Dec 21/GOLD RISES BY $1.10 TO $1267.25/SILVER IS DOWN 2 CENTS TO $16.19/COMEX GOLD EFP’S ISSUED: 5230 CONTRACTS/SILVER COMEX EFP’S 1465 CONTRACTS/BITCOIN FALLS OVER 1045 DOLLARS TO $15,300.00/GOOD NUMBER OF SWAMP STORIES TONIGHT/

GOLD: $1267.25 up $1.10

Silver: $16.19 DOWN 2 cents

Closing access prices:

Gold $1267.00

silver: $16.14

SHANGHAI GOLD FIX: FIRST FIX 10 15 PM EST (2:15 SHANGHAI LOCAL TIME)

SECOND FIX: 2:15 AM EST (6:15 SHANGHAI LOCAL TIME)

SHANGHAI FIRST GOLD FIX: $1278.65 DOLLARS PER OZ

NY PRICE OF GOLD AT EXACT SAME TIME: $1267.95

PREMIUM FIRST FIX: $10.50

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SECOND SHANGHAI GOLD FIX: $1275.38

NY GOLD PRICE AT THE EXACT SAME TIME: $1265.55

Premium of Shanghai 2nd fix/NY:$9.83

SHANGHAI REJECTS NY /LONDON PRICING OF GOLD

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LONDON FIRST GOLD FIX: 5:30 am est $1265.85

NY PRICING AT THE EXACT SAME TIME: $1265.70

LONDON SECOND GOLD FIX 10 AM: $1264.55

NY PRICING AT THE EXACT SAME TIME. 1263.40??

For comex gold:

DECEMBER/

 NUMBER OF NOTICES FILED TODAY FOR DECEMBER CONTRACT:  21 NOTICE(S) FOR 2100 OZ.

TOTAL NOTICES SO FAR: 8830 FOR 883,000 OZ (27.465 TONNES),

For silver:

DECEMBER

129 NOTICE(S) FILED TODAY FOR

645,000 OZ/

Total number of notices filed so far this month: 6364 for 31,820,000 oz

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Bitcoin: BID $16,605/OFFER $16,724 UP $261 (morning) 

BITCOIN : BID $15,300 :  OFFER 15,425  down $1047 (CLOSING)

end

Let us have a look at the data for today

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In silver, the total open interest SURPRISINGLY FELL BY  478 contracts from 207,275 FALLING TO 203,225 DESPITE YESTERDAY’S 8 CENT RISE IN SILVER PRICING.  WE HAD TINY  COMEX LIQUIDATION. HOWEVER  WE WERE AGAIN NOTIFIED THAT WE HAD ANOTHER GOOD SIZED NUMBER OF COMEX LONGS TRANSFERRING THEIR CONTRACTS TO LONDON THROUGH THE EFP ROUTE: A RESPECTABLE  1465 EFP’S FOR MARCH (AND ZERO FOR DEC AND OTHER MONTHS) AND THUS TOTAL ISSUANCE OF 1465 CONTRACTS. HOWEVER THE MOVEMENT ACROSS TO LONDON IS NOT AS SEVERE AS IN GOLD AS THERE SEEMS TO BE A MAJOR PLAYER TAKING ON THE BANKS AT THE COMEX.  STILL, WITH THE TRANSFER OF 1465 CONTRACTS, WHAT THE CME IS STATING IS THAT THERE IS NO SILVER (OR GOLD) TO BE DELIVERED UPON AT THE COMEX AS THEY MUST EXPORT THEIR OBLIGATION TO LONDON. YESTERDAY WITNESSED 1089 EFP’S FOR SILVER ISSUED. ALSO KEEP IN MIND THAT THERE CAN BE A DELAY OF 24 HRS IN THE ISSUING OF EFP’S.

ACCUMULATION FOR EFP’S/SILVER/ STARTING FROM FIRST DAY NOTICE/FOR MONTH OF DECEMBER:

41,830 CONTRACTS (FOR 15 TRADING DAYS TOTAL 41,830 CONTRACTS OR 209.15 MILLION OZ: AVERAGE PER DAY: 2,788 CONTRACTS OR 13.943 MILLION OZ/DAY)

RESULT: A GOOD SIZED FALL IN OI COMEX DESPITE THE  8 CENT RISE IN SILVER PRICE.   WE HAD TINY COMEX SILVER LIQUIDATION BUT WE ALSO HAD A FAIR SIZED SIZED EFP ISSUANCE OF 1465 CONTRACTS  WHICH EXITED OUT OF THE SILVER COMEX AND TRANSFERRED THEIR OI TO LONDON AS FORWARDS:  FROM THE CME DATA 1465 EFP’S  WERE ISSUED TODAY (FOR MARCH EFP’S)  FOR A DELIVERABLE CONTRACT OVER IN LONDON WITH A FIAT BONUS.  WE REALLY GAINED 987 OI CONTRACTS i.e. 1465 open interest contracts headed for London (EFP’s) TOGETHER WITH A DECREASE OF 478 OI COMEX CONTRACTS. AND ALL OF THIS  HAPPENED WITH THE RISE IN PRICE OF SILVER BY 8 CENTS AND A  CLOSING PRICE OF $16.21 WITH RESPECT TO YESTERDAY’S TRADING. YET WE STILL HAVE A MASSIVE AMOUNT OF SILVER STANDING AT THE COMEX.

In ounces AT THE COMEX, the OI is still represented by just OVER 1 BILLION oz i.e. 1.016 BILLION TO BE EXACT or 145% of annual global silver production (ex Russia & ex China).

FOR THE NEW FRONT DECEMBER MONTH/ THEY FILED: 8 NOTICE(S) FOR 40,000 OZ OF SILVER

In gold, the open interest FELL BY A 1257 CONTRACTS DOWN TO 452,338 DESPITE THE FAIR SIZED RISE  IN PRICE OF GOLD YESTERDAY ($5.00).  HOWEVER,  THE TOTAL NUMBER OF GOLD EFP’S ISSUED YESTERDAY FOR TODAY  TOTALED A CONSIDERABLE  5230 CONTRACTS OF WHICH THE MONTH OF DECEMBER SAW 0 CONTRACTS AND FEB SAW THE ISSUANCE OF 5230 CONTRACTS. The new OI for the gold complex rests at 452,880. DEMAND FOR GOLD INTENSIFIES GREATLY AS WE CONTINUE TO WITNESS THE HUMONGOUS NUMBER OF EFP TRANSFERS TOGETHER WITH THE MASSIVE AMOUNT OF GOLD OUNCES STANDING FOR DECEMBER. EVEN THOUGH THE BANKERS ISSUED THESE MONSTROUS EFPS, THE OBLIGATION STILL RESTS WITH THE BANKERS TO SUPPLY METAL BUT IT TRANSFERS THE RISK  TO A LONDON BANKER OBLIGATION AND NOT A NEW YORK COMEX OBLIGATION. LONGS RECEIVE A FIAT BONUS TOGETHER WITH A LONG LONDON FORWARD.  THUS, BY THESE ACTIONS, THE BANKERS AT THE COMEX  HAVE JUST STATED THAT THEY HAVE NO APPRECIABLE METAL!! THIS IS A MASSIVE FRAUD: THEY CANNOT SUPPLY ANY METAL TO OUR COMEX LONGS BUT THEY ARE QUITE WILLING TO SUPPLY MASSIVE NON BACKED GOLD (AND SILVER) PAPER KNOWING THAT THEY HAVE NO METAL TO SATISFY OUR LONGS. LONDON IS NOW SEVERELY BACKWARD IN BOTH GOLD AND SILVER AND WE ARE WITNESSING DELAYS IN ACTUAL DELIVERIES.  IN ESSENCE WE HAVE A GOOD GAIN OF 3983 OI CONTRACTS: 1257 OI CONTRACTS DECREASED AT THE  COMEX  AND A GOOD SIZED  5230 OI CONTRACTS WHICH NAVIGATED OVER TO LONDON.

YESTERDAY, WE HAD 8815 EFP’S ISSUED.

ACCUMULATION OF EFP’S/ GOLD(EXCHANGE FOR PHYSICAL) FOR THE MONTH OF DECEMBER STARTING WITH FIRST DAY NOTICE184,591 CONTRACTS OR 18.459 MILLION OZ OR 574.15 TONNES (15 TRADING DAYS AND THUS AVERAGING: 12,306 EFP CONTRACTS PER TRADING DAY OR 1.2306 MILLION OZ/DAY)

Result: A TINY SIZED DECREASE IN OI DESPITE THE FAIR SIZED RISE IN PRICE IN GOLD TRADING YESTERDAY ($5.00). WE  HAD A GOOD SIZED  NUMBER OF COMEX LONG TRANSFERRING TO LONDON THROUGH THE EFP ROUTE: 5230. THERE OBVIOUSLY DOES NOT SEEM TO BE MUCH PHYSICAL GOLD AT THE COMEX AND YET WE REACHED THE HUGE DELIVERY MONTH OF DECEMBER. I GUESS IT EXPLAINS THE HUGE ISSUANCE OF EFP’S…THERE IS HARDLY ANY GOLD PRESENT AT THE GOLD COMEX FOR DELIVERY PURPOSES.  IF YOU TAKE INTO ACCOUNT THE 5230 EFP CONTRACTS ISSUED, WE HAD A NET GAIN IN OPEN INTEREST OF 3983  contracts:

5230 CONTRACTS MOVE TO LONDON AND A 1257 CONTRACTS DECREASED AT THE  COMEX. (in tonnes, the gain  equates to 12.38 TONNES)

we had:  21  notice(s) filed upon for 2100 oz of gold.

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With respect to our two criminal funds, the GLD and the SLV:

GLD:

Today, NO CHANGE IN GOLD INVENTORY AT THE GLD/

Inventory rests tonight: 836.02 tonnes.

SLV

 

NO CHANGE IN SILVER INVENTORY AT THE SLV:

INVENTORY RESTS AT 326.337 MILLION OZ/

end

First, here is an outline of what will be discussed tonight:

1. Today, we had the open interest in silver FELL BY A TINY SIZED 478 contracts from 207,945 DOWN  TO 203,360 (AND now A LITTLE FURTHER FROM THE NEW COMEX RECORD SET ON FRIDAY/APRIL 21/2017 AT 234,787) DESPITE THE TINY RISE IN PRICE OF SILVER OF 8 CENTS YESTERDAY . HOWEVER,OUR BANKERS  USED THEIR EMERGENCY PROCEDURE TO ISSUE ANOTHER  1465  PRIVATE EFP’S FOR MARCH (WE DO NOT GET A LOOK AT THESE CONTRACTS AS IT IS PRIVATE BUT THE CFTC DOES AUDIT THEM).  EFP’S GIVE OUR COMEX LONGS A FIAT BONUS PLUS A DELIVERABLE PRODUCT OVER IN LONDON.  WE HAD TINY COMEX SILVER COMEX LIQUIDATION. BUT, IF WE TAKE THE  OI LOSS AT THE COMEX OF 478 CONTRACTS TO THE 1465 OI TRANSFERRED TO LONDON THROUGH EFP’S  WE OBTAIN A GAIN OF  987  OPEN INTEREST CONTRACTS, AND YET WE STILL HAVE A  HUGE AMOUNT OF SILVER OUNCES THAT ARE STANDING FOR METAL IN DECEMBER (SEE BELOW). THE NET GAIN TODAY IN OZ: 4.935 MILLION OZ!!! 

RESULT: A TINY SIZED DECREASE IN SILVER OI AT THE COMEX DESPITE THE  8 CENT RISE IN PRICE (WITH RESPECT TO YESTERDAY’S TRADING).  BUT WE ALSO  HAD ANOTHER 1465 EFP’S ISSUED TRANSFERRING  COMEX LONGS OVER TO LONDON . TOGETHER WITH THE HUGE AMOUNT OF SILVER OUNCES STANDING FOR DECEMBER, DEMAND FOR PHYSICAL SILVER INTENSIFIES DESPITE THE CONSTANT RAIDS.

(report Harvey)

.

2.a) The Shanghai and London gold fix report

(Harvey)

2 b) Gold/silver trading overnight Europe, Goldcore

(Mark O’Byrne/zerohedge

and in NY: Bloomberg

3. ASIAN AFFAIRS

 

 

i)Late WEDNESDAY night/THURSDAY morning: Shanghai closed UP 12.45 points or 0.38% /Hang Sang CLOSED UP 132.97 pts or 0.45% / The Nikkei closed DOWN 25.62 POINTS OR 0.11%/Australia’s all ordinaires CLOSED DOWN 0.19%/Chinese yuan (ONSHORE) closed DOWN at 6.5840/Oil UP to 58.03 dollars per barrel for WTI and 64/42 for Brent. Stocks in Europe OPENED ALL GREEN . ONSHORE YUAN CLOSED DOWN AGAINST THE DOLLAR AT 6.5840. OFFSHORE YUAN CLOSED UP AGAINST  THE ONSHORE YUAN AT 6.5713 //ONSHORE YUAN  WEAKER AGAINST THE DOLLAR/OFF SHORE STRONGER TO THE DOLLAR/. THE DOLLAR (INDEX) IS  SLIGHTLY STRONGER AGAINST ALL MAJOR CURRENCIES. CHINA IS   HAPPY TODAY.(STRONGER MARKETS)

 

 

3a)THAILAND/SOUTH KOREA/NORTH KOREA

i)North Korea

Another North Korean soldier simply walked to the other side undetected. Twenty North Korean soldiers went looking for the defector upon which the South fired at them.  Looks like Kim will have to dismiss more soldiers

( zerohedge)

 

 

b) REPORT ON JAPAN

Bank of Japan leaves policy unchanged as expected..but they admit that inflation which is what they desperately need is weakening..

( zerohedge)

3 c  CHINA

4. EUROPEAN AFFAIRS

i)How ironic:  we now have the Swiss National Bank bailing out the firm that prints unlimited Swiss Francs

( zerohedge)

ii)Steinhoff disintegrates as its biggest shareholder is caught in a margin call death spiral
( zerohedge)

5. RUSSIAN AND MIDDLE EASTERN AFFAIRS

In a call from Donald Trump to King Salman, they both agreed that action must be forthcoming to block Iran’s aggression. Trump condemned Iran for the Houthi missile attack.   Although some parts of the missile had an Iranian logo on it, there was some parts that were American made.  There is still no proof that it was an Iranian missile

( zerohedge)

6 .GLOBAL ISSUES

 

i) MELBOURNE AUSTRALIA

 

Multiple injuries reported after a car driven by an person of Afghan descent plowed into shoppers in central Melbourne as a deliberate act.

( zerohedge)

7. OIL ISSUES

 

8. EMERGING MARKET

9. PHYSICAL MARKETS

i)fun reading:  Keith Barron is researching the two lost gold cities in Ecuador

 

( Bloomberg/GATA)

10. USA stories which will influence the price of gold/silver

i)Final 3rd quarter GDP revised slightly down from 3.3% down to 3.2%

( zerohedge)

ii)These are the people who will feel the tax reform: they end up paying considerably more tax

( Tim Knight)

iii)SWAMP STORIES

( zerohedge)

iv)Alan Dershowitz explain’s what Trump’s strategy should be with reference to Mueller.

a must read..
Alan Dershowitz/Gatestone Institute)

v)It is about time:  Dept of Justice prosecutors are now beginning to ask the FBI agents to probe Uranium One.

It looks like we will get our Special Prosecutor to nail Hillary and Bill Clinton
( zerohedge)

vi)the clock is running and they have very little time left to avoid a Government shutdown this weekend( zerohedge)

 

Let us head over to the comex:

The total gold comex open interest FELL BY A VERY TINY 1257 CONTRACTS DOWN to an OI level of 452,338 DESPITE THE RISE IN THE PRICE OF GOLD ($5.00 GAIN WITH RESPECT TO YESTERDAY’S TRADING).  WE DID HAVE MINIMAL COMEX GOLD  LIQUIDATION BUT WE DID HAVE A HUGE GAIN IN TOTAL OPEN INTEREST AS WE  HAD ANOTHER STRONG COMEX TRANSFER THROUGH THE EFP ROUTE AS THESE LONGS RECEIVED  A DELIVERABLE LONDON FORWARD TOGETHER WITH A FIAT BONUS. THE CME REPORTS THAT 0 EFPS WERE ISSUED FOR DECEMBER  AND 5230 EFP’S WERE ISSUED FOR FEBRUARY FOR A TOTAL OF 5230 CONTRACTS. THE OBLIGATION STILL RESTS WITH THE BANKERS ON THESE TRANSFERS.

ON A NET BASIS IN OPEN INTEREST WE GAINED TODAY: 3983 OI CONTRACTS IN THAT 5230 LONGS WERE TRANSFERRED AS FORWARDS TO LONDON  AND WE LOST 1257 COMEX CONTRACTS.  NET GAIN: 3983 contracts OR 398,300 OZ OR 12.39 TONNES

Result: AN SMALL SIZED DECREASE IN COMEX OPEN INTEREST DESPITE THE RISE IN THE PRICE OF GOLD TRADING  YESTERDAY ($5.00.)  WE HAD NO REAL GOLD LIQUIDATION TOTAL OPEN INTEREST GAIN ON THE TWO EXCHANGES: 4515 OI CONTRACTS…

We have now entered the  active contract month of DECEMBER. The open interest for the front month of December saw it’s open interest FALL by 222 contracts DOWN to 245.  We had 246 notices filed upon yesterday so we GAINED 24 COMEX contracts or an additional 2400 oz will not stand for delivery AT THE COMEX in this active delivery month of December AND QUEUE JUMPING INTENSIFIES

January saw its open interest LOSE  153 contracts DOWN to 1303. FEBRUARY saw a loss of 1476 contacts down to 331,453.

We had 21 notice(s) filed upon today for 2100 oz

PRELIMINARY VOLUME TODAY ESTIMATED;  109,689

FINAL NUMBERS CONFIRMED FOR YESTERDAY:  212,267

comex gold volumes are increasing dramatically

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And now for the wild silver comex results.

Total silver OI FELL BY A TINY 478 CONTRACTS  FROM 207,275 DOWN TO 203,225 DESPITE YESTERDAY’S 8 CENT GAIN IN PRICE .  HOWEVER, WE DID HAVE ANOTHER GOOD SIZED 1465 EMERGENCY EFP’S FOR MARCH ISSUED BY OUR BANKERS (ZERO FOR DECEMBER) TO COMEX LONGS WHO RECEIVED A FIAT BONUS PLUS A DELIVERABLE PRODUCT OVER IN LONDON.THE TOTAL EFP’S ISSUED: 1465.  IT SURE LOOKS LIKE THE SILVER BOYS HAVE STARTED TO MIGRATE TO LONDON FROM THE START OF DELIVERY MONTH AND CONTINUING RIGHT THROUGH UNTIL FIRST DAY NOTICE JUST LIKE WE ARE WITNESSING TODAY.  USUALLY WE NOTED THAT CONTRACTION IN OI OCCURRED ONLY DURING THE LAST WEEK OF AN UPCOMING ACTIVE DELIVERY MONTH. THIS PROCESS HAS JUST BEGUN IN EARNEST IN SILVER STARTING IN SEPTEMBER.  HOWEVER, IN GOLD, WE HAVE BEEN WITNESSING THIS FOR THE PAST 2 YEARS.  WE HAD NO  LONG SILVER LIQUIDATION AS DEMAND FOR PHYSICAL SILVER INTENSIFIES ESPECIALLY AS WE WITNESS A HUGE AMOUNT OF SILVER OUNCES STANDING FOR METAL IN DECEMBER AS WELL AS THAT CONTINUAL MIGRATION OF EFPS OVER TO LONDON. ON A PERCENTAGE BASIS THERE ARE MORE EFP’S ISSUED FOR GOLD THAN SILVER AS IT SEEMS THAT A MAJOR PLAYER WISHES TO TAKE ON THE CROOKED COMEX SHORTS.  ON A NET BASIS WE GAINED 987 OPEN INTEREST CONTRACTS:

478 CONTRACTS LOSS AT THE COMEX WITH THE ADDITION OF  1465 OI CONTRACTS NAVIGATING OVER TO LONDON.

NET GAIN: 987 CONTRACTS

We are now in the big active delivery month of December and here the OI FELL by 3 contracts DOWN to 367.  We had 8 notices filed UPON YESTERDAY so we gained 5 contracts or an additional 25,000 oz will  stand in this active COMEX delivery month of December

The January contract month FELL by 8 contracts DOWN to 1316.  February saw a gain OF 7 OI contract RISING TO 43. The March contract LOST 1948 contracts DOWN to 162,303.

We had 129 notice(s) filed  for 645,000 oz for the DECEMBER 2017 contract

INITIAL standings for DECEMBER

 Dec 21/2017.

Gold Ounces
Withdrawals from Dealers Inventory in oz   nil oz
Withdrawals from Customer Inventory in oz  
4822.05 oz
Deposits to the Dealer Inventory in oz    nil oz
Deposits to the Customer Inventory, in oz 
nil oz
No of oz served (contracts) today
 
21 notice(s)
2100 OZ
No of oz to be served (notices)
228 contracts
(22,800 oz)
Total monthly oz gold served (contracts) so far this month
8830 notices
883,000 oz
27.465 tonnes
Total accumulative withdrawals  of gold from the Dealers inventory this month   NIL oz
Total accumulative withdrawal of gold from the Customer inventory this month     xxx oz
Today we HAD  0 kilobar trans

WE HAD nil DEALER DEPOSIT:
total dealer deposits: nil oz

We had nil dealer withdrawals:
total dealer withdrawals: nil oz

we had 0 customer deposit(s):

total customer deposits nil  oz

We had 1 customer withdrawal(s)

i) OU OF INTERNATIONAL DELAWARE: 4822,05 oz

Total customer withdrawals: 4822.05 oz

we had 0 adjustment(s)

For DECEMBER:
Today, 0 notice(s) were issued from JPMorgan dealer account and 0 notices were issued from their client or customer account. The total of all issuance by all participants equates to 21 contract(s) of which 11 notices were stopped (received) by j.P. Morgan dealer and 1 notice(s) was (were) stopped/ Received) by j.P.Morgan customer account.

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To calculate the INITIAL total number of gold ounces standing for the DECEMBER. contract month, we take the total number of notices filed so far for the month (8830) x 100 oz or 883,000 oz, to which we add the difference between the open interest for the front month of DEC. (245 contracts) minus the number of notices served upon today (21 x 100 oz per contract) equals 905,400 oz, the number of ounces standing in this  active month of DECEMBER

Thus the INITIAL standings for gold for the DECEMBER contract month:

No of notices served (8809) x 100 oz or ounces + {(245)OI for the front month minus the number of notices served upon today (21) x 100 oz which equals 905,400 oz standing in this active delivery month of DECEMBER (28.16 tonnes). THERE IS  33.29 TONNES OF REGISTERED GOLD AVAILABLE FOR DELIVERY SO FAR.

WE GAINED 24 COMEX CONTRACTS STANDING OR AN ADDITIONAL 2400 OZ WILL  STAND AT THE COMEX AND QUEUE JUMPING INTNSIFIES

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ON FIRST DAY NOTICE FOR DECEMBER 2016,  THE INITIAL  GOLD STANDING:  39.038 TONNES STANDING

BY THE END OF THE MONTH:  FINAL: 29.791 TONNES STOOD FOR COMEX DELIVERY AS THE REMAINDER HAD TRANSFERRED OVER TO LONDON FORWARDS.

XXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXX

Total dealer inventory 1,070,309.229 or 33.29 tonnes (dealer gold continues to disappear)
Total gold inventory (dealer and customer) = 9,147,617.973 or 284.52 tonnes

I have a sneaky feeling that these withdrawals of gold in kilobars are being used in the hypothecating process and are being used in the raiding of gold!
The gold comex is an absolute fraud. The use of kilobars and exact weights makes the data totally absurd and fraudulent! To me, the only thing that makes sense is the fact that “kilobars: are entries of hypothecated gold sent to other jurisdictions so that they will not be short with their underwritten derivatives in that jurisdiction. This would be similar to the rehypothecated gold used by Jon Corzine at MF Global.

IN THE LAST 14 MONTHS 69 NET TONNES HAS LEFT THE COMEX.

end

And now for silver

AND NOW THE DECEMBER DELIVERY MONTH

DECEMBER INITIAL standings

 Dec 21/ 2017
Silver Ounces
Withdrawals from Dealers Inventory  nil oz
Withdrawals from Customer Inventory
1,223,729.01 oz
HSBC
JPMORGAN
Deposits to the Dealer Inventory
 600,342.800
oz
cnt
Deposits to the Customer Inventory 
 NIL oz
No of oz served today (contracts)
 129
CONTRACT(S)
(645,000 OZ)
No of oz to be served (notices)
238 contract
(1,190,000 oz)
Total monthly oz silver served (contracts) 6364 contracts

(31,820,000 oz)

Total accumulative withdrawal of silver from the Dealers inventory this month  NIL oz
Total accumulative withdrawal  of silver from the Customer inventory this month

today, we had 1 deposit(s) into the dealer account:

i) Into CNT:  600,342.800 oz

total dealer deposit: 600,342.800  oz

we had 0 dealer withdrawals:

total dealer withdrawals: nil oz

we had 0 customer withdrawal(s):

 

 

TOTAL CUSTOMER WITHDRAWAL  nil  oz

We had 2 Customer deposit(s):

i) Into HSBC: 623,731.540  oz

ii) Into JPMorgan: 599,997.470 oz

***deposits into JPMorgan have resumed again
In the month of March and February, JPMorgan stopped (received) almost all of the comex silver contracts.
why is JPMorgan bringing in so much silver??? why is this not criminal in that they are also the massive short in silver

total customer deposits: 1,223,729.01 oz

we had 0 adjustment(s)

The total number of notices filed today for the DECEMBER. contract month is represented by 129 contract(s) FOR 645,000 oz. To calculate the number of silver ounces that will stand for delivery in DECEMBER., we take the total number of notices filed for the month so far at 6364 x 5,000 oz = 31,820,0000 oz to which we add the difference between the open interest for the front month of DEC. (367) and the number of notices served upon today (129 x 5000 oz) equals the number of ounces standing.

.

Thus the INITIAL standings for silver for the DECEMBER contract month: 6364 (notices served so far)x 5000 oz + OI for front month of DECEMBER(370) -number of notices served upon today (129)x 5000 oz equals 33,010,000 oz of silver standing for the DECEMBER contract month. This is EXCELLENT for this active delivery month of November.

WE GAINED 5 CONTRACTS OR 25,000 additional OZ THAT WILL STAND AT THE COMEX

ON FIRST DAY NOTICE FOR THE DECEMBER 2016 CONTRACT WE HAD 15.282 MILLION OZ STAND.

THE FINAL STANDING: 19.900 MILLION OZ AS QUEUE JUMPING INTENSIFIED.

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ESTIMATED VOLUME FOR TODAY: 25,180

CONFIRMED VOLUME FOR FRIDAY:   66,934 CONTRACTS

YESTERDAY’S CONFIRMED VOLUME OF 66,934 CONTRACTS EQUATES TO 334 MILLION OZ OR 47.8% OF ANNUAL GLOBAL PRODUCTION OF SILVER

COMMODITY LAW SUGGESTS THAT OPEN INTEREST SHOULD NOT BE MORE THAN 3% OF ANNUAL GLOBAL PRODUCTION.  THE CROOKS ARE SUPPLYING MASSIVE PAPER TRYING TO KEEP SILVER IN CHECK.

Total dealer silver: 59.182 million
Total number of dealer and customer silver: 240.292 million oz

The record level of silver open interest is 234,787 contracts set on April 21./2017 with the price at that day at $18.42
The previous record was 224,540 contracts with the price at that time of $20.44

end

NPV for Sprott and Central Fund of Canada

1. Central Fund of Canada: traded at Negative 1.9 percent to NAV usa funds and Negative 1.7% to NAV for Cdn funds!!!!
Percentage of fund in gold 63.2%
Percentage of fund in silver:36.5%
cash .+.3%( Dec 21/2017)

2. Sprott silver fund (PSLV): NAV FALLS TO -1.53% (Dec 21 /2017)??????????????????????????????
3. Sprott gold fund (PHYS): premium to NAV RISES TO -0.53% to NAV (Dec 21 /2017 )
Note: Sprott silver trust back into NEGATIVE territory at -1.53%-/Sprott physical gold trust is back into NEGATIVE/ territory at -0.53%/Central fund of Canada’s is still in jail but being rescued by Sprott.
Sprott WINS hostile 3.1 billion bid to take over Central Fund of Canada

(courtesy Sprott/GATA)

END

And now the Gold inventory at the GLD

Dec 21′ NO CHANGE IN GOLD INVENTORY AT THE GLD/INVENTORY RESTS AT 826.02 TONNES

Dec 20/DESPITE THE GOOD ADVANCE IN PRICE TODAY/THE CROOKS RAIDED THE COOKIE JAR TO THE TUNE OF 1.18 TONNES/INVENTORY RESTS AT 836.02 TONNES

Dec 19/NO CHANGE IN GOLD INVENTORY AT THE GLD/INVENTORY RESTS AT 837.20 TONNES

Dec 18 SHOCKINGLY AFTER TWO GOOD GOLD TRADING DAYS, THE CROOKS RAID THE COOKIE JAR BY THE SUM OF 7.09 TONNES/INVENTORY RESTS AT 837.20 TONNES

Dec 15/NO CHANGES IN GOLD INVENTORY/RESTS AT 844.29 TONNES.

Dec 14/a good sized gain of 1.48 tonnes of gold into the GLD/inventory rests at 844.29 tones

Dec 13/no changes in gold inventory at the GLD/inventory rests at 842.81 tonnes

Dec 12/SURPRISINGLY NO CHANGES IN GOLD INVENTORY AT THE GLD/INVENTORY RESTS AT 842.81 TONNES

Dec 11/SURPRISINGLY NO CHANGES IN GOLD INVENTORY AT THE GLD DESPITE THE CONSTANT RAIDS ON GOLD/INVENTORY RESTS AT 842.81 TONNES

Dec 8/NO CHANGES IN GOLD INVENTORY AT THE GLD/INVENTORY RESTS AT 842.81 TONNES

Dec 7/A BIG WITHDRAWAL OF 2.66 TONNES FROM THE GLD/INVENTORY RESTS AT 842.81 TONNES

Dec 6/No changes in GOLD inventory at the GLD/Inventory rests at 845.47 tonnes

Dec 5/A WITHDRAWAL OF 2.64 TONNES FROM THE GLD/INVENTORY RESTS AT 845.47 TONNES

Dec 4/A MASSIVE DEPOSIT OF 8.56 TONNES OF GOLD INTO THE GLD/THE BLEEDING OF GLD GOLD HAS STOPPED/INVENTORY RESTS TONIGHT AT 848.11 TONNES

Dec 1/NO CHANGE IN GOLD INVENTORY AT THE GLD/INVENTORY RESTS AT 839.55 TONNES

Nov 30/no change in gold inventory at the GLD. Inventory rests at 839.55 tonnes

Nov 29/a withdrawal of 2.66 tonnes at the GLD/Inventory rests at 839.55 tonnes

NOV 28/ no change in gold inventory at the GLD/inventory rests at 842.21 tonnes

Nov 27 Strange!! we gold up by $6.40 today, we had a good sized withdrawal of 1.18 tonnes from the GLD. Here is something that is also strange: we have had exactly 1.18 tonnes of gold withdrawn from the comex on 5 separate occasions in the past 30 days..explanation?

Nov 24/no change in gold inventory at the GLD/Inventory rests at 843.09 tonnes

Nov 22/no change in gold inventory at the GLD/Inventory rests at 843.39 tonnes

xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx
Dec 21/2017/ Inventory rests tonight at 836.02 tonnes

*IN LAST 296 TRADING DAYS: 104.93 NET TONNES HAVE BEEN REMOVED FROM THE GLD
*LAST 231 TRADING DAYS: A NET 52.35 TONNES HAVE NOW BEEN ADDED INTO GLD INVENTORY.
*FROM FEB 1/2017: A NET 21.24 TONNES HAVE BEEN ADDED.

end

Now the SLV Inventory

Dec 21/NO CHANGE IN SILVER INVENTORY AT THE SLV/INVENTORY RESTS AT 326.227 MILLION OZ/

Dec 20/INVENTORY REMAINS CONSTANT AT 326.337 MILLION OZ (COMPARE WITH GLD)

Dec 19/SILVER INVENTORY REMAINS CONSTANT AT 326.337 MILLION OZ

Dec 18.2017//SILVER INVENTORY CONTINUES TO REMAIN PAT./INVENTORY REMAINS AT 326.337 MILLION OZ/

INVENTORY RESTS AT 326.337 TONNES

Dec 15/NO CHANGE IN SILVER INVENTORY AT THE SLV/INVENTORY RESTS AT 326.337 MILLION OZ/

Dec 14/a small withdrawal of 377,000 oz and that usually means to pay for fees./inventory rests at 326.337 million oz/

Dec 13/no change in silver inventory at the SLV/Inventory rests at 326.714 million oz/

Dec 12/WOW!ANOTHER STRANGE ONE: SILVER HAS BEEN DOWN FOR 10 CONSECUTIVE DAYS, YET THE SLV ADDS ANOTHER 1.415 MILLION OZ TO ITS INVENTORY. IN THAT 10 DAY PERIOD, SLV ADDS 9.584 MILLION OZ/

INVENTORY RESTS AT 326.714 MILLION OZ

Dec 11/WOW!! ANOTHER STRANGE ONE: SILVER DESPITE BEING DOWN FOR 9 CONSECUTIVE TRADING DAYS ADDS ANOTHER 944,000 OZ TO ITS INVENTORY. FROM NOV 30 UNTIL TODAY SILVER HAS BEEN DOWN EVERY DAY. HOWEVER THE INVENTORY OF SILVER HAS RISEN 8.169 MILLION OZ.

Dec 8/A HUGE DEPOSIT OF 2.642 MILLION OZ/INVENTORY RESTS AT 324.355 MILLION OZ/

Dec 7/strange!! with the continual whacking of silver, no change in silver inventory at the SLV/Inventory rests at 321.713

Dec 6/no change in silver inventory at the SLV/Inventory remains at 21.713 million oz.

Dec 5/THIS ONE HIT ME LIKE A TON OF BRICKS: SLV ADDS 2.507 MILLION OZ DESPITE THE HUGE DRUBBING SILVER TOOK TODAY. (PRICE DISCOVERY?)

Dec 4/NO CHANGE IN SILVER INVENTORY AT THE SLV

INVENTORY RESTS AT 319.207 MILLION OZ/

Dec 1/VERY STRANGE!! WITH SILVER IN THE DUMPSTER THESE PAST FEW DAYS, SLV ADDS 2.076 MILLION OZ/???

INVENTORY 319.207 MILLION OZ/

Nov 30/no changes in silver inventory despite the huge drop in price/inventory rests at 317.130 million oz

Nov 29/no changes in silver inventory at the SLV/Inventory rests at 317.130 million oz/strange!! at drop of 32 cents and no change in inventory?

Nov 28/no change in silver inventory at the SLV/Inventory rests at 317.130 million oz.

Nov 27/NO CHANGE IN SILVER INVENTORY DESPITE A ZERO GAIN IN PRICE /QUITE OPPOSITE TO GOLD WHICH SAW 1.18 TONNES OF GOLD WITHDRAWN DESPITE A RISE IN PRICE OF $6.40

Nov 24/A WITHDRAWAL OF 944,000 OZ OF SILVER FROM THE SLV//INVENTORY RESTS AT 317.130 MILLION OZ

Nov 22/no change in silver inventory at the SLV/Inventory rests at 318.074 million oz.

Dec 21/2017:

Inventory 326.337 million oz

end

6 Month MM GOFO
Indicative gold forward offer rate for a 6 month duration

+ 1.83%
12 Month MM GOFO
+ 1.97%
30 day trend

end

 

Major gold/silver trading /commentaries for THURSDAY

GOLDCORE/BLOG/MARK O’BYRNE.

GOLD/SILVER

Goldnomics Podcast – Gold, Stocks, Bitcoin in 2018. Everything Bubble Bursts?

Goldnomics Podcast – Gold, Stocks, Bitcoin in 2018. Everything Bubble Bursts?

https://player.blubrry.com/id/29580649/#time-0&darkOrLight-Light&shownotes-ffffff&shownotesBackground-444444&download-ffffff&downloadBackground-003366&subscribe-ffffff&subscribeBackground-fb8c00&share-ffffff&shareBackground-1976d2Press play to listen to podcast

In this our first GoldNomics podcast we take a look at the major financial market themes of 2017 and delve into the outlook in 2018. GoldCore CEO Stephen Flood and GoldCore’s Research Director and world renowned precious metals commentator Mark O’Byrne are interviewed by Dave Russell.

Macro-economic and geo-political developments are considered in an attempt to assess the risks of a global financial shock in the coming year and the outlook for bitcoin, stocks and gold. We cut through the financial markets jargon and look at the risks to your investment portfolio and financial wellbeing that are largely ignored in the mainstream media.

Watch, listen and subscribe below

Skip directly to one of the following discussion points on YouTube
2:20 What had the biggest impact on financial markets in 2017
6:12 What we need to watch for in 2018
6:25 Is a sharp correction on the cards for financial markets?
6:59 “The Everything Bubble! … bursts”
8:30 The effect of zero percent interest rates
8:45 The effect of “Algos” – algorithmic trading
9:35 Markets awash with liquidity. Bubbles in stocks, bonds, property & bitcoin
10:40 Turning away from fundamentals – stopping the markets pricing risks
11:20 Why investors now have to second guess central bankers
12:10 The markets are running blind because of the official sector
12:19 The effect of passive trading on the market
13:30 Is gold still capable of playing the role of Canary in the coalmine.
Why is it not reacting to the increases in risk?
15:00 We are no longer creating the same level of return in the form of GDP growth
15:50 What is going to be the banana skin for the bull market
16:00 The brewing trouble with Italian banks – what no one is talking about
17:40 The search for yield driving markets higher
18:00 The rise of populism – will the trend continue
19:25 The need for central banks to raise rates – running out of tools
21:10 The rise of corporatism – and the continued rise of inequality
21:30 The political manipulation of money
22:20 Central Banks reaching the end point?
23:02 Bitcoin and the impact on the monetary system
24:25 Bitcoin and the search for yield
25:15 Importance and the impact of the blockchain, the technology behind Bitcoin
26:35 Is there a tulip bulb style mania in Bitcoin? How high will it go, when will it crash?
29:25 Why the psychology of bubbles may suggest that bitcoin early stages of a bubble
30:55 State backed cryptographic currencies
31:55 Where are precious metals going in 2018? What will break this sideways cycle?
32:40 What are the reasons to continue to hold gold bullion in 2018
33:25 What the smart money is doing
34:40 The nature of gold as financial insurance
35:25 The paradigm shift of China and its impact on the gold price
37:45 The production costs of gold as a floor to the gold price
38:55 Why diversified investors hope the price of gold falls
40:10 Stephen, Mark and Dave’s ones to watch for 2018!

Make sure you don’t miss a single episode… Subscribe to Goldnomics Podcasts on iTunes or on YouTube

end

 

fun reading:  Keith Barron is researching the two lost gold cities in Ecuador

 

(courtesy Bloomberg/GATA)

Keith Barron struck it rich in Ecuador and now is looking for the lost cities of gold

 Section: 

By Laura Millan Lombrana and Danielle Bochove
Bloomberg News
Wednesday, December 20, 2017

Keith Barron is deep inside a Vatican library, hunkered over a 17th century tome bound in Moroccan red leather. “The country is the richest in gold in all the Indies,” reads one passage. “The natives are cannibals and very warlike, and devastated the city of Logroño de los Caballeros, massacring the Spaniards and burning the churches.”

A geologist by training, amateur historian and professional gold hunter, Barron is on a mission. Ecuador’s two “lost cities of gold” exist only in legend and in fragments of old texts like this one, written by a Spanish priest traveling through the region a half century after the settlements were destroyed.

Spain eventually gave them up for lost after dispatching more than 30 failed expeditionary forces to reclaim them. Barron and a team of researchers have spent years sleuthing around the Vatican library, the immense General Archive of the Indies, in Seville, Spain, and in small churches and libraries scattered throughout Latin America. With the aid of colonial-era chronicles and maps, they’ve narrowed the search to the Cutucú mountains, a lush jungle range 230 miles south of Quito. Buried under a thick green carpet lie the ruins of Logroño and Sevilla del Oro, two of the Empire’s most prodigious 16th century mining towns where, according to accounts at the time, laborers using primitive tools managed to extract about 4,100 Troy ounces of gold in a single year. (A Troy ounce of the precious metal is worth $1,260 at today’s prices.)

Barron, who still delights in dipping into the Jules Verne and Jack London books of his youth, certainly has a quixotic side. He is betting old-fashioned gumshoe techniques coupled with modern aerial surveys will lead him to tunnels, piles of rocks, musket bullets, horseshoes or even the bells that tolled when the cities were under attack from indigenous tribes. “If we find the cities, we find the gold,” he says. …

… For the remainder of the report:

https://www.bloomberg.com/news/features/2017-12-20/he-struck-it-rich-in-…

end

 

Russia adds another 29 tonnes to its official reserves and now its total exceeds 200 tonnes that it said it would acquire

(courtesy Lawrie Williams/Sharp Pixley)

 

 

LAWRIE WILLIAMS: Russia upping the ante in its gold reserve increases

Sanctions. What sanctions? Despite the imposition by the U.S. and some of its allies of economic sanctions against Russia over its annexation of Crimea, the Russian economy appears to be in a far better state than that of the USA. Unlike the latter Russia’s current account statistics remain stable to positive despite sanctions. The country’s economic management seems to be comfortably better than most Western economies.

And in gold reserves Russia added another 29 tonnes in November, making 2017 already the country’s highest ever year for gold reserve increases with another month still to go. In recent years Russia has been adding around 200 tonnes annually to its gold reserves, but this year has already exceeded this amount as it continues to diversify its forex holdings away from U.S. dollar dependence.

In terms of global national holdings of gold, Russia remains in sixth place behind China, but is rapidly overhauling China’s official published reserve figure of 1,842.6 tonnes – not that we believe the Chinese reported figure – See: China’s official gold reserves level – as believable as Santa Claus or the tooth fairy . Russia’s gold reserves are currently at around 1,830 tonnes so another month of similar sized gold reserve increases will see Russia leapfrogging China in the IMF world gold reserve tabulation assuming China continues to report zero increases.

Indeed with military successes in Syria and its domestic balance of payments performance, Russia seems to be running rings around the USA economically, diplomatically and militarily. It seems to be building a strong economic alliance with the world’s other superpower, China, which is now taking a significant tranche of Russia’s important oil and gas output with the construction of pipelines between the two nations. Doubtless much of the anti-Russian rhetoric in the U.S. and amongst some of its allies, as well as President Trump’s recent statement that Russia and China are the primary threat to U.S. global economic dominance and are thus competitive powers, is an attempt to change global perceptions in favour of the USA.

Russia, like China (which is why we don’t believe the latter’s gold reserve statements) tend to believe that gold will play an important role in any global economic realignment over the next few years. The U.S. is thus somewhat on the back foot in its reluctance to give any official credence to the place gold has in the world order. At the moment the U.S. remains dominant in keeping the gold price under control – but for how long given the substantial gold flows from West to East?

https://www.sharpspixley.com/articles/lawrie-williams- russia-upping-the-ante-in-its-gold-reserve- increases_275130.html

-END-

 

THEY ARE GOING IN FOR THE KILL:

(COURTESY ZEROHEDGE)

 

Goldman Is Preparing To Launch A Cryptocurrency Trading Desk

In light of the recent “blockchain” naming craze, this morning we said that the inevitable next round of corporate name changes would involve “JP Blockchain” and “Blockchain Sachs”.

Round 2: JP Blockchain vs Blockchain Sachs

While this was supposed to be a joke, as so often happens, it ended up predicting the shape of things to come because as Bloomberg reports, Goldman Sachs – using its pre-blockchain name for the time being – is in the process of setting up a trading desk to make markets in digital currencies such as bitcoin. The bank aims to get the business running by the end of June, if not earlier, two sources said. A third said Goldman is still trying to work out security issues as well as how it would hold, or custody, the assets.

Why the rush to have the world’s first dedicated institutional desk?

For the same reason that while Jamie Dimon was mocking bitcoin, Lloyd Blankfein saw an opportunity: unlike equities which retail investors have largely given up on realizing that equity capital markets are rigged and manipulated by central banks, retail investors are ever more fascinated with crypto – the price trends don’t hurt – so much so that Coinbase now has more users than Charles Schwab. To Lloyd and Goldman this spells one thing: opportunity.

As Bloomberg notes, the move positions Goldman Sachs to become the first large Wall Street firm to make markets in cryptocurrencies, “whose wild price swings and surging values have captured the public’s imagination but given pause to established institutions.”

Already, the bank is among just a few mainstream firms clearing a new breed of bitcoin futures offered by Cboe Global Markets Inc. and CME Group Inc. Citigroup Inc. and Bank of America Corp., for example, have been taking a wait-and-see approach.

Which brings us to the next evolutionary step for cryptos: direct prop and flow trading by the world’s most important bank.

Goldman Sachs is now assembling a team in New York, one of the people said. While the bank hasn’t made a decision where to house the desk, one possibility is that it will operate within the fixed-income, currencies and commodities unit’s systematic trading function, which conducts transactions electronically, two people said. Darren Cohen, in the firm’s principal strategic investments group, is also looking at opportunities, another person said.

 

In response to client interest in digital currencies, we are exploring how best to serve them,” Michael DuVally, a spokesman, said in a statement.

And since Goldman will be seeking to hook investors in during the inaugural period, guess which way the price of cryptos will move at least in the near future. (hint: not down).

Ironically, in public CEO Lloyd Blankfein has been circumspect. After tweeting two months ago that Goldman was looking at how to deal with bitcoin, in a Bloomberg Television interview just a few weeks ago, he said his bank didn’t need a bitcoin strategy yet because the digital currency is still just developing and volatile.

Surprisingly, it turns out Lloyd was lying.

END



Your early THURSDAY morning currency, Asian stock market results,  important USA/Asian currency crosses, gold/silver pricing overnight along with the price of oil Major stories overnight/9 AM EST

i) Chinese yuan vs USA dollar/CLOSED DOWN AT 6.5840 /shanghai bourse CLOSED UP AT 12.45 POINTS 0.38% / HANG SANG CLOSED UP 132.97 POINTS OR 0.45%
2. Nikkei closed DOWN 25.62 POINTS OR 0.11% /USA: YEN RISES TO 113.53

3. Europe stocks OPENED GREEN   /USA dollar index RISES TO 93.41/Euro RISES TO 1.1869

3b Japan 10 year bond yield: RISES TO . +.061/ GOVERNMENT INTERVENTION !!!!(Japan buying 100% of bond issuance)/Japanese yen vs usa cross now at 113.53/ THIS IS TROUBLESOME AS BANK OF JAPAN IS RUNNING OUT OF BONDS TO BUY./JAPAN 10 YR YIELD FINALLY IN THE POSITIVE/BANK OF JAPAN LOSING CONTROL OF THEIR YIELD CURVE AS THEY PURCHASE ALL BONDS TO GET TO ZERO RATE!!

3c Nikkei now JUST BELOW 17,000

3d USA/Yen rate now well below the important 120 barrier this morning

3e WTI:: 58.03  and Brent: 64.42

3f Gold DOWN/Yen DOWN

3g Japan is to buy the equivalent of 108 billion uSA dollars worth of bond per month or $1.3 trillion. Japan’s GDP equals 5 trillion usa./“HELICOPTER MONEY” OFF THE TABLE FOR NOW /REVERSE OPERATION TWIST ON THE BONDS: PURCHASE OF LONG BONDS AND SELLING THE SHORT END

Japan to buy 100% of all new Japanese debt and by 2018 they will have 25% of all Japanese debt. Fifty percent of Japanese budget financed with debt.

3h Oil UP for WTI and UP FOR Brent this morning

3i European bond buying continues to push yields lower on all fronts in the EMU. German 10yr bund RISES TO +.416%/Italian 10 yr bond yield UP to 1.921% /SPAIN 10 YR BOND YIELD DOWN TO 1.469%

3j Greek 10 year bond yield FALLS TO : 4.097?????????????????

3k Gold at $1264.85 silver at:16.17: 6 am est) SILVER NEXT RESISTANCE LEVEL AT $18.50

3l USA vs Russian rouble; (Russian rouble DOWN 9/100 in roubles/dollar) 58.49

3m oil into the 58 dollar handle for WTI and 64 handle for Brent/

3n Higher foreign deposits out of China sees huge risk of outflows and a currency depreciation. This can spell financial disaster for the rest of the world/China forced to do QE!! as it lowers its yuan value to the dollar/GOT A HUGE SIZED DEVALUATION SOUTHBOUND

JAPAN ON JAN 29.2016 INITIATES NIRP. THIS MORNING THEY SIGNAL THEY MAY END NIRP. TODAY THE USA/YEN TRADES TO 113.19 DESTROYING JAPANESE CITIZENS WITH HIGHER FOOD INFLATION

30 SNB (Swiss National Bank) still intervening again in the markets driving down the SF. It is not working: USA/SF this morning 0.9883 as the Swiss Franc is still rising against most currencies. Euro vs SF is 1.1729 well above the floor set by the Swiss Finance Minister. Thomas Jordan, chief of the Swiss National Bank continues to purchase euros trying to lower value of the Swiss Franc.

3p BRITAIN VOTES AFFIRMATIVE BREXIT/LOWER PARLIAMENT APPROVES BREXIT COMMENCEMENT/ARTICLE 50 COMMENCES MARCH 29/2017

3r the 10 Year German bund now POSITIVE territory with the 10 year RISING to +0.416%

The bank withdrawals were causing massive hardship to the Greek bank. the Greek referendum voted overwhelming “NO”. Next step for Greece will be the recapitalization of the banks and that will be difficult.

4. USA 10 year treasury bond at 2.484% early this morning. Thirty year rate at 2.862% /

5. Details Ransquawk, Bloomberg, Deutsche bank/Jim Reid.

(courtesy Jim Reid/Bloomberg/Deutsche bank/zero hedge)

Global Bond Rout Eases As Nervous Traders Watch For “Selling On The Tax News”, Catalan Vote

U.S. equity futures are little changed with the GOP Tax Plan now a done deal and no more daily “pricing in” of tax reform possible, as traders nerviously look to see if others will now be “selling the news”, a preview of which we got yesterday when US equity indexes closed red across the board despite Trump’s biggest legislative win to date, while bonds were spooked by the blowout in government debt needed to fund the giveaways. Having spent more than a year anticipating the bill, its actual passage proved anticlimatic for Wall Street as the Dow, S&P and Nasdaq all closed red.  Indeed, most of the action was in bond markets where yields on U.S. 10-year notes jumped to the highest since March at 2.50 percent, in the process making a bearish break of a key chart level at 2.47 percent, and leading to the biggest 3 day steepening since the Trump election.

In politics, focus now turns to avoiding a government shutdown by Saturday.

An election in Catalonia, which has become a de facto referendum on its independence movement, was another test for European assets late in the year, though there was only modest stress in Spain’s markets and none on the euro. “It (the Catalan election) cannot be ignored going into year-end,” said Orlando Green, European fixed income strategist at Credit Agricole. “But the secession movement has been significantly diminished and would need a decisive move to revive it.”

Speaking of the GOP tax bill, Trump will take his time to make it the “Trump Tax Bill” and not the “Congress Tax Bill” by signing it on January 3rd. In addition, there were comments from President Trump and his chief econ advisor, Gary Cohn, that markets have not fully priced in tax reform. Many, however, disagree, as bond investors are concerned that adding fiscal stimulus at a time of full employment will only reinforce the Federal Reserve’s determination to raise interest rates, thus pushing up short term yields. At the same time, many assume the unfunded tax cuts will lead to an explosion in government borrowing, increasing the supply of new bonds and pressuring prices across the curve. The impact is all the greater as the Fed has begun to unwind its massive bond holdings, as have central banks elsewhere.

Meanwhile, looking forward, House Republican leaders are said to be unsure if there are enough votes to pass the stop-gap measure and avert a shut-down by Saturday, while there is no schedule yet for a vote, according to lawmakers. Furthermore. House Republicans were also said to be arguing with each other over the defense spending level in the stop-gap funding bill.

However, as usual some resolution will be found in the last minute, and markets are not worried. And speaking of markets, in Europe, stocks steadied after two days of declines, with the Stoxx 600 Index rebounding into the green after earlier sliding as much as 0.4% while most of the region’s bonds continued to fall as traders found little reason for renewed optimism going into Christmas. All eyes are on Spain on Thursday, as an election day in Catalonia gives voters another chance to express their view on whether the region should press ahead with its fight to break away.

As Bloomberg writes this morning, a plunge in German government debt is spurring European stock investors to dump bond proxies, but they are showing little love for the usual suspects that benefit on such occasions – banks. Real estate and utility shares, which typically track debt moves because of their income-like properties, are among the biggest losers on the Stoxx Europe 600 Index on Thursday. Yet a gauge of lenders, that ought to benefit from rising yields, is down 0.2%. Investors are displaying caution, weighing political risks including a key vote in Catalonia where polls close early in the evening.  For the technicians, at the start of the session, the Euro Stoxx 50 fell as much as 0.5% hit by a strengthening euro and investor caution ahead of today Catalonia’s vote. Technical chart shows the index breaking below a bullish trendline started in mid-2016 and testing its 200-DMA; Euro Stoxx 50 has fallen 4.7% since a peak in early November. The Stoxx 50 has so far rebounded from this key support level. Separately, the VStoxx gauge of stock volatility has rebounded from a record low of 10.4 reached just two days ago, on December 19, and is up nearly 30% since then.

Earlier, Asian stocks traded mixed, with stock indexes in Sydney and Seoul declining, while those in Hong Kong and Shanghai rose. Australia’s ASX 200 (-0.3%) and Nikkei 225 (-0.2%) were negative as the Australian benchmark continued to pull back from near-10yr highs, while participants in Japan awaited the final BoJ policy meeting of the year which proved to be anticlimacticHang Seng (+0.6%) and Shanghai. Comp (+0.4%) were initially in the red on continued expectations of a more restrained economy as the Central Economic Work Conference statement declared that prudent monetary policy should be kept neutral and that the floodgates of monetary supply should be controlled, although Chinese stocks later showed resilience to outperform the region amid renewed speculation China’s annual GDP growth figure could surpass the 6.7% seen last year. Finally, 10yr JGBs saw some mild short covering which helped prices recover from some of this week’s bond market sell-off, although price action was very mild with an uneventful BoJ policy announcement also largely ignored from some of its recent losses amid a continuation of the pressure across global bond markets and with the 10yr yield rising to its highest since beginning of last month. Furthermore, participants are also tentative ahead of the BoJ policy announcement later.

The bond selloff that took hold this week continued even as Treasuries stabilized, with core European yields rising for a fourth session. Those in the periphery were mostly lower.

In European rates, it remains a sellers market, and with recoveries becoming fainter and less frequent. Bunds have now breached Wednesday’s low (161.58) on their way to a 161.52 base and the next downside chart level looks almost too close (161.49) to evade the clutches of bond bears. Meanwhile, Gilts have extended losses to 23 ticks at 124.13, with 124.07 now targeted as a key Fib retracement. A crumb of comfort perhaps for buyers and intraday or short term jobbers looking to buck the trend is that volumes on this leg down have been paltry even allowing for the time of the year.

In curencies, the dollar was little changed and Treasuries edged higher before the latest reading of third-quarter U.S. economic growth data and a vote to avert a government shutdown. The euro edged higher and sterling pared losses even as data showed U.K. consumer confidence slipped to a four-year low in December.  The yen fell to the lowest in a week as the Bank of Japan maintained its policy stance and Kuroda said there was no need to reconsider the current framework.

Japan’s currency dropped against all except one of its Group-of-10 peers as Kuroda said the central bank will implement additional stimulus if price momentum is weak and policy makers won’t raise rates just because the economy is good. “Our most important goal is to achieve our 2 percent inflation target at the earliest date possible,” the BOJ chief told a news conference. “We won’t raise interest rates just because the economy is improving.” Other highlights from Kuroda’s oress release:

  • Don’t see any need to change yield curve now
  • Will raise rates if stable 2% inflation becomes certain
  • BOJ’s main goal is to achieve the 2% price target

Japan’s 10-year bond yields climbed to the highest level in seven weeks before later erasing the move. “In the environment of rising global yields, the BOJ stance and policy mix, coupled with the still benign and positive risk sentiment, should keep the yen on the back foot,” said Peter Dragicevich, a currency strategist at Nomura Holdings Inc. in Singapore.

South Africa’s rand continued to whipsaw investors, reversing gains of as much as 1.1 percent after the ruling African National Congress agreed to seek a change in the constitution to allow for the expropriation of land without compensation and to nationalize the central bank.

A plunge in German government debt is spurring European stock investors to dump bond proxies, but they are showing little love for the usual suspects that benefit on such occasions — banks. Real estate and utility shares, which typically track debt moves because of their income-like properties, are among the biggest losers on the Stoxx Europe 600 Index on Thursday. Yet a gauge of lenders, that ought to benefit from rising yields, is down 0.2 percent. Investors are displaying caution, weighing political risks including a key vote in Catalonia.

As noted briefly above, in Spain, investors will be watching the outcome of regional elections in Catalonia on Thursday that give voters another chance to express their view on whether the region should press ahead with its fight to break away or remain within Spain. The vote was called in October, when Spanish Prime Minister Mariano Rajoy fired the Catalan government and dissolved the regional parliament in a bid to snuff out the secession movement. With ousted Regional President Carles Puigdemont in self-imposed exile in Brussels, the ballot may do little to settle the bitter division over Catalonia’s bid for independence — and Rajoy’s efforts to stop it. More details here.

In commodity markets, gold was underpinned by the softer dollar to stand at $1,265 an ounce. Oil prices steadied after rising on a larger-than-expected drop in U.S. inventories and the continued outage of the North Sea Forties pipeline system. U.S. crude futures CLc1 were off 11 cents at $57.97 a barrel, having rallied 53 cents overnight. Brent crude edged back 30 cents to $64.25 a barrel.

Economic data today includes the latest weekly initial jobless claims and the final revision of Q3 GDP.  Nike, Accenture and CarMax are among companies reporting earnings.

Bulletin Headline Summary from RanSquawk

  • European equities trade mostly lower across the board (Eurostoxx 50 -0.2%) as relief surrounding progress on US tax legislation is mitigated by concerns over stop-gap measures to avoid a government shutdown
  • In FX markets, the USD Index has recovered from sub-93.300 overnight lows
  • Highlights include US GDP, PCE, Philly Fed and Canadian CPI

Market Snapshot

  • S&P 500 futures up 0.1% at 2,684.25
  • STOXX Europe 600 down 0.2% to 387.65
  • MSCI Asia Pacific down 0.2% to 171.33
  • MSCI Asia Pacific ex Japan down 0.2% to 557.57
  • Nikkei down 0.1% to 22,866.10
  • Topix up 0.08% to 1,822.61
  • Hang Seng Index up 0.5% to 29,367.06
  • Shanghai Composite up 0.4% to 3,300.06
  • Sensex up 0.06% to 33,796.66
  • Australia S&P/ASX 200 down 0.3% to 6,060.36
  • Kospi down 1.7% to 2,429.83
  • German 10Y yield rose 1.7 bps to 0.422%
  • Euro up 0.08% to $1.1881
  • Italian 10Y yield rose 2.4 bps to 1.67%
  • Spanish 10Y yield rose 0.6 bps to 1.482%
  • Brent futures down 0.2% to $64.44/bbl
  • Gold spot up 0.02% to $1,265.82
  • U.S. Dollar Index unchanged at 93.31

Top Headline News from Bloomberg

  • An election in Catalonia Thursday gives voters another chance to express
    their view on whether the region should press ahead with its fight to
    break away or remain within Spain
  • U.S. Republicans want to channel momentum from the GOP’s victory on taxes into a push to overhaul the nation’s welfare programs, though some of President Trump’s advisers prefer a less controversial infrastructure plan at the top of his agenda
  • House leaders in the U.S. released a plan late Wednesday that would maintain funding for government operations through Jan. 19. The House is set to vote on a bare-bones stopgap funding plan that would avert a government shutdown on Saturday and likely force the Senate to abandon attempts to add other provisions
  • Britain’s PM May is flying to Poland to seek a Brexit ally from its new government. May faced a setback on Wednesday as her First Secretary of State Damian Green was forced to resign after an official investigation found that he’d made misleading statements about pornography
  • U.K. consumer confidence slipped to a four-year low in December and risks weakening further in 2018, according to a GfK report Thursday
  • The Bank of Japan left policy unchanged in 2017’s final meeting, retaining its unprecedented monetary stimulus as it waits for a pickup in stubbornly low inflation

Asia stocks traded mixed after another lacklustre day on Wall St where all majors finished with mild losses despite Congress passing tax reforms, as focus now turns to avoiding a government shutdown by Saturday. In addition, the latest headlines from Washington DC suggested GOP leaders were unsure if they had enough votes to pass the stop-gap measure and that there was no exact schedule yet for a vote. ASX 200 (-0.3%) and Nikkei 225 (-0.2%) were negative as the Australian benchmark continued to pull back from near-10yr highs, while participants in Japan awaited the final BoJ policy meeting of the year which proved to be anticlimactic. Hang Seng (+0.6%) and Shanghai. Comp (+0.4%) were initially in the red on continued expectations of a more restrained economy as the Central Economic Work Conference statement declared that prudent monetary policy should be kept neutral and that the floodgates of monetary supply should be controlled, although Chinese  stocks later showed resilience to outperform the region amid renewed speculation China’s annual GDP growth figure could surpass the 6.7% seen last year. Finally, 10yr JGBs saw some mild short covering which helped prices recover from some of this week’s bond market sell-off, although price action was very mild with an uneventful BoJ policy announcement also largely ignored from some  of its recent losses amid a continuation of the pressure across global bond markets and with the 10yr yield rising to its highest since beginning of last month. Furthermore, participants are also tentative ahead of the BoJ policy announcement later.

Top Asian News

  • BOJ Maintains Stimulus as Inflation Lags Behind Growth
  • China’s Didi Cashes Up to Go Global in Next Stage of Uber Battle
  • Indonesia Wins Fitch Rating Upgrade Months After S&P Move
  • Hong Kong Dollar Tumbles to Weakest Level in Nearly Two Years
  • China’s Yuan Breaks Out of Narrow Range to Hit Three-Month High
  • China Gas Shortage This Winter Means Boon for Diesel Demand
  • Melbourne Pedestrians Hit by SUV in ‘Deliberate’ Act, Police Say
  • Noble Group Gets Breather With Waiver as Debt Talks Drag On

European equities trade mixed as relief surrounding progress on US tax legislation is mitigated by concerns over stop-gap measures to avoid a government shutdown in Washington. Across the Atlantic in Europe, events continue to settle down with the only notable event for traders being today’s Catalonian election which is seen as more of a proxy for the independence campaign than a vote on domestic issues and legislation. In terms of sectors, modest underperformance has been seen in telecom and utility names with individual movers on the light side as stock specific newsflow dries up heading into year-end.

Top European News

  • Iberdrola Is Said to Consider Sale of Engineering Assets
  • BASF Says Brudermueller to Succeed Bock as CEO at Chemical Giant
  • ECB Loses Sway in Sweden With Riksbank Looking for Stimulus Exit
  • U.K. Posts Lowest November Budget Deficit Since 2007 on Tax
  • Ukraine Detains Suspected Russian Spy From Within Cabinet Office
  • Uber’s Loss in Europe Shows Trans-Atlantic Split Over Technology
  • Renault Is Said to Be Considering Successors to Ghosn as CEO

In FX markets, the USD Index has recovered from sub-93.300 overnight lows, but remains largely unimpressed by the passage of the tax reform bill through Congress as the focus swiftly shifts to more immediate financial matters and the looming threat of a Government shutdown. Hence, the DXY looks prone to more downside pressure towards 93.000 while unable to mount a sustained return to 93.500+ levels. Eur/Usd has slipped back from peaks just above 1.1900, having respected or rejected further gains beyond a key chart fibo around 1.1904 after clearing resistance at 1.1863 late on Wednesday. Cable remains unable to maintain 1.3400 status or higher amidst the latest UK political upheaval. AUD and NZD holding just below recent recovery highs around 0.7660 and 0.7000 vs the US Dollar respectively, with the Kiwi deriving some support from stronger than consensus GDP data overnight, and upgrades to the previous quarter.

In commodities, WTI and Brent crude futures have pulled away from best levels to move into negative territory with reports from Ineos suggesting that repairs on the Forties pipeline are going well and work will be completed by Christmas. Elsewhere, the metals complex has been fairly uneventful with gold giving up its mild early gains, copper trading sideways amid an indecisive risk tone. Closure of Libyan oil ports (Es Sider, Zueitina and Brega) due to bad weather – sources.

Looking at the day ahead, we’ll get the third and final revision for Q3 GDP in the US, while the October FHFA house price index and November leading index will also be out across the pond. In Europe December confidence indicators in France and November public sector net borrowing data in the UK are due. Also worth keeping an eye on will be the regional elections in Catalonia.

US Event Calendar

  • 8:30am: Philadelphia Fed Business Outlook, est. 21, prior 22.7
  • 8:30am: GDP Annualized QoQ, est. 3.3%, prior 3.3%; Personal Consumption, est. 2.3%, prior 2.3%; Core PCE QoQ, est. 1.4%, prior 1.4%
  • 8:30am: Initial Jobless Claims, est. 233,000, prior 225,000; Continuing Claims, est. 1.9m, prior 1.89m
  • 8:30am: Chicago Fed Nat Activity Index, est. 0.5, prior 0.7
  • 9am: FHFA House Price Index MoM, est. 0.4%, prior 0.3%
  • 9:45am: Bloomberg Consumer Comfort, prior 51.3; Economic Expectations, prior 53
  • 10am: Leading Index, est. 0.4%, prior 1.2%

DB’s Jim Reid concludes the overnight wrap

Welcome to the shortest/longest day of the year depending on where you are. It
might feel like the latter to me as I had a rare night out last night and I’m struggling
to keep my eyes open typing this. To be honest though after a large meal and a few
beers I felt exhausted and excused myself at a sociable time so I could collapse in
bed. What the 20, 25, 30 and maybe 35 year old version of me would have made
of such behaviour is anyone’s guess. Problem is I’m doing the same thing again
on Saturday with a different crowd and I’m already feeling tired thinking about it.
Two nights out a year on my own is too much these days.

Talking of sleepiness, bond markets have certainly woken from their 2017
slumber as we hit the home stretch of the year. Indeed 10 year US Treasuries
nudged up against 2.50% last night (closed 2.497%), +3.3bp higher on the day
and +10.3bp over two days. For all the talk about bond yields being resolutely
anchored, and with many in the market struggling to work out what could drive
yields higher, it’s interesting that there have only been 11 trading days in 2017
where US 10 year yields have closed higher than last night’s levels.

For comparison, Bund yields have closed higher 92 days in 2017 but this would
have been 191 had we calculated on Monday night before we moved from
around 0.3% to the 0.403% close last night (+2.7bp on the day). Elsewhere, Gilts
slightly underperformed (+4.6bp) while the US 2s10s steepened c3bp to 63.9bp
yesterday.

We went through the main reasons for the sell-off yesterday but the final passing
of the US tax bill by the Senate and then the revote by the House meant that
Mr Trump got his tax bill delivered to him by Xmas. Although expected now for
a few days, the final passage seemed to add another reason for the sell off to
continue. Notably, President Trump is expected to sign the bill into law on 3
January to ensure automatic spending cuts to Medicare and other programs
don’t take effect.

Over in Spain, Catalonia will hold its regional election today with polls showing
neither side will win a clear majority. Bloomberg noted the median results of the
seven surveys published on the final day of polling showed the separatist bloc
could get 47% of the votes and those against independence could get 44%. On
an individual party basis, the pro-Spain Ciudadanos Party could win 23% of the
votes, then closely followed by the pro-separatist party Esquerra Republicana at
22%. Indeed it feels like a neck and neck race.

In Japan, the BOJ has left its monetary stimulus on hold – as widely expected.
Notably, the vote on continuing asset purchases was unanimous but the vote on
rates was 8-1 with the new member Mr Kataoka dissenting. There could be more
clues for 2018 as Governor Kuroda will hold a press conference at 3:30pm (Tokyo
time, 5:30am UK time and as we go to print).

This morning in Asia, markets are mixed. The Hang Seng (+0.45%) and China’s
CSI 300 (+1.0%) are both up while the Nikkei (-0.07%) and Kospi (-1.56%) are
down, with the latter impacted by weakness in Samsung’s share price (-3.2%) as
we type. Treasuries are slightly firmer with UST 10y trading c1.5bp lower.

Now recapping other markets performance from yesterday. US bourses
softened with the S&P 500 (-0.08%), Dow (-0.11%) and Nasdaq (-0.04%) all
marginally lower. Within the S&P, losses were led by real estate and utilities with
partial offsets from the energy and telco sector. European markets also retreated,
with the Stoxx 600 (-0.68%), DAX (-1.11%) and FTSE (-0.25%) all down, partly
impacted by the higher EUR and weakness in tech (-1.11%) stocks. The VIX fell
for the first time in three days to 9.72 (-3.09%).

Turning to currencies, the US dollar index and Sterling dipped 0.09% and 0.07%
respectively, while the Euro strengthened 0.26%. In commodities, WTI oil rose
0.92% following EIA data showed that US oil stockpiles fell the most in four
months. Elsewhere, precious metals edged 0.3% higher (Gold +0.31%; Silver
+0.34%) and other base metals also increased modestly (Zinc +0.41%; Aluminium
+0.72%; Copper +1.23%).

Away from the markets and onto China, where its’ Central Economic Work
Conference (CEWC) has now concluded. Our China economist noted the press
release sends conflicting messages. It reiterates the importance of maintaining
stability, which suggests the economic growth target will stay at 6.5%. However,
it also indicates that the fiscal policy stance will not be as supportive as in
2017. While the central government deficit may stay near 3% of GDP, the
statement talked of strengthening “local government debt management”. The
statement also suggests that containing financial risks ranks at the top of policy
priorities, together with poverty reduction and environmental protection. Overall,
our economists maintain their view that growth will slow in 1H given the tighter policy stance, and the government will loosen policy in Q2. Refer to the link for
more details.

Over in Germany, Ms Merkel’s CDU/CSU bloc and SPD have put out a joint
statement noting exploratory talks to form the next Government will begin on
7 January, with the aim of reaching a preliminary agreement by 12 January. It
was unclear whether the talks will focus on a grand coalition or a minority led
government, although party officials noted “good discussions in an atmosphere
of trust”. Earlier on, Norbert Lammert, the former president of Germany’s lower
house of Parliament for Ms Merkel’s CDU during 2005 to 2017 seemed less
convinced, he noted “the constant declarations that there will definitely be a
grand coalition are the surest way to stop one”.

In the US, negotiations to avoid a partial government shutdown from this
Saturday are evolving without firm offers from either side. That said, Senate
Majority Leader McConnell didn’t seem to be too worried. He noted a shutdown
is “not going to happen” as “we’ll work it out, we always do”. Elsewhere, when
asked if the tax bill will pay for itself, House speaker Ryan noted “nobody knows
the answer to that question, because that’s in the future”. Looking into 2018, he
added that Congress will focus on “getting people from welfare to work” and give
the States more flexibility with Medicaid.

Turning back to Brexit. In response to EU Chief negotiator Barnier’s earlier
comments of no cherry picking of rules for Brexit talks, particularly for financial
service firms, the BOE Governor Carney argued that was too negative, noting that
“I don’t accept that just because it has not been done in the past, it can’t be done
in the future”. After all, “the City of London is actually the banker for Europe”
as UK’s PM May noted in her parliamentary address yesterday. Elsewhere, PM
May’s effective deputy Damina Green has resigned, adding to the recent turnover
in her cabinet.

Before we take a look at today’s calendar, we wrap up with the other data
releases from yesterday. In the US, the November existing home sales were
above market and rose 5.6% mom to 5.81m (vs. 5.53m expected) – the highest
in c11 years. Across Europe, Germany’s November PPI was a tad below
expectations at 0.1% mom (vs. 0.2%) and 2.5% yoy (vs 2.6%). Elsewhere, the
UK’s December CBI retail report survey was in line at 20. In Sweden, the Riksbank
left its cash rate on hold at -0.5% as was widely expected. The Bank confirmed
that its QE bond purchase programme will end but still pledged support for the
debt markets into early 2019, with the bank planning to reinvest c65bn Kronor
in returns and front-load investments from maturing debt. The Bank continues to
forecast a gradual rise in its policy rate from the middle of next year.

Looking at the day ahead, all eyes will be on BOJ Governor Kuroda’s press
conference which you’ll know more about by the time you read this. Away from
that we’ll get the third and final revision for Q3 GDP in the US, while the October
FHFA house price index and November leading index will also be out across the
pond. In Europe December confidence indicators in France and November public
sector net borrowing data in the UK are due. Also worth keeping an eye on will
be the regional elections in Catalonia

3. ASIAN AFFAIRS

i)Late WEDNESDAY night/THURSDAY morning: Shanghai closed UP 12.45 points or 0.38% /Hang Sang CLOSED UP 132.97 pts or 0.45% / The Nikkei closed DOWN 25.62 POINTS OR 0.11%/Australia’s all ordinaires CLOSED DOWN 0.19%/Chinese yuan (ONSHORE) closed DOWN at 6.5840/Oil UP to 58.03 dollars per barrel for WTI and 64/42 for Brent. Stocks in Europe OPENED ALL GREEN . ONSHORE YUAN CLOSED DOWN AGAINST THE DOLLAR AT 6.5840. OFFSHORE YUAN CLOSED UP AGAINST  THE ONSHORE YUAN AT 6.5713 //ONSHORE YUAN  WEAKER AGAINST THE DOLLAR/OFF SHORE STRONGER TO THE DOLLAR/. THE DOLLAR (INDEX) IS  SLIGHTLY STRONGER AGAINST ALL MAJOR CURRENCIES. CHINA IS   HAPPY TODAY.(STRONGER MARKETS)

3 a NORTH KOREA/USA

NORTH KOREA/

 

Another North Korean soldier simply walked to the other side undetected. Twenty North Korean soldiers went looking for the defector upon which the South fired at them.  Looks like Kim will have to dismiss more soldiers

 

(courtesy zerohedge)

 

 

3 b  JAPAN

 

Bank of Japan leaves policy unchanged as expected..but they admit that inflation which is what they desperately need is weakening..

(courtesy zerohedge)

Bank Of Japan Leaves Policy Unchanged As Expected – Admits “Inflation Weakening”

As expected, The Bank of Japan left all of its various machinations of monetary policy unchanged with Kataoka the lone dissenter (preferring a more aggressive stance of yield curve control). The key line in the statement appears to be “inflation expectations have remained in a weakening phase,” which is the enabling narrative of lower and moarer for longer.

  • BOJ Maintains Policy Balance Rate at -0.100%
  • BOJ Maintains 10-Year JGB Yield Target at About 0.000%
  • No change in the 80 trillion yen target for bond buying, a figure that the BOJ hasn’t been meeting for some time and that’s assumed to be removed whenever the central bank does decide to fine-tune its policy.

Overall the language in the statement is very similar with no real change in tone.

The decision on QQE with Yield Curve Control made in 8-1 vote, with Kataoka dissenting again.

Kataoka says BOJ needs to buy JGBs so yield for duration of 10 years and longer declines, while stating that BOJ should make it clear it will ease if achieving the price target is delayed by domestic factors

BOJ also raises assessment on capex and view of consumption.

Back in October, the BOJ said in its economic outlook: “With regard to the risk balance, upside and downside risks to economic activity are generally balanced, and risks to prices are skewed to the downside.”

No such risks cited in today’s policy statement.

There is a slight tweak on business investment:

Today: Business fixed investment has continued on an increasing trend

 

September: Business fixed investment has been on a moderate increasing trend

And The BOJ notes “business sentiment improving” in today’s statement.

Yen is modestly weaker on the statement:

Of course, it’s just coincidence but we note that Ethereum and Bitcoin are selling off after the statement…

It’s interesting that ‘the European debt problem’ remains one of the BOJ’s key worries… but not ‘Japan’s debt problem’.

c) REPORT ON CHINA

4. EUROPEAN AFFAIRS

 

How ironic:  we now have the Swiss National Bank bailing out the firm that prints unlimited Swiss Francs

(courtesy zerohedge)

6. GLOBAL ISSUES

i) MELBOURNE AUSTRALIA

 

Multiple injuries reported after a car driven by an person of Afghan descent plowed into shoppers in central Melbourne as a deliberate act.

(courtesy zerohedge)

Multiple Injuries Reported After Car Plows Into Central Melbourne Shoppers In “Deliberate Act”; Driver Arrested

A 32 year old Australian citizen of Afghan descent with a history of drug problems has been arrested in Melbourne, Australia after a white Suzuki SUV was driven into a crowd of downtown Christmas shoppers at around 4:40pm. Fourteen people were injured, some critically. “There was no attempt to brake, no attempt to swerve” said witness Jim Stoupas. The BBC reports one victim was a child of preschool-age with head injuries who was taken to Royal Children’s hospital in serious condition.

Witness Chris Gath told The Age he saw 60 to 100 people crossing the intersection when a car travelling at up to 70km/h (43 MPH) headed for the crowd.

After the incident, several bystanders stepped in to restrain the driver, who was known to police – while another man was arrested and let go after he was determined not to be involved. Local police commander Russell Barrett said it was a “deliberate act,” though he stopped short of calling it terrorism, saying “The motivations are unknown,” and that they “don’t at this time have any evidence of intelligence to indicate a connection with terrorism.”

Footage circulating online shows two police officers dragging a man in a white shirt and jeans away from the passenger side of the crashed SUV. He appears to be unconscious while officers slap him and search his pockets before handcuffing him.

Driver described by police as an “Australian citizen of Afghan descent”

Australian police stand near crashed SUV (Louis Ascui / Reuters)

Commander Russell Barrett media conference: 

Media conference regarding the Flinders Street incident with Commander Russell Barrett.

As The Age reports:

Sue from Walker’s Doughnuts on Elizabeth Street told radio station 3AW that she heard screams before she saw “people flying everywhere“.”We could hear this noise. As we looked left, we saw this white car, it just mowed everybody down,” she said. “People are flying everywhere. We heard thump, thump. People are running everywhere.”

 

A young mother who was at the scene with her young daughters told radio station 3AW they fled as the car ploughed into pedestrians.”I didn’t want the kids to see anything,” she said. “We just ran. “I wanted to get the girls out of there so we ran into the closest building.

 

Chris Gath said he was standing at the 7-Eleven on the corner of Flinders and Elizabeth streets with a coffee in hand when he heard screaming. “I heard it first and then I turned around and saw lots of bodies on the floor. “I saw a car ploughing into many people and bodies flying everywhere.”

Members of the public stand behind police tape after the drivers were arrested: 

Approximate location of the incident: 

In the aftermath, witness Jim Stoupas said “I saw probably five to eight people on the ground with people swarming around them [to help]. Within a minute, I think, there were police on site, so it was very, very speedy.”

🆘‼️👮🔥: Raw footage from  outside the Flinter St Station. The driver of an SUV plowed into a crowd and injured 16 people (even seriously injured). Passers-by detained the driver until the police arrived. Identity still unknown!

 

🆘‼️😯🔥: The moment shortly after the terrorist SUV driver plowed into the crowd in . Some Chaos and panic!

 

Another witness, Lachlan Read, told the Herald Sun the whole incident lasted about 15 seconds.

He has gone straight through the red light at pace and it was bang, bang, bang. It was just one after the other

Footage of the aftermath from above:

DEVELOPING: Driver arrested after car slams into pedestrians in Melbourne, Australia, injuring at least 13, officials say. http://abcn.ws/2p2QQIQ 

https://www.facebook.com/plugins/video.php?href=https%3A%2F%2Fwww.facebook.com%2F7newssydney%2Fvideos%2F1935317146492409%2F&show_text=0&width=560

Prime Minister Malcom Turnbull kindly tweeted “thoughts & prayers” to the victims and those treating them:

As our federal & state police & security agencies work together to secure the scene and investigate this shocking incident our thoughts & prayers are with the victims & the emergency & health workers who are treating them. https://twitter.com/danielandrewsmp/status/943752126290726912 

This marks the second vehicle plowing attack in Melbourne this year. In January, six people were killed and over 30 injured when a car was driven up a foot path near Thursday’s incident. The driver was arrested and the incident was ruled not terrorism-related.

If members of the public have video or images which might assist police with their investigation into the Flinders Street incident they are encouraged to upload them here → http://australiauploadserviceweb.cloudapp.net 

end

Mexico

The Peso plummets on news of minister Gutierrez

(courtesy zero hedge)

Peso Plunges To 9-Month Lows As Corruption Probe Spreads

Tyler Durden's picture

The Mexican peso is plunging (down over 1% today) to its weakest against the dollar since March after a former deputy in the ruling party in Mexico was arrested as part of a graft inquiry.

As Bloomberg reports, political uncertainty continued to weigh on the most-traded currency in emerging markets.

A deepening graft investigation involving Alejandro Gutierrez, a former deputy of sitting President Enrique Pena Nieto could imperil his party’s chances in the coming July elections. An ongoing scandal could also bolster the prospects of leftist rival Andres Manuel Lopez Obrador.

“The news of this arrest scares investors,” said Jesus Lopez, a strategist at Banco Base in Monterrey, Mexico.

 

“These days, the exchange rate is more sensitive because of low liquidity, and we already know that the peso is more vulnerable from the political side.”

Allegations that the finance ministry had illegally channeled public money to PRI campaigns prompted the arrest of Gutierrez on Wednesday, Mexican paper Reforma reported.

The Mexican finance ministry rejected reports of impropriety.

 

7. OIL ISSUES

8. EMERGING MARKET

Your early morning currency/gold and silver pricing/Asian and European bourse movements/ and interest rate settings THURSDAY morning 7:00 am

Euro/USA 1.1869 DOWN .0008/ REACTING TO MERKEL’S FAILED COALITION/ SPAIN VS CATALONIA/REACTING TO +GERMAN ELECTION WHERE ALT RIGHT PARTY ENTERS THE BUNDESTAG/ huge Deutsche bank problems + USA election:/TRUMP HEALTH CARE DEFEAT//ITALIAN REFERENDUM DEFEAT/AND NOW ECB TAPERING BOND PURCHASES/ /USA FALLING INTEREST RATES AGAIN/HOUSTON FLOODING/EUROPE BOURSES ALL GREEN  

USA/JAPAN YEN 113.53 UP 0.284(Abe’s new negative interest rate (NIRP), a total DISASTER/SIGNALS U TURN WITH INCREASED NEGATIVITY IN NIRP/JAPAN OUT OF WEAPONS TO FIGHT ECONOMIC DISASTER/

GBP/USA 1.3265 DOWN .0003 (Brexit March 29/ 2017/ARTICLE 50 SIGNED

THERESA MAY FORMS A NEW GOVERNMENT/STARTS BREXIT TALKS/MAY IN TROUBLE WITH HER OWN PARTY/

USA/CAN 1.2830 UP .0004 (CANADA WORRIED ABOUT TRADE WITH THE USA WITH TRUMP ELECTION/ITALIAN EXIT AND GREXIT FROM EU/(TRUMP INITIATES LUMBER TARIFFS ON CANADA)

Early THIS THURSDAY morning in Europe, the Euro FELL by 8 basis points, trading now ABOVE the important 1.08 level FALLING to 1.1869; / Last night the Shanghai composite CLOSED UP 12.45 POINTS OR 0.38% / Hang Sang CLOSED UP 132.97 POINTS OR 0.45% /AUSTRALIA CLOSED DOWN 0.19% / EUROPEAN BOURSES ALL GREEN 

The NIKKEI: this THURSDAY morning CLOSED DOWN 25.62 POINTS OR 0.11%

Trading from Europe and Asia:
1. Europe stocks OPENED  GREEN

2/ CHINESE BOURSES / : Hang Sang CLOSED UP 132.97 POINTS OR 0.45% / SHANGHAI CLOSED UP 12.45 POINTS OR 0.38% /Australia BOURSE CLOSED DOWN 0.19% /Nikkei (Japan)CLOSED DOWN 25.62 POINTS OR 0.11%

INDIA’S SENSEX IN THE RED

Gold very early morning trading: 1265.20

silver:$16.16

Early THURSDAY morning USA 10 year bond yield: 2.484% !!! DOWN 2 IN POINTS from WEDNESDAY night in basis points and it is trading JUST BELOW resistance at 2.27-2.32%. (POLICY FED ERROR)

The 30 yr bond yield 2.862 DOWN 2 IN BASIS POINTS from WEDNESDAY night. (POLICY FED ERROR)

USA dollar index early THURSDAY morning: 93.41 UP 9 CENT(S) from YESTERDAY’s close.

This ends early morning numbers THURSDAY MORNING

xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx

And now your closing THURSDAY NUMBERS \1 PM

Portuguese 10 year bond yield: 1.766% DOWN  3  in basis point(s) yield from WEDNESDAY

JAPANESE BOND YIELD: +.061% DOWN 1/10   in basis point yield from WEDNESDAY/JAPAN losing control of its yield curve/

SPANISH 10 YR BOND YIELD: 1.467% DOWN 1  IN basis point yield from WEDNESDAY

ITALIAN 10 YR BOND YIELD: 1.907 DOWN 3 POINTS in basis point yield from WEDNESDAY

the Italian 10 yr bond yield is trading 43 points HIGHER than Spain.

GERMAN 10 YR BOND YIELD: +.417%  UP 1 IN BASIS POINTS ON THE DAY

END

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IMPORTANT CURRENCY CLOSES FOR THURSDAY

Closing currency crosses for THURSDAY night/USA DOLLAR INDEX/USA 10 YR BOND YIELD/4:00 PM

Euro/USA 1.1866 DOWN.0011 (Euro DOWN 11 Basis points/ represents to DRAGHI A COMPLETE POLICY FAILURE/

USA/Japan: 113.46 UP 0.213(Yen DOWN 21 basis points/

Great Britain/USA 1.3371 UP 0.0002( POUND UP 2 BASIS POINTS)

USA/Canada 1.2705 DOWN  .0121 Canadian dollar UP 121 Basis points AS OIL ROSE TO $58.26

xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx

This afternoon, the Euro was DOWN 11 to trade at 1.1866

The Yen FELL to 113.46 for a LOSS of 21 Basis points as NIRP is STILL a big failure for the Japanese central bank/HELICOPTER MONEY IS NOW DELAYED/BANK OF JAPAN NOW WORRIED AS AS THEY ARE RUNNING OUT OF BONDS TO BUY AS BOND YIELDS RISE

The POUND ROSE BY 2 basis points, trading at 1.3371/

The Canadian dollar ROSE by 121 basis points to 1.2705/ WITH WTI OIL RISING TO : $58.26

The USA/Yuan closed AT 6.5840
the 10 yr Japanese bond yield closed at +.061% UP 1/10  IN BASIS POINTS / yield/
Your closing 10 yr USA bond yield UP 1   IN basis points from WEDNESDAY at 2.488% //trading well ABOVE the resistance level of 2.27-2.32%) very problematic USA 30 yr bond yield: 2.847   DOWN  2  in basis points on the day /

Your closing USA dollar index, 93.31 DOWN 0 CENT(S) ON THE DAY/1.00 PM/BREAKS RESISTANCE OF 92.00

Your closing bourses for Europe and the Dow along with the USA dollar index closing and interest rates for THURSDAY: 1:00 PM EST

London: CLOSED UP 78.76 POINTS OR 1.05%
German Dax :CLOSED UP 40.57 POINTS OR 0.31%
Paris Cac CLOSED UP 33.20 POINTS OR 0.62%
Spain IBEX CLOSED UP 96.90 POINTS OR 0.95%

Italian MIB: CLOSED UP 130.60 POINTS OR 0.59%

The Dow closed UP 55.64 POINTS OR 0.23%

NASDAQ WAS  UP 4.40 Points OR 0.06% 4.00 PM EST

WTI Oil price; 58.26 1:00 pm;

Brent Oil: 64.58 1:00 EST

USA /RUSSIAN ROUBLE CROSS: 58.54 DOWN 19/100 ROUBLES/DOLLAR (ROUBLE HIGHER BY 19 BASIS PTS)

TODAY THE GERMAN YIELD RISES TO +.417% FOR THE 10 YR BOND 1.00 PM EST EST

END

This ends the stock indices, oil price, currency crosses and interest rate closes for today 4:30 PM

Closing Price for Oil, 4:30 pm/and 10 year USA interest rate:

WTI CRUDE OIL PRICE 4:30 PM:$58.21

BRENT: $64.72

USA 10 YR BOND YIELD: 2.480%   THE RAPID ASSENT IN YIELD IS VERY DANGEROUS/ANYTHING OVER 2.70% AND THE ENTIRE DERIVATIVES BLOW UP

USA 30 YR BOND YIELD: 2.838%

EURO/USA DOLLAR CROSS: 1.1875 up .0000

USA/JAPANESE YEN:113.29 UP 0.045

USA DOLLAR INDEX: 93.25 down 6 cent(s)/

The British pound at 5 pm: Great Britain Pound/USA: 1.3383 : UP 14 POINTS FROM LAST NIGHT

Canadian dollar: 1.2743 UP 82 BASIS pts

German 10 yr bond yield at 5 pm: +0.417%

END

And now your more important USA stories which will influence the price of gold/silver

TRADING IN GRAPH FORM FOR THE DAY

Credit, Crypto, & The Yield Curve Crumble As Stocks See Longest ‘Dipless’ Streak In 58 Years

 

As the yield curve rolls over again and credit crumbles, stocks just wanna go higher because… well that’s what stocks do…

Small Caps were squeezed higher once again led by Financials and Energy stocks (Utes weakest) – stocks were weak again into the close… (Trannies ramped to unch at the close) – weakness started around the Catalonia vote…

 

 

Futures show the open was dumped again… and bid again…but weak into the close…

 

NOTE -Small Cap ramp today was all about getting green for the month…

 

Another short squeeze at the open BUT is it now out of ammo?

 

There have been 374 trading days without a 5% or greater pullback, the second longest streak since 1928. This is pretty remarkable considering that 5% pullbacks have occurred, on average, 3x per year since 1928.

 

Banks were up notably today as FANG stocks sank again…

 

High-Tax companies outperformed once again…

 

Credit markets continue to flash warning lights…

 

And as professionals have been selling high yield debt, they have also been selling into any intraday strength in stocks

 

The Bond Bloodbath is over.. for now. 30Y outperformed notably on the day…

 

After 3 chaotic days in the yield curve, just as we noted yesterday, both the 30Y yield level and the 2s30s curve turned around at critical resistance levels (FOMC meetings).

 

And the 2s30s curve tumbled over 6bps today (one of the biggest flattening days of the year), turning on a dime at the FOMC Minutes levels from Nov…

 

The Dollar was somewhat chaotic today ending the day unchanged (down on the week)…

 

EURUSD ramped after the Catalonia election results showed the separatsist in the majority..

 

Interesting how flat the Dollar Index has been given the surge in Yuan..

 

Copper and Crude continue to lift this week

 

Cryptocurrencies carnaged with Bitcoin Cash battered (XRP and XCU were up large)…

 

Bitcoin has been on a serious down-trend since CME futures were unleashed (and has collapsed the futures premium to spot)..

 

Gold continues to converge back higher to Bitcoin (relatively)…

 

 

(courtesy Graham Summers/Phoenix Capital)

Is the Bond Market About to Call the Fed’s Inflationary Bluff?

Phoenix Capital Research's picture

Perhaps the single biggest development this year, as far as the markets were concerned, was the Fed admitting on the recordthat it has no idea what is going on with inflation.

This represents a kind of endgame for the Fed. Since the early ‘80s, the Fed has been actively understating inflation via a variety of gimmicks.

It first removed home prices and replaced them with “owner’s equivalent rent.” Doing that removed any sharp rise in home prices from affecting inflation data, thereby downplaying the official inflation rate.

Then in 1998, the Fed started playing around with “hedonics” (think food and energy prices). The Fed claimed that the goal was to somehow balance the deflationary forces of technology vs. the inflationary forces of hedonics items… but the reality was that this was just another gimmick to understate inflation.

Then, finally in 1999, the Fed introduced the idea of “substitutions.” Here again the Fed claimed it was trying to get an accurate read on inflation (the Fed argues here that if a consumer cannot afford steak anymore, the fact he or she can substitute hamburger indicates his or her quality of life is roughly the same as before).

And once again the goal was to understate inflation.

I realize this is getting a bit complicated, so let’s put this in simple terms…

1)   Since the early ‘80s, the Fed has been employing various gimmicks to hide the real rate of inflation.

2)   Doing this allowed the Fed to overstate GDP growth while understating the true decline in incomes/ quality of life for most Americans.

This game worked for a while, but this year the whole scheme crashed into a wall when the various gimmicks resulted in data that made no sense what-so-ever.

At a time when the NY Fed’s UIG inflation measure and the Atlanta Fed’s “sticky inflation” measure, showed inflation at 2.8% and 2.1% respectively, the Fed’s official inflation measures (CPI and trimmed PCE) were clocking in at 1.7% and 1.4%,

The Fed’s Board of Governors had a choice here:

1)   Admit the official inflation numbers were garbage

Or…

2)   Act surprised by the official rate being so low and claim it’s an anomaly.

The Fed went with #2 in what was one of the most insane Fed statements ever. According to the Fed’s July FOMC statement…

  • Most participants expect inflation to pick up over the next couple years.
  • Many Fed participants think inflation will remain below 2% longer than expected.
  • Many Fed participants believe that inflation measures dropped recently due to “idiosyncratic factors.”
  • A few Fed participants believe the Fed’s framework for forecasting inflation is no longer valid.
  • Some Fed participants noted their increase uncertainty about the outlook for inflation.

Put simply: the Fed admitted that it no longer had a clue what was going on with inflation. It has since maintained this “who knows!” shtick (I note that Fed Chair Janet Yellen, in last week’s conference stated that the Fed’s understanding of inflation is “imperfect.”)

Why does this matter?

As I explain in my bestselling book The Everything Bubble: the Endgame For Central Bank Policy, US sovereign bonds (also called Treasuries) trade based on inflation expectations.

Put simply, when inflation spikes higher, so do Treasury bond yields.

When bond yields rise, bond prices fall.

When bond prices fall, the Bond Bubble bursts.

When the Bond Bubble bursts, the EVERYTHING bubble follows.

Well, guess what? The yield on 10-Year US Treasuries is spiking, having broken above its 20-year trendline.

What’s coming will take time for this to unfold, but as I recently told clients, we’re currently in “late 2007” for the coming crisis. The time to prepare for this is NOW before the carnage hits.

On that note, we are putting together an Executive Summary outlining all of these issues as well as what’s to come when The Everything Bubble bursts.

It will be available exclusively to our clients. If you’d like to have a copy delivered to your inbox when it’s completed, you can join the wait-list here:

https://phoenixcapitalmarketing.com/TEB.html

Best Regards

Graham Summers

Chief Market Strategist

Phoenix Capital Resear

Dershowitz Explains Trump’s Strategy With Regard To Mueller

Authored by Alan Dershowitz via The Gatestone Institute,

The Trump team is probably not going to seek to fire Special Counsel Robert Mueller. To do so would be to provoke Trump’s crucial supporters in Congress. Instead, they seem to be seeking to discredit him and his investigation.

This is apparently designed to achieve two possible results: the first is to put pressure on the Special Prosecutor to lean over backwards in order to avoid any accusation of bias against Trump and his team. Mueller cares deeply about his reputation for integrity and will want to emerge from this process with that reputation intact. Accordingly, he may err – consciously or unconsciously – in favor of Trump in close cases so that the public will regard him as unbiased and fair-minded.


(Image source: Kit Fox/Medill/Flickr)

This is a classic tactic used by lawyers, athletic coaches, business people and others in how they deal with decision makers. The great Red Auerbach, former coach of the Boston Celtics, once told me that when he screams loudly at officials, he generally gets the next close call in his favor. I have heard the same from baseball managers regarding balls and strikes.

This is a somewhat risky strategy in the context of law, because attacking the decision maker could also backfire. Whoever thinks about using this tactic should understand the particular decision maker against whom it is directed. Mueller seems like an appropriate target because of his concern for his reputation for fairness.

Even if this tactic were not to work, the attack on Mueller gives the Trump team some legal weaponry in the event of an indictment or a recommendation for impeachment. If a significant portion of the country believes that the Special Counsel was unfair, this could help in legal proceedings before judges or jurors.

So attacking Mueller may appear to be a win-win tactic for the team – certainly a lot better than firing Mueller. Fortunately for the Trump team, Mueller has played into their hands by his sloppiness in conducting the investigation. He has been incautious with his choice of personnel – too many of them seem biased against Trump, not only by their backgrounds, but by their tweets and messages. When you go after a President, you must be Caesar’s wife – above suspicion or reproach. Mueller seems to be failing the Caesar’s wife test. Moreover, the manner by which he acquired emails and other documents from the Trump transition team may raise some legal questions. The same may be true if he used the questionable dossier against Trump as a basis for securing warrants.

All in all, the Trump team is in a better position continuing to challenge Mueller than trying to get rid of him as the Special Counsel.

This is not a game, of course. Lives and liberty are at stake, but gamesmanship has always been part of our legal system, for better or worse.

Mueller can improve his situation in several ways. First, he should appoint an ethics expert to advise him – a former judge who is beyond reproach. Names like George Mitchell, Louie Freeh, and Justice David Souter come to mind. That advisor could assure him in going forward there will be no more embarrassing revelation of messages or emails that create the appearance, if not the reality of bias. He must also be more careful in how he obtains evidence. The last thing he should do is give ammunition to defense attorneys to challenge his evidence gathering methods.

In setting out this analysis, I am not taking sides. I am simply sharing my 50 years of experience as a criminal defense lawyer who has seen the criminal justice system up-close, warts and all. As James Madison wrote in Federalist 51 “Perhaps everyone will agree that if we were all angels, no state would be necessary, and if angels were the governors, they would require neither internal nor external constraints to ensure that they governed justly.” Neither the Trump team nor the Mueller team are angels. They are human beings with human limitations. But an investigation of a president must be as close to angelic as any human endeavor can be. Otherwise the public will not have confidence in the results.

It is about time:  Dept of Justice prosecutors are now beginning to ask the FBI agents to probe Uranium One.
It looks like we will get our Special Prosecutor to nail Hillary and Bill Clinton
(courtesy zerohedge)

Hillary In The Crosshairs As DOJ Prosecutors Begin Asking FBI Agents About Uranium One

Attorney General Jeff Sessions has instructed DOJ prosecutors to begin asking FBI agents for explanations regarding evidence pertaining to a dormant criminal investigation into the controversial Uranium One deal linked to Bill and Hillary Clinton, according to NBC

The order comes as part of a promise made last month by Sessions to examine whether or not a special counsel was warranted in the deal which saw 20% of American Uranium sold to a Russian state-owned energy company in a 2010 transaction allowed by the Obama administration. Prior to the deal, individual connected with Uranium One deal had donated over $140 million to the Clinton Foundation. Moreover, Bill Clinton gave a $500,000 speech to a Russian bank which issued a favorable rating on Uranium One stock. Clinton and Putin met the same day of the speech at the Russian leader’s private homestead.

A report by the New York Times and the book Clinton Cash by investigative journalist Peter Schweizer in 2015 are said to have convinced the FBI in large part to launch their investigation into the Clinton Foundation over several claims of pay-for-play before and during Hillary Clinton’s role as Secretary of State, including the Uranium One deal and several international arms sales.

As reported in International Business Times

The Clinton-led State Department also authorized $151 billion of separate Pentagon-brokered deals for 16 of the countries that donated to the Clinton Foundation, resulting in a 143 percent increase in completed sales to those nations over the same time frame during the Bush administration.

As part of the Uranium One approval process, nine agencies which made up the Committee on Foreign Investment in the United States (CFIUS) had to sign off on the deal. The committee has been considered by some to be a “joke.” 

“The committee almost never met, and when it deliberated it was usually at a fairly low bureaucratic level,” Richard Perle said. Perle, who has worked for the Reagan, Clinton and both Bush administrations added, “I think it’s a bit of a joke.” –CBS

As discovered in early November by Twitter researcher Katica while looking at FOIA-requested documents, the FBI made several Preservation and Records requests to various agencies involved in the approval of the Uranium One dealon August 28th, 2015, as published by The Conservative Treehouse. Katica found the requests buried in an FBI file released via the Freedom of Information Act (FOIA).

Revealing Timeline

While the Clinton email investigation was launched in March of 2015 after it was revealed that Secretary of State Hillary Clinton used a personal server and non-approved email accounts to conduct government business, reports from August, 2015 revealed that the FBI investigation was actually a criminal probe – though most assumed it was simply covering Clinton’s mishandling of classified information and not the content of her emails.

What Katica discovered is that weeks after the criminal probe began, the FBI sent notices to every agency involved in the Uranium One approval process to preserve records.

This is big: the agencies which received the request included the Nuclear Regulatory Commission, the U.S. Dept. of Treasury, the Office of Director of National Intelligence (ODNI James Clapper), The National Counter Terrorism Center, and the U.S. Department of Energy (DOE).

Five days after the initial request, the same FBI agent sent another round of notifications to the same agencies, adding the National Security Agency (NSA) and the U.S. Secret Service (USSS).

The next day, September 3rd, 2015, three more agencies were added to the preservation request: The CIA, the Defense Intelligence Agency (DIA) and the Department of Defense (DOD)

At this point, every single member of the Committee on Foreign Investment in the United States (CFIUS) which signed off on the Uranium One deal was served with a notice to preserve records. 

As The Conservative Treehouse noted in November:

It would be intellectually dishonest not to see the very likely attachment of the special agent’s action.  That is to say an FBI probe originating as an outcome of information retrieved in parallel to the timing of the “criminal probe” of Secretary of State Hillary Clinton’s email use.

The sequence of events highlights a criminal probe starting [early August 2015], followed by notifications to the “Uranium One” CFIUS participants [late August 2015].

 

If you consider the larger Clinton timeline; along with the FBI special agent requests from identified participants; and overlay the Nuclear Regulatory Commission as the leading entity surrounding the probe elements; and the fact that the CFIUS participants were the recipients of the retention requests;  well, it’s just too coincidental to think this is unrelated to the Uranium One deal and the more alarming implications.

FBI Mole 

An October report in The Hill revealed that as early as 2009, the FBI – led by Robert Mueller at the time, had a mole in the Russian uranium industry, and that the agency had evidence that “Russian nuclear officials had routed millions of dollars to the U.S. designed to benefit former President Bill Clinton’s charitable foundation during the time Secretary of State Hillary Clinton served on a government body that provided a favorable decision to Moscow” – a deal which would grant the Kremlin control over 20 percent of America’s uranium supply. 

The mole was forced to sign an iron-clad non-disclosure agreement (NDA) which threatened criminal penalties for revealing information, even to Congress. After a request was made by Reps Ron DeSantis (R-FL) and Chuck Grassley (R-IA) calling for the Justice department to invalidate the NDA, the gag order was lifted, and the FBI informant was authorized to speak with congress.

Tony Podesta and Uranium One

While one-time Trump campaign manager Paul Manafort turned himself in to the FBI a week ago on charges of money laundering, let’s not forget what a former Podesta Group executive interviewed by Special Counsel Robert Mueller told Tucker Carlson Tonight: the FBI probe is now focusing on people in Washington who have worked as de-facto operatives on behalf of Russian government and business. To that end, he had quite a bit to say about his former boss Tony and his relationship to the Uranium One deal.

  • In late 2013 or early 2014, Tony Podesta and a representative for the Clinton Foundation met to discuss how to help Uranium One – the Russian owned company that controls 20 percent of American Uranium Production – and whose board members gave over $100 million to the Clinton Foundation.
  • In 2013, John Podesta recommended that Tony hire David Adams, Hillary Clinton’s chief adviser at the State Department, giving them a “direct liaison” between the group’s Russian clients and Hillary Clinton’s State Department.
  • “Tony Podesta was basically part of the Clinton Foundation.”

As far as the current state of the FBI investigation, “They are more focused on facilitators of Russian influence in this country than they are on election collusion,” Carlson’s source told Fox.

Tying it together – previous reports of Federal investigations into the Clinton Foundation: 

Katica’s FOIA discovery corroborates a New York Times report from November 1, 2016, which asserts that an FBI investigation was kicked off based on revelations of pay-for-play in the book “Clinton Cash” written by Peter Schweizer:

The investigation, based in New York, had not developed much evidence and was based mostly on information that had surfaced in news stories and the book “Clinton Cash,” according to several law enforcement officials briefed on the case.

 

The book asserted that foreign entities gave money to former President Bill Clinton and the Clinton Foundation, and in return received favors from the State Department when Mrs. Clinton was secretary of state. Mrs. Clinton has adamantly denied those claims. -NYT

The Wall St. Journal also reported last October that five FBI field offices were investigating the Clinton Foundation; New York, Los Angeles, Washington, Little Rock and  Miami, and “were collecting information about the Clinton Foundation to see if there was evidence of financial crimes or influence-peddling, according to people familiar with the matter.”

The FBI field office in New York had done the most work on the Clinton Foundation case and received help from the FBI field office in Little Rock, the people familiar with the matter said. –WSJ

And in November, as tweeted by Wikileaks and reported on by the Dallas Observer, the Clinton Foundation has been under investigation by the IRS since July of 2016, after 64 GOP members of Congress received letters urging them to push for an investigation. The investigation has been notably held at the Dallas IRS office – far away from Washington.

The Earle Cabell Federal Building in downtown Dallas is an all purpose office complex, a bastion of federal bureaucracy located at 1100 Commerce St. Most people come for a passport or to get business done in front of a federal judge. But inside, a quiet review is underway that has direct ties to the raging presidential election: The local branch of the IRS’ Tax Exempt and Government Entities Division is reviewing the tax status of the Bill, Hillary and Chelsea Clinton Foundation.

So – while the FBI investigation into Hillary Clinton was sold as a simple matter of mishandling of classified material, we now have proof that the FBI set their sights on the Uranium One scandal weeks after they began looking into Hillary Clinton’s emails, and that five FBI field offices and the IRS have been investigating the Clinton Foundation on accusations of pay-to-play and other criminal acts.

Perhaps Sessions will see the logic in approving a second special counsel after all…

Wallace Says HARD NEW PROOF Hillary Clinton Foundation/Bill & State Colluded 4PAY4PLAYS via Doug Band  ‘s 

end

 

the clock is running and they have very little time left to avoid a Government shutdown this weekend

 

(courtesy zerohedge)

 

Republican Squabbling Could Force A Government Shutdown This Weekend

Now that Republicans have finished patting themselves on the back for passing the first comprehensive tax reform bill in 31 years, and which hopes to stimulate the economy my rewarding those least likely to spend…

 

… members of Congress are shaking off their hangovers and confronting the reality that that the leadership is still nowhere near a consensus on the continuing resolution package that must be passed by midnight Friday (or early morning Saturday at the latest) to avert a holiday shutdown.

Initially, Republicans were planning to include a separate authorization that would keep the Pentagon funded through September, but that idea was scrapped after the leadership discovered the bill would be dead-on-arrival in the Senate, where Republicans must win at least eight Democratic votes to circumvent a filibuster. House Speaker Paul Ryan said earlier this week that Republicans would attach an $81 billion disaster-relief aid package to the CR, thereby combining two legislative priorities into one. But that plan has also been abandoned.

Now, the leadership is scrambling to whip up enough votes to push the CR through the Senate. According to the Hill, Speaker Paul Ryan met with Mark Meadows, the leader of the Freedom Caucus, several members of his faction last night, and managed to flip several ‘no’ votes to ‘yes’ after promising to reauthorize a controversial surveillance program that was due to expire. Still, some conservative Republicans are digging in their heels and insisting that the defense spending measures must be included in the final bill – or else.

Following the meeting with Meadows, Republicans hammered out a draft of the bill during a conference late Wednesday. In its present form, the CR would delay cuts to defense and nondefense spending, reauthorize the controversial surveillance program, and include funding for a popular children’s health-insurance program, per Bloomberg.

House leaders released a plan late Wednesday that would maintain funding for government operations through Jan. 19 and delay cuts to defense and non-defense spending known as sequestration. It includes extra funds for some Pentagon expenses and health programs, as well as $2.85 billion to keep the Children’s Health Insurance Program running through March, with some conditions.

 

The government surveillance activities authorized by a section of the Federal Intelligence Surveillance Act would be reauthorized until just Jan. 19, rather than the full reauthorization sought by the Justice Department.…The last provision of the bill would waive the automatic cuts to some mandatory federal programs, which would kick in because of the deficit impact of the tax overhaul passed this week. That spending cut trigger is known as PAYGO, for pay-as-you-go, and waiving it would make it easier for President Donald Trump to sign the tax legislation passed this week before the start of 2018.

Still, the message from conservative Republicans is clear: Defense spending or bust.

Rep. Scott DesJarlais, a member of both the Freedom Caucus and the Armed Services Committee, said he wants to force GOP leaders to send the Senate a long-term extension of defense spending. “We’re doing our troops a real disservice. … I think it’s going to take a couple volleys. I don’t think this thing will whip out to where the votes are there for what leadership’s proposing,” he told reporters Wednesday evening.

 

“So I think us – and you – are in for a long week. I don’t expect to get out of here until Friday or Saturday,”he added.

 

Rep. Bradley Byrne (R-Ala.), a member of the House Armed Services Committee, said he was “bitterly disappointed” and would oppose a stopgap bill that didn’t fund defense programs through the year.

 

Freedom Caucus member Rep. Ted Yoho (R-Fla.) also said he was a “lean no.”

In one example of how pro-defense Republicans often clash with their libertarian-leaning colleagues, some Republican members say the surveillance program extension that was added to win the votes of several armed-services committee members is, ironically, a nonstarter for skeptics of the American security state.

Meanwhile, some conservatives were also concerned that the CR includes language to temporarily extend a surveillance program authorized by section 702 of the Foreign Intelligence Surveillance Act (FISA). “If they took [the] FISA extension off the CR, I would hold my nose and vote for it,” said Rep. Louie Gohmert (R-Texas), another member of the Freedom Caucus.

 

Meadows, who wants to see long-term reforms to the spying program, said he secured a commitment from leadership that there would eventually be a standalone vote on a long-term FISA reauthorization and that his group would be allowed to offer requested amendments.

To be sure, some Republicans were more amendable to compromise because they didn’t want the party to squander the goodwill generated by its monumental victory on tax reform. One Republican Rep went so far as to ask: “Is this really the hill we’re going to die on?” – referring, of course, to the controversy surrounding defense spending.

“I think there are a lot of people who are going to spend their time tonight really thinking about whether or not this is the hill we’re going to die on,” Rep. Matt Gaetz (R-Fla), a member of HASC, said coming out of Ryan’s office. “We just had this great moment on tax reform.”

 

“I think they’re going to get the votes,” he added.

In the House, the CR will likely face unanimous Democratic opposition because it doesn’t address a host of Democratic priorities, including immigration, money for the opioid crisis and a boost for non-defense spending caps.

Furthermore, Republicans definitely don’t have the votes to counter a filibuster in the Senate. And with defense hawks and conservative lawmakers joining together in opposition, it’s unlikely the CR in its current form could even pass the House.

So with the clock running out, the House Rules Committee is set to meet early Thursday morning to prepare both the CR and the disaster relief bill for floor votes later in the day.

But given the sheer number of competing interests needing to be squared, it’s likely that an eventual vote on the CR will go down to the wire. Mitch McConnell and Paul Ryan have repeatedly promised that a Christmas shutdown will be averted, even if the political brinksmanship must continue into the early hours of Saturday morning, or even beyond…

At this point, it’s still not clear why Ryan and McConnell are so confident. President Donald Trump has reportedly mused that a shutdown could benefit Republicans as voters would blame Democrats for opposing the essential funding bill.

And this causes the Treasury Curve to Invert:
(courtesy zerohedge)

Treasury Curve Inverts As Trump Slams Dems For Forcing Shutdown

Early in the week, anxiety over a government shutdown appeared to ebb as the short-term Treasury Bill market began to ‘normalize’, but following the tax-reform ‘win’, President Trump is accusing Democrats of trying to force a government shutdown

House Democrats want a SHUTDOWN for the holidays in order to distract from the very popular, just passed, Tax Cuts. House Republicans, don’t let this happen. Pass the C.R. TODAY and keep our Government OPEN!

…And the Bill curve has shifted notably more inverted

While there are obviously year-end liquidity impacts involved too, it appears market anxiety is building as perception grows that Dems may move to stunt the Republicans’ momentum from their ‘victory’ on taxes.

(courtesy Mish Shedlock/Mishtalk)

 

Senator Rand Paul To Filibuster “Long-Term” Surveillance Extension

Authored by Mike Shedlock via www.themaven.net/mishtalk,

A program that allows gov’t to collect data without a warrant expires this year. Paul opposes a “long-term” extension.

Senator Rand Paul is taking a partial stand against warrantless searches.

I will actively oppose and filibuster any long term extension of warrantless searches of American citizens

The Hill reports Rand Paul Threatens to Filibuster Long-Term Surveillance Extension.

The House Rules Committee on Tuesday released a draft bill that would reauthorize the program. Privacy-minded lawmakers have already criticized the bill as doing little to reform 702.

 

“This bill is an eleventh-hour attempt to sneak an unchecked warrantless surveillance program through Congress,” Sen. Ron Wyden (D-Ore.) said in a statement Wednesday morning.

 

“The legislation posted late yesterday is a clear step backward for Americans’ rights. It does nothing to check the warrantless backdoor searches of Americans’ communications,” Wyden added.

 

“The bill also fails to codify the current prohibition on ‘abouts’ collection, in which communications entirely among innocent Americans can be swept up if they reference a target’s email address.”

 

There have been rumblings on Capitol Hill that lawmakers could try to include language in must-pass spending legislation to extend the controversial program. On Tuesday, Paul and Sen. Mike Lee (R-Utah) said they would oppose any spending bill that included a permanent reauthorization of the provision, according to the Washington Examiner.

Dear Senator Paul, I have a question:

Dear @RandPaul what does “long-term” have to do with anything. Something is either right or wrong. Why is short-term acceptable? https://twitter.com/RandPaul/status/943524240581709824 

 

I will see you FRIDAY night

THROUGHOUT THE HOLIDAYS AND THE FIRST WEEK OF THE NEW YEAR,  I WILL BE VERY SPORADIC IN MY COMMENTARIES

I WILL AT LEAST PROVIDE FOR YOU THE COMEX DATA AS I FEEL THAT IS ESSENTIAL

HARVEY

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