The pattern of central bank covering the debt is clear. The lesson is that central banks can apply paper patches to the failed banks, and buy more time, then repeat the process on the next failed bank event. No limit to their bank patches seems to be in force. The banker cabal can continue endlessly since their patches are based on paper solutions, fiat paper money spew, and they control the paper output. They are the masters of the House of Paper.
The paper mache solutions can continue in a seemingly endless manner, but not in the Gold market.
The intervention and suppression in the Gold market is finite. It requires Gold bullion, the physical ingot bars, in order to execute the perpetuated interference and alteration to this financial niche market.
The manipulation is finite, and it is coming to an end.
When the Shanghai shock comes, ALL THE PAPER GOLD STRUCTURES WILL FALL, all the FOREX derivatives will collapse, & all the control rooms will go into panic mode.
Click here for the Latest Hat Trick Letter The Shanghai Shock to Shatter the Gold Market:
When the Shanghai exchange runs dry out of silver, they will use the event as a legitimate checkmate excuse to revalue both silver and gold. This ties in with Dr. Jim Willies “GRAND GOLD SHOCK EVENT” prediction. China’s physical gold holdings will go up in value all while they rake in their paper shorts on the other side. This will cause shockwaves to the gold, silver and the FOREX derivative markets!
Without the Shanghai physical drain on silver supplying the mints, the COMEX and LBMA would have defaulted by now. This is no accident. China created the loophole like a Trojan horse targeting the Achilles’ heel of the financial system. Silver is the sacrificial pawn.
Wall Street took the arbitraged silver bait and it’s almost time to back up the truck and go ALL-IN! Gold and silver are about to slingshot out of the station! The game ends when Shanghai runs out of real silver!
A PLANNED CHECKMATE IS NOW IN FULL VIEW.
Click here for more on the planned Shanghai Checkmate:
With increased regulatory scrutiny on the London gold and silver fixings and what looks like a defensive attempt by the LBMA in London to protect their proprietary gold and silver price discovery auctions via the recently introduced CME/Thomson platform for silver and probably soon to be introduced similar CME platform for gold, it will be interesting to see how the Chinese government’s pro-gold strategy pans out.
We may soon see global gold hub wars between London and New York on the one hand and the increasingly powerful eastern hubs of Singapore, Shanghai and Beijing on the other.
The sell off was greeted by Chinese buyers as Chinese premiums edged up to just over $1 an ounce on the Shanghai Gold Exchange (SGE). Gold price drops this year have led to a marked increase in demand for gold as seen in very large increases in ETF holdings (See chart – Orange is Gold, Purple is absolute change in gold ETF holdings). The smart money in Asia, the West and globally continues to use price dips as an opportunity to allocate to gold.
Legendary gold expert Jim Sinclair has significantly reduced his public commentary over the past 6 months, reserving most of his advice for those willing to attend Sinclair’s financial meetings across the country- likely due to the fact that many new PM investors lam-blasted Sinclair over his incorrect short term call in 2013 that support in gold would hold at $1600.
Sinclair, who in addition to his role as CEO of Tanzanian Royalty Exploration, is also the Executive Chairman of the new Singapore Precious Metals Exchange, was recently the Keynote Speaker at the 2014 Hong Kong Mines & Money conference.
Sinclair discussed how to avoid the coming Western financial system bail-in, the role of gold in the coming crisis, & banking with the BRICS.
We highly suggest that readers check their emotions and biases at the door, and view the entire MUST WATCH Keynote address from the world’s foremost big-picture expert on gold & the financial crisis:
While many precious metals blogs and investors have proclaimed an imminent COMEX default since 2008, we have long maintained that the COMEX is more likely to fade into irrelevance than to outright default on gold or silver bullion as physical Asian demand would facilitate the development of physical exchanges in the east.
It appears that the CME decision makers have seen the light and agree with us, as Reuters reports this morning that the CME plans to launch a physically settled gold futures exchange…in Asia.
Click here for more on the CME’s plans to launch a physically settled gold exchanges in Asia:
Chinese demand may once again stem the decline in gold prices. Chinese buyers eagerly scooped up gold at bargain prices overnight after the 4% price fall. Gold volumes for the benchmark cash contract on the Shanghai Gold Exchange (SGE), China’s biggest spot bullion market, climbed to a 10 week high as lower prices led to increased buying. The volume for bullion of 99.99% purity climbed to 19,775 kilograms yesterday, the biggest since October 8, from 13,673 kilograms the previous day. (more…)