Wednesday, October 22, 2008

MCR wrote:

CITIGROUP Update

I told you so...

http://uk.reuters.com/article/bankingfinancial-SP/idUKBNG38495120081022?sp=true


GOLD

Someone asked a pretty good question about gold.

I wouldn't worry.

In the history of mankind gold has been the ultimate flight capital after food, water and weapons. Long time FTW readers will recall how thoroughly FTW documented the manipulation of gold prices; primarily to avert fear and/or panic in the markets. We all owe a great debt of gratitude to GATA for so many years of meticulous research and education.

So should you be worried or surprised to see that at a time when the markets are imploding, the gold price being ruthlessly suppressed? All financial conventional wisdom says that gold should be soaring and God only knows which Peters they are robbing to pay Paul to do it. In my opinion, the counterintuitive and counter-rational movement in gold only suggests that the ultimate crash will be harder and deeper than it should/could have been. In desperation, those who have rigged the markets are dooming themselves -- and maybe us too. The longer gold's breakout is delayed the closer it will be to an at-time-of-death breakout and the more astronomical the price rise. It's like pushing a volleyball deeper underwater. The deeper it goes down, the higher it will explode out of the water when released.

Remember talking about capitulation? Well that's not just for stocks. True capitulation will also be the moment in time when gold is free to move to its rightful place.

You hold on to your stocks.

I'm keeping my gold, thank you.

17 comments:

sunrnr said...

Mike,

You gave some guidance on purchasing gold, but I cannot find it. I want to take your advice if it's not too late.

namaste

High Priest of Green said...

Gold bullion (coins, bars, etc.)

Avoid numismatics. (based on condition, scarcity)

And watch out for those sales reps working for the gold companies. They love to sell the fancy smancy coins costing more because they make more on them.
Stand your ground against the upsell!

Drew said...

Kitco.com is very good for buying gold.

Just how much money is Citibank taking (looting) out of the $700 Billion bailout?

Drew said...

Kitco.com is very good for buying gold.

Just how much money is Citibank taking (looting) from the $700 Billion bailout?

robmac58 said...

Reply for sunrnr on gold purchasing.
1,Use an established, reputable coin dealer. Check your local yellow pages.
2,Buy bullion-price based on weight.
3,Avoid numismatics-price based on collector value.
4,Be aware that inventory is becoming scarce and markups are rising.
5,Always, Always, Always take delivery of physical metal.
6,Gold today is an excellent buy if you can get it.
Good luck!

jwfearman said...

so what about oil prices? also supressed? there are at about 66/barrel this morning.

sinornis said...

Not directly related to this story, but I see you can read most of Ellen Brown's book "Web of Debt" on Google Books:

http://books.google.com/books?id=ILMGrEC524UC&printsec=frontcover#PPA1,M1

This seems to be what the "Money=Debt" video that was posted a few days ago by JO or MCR was based upon.

What thoughts do people have on Ellen Brown and her work? Seems sound to me.

FTW admin said...

foofoorabbit wrote in part:


Gold is not an answer to the current problems.

By buying gold you're DIRECTLY feeding this broken system based on scarcity.

agape wins said...

Please,
State plain & simple: Make sure you have quick usable supplies, non perishable foods, water, Blankets, before worrying about Gold & other hard
assets!
The rich & famous are not the only ones trusting your advice.
In every major shakeup many simple people who are
not grounded in management end up with the wrong resources, end up cold, sick, hungry, or worse!
Many are cheated, those who survive end up with a
bitter opinion of--"Those People", no matter how supportive they are!
Remember, we have to change how we think of money, but we FIRST have to rethink people, & how WE live, or we perpetuate what we have always done. Think
outside the BOX, think the "long Tail", or:whatever?

http://www.thelongtail.com/

http://en.wikipedia.org/wiki/The_Long_Tail

http://www.youtube.com/watch?v=0Yku0GTrcuw

Last night I rewatched "Starman", as someone said "insightful"!

agape wins said...

Please,
State plain & simple: Make sure you have quick usable supplies, non perishable foods, water, Blankets, before worrying about Gold & other hard
assets!
The rich & famous are not the only ones trusting your advice.
In every major shakeup many simple people who are
not grounded in management end up with the wrong resources, end up cold, sick, hungry, or worse!
Many are cheated, those who survive end up with a
bitter opinion of--"Those People", no matter how supportive they are!
Remember, we have to change how we think of money, but we FIRST have to rethink people, & how WE live, or we perpetuate what we have always done. Think
outside the BOX, think the "long Tail", or:whatever?

http://www.thelongtail.com/

http://en.wikipedia.org/wiki/The_Long_Tail

http://www.youtube.com/watch?v=0Yku0GTrcuw

Last night I rewatched "Starman", as someone said "insightful"!

M. Pyre said...

I agree that buying gold is no secret trick. I agree that it feeds a system based on scarcity. Gold's value is by fiat as much as paper US Dollar's value is by fiat. I don't know how anyone concludes otherwise. Those who argue for gold don't strike me as any more humanist than those who are running the US Govt domestic and foreign policies -- no more humanist than Bush/Cheney, no more humanist than McCain or Obama.

The problem is not dollar vs gold.

The problem is capitalism. It demands endless growth regardless of what resources exist. It is unsustainable.

Human-human interaction, there's your value. Not gold.

FTW admin said...

m. pyre,

the difference betw gold and dollars is that you can't print gold ad infinitem

djmagic said...

Gold and Silver seem like the much more stable bet than the rigged game called Wall Street. I'm afraid money going into Wall Street now is only feeding the beast. It's not really *investing*.

PS - have I done something to anger the ACT 2 FTW's Peak Oil Blog powers that be? curious as to the reason my last two comments haven't been published...

FTW admin said...

djmagic, i would have been able to answer that if you'd attached the comments. i don't remember what name goes with what rejectee (of which there aren't many, btw.)

businessman said...

This is very, very strange. Read the information then watch the two short videos of Colin Powell and Joe Biden strongly predicting a crisis coming our way that the new President will have to deal with. Colin Powell even mentions the dates of January 21st or 22nd in a manner that sounds like he even knows when the exact dates of the crisis will be.

http://www.infowars.com/?p=5461

jwfearman said...

yeah I saw that too... perhaps another 9/11?

M. Pyre said...

admin --

Okay, say people move to gold. There's only so much gold afloat now.

You're suggesting a jump-start on a global economic boom, by mining for gold? Is that your point?

Gold's value is as artificial as printed money. Just because it's metallic and weighs a lot doesn't mean it's really better.

Focusing on gold vs dollar is a distraction from the real problem, IMO. If it's just a choice of gold or stock investments, sure -- I'd prefer gold. But that's still leaving our present system untouched, and in the same problematic situation.

So why the strong argument for gold, if not merely to enrich gold-holders and gold-miners?