Lawsuit for manipulating silver

Here is the article:  http://panicof1907.com/anon/FINAL-Consolidated-Class-Action-Complaint.pdf

The bullion dealers are running out of coin silver, they are still selling it but it is on back order. The longer the metals prices are down the more severe the shortage will become. Almost all 90% silver is on back order (and some smaller .999 fine bars as well) at Goldmart.com. They have "delayed" item description. CNI is almost completely out of platinum and their palladium is low as well.  Currently platinum is lower than gold. Unless you want 1000 or 100 oz. bars or the large $22000 bags there will be a delay in shipments on a first come first serve basis.  I forsee the days of coin silver selling at spot to be over soon if it isn't already. 

VPLM problem

The VPLM website is closed; I sold my shares ar $.015 which is double what I paid. There is word on message board that something is wrong with the contract with Bleam. They may have it fixed by the end of the day but I cant chance it. It is not often you can double your money in a few weeks of time. I put the money into PSEC.VPLM is already down to $.0125.  I expect stocks and metals to recover now.

2011-9-29   12:52  I called Dennis Chang and left a message. He called back left message on my phone that the press release that will come out today will answer my question.

SLV buy embalance

There are not enough shares of SLV to fill the orders. SLV is at $31.86 at 10:02 am

Gold and silver coins minted by the US have been recognized as legal tender in Utah. Which state will be next?

$20 silver coming

This happened in 2004,2008 and now. The price seems to go to the previous high. I think silver could go down to $20 or the low 20s. If it gets that low physical availability will be harder to get, spreads are around $2 to $3 over spot just like back in 2008. Do not sell your physical silver, it will go back up, this is why I suggest silver and gold for more long term investments. Believe it or not this is a healthy correction; silver will in the long term go up for the next 40 years until we get out money system fixed.  The next high will be around $80+ and the next low could be around $49 in a few years unless we run out of physical silver. I do believe stocks will recover as well  but if a stock were to fall like this I would be worried. We could hit $25 today or tomorrow but I do not believe it will go below $20. You will never be able to buy physical silver for $20 again--spot may get there but they will raise the spreads on bars and coins so even if it went to $17 you would never get physical for less than $20. Remember there is less silver out there than gold and silver is consumed in small amounts that cannot be recovered. The reason why this is happening is because people are buying silver they never will see and they are buying silver they never could afford to hold long term because they are borrowing to buy it. They are day trading silver contracts which is a form of gambling.

1:22pm  Silver was down to $26.15 this morning and gold was down $100 to $1535 but they reversed the losses  and gold is now  or was recently $1607 and silver is $30.25 up $.20 on the day. The kitco charts have been hard to load lately.  Physical buying is very strong.
Margin requirements were raised 21% on friday.

Bullion shortages

I am seeing on message boards that some bullion dealers are closing down or running out of physical silver. Silver could go into the $20s but bullion may be hard to get.Some places are closing their websites because they do not want to sell below $30 an ounce. I think they simply do not want to take a loss on their silver inventory that they may have paid $40 per ounce for. This reminds me of 2008. 
   I checked some of the bullion dealer websites. Dimes are out at Apmex and they raised the spread on the other coins. The shortage isnt severe yet.  Silver is around $29 at 11:17pm sunday.  The problem about waiting for the price to go down is there may not be much to buy. This happened back in 2008. Silver dropped like this in 2004 after a run up, then 2008, and now it is happening. I think this is a trading pattern with silver but I am certain it will go back up again.  If this happened to one of my stocks I would sell it and not be happy at all. Companies can become penny stocks like Fannie Mai did and not ever go back over $1.00 again.  Silver will recover though just like it did the other times it fell in price; the budget shortfalls and faulty fiat money is still there and nothing has changed about silver itself.  They can't issue more shares of silver and gold like they do with stocks. We may have to wait a year or so to see $40 silver again though. If the economy picks up silver will be in demand for industry as well as investment. At 11:37pm sunday silver is $29.25 at Kitco.

Markets hemoraging silver and gold

Friday 6:53pm:

Gold opened the week at $1815; it is $1657 now.
Silver opened the week at $40.21 and it is $30.93 now.

I think most of the selling is in contracts and paper silver. Bullion dealers were very busy selling physical silver. Anyone who was leveraging silver got hit hard and likely got a margin call and had to sell to pay the call. Silver is down 24% on the week and most of it went in the last 2 days. Dont worry it will go back up, none of the debt problems or inflationary problems are fixed and people indeed are buying physical silver. Some places are runninng out of some varieties of coins or bullion but i didnt see any major shortages yet. keep in mind if you want physical to get it while it is available because there is indeed less silver out there to buy than gold and some need it to run their business. REITs went up today, some people may have sold metal ETFs to buy stocks.

Silver down 10%

Silver is down 10% but the public is buying physical bullion.  At one large bullion dealer, CNI in California, there was a line of people in the parking lot.
Gold closed at $1736.20 down $44.30
At 8:09 it is $1742.20

Silver closed at $35.84  down $3.70
At 8:09 it is  $36.29

CIM declares after hours

They will be paying the same dividend as last quarter- a $.13 with an ex dividend date of Sept.  29 and record date of Oct. 3. payment will be on Oct 27th. CIM closed at $2.91 but after hours trading was higher.

RSO declares $.25 dividend

$.25 per share will be paid on Oct. 27th to those holding on the record date of Sept. 30. 

ARR announced $.11 dividends for Oct, Nov. and Dec. down by $.01. They expect refinancing activity due to lower interest rates but they do expect to make more than they pay out in dividends. 

Mortgage rates, AGNC, VPLM

Mortgage rates are at record lows. AGNC ex dividend date is 2011-9-21 with a $1.40 per share payout.
VPLM is up 166%. They are building their new website and the new corporate investor website has been launched. Points Phone website will be ready in a few days.

12:52pm VPLM is at $.0237; I paid $.0068 plus fees what seems like a few weeks ago. New VPLM website:  http://www.voip-pal.com/VoipInvestorArea.asp      VPLM closed at 2 cents today.

IVR announces dividend

It will be paid  on October 27 to shareholders of record on Sept. 19th. The previous dividend was $.97, this one will be $.80.  The share price is $16.37 as of close today. In the last 3 months IVR has dropped over 25%. It was $22 3 months ago for a high.  This company, like CIM,  has had a lot of insider buys but has gone down despite the buys but some of the buys were at a lower price. Both CIM and IVR lost book value over the summer but their leverage rate is lower.  If the SEC decided to play with REIT leverage rates these 2 companies may be hit the least because they have lower leverage. I do believe the national house prices will begin to go back up in 2012.  Now is a good time to get back in to stocks because the market will resume the bull market but I think silver and gold will also continue to perform well. I cannot guarantee that all REITs will go up with stocks  when the market rebounds. Silver and gold will keep going up for the next 40 years until people realize gradually that the current money system is inadequate. Those who are stubborn and dont buy silver or gold will miss out on the protection and value and they will miss out on a chance of a lifetime. It will happen over time but the longer they wait the more of it they will miss.

More information on SEC and REITs

Your comments are requested by the SEC. There is a video on this link with some more information.  http://www.sec.gov/news/press/2011/2011-176.htm

Nationalization of REITs?

Government takeover reveals real problems in America

There are talks of the government in a sence buying the mortgage backed securities by allowing a large scale refinancing of house mortgages and making changes to the REIT structure.  If the government takes over with no cash to buy the securities then the burden will be back on all of us equally except maybe those who have a lot of silver and gold. The government will have to borrow more money or print more which will eventually create inflation. I think President Obama has the nations best interests at heart and this could possibly help some in distress but it is not adressing the real problem in America.  If this works it will get him re-elected.  Good stocks will also go up with inflation but if people panick they will come back down plus companies do not live forever. Our society is to much into debt in all levels. The only answer to this may be to come together as communities and help each other build houses. Amma.org or Embracing the World is doing this in India--whole communities are building whole townships with sewers and hospitals all without debt. We are a long ways from that in America because we all have to be paid for everything we do. There is no volunteerism here and we do not trust anyone including the Church so we try to do everything by ourselves which means borrowing from a bank. We do not get family help anymore like generations past. No one wants to give up their money and family life is breaking down so these situations dont exist as much. The problem is not President Obama or the FED; it is a social and family problem. The deeper we go the more it will look like communism, not because we have communists in office but because we dont work together on a family and community level. The government is being asked to do to much-- they are taking on roles that used to be done by family and local communities. No one trustsa anyone anymore, they cant rely on family or church or local help and wages are down because all of the women are working where as they didnt before.The problem is not the government it is a social and family structure or spiritual problem. The Church is more concerned with making the whole world become Christian but has left the wheel alltogether on practicing what Christ tought us to do plus the Church has forgotten some of what Christ tought. Businesses have taken over what the Church used to do and now the Church mostly tries to conquer the world by converting the other religions. Amma has all 3 of the great religions working together to build entire communities-no conversions and 100s of thousands of concrete houses for the poor that wont blow away in the next storm. This is creating cooperation and peace between the faiths and creates no debt--no mortgage backed securities. The houses we have here in America are tornado traps built solely to make money for a company-they arent built to last very long at all. I have seen the shoddy work being in the construction field and this is what your mortgage backed securities are based on that AGNC, CIM, NLY and others hold. We may learn that the quick buck is practically worthless but old values are everlasting and hold value. I need to learn it, you do, the president does and so does the Church! www.theyuha.blogspot.com (main blog) 

Comments to the SEC can be left at http://www.sec.gov/rules/concept/2011/ic-29779.pdf

http://www.sec.gov/news/press/2011/2011-176.htm

 

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Buy S and P

The Sand P will get down to 1209. It will be a good time to buy because it will be 1350 by year end. The stock markets will recover. I would recommend not having to much REIT stock in one company; spread the money out among diversified companies. It may not happen but President Obama wants to let American homeowners refinance their loans.  I do not think this will effect all REITS, commercial loans may not be effected. Also the SEC is talking about changing rules that govern how REITs operate, first their NAV--net assett value they would like to have daily reports like closed end funds do and there is talk of REITs following the leverage rules other companies have been following which could negatively impact the ability to leverage and achieve the high dividends we have been getting. I do feel AGNC is a good company but refinancing could impact them with prepayment risk. RSO has lower ratings than AGNC but they are into more commercial real estate. I listened to their quarterly report and they seem like a good company. I do not think they would be effected by refinancing but will benefit from the low interest rates.  The 2 companies may balance each other out for risk. RSO moves with the stock market more so than AGNC and the market will go up soon.

    In the next week or so the REITs AGNC,RSO,IVR, CIM, CMO,and ARR will become pregnant with the next quarter's dividends. RSO plans to pay $1 for 2011 so the next dividend is almost certainly a $.25.  They said this in their recent quarterly presentation.  ARR will be announcing the next 3 months of dividends because they pay monthly; septembers is already declared.

    At 1:05 pm SLV is up 3.9% at $42.10.Kitco silver is $43.23 up more than gold which is $1876.20 now. I saved a lot of headache by parking some cash in silver that was in stock; the silver has done well for me at a 5.64% rise so far in just a week or 2. There is a possibility  gold could come down some more when people start entering the stock market again, I do think silver will outperform gold because silver is an industrial metal. Copper will also go up even more certainly than silver.