today violence is once again flared up. these are the images being from the streets of canada. today. from the russian capital twenty four hours a day this is the top stories this one of the world's most wanted war criminals. the fugitive general was first accused of genocide by the hague tribunal over fifteen years ago. g. eight leaders also russia to mediate an end of the libyan conflict as president and joins other major world leaders at the high level summit in france. russia calls for an international investigation into georgia's crackdown on protesters demanding

president sarkozy his resignation. police used tear gas and rubber bullets to disperse the crowds ahead. penn state military parade. with more news for you more developments from mel and the meantime ati's financial guru. takes deep into big money scandals stay with us for that. for the full story we've got it for. the biggest issues get the human voice face to face with the news makers. i am our skies are the because there are reports the global insurrection against the banker occupation is growing in velocity it's being made and

people you know in america. things are not so well people like yet lie because the price of gas hasn't hit that critical price level yet i've been talking about now for a couple years once it goes to a certain critical price all else. and then they'll join with the other countries in the global insurrection against baxter occupation let's talk about stacy her for stacy go back to the beginning of the year we did say one of the primary weapons the banks or is use against us is inflation and we do see that in our headlines today max american anger at gas prices fuel by rising household energy costs so americans are now spending twelve percent of their disposable income on energy costs up from seven point seven percent in two thousand and two a new study by clearview energy partners says early two thousand and two of course

was before the invasion of iraq when we went in there to secure a cheap oil reserve well better to work out did it that's right not only did they lie blood for oil but they screwed up. they wanted their love for oil and then they screwed up well exactly because and also the population of america he supported the invasion of course they screwed up by not looking at history and one thing you find in history is that all wars cause inflation so you might be able to secure the oil reserves but the inflationary cost of military adventure is is going to drive the price of that up anyway so i remember i remember now going back to the two thousand and one two thousand and two period remember those chalabi. he said is pitch to the pentagon and to the american white house administration was that little cost a billion dollars the cost of billion dollars you go in there you take over iraq

and then you profile all dirt in the first year with the oil revenues i go to bill for you right now it's worth three trillion dollars and they don't even get the oil so this guy chalabi he's right up there with some charles ponzi if you look up with a picture of charles policy as you put a picture of chalabi and also remember you interviewed gregory mcdonnell the energy analyst recently and one of the things you brought up is that at the tipping point will come when a certain wrong certain class of americans start spending more and more up to thirty forty fifty percent of their income on energy costs and we're starting to see that in the numbers this study shows that in mississippi residents are paying up to five seventeen percent of their disposable household incomes for energy that includes household heating and costs and gasoline but gasoline makes up the most percentage of it that's right that's what makes the third world the third world you

put fifty sixty seventy percent of your income on buying you know getting a car in food energy cooking oil and of course the first world of the first world because those people who want to spend more than ten or fifteen percent of their income on stuff to keep alive but now it's changing and the people who are in the first world are really now in the second world of the first world's occupied by the demos five thousand crowd they're the new first world and they never come down from the mountaintop retreats then the u.s. is now the second world and the third world they're still the third world so we're not just seeing the inflationary war against americans we're also seeing it in the primary area where we go to find those oil reserves mideast staggered by cost of wheat so weak prices jumped a week ago by seventeen percent. well weather in the u.s. and dryness in western europe are driving the recent rise futures jumped seven percent in one day and last week the biggest single day dollar again in more than

seven months and are now up for ninety one percent on the year so this is important because that region which we now see the uprising is happening and it was many said caused by inflation and in particular in wheat prices so tunisians for example eat more we than anyone else on the planet they eat on average four hundred seventy eight pounds per person a year compared to americans what we eat hundred seventy seven pounds who's. down there not a lot of it to good couscous most pool cues and be that but here's the thing about it you see these oil rich nations around the world like on the bed with american central planners back in one hundred seventy one degrees of petrol dollar standard when the u.s. will up the gold standard pay for the vietnam war everything was rosy for a while i mean they had oppressive regimes and dictators you know the price of gas and food was commensurate with their status as third world losers but now due to

the ricochet effect of the monetization of everything that we used to be called debt and now we've got a surfeit of cash creating huge inflation folks are getting screwed in the middle east too so it didn't work did it the whole experiment with the petro dollars it was a big crashing failure and now you're living with the not the people of course they are having the problem of the inflation but for the rulers you see their problem is that the people are looking to change the rulers they're looking for regime change so the rulers thought they were so smart in getting in bed with american foreign policies and monetary policies but now the rulers are being taken out one by one they're being taken. in the middle east north africa supreme arlan. you know greece regime change is the only answer because you're not going to teach

these dance a new trick going to suddenly become asacol the regime leaders in these countries they're all chinooks but if these prices are any indication we could and at war like france and the middle east we could see rains of terror because other able to grow enough we at home countries like egypt and tunisia by half or more of what they need from other countries and pass it along a deep discounts to their impoverished populations as an economist of the world bank said this system is not very sustainable because at these prices buying foreign we would consume about six to seven percent of egypt's revenues and then the article and our street journal. by comparison the u.s. spends a similar proportion of its revenues on the wars in afghanistan and iraq last year so again it goes back to this insanity of the guys who run all of the financial system whether in tunisia or america or britain america can't afford

a week in the donor anymore it has become the hole in the don't it. sure and homage to ascot go look at building there because you know he'll do it. you know you keep your trousers are there buddy i don't want to go what he does to the tone of. ok so to these two stories then collide in my next headline max libya britain's one billion pound war libya conflict lo and behold could cost u.k. taxpayers one billion pounds over six months as qaddafi clings on and the cost of involvement so or this is doesn't make any. cling on talk talk to the people about this part of the people doesn't make any sense well as the article notes demonstrations in support of could afy are still common and dissident groups are unwilling to engage as loyalist army so it appears that own like toonies and and egypt where they were able to overthrow their decades long dictators in

those countries in a matter of weeks. it appears that there's a little bit more support for gadhafi in libya but i want to note as well that this just seems like a pure racket because this the u.k. is more such a testing ground for this the chalabi method of selling the public on some private service whether it's running the immigration and border checks or all these n.h.s. fandango that keep on happening the boondoggles with computerized systems. to cause. these invasions throughout the middle east are very much a contractors private contractors these mercenary contractors they they make a lot of money on these and they sell these and they pitch these to the government to get involved it will only cost one hundred million pounds is what britain thought it would cost it's now to a billion and who knows what will finally end but again it's causing more inflation

for the average present in america or britain or tunisia or egypt peace there's no money of peace there's no money in peace you can make money in a peace business you can make money peacefully overturning your regime does the money and that this is a catholic church figure this out that's why they don't follow jesus jesus was about peace there's to this nobody in peace we're going to start the crusades and get this max the name of this this boondoggle that the private contractors have sold to british taxpayers operation unified protector so it was an operation unified protector so that your brand of condemnation well that's what it sounds like yes it does but it's also what the british people need is a prophylactic against excessive military spending that's of the greatest people to the american people to prophylactic against excessive military spending the need to take the entire pentagon and slip it into a giant condom prophylactically insulate the american people from being impregnated

by this ridiculously over by. lot of military spending which is causing inflation and causing the price of oil go up down get it down it's going up not down to understand that it up for us. well max yeah speaking of prophylactics china is now topping gold bug there is no better unified protector of course then gold and china's investment demand for gold more than doubled in this first quarter of two thousand and eleven compared to two thousand and ten to ninety point nine metric tons they now outpace india which is historically the biggest investor in gold in the world and i'm golden uro's they can hire as herds is all over the world as they've been telling you it's not just the chinese on the russians it's the western earth too isn't easy

boat max global gold investment demand increased by fifty two percent to three hundred sixty six point four tons in the first quarter helping offset a fifty six tonne outflow from exchange traded funds which are popular investment tools in the west so we talk about this all the time when you're protecting yourself from inflation and that insane of bankers that run the entire world every single nation on earth and every single banking system on earth why go to a paper investment which they also control you know you cash in on your e.t.f. and buy physical gold well that's what it looks like is now happening there was an outflow from the paper and an inflow into solid gold gold real. and yet despite this the mainstream media the b.b.c. the telegraph you've seen articles saying the gold bubble has popped because people like george soros are selling their paper gold the fia money prophylactic has popped causing all kinds of impregnation while gold stands rock hard

baby all right states there were thanks so much bring on the guys report thank you max togo a much more coming our way so stay right there. we'll . bring you the latest in science and technology from the rooms. we've got the future of coverage. welcome back to the kaiser report's time now to go to london and speak with ned

naylor leyland asset management ned old boy welcome back to the kaiser report good afternoon max let's talk about silver for a second here you wrote a very interesting piece about silver price. action in the seventy's were made a thousand percent move and why this is in fact indicative that we are nowhere near a bubble please start talking about those i just thought that it was something worthwhile to put out for the for the for the nervous investor which is that you know we really needed. to move metal from from wheat to strong in order to go significantly higher than we already were and there were lots of things that were going on in the background there's no question that the efforts to use made to drag all sorts of new people into the market as well but i think what i was trying to express was that last time around this happened the same exact same thing happened yet a twenty eight twenty percent. move over

a period of about two to three months which is quite normal any kind of market that goes into a seriously parabolic spike we're almost always have that moment where some of the weaker hands get shaken out and that's actually all to the good now let's just talk about what your thoughts are on the commodity mercantile exchange the raising margin requirements four times a week on. is it the normal operations to do so is it a sound policy or is it various is it to tack on so variety weigh in on this it sounds like fingernails on the blackboard to me. would be the way that i would describe it you know it's just desperation really i think it's just a sign of where we are in the cd for people like me i have been investing the whole way through the cycle so these kinds of drops don't allow me as much but yeah that kind of behavior that kind of incredible hiking certainly would suggest that something is substantially amiss in the background right now that i'm looking at

all these protests around the world in madrid in italy in. ireland in greece all over europe all over the middle east all over north africa we're talking about now . tens of millions of people and it's growing quite simply display i would imagine this number will be in the hundreds of millions not in the not too distant future based on your understanding of the size of the silver market and if my if in fact one hundred million or two hundred million or three hundred million people who are dissatisfied with the banking occupation that's destroying their lives and creating hyperinflation if each one of these folks bought an ounce of silver. what would one would that do another on a grassroots level putting aside the headphones for a second putting aside all the financial engineering putting aside all of the algorithmic trading at all the fancy high line garbage that's destroying the integrity these markets on the grassroots level you get one hundred million folks

buying an ounce of silver or more what happens to the price of silver i love this question and i'm very pleased to be able to offer my view on it i know it's now going to one hundred million which is clearly that is a big number one hundred million by now and i think you could safely say there's going to be a very very very significant effect on the i think actually the biggest effect of all max is the one just to be really awesome and thought back into what i was saying earlier just think it's like a mushroom being. movement whereby it's more of the psychological effect on all the people of you put necessarily rather than the immediate price of a purely by hundred million on one day taking it out c h is going to have a substantial effect on the price but i think it's more psychological point than a than an immediate pricing one because it you know there is no doubt that there is still. a lot more thousand dollars silver circulating in the world than there are

coinage so that you know you could make the argument that well there's an issue here with with with blanks with making one ounce coins and i think there's some there's some truth in that but it's not simply netted off by this incredible growth that russia is not going to be want in and not it's not genetic off it's it's removed completely from the table as a problem so i think one hundred million people by now it's all throughout cities or ten. well. we would be in a whole different place very quickly i asked the same question of eric sprott on the show with the example of a million ounces and his response was well you know i'm an i'm an institutional primarily institutional. money manager and you know we don't you know we don't really think in a million ounces if you know he wasn't it wasn't going to register as a seismic event based on the numbers that he is used to so i am getting another

bite at the apple here i'm looking going to trying to get from my experts like eric sprott or yourself what is the sweet spot in this curve you know a million a prick or an eric sprott is not the number one hundred million according to what i just heard you say is yes you have a very very very big event you know in the market at some point so what you know is that we know what the aboveground supply of silver is you know the demand is you know the mining output is we know what the training volume is we know all these things so what is the sweet spot what is the number of that it would take to drive one dollar up in the price of silver is it a million is it two million is two point five million that number can be extrapolated from the information that we have what is that number i'm not sure it can be extrapolated in there to be because there's too much data we don't have max i'm not sure i agree with that actually but what i would say is i actually thing maybe that's the point is these thousand ounce balls actually i think perhaps you know although yes without question the core and most important point is people

across reasonable taking some small denomination coins out of circulation i think actually the shorts are somewhat relying on this one thousand us dollars in the warehouses and i don't just mean by the way i mean you know in metals warehouses i think if if if hedge funds and investors realize the difference more clearly between physical and paper silver they'd be much more willing to pay the insurance and stories charges for thousand us dollars i think of a lot of those got locked away again i don't think a number on it but i think that would have a very very quick. effect on the market it would cause all sorts of. things that happen like for instance the bully indeed is still going to charge a whole load more for storing silver moving still because of the much more activity in the warehouse talking about the one thousand ounce bars and the warehouse we know that the comics warehouse stocks thousand hours bars is targeting now what i

don't birds are seeing there and how how much how much of a problem is that at what point does comics announce that due to a drop in inventory they're going to have to do make some other provisions but it looks like they were very close like that to me is to me is what i look like marks i mean absolutely where we got to so you know that is a very small part of the overall gold and silver market it takes an inordinate amount of interest because of the visibility of it perversely is actually the visibility of allows us to grab on to is being you know incredibly important but i think it's is just as important you know your your private billion storage business is like vomit in switzerland you know this is where high net worth hedge funds except that's where they store metal and i actually think that is probably the really really key point but yeah reference climate is no question it's getting tighter and tighter and. more and more people are watching what's going on there

but with the benefit of the backbone through to the c.m.e. it may not be about to happen you know in the next month ok so just to just give you the numbers here according to zero com x. is now down to thirty two million ounces down from eighty seven million in two thousand and nine so there's a large drawdown but i want to i want to just wrap it up here and focus in a little bit on this when you talk about the thousand pounds of bar market and it sounds to me as though you're describing really two markets a thousand ounce bar and it's just two tional market versus the one ounce retail coin market let's call it and that according to you these are on two ten. lines that don't necessarily intersect but it seems that at some point if enough of the one ounce half ounce ten pounds silver bullion coins are taken off the market in the and we already have bottlenecks and shortages in coin dealers around the world

at some point again this grassroots effort has got to bleed over into this institutional thousand ounce market because unlike paper money there is a limited supply of silver and we know that it's extraordinarily limited supply of saumur i mean we're talking about a billion ounces available half of that's tied up an e.t.s. now some of said well if the price goes i doubt you'll see silverware flying out of the kitchen cupboard and that's going to bring in another huge. supply will be materializing as we saw in the in the seventy's in the early one nine hundred eighty s. as well but even taking into consideration that number you're talking about a total market that's less than the certainly a less than one hundred billion in total ever in and that includes every silver button that's been attached to every sequin every gallon every bob mackie gallon ever paraded at radio city music hall it's still quite a bit less in size than the seven hundred trillion dollars there are in this market

which is own winding at this moment and people involved not market are looking for sound money so even give it. go ahead i think just to get a sort of try and not with a thousand ballpoint just thinking about this creepy. road ordering metal from. i'm not going to mention the name of the mining company because i shouldn't do that but from one of mine comes the kind of water silver through that speech in production i'm not sure actually would not think about it whether it would make quite a significant difference if one wanted to do some kind of mentoring programs and meet a certain number of coins if one was in the market to do that that's. removing thousand dollars from the warehouse. which could be done i mean it would require a little bit of work in the background but i don't think it's a reason why that couldn't be possible that in a way we kill two birds with one stone if you're putting more metal out there and

one out for me also removing the big balls from the from the warehouse and maybe there's something that can be done. ok ned this this is what i like about you out of the box thinking now run it by me again because i want the listeners of the viewers to understand what you're saying here run run not by the guys again where you said that and i like what you're saying is the two parallel lines between between the market and closing them is an issue and maybe that's the point maybe we need to try and make them converge by by you know supporting the private minting initiatives the likes of which you've been involved with and actually rather than securing the rule silva from i'm on making sure that the only time one coins. any some moments coins is by taking the lives of the thousands balls from the warehouse which will put pressure on them but also getting melons people

sometimes i think that could. that could so quite quite. as i think we need to look into that in a few weeks actually mice is going to be something that's worth investigating but i think i think that's a very interesting and. up until now no one's really made that connection so ned once again proven why everybody in london is talking about data leyland and the fact that he is a stark raving genius over there just got asset management and they're also talking about some of the ties that you wear because they like the fact that even though underneath. is a stark raving genius he still managed to wear the conservative ties i know to say and the max. i thank you for the compliment anyway all right well that's going to do it for this edition the kaiser and who are with me max kaiser and stacy herbert are a thing my guest ned naylor leeland of shipyard asset management and if you want to send me an e-mail please do so at times to report at r t t v dot ru until next time

this is nice guys are saying bye.