07 January 2012
SilverDoctors: JP Morgan to Fail in Q1 Due to Bad Bets on Collaps...
SilverDoctors: JP Morgan to Fail in Q1 Due to Bad Bets on Collaps...: From AGXIIK : Q1 2012 Timeline: A Collapsing Euro , JPM/GS to Raid GLD/SLV Unicredit just took a 60% haircut on share price to get a few...
SilverDoctors: Goldman Sachs to Sell $15,000,000 in Gold-Linked B...
SilverDoctors: Goldman Sachs to Sell $15,000,000 in Gold-Linked B...: The Squid is attempting to siphon additional funds away from physical gold and silver and the mining shares. Yahoo reported yesterday that ...
Thousands of US troops land in Israel. Aircraft carrier coming soon
DEBKAfile Exclusive Report January 6, 2012, 6:41 PM (GMT+02:00)
Thousands of US troops began descending on Israel this week. Senior US military sources told debkafile Friday, Jan. 6 that many would be staying up to the end of the year as part of the US-IDF deployment in readiness for a military engagement with Iran and its possible escalation into a regional conflict. They will be joined by a US aircraft carrier. The warplanes on its decks will fly missions with Israeli Air Force jets. The 9,000 US servicemen gathering in Israel in the coming weeks are mostly airmen, missile interceptor teams, marines, seamen, technicians and intelligence officers.
The incoming American soldiers are officially categorized as participants in Austere Challenge 12, the biggest joint US-Israeli war game ever held.
Thousands of US troops began descending on Israel this week. Senior US military sources told debkafile Friday, Jan. 6 that many would be staying up to the end of the year as part of the US-IDF deployment in readiness for a military engagement with Iran and its possible escalation into a regional conflict. They will be joined by a US aircraft carrier. The warplanes on its decks will fly missions with Israeli Air Force jets. The 9,000 US servicemen gathering in Israel in the coming weeks are mostly airmen, missile interceptor teams, marines, seamen, technicians and intelligence officers.
The incoming American soldiers are officially categorized as participants in Austere Challenge 12, the biggest joint US-Israeli war game ever held.
Gold traders more bullish after bear market averted
INTERNATIONAL. Gold traders are the most bullish in a month as Europe’s deepening debt crisis and increasing tensions over Iran drove the metal to its longest winning streak since October.
Ten of 22 surveyed by Bloomberg expect the metal to gain next week and five were neutral, the highest proportion since December 9. The U.S. Mint sold 45,500 ounces of American Eagle gold coins this month, compared with 65,500 ounces in the whole of December and 41,000 in November, data on its website showed.
Britain and France will press the European Union to stop Iranian crude imports at a January 30 meeting, in response to the country’s nuclear program. Iran is threatening to retaliate by blocking the Strait of Hormuz, a key chokepoint for global oil supplies.
Greek Prime Minister Lucas Papademos warned his nation may face economic collapse as soon as March. Investors are holdin a near-record amount of gold through exchange-traded products after the metal rose for an 11th consecutive year.
“European sovereign-debt risk and the geopolitical risk of the Iranian situation escalating should support gold,” Mark O’Byrne, executive director of Dublin-based GoldCore Ltd., a brokerage that sells everything from quarter-ounce British Sovereigns to 400-ounce bars, told Bloomberg. “Gold’s safe-haven attributes will continue to be in demand.”
Ten of 22 surveyed by Bloomberg expect the metal to gain next week and five were neutral, the highest proportion since December 9. The U.S. Mint sold 45,500 ounces of American Eagle gold coins this month, compared with 65,500 ounces in the whole of December and 41,000 in November, data on its website showed.
Britain and France will press the European Union to stop Iranian crude imports at a January 30 meeting, in response to the country’s nuclear program. Iran is threatening to retaliate by blocking the Strait of Hormuz, a key chokepoint for global oil supplies.
Greek Prime Minister Lucas Papademos warned his nation may face economic collapse as soon as March. Investors are holdin a near-record amount of gold through exchange-traded products after the metal rose for an 11th consecutive year.
“European sovereign-debt risk and the geopolitical risk of the Iranian situation escalating should support gold,” Mark O’Byrne, executive director of Dublin-based GoldCore Ltd., a brokerage that sells everything from quarter-ounce British Sovereigns to 400-ounce bars, told Bloomberg. “Gold’s safe-haven attributes will continue to be in demand.”
UK sends new warship to Gulf amid Iran tensions
INTERNATIONAL. Britain's newest warship is heading to the Gulf for its first mission at a time of tensions over Iran's threat to close the strategic Strait of Hormuz, a key transport route for oil.
The Royal Navy's Type 45 destroyer HMS Daring, which has a "stealth" design to help avoid detection by radar, is to join other British ships in the region, the Ministry of Defence confirmed Saturday.
Although its deployment has been planned for more than a year, it comes as Britain and its allies have expressed deep concern about Iran's threat to close the shipping lane through which 20 percent of the world's oil flows.
Iran has threatened to take the move if it is hit with fresh sanctions over its disputed nuclear programme.
Defence Secretary Philip Hammond said on a visit to Washington this week that both Britain and the United States would ensure that their response to any provocation was "very measured, that there isn't an accidental escalation".
But he added: "What we cannot answer for is whether there is a plan on the other side to escalate."
The threat to close the Strait of Hormuz has pushed up the price of oil.
The Royal Navy's Type 45 destroyer HMS Daring, which has a "stealth" design to help avoid detection by radar, is to join other British ships in the region, the Ministry of Defence confirmed Saturday.
Although its deployment has been planned for more than a year, it comes as Britain and its allies have expressed deep concern about Iran's threat to close the shipping lane through which 20 percent of the world's oil flows.
Iran has threatened to take the move if it is hit with fresh sanctions over its disputed nuclear programme.
Defence Secretary Philip Hammond said on a visit to Washington this week that both Britain and the United States would ensure that their response to any provocation was "very measured, that there isn't an accidental escalation".
But he added: "What we cannot answer for is whether there is a plan on the other side to escalate."
The threat to close the Strait of Hormuz has pushed up the price of oil.
'Silver ensures bullish outlook among precious metals'
By P Radomski
The new year started off with a bang with precious metals out-shining the competition. Is this a harbinger of things to come? We think so and we are not alone. Forecasts for Gold for 2012 include a price per ounce of $2,200 by Morgan Stanley, $2,050 by UBS, and $2,000 by Barclays.
The year 2011, for other than gold investors, has been a disappointment, more like a train wreck. Growth has been paltry, unemployment remained high, sovereign debt in the stratosphere. The U.S. political system has been dysfunctional unable to make easy decisions, never mind the hard ones. There was no housing rebound and the eurozone looked like it was a house of cards. But look on the bright side. Despite a prophecy by Harold Camping, the world did not end on May 21.
There was also some other good news. There was no double dip in 2011. Osama bin Laden was "laid to rest in a solemn ceremony concluding upon impact with the Indian Ocean at a terminal velocity of 125 miles per hour," (at least that's the official version) in the words of Dave Barry, humor columnist for The Miami Herald. Moammar Gadhafi and other dictators also suffered major setbacks (to put it mildly.)
The new year started off with a bang with precious metals out-shining the competition. Is this a harbinger of things to come? We think so and we are not alone. Forecasts for Gold for 2012 include a price per ounce of $2,200 by Morgan Stanley, $2,050 by UBS, and $2,000 by Barclays.
The year 2011, for other than gold investors, has been a disappointment, more like a train wreck. Growth has been paltry, unemployment remained high, sovereign debt in the stratosphere. The U.S. political system has been dysfunctional unable to make easy decisions, never mind the hard ones. There was no housing rebound and the eurozone looked like it was a house of cards. But look on the bright side. Despite a prophecy by Harold Camping, the world did not end on May 21.
There was also some other good news. There was no double dip in 2011. Osama bin Laden was "laid to rest in a solemn ceremony concluding upon impact with the Indian Ocean at a terminal velocity of 125 miles per hour," (at least that's the official version) in the words of Dave Barry, humor columnist for The Miami Herald. Moammar Gadhafi and other dictators also suffered major setbacks (to put it mildly.)
March Silver in Backwardation
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Backwardation means (and I am oversimplifying a bit here) that a futures contract is cheaper than buying the physical good in the cash market. To understand the meaning of this, the first question is this. Is it possible to warehouse the good? If not, then the futures market is simply the market's opinion of what the price is likely to be on the contract expiration. I am not going to discuss this case any further, as it is not that interesting and it is not germane to silver.
Silver, unlike interest rate futures for example, can be warehoused. This means it is possible to simultaneously buy physical silver in the spot market and sell a future in the futures market. One has no net exposure to the *price*. One is exposed only to the *spread*. This is a simple arbitrage. One can "carry" a good (buy spot, sell future).
January 6, 2012 - 7:02am
March silver has been flirting with backwardation since the end of 2011, and today it has moved more firmly into backwardated territory. This is extremely bullish for silver, and let me explain why.Backwardation means (and I am oversimplifying a bit here) that a futures contract is cheaper than buying the physical good in the cash market. To understand the meaning of this, the first question is this. Is it possible to warehouse the good? If not, then the futures market is simply the market's opinion of what the price is likely to be on the contract expiration. I am not going to discuss this case any further, as it is not that interesting and it is not germane to silver.
Silver, unlike interest rate futures for example, can be warehoused. This means it is possible to simultaneously buy physical silver in the spot market and sell a future in the futures market. One has no net exposure to the *price*. One is exposed only to the *spread*. This is a simple arbitrage. One can "carry" a good (buy spot, sell future).
Physical Silver Surges To Record 30% Premium Over Spot, In Backwardation
One of the main reasons why we have been not so focused on paper representations of real currencies (i.e., gold and silver) is that ever since the MF Global debacle, in which it became all too clear that if physical gold can be "hypothecated" via conflicting ownership, then there is no way that paper versions of precious metals are viable and indeed credible. After all, the only real owner at the end of the day is the certificate holder, which as we have explained before, is none other than DTCC's Cede & Co. Good luck collecting when the daisy chain of counterparties starts falling. Which leaves physical. And for a good sense of what the "real" price of the metal is, not one determined by institutions whose interest it is to preserve the hegemony of paper, one can either try to procure gold and silver at a retail merchant, or one can look to the premium of a dedicated physical ETF over spot. Such as Eric Sprott's PSLV which as of today is trading at an all time high premium of 30%! In other words, someone is willing to pay up to 30% over spot for the right to be closer to the physical metal than merely have a paper claim on a paper claim (pre hyper rehypothecation and what not). Incidentally the last NAV premium over spot record was back in April 2011 just as silver went parabolic and the entire commodity complex experienced the infamous May 1 takedown when it collapsed by $8 dollars in milliseconds on glaringly obvious coordinated intervention. Said otherwise, like back then, so now there is an actual shortage, manifesting itself in the premium. And while last time its was the price plunge which eased supply needs, we are not so sure how one will be able to spin a collapse of the current, far lower paper silver price.
SilverDoctors: SilverDoctors Reaches The Sheople (Yahoo Finance)
SilverDoctors: SilverDoctors Reaches The Sheople (Yahoo Finance): Who knew Yahoo Finance followed SilverDoctors? Investors are becoming more interested in physical silver. According to data from the U.S...
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