Sunday, October 16, 2011

A peaceful protest and a media smack-down

I went to the Occupy Reno march and rally yesterday, but it wasn't until I got home that things really got wild.

Sincerity and hypocracy on a Saturday afternoon

If your not on Twitter, you're missing all the fun.

Tuesday, October 11, 2011

Questions for tonight's Econ Debate

In the past, the networks have been asking for people to send debate questions to them via Twitter. Not so this time. Apparently, someone among the powers that be has learned his lesson about the Twitteratti. That's too bad. I had assembled the crackerjack Not Ready For Publication News Team to come up with some questions for the candidates. I'm posting them here in the slim chance that the voice of the people will break through the corporatist elite's patriarchal power structure.

1) For Mitt Romney: The investment firm of Farnsworth & Fabersham LLC., controls $35 billion. At 9AM, Mr Farnsworth begins buying $12 billion in Italian 10 year notes, and at 10AM, Mr Fabersham begins buying $7 billion in corn futures. Will they go broke before the markets close at the end of the day?

2)For Rick Perry: If Netanyahu has a 3 handicap, and Hitler has a 4 handicap, what would be their expected combined score on a par 72?

3) For Ron Paul: If I make $2.5 trillion a year, but spend $4 trillion a year, how long will it take before somebody beats the crap out of me?

4) For Rick Santorum: Double Bubble or Bazooka Joe? (grunt)

5) For Newt Gingrich: Ding Dongs, or Twinkies? (grunt) ...or both? (grunt, grunt)

6) For Michelle Bachman: Could you please explain the difference between the General Relativity and Special Relativity theories? No? I said, "please."

7) For Herman Cain: There are 5 seconds left with Netanyahu guarding the high post. After an inbound pass, should Hitler drive for the stuff, or sell the drive, then pull-up for the stop-n-pop turnaround jumper?

8) For Newt Gingrich: Can you even do 10 sit-ups?

9) For Mitt Romney: Mr Fabersham, of Farnsworth & Fabersham LLC., is 5ft. 10 inches tall and has a girth of 63 inches. His arm-candy wife is 2 inches shorter with a girth 1/3 of his. What is their combined volume? (Bonus question) What is Mrs Fabersham's dress size?

10) For Rick Perry: There's 2 outs in the bottom of the ninth and the score is tied. You’re the 3rd base coach and Netanyahu is in scoring position on 2nd. Hank Williams Jr. hit’s a soft blooper to right where Hitler has been playing deep. The scouting report says Hitler is slow, given that he insists on wearing jack boots instead of cleats and he doesn't bend his knees when he runs. But, you know he has a cannon for an arm. Do you hold Netanyahu at third or wave him home?

11) For Michelle Bachman: There are 10 laps left in the Indy 500 and Hitler has a half lap lead over Netanyahu. Your last pit stop was 18 laps ago. Should you call Hitler in for a splash-n-dash or dial back on the fuel mixture?

12) For John Huntsman: Oh, are you still here?

13) For Newt Gingrich: Is it fair to call Democrats, "Socialists"? Isn’t that like calling a Ding Dong a Twinkie?

14) For Rick Santorum: Teriyaki jerky or Slim Jims? (grunt)

15) For Herman Cain, Mitt Romney, and Newt Gingrich: Given your combined backgrounds in business and snack foods, could you please explain why nobody has ever come out with a Caramel Twinkie Pizza? Discuss.

For all the candidates: (Raise your hand if in agreement) Are you willing to submit to a drug test and background check? Do you have documentation showing you have a legal right to work in the United States? Have you been convicted of a felony in the last 7 years? Is English your preferred language? Are you still listening to me, or are you just standing there doing what everyone else does? Can you be claimed as a dependant on anyone else's tax form? Do you have a high school diploma or GED? Are you capable of lifting 50 lbs, stooping, stretching, pushing, pulling, or standing in one place for long periods of time? If hired, can you conform to the rules, regulations, and code of conduct of the nation? Do you have any questions about our country?

If we determine your qualifications for this position meet our goals, we'll call you in the next week or two.

Monday, September 5, 2011

The Nibiru mystery yarn

It is Nibiru, the Death Planet, the blue star Kachina of Hopi prophesy, and it's coming to a solar object near us in 2012 - except that it isn't.

This so-called "theory" has been going around the web for a while now, but it only got my attention a few days ago. Thanks to a troll in the comments section on one of my favorite websites, I got the instructions for how to find Nibiru.

If you go to google.com/sky, type in "mercury," you get this:

mercury 2

Not much there, but then click on the infrared view:

nibiru-mercury

It is Nibiru, the Death Planet, the blue star Kachina of Hopi prophesy, except that it isn't. I think a little background info might be in order.

There is a good, if lengthy synopsis about it all on wikipedia's "Nemesis collision" page. There are two pertinent sets of facts.

In the 1980's, archaeologists looking through the fossil record noticed that "mass extinction events" seem to happen about every 26 million years. The good news is that the last one happened only 5 million years ago, so we're OK for the next 21 million.

The regularity of these events, however, got astronomers wondering if there wasn't something on a 26 million year orbit that caused them. A variety of proposals were put forward, and the hypothetical mystery object was soon dubbed "Nemesis." They haven't found anything yet, but they're still looking.

Not to let a good Doomsday scenario go to waste, some of the more fanciful among us began getting their own idea's. One of these is Nancy Lieder, who after claiming to have been abducted by aliens from Zeta Reticuli, has also been in contact with them ever since.

Now, most people might stop right here. But, not me. Oh no. I soldiered on. And I'm glad I did, because it gets better.

In the late 1990's, Ms Lieder claims she was told by the "Zeta's" that the astronomers were wrong. A large space object would crash into the Earth in 2003 and wipe out everything. The best part about it is, the Zeta's called this object "Planet X." Needless to say, 2003 came and went with no Planet X forthcoming. Apparently, the Zeta's are not only uncharacteristically droll at naming things, they're not very good at math either.

Not to worry. The Zeta's quickly regrouped and came up with a sexy new name and a new date. It was called "Nibiru", from the Babylonian word meaning crossing, and it would hit just in time for the end of the Mayan calender in 2012. What luck!

If you google "blue star kachina," you'll find all manner of doomsday stories. What you won't find are any Hopi's. If you google "Hopi," you'll find a few jewelry stores and the tribal government website. There's no blue star Kachina stories, but there is an interesting statement in Hopi Tribal Chairman LeRoy N. Shingoitewa’s “State of the Tribe” Address, where he takes a swipe at the EPA for trying to shut down the tribes coal fired power station. How times change.

"OK," you may be asking, "if the big blue thing isn't Nibiru, the Death Planet, the blue star Kachina of Hopi prophesy, then what is it?"

It's a little tricky because Google sky won't let you zoom in while in the infrared mode. You can only zoom in while in the visible light mode. But, by using the bright objects in both pictures for reference, you can zoom in to where it should be. You can see that there are stars and even galaxies. These would have to be in front of the object, otherwise you wouldn't see them.

galaxies

Either it's the largest object in the universe and very far away, or it's just a lens flare, like what you get by pointing a camera into the sun. Infrared camera's have multiple lenses too.

I have a little theory of my own about these things. I think native people get a kick out of scaring gullible white people. It's probably racist to think so, but let's face it, it's not as if they owe us any favors.

Somewhere, high on a mesa, there is a group of natives sitting on blankets around a small fire, peering into their laptops and having a good laugh. Oh, the humanity.

Saturday, August 20, 2011

It all comes down to Cheetos

It looks like the journalist/blogger kerfuffle is heating up again. Just in case, I thought I'd get in early this time.

Newsroom suffers Cheetos envy

Bob Conrad's post, which is linked at the beginning of mine, is well worth a read. The journalist/marketing war has been going on long before bloggers entered the picture.

Thursday, August 18, 2011

Listening to meteors

If you've been a little less than dazzled by the Perseid meteor shower that was more like a light sprinkle, here's something that should make up for it a little.

The fine folks at the U.S. Air Force Space Surveillance Radar in Texas recorded the sound of the meteors as they passed overhead. There is a lot of background noise, but you can definitely hear the swoosh as the meteors pass by, and the whistling echo as they pass through the atmosphere. The first photograph in the video was taken by astronaut Ron Garan, who is aboard the International Space Station, and had a much better view.



The projected count for the peak was 120 meteors per hour, or two a minute. The final count I saw was 25 per hour, or one every three minutes.

Tuesday, August 16, 2011

The conservatism of Rick Perry (?)

Governor Rick Perry of Texas is running for president. I've heard he is a conservative, but then according to the standards of the Eastern Media Establishment, anyone who talks about Jesus in public is automatically a conservative. I'm not buying it.

He used to be a Democrat, which is forgivable. A lot of people used to be Democrats, and in spite of my best efforts, some of them still are. What's troubling is that he was once the Texas Campaign Chairman for Al Gore in 1988. This bothers me a lot, but not because of Al Gore.

Governor Perry and I are roughly the same age. That means he's been around since Nixon/McGovern. Now if he voted for McGovern that's fine, so did I. Richard Nixon was a lot of things but "popular with America's youth" wasn't one of them. Besides, a day or so before the election, McGovern told some guy at an airport to "kiss my ass." That sealed my vote.

But think of all the things that happened between '72 and '88. There was Watergate, the fall of Saigon, the boat people, stagflation, the Panama Canal, the Ayatollah, the hostages, to name a few. And then there was the Reagan Revolution, eight years of it. William F. Buckley Jr. was popping up everywhere. If you weren't a small government conservative after living through all that, you were never going to be one.

What happened in the '90's to change his mind? Was it something Newt said? Did he get all excited over the prospect of a Bob Dole presidency? Was it the blue dress? I don't get it. Something's not right here.

And then there's all the talk about how he created jobs. Excuse me, but government doesn't create jobs; that's conservatism 101. He was governor while other people created jobs and he ought to make that distinction.

By 2008, Rick Perry was so conservative, he backed the pro gun control, pro abortion candidate Rudy Giuliani in the primary. What accounts for all the buzz about Rick Perry being a conservative? To find the answer, one needs to look to the left side of the Eastern Media Establishment.

Friday, August 5, 2011

News from far away places

It should be a good weekend for sky gazing as the Perseid and Aquarid meteor showers are both hitting at the same time. Unfortunately, the peak on August 12, coincides with a full moon and it will be up most of the night. This weekend we have a half moon that sets at 10:30 - 11:00.

And just to get you in the mood, check this out. (Click the full screen at bottom right for full effect).

Ocean Sky from Alex Cherney on Vimeo.



Alex Cherney lives in Australia so you won't be seeing any of these stars around here. Also of interest is his choice of the Dobsonian mounted telescope. The Dobsonian doesn't have a polar axis, and back in the days of film, was rarely, if ever, used by astro-photographers. The light gathering power of the digital camera is what makes these videos possible. Even so, this video took over a year to make. He has several other videos and some nice still shots on his website, terrastro.com.

Wednesday, August 3, 2011

The Middle Earth Investment Portfolio

I have a new post up on This is Reno. I've been trying to think of something to do with John McCain's comparison of TEA Partyers to Hobbits ever since he said it.

A tale from the Middle Earth investment portfolio

My friends, as I write this, the debauchery of the Eastern Alliance has now become the law of the land. The forces of Lord Neokeynes are once again setting about to ravage our little hamlets and plunder the bounty of our wholesome toil.


Click on the title link to read the whole thing.

Wednesday, July 20, 2011

ALMS fans at the Rolex series

Last weekend I headed out to Laguna Seca to check out the Rolex series with my brother, Steve. This series is the competition for my usual favorite, the ALMS.

The two series' are similar in that they are timed endurance races for prototypes as well as production cars. The main difference is that the Daytona class prototypes in the Rolex series are much more standardized. The advantage is lower cost to the teams, therefor, more teams and better racing. The downside is all the cars look the same with less exotic technology.

Another aspect of standardization is the focus is more on the drivers than the manufacturers and the Rolex series has some interesting drivers. David Donohue is the son of the late, great Mark Donohue, my old favorite. Alex Gurney is the son of legendary Dan Gurney. Max "Mad Max" Angelelli and Scott Pruett are also familier to race fans.

The video

Steve and I took up our customary positions at the entrance to turn 2 to watch the start. Turn 1 is a dogleg left-hander and hardly counts as a corner. The straight between 1 and 2 is the fastest part of the track. Turn 2 is one of the slower parts of the track, so there's a lot of passing and door handle scratching that goes on there, especially at the start.

There were very few yellow flags, but after the fist one, we moved to turn 5 and got there in time for the restart. It's a good place to watch, but thanks to the double fencing, not a good place to shoot video. One of these days, I'll look into trying to finagle a press pass.

Towards the end, we crossed the pedestrian bridge, stopping briefly at turn 4 on our way to turn 10. This corner is a high bank right-hander and very fast. From a driver's perspective, the straights going into and out of turn 10 are the set-up for turn 11. Turn 11 is a tight hairpin that leads onto the front straight and the start/finish line. If you're going to make a move on the guy in front of you, this is your last chance.

A couple of yellow flags late in the race bunched up the field and made for a close finish. For the record, Gurney's kid won. I still prefer the ALMS, but I'm starting to like this series too now.


Monday, July 4, 2011

About that isolationism...

I finally finished a post. It's over on This is Reno. It's not exactly a 4th of July post, since I started it 2 weeks ago, but it's about politics so I guess it's close enough.

Isolationism revisited

Wednesday, June 15, 2011

I still think I might have a chance

I don't know who this guy is and the video is a few months old, so maybe it's been around the web already. I just thought it was funny as hell and worth posting.


She's Too Good For Everyone - Watch more Funny Videos

Sunday, June 12, 2011

Le Mans livestream review

Another 24 Hours of Le Mans is in the books, and from a U.S. based fan's point of view, the Europeans have some things to work on if they are going to compete with the ALMS. Readers of this blog may remember last year I "watched" most of the ALMS season with a combination of Radio Le Mans, Live Timing and Scoring, and Twitter. This year's race in France was a somewhat similar experience. Once again, the radio and scoring sheet were the best sources of information.

Peugeot-Sport had the best livestream for several reasons. Unlike the Audi's, all three of their cars with in-car cameras finished the race. The two Audi crashes not only left them with one car, but one camera.

Peugeot also broke into TV coverage from time to time. I imagine their being a French team in a French race covered by French TV had something to do with that. Perhaps when the series moves to Nurburgring in two weeks, the Audi's will have the advantage.

Peugeot also had several cameras in the pits and a four person on-camera team. Although I don't understand a word of French, it was interesting to hear it spoken by natural speakers. It is indeed a beautiful language. Every so often, one of the commentators would give an English translation, but I eventually dropped the audio on their feed and boosted Radio Le Mans to find out what was happening. Maybe subtitles are the answer.

I'd be remiss if I didn't mention that the Peugeot feed also had an embed function, which allowed this little blogger to carry the race. Thanks for all the hits, guys!

The Audi livestream was plagued with unstable video. The constant break-ups and freeze frames got pretty tiresome. The poor quality also adversely affected the telemetry they were showing. The promised race recap every two hours never materialized. At least, I never saw one.

The two three hour long livestreams by Speed-TV were about what I expected. Speed-TV really hasn't changed much over the years. Some day, the suits in charge there will realize they can show commercials on the web just as easily as they can on TV. With so many cable companies offering hi-speed internet, it's only a matter of time before viewers are given a choice. Watching their feed only served to point out the wisdom of the ALMS switching to espn3.com.

The Live Timing and Scoring page, provided by Le Mans Org., was essential in keeping track of the teams. Features I missed were columns for Time Behind Position and Time Behind Class Leader. Rather than just showing the laps behind the over-all leader, these two features allow the viewer to determine who is catching up or falling behind. One gets a better sense of how the race is progressing than a simple lap count provides.

As for the race, it lived up to it's tradition. The mainline media will no doubt fixate on the crashes, but for the rest of us, it was 24 hours of drama. Thanks to Radio Le Mans, still the best source on the web for the European leagues.

Saturday, June 11, 2011

Peugeot live feed

Most of the commentary is in French, but every so often we get an English language recap. The video coverage is much better than the Audi site so far.


Live by Peugeot-Sport-Endurance

Friday, June 10, 2011

Le Mans livestream update and Project 56 news

I've been hunting down livestream info for the 24 hours of Le Mans. Here's what I have so far. If I find more I'll post an update. If anyone reading this knows of more, just post it in the comments section. The green flag flies at six AM Pacific Time on Saturday.

Both Peugeot and Audi will have in-car cameras in each of their three entries. The Audi stream will also have in-car telemetry, race updates every two hours, and Emanuele Pirro ( @EPirro ) updating on Twitter from the Audi pits. One can find other teams and drivers on Twitter using #LM24 and #LeMans hashtags.

After the second round of qualifying yesterday, the two teams had the top six spots on the starting grid with only 1/2 second between them over the eight mile circuit. It should be a doozy of a start. Final qualifying is today.

Most of the race will be carried on old-fashioned cable TV. Speed TV will alternate between cable and the web. Here is their schedule as I understand it. All times are Pacific.

Saturday, June 11
Le Mans 24 Hours: TV 5:30 a.m.
SPEED.com Live Streaming 8:30 a.m.
TV 12:30 p.m.
SPEED.com Live Streaming 5:00 p.m.
TV 8:00 p.m. to 6 a.m. Sunday

There will also be Live timing and scoring and flag to flag commentary on Radio Le Mans.

Another shape of things to come

After being turned down by the Indy Racing League, Project 56 applied to the ACO, the governing body of the Le mans race, to enter an experimental car in next year's race. Their application has been approved.

Project 56
Photo: ALMS


The car will be unclassified and start in last place on the grid (position 56). The delta wing shape provides stability while the short front wheel base allows high speed with less horsepower. The power plant will be a 1.6 litre turbo. Downforce is achieved on the underside of the car.

Racing legend Dan Gurney, ALMS CEO Don Panoz, and two time ALMS champions Highcroft Racing are all involved.

Tuesday, June 7, 2011

The new liberal

I've posted another opinion piece on This is Reno. As before, you can read it in its entirety by clicking the title link below. Ir's about the changing meanings of our political identifiers. I have reason to suspect that conservative Democrat and liberal Republican are about to make a comeback.

The new liberal, or part 3,284,582 in an ongoing series on our nonsensical politics

Don’t worry, this isn’t about Weinergate. I ran across a blogger I used to read back during the 2008 election. I knew her to be a Democrat, and judging from her tweets, she still is. What seemed odd, is in her profile, she now describes herself as a “fiscal conservative.” How could that be? The more I thought about it, the more I could see her point. Our political labels are about to change again. The conservative Democrats are back, and they’re changing the meaning of fiscal conservative.

Just to confirm my hunch, I checked an online dictionary, and sure enough, my suspicions were correct. Fiscal has two meanings and conservative has three. We can pick one each to make the case for a fiscally conservative Democrat.

Fiscal: of or pertaining to the public treasury

Conservative: disposed to preserve existing conditions, institutions, etc., to limit change.

Thursday, June 2, 2011

Streams in the wilderness

There is an old rule in survival guides that says if you ever become lost in the mountains, seriously lost, just walk downhill. It is nearly certain that by walking downhill, one will find a stream, which leads to a river, and where there are rivers there are people, and civilization.

It's not always true, of course. Some streams end in a pond or lake with no outlet. Oh well, at least you'll have plenty of water.

Hernando de Soto, the modern day Peruvian economist, not to be confused with the 16th century Spanish explorer, has a unique perspective on just how seriously lost we are.

The Destruction of Economic Facts

Dr. de Soto's specialty is in "shadow economies", such as Peruvian peasants before property rights reforms, among other examples. It's easy to tell that he is very much a scientific economist, gathering data, analysing and building models, and so forth. In his article, he points out that our current dilemma is not just financial, it is also a breakdown in communication and a loss of collective memory.

The complexity inherent in the system we have built over the last 150 years means repair is unlikely. There is no ready replacement either. We are seriously lost.

One small stream in this wilderness is psychology (behavioral economics). There is much debate over whether psychology is an art or a science, just as there is debate over whether economics is a science or a philosophy. Over on the Psy-Fi Blog, there is a good two part series on the ongoing battle between scientific economists and the psychologists, who seem to align more with the philosophic economists.

Economics & Psychology: The Divorce

Economics & Psychology: Reconciliation

Somewhere in this marshy mountain meadow of art, science, and philosophy, is a stream that leads to civilization. Will a technological society accept an artistic view of their economy? Possibly. Combining art, science, and sketchy information to find our way is an old tradition.

early map

Thursday, May 26, 2011

Herman Cain post

As I announced a few weeks ago, I'm trying a new way of doing things and this post is part of it. I've posted an opinion piece on This is Reno (TIR) which you can read in full by clicking on the link below. It's all subject to change, of course, depending on whether it works or not. I've already changed the other half of my new format idea, so it may only be a matter of time.

Anyway, this first one is about Republican presidential candidate Herman Cain. There's been a bit of a dust up among libertarian/conservative types about whether or not he's the real deal.

What Herman Cain wrote, and when he wrote it

Herman Cain is running for president and has quickly established himself as a TEA Party favorite. He is usually identified in the press as a former CEO of Godfather's Pizza. There is much to admire about Herman Cain. He has had a very distinguished and successful business career. What has raised some eyebrows in some conservative circles is his involvement with the Federal Reserve Bank of Kansas City (FRBKC), and specifically, his idea's on the bank bail-outs including a dismissive comment about "free market purists." Uh-oh.

Tuesday, May 24, 2011

A lap around Le Mans

The 24 hours of Le Mans is still three weeks away, and so far it looks like TVU is the best bet for a livestream. There are other possibilities, so I'm keeping my options open.

In the meantime, I found a nice video featuring an Oreca flm09 much like this one.

Oreca flm 09

The Oreca is a French built car that is made from a variety of parts suppliers. It's turned out to be very popular with teams and drivers due to its dependability and relatively low budget. It races in the LMPC class, which is the slowest of the three prototype classes, but still tops out at 180 plus.

The Circuit de la Sarthe, as the Le Mans course is called, takes place mostly on public roads. In this video, driver John Elton crosses the start/finish line at about 13 seconds in. Shortly after passing under the Dunlop Bridge, it's on to the public byways for some very long straightaways, giving the Oreca plenty of room for sixth gear. And what would a straightaway be without some hairy high speed corners at the end?

Hold on to your popcorn on a romp through the French countryside. (Click the lower right corner for full screen and crank the audio for the full effect)

Friday, May 13, 2011

Aston Martin prototype porn, a mysterious blog stat, and evidence that women are smarter than men

Crank up the volume

For those patiently waiting for the sports car world to start racing again, ALMS got some shots of the Muscle Milk Aston Martin testing at Road Atlanta. It’s unclear if they plan to race at Le Mans next month, but you can bet I’ll be seeing it in person at Laguna Seca in September. This video has no particular point or socially redeeming value. It is this weeks prototype porn.



A mystery solved (sort of)

One of the things I’ve started doing again, after not blogging for seven months, is checking my blog stats. To my surprise, I was still getting 5-10 hit’s a day just from google searches. I guess geese and Japanese robot women will always be popular.

I especially like the “recent visitor map.” I received a hit from what at first glance, appeared to be Libya. What was especially intriguing was someone there was reading my old post, How to build a corporate state using a simple yield curve.

I imagined a dusty little border town, with goats in the streets and bearded men in traditional Arab garb with AK-47’s slung over their shoulders. Somewhere within the confines of the white-washed, mud brick buildings, the revolutionary leaders were discussing my theory and plotting strategy.

Upon closer inspection, the hit seemed to come from the middle of the Chott El Fejaj, a large lake in Tunisia. OK, how about a group of rich Arabs, out on a yacht, discussing my theory and plotting revolution?

Not likely. The Chott El Fejaj is a seasonal lake that forms on a salt flat, much like the ones in Nevada, only bigger.

Chott El Fejaj
Sunrise on Chott El Fejaj by sianeth

How about a random tourist with some downtime and a nice view?

The feminists may have a point

If you're squeamish about snakes, you may not want to read this. However, if you enjoy stupid human stories, this is can't miss territory. Emily Anthes, writing on Wonderland, researches how people manage to get bit in the face by snakes. If one spends enough time in the countryside, getting bit on the ankle seems like a reasonable possibility, but on the face? Her post includes this gem:

A 24-year-old man with a medical history of mild asthma but otherwise healthy was staying in a house by the ocean for the weekend with some friends. It was early spring time (March), and during a walk on the beach, they found a Common European Adder (Vipera berus) lying in the dunes. Identification of the adder was done by a friend who was an amateur collector. The adder was captured in a box and brought back to the house.

In the evening, under heavy influence of alcohol, the man tried to kiss the adder, which bit him on the tongue.


Ms. Anthes notes that in all her research, she never found a case involving a woman. In stories like this, it's always men. Usually, drunk men. Hopefully, for the sake of humanity, drunk men at the starting point of the intelligence bell curve.

Saturday, May 7, 2011

Silver update

In my last post I mistakenly used a chart that wasn't quite as up to date as I thought, so the comparison between paper silver and physical silver wasn't accurate. My bad. Here is an updated comparison using the closing prices from Friday, May 6th.

Yearly SLV ETF closing at $34.48

slv 5-7-11

Yearly spot silver closing at $35.62

silver 5-7-11

The charts are roughly similar, with a $1/oz edge going to physical silver. Note that since August, silver has still doubled in price. Two years ago it was selling for $12/oz. If a silicon valley high tech firm posted a 50% gain followed by a 100% gain, they'd be putting the CEO's picture on the cover of Time and making movies about him. In any case, the reasons for silver still hold. I repeat:

The dollar is still in decline, the Fed is still out of control, and Wall St. and congress are still full of crooks.


From what I've read, the whole episode started when the futures market authorities raised delivery rates. Normally, speculators in the futures market never take delivery on what they buy. They either sell the contract before it expires or roll it over to be sold at a future date. With the dollar falling, many speculators were taking delivery. Once the rates were raised, the higher cost would mean less demand and the big banks and hedge funds took out short positions on both silver and gold. Once word of that got out, everybody joined in and the route was on.

I expect the spot price will bounce around in the $30 range for the next 2-3 months while the Wall St. goons take their profits and make their campaign contributions. Once the short positions are worked through, silver should start to rise again, albeit much slower. Without the speculators, it will just be us poor folk building our rainy day stashes and the cycle will repeat. At least, that's what my Chrystal Ball said.