Silver News

The Mission Of The Silver News Surfer Has Always Been & Will Always Be - To Preserve Your Wealth, Protect Your Purchasing Power and Create Generational Wealth!

May Health Wealth And Success Be Yours!

Volatile Bond Market A Major Risk For Global Economy…

May 29, 2013 9:05 am est

On a Personal Note…


Just FYI – In case you were not aware – Aside from great advice and good reading… The Silver News Surfer does sell silver and gold also.

I know this is a lot of intel today guys, its because there is so much going on that you need to be aware of and this report today should be iron-clad proof to all of us that we are in the right place at the right time as it relates to our gold & silver investments, regardless of what you are being told by anyone (including myself). This is why your own research is vital to your very survival.

We are in unprecedented and confusing times, thus, we must dig down deep until we get to the heart of the facts and that is what I try to present to you each day – The facts!

With that said, there was breaking news released yesterday that stated that “The Volatile US Bond Market a Major Risk for Global Economy” and that Jim Sinclair states that the entire US and Western banking system just missed a complete collapse and full bail-in by a hair’s length at the end of the Memorial Day Weekend and how the “5 Biggest Banks Gain another Victory in Control of $700 Trillion Derivatives Market”

This is scary stuff guys, but as always, I try to bring you the facts of whats happening and how you can protect yourself from it. Although I always try to break down the information to be easily understood, sometimes the events that are going on are so complicated that there is no way to break it down in writing – But as always, I am here for you if you’d like to talk.

Please be sure to click the “blue hyper-links” in today’s report.

The Mission Of The Silver News Surfer Has Always Been & Will Always Be – To Preserve Your Wealth, Protect Your Purchasing Power and Help You To Create Generational Wealth!

May Health Wealth And Success Be Yours!

Eric Weigand

The Silver News Surfer



Now, onto the business of protecting your wealth…

If this were the end of the gold & silver bull market, would we see things like “New York Markets Overwhelmed By Physical Gold Demand”? Would we be reading about how the “US Mint Resumes Selling One-Tenth Ounce Gold Coins… At A 40% Premium To Spot”?

When I read that “Gold Sees Bullion Banks Go Long” I know that regardless of the growth (or lack thereof) data I am being fed these days, I know deep down that it is fabricated and misleading, and it makes me realize that I am in the right place at the right time, because I’m still reading about how “Russia, Greece, Turkey, and Other Central Banks Buy Gold – China’s PBOC is also Buying”.

When I research and come across things like “Hedge fund boss Baha sees gold at $3,000-$5,000” I know I cannot be mistaken and my convictions cannot be waivered into thinking what “they” want me to think, for I have a free mind and free will that give me “instincts” and nobody can take that from me.

You have to realize that when you hear “the gold bull market is over” coming from just about all the pundits it is this very sameExhaustive Bearish News that Helps Gold Funds Accumulate”


Sorry about the length – But you guys really need to understand this stuff – and fast!

In order to make the right decisions for yourself in a time where the world, especially the financial world is so damn confusing, we should “Get Back To Basics – Gold, Silver and the US Economy and really take time to think for ourselves and not what other (including myself) want you to think, because again… you have a free mind and a free will that nobody can take from you!

“I’d like to connect a few dots for you. We had a couple of pieces of news come out on Friday that was strange. One piece did not even seem credible because of size and the other one seemed odd because of the lack of size. Here is what we learned and if this is true THE biggest financial news of the 21st century. Europe announced that they might crack down on the Shadow Banking System. Basically, assets of all sorts that are “deposited” within the system are routinely “re” lent out by the custodian. This “re lending” of assets is called rehypothecation. The scheme has gone on for years and has been abused to the tune of the same asset being lent out 10 times, 50 times or even 100 times over. Legal? Well no, but everyone does it and “it’s the way business gets done all the time”…plus the regulators turn a blind eye.

Before I talk about the ramifications of the above, another, seemingly unimportant/unconnected piece of news hit the tape. 3 men were arrested in Hong Kong and in their possession were $500 million worth of “fraudulent” letters of credit, letters of guarantee and proof of funds; these were supposedly issued by HSBC and Standard Charter. A 4th man arrested was not named, only that he is 55 years old. Which coincidentally is the same age as Barry Cheung who sits (sat until his resignations this past week) on the boards of several government agencies; he was chairman of HKMEX and has very close ties to the CEO of Hong Kong, Mr. CY Leung. The investigation and arrests are tied to the HKMEX (metals exchange) that closed a week ago Friday and claimed that all open contracts would be settled in cash…not metal.

OK, so these guys got arrested and had in their possession $500 million fraudulent “collateral.” Is this ALL of the fraudulent collateral? Did they have more Do others possess or have pledged fraudulent collateral? How much? Where and to whom has it been pledged? How many times over has it been pledged? …And then out of nowhere, Europe decides to rein in the Shadow Banking System that is purported to be $80 TRILLION (with a capital “T”)! Do you see any connection here? I’ll make it easy for you, “collateral” is the common denominator.

I also want to mention that “collateral” is what makes the financial world turn. Everything runs on “credit,” if you have “collateral” then you can obtain credit. The problem now, that is being exposed, is that no one knows anymore if collateral is real or even “who’s” collateral it is anymore since it has been lent out so many times. Now, to add even more fuel to the fire, it turns out that some of the so-called “collateral” is not and was not even real to begin with! Funds in the trillions of dollars have been lent and now it seems as if the collateral backing many loans may not be real. …And Europe is now considering pulling the plug on shadow banking?

How many “assets” will banks and brokers have to sell to keep their capital ratios adequate? Do they even have enough real assets to sell to cover the collateral that turns out to be fake or has been lent out 10 times over (not to mention 100 times over). I might also ask the question, “What happens to the markets?” What will happen to the stock markets, bond markets, and real estate markets, ALL MARKETS if banks are forced into liquidation to cover for fraudulent or many times pledged collateral…

My point is this, the tide is going out and it looks like EVERYONE is naked and no one has drawers on. Margin debt for stocks are at an all-time high, shorts by hedge funds in gold are at an all-time high, printing by central banks are at an all-time high, yields on sovereign bonds (even the deadbeats like Spain and Italy) were recently compressed to all-time lows and are now rising…and the real economies across the globe are beginning to contract again.

The “inflection point” has apparently arrived and fraud everywhere you look is being uncovered. In a system that runs on debt, “collateral” is the foundation. What are the ramifications when “collateral” is questioned and turns out to be nothing more than a piece of paper with no value whatsoever? Everything that has derived value from this initial capital …is worth nothing…

Now, on to the breaking news that matters…

Richard Russell:  Gold Demand & The Bond Bubble – The thing I’m most worried about is the possibility of a Treasury bond crash. Treasury bonds have now constructed the biggest financial bubble in history, and all our creditors, including China, want out of them.  But how do they get out of them without pricking the bubble?

Read More Here

Basel III: How The Bank For International Settlements Is Going To Help Bring Down The Global Economy – A new set of regulations that most people have never even heard of that was developed by an immensely powerful central banking organization that most people do not even know exists is going to have a dramatic effect on the global financial system over the next several years.

The new set of regulations is known as “Basel III”, and it was developed by the Bank for International Settlements.  The Bank for International Settlements has been called “the central bank for central banks”, and it is headquartered in Basel, Switzerland.

Read More Here

The Japanese Financial System Is Beginning To Spin Wildly Out Of Control – Japan has a debt to GDP ratio of well over 200 percent and they are spending about 50 percent of all tax revenue on debt service.  In a desperate attempt to revitalize the economy and reduce the debt burden, the Bank of Japan decided a few months ago to start pumping massive amounts of money into the economy.

At first, it seemed to be working. Are we witnessing the beginning of a colossal financial meltdown by the third largest economy on the planet?  The Bank of Japan is starting to lose control, and if Japan goes down hard the crisis could spread to Europe and North America very rapidly.

Read More Here