AUGUST could be very interesting.
KWN (King World News) and GATA's Bill Murphy [ref: both websites] suggest a BIG 'move' will happen in both Gold and Silver this August.
The "London Trader" (who has been 100% on ALL his calls so far) is saying that the LBMA price-fixing scheme is crumbling and about to collapse.
- I have maintained for some time that a default on the LBMA will clean-out a LOT of folks who "think" they own Silver and/or Gold via the hollow (unbacked ETF's) GLD and SLV since they hold no physical to 'back' the paper units they have marketed to gullible retail investors. A default by LBMA will result in paper settlements (at a 'frozen' price) and many lawsuits by investors who failed to 'read' or heed the fine print in their respective prospectuses which immunizes these paper ponzi entities from any recourse against JPM or HSBC.
My own best guess is that an LBMA collapse (and of COMEX) will happen over a weekend, just as any coordinated 'fiat currency reset' by the world's central banks will. This is not to suggest that they will occur simultaneously. MF Global was a precursor to PFG Best, and the LIBOR debacle may well be the precursor to PM-rigging blowing up.
- The COMEX has been paper settling already because it has little-to-no physical.
- When the LBMA openly does this, it's game over.
The potential upside for physical will be more sudden and violent than the recent price-suppression/price-capping of the PM's markets has been recently (which I see as a clear sign of just how "bad" the situation really is for the bullion banks and friends).
Batten-down the hatches and rig for heavy weather.
No comments:
Post a Comment