Gold futures are up another $26 over the weekend in response to Mideast tensions and Trump’s threats of retaliation against both Iran and Iraq.
We blow up Iraq then threaten to demand payment from them for it.
Amazing https://t.co/LRF4c4MXzd
— Mike “Mish” Shedlock (@MishGEA) January 6, 2020
Let the Highest Bidder Win
The highest bidder Stacy! https://t.co/veYfzeQUkx
— Mike “Mish” Shedlock (@MishGEA) January 6, 2020
Background
In case you missed it and are wondering what’s going on.
- Yesterday, Trump assassinated Qasem Soleimani, Iran’s military leader.
- The Left Wing “Liberal Media” Cheers War and Assassinations. The cheerleader list includes CNN, NBC, the WSJ, CNBC, and USA Today.
- Warmonger fools like senator Lindsey Graham (R-SC) piled on, pressuring Trump to ‘Crush Iranian Economy’ By Targeting Oil Refineries After Assassination
- In response, Iraq to Expel US Troops and Iran Cancels Nuclear Agreement
- In response to Iraq threatening to expel US troops, Trump threatened Iraq and Iran, including cultural sites.
Trump Threatens Iranian Cultural Sites
….targeted 52 Iranian sites (representing the 52 American hostages taken by Iran many years ago), some at a very high level & important to Iran & the Iranian culture, and those targets, and Iran itself, WILL BE HIT VERY FAST AND VERY HARD. The USA wants no more threats!
— Donald J. Trump (@realDonaldTrump) January 4, 2020
“Some at a very high level & important to Iran & the Iranian culture, and those targets, and Iran itself, WILL BE HIT VERY FAST AND VERY HARD.”
Gold Up 3.8% Since January 1
- Gold is up $26 as of this moment and up $58 since January 1.
- Gold was priced at $1521 at the start of the year and is now to $1579.
Gold vs Faith in Central Banks (and Governments)
I do not know if this pop will last through tomorrow, but I do have the question everyone ought to be asking.
Is Everything Under Control?
Might I suggest “Not Even Close“?
Mike “Mish” Shedlock
The supermarkets are full, the gas stations are all open, and best I can tell, the electricity is still on. Dont fall into the same trap the Washington establishment is pushing … the world still isnt coming to an end .. yet. 🙂
Patience Rv – by the time this new decade is over, gold could be over $50,000 and a loaf of bread $25. The money printing that’s coming in order to square off both the unrepayable debt and the unfunded liabilities (both federal and state) will be in the order of 10s of Trillion$. Today’s FED balance sheet of $4T will then seem tiny – just as the $400B as it once was now looks to have been.
I have seen this same exact prediction in 2010. How did that work out?
Re-read: no prediction at all, just amazing that fiat has the bid it does.
Sorry, I misunderstood— you’re referring to Germ’s post. I don’t estimate timing. Someday gold may cost $80,000 is the USD is still in circulation. However, that would probably be the monthly salary of a professional.
… but don’t worry, everything is under control!
It’s a wonder that gold is not over $5000 given all the debt, Fed flip-flops, political acrimony, international tensions, trade and currency wars, epidemic drug abuse and homelessness, advances in hypersonic weapons, wars and rumors of wars, rampant immortality, Godlessness, political corruption, and promises to forcibly steal the property of the top 10% to shower free stuff on the bottom 90%. The last one alone should be enough to cause intelligent wealthier people to buy physical gold by suitcase.
Gold could care less about Trump and his warmongering,it does care the fed getting ready to drop a multi trillion dollar fresh round of QE and rate cuts and the 300 billion dollar monthly deficit,the 2 plus trillion dollar “official”yearly deficit,but we all now it’s more than double that.Gdp tracking at 1.4%lol,less than 50% chance that there will even be an election if the Trump junta gets there way……that’s what gold’s lookin at.
I am worried that this assassination will be a great propaganda tool for terrorist organizations.
Yes, they were lacking material until now.
You don’t think killing one of the most beloved people in Iran – who is also a government official – isn’t more than the run of the mill stuff?
Stop worrying that much. The terrorists have plenty of material to work with. Now they have a tiny bit more. So what?
I am not scared of terrorists.
Suleiman was one of the most rabid, dedicated enemies of ISIS and Al Quaeda in the region. His militias were recently instrumental in reconquering Mosul and driving ISIS out of there – apparently at great cost (i.e., the body count was reportedly very high).
From what I gather, he was primarily accused of things he “might” do in the future (the men who stare at goats must have read his mind), so this was essentially a preemptive assassination. It undoubtedly hits the Iranian regime hard, since one hears the man was also its best military strategist. But looking at it from a purely Machiavellian perspective is probably not sufficient to fully grasp all the implications. It is also said that the man was respected by both hardliners and reformers in Iran, and was considered a revered figure among Shiites in the entire region, almost a kind of folk hero. In short, offing him may well hurt the mullahs, but it has probably also created millions of new enemies in one fell swoop.
With radical Sunni fundamentalists (ISIS) recently not amounting to much anymore, a replacement was apparently needed… and let’s not forget, the Iranians had the temerity to place their country right next to altogether 42 US military bases. They are aggressively butting against them with almost every stretch of border of their country.
Unless you have known all this stuff about Suleiman before he was assassinated, you should consider all information about him being a big terrorist or a hero as suspect.
As for this having “created millions of new enemies in one fell swoop” – well, that’s the problem with the US being in the Middle East. They will keep creating enemies there until they leave. This event is just one among many reasons that have been accumulating over decades.