Under Cover Of The Night

Under cover of the night, while we here slept, and the rest of the world was on vacation, dem Rat Bastids do their dirty work. Like the cowards we call "terrorists", they take cheap shots at us...afraid to face us, afraid to challenge us mano y mano. Right back into the Rat Traps they came. 13.03 Silver, 666 Gold. As the sun rose here on the Comex, like the little cockroaches that they are, dem Rat Bastids scurried for cover as the brave jumped all over this Precious gift from the vermin. Nothing brings out the buyers like a good Sale.

To today's headlines:


U.S. Factory Orders Rise Sharply
http://biz.yahoo.com/ap/070502/economy.html?.v=9
WASHINGTON (AP) -- Orders to U.S. factories surged in March by the largest amount in a year, an encouraging sign that the recent slowdown in manufacturing may be ending.

The improving data has prompted some economists to say that the worst of the manufacturing slump may be ending.

"The underlying data appear to corroborate other indicators ... that the manufacturing sector may have stabilized," Michelle Girard, an economist with RBS Greenwich Capital said.

For March, the increase was led by a 38.1 percent surge in demand for commercial aircraft.

Folks, have you ever noticed that almost every "surge" in factory orders reported usually contains these four words somewhere in the report: demand for commercial aircraft.

However, demand for household appliances and furniture both fell, indicating continued troubles in the housing industry.

If the American consumer is "responsible" for 70% of our economy, I fail to see how a few airplane orders is going to rescue the US Dollar. Do you know anybody that has ordered an airplane? This bird has wax wings, and it too will soon crash and burn. I'd call today's US Dollar and stock market reaction to this report "Livin' On A Prayer".

Crude Oil Falls After U.S. Refiners Bolster Gasoline Output
http://www.bloomberg.com/apps/news?pid=20601087&sid=abxpaCTGExjs&refer=home

I am absolutely convinced that Bloomberg in dem Rat bastids number one source of spreading disinformation.

May 2 (Bloomberg) -- Crude oil fell below $64 a barrel in New York after an Energy Department report showed that refiners increased gasoline output.
Refineries operated at 88.3 percent of capacity in the week ended April 27, up 0.5 percentage point from the week before. Gasoline supplies fell for a 12th week.

Gasoline inventories have plunged 15 percent to 193.1 million barrels in 12 weeks, the longest series of consecutive weekly declines since at least 1990, according to the department. The decline left gasoline supplies 7.9 percent below the five- year average for the week, the department said.

The national average price of gasoline WILL be well, imo, well past $3 a gallon by Memorial Day.

Soaring Gas Prices Already Near Highs, And It's Not The Top
http://www.investors.com/editorial/IBDArticles.asp?artsec=5&issue=20070502
With driving season fast approaching, energy experts are warning that gas prices have yet to find their peak. When they do, they will stubbornly hold that painful level throughout the summer. Supply will remain tight just as millions hit the road.

That assumes no big hurricanes or other major supply disruptions.

U.S. gasoline stockpiles, at 193.1 million barrels, have never been this low at this time of year. Stocks have plunged from an excess of the five-year average to 13 million barrels below it. They've fallen 34.1 million barrels in the past 12 weeks, according to DOE data.
There's no sign yet that prices have climbed high enough to cut usage. There is just a tad under 21 days of supply in U.S. inventory, said Eric Wittenauer, an energy futures analyst at A.G. Edwards. There should be at least 23.

US gasoline use hits record despite high pump cost
11 Apr 2007 21:32:36 GMT
http://www.alertnet.org/thenews/newsdesk/N11255671.htm
WASHINGTON, April 11 (Reuters) - Rising gasoline prices have not discouraged Americans from driving, as weekly U.S. motor fuel demand reached a new record high for April, the government said...

The national price for regular unleaded gasoline soared 9.5 cents over the last week to $2.80 a gallon, up 12 cents from a year ago. It was the 10th straight weekly increase.
At the same time, gasoline consumption last week averaged 9.472 million barrels a day, a record for April, according to the federal Energy Information Administration.

Oh, I love the truth. It's out there if you want to look for it. Bloomberg isn't interested in it. So, gee whiz, refineries have increased production a WHOPPING 1/2%, and crude inventories have risen because refinery capacity is running at ONLY 88.3%. LOL, crude inventories are far from a surplus...gasoline inventories even further. Only a surplus in crude would be a legitimate excuse to sell oil.

Noise! It's all just blah-blah, yada-yada...NOISE. Ignore it. Oil will rise further shortly, it has repeatedly the past six weeks. You can bet the Chinese are buying on every dip. The Russians are buying Gold on every dip.

If Gold prices are going down, why would one of the biggest short positions in the industry be closing out it's shorts at such a quick clip the past quarter?

Barrick Gold hedge position eliminated; produces 2 million ounces of gold
http://www.mineweb.net/mineweb/view/mineweb/en/page674?oid=20389&sn=Detail

Ignore the noise. Focus on the fundamentals. "Good things come to those who wait."


Silver Resistance: 13.20 / 13.30 / 13.39

Silver Support: 13.10 / 13.03 / 12.92
__________________________________All prices SPOT

Gold Resistance: 672 / 675 / 677

Gold Support: 670 / 666 / 660