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While
riding Sunday morning – 50 miles, not bad – I was inspired by the
simplest of concepts; the impact of gold prices on market sentiment. This is
far from a novel idea, but when coupled with hard data, one can see
why TPTB are TERRIFIED of the slightest increases in interest rates
and PM prices.
As Global
Meltdown III -i.e., “the Big One” – passes through its
summer “eye of the storm” (due to MONEY PRINTING, MARKET
MANIPULATION, and PROPAGANDA), it’s becoming glaringly obvious
PMs are ready to EXPLODE…
More “Source” Input On Coming Precious Metals
Price Explosions
As I
prepared to write this RANT, David Schectman coincidentally
gave me the perfect intro, as he had the same topic on his mind…
Our friend
Bill Murphy, LeMetropole Café’s Editor
in Chief, often writes that price action creates interest in gold and silver.
All the Cartel has to do is hold the price in a trading range – as it
has for months now – and excitement and interest disappear.
That’s pretty much the way it works, and easier to pull off during the
summer months, when interest is at its lowest
anyway.
And thus,
my “proof” of how rapidly things can get out of hand when PMs
gain sufficient momentum. In the below chart, I plotted hits on my SGT Report podcasts with
gold prices at the time. As you can see, the correlation is unmistakable
– and even more so, given the following commentary…
The dates
at the bottom of the chart correspond with my employment at Miles Franklin,
with the first SGT podcast – on November 2nd, 2011 –
just one week from my October 27th start date.
Consequently, widespread marketing of the “Ranting Andy” brand
had not yet occurred, keeping the initial tally to just 9,000 hits. However,
it’s safe to say that if I had been at Miles Franklin for some time
before that podcast, the number would likely be significantly higher –
probably 15,000 or so based on my current popularity. Thus, picture
the initial plot for the blue line (podcast hits) as closer to 15,000,
further increasing the correlation of the two lines.
As you can
see, podcast hits plummeted following December’s
“OPERATION PM ANNIHILATION II”; then surged as gold soared
toward $1,800/oz in February, plummeted anew
following the February 29th “LEAP DAY VIOLATION,” and leveled off once
gold commenced its current three-month trading range. Actually,
I’ll pat myself on the back, as hits are nearly 15,000 for the latest
podcast -July 21st – which isn’t finished rising.
Once more,
look at the February 23rd tally of nearly 30,000 hits, and picture
how many PHYSICAL buyers were active, when gold reached $1,790/oz, and silver $37.50/ounce. Actually, no need to picture
it, as I am telling you as an employee of a leading bullion company.
Not to mention, gold’s unique property of INELASTICITY, proving
my contention it is NOT an investment, but MONEY.
Any time
someone tries to relate “declining gold demand” to rising prices
is either MISINFORMED or LYING, as decades of data prove otherwise.
True, jewelry demand slows with prices; particularly in India, the
world’s largest gold consumer. However, jewelry is IMMATERIAL in
the overall demand picture, as it is MONETARY – NOT jewelry –
demand that has driven gold prices higher for 12 years.
MONETARY
demand – and the aforementioned price INELASTICITY – is what
scares TPTB to death, as they KNOW how fragile the system is. That is
why they are naked shorting PAPER PMs at an “UNPRECEDENTED” rate, an unsustainable course
that will split the PAPER and PHYSICAL markets in two, just as it did in late
2008. In fact, the next time I get 30,000 hits on a podcast, PHYSICAL
gold and silver supply may disappear completely. Ultimately, I expect
podcast hits to reach 50,000-100,000; however, when that occurs, the END GAME
for the financial system will have arrived, and the END GAME for countless billions
not prepared for the inevitable currency COLLAPSE.
PROTECT
YOURSELF, and do it NOW!
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