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Worth reading in full
-The Banksters are quietly beavering away in Luxembourg
- putting the finishing touches to the European template of....
- how much can be stolen from the punters via the "bail ins"

Quote.....
The latest text requires national resolution funds to hold at least the equivalent of
- 0.8%
- of banks' insured deposits,
- higher than an earlier proposal of 0.5%
(That they hold a whole 00.8%).

However, national regulators will have less scope to prevent some liabilities from being bailed in, which they are allowed to do if that would protect financial stability. Exclusions from bail-ins
- will now be limited to..... 2.5%
- of an institution's total liabilities,
(down from 3% in an earlier text).

Or to put that the other way 97.5% of an institutions liablities - CAN - be bailed in

Liabilities of course being.....Senior Bondholders - Junior Bondholders - Shareholders and....
- nearly forgot....Savers/Depositors etc
(97.5 % ....of which - CAN - be bailed-in)

http://www.nasdaq.com/article/eu-wont-fix-minimum-level-of-eligible-bail-in-funds-20130620-00694#ixzz2Wq4nVGVK

Still worried about the fictional paper price - of precious metals

(Not 97.5% but - A full ZERO % of that - falls in the above bail-in plans)

a snippet from Ed Steer's daily

I just knew it was going to be busy at the store yesterday, as the phone rang about a dozen times before the owner picked it up when I called in yesterday morning. We were busy all day long. Good silver orders...but the amount of gold we've been selling over the last couple of months continues to astound me. Yesterday was no exception.

Since yesterday was the 20th of the month...and it fell on a week day...The Central Bank of the Russian Federation updated their website...including their new gold reserve numbers. It was fourth month in a row that they added 200,000 troy ounces. Their reserves, at least the ones they admit to, now total 32.0 million troy ounces

Holding steady snurks. :*0

Yesterday’s price drop has again led to..... increased demand in China
- and much of Asia.
Reuters report
- that traders say that China “snapped up bullion at lower prices.”
- India too
- In Thailand, gold shops on Bangkok’s Chinatown saw huge demand.. as people rushed to buy gold at bargain prices.
As gold prices in China have dropped continuously in the past week,
- the volume traded in the Shanghai Gold Exchange
- climbed to a one month high on Wednesday.

Then there's the Rothkiddies owned Reuters - "but analysts & sentiment looks blah, blah etc"

http://uk.reuters.com/article/2013/06/21/markets-precious-idUKL3N0EX0FK20130621


It is always worth looking at gold’s last bull market in the 1970’s when gold rose from $35/oz in 1971 to over $183/oz by January 1975.
- In the next 21 months, gold fell in value by nearly 50% to $104/oz by late August 1976.
- This led to many pronouncements that gold’s bull market was over and the bubble had burst.
But (once TPTB had restocked)

In the next 40 months from August 1976 to January 1980, gold rose 8 fold from nearly $100/oz to $850/oz.

Agree with you Gaz,

Let them take it down, for whatever reason they have or for whoever they are doing it for.
The upside to this is huge and I keep adding as and when I can. Personally I see it as a gift and am certainly not upset about it. If I can keep adding to the stash at these levels for a few more months I'd be grateful, but also if the price was to rise from here on, I'd be happy too.
I'm in no rush ....

Are you just buying AGQ and other silver miners Squirrel or focusing on the actual PM itself. Have been tucking away Maples, Libertads and Harmonics over the last 3 years or so. Tempted to go for a bigger chunk this time round.

Pity the bastard of a Chancellor charges VAT on silver purchases tho. Typical governments, want a piece of every pie.

Bill Holter's latest.......it's a good 'n

http://blog.milesfranklin.com/interest-rates-have-risen-50

Omce - my favourites are maples as they are much more shiny than other coins but I have Brits too & I don't mind paying vat. My purchases are all legal & I keep a log. I've got gold too with certificates.

I was left coins by my grandad & been given alot of jewellery over the years - I'm a size 10 blonde beauty - what can I say. Got diamonds too. One whopper.

I keep in touch with a local coin dealer who has a huge safe & he keeps Krugs. He deals in stamps too - really nice guy - old school. The thought of the empire & fiat going t&ts up scares him but all his kids are highly educated & he'd hate to think they'd ever blame him for system failure. Hence the well stocked safe I guess.

He's been in business 40 years.

I've got huge green eyes btw - if you met me you'd be speechless - guaranteed!

Mml - going to wait and see on that one. I prefer to hold physical gold. Silver is more useful & I think in terms of value pro rata it will outdo gold. Agq & coins are my hedge/drug of choice. Asset rich.

I'm a size 10 blonde beauty - what can I say. I've got huge green eyes btw - if you met me you'd be speechless -

Oh my!

Not a fan of Brits - prefer Maples,Libs and Harmonics. Is there any difference, other than silver content for Brits?

I hate paying VAT - I've already paid tax at least once before I buy Silver - why should I be taxed again other than to underwrite some lazy git on welfare popping out numerous kids who think's it is his/her right to live free off other people's hard work....

Prefer physical anything to mining shares frankly.Given how miners have underperformed the underlying. Bought MML too soon - averaged down a couple of times.Thinking of doing so again.Sub 100p they look tasty.

Snurkle - as the east also thinks and appreciates - gift prices

The central banks also appreciate it too - as much as they can get

Andrew Maguire
“Just off wholesaler calls. Most are too busy to talk at this time, but today (Thursday) will be ...
- the largest volume day this year and ...possibly 2 years.

Central bank purchases
- are almost certainly.... far in excess of paper sales.
- We are so close to the marginal cost of production that my contacts are saying the gates are wide open here .....to purchase ...all physical... that is available

These were immense amounts of...... paper gold hitting the market,
- yet there is .....absolutely zero physical gold..... for sale
- and nothing... but buy orders... in the wholesale market.

http://kingworldnews.com/kingworldnews/KWN_DailyWeb/Entries/2013/6/21_Maguire_-_TAKE A HINT- back up the truck.html

and - we are getting reports of .....extremely large allocations of gold,
- but also..... far larger direct producer deals ....being struck ...outside the paper markets.

I'm a size 10 blonde beauty - what can I say. I've got huge green eyes btw - if you met me you'd be speechless -


LOL !

MaxK - amazing - you and squirrell must have been twins - separated at birth perhaps :o)

Gaz - ever had that stomach punched feeling that something terrible is about to happen. I got that last night - really bad feeling. Can't shake it off. Must be my eyes seeing into something but hundreds of candles lit & all set on different coloured carpets. Gave me such a bad feeling it woke me up.

Max - you stop that copying now. Plagarism.

I think Squirrel has finally got hold of that first alcoholic drink since arriving in the Middle East a few months ago :-)

Gaz, Funnily enough I was just reading an Alistair Mcl. piece (see below). As for backing up the truck......you darn right!! Even my colleagues at work are now buyers. We're pooling together to save on delivery charges as they can be real stingers and it gives the guys who can only afford 1 or 2 coins a chance to get in too.

by Alasdair Macleod - Head of Research

weekly Market Roundup
First it was Abenomics, then Ben Bernanke dithering about tapering, followed by crisis-rates in Chinese wholesale money markets. It has been quite a week capping quite a month. Gold and silver got badly hit, which tells us that so far investors think this is no more than overbought equity and bond markets unwinding. As long as no one in western capital markets is seriously considering systemic risk, they are unlikely to flock to gold or silver.

Systemic risk should not be treated lightly. There are two worries for Mr Bernanke that explain his indecisiveness: firstly, falling equity prices undermine consumer and business confidence (at least in the central bankers’ playbook); and secondly rising interest rates along the yield curve are bad for bank solvency.

This latter point needs more explanation. During the Libor scandal, it became apparent that a small interest rate fall boosted derivative values significantly. Citigroup helped us quantify the effect when in 2009 it reported that a 1% fall in interest rates would enhance its derivative values by nearly $2bn a quarter. Citigroup is one of the smaller players in the derivatives market, with only $14.2 trillion of interest rate swaps at the time. This explains why zero interest rates were a necessary component of the rescue package at the time of the Lehman failure.

According to the Bank for International Settlements, last December there were $370 trillion of interest rate swaps. Using the Citigroup numbers as a guide, a 1% rise in interest rates would cost the banking system over $200bn in a year. Bear in mind that this cost is concentrated in a few too-bid-to-fail banks, and this is only part of the total derivative market, which amounted to $633 trillion. The reality of tapering is that the Fed is going to have to tell Congress that their interest bill is going to rise, so they better cut their spending, and that he is going to have to find an extra one or two trillion to give to the banks.

Instead, the reality is there is no going back from QE, and current instability in financial markets is probably only the beginning of an acknowledgement of this dilemma. The trade-off is between escalating systemic risk and being locked into further monetary inflation, either of which justifies protection by owning precious metals.

Less noticed is the havoc wrought in emerging market currencies. The Indian rupee has fallen 8% against the US dollar in the last month, the Turkish lira by 6.5%, and the Brazilian real by nearly 11%. Perhaps it is the cost of living in the latter two that is driving civil protests.

The week ahead:
Monday will be anticipated with trepidation: will equities continue to accelerate their slide, or will complacency return?

It will be a quiet week ahead for announcements, but for a raft of Japanese statistics overnight on Thursday/Friday.

Monday: UK Nationwide House Prices.

Tuesday: UK BBA Mortgage Approvals. US Durable Goods Orders, S&P Case-Shiller Home Price Index, New Home Sales, Consumer Confidence Index.

Wednesday: UK CBI Distributive Trades. US Core PCE Price Index (final) GDP Annualised (final).

Thursday: eurozone M3 Money Supply, Business Climate Index, Consumer Sentiment, Economic Sentiment, Industrial Sentiment. US Core PCE Price Index, Initial Claims, Personal Income, Personal Spending, Pending Home Sales. Japan CPI, Real Household Spending, Unemployment, Industrial Production, Retail Sales.

Friday: Japan Construction Orders, Housing Starts. UK Index of Services. US Chicago PMI.

I have to admit Squirrel, I have a similar feeling. It's almost waiting and anticipating the next page in the agenda of TPTB.
The world is rocking from east to west, although the US and northern Europe are still pretty much asleep.
Frightening thought what could happen if we finally woke up. I'm ready for it though as it's time for us to take back control of our lives.

Morning snurks - no not drink but it was a full moon last night & the summer solstice. Honestly - very vivid dream.

Interesting post btw. Met someone here who says invest in Turkey!

Snurks - very strong feeling to get home. I don't know why yet. Father-in-law had a wobble - nothing serious but its a factor for us to not be here too long.

This dream felt so powerful. I had a friend next to me helping me look for something then we came upon this site full of lit candles. The last time I had something like that I was home within a year & then the 2008 crash happened soon after.

I know we're on a time limit here. It might end up being a year.

Made new friends so its not that I'm feeling lonely.

It's something big coming. Feels none man made. A divine event. But when it happens I won't be alone.

I was in the 2004 Tsunamis. It feels big like that. Not sure.

Sounds ominous.

I hope you make it back home in time

Here's a piece of Ed Steer's daily catching up on yesterdays trading pm's


It was another busy day at the store on Friday...and like it has always been, silver sales were great, but gold sales were astonishing once again.

Well, my guess that there wouldn't be much in yesterday's Commitment of Traders Report turned out to be only half right. There were no changes worth noting in silver...but gold was a horse of a different colour.

In gold, the Commercial net short position declined by a very chunky 14,207 contracts, or 1.42 million ounces. The Commercial net short position is now down to only 4.41 million ounces...a level not seen, according to reader E.W.F..."since February 8, 2005." He also noted that the gold 'raptors'..."hold their biggest net long position since February 20, 2001."

The Big 4 short contract holders [which, of course, no longer includes JPMorgan Chase] are short 10.22 million troy ounces of gold which, on a 'net' basis, represents 31.9% of the entire Comex futures market in gold...once the market-neutral spread trades are subtracted from the total open interest.

The '5 through 8' short holders in gold are short an additional 4.60 million troy ounces of gold on a 'net' basis. That represents another 14.4 percentage points of the total Comex futures market on the short side.

So the 'Big 8' in total are short 46.3% of the entire Comex futures market in gold on a net basis...and are short 236% of the Commercial net short position, which is preposterous.

But to put things in perspective for gold, the 'Big 8' short holders in silver are short 252.5 million ounces of the stuff...and the Commercial net short position is only 29.8 million ounces...so that puts their combined short position at 1,080% of the Commercial net short position.

The 236 percent in gold...and the 1,080 percent in silver...are almost impossible to believe...but there they are...and will be even more over the moon in both metals as the Commercial net short positions in both shrinks to zero, which they're probably close to right now.

After the events of Wednesday and Thursday, it's a good bet that JPMorgan Chase is out of its silver short position...and if not out, then close enough that what remains of it no longer matters, as they are covered in other markets...particularly in gold...which they have an even bigger long position in now than they did at the Tuesday cut-off for yesterday's COT Report.

We'll only see these numbers IF the precious metal prices remain flat through the close of Comex trading on Tuesday, the cut-off for the COT Report on Friday, June 28th...and I certainly wouldn't bet the ranch on that.