Major Gold:Commodities Breakthrough, MSM Worried, BOJ Sweats, And Palladium Update

Without money (gold and silver or functional derivatives thereof), there is no human cooperation. In order to promote money, gold and silver must rise relative to consumer commodities. They are.

• Gold to commodities ratio finally breaks through 200WMA, signaling a new phase in the gold bull market relative to other real assets.

• MSM simultaneously mocks, and is very worried about, physical gold and silver stackers.

• Bank of Japan ill-equipped to handle inflation risks, members call for raising interest rates to combat potential overshoot, but hiking rates will just exacerbate the situation, little do they know.

• Palladium update, speculator shorts at new all time record high, commercials hold onto longs which are cheaper than their all-in sustaining costs to mine the metal.

• Palladium producers would only hold on to longs in expectation to sell and plug up losses from low palladium prices now. Sibanye’s target price for palladium is $1,500.

Gold to Commodities Breaks Through 200WMA

Huge technical signal here. The ratio of gold to commodities strips out crazy dollar noise and tells you what gold's value is relative to other real assets. We have only broken above the 200WMA three times since 2006, when the gold bull market relative to commodities began. Five year chart below.

This doesn't mean that gold is going to go vertical immediately versus dollars. But it doesn't likely mean we are in a new phase of the bull market of gold relative to other real assets. Remember that in an End Game scenario, the dollar price of gold doesn't matter.

The reason to preferentially stack gold/silver over other commodities (not to the complete exclusion of other commodities of course, since a buffer of basic necessities after the initial blast is important to stay out of the immediate chaotic bread and gasoline lines) is that gold and silver tend to rise the fastest in real terms when money derivatives break down, because money is what enables trade, promoting and preserving cooperation between humans as opposed to every man for himself, keeping mass murder and mayhem at bay, as opposed to other commodities which are consumed for themselves and do not inherently promote cooperation but rather consumption.

The Perfect Ultra-Confused MSM Article on Gold

This article is gold. Gold Jerry! Gold!