I have long-written of how not just Precious Metals, but all financial markets are now “influenced” by government intervention; and thus, can no longer be trusted to indicate ANYTHING about consensus “EXPECTATIONS.” Moreover, it’s not just where markets trade that have become misleading, but the manner in which they do so – such as the “DOW JONES PROPAGANDA AVERAGE”; which rarely, if ever, declines – and worse yet, no longer demonstrates even a modicum of volatility. Remember, stocks have been the most volatile assets in the HISTORY of mankind; yet, since the PPT and other government mechanisms took them over (in a series of progressively increasing efforts following the crashes of 1987, 2000-02, and 2008-09), they not only have become more overvalued than at any time in history, but move in nearly the EXACT same patterns almost every day.
It’s Tuesday morning, and 10-year Treasury yields are dangerously close to the key 3.00% rate – following two straight days when blatant Fed efforts to “turboQE” them lower miserably FAILED. However, Dow futures are again higher – with nothing but “reduced Syrian tensions” cited by the brain-dead, bought-and-paid-for MSM as the “reason.” Conversely, PAPER PMs have been attacked by “THE 2:15 AM” algorithm for the 72nd time in the past 81 days; again, with the only “news” cited as “reduced Syrian tensions.”
Perhaps someone should inform them that on the day of the alleged Syrian chemical weapons attack – August 21st – the Dow was 14,900; bottoming a whopping 0.7% lower at 14,800 on August 27th before being “PPT’d” back up to the current 15,063. In other words, it hasn’t moved in the slightest throughout the entire Syrian “crisis”; but since TPTB are constantly manufacturing good news, “reduced” Syrian tensions” has likely overtaken “Kim Kardashian” as the most popular Google search of the past week. I mean, if we can make up the Syrian “crisis” itself (I haven’t seen a shred of proof that Assad ordered the alleged chemical attack), why not make up reasons for the ensuing market movements as well?
Conversely, we are told PMs have recently surged due to “heightened Syrian tensions”; when in fact, nearly the ENTIRE recovery from $1,180/oz to $1,430/oz (in gold) and $18.50/oz to $25.00/oz (in silver) was achieved before August 21st. Gold and silver had already recovered to $1,385/oz and $23.50/oz on August 19th – right where they closed yesterday – and the subsequent 3%-5% rises after August 21st occurred in already heavily “overbought” markets, fought “tooth and nail” by a Cartel that couldn’t have made its intentions more obvious. After all, if there’s one thing we’ve learned in the past 12+ years, it’s that the more PM bullish the news, the harder TPTB “push back” in their desperation to prevent PMs’ historical SAFE HAVEN status from being widely observed.
Anyhow, the first key takeaway of this commentary should be the reason why governments have so successfully commandeered widely-followed equity indices like the Dow. That is, what I have been writing of for the past two years; i.e., global retail investors exited the equity markets long ago; and thus, stock market volumes are so low, they can be manipulated AT WILL by deep-pocketed government algorithms. Driving this point home, S&P 500 equity volume fell to an incredible 15-year low yesterday…
…and if that doesn’t convince you, how about the fact that CNBC’s ratings – amidst a supposed “bull market” that has doubled the Dow in the past four years – hit a 20-year low in August; i.e., just two years after the network went on air in 1991. And thus, when you are told Japanese stocks are up “because” Tokyo was awarded the 2020 Olympics; Chinese stocks, due to “better economic data” (despite its government recently admitting such data is unreliable); or U.S. or European stocks due to “reduced Syrian tensions” (last I looked, oil was still $108/bbl) or “economic recovery hopes,” think long and hard of the source of such news – as well as whether or not said markets are actually “reacting” or being “pushed” by TPTB…
Of course, this morning’s other key takeaway should be that not all markets are PAPER-based; and thus, cannot be materially altered by the government. This is why we own the ONLY financial assets that cannot be “manufactured” by government printing presses and algorithms; i.e., PHYSICAL gold and silver – and why PHYSICAL gold and silver demand have surged, and inventories plunged, amidst this year’s historic Cartel attacks on PAPER PMs. Six weeks of backwardation tells the story as clearly as possible; let alone, the 75% collapse in registered COMEX inventory since the April 12th-15th “ALTERNATIVE CURRENCIES DESTRUCTION.” Not to mention, the all-out destruction of mining companies that will no doubt result in dramatically lower production for the foreseeable future; and potentially, widespread corporate bankruptcies.
Again, only you can determine the likelihoods of what’s REAL versus what’s FAKE; and hopefully, the Miles Franklin Newsletter is making this thought process easier. Our job may be to market bullion products and services, but our cause is to empower you to PROTECT yourself.