It’s early Saturday morning, from the Minneapolis Airport – on even for
me, a record low four hours of sleep. I didn’t think it possible, but
last night’s Q&A Rap Session was a bigger success than our inaugural
event in Denver – with nearly 150 people, asking no less than 100 questions
before Andy Schectman and I called it a night. The entire Miles
Franklin team, including David Schectman, was present, in a show of unity
that made me feel proud – and lucky – to be in the position to educate, and empower,
that I’m in. To that end, I’m very much looking forward to Phoenix next
month; Ft. Lauderdale in April; and the numerous cities we plan to visit
later this year.
Of course, no such positive, inspirational event for Precious Metal
advocates can occur without the Cartel’s “imprint.” Which is why it was
no surprise that PMs were viciously attacked mere hours earlier –
particularly silver, as the so-called “commercial” traders that don’t have a
solitary connection to commercial silver trading, finally got their
wish. When, as Craig Hemke predicted based on years’ worth of repetitive, blatantly
transparent Cartel behavior – silver’s 200 day moving average of $15.09/oz
was broken just in time for this weekend’s G-20 meeting in China.
Which is quite ironic; as right next to Craig’s article on Goldseek was
Steve St. Angelo’s, noting how COMEX registered silver inventories hit an all-time lowa day before. And right next to
that, Goldcorp’s hideous year-end earnings announcement release – forecasting
a 10%-20% production decline in 2016. Which I perused, I might add,
just after receiving an email from a close friend in Australia, noting how
Perth Mint silver supplies – as is the case with the U.S. Mint – have been
put on “allocation” due to rapidly draining inventories. And wouldn’t
you know it – I awoke this morning to not one, but two international emails
asking to lock in silver orders as soon as possible.
In other words, what occurred yesterday – and for that matter, each second
since Wednesday morning’s “minute
the Fed died”, when the PMI Service Index “shockingly” revealed the U.S.
service industry to have joined manufacturing in recession – was
“window dressing, desperation style.” As trust me, if the equity and
commodity crash – and Precious Metal surge – that ensued wasn’t reversed by
yesterday afternoon, the pressure on the “powers that be” to use said G-20
meeting to “do something” would have been sky high. In the end, the can
was kicked a few millimeters more – right into the wall that I assure
you, will push back with all its might. One of these days – at a G20
meeting or otherwise – they decidedly will do something draconian; and
when they do, the unforeseen consequences will be historic.
And not just in Precious Metal markets, where exponentially expanding fear
– of currency devaluations, capital controls, and negative interest rates –
has reached levels reminiscent of the 2008 crisis; but all markets, as
the growing realization that said “wall” has been reached encircles the globe
as rapidly as Superman trying to turn back time. To that end, we this
week learned, once and for all, that there are no remedies for the historic
energy glut – crude oil, natural gas, and otherwise – which threatens to
annihilate the world’s largest revenue-producing sector for years to come, at
a time when energy-related debt is as high, or higher, than subprime mortgage
lending in early 2008. Additionally, we learned that global trade, in
dollar terms, plunged to multi-decade lows in 2015 – i.e., beforecommodities
started really plunging in early 2016. And for anyone focused on
the Wall Street, Washington, and MSM propaganda of the “good news” of
rebounding equity markets, take a gander at how the far more impactful currency
markets did this week – with myriad fiat toilet papers hitting new
multi-month, year, and and in some cases multi-decade lows; in India,
the UK, and Continental
Moreover, the publication of America’s official financial statements revealed a nation so
bankrupt, even the world’s best book-cooking can’t hide it. Let alone,
when considering its dependency – or better put, addiction – to zero
interest rates, to avoid instantaneous collapse. As comically, its
Central bank seeks to pretendall’s well, and pretend it can tighten monetary
policy in 2016 – when, to the contrary negative interest rates and QE4 are
far more likely scenarios.
Still, the Keystone Kops attempting to sustain history’s largest fraud
fought on – like trapped rats -, against the rapidly rising tide, by
blatantly manipulating markets, and publishing hideously fraudulent economic
reports, like a 4.9% durable goods surged based entirely on the
largest “seasonal adjustment factor” in history. Not to mention, an
“upward revision” of 4Q GDP “growth” from 0.7% to 1.0%, based entirely on
a reduced estimate of inventory liquidation – which will surely be “recouped”
in the first quarter, when the largest inventory-to-sales ratio since 2008
starts shrinking with a vengeance. To that end, personal consumption
expenditures were downwardly revised, depicting exactly why the
“retail Armageddon” I predicted a year ago is far worse than even I imagined.
In a nutshell, this week was about the “powers that be’s” all-out,
all-time “window dress.” That is, a last ditch, desperation effort to
slow the momentum of the catastrophic, irreversible implosion of history’s
largest, most destructive fiat Ponzi scheme. With increasing pressure
on increasingly discredited governments and Central banks to “respond” – with
quantitative easing, negative interest rates, and capital controls, negative
interest rates – the urgency, blatancy, and sloppiness, of such actions is
setting the stage for far uglier crashes in the coming weeks and
months. And in the case of Precious Metals – amidst surging worldwide
demand, plunging inventories, and collapsing production – will only accelerate
the inevitable product shortages (first in silver, and eventually gold) that
are destined to define the market for years to come, in the words of
Andy Schectman. So for those that believe yesterday’s blatant paper silver
raid – and downside technical breach – “meant” something, fear not; as people
are no less fearful today than yesterday, and far more inclined to gobble up
rapidly depleting physical supplies, now that prices are $0.40/oz
lower than yesterday.
