All the Gold ever extracted is 160,000 tons (in 2009) , The American Debt = 14 Trillion Dollars = 1.8 All the Gold ever extracted in Human History !!! The monetary mass in the US is increasing by 15% a year ! Total gold divided by people in the world gives each of us 23 grams
Receive these posts via email :

Monday, December 20, 2010

David Morgan on The Keiser Report - Markets! Finance! Scandal! (E93)

This week Max Keiser and co-host Stacy Herbert look at the scandals of shameless Britain and Wall Street's cash cow. In the second half of the show, Max talks to David Morgan about the silver market.ratio gold/silver, now 49/1, few months, 30/1 or less.that puts silver at 50 bucks an ounce....still buying. silver certification, as with gold- is how paper money started in the first place

Max Keiser: The big holders of silver in the business for example Eric Sprott back up in Canada or his chief analyst John Embry.

John Embry came out and said he guarantees hyperinflation.

Now the only way he could guarantee hyperinflation is if these gold and silver vigilantes, as I call them, get these huge orders and force physical delivery and to bust the Comex.

There's a lot of discussion about wether you can bust the Comex? Because they now settle up in cash etc.

Now are these precious metals vigilantes, can they bust the markets and bust the price suppression scemes by taking physical delivery and forcing the issue? Do you see it happening? Is this a trend that we can take some stock in?

David Morgan: "I believe you can I also agree we couldn't do off the Comex. When you go back to 1999 and Warren Buffett, arguably one of the richest man in the world, bought 129.7 million ounces of fine silver.

The Comex had 280 million ounces at that time. He only got 90 million of the exchange initially. So he said: "I give you more time" to the dealers. Very vaque. The lease rates went about to 70%.

I believe he leased back the 40 million ounces until he got it over time.

So, since that time they now have a rule that says you only can take 1500 contracts or 7.5 million ounces of silver physically of the exchange. You can't get 90 million.

There's only 100 million ounces on the exchange right now. About 50% of it or more is long term investors.

So the real dealer inventory is only about 50 million ounces of silver

So seven months, at max you're going to take off all the silver out the exchange. Well they're gonna do what you just said. They're gonna say: "Oh, well read the rules. We'll make you settle in cash" but that doesn't mean you can't force the issue.

Because the amount of silver that's being invested in and the amount used for in industry, in my study, which I am going to be presenting here later today, says that in three years we're going to go back into a defecit.

Who knows what the inflation markets are gonna look like three years from now.

So I see, what I would call, a natural corner There's no way out. That's how I see it.

So it doesn't have to come from the Comex to cause a real problem in, I say, probably the next two or three years.

The system is based on debt... if there were no debt there would be no money.

There is not enough money in the economy to even pay off all debt.

The only way things keep on moving is by creating new debt. The debt must continue to grow otherwise there will be a depression and universal bankruptcy.
The belief that gives fiat currency "value" is not based on debt alone. It is ALSO based on the power of the controller of that currency to manipulate the commodities market. That is an undermining way of controlling and manipulating currency value. The actual value then moves to commodities. However, those commodities are only REALLY given value because they are being used for extortion. The debt is just a way for banks to continue to use their fiat currency to enhance their position.
The heroin that is flown into Russia and China from Afghanistan is from US CIA ran military cargo planes. Military aircraft is protected from inspection. Heroin and opium addiction in China and Russia is on the rise. While the brokers might be snorting up CIA cocaine from South America, their "commoners" are being seduced by the Afghan heroin that is being distributed by CIA operatives. The U.S. military isn't in Afghanistan to fight "terrorism." It's for lithium, heroin and the TAPI pipeline.
We (the people of earth; i.e. humanity) must guard the essentials such as; food, housing, & water,very closely.We have been far too lax for far too long;how 'they' convinced enough people (a critical mass) that high housing costs are a 'good' thing is beyond me...but 'they' did! Can you imagine convincing people that high bread costs are a 'good' thing? Perhaps.That is if you 'happen to be' invested in the bread & void of conscience.Always remember 1st. & foremost:Store your treasures in Heaven.

Gold and Silver blog