Greetings from a cold and cloudy Chicago, Illinois. The Turd lived here for a few years back in his youth and, frankly, I'd forgotten just how crappy the weather is here. I remember once going to opening day at Wrigley Field and leaving after the first inning when I realized my beer was freezing in my glass. Its not that cold today but its not spring here, either.
I've been sitting here, considering what I wanted to tell you today. Of course, I'm excited by the action yesterday. Its fun to be proven right again and its incredibly satisfying to know that so many of you have profited from visiting this site. The outpouring of gratitude is very much appreciated. It all is a little bittersweet, however. I spend a lot of time pondering, writing about and planning for the end of the current economic system. To see it happening...and happening with such amazing speed and acceleration...is somewhat unsettling. Please go back and re-read this:
The image of the coin circling the funnel faster and faster is the one that I can't get out of my mind. At the end, the bottom simply drops out. While I don't think we're at then end yet, there is certainly no question that our "coin" is dropping deeper into the funnel. As recently as late last year, when I suggested that the U.S. dollar would lose its "reserve currency" status sometime in the next 2-5 years, I was scoffed at. Ridiculed as some kind of rube who had no idea of how macroeconomics functioned. Now? Can the dollar even make it to 2012? http://www.zerohedge.com/article/soros-speaks
Regardless, the End of The Great Keynesian Experiment may be upon us even faster than we've thought. Continue to prepare accordingly.
OK, here are some items for you to consider as we wait for 6:00 EDT tomorrow. First up, take a look at this chart of the CRB. Note that the previous, all-time weekly high close was 683.68 back in early March. It closed yesterday at 685.42.
And look at the lousy, ugly POSX. It closed just barely above the intra-week low from November of last year so don't be surprised if we get a little rally next week, back up toward 76. However, it looks to be a fait accompli that it will soon test the lows of November 2009, just above 74.
Here's some very interesting reading for you. First, a new article from Patrick Heller:
Then, read this from Eric King and click around his site for a few minutes. A lot more than just this article merits your attention.
Gonzalo Lira has written an interesting new piece:
Lastly, Jeff Neilson wrote this piece where he states he is getting increasingly concerned that bullion confiscation is coming. As you know, I have a very hard time believing that but what do I know? I'm just a Turd.
Finally, I've received many emails regarding gold miners. We've all made so much money in silver stocks like EXK and SVM that a lot of you are considering swapping some funds into some junior gold miners. Here are four that I've owned from time to time. I'd be thrilled if you could add your thoughts on your favorites in the comments section.
EGO: Has broken out of its downtrend and now looks headed to 20+.
GRS: Mister Hyde's favorite. Looks headed to 12 and beyond.
AUY: Now that its through 13, it looks headed to 14+, maybe all the way to 17.
RBY: Ole RBY has not been kind to Turd over the years. Watch it closely. If it can ever get through $6, it may be a sign that things are getting interesting.
That's it for now. Have a great weekend! Thanks for being a part of the blog. TF