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8% rise in 3 hours :)

 

We all know what the fuel is, but what was the trigger?

 

I think something will be revealed as the catalyst...

 

- embassy bombing in Yemen?

- DOW turning negative after an initial rise today, despite AIG rescue?

- big buyer (China?) having decide not to support US any more?

 

Now the world is waking up to the economic reality and the recent inflationary new money creation, that realisation will only get stronger ....and gold will soar

 

Then oil will bottom, and inflation will refuse to come down - and I daren't imagine how hight gold and gold stocks could go

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As an avid reader of the gold thread on HPC and now on here, I'm writing my first post in a state of panic.

 

Just checked my leveraged silver ETC expecting to find a huge increase and found all trading has been suspended. It transpires these are by not backed by physical, but by the ropey, teetering on the verse of bankrupty AIG!

 

Anyone else got ETC's?

 

 

 

Commodity Securities and AIG - Update

 

17/09/08

 

ETF Securities Limited (“ETFS”) would like to update investors and all market participants regarding the Exchange Traded Commodities (ETCs) issued by ETFS Commodity Securities Limited and which are backed by matching contracts from AIG Financial Products Corp. and guaranteed by American International Group, Inc (collectively “AIG”).

 

AIG confirmed that last night there was an announcement by the Federal Reserve Board, that the Federal Reserve Bank of New York is providing a two-year, $85 billion secured revolving credit facility to AIG that will ensure the company can meet its liquidity needs.

 

AIG has continued to honour all of its obligations under our agreements with them, including processing all creations and redemptions in the usual manner and paying all redemptions due on time.

 

ETFS is in discussion with its market makers and the Exchanges (London Stock Exchange, Deutsche Borse, Borsa Italiana and Euronext) to ensure that trading can resume and/or continue in an orderly fashion as soon as possible. It is our understanding that the London Stock Exchange (“LSE”) has suspended electronic execution for Wednesday 17th September but off-book trading will continue. ETFS Commodity Securities will continue trading on all other Exchanges.

 

ETFS continues to be in close dialogue with AIG, the Exchanges and its market makers and Authorised Participants with the hope of returning to an orderly and liquid market on every Exchange as soon as possible.

 

Trading and operations of all other products administered by ETF Securities remain unaffected.

 

All of the securities are structured as stand-alone credits, so that if there is a credit issue with any ETC or issuer there is no recourse to the assets of any other ETC or issuer. For example, if there are credit issues with Commodity Securities then none of the other Issuers, or ETCs issued by them, are affected.

 

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8% rise in 3 hours :)

 

We all know what the fuel is, but what was the trigger?

 

I think something will revealed as the catalyst...

 

- embassy bombing in Yemen?

- DOW turning negative after an initial rise today, despite AIG rescue?

- big buyer (China?) having decide not to support US any more?

 

Now the world is waking up to the economic reality and the recent inflationary new money creation, that realisation will only get stronger ....and gold will soar

 

Then oil will bottom, and inflation will refuse to come down - and I daren't imagine how hight gold and gold stocks could go

 

Implosion of all the investment banks on Wall Street is the cause in my opinion. Goldman Sachs and Morgan Stanley are now in crisis mode. Real banks will probably swallow them up in the next few days.

 

Real banks will have their turn when the currency crisis hits.

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Implosion of all the investment banks on Wall Street is the cause in my opinion. Goldman Sachs and Morgan Stanley are now in crisis mode. Real banks will probably swallow them up in the next few days.

 

Real banks will have their turn when the currency crisis hits.

Yes - I just saw the prices for those on the TV news. That explanation would make sense

 

 

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Just goes to show what is the real global currency in a time of crisis. It isn't oil and it isn't platinum either. Amazing to see gold rise $60 dollars and USDX barely even move.

 

Breaking $850 today would be incredible. I wonder if all this slosh money being pumped into the markets over the last few days has led to this?

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Just goes to show what is the real global currency in a time of crisis. It isn't oil and it isn't platinum either. Amazing to see gold rise $60 dollars and USDX barely even move.

 

Breaking $850 today would be incredible. I wonder if all this slosh money being pumped into the markets over the last few days has led to this?

 

The inverse relation of gold to dollar has gone also!

 

I believe gold has come into its own as money tonight. It always was with us, but now the market is finally recognising it. :)

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Implosion of all the investment banks on Wall Street is the cause in my opinion. Goldman Sachs and Morgan Stanley are now in crisis mode. Real banks will probably swallow them up in the next few days.

 

Real banks will have their turn when the currency crisis hits.

No one can swallow GS. They are the US government.

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As an avid reader of the gold thread on HPC and now on here, I'm writing my first post in a state of panic.

 

Just checked my leveraged silver ETC expecting to find a huge increase and found all trading has been suspended. It transpires these are by not backed by physical, but by the ropey, teetering on the verse of bankrupty AIG!

 

Anyone else got ETC's?

 

Bullion in ones possession has no counterparty risk - all else is fools' gold. Those who ignore this warning and are dazzled by products from the usurers will one day weep at their losses.

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As an avid reader of the gold thread on HPC and now on here, I'm writing my first post in a state of panic.

 

Just checked my leveraged silver ETC expecting to find a huge increase and found all trading has been suspended. It transpires these are by not backed by physical, but by the ropey, teetering on the verse of bankrupty AIG!

 

Anyone else got ETC's?

 

Sorry for your loss.

 

That's another feather in cgnao's cap though and another example of how I haven't understood the extent of the derivatives meltdom. Who would have thought this investment would turn bad when it should be turning good?

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I have to say it.... I TOLD YOU SO :)

The full original post (#207, 4th September):

 

"I'll also stick my neck out with a prediction for this month...

 

- next few days DOW and FTSE start to fall precipitously, such that they reach 10000 and 4500 by month end {almost there, and still 2 weeks to go, and may fall even lower}

 

- emergency base rate cuts happen or are signalled (BoE missed its chance today) {give it a few days}

 

- commercial bank baleouts extended / increased {yep!!}

 

- Sterling will fall further, reaching 1.65 vs USD, with the fall only minimised by the fact the USDX will peak out and start to slide {still on the cards}

 

- oil does not fall below 90 (and possibly not even or much below 100), and the fact that its refusing to go lower will become a palpable concern to economists/media {true so far}

 

- inflation stats rise significantly {thats for the following months/years}

 

- all the above will cause a ramp up in fear, and gold will start to rally (6-8% up in USD, 10-15% in GBP, by months end) {...at least!}

 

[EDIT: and my bones even sense a black swan approaching ...Russia? major bank collapse? terrorist attack? high-profile Western assasination?] {spot on}"

 

...SO THAT CRYSTAL BALL WAS WORTH THE MONEY I PAID FOR IT :)

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