Anyone with half an eye on markets has noticed that gold, silver and platinum have shot through the roof. In fact, all commodities are running for the Moon since they are priced on world markets in US dollars, and the dollar is dying a slow and public death.
The death of the dollar is not the whole story, though. Especially when it comes to silver, there is a much deeper and darker secret that is driving prices faster than the PTB/W can beat them down.
Around the world, there are things called 'bullion banks.' These are basically secure warehouses where gold and silver money is stored to back various things, like currency and futures trades. In a perfect world, if I buy 100oz of silver on contract, then some bullion bank accepts and stores 100oz of silver with your name on it. It's the oldest form of banking on Earth.
The way paper money came into being was as treasury warrants or certificates that showed that I had an amount of gold or silver stored in a vault, and if I gave you my warrant, you could go to that bank and claim your metal. All US paper money used to be gold or silver certificates, and if you went into a bullion bank, you could claim the equivalent in metal coins.
The oldest banking scam became playing the odds. The banksters noticed that people liked to leave the metal in the bank and carry the lighter and more convenient paper. Because of this statistical trick, they could lend out a chunk of your metal for interest while you weren't looking. If you came into the bank to claim your metal, they played the odds that they could cover with other people's metal, thus making it look like all your metal was there. Thus was born fractional reserve banking. The banksters only needed to keep a small amount of real metal on hand to cover for withdrawals, and the rest they could farm out and make money on interest from your money.
The only real danger was if the customers of the bank lost 'confidence' and showed up in significant numbers to claim their metal. If the bank couldn't cover the claims, the owner was marched out and hung.for fraud and theft. Of course, it's all 'legal' now (Federal Reserve), but they still need to measure Consumer Confidence to make sure you aren't getting ready to hang them.
So anyway, back to the bullion banks. They've been running a scam for decades now. Let's say you buy 100oz of silver on long-term contract. You take delivery of the metal at a bullion bank and they issue you a certificate and charge you a storage fee, either monthly or yearly. Here's the trick. Of your 100oz, they only really put 1oz in storage and lease the other 99 from another bank or owner. The bullion bank makes money for storing something that isn't there, and the lessor of the 99oz makes money by leasing his metal to several other banks, as well.
Now comes the Perfect Storm. Inflation has driven the nominal price of metals up very fast. This made people sit up and take notice. Gold being very expensive put it out of reach of most people, but silver was still at reasonable levels. So a lot of folks started buying. What's worse, those who had metal in the bullion banks wanted to take delivery of the physical metal. That put an immediate strain on the system.
As sales increased, the price rose, more people got interested, which drove up prices even more, which made more people interested, which drove sales, and the whole thing became a self-perpetuating cycle.
The banks are desperate. They are scouring the Earth to collect all the silver they can get their hands on. The are so desperate they falsely convicted Bernard von NotHaus, of Liberty Dollar, on trumped-up charges so they could confiscate his $7 million worth of silver, even though that amount is just piss in a bucket to save the system.
One solution they are trying is massive short buying on COMEX. This has the effect of driving the price down, albeit slightly and temporarily. It also has the effect of digging their accounting hole even deeper. They are still playing averages, statistics and 'confidence' in a world that is quickly only trusting the real thing in hand.
When this thing unwinds, the price of silver will shoot through the roof. When it does, probably sooner than later, then gold and platinum will unwind, as well. In short order, the prices of the Big Three will soar to levels that are most likely double, if not more, of today's prices.
The math doesn't lie. It can't end any other way. It is written in stone and is as unavoidable as tomorrow's sunrise. The first victim will be JPMorgan, which has a massive short exposure to silver. When Morgan collapses, most of the major banking houses worldwide will follow, because they all have short exposure to metals.
This scan has been perpetuated for decades by playing a game where the financial world poo-pooed gold and silver, and played down the investment value of the metals. They had to maintain this stance in order to keep people for looking too closely at the shell game they were running. On top of that, they were making massive profits renting empty storage, and leasing the same pile of metal over and over again. It's a great living, if you can keep it going.
Many people are becoming aware of the scam. Many more don't know about the game, but they see the nominal value of the metal running away, while the purchasing value of their paper drops precipitously on a daily basis. Even the Wally Mart CEO is saying publically that inflation is killing his business. And Wally Mart made its fortune selling cheap goods at low prices to people with no money. Now, even their market is drying up.
The death throes are obvious. The whole system is collapsing. And really, the value of the metals is not rising. They have been the same for thousands of years. It's the amount of paper it takes to hold some of that metal that is changing. One ounce of gold has bought a fine, custom-tailored suit for hundreds of years. But, the price of the suit in paper bux has risen dramatically, especially in the past decade.
The real interesting thing to watch is what will happen when JPMorgan starts to catch fire. They've already raided the Treasury (your pocket), and there's not much left to take. They'll be piles of 'too-big-to-fail' talk coming from the mass mind control.
The Big Question is how much shit will the American people put up with? Do they have any fight left, or are they completely fluoridated and Xanaxed into submission?
?
By July, most of us won't recognize the world as we've come to know it. The PTB/W, in the guise of corporations (their current sheep's clothing), are making a play to take it all off the table. But, they are teetering on the edge. Their current actions belie a sense of desperation. They have lost control in some key area(s). They are flailing around trying to keep people from looking behind the curtain and see that having the whole system is NOT the end of the world, but actually the beginning of global peace and liberty.
They can't stand to have that happen.
It's a very important moment. It's one of the pivotal points of history. What remains to be seen is if they can pile enough weight on the backside of the Titanic to keep it afloat, or will the ship snap in two and sink despite their greatest efforts?
If you love liberty and want to live like a free person with the ability to amass real wealth and pursue happiness in your own way, then you have a very simple and readily available weapon against tyranny.
Buy silver. Buy lots of it. And only accept real, physical metal in your hand. (oh, and this is NOT financial advice...just telling what I like to do for a hobby).
The Big Crash is not the end of the world, it's the beginning of a new one.
Here Thar Be Monsters!
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30.4.11
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