Tuesday, April 19, 2011

Gold Price Closed at $1494.50 and the Silver Price Closed at 43.91

Gold Price Close Today : 1494.50
Change : 2.20 or 0.1%

Silver Price Close Today : 43.919
Change : 0.962 cents or 2.2%

Gold Silver Ratio Today : 34.03
Change : -0.711 or -2.0%

Silver Gold Ratio Today : 0.02939
Change : 0.000601 or 2.1%

Platinum Price Close Today : 1771.50
Change : -8.50 or -0.5%

Palladium Price Close Today : 731.70
Change : -3.50 or -0.5%

S&P 500 : 1,312.62
Change : 7.48 or 0.6%

Dow In GOLD$ : $169.67
Change : $ 0.67 or 0.4%

Dow in GOLD oz : 8.208
Change : 0.032 or 0.4%

Dow in SILVER oz : 279.30
Change : 1.42 or 0.5%

Dow Industrial : 12,266.75
Change : 65.16 or 0.5%

US Dollar Index : 75.07
Change : -0.438 or -0.6%

Merciful Heavens! Will my misstatements never cease? Yesterday I wrote "swap gold for silver right now," but clearly -- at least, clear to me and clear to y'all if you would pay attention to what I MEAN and not what I SAY -- I meant "swap silver for gold right now." Right, the white metal for the yellow metal.

Everything else was correct. Please forgive me. Ain't no cure for haste, and it catches me every time. I have no proof reader, and sometimes, I clean lose my brain. TODAY'S MARKETS

Editors Note: We picked this up and changed it during the evening.

The GOLD PRICE rose another $2.,20 today to finish on Comex at $1,494.50 after a high of $1,499.90. Plainly a crowd of sellers is willing to risk being short gold at $1,500, and gold's momentum has slowed, baffled so far by that barrier.

Think what you like, I say it will at least pierce that barrier and reach $1,525 before this rally ends, and $1,600 is not out of the question.

The SILVER PRICE refuses to slow down. Gained 96.2c today to close Comex at 4391.9c, and has traded as high as 4418c. Gold/Silver Ratio made another new low today at 34.029.

At the risk of being indicted for stating the obvious, a market hasn't turned until it has turned. Neither silver nor gold have blinked yet, much less signaled any turnaround concretely. A trend in force remains in force until violated, and nobody is writing any tickets to silver or gold yet.

US dollar index fell back off yesterday's peak, but notice it fell not below 75. Yes, lost 43.8 basis points to end at 75.066, but did not fall below psychologically important round number 75 and so did not crush morale. It's okay, as long as it falleth not below 75, it has turned up.

Matching the scrofulous dollar the scabrous euro, Frankenstein of fiat currencies, popped back above its 20 dma today (1.4274) but did not close the gap left by the island reversal. Doomed is the word that springeth to mind. The YEN is playing with its 50 dma (121.16c/Y100) and rose today to trade at Y82.54/$ (121.15c/Y100). Not in danger of running away topside.

Dollar appears to have turned up, yet stocks, for all they bounced today like road kill falling off the back of a county clean up truck, have broken. Dow in Gold Dollars (DiG$) is telling you that by touching bottom of range at G$169.67 (8.208 ounces of gold buy the whole Dow). Like the smell of rain on the wind before the rain arrives, the DiG$ is shouting that stocks are teetering.

I didn't mention it yesterday because I was too busy and I didn't want to upset y'all, but 2 days ago Standard and Poor rating service that rates the creditworthiness of bonds, stated that they were ruminating lowering the credit rating for US government debt. Clearly, somebody big in the Establishment ain't happy, and is sending a message through S&P.

You may not grasp the depth and force of this signal if you understand not that US government debt is always assumed (in the financial and academic world) to be the lowest risk -- virtually risk-free -- instrument in the entire system. Talk about seismic shifts, this is the tectonic plates of the financial world dancing like they'd been dating St. Vitus. This is the sign the Donner Party ignored, "Snow Drifts Ahead." I cannot convey powerfully enough what a shocking warning this constitutes.

Y'all know that I loath alarmists and doom and gloomers, and I look forward to rebuilding a sane and just economy and society after heaven settles accounts with the present treacherous, usurping, predatory, and parasitical set up. Nonetheless, I have to share my alarm about the S&P announcement. Very bad news.

Yet good news fills the world. A few nights ago I heard the first whip poor will of the year.

On this date in 1764 the English Parliament banned the American colonies from printing paper money. Nobody much knows this, and those who do don't want to admit it, but when the Declaration accuses the king of "refusing his assent to laws most wholesome and necessary" this prohibition against paper money was highest on the list. Colonies had been cheating their people and other colonies with paper money since Massachusetts first issued it in 1686. Only after the Continental Congress ruined the country and nearly lost the war with paper currency did statesmen acquire enough courage to ban it in Article I, Sec. 10 of the 1787 constitution. Yet today in outrageous defiance of constitution and laws the Federal Reserve has been granted a government monopoly on issuing fiat money.

Like the devil himself, the friends of paper money never rest.

Argentum et aurum comparenda sunt -- -- Gold and silver must be bought.

- Franklin Sanders, The Moneychanger
Phone: (888) 218-9226 or (931) 766-6066

© 2011, The Moneychanger. May not be republished in any form, including electronically, without our express permission.

To avoid confusion, please remember that the comments above have a very short time horizon. Always invest with the primary trend. Gold's primary trend is up, targeting at least $3,130.00; silver's primary is up targeting 16:1 gold/silver ratio or $195.66; stocks' primary trend is down, targeting Dow under 2,900 and worth only one ounce of gold; US$ or US$-denominated assets, primary trend down; real estate in a bubble, primary trend way down. Whenever I write "Stay out of stocks" readers inevitably ask, "Do you mean precious metals mining stocks, too?" No, I don't.