TPTB Losing Control Of Paper Markets Physical

Markets Next!
blog.milesfranklin.com/tptb-losing-control-of-paper-markets-physical-markets-next
Post Published: 13 October 2014 Author: Andrew Hoffman Found in section: Andrew Hoffman , Inflation
and Deflation , Market Manipulation , Quantitative Easing Tags: China , dollar , Dow , Federal Reserve ,
gold , hyperinflation , silver Previous Topic: Collapse Is ComingWhat Will Take the Blame?
Its Monday morning and the New York Feds new Chicago office has been busy all night attempting to reverse the expanding collapse of global
financial markets. Their pitiful efforts are attempting to mask the gaping wound of global economic collapse; and thus, whether they can will the Dow
Jones Propaganda Average to reverse to the upside in time for next months elections is a 50/50 shot at best. Irrespective, few people could care less,
as retail participation in the equity market has plunged to record low levels, care of 15 years of stagflation and two epic market collapses.
Global financial markets are in FREEFALL, irrespective of what the worlds best funded most technologically sophisticated market manipulation
organizations i.e., the U.S. Presidents Working Group on Financial Markets , Federal Reserve and Exchange Stabilization Fund are doing.
Sovereign yields are collapsing, led by the 16-month low 2.25% yield on the benchmark 10-year U.S. Treasury bond exposing the most damning
proof yet of QE failure. Even the New Hail Mary Trade of the Fed goosing Treasury yields early in New York trading hours and again at days end
is failing miserably against a veritable tsunami of demand. Heck, just last week, U.S. bond funds witnessed their largest capital inflow ever; and this,
despite massive liquidation of the worlds largest bond fund group, PIMCO, after Bill Gross left. And now that the Fed itself admitted failure in last
week, disclosing its fears of a global slowdown the entire world is starting to realize Whirlybird Janet is not only unable to stop it, but will shortly not
only reverse the tapering but overtly announce QE4.
Commodities, too, are collapsing, as are global shipping indices and real estate markets from West to East. And more importantly, depicting what we
deem the single most bullish precious metals factor imaginable, currency markets are wildly fluctuating wreaking havoc on global trade; increasing
inflation of want versus need items in emerging markets; and of course taking the final currency war to a new ominous level. Last weeks
FOMC minutes revealed a Fed as fearful of a rising dollar as the ECB is of a rising Euro, the BOJ a rising yen, etc. of which, the only cure is more
money printing.
And thus, the race to debase is about to launch into hyper drive, as exemplified by the shocking comments of uber-dove Charles Evans, President of
the Chicago Fed and a 2015 FOMC voting member; who this weekend, averred that a stronger dollar is an obstacle to the Feds ability to meet its
inflation mandate calling it a headwind as it will lead to lower import prices. No, readers, thats not a typo. The Fed actually thinks falling import
prices is unfavorable and thus, will do whatever it takes to make sure the cost of living increases for the 99%. But dont worry, since all that ZIRP,
TARP and QE money goes directly to the world-destroying banks and the aforementioned manipulation organizations the 1% will do just fine.
That is until hyperinflation comes to town.
On the topic of cataclysmic PM-bullish developments this weekend, there were quite a few starting with Iraq begging the U.S. to send 10,000 ground
troops as ISIS is not only on the verge of taking over key strongholds in Syria, but Northern Iraq (where the massive Kirkuk oil field lies), and Baghdad
itself. In Europe, whilst Goldman Mario complained the Germans are impossible to work with, all manner of political and economic hell is breaking
loose as it commences its own suicidal version of Abenomics. Friday night, S&P downgraded Frances outlook from stable to negative, and the ECB
is considering swapping some of its U.S. dollar reserves for Yuan as are the Russians, which not only sold $53 billion of U.S. treasuries last quarter,
but signed a $25 billion currency swap agreement with the Chinese.
Here in the United States of Economic, Military and Social Devastation, earnings season starts this week with even Goldman Sachs forecasting
disappointing results and guidance; partly due to the collapsing economy, and partly the strong dollar which causes foreign earnings to translate into
less dollars. Meanwhile, for the first time this year, consensus economic data expectations including island of lies reports like diffusion indices
are declining; and lo and behold, the Fed is today executing a joint war-game effort with the Bank of England in preparing for the potential of a major
bank failure. I mean, why would they possibly do that? And the most hilarious part of all, is that the Fed published a study this weekend warning of the
potential for increased market volatility in a higher interest rate environment. Earth to Janet, rates are not only not going higher, but to ZERO as the
entire world front-runs QE to Infinity. Only when hyperinflation inevitably results will rates go higher; but when they do, economic policy will be moot
as social chaos, draconian government, and war will be far more pressing issues.
Last but not least, the most important headline of the weekend, strongly validating todays article title. In an environment where mine production is
likely to utterly collapse, as evidenced by the shocking 50% plunge in miners capex since 2012, the Chairman of the Shanghai Futures Exchange
himself admitted Chinese gold demand was above 2,000 tonnes in 2013 validating numerous private estimates and confirming, without a doubt,
Central banks have secretly dishoarded reserves to avoid default. After all, just 2,770 tonnes were mined worldwide; and thus, China consumed more
than 70% of all global gold production, despite having just 20% of the worlds population. And given the fact the Shanghai Futures Exchanges silver
inventory plunged more than 90% this year to a measly $50 million, its safe to say private estimates that global silver demand were also at record
levels are spot on as well and accelerating as U.S. Mint Silver Eagle sales were faster in the first two weeks of October than at any time this year.
And just as TPTB slowly or perhaps, not so slowly lose control of paper financial markets, the same will inevitably occur with precious metals. Last
night the streak of 70 straight Sunday Night Sentiment raids was broken i.e., a Cartel-generated anomaly with one in a sextillion odds of occurring
in a freely-traded market. They still fought back with a typical 2:15 AM raid of which, Im too tired to calculate the odds of occurring 90% of the time
over 350 trading days. However, as I write at 10:45 AM EST, gold is back up to $1,230, as stocks fall sharply and the 10-year Treasury yield
approaches 2.25%. In other words, the exception in 2008, with just one temporary exception is on the verge of being eliminated.
The Cartel is now using every illegal tactic imaginable to prevent the inevitable precious metals explosion; which, as it appears, may well be this Fall
after all. From last weeks blatant DLITG or Dont Let it Turn Green algorithms, to attacking mining shares like never before (see the below
SRSRocco Report
SRSRocco Report
screenshots from Thursday and Fridays trading), they are leaving no
stone unturned in their desperation to prevent it from commencing
which per this weekends podcast appears to be occurring.
All along, weve written of the tells that historys largest most destructive Ponzi scheme is on the verge of collapse. First and foremost is the
morphing of global debt accumulation to parabolic growth rates; and last but not least, loss of control of selected paper markets enroute to the total
collapse of the system and liberation of physical gold and silver markets.
In June 2008, Helicopter Ben stated that the risk the economy has entered a substantial downturn appears to have diminished, just one year after
stating, Problems in the subprime market seem likely to be contained. Youd think Federal Reserve Presidents would be smart enough to avoid
such phraseology in the future; but think again, as Cleveland Fed President Loretta Mester, just three weeks ago, said, Financial stability risks in U.S.
are well-contained. Well, looking at the global paper markets and the aforementioned Fed war games it appears she may have spoken too
soon. First up, the battle for the paper markets are lost, followed shortly thereafter by PHYSICAL gold and silver.
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