Investor Gold and Silver Opportunity in Veiled Price Suppression Realities
Commodities / Gold and Silver 2012 Apr 14, 2012 - 07:13 AM GMT“This Decade will be the Decade of Silver.” Eric Sprott
This decade increasingly offers the opportunity to Profit and Protect Wealth provided one is aware of Key Realities that are Veiled from common view.
One such Veiled (except to a few, including most readers here) Reality is that the Price of Silver (and Gold) is subject to ongoing Cartel (Note 3) Price Suppression operations. Given that the demand for Physical Silver exceeds Mine Production, these Price Suppression actions create bargain Silver prices for those willing to buy Physical and Hold through volatility.
“The manipulation is giving silver investors a double-barrelled bonanza. One, a cheap price to buy at than would otherwise be the case and, two, a much higher price to sell at once the manipulation is ended.”
Ted Butler, Silver Analyst
Thus, knowledge of The Veiled Reality – Silver Price Manipulation causing unnaturally low Silver prices temporarily – provides considerable Profit and Wealth Protection potential. Another way of regarding the Veiled Reality Approach is through the Prism of the George Soros’ comment.
“Find a Trend whose Premise is False and Bet Against It”
A (False) premise is the Veil which covers The Reality – the “True” Premise.
Another Reality which is veiled is the Universe of Real Statistics (vis-à-vis Official Statistics). Official Statistics are often Bogus, particularly in the US, but elsewhere also. Consider, for example, the Non-Farm Payroll Figure for March, 2012 released Friday, April 6.
The Official BLS Release reported a rise of 120,000 (itself a disappointing 80,000 below prior Establishment Estimates). In fact the rise was only a mere 30,000. The other 90,000 can be accounted for by a totally made-up number, the (Bureau of Labor Statistics) CESBD Birth-Death adjustment, by which it is assumed that new business startups created 90,000 jobs. This Birth-Death Fiction is the Veil that covers the Reality of a mere 30,000 rise in U.S. Non-Farm Payroll.
The Reality is that 150,000 New Jobs need to be created in the U.S. every month just to keep up with U.S. population growth (90% of which is Immigration generated). Similarly, Real U.S. Inflation is 10.45% per shadowstats.com (see Note 1). Thus our High Yield Portfolio aims for a Total Return (Gain + Yield) in excess of Real Inflation (see Note 2).
Thus these Veils hide The Realities. As the Real Inflation and other figures show, the U.S. is already on the Hyperinflationary Threshold, is not recovering economically, and has declining job creation.
Finally, an increasingly-less-veiled, but extremely important Reality, is that of Debt Saturation, and not just that of the PIIGS, but also of France, Great Britain, and the USA. Sovereign Debts of these Nations simply cannot be repaid under any reasonably likely economic scenario. Indeed, Spanish and Italian 10yr. Note Yields have been approaching the Ominous 6% again, a sign “The Market” recognizes the fact that these Sovereign Debts are not payable.
Therefore they likely will be inflated away via ever greater waves of Central Bank Money Printing (see Deepcaster’s Article “The Hooker-Opportunity” from 3/23/2012 posted in ‘Articles by Deepcaster’ for details).
And this will eventually bring Hyperinflation in Essential Tangible Assets and the P.M.’s. (Already we have seen this in Food and Energy.)
Thus the Central Banks Cartel will attempt to retain power through ever increasing Money Printing and loan restructuring.
Consider:
“We've all heard the old adage about adding insult to injury but the IMF has turned it into an art form. The new IMF Director, Christine Lagarde, came to Washington this week begging for yet more billions so the fund can continue propping up insolvent European banks and wrapping developing countries around the globe in debt chains. …Lagarde didn't mention this in her speech, but she did assure the crowd that at the IMF “your money is used prudently.”
“The only thing that is remarkable about this is that the public is expected to believe it. No one who has any understanding of the IMF's past or how it operates would expect that these funds to be used in any other way than they always have been: as leverage over the governments that sign their peoples on to debt servitude.
“The fallout from these operations is invariably the same. The people figure out that they've been footed with the bill for someone else's party and the riots begin.
“These types of protests aren't merely predictable, they're part of the plan. The IMF and World Bank documents that leaked out in 2001 detailed the four step plan for looting a country, including the “IMF riot” stage. People take to the streets to protest the austerity measures that are tied to the IMF loans, causing foreign capital to flee, governments to go bankrupt, and foreign speculators to pick up the pieces at fire sale prices. The riots happened in Indonesia in 1998. And Bolivia in 2000. And Ecuador and Argentina in 2001. What's happening in Europe is not an exact analogue, and it's aimed at centralizing power in the EU in Brussels and the ECB in Frankfurt, but that the IMF has seen the crisis as an excuse to get its foot in Europe's door as a lender is particularly telling.
“This is how the game is played…”
“Triggering Economic Disaster: the Insidious Role of the International Monetary Fund”
James Corbett, International Forecaster, 4/8/2012
We have not reviewed the “documents leaked out in 2001,” so we do not know whether Corbett’s characterization is entirely correct. But what is indisputable is the Power of the International Mega-Bankers, an important Veiled (but increasingly less so) Reality.
What is also clear is that The Outcome will not be pretty.
We have been recommending (see Note 2) High Yield Dividend Paying Stocks and Gold for many months now.
There is wisdom in the Boy Scout Motto: “Be Prepared.”
Best regards,
www.deepcaster.com
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