Argentina Tops List Of 20 Signs Of Global Economic Meltdown

[steveinbsas]

So I'm "wrong" but you concede that the Fed does buy US Treasuries? Where's my error, then?

Heck, that $450bn Fed purchase of US Treasuries is just providing a bit of liquidity to the market.

ROTFLOL!

 

[steveinbsas]

Absolutely. But people are getting jittery. The US government is getting jittery. And circumstantial evidence suggests it's been rigging the price of gold to stop a stampede out of the dollar.

For once I must disagree with the big bad wolf...well, sort of....

The US government has NOT been rigging the price of gold to STOP a stampede out of the dollar.

At best, the US government can only hope to DELAY it...

Unless they return to the "Progressive Democrat" policy of making owning gold a crime.

And if and when they do they better make owning guns a crime as well...

Something they have wanted for a long, long time.

Either way, the results will not be pretty.

 

[bigbadwolf]

The US government has NOT been rigging the price of gold to STOP a stampede out of the dollar.

At best, the US government can only hope to DELAY it...

You're right but delaying the inevitable is the name of the game right now. The US establishment is so ossified and paralysed that it can't do anything other than buy time for itself a day, a week, and a month at a time. Aagain, there are historical precedents for ossified and paralysed empires in decline.

With regard to gold price manipulation I found the following piece by PCR quite insightful:

http://www.paulcraigroberts.org/2014/01/17/hows-whys-gold-price-manipulation/

 

[Caliexpat]

Wrong again. The US Treasury does not auction off securities to themselves. Foreign governments/investors (this year it will be primarily Japan, with a 200 basis point spread between Japanese 10 year notes and comparable T-notes, and an appreciating USD v. Yen) and primary broker/dealers (big investment banks) are the main buyers. The Federal Reserve does buy US Treasury securities (along with toxic MBS products) to increase liquidity (thus artificially holding down interest rates) as part of their QE program.

I made an earlier post on this specific topic in this thread. The Fed creates money out of thin air. It literally goes to a computer, types in some digits and creates digital money which it exchanges with the Treasury for bonds, which then sit on its balance sheet.

I'm not sure why this topic is even being debated as it is already a widely known and accepted fact that the Fed is monetizing the debt. Just do any general search in Google and you'll find plenty of articles discussing the subject.

Just a few that I found:

The Federal Reserve Is Making A Big Mistake
http://www.forbes.com/sites/richardfinger/2013/09/20/the-federal-reserve-is-making-a-big-mistake/

"The Fed has no excess money or reserves…..so they simply fire up the printing presses and print out of thin air $85 billion of new money each and every month. This is money that goes directly into the money supply."

The Fed's 'hidden agenda' behind money-printing
http://www.cnbc.com/id/101062461

"The Fed accomplished QE by "printing money" to buy Treasurys, and through the massive power of its purchases drove interest rates to record lows."

Bernanke Admits Printing $1.3 Trillion Out Of Thin Air
http://usawatchdog.com/bernanke-admits-printing-1-3-trillion-out-of-thin-air/

 

[Caliexpat]

For once I must disagree with the big bad wolf...well, sort of....

The US government has NOT been rigging the price of gold to STOP a stampede out of the dollar.

Steve, there is strong evidence to suggest that the gold market, like just about every other market out there, has also been rigged. As to whether or not the US govt. is involved, I'm sure they've got their hands in there somewhere.

Deutsche quits gold price-setting as regulators investigate fix
http://www.reuters.c...N0KR19G20140117

U.S. Probes Gold Pricing
http://online.wsj.co...358381575462340

German Gold Manipulation Blowback Escalates: Deutsche Bank Exits Gold Price Fixing
http://www.zerohedge...ld-price-fixing

GATA's Bill Murphy on the Manipulated Gold Drop

 

[steveinbsas]

Steve, there is strong evidence to suggest that the gold market, like just about every other market out there, has also been rigged. As to whether or not the US govt. is involved, I'm sure they've got their hands in there somewhere.

I wasn't asserting the government wasn't involved. I was saying that, in spite of the effort to DELAY the stampede to gold, they will not be able to STOP it, unless THE IMPERIAL PRESIDENT (BHO) declares (by executive order) the ownership of gold a crime (just like FDR did in what now must be viewed as a rather ominous precedent).

 

[jackbower]

Steve, there is strong evidence to suggest that the gold market, like just about every other market out there, has also been rigged. As to whether or not the US govt. is involved, I'm sure they've got their hands in there somewhere.

Deutsche quits gold price-setting as regulators investigate fix
http://www.reuters.c...N0KR19G20140117

U.S. Probes Gold Pricing
http://online.wsj.co...358381575462340

German Gold Manipulation Blowback Escalates: Deutsche Bank Exits Gold Price Fixing
http://www.zerohedge...ld-price-fixing

GATA's Bill Murphy on the Manipulated Gold Drop

I think he meant, despite the feds efforts, they can at best delay the inevitable and not stop it. Which is true.

 

[jackbower]

Proof that gold manipulation was the cause of the last big drop in gold prices recently. These bots can't even hide it anymore. That or they don't even care to try. You can actually tell the dumping started in Chicago ( futures ) and not New York ( GLD ). Amateurs to say the least.

 

[ajoknoblauch]

Absolutely. But people are getting jittery. The US government is getting jittery. And circumstantial evidence suggests it's been rigging the price of gold to stop a stampede out of the dollar.

I wonder why the dollar has been gaining against major and minor currencies. Why do Argentines want dollars? Because the US govt is getting jittery?

 

[ajoknoblauch]

I wasn't asserting the government wasn't involved. I was saying that, in spite of the effort to DELAY the stampede to gold, they will not be able to STOP it, unless THE IMPERIAL PRESIDENT (BHO) declares (by executive order) the ownership of gold a crime (just like FDR did in what now must be viewed as a rather ominous precedent).

Next, of course, Obama is going to expropriate your dental work.