Gold and silver prices are being manipulated by big financial cartels to cover for their losses. For example, say you are a large bank. You have . . . → Read More: Silver Bullion: What Is Happening and Who Is Buying?]]> With gold and silver prices getting smashed down, gold/silver investors are getting a little bit nervous, as they cannot make sense of what is happening in the financial global commodity markets.

Gold and silver prices are being manipulated by big financial cartels to cover for their losses. For example, say you are a large bank. You have about $10 billion of bad debt. You have come to a point where you hardly can even pay the interest of the loan. What do you do? Sell your assets. What assets? Obviously, gold and silver. When you sell these assets, you will use that money to pay the interest, not the debt. But the issue over here is that you don’t have much of gold and silver to pay off the debt. So you play the Futures Game in the financial markets. So what you do is, when the price goes low, you buy large amount of futures (in gold and silver). When the price goes high, you sell and take your profit. Then what do you do? Bring back the price (illegal criminal market manipulation) lower and then buy again.

At this point in time, the two biggest banks, JP Morgan and HSBC, are being sued for manipulating prices of silver, as there is no way for silver to crash from $49 to $28 per ounce unless you could manipulate the markets to make profits. A synopsis of the lawsuit can be read over here.

Coming back to the original question – Who is buying silver? All over the world, billionaires like Eric Sprott, who recently opened the Gold Conference in Australia, are buying. Honestly speaking, there has never been a better time to buy silver.

Now get ready to digest this. Did you know Eric Sprott’s company, Sprott Asset Management, filed a prospectus with the SEC detailing intentions to offer additional $1.5 billion unit trusts of the PSLV trust? What does this mean? Mr Sprott’s company has just purchased approximately 40 to 50 million ounces of physical silver (not in the futures market). Guess what! He has just purchased more silver than the US mint in the United States produced in 2011. Now you know why billionaires like Eric Sprott become rich every minute.

In the precious metal industry, if you get your FUNDAMENTALS right, you will be successful. Don’t waste your time listening to the so-called great economists who say, “our economy is much better than other world economies.” They have no idea what they are talking about.

During the Gold Conference in Australia, Mr Eric Sprott said that a day will come when gold will reach $15,000 per ounce and silver $1,500 per ounce. Mr Sprott said that it is not at what price you buy that counts…it is how many ounces of silver and gold you have as an investor.

The public debt will soon be 100% of the Gross Domestic Product, which is $15.2 trillion.

Just how extreme is the US debt obligation? It’s about 15 trillion dollars and rapidly climbing. A trillion is . . . → Read More: U.S. National Debt crosses $15 Trillion: US Economy in a Dangerous Phase]]> It is now official. The United States Federal debt has hit $15 trillion, the U.S. Treasury Department reported today. The official number: $15,033,607,255,920.32

The public debt will soon be 100% of the Gross Domestic Product, which is $15.2 trillion.

Just how extreme is the US debt obligation? It’s about 15 trillion dollars and rapidly climbing. A trillion is a number so large it’s hard to grasp…but let’s try. A trillion dollars is a thousand billion dollars (1,000,000,000,000). If you were to spend a million dollars a day for the next 2000 years how much would you have spent? Let’s do the math. Two thousand years x 365 days per year x one million dollars per day would equal a whopping 730 billion dollars. That’s about 3/4 of a trillion dollars and represents roughly the US bank TARP bailout amount in 2008.

Italy’s debts equal to $2.7 trillion, which is about 150 per cent of its economic output. These debt figures are indeed alarming. France has begun . . . → Read More: Silver Bullion price jumps as Silvio Berlusconi resigns]]> Gold and silver bullion prices jumped higher on Friday as Italian Prime Minister Silvio Berlusconi announced his resignation in the Italian parliament. Gold price closed at $1,789.50 and silver closed at $34.66

Italy’s debts equal to $2.7 trillion, which is about 150 per cent of its economic output. These debt figures are indeed alarming. France has begun to fear that it will be next in the markets’ firing line as the debt crisis spreads from Greece and Italy.

This means that we will see higher prices for gold and silver bullion in December 2011 and January 2012.

We are privileged to welcome Eric Sprott, who will officially open the Gold Conference. For those of you who are not . . . → Read More: Gold Symposium 2011 – Conference for Investors]]> The world’s biggest Gold Conference gatherings will be held from November 14th to 15th, 2011, in Sydney, Australia. Gold De Royale is proud to announce that we are the official sponsors for the 2011 Gold Symposium.

We are privileged to welcome Eric Sprott, who will officially open the Gold Conference. For those of you who are not familiar with Eric Sprott, here is a quick biography of him:

• A “billionaire” investor who invests in gold and silver.
• One of the most respected speakers in the precious metal industry.
• A person who has dedicated his life against “paper money” and has urged investors to invest in gold and silver.
• Chief Executive Officer of Sprott Asset Management who manages billion dollars’ worth of financial assets for people all around the world.
• Well known in the precious metal industry for his accurate market predictions. Mr Sprott expects gold price to go as high as $12,000 per ounce and silver as high as $1,200 per ounce as the US dollar deteriorates.

As always, wishing you the very best in the precious metal markets.

Gold De Royale

1. Silver has been used as a form of . . . → Read More: Buy silver bullion coin in Australia – The ABC of Investing in Silver]]> “Why invest in silver” is one of the most commonly asked questions by novice investors who enter the precious metal market. When investing in silver, the main aim of investors is to gain security and stability of their wealth. Some of the reasons why people buy silver is:

1. Silver has been used as a form of currency. It was the preferred unit of exchange in every early culture worldwide, while gold was the designated store of value for kings and pharaohs. Everyone understood that silver and gold were real money from ancient times.

2. In 1971, the United States cut its tie to gold as a means to back the US Dollar and we have since been living in a world dominated by paper money. Paper money also known as fiat money derives its purchasing power by nothing more than confidence in the ability of each nation to maintain a practical fiscal policy.

3. The value of precious metals has risen consistently during the last 10 years, making silver as trusted investments through times of uncertainty and change. Silver and gold are nearly immune to the volatility of the U.S. dollar, and can offer exceptional price appreciation and profit over time.

4. In order to preserve purchasing power, savings (your wealth) must be stored in a form of money that retains its value over time. Silver bullion and gold bullion are recognized around the world as the forms of money that cannot be created out of nothing. Unlike fiat currencies, which can easily have their purchasing power destroyed through inflation and hyperinflation, these precious metals remain the most reliable forms of money today.

Australia created a pension system called the “Superannuation Guarantee” or “Super” in 1992. Under this scheme employers must make contributions into a registered Superannuation Fund on behalf of their employees. Currently the law requires a contribution of 9% of the employees’ salary. Individuals that are not employees may also participate in Super at their own discretion.

Typically . . . → Read More: SMSF in Gold and Silver: Self-Managed Super Fund]]>

Australia created a pension system called the “Superannuation Guarantee” or “Super” in 1992. Under this scheme employers must make contributions into a registered Superannuation Fund on behalf of their employees. Currently the law requires a contribution of 9% of the employees’ salary. Individuals that are not employees may also participate in Super at their own discretion.

Typically employers use a financial services company to provide a super fund vehicle to their employees. These funds offer a range of fund choices usually related to investments in share markets, bonds and so on (mostly in high risk investment areas). The employee then chooses one or more of these funds.

Many Australians understand little about Super or only become interested as they approach retirement. It is quite common for employees to lose track of their Super accounts when changing employers.

One option is to establish a Self-Managed Super Fund (SMSF) whereby you become the manager of your own Super fund. This approach provides flexibly in what you can invest in. Below is a set of steps to accomplish this.

1. Establish a Self-Managed Super Fund (SMSF). Most charted accountants and specialist companies can establish a SMSF.

2. Consolidate any existing Super funds. Contact the Super fund companies and instruct them to close your accounts and send the proceeds to you SMSF account.

3. Make your gold and silver purchases in the name of your SMSF (invoiced to your SMSF). You can buy and take delivery of physical gold, silver and platinum. Of course these items must be stored securely. Bullion dealers, banks and other companies offer secure storage.

4. Annual audit. Each year your SMSF must be audited and forms lodged with the Australian Taxation Office. The company that established your SMSF usually does this for a fee.

“Should economic performance deteriorate, monetary policy . . . → Read More: Federal Reserve will consider QE3 if economy weakens]]> The Federal Reserve will act if the economy weakens further and has the tools to do so, a top Fed official said on Friday.
St. Louis Fed President James Bullard said he expects the economy to grow modestly over the next year — though the sluggish pace leaves it vulnerable to shocks.

“Should economic performance deteriorate, monetary policy will respond,” Bullard said, according to slides of a presentation he was scheduled to make. “The Fed is not now, or ever, ‘out of ammunition’.”

With interest rates near zero, Bullard said, the Fed can support the economy through inflation and inflation expectations and asset purchases are a “potent tool”.

Dealers polled by Reuters earlier this month gave a median chance of 32 percent that the Fed will embark on a third round of quantitative easing. The Fed said last week it plans to buy $400 billion of longer-term Treasuries and sell the same amount of shorter-term Treasuries by the end of June 2012, in an effort to lower longer-term borrowing costs.

It also said it would support the mortgage market by reinvesting principal payments from its mortgage-related debt into mortgage-backed securities. Bullard said policy should aim to be more rules-based than it has been since the crisis hit and return to a meeting-by-meeting approach by the Federal Open Market Committee.

“The policy approach over the last several years, with announcements of large dollar amounts, fixed end dates, and rapidly changing tactics, seems fairly discretionary,” he said. “Returning to a more rules-based approach may provide needed stability to the U.S. macroeconomy.”

Bullard repeated his view that promising to keep rates low for a specific period of time has a number of drawbacks, including the possibility of its hurting Fed credibility. He also warned against tying monetary policy to the unemployment rate, as Chicago Fed President Charles Evans has suggested.

Unemployment rates have a “checkered history” in advanced economies over the last several decades, he said. In Europe over the last 30 years, for example, the unemployment rose and stayed high. “If such an outcome happened in the U.S. and monetary policy was explicitly tied to unemployment outcomes, monetary policy could be pulled off course for a generation.”