We are now about to witness the first pitch of the top of the ninth. The Fed will issue its MBS buying for the month tomorrow (the eighth business day of the month) and serve up half a trillion dollars out of thin air. These dollars will be used to front USTs to the PDs and fractionally reserve assetsso to keep the system leveraged. What we have seen since the QEX announcement has been a rearrangement of chairs on the Titanic - it's all going down man.
It starts tomorrow and the top half will last until about January 20th. During this time the system will be releveraged by about 10:1 from where it is now. After that and until about March 30th the system will be releveraged again 10:1. The leverage from where we are now will be 100:1.
I think that everyone who reads this blog already knows what is about to happen (all FX is about to get thrown in the furnace of the Central Banks). I think by January 20th anyone paying an ounce of attention will notice that the fiat system is slipping into oblivion (they will notice because of higher gold prices). I think by March 30th everyone will notice (due to significantly higher gas prices).
I am looking at the DXY retesting 81.5 next week and then moving sharpley lower after the Fed not only buys more MBS but loans against them and expands their balance sheet. I think this will cause gold to move higher. It will take silver with it. Oil will move too as it is a part of the complex but it will lag if only by inches.
Thhhh wtf .. man i miss ya bro ..Times of Limes and paper Humping rymes !
ReplyDeleteYour's truly Peek ~!
( fist pumps Hip thrust with a over bite on the bottom lip )
ReplyDeletePaging Dr Paul...
ReplyDeleteBay of Pigs
Thhh... I post a missing chatter's report on you and I have put your avatar on the back of milk cartons truck stop bathrooms withg the following description.
ReplyDeleteHave you seen this Mr lennon Hendrix aka "THH" aka Dr paul " .. Last seen buying limes and carring rolls of silver rounds , and bottel of red wine. last waring Jeans white button down shirt . Last spoted ZHC and heading to JPMorgan Chase Bank, NA, London Branch, have changed to 25 Bank Street, Canary Wharf, London . Also know to frequent well know and treandy cheeze burger restaurants,has had acquaintance and also a strong desire for lauren lyster. If you have any info on on the whereabouts of this person please contact your local PMs Phy holders group .. Please dont not approach this man alone if you have paper .He is armed hevaly with market knowledge and physically holding of bullion and troy Oz's PMs. Lennon Hendrex also if trained in the art of mental calmness. Please take extream caution when or if approached , do not i repete DO NOT show this man that you have fait currency , market shares or bank paper investements .
There once was a man named Mr Lennon Hendrix , who love to rock out in sliver spandex ,
ReplyDeleteHe would strum his guitar on the back of his car and and sing songs of the silver comex.
As he would sing the silver would bling and start to moved up on the chart index .
Stack your pile hi Mr Lennon Hendrix would cry keep buying thew this paper vortex!
Peak Oil, Peak $$$, Peak PM's, PEEK Crackers???
ReplyDeletebangin' rhymes, Busta!