In The News Today

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Practise the disciplines of silence, cleanliness and forbearance. In silence, you can hear the voice of God. Through cleanliness you earn purity. By forbearance, you cultivate love. Feel that each moment is a step towards Him. Do everything as dedicated to Him, directed by Him, as work for His adoration, for serving His children.
–SSB. Nov 23, 1968

My Dear Friends,

There is a concept that mid-tier gold mining companies might be the only serious repository of physical gold with low costs and low overheads.

Mike Martin used to work for my brokerage firm as chief analyst of resources companies. You might check with him as I am getting a great deal of questions on individual mining companies.

As the CEO of one, it is professionally compromising for me to comment on others. There is no financial relationship directly, or tangentially with Mike. He is simply very good at what he does.

Michael Martin –



Jim Sinclair’s Commentary

Thank you Financial TV.



Jim Sinclair’s Commentary

The plan was to break the demand for real gold by breaking the price of paper gold. By mistake the central planners have just run a sale on gold that shows no sign of diminishing.

This is the beginning of the end of paper gold. This is the emancipation of real gold from paper gold. This price the gold will trade at in the physical market for gold when it is free of paper will astonish even the most bullish of "Our Crowd"

"There’s been people coming in buying and buying and buying,” said Michael Kramer, president of MTB, a New York City coin dealer. “People think the bottom is now over. People are investing.”

U.S. Mint Suspends Sale of Smallest Gold Bullion Coin
By Jeffrey Sparshott
April 23, 2013, 4:20 PM

The U.S. Mint this week stopped selling its smallest-denomination gold bullion coins after surging demand ran down government inventories.

“While the one ounce gold bullion coins remain the most popular, demand for the one-tenth ounce coins has remained strong too, with year-to-date demand for these coins up over 118% compared to the same period last year,” the Mint said Monday in a memo to authorized purchasers. “Accordingly, the United States Mint has temporarily suspended sales of its one-tenth ounce gold bullion coins while inventories can be replenished.”

Gold futures last week were hit by a historic selloff–on April 15, gold prices fell 9%, their largest one-day slide since the early 1980s. Prices have bounced back off of last week’s low, though many analysts have trimmed their forecasts for gold prices.

That doesn’t appear to have slowed coin buyers. The Mint sold 85,000 of the one–tenth ounce coins in April, the second-strongest monthly total after January.

“There’s been people coming in buying and buying and buying,” said Michael Kramer, president of MTB, a New York City coin dealer. “People think the bottom is now over. People are investing.”

The Mint’s American Eagle Gold Bullion Coins are sold in four sizes: one ounce, one-half ounce, one-quarter ounce and one-tenth ounce, the Mint said. Total sales of all size coins so far this year have more than doubled compared to the same period in 2012, the Mint said.


Jim Sinclair’s Commentary

Here is the sum and substance of the real problem. As long as paper gold is cheaper than physical gold the warehouse supply of all paper exchanges is going into a major long term draw down. That is grade school level economics that the central planner failed to consider in their recent paper takedown of the paper gold price.

The exchanges are screwed and this is the real beginning of the end of paper gold as a price mechanism that bullies can have their way any time they want.

When Lehman was flushed it set off a crisis of historical proportions. Now that most of the above surface gold may well be stolen, how do you know the muktars of the Great Gold Train Robbery of 2013 do not now want gold emancipated from paper so its price rises beyond your wildest expectations?

2008 was manufactured by the flush of Lehman. This may be the flush of paper gold to emancipate and free gold to prices unimaginable to further enrich the individual banksters.


Jim Sinclair’s Commentary

JP Morgan does not have a problem because Morgan has a tunnel to the world’s gold hoard at the New York Fed. Ask yourself, why must they have a tunnel between two private hoards?

There’s been a recent huge drawdown of physical gold at the New York COMEX and at the JP Morgan Chase depository. Look at the physical market drawdown on the charts below. It has taken a drastic plunge.

Houston we have a problem.

Physical inventory drawdown at JPM
Charts by Nick Laird of


Jim Sinclair’s Commentary

Rarely have I suggested that the equity market is getting heavy. It is. The message of the equity market to central planners is "QE to infinity" or the entire house of cards comes down.

Nenner suggests that a major Dow top could occur in May.
Bo Polny suggests a major Dow top could occur in May, after the 18th.

The direction of gold will follow the dollar, not the Dow. Hyper-deflationists must ask themselves how will central banks in the Western financial world react to a market clout. The central banks in North America will panic. The ECB will cancel austerity. Central Banks will react as they have always reacted.

This might have something to do with Bernanke’s lack of public enthusiasm to be named Chairman of the Board of the Fed again. Japan is committing ritual suicide of their currency, and will simply continue. Gold is in my opinion headed for emancipation from paper soon.

Simply put, it is all happening here and now. Stand firm, and go the course!

Click here to watch the video…


Jim Sinclair’s Commentary

Tired of the Banksters? Your vote for Liberty is the purchase of any one ounce gold coin


Jim Sinclair’s Commentary

If you do not stand up and say no you are the public here.


Dear CIGAs,

Gold is storage,

I know when I have touched a raw nerve. The emails this morning concerning in the system storage are as overwhelming as the first time I suggested pension funds were in the cross hairs of the central planners.

Read your storage contracts carefully. The experience I wrote about is not isolated according to the incoming emails which seem legitimate to me.

Inquire if your storage facility is prepared to deliver to you according to your storage agreement. It is a simple question that should be asked as if you are really interested in delivery, not transport.

Trust no one, check everything.

Once is happenstance. Twice is coincidence. Three times is enemy action.
— Ian Fleming

Jim Sinclair’s Commentary

Anyone with a brain knows exactly what this is all about.

Goldman Sachs Just Covered Its Gold Short
Joe Weisenthal | Apr. 23, 2013, 8:55 AM

Goldman Sachs has covered its gold short.

Here’s why:

We closed our short trading recommendation on gold  We have closed our recommendation to short COMEX Gold, as prices  moved above the stop at $1,400/toz. We have exited the trade significantly  below our original target of $1,450/toz, for a potential gain of 10.4%. The  move since initiation was surprisingly rapid, likely exacerbated by the  break of well-flagged technical support levels. Our bias is to expect further  declines in gold prices on the combination of continued ETF outflows as  conviction in holding gold continues to wane as well as our economists’  forecast for a reacceleration in US growth later this year.



Jim Sinclair’s Commentary

The predictable result of the down sloping economic indicators in the USA and any real acceleration of the European contraction is stimulus to infinity.

Right now the central planners have Japan doing their additional work for them. There are signs that indicate that Bernanke is not overwhelmed at a reappointment.

It is not too difficult to connect the dots.

EU near austerity limit, says Barroso

"Socially and politically, one policy that is only seen as austerity is, of course, not sustainable," Barroso said. "We haven’t done everything right … The policy has reached its limits because it has to have a minimum of political and social support."

"In Berlin, meanwhile, four months before the biggest election in Europe this year, chancellor Angela Merkel signalled that the recovery of the eurozone might have to come at the cost of reduced sovereignty for member states over economic policy. "It is chaos right now," she said, referring to "incompatible" economic structures and policies across the eurozone, which were impeding a successful resolution of the crisis. "We need to be ready to accept that Europe has the last word in certain areas . Otherwise we won’t be able to continue to build Europe. We don’t always need to give up national practices, but we need to be compatible."

Her remarks appear to presage a big fight between now and the summer between EU leaders over eurozone economic and fiscal policymaking, with Berlin and Paris fundamentally at odds.

The pair had planned to deliver a joint policy proposal by next month before an EU summit in June, but the French president, François Hollande, appears reluctant to go along with the scheme."