eric sprott is back in the market for three hundred million dollars whether physical cause when he announced his first purchase of physical in think it was october of twenty ten the price is around the sort of eighteen dollars twenty dollars level and when you consider when you think about a market this extreme physical tightness like silva does and someone comes in and demands delivery of physical in size it was no surprise to see that as a major catalyst to the run up to a new fifty dollars took place every period of about six months and i think it's very interesting that we've got backwardation and brought back buying in size and bear in mind that this three hundred million is only one fifth of the overall shelf offerings so yeah i see it as a profoundly bullish confluence of events at the moment and i have high hopes for this year all right now no well known derivatives expert janet to have a call they recently suggested both in writing and in a televised interview that there was clear manipulation and gold and silver this

manipulation she said was most evident during the options expiration months so this is that now becoming mainstream that gold and silver are openly manipulated something we've talked about before do you think there's a growing awareness that the that these prices are fake number one and what about this idea that manipulation clusters around the option expert in months i think it is becoming more accepted people when i when i discuss it people don't. look at me as a crazy person and they met on seven or eight years ago i think there's still a degree of apathy if i'm honest about about the subject but reference what janet because it was saying about option a story i think there's some truth in that but i think that the mitigation godzilla's said blowing in the obvious next trip over and you had on the floor if you want able to see what was going on it's very very clear and very mind that you know that that lawsuit that we discussed last time i came on is something people that. should revisit and reread if they have any any sort of

query about what may or may or may not be going on re the consolidated class action lawsuit about what j.p. morgan been accused of and i think because very clear that silver still has a much smaller market than gold and as a result both are being manipulated but the footprint of the manipulative behavior is much more obvious in silver yes i think there's some truth about the auction experience and certainly in the past that was an area where you would see sell off into options barry said the contract didn't expire in the money but of course. that's been blown out the water i just think that the evidence overall is overwhelming and i would say to you that. you know what we've got is the london gold pull that was around in the one nine hundred sixty s. different was them they were selling real physical into the market you know it still exists it's just a sort of tisha version of the same thing that existed all along which is a managed retreat of physical metal against paper currencies and i think really you

know it's it's now accepted by an increasing amount souls knowledgeable commentate this is going on i don't think it's hit the public yet because they you know the public is still learning about the true nature of money and what it used to be and what it will be again ok talking about the turn nature of money ben bernanke in his recent statement is talking about interest rates remaining at effectively zero through twenty fourteen and beyond so here you have a situation that you have a piece of paper that pays no interest that is subject to counterparty risk that is confiscated openly by banks like m.f. global that the rest of the world hates and is doing bilateral deals outside of the this piece of paper the u.s. dollar and i'm talking about of course what's going on with china and russia brazil or you've got gold going on or what do you what do you go for well i mean you know gold is reverting to its traditional role as the world's reserve currency max it's

very obvious in my mind i mean you think about the last hundred years they've been to global reserve currencies gold followed by the dollar and we're going back into gold again you know that's the way i see it and and i think probably the most telling thing of all is the eurozone by the germans are hand over fist in the physical market buying huge tonnage and i think it's extremely interesting that you've got the two worlds two creditor nations you know china with the u.s. and germany with the euro zone if you want to put it like that and they're out there and they're buying serious amounts and i think that you know this is a major change and i see this needing to. you know one of the better phrased. fever in two thousand and twelve i think this is emerging now i think the f. own theme comments and the way the market has reacted to those comments most most importantly because they're being all the comment the last twelve months or so the markets chosen to ignore all but i think this is all leading to. you know the reversion to the mean or whatever other way you want to put it which is gold is

money gold is the world's reserve currency it always was and it's reverting to that status right now you mentioned germany and their gold possession they've got a roughly three thousand tonnes a second biggest gold position in the world second to the u.s. however sixty percent of that bully on a cell at the new york fed and this has been confirmed at the bundesbank so in a currency war as some call it it might be difficult to get back gold back and certainly countries like venezuela are aggressively repatriating their gold and countries are talking about getting their gold back into their own countries is there are risks that the u.s. or some of our good declares financial martial law keeps germany and other european goal in new york won't let it go and and part of this emerging currency war your thoughts well if the chrissy remains in power. the way it is at the moment who knows i suppose the possibility they could try that. the german buying

are you ready the retail side the german people you know sort of going of the top of their government in the way they govern the behaving in a buying physical inside themselves over a role the big if the most important thing i thought it's for him whether or not. the new york fed gold is either there it's hypothecated four hundred times over you know whether the germans will get it back or not i think that these things live in the world of political management as opposed to what's more important which is i've said ever since i first came on and spoke to you which is that while nasa does is the people that the people go out there and effectively get ahead of the curve and stop by physical themselves and i think they can dictate the political route here and i don't think that that necessarily will be the case of course the americans have lots of military hardware to back up a potential conversation about the other nations' gold but i see that as

a fairly extreme potential possibility or outcome all right let's do a little of forecasting last year you were talking about a two thousand dollars gold price and a lot of banks our raising their their targets for gold and they're now ready to get to that seventeen or twenty one hundred dollars per ounce level what are your thoughts for twenty two our current thirteen do you still see two thousand in the carton or anywhere or do we go from there well i think it's just a linear progression would take you to two thousand i think that's a particularly big deal but the point you make about the banks is is in my opinion extremely important i think this makes a huge difference something which always throughout through this bull market when i've been investing it's been a source of enormous frustration to me when analysts come in and they say in front of you and they say yeah we like this stock is our top five. meanwhile we think gold going down one hundred dollars over the next twelve months well of course no institutional money is going to go into the market when that happens so i think the fact that the banks are projecting higher gold prices not just five percent higher

but substantially higher can lead to a major sea change in the way the market moves because ultimately the institutional generalists once the asset allocation and moving the money around you know they may well like the idea of a particular go buying stock and they may see the fact they're not paying dividends and think that's interesting but if they're also being told told by the same manner . the price is going low you're very i'd like to see any money come come in and i think that's an enormous reason why the mining so performed so badly for a long time but i think personally the fact that the banks making the big projections put the high prices whether or not you or i you know want to pick a particular line the sand is the way we're going you know going higher but i think what's more important is what the banks are saying and what that means potentially for twenty twelve ok last question in terms of these banks allocating money to to gold and silver as part of their asset allocation at the at the moment last

than two percent of the global investable assets or in precious metals which is a very small fraction versus outside and i think seven days during the last major bull market when that number got up to ten percent and beyond are those numbers correct and you see that that those numbers expanding to that seven days level of ten percent or above which of course would mean hundreds of billions of dollars now looking at this market move us you know i don't think they are correct i think you know whether you want to bring in this chat a banking system the riveted system whatever whatever you want to relate it to the type of gold investing that was going on back then is very different to the type of pressure that was the best thing you know and include silver in that as well that goes on now to be the leverage is much lower and i pretty sure that that number that you said of two percent would include. all different forms of gold and silver instruments so no i think it's lower than that and i think it has to go much higher picking a number i wouldn't do that and bear in mind that we are to to asia now where paper

currencies across across the planet all racing each other low and so i think what with being it is a paradigm shift broader than just an i think allocation you know shuffle from one to ten we think a whole paradigm shift about what money is the way the world moving it's such a big change that i think that picking a number in. a way like that is what you know i wouldn't i wouldn't wish to do that all right fair enough and then there's a limit right of time thanks so much for being on the kaiser report a pleasure as always and that's going to do it for this edition of the kaiser report was me max kaiser and stacy herbert are they my guest now nader leyland asset management is going to send me an e-mail please do so at kaiser report at r t t v that are you until next time x. guys are saying but you'll. are going.

more news today. these are the images the world has been seeing from the streets of canada. showing corporations rule the day.

welcome to the show get the real headlines with none of the mercy or can live in washington d.c. now tonight we're going to take a look at a new assessment by u.s. intelligence agencies they say that the number one threat to this country is no longer all qaeda and its affiliates but iran and the president finally publicly addresses the u.s. drone program but are his answers disingenuous christopher swift is going to join us to break it all down then while a recent new york times report concluded that corporations like apple are shipping jobs overseas because this country is failing to produce enough skilled workers

david sirota claims of that's just perpetuating an education crisis myth so he's going to get joins us to give us his take on the read it community isn't stopping after stopping sopa and pipa there's a new suggestion to create a piece of legislation of their own called the free internet act so reddit co-founder alexis ohanian is going to give us all of the details are have all that and more feet and i could and it does have happy hour but first take a look at the mainstream media has decided to miss. all right so voting is taking place in the florida primary today and the mainstream media is just going crazy over the polls in the numbers and of course newt gingrich's upcoming demise. there have been three republican contests and three different winners and today the line is drawn in the florida sand voting is underway in florida as republicans compete in the biggest primary of the campaign so far it winner takes all in the biggest contest today and the nastiest battle in

this early primary season the last polls remain open nearly ten more hours state officials there predict it will be a big turnout more than two million voters expected to vote in florida today the stakes are huge fifty delegates are up for grabs the largest haul yet the winner takes all of them and seizes momentum as the clear front runner and it looks like mitt romney's new strategy worked hole after poll shows he's going to win today by what margin does mitt romney win florida. are now we all know that they live and breathe the political horse race and they are never going to get enough but i personally have a suggestion for the mainstream media today is if you're going to spend so much time looking at various numbers then why not take a look at the numbers that are actually shocking there's a new study out today from the wesley and media project that compares political campaigns spending thus far to the same point in the two thousand and eight

elections and while we all know that money makes the world and the political cycle go round what staggering in this study is the impact that we can already see from the citizens united decision you see this study found that while spending on ads by candidates has decreased by about forty percent spending on political ads by outside groups is up sixteen hundred percent did you hear me there sixteen hundred percent and this is just for these early primaries who knows what these figures are going to look like by the time that we reach november and i give you a few more numbers there thus far in the campaigning for two thousand and twelve super pacs have spent forty four million dollars out of the two hundred seventy seven active super pacs the pro romney group restore our future has spent seventeen million dollars alone the pro gingrich group. winning our future i know these names are eerily similar aren't they well they have spent nine million dollars and of course there are always those super pacs out there that don't support a specific candidate so the two biggest conservative ones american crossroads and americans for prosperity they've spent eight point eight million on ads around the

country so far that a lot of money that's being thrown around you guys it just reminds you that even in times of recession the battle to get your interest represented is still going very strong problem of course with this kind of spending is that we don't always know where it's coming from and other cases where we do know we see the insane amount of influence of just one person can have let's not forget gingrich's super daddy sheldon adelson who single handedly has given two donations of five million dollars apiece and today we also found out who was for the most part bankrolling jon huntsman supporting super pac it was his daddy that's right his billionaire father donated one point nine million of our destiny that's the name of the super pac of the total two point six million that they spent so that seventy percent of the money and there were only ten other donors that is insane this is democracy no longer belonging to all of us to we the people but instead just a very few of the very rich people these are the numbers that we're going to see

increase and that really should be worrying us that something that we should be discussing is something that we should be questioning and have the mainstream media and all with their obsession of the numbers in the polls they still choose to miss . well did you guys know the threat from al qaeda was old news testifying before congress or an annual overview of what our sixteen intelligence agencies think are the biggest threats to the united states director of intelligence and national intelligence james clapper referred to a report from his office that concluded that al qaeda has been decentralized and the number one top threat to the u.s. is now iran referring to the alleged plot last year to assassinate the saudi ambassador in washington d.c. clapper for the first time signaled that they think this may have come from the top saying that it shows that some iranian officials probably including supreme leader ali common a have changed their calculus and are now more willing to conduct conduct an attack

in the united states in response to real or perceived u.s. actions that threaten the regime so i guess if anybody wanted to claim the war drums were beating between the u.s. and iran now or before there is no denying it now here to discuss this with me is christopher swift fellow at the university of virginia law school's center for national security law christopher thanks so much for joining us tonight great to be back. obviously we've heard a lot and you and i have been discussing you know so much of what's been happening between the u.s. and iran between the heating up of the rhetoric that we've seen but to say that iran is now the number one terror threat to the united states what happened well the first thing is that al qaeda decentralized has been massively degraded in pakistan and afghanistan the local insurgencies are still doing pretty well see the taliban and al qaeda is basically decided to shift from that theater to yemen to the horn of africa and to other places and at the same time the united states and iran have been engaged in sort of a cycle of mutual provocation with sanctions on one side and with you know threats

inside the united states on the other with everyone using their proxies and other forms of influence in order to send messages that one another and there hasn't been a lot of so we saved. bilateral communication there hasn't been a lot of negotiation between the two sides and in that kind of environment with the shifting from one thing to the next with this cycle or antagonism and provocation in the absence of diplomacy it shouldn't surprise us that the iranians are pretty wound up and we're pretty wound up about the iranians but do you think we should call them the number one threat that the u.s. faces i mean i feel like it's a little bit of a game of conveniences and here that's getting played right as a threat is touted when the administration or when the pentagon needs to specially when they need to you know push certain projects or there is or push why we need to have drone strikes in certain countries and special operations forces there well i mean you can you can make that argument and there's certainly no shortage of opportunism of that sort in the pundit talk or see i don't know if it exists in the government where they have sort of different activities on world simply they have

to answer to congress and to the public so i think their analysis tends to be slow as it is in this case with respect to al qaeda rather than fundamentally twisted or wrong in the case of iran however you know. the question as to whether they're threatening iran really depends on our timeframe if we're looking at the next two weeks the next two months maybe the next six months then yeah i'd say iran is probably a major problem but if we look at a year or two years three years ten years twenty years you change the time horizon iran starts to become less and less important why because iran is facing an internal crisis political crisis because iran is facing an internal economic crisis and because iran is facing an internal demographic crisis and all of those things are going to restrain iran's ability to make life difficult for the united states specifically and for the west in general over the long term so in the short term probably threat number one but over the long term iran's internal collapse is probably going to put them out of business or one of the things that i find particularly interesting too is that if you look at this report today if you look

at what james clapper said if they were focusing on the nuclear threat coming from iran in fact inside this report they basically said to us from everything we've seen the evidence shows they haven't decided yet what. they want to pursue but ironically weapon or not and so they're focusing more on iran perhaps launching small scale attacks they use this alleged plot before to get the saudi ambassador here in washington d.c. or maybe something more dealing with cyber security so is that going to change some of the dialogue because you know you and i always talk about this plan to talk or see like you said which is that if iran gets a nuclear weapon the entire world is going to change for example former presidential candidate just said it last week well we're always hearing from presidential candidates how if you don't do what they say or believe what they believe how the entire world is going to change i was astonished that some forums said something to the effect of if president obama wins reelection in america as we know it and this kind of rhetoric is irresponsible and it actually gets us away from the kind of analysis that allows americans to decide whether there is

a threat and whether their government is managing it properly in the case of iran i think it is likely that we're going to see a move towards the pattern of assassinations in kidnappings that iran has used in the past when it wants to send a message to the outside world there's an interesting report that came out of west point the u.s. military academy a few years ago that contrasted the approach that shia groups in the iranian government used towards terrorism versus groups like al qaida and other sunni militant groups and the sunni groups tend to go for sort of large massive theatrical large scale events mass casualty the shia groups are very targeted they want to spend to use force and violence this on a very particular message and i think what we saw with the saudi ambassador here in the united states is part of that signaling that they're doing of course the real question is what's the state of command and control inside the iranian government who's in charge of the mullahs in charge of the roads lover illusionary guard or in charge is the government in the parliament in charge my guess is some of those folks are in charge of different things on different days of the week depending on

who they happen to be meeting with what do you think there is a report in foreign affairs today that essentially started looking back at some of the history claiming that you know since two thousand and one there are members of al qaeda that were in. iran are being held there but now they kind of paint this picture as if it iran and al qaeda are working together and this is become the new safe haven and it just a bit because of some of the things that you mentioned just now between cities in between she is it just doesn't really seem to make a whole lot of sense let's distinguish what we know from what certain people think what we know is that there were in fact some al qaeda operatives including some of bin laden's family members that took shelter in iran and were allowed to shelter and built in iran after the u.s. operations in afghanistan in late two thousand and one early two thousand and two we also know that iran a lot. and some other chaps to move from afghanistan through iranian territory into iraq so we know these things have been happening and it wouldn't surprise me if there are in fact a handful of al qaeda operatives or some affiliated act individuals currently in

iran right now but the question of whether that's true or not is not so important the question is how much does it matter and at the end of the day if al qaeda is no longer the threat then ha well it is no longer that the other question is you know at the end of the day if this is in fact happening and you know to be honest with you with some some of what i've seen i think it's probably likely at the end of the day this is shamelessly opportunistic on the part of the iranian government and al qaeda let's not forget that the particular brand of sunni islam that al qaeda had here is itself to is militantly anti shia and let's not forget that the last time the iranian government accommodated chaps of this particular elke they went to iraq and what did they do they started massacring the shia as quickly as they could including pilgrims including women and children including all the rest so if iran thinks of itself as defending the interests of shia muslims all around the world and they're sort of tacitly letting out a few of the guys running around in their territory that's a major problem for them not only domestically in terms of their own politics but

in terms of their legitimacy of the the worldwide she supposedly of the worldwide shia community who the other problem is since september eleventh in the united states and europe and other places that russia china everywhere there's. in this tendency to conflate groups that are not related to one another who may actually be competitors with one another because they look the same they sound the same and they chant death to america the fact of the matter is some of these groups hate each other more than they hate us or at least as much as they hate us and the divisions between them and the distinctions between them can often be just as important if not more important than the things that superficiality superficial similarities that they're going to buy into their mess something that often gets lost i think you can see in a lot of the discussions i want to switch gears really quickly just one last question is that the president hosted this google plus event yesterday where he was taking questions from viewers and he finally decided to address a question about u.s. drone use but there he said don't worry about it the way that we use our drones is

on an incredibly tight leash and he said that there are not as many civilian casualties as people claim that there are so here we have at least a public acknowledgement from the president talking more about drones when it's not necessarily about a specific drone strike that went right and may have killed the militant or not but i feel like that answer seems a little disingenuous it depends on how you look at the answer if you look at the i'm not a i'm not an air force pilot so i can't tell you about the use of drones and what the collateral damage is and all the rest but from a legal perspective the laws of the conventions and the laws of war require you to be as focused as possible and how you target and go after a potential adversary so the extent that drones allow you to take out an individual or two or three individuals as opposed to a building or a village or an entire region there's a legal argument there that drones are not only more moral not only more effective but also somewhat legal the political side of drones is what's not getting enough attention and that is whenever you get into a fight whenever you get make the decision to move from negotiation or from threats

and coercion to actual violence there's a whole bunch of a little processes that go on drones or a new weapon we haven't figured out how they factor into that but even you know from a legal perspective at least the. i see it too is that the we just don't see a lot of information right when it comes to civilian casualties that's right at the cia it isn't public they want to acknowledge a strong program or that it even exists and then claim that there have been zero casualties and they tell us a little about it then we don't know if it's really so precise or if the casualties are you know over overrated or not overrated but you know if they try to overflow the result of that if the drones are under article town of three hundred the part of the u.s. law that allows covert operations cia activities you're not going to have that kind of oversight but if they're under article fifty if there are litter partly defense clearly then the laws of war attach the geneva conventions attach and suddenly there's more transparency yeah but at this point we just have to take their word for it right so that makes me a little bit skeptical always chris wragge got to wrap it up unfortunately i want to thank you for joining us tonight pleasure to see you thanks. are there still

much more to come tonight we're going to ask if the education system here in america is to blame for outsourcing after the break we're going to speak with davis wrote about what he calls the education crisis myth and where we should be focusing our attention instead. of people calling like you said for free and fair elections. and we're still importing from the clinton as you can hear behind me loud explosions. pretty. good it gave.

you know how sometimes you see a story and it seems so you think you understand it and then you glimpse something else you hear or see some other part of it and realize everything you thought you knew you don't know i'm tom harpur welcome to the big picture.