Jump to content

Recommended Posts

I read this and it was absolutely hilarious. A work of comic genius - for I presume it was supposed to be this. Worthy of Private Eye or Monthy Python.

 

https://picasaweb.google.com/lh/photo/92iQKoPpQmXxj29tjmWZpA?feat=embedwebsite

 

Link to Keiser story - http://maxkeiser.com/2011/08/20/browns-bottom-gordon-brown-sold-12-of-britains-gold-at-250-an-oz/

 

Wow. Just wow. Keynesianism is alive and well folks, even if in a slightly zombified state.

 

I also love how they infer that without the gold standard the Great Depression would've just been a normal cyclical downturn, completely ignoring that it was actually the culmination an epic credit expansion.

Share this post


Link to post
Share on other sites

With the gold market looking strong but over extended in the short term, just wondering what protection people are putting in place? I guess this is aimed more at paper gold traders than physical holders, though could be pertinent to both.

 

I'd like opinions on the idea of selling a straddle to offer some protection. With ATM December call and put options both selling in the region of 100 this could offer upto $200 of downside protection and not produce any loss of profit unless gold gains over $200. If it pulled back over $200 then I'd consider this a fantastic buy opportunity anyway so not over concerned about protecting beyond this figure.

 

I realise I could also buy puts to cover the downside but that potentially takes away from upside profit, whereas selling options stands a far better chance of adding to the gains, unless it gains over $200 in this period, which I accept is possible but fully expect a pullback before those gains happen. The options would not necessarilly have to be held to maturity and the calls could be bought back for a nominal amount if we do get a big pullback.

Share this post


Link to post
Share on other sites

:D

 

When asked about the GATA conference in London and Jim Sinclair's speech in particular Sprott responded, "Well it was very special for me to see James Sinclair and meet James Sinclair who I had never met, but I go to his website (jsmineset.com) very often. I mean I think it was one of the greatest calls of all-time which I commented on in my own speech there, that anybody who in 2000 that would have suggested gold would go to $1,650, to be able to triumphantly come to GATA and the price was $1,650 was absolutely incredible and I think it inspired everyone.

 

To add icing to the cake of course, Jim suggested that if gold went through $1,764, it would start entering a parabolic phase and would go to $12,000. But what an incredible call ($1,650), it was an honor to be there."

 

http://kingworldnews...$120_Today.html

Share this post


Link to post
Share on other sites

Chavez's bullion holdings, extracted from the latest "Things that make you go Hmmm" report by Grant Williams:

 

chavezgold.png

 

Let's see just how much physical HSBC and JPM are able to relinquish. The rest of the report is well worth reading:

 

http://www.zerohedge.com/news/things-make-you-go-hmmm-such-venezuelan-dictator-bringing-down-global-gold-cartel

Share this post


Link to post
Share on other sites

longtermlog.gif

 

Interesting juncture here.... though we've seen them before. Renewed volatility in gold within the context of its long term appreciation. Breakout of the long term trend, or consolidation?

Share this post


Link to post
Share on other sites

Recently at the Chavez mansion.

 

Secretary: Mr President, a phone call for your excellency.

 

Chavez: Who could it be?

 

Secretary: The JPMorgue, your excellency.

 

Chavez: The JPMorgue! Always nice talking to them, put them through.

 

JPMorgue: Hello Mr President. How are you doing?

 

Chavez: Fine, fine. What's up?

 

JPMorgue: Mr President, regarding your gold...

 

Chavez: Oh, yes, yes. Just ship it back to us as soon as you can.

 

JPMorgue: Errh, Mr President, the gold...

 

Chavez: Is there a problem with our gold?

 

JPMorgue: Mr President...

 

Chavez: This is the gold of the people of Venezuela. I want you to ship it back to us right now.

 

JPMorgue: Mr President, the gold...

 

Chavez: You still have it, right? You have it right there in your vault in Manhattan, right?

 

JPMorgue: Mr President...

 

Chavez: You gross little bastewards, you immense morons, are you trying to tell me that the gold of the Venezuelan people is not there anymore?

 

JPMorgue: Errrh, Mr President, let us explain...

 

Chavez: I'll sent my agents over with the next flight!

 

JPMorgue: Mr President...

 

Chavez: I can't fudging believe it. What have you morons done to my people's gold?

 

JPMorgue: Mr President, your gold is still on deposit with us.

 

Chavez: Good, good. Just ship it on the earliest flight tomorrow morning.

 

JPMorgue: Mr President...

 

Chavez: I know that I am the President. Just ship the gold, okay?

 

JPMorgue: Mr President, "on deposit" does not mean that it is immediately available for physical delivery.

 

Chavez: WHAT? Who do you try kidding here? I'll sent my agents over!

 

JPMorgue: Mr President...

 

Chavez: I knew it, you bl00dy morons have sold it! You simply SOLD the gold of the people of Venezuela?

 

JPMorgue: Mr President...

 

Chavez: Admit it!

 

JPMorgue: Mr President, it is not...

 

Chavez: Admit it, or my agents will visit you tonight!

 

JPMorgue: Yes, but, ...

 

Chavez: What BUTT? I will spank your butt! Give us back our gold NOW!

 

JPMorgue: Errh...

 

Chavez: Why have I paid all these storage fees to you crooks?

 

JPMorgue: Mr President, errh, the JPMorgue would like to offer you a deal.

 

Chavez: A deal?

 

JPMorgue: Yes, a deal.

 

Chavez: WHAT deal?

 

JPMorgue: Mr President, we offer you to pay back the gold in freshly printed U.S. Dollars. Professor Bernanke is down in the basement right now, cranking up the press for you.

 

Chavez: You bl00dy morons, I want my GOLD!

 

JPMorgue: Mr President...

 

Chavez: You better give me the gold soon, or...

 

JPMorgue: Mr President, why would you not take our freshly printed Federal Reserve Notes?

 

Chavez: You insane morons, because I want gold!!

 

JPMorgue: Mr President, we don't have the gold.

 

Chavez: Then buy it back!

 

JPMorgue: Mr President, this would cause a huge price spike in the market, since there is not much physical gold around these days.

 

Chavez: I don't care. You idiots buy it back for us, no matter what the price is.

 

JPMorgue: Mr President, are you sure you would not like to take our freshly printed Greenbacks? You would not even have to take physical delivery, because we would store them electronically for you at the Federal Reserve...

 

Chavez: You IDIOTS!

 

JPMorgue: Mr President, please...

 

Chavez: BUY BACK THE GOLD NOW, OR...!

 

JPMorgue: Mr President, this could mean a huge financial loss for the JPMorgue, a massive upward correction in the price of gold, and a further weakening of confidence in the global financial system and the U.S. Dollar.

 

Chavez: YOU IDIOTS, I WANT MY GOLD!

 

JPMorgue: Mr President, please...

 

Chavez: Anything else?

 

JPMorgue: Mr President...

 

Chavez: HASTA PRONTO!

 

JPMorgue: Mr President?

 

Secretary: Can I help you...?

Excellent. Thanks GF

Share this post


Link to post
Share on other sites

Gold up $25/t.oz in the first 2 hours of trading... :blink:

I'm hoping this is top buyers and we'll have a pull back by Thursday. But I'm sure of nothing. Fiat is falling so fast! Puts a new spin on 'the markets can stay irrational for longer than you can stay solvent' :lol: cash buying less and less.

Share this post


Link to post
Share on other sites

Jake, I'm hoping for that pullback also. I've decided to add the Sprott Trust (if I can get it with a reasonable premium) to the physical I have in-hand.

 

If gold is still up when the Western markets open I think this may be a good put buying opportunity.

Share this post


Link to post
Share on other sites

Jake, I'm hoping for that pullback also. I've decided to add the Sprott Trust (if I can get it with a reasonable premium) to the physical I have in-hand.

 

If gold is still up when the Western markets open I think this may be a good put buying opportunity.

Fingers crossed & Good luck! Up she goes for the time being...will it reach 1900?

 

How's that US house price graph looking now? 90 odd? You 'lucky' buggers. I wonder when UK's time will come. Mind you now grinding under 150oz so we are there behind you if not 'shoulder to shoulder'. Lol. I keep having to pinch myself and remind self 'it's far worse this time, far, far worse, so sit back and let the metal do the running' Still it leaves the throat parched and wondering when people will consider piling in, cash buying with gold/silver profits. 80? 70? 50? 40? Much talk about gold 5000 out there now. At the moment, talk, but so it was back in 2005/6/7/8 etc.

All the best!

Share this post


Link to post
Share on other sites

People's Daily:

"The euro debt crisis has now been going for nearly two years since the end of 2009, and the sovereign debt crisis has spread like the Black Death of the fourteenth century across the euro zone countries," said the commentary, referring to the rodent-borne pandemic that devastated Europe.

 

http://www.cnbc.com/id/44223534

Share this post


Link to post
Share on other sites

Fingers crossed & Good luck! Up she goes for the time being...will it reach 1900?

 

How's that US house price graph looking now? 90 odd? You 'lucky' buggers. I wonder when UK's time will come. Mind you now grinding under 150oz so we are there behind you if not 'shoulder to shoulder'. Lol. I keep having to pinch myself and remind self 'it's far worse this time, far, far worse, so sit back and let the metal do the running' Still it leaves the throat parched and wondering when people will consider piling in, cash buying with gold/silver profits. 80? 70? 50? 40? Much talk about gold 5000 out there now. At the moment, talk, but so it was back in 2005/6/7/8 etc.

All the best!

Yeah, the latest median was $171,900, so the ratio is at 91.5. That looks like a time to buy. However, there is still a glut of foreclosures, the Republicans may get some of their austerity wishes, which will be negative for home prices, and a recovery in employment seems to be non-existent for the time being. Meanwhile, failing confidence should push gold higher in the medium/long term.

 

And there is this:

 

NEW YORK (CNNMoney) -- Home prices have taken such a beating and demand for rental units has increased so much that it's now cheaper to buy a two-bedroom home than to rent one in most major U.S. cities.

 

According to real estate web site Trulia, buying was cheaper than renting in 74% of the country's 50 largest cities in July. In just 12% of the cities, including New York, Seattle and San Francisco, renting was cheaper. In the remaining 14% of cities, renting was less expensive but close to the cost of buying.

http://money.cnn.com/2011/08/16/real_estate/buy_rent/index.htm

 

There are good reasons to buy, but also good reason why the ratio may go lower. My bias is towards waiting. I enjoy being fleet of foot and want to absolutely avoid getting trapped in illiquid property.

 

Is a man's home his castle or prison?

Share this post


Link to post
Share on other sites

 

Is a man's home his castle or prison?

Haha! Are you asking a self exiled Brit if he considers a home a castle or a prison? Right now, in the UK, I'd say a ball and chain. So like yourself I'm happy to wait and wait and if it never happens then I shan't be too bothered as a return (to the UK) is looking less and less likely. Still a cheap, well located property might be useful for a number of reasons in the future, bought for cash profits on gold. Beats having a mortgage! I like GF's target area.

Share this post


Link to post
Share on other sites

On the Telegraph live ticker of today there is a poll on how high people think gold will go this year:

 

Currently it stands as follows:

 

$1,900 8.89%

 

 

$2,000 24.8%

 

 

$2,250 30.43%

 

 

$2,500 20.26%

 

 

$3,000+ 15.61%

 

Quite amazing! More than 90% think it'll go over $2000, and about 2/3 think it'll go over $2250! The latter is another 20% rise from where we are today, and that's on top of the nearly 30% it's already risen since early July! 1/3 think it'll rise at least another 33% from here.

Share this post


Link to post
Share on other sites

On the Telegraph live ticker of today there is a poll on how high people think gold will go this year:

 

Currently it stands as follows:

 

$1,900 8.89%

 

 

$2,000 24.8%

 

 

$2,250 30.43%

 

 

$2,500 20.26%

 

 

$3,000+ 15.61%

 

Quite amazing! More than 90% think it'll go over $2000, and about 2/3 think it'll go over $2250! The latter is another 20% rise from where we are today, and that's on top of the nearly 30% it's already risen since early July! 1/3 think it'll rise at least another 33% from here.

 

My god this is getting frothy. I just wish we knew how many people are actually participating.

Share this post


Link to post
Share on other sites

My god this is getting frothy. I just wish we knew how many people are actually participating.

I have no actual numbers, but Baird's have the following message on their goldline website;

 

"PLEASE NOTE - Due to high demand there are currently delays on processing and shipping of orders.+ 2011 Sovereigns now available at City Forex our agent in the City, call them on 0207 621 0090 for details."

 

The fact they appear to have too many orders to deal with themselves is i think indicative of a high volume of orders, whether it's the usual client base stocking up, or the general public getting stuck in I have no idea.

 

The Royal Mint (who most people here wouldn't buy from, but the general public might) have pulled both the Sovereign and the Half-Sovereign from their site.

Share this post


Link to post
Share on other sites

In my entire extended family, friends, and work circles only 2 people plus me have gold. I work in Financial Markets and am an ex Consultant. Virtually all of my friends are top .1% income bracket.

 

One is an old holder. One bought about 6 weeks ago.

 

Feels a long way from mania yet.

Share this post


Link to post
Share on other sites

I have no actual numbers, but Baird's have the following message on their goldline website;

 

"PLEASE NOTE - Due to high demand there are currently delays on processing and shipping of orders.+ 2011 Sovereigns now available at City Forex our agent in the City, call them on 0207 621 0090 for details."

 

The fact they appear to have too many orders to deal with themselves is i think indicative of a high volume of orders, whether it's the usual client base stocking up, or the general public getting stuck in I have no idea.

 

The Royal Mint (who most people here wouldn't buy from, but the general public might) have pulled both the Sovereign and the Half-Sovereign from their site.

 

Perhaps participation is narrow but in high volume. Several weeks back when we were at £975 I bought ATS Bullion's last Sovs of the day. They explained the reason: people had been buying 100+ at a time and cleaned them out.

 

 

In my entire extended family, friends, and work circles only 2 people plus me have gold. I work in Financial Markets and am an ex Consultant. Virtually all of my friends are top .1% income bracket.

 

One is an old holder. One bought about 6 weeks ago.

 

Feels a long way from mania yet.

 

Great anecdotal. I only know two people that are 'into' gold. One is an inveterate gambler at work who is spreadbetting on the price. The other is a friend who finally bit the bullet recently after my gentle encouragement over a long period of time.

Share this post


Link to post
Share on other sites

You must be classed as a heretic if you work in the financial sector and you're in to gold!

 

 

 

In my entire extended family, friends, and work circles only 2 people plus me have gold. I work in Financial Markets and am an ex Consultant. Virtually all of my friends are top .1% income bracket.

 

One is an old holder. One bought about 6 weeks ago.

 

Feels a long way from mania yet.

Share this post


Link to post
Share on other sites

You must be classed as a heretic if you work in the financial sector and you're in to gold!

 

It pays the bills. Switched from consulting firm and joined a big IBank. Ultimate hedge - salary and livelihood go great guns if they economy takes off again (or is QEd to death), banking jobs likely to be protected to the bitter end if things continue to turn down, and I have my physical if it goes totally pete tong.

 

I also use my position to explain very clearly to everyone who will listen what I think is happening. And to some who aren't listening but are trapped with me. My wife thinks I ruin dinner parties.

 

Edit: sinner parties are probably more fun but I meant dinner parties...

Share this post


Link to post
Share on other sites

Of the people who are 'into' gold, how many have physical in their own hands? GLD and etfs etc do not count.

Share this post


Link to post
Share on other sites

Create an account or sign in to comment

You need to be a member in order to leave a comment

Create an account

Sign up for a new account in our community. It's easy!

Register a new account

Sign in

Already have an account? Sign in here.

Sign In Now

×