Jim’s Mailbox

Posted at 10:28 PM (CST) by & filed under Jim's Mailbox.

Dear Mr. Sinclair,

As you are aware on April 19, 2013 I sent you an email and a gold chart titled “Bottom is In” that you posted with a heading of “$1300 Gold Never Again”. Here is the link: http://www.jsmineset.com/2013/04/19/1300-goldnever-again/

We await May 2-3, 2013 the first date referenced on the original chart. Please see below an update of the chart thru yesterday, April 23, 2013:

2  GOLD UPDATE 4.23

 

Gold is right on target and performing perfectly this week. The bottom is in as of April 15, 2013 and as stated earlier $1300 will never be seen again. With regards to Silver, it has been the weaker of the two as it sits at the BOTTOM of the 8 year support line of the gold/silver ratio that PERFECTLY matches the FINAL low of October 2008 which marked the FINAL BOTTOM! See attached gold/silver ratio chart:

1  GOLD SILVER RATIO

THE ONLY DIRECTION GOLD AND SILVER ARE GOING IS UP AND SOON!

The date clock I posted last week was May 2-3, 2013 and that clock is ticking for the metal to move up. There are 7 trading days remaining into next Friday, May 3rd and the wind will be to gold’s back the entire time pushing it UP!

Additionally, there is a triangle that GLD is forming and is now running out of room, thus expect a BREAK-AWAY GAP to form very soon, see chart:

4   GLD 4.24 3   SLV 4.24

The BOTTOM is in.

All the best,
CIGA Bo Polny

 

Jim,

Most people here cannot imagine a situation you are talking about. I have no trouble because I lived through it once already. I am waiting for a repeat, here and now.

Look at these graphs. This is what happened in Poland in the 1980s . Economy collapsed, prices soared, and the government was saying that everything is good and under control. They lied until the last day in office. I remember I bought an old car. Because I was young and inexperienced somebody glued rusted panels with paper and paint. I washed the car and the side panel came off. I was worried, but not for too long. It was still a good investment. A year later I sold that car for double the money.

The lying caused communism to collapse but I do not see big differences here to tell you the truth. I expect a similar outcome. We are flooded with paper. The difference is that this is on much grander scale and people still trust it. I guess the bang will be bigger then.

Inflation in Poland (%)

http://upload.wikimedia.org/wikipedia/commons/4/4b/PL_inflacja_wykres.svg

Price of 1 ounce of gold in Polish zloty

http://bankowski.files.wordpress.com/2011/01/19840109-19900109-inflacja-window.png

And this is why the communist government gave up the power. That is the real reason – total collapse.

Best,
CIGA Slawomir

 

Jim,

First, thanks for your faithfulness to the community who believes in sound money.  Your service to us is immeasurable and our appreciation for you is beyond what we could adequately express.

The thing you have said before, and which is so true, but that you left out of this recent article with King World News, is a massive difference between the gold market right now and the one in 1980: when the rebound in true gold prices occurs this time, there is NO CHANCE of a massive rise in interest rates a la Paul Volcker. No way can they do that again with the massive debt we have accumulated. Now, perhaps they have something up their sleeve that we have been unable to see to stop a rising gold price this time, but it certainly won’t be a spike higher in interest rates to "tame" either inflation or the surging price of gold. And, with apparently the gold gone, how can they flood the market with physical? They cannot.

You can talk about failure to deliver with Comex, ABN Amro, etal, but is not the 7 year German itch essentially a failure to deliver on the grandest scale of all? The U.S., purported to hold the biggest stash of gold by anyone anywhere, can’t deliver to big bad sovereign Germany except for 7 years from now? Clearly, they don’t have the gold and clearly they don’t have the capability of rising interest rates into the stratosphere to stop a rising gold market. All they have is the ability to create paper dollars on a computer and stuff the futures market with paper sells, thus going even further into "gold and silver debt" until the believers in gold and silver refuse to play the paper game anymore, which is happening right now.

In short, there is nothing to stop gold’s rebound this time around. Not that I can see, anyway.

Oh, what a mess has been woven!
CIGA Ron

Dear Ron,

I thought that was implicit in the King World News interview. Sorry, the fact of interest rates at or near zero is a key element.

The enormous increase in rates was why the recovery was blocked in 1980. This is why this recovery, from the now establish low in gold, will be the normal soap opera of the gold market, but to and above $3500.

If physical gold is emancipated from the paper scam no one can predict how high it will go. Some believe that emancipation of physical gold from paper scam gold is part of the plan of the recent take down in price; physical drains paper warehouses.

Respectfully,
Jim

Jim,

The paper scheme at the COMEX is increasingly being ignored, mainly as a result of the blatantly transparent paper-smash last 4-12/4-15. It was a flawlessly executed battle plan, but this time it is clear that while you can ‘win’ a battle, you also can ‘lose’ the war. And make no mistake, WAR it is between virtual paper and physical bullion.

For example, the ‘premium’ on physical silver has almost DOUBLED since the paper smash almost two weeks ago, with actual premiums reaching 40% if you can find any bullion. There is an obvious shortage of Silver bullion already, and signs of a shortage of Gold bullion are popping up in too many places for it not to follow suit.

The COMEX and the paper Masters of the Universe have so obviously unplugged from reality. It’s worth observing that the physical market prices of Silver and Gold bullion are now at (or higher) than the paper COMEX price was just weeks ago.

Ben and friends, sanguine in their long record of successful manipulation, were overconfident this time around and made a BIG mistake, possibly a fatal mistake… for the paper game.

Dr.CIGA Rico

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Dear Jim,

Since we both know all world markets are manipulated without exception, please consider the following possible scenario.

Here is the train robbery of the all human history that has been in place for decades, now modernized as follows:

-Drop the futures paper gold price below the strong international physical price to drain the Comex and all other gold paper exchange’s warehouses.
-Emancipate gold from paper as a result of the Comex going to GLD and or cash settlement.
-Flush the Comex just like Lehman was flushed.
-The Comex fades away into the sunset due to lack of trading volume.
-Gold goes over 3 years (2017) to $50,000 physical in the plan.
Almost all physical gold is secured already. The Banksters indirectly use everybody, Armstrong and others on the down paper price, and FreeGold people and the many pro-gold voices on the upside of the physical price.

As the flushing of Lehman and therefore bankruptcy in OTC derivatives was the key to pumping trillions into the financial system and bankster’s pockets, the upcoming flushing of the Comex is the final and enormous payoff to the banksters. It serves to protect the fortunes of the banksters into ten generations.

CIGA Anonymous

Dear Jim,

As the physical market is proving its mettle all over the world, and as the online dealers in US and Europe (I am in Germany) are running out of stock, Ron Paul – the consistent- gives us a different perspective to all of it. He says "No One Knows Value; I am buying it". Here is the link to one of the few interviews that make sense…

Best,
CIGA Prashanth

Hello again Jim,

A further update on Gold/Silver from Sydney, Australia.

I checked in with the same dealer again today. I was told that the queues outside the bullion dealer’s office had quietened a little bit – the wait is now only 1 hour to get in and buy/collect bullion.

Regards,
CIGA Filip

 

Dear Jim,

"…Yet the true story of Operation Rize reveals something far more chilling – a virtually un-noticed change in the law that strikes at the very heart of the British justice system. Under the Proceeds of Crime Act of 2002 (known as POCA), valuables and cash above £1,000 are presumed by the police to be the proceeds of crime, unless you can prove otherwise, a total reversal of the presumption of innocence. Aside from those three dozen or so people found guilty, the vast majority of the 3,500-plus box owners have turned out to be innocent. Yet their money was confiscated, and in many cases is still being held, by the Metropolitan Police or the Inland Revenue. The owners have spent nearly three years and thousands of pounds in uncompensated legal fees having to justify why they kept their personal belongings in safety deposit boxes and how they came by them in the first place. Worse still, when people have had their belongings returned, in some cases cash and jewellery has been missing.

Many of the box owners were Jewish or Asian; their families had fled Nazi Germany, escaped the bloodbath of post- partition India, or been thrown out of Uganda by Idi Amin. ‘These are people who have a history of having to move fast,’ says Siobhan Egan of Lewis Nedas, the London solicitors who represented over 100 of the box owners. ‘Many had come to the end of their business lives. They traditionally keep cash and jewellery quite legitimately.’ Lewis Nedas put an advertisement in The Jewish Chronicle and was inundated with responses from outraged Jewish pensioners. ‘A client of mine had a great deal of jewellery taken, another had £100,000 in cash, another £120,000,’ says Egan…"

More…

CIGA Margaret

 

Jim,

The last amount of silver I bought was late March. At that time, premiums were relatively normal. Delivery was 3 weeks out. When I went to pick up my order last week, the dealer said he’s never seen anything like it. Now the premium is much, much higher and delivery is much, much further out.

The cat is getting out of the bag. The "papers" will fail.

CIGA Jeremy

Jeremy,

This is the exact mechanism that will drain the COMEX warehouse until they push the panic button.

Jim