Oldtent Archives 2007 - 2008

All Fall Down

      God knows what manner of deals went down this past weekend in the Hamptons wine cellars and below-decks among the Chesapeake Bay sailboat fleet. All these hidey-holes must have been dank and fetid with the sweat of mortal fear. Will the US Government declare itself a subsidiary of General Electric? Will Vlad Putin be roped in to save Goldman Sachs? Meanwhile, the whole noisome rat maze of international counter-party deals was taking on sewer water and rodents of every nationality were seen leaping for daylight all over the fusty old motherlands of Europe. A cascading collapse of international finance is underway. While many fixers may jump heroically into the tumbling wreckage hoping to rescue this-and-that, the outcome by Friday is liable to be an unrecognizable smoldering landscape of the G-7’s hopes and dreams.
     Some big questions for the week: will the Euro survive as a currency? Will the rush into the US dollar continue even as the US financial system dematerializes in a Fibonacci fever of accelerating de-leveraged infinitude? Will the remaining Big Boyz, Goldman Sachs and JP Morgan succumb to the counter-party hemorrhagic fever? Will great rows of lesser banking dominoes now start clacking onto their faces? Will all fifty states follow the leads of California and Massachusetts and line up at the US Treasury’s hand-out window. Will the entity that calls itself the civilized world be left at week’s end with anything resembling money?

http://jameshowardkunstler.typepad.com/

The Gold Cartel was pressuring the price all day when this news hit the tape and sent them into high gear…

Berlusconi Says Leaders May Close World’s Markets

Oct. 10 (Bloomberg) — Italian Prime Minister Silvio Berlusconi said political leaders are discussing the idea of closing the world’s financial markets while they “rewrite the rules of international finance.’

“The idea of suspending the markets for the time it takes to rewrite the rules is being discussed,’ Berlusconi said today after a Cabinet meeting in Naples, Italy. A solution to the financial crisis “can’t just be for one country, or even just for Europe, but global.’…

www.bloomberg.com/apps/news?pid=20601087&sid=aP5mpMUORBWM

-END-

It seems to me the likelihood of the Comex closing down, or defaulting, has reached a new level. It is a farce beyond belief. Gold was TAKEN DOWN to $826 in Access Market trading and silver was forced down to $9.48.

At a time the US and world is facing the greatest financial crisis in history, as a whole, gold was trashed from high to low for more than $100 per ounce in less than 12 hours. This will give you an idea of just important gold is in the financial world, and how petrified the authorities are to have it making a name for itself. Is The Gold Cartel purposely trying to make GATA look so right and validate all we have said for a decade?

And silver??? I like this one…
Hi Bill,
I cannot believe what is occurring in front of my eyes. First, on CNBC they publicly ask CEO’s of big companies and other leaders to come foreward to come up with solutions for this credit crunch. Immediately after, they present two fund managers called Spiropoulos and J.J. Burns who give their comments on the situation and an hour later the price of silver is bombed down 25% in one hour, while I am on the phone with someone. This is worse than a film of Fellini.

Why do you think people are withdrawing their money from the equity markets? The mafia is ruling.
Michel
(France)

More on the Comex default theme…

For whatever it is worth, I believe that what the Crimex is telling us is that there will be a default on both gold and silver before the year is out.

Although the October is lightly traded, I think there will be enough people standing for silver delivery to bring about a default. It may take until the December contract for gold to default, although I certainly wouldn’t rule out October.

Unfortunately, I think ‘da boyz’ will attempt to do to gold what they have already done to silver for three reasons. Firstly, if the governments goal is truly to keep additional gold and silver out of private hands, a default will make achieving the goal much easier.

Secondly, the cabal will want to cover their shorts with cash as inexpensively as they can. Thirdly, falling prices will ‘prove’ to the world that gold and silver are no longer the safe havens they have been in times past.

I think our government, probably along with most others, has decided that they are through selling gold and silver to the public at ‘fire sale prices’. Considering the government’s totally bifurcated position on different assets, it only makes sense that they will buy Wall Street’s junk at fire sale prices but they will no longer sell precious metals at fire sale prices.

I would strongly advise anyone who is able to finance a contract or more of either metal to get it in place immediately and hope that you get delivery before the default.
Kevin

The gold open interest rose 12,298 contracts to 333,319. The silver open interest fell 17 contracts to 99,843.

The premium on Canada’s CEF went to an all-time high of 24%.

“…public credit depends on public confidence…The financial crisis in America is really a moral crisis, caused by the series of proofs … that the leading financiers who control banks, trust companies and industrial corporations are often imprudent, and not seldom dishonest. They have mismanaged…funds and used them freely for speculative purposes. Hence the alarm of depositors and a general collapse of credit …”The Economist magazine, November 2nd, during the 1907 crash

GO GATA!

I swear that when I watch most of The Muppet commentary these days on CNBC they come across as a bunch of naïve little kids when they speak about the market action. Stock markets around the world this morning were crashing and the DOW plummeted to 7882. After the first rush and panic selling, some banks like JP Morgan suddenly went up on the day. Then, in a matter of minutes the DOW and US stock market staged a furious rally to go positive too, to the cheers of the traders on the New York Stock exchange. The Muppets tried to explain what occurred with CNBC’s Bob Pisani declaring he didn’t think it was the Plunge Protection Team.

How disingenuous can a person be? Of course it was the PPT.

It was even discussed last night on CNBC’s Fast Money show, which cracked me up. One of their panelists called for the US Government to come in and buy up the futures market. One of the other panelists, Tim Seymour, looked at him cross-eyed, saying in a soft voice, “That is one of the worst kept secrets on Wall Street. It’s called the Plunge Protection Team and they have already been very active.” Panelist one sloughed it off.

The worst was Dennis Gartman, who was featured on the same show. He came out and said the US Government should intervene today and buy stock futures. What a hypocrite! He spends years knocking GATA about our claims of Gold Cartel intervention, pooh-poohing our massive evidence; and then he calls for our government to come in and manipulate the stock market.

Just as grotesque, he has the audacity to write the following in his letter today. The italicized sentence could have been written by one of us in the GATA camp…

As for gold, once again we hope… we really do hope… that we lose money and a great good deal of it on our long positions, for if we do it shall mean that the capital markets are doing a great good deal better. At the moment, that seems unlikely, for as we write gold is pushing upward through $920 in US dollar terms.; but it is pushing much more dramatically higher in terms of the other international currencies. It is trading a stunning Stlg 544, and as the chart on p.1 indicates, this is a massive break out to the upside.

Yesterday, we noted that there was “selling of very real consequence at the $910-$920 level.” We knew not who the sellers were, but we tacitly speculated that it might be the financial authorities themselves, for if they could keepgold from rising too swiftly the capital markets might take that as a sign of returning health. Again, we do not know who the sellers were, and we can only guess as to their identity; however, they’ve lost, for gold has pushed on through their selling as it trades $925 as we write.

***

Well Dennis, they haven’t lost yet, and they (it is The Gold Cartel for your information) have made a monkey out of you again. You got your wish … stopped out at $862 … lost money just like you hoped … and the capital markets are in great shape this afternoon, aren’t they?

You know Dennis, I remember in New Orleans when you told Frank Veneroso how smart he was but you wouldn’t want him managing your money. Well, who would give you any money the way you throw it away in the gold market and are actually happy about losing it? Is your commentary supposed to be a joke? Well, at least they love you on the TV circuit.

Today’s whacked out writers don’t know what the freak they’re writing about.

=======================================
From the AP
By STEVENSON JACOBS, AP Business Writer

Friday, October 10, 2008

Gold, silver prices plummet as fear grip markets

Gold for December delivery fell $27.50, or 3.1 percent, to settle at $859 a barrel on the New York Mercantile

Going out to the Colorado boys, have a drink on the Winedoc

www.youtube.com/watch?v=LOzvGyv8ALo

“All the Federales say
They could have had them any day
They only let them slip away,
Out of kindness, I suppose”

Winedoc

could gold be going down in new york

because they know…new york has no gold for delivery

one way the world i thumbing there nose at us

peace

#

for all those who plan European asian or down under vacation

don’t expect a warm welcome

http://www.roguegovernment.com/news.php?id=12328

   Don’t know why Willie would be privvy to that kind of info, but if that is really to take place in a few weeks, big money will know it and gold and silver should start a pretty rapid ascent in advance of that news.

  I would have to think if that is the case, it is being discussed by the G-20. Might be interesting to see what happens when gold opens tommorrow.

  I kinda think it’s a stretch, but I sure couldn’t blame the rest of the world. I have had enough of the criminals running my country, I can’t begin to imagine the disdain the rest of the world has for us.

goldballoon maybe there will be a  fire sale on a castle

cheers

#

Most interesting sites about silica, thank you…it is the biochemic salt required especially by Sagittarians, whose glyph is a pointed arrow head…like silica molecules that are pointed and triangular, also like an arrow head…nature’s joke on those who know not.

Silica…the reason that I grow Stinging Nettle, as Horsetail (Shavegrass) requires moist, shady places…and by mixing Nettle and Horsetail in an herbal cocktail, my mineral needs are easily met.

Moggy

http://tinyurl.com/49vrn7

From Half_Monty@11:44 on ge.

All the best.—–aggie.

www.financialpost.com/story.html?id=866310

I know that it is not a revelation to most here, but does this not mean it’s time to go get some 5 gal. buckets, lids, and fill them with dry goods? I like beans and rice. What a mess. Troubles are only beginning.

A little embarrassing for her since she recently asked for a raise.

http://tinyurl.com/3zxxd3

Goldtent has also had record viewership as of late….but we don’t brag about it every 30 seconds. Why don’t ya post somethin’ useful once in a while instead of pumping for more advertising dollars.

aggie.

http://tinyurl.com/3scc86