Saturday, May 15, 2010

Meltup - New viral video from


Unknown said... at 28:00 talking about shorting silver this would be the largest short squeeze in history

you know in hockey, sometimes a player will lift his own net off the ice in an attempt to stop a goal. The referees almost always catch this and the player gets a penalty for delay of game.

at 42:00 during the depression 27% of workers worked in agriculture whereas today only 2% work in agriculture

during the 1930's my grandfather worked a hard-scrabble farm and cut and sold timber so when the depression hit he just tightened his belt. One way he did that was to reduce the use of tractors and increase the use of horses. My father knew how to harness horses. I don't.

BxCapricorn said...

Great video, and I'm using this increase in my USD value, to slowly accumulate commodity stocks. This dollar carry trade reversal is giving us the illusion that oil will stay low, silver and gold will move forever sideways, and other consumable stock prices are dropping due to lesser demand. The reality, I believe, is the forced liquidation of stocks held by hedge funds, who use 0% interest rates to invest in such things. When the dollar pops, they have to cover and sell their prize assets. The guy at the 27 minute mark, nailed it. Banks are going to love inflation, except for JPM, who will have to cover their short position...eventually...unless they default at Comex and settle for cash.

BxCapricorn said...

USD index just hit 87 and future trading is down over 100 points in premarket on a Sunday. Euro banks must be getting clobbered and being forced to liquidate. Precious metals are up though. This is going to be a busy summer, and now thanks to BP, offshore drilling royalties will be non-existent for new wells, the Gulf coast economy will be impacted for many years, and Calfornia is facing draconian cuts that will stall the housing market comeback. Why hold down rates now, Bernanke? Will you let inflation short circuit any further home building to stabilize real estate prices? Will inflation wipe out my mortgage? Time to buy another year's worth of nitro-pak food, and get that carry permit...

Jb said...

Think of the millions of people who work in the service sector instead of on farms like in the 20's....what happens to them as people stop eating out or going to the movies? Where will they direct their anger and frustraion as their cars and homes are foreclosed upon?

With APMEX and several European bullion dealers unable to fill orders, I think the message is clear. There are enough people who no longer have faith in their governments and financial institutions to keep the ponzi/manipulation schemes going. This is what happened in 1929: loss of confidence. Record sales of silver Eagles is a defacto audit of the Fed.

On another blog site, many were slamming the Meltup video. I'm not sure if anyone knows the endgame. Saw a great video on YouTube by Flaskofcoffee that made a lot of sense though.

Full disclosure: long PM, Mountain House #10 cans and 9mm.

BxCapricorn said...

If you remember the last cycle, a commodity squeeze caused a huge sector sell off, and silver went below $9/ounce. I bought like crazy, but sold after the first recovery, when the DOW regained footing at sub 9K, waiting for the next leg down. It never came and I just never chased the ensuing rally. This time it will be different. GG. TGB. SLW. I had another buy signal across the board at noon today, and we started to see action going to stocks, with PMs going down. I bought hard last week and today, and I'm hoping to get a "Mountain House #10 rally".

Anonymous said...

Randy, regarding the farming that the video mentions...

Last Thanksgiving I started my first garden (I live in Florida).

What a wake-up call!

It's hard work, it's hard to grow stuff, and it takes months to get something I could eat.

I suppose I just need to re-double my efforts.

-Lars in Florida