Gold Lease Rates spiked downwards in the past couple days

This is going to sound like a bunch of babbling. Waving my arms, babbling, and pointing to a chart to say "Look! Look! Something happened! Let's watch the squiggly lines go up and down!" I don't know how to explain it much better than that, especially when I don't feel very well.

See this Kitco chart here: http://www.kitco.com/charts/g_leaserates.html

They spiked downwards, then back up again. That means that some really big important gold holder - like a government, somewhere in the world - either bought or sold some very large amount of gold, or something, all at once. It happened back in December, too. My understanding of it is so vague that I can only look at it, feel an ominous dread (or excitement, since I'm also hoping something good will come of it), and say, "What's going to happen next?" Gold lease rates are an "artificial" number created by subtracting a couple other numbers (LIBOR - GOFO). So it's hard to interpret what they mean.

Gold came out of backwardation... as far as I know. I never attempted to explain what that was about, last time when I blogged about it. To make a long story short, a couple of numbers indicated that people were afraid they wouldn't receive gold if they asked someone to deliver the real metal to them, instead of just promising it on paper.

I know just enough about this subject to know that I don't know much of anything.

Antal Fekete is the only person I know of who seems to understand the big picture, who understands what's going on with precious metals, the reasons why, and what it means for the future. I've read all of his articles, all the way back to the beginning, and I STILL don't really understand all of it.

He explained what happens whenever the federal government artificially lowers the interest rates, which is what they've been doing in order to supposedly stimulate banks to lend. Lowering the interest rates again and again is what destroys the manufacturing businesses in the USA. That's what causes our businesses to go bankrupt.

I am interested in how to create a stable economic system. This is one reason why I and other people are interested in intentional communities - that's the closest you can come to actually testing economic theories in reality, building a small-scale community with the economic system that you want to test.

I'm going to read Fekete's latest article, and I'm going to ignore what my dad told me when I saw him the other day. (He told me that I should sell my silver coins right now.)