Globally Coordinated Nothing

Thursday morning, and before I start, here are links to two appearances I made yesterday, the first a 70-minute Webinar, sponsored by The Entrust Group, describing my view of the Precious Metals sector, and the second, my 20-minute weekly podcast with Kerry Lutz of the Financial Survival Network.  The RANTING ANDY message is catching on, so you will have multitudes of opportunity to hear me speak in the coming months!

Andy Hoffman Webinar with the Entrust Group – Video

Interview with Kerry Lutz and Andy Hoffman – 12/13/11

Back to reality, I have LOTS to say, as the ongoing “clusterf#@k to the poorhouse” continues, intensifying each hour of each day.  TPTB use every manipulative “band-aid” in their playbook to BUY TIME so they can take care of their ownfinances before the final, historic collapse of the economic world we have known forgenerations. 

Over short, microcosmic periods, social, political, or economic paradigms mayappear eternal, but in the macrocosmic perspective, concepts as ephemeral as the “dollar-based currency standard,” or better yet the Gold Cartel, are laughed at by the immortals. 

650 Million Years in 1 Min. and 20 Sec.

Let’s start with yesterday’s farcical action, first in the gold market, where the price has now been taken down $170 in just FOUR DAYS, since being swatted under $1,750 following the ECB rate cut Thursday morning, coincident with the now infamous headline “MARKET SOURCES REPORT BIS, BOE & FEDERAL RESERVE WERE SELLING GOLD AFTER IT POPPED TO SESSION HIGH.”  Particularly in light of my analysis of this headline, is there still anyone that DOES NOT believe something nefarious is ongoing?

All one needs to do is follow the DOW’s performance compared to PAPER GOLD and SILVER since last week’s worthless ECB meeting and EU summit – you know, the meetings universally considered to be ABJECT FAILURES in every sense of the manner.

Yet another week of WATERFALL DECLINES in gold and silver, including today’s PAPER-led catastrophe, while the Dow barely budges and the global economy collapses.  As always, all one needs to do is look at the chart to realize the PM declines have NOTHING to do with legitimate selling, as I highlighted in yesterday’s RANT, “FM – NO SELLING AT ALL.”  First, Monday’s trading, replete with sharp declines, on queue, at EXACTLY 3:00 AM EST, EXACTLY the COMEX opening at 8:20 AM EST, and EXACTLY 12:00 PM EST, the perfect Cartel trifecta.

Next, yesterday’s trading, an EVEN MORE blatant display of manipulative PAPER selling.  Notice the drop at EXACTLY 3:00 AM EST, just as the price looked to take off, the massive CAP AND ATTACK at EXACTLY 10:00 AM EST, yet another CAP AND ATTACK at EXACLY 12:00 PM EST, and of course the massive WATERFALL DECLINE when the Federal Reserve said EXACTLY what it said last time, i.e.:

The Committee decided to keep the target range for the federal funds rate at 0 to 1/4 percent and currently anticipates that economic conditions — including low rates of resource utilization and a subdued outlook for inflation over the medium run — are likely to warrant exceptionally low levels for the federal funds rate at least through mid-2013. The Committee…is prepared to employ its tools to promote a stronger economic recovery in a context of price stability.

We are watching nothing more than a MASSIVE attack on “the messengers,” gold and silver, as the Western Central banks prepare, once and for all, to unleash, in OVERT fashion, “nuclear bazookas” on the world – equally MASSIVE doses of hyperinflationary monetary policy with one aim, and one aim only – inflating paper asset prices long enough to sell their remaining positions to suckers – er, investors – before the final collapse IMMINENTLY occurs.

And by the way, remember the report that Iran had closed the Straits of Hormuz for military exercises?  Quite a coincidence that it was refuted at EXACTLY 10:00 AM EST, on queue for yet another orchestrated Cartel attack.  More amazing yet, oil closed UP $2.00 yesterday, clearly not as “upset” at the headline as gold and silver!

Update: It’s Not On Just Yet: Iran Denies Earlier Reports:… Iran Closes Straits Of Hormuz, Oil Explodes

Next look at the Dow, which was first propped at EXACTLY 12,000 for a full hour before it finally succumbed to selling pressure, rebounding on yet another HAIL MARY rally by the PPT, this time for 50 points in the day’s final 15 minutes. 

This morning is no different, with European stock markets down 1.5%-2.0%, gold and silver plummeting in further WATERFALL fashion at the COMEX open at EXACTLY 8:20 AM (after being unchanged all night), and the Dow is down just 15 points, as the PPT desperately tries to push it back to the KEY ROUND NUMBER of 12,000 it has been supporting all Fall.

But alas, sometimes things can be pushed TOO FAR by PAPER selling, as – ALERT, ALERT – gold has now been knocked 3% below its 200 DMA of $1,615/oz, an incredible Cartel achievement given fundamentals suggesting a parabolic up move, but far from surprising, as this is the Cartel’s M.O. – hitting gold HARDEST at the times it begs to rocket HIGHER.  Not to mention, for those focused on the SHORT-TERM “bullish wedge” pattern; yet again, RANTING ANDY’s mantra that short-term charts are meaningless in a rigged market proved correct.  Short-term chart patterns are what the Cartel targets, in its goal to confuse traders and demoralize the public, which the mainstream media is all too eager to aid.

The gold bugs are throwing in the towel

That said, LONG-TERM charts are extremely valuable in PM market analysis, as constant Cartel capping creates MONSTROUS resistance formations that, wheninevitably broken, become MONSTROUS, essentially UNBREAKABLE support. 

The ONLY time in the entire 12-year bull market that gold fell significantly below its 200 DMA was at the bottom of GLOBAL MELTDOWN I, another Cartel-induced attack that took gold 15% below, a phenomenon that lasted a total of two monthsand NEVER yielded an RSI reading as low as today’s.  Aside from late 2008, the ONLY time gold’s discount to its 200 DMA exceeded 5% was mid-1999, amidst the “Brown Bottom” when the U.K. OVERTLY sold 400 tonnes at the historic low – and EVEN THEN, the discount to the 200 DMA never exceeded 9%! 

Heck, the last time gold traded at a discount to its 200 DMA of more than 9% was in 1990, amidst a vicious bear market, to the week Miles Franklin commenced operations; and EVEN THEN, the largest discount to NAV was just 12%, lasting for just ONE WEEK!

Adding an explanation point to the analysis, the last time gold traded at a 15% discount to its 200 DMA was 1982, at the beginning of a 17-year bear market, 29 years ago!

This is NOT 2008, as the market is NOT cratering due to a “liquidity crisis” (despite what the media writes).  It is collapsing because sovereign nations the world round, starting with Europe, are on the verge of economic incineration, the EXACT same issues that drove gold to record highs in February 2009 (when the Dow hit its GLOBAL MELTDOWN I low) and August 2011, when GLOBAL MELTDOWN II commenced. 

Turk – Lehman II in Progress as Financial System Implodes

Cartel efforts to “shoot the messenger” have reached epic levels that in today’s market are painful, but tomorrow won’t even be remembered if you own PHYSICAL metal, NOT PAPER products such as ETFs and mining shares.  Led by surging PHYSICAL demand WORLDWIDE, Gold will shortly steady itself and SURGE higher, taking silver with it, as it has for the past 5,000 years.

Wow! China Gold Imports Spike 4,000% y-o-y

And speaking of gargantuan support efforts, keep your eyes focused on Bank of America, currently the MOST IMPORTANT STOCK ON EARTH.  America’s largest bank hit $5.03 on the afternoon of November 29^th, and was downgraded after the market close by Standard & Poor’s.  BAC would have opened below the key level of $5.00/share on November 30^th, making it non-marginable and causing a SURGE in mandatory selling that could have commenced the final stage of its inevitablecollapse.  At the time, I predicted something would be done to “save” the stock, and lo and behold the next morning the Fed announced its universal swap credit line. 

All that gargantuan MONEY PRINTING operation accomplished was a brief, week-long jaunt to the high $5s, and now we are back to $5.25, where watching the screen one can see the BLATANT support of this dying stock.  Truly, per the Zero Hedge article below, the “half-life” of this gargantuan MONEY PRINTING initiative was just two weeks, as the market refuses to accept new liquidity as a cure.  DEBT SATURATION is here, as is MANIPULATION SATURATION for the Western banking system.  I have been writing of the ‘half-life’ of new PTB initiatives for some time now, per these concepts, and now that period is dwindling to ZERO, i.e. the END GAME.

The time is NOW for the hard decisions to be made – about Greece, the Euro, and even – god forbid, the United States.  No longer will the can be kicked down the road, as the end of the road is nigh.  Either break up the Euro, or support it with the greatest, OVERT QE operation of ALL-TIME, and ditto with the United States zombie banks.  2012 is the year it WIL come to a head, and thus the time to PROTECT YOURSELF is rapidly dwindling.

RIP Fed Dollar Swap Intervention: Central Bank Liquidity Injection Half Life Two Weeks

And speaking of Zero Hedge, I used the title of one of their articles as the topic of today’s RANT, “GLOBALLY COORDINATED NOTHING,” given how it sums up EXACTLY my views on this Falls contrived PTB machinations to raise the sinking ship.  All we have seen since controlled chaos broke out in August is a series of political and financial maneuvers aimed at buying time, and nothing more.  That time has now been bought – and spent – and the capital to buy more has been thoroughly exhausted.

Globally Coordinated Nothing

Yes, Europe is truly dead, and this article about sovereign yields surging anew tells the story…

Euro Drops Under 1.3000 Following Record High Yield On Italian 5 Year Auction

…as does this story about Greece, the reluctant epicenter of the coming 15.0 financial earthquake…

Greek Bank Run Hits Record: Unprecedented €6.8 Billion In Deposits Pulled From Greek Banks In October

…which will send violent tremors across ALL of Europe’s sovereign nations…

Fitch Revises Down Several East European Outlooks on Crisis

…and corporate sectors…

S&P Warns Of Increased Corporate Bond Downgrade Risk Following Sovereign Action

…which will NOT be bailed out by Germany, which itself has a debt burden as large as Italy and an angry populace intent of exiting the failed Euro…

EUR Tumbles To Lows On Report Merkel Rejects Raising Upper Limit On ESM Bailout Mechanism

…and certainly not by OPEC, which could care less about European economies.  OPEC, a “friendly Cartel” that supports prices, cares only about the REAL VALUE it receives for its oil, which right now is being diluted by massive MONEY PRINTING operations in Europe, the U.S., China, and Japan…

OPEC agrees 30 million bpd oil deal: Venezuela

As for the U.S., it is uncanny how, as rapidly as the economy is collapsing, the top stories each day center on CORRUPTION, the pervasive government and business standard that has permeated our entire society.

First, Jon Corzine apparently lying under oath at yesterday’s MF Global hearings, thickening the plot of the bankruptcy that “shocked the world,” and more importantly destroyed the U.S. futures markets.  The reason it’s been so easy for the Cartel to attack PAPER gold and silver this week, for example, is the COLLAPSING open interest in the dying paper markets. 

Watch the physical markets closely, as we are about to see a MASSIVE disconnect between PAPER and PHYSICAL prices, just as we saw in October 2008, April 2011, and September 2011.

Hmmm, look at the narrowing gap between PHYSICAL CRISIS periods, per the tables I published all year long as Cartel MANIPULATION SATURATION set in.  A new plateau of attack has been established this Fall, with the onset of “OPERATION PM ANNIHILATION” just minutes after the Labor Day weekend; however, this plateau will also reach MANIPULATION SATURATION in the coming months, at which point there may be no futures market left to attack…

CME Executive Chairman Terry Duffy Throws Jon Corzine Under The Bus, Implies The “Honorable” Governor Lied Under Oath

…which happens to coincide with the planned expansion of the Pan Asian Gold Exchange (PAGE), a Chinese futures exchange in which PHYSICAL gold must back all contracts!

Pan Asian Gold Exchange (PAGE)

Smack in the middle of the MF Global scandal is, of course, JP Morgan, rapidly approaching Goldman Sachs in its quest for the title of most evil corporation of all time.  There simply aren’t words, even for RANTING ANDY, to describe the pure HATRED I have for these two companies, which have commandeered American and European governments and caused countless TRILLIONS of losses to the population at large.

JP Morgan Stock Breaks Down On News Company’s Role As Lender To Be Probed

Heck, even amidst the MF Global investigation, JP Morgan is carrying out illegal, OVERT acts that would make Al Capone blush… 

Who Gave Permission To A Bankrupt MF Global To Sell Italian Bonds To JPM At A 5% Discount To Market Value?

Never in WORLD HISTORY have corporations damaged the world as much as Goldman Sachs and JP Morgan, except of course in AMERICA, when said J.P. Morgan was one of a handful of “elites” behind the government-backed credit surge that created the GREAT DEPRESSION of the 1930s, per this quote from “The Rise of American Fascism,” by R.G. Price.

J.P. Morgan was arguably the most powerful man in the country during the height of his career, with far more influence than even the President of the United States. A small handful of men controlled virtually all of the financial capital in the country to the degree that people realized that in many ways the government was not in charge of the country, this small group of private citizens were. These individuals had no oversight or democratic responsibilities – they were beholden, basically, to no one.

And the only damn stock up today on my screen, despite the market collapsing and the aforementioned scandal – JP Morgan!

The Rise of American Fascism

Before I end today’s RANT, and move on to answering the legion of questions from worried PM investors, I want to note that, yet again, the American government admitted an ongoing fraud on the public, in today’s announcement that the pastfour years of existing home sales data has been massively overstated.  Check the chart out in the below article, as the FRAUDULENT home sales numbers were bad enough as it is!

Existing Home Sales Debacle, As Larry ‘Baghdad-Bob’ Yun Confirms Overstatement

When it comes to the U.S. government, EVERYTHING they say is a LIE, and I mean everything, particularly about housing…and…inflation…

…and employment…

…and war…

Iraq and weapons of mass destruction

…and progress…

AFP: Bernanke sees ‘green shoots’ of US recovery

…and even printing money…

…despite this!

And my final point relates to Ron Paul, who each day is gaining on the nincompoops and morons the Republicans have placed in his path.  There is not a chance in the world ANY man can save America from its third-world fate, but on the way there it would greatly help if a man of dignity, competence, and respectability is President.  The ONLY way he has a chance to win is if the financial system COLLAPSES before the elections, which is EXACTLY what I anticipate.

Even at 77 years old, Ron Paul is America’s ONLY hope of not tearing itself apart with military law, social unrest, and totalitarian government.  It is still likely to happen, but I can only hope and pray that its future leaders are thoughtful, well-intentioned patriots, not megalomaniac lawyers, bankers, and otherwise sociopathic nabobs focused entirely on POWER and WEALTH.

As Disenchantment With Idiocy Surges, Ron Paul Support Soars

I am an atheist, yet pray with all my heart for 2012 America!  And only PHYSICAL gold and silver, FOOD, ENERGY, and OTHER LIFE NECESSITIES can answer my prayers.

PROTECT YOURSELF, and do it NOW!