team would have the power to peer into the inner-workings of any corporation, hedge fund, brokerage, investment group, private individual, etc that the Treasury (ie FED) decided could pose harm to the financial sector. This would fully open the barn door to give firms like Goldman Sachs and JPM to see what the competition is up to and to counter it. What could be simpler than a law to get them the additional knowledge they need to ensure victory with all their manipulations. PPT, SWAT, .....then what's next? PLOP? (people liking our poop?). What we need is a team to investigate the FED and its inner workings. Gerarld Ford had WIN (whip inflation now). Why not WTF or (whip the FED).
Note that things like PPT, SWAT, and PLOP would not be required if we didn't have the FED in the first place that caused all these market imbalances and gyrations and then made them worse while they bailed out their buddies.
RE: the new corporate oversight regulatory agency...I seriously doubt that the fed could successfully regulate a swatch of toilet paper from the holder to where it goes. First thing it is going to be a bunch of noise and fireworks and posturing, then when it doesn't work (like No Child Left Behind) they are going to claim that they are under staffed and poorly funded, and then, the director will be some insider buddy that put us in this situation in the first place. Kind of like the Social Security Administration or even FEMA or maybe the people that flew the nuclear missles across the US...armed? (who was regulating that?)
This looks like one of those things where they provide a conduit for moving money between the fed and the private sector, be they banks, under funded programs, or any situation where they need to slide money from one pot to the other; even if it is all fiat. By the way...where is my social security money that I been puttin' in for the last 30 years? Who ripped me off!
Right now the FED is doing it's best to whip themselves. They need no help from me or you....as they swallow down near-worthless mortgage-backed securities at close to FMV to help out their banking buddies. They certainly wouldn't be doing this if it was the Republic that was at stake rather than their "money transference system" which has centralized 95% of the country's wealth into smaller hands.
Comments
I am personally upset when I learned tonight that a relative of mine is getting a free ride that he does not deserve. I wish I could vent and say what it is but can't. Hopefully he does not read this board.
I see how people around me are profiting on others by preying on them.
This country is not in good shape.
I would not be surprised if we saw some people lose it and do things that are hurtful to those whom they feel robbed them of there lives.
How can some be paid so much while others scrape for whatever they can find.
Think of those who are sick and dying because they helped at the World Trade Center disaster. It's not 911, its what I just said. Lets stop branding and marketing disasters. What about those from Katrina?, Rita? The floods? Tornadoes? I don't mean to leave anything out.
I know Darfur is ugly. And the Tusanmi. We aren't talking about that anymore but the devastation is still there.
The tide comes and goes. The money flows the same way. Out of the pockets of those who need it and into the already stuffed pockets of others. Like the guy who looks like he slept in his suit. He has so much. Why not help out a little. if he dies of a heart attack tomorrow is he leaving it for a good cause. I am just disgusted right now. The fed dropped the rate just in time for my town to increase our annual tax bill. Another 2%.
Like I said, it comes right out of one persons pocket and into another.
Help me to understand.
Thank you
to see the ratio values of silver to
gold of 45 to 1,revert to the historic
ratio of 16 to 1. That would give us
a price of 60 dollars for one ounce of silver.
Camelot
<< <i>Let me tell you guys something. I went to Sclazi Park today so my son and freind could use the skate park but it was locked until April !. They jumped the fence and had a blast with no one there. It was absolutely beautiful. My dog ran free all around the large fields and the sunset was amazing. There was not one other person or car there. This is a very big place. As we were leaving (it was dark) I was amazed to see that the tennis courts were lighted. But for who?? No one was there. We drove to Greenwich CT and had a great dinner. I took Route 1 , The Boston Post Road south toward home so the kids could see the exotic cars at the showrooms. We actually saw the amazing 16 cylinder VW can't pronounce the name of that car that goes 251 MPH and sells for I guess around $400,000.00 They were shooting a commercial at Miller Motor Cars so we saw the car drive out of the showroom and into the parking lot. My god how much money is up there. We saw Maseratis, Bentlys, you name it!! Where did I go wrong. There is a lot of money up there. I mean gobs of it. This country is giving so much money to a few while so many are starving, homeless, jobless and suffering without proper medical attention.
I am personally upset when I learned tonight that a relative of mine is getting a free ride that he does not deserve. I wish I could vent and say what it is but can't. Hopefully he does not read this board.
I see how people around me are profiting on others by preying on them.
This country is not in good shape.
I would not be surprised if we saw some people lose it and do things that are hurtful to those whom they feel robbed them of there lives.
How can some be paid so much while others scrape for whatever they can find.
Think of those who are sick and dying because they helped at the World Trade Center disaster. It's not 911, its what I just said. Lets stop branding and marketing disasters. What about those from Katrina?, Rita? The floods? Tornadoes? I don't mean to leave anything out.
I know Darfur is ugly. And the Tusanmi. We aren't talking about that anymore but the devastation is still there.
The tide comes and goes. The money flows the same way. Out of the pockets of those who need it and into the already stuffed pockets of others. Like the guy who looks like he slept in his suit. He has so much. Why not help out a little. if he dies of a heart attack tomorrow is he leaving it for a good cause. I am just disgusted right now. The fed dropped the rate just in time for my town to increase our annual tax bill. Another 2%.
Like I said, it comes right out of one persons pocket and into another.
Help me to understand.
Thank you
The way of this world.
The best understanding that I can give for it is...... that in the end, all things even up and each will be rewarded (or punished) for their deeds in life.
Happy Easter for all!
NSDR - Life Member
SSDC - Life Member
ANA - Pay As I Go Member
I have to agree with the others. Those proposals would destroy the USA.
And about this....1. It is most unusual to see the markets go up, prior to a three day weekend. It is
counter intuitive and does not seem to make
any sense
I believe if you were to study the markets that you would find the days preceeding 3-day weekends are up more than they are down. I see nothing "wrong" about last Thursday's activity in either the equity or precious metals markets.
When one becomes emotionally involved in markets it is best to take a few steps backward and be an observer.
Knowledge is the enemy of fear
that my platform has termites. Sniff....sniff.
No donuts for any of you.
Camelot
Hey, look Bear. I nominated you for Congress. What does it take to get a donut from you?
I knew it would happen.
<< <i>It would be a bizarre twist of fate
to see the ratio values of silver to
gold of 45 to 1,revert to the historic
ratio of 16 to 1. That would give us
a price of 60 dollars for one ounce of silver. >>
That will never happen under a natural market. Even the Hunt brothers couldn't do it.
roadrunner
The J Taylor interview …
EXPLAINING A SPOT DEFERRED CONTRACT …
Doyle: A normal short sale would be a lousy device to manipulate a market because a short sale is inherently speculative and dangerous. If you sell something short, the upside potential of your investment is limited but your downside is unlimited.
Taylor: Right. Your upside is limited because the price of an item can’t go below zero but in theory it can rise to infinity.
Doyle: Exactly. However, Barrick’s spot deferred sales contracts are super-short sales of gold – short sales on steroids. The gold used to make the short sale is borrowed by J.P. Morgan for Barrick’s account.
The borrowed gold is immediately sold into the market and the dollar proceeds from the sale of the gold are invested in money market instruments that produce a higher rate of return than the gold lease rate. From 1996 through 2001, J.P. Morgan loaned gold to Barrick at a lease rate of approximately 1.5%. J.P. Morgan then reinvested the proceeds at a rate of interest of approximately 6.5%. The 5% interest premium, or “contango” was profit to Barrick. If the price of gold fell, Barrick realized additional profit. A sweet deal. But what made the spot-deferred sales contracts truly extraordinary was the fact that, with most of the contracts, Barrick had 15 years to repay the borrowed gold; had no margin calls at any gold price; and had “evergreen” provisions that effectively restarted the 15-year term each year.
Taylor: Our subscribers are familiar with what is known as the gold-carry trade but that normally didn’t involve long-term loans and it normally would involve margin payment requirements if the gold price began to rise. Is this the only case you know of which involved such long term loans and no margin?
Doyle: It’s the only one we have been able to find. Barrick itself says its spot deferred contracts are unique. What is most interesting is that these began back in 1988 when Barrick described itself as a smaller, higher cost producer with a weak balance sheet. So you have to ask yourself the question, why would someone be willing to lend gold with no margin calls for ten years or more if he didn’t have the absolute certainty that it is going to be repaid? We don’t know what other kinds of credit enhancement were provided. We don’t know what the reasons were for J.P. Morgan extending such generous terms.
Taylor: Right. Why would J.P. Morgan make such seeming extraordinarily reckless loans to such a noncredit worthy borrower?
Doyle: J.P. Morgan does say in their answer to our complaint that they have legitimate business.
Now if that isn’t enough why not examine the various US and Canadian political elites that have been board members .
EXPLAINING PAST AND PRESENT BARRICK BOARD MEMBERS …
Doyle: Barrick actually has two boards - its Board of Directors and its “International Advisory Board.” Brian Mulroney, the former Prime Minister of Canada, is a member of Barrick’s Board of Directors and is the Chairman of Barrick’s International Advisory Board. Former President George Bush served as Honorary Senior Advisor to Barrick’s International Advisory Board. Members of that Board have included Karl Otto Pohl, former President of the German central bank; Senator Howard H. Baker, a former Majority Leader of the U.S. Senate and White House Chief of Staff; Senator William Cohen, a former U.S. Secretary of Defense; Andrew Young, a former U.S. Ambassador to the United Nations and Mayor of Atlanta; and Vernon Jordan, a former President of the Urban League, NAACP Field Secretary and a former Senior Partner in Akin, Gump, Strauss and Feld.
Taylor: Wasn’t there a CIA connection with Barrick?
Doyle: The CIA connection was actually through Barrick’s initial investors. At its inception, Barrick’s principal investors were Saudi Arabians who had close ties to the Saudi Intelligence Services, or to the CIA, or to both. Those Saudi Investors were Sheikh Kamal Adham, the head of Saudi Intelligent Services at the same time that President Bush was head of the CIA; Adnan Khashoggi, the first of the Saudi investors in Barrick; and Prince Nawaf bin Abdul Aziz, one of the biggest of the initial shareholders in Barrick and now head of Saudi Intelligence Services. Sheikh Adham was the CIA’s principal liaison to the Middle East and was so closely tied to the CIA that he even had an agency codename: “Tumbleweed.”
Taylor: What do these colorful folks know about the mining industry? I’m sure Barrick has had some technically competent folks on their board who know the mining industry. But many of these people of influence in the company appear not to have any substantial knowledge of the mining industry. Herbert Hoover was a mining engineer so his addition to a mining company board might make sense. But George Bush? Brian Mulroney?
Doyle: We failed to find any connection that the Advisory Board members had with mining, mineral development or geological engineering.
Now lets look at the JP Morgan and Barrick Gold connection a little closer …
EXPLAINING THE BEGINNINGS OF THE JP MORGAN & BARRICK UNION …
Doyle: Barrick and J.P. Morgan have a contractual relationship through the spot deferred sales contracts and the master trading agreements that govern the operation of those spot deferred contracts. During the course of the trial of the motions to dismiss that were filed by J.P. Morgan, they claimed that Blanchard had failed to allege a viable economic motive for them to participate in the conspiracy with Barrick. What Blanchard discovered and included in our later filings was that, from 1996 though 2001, J.P. Morgan had an ownership interest in Barrick! To give you a bit of background – it will give you whiplash following this, but here it is.
The controlling shareholder of Barrick in 1994 was Horsham. In 1994, Horsham joined with Argo Partnership, LP, which was an investment partnership in which J.P. Morgan Securities owned a partnership interest, and acquired a controlling interest in Trizec Corporation. In 1996, the remaining equity in Trizec Corp was acquired by Horsham and the interests of Horsham and Argo were merged to form TrizecHahn Corporation, which became the controlling shareholder of Barrick.
Taylor: So J.P. Morgan then actually had a controlling interest in Barrick?
Doyle: TrizecHahn did. And J.P. Morgan – through Argo – became a significant beneficial owner in Trizec Hahn. At the same time, the Managing Director of J.P. Morgan Capital Corp became a director of TrizecHahn and also served as a member of its audit and executive committees. Securities and Exchange Commission filings show that the ownership in Argo were held by J.P. Morgan Capital Corp and J.P. Morgan Securities Inc. In its 1999 Annual Report, TrizecHahn said that it realized $1.3 billion or 1,600% on its original investment in Barrick!
Obviously there is collusion going on here … In the words of Bill O’Reilley of the NO SPIN Factor … What say you?
http://goldtent.com/wp_gold/2008/01/...-barrick-dirt/
the Hunts did not have a bear
advising them.
Camelot
Today the inbreeding runs deep: FED = JPMorgan = Barrick = ??
No wonder so many good deals are being given out by the FED!
Too bad JPM had to give back $8/share.
roadrunner
<< <i>The Hunts did have a Sinclair advising them, but that was only after they were told to pack their bags.
roadrunner >>
how long is "the tape delayed" on this long post of 6000+...
with market gyrations(sp) one could miss something.
Have you heard anything related to this in the local press?
Stupid filters.
http://www.market*atch.com/news/story/subprime-woes-threaten-japans-real/story.aspx?guid={4654D34A-85A0-4B57-83F0-C70CCEC26603}
Knowledge is the enemy of fear
I knew it would happen.
We seem to have a double headed monster. There actually is a bit of a scarcity and second, the wholesalers aren't willing to sell at a loss.
I can grab a nice batch tomorrow of .999 refined, but it's going to cost me in the $17.50 range. Some wholesalers are willing to sell some at a loss just to keep up the cash flow. It's good to have friends in the right places.
The real underlying issue here is that there is a real scarcity factor starting to appear. It can only get larger.
-----------------------------------------------------------------------------------------------------------------------------------------
Edit from that post now several hours later, it appears the Asian market is pushing spot back up so it's likely to cost me in the $18 range now, maybe more if the spot price continues to move up tomorrow.
What really grabbed my attention was the fact that there is, in fact, a scarcity issue beginning to rear it's head.
It's common knowledge among some that there is only around 50% of refined .999 silver in comparison to refined gold. Silver is by far the scarcer metal by a factor of 2 to 1.
Prices are going to have to reflect that sooner or later. Hopefully sooner.
John Marnard Keynes, The Economic Consequences of the Peace, 1920, page 235ff
<< <i>I posted this on the "What is happening with silver" thread, but I think it's worth posting here as well:
We seem to have a double headed monster. There actually is a bit of a scarcity and second, the wholesalers aren't willing to sell at a loss.
I can grab a nice batch tomorrow of .999 refined, but it's going to cost me in the $17.50 range. Some wholesalers are willing to sell some at a loss just to keep up the cash flow. It's good to have friends in the right places.
The real underlying issue here is that there is a real scarcity factor starting to appear. It can only get larger.
-----------------------------------------------------------------------------------------------------------------------------------------
Edit from that post now several hours later, it appears the Asian market is pushing spot back up so it's likely to cost me in the $18 range now, maybe more if the spot price continues to move up tomorrow.
What really grabbed my attention was the fact that there is, in fact, a scarcity issue beginning to rear it's head.
It's common knowledge among some that there is only around 50% of refined .999 silver in comparison to refined gold. Silver is by far the scarcer metal by a factor of 2 to 1.
Prices are going to have to reflect that sooner or later. Hopefully sooner. >>
if it keeps going i wonder how they will spin it on CNBC, i thought they were ready to toss confetti today and bring out a matador, it was real garbage on the air today (IMHO)
<< <i>Members of this Forum tend to be fiscally conservative.
Most on the Forum have fixed rate mortgages at the lower end of the spectrum.
Most of Forum members have hard assets such as rare coins, silver or gold.
Most Forume members have guns and lots of ammunition.
I am confidant that we as a people and a Nation, will survive economic disasters, wars,
governmental incompetence, inflation. deflation, recession, depression and anything else that life
will deem suitable to throw at us. We are a hardy and God fearing people and we will not only endure,
we will prevail. >>
Bear,
Great post from 2004!!!!!!!!!!!!!!!!!!!!!!
<< <i>
<< <i>Members of this Forum tend to be fiscally conservative.
Most on the Forum have fixed rate mortgages at the lower end of the spectrum.
Most of Forum members have hard assets such as rare coins, silver or gold.
Most Forum members have guns and lots of ammunition. >>
Bear,
Great post from 2004!!!!!!!!!!!!!!!!!!!!!!
Well, there's certainly no argument there. I'd say that's spot on.
I remember reading an article shortly after the last mid-term election and Pelosi was pushing a bill to outlaw ammunition since she knew she could never overturn the 2nd Amendment. Within a month I purchased almost 20,000 rounds in the two calibers I needed. This is the place to go.
The stuff keeps forever, so I'm well stocked in that area.
John Marnard Keynes, The Economic Consequences of the Peace, 1920, page 235ff
But these are still a good buy....7.62x39
Knowledge is the enemy of fear
<< <i>Thanks for the link. I was buying these for about $25 a box 4 years ago....338 winny
But these are still a good buy....7.62x39 >>
You can become a member for $15 a year, IIRC, and get an additional 10% off everything. The membership pays for itself in your first order, plus you then get the monthly catalog with regular specials.
John Marnard Keynes, The Economic Consequences of the Peace, 1920, page 235ff
<< <i>Silver is up $1.00 since yesterday afternoon. >>
It's also down $3.20 in the last 6 trading days.
Just a matter of perspective.
John Marnard Keynes, The Economic Consequences of the Peace, 1920, page 235ff
another thing to look at down the road is Beijing...will there be an olympics?...
there are tremendous amounts of natural resources being diverted to Beijing for the Olympics....food, fresh water, factories are already being told to shut down so the air won't be black with soot and smog. This is putting a huge burden on the billions who live there and already creating a growing dust devil of turmoil amongst it's own people, let alone problems with Tibet and political ramificationsthere.
They have a very profound problem. The sleeping giant has been awakened but while he was sleeping the rest of the world was working out resource allocation, international diplomacy, public welfare, transportation and infrastructure, personal freedoms, and ten thousand other house cleaning duties like keeping the air and water clean enough to sustain the health of the population. Unfortunately, the giant has awoke in the 21st century and most modern societies have evolved well past the problems that the giant is just now becoming aware of and they did that many years ago. The giant has much work to do and a short time to get it done before the indiginous population starts to get a little rowdy.
<< <i>agreed - but, as the history of the giant has shown - the rowdy masses will just be forced (violently) into accepting whatever the ruling class mandates >>
History has also shown that the rowdy masses often become just as violent and freedom can be a powerful driving force once it becomes a possible reality.
Ruling classes don't always stay as the rulers. Our own history is an example, the Czars in Russia is another, even Australia became it's own country in a similar manner. History is replete with just such examples. China had it's own revolution not that long ago, that's how Chairman Mao came into power. Nothing says it can't happen again, only a very small percentage of the population there is actually a member of the Communist party.
China is trying to mix Capitalism with Communism and that's walking a fine wire. Akin to trying to keep an oil and water suspension in place without the natural separation that nature says will have to eventually occur.
As far as I'm concerned, we should boycott these Olympics. Don't forget, China has it's own share of Al Qaeda on their Western border. We don't hear much about it because China is a virtual black hole as far as news getting out. They have their own share of terrorism as well. The Olympics would be a perfect place for them to make their presence known. When a Country outlaws religion, even Islam will appeal to many. Owning a Bible in China can get you put in jail, owning a Koran will get you a death sentence.
John Marnard Keynes, The Economic Consequences of the Peace, 1920, page 235ff
“there are tremendous amounts of natural resources being diverted to Beijing for the Olympics....food, fresh water, factories are already being told to shut down so the air won't be black with soot and smog.”
This is so very strange!
I saw a 15 minute program the other day by a VERY smart investment guy from China. His advice was to stay out of all Chinese investments until after the Olympics.
He says that over one half of all the countries resources are going into putting on the best face possible to the West, and that once this is over there will be many changes including de-linking the Yuan from the Dollar.
He also made the statement that government orders had been issued for ALL factories to close down for 6 weeks before the Olympics to cut pollution.
He said that the West had a very twisted idea of how good things really were in China. That although great progress had been made in the developed part of China, which consisted of about 40%, the undeveloped part, that consisted of 60%, was still the same as it was 100 years ago.
Check him out daily
Ira and the Metals markets
"The silver is mine and the gold is mine,' declares the LORD GOD Almighty."
If China was smart, they would invade Russia right now and secure their basic material needs for the next 100 years. How smart are they?
Knowledge is the enemy of fear
Tibet
Olympic logistics (economy and people)
here are just a few current issues....
My sister works for a company that contracts a lot of work to China and travels to there every 2 months. She has told me the same, that they will shut down for some time. This should cause a nice a inventory build in raw materials. I cant see how that is good for prices.
She also told me that many companies are looking for alternative to Chinese manufacturing as it is getting too expensive. Wages are up 30-50% over the past 2 years while the Yuan has appreciated 15%. The combination is stressing corporate profit margins.
Knowledge is the enemy of fear
By JASON LEOW
March 25, 2008 2:08 p.m.
BEIJING -- Bank of China Ltd., which has been the most heavily invested in U.S. subprime securities among Asia's financial institutions, said it halved that exposure by the end of last year and posted better-than-expected profit for 2007.
Separately, Industrial & Commercial Bank of China Ltd., China's biggest lender by assets, said its 2007 net profit rose 65%.
Bank of China Unfazed
Nice to have cash. That's what happens when one creates, builds, manufactures things. You have cash.
Coin's for sale/trade.
Tom Pilitowski
US Rare Coin Investments
800-624-1870
GIM'ers seem to feel that this current gold move will run to $950-$966, then fall back to $880-$920....and then make another assault at the $1000 mark. Seems to be a reasonable assessment.
roadrunner
A very reasonable assessment methinks.
And, more on China. Of course Mrearlygold is the guru on all things Chinese but I would welcome a strong and cordial relationship with China. We should offer free techincal assistance in urban planning/affairs, we should make our universities and educational resources available, we should do everything we can to help them partner with us. There are certainly philosophical differences and a divide of understanding to be bridged. We should try to understand.
Interesting example of the Chinese mind: The Master that I study from over the last 9 or so years, Cheng Jin Cai, offered a comment to me last week and it took me a few days to get it. I asked him if he could draw a character for our little class that has been together learning from him for so long. Something simple, maybe just one character so that our class could be remembered. I suggested that we could put the character in a small place in the back of our school, just a little spot out of the way for people to remember us. He answered "There is not enough room." I replied that we only needed a very small place but he smiled, turned and walked away. What he meant is that we are too big, we are too great to do us the proper honor so there is not enough room. It was a great compliment from Master but if that comment had been misunderstood, it could almost be seen as an insult. There is much learning to be done between our cultures.
<< <i>"There is much learning to be done between our cultures. >>
i whole heartedly agree that a MUTUAL understanding (learning) is needed. then maybe fear and greed can dissipate on all sides.
were granted a restraining order prohibiting banks from renengotiating their buyout.
i think this is a big deal in light of the equity markets and banks ability/desire to buy/sell
<< <i>If China was smart, they would invade Russia right now and secure their basic material needs for the next 100 years. How smart are they? >>
Seems to me that similar plans did not pan out too well for Napoleon or Hitler - so maybe the Chinese are smart.
>>>My Collection
<< <i>
<< <i>If China was smart, they would invade Russia right now and secure their basic material needs for the next 100 years. How smart are they? >>
Seems to me that similar plans did not pan out too well for Napoleon or Hitler - so maybe the Chinese are smart.
But neither of them had 100 million lives to sacrifice and both were spread too thin.
Knowledge is the enemy of fear
Here is a very handy link to a PDF file posted by Kitco.
This is the Fortis commodity hedge book file, that tells which mining companies are still in the hole from selling Gold in the derivatives market.
I remember reading a few months ago that Barrick and many others had gotten out of their hedge positions, not so according to this report!
http://www.kitco.com/reports/fortis-vm/fortis-vm_2008-02-29.pdf
LINK
Forget the PPT.....now the FED and Treasury need the SWAT team! New proposal.
Not content to try to own only half the world, the FED and Treasury are proposing to congress a bill that would get them the rest: The SWAT team. Like Reagan's 1987 PPT, this team would have the power to peer into the inner-workings of any corporation, hedge fund, brokerage, investment group, private individual, etc that the Treasury (ie FED) decided could pose harm to the financial sector. This would fully open the barn door to give firms like Goldman Sachs and JPM to see what the competition is up to and to counter it. What could be simpler than a law to get them the additional knowledge they need to ensure victory with all their manipulations.
PPT, SWAT, .....then what's next? PLOP? (people liking our poop?).
What we need is a team to investigate the FED and its inner workings. Gerarld Ford had WIN (whip inflation now). Why not WTF or (whip the FED).
Note that things like PPT, SWAT, and PLOP would not be required if we didn't have the FED in the first place that caused all these market imbalances and gyrations and then made them worse while they bailed out their buddies.
roadrunner
This looks like one of those things where they provide a conduit for moving money between the fed and the private sector, be they banks, under funded programs, or any situation where they need to slide money from one pot to the other; even if it is all fiat. By the way...where is my social security money that I been puttin' in for the last 30 years? Who ripped me off!
<< <i>Why not WTF >>
OK, sounds like a good idea. Why don't you get that implemented at your earliest convenience.
WTF now.
roadrunner
<< <i>
<< <i>Why not WTF >>
RR, that's too...
...if it weren't so true.
Ren