Silver and Gold Manipulation

[JDH]

We have known for years that the silver (and gold) markets are heavily manipulated.  All you have to do is look at a daily chart and watch the price move when the traders arrive in New York.  For years the Commodity Futures Trading Commission (CFTC) has ignored it.

Now, finally, Bart Chilton, a CFTC Commissioner, finally admits that it's happening. http://www.financialpost.com/news/Silver+manipulated+regulator+says/3730509/story.html

Why now?  The evidence has been there for years.

If could be that the evidence has become to big to ignore, so he wants to "get out ahead of it" and lead the charge.  Perhaps the Big Boys have told him that prior to any serious investigation they will begin to unwind their short positions, which are huge, so the CFTC doesn't need to protect them any longer.  Either way, this probably means the price of silver is going much higher, although it will continue to be volatile.  Precious metals are lower this morning, but I will begin to gradual increase my positions on days of weakness.

Of course there is another obvious explanation for why Bart Chilton is speaking now, after years of silence:

My commentary this week: http://www.buy-high-sell-higher.com/2010/10/23/homer-simpsons-thoughts-on-the-gold-market/ was about an episode of the Simpson's called Bart's Comet.

(Probably just coincidence).

[punter]

Baron Rothschild must be rolling in his grave.

[MetalMeister]

Maybe Chilton just wanted to be on the forefront of this news.

Might be politicking for the Chairman's job...

http://www.zerohedge.com/article/jpm-hsbc-sued-conspiracy-keep-silver-price-low-reaping-billions-illegal-profits

[MetalMeister]

Here is Rick Rule and Peter Schiff on today's events and Sunday's call for gold backing from WB Pres:

http://www.zerohedge.com/article/jim-rickards-silver-margin-changes-peter-schiff-new-world-gold-standard

Peter Schiff:

If gold were officially remonetized, the price would have to be about 47 times higher to pair central bank holdings with the assets of the global banking system (according to 2008 estimates from the McKinsey Global Institute). To look at it another way, central banks would be in the market for about 42.6 million ounces of gold to back up all the fiat money in circulation. Martin Wolf, columnist for the FT, asserted that a new gold standard "would generate huge windfall gains to holders of gold."

That would mean gold $65,800.

Didn't realize anyone had it down to the gnat's ass yet...

[sidewinder]

Simply a view of what hyper inflation would look like.  Of Course that is only ONE way to default.  You can't count on these idiots to take any course of action.  However they do it I would think it would be planned so particular individuals can take maximum advantage and screw the vast majority out of assets.  This I believe is the key to understanding or even guessing the course of action for the world in general.

Back to guns, butter and materials.  Dusted off a couple of trailers and got to hauling stuff.  Some out to trash and picking up stuff that has future value.  Got to be able to keep things running and stay comfortable ya know.  

And yes, JDH I have full confidence you will be back next week.  (ref: this weeks commentary)

[MetalMeister]

Well, World Bank Pres. Zoellick has further clarified what he meant by gold having a role in monetary matters:

http://money.cnn.com/2010/11/10/news/international/zoellick_gold_standard/index.htm

Undoubtedly he was horrified in the big rise in PM prices on Monday after he made those remarks!!

[sunseeker]

Inflation..
Bernanke who testified under oath that the "Federal Reserve will not monetize the debt."

http://inflation.us/videos.html

http://www.zerohedge.com/article/dallas-fed-admits-next-eight-months-nation%E2%80%99s-central-bank-will-be-monetizing-federal-debt-op

Is there any “realististic” possibility of Ben Bernanke (or Tim Geitner) being impeached?

Jim Rogers on Bernanke

http://www.youtube.com/watch?v=uc6afd6Y8EM&feature=player_embedded

“I defy you to find to find a single time that he's been right about anything.”

When I posted this:



I confess that for a while I didn't know which end of the hook I was on..............

I got in on TLR @ $1.3 and for a while it was looking very promising...
Then came the silver margin requirement/manipulation event.
The silver take down didn't work for long did it?
Take down silver and gold will follow (and it did).
I wonder how many silver contracts JPM have managed to unload ?

There was an article which encompassed all these points but I've lost it.***

Physical silver and gold holders have no need to worry about these shenanigans.

RE: TLR it would have been nice to report a gain. I like companies with something unique that sets them apart from the others. In this case it's their “Drilling Services.”

http://www.timberline-resources.com/main.php?page=67

Eg..
When I found SRI there was an initial setback, now it's a +2 bagger.

I've read everyone's posts. Sickness in the family and time's limited to reply in any depth.

ATB  

*** Found it................

http://www.roadtoroota.com/public/443.cfm

PLUS

http://www.contraryinvestorscafe.com/wp-content/uploads/2010/11/sc_11112010.mp3

[MetalMeister]

SS,

I read this yesterday, I think.  This week has been a blur.

http://kingworldnews.com/kingworldnews/KWN_DailyWeb/Entries/2010/11/10_KWN_Source_-_Asian_Buyers_Have_Silver_Shorts_Checkmated.html

Unidentified source saying that if the big banks can take the price down to $25.50 for a while then the longs would have to capitulate and the price can go way down from there.  I read somewhere that most of the big bullion bank's shorts are around $18.

Does that make sense?