Our American system is based on a principle in the Constitution that the federal government, with the consent of Congress, has the power to utter currency. No other agency has the power to utter currency. The Constitution is not merely a code of law, it is a definition of a system of economy, and was designed as such, as a system of economy, not as some kind of legal partnership agreement. Therefore, the US government has the unique power over the utterance and management of currency.
In 1913 our Constitution was violated by the passage of the Federal Reserve Act and as a result of that transfer of power our American banking system is bankrupt. There is no possible way that the banking system, as it presently operates, can continue to operate on its own. The federal government must put the Federal Reserve (a private corporation owned in part by foreign banks) into receivership. As opposed to Europe, the banking system must submit to the government. If we are to save our monetary system we must act with all haste to legally terminate the Federal Reserve System, otherwise we will enter into a period of financial chaos. This is what America faces and this is why our coming elections are so important. In cleaning out corrupt incumbents we clear the way to actions such as ending the Federal Reserve and many other systemic problems.
The scam of privatization is upon us and now its roads, bridges and tunnels. After they are purchased they are converted into toll entities. The arguments for privatization are that the state needs the money and private companies can run and maintain roads more cheaply than governments. A perfect example of how privatization went wrong was Enron.
The world leader in the growing market in road theft is Macquarie Bank of Australia, which owns all or part of roads in Europe, Africa, Asia and North America. In the US it is the Dulles Greenway Toll Road, the Indiana Toll Road and the Detroit-Windsor Tunnel. Its assets are $80 billion. The British bank was founded in 1969, as Hill Samuel Australia. The original driving forces in 1946 were Philip Hill, Marcus Samuel, and the Erlanger, Higginson, Strong and Keith interests. Strong and Keith (later Lord Castleacre) were the number one and two men in British intelligence immediately after WW II. What came to be the Macquarie interests were in league with Philip Hill-Eagle Star Insurance, the Bronfman interests and Hong Kong Shanghai Bank, HSBC, as a major drug and money laundering operation. They are also connected to Lazard and Rothschild interests as well. Now you can understand why they were chosen to fund and participate in the NAFTA, North American Union toll highway from Mexico to Canada across the US. Macquarie has 95 holdings, which also include South Bay Expressway the Chicago Skyway and the Ohio Turnpike. This is how bankers launder drug money. These are the same crooks along with Lazard and Rothschild, Suez, Bechtel, Cintra, Morgan Stanley, JP Morgan Chase, Goldman and others that pulled off the privatized 3rd world water swindles. This is what these crooks are all about.
There is an effort, as many of you know to merge Renault-Nissan into GM, or at least acquire 20%. Renault was French government owned, but was privatized by Lazard-Rothschild interests. Renault took 44% of Nissan. Renault brought in Carlos Ghosn who decimated 20,000 production workers in Japan. If the GM merger takes place we will have an auto cartel. We do not know how much Carlos will have to cut seeing GM is buying out most employees. The name brand is what it is about here. GM will do most of future production in China. We reported before on Mr. Ghosn and his vicious treatment of workers.
The industry concentration is taking place at Ford and other automakers worldwide. It’s called free trade and globalization.
GOLD, SILVER, PLATINUM, PALLADIUM AND DIAMONDS
Another blue Monday, but this one was bluer than blue. At 4 a.m. gold was off $18.00, it rallied to -$12.50, and then lost it for the rest of the day. It was off $25.00 at one time and rallied toward the end. The Dow by our calculations should have been of 65 points; it was up 5 points. Almost all commodities fell, bonds fell, and gold and silver fell in anticipation of the election six weeks away. May almost every incumbent be defeated. That is why gasoline is $2.53 in Florida, not $3.18. Anyone who doubted that there is manipulation has to now be convinced. When is boobus Americanis going to wake up? Gold has to swoon and convince the investment community that inflation is not a problem. We are told by the “experts” that the market in gold is down because Iran may temporarily stop nuclear work during negotiations. We believe the gold and silver markets are being hit with naked puts, not bullion sales. There was shorting, but there was big covering between $582 and $596 before selling recommenced. The upside is Iran, India, the Middle East, Russia, China and the Koreans are major buyers. They are happy because due to the cartel’s manipulation they can buy cheap gold. Gold open interest fell 3,763 contracts to 317,329, as silver OI dropped 1,172 contracts to 105,634. Gold finished Monday at $590.80, down $19.10 and silver fell $1.05 to $11.08. Last week total silver receivables were 133,855 ounces, which increased Comex inventory to 104,369,239 ounces. Open interest on the Tocom fell 8,097 contracts. The big Tocom shorts on Friday increased their net shorts by another 2,187 contracts to a total of 169,656. Silver shorts increased by 43 to 2,867. Topping off a horrible day the XAU sank 9.90 to 130.62 and the HUI fell 25.62 to 312.35.
Monday the Dow rose 5 points. S&P rose 6 Dow points and Nasdaq rose 42 Dow points. The euro was $1.2707, the pound $1.8658 and the Canadian dollar 89.16. The dollar index fell 0.8 to 85.88. Oil fell $0.70 to $65.55 and was $0.11 higher in the access market. Gasoline rose $0.01 to $1.61, and natural gas rose $0.09 to $5.59. The gold aftermarket access market was unchanged and the 2-year US Treasury was 4.84% and the 10’s 4.80% still inverted.
The Bank of Portugal announced that it sold 20 tons of gold since it announced a 15-ton sale in July. It claims it is selling program is complete.
On Tuesday gold eased off again after being up $5.40 to $5.80 for three hours from 3:30 a.m. to 6:30 a.m. Then came the struggle in spite of pressure from margin selling from Tocom. Gold finished the day off $3.10 to $587.50 and silver fell $0.08 to $11.00. Gold open interest fell a measly 844 contracts to 316,485 as the shorts continued to hit the gold bids. Silver open interest fell 1,495 contracts to 103,539. The gold and silver suppression cartel is having their way with us, but we will win the war. The incumbents, particularly Republicans are in fierce trouble and they will do anything to politically survive. Gold, silver, base metals and energy must go down and the dollar, the market and bonds must go up. They will not tolerate anything that gets in their way. These are very evil people. They will not allow any media coverage on inflation, nor will they cease for one moment to steal our freedoms. In spite of margin calls Tocom closed up over $4.00 as open interest fell 58,772 lots. The major Tocom shorts cut their short position by an amazing 29,039 contracts to a total of 140,617. Goldman covered 3,956 contracts bringing their net short to 37,407. Silver dealers reduced their shorts by 408 contracts to 2,459. Today the XAU lost 1.24 to 129.68, while the HUI gave up 3.18 to 309.17.
Incredibly the dollar eked out another marginal gain, up .06 to 85.81. The euro ended at 126.85, off .16, the pound rose .75 to 187.43 and the Canadian dollar was 89.32, +15. Copper fell -$0.04. Access market gold was $0.70 lower. Oil was $63.76, off $1.85, gasoline off $0.04 to $1.55 and natural gas at $5.57, off $0.10. The 2-year Treasury was 4.82 and the 10-year was 4.77, putting inversion still in control. The Dow with the help of management from the US government and the Fed rose 101 points to 11,498, S&P rose 122 Dow points and Nasdaq rose 255 Dow points.
In the export figures from the Commerce Department, precious metals and non-monetary gold exports are running $3.6 billion above a year ago, a 77% y-o-y increase.
The weekly ECB balance sheet shows two central banks sold 114 million euros of gold last week. This was one-third the Portuguese sale. The question is who is the mystery seller?
ECB gold reserves and receivables fell 114 million euros to 174.917 billion euros. Reserves of net foreign currency decreased 100 million euros to 152.2 billion. Cash in circulation rose 2.1 billion euros to 589.2 billion.
On Monday, the CBOT, the Chicago board of trade, said its full-sized, 100-ounce, gold futures contract achieved a new volume record of contracts surpassing the previous record of 63,471 contracts set on 7/17/06.
Gold production in South Africa fell 6.1% in the three-months ended in July. Total mining production rose 2.4% versus the previous three months and was off 1.4% y-o-y. The value of total production for the three-months ended in June was up 11.3% versus the first quarter and 21.4% y-o-y.
By 2009 all mining companies have to have 15% black ownership and 26% by 2014. The mining charter requires that companies have 40% black managers, 10% women and ensure that all are literate by 2009. It demands that firms have social-economic plans to help uplift communities around mines so they can thrive even after mines close. We lived in Africa and had hundreds of employees in our business and we can promise you this won’t work. Just take our word for it. Efficiency is gone and exploration is minimal. This is typically Marxist and we refuse to invest there...
