T’is the season to be jolly.  And why not, it’s Christmas time, right?  We can afford to do what we want, take our families where they want to go, and be safe in all that we do.  Right?  For some, maybe.  For those that can afford it.  But the reality this Holiday Season is that most of us can’t.  Most of us are lucky if we can afford to put food on the table to feed our families.  There’s really no celebration for most of us.  It’s egoic.  It’s delusional optimism.

This Holiday Season moods are generally a little bit darker for very good reason.  Families are battling to survive.  Unemployment is at an all time high.  There is very little money trickling down into most folks’ pockets.  People are battling to get their bills paid.  Many of us are failing in health.  Our skin itches, our hearts ache, and our cells are being genetically modified by the chemtrails they spray on us, the GMOs they feed us, and the killer cells they vaccinate us with.

Just the other day I heard one poor, limping, old man, walking on a cane with discolored and swollen ankles, tell the nurse at the doctor’s office, “I think I’m slowly dying.”  And he was right.  We’re all dying slowly.  It’s part of the plan.  It’s called slow kill.  And while they’re doing their dirty deeds on us the central banksters are stealing everything we have, right from under our runny noses.  And it’s not because we’re asleep at the wheel, it’s because we’re being overwhelmed by the system.  And we have to fight back.  It’s literally a matter of life and death.  As Moe of the Three Stooges used to wax poetically, “We got to edumacate ourselves.”  We got to understand who’s fixing the screw to whom, and how.  And why.  And then we got to do something about it.  And the sooner the better, or we’re all going to become genetically modified zombies.  And that means our kids too.

We must understand that it’s all about them having everything, and us having nothing, if that.  We’re easier to control that way, we’re easier to eliminate when we’re sick.  It’s that master-servant thang for the survivors.  They, the central banksters, have all the money and corporations, the banks and the pharmaceutical and chemical companies.  We have sickness.  They also have all the banks, which are our lifeblood, and through which they control us.  Their central banks print up fiat dollars in the billions, ship them off to the other central banks at low interest rates, who in turn mismanage it well enough to divide amongst themselves.  And we foot the bill in the form of debt.  And the battle rages.  And the family suffers.

We battle amongst ourselves for scraps.  We battle for religion.  We battle for race.  We battle for police not to shoot us in the backs.  And where’s all the battling getting us?  It’s getting us shot in the back.  And that’s not really helping our families survive.  We’ve got to be much smarter than that, because if we’re not, our families will not survive into the next holiday season.  The truth is we must wake up, and we must do it fast.

We must understand that the real trench warfare of this battle for life and death is being fought right now in the financial arena.  That’s where the winners and losers in life are decided.  That’s where it’s decided whether our children will live or die, be sick or healthy, have futures in prison or not.  It’s the playground of our handlers.  And it’s critical for all of us to understand how America’s reserve currency system stands up against the realities of our family’s existence.

It’s reasonable to assume, first of all, that the central banksters, along with our government, do not want gold to go into backwardation.  That’s because if people understood what it meant, they’d want to own gold, and not the worthless paper the Fed prints up and calls the dollar.  Remember from our last time that according to James Turk, there are two types of backwardation, money backwardation and commodity backwardation, and they both apply to gold.  Backwardation is a mathematical result that reflects the cost of money as measured by the interest rates of one national currency relative to another.

The U.S. government does whatever it needs to assure that the U.S. dollar remains the world’s reserve currency.  However, presently, market forces appear to be prevailing over the United State’s central bank’s attempts at controlling interest rates.

All national currencies have an interest rate, and so does gold.  It’s called GOFO.  And this is the interest rate at which gold is borrowed or loaned.  The reason gold has an interest rate is because it is money.  The problem was that in 1971, the governments of the world, led by U.S. President Nixon and the Federal Reserve, tried to convince the world otherwise.  They went off the gold standard, confused a lot of people, but never really changed the fact that gold was money.

When one begins to realize that gold is presently in backwardation, and its interest rates are higher than the dollar, he or she will begin to understand why our buying power is going down the tubes along with the dollar.  The interest rates we are dealing with are a direct reflection of the risk of debasement of our national currency.  Since you can’t print too much gold, it cannot be debased like other national currencies.

So how could gold’s interest rate be higher than that of the U.S. dollar?

The answer is it can’t.  Not in a market that goes without government intervention.

“Gold backwardation is an abnormal condition,” Turk says, “but theory and practice are different things. It is extremely rare for gold to be in backwardation, but it does happen when governments intervene in the market process.”  This is where gold is different from other commodities such as oil, soybeans, and pork bellies, all of which are frequently in backwardation.  Gold has an interest rate, where all other commodities like sugar, corn, and lumber do not.  Their “cost of carry”, according to Turk, “to determine their future price is based mainly on warehousing fees that need to be paid for their storage.”

Another reason gold is money is because it is accumulated, where commodities are consumed and disappear.  Gold backwardation is a unique event.  It can’t happen in theory, but it does take place when governmental central bankster intervention loses its desired effect, and market forces overpower the government’s attempt to manipulate them.

Previously, gold backwardation has taken place twice, and both times market forces overpowered government interventions that were bent on manipulating interest rates.  Turk says that gold backwardation does occasionally occur in spite of government intervention “because central banks cannot print physical gold to alleviate demand pressures.”

A shortage in supply indicates that unless demand for gold slackens or the supply increases, the price will go up.  And right now, according to Turk, there is a “strong demand for physical gold” and “a decline in demand at current price levels seems unlikely.”  To contrast this, national currencies, the supply of which can be increased to any quantity by a flip of the printing press switch, physical gold only comes from two sources:

  • New mine production, and
  • Existing aboveground stock

Mine production yields are relatively insignificant.  And above ground stock of gold “grows consistently year after year by 1.8% per annum,” Turk says, which doesn’t come close to satisfying the current global demand.  Thus, the present shortage of gold can only be “relieved from its existing aboveground stock.”  The only way for that to happen is for the gold price to rise high enough “to entice people to exchange their physical metal for dollars.”  Which is what has happened every time gold has gone into backwardation in the past.

It seems safe to say, buy gold, now.  Physical, in pocket, in hand.  It’s stronger than currency.  It’s stronger than dirt.  And it can save your family.


From the Law Offices of Donna Santo, we wish a Merry Christmas to all, and to all a gold night.