I propose that President Ahmadinejad ask Fidel Castro and Hugo Chavez to intervene with Peruvian President Ollanta Humala to allow him to buy 100% of that nation’s silver output and withhold it from the market. The name of the buyer should be not be made public. It will most likely take an act of the Peruvian Congress to declare a state of emergency suspending all silver contracts so an unnamed foreign party can buy and hold 100% of all Peru’s silver output taking it off the market until further notice. President Humala should announce that their diplomats are today consulting all silver exporting nations to form an OPEC like organization to force the New York and London banks who have been manipulating bullion prices to pay a fair price. The future of hundreds of millions of people depends upon our ability to negotiate market prices for the product of our labors. Privately the Peruvians could say that a fair price should begin at least $60 an ounce.
NATO sanctions on Iran’s banks have cut the purchasing power of the Iranian people by 30%. President Ahmadinejad needs a weapon to strike back at the banks. Doubling the price of silver will do that. And it will make him a hero in the Third World where people struggle daily to get a fair price for their goods and in the West where people struggle daily against the control bankers have over them through their governments.
2012 might be your last chance to resist peacefully. The President and the Congress passed NDAA 2012 which allows for indefinite detention without trial. The Congress has proposed two separate bills that would allow torture and removal of citizenship without trial. Americans who already had more guns than any other nation in history have been making record numbers of new purchases since November.
I only offer solutions that work because I am in this to win. Therefore I would ask everyone to buy silver and break the banks which own every government in the Western World. I would also ask you to do this. If you know someone in Iran or Peru, please save the lives of a few hundred million or even a few billion people who otherwise might die in WW III by forwarding this proposal to the Iranians and the Peruvians. I do not exaggerate. If we buy enough silver, we will break the banks and at least have a chance to take back our governments from the criminals who have sacked and looted our nations.
It does not matter if the people who help us break the Too Big To Jail banks do not like us or we do not like them. What does matter is that they are willing to buy silver and break the power of those who have robbed Americans of more than 30 trillion dollars. This same criminal cabal has robbed other nations as well. The entire world will cheer our triumph over Evil.
Elsewhere in the markets… Blackrock, one of America’s largest Hedge Funds, bought 10% of Agnico Eagle Mines whose stock had slumped last year after it had written off a failed project. Blackrock did this after Eric Sprott of Sprott Asset Management had convinced Endeavour Silver to hold liquid capital in silver bullion rather than in cash. That is a reasonable action given that silver is increasing in value while cash is declining in value. Eric Sprott had earlier announced that he would be increasing his purchases of silver bullion by a billion and a half dollars. The last time he did this silver was $18 an ounce and more than doubled. He has just made a followup announcement that the Canadian government has approved his application to expand his PSLV fund so he can now begin to acquire bullion. James Turk of WWW.GoldMoney.com is also buying silver in large quantities as are other funds and government mints.
The US government used to have 4 billion ounces of silver in its stockpile and sold 100 million ounces a year until 2005. China used to export 100 million ounces but now imports 100 million ounces. The Chinese are setting up a system which would allow any of 300 million Chinese with personal checking accounts and 2 million with business accounts to buy silver.
The amount of money spent buying bullion is equally divided between gold and silver. Yet there is far more gold than silver in vaults. Historically the price ratio of gold to silver has ranged from 10 to 16 to 20 to 1. Today that ratio fluctuates around 54 to 1. The silver market is much smaller than the gold market because silver has so many industrial uses and is being permanently taken out of circulation every day. But that is precisely why breaking the manipulation of silver is so easily accomplished. There is less of it so we need to buy just a few million ounces to make a huge difference. If Peru sold the next ten million ounces of their production to the Iranians or anyone else including Hedge Funds and Sovereign Funds, we would be one giant step closer to jailing the criminals of Wall Street and the City of London.
In yesterday’s article “Translating Zero Hedge: Your Wages Will Be Cut In Half” I said China is unloading US bonds and would be in a position to dump the dollar soon after the November 2012 elections. The Chinese want their people to load up on silver so they will have real money to buy food after the dollar, the pound and the euro collapse and hyperinflation ruins a few billion lives. Inflation has to be at least 10% in China. Their government statistics are as deceptive as America’s. The real inflation rate is 12% in America according to John Williams at Shadow Stats. If only 1% of the eligible Chinese personal bank account customers and 20% of their commercial accounts bought ten ounces of silver each, they would buy 45 times what Eric Sprott did when he doubled prices. The Chinese have a long history of buying silver to protect themselves from inflating paper currencies dating all the way back to the Mongolians. The Chinese and everyone else who can understand the basic math of currencies declining 10% to 20% a year versus silver increasing faster than any stock or commodity will go into the silver market as we approach next year’s hyperinflation.
If you read yesterday’s article, you would understand why I believe silver will sell for more than $100 an ounce within 16 months. A lot more than that if the gold to silver ratio drops to 25 to 1 or even lower.
The COMEX is one of several commodity futures trading organizations. On one day in 2011 price manipulators funded by the unlimited Federal Reserve instant fiat currency printing machine that much real bullion sold one billion ounces of paper futures without any ability to deliver real silver. Even delivering one tenth of one percent of that much physical silver was far beyond them. That is to say one of several exchanges sold 25% more paper silver in one day than all the miners in the world dug out of the ground all year. The COMEX will not last much longer doing business like that.
A related paper gold and silver scheme can be found at the Exchange Traded Funds SLV and GLD which simulate the spot price of silver and gold using derivatives which are bets on the future value of commodities. These schemes are already selling at a discount to the spot price of silver and gold. The ETFs will collapse and break the banks as soon as we force silver past the manipulative price levels where it is currently floundering.
Eric Sprott has said we are near the Tipping Point where physical bullion buyers will overwhelm the paper sellers and we will have fair and open price discovery for silver and gold.
That Tipping Point is the day the bankers go bankrupt and lose control of the government and of your life. It is also the day the people take back their government and cancel World War III.
Author’s Notes: This is that article I mentioned that explains why I believe the dollar will be dumped after the November elections.
Translating Zero Hedge: Your Wages Will Be Cut In Half
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