Golden jibber jabber – day two

Posted on October 7, 2009 by stacyherbert| 110 Comments

Stacy Summary: Can’t believe it’s another day like this.

Price updates: ~~1047.60~~, 1043.30, 1041.80

Place your bets: High price? Closing price?

This entry was posted in Jibber Jabber and tagged gold, Jibber Jabber. Bookmark the permalink.

110 Responses to Golden jibber jabber – day two

MBAaspirant | October 7, 2009 at 11:33 pm |

1052!!
Warren | October 7, 2009 at 9:06 pm |

I read somewhere that the melt value of nickels is approaching its face value. Time to start hoarding nickels!
Warren | October 7, 2009 at 8:56 pm |

Jubilee Year – - Cancel Our Debt
Wilson | October 7, 2009 at 7:38 pm |

So who won the bet and what did they win?! I called 1050 high, 1038 close which was pretty close.
frances snoot | October 7, 2009 at 6:23 pm |

Robert Fisk has a low opinion of bloggers:
http://www.independent.co.uk/opinion/commentators/fisk/robert-fisk-no-wonder-the-bloggers-are-winning-458097.html
Dante | October 7, 2009 at 6:00 pm |

Bondhiboy…roflmao…yeah ok….did he buy it back?
Dante | October 7, 2009 at 5:57 pm |

Its not about being a bug…its about preserving and surviving…for someone who’s ancestors took part in slave labor from what your storytelling indicates….I’d prefer to avoid that outcome for my heirs.
Karl Marx | October 7, 2009 at 5:25 pm |

Charles Eisensien, author of the essential book ‘The Ascent of Humanity’ is one of the greatest, deepest thinkers available. Podcast’s of the book can be heard here: http://www.unwelcomeguests.org/

The following links are few samples I cherry picked from his blog that relate to one of the many human abstractions. So called money.

I think many people that hold abstract thoughts are utterly useless at times. I especially can’t stand those that try to get personal and reduce, minimize or limit beings by age or race because scientifically, biologically, genetically we are 99% identical. That makes race irrelevant and divisive. As far as age is concerned, science can’t even tell you what time is, please.

Anywho, here’s the links comrades…

Money: A New Beginning

http://www.realitysandwich.com/money_a_new_beginning

Money: A New Beginning (Part 2)

http://www.realitysandwich.com/money_a_new_beginning_part_2

Money and the Crisis of Civilization

http://www.realitysandwich.com/money_and_crisis_civilization

Money and the Turning of the Age

http://www.realitysandwich.com/money_and_turning_age
BondiBhoy | October 7, 2009 at 5:09 pm |

Yeah, tbh I’m not that worried. Judging by some of the ott reactions in the financial media at the moment, we’ll see gold correct fairly soon and the dollar will rally for a few months. I remember a former IMF banker mate of my parents sold his gold holdings the last time the price started moving south in March ’08. At the time I thought he was nuts but he was proved right. Have wondered since if it was a calculated gamble or insider knowledge.
frances snoot | October 7, 2009 at 4:50 pm |

And I wasn’t talking about converting the coins to dollars, francs, or yen. Just use the coins for barter NOW. Those leaders whom you read up on are intent on keeping the status quo going…like putting lipstick on a corpse.
frances snoot | October 7, 2009 at 4:48 pm |

Yes, Dante. And we should use the coins NOW before the nefarious bastardizing freaks whom you referenced decide to close the top on our coffins. Because the system is being collapsed according to The Plan and our money won’t do us any good after the wheels get grinding down on our bones.

Why don’t Jesse Inc. and those gold-bugs start using their coins for money NOW? What good’s to come from the waiting?

Anyway, I don’t live in a trailer. But my mind’s peopled by people who do.
Dante | October 7, 2009 at 4:44 pm |

I know the quote well.

You know your just too smart for me so while you keep making your point about monopoly money…I’ll copy and paste a quote from something I just read:

Hedge fund manager John Paulson summed up his views about how to protect himself:
“What I’m looking at is not where gold is going to be tomorrow, one week from now, one month from now, three months from now. What I’m looking at is where is gold going to be vis-a-vis the dollar one year from now, three years from now, five years from now. And I think, with a high probability at each of those points, gold will be higher than it is relative to the dollar today. That probability increases the further out you go. So when I look at what the risk is, the risk to me is far more staying in dollars than it is in gold at this point.”

If I were you I’d go in the backyard and dig up those coins….
frances snoot | October 7, 2009 at 4:24 pm |

But the currency can’t exist in a viable form for long under fiat…

Voltaire, of course.
Paper money eventually returns to its intrinsic value – ZERO – Voltaire 1729
frances snoot | October 7, 2009 at 4:21 pm |

Dante:
LOL! By gums, yer right. I wuz berthed in a barn!

JUMPIN GEEHOZIPHATS! Stella, tell that there young man that Ma done got an ed-yoo-ca-shun. Why, she won every dang one-of-em spellin contests at her school.

And he’s right. Why I membering bout how my Grandpaps told me it took one gold piece to buy the land and the slave woman to tend the garden. Had to pay to birth er, but we’uns got twins that winter to work the fields. Yes, them wuz the days. Dam commie-nest comin from furien places what made America poor. Yes’um, and that Ben Bernakannee with his’un helicoptero throwin money. If we still had the gold-backed dollar, I could make do right nice here.

Pa, never mind. I buried four gold pieces and Grannie’s teeth down under this here trailer. We’s goin have it MADE.

Stella, well God Bless America, then. Real honest money what’s gonna make us great!
Dante | October 7, 2009 at 4:04 pm |

Frances—were you in the barn today?,b/c your shoveling a lot of horse—-!

A gold standard does not protect people.
….It protects you from holding worthless paper
America endorsed slavery under her gold-standard.
……America? Try the European elitists with ties to the church…none of my ancestors had slaves…Ask a Rothschild how much they got in money damages to ease their pain of loss when it stopped.
But the currency can’t exist in a viable form for long under fiat.
Says who?
…… I can’t agree, though, that patriotism and the gold-standard are in any way connected.
…Have no idea where that came from…when did I allude to that..if your going to be in the barn try to stay off the sauce!
frances snoot | October 7, 2009 at 3:52 pm |

@Dante:
A gold standard does not protect people. America endorsed slavery under her gold-standard. But the currency can’t exist in a viable form for long under fiat. I can’t agree, though, that patriotism and the gold-standard are in any way connected.
Mep | October 7, 2009 at 3:47 pm |

Here’s some Golden Jibber Jabber: Goldman Sach’s got a $3 million earmark for “national security concerns”:

http://www.businessinsider.com/why-is-goldman-sachs-getting-congressional-earmarks-2009-10
frances snoot | October 7, 2009 at 3:47 pm |

@Dante:
Yes, he was a horrible husband. She apparently was ignored completely while he thought about things and wrote!

Ruskin can help us to maintain an understanding of relevance, an aspect so forgotten by modern society.
Dante | October 7, 2009 at 3:22 pm |

Value?

http://truthingold.blogspot.com/2009/10/guess-who-said-this.html

“U.S. Dollars have value only to the extent that they are strictly limited in supply. But the U.S. Government has a technology, called a printing press (or, today, its electronic equivalent), that allows it to produce as many U.S. Dollars as it wishes at essentially no cost.” (1)

Think about what that statement means for a minute, specifically as it applies to a currency system in which a single currency is the currency which is mandated to serve as the global reserve currency – i.e. the 1944 Bretton Woods Agreements – for all global trading activities. And then think about what that statement above means when the country which happens to issue the global reserve currency – originally meant to be “anchored,” i.e. supply-constrained by gold – decides to disconnect the anchor to gold and freely create as much supply of that currency as it wishes.
Dante | October 7, 2009 at 3:11 pm |

Frances you know Ruskin was not without his own controversies….beautiful writer/thinker…but how do I survive today with his thinking?
frances snoot | October 7, 2009 at 3:01 pm |

Dante:
Well, Ruskin is dead, but here’s what he wrote about value:

The real science of political economy, which has yet to be distinguished from the bastard science, as medicine from witchcraft, and astronomy from astrology, is that which teaches nations to desire and labour for the things that lead to life: and which teaches them to scorn and destroy the things that lead to destruction. And if, in a state of infancy, they supposed indifferent things, such as excresecences of shell-fish, and pieces of blue and red stone, to be valuable, and spent large measures of labour which ought to be employed for the extension and ennobiling of life, in diving or digging for them, and cutting them into vaious shapes,–or if, in the same state of infancy, they imagine precious and beneficent things, such as air, light, and cleanliness to be valueless,–or if, finally, they imagine the conditions of their own existence, by whihc alone they can truly possess or use anything, such, for instance, as peace, trust, and love, to be prudently exchangeable, when the markets offer, for gold, iron, or excrescences of shells–the great and only science of Political Economy teaches them, in all these cases, what is vanity, and what substance; and how the service of Death, the Lord of Waste, and of eternal emptiness, differs from the service of Wisdom, the Lady of Saving, and eternal fulness; she who has said, “I will cause those that love me to inherit Substance; and I will Fill their treasures.”

pg 259–The Genius of John Ruskin
(The Lady of Saving refers to a Proverb: 8:21)
Dante | October 7, 2009 at 2:33 pm |

No one’s singing….but all I hear from the naysayer’s since 2002 is it can’t, it won’t blah blah blah…

Lying…well that’s kind of what has lead to this point…. the dollar and fiat are basically a lie. ..they stand for zippo…the men behind them stand for less….ahh…maybe the better question is does gold lie?

gold the currency…well probably not….part of the currency system…hhmm…there’s a thought…..and on a worldwide basis as a % of all the financial assets out there….that allocation will probably increase….maybe just maybe…the gold price is reflecting that demand?
frances snoot | October 7, 2009 at 2:19 pm |

Dante:
I’m only saying because he is standing with the Guardian claiming sources that insist they know nothing. Someone’s lying.

I could sing with the choir from now on instead of being a dissident voice. LA LA LA Heavenly Angels come down and make Gold a Viable currency La-lo-ree….But really, gold is not the solution to the problems. The problem is the dollar system about to morph into a creature with dragging knuckles and a club.
Dan II | October 7, 2009 at 2:06 pm |

@naomi

Go to http://en.gravatar.com/site/login and sign up. Instructions are provided. Just use the same email address you use on maxkeiser.com and your avatar will appear.
naomi | October 7, 2009 at 1:49 pm |

Stacey,

I hate to ask here but I don’t have your e-mail. Question, I wanted to upload an avitar on my account how do I do that?
Dante | October 7, 2009 at 1:41 pm |

Frances: or let me rephrase that

Point me to one person with an ounce of credibility who denounces gold as a form of wealth or real money
Dante | October 7, 2009 at 1:39 pm |

Frances…”the man had nothing whatsoever to back up his claims.”

Point me to someone that does?
Dante | October 7, 2009 at 1:36 pm |

those with a clue…sorry
Dante | October 7, 2009 at 1:36 pm |

buddhabob so much hoopla on gold?where?

As of yesterday’s close
“From a psychological standpoint, according to the Hulbert Gold Newsletter Sentiment Index, those polled were only 18% bullish.”

all talk no action probably more like it from everybody as though with a clue transform their wealth from paper
Phil | October 7, 2009 at 1:10 pm |

@Mep .. bomb Iran ?

Funny arrogance in Obama’s picture there … just who lent him the 28 mio$ to accelerate the bomb’s “development and testing ?
China ? .. Japan ? .. Saudis ?
frances snoot | October 7, 2009 at 12:53 pm |

I feel like I have attended church and the congregation is filled with the spirit proclaiming gold as a currency! (goody, the Arabs are going to be trading oil for gold-backed burpels filled with everything but American hegemony somewhere over the yellow brick rainbow) I mean: that Fisk was a risk article : the man had nothing whatsoever to back up his claims.

Just a way to get the masses to focus on the tangibles while the intangible business of tyranny moves ahead. Tyrannical moves away from tangible currency…as Greenspan calls paper money.
frances snoot | October 7, 2009 at 12:46 pm |

Interesting article about oil price and dollar weakness:
http://www.econbrowser.com/archives/2007/10/does_dollar_wea_1.html

Here’s a chart showing dollar price index and oil value price in dollars juxtapositioned:
http://www.jeffvail.net/uploaded_images/Oil-Dollar-715556.gif

Are we waiting for the Iranians to de-peg oil from the dollar or have they already done so. If not, then why the stability in oil prices the last six months with the dollar decline?
http://www.prices-oil.org/wp-content/uploads/2009/01/oil19thjan.jpg

http://media.photobucket.com/image/dollar%20price%20index%20decline%202009/midtowng/usd-2009.png

If gold is reacting to the dollar decline, then why is oil stable?

(If my questions are ignorant, then so be it. Everybody here is wee hoo about a gold price which is obviously not tied to gold value at all except in the realm of the imagination)
Mep | October 7, 2009 at 12:30 pm |

ummm . . . bomb bomb bomb bomb bomb, Iran?

http://abcnews.go.com/Politics/us-preparing-bomb-iran/story?id=8765343
buddhabob | October 7, 2009 at 11:42 am |

thank God but I expect Eddie Haskell our Secretary of Deficits and Banksterism to try and frig it in the rear as is his nature. I honestly thing Eddie is a closet pooftah anyway. So 1028 looms as a possible pullback point here before going forward. Nonetheless I would feel more comfortable covering my rear end if there wasn’t so much hoopla on Gold right here. Maybe President Hopey McChange will get aboard too and plate his entire upper row in bright gold. He has now joined the war criminals of America list along with bush the lesser,Rumesfeld,Darth Cheney and Henry ‘the micro penis’ Kissinger.
Karl Marx | October 7, 2009 at 11:06 am |

Capitalism is the Problem – A Review of ‘Capitalism: a Love Story’
Written by U.S. Socialist Appeal Editorial Board
Tuesday, 06 October 2009

Michael Moore’s new film exposes capitalism for what it is: a system based on the ruthless exploitation of the many by the few, who shamelessly loot people’s lifelong savings, the public treasury, and kick millions out of their homes. By the end of the film, capitalism stands roundly condemned, however, Mike is less clear as to what he is actually for. The Workers International League thinks it is important to state what is: capitalism is the problem, and socialism is the solution.

Read more: http://www.marxist.com/review-capitalism-love-story.htm
Dante | October 7, 2009 at 10:00 am |

The Cost Of Corporate Communism

http://www.msnbc.msn.com/id/31510813/#33208714
Daniel S | October 7, 2009 at 9:41 am |

It’s not so much that gold is going up but that the US dollar is going down. In Canadian dollars gold has merely reclaimed it’s ground from six months ago. Now had I stayed in my silver mining position I would have made 50%. Ah well. I needed a break and knew it was just a hedge. But it is not reasonable to get excited about the US dollar denominated gold price if you’re not likely to sell it into US dollars at any point. It’s the change in spending power of the gold in your nation’s currency that is relevant.
Chapman wannabe | October 7, 2009 at 9:35 am |

Unfortunately, there will always be profit takers that will diminish the price before the close.

If I have to guess, the price of gold will hit 1050 today.

There is a bit more action in the silver market.
Mongo | October 7, 2009 at 8:23 am |

“Because of unprecedented demand for American Eagle Gold and Silver Bullion Coins, the United States Mint suspended production of 2009 proof and uncirculated versions of these coins.”

http://www.zerohedge.com/article/us-mint-suspends-production-american-eagle-gold-and-silver-bullion-coins-due-unprecedented-d
Karl Marx | October 7, 2009 at 8:15 am |

Wave of Anarchist Bombings Strikes Mexico…

http://www.counterpunch.org/ross10062009.html
Karl Marx | October 7, 2009 at 8:03 am |

Rocktown Rebel slams Alex Jones with this piece.

http://rocktownrebel.wordpress.com/2009/09/30/retaliate-against-alex-jones-tretcherous-psychological-warfare/

After reading this and having looked into this deeper in the past, I have to question those people that identify with, align themselves or otherwise defend Alex Jones and his cult.

I can forgive ignorance, but if it walks like a duck and quacks like a duck, the comedy is over.
Ilya Kuryakin | October 7, 2009 at 7:02 am |

http://i11.photobucket.com/albums/a154/mudonthetires10/Obama/TrillionDollarBill.jpg
Bernanke the Nut Sack | October 7, 2009 at 6:51 am |

Hi at 1057 close at or above 1050
Phil | October 7, 2009 at 5:07 am |

@MaxPower … “You will need (signed) 128 bit numbers to hold floating point numbers of this size, but the standard IEEE 80″

Yep .. that’s what I said earlier !

Using 64-bit, we had “precision limits” tallying up our swaps data total positions on an IBMmainframe.

e.g. Integers .. ( using a 32bit PC )
2*63 = 9.223372037E18
2*127 = 1.701411835E38

Interestingly, the old Motorola 68xxx family ( 1982 ) used 80-bit precision and would round off to 64-bit afterwards.
X86 .. ” a crippled architecture” as a Berlin Professor once said !
Patrick | October 7, 2009 at 4:58 am |

There will be another dollar rally 4 sure, still i think i will ask my customers in not so distant future to pay me in Australian dollars or similar.
larry | October 7, 2009 at 4:57 am |

@max power , max thanks ,an excellent piece of work there !! [wish i could understand it : ( 7 – 10 based zero digit hyperinfaltion ? ,glad i am not a coin based vending machine !!
white hunter | October 7, 2009 at 4:56 am |

@larry

Also, I think it is important to note that gold shares have been diverging from the strength in the price of the metal which is I think is signaling a sharp retreat. Also, treasury bonds as measured by TLT have been showing strength in spite of the weak dollar. I am expecting an important intermediate-term bottom in late October or early November for gold and the stock indexes.
M | October 7, 2009 at 4:47 am |

Btw,

Those rappers were also the ones to start promoting gold “bling bling”.

The knew financial markets before we did.
M | October 7, 2009 at 4:46 am |

@Epha

Euro is the only money shown in that Jay-Z clip.
Max Power | October 7, 2009 at 4:41 am |

=========
@Bill Stewart …” If USD hyperinflation kicks in, I can see 35 Quintillion Quintillion USD per troy ounce :”

That is good news for the Economy … EVERYONE will now need 128 bit PCs ..upgrade cycle imminent !
==========

You will need (signed) 128 bit numbers to hold floating point numbers of this size, but the standard IEEE 80 bit floating point numbers will work just as well.

I have only started research on this, and ran into a total brick wall of lack of useful data:

http://hireme.geek.nz/US-hyperinflation-finsec-risks.html

US Finance System Hyperinflation Caused “Transaction Processing Failure” Systemic Risk Assessment

THIS IS A DRAFT RESEARCH DOCUMENT IF YOU WANT TO CONTRIBUTE TO IT THE CONTACT EMAIL ADDRESS CAN BE FOUND AT : http://cbc.am/climate-prediction-CPU.pdf

Abstract
Where the vast bulk of today’s money is not physical, but electronic, however, chances of adapting to Hyperinflation here are virtually nil.

[...]

20922789888000 = 16!
355687428096000 = 17!
6402373705728000 = 18!
121645100408832000 = 19!
2432902008176640000 = 20!
– 64-bit unsigned (last hardware and software to fail)

//////////////
Fun, not in research
/////////////
http://www.binaryconvert.com/result_double.html?decimal=051046049052049053057
Daniel | October 7, 2009 at 4:33 am |

1053,68
epha | October 7, 2009 at 4:31 am |

@M
in the Jay-Z vid was that Euros in the suitcase ?
Steve Cone | October 7, 2009 at 4:30 am |

“Can’t believe it’s another day like this.” — SH
Mother Superior jump the gun — your gut was right — you should never have believed it.
larry | October 7, 2009 at 4:28 am |

some generalisations and observations about recent price history of gold and its behaviour .,perhaps worth considering ? 1 ] the move upwards in the gold price is relative to weakness of U.S dollar may seem obvious but golds advance is not supported by broad base advance when measured in other currencies previous high.which is not so obvious 2 ] golds new high is not supported by a new high in sliver , silver is still far,far behind , that could suggest that prices have further to go or it could suggest that golds new high will not last and is not sustainable . 3] gold and silvers last new highs co- incided same day previously with dollars then new low march 17 th 2008. so new highs in both silver and gold TOGETHER would suggest a new turning point has arrived ? 4] either way i would love to know what the bullish readings for gold are at the moment on a DSI index ,must be mid 90 s + ? also DSI readings for US dollar ?,both must be truely extreme by now ! ,perhaps setting a new record ? can anyone help with that ? any wise old cowboys around here ?
epha | October 7, 2009 at 4:24 am |

@Stacy @Bondi Bhoy
” if you are going to trade gold, then, of course, you did the right thing to sell into a rally, and then buy on a decline ”

yeah, but sell in small increments as it rises , and buy in small increments as it drops – not all at once at one price , then you don’t have to predict the exact top or bottom .
Richard@lattitude30N | October 7, 2009 at 4:24 am |

@ scandals??? whatever became of those huge denominations of US bonds confiscated in Italy????? What if those were just the tip of the iceberg and so much market manipulation is going on around the globe that all this reaction to the price of gold and the steady advance of the DOW, etc…is camoflage for the actual reinventing of a world currency before our eyes….and as others post and report the 2018 date is so far into the future that the present may come up and bite us any minute as a snake in the grass( or is that *ss )….
M | October 7, 2009 at 4:21 am |

Jay-Z knows all about the dollar, check from 1:20 -1:30min
http://www.youtube.com/watch?v=wiuNd5SoU8E
Mini US | October 7, 2009 at 4:17 am |

Sorry that should be Aug/Sept ’08 not Sept/Oct.
Mini US | October 7, 2009 at 4:16 am |

Message re USD.

http://www.youtube.com/watch?v=OtKnGJnGw_Y&feature=player_profilepage

Look at this chart back in Sept, Oct of last year.
Support @ 76.
Can it hold again, or repeat what it did in November?
That is when the Stock Market dropped.
Stand by.
M | October 7, 2009 at 4:09 am |

Closing under 1050.
M | October 7, 2009 at 4:08 am |

Jim Sinclair has been saying gold would go to 1050 and then 1650 for a very long time. Seems 1050 is a resistance indeed, which seems to be quite logical.

Probably now some consolidation will follow before trending up further.
Richard@lattitude30N | October 7, 2009 at 4:07 am |

@Sherbert: “Rothschild”…I thought he got rich by kiting the results of the Battle of Waterloo before the others and standing silent as others bought up the declining shares?????
stacyherbert | October 7, 2009 at 3:49 am |

@Bondi Bhoy – wasn’t it Rothschild who said something like, “I got rich selling too soon” . . . if you are going to trade gold, then, of course, you did the right thing to sell into a rally, and then buy on a decline . . .
Wilson | October 7, 2009 at 3:42 am |

1050 high, 1038 close
Mini US | October 7, 2009 at 3:32 am |

@ Bondi Bhoy
Don’t worry get back in after….splat!
Mongo | October 7, 2009 at 3:31 am |

YEAH!

Nobel peace prize will probably go to Goldman-Sachs.
Paul | October 7, 2009 at 3:19 am |

@BondiBhoy

You should’ve stayed maaaaan!!
Fibon11235 | October 7, 2009 at 3:18 am |

Feels like things are a changing.

I have not the slightest idea what price but the those hockey stick take offs just keep on coming.

Doesn’t this wonderful sculpture is just says it all.
The Big Golden Farting Bull.. Is it true that a Big Fart is symbolic for big lie in china lol, is that correct? lol

http://worldfamousdesignjunkies.com/illustration/the-big-golden-farting-bull/
Edvard | October 7, 2009 at 3:10 am |

@Stacy:

I’ll take you up on that 8:30 challenge.

Here’s my prediction: the prop desks at GS etc are going to smoke the bulls. Below USD 1000 by tonight. Wait till the megadroid trading algorthms kick in….

heheheh….
Supergeek | October 7, 2009 at 3:06 am |

@d3do
typos…barcode on this day today!!!
Phil | October 7, 2009 at 3:06 am |

@Mini US …”So says The Practical Investor…. respect the patterns”

Scrapped inverse H&S .. quite rightly IMO.
Triangle formation 37% failure rate.
.. i.e. 63% success rate !
According to patterns:
Wave 5 says Gold ca. 1078 potential…. says maximum is probably 1136$ .
Seems reasonable based on T/A.
Of course, geopolitical events not considered.

He thinks US$ is forming a base and may take off.
He thinks 2015 for Gold 5000$.
Supergeek | October 7, 2009 at 3:05 am |

@d3do
Cheer5s dedo I had been thinking along similar lines and a bit more …but I aint disagreeing…I just noticed the barcode was invented today as well!!!
double, double…yikes!!!
Edvard | October 7, 2009 at 2:58 am |

Increasing risk of sovereign default: Latvia about to collapse, Iceland’s woes far from over. During the ’30′s, about 2/3 of countries world-wide defaulted.

But this is supported by a speculative fever at the moment. At some point this will reverse in a big way.

Maybe (instead of Ms Watanabe) it’s Chinese housewives this time?
BondiBhoy | October 7, 2009 at 2:58 am |

oh dear! I cashed in everything at goldmoney.com @ $1020 and put it into Euro. I’m feeling like a guy who’s left a decent enough party and found out next morning that only 10 minutes later a busload of Swedish cheerleaders pulled up to the house.
Mini US | October 7, 2009 at 2:57 am |

Dollar floor.
I dunno why I am supporting the IDEA of the $US rebounding, it makes no sense.
Just that Rogers, Faber and Pracitcal Investor have all mentioned it recently.
All depends on when US stock market “gets” that its country is in dire schtuck.
Mini US | October 7, 2009 at 2:52 am |

So says The Practical Investor….
“Respect chart indicators”

http://www.youtube.com/watch?v=lukNwdlnD9k&feature=player_embedded#
Mike2liverpool | October 7, 2009 at 2:49 am |

Peter Schiff was talking last week about “$5,000 Gold in the next few years”.

Mike
Paul | October 7, 2009 at 2:49 am |

Good to see that gold’s momentum is continuing. I can’t say the same with people on the message boards. It seems like yesterday’s “crescendo” has left peopled emptied of time or effort to post replies. Or maybe everything has been said that needs to be said.
Dedo | October 7, 2009 at 2:49 am |

@Super,….October used to be the 8th month,…eight being the esoteric symbol for money and wealth,…October the “Great” is synonymous with revolution,…
One man said,…when there’s blood on the streets is when I make most money,..blah blah,..go figure!
Supergeek | October 7, 2009 at 2:45 am |

@s.herbert
re: spider monkey.. I know..and that is one funky monkey…but I was mostly talkin to GM!!!
I’d already made a ‘too much monkey business’ joke at you and ditn’t wanna wear it out…or bore myself…one of the side effects of being a social deviant…low boredom threshold!!!
ps. wow we are only up to the 7th OCT and already this has been the best month since I have been checking out this site… oh and the return of swine flu part. 2 hasn’t even started yet!!!
Phil | October 7, 2009 at 2:40 am |

@dan valley …” the NY open will be interesting ”

In those charts I posted on paper ETF GLD, the MarketMaker has set the “closed market” price to 113$ ( is just a nominal price to signal “no trading” ), that would put real Gold at ca. 1163$.
Doesn’t mean anything of course ..was just a curiosity !
Phil | October 7, 2009 at 2:38 am |

Bloomberg TV
Video: Commodities Outlook – Gold to Rise Above $1200 by Year End
http://myprops.org/content/Video-Commodities-Outlook-Gold-to-Rise-Below-1200-by-Year-End/
dan valley | October 7, 2009 at 2:36 am |

the NY open will be interesting….jack gold up so the profit takers wind up with worthless paper then jack it up higher
Phil | October 7, 2009 at 2:33 am |

@Bill Stewart …” If USD hyperinflation kicks in, I can see 35 Quintillion Quintillion USD per troy ounce :”

That is good news for the Economy … EVERYONE will now need 128 bit PCs ..upgrade cycle imminent !
dan valley | October 7, 2009 at 2:31 am |

yes there are more futures than gold
Mini US | October 7, 2009 at 2:30 am |

Ted Butler 3 weeks ago.

http://www.youtube.com/user/stellaconcepts#play/all/8001729031145767-all/0/6K5xd2FRff0
Supergeek | October 7, 2009 at 2:29 am |

Like I asked before “Historically, what is it about OCT and or this time of year???” I mean it was a slightly rhetorical question…I do have an opinion.. it’s just that it felt a bit silly!!!
Bill Stewart | October 7, 2009 at 2:28 am |

If USD hyperinflation kicks in, I can see 35 Quintillion Quintillion USD per troy ounce :

35 000 000 000 000 000 000 000 000 000 000 000 000
3 6 9 12 15 18 3 6 9 12 15 18

There should be 36 zeros above.
Quintillion = 18 zeros.
ItalicBold | October 7, 2009 at 2:27 am |

Hedge funds win Church of England blessing

http://www.ft.com/cms/s/0/7a31f792-b2aa-11de-b7d2-00144feab49a.html
Richard@lattitude30N | October 7, 2009 at 2:25 am |

@sherbert: good ????…If I am not mistaken…hasn’t it been rumored that there are more gold futures than actual gold…maybe that’s why Bloomberg TV just stated that the gold reserves are at an all time LOW!!!!!!!!!! Very incendiary!!! and then followed by a chart suggesting a rise to $1500…..are they front running or what????????
Phil | October 7, 2009 at 2:25 am |

@stacyherbert …”Of course, if there is a short squeeze . . . it’s anyone’s guess where the squeeze will take the price”

Short ? .. who’s short then !
…. the FED ( member banks ) of course !

Remember the Hunt brothers fiasco … IMO they will not be squeezed this time either with 60%+ short !
If they “do” allow it , they’ll become even more BK !
My predictions are always wrong of course !
Phil | October 7, 2009 at 2:22 am |

Is the FED just sleeping or have they given up already ?

Paper GLD ETF

Last 7 days of Intraday : http://yfrog.com/7hgldintradayj

Since 2008 : http://yfrog.com/7hgldsince2008j

Seems pretty bullish .
Mini US | October 7, 2009 at 2:21 am |

Great Summary by Peter Schiff.

You countries currency up = Deflation, your countries currency down = Inflation.

http://www.youtube.com/user/SchiffReport
stacyherbert | October 7, 2009 at 2:18 am |

Of course, if there is a short squeeze . . . it’s anyone’s guess where the squeeze will take the price
dan valley | October 7, 2009 at 2:17 am |

the hedge fund hyenas were pissed at the glut of gold futures dumped into the market
MBAaspirant | October 7, 2009 at 2:17 am |

1051 close.
stacyherbert | October 7, 2009 at 2:17 am |

Seems everyone is betting that NY will continue to bid it up . . . anyone going to bet that it will get hit by 8.30am?
dan valley | October 7, 2009 at 2:16 am |

Yeah 1060 tonite
Max Power | October 7, 2009 at 2:12 am |

1047 USD.

Yawn. Zzzzzz.

Put up a chart showing how Silver is doing.
Mongo | October 7, 2009 at 2:11 am |

Danny, Silver is used in production also which makes properties of silver somewhat different to gold. The long gone relation of 15:1 relation between gold and silver is said to return. Based on what some say about gold, say $5000 per troy ounce then silver would be at $300 if this holds true.

I am not the right person to say silver always follows gold but a chart I did recently showed that silver has followed gold quite closely with a 50:1 or 60:1 relation for a long time except for last year when the collapse began and silver shrank to lower levels. Mostly because production went down also but since it has continued to follow gold.

Lets hope we get a 15:1 relation soon
ItalicBold | October 7, 2009 at 2:11 am |

Danny, silver is generally a leveraged play on gold. But it is very volatile. It lost more than half its value when the markets went down.
epha | October 7, 2009 at 2:07 am |

I posted this yesteraday but I think it was buried under new avatar excitement, so I want to post it again because it’s so appropriate.

http://worldfamousdesignjunkies.com/illustration/the-big-golden-farting-bull/

a big golden farting bull with a banker ( Maddoff apparently ) on the end of it’s horns.
NicAbbott | October 7, 2009 at 2:05 am |

@ Danny Teh gold silver ration varies a great deal

http://www.gold-eagle.com/charts/gegsr.html
stacyherbert | October 7, 2009 at 2:04 am |

@Danny – not always, yesterday gold rose by just under 2.5% whereas silver was up 5%; so you did twice as well . . . it seems to me that traders/speculators/investors are anticipating some sort of imminent crisis . . . we should know soon
Mongo | October 7, 2009 at 2:04 am |

Btw, on gold!

http://money.cnn.com/2009/10/06/pf/gold_investing_bubble.fortune/index.htm
NicAbbott | October 7, 2009 at 2:04 am |

High 1055; closing 1051

Maybe this has someting to do with it. Banks looking to hold physical metals not futures.
>>
Facing a limit on holdings in paper futures contracts, bankers say they have received inquiries from pension funds and other big investors about the practicality of warehousing industrial metals or chartering supertankers.
<<

http://www.ft.com/cms/s/0/09fdd4ce-b29f-11de-b7d2-00144feab49a.html?nclick_check=1
Dedo | October 7, 2009 at 2:03 am |

High: 1070.3,..closing 1057.2 : )
stacyherbert | October 7, 2009 at 2:01 am |

high: 1071.2; closing: 1060.1
Danny | October 7, 2009 at 2:00 am |

Question: As silver is more of a buy for a serf like me, is it the case the silver price will always, more or less, move up in tandem with the price of gold?
Mongo | October 7, 2009 at 1:57 am |

I am guessing 1056.4