Category: My Blog

Two days away from the start of 2011 and less than 5% of the population of North America is aware of the forty or more new laws beginning in the New Year which will directly affect them, this fact makes it more difficult for any economist or trends forecaster to accurately present plausible information based indicators which might provide some probable possibilities as to where the society is headed.

We do know that the QE2 process will further undermine the value of the US dollar and all economies attached to it worldwide, so the US government proposed the idea that a devalued dollar will somehow enable more US exports is by all reasons questionable, considering that the problem with this premise is the fact that the US manufacturing capacity is almost none existent except for its agricultural and military hardware industries, which combined employ less than 00.3 percent of the total number of those employed in the US.

Everywhere we turn in society we often encounter some sort of fiscal or economic crisis of a current nature or one that is in the making, so as the disinformation campaigns which promote stock market gambling ramps up, remember, smart money navigates towards precious metals and real assets of enduring value.

If each of us were to look at our current lives as a three-dimensional chess board subject to today’s world of enhanced rules and regulations, would present to us an expressed road map illustrating the following endeavors and preconditions which we all are encumbered with in one way or another.

Here is where we all essentially have fifteen economic and or financial moves available to us all with twenty-two or more flags to avoid or counteract, these financial and or economic moves are:

Employment

Self Employed

Entrepreneur or Business Owner

Savings

Credit Cards and or Loans of some kind

Investments

Inheritance

Family Collective Living and Support

Friends and Community Support

International Living and Business

Retirement, State Welfare, Government help, or Unemployment benefits

Incarceration

Illegal Activities to generate income

Homelessness

Natural living in Nature

These are the not-so-obvious moves that many US citizens currently have available to them in some form or another, however, unlike the chest board ruled by linear movement calculations, half of the options are linear and limited while half are not linear and limited about how much one or a collective could prosper and thrive under any adversity, from this list you must determine where you are and ultimately where you would like to be.

This set of differentials simply allows the reader to visualize the full spectrum of what constitutes financial and or economic livelihood, and from these categories, it is possible to redraw a map of none linear limited options, now onto the flags, this is where the path gets quite rocky, therefore it is necessary to eliminate any bias you may harbor while reviewing these flags

Capital Controls of some form or another

Bank withdrawal limits

Possible Limited Bank Holidays

Highly Plausible Attacks Aimed at Precious Metals Acquisition in some form or another

Highly discouraging measures taken to limit international travel

Substantial Limitations on internet content

Progressive Government Poverty Assimilate Measures

Assets taxed disproportionately

Aggressive new tax laws that bite hard

Reduced Government Support

Government Imposed Austerity

Massive Unemployment Cycles

Stock Market Crisis

Unprecedented Crime Spikes Unseen Before

Substantial Cost Increases for essentials

Aggressive Military Recruiting

Massive Government Surveillance Programs

Geopolitical Instability and Possible Confrontations

Further Contraction of Money in the Real Economy

Currency and Trade Wars between Nations Trading Blocks

Covert and Overt acts of violence nationally and geopolitical

Extraterrestrial Propaganda

Clean Food and Water Crisis of some kind

And finally viral outbreaks of some kind upon the horizon

If you could but reduce your exposure to the flags, and increase your none linear limited moves, you could win the game of success and prosperity, however by carefully cross-referencing the flags and the moves with broad swaths of diverse information relating to the flags and moves; will without question enable you uncommon insight and abilities which to some may appear to be unfathomable in comprehension, and always make room for the unknowns.

The world is still a big place and no matter where you go in it, there is always a landlord, and sometimes to be free and prosperous may mean that you may have to move around to find the right place to settle down and prosper in, this is the reality today, even if you are willing to adjust to the pains ahead, prepare yourself for a rough ride into the future, but by all means, keep your precious metals and business endeavors in top shape as certain options presented may become more attractive as the storm intensifies.

The high-frequency fervor of gold buying and speculative trading has crescendoed into a unified Pitch, a pitch that overwhelmingly illustrates the ever-growing demand for groups of metals that barely caught the attention of investors, banks, or even jewelers just a few years ago now dominate the global landscape for its acquisition.

The most pressing question and most important, is why? Why has this small group of metals now taken center stage in what is now being coined as the 21st-century gold rush?

Why are banks, insurance companies, sovereign wealth funds, hedge funds, individuals, and all manner of business interests feverishly acquiring this small group of metals, especially physical gold?

A group of metals that barely priced out at $12 and $300 per ounce now demand a price range for one ounce of silver at $19.00 and gold pricing out at $1200 per ounce spot price.

Could this be pure manipulation of the precious metals market or a developing trend that requires a more in-depth approach to properly understand the mechanisms that drive this unique commodity group, requiring a thorough investigation into the private world of the Precious metals industry is where we will start, as this direction will further reveal detailed information and is necessary to ascertain a plausible understanding as to why the possession of gold has become centerpiece among world governments and institutions?

Notwithstanding the good old USA’s gold buying and selling frenzy, as well as a growing population of concerned US citizens greatly concerned about the rapidly deteriorating condition of the nation’s economy and infrastructure among many other concerns, prefer to have gold and silver assets vs. bank offered financial products such as certificates of deposit or money market accounts.
Now back to the market.

The very basic sub-meaning of the word market in essence means manipulation, if demand dictates supply, then it is possible that the source of supply can be manipulated in increases or reductions using any number of reasons why the fluctuations of price in relationship to supply occur.

With this thought in mind, we can begin to understand that whenever a resource like gold or silver makes it is way back into an economic environment that’s in a downward spiral, off times illustrates the true nature of gold and silvers value when currencies devalue but furthermore reveal how governments avoid allowing precious metals a commonplace in the economic bloodline of its monetary policy for obvious reasons. One need only study a brief glimpse of global economies’ historical use of the metals to gain an appreciation of how precious metals were used as units of weights and measurements in standardizing trade or a resource equivalent to a currencies value such as salt, special herbs cattle, etc to ascertain the importance of how precious metals inhibited excessive paper currency creation, demanding that it proportionately be created in relationship to gold & silver production.

It is well documented that these metals hold up in value and importance about exchange and trade when nothing else would other than great relationships among families and communities for collective survival and well-being, and this standard has been established worldwide except for local weights and measurements primarily established for the indigenous communities use, which will vary from country to country in both weights and price.

A look into western standards regarding the primary precious metals industry reveals three critical areas that one must familiarize themselves with to begin turbulence-free navigation toward profitability.

1) HSBC Is the custodian of the Gold market
2) JP Morgan Chase & Goldman Sachs are the custodians of the Silver market
3) The LME (London Metal Exchange) is the clearing house for futures and options contracts on base and other metals with a cash value volume of $112 Million lots (2009)

It is these four entities that essentially influence the world’s precious metal market pricing of gold-silver-platinum and palladium.

There is also the precious metals spot market where traders and buyers determine when to buy and sell based on hourly and daily price points which change every minute of the day, this process serves as a value indicator.

From the LME options and future contracts include such instruments as SLV and GLD ETFs (Exchange-traded funds) of silver and gold options and futures, which allows for the purchasing of contract bets that prices will either increase or decrease of the precious metals earning a profit or a loss for the purchaser of these agreements.

In my opinion, this commodity group is less turbulent than the overall stock market in that it is a unique market with greater volume only second to the forex market, and is much less risky.

Gold and Silver Bullion Frightful Moment

As the title suggests; Gold and Silver bullion are so in demand by world Governments, Global Banks, Global Industries, and Institutions, the combination of which has pushed global demand to a dangerous point of price and availability volatility in several ways.

1. Silver Bullion massive naked short positions by large financial institutions such as J.P Morgan and HSBC
2. Gold and Silver mining costs are increasing under the weight of global demand creating possible shortages throughout the market including global mints limiting the distribution of coins and related products into their local economies and worldwide
3. And finally, sovereign debt is a very big issue today, particularly among western nations which will at some point address the precious metals subject in their respective nations with a special emphasis on citizens’ precious metals holdings

If there is a squeeze first in the silver market a unique set of events will occur, silver will skyrocket in a matter of months and as a result, sudden panic will flood the market pushing gold to unprecedented levels. I would buy gold online now if it were me!

The combination of these multifaceted realities haunts the precious metals industry as a whole and cannot easily be explained away or marginalized by economic commentators.

Just recently there has been a string of events where banks that offer vault storage services for allocated precious metals account holders refused to release on-demand gold and silver bullion belonging to private parties, and with the threat of going public by the individual’s attorneys only then was the gold and silver bullion released after months of deliberation which should have only taken two to three days to release to the owner their personal property.

These recent events present a subtle yet glaring possibility of what banks are capable of and prepared to do to protect their interest, not the account holders’ interest this also includes funded accounts, even though the gold and silver bullion were storage items only, not a part of the bank’s assets but a private persons property that was stored and paid for each month without any late payments or related infractions.

What will these events mean for precious metals professionals and the general public, well for starters gold and silver bullion could quickly become scarce if say one or two billionaires moved into the market to purchase the remaining supplies of current and future bullion supplies, this event would surely alter the precious metals industry landscape and it would also create extreme scarcity throughout the global precious metals industry, this moment begins the countdown to uncertain but eventual events ahead.

However, while individuals would find it nearly impossible to obtain Gold and Silver bullion at reasonable prices, precious metals professionals will have access to whatever supplies are available because they are close to the resource, and have an intimate knowledge of the industry and its players, this is yet another reason why precious metals enterprising is the profession that will weather the global economic storm (public take notice).