A few items to consider as this upside down world of our's accelerates out of orbit.

Regards - VHF

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From Bill Cara today:

..."Did you know that earnings estimates for the S&P 500 are declining as the stock market achieves new highs? Should record high margins contract, P/Es will contract and the market will decline - bulls hope the economy doesn't slowdown or that may occur.

Did you know that earnings for the gold miners are growing? Estimates for 2013 are actually higher than when GDX peaked in 2011, yet emotions are driving selling.

This is why I think the most profitable trade for 2013 will be in the miners. That is not to say that we have not been long equities. On the contrary, every day for weeks I need to make sure that we are not trading on margin as we hold more stocks than we ever have but eventually money will move out of the broad market into gold and mining shares - be ready for it."

AND

From J.B. Slear today:

Gold got hammered (thank you London) in another effort to take the wind out of the sails of those that see there is no other investment out there that has the words “common sense” attached to it. The trade stands at $1,592.00 down another $12 after they lowered the margins 10 days ago. Silver is no better and is now trading at $29.125 down 29.7 cents, regardless of all the evidence against the short traders. As long as there’s paper Metals, these guys will continue to break the law irrespective to the common sense of things. When this baby blows, there will be public hangings (let us pray) and very few people in the trade. Dig this, Open Interest was at 155,000 in yesterday’s trade (in Silver), this early morning the open Interest is above 156,000+ … So what!! The Morgan’s and the Goldman’s of the investment world are allowed to short continual amounts of the precious metals since the lowering of margins, doing exactly what most of us are told never to do, add to a losing position (unless you have gobs and gobs of money). When these guys lose trades, they’re allowed to dip into the Fed Window for more money to use to trade against its own people’s. This will end badly!!

AND

A good article on the obvious price suppression scheme that is only invisible to the infamous regulators.

http://tinyurl.com/a7alcuy