Jim’s Mailbox

Posted at 11:47 AM (CST) by & filed under Jim's Mailbox.


MSM would have you believe rates are rising because the economy is strengthening. They don’t want the public to see this.



Dear CIGAs,

As an old gold bug that holds fast to the eternal truth expressed in Genesis 2 v11 and 12, and the gold of that land is good, as in not an evil, who believes and not just hopes in the ultimate triumph of good over evil. The true definition of belief or faith is not to be confused with hope, which may, if based on a false promise, turn out to be both fleeting and disappointing. I read Mr. Sinclair’s opinions on a daily basis and must say I find his advice as good as the gold he advises all and sundry to hold. It is said there are three levels of knowledge:

1. Those who are blissfully ignorant, and don’t know that they don’t know.
2.those who know that they don’t know.
3 those who know that they know, which comes as a result of sound reason and logic, the overwhelming evidence upon which one builds confidence and courage in the face of any and all contradictions to the contrary. A knowing that comes not as a result of pride and human conceit, but of a conscious and deliberate submission to truth, motivated not by financial gain, but rather by a healthy and robust love and respect of the truth, being able to be right and then to sit tight in spite of the mope.

I read an article today regarding some prison inmates, one of whom jumped into a swollen, fast flowing, very cold river to save the life of two small children whose canoe had capsized. He dismissed his bravery with the reply that any good person would have done the same, which begs the question:

What might the outcome of this accident have been if instead of the prison inmates we substituted a couple of as-yet convicted bankers? What are the odds the children perished? I would say 1000 to 1 would be a slam dunk. In fact I could well imagine the proverbial banker instructing his nearest slave, I mean indentured servant, to see if he could lay hold upon the now abandoned canoe under salvage law #666.

GIGA Harold L


My thought after watching the Mercedes-Benz Super Bowl commercial is that if people knew the true value of their soul, they would not be tempted to trade it for anything, even for the whole world.

Take care,
CIGA David

Mercedes-Benz 2013 Super Bowl Commercial (Extended Cut): "Soul"

Dear David,

It looks to me like the Gold Banks have also gotten in the soul buying, and car giving business. That office is directly across from the OTC derivative manufacturing and distribution center.

You know this advertisement is closer to the truth than people understand.



Regarding outright extortion in gold and market manipulation price not volume orientated:

You can take comfort that your words and teachings are taken very seriously by me when you say "Do Nothing." To those that do not listen, there is knowledge in this quote.

If words of command are not clear and distinct, if orders are not thoroughly understood, the general is to blame. But if his orders are clear, and the soldiers nevertheless disobey, then it is the fault of their officers.
–Sun Tzu "The Art of War"

The overlay charts tells us where the USD is headed after it crosses the EURO .72 and lower as you have said. The Gold chart says it all this morning at 10AM EST.

Have a good weekend and rest well. God knows you need it after all the negative email you must get.

CIGA Perry

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Flaubert’s quote: ‘The public opinion is the worst opinion possible.’



Hi Jim,

At the exact moment that CNBC (Continuous Network Bullshit Center) released the headline today that the gold era has ended, the cash market was up $9.

As a long time follower and reader since before you opened JSMineset, I have to say that you have continued to give me direction, tools and comfort in this volatile market. I can’t thank you enough for all you do! (I discovered your writings as I was searching for the new paradigm after 9-11 as I realized that everything had changed at that moment. I remember telling my wife and coworkers that nothing would be the same from that date forward).

I’m an independent financial consultant (29 years in this business and learning every day!) and deal with the individual and small business market daily. I am also a partner in a small transportation business.

I get all the market "insights" from the major establishment firms in the investment and insurance world and I can tell you that most of the info I get from them is of course very much the same as the MOPE that comes from the rest of the media. Only by reading and following your site and all of your varied sources do I feel prepared to help my clients understand the reality of our global economic and financial situation. I proudly display my golden comet on my desk. PLEASE keep up your great work.


Dear Tim,

MSM is working overtime to discredit gold while every gold bank is publishing articles about the death of gold. That alone is absolute proof that gold is going to $3500 and above since no such entities have ever called the top or bottom of any market. What the entities do is write to please their masters or positions.




Yesterday’s highwaymen used to demand their victims stand and deliver their valuables to them when robbing coach passengers. What perfect irony then to have today’s highwaymen (the Cartel robbers) hearing and fearing the same words!

For the low information sorts who get their news from the money honeys of FTV, or the ‘tingly leg’ MSM, some background:

Ever since the CFTC was compromised and the markets corrupted, it has been SOP for the Cartel to conduct paper raids in Gold and Silver on the COMEX around options expiry and first day notice to discourage any longs from standing for physical delivery. The monthly BLS-BS report and FOMC meetings are merely ‘bonus’ opportunities for manufactured market events if the manipulators see the need to further manage prices and/or scare the longs silly.

For some perspective, December is typically the biggest delivery month of the year. Last December’s Gold delivery was 10 tons.

Yesterday’s massive Cartel paper raid (and today’s attempt to play whack-a-mole in the spot market) was a big FAIL writ large. With 1,390 contracts standing for delivery (that’s 1,310,900 ounces of Gold, or 43.26 tons) on this first notice day, I wonder how many of those Gold contracts standing can be seduced by the ever-charming Blythe of the House of Dimon to accept paper instead of physical?

Despite the obvious and transparent MOPE, and the Cartel’s rope-a-dope game, physical will be standing at the end of the day and have greater value than the soon-to-be completely worthless paper promises of our modern ‘highwaymen’ will have.

CIGA Richard


Dear Jim,

We are told by MSM that inflation is low. I beg to differ. In December of 1996 I moved from Iowa to Florida. At that time gasoline in Iowa was $0.99. When I got to Florida I thought gasoline was quite expensive at $1.19. Today in Florida it is $3.60, exactly triple in 16 years.

In 2001 I worked at the Outback Steakhouse. At that time, the 9oz Victoria’s Filet was $16.49 ($1.83 per oz). Today, at that same location it is 8oz and is $22.49 ($2.81 per oz). That’s a 54% increase in 11 years. The Outback Special (sirloin) has gone up 31% in the same timeframe.

In 2001 an ounce of gold would buy less than 20 Outback specials. Today it will buy more than 98. In 2001 an ounce of gold would buy 138oz of Victoria’s Filet. Today it will buy 594.

I believe this is what you mean by currency induced cost push inflation.

I’ll be sitting tight with my gold and when you say it’s over, I vow to be among the 1% that believes you. Your service is more valuable to us than even you realize.



What we are facing so far is a moderate currency induced cost push inflation. The strong dollar policy is to not allow the dollar to decline too fast. It will fail and that day you will learn what currency induced cost push inflation really looks like.

I suspect that will be the decline from .7200 to .5600 on the USDX.



Hi Jim,

Well, it certainly looks like the EURO is well on it’s way to achieving that 1.3800 target. Given the symmetrical AB=CD completion and the alignment with the big 62% retracement, I would expect to see a bit of a pullback upon achieving that level. Certainly nothing on the charts to deny further upside following a bit of a post-target breather giving the EURO bulls an opportunity to recharge their batteries!

Take care,

Dear Russ,

This might only be the first stage of a major bull market in the euro for reasons never to be mentioned in MSM.




Hi Jim,

It surely appears that many are required to experience some anxiety, rapid heartbeat and heavy perspiration riding this bull while awaiting the “bell” and lofty future prices unknown. I employ your teachings: buy gold, have faith, hold on tight!



Dear Jim,

The longer they suppress the ball under water the more explosive the pop up and rally is going to be

CIGA Luis Ahlborn Sequeira

Americans Buy Nearly Half a Billion Dollars Of Gold and Silver In January
January 30th, 2013

silver pricesMac Slavo: While public officials may be ignoring the continued deterioration of our economy, job losses to the tune of hundreds of thousands of people weekly, and the unprecedented demand for government emergency support services like unemployment insurance and food assistance, Americans who sense uncertainty in the air are flocking to the safety of physical resources.

Our first point of interest is a recent report from the Federal Reserve that indicates some $114 billion dollars in cash was withdrawn from the nation’s largest banks in the last thirty days. Those holding their money at bailed out financial institutions are understandably concerned because the government’s $250,000 deposit insurance guarantee program, originally implemented to restore confidence in the wake of the 2008 financial crisis, expired at the end of 2012. That and the US fiscal situation has never been worse, with one Obama official recently having said the solution to the country’s woes is to simply kill the dollar.

This suggests investors and cash savers are no longer confident in the purported safety of the country’s “too-big-to-fail” institutions.


Hi Jim,

Just some anecdotal information I thought everyone might find useful. Our business was down 18% in December and the same in January 2013 (We sell to 40 retail stores throughout Florida). One area large business association in a popular shopping destination polls their retail members each year after Christmas/December sales and found that as a group they were down 40% for the season. Ouch.

Household liquidity appears to be increasingly important and under increasing pressure with not much hope for improvement because of reasons we are all familiar with. Ouch again.

Thanks for your guidance and encouragement as we continue to "sit tight, be right" and never sell.

CIGA Vince


Hi Mr. Sinclair,

Here’s the Credit Suisse report on Gold who’s era is coming to an end. I bought my last chunk of coins in April 2011 (my first on December 2003) at 1100 Euros. On Monday, after reading this MSM nonsense, I’ll be 100% invested in Gold!

Shame on CS!

Best regards,

Huge Credit Suisse Report Declares: THE GOLD ERA IS COMING TO AN END
US interest rates fell to a historic low level last year. This represents an extreme level of safe-haven seeking, thanks to "existential concerns" about the essence of Western Capitalism.