Gary Savage – Thu 26 Sep, 2013

It’s sideline time in the valley.

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Featuring:
Al KorelinGary Savage

Comments:
  1. On September 26, 2013 at 8:39 am,
    bb says:

    I like to hear Gary say “If they decide to take it down to $1000….”
    Its about time the manipulation is spoken of openly and taken into account when trading. The way I see it $85 billion a month is manipulation, libor etc etc.
    We are far from free markets.

    By federal law, the Gold Exchange Act of 1934 specifically authorizes the US government to rig not only the gold market, but to rig any (financial) market surreptitiously through the Exchange Stabilization Fund.

    I wonder if the federal reserve had anything to do with this Gold Exchange Act of 1934?
    I guess with gold not being included in economic courses in schools for the last two generations students would not be aware of this act. (according to Rickards)
    At least now its in the open.

  2. On September 26, 2013 at 9:11 am,
    Matthew says:

    Who needs the funnies section with articles like this?
    http://www.nytimes.com/2013/09/26/business/treasury-warns-of-potential-default-by-mid-october.html?_r=1&

    Look for more and more scare tactics to keep the sheeple in cash as currency risk grows.

    • On September 26, 2013 at 11:04 am,
      Big Al says:

      “The president remains willing to negotiate over the future direction of fiscal policy, but he will not negotiate over whether the United States will pay its bills for past commitments,”

      Isn’t that just wonderful!

  3. On September 26, 2013 at 9:19 am,
    Glen says:

    Gary’s theory about 1000 dollar gold is not crazy. There are others that also believe that gold will continue to go down. Take a listen to the audio interview with William Kaye on KWN. He presents 2 scenario’s. One where the price of gold goes down and tests the lows in the near future. He hopes that this is the case because he believes that this will be the last serious takedown. The other scenario is that the price of gold just trades sidesway for the immediate future. I lean towards the latter scenario. Sideways trading of gold could go on for awhile and is the worst outcome for the gold bug in my opinion. At any rate, Kaye believes that gold will eventually go higher with both scenario’s. So, Gary is not just a crazed loon with his thinking as his theory could very well occur.

  4. On September 26, 2013 at 9:52 am,
    cecilhenry says:

    I read the CFTC denial of any gold manipulation as a statement that government control and manipulation of the markets is fine and to be expected.

    So why invest in a rigged market anymore???

    The government hates gold, and can control it to a large extent. What’s left to do???

    Avoid the gold sector seems like the obvious conclusion. NO???

    • On September 26, 2013 at 9:58 am,
      Matthew says:

      NO! Manipulation is part of the reason TO invest. Manipulations, down or up, present opportunity. This is why they are done in secret. With the supply/demand picture as it is, the manipulations can only slow the rise of gold and silver. The payoff will be worth the wait.

      • On September 26, 2013 at 10:25 am,
        Glen says:

        If you are investing to make short term gains you definitely need to seek guidance from a pro before investing in gold. If you are seeking insurance against economic collapse then gold is a very good buy right now. If you have a 3 to 5 year horizon you should at least have some gold. How much? Thats up to you.

        • On September 26, 2013 at 10:59 am,
          Matthew says:

          Gold is a great buy right now even for someone that has 6 months. Just buy on down days and put your sell stop at $1271. That’s not my approach, but I don’t buy gold just to flip out of it in a few months. Currently, I like silver and especially the juniors more than gold.
          One of the biggest mistakes the average investor makes is to take a full position at one price point. This is not smart for either those who like to buy weakness or for those who prefer to buy strength. Don’t price-plop!

          • On September 26, 2013 at 12:04 pm,
            Glen says:

            I bought several years ago in the summer of 2011. Worst Decision I ever made. I may be waiting for several more years to get back my nest egg.

          • On September 26, 2013 at 12:34 pm,
            Matthew says:

            Does this mean that you will sell when you get back to even?

          • On September 26, 2013 at 1:21 pm,
            Big Al says:

            If you are refering to ITH, probably yes.

          • On September 26, 2013 at 12:50 pm,
            Glen says:

            I may sell a little. I can’t predict what I will do 2 or 3 years out.

          • On September 26, 2013 at 12:57 pm,
            Matthew says:

            I really don’t think you’ll have to wait 3 years; 2 years should be the maximum and any number of events could accelerate things dramatically.

        • On September 27, 2013 at 2:33 am,
          Dan, calgary says:

          Trust me that the pros have no clue either. Best to study the market yourself. Brokers usually make you broke.

          Dan

          • On September 27, 2013 at 9:52 am,
            Big Al says:

            Yep, some do!

    • On September 26, 2013 at 11:22 am,
      Big Al says:

      I don’t personally think that is a good thing to do with my long term time frame!

    • On September 26, 2013 at 12:18 pm,
      Wayne says:

      Absolute manipulation is no more possible than creating real wealth with a printing press. If the dollar was real wealth, it wouldn’t be necessary to back it up with guns (the full faith and credit of the US gubmint). The manipulators are magicians or tweekers. They have no real power. The universe is governed by laws the breaking of which will always be accompanied by penalties. Why? Because God IS! All governments that clothe themselves with His attributes (all powerful, all knowing, present everywhere – sound familiar?), will destroy themselves! Read your history. The bankers will be found out and hung.

      • On September 26, 2013 at 12:52 pm,
        Glen says:

        You underestimate the power of the manipulators. If I was choosing my battles right now, I would shy away from this one.

  5. On September 26, 2013 at 2:21 pm,
    bb says:

    Not sure I understand wayne.
    The manipulaters have no power because “god is?”
    all powerful all knowing all wise and needs a little more money as George Carlin pointed out.

    Hope your right about bankers getting hung tho.

  6. On September 26, 2013 at 7:03 pm,
    Losers Lament says:

    Savage has been whining ‘manipulation’ ever since the ahem ‘news’ of QE4 got sold instead of bought. Dumb money (Savage & his flock of clueless sheep) bought obvious news and the smart money sold. period. Finally Savage is catching on that gold is not done going down, but he still sings the manipulation blues.

    • On September 27, 2013 at 7:21 am,
      Phill says:

      Yes; the song goes something like this: “Don’t cry for me manipulation….you are to blame…but I always tell my subscribers….because I am always right……lalaaaa..chan chan chan!!”

    • On September 27, 2013 at 9:46 am,
      Big Al says:

      In all fairness, Losers Lament, a lot of people are singing the manipulation blues right now!

      Anyway, as I have always said, listen to all and then make up your own mind.

  7. On September 27, 2013 at 1:58 am,
    Bird Man says:

    Not sure if this is making news in the mainstream press over there but this local story about the real extent of the bloody carnage at the Westgate Mall in Kenya wiill probably rattle some nerves of any tourists who were planning on a visit. Seems the ideas of a “Texas Chainsaw Massacre” were just a warmup for the real event intended to scare the sh*t out of anyone with ideas of African tourism. Honestly, this is all pretty grim stuff if it is really true. I have no idea either and neither does anyone else but it did make the news. If this story is being suppressed as news then all the better as the terrorists now consider all foreigners legitimate targets and seem unrelenting in their goal of destroying Kenya’s economy. We probably don’t need to know every detail but the outline is frightening. God bless anyone who puts these savagely sick SOB’s in a deep lonely grave where they rightfully belong. Al Shebab needs to be crushed into oblivion.

    From “Kenya Today News”.

    “Eyes gouged out, bodies hanging from hooks, and fingers removed with pliers: Horrific claims of torture emerge as soldiers reveal gory Kenyan mall massacre details. Soldiers told of the horrific torture meted out by terrorists in the Nairobi mall massacre yesterday with claims hostages were dismembered, had their eyes gouged out and were left hanging from hooks in the ceiling. Men were said to have been castrated and had fingers removed with pliers before being blinded and hanged”.

    Full story:
    Agonizing deaths, eerie sufferings, the ‘WASTE GATE’ that was never reported to you.
    http://www.kenya-today.com/news/agonising-deaths-eerie-sufferings-waste-gate-never-reported-yet-kenya-claims-victory

    • On September 27, 2013 at 9:52 am,
      Big Al says:

      Wow, man’s complete inhumanity to man!

      I, personally, don’t mind staying home at all!

      • On September 27, 2013 at 12:08 pm,
        Bird Man says:

        Seems to be true after all. USA Today picked this up but almost everyone else is not publishing the gruesome aspects of the story. It is unbelievably sick what was done there. These guys are not just intent on destroying tourism in Kenya (on a steep downward spiral currently) but on making all foreigners fearful of coming to invest in the continent. Whether this will affect any of the miners is unknown but it just got a lot more dangerous to live in these parts. Clearly this massacre cannot go unanswered especially as it now seems some of the attackers may have escaped along with the frightened shoppers. If attention is what they wanted they now have it but my belief is that the severity of what happened is so extreme it can only result in the destruction of that organization in the coming years. They just went too far. It is beyond Satanic.

        • On September 27, 2013 at 1:20 pm,
          Big Al says:

          You, my friend, will find the first two segments of the Weekend Show very interesting. As the guy from Men’s Warehouse says, “I guarantee it”!

          • On September 27, 2013 at 2:59 pm,
            Bird Man says:

            Looking forward to it Al. I just hope I can get a good connection to tune in tomorrow.

  8. On September 27, 2013 at 5:31 am,
    Gabriel says:

    Hi,

    Just a quick question, markets have all along deliver the maximum pain to investors…therefore allowing retail to take maximum losses and minimal gains..

    In a situation like now…given it had broken the 50dma…wouldnt this be a situation whereby a lot of speculators and retails would have bailed out???

    So if gold and the miners does move up from here…doesnt it mean a lot of ppl would not benefit from it??….i read from many ppl they have liquidated their positions…not taking the very long term investors….

    shouldnt this be an great opportunity to fade the move of everyone else??
    (i am just clueless so asking this question)

    • On September 27, 2013 at 6:42 am,
      Bird Man says:

      Good question and great point Gabriel. In fact you are correct. One of the biggest headwinds facing gold and silver after such bitter delines is that there will be tremendous selling pressures all the way back up. A lot of people want out of positions they took earlier in precious metals and would savour a good opportunity to just break even. My contention is that this will result in a gold market that only rises very slowly for the next year or two. Granted though, plenty have taken losses already and it is not clear how much selling pressure there would be. We had heard that most small positions in GLD had been liquidatated long ago whereas the smaller investors in SLV have mysterioously held on. The folks who buy physical are another breed altogether. Those guys won’t dump their metals even to pay grannies medical bills.

    • On September 27, 2013 at 10:36 am,
      Big Al says:

      Hi Gabriel,

      Listen to the weekend show. Kenton Ralph Towes, our broker, tells me that a lot of new people are currently moving into our sector.

      Best