Money Daily Financial Money News Week of May 30 - June 5, 2021 Stocks Bonds Commodities Gold Silver Oil Bitcoin

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Weekly People's Gold and Silver Prices

Money Daily has been providing business and financial market news, views, and coverage on a nearly continuous basis since 2006. Complete archives are available at moneydaily.blogspot.com.

PRIOR COVERAGE:

5/23-5/30/2021
5/16-5/22/2021
5/9-5/15/2021
5/2-5/8/2021
4/25-5/1/2021
4/18-4/24/2021
4/11-4/17/2021
4/4-4/10/2021
3/28-4/3/2021
3/21-3/27/2021
3/14-3/20/2021
3/7-3/13/2021
2/28-3/6/2021
2/21-2/27/2021
2/14-2/20/2021
2/7-2/13/2021
1/31-2/6/2021
1/24-1/30/2021
1/17-1/23/2021
1/10-1/16/2021
1/3-1/9/2021
12/27/20-1/2/2021
12/20-12/26/2020
12/13-12/19/2020
12/06-12/12/2020
11/29-12/05/2020
11/22-11/28/2020
11/15-11/21/2020
11/8-11/14/2020
11/1-11/7/2020
10/25-10/31/2020
10/18-10/24/2020
10/11-10/17/2020
10/4-10/10/2020
9/27-10/3/2020
9/20-9/26/2020
9/13-9/19/2020
9/6-9/12/2020
8/30-9/5/2020
8/23-8/29/2020
8/16-8/22/2020
8/9-8/15/2020
8/2-8/8/2020
7/27-8/1/2020
7/20-7/26/2020
7/13-7/19/2020
7/6-7/12/2020
6/29-7/5/2020
6/22-6/28/2020
6/15-6/21/2020
6/8-6/14/2020
6/1-6/7/2020
5/25-5/31/2020
5/18-5/24/2020
5/11-5/17/2020
5/4-5/10/2020
4/27-5/3/2020
4/20-4/26/2020
4/13-4/19/2020
4/6-4/12/2020
3/30-4/5/2020
3/23-3/29/2020
3/16-3/22/2020
March 14, 2020
March 13, 2020
March 12, 2020
March 11, 2020
March 10, 2020
March 9, 2020
March 5, 2020
March 1, 2020

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Recent Bitcoin Trading Reeks of Wall Street Day-Trading Stench

Friday, June 4, 2021, 7:50 am ET

It's too bad about the crushing of idealism.

We live in a world in which common dreams are simply targets for oligarchs and billionaires to shoot down. Nothing is sacred, nothing is held in reverence by the monied minority of the world, except their own assets and bulging egos.

They have become a scourge on the world. So great is their power that they have become not only the voice of authority, but also the voice of the markets, the controllers of money and wealth, intruders into aspects of everyday life in which they do not belong. They mar everything they touch.

Most recently, crypto fanatics have been either enthralled or disgusted at the entry of the billionaire class and their hedge funds, Lambos, yachts, and influence into token world, a place that used to be defined mostly by wide-eyed millennials seeking alternatives to the corrupt and sinking fiat currencies which ruin the lives of millions daily.

The entry of the nouveau riche whales into crypto was first splashed before the world by Michael Saylor, the CEO of Microstrategy (MSTR), a somewhat innocuous business intelligence firm that was trading below 120 per share as recently as July 2020. Saylor became famous for investing $250 million of his company's cash into Bitcoin in August of 2020. The share price began to rise, first, above 150 in September, then over 200 in November, as Bitcoin began its ascent from the mid-teens to a high above $64,000 in April, 2021. Shares of Microstrategy continued to rise, reaching a peak of 1272 in February, 2021. SInce then, as Bitcoin rose and fell, Microstrategy stock declined to where it rests today at 488 per share.

It's not normal for stocks to rise ten-fold, then decline by nearly two-thirds, all in a span of less than a year. But, this is what happens when billionaires and their money and influence are involved. Bitcoin's gains from November through April could have been the result of PayPal's (PYPL) entry into the game - making it easily available to its millions of users - or the billions of dollars doled out to ordinary Americans, disguised as "relief" payments to ease the pain and suffering caused by the phony virus crisis.

There was a lot of easy money sloshing around the system, and there still is. There's plenty of time and money to buy and sell Bitcoin, Ethereum, Cardano, or the thousands of other cryptocurrencies available. It's all tradable, just like stocks, and just as volatile.

Over the past six months, Bitcoin and other cryptos have been assailed, assaulted, praised, dignified, and dirtied by the big money of Wall Street. Morgan Stanley got involved. Then Goldman Sachs. Even JP Morgan's Jamie Dimon recently had a "come-to-Jesus" moment, years after telling employees they would be fired for trading in cryptos. They're all in, and they've turned what was supposed to be a "safe place" for investors seeking relief from fiat currencies into a new wing of their casino.

Now, Bitcoin, Ethereum and other altcoins trade just like stocks. They go up fast, then they go down. Then back up. That's big money pumping and dumping, buying, re-buying low and selling and re-selling high making money on the arbitrage. A move of $500 in Bitcoin is worth millions if traded properly with enough money. It happens all day in the stock market and now in crypto markets. Pump, dump, buy the dip. Wall Street is in neck-deep. Why not? To their trading desks, cryptos are just like stocks, with their own symbols, a trackable market, but without all the rules and regulations surrounding stocks. It's an even deeper casino with better odds and rules which change at the whims and tweets of egomaniacs like Elon Musk.

Now that Wall Street, mainstream media, the Fed and their minions are fully entrenched in cryptocurrencies, they're no longer safe nor honest nor stores of value nor even currency. You can't buy anything with Bitcoin unless you want to convert it to dollars, euros, yen or pounds. Like stocks, they're just there to trade. There's no intrinsic value, no guarantees, and no salvation. Wall Street and their billionaire masters have corrupted yet another market. The corruption for and by the billionaire club is extensive, all-encompassing and why stocks never go down, why politicians never do the right thing, why lumber is three times the cost it was a year ago, and why silver and gold will never be valued fairly, properly, or realistically.

Billionaire bucks are why silver was $28.58 on Tuesday and $27.43 today amid a global shortage, because, like stocks, or oil, or copper, they control the price, not the market, not you, not supply and demand.

It's all under their control and there's nothing you can do about it except try to trade alongside them or avoid them. Good luck with avoidance. The IRS will make sure your repudiation of the investment class costs you more than you tried to hide from them.

In the end, they're all corrupt. From the FBI which covers up their crimes, to the judges who render civil fines but not criminal charges, to the politicians of all stripes who line their pockets with insider trades, cash, and gifts, corruption via money bribe or extortion is endemic. One would have to suspend disbelief and be the most naive person on the planet to think that politicians aren't routinely bribed and compromised. After all, lobbyists write most of the laws that affect businesses. Politicians get paid in cash. 10% for the "Big Guy" isn't unique. It's ubiquitous.

From start to finish, they're all criminals and corrupt. Michael Saylor had to pay fines in 2000 for inaccurate reporting of financial results. Elon Musk has his wrist slapped routinely by the SEC. And Jamie Dimon, CEO of JP Morgan Chase, oversaw a criminal enterprise that was otherwise known as the company's metal trading desk.

We are all free to believe what we want to believe. We can take news at face value or be skeptical of people who tell us to wear masks, or two masks, or maybe three, or tell us to stand six feet apart. We can trade what we want when we want. We can buy and sell goods and services and send our kids to private or public schools and do all of the normal things normal people do. But, what we can't do - if we actually use our brains to dissect our world and discern reality from fiction - is believe that any markets are free and fair, because they most definitely are not.

It's a big club, and you ain't in it.

-- George Carlin (RIP)

Here's George, explaining why you don't matter.

Just for kicks, check out today's May Non-farm payroll fiction. It can't help or hurt Wall Street in any lasting manner because of the following dynamics:

  • If the number comes in too hot, say, over 950,000, Wall Street will initially react like the Fed is going to raise rates to cool things down. They will sell stocks (today) and buy them back (Monday).
  • If the number comes in too cold, say, under 500,000, Wall Street will act like the economy isn't recovering. They will sell stocks (today) and buy them back (Monday).
  • If the number is just right (Goldilocks), between 500,000 and 950,000, they will buy stocks today and buy more Monday.
  • Guess what the number will be. Money Daily is predicting 745,000. Fearless Rick hopes to do better with his picks for the Belmont Stakes (6 minute video). See the dtmagazine.com home page.

    At the Close, Thursday, June 3, 2021:
    Dow: 34,577.04, -23.36 (-0.07%)
    NASDAQ: 13,614.51, -141.79 (-1.03%)
    S&P 500: 4,192.85, -15.27 (-0.36%)
    NYSE: 16,632.34, -41.66 (-0.25%)


    Stocks Losing Momentum as Bitcoin, Gold, Silver Begin to Show Strength; Initial Claims Lower

    Thursday, June 3, 2021, 8:53 am ET

    For the second time in as many days, stocks were hot out of the gate only to lose most of their gains during the session. All four of the main indices finished with marginal wins on the day.

    This kind of market action indicates a level of weakness that has been apparent via the intraday charts since about the time of the latest all-time-high close, which was May 7 on the S&P when it closed out the session at 4,232.60. Since then, it's been a roller-coaster ride with the last six sessions gaining a mere 11 points. The indication is that investors are tapped out of new ideas, as is the Biden gang and the Fed. There are no new checks coming to the rescue of the American people and while the Federal Reserve continues to sop up liquidity with its $120 billion per month QE effort, it's hardly enough for an economy that isn't recovering at all but rather sliding into a morass of pain and suffering.

    While the lack of real goods-producing or service-related recovery may not be apparent to the general public thanks to a mind-numbing media focused on the foibles of Anthony Fauci or other non-material minutia, serious money has been heading for the hills, otherwise known as cash, crypto, precious metals, or hard assets. The recent slippage in Bitcoin not withstanding, gold and silver have been on the verge of breakouts, held back only by heavy-handed shorting on the COMEX every day, without relent.

    Overnight, Bitcoin rallied to its highest point in a week, cresting over $39,000. Having been taken down by the likes of Musk, China, JP Morgan and related parties, the short-lived bust is now apparently over, almost, as Bitcoin has been making higher lows and higher highs since bottoming out on May 29. There may be more selling to come, but there is nothing that can stop either the dilution of the US$ or the flight to safer havens. Destruction of currencies don't occur overnight. It's a long process, but every incremental rise in Bitcoin, gold, and silver are manifestations of the dollar's loss of purchasing power, as is the recent selling into strength in stocks.

    With the global economy (except possibly China and a few select Pacific rim nations) in free fall and supply chain disruptions occurring with more frequency than Joe Biden naps, it's only a matter of time and Fed determination to slow the process before the house of cards collapses. The Fed is probably correct in its assessment that the recent spate of inflation is transitory. There's no growth in the economy other than of the money supply, and counterfeiting currency isn't a solution. With the value of money at approximately zero or less, the Fed has lost its grip on the general economy. They can only turn knobs and push buttons so often, and every parlor trick has less and less effect in the real world. The Fed's money printing scheme and the government's handouts are doing more harm than good, evidenced by the growing labor shortage at the same time unemployment remains at problematic levels.

    As investors await the boring release of weekly initial unemployment claims, more emphasis will be directed towards Friday's non-farm payroll report, though the estimates have been lowered to a range around 675,000 after the disappointing 266,000 from April sent shivers through the markets. A figure under 500,000 - which is a distinct possibility - could be a data point too relevant to dismiss.

    As Wall Street, the echo chamber that is Washington, DC, and the mainstream media marionettes continue to crank out the "recovery" meme while at the same time promoting idiotic suggestions that the virus scare isn't quite over and done, the rocking and rolling of stocks may continue apace for another few weeks. In the interim, the most important event on the financial calendar is the June meeting of the FOMC. There's sneaky suspicion that the Fed may want to begin talking about tapering the current QE effort, though any change to their plans would require some better data than what's been floated out in recent days. Nothing has pointed towards growth, so the Fed's presentation on June 16 may turn out to be just another dud.

    As markets await the largely inconsequential initial claims number, stock futures are cratering, with Dow futures off by more than 200 points and European stocks down across the board.

    The number just released, 385,000 initial claims, may move markets somewhat today despite being the lowest number since March 2020. Tomorrow's figures might ignite a rally, as ADP just announced a gain of 978,000 jobs in May, presaging the NFP. In the current chaotic and uncertain environment, devoid of positive catalysts, a significant near-term decline is likely. Further erosion of confidence in both the US dollar and publicly-traded stocks is more a probability than a possibility.

    Hedge accordingly.

    At the Close, Wednesday, June 2, 2021:
    Dow: 34,600.38, +25.07 (+0.07%)
    NASDAQ: 13,756.33, +19.85 (+0.14%)
    S&P 500: 4,208.12, +6.08 (+0.14%)
    NYSE: 16,673.96, +30.64 (+0.18%)


    Stocks Shed Gains Post Holiday Hangover

    Wednesday, June 2, 2021, 9:35 am ET

    Some more mature readers may recall the 1977 Chiffon Margarine commercial that claimed "It's not nice to fool Mother Nature."

    Call yesterday's stock market action, "It's not nice to fool Mr. Market."

    Following the three-day weekend, right at the open, the Dow was up 319 points, the S&P ahead by 30, and the NASDAQ up 82 points. By the end of the day, the S&P and NASDAQ were in the red, and the Dow, while holding in the positive, was up only 45 points. The NYSE Composite was higher by 180, finishing with a respectable gain of 87 and change.

    It wasn't just equity players fooling around, the crooks over on the COMEX also managed to dirty their hands once again. Silver touched a three-month high at $28.58, but, glory be, as US stocks opened, the gains were wiped out, sending silver futures to a negative NY close at $27.88 amid a global silver shortage. Gold made a similar up-and-down move, but remained a teaser, closing out in New York at $1899.50. Those COMEX guys are so crafty!

    The magic number for silver is $29.14, which would eclipse the one-year high set back in August, 2020. Beyond that, silver would be at eight-year-high levels, headed for $40 an ounce and beyond, which is rather silly, since retail pricing for silver is already above $35 per ounce.

    Story of the day goes to those redditters at r/WallStreetBets, pushing on a string once again with AMC, which made a 22% move, closing at 32.04, up 5.92 points on the day.

    Forget the meat shortage story. It's already old news. Nobody's going to be deprived of any beef, yet.

    At the Close, Tuesday, June 1, 2021:
    Dow: 34,575.31, +45.86 (+0.13%)
    NASDAQ: 13,736.48, -12.26 (-0.09%)
    S&P 500: 4,202.04, -2.07 (-0.05%)
    NYSE: 16,643.32, +87.66 (+0.53%)


    WEEKEND WRAP: Why the New Normal May or May Not Look Like the Old; Gold, Silver Soaring

    Sunday, May 30, 2021, 11:00 am ET

    Maybe you had the flu. Maybe you didn't, but know somebody who did, and survived, or not.

    Whatever your personal experience, this much is true: the crisis is over. For all intents and purposes, whatever evil intention there was for subjecting millions of people to sickness and billions to propaganda has been accomplished to an acceptable degree. That's made clear by the revelations coming out of congress and the mouth of Dr. Fauci (special thanks to Rand Paul for his relentless pursuit of the truth) and the complicit media.

    Some of the more obvious aspects from the year from hell:

  • Trump denied second term
  • Fear
  • Censorship
  • Population Control
  • Saving Wall Street's bacon, again
  • Race-baiting
  • Crushing free enterprise
  • Global government collusion
  • Big Pharma profitability
  • US$ dilution
  • A few things the planners and plotters of the ostensibly not-a-conspiracy Great Reset (you can read Klaus Schwab's book here [PDF]) have left on the table that they couldn't quite get done but are still working on:

  • Universal Basic Income (UBI)
  • Branding patriots as terrorists
  • Mandatory vaccinations and repeated "booster" shots
  • Massive reduction in population
  • Neo-feudalism
  • Total mind control
  • Let's take a look at the unfinished business one by one.

    UBI is a goal of tyrants. By having a population that doesn't have to do anything but spend the money supplied by the government, said government would achieve near-complete control over the population, capable of tracking all purchases, disallowing savings, giving more to some, less to others, depending on their level of obedience. The elitist wet dream of total domination is still in motion. Stimulus checks, expanded unemployment benefits and the expansive monthly child tax credit are all big steps in the direction of a print-distribute-spend dynamic. It's not there yet, but the creeping socialism is evident.

    Branding patriots as terrorists has been a very successful effort by one side of the federal government and the compliant media. Anybody who disagrees with the "science" or wearing of masks, any official narrative (Trump lost the election), or questions the wisdom of the oligarchs-in-charge at the FBI, CDC, IRS, take your pick, may be a domestic terrorist according to the control freaks in Washington, DC and the media centers in New York and Los Angeles. However, rural America is hardly convinced. Most of the vastness of America is pretty much red, conservative, and patriotic. The effort to brand conservatives as terrorists has been most successful in the cesspool cities, where, incidentally, leftist policies have caused increased crime, food shortages, and general mayhem. Ahem.

    Mandatory vaccinations and additional booster shots are still works in progress. While the mainstream media touts that 50-60% of all Americans have received at least one dose of a vaccine, it is notable that they've been stuck in that range for a few weeks now. It's also a good likelihood that their numbers - like the cases and deaths - are complete fabrications. Many people residing in the Southern and Western states are not being vaccinated and won't be. They just don't trust the government or the media or the medical profession. States such as Connecticut and Massachusetts may be closing in on the 70% "herd immunity" threshold (people vaccinated or already having contracted the disease), while states like Georgia, Florida, and Texas are in the 30-40% range.

    That huge geographical discrepancy could go a long way toward demands from liberal states that more conservative states step up and get vaxxed, to which the governors and residents of the reddest states would no doubt ignore. Businesses can require employees to be vaccinated, but, given the wide variance of opinion and recent worker shortages, employee mandates are probably in a no-go zone. Vaccination "passes" or "passports" are also being shunned as mask mandates and other stupidity rules are being gradually lifted nationwide.

    In case massive reduction in population was a goal of the recent experience experiment, it failed. Only 600,000 people - less than two percent - died, though the vaccines are doing a fair job of sickening and sometimes, killing, people. The government is still promoting the jab, with some states offering prizes for vaccine recipients. If the vaccines are so good for people, why are incentives needed? Sounds just a little fishy to some people. If 20% of the US population suddenly passed away, that would be meaningful, but it's nowhere close to the cynical commandments in the Georgia Guidestones recommendations.

    Neo-fuedalism. We're there to a large degree. Income disparity promotes a feudal system rather than a capitalist one. Power of an oligarch class over a much larger peon population has been in place for decades without much notice. Since World War II, a period or unprecedented prosperity has prevailed. People's needs are being met despite changes in demographics, labor force, and welfare statism, so there's been no loud hue and cry over poverty, inequality, or racism until just recently. What has been prevalent is a restlessness, though it has been largely tamped down by plentiful job opportunity, welfare, and currency devaluation. So long as the peasants are kept content - bread and circuses, as in ancient Rome - there's unlikely to be a populist uprising, a concept that dovetails neatly into the elimination of one Donald J. Trump from the political scene.

    Total mind control is being achieved via the public school system in Europe and the USA. Public schools are not centers for education, but, rather, indoctrination camps for easily-persuaded youths. Decades of dumbing down, denial of the benefits of individual, critical thinking, and preaching socialism in classrooms daily is going a long way toward a complacent society. It's taken a couple of generations, but once the baby boomers are gone - and they're largely silent already, being fat and happy and retired - the government will be able to dictate terms to the populace without any threat of blowback.

    As some of the goals of the recent global experiment have been achieved and some still ongoing, the period from summer into fall may provide more insight into what constitutes a "new normal" beyond the old normal prior to the 2020-2021 experience. Depending upon one's occupation and geography, the new may look and feel quite a bit like the old. People engaged in trades in southern, midwestern rural states and locales will have a vastly different experience than the hordes trapped in big, blue cities where power is still being brandished by tin-horn mayors, county officials, medical professionals and other psychopathic controllers.

    In the cities, there may be a resurgence of emergency mandates, restrictions, or even lockdowns, while in the more rural areas, a more relaxed, inurgent atmosphere may prevail. Retirees in Florida will have a much mor open environment than restaurant workers in New York City. Government control has not yet become complete and overwhelming, though there has been a major push to deny freedom of speech, of movement, of ideology over the past 12-14 months. How far the reach of government and media power extends into the future depends primarily upon how receptive the gross population is to manipulation and control. Judging by the mask-wearing, vaccine-taking attitudes of much of the urban population, the government should have little trouble convincing people to do just about anything in the name of safety and preservation. Leaning more toward the rugged individualism that prevailed over much of America's history, rural communities are more likely to reject overreaching politicians and media suggestions, and these rejections may turn violent if the controllers try too hard.

    Depending upon how much longer and how much harder the elitist sociopaths intend to push their agendas, the so-called "new" normal may look quite a bit like the old normal, or, nothing like it at all. Adherents to the concept of a dystopian planet see nothing but suppression, repression, and oppression, and do little to prevent the spread of oligarchy and control. So-called freedom-fighters or lovers of liberty see things a bit differently. The wild card in the miasma is information. How it is disseminated, by whom, over what platforms, and to whom, will determine if the United States - and to a degree, the rest of the world - continues toward a top-down hierarchy of power or recaptures the spirit of individualism, self-expression, freedom, and liberty.

    Time, and the amalgamation of millions of individual actions, will tell.

    As the world glances away from lockdown and mandate terror, financial markets took it all in stride, as if nothing much has happened to the global economy, though much has. Demonstrating the luxury of divorcing finance from reality, Wall Street projected a rosy, though slightly subdued, portrait of the present and future of global economies. The main indices put on gains, stanching back-to-back losses on the Dow, S&P and NYSE, while the NASDAQ registered its second consecutive weekly advance.

    The action in equity markets wasn't much to excite, managing to leave a positive imprint prior to the long holiday US Memorial Day weekend. Growth and value continue to joust, though growth has once again rendered the upper hand. Tech stocks may be poised for another lurch forward, following the adjustments over the past three months. As of this week, the NASDAQ has resumed the leading role, a reality that could portend well for the future of high beta names like Google (GOOG), Apple (AAPL), Tesla (TSLA) and Amazon (AMZN).

    With the most recent crisis fading into memory, the overhang of unemployment coupled with a willing-worker shortage promises to be worked out as the recovery meme advances. Few may have noticed, but the US dollar continues to become a smaller influence around the world, to the detriment of 330 million Americans and their imported immigrants, legal and illegal alike. Pressure on the world's reserve currency was magnified over the past 18 months and is unlikely to abate. Inflation is just another name - or manifestation - of currency debasement and loss of purchasing power. Officials at the Fed and Treasury, respectively represented by Fed Chair Jerome Powell and former Fed Chair (and now Treasury Secretary) Janet Yellen, continue unworried, and well might they be, given their private banking status and roles as financiers of the planet.

    Some day, somebody might suggest that Janet Yellen should never have been confirmed as Treasury Secretary, given her former position as head of the Federal Reserve, the world's largest, most powerful private central bank. As a top official of the Fed, Yellen's primary allegiance may not be to the US flag and its Constitution, but rather to the interest-bearing notes of the Federal Reserve, which goal it is to indebt the entire world, forever.

    No doubt, the Fed has been very successful in their 109-year inquisition to undermine the economy of the United States. A Great Depression, a World War, and, more recently, the global terror alert from 9/11, dotcom crash, the sub-prime crisis, and the recent medial scare have only served to bolster its position as lender of first and last resort, in addition to its newfound role of buyer of everything, regardless of value.

    It's not a stretch to believe that the Fed could care less about the price of anything. After all, having the superpower ability to conjure up currency at the snap of fingers on a keyboard and buy up the world's assets with what is basically counterfeit proffers upon them unlimited resources. If lumber is $4 per board foot or $400 matters not to them at all, nor does the price of eggs, skyscrapers, hotel rooms, euros, or politicians. Everything and everybody has a price and the Fed is more than willing to pay it. Their power limited only by their ability to suppress the price and acceptance of alternate currencies and assets, they have free reign over the planet and all seven billion inhabitants.

    Having Janet Yellen, or any former Fed official, in a position to manage, mangle, or otherwise manipulate the government's spending is a bad idea. It used to be that one would graduate from Goldman Sachs into government, a la Hank Paulson and Timothy Geithner, but that pretense has now also been shredded. The Fed now has total control over not just the nation's currency, but of the national purse as well. It probably won't end well, but few will care to notice how badly Americans are being treated.

    The treasury market being the primary vehicle of Fed control, the transitory inflation narrative received another push forward during the week, as 10-year yields dumped from 1.63% to 1.58%. Yield on the 30-year was lowered even more, dropping a full seven basis points, from 2.33% to 2.26%. Whatever yield curve control mechanism the Fed is employing, it's working to perfection. Only a reckless, money-churning central bank could so effectively keep interest rates down while price inflation raged. Bravo, losers.

    Oil prices were sharply higher during the week, rising from $63.58 for a barrel of WTI crude to $66.63, reflecting America's pent up vacation and travel demand into the holiday weekend and unofficial kickoff to summer fun. Americans were taking to the roads and the skies in numbers not seen in over a year, a fact not lost on the energy price gougers. Retail gas prices shot up to a national average of $3.05 a gallon, just in time for the big Memorial Day weekend. Oddly enough, gas shortages from the Colonial Pipeline hack incident were conveniently resolved in time to not affect the travels and travails of road warriors.

    Cryptocurrencies continued to be under pressure, Bitcoin still being tamped down or stomped upon. The price level reached Saturday night was down into the $33,000 level, since hiking back above $35,000. Though still depressed from all-time highs in April, Bitcoin managed to put in a low of $30,000 on May 19, and has yet to breach that, which bodes well into the future.

    Bitcoin now competes with thousands of other cryptocurrencies, tokens, and altcoins, in addition to asset competition from stocks, bonds, gold, silver, art, real estate and any other asset class. That it has been able to maintain a value in the multiple thousands is to its credit, earmarking it as a viable asset class, or possible the ultimate asset class, as Michael Saylor describes below.

    Saylor, a widely applauded devotee and heavy-handed investor of Bitcoin, might have a few suggestions as to why the recent decline in the price of Bitcoin may be immaterial, as its value should continue to appreciate as acceptance amplifies:

    While cryptos were being summarily executed or at least suffering multiple stabs or gunshot wounds from outside the system, precious metals were being treated more kindly, especially after none other than the US Mint used the term, "global silver shortage" in a recent Facebook posting.

    In the rambling, apologetic note, the Mint admitted that some customers seeking newly-released products were unable to make purchases, blaming "the extraordinary volume of web traffic" for the inconvenience. The Mint also announced they were "postponing the pre-order windows for the remaining 2021 Morgan and Peace silver dollars that were originally scheduled for June 1."

    Laughably, the not-quite-transparent Mint argued that the delay would allow them "to obtain web traffic management tools to enhance the user experience," rather than possibly, um, maybe, obtaining the silver needed to mint the coins.

    Then, in the very next sentence, the Mint delivers the bombshell:

    As the demand for silver remains greater than the supply, the reality is such that not everyone will be able to purchase a coin.

    Money Daily readers may have gotten an early warning from Wednesday's note, Silver Was Above $28, Gold Over $1900; Will the COMEX/LBMA/Central Bank Fraud Ever End?, pointing out the Scottsdale Silver shipping notice that their products would be delayed some four to eight weeks. The Mint's post appeared on Friday.

    Redditers are rejoicing. The LBMA is running and ducking for cover and mining stocks are taking flight. The relentless buying by now more than 93,000 silver lovers (was 80,000 just a week ago) at r/WallStreetSilver has broken the back of the manipulating bullion banks and COMEX traders. Though the prices on their phony exchange aren't likely to reflect the true magnitude of the silver (and probably gold) shortage any time soon, gains were made in a stop-and-start fashion over the past week.

    Gold rose from 1876.70 on Friday, May 21, to $1,906.30 on the 28th at the New York close. Silver was more subdued, up from $27.49, to $28.07 over the same period.

    Money Daily's usual Sunday morning survey of eBay sales paints a more accurate picture of what's happening. Of the coins and bars for sale, some extreme prices were excluded due to being just plain incredulous. Thus, the prices presented this Sunday morning may be a little on the lighter side of reality. Witness to single ounce silver pieces going for as much as $95, and some one-ounce, non-numismatic gold coins selling for upwards of $2300.

    Here are the most recent prices from sales of common one ounce gold and silver items on eBay (numismatics excluded, shipping - often free - included):

    Item: Low / High / Average / Median
    1 oz silver coin: 40.15 / 51.95 / 45.50 / 44.92
    1 oz silver bar: 37.30 / 54.21 / 45.06 / 44.17
    1 oz gold coin: 2,031.69 / 2,286.39 / 2,113.90 / 2,111.41
    1 oz gold bar: 1,970.00 / 2,015.21 / 2,000.69 / 2,005.07

    What this survey and our understanding of the markets can conclude is that demand has reached a fever pitch, worldwide. It is entirely possible for prices for gold and silver to skyrocket out of control and for many online and retail dealers to simply be out of stock or experience long shipping delays due to the limited supply of metals and overworked refiners.

    The most recent survey shows the Single Ounce Silver Market Price Benchmark (SOSMPB) at $44.91, the highest price in the history of the series that began in January, 2021, and likely to be even higher next Sunday.

    With that, we close the WEEKEND WRAP with an admonition to remember our deceased veterans and BUY MORE GOLD, SILVER, AND BITCOIN.

    At the Close, Friday, May 28, 2021:
    Dow: 34,529.45, +64.81 (+0.19%)
    NASDAQ: 13,748.74, +12.46 (+0.09%)
    S&P 500: 4,204.11, +3.23 (+0.08%)
    NYSE: 16,555.66, +23.71 (+0.14%)

    For the Week:
    Dow: +321.61 (+0.94%)
    NASDAQ: +277.75 (+2.06%)
    S&P 500: +48.25 (+1.16%)
    NYSE: +180.66 (+1.10%)


    Disclaimer: Information disseminated on this site should not be construed as investment advice. Downtown Magazine, Money Daily and it's owners, affiliates and/or employees are not investment advisors and do not offer specific investment advice. All investments have risk. You should consult a professional investment advisor or stock broker or use your individual judgement when making investment decisions. By viewing this site, you hold harmless Downtown Magazine, Money Daily, its owners, affiliates and employees against any and all liability.

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