Good evening Ladies and Gentlemen:
Gold: $1,364.80 UP $8.40 (comex closing time)
Silver 20.16 UP 29 cents
In the access market 5:15 pm
And now for the July contract month
For the July gold contract month, we had 4 notices served upon for 400 ounces. The total number of notices filed so far for delivery: 4023 for 402,300 oz or 12.51 tonnes
In silver we had 165 notices served upon for 825,000 oz. The total number of notices filed so far this month for delivery: 847 for 4,235,000 oz
Let us have a look at the data for today
Several months ago the comex had 303 tonnes of total gold. Today, the total inventory rests at 293.802 tonnes for a loss of 9 tonnes over that period
In silver, the total open interest fell by a considerable 3321 contracts down to 211,347, AND STILL CLOSE TO AN ALL TIME RECORD. THE OI FELL DESPITE THE FACT THAT THE PRICE OF SILVER GALLOPED HIGHER BY 33 CENTS IN TUESDAY’S TRADING.In ounces, the OI is still represented by just over 1 BILLION oz i.e. 1.055 BILLION TO BE EXACT or 151% of annual global silver production (ex Russia &ex China).
In silver we had 165 notices served upon for 825,000 oz.
In gold, the total comex gold ROSE BY A WHOPPING 12,156 contracts with gold’s RISE in price YESTERDAY to the tune of $19.70. iT IS FASCINATING THAT THE BANKERS ARE REFUSING TO SUPPLY MUCH OF NEW SILVER COMEX PAPER AS THEY KNOW SOMETHING IS UP!
With respect to our two criminal funds, the GLD and the SLV:
WHAT A MOCKERY!
WHAT!!!! we had A GIGANTIC DEPOSIT OF 28.53 TONNES in gold inventory./
Total gold inventory rest tonight at: 982.44 tonnes
A MASSIVE 7.909 MILLION OZ ADDED IN SILVER INVENTORY TO THE SLV
Inventory rests at 341.453 million oz.
First, here is an outline of what will be discussed tonight:
1. Today, we had the open interest in silver fell by 3321 contracts DOWN to 211,347 despite the fact that the price of silver galloped higher by 33 cents with TUESDAY’S trading. The gold open interest rose by a huge 12,156 contracts up to 652,971 as the price of gold ROSE by $19.70 YESTERDAY.
2 a) Gold/silver trading overnight Europe, Goldcore
3. ASIAN AFFAIRS
i)Late TUESDAY night/WEDNESDAY morning: Shanghai closed UP 10.90 POINTS OR 0.36% AND ONLY BOURSE IN THE GREEN THROUGHOUT THE GLOBE / /Hang Sang closed DOWN 255.43 OR 1.23%. The Nikkei closed DOWN 290.34 POINTS OR 1.85% Australia’s all ordinaires CLOSED DOWN 0.53% Chinese yuan (ONSHORE) closed DOWN at 6.6900 /Oil FELL to 45.99dollars per barrel for WTI and 47.30 for Brent. Stocks in Europe ALL IN THE RED. Offshore yuan trades 6.69900 yuan to the dollar vs 6.6900 for onshore yuan.THE SPREAD BETWEEN ONSHORE AND OFFSHORE WIDENS AS MORE USA DOLLARS LEAVES CHINA’S SHORE
REPORT ON JAPAN SOUTH KOREA AND CHINA
a) REPORT ON JAPAN
Two reasons why Japan has lower inflation expectations:
i) huge deflation coming onto their shores from the devaluation of the Chinese yuan
ii) Japanese companies are not spending on infrastructure (capital expenditures) as they see no growth in their economy:
b) REPORT ON CHINA
Gold trading, yuan devalues again, Japanese bond yields, USA YIELDS, GERMAN YIELDS plummet across the board
last night: Chinageddon!!
( ZERO HEDGE)
4. EUROPEAN AFFAIRS
i)Panic everywhere. Two extremely important events: a)Deutsche bank and Credit Suisse two huge derivative players are crashing , and b) the yen is rising as investors bail out of assets bought, having shorted the yen. Thus we witness London properties fall in value as investors exit.
The other key signal is the Euro-USA swaps which are rising exponentially. This is a signal of huge USA DOLLAR demand which also signals a huge downdraft in asset prices. Also the Great Britain pound libor/Ted spread is rising indicating huge stress in the British financial system as banks do not want to loan to one another!
ii)No banker bonuses for our friends over in England:
( zero hedge)
iii)Today, France’s Societe Generale’s Chairman, Bini Smaghi stoked huge European banking panic by stating that people are starting to withdraw from the market. He also commented on the huge problems in the Italian banking sector. He also hints that what is needed is bail ins!
( former ECB banker, Smaghi, Bloomberg/zero hedge)
iiib) Your humour story of the day:
Italy bans short selling in Monte de Paschi for 3 months but forgets to ban credit default swaps on Monte Paschi (BMPS). Also Renzi opens his mouth and again Italian bank stocks fall!
( zero hedge)
iiic)Wow!! Renzi goes to war with the Germans. He basically states that if they think Italy has a problem wait until you see what is behind the scene at Deutsche bank. Renzi wants a bailout. The Germans want a bail in where depositors gets hosed.
Let us see who will win!
( zero hedge)
iv)We now have a 4th domino as Henderson has suspended trading in its 5 billion UK property fund:
v)BOY! this is escalating fast: We have both domino NO 5 and dominoNO 6suspend property fund redemptions:
v b)The biggest loser in all of these dominoes falling in England is Royal Bank of Scotland, this once proud central bank and probably Europe’s first central bank. On unification with Gr Britain in 1711, it became an ordinary bank. It sure looks like it will fail!( zero hedge)
vi)This is huge: Spain’s social security program will go bust in 2018 as revenues fall far from payments.( Mish Shedlock/Mishtalk.com)
5. RUSSIAN AND MIDDLE EASTERN AFFAIRS
Now Black Rock downgrades all the European banks to a sell and they now expect a huge global slowdown! No kidding!
(courtesy BlackRock/zero hedge)
Who is winning the oil export war: Russia or the Saudis?
Looks like Russia is winning;
9. PHYSICAL STORIES
i)Gold trading, yuan devalues again,Japanese bond yields plummet across the board
ii)A huge paper. I brought this to your attention yesterday but it is worth repeating. The detonation of the gold LBMA
( David Jensen)
iii)Another must read from lawyer Avery Goodman. Here he describes a very easy way to calculate the correct value of gold by taking the monetary base increase since 1944 and multiplying the gain by the old price of gold of 35.00 and he comes to a value of 5,000 plus. Of course he is assuming that the USA still has its gold:
( Avery Goodman/GATA)
iv)A must read..as the bankers are desperate. They are short 25 million oz or approx 780 metric tonnes of gold/ This represents 25% of annual global production. A 40 dollar move from 1350 to 1390 would cost 24 big banks almost 1 billion in losses. This is why they are desperate.
v)China is desperately trying to manage its currency but in the wake of BREXIT we have seen a considerable devaluation:
vi)For those of you who are following gold in the native currencies, it seems he has reached record levels or are very close to it:
10.USA STORIES WHICH MAY INFLUENCE THE PRICE OF GOLD/SILVER
i)“It Feels Like 2008”
ii)The strong USA dollar is certainly having an effect on exports: The USA trade deficit jumped in May to 41.1 billion up from 37.4 billion in April:
For the past 3 days, we have been hearing huge problems with Gr. Britain’s property funds and how these guys have stopped redemptions because of poor liquidity. Believe it or not, but it is also heading to the USA as the Commercial Mortgaged Back Security Industry just announced a huge increase in delinquencies:
( zero hedge)
iv)David Stockman is following the tea leaves and states that we are following closely events that happened in 2007/2008
( David Stockman/ContraCorner)
v)With the release of the June FOMC meeting, where the Fed was terribly uncertain of events and also they wanted to see what would happen with the BREXIT. Well bonds are well bid and yet no other material reaction to the minutes: