Smart Investment

Silver as investment V2

2012-02-09T09:35:00.000+08:00

Barisan astray cover up the national debt both to break the 1 trillion truth! ! ! ] This is an emergency! ! ! Together we share out! ! ! The BN government the name of the mortgage program for low-income groups "noble" reasons, not the high debt data appears in the accounts, since the use of the EPF funds to cover their own debt problems! ! ! Publicity Officer of the Democratic Action Party, PAN Jian Wei, Vice-Chairman of the Justice Party Nuru Yisha Joint Declaration

Warning that the
above mortgage plan will become the causes of Malaysia facing financial crisis. The BN government is using the current economic crisis, the most controversial off-balance sheet financing "

Way (off-balance sheet financing), this way of dealing with financial Once the outbreak of the financialCrisis out of control! ! ! This must be the country towards the Greek bankruptcyDust. Under normal circumstances, any benefit program is the federal government through the annual tax Note

Owned expand, assuming that tax revenue is insufficient, the federal government can issue bonds to fill the redWord gap.
Under normal circumstances, the provident fund can buy bonds issued by the federal government,
that is, in fact lend money to the federal government. The Government is unwilling to direct lending to the Central Provident Fund Board, but will direct loans to low-cost housing to buy

House those who shift the responsibility to the Central Provident Fund Board, because the government does not want to be debt-ridden in itsCoupled with a considerable number of figures, and criticism. Federal government debt as of year-end 2011 reached 456 billion ringgit, with
Five years ago, 242 billion ringgit in 2006 compared to an increase of88.4%! In fact, as of the end of 2010, the majority of government liabilities such as government

Guarantee loans, but does not directly included in the amount of federal government debt has reachedTo 96.9 billion ringgit, compared to 84.3 billion ringgit in 2009, a drasticAn increase of 14.9%. In the case of bonds, the Ministry of Finance to issue government-guaranteed way to debt

Service to deceive the public, the Central Provident Fund Board are required to direct borrowing of RM1.5 billion to theUnable to obtain commercial bank mortgage, these loans will get the government "to ensure. "So down to 1.5 billion ringgit will not be included in the list of federal government debt. assume that some government-guaranteed loan defaults, the federal government must be directly

Those responsible for the debt, and will lead to financial crisis in Malaysia! ! ! Evidence of related news:http://dapmalaysia.org/cn/

index.php/2012/02/06 /bul2844 /

National Front in order to continue to be the people as the savior of the poor, and now it has come up with QTitle clusters of new programs to the provident fund money to cover up the current level of debt! ! ! In fact, set out in the accounts of government bonds (federal debt) in 2011

Years has broken the 400 billion ringgit; state governments owed the federal tens of billionsRinggit. Combined total amount, nearly $ 50 billion ringgit. These bonds, in the past from 1991 to the present, never increase too. From

90 billion in 1997, soared to 437.2 billion in this year's tip of. If theCentral government debt annual growth rate of 50 billion ringgit, is expected to 2020 years, our government's debt will exceed 1 trillion mark, when national bankruptcy, The situation is worrying. National Front ruling for half a century gave you the gift, you and your descendants average, each

The taxpayer is responsible for 59 million ringgit. No longer have to fist (votes) to break the hegemony of the National Front, in another 54 years, our children and grandchildren are also carrying a debt, to help the national debt

http://www.facebook.com/photo.php?fbid=308...9&type=1&ref=nf

The Five Myths Of Silver Investing

2012-02-07T23:21:00.000+08:00

The Five Myths Of Silver Investing
Ryan Jordan

Oftentimes perception, and not reality, rules the day with the thousands or millions of speculators placing short term bets with assets like silver. These perceptions are particularly strong given that paper players in the silver market often control the price in the short term (6-8 months), since there is so much more paper silver than physical metal out there. As I write this, we are seeing the unwinding of quite a bit of speculative, paper activity at the COMEX, with open interest numbers (meaning the number of players in the casino) lowering to levels just above where they were in the fall of 2008 (when silver was below 10 dollars). The price of silver has fallen, but as far as I'm concerned, there is no fundamental reason for silver to be so cheap. Instead silver fundamentals are badly overshadowed by misconceptions (or outright lies) about silver. Here are five common myths about silver that I bet many speculators still believe are true:

1. Silver is an "economically sensitive" metal

During the recession of 2008-2009, the CPM Group estimated that silver demand from photography, jewelry, and industry dropped by roughly 80 million ounces (CPM Silver Yearbook, p.69). Mine supply also increased by about 30 million ounces, along with a 15 million or so increase in recycling. So in order for the price of silver to remain stable (theoretically), you would need investors to make up this roughly 100 million ounce difference, which is exactly what they did. Given the fact that people understood the need to buy precious metals during a banking crisis, investment demand for silver increased by nearly 100 million ounces at the same time as demand fell and other sources of silver also increased. (p.11)

Over the course of 2008 and 2009, the silver price more or less remained stable, even as it saw wild swings induced by paper trading. So, during one of the worst recessions in modern memory, real, physical demand for silver cancelled out declining industrial use. An important point to remember when someone tells you the silver price is destined to go down in the next recession.

2. Silver coins and bullion are more plentiful than gold

In fact, it is the exact opposite. Being generous (and using data from the CPM Group as well as the Silver Institute) there are maybe 1.4 billion ounces of silver coin and bullion in the world, versus roughly 3 billion ounces of gold coins and bullion. Yes, it is true that recently about 80 million more ounces of silver bullion/coins are produced each year than gold ones, but that still means that it will take over 15 years before the silver stockpile in the world even equals that of gold, let alone becomes greater. So why is the price of silver something like 50 times cheaper than gold? Ask the paper speculators above.

3. The high price of silver will drive down demand from industry

This one has had no basis in fact for the period from 2000 to 2010. During that decade, industrial demand, according to most estimates, basically remained flat (GFMS World Silver Survey, 2010). This is amazing, when you consider that the price of silver went from 4 dollars to over 20 in that period. But because silver is used in such small amounts in things like electronics and solar panels, increasing silver costs have yet to dampen demand for highly desired toys like computers and cell phones. And many silver experts believe that such demand will only increase in the years ahead. You should realize that a rising silver price does not seem to dampen industrial demand.

4. At the right price, billions of ounces of silver will get recycled

Many do believe that there are nearly 6 times as many ounces of silver jewelry (and silverware) than gold jewelry in the world. So you might think that there is a lot of silver that will get melted down someday. One problem with this argument is that much of this silver either a) cost way more than even the current bullion spot price and b) is held in very small amounts all over the world by over 1 billion people (oftentimes women). They won't care to sell for a very long time-if ever.

But there is an even more important point here. I bet most people who claim to follow the precious metals don't realize that as of 2010, we had yet to see more silver recycled than during 1980. That is thirty years of silver recycling more or less going nowhere, even as the price of silver spent more time above 20 dollars an ounce in 2010 than in 1980. I am going to be optimistic and guess that we will finally best the old recycling high this year in silver (at over 300 million ounces). But in a world where 300 million ounces of silver is only 10 billion dollars, and in a world where investors are slated to purchase nearly that much silver in physical form over the next couple of years, you really have to wonder why anyone would think there is all of this silver just lying around ready to be brought to the market to cool off silver's price. And given what I said about how impervious industrial demand is to silver price increases, a lot of whatever silver jewelry gets recycled will be used and consumed by industry (even assuming that preservation techniques get better as the price goes higher.)

I also would not expect mine increases to somehow meet demand: few industry experts believe silver can increase more than 4 or 5 percent a year (roughly 50 million ounces, or less than 2 billion dollars), especially when nearly 80% of silver is a byproduct of metals like copper, lead, and zinc.

5. Retail silver investors are fickle/ there is no plan to remonetize silver

This myth had some basis in truth, at least according to the experts who tracked silver buying and selling activity in the 1980s and 1990s (such as the CPM Group or Silver Institute). Many agree that retail investors (probably following the lead of governments) sold far more silver than gold during the twenty years between 1985 and 2005. Probably to the tune of over 1 billion ounces. So many felt that silver investors were flakes who really didn't have the staying power of gold investors. Or, as I mentioned above, it may have just been the case that average investors followed the lead of governments, since those governments dumped far more silver than gold during the same period (gold is the only precious metal held by central banks, in addition).

But in recent years, I am struck by how many proposals there are like the one from Hugo Salinas Price in Mexico attempting to bring back silver coins into the market in his country. Then we have all of the state legislation in the United States aiming to bring back both gold and silver into economic transactions. Remember, silver is perceived to be the money of average people (even as it is rarer than gold) so any grassroots effort to bring back precious metals into everyday transactions will dramatically increase silver's value. We have already seen the amazing turnaround in silver retail investment buying over the past few years (hundreds of millions of new ounces) and I think some people are slowly waking up to how undervalued silver is. But believe it or not, many, many more have yet to do so.

Don't Be Fooled By Silver Market Myths

As I said above, I understand that fundamentals often have no place in markets. This is why so many traders focus on chart patterns, or volume indicators, or anything other than the underlying, real-world reasons for an asset to move up or down in price. You can also see the lack of interest in fundamentals from those large speculators who believe that rumor-mongering is a safer way to make money than actually focusing on legitimate distortions in the market. You might be surprised how much money you can make from simply playing games, or from manipulating others' emotions-at least in the short term.

In the end, of course, I don't think gambling or trading wins out. Yes, there are those few great traders out there, just like there are a few great gamblers around. But there are far more people who are simply the sucker drawn into the great casino called "the market." This is a sad commentary on how our current financial system incentivizes reckless, speculative behavior. But that is just the way our world works- at least for now.

However, every day we see more evidence of the need for retail investors to truly diversify their portfolios with an asset that is set apart from the stock/bond market or banking system. The world is not going to end, but gradually, perception will come around to the cold, hard facts that currency debasement, financial repression (artificially low interest rates), combined with fiscal austerity are here to stay. In an environment where measures such as quantitative easing are really only easing the transition to a downsized economy (at best), people will be looking for those assets that never took part in the bubbles associated with the world before 2007 in the first place. Those assets which don't need leverage to move higher (even though leverage is a part of the silver market), or those assets which don't rely on endless consumption or indebtedness on the part of the consumer in order to become more valuable.

You may think silver will keep getting cheaper, and you might be right in the short term. But in the long term, this price correction really will be a blip on a screen, and when silver's price one day explodes higher again, you will kick yourself for having bought into misconceptions like the five myths regarding silver.

University of San Diego Lecturer
University of San Diego, KIPJ 262, 5998 Alcala Park, San Diego, 92110
Primary Tel 619.260.4756
Industry Education/Academia
ryanjordan@sandiego.edu

Chinese Panda 2001 - 2010 Price List

2012-01-21T12:33:00.001+08:00

please make this price list available for LSGG only. DO NOT disclose out of LSGG. Thank you.

Year -- Mintage -- Price
2001 -- 500k -- 380/pc
2002 -- 500k -- 430/pc
2003 -- 600k -- 650/pc
2004 -- 600k -- 530/pc
2005 -- 600k -- 370/pc
2006 -- 600k -- 490/pc
2007 -- 600k -- 300/pc
2008 -- 600k -- 330/pc
2009 -- 600k -- 320/pc
2010 -- 1500k --210/pc
2011 -- 6000k -- 160/pc **better get from SLS with cheaper price this.
1 set 2001-2010 (10pcs) -- RM4000

2009 30th Anniversary -- 300k -- RM290

1set 1989-2011 (23pcs) -- RM12988

*The price is based on loose pc. if JOINT purchase in TRAY would be cheaper at least RM10/pc for now.
**This is the price i get from China Distributor. if anyone of you find cheaper and original particular year of panda please do not hestitate to tell me or us so that we can get from cheaper sources. Thank you!!

The Oil of the 21st Century

2012-01-19T18:25:00.000+08:00

The Oil of the 21st Century
Thursday, 19 January 2012 – Melbourne, Australia
By Kris Sayce
The Oil of the 21st Century
The Scramble for Resources in Central Asia

.............................................................................................................................................................................

82%, 58% and 75% gains from shale gas stocks in 2011.
Is shale still a buy for 2012?

According to Dan Denning, high oil prices, geopolitical tension plus the US shale boom should all underpin the long-term case for the development of an Aussie shale gas industry. "The only wildcard, of course, is domestic politics and whether the industry is killed by politics. But that's the political risk you run when you buy Australian stocks these days."

Click here to read Dan's compelling-and controversial-case for shale...

.............................................................................................................................................................................

In today's Money Morning: ... more taxpayer money needed to bail out banks and governments...having an emergency plan...there are still profitable ideas...a part of the world set to boom...

The Oil of the 21st Century

Yesterday the papers splashed the latest warning from the World Bank.

The Financial Times reported:

"Predicting significantly slower global growth in 2012 than it expected last summer even if the eurozone muddles through its crisis, World Bank economists said that if financial markets deny funds to eurozone economies, global growth would be about 4 percentage points lower than even these figures, with poorer economies far from immune."

There's no doubt there will be another downturn. The pieces are already in place for it to happen. The only unknown is when.

Of course, the knee-jerk reaction is to say, what would the World Bank know? It nevergets things right. But it is worth remembering what the Bank wrote in 2007...

"A soft landing remains likely, but the global economy has reached a turning point and many factors could result in a more pronounced slowdown. A faster-than-expected weakening of housing markets in high-income countries could generate a much sharper downturn and even recession, with potentially significant effects for developing countries. Much slower growth would likely cause commodity prices to weaken more than already projected..."

But we won't big-up the World Bank too much. After all, the guys over at our sibling newsletter The Daily Reckoning banged on about the economic meltdown as early as 1999.

Besides, it's important to understand why the World Bank is making this prediction. It's not to warn investors about the risks of investing. It's not to admit that the world is now paying for the mistakes of the past. No. It's simpler than that...

It wants more taxpayer dollars.

Or rather, it wants governments to give taxpayer money to the International Monetary Fund (IMF) so the IMF can give more cash to broken banks and corrupt governments.

If you needed any proof, right on cue the following report appeared in the FT yesterday:

"The International Monetary Fund has asked its member countries for an extra $500bn in firepower to combat the world's spreading fiscal emergencies, which it estimates will generate demand for bail-out loans totalling $1tn over the next two years."

Coincidence? No.

It's the latest attempt by meddling bureaucrats to stall the inevitable: a full-scale economic collapse. Whether it's a repeat of 2008 or something much worse is anyone's guess.

That's why it's vital you have an emergency plan...

Building Wealth From Gas

Last year, Australian Wealth Gameplan editor, Dan Denning suggested where you should have your assets to prepare for "complete financial collapse". He provided the following handy chart...

How to Protect Your Wealth In A Complete Financial Collapse

Source: Australian Wealth Gameplan

Dan's advice was to move into assets that had real value... assets you could use to sustain life and trade. The break-up was partly tongue in cheek... but the idea behind it was not.

The one problem is that it's almost impossible to know when the collapse will happen.

Will it be this year? Or next year? Or will it be in 30 years...

That's why even though you may have a big picture, macro-economic view on the state of the economy, it's still important to think about the small things. And that means earning a living and building your wealth through the right investments... regardless of when the collapse happens.

Remember, despite the poor state of the economy, businesses and ideas still carry on. Business owners and managers still look to make profits... entrepreneurs still think of new ideas and take risks... and, share prices can still go up.

It was this kind of thinking that got Dan interested in the shale gas industry. And in particular, three stocks he backed last year to benefit from this booming industry.

If you're not familiar with shale gas, in simple terms it's gas that's trapped in deep rock formations. It's different to conventional gas. With conventional gas, the gas forms in porous rocks and can be easily "sucked out" by drilling into the rock.

But with shale gas, the rocks aren't porous. They need to be cracked apart (fractured) to allow the gas to escape. Only then can it be "sucked out" through the well.

It's this kind of innovation that provides benefits to shale gas investors (such as the readers who invested in Dan's recent stock tips) and to consumers. As this report fromBloomberg notes:

"A shale-driven glut of natural gas has cut electricity prices for the U.S. power industry by 50% and reduced investment in costlier sources of energy."

Buy Gas While the Price is Low

Yesterday we mentioned how the natural gas price was back to 2008/09 levels. Overnight it has fallen further, to just USD$2.49 per million British thermal units.

At some point you'll see a floor under the gas price. After all, with all the money spent on exploring and producing the stuff, gas producers aren't going to give it away for free.

That's what makes taking a punt on natural gas (and especially unconventional natural gas) a good bet right now. The best time to buy an asset that's about to leap in demand is when prices are low. Compare that to oil which is still at USD$100.

The longer things stay this way and with more big gas discoveries, there's a big chance natural gas will be the energy source to replace oil. And when that happens you can expect a boost to the natural gas price and big rewards for the companies and investors who take a punt while the price is low.

Cheers.
Kris.

P.S. We've written about shale gas for some time. But you're mistaken if you think it's too late to join in the boom, because it's only now starting to hit the mainstream. As a report in today's the Age proves: "Australian shale assets 'next big thing' for investors".

The report notes, "While shale assets in Texas sold at $US25,000 an acre this year and a holding in Ohio and Pennsylvania changed hands at about $US15,000 last month, shale properties owned by Australia's Beach Energy can be bought for $US406 per acre..."

Could Aussie shale assets increase 6,057% to the same price as Texas shale assets? Why not? To find out which shale stocks Dan Denning has picked to benefit from the shale gas boom, click here for a no-obligation trial to Australian Wealth Gamplan...

Related Articles

Special Report: Six Extraordinary Resource Investment Opportunities for 2012

How Global Oil Supplies Could Fall 40% Overnight

The Markets Rally Like It's 2008

.............................................................................................................................................................................

Global financial meltdown leaves one strategy standing...
The 3-Step Punter's Plan to Play This
Crazy Market for 75%-458% Gains

ENOUGH about Europe! If you're looking for a POSITIVE Australian investment idea and you're up for a bit of carefully controlled risk,CLICK HERE

.............................................................................................................................................................................

The Scramble for Resources in Central Asia
By James McKeigue, Contributing Editor, Money Morning (UK)

Life in central Asia's former Soviet republics has never been easy. The larger states - Kazakhstan, Uzbekistan and Turkmenistan - are dominated by tree-less steppes and arid, sprawling deserts. The terrain of the smaller countries, Kyrgyzstan and Tajikistan, consists of little more than mountains. Throw in the fact that the whole region is landlocked, and has no navigable rivers and little decent agricultural land, and it's no surprise that the five 'Stans' are among the most sparsely populated countries on earth. On average, there are only five people for every square mile in the region. Or to put it another way, a population roughly the size of Britain's is spread out over a region 17 times as large.

Yet despite the harsh geography and sparse population, some of the region's economies are booming. Why? One reason is the demand-fuelled surge in commodity prices over the last decade. The Stans are host to vast amounts of natural resources, many of which were underexploited during the years of Soviet rule. As a result, the last ten years have seen a horde of Russian, Chinese and Western firms pile into central Asia in a dash to secure the best assets.

But it's not just about the hunt for resources. Thanks to the growing power of China and India, and the war in Afghanistan, the Stans have also gained in geopolitical importance. As a result, the US and Chinese governments are desperately trying to expand their political and military influence in the region.

This renewed interest is critical to the development of the Stans, says geopolitical analyst and publisher Stratfor. The vast, barren landscape of the Stans means that, "with the exception of commodities, central Asia is endemically impoverished and will always have massive infrastructure demands. The central Asian states can therefore only be remotely functional if they can tap the capital supplies of a larger state outside the region. Without outside assistance, they will continue struggling to maintain the capital necessary to maintain existing infrastructure, and developing new infrastructure will pose an even greater challenge." Indeed, in the 1990s, neglected by Russia, the Stans largely stagnated. Now, however, the region is tapping the capital of three larger states, which are all jockeying for influence - and that spells opportunity for bold investors.

Central Asia's treasure trove

So just how large are the region's commodity reserves? It differs from country to country, but the short answer is 'enormous'. Take Kazakhstan. It is home to 3% of the world's oil, 4% of the world's coal and 15% of its uranium. It has the world's largest reserves of zinc, lead and chromite, and it is in the top ten for supplies of copper, iron ore, gold and manganese. This may seem surprising until you realise that Kazakhstan is the world's ninth-largest country: it's five times the size of France. The only resource Kazakhstan doesn't have much of is people. With only 16 million citizens, little of these precious commodities are needed at home, leaving more for exports.

Turkmenistan is also rich in energy, with almost 4.5% of the world's natural gas. Again, it uses little, freeing up most of the gas for export. It also has 500 million barrels of oil. Uzbekistan has significant natural gas reserves, about 0.8% of the world's total - about the same amount as Libya - and sizeable gold, copper, lead and uranium reserves. It's also the most populous 'Stan', with 26 million people.

That's more than enough to get less resource-rich nations envious. But geologists believe there is a lot more commodity wealth yet to be discovered in the Stans. Dr David Robson, chief executive of Tethys Petroleum, a small London-listed firm operating in central Asia, believes the region's Soviet past has left some areas underexplored. "We have just made a find in Tajikistan. In Soviet times Tajikistan was a rural part of the economy and not thought of as a source of oil and gas, but we believe it has similar geological traits to other hydrocarbon-rich parts of the region."

Location, location, location

The Stans are also well-positioned geographically to benefit from this resource wealth. Since before the time of Christ, trade between Asia and Europe has travelled through central Asia along the Silk Route. Today that positioning means that Kazakhstan is in the perfect position to satisfy demand both from Europe, and the growing economies of Asia.

However, until recently, it has been difficult for miners and oil firms to take advantage of central Asia's great location. Miners need good road or rail networks to get their goods to international markets. These already exist in established resource areas, but large swathes of central Asia are underserviced.

Another problem is that much of the transport infrastructure that does exist was built in the Soviet era and, as a result, is aimed towards servicing Russia. Oil and gas travels by pipeline to Russia, which pays a low price for it. "We sell gas to the local market but effectively the price is dominated by what the Russians pay for the exported gas," says Robson. Meanwhile, minerals must travel through a Russian-controlled river and canal network if they are to leave landlocked Kazakhstan and reach the Black Sea.

Infrastructure is expanding

But since independence, governments in the area have pushed ahead with new infrastructure projects designed to increase their access to new markets. In 2009, the first gas pipeline to be built without Russian involvement came into operation, linking Turkmenistan, Kazakhstan and Uzbekistan to China. Qiang Xiaoyun from Shanghai Business School Journal estimates that Chinese gas imports will double between 2010 and 2020, most of which will come from central Asia. This will help to reduce China's reliance on liquefied natural gas (LNG) imports, which travel by sea and are therefore more vulnerable to terrorism and piracy.

China is also making heavy investments in Kazakhstan's oil fields and mineral projects. Economic cooperation between China and the five Stans has grown steadily. Over the past few years, the volume of trade has increased by 40% a year, reaching around $20bn in 2010, and this growth shows no sign of stopping.

China isn't the only one with an eye on the region's gas. India and Pakistan are both struggling to meet demand amid rising gas usage. On 11 December last year, Turkmenistan, Afghanistan, Pakistan and India signed an inter-governmental agreement on the TAPI gas pipeline. This agreement provides for the construction of a 1,735 km gas pipeline at a cost of $8bn. When completed in 2013-2014, the pipeline should enable Turkmenistan to export 33 billion cubic metres of gas in total, with five billion cubic metres going to Afghanistan and 14 billion cubic metres to Pakistan and India.

Western oil firms are also well established in the region. American firms dominate, controlling 75% of new oil fields. Their overall investment of $30bn represents around 40% of foreign investment in Kazakhstan and Azerbaijan. But energy companies from Britain, France, Italy, Iran, and Japan are also present. For example, British firm BG Group leads a consortium in Kazakhstan's massive Karachaganak oil and gas field.

The great game revisited

Central Asia also forms an important plank of US foreign policy. America is keen that the region continues to provide support for Afghanistan, especially when American troops leave. America's 'New Silk Route' strategy focuses on bolstering north-south trade - linking India and Pakistan via Afghanistan to the Stans. Notably - if unsurprisingly - Iran, an important post on the original Silk Route, has been left out of the plan.

Perhaps feeling that he needed to regain the initiative, Russian prime minister Vladimir Putin has in turn proposed investing $500m in a joint project with China that would transmit electricity from central Asia to India and Pakistan. The Stans have always been Russia's backyard. The country still has a network of military bases, infrastructure and political alliances in the region that give it clout for now, and it certainly doesn't want other powers gaining the upper hand in its sphere of influence.

"The central Asian countries are benefiting from competition between the powers," says Xie Wenxin in China Economist. "They have maintained close relations with Moscow, since much of their oil and gas exports continues to transit via Russia. But for technical and financial reasons, they are in the process of re-examining their cooperation with Western oil companies." Rivalry between the great powers should help central Asia fund the infrastructure it needs to exploit its resources, and in turn open up more lucrative markets to sell to. Where there's reward, there's risk

Of course, while central Asia may be full of commodities, it is also full of risk for investors. First, there are the internal politics. In all five countries, former Soviet strongmen seized power when the region gained independence in the early 1990s. One such leader has been forced out by death (Tajikistan), another by revolution (Kyrgyzstan), but the rest stay in power. Indeed, despite what their well-paid Western PR agencies might try to tell you, all apart from Kyrgyzstan are dictatorships.

The most politically stable of the Stans is Kazakhstan. It is ruled by Nursultan Nazarbayev, the former first secretary of the Kazakh Communist Party, who became president when the country gained independence in 1991. Despite maintaining close links with Russia and keeping most of the Soviet-era bureaucracy, Nazarbayev has opened the economy up to foreign investors. The autocrat didn't have an easy ride in the 1990s. "Like most Commonwealth of Independent States (CIS) countries, Kazakhstan's economy collapsed in the 1990s in the wake of the break-up of the USSR," says Baillie Gifford's Andrew Stobart in the firm's Trust magazine. The economy almost halved in size, between 1989 and 1998. "Inflation peaked at nearly 3,000% in 1994."

Yet eventually Nazarbayev's focus on opening the economy up began to pay off as production of oil, minerals, metals agriculture and heavy industry increased. The economy grew at around 10% a year between 2000 and 2007. But the boom drove a debt-fuelled property bubble that burst in 2007 when cash-strapped European banks started calling in loans (sound familiar?). The crisis tested Kazakhstan's young financial institutions, and the nation's sovereign wealth fund had to buy stakes in two listed banks to prop up the sector. But, unlike in the West, growth has returned, and Stobart reckons it can be maintained at "high-single digits" for the next few years.

This year, Nazarbayev was re-elected president with 95% of the vote. These elections were neither free nor fair, but most analysts think Nazarbayev - who is well liked for raising living standards - would win even if they were. Kazakhstan is also the best bet for investing in central Asia. It has the most resources, the largest economy and welcomes foreign investors.

James McKeigue
Contributing Editor, Money Morning (UK)

Publisher's Note: This is an edited version of an article that first appeared in Money Morning (UK).

Gold-Silver Price Ratio Getting Silly Again - Silver Gold Malaysia

2012-01-18T15:47:00.000+08:00

Although both the gold and silver markets have been subjected to extreme manipulation, it is clear that manipulation of the silver market has been much more severe. There are two related numbers which illustrate this point.

Knowledgeable investors know that the long-term price ratio of gold versus silver (i.e. over roughly 5,000 years) has averaged approximately 15:1. This closely coincides with the ratio of the natural occurrence of these two elements in the Earth's crust (approximately 17:1). Not only did this price ratio remain relatively constant over several millennia, but the fact that the price ratio so closely mirrors the rate of occurrence of the two metals shows that (in relative terms) our species has demonstrated a roughly equal preference for the two metals throughout recorded history.

These facts establish beyond any possible contradiction that over the medium or long term the price of silver must remain at close to a 15:1 ratio versus the price of gold. There is only one factor which could alter this arithmetic: if our preference toward the two metals changed. Has any such change in preferences occurred? Yes. Silver has become much more popular.

This increased popularity comes in two distinct forms. Modern technology has established silver as the most valuable/versatile of all metals, with more new silver-based patents being created than for any other metal. Along with that there has been an even more stunning/dramatic surge in investor demand for silver -- a consequence of silver being perennially and extremely undervalued.

In 2011, the United States sold nearly 40 million Silver Eagle 1-oz coins while only selling approximately 1 million Gold Eagles -- a near 40:1 ratio. This ratio is more than double the 5,000-year price ratio, and more than double the relative natural occurrence of silver. In other words, over the long-term this demand profile is totally unsustainable -- and must result in (first) the total depletion of silver inventories, and (second) a rise in the price of silver sufficient to stifle silver demand sufficiently for balance to be restored.

However, the demand profile of silver is literally only half the story here -- and the supply-side illustrates the futility of bankster manipulation in even more absolute terms. Given that silver is 17 times more plentiful in the Earth's crust, we would expect the world's mining industry to be producing about 17 times as much silver as gold each year. In fact actual production numbers are nowhere near this ratio.

To attempt to conceal the ridiculous imbalance between silver mining and gold mining, the banksters' agents report silver mine production in (Imperial) ounces, while reporting gold production in (metric) tonnes. Fortunately anyone able to employ a calculator can overcome this clumsy attempt at deceit.

Converting all mine production to ounces, gold mine production was over 100 million ounces in 2010 while silver mine production was a mere 735 million ounces. Thus we have the miners producing only approximately 7 times as much silver as gold in 2010, while investors are exhibiting a 40:1 preference in buying silver versus gold. Meanwhile the gold/silver price ratio is an utterly insane 55:1 at the present time.

Keep in mind that the preference for silver over gold industrially is just as extreme. While industrial demand for gold has essentially remained flat over recent years, industrial demand for silver has risen by roughly 50% over the past 10 years -- and by 18% in 2010 alone. This rabid industrial demand for silver (along with relatively little recycling) has resulted in global stockpiles of silver being decimated, with silver inventories plummeting by 90% between 1990 and 2005 alone.

Conversely, virtually every ounce of gold ever mined is still available today. As a result of decades of yet another gross imbalance in this market, there is less silver in the world today (relative to gold) than at any time in thousands of years. A precise ratio is impossible to construct, however estimates range from a (conservative) 6:1 level to the estimates of the more bullish commentators in the sector, who insist there is more (above-ground) gold in the world today than silver. This means that relative to supply, silver is under-priced by a factor of ten (if not more).

At the same time that silver is at its most popular point in history, there is less of it around (relatively) than at any time in history. Anyone with the slightest comprehension of markets understands what must happen: the price of silver must explode to a level which simultaneously dramatically depresses demand, while causing an explosion in silver mining activity. And note that the current parameters discussed here were after the 1,000% price increase over the past decade. Not only has the supply deficit remained despite that 1,000% price increase, it's gotten larger. Thus we might (conservatively) estimate that another 1,000% increase in the price of silver might just be enough to restore balance to the market.

What we have observed generally with respect to the gold and silver markets over the past few decades is nothing more than a long-term illustration of the principles of supply and demand, along with the absolute dictates of arithmetic. The extreme manipulation of the precious metals sector during the last decade of the last century has led to massive price increases in the prices of gold and silver in the first decade of this century -- despite the banksters redoubling their efforts to suppress these markets.

Silver was suppressed even more extremely during those previous years, and so it nearly doubled the gains of the gold market over the past decade. This is nothing but a reiteration of one of the most obvious common-sense principles of human commerce: if you put something "on sale" you will increase buying and burn through inventories. If you price something at an extreme discount, you simply burn through inventories much, much faster.

The gold/silver price ratio has once again reached an absurd manipulation extreme. This in turn is conclusive proof of the current, extreme suppression of silver taking place in this market -- as unequivocally demonstrated by the supply/demand parameters previously detailed. What does this mean over the longer term? That $500/oz silver is now a certainty in the future.

maple real vs fake

2012-01-14T17:19:00.000+08:00

maple real vs fake

By admin | Published January 12, 2012 | Full size is 1173 × 578 pixels

First Time Ever: Silver Sales Surpass Domestic Production | Steve St. Angelo | FINANCIAL SENSE

2012-01-06T15:24:00.000+08:00

First Time Ever: Silver Sales Surpass Domestic Production

BY STEVE ST. ANGELO01/04/2012

Print
Share
Font Size

The demand for American Silver Eagles and Canadian Maple Leaf coins has increased tremendously over the past several years. 2011 will be the first time in history in which official coin sales will surpass domestic silver production in both countries.

Even though each country has seen declines in their domestic silver production over the past decade, U.S. silver production declined a whopping 30% yoy (year over year) in October. According to the USGS in their most recent Silver Mineral Industry Survey, silver production fell to 81,400 kilograms in October—compared to 117,000 kilograms the same time last year.

Click here for larger image

As of October this year, the United States has produced 923,000 kilograms or 923 metric tonnes of silver. This number will change as revisions are made, but currently U.S. silver production is down 15% compared to the first ten months of 2010. At this rate, the U.S. will produce an estimated 35 million ounces of silver this year. This is significant, as production will yield less than the approximate 40 million ounces of American Silver Eagle sales for 2011.

American Silver Eagle Sales Overtake Total U.S. Silver Production in 2011

Click here for larger image

Here we can see that U.S. silver production has declined 50% since its high of 70 million ounces in 1997. In 1997 American Silver Eagle sales were 3.6 million, which accounted for only 5% of domestic silver production. Contrasted to today, Silver Eagle sales are estimated to reach 40 million while domestic mine supply will decline to 35 million ounces in 2011. Thus, American Silver Eagle sales will be 114% of the total U.S. silver supply in 2011… what a difference in 14 years. This trend is also taking place in the country’s northern neighbor

Canadian Maple Leaf Sales Outperform Silver Eagles in Percentage Growth

Canadian silver production has declined 57% from its recent high in 2002 at 44.1 million oz to an estimated 18.6 million oz this year. According to the Royal Canadian Mint’s 2003 Annual Report (and including figures from previous years), there were only 576,196 Silver Maple Leaf coins sold in 2002— making up about 1.3% of the total Canadian domestic silver production.

In 2011, this figure is estimated to reach approximately 22.5 million Silver Maple Leaf (SML) sales or almost 30% higher than its previous year’s total of 17.9 million. In comparison, 2011 American Silver Eagle sales are estimated to increase only five million sales over last year’s figures— or a 15% increase.

In the graph below we can see just how apparent this change of domestic silver supply vs. SML demand has become in the past several years:

Click here for larger image

The figure of 22.5 million SMLs for 2011 was estimated from the data obtained from the Royal Canadian Mint’s Third Quarter Report Fiscal 2011:

Sales of Silver Maple Leaf (SML) coins jumped to 6.1 million ounces during the quarter from 4.5 million ounces in the same period in 2010….During the 39 weeks to October 1, 2011, sales of SML coins increased by 56.1% to 17.8 million ounces.

If we consider that American Silver Eagle sales have declined in November, it would be appropriate to conclude that Silver Maple Leaf sales did as well. Assuming that fourth quarter SML sales would be approximately five million (as expressed in current trends) it would give us a figure of 22.8 million oz in 2011… rounded down to 22.5 mil oz to be conservative.

If these figures are correct and the Royal Canadian Mint does sell 22.5 million Silver Maple Leaf coins in 2011, it will be at a rate of 121% of their domestic silver production. 2011 will be the first year in which both the U.S. and Canada will sell more Silver Eagles & Maples than what is available from their respective silver mining supplies.

Does the U.S. Mint Have to Use Domestic Silver Mine Supply for its Silver Eagle Production?

There has been a great deal of discussion on the internet on whether or not the U.S. Mint is by law forced to use domestic silver production for their minting of American Silver Eagles. I have spoken with Michael White at the Office of Public Affairs at the U.S. Mint concerning this issue. Mr. White provided me the link to Senate Bill S. 2954, passed into law in 2002, which allows the U.S. Mint to purchase silver on the open market to produce American Silver Eagles. Wikipedia has also documented this below:

Program extension, 2002

The authorizing legislation for the American Silver Eagle bullion program stipulated that the silver used to mint the coins be acquired from the Defense National Stockpile with the intent to deplete the stockpile's silver holdings slowly over several years. By 2002, it became apparent that the stockpile would be depleted and that further legislation would be required for the program to continue. On June 6, 2002, SenatorHarry Reid (D-Nevada) introduced bill S. 2594, "Support of American Eagle Silver Bullion Program Act," "to authorize the Secretary of the Treasury to purchase silver on the open market when the silver stockpile is depleted." The bill was passed by the Senate on June 21 and by the House on June 27 and signed into law (Pub.L. 107-201, 116 Stat. 736) by President Bush on July 23, 2002. http://en.wikipedia.org/wiki/American_Silver_Eagle

If it were true that domestic silver was required to mint these coins, the U.S. Mint would have only produced approximately 35 million oz of Silver Eagles in 2011— instead of the supposed 40 million currently estimated. This is also true for the Royal Canadian Mint as it is now producing more Silver Maples than it can supply through Canada’s own domestic silver production.

Even though the U.S. and Canada produce more Silver Eagles and Maples than their domestic mine supplies, neither country has regarded this as a problem because they each have enough imported silver to meet all of their industrial and investment demands. However, this situation may change in the future as the global economy worsens and each country loses further trust in their respective fiat currencies.

The Myth Behind the So-called Silver Surplus

The investing public has been led to believe that the world is now producing a surplus of silver. This so-called surplus was provided by information put forth by GFMS. According to GFMS and its World Silver Surveys, there has been an annual global deficit of silver since 2003. In 2004 the world hit its first small surplus and has continued to grow. In 2010, the surplus was 175.4 million ounces.

To get its annual supply-deficit figure, GFMS uses a certain equation:

(Mine Production + Silver Scrap) – (Fabrication - Coin & Medal) = Surplus- Deficit

If we plug in 2010’s figures this is the result:

(735.9 + 215) = 950.9 – (878.8 - 101.3) = 775.5 = +175.4

GFMS has decided that coin and medal demand should not be included in the Fabrication total but rather as a form of bullion supply. So the higher the coin and medal demand, the more it adds to the so-called silver surplus. The majority of this category of “Coin & Medal” consists of official government coins that are in high demand and are not of the type that would be sold for melt and recycled back into scrap supply. If we look at the chart below, we can see how GFMS has created this so-called silver surplus:

Click here for larger image

101.3 million of those 175.4 million oz of so-called surplus came from coin & medal demand in 2010. I find it interesting that GFMS has decided to treat the “Coin & Medal Category” (the majority of which are coins not readily available for melt and recycle) as supply rather than demand, but allow silver scrap from recycled fabrication to be used as a form of supply.

If we think about it for a minute, the whole idea of a surplus as expressed by GFMS is nothing more than an accounting gimmick. In 2010, there was 215 million oz of silver scrap added to the total supply. A large portion of this amount came from recycling silver from industrial scrap. Every year a certain amount of silver supply goes into industrial fabrication and of that amount, a percentage gets recycled into silver scrap which becomes supply in the following years.

Ask yourself this question… what would be considered more of future supply? Would it be comprised of official government coins that are in high demand and held for many years for their investment potential or a percentage of recycled silver from industrial fabrication? Even if investors sell Silver Eagles or Silver Maples back to a dealer, that dealer normally resells these coins back to other investors. These coins are the least likely to be melted and recycled.

Even if we were to go by the GFMS and their silver surplus vs. deficit figures, there is another interesting trend taking place. As coin and investment demand has risen, so has the price of silver. During the years attributed to a silver deficit, the price of silver remained relatively flat. As the so-called surplus has increased, so has the price of silver. Either way, silver investment is pushing the price of silver higher.

There have been several analysts who have stated that future silver surpluses will keep a lid on the price of silver. Here we can see that this is not the case at all. On the contrary, it has been due to investment demand that both the price of silver and the so-called surplus supply have grown.

The Coming Paradigm Shift in Silver

This is the subject of my next article which will be out shortly. The paper-backed situation in the world’s economies and financial system is grim. Silver should be priced at a level several times higher than it presently trading. Too many investors are becoming hypnotized by the technical analysis. However, technical analysis is a valuable tool in a FREE MARKET. Unfortunately, the markets and the silver charts are being manipulated while analysts who recreate these charts in their articles may not realize that they are actually helping the manipulators do their work by legitimizing its function on the internet’s financial websites.

Even though supply and demand factors contribute to the price of silver, it will be the shift in psychology that will propel the price of silver towards the heavens. This psychology has been slowing changing as the graphs above reveal an interesting trend taking place in the U.S. and Canada. In 2002 both countries produced 87.5 million oz of silver and sold 11 million Silver Eagles and Maple Leaf coins. These coins sales accounted for 12.6% of U.S. and Canadian silver production.

In 2011, just nine years later, the U.S. and Canada are estimated to mine only 53.6 million oz of silver combined, while their total Silver Eagle and Maple Leaf coin sales are to surpass approximately 62.5 million. Thus, their coin sales are 16% greater than their total domestic silver mine supplies.

Investors in increasing numbers over the years have been buying physical silver. While this number is growing, it is still a fraction of a fraction of the country’s population. Even though 40 million Silver Eagles were sold in 2011, this accounts for one coin for every eight Americans.

The Great Stampede in Silver is yet to come

UPDATE: Since the completion of this article, the U.S. Mint has updated its 2011 American Silver Eagle sales. The grand total for 2011 turns out to be 39.8 million Silver Eagles sales while the month of January 2012 starts off with a whopping 3,197,000 sales on the first business day of the year. This is speculation on my part, but instead of updating the Silver Eagle figures during the last few days of 2011(as it normally does on a more regular basis), the U.S. Mint decided to dump all the remaining sales onto January 2012.

Fake 2010 Panda 1oz silver

2011-12-31T14:39:00.000+08:00

Click the images to enlarge.

Counterfeit •••••• •• • •• •• •• •••••Genuine
2010 1 oz. silver 10 Yuan Panda coin

Notice (1) how high up the Yuan symbol on the counterfeit is, (2) the textures in the fur and (3) the gap between the letters.

Fake Panda 2011

2011-12-31T14:35:00.002+08:00

Obverse:
A. Rug on temple steps has the wrong pattern.
B. Chinese characters are not struck sharply.
C. Ball on temple too fat.
D. What's with those lines around the temple roofs?
E. The gutter needs some repairs as it looks like it's sagging.
F. Top of temple too broad.
G. As pointed out by somerset "Last Chinese character - dot in the character is vertical, should be slanted"

Reverse:
A. Mother Pandas's hind left leg looks frosted, should be mirrored.
B. Mother Panda's left ear too round, should be pointier.
C. Mother Panda's right eye patch rounded at the bottom, should be flat.
D. Baby Panda's nose is square.
E. Top of "g" looks like a circle, should be oval.

2012 Gold and Silver Investment

2011-12-28T15:55:00.000+08:00

Year End Review - 2012 Outlook for Gold & Silver

Gabe Elton | Austin Rare Coins & Bullion

To view our Year End Gold Specials immediately, CLICK HERE!
To view our Year End Silver Specials immediately, CLICK HERE!

Congratulations on another stellar year in precious metals. At this time it is important to reassess where we are, where we think we're heading, and how to best prepare for what seems to be the inevitable–the continual decay of our financial markets, a continual decline in the purchasing power of our currency and savings, and a continued rush into safe haven assets that have no counterpart risks–gold and silver.

On January 11th, the day we sent out last year’s outlook, gold sat at about $1380/oz and it's currently $1675–a gain of 21%. Silver was at $29.67 and currently sits at $32.00–a gain of more than 8%. Currently for 2011, the Dow Jones is up a meager 3.1% while the S&P and NASDAQ are both in the red. Don’t forget that silver gained 75% in 2010 so while its 8% gain might seem miniscule compared to the gains we are used to seeing, a cool-off was to be expected. Also remember that at one point in 2011 Silver was up 40% for the year when it touched $49 in April-$9 higher than our initial price target for 2011. Even after numerous margin increases and dirty tricks by the Comex paper Silver market, silver is still up for the year–more than quintupling the performance of the S&P and NASDAQ and handily outperforming the Dow. Another important data point regarding silver is that if we just return to the high we witnessed in 2011 of $49, silver would produce stellar returns of 50%. We view silver as the most undervalued in the Precious Metals complex with potential for explosive gain.

Also keep in mind that although gold currently has impressive 21% gains for the year, had the year closed at the year’s high of $1900 per ounce, the gains would be close to double what they are currently. We fell this is a strong indication that gold is currently undervalued since it would have to go up more than 15% from its current level just to equal the high of 2011.

What We Told You Last Year
In last year’s 2011 outlook we made the following recommendation: “We strongly recommend taking advantage of this temporary pullback we are seeing in Gold and Silver. Our advice would be to take advantage of this recent pullback and to continue buying the dips throughout the year–we think you will be happy that you did.”

Happy indeed, had you heeded this advice you would be up 21% in gold and 8% in silver. In that same report, we were also spot on regarding the outlook for gold and silver saying:

“Analysts say that Gold could top $1700 in 2011 and we have heard reports that Silver could be as high as $40 by the end of this year.”

Our 2011 forecast was spot on – gold topped $1900 during the year while silver outperformed our forecast as well hitting $49 in 2011 and it currently sits at a very appealing price of $32.00.

What We Expect for 2012
Analysts and forecasters are saying that 2012 will be the year that gold breaks $2,000 per ounce and that silver will push $70. In fact most are saying that an explosion in gold and silver prices could happen sooner rather than later and a consensus seems to be gathering that gold will break $1900 and silver will break $60 as soon as March of 2012.

We wouldn’t be surprised to see gold trade as high as $2,200 and for silver to trade over $65 in 2012, and we believe these estimates to be conservative.

Gold and Silver – Another Year of Out-performance
Had you invested $100,000 in the Dow Jones index on January 1st 2011 it would now be worth $103,000–which barely outpaced the rate of inflation of 3% admitted by the government. However taking the real rate of inflation into account using the same methodology that was used in the 1970’s, the inflation rate was closer to 7% than the 3% or more that the government admits to. So had you invested the money in a Dow Jones index, in real terms you would have actually lost money due to the decline of the dollar. Had you done the same with the S&P index you would have lost money as well, and the same can be said for the Nasdaq. On the other hand, had you put $100,000 into physical gold bullion in January of 2011 it would be worth over $120,000 today. Not a bad year to say the least, however, this year is not out of the ordinary – 20% returns per year for gold seem to be quickly becoming the norm, it was up 29% in 2010 and we expect returns of more than 20% in 2012.

The chart above shows commonly traded Exchange Traded Funds (ETF’s) that track the performance of stock indexes like the Dow Jones, NASDAQ and S&P. At the time of writing, they are all negative.

In 2011 the commodities market painted a glaring picture of what gold and silver actually are – real money. While most commodities fell during last year, gold and silver continued to produce gains. This is a critical divergence from the norm since commodities are traded in “baskets” and normally trade in tandem. This breakaway in gold and silver indicates that people are looking to precious metals as real money instead of just another commodity. Gold and silver are once again proving to be the harbors of security in a world gone mad. From Europe to the U.S., Government's have borrowed and spent their citizens into a debit crisis. As a result traditional investments are suffering. The numbers speak for themselves which could explain why foreign central banks continue to rapidly increase their gold reserves. This should support higher gold prices for years to come.

Current Events Form Future Trends

To steal a line from Gerald Celente, a well known and respected trends forecaster–“current events form future trends.” We couldn’t agree more. However, the events we are currently seeing tell us that our future is trending in an ominous direction. Gerald Celente is one of tens of thousands of investors that lost billions in segregated accounts that were stored with MF Global. MF Global was more than a brokerage firm, it was a clearing house for brokerage firms. If you haven’t looked further into the collapse of this commodities giant you should. It’s a story of greed, corruption and political chicanery that should serve as a stern warning to those who hold any paper asset including stocks, bonds, ETF’s, or futures accounts.

The story gets even worse, over 100 farmers in Minnesota alone are estimated to have lost more than a billion dollars that was tied up with MF Global. Many farmers use commodity accounts to hedge their crops from price fluctuations and possible natural disasters like floods, frost, droughts, etc. Even though many of these farmers had nothing to do with MF Global, the people they were doing business with did – the epitome of counterpart risk. The Minneapolis Tribune points this out, “Most of the costumers (farmers) didn’t choose to do business with the huge brokerage house that has become one of the biggest failures in U.S. history. They invested through brokers or financial advisers who eventually used MF Global to clear trades.”

MF Global was placing large bets on struggling European countries sovereign debt. When their leveraged scheme failed due to the European debt crises, they covered their losses using their clients money. Now, more than 30 days after the disaster many investors don’t know if and when they will get their money back. In fact, the events have caused several brokerages to close their doors all together.

Disgusted Brokerage Firm Closes Their Doors
One brokerage, Bernhardt Capital Management, closed their doors in disgust leaving behind a letter explaining their decision:

"The reason for my decision to pull the plug was excruciatingly simple: I could no longer tell my clients that their monies and positions were safe in the futures and options markets – because they are not. And this goes not just for my clients, but for every futures and options account in the United States. The entire system has been utterly destroyed by the MF Global collapse. Given this sad reality, I could not in good conscience take one more step as a commodity broker, soliciting trades that I knew were unsafe or holding funds that I knew to be in jeopardy… A firm, led by a crony of the Obama regime, stole all of the non-margined cash held by customers of his firm. Let’s not sugar-coat this or make this crime seem “complex” and “abstract” by drowning ourselves in six-dollar words and uber-technical jargon. Jon Corzine STOLE the customer cash at MF Global.”

One would think that the “regulators” would see to it firstly that all clients funds remain segregated but once again they have failed in their duty. Not only that, they actually made matters even worse, they froze customers out of their accounts while the markets continued to trade:

“What was a surprise was the reaction of the exchanges and regulators. Their reaction has been to take a bad situation and make it orders of magnitude worse. Specifically, they froze customers out of their accounts WHILE THE MARKETS CONTINUED TO TRADE, refusing to even allow them to liquidate. This is unfathomable. The risk exposure precedent that has been set is completely intolerable and has destroyed the entire industry paradigm. No informed person can continue to engage these markets, and no moral person can continue to broker or facilitate customer engagement in what is now a massive game of Russian Roulette."

The letter continues with Bernhardt Capital Management’s most ominous warning of all:

“I have learned over the last week that MF Global is almost certainly the mere tip of the iceberg. There is massive industry-wide exposure to European sovereign junk debt. While other firms may not be as heavily leveraged as Corzine had MFG leveraged, and it is now thought that MFG’s leverage may have been in excess of 100:1, they are still suicidally leveraged and will likely stand massive, unmeetable collateral calls in the coming days and weeks as Europe inevitably collapses. I now suspect that the reason the Chicago Mercantile Exchange did not immediately step in to backstop the MFG implosion was because they knew and know that if they backstopped MFG, they would then be expected to backstop all of the other firms in the system when the failures began to cascade – and there simply isn’t that much money in the entire system. In short, the problem is a SYSTEMIC problem, not merely isolated to one firm.

The futures and options markets are no longer viable. It is my recommendation that ALL customers withdraw from all of the markets as soon as possible so that they have the best chance of protecting themselves and their equity. The system is no longer functioning with integrity and is suicidally risk-laden. The rule of law is non-existent, instead replaced with godless, criminal political cronyism.”

Sadly, current events are forming future trends and MF Global isn’t the first or the last. This is just one of the reasons that we have always warned our clientele to demand on the delivery of physical gold and silver. Do not allow someone to store it on your behalf and stay far away from ETF’s like GLD and SLV – one only need to read their prospectus’ in order to find out why, but paper gold and silver are the ghosts of gold and silver. Insist on the real thing delivered to your door from Austin Rare Coins and Bullion. Because paper money can disappear faster than it can be printed.

The System is Broken – Get Out While You Can
For some of us, 2008 seems so far away, the stock markets seemed to be back! In 2011 stocks produced absolutely no net returns and remain at levels that we were at nearly a decade ago, but if you believe the talking heads on the financial news networks, well then of course the stock markets are back. In reality though, we are in much worse shape than we ever could have been in 2008. We believe the calamities that lie ahead will make 2008 look like a walk in the park. The entire financial system is on the edge of disaster and this crisis is far from over. Nothing in Greece, Italy, Spain, Ireland, and Europe has been fixed. If you truly believe that stocks are back and that this “recovery” is actually working take a closer look at some of the real figures:

Take Action Now
Food stamp usage is soaring. Our national debt is now over $15 trillion dollars and is steadily increasing with no end in sight. Over 75% of stock trades are completed by computer algorithms called High Frequency Trading. We found out last year during the “flash crash” that the fairy tale world of the Dow Jones and NASDAQ could evaporate in seconds when the Dow Jones fell 9% in less than an hour. The markets are essentially broken because fraud is no longer being prosecuted, it is being rewarded with bailouts and sweetheart deals.

We agree with Bernhardt Capital Management: "The futures and options markets are no longer viable. Customers should consider withdrawing from all the markets as soon as possible so that they have the best chance of protecting themselves and their equity. The system is no longer functioning with integrity and is suicidally risk-laden. The rule of law is non-existent, instead replaced with godless, criminal political cronyism.

Our annual reports and outlooks have turned out to be rock solid advice for gold and silver investors and we expect that our Outlook for 2012 will continue to be proven right, yet again. Take our advice and protect yourself from a world of paper assets that one day we feel could return to their inherent worth–the value of the piece of paper that they are written on. Gold and Silver have absolutely no counterpart risks–owe no one. Take a real close look at your financial picture and remove yourself from counterpart risk, remove yourself from markets and currency that is denominated in debt and suicidally risk laden so that you can reposition your hard earned savings into the safe havens of mankind for thousands of years, Gold and Silver. Not doing so could prove disastrous and, frankly, in a financial climate such as this could be considered bordering on insanity.

We have included with this report a link with a write up on our current gold and silver recommendations. This special pricing is only available to the select few preferred clients that receive the Austin Report and is not available on our website – you must call in order to receive the discounts, but after seeing your special pricing we think you will agree that it is worth the phone call. Open the attached file, take a close look at the offer and give us a call. Like we told you in 2011, we think you will be glad that you did.

Live Silver Prices, Silver Bullion Prices & 650 Years of Silver Prices

2011-12-27T14:29:00.000+08:00

(0)

How to Sell Your Gold Buy More Gold for Less Live Gold Prices Free Gold Profit Report

Live Gold Prices
•Gold Charts
•Historical Gold Prices

Shop for Gold Coins
•Today's Best Gold Buys
•Pre-1933 U.S. Gold Coins
•American Eagle Gold Coins

Learn More About Gold
•How to Buy Gold Coins
•Add Real Gold to Your IRA
•Online Gold Buying Guide
•Free 2012 Gold Profit Report

CUSTOMER TESTIMONIALS
"The company was very helpful and went the extra mile after the sale. Not only did I get an email confirmation but also a phone call.... I have never gotten this great of “after the sale” treatment. I am recommending this company to family and friends."
–Michael T. of Kapolei, Hawaii
More from our clients...

Gold Information Network
The Gold Bullion Division of
Austin Rare Coins, Inc.
10800 Pecan Park Blvd.
Austin, Texas 78750

Live Silver Prices

Today - 30 day - 1 Year - 5 Year

650 Years of Silver Prices

This is a 650 year graph of silver prices and silver/gold ratio from 1344 to 2004.

Silver Prices from 2004 - 2011

	Shop for Silver Bullion	Live Silver Prices
	Order a FREE Silver Profit Report

$GOLD:$SILVER - SharpCharts Workbench - StockCharts.com

2011-12-27T14:27:00.000+08:00

SymbolPeriodsInspect

Print - Annotate (Flash) - Annotate (Java) - Share - Linkable Version - Instructions - About Realtime Data - Report Problems

Chart Attributes

PeriodsRange

BarGapExtra Bars

Type

Size

Color Scheme

Overlays	Parameters

About Overlays - Glossary

Indicators	Parameters	Position

About Indicators - Glossary

Gallery View Point & Figure chart Interactive PerfChart

StockCharts Members are able to create:

Charts from Monthly and Intraday data (1-, 5-, 10-, 15-, 30- and 60-minute bars)
Bigger charts that are up to 1600 pixels wide
More complex charts with up to 24 Overlays and 24 Technical Indicators
Long-term charts with data going back to 1990 or earlier

Members can also save their settings so they don't have to constantly re-configure their charts.
Don't miss out on these powerful features. Subscribe Today!

AdvertisementAdvertisement

analysis about the dirham

2011-12-22T10:04:00.001+08:00

Dirhams
Advantages:
1) Legal tender currency used in most Islamic countries.
2) Intrinsic Islamic and Commercial premium.
3) Legal tender in Malayisa of 1 Dirham=RM25.
4) Silver denominations of 1, 2, 5,10 and 20 Dirhams, easy for barter transactions and exchanges.
Disadvantages:
1) Silver price of RM261.27/troy oz is more than 100% premium over retail physical silver bar
2) 1/10 oz silver round is RM17/pc with 4.6% more silver than 1 Dirham (RM25/pc)
3) 1/2 oz silver round is RM68/pc with 4.6% more silver than 5 Dirham (RM125/pc)
4) 1 oz silver round is RM120/pc with 4.6% more silver than 10 Dirham (RM250/pc)

Taurusbull did some analysis about the dirham.

Peak Oil and the Fate of Humanity

2011-12-14T14:30:00.000+08:00


Note: During the 10-90 seconds it takes to download a chapter with PowerPoint you may not see anything happening in your browser. If you can't manage to view the PowerPoint version, try the PDF version.	Required software: If you do not havePowerPoint Reader you can download it for free at: http://www.microsoft.com/downloads/

CHAPTER	File size	PowerPoint	PDF version
How to Use PowerPoint with Your High Speed Internet Access	98 kb	Click
Chapter 1. Oil: The Lifeblood of a Technological Society (may take more than 60 seconds to download)	3002 kb	Click	Click
Chapter 2. When Will we Run Out?	3170 kb	Click	Click
Chapter 3A: Other Non-Renewable Sources of Energy	2417 kb	Click	Click
Chapter 3B: Will Renewable Sources of Energy Save the Day?	1616 kb	Click	Click
Chapter 4. The Fate of Easter Island	2383 kb	Click	Click
Chapter 5. How Do We Compare?	1456 kb	Click	Click
Chapter 6. How Growth Feeds on Growth	1144 kb	Click	Click
Chapter 7. How we got ourselves into this situation	1356 kb	Click	Click
Chapter 8. Consequences of the Oil Decline	1801 kb	Click	Click
Chapter 9A. What We Can Do at the Personal Level	1343 kb	Click	Click
Chapter 9B. What We Can Do at the Local Level	1119 kb	Click	Click
Chapter 9C. What We Can Do at the Federal Level	3504 kb	Click	Click
Chapter 10. Conclusion	1468 kb	Click	Click

Home	The author	Further Reading	Please answer the survey	Download	Order a CD	Buy an ecological bag	Convince your friends
More PowerPoint Presentations

gas price Canada carrying capacity resources environment economy inflation depression security war strife Canada middle east gas price when date prediction Hubbert curve bell curve companies reserves population overpopulation crash solutions consequences gas price costs Canada Ottawa Ontario Quebec gasoline decline petroleum wells supplies barrel GHG greenhouse gasses carbon dioxide pollution gas price plastics renewable non-renewable wind energy solar energy photovoltaics eroi methane Canada Ottawa Ontario Quebec nuclear energy coal coal bed methane electricity battery hydrogen gas price fossil fuel generation Easter island Ottawa Ontario Québec Quebec fuel cell gas price diesel biodiesel biofuels renewable energy fuel from corn methanol ethanol agriculture crop land farmland erosion water table gas price chart graph Canada Ottawa Ontario Quebec cellulosic methanol cellulose ethanol biodiesel from algae clathrates tar sands gas price Athabaska Alberta Mackenzie Valley oil rig drilling rig human people Walmart Wal-Mart China NAFTA gas price myth bankruptcy Canada Ottawa Ontario Quebec bankruptcies world trade WTO Team Canada Matthew Simmons Paul Ehrlich Anne Ehrlich Meadows gas price LETS world trade prosperity peak Canada Ottawa Ontario Quebec oil theory I=TAP ITAP exponential growth I=PAT decomposition of microorganisms geologic formations gas price Pennsylvania discovery Canada Ottawa Ontario Quebec discoveries 4 barrels Energy Return On Energy Invested peak Canada Ottawa Ontario Quebec oil spare capacity OPEC geology geologist imminent production demand Les Magoon Mike Bowlin British Petroleum Exxon Dick Cheney Canada Ottawa Ontario Quebec Statistical Review Halliburton gas price natural gas hydrates megawatt nuclear fusion hybrid car gas price free energy consumption liquid hydrogen Canada Ottawa Ontario Quebec hydroelectric generation hydro civilization dieoff phantom acreage William Catton technology affluence gas price fertilizer pesticide Canada Ottawa Ontario Quebec irrigation fisheries forestry farming desertification salination Ogallala aquifer chemical aquaculture outcome Lester Brown Canada Ottawa Ontario Quebec Limits to Growth Plan B shrinking pie billion frog suburb urbanization gas price risk assessment weather science scientist McMansion housing insulation Canada Ottawa Ontario Quebec bicycle walking bus public transit reproduction SUV Tragedy of the Commons gas price foreclosure crude oil shale gallon litre rationing Canada Ottawa Ontario Quebec cities manufacturing housing immigration empty shelves power failure municipal service luxury luxuries doomsday scenario gas price downturn Canada Ottawa Ontario Quebec return on investment heating cooling air conditioning gardening food debt overshoot Colin Campbell Richard Heinberg gas price Canada Ottawa Ontario Quebec localization railroad streetcar recycling gas price self-sufficient globalization safe zone tariff border fence humanity carrot stick gas price when

cheap gas Canada carrying capacity resources environment economy inflation depression security war strife Canada middle east when cheap gas when date prediction Hubbert curve bell curve companies reserves population overpopulation crash solutions consequences cheap gas costs Canada Ottawa Ontario Quebec gasoline decline petroleum wells supplies barrel GHG greenhouse gasses carbon dioxide pollution cheap gas plastics renewable non-renewable wind energy solar energy photovoltaics eroi methane Canada Ottawa Ontario Quebec nuclear energy coal coal bed methane electricity battery hydrogen cheap gas fossil fuel generation Easter island Ottawa Ontario Québec Quebec fuel cell cheap gas diesel biodiesel biofuels renewable energy fuel from corn methanol ethanol agriculture crop land farmland erosion water table cheap gas chart graph Canada Ottawa Ontario Quebec cellulosic methanol cellulose ethanol biodiesel from algae clathrates tar sands cheap gas Athabaska Alberta Mackenzie Valley oil rig drilling rig human people Walmart Wal-Mart China NAFTA cheap gas myth bankruptcy Canada Ottawa Ontario Quebec bankruptcies world trade WTO Team Canada Matthew Simmons Paul Ehrlich Anne Ehrlich Meadows cheap gas LETS world trade prosperity peak Canada Ottawa Ontario Quebec oil theory I=TAP ITAP exponential growth I=PAT decomposition of microorganisms geologic formations cheap gas Pennsylvania discovery Canada Ottawa Ontario Quebec discoveries 4 barrels Energy Return On Energy Invested peak Canada Ottawa Ontario Quebec oil spare capacity OPEC geology geologist imminent production demand Les Magoon Mike Bowlin British Petroleum Exxon Dick Cheney Canada Ottawa Ontario Quebec Statistical Review Halliburton cheap gas natural gas hydrates megawatt nuclear fusion hybrid car cheap gas free energy consumption liquid hydrogen Canada Ottawa Ontario Quebec hydroelectric generation hydro civilization dieoff phantom acreage William Catton technology affluence cheap gas fertilizer pesticide Canada Ottawa Ontario Quebec irrigation fisheries forestry farming desertification salination Ogallala aquifer chemical aquaculture outcome Lester Brown Canada Ottawa Ontario Quebec Limits to Growth Plan B shrinking pie billion frog suburb urbanization cheap gas risk assessment weather science scientist McMansion housing insulation Canada Ottawa Ontario Quebec bicycle walking bus public transit reproduction SUV Tragedy of the Commons cheap gas foreclosure crude oil shale gallon litre rationing Canada Ottawa Ontario Quebec cities manufacturing housing immigration empty shelves power failure municipal service luxury luxuries doomsday scenario cheap gas downturn Canada Ottawa Ontario Quebec return on investment heating cooling air conditioning gardening food debt overshoot Colin Campbell Richard Heinberg cheap gas Canada Ottawa Ontario Quebec localization railroad streetcar recycling cheap gas self-sufficient globalization safe zone tariff border fence carrot stick

All About Panda

2011-12-13T09:34:00.002+08:00

How much is this coins worth?

Find out in
the Price Guide to Chinese Coins,
Panda Pricepedia.

Avoid Mistakes!
Buy the Book Before You Buy the Coins

Buy antiques in times of peace and prosperity, and gold in times of turmoil. Chinese saying

_Panda Book••• •••••Price Guide
_•Coins for Sale•• ••• ••• Counterfeits Report

Why Buy a Panda?

While chatting with a coin dealer the other day, I heard a story about a customer who walked in with a 4 coin set of the old style (pre-1933) U.S. gold coins to sell. These are collectible coins that some people consider safer than gold bullion against government confiscation. The customer told how he had paid $14,000 for his set five years ago. The coin dealer sadly shook his head and said, “I could only offer him $10,000 for them. That’s all they’re worth today.”
Then he looked at me and asked, “How much would his $14,000 be worth today if he bought Pandas?” So, let’s suppose that 5 years ago Mr. Customer bought $14,000 of either gold bullion or gold Pandas and compare the results. Since January 3, 2006 gold bullion has risen from $530/oz. to $1,350/oz., a rate of 21% per year. At that rate $14,000 would have grown into a tidy $34,560. Bull markets sure can be fun!
But how things would have turned out with gold Pandas? Assuming that five years ago Mr. Customer walked into a coin store and bought 14 grand of the latest 2005 and 2006 Pandas, he would now be looking at an investment worth $42,000 — a gain of 25% per year.

Why the greater gain for gold Pandas over plain gold? There are several reasons:
Only 55,000 1 oz. gold Pandas were struck for 2005. Some of those were used in jewelry. Others were traded as bullion and damaged in handling. So the supply of collector grade gold Pandas is now quite limited.
The collector market for Panda coins is expanding and shows no signs of slowing down. This is true both in China and the rest of the world. The Chinese government promotes ownership of precious metals to its people and the top Chinese gold and silver coins are Pandas.
Information about Pandas has become more available through the internet and the publication of a book devoted to them. These resources have increased public knowledge and interest in Panda coins.
Maybe you are wondering, what about silver? How did it do? Back at the beginning of 2006 you could have walked into a coin store and bought silver bullion coins for around $9.30 apiece. $14,000 would have allowed you to cart away 1,510 oz. of silver that are now worth $43,800. That’s up 26%.
Because of their premium over bullion , if a buyer chose to buy silver Pandas he or she would have only gotten 1,175 silver Pandas for $14,000 in 2006. But look what happened; today the Buy price on 2005 silver pandas is $50. 1,270 Pandas are worth more than $58,750 for a gain of 33% per year!
Here’s one more comparison to consider. The Panda Pricepedia 20 Index, made up of coins with populations under 2,000, has risen 38% per year. That translates to $70,000 from the original $14,000.
That takes care of the last five years but what about the next five? Can the trend continue? It seems to me that unless China becomes a substantially smaller and poorer nation, the mix of limited supplies of Pandas (particularly past years) and more collectors and investors could easily means higher prices. Look for the greatest gains to go to scarce and undervalued issues. Happy collecting.

Smart Investment

Silver as investment V2

The Five Myths Of Silver Investing

Chinese Panda 2001 - 2010 Price List

The Oil of the 21st Century

Gold-Silver Price Ratio Getting Silly Again - Silver Gold Malaysia

maple real vs fake

maple real vs fake

First Time Ever: Silver Sales Surpass Domestic Production | Steve St. Angelo | FINANCIAL SENSE

First Time Ever: Silver Sales Surpass Domestic Production

American Silver Eagle Sales Overtake Total U.S. Silver Production in 2011

Canadian Maple Leaf Sales Outperform Silver Eagles in Percentage Growth

Does the U.S. Mint Have to Use Domestic Silver Mine Supply for its Silver Eagle Production?

Program extension, 2002

The Myth Behind the So-called Silver Surplus

The Coming Paradigm Shift in Silver

The Great Stampede in Silver is yet to come

Fake 2010 Panda 1oz silver

Fake Panda 2011

2012 Gold and Silver Investment

Year End Review - 2012 Outlook for Gold & Silver

Live Silver Prices, Silver Bullion Prices & 650 Years of Silver Prices

650 Years of Silver Prices

Silver Prices from 2004 - 2011

$GOLD:$SILVER - SharpCharts Workbench - StockCharts.com

StockCharts.com - Free Charts

Chart Attributes

Overlays

Indicators

StockCharts Members are able to create:

analysis about the dirham

Peak Oil and the Fate of Humanity

All About Panda

"What do I have to pay you to destroy every copy of this?"

Gold Pandas

Silver Pandas

Platinum Pandas

Home

Avoid Mistakes!
Buy the Book Before You Buy the Coins

_Panda Book••• •••••Price Guide

_•Coins for Sale•• ••• ••• Counterfeits Report

Smart Investment

Silver as investment V2

The Five Myths Of Silver Investing

Chinese Panda 2001 - 2010 Price List

The Oil of the 21st Century

Gold-Silver Price Ratio Getting Silly Again - Silver Gold Malaysia

maple real vs fake

maple real vs fake

First Time Ever: Silver Sales Surpass Domestic Production | Steve St. Angelo | FINANCIAL SENSE

First Time Ever: Silver Sales Surpass Domestic Production

American Silver Eagle Sales Overtake Total U.S. Silver Production in 2011

Canadian Maple Leaf Sales Outperform Silver Eagles in Percentage Growth

Does the U.S. Mint Have to Use Domestic Silver Mine Supply for its Silver Eagle Production?

Program extension, 2002

The Myth Behind the So-called Silver Surplus

The Coming Paradigm Shift in Silver

The Great Stampede in Silver is yet to come

Fake 2010 Panda 1oz silver

Fake Panda 2011

2012 Gold and Silver Investment

Year End Review - 2012 Outlook for Gold & Silver

Live Silver Prices, Silver Bullion Prices & 650 Years of Silver Prices

650 Years of Silver Prices

Silver Prices from 2004 - 2011

$GOLD:$SILVER - SharpCharts Workbench - StockCharts.com

StockCharts Members are able to create:

analysis about the dirham

Peak Oil and the Fate of Humanity

All About Panda

Avoid Mistakes!Buy the Book Before You Buy the Coins

_Panda Book••• •••••Price Guide

_•Coins for Sale•• ••• ••• Counterfeits Report

Avoid Mistakes!
Buy the Book Before You Buy the Coins