SP 500 and NDX Futures Daily Charts - Madness

"What Wall Street and credit card companies are doing is really not much different from what gangsters and loan sharks do who make predatory loans. While the bankers wear three-piece suits and don't break the knee caps of those who can't pay back, they still are destroying people's lives."

Bernie Sanders

The ECB brought out a 'bigger than expected' asset purchase program this morning, as least compared to the leaks which they put out into the market earlier this week.

Stocks rallied on the news. This is pure financial asset inflation, and it will not end well.

The ECB will be 'proportionate' in the asset purchases, meaning France and Germany get the lion's share, and the Banks and financial firms will have their hands out at the very back of the truck, which has been backed up to their loading docks.

This is more 'trickle down' stimulus. It will not trigger broad inflation, because the money being created is wrapped nicely in packages and sent to the wealthiest in the form of the mispricing of risk on financial assets paper.

Have a pleasant evening.

NAV Premiums of Certain Precious Metal Trusts and Funds

 

The gold/silver ratio has come back down a bit from the stratosphere, but it is still historically a bit high.

The premiums/discounts have certainly picked up a bit, from the very depressed levels of last year.

The cash level in the Sprott Silver Trust continues to fall, indicating a secondary offering ought to be in the works.

 

 

Gold Daily and Silver Weekly Charts - Early Days

After a morning smackdown gold was able to hold its level just below 1300, with silver showing a little more resilience.

Tomorrow we should hear the official word from the ECB, after the 'leak' today of over a trillion in QE per year.

The central banks of the West are 'plowing the oceans.'

The Bank of Canada gave us a surprise rate cut, justified by the shocking slump in oil revenues.

This interview with Jim Rickards is worth a look.

Next week we will see an option expiration on the Comex which *could* be a test for this rally.

For this precious metals rally, it is still early days.

Have a pleasant evening.

 

 

Carl Perkins, Johnny Cash, Elvis Presley, Buddy Holly