Appears market perceives JPM takeover of First Republic Bank assets as inflationary. Silver jumps $1, gold up slightly. Moving to restore ancient 15-1 valuation?

Posted by bubah1mau 11 months, 2 weeks ago to Economics
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For hundreds of years before the Franco-Prussian war of 1870, the market ratio of silver to gold was approximately 15 to 1. Then, as Bismarck effectively "demonetized" silver by dumping Germany's silver on the market, demanding French war reparations in only gold, the market ratio gradually expanded until events of the 20th century brought the market ratio to somewhat less than 100 to 1.

What allowed this to happen? The fiat paper dollar and legal tender laws that originated in the US Civil War with passage of the "Green-Back" Act. As the paper dollar fades into history, silver will again become the primary money with which business will be conducted, and a ratio approximating 15-1 will again prevail.
SOURCE URL: https://www.npr.org/2023/05/01/1172868295/first-republic-bank-failure-fdic-jpmorgan-chase


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  • Posted by freedomforall 11 months, 2 weeks ago
    Morgan Chase aka Bankster Looters, Inc. gets net $100 billion in marketable assets and gets a
    $50 billion fixed interest loan from We, the People and Chase "buys" this with $10 billion - that is
    funded by We, the People.
    The wealthy depositors at FRP (who "mostly catered to wealthy clients") get to keep all the billions
    in assets that they should have lost for not doing due diligence on FRP's foolish actions.

    Meanwhile, We, the People get all the toxic aka worthless "assets" from FRB's foolish actions.

    As usual, STUPID FOOLISH Commifornians get a free pass for destroying themselves
    and We, the FRUGAL PRODUCERS get the FEDERAL SHAFT , AGAIN.
    Let's Go Brandon!
    NIFO
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  • Posted by 11 months, 2 weeks ago
    The spike in the metals today should be regarded as a "forerunner" or test case for what happens when the markets sense a state of panic or crisis.

    Yes, gold moves, but silver moves sensationally--and it's because of the size of the two markets, the gold market being enormously more capitalized. It takes far less capital to move the silver market compared to the gold market--something the Hunt brothers noticed back in the high-interest, late 1970s.

    Yes, the government was able to force them into capitulation, but they proved their point. And the next time may be a foreign power or a crisis so huge that the US government can't force a capitulation. That's SHTF time.
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    • Posted by freedomforall 11 months, 2 weeks ago
      Like you, I think silver is a good investment for the long term, but daily moves like this mean very little.
      So, as usual, the silver manipulators took profits until buyers were out of funds.
      Now the silver spike price falls back again and the manipulators buy back from retail traders with stop loss orders.
      As looting non-producers, Wall Street can't profit without volatility, so they encourage ( manipulate) volatility.
      (Prices of actual silver are at a premium, but still follow paper silver, so far.)
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  • Posted by freedomforall 11 months, 2 weeks ago
    I appreciate your comments, bubbam, but the linked article is garbage.
    Even the article's headline is a damned lie.
    We, the taxpayers, bear all the damned fool FRB losses and the bankster deep state enemy in DC gave the assets to Morgan Chase... as usual.
    Unless your intent to to spread government propaganda, don't post this NPR evil empire state paid rubbish.
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    • Posted by 11 months, 2 weeks ago
      I suppose there is a better, more accurate description of this particular crisis out there--but any of the MSM reports reveal at least the superficial facts that are moving metals markets today.

      There's more truth to be told for sure, but basic facts don't change. There was a panic to solve this crisis before the markets opened this morning, and JPM stepped in. What do you suppose would happen if they hadn't?
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      • Posted by freedomforall 11 months, 2 weeks ago
        You really think that Morgan just 'stepped in'?
        You think its just coincidence that every few years Morgan just 'steps in' to "save" the customers of
        one of their competitors? And gets a massive payoff (aka bailout) for its 'kindness'.
        (On top of the $100 billion net current benefit to JPM, all of FRC's high net worth clients in California and New York now belong to JPM.)
        This is the plan to grow the biggest banks power and wealth at the expense of everyone else.
        Taxpayers take the losses instead of the banking "industry" because the entire unproductive looting "industry" is toxic.
        Banking as a whole should be allowed to completely collapse. Otherwise sanity and free markets can't return.
        Galt was right.

        Have you read The Creature From Jekyll Island?
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  • Posted by freedomforall 11 months, 2 weeks ago
    Why must the rest of us who worked and produced, and didn't gamble with our scarce resources continue to bail out Commifornian fools and feed the domestic enemies at Morgan Chase?
    NIFO
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  • Posted by freedomforall 11 months, 1 week ago
    And today the banksters use their paper silver manipulation to crush the silver price ... AGAIN.
    Silver down about 5% today (-1.20) so far.
    The banksters Love to Steal from the masses and volatility is their method of operation.
    Later today they could bounce the price a few times to shake the trees and gather
    more paper silver to be sold to the suckers at higher prices.
    It helps to have unlimited virtually free funding from the fed to do this.
    That's what TBTF Morgan Chase has been doing for decades to destroy their
    competition (smaller banksters) and take hard earned retirement funds from the
    middle class with the blessing of the corrupt Fedgov.
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