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John Embry: An Explosive Move In Silver Will Dwarf The Move In The Late 1970’s

I  can make the case, Dave, gold and silver may never have been cheaper than they are at the bottom in this cycle compared to the amount of money, and particularly debt, in the world. So, to me, this move we’ve had so far this year is, it’s like a rounding error. – John Embry, Shadow of Truth

It’s becoming more apparent on a daily basis that the Federal Reserve is attempting to exert complete control over the markets.  The Federal Reserve operates from its NY Fed trading base in conjunction with the  U.S. Treasury’s Exchange Stabilization Fund, which operates in the same building as the NY Fed.   So much for the notion that the Fed operates independently of the Government.

But it’s not just the markets. It’s becoming more apparent to more people that same cadre of insider elitists who are rigging the stock market also do their best to rig the political process.  This is exemplified by the fact that the SEC announced yesterday that it is investigating the accounting methods of Alibaba.   This is eyebrow-raising because it’s quite obvious that Alibaba’s chief competitor, Amazon.com, has been engaging in fraudulent accounting practices for over two decades.

Oh, I forgot to mention that Amazon CEO Jeff Bezos owns the Washington Post.  This is the perfect political hand grenade with which to threaten the DC politicians and political appointees if they were to start probing around Bezos and his enormous business Ponzi schemes.

This insider DC establishment did its best to derail Trump’s attempt at assuming the Oval Office throne.  But the fact that Trump set a record for Primary popular votes  made it next to impossible for the elitists to plausibly justify perverting the Republican convention nomination process with one of its lap-dogs like Romney or Rubio.

On the other hand, it looks like Hillary’s three decade crime spree is finally starting catch up to her. Something happened behind “the scenes,” because all of a sudden the State Department’s Inspector General decided that Hillary broke the law.  This is the first time in Hillary’s history that any official entity has held her accountable for a list of crimes that date back to her days as an attorney and the State of Arkansas’ “First Lady” (I use the term “Lady” very loosely).    Even MSNBC was on her case today.   Some group of unidentified insiders who operate at a level above Hillary have decided she’s not the one  to be their Oval Office pawn.

Meanwhile, the precious metals sector has sprung back to life after a 5-year period of an unabated manipulated price-thrashing of gold and silver.   Despite Goldman Sach’s incessant plea for $800 gold, the yellow dog ran from $1050 in mid-December to just over $1300 by the end of April.  A 24% rise in 4 1/2 months.  In the same period of time, silver ran up nearly 31%.  The mining stocks, per the HUI index, ran up just over 130% since January 19.   If the general stock market or any of the fast-moving sectors made moves like this, the meat with mouths on CNBC etc would be doing naked cartwheels on air every morning.

Rory Hall (The Daily Coin) and I hosted John Embry for a lively discussion of what is happening, why it’s happening and what might happen:

John Embry: A Serious Upside Explosion In Silver Is Coming

I really like these interviews you and Rory do and for some reason they are a notch above most of the other work out there.  – comment from “Joe”

Yes, I know, we’ve been hearing experts including your’s truly talk about a coming upside explosion in silver for a couple years now.  But the action in the market is suggestive of an underlying dynamic that has changed.   Every attempt by the bullion banks to smash silver below $16 now lasts less than 24 trading hours.   Just look at last week:  silver was smashed below $16 a couple times only bounce back quickly with big-volume spikes.

This occurred, ironically, about halfway thru our podcast recording with John Embry.   Silver was smashed at the Comex open on no news and taken well below $16.  Toward the end of our recording session with John, silver had traded back over $16.   It moved even higher a bit later.   Silver is definitely behaving a  lot differently than it has been over the last 4 years and I will be doing a blog post specifically on this topic later this week, with charts to show the action.

In addition, James Turk mentioned in another interview last week that silver has now joined gold in backwardation from spot to the front-month contract on the LBMA in London.  This means that there is a shortage of silver and buyers prefer delivery upfront rather than paying less through a forward contract in 30 days.   This means buyers prefer holding metal over cash.

You guys are just great! I love the laughs and the lighthearted spirit that you bring to your interviews. Dave Kranzler is a real pleasure to listen to given his obvious expertise and insight. His words resonate with me completely. John Embry, moreover, is a great guest; I’ve been reading his columns for years and find him very credible and articulate. Thank you guys!!
i really like listening to these guys; Dave Kranzler is such a natural & i learned lots from John Embry & Rory is a super interviewer & knows the real scoop on what’s really going on.  thank you for the great conversation.   plz ask John Embry back soon.

I wanted to repost our podcast interview with John Embry because I believe it’s one of Embry’s best interviews in a long time.  He does not hold back or filter his comments.  Rory and I both knew after we finished our recording session that this was a home run interview:

Rory and Dave – you both are awesome!! A thought – i think the central banks of the world are “giving” the impression that they are holding the financial system together [eg, the reverse repo data from the fed]. I think their [central banks] mission is to “take down” the current financial system using the OPTICS that they were desperately trying to keep it together.

The tipping point is NOW. They need to tip this current system over starting now – if they have any hope of the 2018 goal of the progression to a single world currency, {ie, 1988 Economist article of the rise of the Phoenix world currency] – “R Damm” – comment on Shadow of Truth

SoT Ep 20 – John Embry: Getting Closer To An Upside Silver Explosion

This blatant market manipulation activity to me suggests there’s something worse going on behind the scenes than you and I think…All i can see is increasing volatility in the system…this is blowing a hole in derivatives. Given how intrusive derivatives are on bank balance sheets there has to be problem that they are trying to cover up.  – John Embry, Shadow of Truth

Rory and I hosted a conversation with John Embry on our Shadow of Truth program.  We covered the blatant and ongoing market intervention by the Fed/Government, the movement toward getting rid of cash currency and converting the monetary system into one which is based fully on electronic currency, the precious metals market with an emphasis on silver and Jade Helm 15.

All aspects of the Federal Reserve’s and U.S. Treasury’s (Working Group on Financial Markets) – together known as the Plunge Protection Team – market intervention has been overtly blatant and obvious to even the casual observer.  I’ve had several non-market professionals remark to me that the markets seem completely artificial and out of touch with reality.   It seems like every time there’s a big sell-off in stocks, like yesterday (April 30), it’s always followed by an even bigger move higher the next day.   Furthermore, without question the stock market is increasingly becoming disconnected from the underlying economic fundamentals (source:  Zerohedge, click to enlarge):


(Note:  U.S. Macro measures the difference between consensus estimates for the economic data and the actual data as reported).  It’s indisputable that QE failed to stimulate anything more than a new bubble in stocks and housing prices.  And the economy and the current stream of economic data show that economic activity is deteriorating at the same rate now as it was just before and during the 2008/2009 de facto financial collapse our the U.S. banking system.

Eventually the two lines in the graph above will converge once again.  Unless the central planners manipulating our system can pull off a spectacular miracle and generate tremendous economic growth, the downside convergence of the S&P 500 with the underlying macro fundamentals will make the 1929 stock crash seem like a sunny day in Mr. Roger’s Neighborhood.

If gold and silver actually reflected their true value it would basically create a problem in the sense that people would realize that the current monetary policy is ridiculous and this whole thing would come to an end.  – John Embry, Shadow of Truth

Perhaps the most flagrant and undisguised market intervention is occurring in the precious metals market.  Even mainstream reporters are starting to make off the cuff remarks about this.  Anyone who refuses to acknowledge the extreme manipulation of gold and silver via the Comex and LBMA paper markets is either obtusely ignorant or has a financially motivated reason for feigning ignorance.

The eventual upside of silver, to me, is why all the pain is worthwhile.  As long as you are not playing with the sharks in the paper market and getting cleaned out on a regular basis and you’re using this opportunity to acquire physical silver, I think you are going to wake up in the not too distance future and be shocked at the magnitude of the price gain.  – John Embry, Shadow of Truth

In conjunction with the Government’s growing control of the financial markets is an equally disturbing movement by the elitists running our system to eliminate cash currency from the banking system.    Given the general proclivity of most people to use credit and ATM cards to pay for almost everything, this development would likely and predictably receive little to no resistance from the majority of Americans.

But the truth is that expunging cash from our lives is part of the movement by the Government to implement totalitarian control over the system.  With a fully electronic banking and payment system, the Government will be able to track 100% of your expenditures.  Now the the NSA has the ability to monitor your phone calls, emails and movements (GPS), eliminating cash currency removes any remaining element of privacy of anonymity from your life.

It gives them more control if they can remove cash from the system, I think its more easy for them to monitor things…but I think it’s an extraordinarily negative develpment, I’m just horrified by the whole process.  – John Emby, Shadow of Truth

Furthermore, it enables the banks to suck even more wealth out your pocket in the form of a negative interest rate on your electronic checking and savings account balances.  It’s no coincidence that “economists” like Willem Buiter and Paul Krugman are advocating the death of cash, as they believe significantly negative interest rates are required to stimulate economic growth – at least that’s their story.

Think about this way:   If banks take interest paid negative, it means the banks take money from your positive account balances every month.   If you have the option of withdrawing cash,  you can at least avoid this expense by holding your money in cash.  You won’t be earning interest but you won’t be charged to hold a positive currency balance at a bank.   But eliminating cash from the system takes this option away.   This is why the bankers are promoting the death of cash (Willem Buiter is the chief “economist” for Citibank).  It’s another mechanism by which the banking elitists will  be able to steal your money.

Finally, we wade in the murky swamp water known as Jade Helm 15.  Notwithstanding the plethora of extreme conspiracy theories circulating the internet, Jade Helm is a military/special forces training exercise that is designed to prepare the military for an eventuality of widespread civil unrest.  Civil unrest that will likely be triggered by the massive financial and economic catastrophe headed toward our system.

We think you will find our conversation with John Embry highly informative and engaging.  In my opinion, this is one of John’s best interviews in quite some time, with a surprise question at the end: