Legendary gold expert Jim Sinclair sent an email alert to subscribers late Monday regarding the MSM’s MOPE that the economy is in a recovery, and that real interest rates are set to rise, resulting in a bear market in gold.
Sinclair states an emphatic NO to both presumptions that the economy is recovering or that real interest rates are set to rise. Sinclair urges readers who are concerned that gold (or silver) are set to decline do so based on a fundamental basis, rather than relying on emotions.
QE is going to Infinity…AND BEYOND!!
KWN: On the heels of last week’s Fed propaganda and the increasing desperation on the part of central planners, today Michael Pento has written exclusively for King World News to warn readers about what is going to cause oceans of paper money to panic into gold, silver and other hard assets. Here is Pento’s piece: “It is an unfortunate truth that Keynesian counterfeiters with their Kamikaze monetary and fiscal policies have taken over the developed world. Politicians and central banks in the United States and Europe have decided to cement, firmly in place, their addictions to debt, inflation, and artificially produced low interest rates.”
Michael Pento continues:
“But Japan has now leapfrogged into the lead of those nations that believe prosperity can be brought about by loading up on government debt and increasing the number of zeros being printed by their central bank. Shinzo Abe and the Liberal Democratic Party swept into power in mid-December by promising to boost inflation and destroy the value of the Yen.
The new Prime Minister is trying to usurp the independence of the Band of Japan (BOJ) by dictating that the central bank provide an inflation target of at least 2%, and also force them to expand their government bond-buying program. The reason for this is clear; Japan’s debt has ballooned to over $12 trillion, and is now 237% of their GDP….
Japanese pension funds, the world’s second-largest pool of retirement assets after the U.S., will more than double their gold holdings in the next two years as the new government pushes for a higher inflation target, according to an adviser to the funds.
China’s Gold Volume “Shot Through The Roof” Yesterday Ahead Of Lunar New Year
Goldcore: “Physical demand is very strong,” said a Beijing-based trader. “It’s a combination of the attraction of lower prices as well as pre-holiday demand.”
But such appetite could waver if prices recover towards $1,700, he added.
U.S. gold gained 0.1 percent to $1,648.60. Shanghai’s 99.99 gold traded at 331.58 yuan a gram, or $1,658 an ounce – a $10 premium over spot prices, compared to single-digit premium most of last year.
Technical analysis suggested that spot gold could edge higher to $1,665 an ounce, and a previous target of $1,625.79 has been temporarily aborted, said Reuters market analyst Wang Tao.
Bloomberg quoted Feng Liang, an analyst at GF Futures Co., a unit of China’s third-biggest listed brokerage who said “the recent price drop has attracted some purchases, evidenced by the volumes in China,” “Whether this rebound can be sustained depends on the emergence of physical buyers, especially from China and India, at a time when demand is meant to be strong.”
In China, demand typically picks up before Christmas and lasts through the Lunar New Year in February. India’s wedding season, a peak-consumption period for gold jewelry, runs from November to December and from late March through early May. The countries are the two biggest bullion consumers.
Bill Gross – Fed Claims To Own Billions in Fort Knox Gold – “With Nothing In The Vault To Back It Up—Amazing!”
Of particular interest were his comments on gold, commodities, and the“Fort Knox Fairy Tale“…ie. Fed gold certificate claims on Fort Knox bullion holdings which may or may not actually exist.
Says Gross, “Supposedly they [the US Fed] own a few billion dollars of “gold certificates” that represent a fairy-tale claim on Ft. Knox’s secret stash, but there’s essentially nothing there but trust…$54 trillion of credit in the U.S. financial system based upon trusting a central bank with nothing in the vault to back it up. Amazing!”
Peter Schiff: ‘The Dollar Is Not The King Of Anything, Except Maybe Depreciation’
The Economics of Extinction
In this episode, Max Keiser and Stacy Herbert discuss the economics of wealth and wage extinction. They talk about hunger wages, household income and the hedge funds reaping huge profits off this wealth and wage extinction.