Gold Daily and Silver Weekly Charts - Whatever We Say It Is

"Obstinate ignorance is usually a manifestation of underlying political motives."

Michael Kalecki, Political Aspects of Full Employment

"The gap between what we know and what we should do about it is getting bigger and bigger."

C. K. Michaelson

"Men, it has been well said, think in herds; it will be seen that they go mad in herds, while they only recover their senses slowly, and one by one."

Charles Mackay

 

The recent gold and silver smack down, which was artificial and predatory selling by any measure, was also the occasion of the largest volume ever on the GDX Gold Miners Index on the NYSE.  And through continuing abuse of the financial system, more and more productive assets fall into fewer and fewer hands.  We can see this growing inequality in our society now as a corrosive influence on the republic.

 

It will be interesting to see how this extreme modern relativism, the belief that power and might define all that is of value and right, will continue to unfold against the hard realities of other points of view, and the unyielding laws of nature, and dare I say, the moral arc of justice.

 

It is a kind of madness, and it affects to move people towards a spiral of self-destruction.   If we see that small lies work for others, then we must lie as well, but excuse it as something else, some exceptional necessity.   

 

And over time when many are lying and deceiving and distorting, then the falsehoods become greater and even greater, until a complete divergence from reality occurs.   And because of this divergence no objections or dissension from the accepted narrative can be tolerated.   

 

We will write the narrative, and we will control the source and distribution of money, because money is power.  We cannot create the vitality of organic growth, but we can deeply influence the distribution of ownership and resources.   We can be like gods, the looters and arbiters of the world.

 

And so we see the rise of the absolutist salesmen of relativism. There can be no exterior standard and no tolerance of any other belief.  Our control over the official story must become absolute, because it has become so disconnected from the reality, unable to withstand any objective examination, so fragile.

 

And then comes the deluge. 

 

Some intelligent and sensitive souls see what is happening and are appalled. 

 

Things still make sense.  You are not alone.  All of this has happened before.

 

Have a pleasant evening.

 

 

 

 

SP 500 and NDX Futures Daily Charts - Enter the Reivers

"The more I look at it, the less benign this bailout deal appears. Indeed it looks to me as if it was set up to do considerable damage to the Greek economy. Once this becomes apparent, Greeks are surely likely to change their minds about staying in the Euro. And I'm afraid I think this is the point. One way or another, Greece is on its way out of the Eurozone."

Frances Coppola, Great Greek Bank Drama: The Heist

 

After the bell Microsoft and Yahoo showed weak results and Apple was an outright miss.

The stock cheerleaders were nervously trying to find something nice to say about AAPL   All of these were getting lightly spanked after the bell.  These are our new gods of the market!

Let's see how long the illusion can be sustained.

This is not the kind of situation that lends itself to reform. Or recovery.

Have a pleasant evening.

 

 

 

Gold Daily and Silver Weekly Charts - Epitaph to a Tyrant

"Perfection, of a kind, was what he was after,

And the poetry he invented was easy to understand;

He knew human folly like the back of his hand,

And was greatly interested in armies and fleets;

When he laughed, respectable senators burst with laughter,

And when he cried, the little children died in the streets."

W. H. Auden, Epitaph To a Tyrant

The hit on the metals last night was obvious and heavy handed.

There were some additional antics during the day.

Silver was more robust against this, most likely because it is in an active month at The Bucket Shop.

I think the stock market has reached at least a short term apogee, and risk is grossly mispriced.

 

This is how it goes sometimes.

 

The commentary about the precious metals this afternoon on Bloomberg TV was laughable for the most part.

 

Have a pleasant evening.