IrishGold
04-02-2004, 11:18 AM
"Sweepers, Sweepers, Man Your Brooms!"
-- CV
By now you should be currying no beliefs that our government has your best interests at heart when they tinker and meddle in our financial and commodity markets. It is to their own best interests that they attend with their nearly limitless power that they go about their nefarious business. To think they're doing it to 'protect' its citizens is like believing Lincoln invaded the South to free the slaves. In short, the federal government would have collapsed without the South upon whom the onerous import tariffs extracted the most revenues. Why would you think it's any different today? We know they'll declare "banking holidays", close down stock markets, confiscate wealth, install foreign exchange controls which prevent foreigners from re-patriating their savings. Heck, they'll even send your sons, brothers, and husbands to war!
But, you know the one weapon in their arsenal they'll use first in an attempt to short circuit the "inflation fever" thermometers? Their first attack on the silver bulls will be to ratchet up the margin requirements. This will be their first line of defense to bailout and defend their fellow financial thieves. The Fed will stand behind them, ready with new money to assure "orderly markets"....yeah, sure. While Bunker Hunt took the singular blame for all the silver bulls in 1980, ever increasing margin requirements were necessary to PROTECT THE SHORTS - not to scatter any non-existent secret plans to corner the market. They pulled this same scheme in the mini silver bull of 1987. This was my first and last experience trading futures. My timing couldn't have been better. But, I got creamed when the crooks ratcheted up the equity requirements from $400 to, I think, $2,600 per contract. Of course, that was enough to kill that silver run.
But, here's the scenario today. In 1980, we were peaking in all commodities and interest rates were already in the stratosphere. Not so today. We are young into the cycle, and interest rates are rock bottom. You'll recall the market crashed in October following the mini silver run in 1987 when the Fed tightened credit. I believe the crooks will raise margin requirements when their friends that are short silver (or without!) teeter on the brink of bankruptcy. Of course, others will be blamed - - the long government finger may even be pointed at you. Hoarders are evil, evil people and must be punished.
Okay, so the silver market shuts down; a "silver holiday" of sorts is declared to 'restore order'. Temporary, of course. To this I ask: "Where can we exchange silver, and maybe gold, for other commodities, and assets?" Will only institutions authorized by them be permitted to buy and sell? We know the metals will still trade overseas. At least I don't think our Fed scoundrels can prevent other exchanges from doing so. In other instances when forex controls are imposed there are always favored exemptions by "approved" corporations and other privileged political entities. How do you think all those US gold $20 Gold Eagles found their way into the treasuries of European governments? Why were we shocked when the 3rd Army found all those American gold coins stashed away by Hitler that he'd stolen from the vanquished? Will our government impose another layer of regulations, licensing, and taxes on those who do offer their exchange services to buy and sell precious metals? Are they to be labeled and scorned as money launderers, or terrorist suspects? Should Americans scramble to set up gold and silver custodial accounts in foreign banks?
To all this I add: any foreigner that looks to the United States as a safe repository for his savings is a fool. We have a solid history of freezing and confiscating the assets of those governments we happen to be hating at the time. Whatever lies before us will be truly memorable for your lifetime, and an experience you'll want to share with grandchildren and family members.
Tragically, I don't believe we'll rediscover the miracle of limited government out of all this. We lack the wisdom of our ancestors.
And to think all this started when I picked up a copy of Harry Browne's "How to Profit from the Coming Devaluation"!
Jeesh!
-- CV
By now you should be currying no beliefs that our government has your best interests at heart when they tinker and meddle in our financial and commodity markets. It is to their own best interests that they attend with their nearly limitless power that they go about their nefarious business. To think they're doing it to 'protect' its citizens is like believing Lincoln invaded the South to free the slaves. In short, the federal government would have collapsed without the South upon whom the onerous import tariffs extracted the most revenues. Why would you think it's any different today? We know they'll declare "banking holidays", close down stock markets, confiscate wealth, install foreign exchange controls which prevent foreigners from re-patriating their savings. Heck, they'll even send your sons, brothers, and husbands to war!
But, you know the one weapon in their arsenal they'll use first in an attempt to short circuit the "inflation fever" thermometers? Their first attack on the silver bulls will be to ratchet up the margin requirements. This will be their first line of defense to bailout and defend their fellow financial thieves. The Fed will stand behind them, ready with new money to assure "orderly markets"....yeah, sure. While Bunker Hunt took the singular blame for all the silver bulls in 1980, ever increasing margin requirements were necessary to PROTECT THE SHORTS - not to scatter any non-existent secret plans to corner the market. They pulled this same scheme in the mini silver bull of 1987. This was my first and last experience trading futures. My timing couldn't have been better. But, I got creamed when the crooks ratcheted up the equity requirements from $400 to, I think, $2,600 per contract. Of course, that was enough to kill that silver run.
But, here's the scenario today. In 1980, we were peaking in all commodities and interest rates were already in the stratosphere. Not so today. We are young into the cycle, and interest rates are rock bottom. You'll recall the market crashed in October following the mini silver run in 1987 when the Fed tightened credit. I believe the crooks will raise margin requirements when their friends that are short silver (or without!) teeter on the brink of bankruptcy. Of course, others will be blamed - - the long government finger may even be pointed at you. Hoarders are evil, evil people and must be punished.
Okay, so the silver market shuts down; a "silver holiday" of sorts is declared to 'restore order'. Temporary, of course. To this I ask: "Where can we exchange silver, and maybe gold, for other commodities, and assets?" Will only institutions authorized by them be permitted to buy and sell? We know the metals will still trade overseas. At least I don't think our Fed scoundrels can prevent other exchanges from doing so. In other instances when forex controls are imposed there are always favored exemptions by "approved" corporations and other privileged political entities. How do you think all those US gold $20 Gold Eagles found their way into the treasuries of European governments? Why were we shocked when the 3rd Army found all those American gold coins stashed away by Hitler that he'd stolen from the vanquished? Will our government impose another layer of regulations, licensing, and taxes on those who do offer their exchange services to buy and sell precious metals? Are they to be labeled and scorned as money launderers, or terrorist suspects? Should Americans scramble to set up gold and silver custodial accounts in foreign banks?
To all this I add: any foreigner that looks to the United States as a safe repository for his savings is a fool. We have a solid history of freezing and confiscating the assets of those governments we happen to be hating at the time. Whatever lies before us will be truly memorable for your lifetime, and an experience you'll want to share with grandchildren and family members.
Tragically, I don't believe we'll rediscover the miracle of limited government out of all this. We lack the wisdom of our ancestors.
And to think all this started when I picked up a copy of Harry Browne's "How to Profit from the Coming Devaluation"!
Jeesh!