We wake up to headlines that there is a global food crisis with riots in Mexico, Yemen and many other areas….in Manila and South Korea food hording is on the march. Rice went up 30% last week alone. Wait a minute, all the commodities are down bigtime. Huh?

Paulson has spoken, Bernanke comes tomorrow. Market stability is now regulated and things will be back to normal. Ratchet up the lies, bring the moral hazard to the boiling point, but whatever speaks the truth must be smashed by lies, lies and more lies to force a false perception that all is well. We listen with intent rapture as BNN suggests it is time to invest in the financials as “they” have turned the corner and are now driving the markets due to , get this, “earnings optimism”. They now have a greater demand than the resource sector. The announced, additional writedowns today by UBS, one of the biggest banks in the world (another $19 bllion) and Deutchsebank (another $ billion) have finally solved all the woes. This is portrayed as “good news”. There you go. Lehmann’s fund raiser was “oversubscribed” and their stock is up. They have no problems and really didn’t need the money anyway but they wanted to prove to the markets that they are doing so well. (I wonder which paper funded entity bid so zealously on all those shares?). Goldman cuts earnings estimates on Citigroup and Merrill,  the Citi shares are already up 6%. Go figure! Morgan Stanley states that this is the most serious financial and banking crisis in 30 years. The pundits on Bloomberg before the bell are saying financials are now the place to be. The $US is up, DOW futures are up “on banking sector strength”.

CIBC in Canada, the most exposed bank t the derivatives mess is up already.…….haven’t we seen this all before somewhere?. Canaccord Capital announces that it can not afford to buy it’s clients out of their 300 million frozen debt or they won’t have enough dough to meet market regulations…at the meeting of the retail road kill for the Canadian version of ABC…”P on the retail folks”. You remember Canaccord don’t you…those are the same “market makers” we have all endured “managing” the prices of our PM shares here in Canada for so many years. They shares are down by 50% in the last year. I wonder if they are short to a fault here? Hmmmmm. Panic really does begin to put off an excremental odour.  

Gold and silver are smashed to smitherines as insiders know ahead of the markets what is coming down by those who “regulate” the markets . Dennis Gartman is trotted out to announce that gold at $1000 is an obscene number and  “may” be back over $1000 within 2 years. Dennis has friends in high places.

So, as the smart money from exotic lands stands back, salivates  and waits wisely  to buy all the good deals on gold and silver, at prices they can’t believe awaits them….the smug, scared, western sycophants being intimidated, cajoled, bribed and generally led around by the nose by the U.S. powerbrokers (fraudsters). Simultaneously, those short of gold and silver make yet another stab at getting out of their positions thanks to “the regulators”.

All the technicals and fundamentals for gold and silver are now even better, and still in play and yet another huge correction has gift wrapped them for the adept longs who have been making money all the way up from $250 in 2002.  The stocks will surely follow soon…as there are big bucks to be made and big rats are leaving the ship. The crap that the US controls the markets is stinking the place up.

Got gold.