Subject: RE: If the COMEX is to be busted, it is the bankers themselves who will do it.??????

Hi Bill,

I do not know who started this idea of “busting” the Comex but like I mentioned in my commentary today – our campaign is to have gold buyers systematically buy the gold that they had already planned on buying every time the bullion banks smash the paper price down with their sell orders. By so doing this, the paper shorts are being served notice that the very strategy they use in the gold market, namely selling strength and buying weakness, is now being turned against them. Only this time around, the onus is on them because they will be forced to actually acquire enough physical gold to deliver the metal to buyers who buy into the weakness with the express intent of taking physical delivery of the gold. Come delivery month, the paper shorts get assigned and must either have the metal to sell or have to get out. The longs who intend to take delivery can just sit tight which means that the paper shorts now have NO ONE TO BUY FROM and thus are forced to bid the market higher in order to exit.

Either way, the longs win. Remember the silver market of the Hunt Brothers’ day and how they trapped the paper shorts.

Trader Dan

Dear Dan,

I totally agree. The intention is NOT to bust anything.

The word bust is WRONG. Bust is the mindset of the predators who have attacked gold shares.

If BUST is the mindset of this initiative we are acting just like the Demonic Hedge Fund managers and their law-breaking broker intermediaries.

What we want is a level playing field.

A level playing field simply requires 21,000 contracts taken into delivery, and REMOVED FROM THE COMEX.

The Comex will never default or be broken. It is simply impossible in a practical sense. The Comex in the final analysis will transmute to a cash gold exchange. This will stop the activity that was clear in the Comex pre-US session and this morning

All the best,
Jim

Trader Dan,

I think your quote last night came from a famous trader of the 20s named "Sell em Ben Smith," a friend of my Dad’s. He and Bert cleaned up on the 29 break and after the 30s rally. Next time I get the honor of talking with you, I have a story about "Sell em Ben Smith."

Regards,
Jim

Jim,

The easy assumption for many is to assume that inflation is dead. The price at the pump has collapsed and price of oil creates inflation, right? Rising oil prices do not cause inflation. Inflation is caused by too much money chasing too few goods and services. As global monetary policy prints money to provide needed “liquidity,” it is absolutely essential to remember that monetary inflation always precedes price inflation.

While the alphabet soup of monetary aggregates, M1, M2, and M3 has receded from the recent highs, they continue to grow at alarming year-over-year rates. According to shadowstats.com M2 the arithmetic year over year growth rates for M1, M2, and M3 are roughly 8%, 8%, and 11% respectively.

Click here to view the charts…

History suggests that mature, stable economies require only a 2-3% per annum growth in money.

Excessive money growth, however, does not necessarily mean an increase in widely followed inflation measures or tangible goods. As long as excessive money growth can be redirected from traditional inflation measures, it can be largely hidden from the public.

One of the main conduits that redirected monetary inflation has been derivates (also known as ABS, securitization, SIV, etc). Jsmineset.com recently indicated that most recent BIS figures on derivatives going back one reporting period at one quadrillion, one thousand one hundred and forty-four trillion.

The recent collapse and ongoing failure of the OTC derivative market has not only crippled the financial economy but it also ability to redirect monetary inflation away from traditional inflation measures. If the redirection conduit has been closed, where will all the freshly printed money go? Unless a new financial creation arises from Frankenstein’s financial laboratory, history suggests that it will be:

(1) Out of the dollar
(2) Into Gold and precious metals
(3) Despite popular opinion right now, eventually into tangible goods such as commodities, energy, and base metals.

Regards,
CIGA Eric

Jim,

It’s bad enough to be in a car accident, but getting billed for the police and/or fire department response can make matters worse. Your insurance may not cover that.

CIGA Rusty Bayonet

‘Crash taxes’ add hefty fees for aid
By Peter Lewis

Imagine you’re cruising down the road when you hit a patch of black ice and slide into a guardrail. A passing motorist calls 911. Soon firetrucks and police arrive.

Weeks later, a $1,400 bill does, too — for the cost of the police and firefighters who answered the call. What’s worse, it’s not covered by insurance, and it might scar your credit if you ignore it.

Sound implausible? It’s happening in a number of towns, cities and counties in at least 24 states. And given today’s cratering economy (and property-tax revenue), more strapped local governments may be tempted to authorize so-called accident response fees.

More…