• Gold: 1,261.10 5.30
  • Silver: 16.12 0.08
  • Euro: 1.178 0.003
  • USDX: 93.704 -0.228
  • Oil: 57.23 -0.03

This week's attempted "façade of...

"Whirlybird Janet" said essentially nothing incremental; and if anything, was more dovish than anticipated. This week's attempted "façade of credibility" - in JY's first meeting - is already cracking, as interest rates are surging whilst emerging market currencies are plunging anew. The accompanying PM attack has occurred amidst blitering physical demand - including Miles Franklin's best day of the year, earlier this week; and thus, all it's accomplished is pulling the inevitable supply shortage that much closer.

Panic Mode

Now that a second, potentially cataclysmic "Crimean War" is a significant possibility - whilst "Whirlybird Janet" prepares her inaugural FOMC policy statement on Wednesday, amidst abysmal economic data (like this mornign's NAHB Housing Index), collapsing U.S. Treasury demand (foreigners sold a record $104 billion last week), and heightened currency wars (the PBOC doubled the Yuan's daily trading band this weekend), naturally the Cartel is in panic mode.

Whirlybird Janet

With a potentially tumultous weekend coming - let alone, next Wednesday's FOMC meeting, when "Whirlybird Janet" will be under signficant pressure to "pause" the taper - PM's have surged to their highest levels of the year. The Crimean referendum takes place Sunday, and it's a fait accompli that it will vote to secede from the Ukraine and join Russia. The U.S. has made it clear this is not acceptable, so the odds of a military confrontation are sky high.

How much longer can the game go on?

U.S. Mint Silver Eagles sales are simply going berserk, as we wrote about last week in "silver anniversary," and global gold demand has started the year even stronger than last year's record-shattering levels. Currencies are crashing, economic data plummetting, and there are real worries that China could be headed for a catastropic real estate and financing crash.

Operation Ukraine Whitewash

Well, it appears that "Operation Ukraine Whitewash" has been a modest success; in that despite the crisis clearly escalating, global financial markets are all higher. Gold, too, is higher, but just by 1.5% since the weekend; which all things considered, is pretty good given that prices are typically ATTACKED when PM-bullish news like this emerges.

Catalyzing the inevitable global financial...

It could have been ANYTHING that commenced the inevitable global financial collapse - and end of the near-dead fiat currency regime; but as of now, Ukraine looks to be the odd-on favorite for catalyzing such. "Economic fires" are now burning everywhere - from Turkey, to Thailand, Argentina, and Venezuela. However, none of the near-term catastrophic potential of a war in a region as politically sensitive in the Far East as Jerusalem in the Middle East.

No surprise

Well, it should be no surprise in the least that after maniacally capping gold and silver at their new "lines in the sand" at $1,330/oz and $22/oz, respectively, for the past week, they went into hyperdrive this morning - just a day after the strong March COMEX options closes, and three days before their respective "first notice days." Given exploding physical demand, including just 648,000 ounces of registered gold inventory, of which close to 500,000 are already spoken for, did anyone expect the Cartel to act any different than always?

Sooner rather than later

Plus, a new FT article about the prevalence of gold manipulation is only shining more light on the Vampire Cartel; making it more and more likely that it's "London Gold Pool moment" occurs sooner rather than later.

Only a matter of time

Plunging economic data in China, Japan, Europe, and the States is making their job difficult; and given the broadening scope of potential "black swans" - such as the war in Ukraine that is causing the Russian Ruble to plunge to an all-time low; it's only a matter of time before the Cartel loses control, PM prices soar, and supply dries up - perhaps, permanently.

The walls are starting to cave in

The walls are starting to cave in on the Cartel; as plunging global economic data, increased money printing (in Japan this morning, and likely Europe very shortly), plunging gold mining reserves, and surging food and energy prices have catalyzed a vicious, relentless PM rally that has decisively taken out gold and silver's 200 DMAs for the first time in a year.