Friday, August 31, 2012

Gold holds steady ahead of Jackson Hole

Black hole of debt
From The Daily Times

Original Source

LONDON: Gold prices edged higher in Europe on Thursday, but were kept in a narrow range by uncertainty over how far the Federal Reserve will satisfy market speculation that it is set to unveil another round of measures to stimulate the US economy.

A speech by Fed chairman Ben Bernanke at a central bankers’ symposium in Jackson Hole, Wyoming, on Friday will provide clues on the chances of the Fed embarking on another asset buying programme, known as quantitative easing. 

Spot gold was up 0.1 percent at $1,657.14 an ounce at 1141 GMT, while US gold futures for December delivery were down $2.90 an ounce at $1,660.10. Inflows into gold exchange-traded funds have risen sharply this month, with holdings of the largest, New York’s SPDR Gold Trust up nearly 38 tonnes so far this month, their largest monthly inflow since November. The precious metal rallied to a 4-1/2 month high on Monday as expectations grew that the Fed was willing to launch more stimulus measures, but it has failed to sustain those gains. Barclays Capital technical analysts said they too were neutral in the medium term. “We would buy gold dips toward $1,640, and stay bullish above $1,620,” it said. “Above $1,700 signals further upside potential toward $1,768/88.” 

Spot silver was up 0.2 percent at $30.73 an ounce. The gold/silver ratio, which measures the number of silver ounces needed to buy an ounce of gold, dropped to its lowest early May at 53.9, as silver made up some lost ground against gold. In a weekly note, precious metals house Heraeus said that made it vulnerable to a correction if Bernanke disappoints.

SGT Report interviews Ranting Andy

Aug 26, 2012 by SGTbull07

Brother JohnF - Silver Update: Banana Republic

Aug 30, 2012 by BrotherJohnF

CrossTalk: New World Disorder

Aug 29, 2012 by RussiaToday

What has changed since the end of the Cold War? Does the world today match what was envisioned decades ago by some prominent Western leaders? Have we reached the 'end of history?' Will borders remain untouched as sectarianism and nationalism take root across the world? Or are we living through a paradigm shift, where the status quo is unlikely to prevail? And how painful will this shift be until a new order is established? CrossTalking with George Szamuely, Alan Kuperman and Ryan Mauro.

Jim Rogers - Gold, China and the commodities super cycle

Jim Rogers discusses gold, silver, government stimulus and the future of commodities with Geoff Candy of Mineweb. Listen to the interview here

Jim Willie - Firestorms & Currency Twisters

The latest report from Jim Willie on possible issues with Morgan Stanley and interest rate swaps. Read the report here or click on the image below.

Something's Gotta Give

SA Platinum miners charged with murder

I can't imagine this is going to improve the situation any. We could be looking at ongoing mining disruptions at this platinum mine and the trouble could spread to other platinum and gold mines.


Original source

(Reuters) - South African prosecutors on Thursday charged 270 striking miners with murder of 34 co-workers seen being shot dead in a hail of police bullets captured in videos broadcast around the world.

Prosecution have filed papers invoking a measure called "common purpose" seldom used since the dying days of apartheid, arguing the miners were complicit in the killings since they were arrested at the scene with weapons.

Legal experts said the move will likely collapse when a court hearing bail applications for the 270 near the mine resumes sessions next week and lambasted prosecutors for inflaming a tense situation by seeking a mass indictment that will eventually be rejected.

"This is bizarre and shocking and represents a flagrant abuse of the criminal justice system in an effort to protect the police and/or politicians," Pierre de Vos, a law expert at the University of Cape Town, wrote in a blog entry.

"The apartheid state often used this provision to secure a criminal conviction against one or more of the leaders of a protest march, or against leaders of struggle organizations like the ANC." Read more

Aug 30, 2012 by AlJazeeraEnglish

Mine strike update:


Original source

The National Union of Mineworkers spokesperson, Lesiba Seshoka, has confirmed reports of a renewed standoff at Lonmin's Eastern Platinum operations - part of the broader Marikana mine.

In a move that is indicative that tensions are still running high, Seshoka said that the union has had reports that a group of approximately 30 people are harassing workers and threatening them that if they return to work they will be killed.

A caller into a local radio station has made the same claims and said that the group was based at one of the hostels at the mine.

Lonmin has confirmed that preliminary attendance figures for Monday are on average 13% across all shafts. "We understand that employees are waiting for the environment to be safe before returning to work. There have been incidents of intimidation towards bus drivers overnight as well as intimidation of Eastern's workers this morning, preventing them from coming to work. Management is appealing to all stakeholders to remain calm," said the miner's press release.

Martin Armstrong - The Economic Confidence Model and the Future

Inflation adds to Spain's woes

Aug 30, 2012 by There is more economic pain for the people of Spain in the form of higher inflation.

Keiser Report: Monopolies, Military, Mayhem

Aug 30, 2012 by

In this episode, Max Keiser and Stacy Herbert discuss panic alarms for the population and medieval screeches about persecution from the corporate welfare class. In the second half of the show, Max Keiser talks to Professor Yaneer Bar-Yam of the New England Complex Systems Institute about the role of speculation and ethanol in rising food prices and the tipping point to revolution that, when it happens, could happen in a matter of days or weeks.

Wednesday, August 29, 2012

Gerald Celente Predicts Rise of a Third Party

Aug 28, 2012 by

Keiser Report: Fat Gorillas vs Middle-Class Monkeys

Aug 29, 2012 by

In this episode, Max Keiser and Stacy Herbert discuss the sound of one monkey-hand clapping as Alan Greenspan finger-painted the markets and grand heists ensued. In the second half of the show, Max Keiser talks to a former senior corporate and banking executive, David Smith, about Switzerland wearing concrete boots as it tries to maintain a currency peg to the euro with its only exit strategy being the Iraq one -- that is, they have no plan at all. They also discuss how HSBC might have missed the 7,000 suitcases of cash that would have been needed to launder $7 billion in drug cartel money.

John Hathaway on QE and Gold

John Hathaway discusses the upcoming Fed's Jackson Hole meeting in reference to more QE and the resultant impacts expected on Gold. Listen to the KWN interview here

Is the Recent Rally in Gold Stocks a Trap?

Aug. 27 (Bloomberg) -- Bloomberg's Pimm Fox reports on the recent rally in gold stocks. He speaks on Bloomberg Television's "Bottom Line."

IBM's Uber-Powerful Watson... In Your Pocket

Jim Rickards - Expect a War Against Iran

TUE 28 AUG 12 | 06:30 PM ET

James Rickards, Senior MD at Tangent Capital expects a war against Iran. but not before the U.S. elections. He says China & Russia are growing, but thinks India & Brazil are facing problems.

Merkel Should Realize Europe Is A Sinking Ship

TUE 28 AUG 12 | 10:05 PM ET

Martin Hennecke, Associate Director, Tyche says German Chancellor Angela Merkel should realize that Europe is a sinking ship and take Germany out of the Euro Zone.

2013 Australian Gold, Silver & Platinum Bullion Coin Program

Aug 26, 2012 by perthmintbullion

The Perth Mint unveils the Australian Lunar, Kangaroo, Kookaburra, Koala and Platypus bullion coin designs for 2013.

1813 NSW silver Holey Dollar sells for $410,000

Image from

An extremely rare, 1813 Australian coin with a hole in it has sold for a record $410,000 at a Melbourne auction.

A private collector bought the Hannibal Head Holey Dollar, which was shaped in New South Wales from a silver dollar minted in Peru in 1810.

The coin was the only privately owned version; the only other is housed in the State Library of New South Wales.

Its highest previous recorded auction price was $270,950 in 2008. The coin's shape came about when Governor Lachlan Macquarie, amid an acute colonial coin shortage, acquired 40,000 Spanish silver dollars. He enlisted the convicted forger William Henshall to cut a hole in the centre of each and stamp the doughnut with ''New South Wales'', the value five shillings and the date 1813.

Read more:

From Wikipedia  (source)

When the colony of New South Wales was founded in Australia in 1788, it ran into the problem of a lack of coinage. Foreign coins – including British, Dutch, Indian and Portuguese - were common in the early years, but much of this coin left the colony by way of trade with visiting merchant ships.[1]

To overcome this shortage of coins, Governor Lachlan Macquarie took the initiative of using £10,000 in Spanish dollars sent by the British government to produce suitable coins in a similar manner to that described above. These coins to the value of 40,000 Spanish dollars came on 26 November 1812 on HMS Samarang from Madras,[2] via the East India Company.[3]

Governor Macquarie had a convicted forger named William Henshall cut the centres out of the coins and counter stamp them.[1] The central plug (known as a dump) was valued at 15pence (i.e., 1s 3d), and was restruck with a new design (a crown on the obverse, the denomination on the reverse), whilst the holey dollar received an overstamp around the hole ("New South Wales 1813" on the obverse, "Five Shillings" on the reverse). This distinguished the coins as belonging to the colony of New South Wales, creating the first official currency produced specifically for circulation in NSW.[3] The combined nominal value in NSW of the holey dollar and the dump was 6s 3p, or 25 percent more than the value of a Spanish dollar; this made it unprofitable to export the coins from the colony.

The project to convert the 40,000 Spanish coins took over a year to complete. Of the 40,000 Spanish dollars imported, 39,910 holey dollars and 39,910 dumps were made, with the balance assumed to have been spoiled during the conversion process.[4] The converted coins went into circulation in 1814.[1]

From 1822 the government began to recall the coins and replace them with sterling coinage.[3] By the time the holey dollar was finally demonetised in 1829, most of the 40,000 coins in circulation had been exchanged for legal tender and melted down into bullion.[1] Experts estimate that only 350 Holey dollars and 1500 dumps remain.[5] The rarity of the Australian holey dollar ensures that even those in relatively poor condition are valuable. There are many stories of holey dollars being found in unusual circumstances.[6]

RNN - On Gold, Silver, Benanke and JP Morgan

Aug 28, 2012 by

In today's Midday News we speculate about what the Federal Reserve Chairman (Ben Bernanke) may reveal during his speech from Jackson Hole. We discuss the rumour that JP Morgan may have a Derivative bet on Silver that is about to go south and we wonder what may be taking place on JP Morgan's Silver trading floor.

Tekoa DaSilva - Gold Finally Breaking Out Of 12+ Month Consolidation?

Aug 28, 2012 by

Bob Murphy on the debt crisis, the Great Depression, and gold

Aug 28, 2012 by

Tuesday, August 28, 2012

The Bad Side of QE

Aug 27, 2012 by KitcoNews

What are the downsides and risks of the Fed's QE3 and further stimulus/ quantitative easing? Vince Lanci of FMX Connect is here to shed light on the matter in this edition of "RESET".

Brother JohnF - Silver Update: Africa Rising

Aug 27, 2012 by BrotherJohnF

CNBC finally admits QE is Counterfeiting

Gold hits all time high in Indian Rupees

From The Times of India

Original source

NEW DELHI: Scaling a new peak, gold prices on Monday touched all time record of Rs 31,400 per 10 grams in the bullion market here on strong cues from global markets.

Traders said gold registered gains for the seventh trading session in a row, rising by Rs 100, on sustained buying by stockists amid rally in overseas market.

The investors were also seen shifting funds from melting equities to firming bullion, they added.

Gold Set for Best Year Since 2010


Original source

Gold is poised to climb the most in two years as prospects for additional economic stimulus by governments from the U.S. to China stoke demand for the precious metal as a bet against inflation, a survey showed.

Bullion for immediate delivery may reach $1,800 an ounce by the year-end, extending gains this year to 15 percent, according to the median forecast in the Bloomberg survey of 15 traders and analysts at a conference in Hyderabad in South India on Aug. 25. That would be the most since a 30 percent surge in 2010, data compiled by Bloomberg show.

Gold is set for a 12th year of gains as the European sovereign-debt crisis boosts haven demand amid speculation of further policy easing by central banks, including the U.S. Federal Reserve, which may be considering a third round of so- called quantitative easing, or QE3. Investment holdings have expanded to a record on demand for a hedge against inflation.

Read more

Monday, August 27, 2012

Eric Sprott on the future of Gold and Silver

A brilliant interview with Canadian billionaire Eric Sprott on what the future may hold for gold and silver prices. Highly recommended listening for all precious metal investors. Listen to the KWN interview here

Double Standards - Timothy Geithner, Guianas & Hague

The oddest current affairs show on the net......

Aug 26, 2012 by This week as ministers from more than 100 countries arrive in Tehran, Afshin takes a look at the global scramble for resources as the old hegemonic powers of Europe and United States die.

Coming up on the show, Russian President Vladimir Putin explains judo to UK Prime Minister David Cameron and the US President Barack Obama targets cows as the next terrorist threat.

We also look at Guyanas off the coast of South America as we speak with John Gimlette, the author of the book "Wild Coast: Travels on South America's Untamed Edge," about China on the Caribbean.

These and much more are all reviewed in this edition of Double Standards with Afshin Rattnasi.

Net Worth Of Congress

Aug 26, 2012 by

Ellis Martin Report with David Morgan: Silver 30 and UP

Aug 26, 2012 by

Brother JohnF - Silver Update: Gold Standard

Aug 24, 2012 by

Sunday, August 26, 2012

Dr David Evans: Global Warming is Manmade?

Dr. David Evans, scientist and CEO of Goldnerds. David will be talking about Gold and mining shares at the upcoming Gold Symposium 22-23 October in Sydney.

Apr 19, 2012 by
According to the best data we have, from our latest instruments and from impeccable sources, all the main predictions of the climate models are now decisively wrong. If the recent global warming was due to CO2 our models would work well, but they don't. So it's not CO2 that is the main cause of the global warming.

Part 2 here

WikiLeaks reveals impending death of fiat currency

* Lanuage Warning *

Note Julian Assange has not been charged with anything.

Aug 23, 2012 by

Keiser Report: Debt Bomb

Aug 25, 2012 by

In this episode, Max Keiser and Stacy Herbert discuss CNBC swooning for Biebanke,' Warren Buffett waving many red flags and tax revenue plummeting in UK after a dose of Georgie Porgie's bubble and fraud pudding. In the second half of the show, Max Keiser talks to Dominic Frisby, resident gold bug at Moneyweek, about debt bombs and the City of London. They also discuss how North Sea oil enabled the big bang and how a property bubble could undo it.

On The Edge with Steve Keen

Aug 25, 2012 by

In this edition of the show Max interviews Steve Keen from It has been five years since global debt crisis began. The debt is now so great that it can no longer be hidden. Max discusses the issue with Steve to see what triggered the current debt crisis, what the response to it was and where we stand now. Steve also comments on the latest global debt crisis and banker's role in the current situation.Steve Keen is a professor in economics and finance at the University of Western Sydney and the author of Debunking Economics.

Chris Waltzek talks to Marc Faber about the markets

Aug 25, 2012 by

Saturday, August 25, 2012

Ron Paul on The Gold Standard

Aug 24, 2012 by

WRC Wrap-Up

Aug 24, 2012 by

Listening Post - Sex, Lies and Wikileaks

Aug 25, 2012 by

Mapping the rise of Gold

George Galloway takes his seat for the 6th time

Posted for my friend Hannah.

David Morgan on the move in Silver

Aug 25, 2012 by

Weekend Chillout - Going Your Own Way

With Gold and Silver going up 5% and 10% respectively this week those who bought during the Northern summer doldrums have definitely been rewarded for going their own way, instead of listening to the paper bugs in the mainstream media.

Ecuador stands by Assange

Aug 24, 2012 by

Brink’s to Open One of Largest Bullion Vaults


Original source
The Brink’s Co. (BCO), which stores and transports bullion, is set to open one of the world’s largest precious metals vaults in the London area within the next month, at a time when investors’ gold holdings are at a record.

The firm plans to open the facility with a major London clearing company and is considering opening another vault next year, Orit Eyal-Fibeesh, managing director for Brink’s in the U.K., said in an e-mail yesterday. The vault will be able to hold a “very substantial” amount of metal, she said, without being more specific.

Investors are buying more gold as a protection of wealth on speculation central banks will do more to bolster growth and amid Europe’s debt crisis. Holdings in bullion-backed exchange- traded products reached a record 2,447.1 metric tons valued at $131 billion yesterday, data compiled by Bloomberg show. Malca- Amit Global Ltd., Deutsche Bank AG and Barclays Plc are among firms planning to open or increase bullion storage facilities.

“There’s demand for vaults,” Thorsten Proettel, an analyst at Landesbank Baden-Wuerttemberg in Stuttgart, Germany, said today by phone. “People are looking for an alternative investment. We will have steady inflows in to precious metals.”

Read more

Friday, August 24, 2012

Gerald Celente discusses Eurozone and Gold

Gerald Celente discusses the looming German court decision on 12Sep on whether Germany bailing out the Eurozone is constitutional and the potential impact on the gold price. Listen the the KWN interview here

Iran nuclear talks update

Aug 24, 2012 by

Iran and the UN's nuclear watchdog are set to resume talks later on Friday - more than two months after the previous round failed. Tehran insists it only wants peaceful energy, but the West remains suspicious of its nuclear ambitions. Hopes aren't high for these negotiations either - while Iranian citizens continue to be hit hardest by US and European sanctions. For more on this we RT talks to James Corbett - journalist and editor of The Corbett Report - an online multi-media news and information source.

101 East - China: Broken Dreams

Aug 24, 2012 by
Many young Chinese are losing faith in China's economic miracle. Even though the country is poised to overtake the US in the next decade as the world's largest, fewer Chinese feel they share the prosperity. 101 East explores the disillusionment.

Loving Three Nines Silver

Just noticed that PAMP 1kg 999 silver bullion at ABC Bullion just hit AU$999, very nice, especially considering the same bar was selling for less than $920 earlier in the week.

Gold and Silver Markets Thin and Exaggerated

Aug 23, 2012 by

Keiser Report: Liquidity Drought

Aug 23, 2012 by

In this episode, Max Keiser and Stacy Herbert discuss the fact that we're all cows eating candy during the global liquidity drought and yet Central Bank 'farmers' can't see the ill-effects because the stock markets are at four year highs. In the second half of the show, Max Keiser talks to Dmitry Orlov about 2013: revolutionary travel advisories, economic and supply chain collapse and food stamp lines at Walmart.

Thursday, August 23, 2012

Silver price breaks above $30 and now heading to $50-60?

By Peter Cooper from

Silver is always the most volatile of metals in terms of price. Today the silver price has broken through $30 an ounce and that is a significant move in the technical charts.

Earlier in August chartist Herbert Moolman highlighted a pennant pattern in the silver price chart that could have meant either a rise or a fall in the price, see below:

What we have now is the price breakout that confirms the next move in the silver price is going to be up, and given the established high volatility of the silver price it should be a big one. It could well be a new all-time high above $50 and towards the $60 by the end of September target set in the Old Dubai Gold Souk at the start of the year.

Correction over
The long sideways consolidation from the 50 per cent correction from almost $50 in April 2011 seems to be over and silver is resuming its upward march towards regaining the price it last held 32 years ago.

People talk about the S&P 500 index as looking cheap at 13-14 these days but that is nothing by comparison to a commodity that still trades for less than it did three decades ago. Silver is also still cheap in comparison to gold against which it is always benchmarked and gold prices are rising strongly too.

You won’t get many gifts as an investor this autumn but silver is probably going to be one of them.

FOMC minutes bullish for silver?

Aug 22, 2012 by

"The minutes of the last FOMC meeting showed members believe that further quantitative easing of monetary policy will be required if the U.S. economy does not show improvement soon."

Gold and silver the best bet for commodities says Pru Saxena

Marc Faber's forecasts for the global economy

Aug 22, 2012 by
Marc Faber discusses what opportunities are likely to emerge for institutional investors if sovereign debt continues. Furthermore, he assesses the possible impact of social and political unrest in North Africa and the Middle East, and how hedge funds can invest in emerging markets.

Jim Rogers: How to 'Protect Yourself' From 'Debased' Currencies

Wed 22 Aug 12 | 12:00 AM ET

In this excerpt from CNBC Asia's "Squawk Box," investor Jim Rogers says another currency crisis is coming and tells investors how to "protect" themselves from it. Video link

SGT Report interviews Alasdair Macleod on Gold and Silver

Aug 22, 2012 by

Russian Foreign Ministry: it is time London recognized Assange’s right to political asylum


The Russian Foreign Ministry is puzzled by the decision of the British Foreign Ministry to deny WikiLeaks founder Julian Assange his right to political asylum – especially considering that London previously turned down Moscow’s requests for extradition of some high-profile figures.

On Aug. 16, Ecuadorean Foreign Minister Ricardo Patino said that his country would grant Assange political asylum. The British authorities claim that, despite this decision, they have plans to arrest Assange and extradite him to Sweden. Assange has been living in the Ecuadorean embassy in London since June.

“It is known that dozens of suspects of grave crimes have found refuge and feel safe in the UK, despite demands for extradition, including from Russia. What about Assange’s right to asylum, considering that London absolutizes this right when it comes to anyone else in this category?” said Foreign Ministry spokeswoman Maria Zakharova in a statement.

Specifically, Moscow is seeking extradition of businessman Boris Berezovsky, who moved to the UK in 2000. In 2003, a British court refused to extradite him at the demand of the Russian General Prosecutor’s Office. Instead, Berezovsky was granted refugee status in the UK. Meanwhile, back in Russia, Berezovsky was twice tried in absentia and found guilty of fraud, embezzlement and laundering corporate money from AvtoVAZ, LogoVAZ and Aeroflot. At the end of these trials, he was sentenced to 13 years and six years in prison. Russian Prosecutor General Yury Chaika has previously said that Russia would continue its efforts to seek Berezovsky’s extradition.

Read more

The World's Most Expensive Cupcake

Go Long Chocolate?

Ivory Coast (Côte d'Ivoire) leads the world in production and export of the cocoa beans used in the manufacture of chocolate,[1] as of 2009, supplying 30% of cocoa produced in the world. West Africa collectively supplies two thirds of the world's cocoa crop, with Ivory Coast leading production at 1.22 million tonnes, and nearby Ghana, Nigeria, Cameroon and Togo producing additional 1.41 million tonnes.[2][3][4]

Aug 22, 2012 by
What is behind renewed instability in Ivory Coast, and is the nation slipping back into civil war?

Guns & Butter

"Countdown To Currency Collapse" with Max Keiser. 

Guns and Butter - August 22, 2012 at 1:00pm

Click to listen (or download)

BHP Billiton delays Olympic Dam Expansion and takes 2.1M oz of future Silver and 700K oz of Gold off the market EVERY YEAR

Olympic Dam Update

BHP Billiton Press Release

22 August 2012

BHP Billiton announced today that it will investigate an alternative, less capital-intensive design of the Olympic Dam open-pit expansion, involving new technologies, to substantially improve the economics of the project. As a result it will not be ready to approve an expansion of Olympic Dam before the Indenture agreement deadline of 15 December 2012. The Company will discuss the implications of this decision for the Indenture agreement with the South Australian Government in the coming months.

BHP Billiton CEO, Marius Kloppers, said current market conditions, including subdued commodity prices and higher capital costs, had led to the decision:

“As we finalised all the details of the project in the context of current market conditions, our strategy and capital management priorities, it became clear that the right decision for the Company and its shareholders was to continue studies to develop a less capital intensive option to replace the underground mine at Olympic Dam.

“As with any capital commitment, all investment options are scrutinised as they move through our approvals process and our highest returning projects are prioritised. Value is always our primary consideration. We believe today’s decision reflects an appropriate, prudent and disciplined course of action.

"However, the long term outlook for the copper market remains strong and we will continue to work closely with all stakeholders as we refine our longer term development plans for this unique, world class ore body. We want to find the right solution to unlock this resource,” he said.

BHP Billiton Chief Executive Non-Ferrous, Andrew Mackenzie, said the South Australian Government’s support for the project should be commended:

“The South Australian Government has been fully supportive of Olympic Dam and has created an environment that is highly conducive to business investment. We have been very much encouraged by their attitude to business development and the Olympic Dam expansion project.

“Olympic Dam is a resource of enormous potential and we will continue to work on technological and design alternatives that have the potential to substantially improve the economics of the expansion, while also completing some early stage site works.”

As a result of this change, the Company will recognise impairment and other charges of US$346 million before tax (US$242 million after tax) in respect of the Olympic Dam Project in the 2012 financial year.

-------------------- / -------------------

The following was sourced from the Olympic Dam Expansion EIS available here

Olympic Dam hydrometallurgical plant

FOMC minutes from August meeting released

Press Release


Information received since the Federal Open Market Committee met in June suggests that economic activity decelerated somewhat over the first half of this year. Growth in employment has been slow in recent months, and the unemployment rate remains elevated. Business fixed investment has continued to advance. Household spending has been rising at a somewhat slower pace than earlier in the year. Despite some further signs of improvement, the housing sector remains depressed. Inflation has declined since earlier this year, mainly reflecting lower prices of crude oil and gasoline, and longer-term inflation expectations have remained stable.

Consistent with its statutory mandate, the Committee seeks to foster maximum employment and price stability. The Committee expects economic growth to remain moderate over coming quarters and then to pick up very gradually. Consequently, the Committee anticipates that the unemployment rate will decline only slowly toward levels that it judges to be consistent with its dual mandate. Furthermore, strains in global financial markets continue to pose significant downside risks to the economic outlook. The Committee anticipates that inflation over the medium term will run at or below the rate that it judges most consistent with its dual mandate.

To support a stronger economic recovery and to help ensure that inflation, over time, is at the rate most consistent with its dual mandate, the Committee expects to maintain a highly accommodative stance for monetary policy. In particular, the Committee decided today 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 late 2014.

The Committee also decided to continue through the end of the year its program to extend the average maturity of its holdings of securities as announced in June, and it is maintaining its existing policy of reinvesting principal payments from its holdings of agency debt and agency mortgage-backed securities in agency mortgage-backed securities. The Committee will closely monitor incoming information on economic and financial developments and will provide additional accommodation as needed to promote a stronger economic recovery and sustained improvement in labor market conditions in a context of price stability.

 For more details go here

Voting for the FOMC monetary policy action were: Ben S. Bernanke, Chairman; William C. Dudley, Vice Chairman; Elizabeth A. Duke; Dennis P. Lockhart; Sandra Pianalto; Jerome H. Powell; Sarah Bloom Raskin; Jeremy C. Stein; Daniel K. Tarullo; John C. Williams; and Janet L. Yellen. Voting against the action was Jeffrey M. Lacker, who preferred to omit the description of the time period over which economic conditions are likely to warrant an exceptionally low level of the federal funds rate.

Italy's Mario Monti optimistic on economic crisis

Aug 22, 2012 by

While the economic crisis keeps hurting the Italians badly the Prime Minister Mario Monti has recently stated that a year ago the economic crisis was worse than it is today and the time is close when the crisis will come to an end.

Greece: more time, more cuts?

Aug 22, 2012 by

Greece's Prime Minister Antonis Samaras is on a charm offensive meeting eurozone leaders to try to persuade them that all his country needs is more time to get its economy sorted out - and slash its deficit.

South African mining unrest spreads

Aug 22, 2012 by

Strikers from two other mines have joined thousands protesting at the Lonmin mine where 34 strikers were killed by police.

and the Platinum price continues to rise


Syria update

Aug 22, 2012 by

The conflict in Syria has long stopped ending up at its borders. The drawn-out fighting has seen a mass exodus of Syrians into neighbouring states. Also, clashes of pro- and anti-Assad supporters in Lebanon, have left seven killed and dozens injured.

Wednesday, August 22, 2012

Silver and Gold move higher

Silver is knocking on $30 and Gold heading towards $1650, both multi-month highs. It seems the market is expecting QE friendly comments in the FOMC minutes released Wednesday (US time).

charts from

Marc Faber on QE and the share market

Keiser Report with Ned Naylor-Leyland

In this episode, Max Keiser and Stacy Herbert discuss new developments in the shakedown of the Standard Chartered Bank – the City is firing while the Street is hiring. Max and Stacy look at some of the city’s help wanted ads, and examine the unusually small head of JP Morgan’s chief executive. In the second half of the show, Max Keiser talks to Ned Naylor-Leyland of Cheviot Asset Management about unallocated versus allocated gold and silver bullion, and how permanent backwardation could be an omen of a total meltdown in the precious metals market.

Look at Outside Markets for Gold Clues

Aug 21, 2012 by

Gold prices are up, reaching 2.5 month highs amidst bullish "outside markets", and silver is up as well, experiencing an upside technical breakout early in the week, also on the back of bullish "outside markets". So what more can be gleaned from these outside markets which seem to be having such a drastic effect on metals prices?

Tuesday, August 21, 2012

Greece in diplomatic talks amid Euro exit fears

Aug 21, 2012 by

As European leaders slowly return from their summer break, Greece is at the center of the European stage yet again. Athens is expected this week to ask for two extra years to meet its deficit targets. The idea however hasn't gone down well amongst international creditors, who are due to release a 30 bn euro loan as early as next month in order to save Greece from defaulting.

Is It Time for Obama to Go?

Video link in case the embedded video fails

Gold Could Hit $1,700 in the Next 3 Months

MON 20 AUG 12 | 07:50 PM ET

Gary Dugan, CIO, Asia & Middle East at Coutts says gold prices could comfortably hit $1,900-2,000/oz if there's an absolute collapse in Europe. He recommends investors to have a 5-7% strategic holding in gold.  Video link in case embedded video fails

Did Establishment Media Reveal an End of The Obama Era?

Aug 20, 2012 by TheAlexJonesChannel

On the Monday, August 20 session of Infowars Live, Alex Jones blasts through important news items, including information uncovered by an FOIA request revealing the Department of Homeland Security's watchful eye is fixed squarely on Alex, Infowars stories and even user comments, news that an eyewitness from the Century 16 theater in Aurora heard an alarm that fateful night warning "murder in the theater," the FBI's Counterterrorism Analysis Section report specifically labeling constitutionalists as terrorists, and news that Lord Jacob Rothschild has essentially placed a $200 million dollar bet that the Euro will soon collapse. Alex will further break down the imminent economic collapse and give tips on how to prepare for it.

Egon von Greyerz on the Gold market, China and Euro Zone

Egon von Greyerz will be one of the headline speakers at The Gold Symposium in Sydney 22 - 23 October 2012. Egon discusses the current state of the gold market, China's accelerated gold buying and the issues in the Euro zone with Eric King of King World News. Listen to the interview here

Bookings and details for The Gold Symposium are available here

Shhhh…It’s Even Worse Than The Great Depression

By Mark McHugh from Across the Street

According to Wikipedia, Narcissistic personality disorder (NPD) affects one percent of the population and has little to do with looking at yourself in the mirror. It has a lot to do with unrealistic fantasies of success, power and intelligence. Some NPD sufferers become cult leaders or mass murderers, the rest become economists and policy-makers. Despite having a highly elevated sense of self-worth, narcissists have fragile self-esteem and handle criticism unpredictably, so let’s keep this to ourselves….

Velocity of money is the frequency with which a unit of money is spent on new goods and services. It is a far better indicator of economic activity than GDP, consumer prices, the stock market, or sales of men’s underwear (which Greenspan was fond of ogling). In a healthy economy, the same dollar is collected as payment and subsequently spent many times over. In a depression, the velocity of money goes catatonic. Velocity of money is calculated by simply dividing GDP by a given money supply. This VoM chart using monetary base should end any discussion of what ”this” is and whether or not anybody should be using the word “recovery” with a straight face:

Keep Calm and Carry On

In the current uncertain times this advice is just as timely now as it was in the 1940's.

Aug 20, 2012 by AlJazeeraEnglish

Peter Hug on the Gold and Silver market

Aug 20, 2012 by KitcoNews

Silver closes above $28 on a whiff of QE3

The silver price closed on the New York COMEX overnight at $28.59 but on thin summer volume. No market events that I could see to trigger this rise but the minutes of the last FOMC meeting are due out this Wednesday (US time) and this may have caused some to speculate on The Fed posturing towards a QE3 announcement prior to the November Presidential elections.

For those that who aren't sure what QE3 entails, John Clack and Brian Dawe break it down well in this video:

SA Platinum mine extends strikers' deadline

Aug 20, 2012 by AlJazeeraEnglish

Striking workers at the South Africa platinum mine where 44 people were killed in a week of violence have been given another 24 hours to return to work, while 259 arrested strikers have appeared in court for the first time.

War Crimes in Syria with George Galloway

Aug 20, 2012 by

Libya update

Aug 20, 2012 by

Monday, August 20, 2012

RBA has FOI PF Key

Gold scales in the Reserve Bank of Australia Museum
My latest attempt to find out the general location of Reserve Bank of Australia's gold reserves (aka Our Gold). As usual I was meet by the PF Key.

Subject: FOI request for details of storage location of RBA's Gold Reserves

I would like to submit a FOI request as follows:

"Are the RBA's Gold reserves held in Australia or offshore? If offshore in what location(s) is the Gold held?"  


Thank you for your email.

The Bank does not publish the location of its gold reserves.


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