U.S. equity futures are down at 6:30am EST. There seems to be the usual global gloom that surrounds Tuesdays for whatever reason. There are a couple of noteworthy stories out. First, from Bloomberg, Greek Prime Minister is headed to the White House to enlist President Obama in the global war on speculators. Second, in a change of heart, China decides that it doesn’t want to own gold according to this story from Marketwatch.

I find it disturbing that speculators are becoming such a tempting target for politicians. As readers can easily see from tracking this blog – speculation is very, very tough to do profitably. It is not any easier for the George Soroses of the world than it is for me (ok, maybe a little 8)). The big hedgies devote their lives to finding market opportunities and trends to exploit. They work their asses off to generate profits. The idea that the specs have some inside line on making easy money is simply not true. I think anyone who appreciates hard work, should appreciate the effort the hedge funds expend in making a living.

So it doesn’t surprise me that a Greek Prime Minister is leading the charge for an attack on speculators. I suppose that’s what we should expect from the leader of a country where tax evasion is a national sport and people get to retire at age 61. I read an opinion piece recently that said socialism was essentially evil because it conditioned a sense of entitlement within the governed population. I’ve never had a negative view of socialism before, but the behavior of the Greeks is raising my eyebrows a little.

Regarding the gold story, I’m pretty sure that if China wishes to supplant the U.S. as the world’s superpower, they are going to have to continue to increase their gold holdings for the simple reason that gold has functioned as the ultimate currency for the last 5000 years and even the Chinese can’t change that historical fact.

I am still sitting in cash and looking to get long SLV today at some point.