- Currencies and metals get sold on Friday, with interference.
- Eurozone inflation remains sticky…
Good Day… And a Marvelous Monday to you! I don’t know what’s wrong with our Blues, but they sure seem to discombobulated when they play… They’ve looked this way ever since they won the Stanley Cup a few years ago… UGH! So, the Big News this past weekend was that the baseball icon, Shohei Ohtani signed for $700 Million with the Dodgers for 10 -years… Doing the math on that, it’s $70 million a year to play baseball… The rich just keep richer in Baseball… It’s tough to be a small market team like my beloved Cardinals and compete with the high rollers in NYC and LA… UGH! But, they will give it go, next summer! Little Evie, and brother Braden stayed with us Saturday Night… It’s fun having a little one around the house at Christmas time… Speaking of Christmas… the Ramsey Lewis Trio plays their version of the song: Santa Claus is Coming to Town this morning to greet me…
Well, the dollar was “managed higher” on Friday, with the BBDXY rising 2 index points… It all smelled fishy, this rise in the dollar, and so it was confirmed that there was intervention… UGH… Why can’t these dirty dogs just leave the markets to trade where traders and investors direct them to go? Gold also saw a managed takedown once again, along with Silver… Gold was down $23.60 to close the week at $2,005.50, and Silver was down 82-cents, to close the week at $23.07… Man, do I detest having to start a letter/ week having to explain that the things we follow were manipulated downward the previous Friday! But it is what it is… And I just don’t get it!
Look, I’ve explained this before, but here goes again… in 1971, when Nixon took the dollar off the Gold backing, the dollar began immediately to drop, and with no end in sight to this drop, Senators and the Finance minister, got together and decided that they couldn’t allow this to go on, and at that time they hatched the plan to always diss Gold & Silver in favor of the dollar, to keep the dollar shining for all to see… Well, that’s all fine and dandy, but as time goes on, the deficit spending and debts have done their own damage to the dollar, and Gold has gone from around $265 to over $2,000, not without some intervention to keep it down, mind you, but still the cat is out of the bag as far as keeping the dollar shining for all to see… So, why do they keep trying to keep Gold & Silver down? It’s insane as far as I can see… And the definition of insanity is trying something over and over again, thinking that there will be a different outcome… I rest my case…
Here’s Ed Steer’s comments about the intervention in the dollar, Gold & Silver last Friday… “Armed with a Goldilocks/”better-than-expected” jobs report — and a dollar index ‘rally’ that just reeked of massive intervention, yesterday’s engineered price declines in both silver and gold certainly didn’t come as a surprise, at least not to me.
But it wasn’t all smooth sailing for the commercial traders, as every time they loosened their downward grips on both, they were more than happy to rally sharply.
The same can be said of that equally managed dollar index ‘rally’…as it only followed the script when it was brutally forced to — and a bit of short covering later in the day did the rest.
And what was equally obvious, was that ‘da boyz’ were using the engineered decline in the gold price to slam silver…their No. 1 problem child.”
Chuck again… As always, you can find Ed here: www.edsteergoldsilver.com
Continuing on… The price of Oil rallied on Friday by $2 to close the week with a $71 handle… And bonds were a no-show in trading on Friday with little to no movement in the yields… You can still get better than 5% in a 1-year T-Bill… So, the yield curve is till inverted… ICYWTK… (in case you wanted to know)
In the overnight markets last night… The dollar got bought again… Hmmm… The overnight markets took the run in the dollar from Friday, and went along for the ride. The BBDXY has gained 3 index points overnight… Gold is down another $14 to star the day/ week this morning, and Silver is down 9-cents to start the day/ week. Gold is going to have to really hit the gym, and toil away, to get back on the rally tracks after last week… I see Gold having the Oomph to do the job, with all the demand for physical Gold in the works… I’m just saying…
The price of Oil remained with a $71 handle overnight… And it now appears that the bond boys have finally given up the ghost on holding on to their mantra of “the Fed/ Cabal/ Cartel will cut rates soon”, and the 10-year’s yield has risen to 4.27%, from last week’s low of 4.17%… Now that is all settled, we can get back to normal trading in bonds, that see rates staying higher, longer, and not all that frenzied buying on the bond boys mantra!
The jobs jamboree was responsible for all this movement in the asses Friday, so let’s go see what was going on there to start our day, eh?
Well… the Jobs Jamboree was interesting on Friday last week… The BLS said that 199,000 jobs were added in Nov. I would suspect that all the workers that were son strike were counted as being added… The BLS didn’t even have to massage the numbers that much, only adding 4 jobs to the surveys… So, here’s the skinny, on the whole jobs data… The BLS said that the Unemployment Rates had dropped to 3.7%. and that got the markets all in a tizzy, that maybe, just maybe, they had been wrong about an early rate cut… The Fed/ Cabal/ Cartel, had pointed out that they needed to cool the employment to bring down inflation, and so this report sure didn’t get them in the mood to cut rates…
And that, my friends, is what was the initial cause for Gold to get sold on Friday… The dollar to rally, bonds get sold, and stocks… well, who the hell knows what drives them higher each day? Regarding Gold & Silver, in the old days before the boys in the band learned they could short the metals without any Gov’t interference, and make lots of money, a report like Friday would have cause some slippage in the metals, but then the piling on by the short paper traders took place and then we had a major selloff…
Well, how have you been taking care of your investment portfolio? I sure hope you have diversified it properly, and that you’ve set it, and forgot it, gone fishing, if you will… Maybe added some additional Gold & Silver now that the short paper traders have generated another cheaper buying opportunity… I read a piece this past weekend that talked about how this time we’re in right now is the “eye of the storm”… And on the other side of this storm, we’ll see Gold rally to $3.000, and then on to $4,000… OMG! Now wouldn’t that just be the cat’s pajamas if Gold rose to those levels? But C’Mon, get ahold of yourself… You and I both know that the Gov’t will not allow Gold to move to those levels, for that would mean the dollar is dirt, and Gold isn’t!
But in reality, the dollar is dirt, folks… Since the Fed/ Cabal/ Cartel was formed in 1913, the dollar has lost 96% of its buying power… with most of that loss taken in the years since 1971… And it’s only going to get worse for the green/peachback… As a country, we are now borrowing to pay the interest on our bonds that are outstanding, and then borrowing more to reissue new bonds… It’s a real shame that it’s come to this… And it all could have been avoided if we had never taken the Gold backing from our dollar… Remember, Nixon told us it was only going to “temporary”… I guess he had a different dictionary that you and I, eh?
The other thing that was all over the air waves this past weekend was how digital dollars will be here sooner than later… I know it’s been over 3 years since I first talked about digital dollars, and that was in May 2020… I told you then that one day you would wake up and find your dollars are now digits, and they will be spent on digital cards, period…. The Gov’t will then know everything about your personal spending habits, what you buy, what you spend money on, who you support, etc. You know 1984 was supposed to be a “make believe” world… But more and more we cede our civil liberties to the Gov’t, and pretty soon 1984 will look like a walk in the park to what we are living in…. I sure hope I’m wrong about all that, but then I doubt that I will be…. Just saying…
Turning to something else… because that talk about digits in my bank account gives me the Willies… It appears that the European Central Bank’s work in hiking rates is not finished, as inflation has come back stronger than expected int he Eurozone… And in a roundabout way, that’ll be good for the euro, because the ECB will have to maintain rates where they are presently, or raise them a bit more, while the U.S. sitting on their hands… If only the price manipulators would steer clear of supporting the dollar, and let the markets, traders, investors take it where they believe it belongs… The offset currency to the dollar is the euro, so keep that in mind…
The U.S. Data Cupboard last Friday, had the aforementioned Jobs report for Nov. from the snake oil salesmen at the BLS… In addition to their trumped up jobs report, they also said that Hourly Wages year on year were up .4%, which the boys and girls at the Eccles Bldg. (The Fed/ Cabal/ Cartel) won’t be getting a warm and fuzzy over that report… And they’ll be asking themselves just what did they need to do to get the labor market from growing like this, because it will only lead to more inflation… And Consumer Credit (read debt) was interesting in Rocktober, as it dropped BIG TIME from Sept’s $12 Trillion to $5.2 Trillion… Credit Card debt was down from the previous month, which is a good sign, but… there’s always a dark cloud isn’t there? The U.S. economy depends on consumption by its citizens to support growth… So, there’s that problem, but who’s counting?
To recap… Chuck is all up in arms today about the takedown last Friday in Gold & Silver… And the intervention in the dollar once again… Eurozone inflation is still hot, and that should keep rates at current levels or even higher, as we go along… Chuck talks about digital currencies once again.. repeating what he first told you in May of 2020… And he has a GATA report for us today in the FWIW…
For What It’s Worth… This article came to me from the good folks at GATA.org… And I do believe that you’ll be able to read the entire article if you wish. This is about someone “in the know” talking about how the metals prices are manipulated, and it can be found here: HansonEssay.pdf (gata.org)
Or, here’s your snippet:” “Manufactured prices of commodities devoid of fair price discovery cause misallocations of resources and penalize industry, employees, investors, and taxpayers. Furthermore, condoning obfuscation of gold as commodity activity can result in disruptions of supply chains, such as the ‘aluminum shuffle’ or ‘copper as bullion’ classification by the Office of the Comptroller of the Currency to permit banks to escape position limits.”
The result is to make it nearly impossible for the world to see what the U.S. government and its agents are doing to undermine a currency competing with the U.S. dollar.
Chuck again… this was written by James Hanson, who recently retired as a financial analyst for the U.S. Federal Deposit Insurance Corp., has written an essay showing how U.S. regulators long have been striving to obscure the positions taken in gold derivatives by U.S. banks.
Market Prices 12/11/2023: American Style: A$ 6555, kiwi .6110, C$ .7365, euro 1.0756, sterling 1.2512, Swiss $1.1354, European Style: rand 19.0381, krone 10.9566, SEK 10.4944, forint 354.73, zloty 4.0261, koruna 22.6423 RUB 90.93, yen 146.35, sing 1.3437, HKD 7.8061, INR 83.39, China 7.1774, peso 17.41, BRL 4.9583, BBDXY 1,244.28, Dollar Index 104.13, Oil $71.24, 10-year 4.27%, Silver $22.96, Platinum $934.00, Palladium $986.00, Copper $3.74, and Gold… $1,991.40
That’s it for today… I go to see my primary care physician later this morning… He’s always amazed with the fact that I’m there, in person… I always tell him… I’m living proof of what an optimistic outlook, and tons of prayers will do for someone… Well, that, and the fact that I’ve had great doctors, who stay on top of what’s going on in Cancer… In the beginning, it was key that I was able to get to M.D. Anderson in Houston… They set the bar for what to expect for me, and here I am! Of course, I could keel over tomorrow, so I had better find some wood to knock on! I fully expect to be here for some time still, so I have that going for me! And I’ve got a bone to pick with the football… The tush-push, is NOT football, it’s Rugby! So, get it out of the game! I’m listening to my fave smooth jazz Christmas CD this morning… Christmas in the City, by the Stephen Kummer Trio… I hope you have a Marvelous Monday today, and please, please, please Be Good To Yourself!
Chuck Butler