Gold And Silver Are Paper-Slammed – Is The System Collapsing?

When a thoroughly corrupt Government wants to try and hide something from the public, they exert an all-out effort to mis-direct and cover-up.  The financial markets are no different.  It’s been obvious to anyone with one good eye and one brain cell that the puppet-masters behind the Wall Street/DC “curtain” have been propping up the Dow/S&P 500 and exerting forcefull downward pressure on the price of gold and silver.  Why gold and silver?  Because gold and silver, for 5,000 years, have been the world’s “alarm system” alerting everyone when something is terribly wrong.

I remember vividly 2008.  Many of you were not involved in the precious metals markets. Inexplicably, the manipulators smashed gold and silver down from their bull market highs in March 2008 very quickly.  Silver was smashed down to $8 after hitting $21 in March.  I remember staring at the futures screen wondering what would stop JPM from taking silver down to zero?

Shortly thereafter AIG and Goldman de facto collapsed and the rest is history, including the fact that former Goldman CEO, Hank Paulson, was “coincidentally” sitting in as Secretary of the Treasury and “coincidentally” came up with a plan for the Taxpayers to bail out Goldman Sachs.  Paulson, after all, was still sitting on about a quarter of a billion dollars worth of warrants on Goldman stock.  This, after he was allowed to sell his GS stock worth $100’s of millions on a tax-free basis.  Just a little “benefit” the elitists bestow upon themselves when their brethren appoint them to a Government post.

Here’s graph that shows the similarities between what happened to gold in a short period of time in 2008 and what has happened since peaking at $1900 in 2011 – click to enlarge:


It’s pretty easy to see the similar trading pattern with gold in 2008 comparted to the period the summer of 2011 through the fall of 2012.  The only difference is that there was a massive rise in the use of OTC precious metals derivatives that began a couple years ago which has enabled the Fed/Treasury/banks to keep a tight lid on the price of gold and silver and has enabled the criminals running this country to promote a “narrative” of economic recovery.  It’s been nothing but one big lie.

Here’s what happened today with gold and silver – click to enlarge:


How is it that day after day gold and silver get smashed when the NY Comex floor trading opens?   Does it seem odd that, nearly everyday for the last 4+ years, that at 8:20 a.m. EST all of a sudden the world decides to unload paper gold and silver positions?

How is it at all possible that the price of gold and silver are collapsing like this when China has imported a record amount of gold in the first half of 2015?  China and India combined are importing more gold than is being produced on a daily basis.  India is importing by far a record amount of physical silver.   These countries require the physical delivery of the metal they buy.  It’s not good enough for the bullion banks to offer free vault storage in London or NYC.   The misrepresentation of the true, intrinsic price of gold and silver by the NY and London paper markets is perhaps the greatest fraud in history.

The criminality operating in the U.S. financial markets has become all-pervasive.  The markets just ooze with unfettered theft and wealth confiscation.   The Government doesn’t just “look the other way.”  The Government is the criminal cartel.  Just look at where all the key appointees in a position to enforce the Rule of Law come from.  The Treasury, Justice Department, the SEC – they all come from Wall Street firms or the law firms that make $100’s of millions defending Wall Street firms.   It’s the American version of the Sicilian Mafia running our system!

It’s obvious what is happening to anyone who cares to look at the truth.  This is the end of the end-game. Perhaps Greece has triggered it but it’s irrelevant.  The entire world is over-bloated with catastrophically unpayable amounts of debt.  The IMF has told us that Greece can’t possibly repay its debts.  Huh?   Does the IMF really think the United States can repay its debt load?   Greece has $350 billion of sovereign-issued debt.  The United States has over $18 trillion in “on-balance-sheet” sovereign-issued debt.  It has at least $200 trillion of contingent sovereign-issued liabilities.

The only difference between Greece and the United States is that the United States can unilaterally print its own money.  Literally in unlimited amounts.   Ben Bernanke stated that fact in 2002:  “But the U.S. government has a technology, called a printing press (or, today, its electronic equivalent), that allows it to produce as many U.S. dollars as it wishes at essentially no cost.”  LINK

The system is collapsing.  It has been collapsing.  I believe it’s quite possible that we are seeing the final stages of the end game.  China’s stock market is down 30% since early June.  The prices of oil and copper are crashing.   As I wrote yesterday, oil and copper are the quintessential beacons of relative economic activity.  If their prices are crashing, so is economic activity.

After trading in positive territory overnight, the S&P 500 suddenly plunged shortly before the NYSE opened:


China suspended trading in its stock market last night. But how is this any different from key HFT ECN’s “breaking” when the market is about to go off a cliff? As Zerohedge always tauntingly reports, the market “breaks:” Broken Market Ignites Momentum

Coincidentally, the market never seems to “break” when its spiking inexorably higher on some fictitiously prepared “good” economic report. Let’s  see if the market “breaks” today in order to stop that waterfall plunge at the open.

Of course, if it doesn’t, are you prepared for the devastating consequences of a collapse?

14 thoughts on “Gold And Silver Are Paper-Slammed – Is The System Collapsing?

  1. Dave,

    Did you make a typo “Paulson, after all, was still sitting on about a quarter of a million dollars worth of warrants on Goldman stock.

    I think it should read “billion” not “million”

    Great article. I woke up and saw the waterfall this morning. It doesn’t faze me like it used to. But I’m beginning to think we may not have a way out of the matrix. TPTB are looting everything before they leave town. They’ll probably leave the computers on auto, hike it out of town, head off to some satanic island for bum sex and blood sacrifice. All the while opening our borders to a Russian and Chinese invasion. I know you’re right on your analysis. I’m just not sure if any semblance of a free market will ever return in our lifetime.

    1. Good sir,
      I am glad I read your comment. Ever hear of revenge of the nerds? Well it just so happens there IS a way to break the manipulation. The question is whether you are looking for solutions and willing to use them when they present themselves.

      Bitcoin is not a good thing, but blockchain technology it brought with it can be. I actually work with a community who has built a decentralized exchange that is meant to replace the corrupt exchanges…a does not allow high frequency trading or naked shorting–the two chief means by which the current manipulators can do what they do with minimal risk.

      If you are truly interested, feel free to listen to my recent hangout with brotherjohnf.
      Not only is it now possible to fix these corrupt markets, it is also going to be VERY profitable for those who join us to fight it.

      If you have questions let me know and I will be glad to answer any questions/concerns/interests, feel free to contact me at

  2. In order to avoid collapse, the US Dollar must be defended. Those who try to undermine its reserve status must be punished. We are in a currency war. That war will not be over any time soon.

  3. I do not think I have ever read a more lucid essay of the world situation. I envy your perception and writing ability. Your reference to the Sicilian Mafia is particularly appropriate. Tragically, the vast majority of sheep who might read that reference would think it to be the hyperbole of a board-certified member of the lunatic fringe.

    Thank you so much for this blog and all the insights that you provide. I genuinely appreciate it.

  4. The cruel irony is; if the price of Paper Silver drops below aprox. the $14 range – you ain’t gonna be able to buy any physical Silver for that price – you’ll only be able to buy Paper Silver below aprox. $14.

  5. Hi Dave:

    Appreciate your insight as we head -slow motion- into financial collapse here in the US of A. Saw this coming in 2004 and looked into metals as a hedge, erased all my debt, but my mortgage and bought a construction grade hard hat. Yet we keep tumbling forward, year after year, the financial collapse slowly melting like a gigantic icicle hanging on the eaves of your roof, right over your front door. If you are paying attention -and I know you are- your readers will hear many commentators crying wolf, they see this coming, these commentators, they just can’t tell you when. This fall perhaps? New year of 2016? Or push the collapse out to 2017? After 11 years
    of paying attention to the financial issues of our country and the world, and reporting these issues to family and friends who don’t care, I have become truly weary of the hype of financial collapse and my adrenals don’t give a rats ass any more.
    What are your suggestions to survive the collapse? Not paper. Metals. OK. Land. Probably. Good for growing food, trees, grazing, etc. Get a place outside of the city. OK. Any other thoughts to survive this financial icicle?

    How many of our fellows will be in the doorway when the icicle breaks away and crashes upon us?

    I assume most will be hit badly, I may be wrong, but I doubt it.

  6. Dave

    Another awesome analysis the the ongoing collapse, it never ceases to amaze me the spin the lamestream media puts on this. Thanks for all your hard work

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