Yesterday, I covered some of the big picture of the economy and where I think it’s going. Today, I will cover another lens on that, specifically surrounding precious metals. But first some new updates:
California is in state-wide shut down. I’m figuring out if my business can remain open. https://covid19.ca.gov/img/N-33-20.pdf
The USA has passed the H.R.6201 – Families First Coronavirus Response Act. I plan to read through all that and will report on my findings later. If you’re interested, here’s the full thing: https://www.congress.gov/bill/116th-congress/house-bill/6201
Also want to share one reply from yesterday regarding the bank run possibility. James sent this, “I live in East Kentucky, I was told that First National had to call the Fed Twice today for cash. I believe your correct.”
A business owner and CPA I know told me in Michigan, cash withdrawals are being limited to $500 per day.
This is tough work to know what to cover and what order. There is so much going on! Today is more on economics to show you one lens of how money is rigged far more than most people realize. From here I’ll be bouncing around to some other topics.
Banks control just about everything economic. This includes the banks behind The Federal Reserve, the IMF (International Monetary Fund), the World Bank and others. These are best thought of as associations…or cartels.
Remember the LIBOR Scandal? Here’s a quick synopsis. https://www.theguardian.com/business/2017/jan/18/libor-scandal-the-bankers-who-fixed-the-worlds-most-important-number
The following quotes come from The New Confessions of an Economic Hitman by John Perkins as he’s put it well. https://amzn.to/2UpJPhO
“The 2012 revelations around the London Interbank Offered Rate, or the Libor, demonstrated that Barclays, UBS, Rabobank, the Royal Bank of Scotland, and other international banks were capable of ruthlessly betraying the public trust. The Libor is used to calculate payments on hundreds of trillions of dollars’ worth of loans and other investments. It had been accepted as an objectively and mathematically derived benchmark for establishing interest rates. However, it now was revealed that the Libor had been illegally manipulated by the banks from 1991 until 2012. As a result, the bankers accumulated immeasurable sums of illicit profits. Once found guilty, the banks were fined more than $9 billion. As of this writing, only one UBS trader, and not a single bank officer, has been indicted.”
This is not the only grand conspiracy for crimes banks have engaged in. Perkins later writes:
“The financial world was shaken by another major scandal in 2014…Barclays, Citigroup, JPMorgan Chase, and the Royal Bank of Scotland pleaded guilty to rigging the price of foreign currencies and were fined more than $2.5 billion. Within a year these four banks, plus one other, UBS, would be fined an additional $1.6 billion, along with another $1.3 billion in the case of Barclays, to settle related claims. Since 2007, the banks had operated what some of their members referred to as ‘the Cartel.’ Among the emails and chat room conversations of individuals involved were found their own name for their group: the Bandits’ Club and the Mafia. US Attorney General Loretta Lynch described the banks’ foreign currency scheme as ‘a brazen display of collusion and foreign exchange rate market manipulation.’ She went on to call it a ‘breathtaking conspiracy.’”
They called themselves the cartel, so why shouldn’t we?
They engaged in conspiracy, yet we should dismiss anything else they might do as a crazy conspiracy theory?
Understand, when an organization is corrupted, people do not get to the top of such an organization without being corrupt themselves. The corrupt people keep good people out.
So now onto precious metals…
I’ve been bullish on silver for a long time. And I’ve had to be very patient in being so. Let us travel back in time to tell this story.
Back in 2010 or so I started converting some of my money from success in business into silver. In 2011 it topped out at $48. It fell from there and has traded around $14 to $20 since 2015.
Actually, the highest price of silver ever was $49.45 back in 1980. Tell me, what else had its highest price ever back in the 80’s?
Well it turns out that there was strong evidence of price suppression on silver by bankers. Here’s a synopsis and few articles covering that.
Several traders at J.P. Morgan chase were being tried and convicted of securities fraud in this field. https://sdbullion.com/blog/another-jpmorgan-silver-spoofing-ex-employee-pleads-guilty
They consistently say they were trained and told to do so by higher up people.
In fact, “In their indictment, the US Department of Justice labelled JP Morgan Chase’s ‘Metals Desk’ as a ‘criminal enterprise’.” https://www.adamseconomics.com/post/the-undeniable-manipulation-of-the-silver-market
Criminal enterprise. A cartel. A racket.
After the last crash, JPMorgan Chase essentially took over the silvers market from Bear Sterns. While they were manipulating the market being profitable in short selling, they were hoarding the biggest stash of physical silver ever seen. https://www.jmbullion.com/investing-guide/pricing-payments/who-owns-most-silver-bullion-today/
I caught wind of this and thought “do what the bankers do.” I had no power to stop them, but if they were doing that, I might as well do it too so that I could gain.
Just today it come out that senators were offloading stock based on January coronavirus briefings. Insider trading.
Clear cut case of insider trading. They’ll pay for it more than likely. (And who did they leak that information to as well…)
But think bigger for a second. Imagine you have power over a big portion of the market. Instead of insider trading a couple months before the catastrophe, you’re preparing a decade in advance. And you’re willing to commit crimes to do it, especially because you have lots of power and money to cover up the crimes.
So what is going on now in gold and silver?
Right now silver has crashed (along with everything else) down to around $12 per ounce.
That’s in the paper markets. Understand most trading of precious metals isn’t lugging heavy metals around but done by ETF’s (exchange traded funds), derivatives and more.
But go to any place selling actual physical silver. What do you see? 50% premiums give or take. An ounce of silver will cost you at least $20.
Physical silver is being snapped up at these prices that there are shortages and delays.
That’s because the house of cards that is so much of our financial system is coming down.
It’s probably too late to get in on silver. But if you can, I’d be willing to bet its still worth it (no paper silver, physical only!).
The sad fact is that JPMorgan Chase, the people that seemed to be behind this crime, stand to benefit from it the most. Look at their history and you can find this is far from the only time they’ve engineered such things.
Making money during the good times and bad. That means they have the capability to seize even more control.
One theory. This means there is incentive to crash the economy further. To use your full weight and power to make things worse, in order to gain more money, power and control.
Another theory. The economy had to crash at some point. That is how our system works. Boom and bust. But here the blame goes on the coronavirus, not on the bankers.
Blood in the streets…