Showing posts with label gold default. Show all posts
Showing posts with label gold default. Show all posts
Wednesday, September 21, 2011
WHERE'S THE GOLD?
George Offerman
It is said “Those who have the gold make the rules”. However, since the advent of the Federal Reserve in 1913, the rule has evolved, so to speak to “Those who make the rules, have the gold.” Shortly after the Federal Reserve was created, the Fed ended up becoming the ‘custodian’ of the world’s largest hoard of gold to back their FRN’s. Since that time, there has been infrequent audits of the Ft. Knox facility, the last being 1968.
One very astute observer caused quite a stir a few years back when the question was posed “How much does the Federal Reserve pay for their gold, and how do they get it?” this observer answered “$.10 per ounce, because it costs $.025 to print an FRN and 4 FRN’s will get one ounce of gold (Gold was $400 per ounce at that time). It was reported the crowd was very quiet, and then became angry once this thought set in.
Here we have the perfect example of thievery. One has to work extremely hard to obtain the needed FRN’s to purchase gold, when a private organization simply can print the pieces of paper and obtain what they want. On top of that, the Fed has first access to any significant amount of gold placed on the market, by other central banks, the Bank of International Settlements (BIS), International Monetary Fund (IMF) and the World Bank
Gold Anti-Trust Action Committee (GATA) http://www.gata.org/ has been following the movements of Gold for 10 years and has meticulously documented the manipulation of gold prices by the ‘banksters’ and the movement of central bank gold sales. Their information is all found in the public domain, and is extremely difficult to refute. Bill Murphy, the president of GATA posed this question concerning the sales of gold: ‘If the price of gold is not manipulated, then why do central banks announce the sale of gold only when prices are going up?’
Looking at historical records, every time the central bank announces sales of gold, the price generally crashes. Now, if the central banks were out to make a profit, wouldn’t they secretly sell the gold to maximize profits? Could you imagine Warren Buffet making a public statement to the tune of: “I think I’ll sell Berkshire Hathaway’s holdings of Gillette stock, it’s getting too high and I think the price needs to come down. I don’t mind taking a loss”. If you believe that, you were born on Jekyll Island.
Gold is the antithesis of fiat money, and the ‘banksters’ need to keep the price of gold as low as possible. If (and when) inflation gets out of control, the price of gold will reflect this and skyrocket. At that point, it is ‘game over’ for the Federal Reserve and all other central banks that rely on script to fund their misadventures.
Ron Paul (R Texas) has sponsored a bill calling for an audit of the Federal Reserve. Currently he has over 280 co-sponsors for this bill and the momentum is building to find out who and what the Fed gave over 2 trillion dollars to in the last ‘bailout’. However, the intellectual and financial powerhouse known as Barney Frank, chairman of the House Financial Services Committee, is holding the bill in committee, and thus colluding with the ‘banksters’ in their cover up of this crime in progress. Remember, it was Barney Frank who boldly stated in 2005 “Fannie and Freddie are financially sound and make good business decisions”. Wow! And he is in charge of our nation’s financial decisions?
Historically speaking, the last time such a high percentage of gold was ‘unavailable’ to the public was right before the dark ages. GATA estimates that 96% of the gold in bullion form is held by central banks or the mega rich families, with the rest of the world vying for the other 4%. When the paper money system collapses (which it will), we know who will be in the ‘driver’s seat’ when the new rules of banking and finance take place.
The link below is to the Ludwig Von Mises Institute, and Von Mises is considered one of the top economists from the Austrian school of economics. The Austrian school holds that sound money is the basis of all stability in economic situations, and has always advocated for a precious metals based currency. It is good reading, and very educational.
http://mises.org/story/3729
Friday, May 14, 2010
THEN AND NOW
George Offerman
After having several very interesting conversations in the last few days about the state of affairs in this country, and the recent up moves in the precious metals, I have given into a temptation to write a post exclusively on the metals, which I have not really done up to this point. So, if you are not interested in this topic, skip this one and come back on Monday.
There are those who still believe that Gold is a ‘barbarous relic’, and is currently in a bubble, due to the fact it has gone up fivefold from its low in 2000. There are even more that believe silver is just an ‘industrial’ metal, and as well, is near bubble status, having gone up slightly more than fourfold from its 1999 lows. In both instances, the skeptics cannot be more mistaken, and sadly enough for them (to be discovered VERY SOON) they will have major regrets that they did not get on this train before it pulled out of the station. Even at today’s rate, gold is still a bargain, and silver is practically being given away.
The last major run of both metals ended in 1980 when gold hit $850 per ounce and silver $50 per ounce. Without getting into great detail ( and the reader must do research on this) the main upward pressure for gold was Nixon’s closing the gold window August 15, 1971, thus ending what was then known as the Bretton Woods agreement, and the subsequent running of very high inflation and the oil crisis of 1973-4. However, silver had a different story and set of circumstances. Two very wealthy brothers who were in oil had figured out that inflation was going to steal their wealth in a stealth like manner, and decided to accumulate a large amount of physical silver as a ‘hedge’ against inflation. This accumulation took several years, but hit critical mass in mid to late 1979, shooting the price up to nearly $50 per ounce. The Hunt brothers (who really would be considered HEROES if the truth were known) nearly crashed the silver market (and would have destroyed the money powers on the spot) and exposed the fraud that the COMEX actually is. The Hunt brothers ‘crime’ as the SEC and others allege, was demanding to take delivery of the physical silver that they LEGALLY BOUGHT AND OWNED. Had they done that, the manipulation of the precious metals that has been very well documented by GATA and Ted Butler would have ended, and the true price of the metals would have continued higher until they reached their true value.
What killed the silver price at $50 was intervention on the COMEX markets by the government, when they disallowed ‘long’ contracts from being purchased, and threatened to flood the market with silver (which at the time, the U.S. gov’t had a stockpile of 2 billion ounces). Within a day, the price collapsed by $15, and the Hunt brothers were ‘out of business’ and on their way to vilification and trial. After this episode, the COMEX through the CFTC instituted caps on long contracts, but not shorts, thus creating the current situation of manipulation in silver by the well known short holder JP Morgan.
The interesting thing back then was silver was making moves of $3-5 per day, and that was when there was a known world supply of around 10 billion ounces, with the U.S. government holding the world’s greatest hoard of silver. There was truly no shortage back then, but by virtue that silver is money (as God deemed it to be) there was that ‘herd mentality’ of getting some before it was gone, thus driving up the prices in very short order.
Now, fast forward to 2010. The government used up their hoard, and have been net buyers of silver for at least the past 5 years. There are no governments that have been net sellers of silver, and the largest known hoard is in India, at 200 million ounces (and they will not part with theirs) the world supply (estimated) is down 90% from 10 to 1 billion ounces. Silver is a necessity for the modern electronics found in cell phones, computers and virtually all other components that need to be spark free and heat sensitive (the two facets of silver not found in ANY other metal known to man). Silver has anti bacterial properties that are now utilized in everything from clothing, to medicines, and these facets consume around 40% of all annually mined silver. The USGS has estimated that known ground reserves of silver will be exhausted in 14 years. There are more points to make concerning silver’s use and consumption, but the point is that there is little supply of silver left, and the money powers have NO RECOURSE left when prices take off.
The largest feature of all though is the fact there are now thousands of little “Hunts’ out there, who will not let go of their silver at nearly any price, and they are very clear who the villains are, unlike 1980. The U.S. government has no silver left to threaten to flood the market with when the price finally breaks free. The major forces that killed the last silver run have been neutralized, and it is CHECK MATE for the greedy money powers. There is no greater joy in the precious metals camps than the idea that these ‘useless eaters’ have to watch their scheme crumble right in front of them, and they can’t do anything about it. What goes around comes around.
The prices of the metals, especially silver will be absolutely stunning. There will be thousands of folks who will be ‘instant millionaires’ when this starts, and it will be in the truest form of money that God created. The price increase will not be a moon shot; it will be more like a super nova. No one will be griping about having bought, and then seeing it go down by some cents or even a few dollars. There will be people that only have modest amounts that will see daily increases in the 5-6 figure range during the height of the ‘mania’, and their only dilemma will be when or if to get out of the market and buy up the real estate that will be had for back taxes. This truly is a ‘once in history’ chance to get into something that is still available on the cheap, but the door is closing fast and the ride is about to commence.
After having several very interesting conversations in the last few days about the state of affairs in this country, and the recent up moves in the precious metals, I have given into a temptation to write a post exclusively on the metals, which I have not really done up to this point. So, if you are not interested in this topic, skip this one and come back on Monday.
There are those who still believe that Gold is a ‘barbarous relic’, and is currently in a bubble, due to the fact it has gone up fivefold from its low in 2000. There are even more that believe silver is just an ‘industrial’ metal, and as well, is near bubble status, having gone up slightly more than fourfold from its 1999 lows. In both instances, the skeptics cannot be more mistaken, and sadly enough for them (to be discovered VERY SOON) they will have major regrets that they did not get on this train before it pulled out of the station. Even at today’s rate, gold is still a bargain, and silver is practically being given away.
The last major run of both metals ended in 1980 when gold hit $850 per ounce and silver $50 per ounce. Without getting into great detail ( and the reader must do research on this) the main upward pressure for gold was Nixon’s closing the gold window August 15, 1971, thus ending what was then known as the Bretton Woods agreement, and the subsequent running of very high inflation and the oil crisis of 1973-4. However, silver had a different story and set of circumstances. Two very wealthy brothers who were in oil had figured out that inflation was going to steal their wealth in a stealth like manner, and decided to accumulate a large amount of physical silver as a ‘hedge’ against inflation. This accumulation took several years, but hit critical mass in mid to late 1979, shooting the price up to nearly $50 per ounce. The Hunt brothers (who really would be considered HEROES if the truth were known) nearly crashed the silver market (and would have destroyed the money powers on the spot) and exposed the fraud that the COMEX actually is. The Hunt brothers ‘crime’ as the SEC and others allege, was demanding to take delivery of the physical silver that they LEGALLY BOUGHT AND OWNED. Had they done that, the manipulation of the precious metals that has been very well documented by GATA and Ted Butler would have ended, and the true price of the metals would have continued higher until they reached their true value.
What killed the silver price at $50 was intervention on the COMEX markets by the government, when they disallowed ‘long’ contracts from being purchased, and threatened to flood the market with silver (which at the time, the U.S. gov’t had a stockpile of 2 billion ounces). Within a day, the price collapsed by $15, and the Hunt brothers were ‘out of business’ and on their way to vilification and trial. After this episode, the COMEX through the CFTC instituted caps on long contracts, but not shorts, thus creating the current situation of manipulation in silver by the well known short holder JP Morgan.
The interesting thing back then was silver was making moves of $3-5 per day, and that was when there was a known world supply of around 10 billion ounces, with the U.S. government holding the world’s greatest hoard of silver. There was truly no shortage back then, but by virtue that silver is money (as God deemed it to be) there was that ‘herd mentality’ of getting some before it was gone, thus driving up the prices in very short order.
Now, fast forward to 2010. The government used up their hoard, and have been net buyers of silver for at least the past 5 years. There are no governments that have been net sellers of silver, and the largest known hoard is in India, at 200 million ounces (and they will not part with theirs) the world supply (estimated) is down 90% from 10 to 1 billion ounces. Silver is a necessity for the modern electronics found in cell phones, computers and virtually all other components that need to be spark free and heat sensitive (the two facets of silver not found in ANY other metal known to man). Silver has anti bacterial properties that are now utilized in everything from clothing, to medicines, and these facets consume around 40% of all annually mined silver. The USGS has estimated that known ground reserves of silver will be exhausted in 14 years. There are more points to make concerning silver’s use and consumption, but the point is that there is little supply of silver left, and the money powers have NO RECOURSE left when prices take off.
The largest feature of all though is the fact there are now thousands of little “Hunts’ out there, who will not let go of their silver at nearly any price, and they are very clear who the villains are, unlike 1980. The U.S. government has no silver left to threaten to flood the market with when the price finally breaks free. The major forces that killed the last silver run have been neutralized, and it is CHECK MATE for the greedy money powers. There is no greater joy in the precious metals camps than the idea that these ‘useless eaters’ have to watch their scheme crumble right in front of them, and they can’t do anything about it. What goes around comes around.
The prices of the metals, especially silver will be absolutely stunning. There will be thousands of folks who will be ‘instant millionaires’ when this starts, and it will be in the truest form of money that God created. The price increase will not be a moon shot; it will be more like a super nova. No one will be griping about having bought, and then seeing it go down by some cents or even a few dollars. There will be people that only have modest amounts that will see daily increases in the 5-6 figure range during the height of the ‘mania’, and their only dilemma will be when or if to get out of the market and buy up the real estate that will be had for back taxes. This truly is a ‘once in history’ chance to get into something that is still available on the cheap, but the door is closing fast and the ride is about to commence.
Friday, November 20, 2009
IT'S OFFICIAL: GOLD DEFAULT
George Offerman
I could hardly sleep last night thinking about the recent discovery of gold plated tungsten bars by the Chinese (of all the countries, why them?) This event has such wide implications that it would take the most brilliant mind to comprehend the differing angles and outcomes soon to follow. These people have nuclear weapons and an ability to come collecting on their debt. What in the world are the banksters and money powers thinking?
I had written in a previous post that I believe the money powers are a bunch of incompetent inbred idiots, and it seems this description is very accurate. People will be debating forever that the money powers orchestrated this move, and that it was in the works for years. It seems that may be giving them way more credit than they deserve. Greed is a powerful emotion, and often blinds those that succumb to it. I believe more than anything, that they thought they were going to get away with this, and never dreamed that the Chinese would actually assay their gold. It really is no different than the bond markets, in which the U.S. Treasury simply ‘renews’ the money into new Treasury notes, and does not actually pay back the principle to the holder.
The upcoming delivery month for the CRIMEX will be very interesting. I will be referring to the COMEX as CRIMEX from now on, as this crime in progress is not being investigated, nor ended by the supposed governing agency Commodity Futures Trading Commission or CFTC. Default on paper products is fairly easy to cover up. How can we explain to the Chinese that we ‘accidentally’ sent light bulb metal instead of gold? How stupid does the CRIMEX think the Chinese are? Are they really that arrogant that they can send over phony metal, and think they can get away with it?
Gold ‘bricks’ are 400 oz. each, and if it is true that Bill ‘slick Willie” Clinton had the tungsten bars made up, the whole hoard of U.S. supplies would have been replaced by this phony metal, and Fort Knox would have actually had more ‘gold’ in it after Clinton left office than before he entered. The alleged amount of gold at Fort Knox, is supposed to be in the vicinity of 270 million, and the fake bars would have come up to 400 million oz., showing a net increase of over 40 percent for Clinton’s tenure. Quite a boast for the slick meister, and not surprising given his sociopathic tendencies.
It is now only a matter of time before this mess unravels, and it will be very ugly and harmful. It is unfortunate we are entering our wintertime here, and we may need to be prepared for some rough times, and may need to leave our lives as we know it behind. Again, this may seem to be alarmist or sensationalist, but the repercussions of this action need some immediate relief, and unfortunately, we as a country are not in the position to take care of this, and the money powers would rather have us gone anyway.
I cannot make a better case for those reading this to get some precious metals. The time is very short, and if this information does not motivate you to act, then you may need to check yourself for a body temperature and a pulse. Time is of the essence and it appears it is very short, at least economically. Do something for yourself and your family before the option is taken away.
I could hardly sleep last night thinking about the recent discovery of gold plated tungsten bars by the Chinese (of all the countries, why them?) This event has such wide implications that it would take the most brilliant mind to comprehend the differing angles and outcomes soon to follow. These people have nuclear weapons and an ability to come collecting on their debt. What in the world are the banksters and money powers thinking?
I had written in a previous post that I believe the money powers are a bunch of incompetent inbred idiots, and it seems this description is very accurate. People will be debating forever that the money powers orchestrated this move, and that it was in the works for years. It seems that may be giving them way more credit than they deserve. Greed is a powerful emotion, and often blinds those that succumb to it. I believe more than anything, that they thought they were going to get away with this, and never dreamed that the Chinese would actually assay their gold. It really is no different than the bond markets, in which the U.S. Treasury simply ‘renews’ the money into new Treasury notes, and does not actually pay back the principle to the holder.
The upcoming delivery month for the CRIMEX will be very interesting. I will be referring to the COMEX as CRIMEX from now on, as this crime in progress is not being investigated, nor ended by the supposed governing agency Commodity Futures Trading Commission or CFTC. Default on paper products is fairly easy to cover up. How can we explain to the Chinese that we ‘accidentally’ sent light bulb metal instead of gold? How stupid does the CRIMEX think the Chinese are? Are they really that arrogant that they can send over phony metal, and think they can get away with it?
Gold ‘bricks’ are 400 oz. each, and if it is true that Bill ‘slick Willie” Clinton had the tungsten bars made up, the whole hoard of U.S. supplies would have been replaced by this phony metal, and Fort Knox would have actually had more ‘gold’ in it after Clinton left office than before he entered. The alleged amount of gold at Fort Knox, is supposed to be in the vicinity of 270 million, and the fake bars would have come up to 400 million oz., showing a net increase of over 40 percent for Clinton’s tenure. Quite a boast for the slick meister, and not surprising given his sociopathic tendencies.
It is now only a matter of time before this mess unravels, and it will be very ugly and harmful. It is unfortunate we are entering our wintertime here, and we may need to be prepared for some rough times, and may need to leave our lives as we know it behind. Again, this may seem to be alarmist or sensationalist, but the repercussions of this action need some immediate relief, and unfortunately, we as a country are not in the position to take care of this, and the money powers would rather have us gone anyway.
I cannot make a better case for those reading this to get some precious metals. The time is very short, and if this information does not motivate you to act, then you may need to check yourself for a body temperature and a pulse. Time is of the essence and it appears it is very short, at least economically. Do something for yourself and your family before the option is taken away.
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