Has Denninger Gone off the Deep End or Found the Light?

[osoab]

http://market-ticker.org/akcs-www?post=169025&page=1

His quote near the bottom of the comments on the 1st page.


Margin, I am getting very close to going "bug-out", converting all to tangible value items, and deciding that right or wrong, I'm gonna live it out where I don't care.

This is getting very close to going completely out of control - it is FAR worse than what was going on with Lehman.

And this ticker here:

http://market-ticker.org/akcs-www?post=169021


This is a vote from the commodity market that Bernanke, Congress and you, the American public, will not force the scams and frauds in the banking system that have been festering since 2007 into the open where they can be resolved.

It is a vote from the commodity market that the dollar will instead be intentionally trashed, basic commodities will got to the moon, you will be literally starved to death, and your earnings and wealth will be given to the banks to cover their frauds in the credit markets - specifically, in the housing market.



That's what Gold is telling you today. CNBC just ran a segment (which I will ticker shortly) on the true state of the MBS and Foreclosuregate problem - and identified exactly what I've been talking about, in detail. As soon as their video updates, I will post a Ticker with it.

Gold is saying that instead of perp-walking all those Trustees and Servicers (who incidentally are all either the banks themselves or employees thereof), which is exactly what they deserve, we will instead allow Bernanke to print over $1.3 trillion in worthless dollars to paper over their scam - for a second time - even though it won't work this time any better than it did the last.

That expose' on CNBC was good for an immediate $13 spike on the Gold Price, on top of what was already another $13 this morning.

Whether you choose to act or not, the market will act on its own, and those reactions to the lack of accountability by our government will destroy your middle-class lifestyle.

You're running out of time to stop this destructive spiral America.

[Neuro]

He could admit that he was totally wrong about gold and deflation all the time. Instead he is just going to convert his wealth to it and bug out... As far as I understand it he banned everyone who pointed out he was wrong from his forum. Now he is just going to bug out...

[osoab]

He could admit that he was totally wrong about gold and deflation all the time. Instead he is just going to convert his wealth to it and bug out... As far as I understand it he banned everyone who pointed out he was wrong from his forum. Now he is just going to bug out...


I don't cut Denninger any slack on his gold apathy.

What seems odd is the fact that his posting about possibly changing out of his paper assets.

[mike88]

better late than never. when the one ounce bar of gold buys the dow, the rest of the paper holders may start to catch on.

[mamboni]

Denninger is lame vis-a-vis his gold predictions. Now he's trying to imply that he predicated gold deflation on massive credit destruction without considering monetization of the bankers' fraudalent paper. He's being disingenuous because he always insisted that credit destruction would always outweigh monetization and that gold must deflate in dollar price. Apparently, he has finally capitulated to the inflation god.

[Neuro]

Deninger is lame vis-a-vis his gold predictions. Now he's trying to imply that he predicated gold deflation on massive credit destruction without considering monetization of the bankers' fraudalent paper. He's being disingenuous because he always insisted that credit destruction would always outway monetization and that gold must deflate in dollar price. Apparently, he has finally capitulated to the inflation god.
Thats were all deflationistas went wrong, and initially it looked like they were right. But deflation would mean government and banking collapse in short order, by inflation they have managed the game to go on a bit longer. Another problem with deflationistas is that they imagined the tapped out American consumer alone in the world using the worlds resources. Instead Chinese and Indian middle class is growing rapidly, and they buy a car that uses fuel and consumer electronics, that uses all kinds of exotic metals. 2.5 billion people out of which probably at least 3-400 million are middle class prepared to spend at least some of their salary on living a good life, at least enough to take out the slack of the failing western middle class.

[JohnQPublic]

This was my last post on the MT about gold (December 2009):

"Karl:

You are one of the brightest. MT (and ZH) are important references for me everyday. But if I may respectfully give you some advice, I would say don't get prideful on your position on gold. Be prepared to change if it makes sense. There is some small chance gold could collapse. If that happens a lot of "goldbugs" will be eating humble pie (myself included), but please don't let ego interfere with your clear thinking (if in fact it is). "

I recall his response was something like "...gold won't save you..."

I'm glad he is on board now, in any case.

[Sparky]

I don't see why any of this makes him a bad guy. He's a tremendous muckraker who's willing to dig in the weeds, which I appreciate very much.

The fact that he's going to have to evolve his viewpoint on gold is only going to make him more infuriated with the idiocy of the government. This should be entertaining.

[osoab]

I don't see why any of this makes him a bad guy. He's a tremendous muckraker who's willing to dig in the weeds, which I appreciate very much.

The fact that he's going to have to evolve his viewpoint on gold is only going to make him more infuriated with the idiocy of the government. This should be entertaining.


I'm not saying he is a bad guy, but every post/view of gold as even a useful hedge has been dismissed by Denninger.
There had not been any budging in this view as far as I can remember. Heck, the guy moved the precious metals section to subscriber status a couple of weeks ago.

I know he has posted that he has guns and maybe food. I would guess the guy has some property also. So what are the other tangible assets to bugout with?

I think your right about the comedy that will result with his realization of the true state of government.
I hope he does changes his thoughts on that.

[Trinity]

The guy has went psycho. The world is leaving him behind in his cave clutching his FRN's.

[JohnQPublic]

http://market-ticker.org/akcs-www?post=169103


...I wrote about this in 2007 and said that if it happened - the last time we were down there - it would be a catastrophe. Such an event would cause commodities to shoot the moon on a literal basis and result in massive capital flight of foreign funds out of the United States.

This is exactly the sort of trap that can lead a central banker to make the critical mistake of trying to "ease" even more - that is, print his way out. If he makes that error the currency is destroyed and when it implodes the government will go with it, as every citizen's liquid net worth will be rendered value-less overnight, exactly as occurred in Weimar.

From that outcome will come the sort of change nobody with any hint of sanity wants.

His only other option is to massively withdraw liquidity to support the dollar. That collapses every large bank - overnight...

If either of these occur, gold/silver go up. I guess all along, Karl had confidence in the Fed to solve the problems?

[gunDriller]

Denninger is lame vis-a-vis his gold predictions.



better late than never. when the one ounce bar of gold buys the dow, the rest of the paper holders may start to catch on.


Mamboni is being nice. lame is putting it mildly.

BUT - he did everything but come out and say, "buy gold", and he's smart enough to realize it.

so maybe, he'll be an adult and say, "i was wrong".


as far as the TIMING of his purchase, yes he was dissing gold at $700 through $1300, but he may find religion at $1400.

it's also possible that he was making more money with his investments than if he had had them in gold, the last 3 years.

but yeah if he i was him i'd call hannes tulving. or gainesville coins !

[Neuro]

Probably a gigantic ego like Karl Denninger will never admit that he was wrong, instead as he was suggesting he would trade everything for tangibles, and bug out, and leave his followers to wonder what next, meanwhile blaming the Americans for destroying his theories by doing everything wrong...

[skidmark]

Douchinger opines on gold, see his ticker today 'on gold bugs' http://market-ticker.org/akcs-www?post=169272

The guy is a foul mouthed idiot.

He has learned nothing, see the comments, his troops are getting restless, bet he bans a bunch of them when he gets back from fishing and sees that many disagree with his thesis.

[JohnQPublic]

Went ahead and posted on his comments section:

In a barter situation, gold and silver will be one of many alternatives. But because of the simple desired features of money (which gold and silver have- valuable, divisible, portable, universally recognized, etc.), they will be a very desireable form of barter. If I have a cow, and want to buy a mattress, it would be much easier for me to trade silver for the mattress, then accept gold for the cow than it would be to take the cow to the mattress store and make the transaction.

Check out this article:

http://gold-silver.us/what_silver_gold_buys.html

Note that the point about gold production rising is correct, but in per capita terms it has been fairly steady since 1903 (slightly higher per capita today).

Denninger is still a good investigator, but he has an ego problem with his positions. If we have a large correction (which would not be unreasonable, but franklly is not necassary right now- in fact we may have just seen it), I suspect he will jump on it.

[Sparky]

Douchinger opines on gold, see his ticker today 'on gold bugs' http://market-ticker.org/akcs-www?post=169272

The guy is a foul mouthed idiot.

He has learned nothing, see the comments, his troops are getting restless, bet he bans a bunch of them when he gets back from fishing and sees that many disagree with his thesis.


He's arrogant, and he might even be wrong, but I don't see how you can call him an idiot. I like what he does.

[skidmark]

Douchinger opines on gold, see his ticker today 'on gold bugs' http://market-ticker.org/akcs-www?post=169272

The guy is a foul mouthed idiot.

He has learned nothing, see the comments, his troops are getting restless, bet he bans a bunch of them when he gets back from fishing and sees that many disagree with his thesis.


He's arrogant, and he might even be wrong, but I don't see how you can call him an idiot. I like what he does.


He has been saying the same thing about gold since it was $700.00. You must have missed the pissing match he started with Jim Willie and later with Gordon Gekko.

[Sparky]

Douchinger opines on gold, see his ticker today 'on gold bugs' http://market-ticker.org/akcs-www?post=169272

The guy is a foul mouthed idiot.

He has learned nothing, see the comments, his troops are getting restless, bet he bans a bunch of them when he gets back from fishing and sees that many disagree with his thesis.


He's arrogant, and he might even be wrong, but I don't see how you can call him an idiot. I like what he does.


He has been saying the same thing about gold since it was $700.00. You must have missed the pissing match he started with Jim Willie and later with Gordon Gekko.





He's been way off about the price of gold. He's been right about a lot of other things. He understands the details of the credit and mortgage systems more than any of us, and he's exposed a lot of corruption that you and I can only suspect is going on, so I give him a lot of credit for that.

[Trinity]

he's exposed a lot of corruption that you and I can only suspect is going on,

With all due respect Sparky, if it's happening in Washington, Manhattan, Hollywood, a Bank or a government office it is corrupt. I don't need Karl to figure that out for me.

[skidmark]

He's been way off about the price of gold. He's been right about a lot of other things. He understands the details of the credit and mortgage systems more than any of us, and he's exposed a lot of corruption that you and I can only suspect is going on, so I give him a lot of credit for that.

A lot of other people have been exposing this, Karl just likes to take the credit.

Karl hasn't exposed anything I wasn't already aware of, see I can read the other sites just like he does.

Idiot was probably the wrong word to describe Denniger.

[Filthy Keynes]

Heck, the guy moved the precious metals section to subscriber status a couple of weeks ago.


I used to post on MT forum in 2008. Every time gold would go hog-wild he would LOCK the "Precious Metals" section. Eventually I left the forum.

[gunDriller]

Douchinger opines on gold, see his ticker today 'on gold bugs' http://market-ticker.org/akcs-www?post=169272

The guy is a foul mouthed idiot.

He has learned nothing, see the comments, his troops are getting restless, bet he bans a bunch of them when he gets back from fishing and sees that many disagree with his thesis.


He's arrogant, and he might even be wrong, but I don't see how you can call him an idiot. I like what he does.


well, like most human beings, he is a bit of a paradox.

i am definitely indebted to him for his good financial writing, since it has helped me figure out what is going on/ how corrupt the US financial system is.

but some of his writing is so irrational and some so hateful that i think he could benefit from an editor, to keep him on target.

people like him because of his financial writing, not because of his k'vetching about PTA problems or world politics.

i think he's pretty adaptive as far as investing/ wealth maintenance. obviously slow moving into gold & silver BUT he has been smart enough to make $$$$ in the paper world of financial instruments. and he knows how corrupt it is.

i think he will move a chunk of his $ into PM's, maybe just the Sprott trusts, sometime in the next 6 months, and write about it.

[osoab]

i think he will move a chunk of his $ into PM's, maybe just the Sprott trusts, sometime in the next 6 months, and write about it.


If Deninnger does buy, I doubt he would advertise it. I don't think he would want to eat the crow.