The Trouble List
None of the markets moved on Tuesday. Oil added a little, but the hurricane in the Gulf isn’t scaring people as much any more. Gold seems to have stabilized.
In the news today….
Consumer Confidence was up last month as lower gasoline prices gave people hope. People are really fickle. Just ignore any reports on Consumer Confidence. It is irrational at best, and totally non subjective.
The FDIC released a report that there are 117 banks on its “trouble list.” The FDIC did not name the banks – as you can guess, that would have caused a run on 117 banks – I bet you would take your money out of any bank on that list. I would, and I would expect you too. A better idea is to stay on top of the health of your bank. Talk to bankers and find out what they are saying about their own bank, and their competitors.
Here are Today’s numbers:
Dow Jones 30 Industrial - 11412 (up 27 points)
10 Year Treasury Bond - 3.78% (down 0.01%)
Euro - $1.4722
Gold - $828 (up $2)
Oil - $116.27 (up $1.16)
Gasoline - $2.97 (up $0.09)
I would like to know what you think about this and could explain this in more of a layperson lingo:
“Last week, silver researcher Ted Butler pointed out that the latest monthly Bank Participation Report issued by the U.S. Commodity Futures Trading Commission (CFTC) exposes what could be the largest ever manipulation of the gold and silver markets.
His report, titled, “The Smoking Gun,” is available at http://news/silverseek.com/TedButler/1219417468.php. The CFTC report is available at http://www.cftc.gov/marketreports/bankparticipation/index.htm”
The above is from this website:
http://www.numismaster.com/ta/numis/Article.jsp?ad=article&ArticleId=5186
The article you are referring to discusses the definite manipulation of both the silver and gold markets by selling short silver and gold futures contracts. The data presented is compelling as the prices went down during the same period as the purchase of those shorts. Have you seen gold prices stabilize recently as i have? That would tell me that those banks are liquidating (buying) those shorts, and taking their profit.
Why would banks do this? On reason is just plain “greed” but this is pure speculation and manipulation, and with banks are scared of investing as they ever have been, i would rule this one out.
The other reason given - to act on behalf of the US Government - is VERY possible. The FED in the past has manipulated the gold market. The FED has always wanted a low gold value because it is just plain embarrassing that gold prices rise as inflation (the printing of money by the FED) rises. The FED manipulated gold prices for more than 10 years straight after the last run up in the 80’s. They drove the price all the way from $800 to about $300. Then they ran out of steam - and market pressures prevailed. That’s how we got to today.
There continues to be a cry from voices in deep, dark corners of the world fo rhaving currencies backed by gold. The FED, on behalf of the US Government, is totally against this, as that would STOP their printing money.
Hope that helps.
Thanks for the explanation. It certainly did help.