GOLD: $1312.80 DOWN $6.30

Silver: $16.98 DOWN 14 cents

Closing access prices:

Gold $1311.80

silver: $16.94

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: $1325.13 DOLLARS PER OZ

NY PRICE OF GOLD AT EXACT SAME TIME: $1318.70

PREMIUM FIRST FIX: $6.43

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SECOND SHANGHAI GOLD FIX: $1321.22

NY GOLD PRICE AT THE EXACT SAME TIME: $1318.15

Premium of Shanghai 2nd fix/NY:$3.77

SHANGHAI REJECTS NY /LONDON PRICING OF GOLD

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LONDON FIRST GOLD FIX: 5:30 am est $1314.05

NY PRICING AT THE EXACT SAME TIME: $1315.00

LONDON SECOND GOLD FIX 10 AM: $1311.00

NY PRICING AT THE EXACT SAME TIME. 1310.75

For comex gold:

JANUARY/

NUMBER OF NOTICES FILED TODAY FOR JANUARY CONTRACT: 13 NOTICE(S) FOR 1300 OZ.

TOTAL NOTICES SO FAR: 255 FOR 25500 OZ (0.7931 TONNES),

For silver:

jANUARY

0 NOTICE(S) FILED TODAY FOR

nil OZ/

Total number of notices filed so far this month: 507 for 2,535,000 oz

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Bitcoin: BID $14,727/OFFER $14,847 DOWN $220 (morning)

 Bitcoin: BID   14,696/OFFER  $14,817 DOWN  $240(CLOSING)

end

 

your humour story of the day:

 

 

Let us have a look at the data for today

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In silver, the total open interest FELL BY TINY  215 contracts from 194,429 FALLING TO 194,214 WITH YESTERDAY’S 11 CENT FALL IN SILVER PRICING.  WE HAD MINIMAL COMEX LIQUIDATION BUT WITHOUT A DOUBT WE WITNESSED ANOTHER MAJOR BANK SHORT- COVERING OPERATION. NOT ONLY THAT , WE WERE AGAIN NOTIFIED THAT WE HAD ANOTHER GOOD SIZED NUMBER OF COMEX LONGS TRANSFERRING THEIR CONTRACTS TO LONDON THROUGH THE EFP ROUTE: A CONSIDERABLE 1340 EFP’S FOR MARCH (AND ZERO FOR OTHER MONTHS) AND THUS TOTAL ISSUANCE OF 1340 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 1340 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  EFP’S FOR SILVER ISSUED. ALSO KEEP IN MIND THAT THERE CAN BE A DELAY OF 24 HRS IN THE ISSUING OF EFP’S. I BELIEVE THAT WE MUST HAVE HAD SOME MAJOR BANKER SHORT COVERING AGAIN TODAY.

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

19,271 CONTRACTS (FOR 7 TRADING DAYS TOTAL 19,271 CONTRACTS OR 96.355 MILLION OZ: AVERAGE PER DAY: 2753 CONTRACTS OR 13.765 MILLION OZ/DAY)

RESULT: A SMALL SIZED GAIN IN OI COMEX DESPITE THE 11 CENT FALL IN SILVER PRICE WHICH USUALLY INDICATES HUGE BANKER SHORT-COVERING. WE ALSO HAD A FAIR SIZED  EFP ISSUANCE OF 1721 CONTRACTS WHICH EXITED OUT OF THE SILVER COMEX AND TRANSFERRED THEIR OI TO LONDON AS FORWARDS.  FROM THE CME DATA 1340 EFP’S WERE ISSUED FOR TODAY (FOR MARCH EFP’S AND NONE FOR ALL OTHER MONTHS) FOR A DELIVERABLE FORWARD CONTRACT OVER IN LONDON WITH A FIAT BONUS. WE REALLY GAINED 1125 OI CONTRACTS i.e. 1340 open interest contracts headed for London (EFP’s) TOGETHER WITH A DECREASE OF 215  OI COMEX CONTRACTS. AND ALL OF THIS HAPPENED WITH THE FALL IN PRICE OF SILVER BY 11 CENTS AND A CLOSING PRICE OF $17.12 WITH RESPECT TO YESTERDAY’S TRADING. YET WE STILL HAVE A GOOD AMOUNT OF SILVER STANDING AT THE COMEX.

In ounces AT THE COMEX, the OI is still represented by just UNDER 1 BILLION oz i.e. 0.9710 BILLION TO BE EXACT or 139% of annual global silver production (ex Russia & ex China).

FOR THE NEW FRONT JANUARY MONTH/ THEY FILED: 0 NOTICE(S) FOR NIL OZ OF SILVER

In gold, the open interest ROSE BY AN SMALL SIZED 631 CONTRACTS UP TO 552,072 DESPITE THE  FALL IN PRICE OF GOLD WITH YESTERDAY’S TRADING ($1.40). IN ANOTHER HUGE DEVELOPMENT, WE RECEIVED THE TOTAL NUMBER OF GOLD EFP’S ISSUED YESTERDAY FOR TODAY AND IT TOTALED A GOOD SIZED  5660 CONTRACTS OF WHICH THE MONTH OF FEBRUARY SAW 5660 CONTRACTS AND APRIL SAW THE ISSUANCE OF 0 CONTRACTS.  The new OI for the gold complex rests at 552,072. DEMAND FOR GOLD INTENSIFIES GREATLY AS WE CONTINUE TO WITNESS A HUGE NUMBER OF EFP TRANSFERS TOGETHER WITH THE MASSIVE INCREASE IN GOLD COMEX OI  TOGETHER WITH  THE TOTAL AMOUNT OF GOLD OUNCES STANDING FOR JANUARY. 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 (BIG RISE IN BOTH GOFO AND SIFO) AND WE ARE WITNESSING DELAYS IN ACTUAL DELIVERIES. IN ESSENCE WE HAVE ANOTHER GOOD GAIN OF 6,291 OI CONTRACTS: 631 OI CONTRACTS INCREASED AT THE COMEX AND A GOOD SIZED 5660 OI CONTRACTS WHICH NAVIGATED OVER TO LONDON.

FRIDAY, WE HAD 6115 EFP’S ISSUED.

ACCUMULATION OF EFP’S/ GOLD(EXCHANGE FOR PHYSICAL) FOR THE MONTH OF JANUARY STARTING WITH FIRST DAY NOTICE: 63,265 CONTRACTS OR 6.326 MILLION OZ OR 196.76 TONNES (7 TRADING DAYS AND THUS AVERAGING: 9,037 EFP CONTRACTS PER TRADING DAY OR 903,700 OZ/DAY)

Result: A SMALL SIZED INCREASE IN OI DESPITE THE  FALL IN PRICE IN GOLD TRADING ON YESTERDAY ($1.40). WE HAD ANOTHER FAIR SIZED NUMBER OF COMEX LONG TRANSFERRING TO LONDON THROUGH THE EFP ROUTE: 5660. THERE OBVIOUSLY DOES NOT SEEM TO BE MUCH PHYSICAL GOLD AT THE COMEX AND YET WE ALSO OBSERVED A HUGE DELIVERY MONTH FOR THE 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 5660 EFP CONTRACTS ISSUED, WE HAD A NET GAIN IN OPEN INTEREST OF 6,291 contracts:

5660 CONTRACTS MOVE TO LONDON AND  631 CONTRACTS INCREASED AT THE COMEX. (in tonnes, the gain in total oi equates to 19.56 TONNES)

we had: 13 notice(s) filed upon for 1300 oz of gold.

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

 

No changes in gold inventory at the GLD

Inventory rests tonight: 834.86 tonnes.

SLV/ 

NO CHANGES IN SILVER INVENTORY AT THE SLV/

INVENTORY RESTS AT 318.423 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 SMALL 215 contracts from 194,429 UP TO 194,214 (AND now A LITTLE FURTHER FROM THE NEW COMEX RECORD SET ON FRIDAY/APRIL 21/2017 AT 234,787) WITH THE FALL IN PRICE OF SILVER TO THE TUNE OF 11 CENTS   YESTERDAY.  WE HAD WITHOUT A DOUBT ANOTHER MAJOR SHORT COVERING FROM OUR BANKERS AS THEY HAVE CAPITULATED. NOT ONLY THAT BUT OUR BANKERS USED THEIR EMERGENCY PROCEDURE TO ISSUE ANOTHER 1340 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 NO COMEX SILVER COMEX LIQUIDATION. BUT, IF WE TAKE THE SMALL OI LOSS AT THE COMEX OF 215 CONTRACTS TO THE 1340 OI TRANSFERRED TO LONDON THROUGH EFP’S WE OBTAIN A GAIN OF 1125 OPEN INTEREST CONTRACTS DESPITE THE MAJOR BANKER SHORT COVERING. WE STILL HAVE A GOOD AMOUNT OF SILVER OUNCES THAT ARE STANDING FOR METAL IN JANUARY (SEE BELOW). THE NET GAIN TODAY IN OZ: 5.63 MILLION OZ!!!

RESULT: A SMALL SIZED INCREASE IN SILVER OI AT THE COMEX WITH THE FALL OF 11 CENTS IN PRICE (WITH RESPECT TO YESTERDAY’S TRADING). BUT WE ALSO HAD ANOTHER 1340 EFP’S ISSUED TRANSFERRING COMEX LONGS OVER TO LONDON. TOGETHER WITH THE GOOD  SIZED AMOUNT OF SILVER OUNCES STANDING FOR JANUARY, DEMAND FOR PHYSICAL SILVER INTENSIFIES AS WE WITNESS MAJOR BANK SHORT COVERING ACCOMPANIED BY INCREASES IN GOFO AND SIFO RATES INDICATING SCARCITY.

(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 MONDAY night/TUESDAY morning: Shanghai closed UP 4.42 points or 0.13% /Hang Sang CLOSED UP 111.88 pts or 0.36% / The Nikkei closed UP 135.46 POINTS OR 0.57%/Australia’s all ordinaires CLOSED UP 0.08%/Chinese yuan (ONSHORE) closed DOWN at 6.5280/Oil UP to 61.92 dollars per barrel for WTI and 67.86 for Brent. Stocks in Europe OPENED ALL GREEN.   ONSHORE YUAN CLOSED DOWN AGAINST THE DOLLAR AT 6.5230. OFFSHORE YUAN CLOSED DOWN AGAINST  THE ONSHORE YUAN AT 6.5300 //ONSHORE YUAN  WEAKER AGAINST THE DOLLAR/OFF SHORE WEAKER TO THE DOLLAR/. THE DOLLAR (INDEX) IS  STRONGER AGAINST ALL MAJOR CURRENCIES. CHINA IS STILL  HAPPY TODAY.(GOOD MARKETS BUT WEAKER YUAN)

 

 

3a)THAILAND/SOUTH KOREA/NORTH KOREA

i)North Korea/South Korea

b) REPORT ON JAPAN

 

 

3 c CHINA

4. EUROPEAN AFFAIRS

5. RUSSIAN AND MIDDLE EASTERN AFFAIRS

6 .GLOBAL ISSUES

7. OIL ISSUES

8. EMERGING MARKET

 

9. PHYSICAL MARKETS

 

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

i)Early trading:

 

yields rise in a mini tantrum due to the rise in Japanese bond yields.  The 10 yr yield is now over 2.50%

(courtesy zerohedge)

 

Let us head over to the comex:

The total gold comex open interest ROSE BY SMALL 631 CONTRACTS UP to an OI level of 552,072 DESPITE THE SMALL SIZED FALL IN THE PRICE OF GOLD ($1.40 LOSS WITH RESPECT TO FRIDAY’S TRADING).  OBVIOUSLY WE HAD ZERO COMEX GOLD LIQUIDATION WITH ANOTHER STRONG GAIN IN TOTAL OPEN INTEREST AS WE WITNESSED ANOTHER HUMONGOUS COMEX TRANSFER THROUGH THE EFP ROUTE. THESE LONGS RECEIVED A DELIVERABLE LONDON FORWARD TOGETHER WITH A FIAT BONUS. THE CME REPORTS THAT 5660 EFP’S WERE ISSUED FOR FEBRUARY AND 0 EFP’s  FOR APRIL:  TOTAL  5660 CONTRACTS. THE OBLIGATION STILL RESTS WITH THE BANKERS ON THESE TRANSFERS.

ON A NET BASIS IN OPEN INTEREST WE GAINED TODAY: 6291 OI CONTRACTS IN THAT 5660 LONGS WERE TRANSFERRED AS FORWARDS TO LONDON AND WE GAINED 631 COMEX CONTRACTS. NET GAIN: 6291 contracts OR 629,100 OZ OR 19.56 TONNES

Result: A SMALL SIZED INCREASE IN COMEX OPEN INTEREST DESPITE THE SMALL FALL IN THE PRICE YESTERDAY’S GOLD TRADING (1.40.) WE HAD NO GOLD LIQUIDATION ANYWHERE. TOTAL OPEN INTEREST GAIN ON THE TWO EXCHANGES: 6291 OI CONTRACTS…

We have now entered the active contract month of JANUARY. The open interest for the front month of JANUARY saw it’s open interest RISE by 14 contracts UP to 193.  We had 0 notices served on Friday so we GAINED 14 contracts or 1400 additional oz of gold will  stand in this non active month AND QUEUE JUMPING RETURNS.

FEBRUARY saw a LOSS of 13,425 contacts DOWN to 357 877.  March saw a gain of 318 contracts up to 419.  April saw a GAIN of 10,734 contracts UP to 94,459.

We had 13 notice(s) filed upon today for 1300 oz

PRELIMINARY VOLUME TODAY ESTIMATED; 329,333

FINAL NUMBERS CONFIRMED FOR YESTERDAY: 412,858

comex gold volumes are RISING AGAIN

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And now for the wild silver comex results.

Total silver OI FELL BY A TINY 215  CONTRACTS FROM 194,429 DOWN TO 194,214 DESPITE YESTERDAY’S  11 CENT FALL.  AGAIN WE MUST HAVE HAD SOME BANKER SHORT COVERING.   NOT ONLY THAT, WE HAD ANOTHER GOOD SIZED 1340 EMERGENCY EFP’S FOR MARCH ISSUED BY OUR BANKERS (ZERO FOR ALL OTHER MONTHS) TO COMEX LONGS WHO RECEIVED A FIAT BONUS PLUS A DELIVERABLE PRODUCT OVER IN LONDON: THE TOTAL EFP’S ISSUED: 1340. 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 MINIMAL LONG COMEX SILVER LIQUIDATION BUT A RISE IN TOTAL SILVER OI AS IT SEEMS THAT WE ARE WITNESSING SOME MAJOR BANKER SHORT-COVERING. WE ARE ALSO WITNESSING A FAIR AMOUNT OF SILVER OUNCES STANDING FOR COMEX METAL IN THIS NON ACTIVE JANUARY 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 1125 OPEN INTEREST CONTRACTS:

215 CONTRACT LOSS AT THE COMEX COMBINING WITH THE ADDITION OF 1340 OI CONTRACTS NAVIGATING OVER TO LONDON.

NET GAIN: 1125 CONTRACTS

We are now in the poor non active delivery month of January and here the OI LOSS by 0 contracts REMAINING AT 39.  We had 0 notices served upon yesterday, so we GAINED 0 contracts or an additional NIL oz will  stand for delivery

February saw a GAIN OF 1 OI contracts RISING TO 183. The March contract LOST 1030 contracts DOWN to 148,934.

We had 0 notice(s) filed for NIL oz for the January 2018 contract for silver

For JANUARY:
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 13 contract(s) of which 12 notices were stopped (received) by j.P. Morgan dealer and 0 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 JANUARY. contract month, we take the total number of notices filed so far for the month (255) x 100 oz or 25500 oz, to which we add the difference between the open interest for the front month of JAN. (193 contracts) minus the number of notices served upon today (13 x 100 oz per contract) equals 43,500 oz, the number of ounces standing in this active month of JANUARY

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

No of notices served (255 x 100 oz or ounces + {(193)OI for the front month minus the number of notices served upon today (0 x 100 oz which equals 43,500 oz standing in this active delivery month of JANUARY (1.353 tonnes). THERE IS 17.68 TONNES OF REGISTERED GOLD AVAILABLE FOR DELIVERY SO FAR.

WE GAINED 14 CONTRACTS OR AN ADDITIONAL 1400 OZ WILL STAND IN THIS NON ACTIVE DELIVERY MONTH OF JANUARY

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ON FIRST DAY NOTICE FOR JANUARY 2017, THE INITIAL GOLD STANDING: 3.904 TONNES STANDING

BY THE END OF THE MONTH: FINAL: 3.555 TONNES STOOD FOR COMEX DELIVERY AS THE REMAINDER HAD TRANSFERRED OVER TO LONDON FORWARDS.

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Total dealer inventory 568,449.373 oz or 17.681 tonnes (dealer gold continues to disappear)
Total gold inventory (dealer and customer) = 9,210,113.76 or 286.44 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 68 NET TONNES HAS LEFT THE COMEX.

end

And now for silver

AND NOW THE DECEMBER DELIVERY MONTH

DECEMBER FINAL standings

we had no inventory movement at the dealer side of things

total inventory movement dealer: nil oz

 

we had no inventory deposits into the customer account

total inventory deposits: nil

 

we had 2 withdrawals from the customer account;

i) out of Delaware; 1937.100 oz

ii) Out of Scotia; 500,775.220 oz

 

total withdrawals; 502,712.320 oz

we had no adjustments.

total dealer silver:  45.466 million

total dealer + customer silver:  244.470 million oz

The total number of notices filed today for the JANUARY. contract month is represented by 0 contract(s) FOR 10,000 oz. To calculate the number of silver ounces that will stand for delivery in JANUARY., we take the total number of notices filed for the month so far at 507 x 5,000 oz = 2,535,000 oz to which we add the difference between the open interest for the front month of JAN. (39) and the number of notices served upon today (0 x 5000 oz) equals the number of ounces standing.

.

Thus the INITIAL standings for silver for the JANUARY contract month: 507(notices served so far)x 5000 oz + OI for front month of JANUARY(39) -number of notices served upon today (0)x 5000 oz equals 2,730,000 oz of silver standing for the JANUARY contract month. This is VERY GOOD for this NONACTIVE delivery month of JANUARY.  WE GAINED 0 CONTRACTS OR AN ADDITIONAL NIL  OZ WILL  STAND FOR DELIVERY IN THIS NON ACTIVE DELIVERY MONTH OF JANUARY. 

ON FIRST DAY NOTICE FOR THE JANUARY 2017 CONTRACT WE HAD 3,790 MILLION OZ STAND.

THE FINAL STANDING: 3,730 MILLION OZ

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ESTIMATED VOLUME FOR TODAY: 81.496

CONFIRMED VOLUME FOR FRIDAY: 92.059 CONTRACTS

YESTERDAY’S CONFIRMED VOLUME OF 92,059 CONTRACTS EQUATES TO 460 MILLION OZ OR 65.7% 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: 240.232 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 2.6 percent to NAV usa funds and Negative 2.6% to NAV for Cdn funds!!!!
Percentage of fund in gold 62.8%
Percentage of fund in silver:37.0%
cash .+.2%( Jan 9/2018)

2. Sprott silver fund (PSLV): NAV RISES TO -0.98% (Jan 9/2018)??????????????????????????????
3. Sprott gold fund (PHYS): premium to NAV RISES TO -0.37% to NAV (Jan 9/2018 )
Note: Sprott silver trust back into NEGATIVE territory at -0.98%-/Sprott physical gold trust is back into NEGATIVE/ territory at -0.37%/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

Jan 9/no changes in gold inventory at the GLD/Inventory rests at 834.88 tonnrd

Jan 8/with gold falling by a tiny $1.40 and this being after 12 consecutive gains, today they announce another 1.44 tonnes of gold withdrawal from the GLD/

Jan 5/NO CHANGE IN GOLD INVENTORY AT THE GLD/INVENTORY RESTS AT 836.32 TONNES

Jan 4/2018/no change in gold inventory at the GLD/Inventory rests at 836.32 tonnes

Jan 3/a huge withdrawal of 1.18 tonnes of gold from the GLD/Inventory rests at 836.32 tonnes

Jan 2/2018/no changes in gold inventory at the GLD/inventory rests at 837.50 tonnes

Dec 29/NO CHANGES IN GOLD INVENTORY AT THE GLD/INVENTORY RESTS AT 837.50 TONNES

Dec 28/NO CHANGES IN GOLD INVENTORY AT THE GLD/INVENTORY RESTS AT 837.50 TONNES

Dec 27/NO CHANGES IN GOLD INVENTORY AT THE GLD/ INVENTORY RESTS AT 837.50 TONNES

Dec 26/no change in gold inventory at the GLD

Dec 22/ A DEPOSIT OF 1.48 TONNES OF GOLD INTO GLD INVENTORY/INVENTORY RESTS AT 837.50 TONNES

Dec 21′ NO CHANGE IN GOLD INVENTORY AT THE GLD/INVENTORY RESTS AT 836.02 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

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Jan 9/2018/ Inventory rests tonight at 834.88 tonnes

*IN LAST 307 TRADING DAYS: 106.09 NET TONNES HAVE BEEN REMOVED FROM THE GLD
*LAST 242 TRADING DAYS: A NET 51.22 TONNES HAVE NOW BEEN ADDED INTO GLD INVENTORY.
*FROM FEB 1/2017: A NET 210.31TONNES HAVE BEEN ADDED.

end

Now the SLV Inventory

Jan 9/a withdrawal of 848,000 oz from the SLV/Inventory rests at 317.575 million oz/

jan 8/no change in silver inventory at the SLV/Inventory rests at 318.423 million oz/

Jan 5/DESPITE NO CHANGE IN SILVER PRICING, WE HAD A HUGE WITHDRAWAL OF 2.026 MILLION OZ/INVENTORY RESTS AT 318.423 MILLION OZ.

Jan 4.2018/a slight withdrawal of 180,000 oz and this would be to pay for fees/inventory rests at 320.449 million oz/

Jan 3/NO CHANGE IN SILVER INVENTORY AT THE SLV/INVENTORY RESTS AT 320.629 MILLION OZ.

Jan 2/WITH SILVER UP DRAMATICALLY THESE PAST 4 TRADING DAYS, THE FOLLOWING MAKES NO SENSE: WE HAD A WITHDRAWAL OF 2.83 MILLION OZ FROM THE SLV

INVENTORY RESTS AT 320.629 MILLION OZ/

Dec 29/no changes in silver inventory at the SLV/inventory rests at 323.459 million oz/

Dec 28/DESPITE THE RISE IN SILVER AGAIN BY 13 CENTS, WE LOST ANOTHER 1,251,000 OZ OF SILVER FROM THE SILVER.

Dec 27/WITH SILVER UP AGAIN BY 17 CENTS, WE LOST ANOTHER 802,000 OZ OF SILVER INVENTORY/WHAT CROOKS/INVENTORY RESTS AT 324.780 MILLION OZ/

Dec 26/no change in silver inventory at the SLV./Inventory rests at 325.582

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.

Jan 9/2017:

Inventory 317.575 million oz

end

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

+ 1.73%
12 Month MM GOFO
+ 1.97%
30 day trend

end

Major gold/silver trading /commentaries for TUESDAY

GOLDCORE/BLOG/MARK O’BYRNE.

GOLD/SILVER

World is $233 Trillion In Debt: UK Personal Debt At New RecordGoldCore

January 9

The World is $233 Trillion In Debt: It’s Time to Rebalance To Gold

– Record level global debt level hit $233 trillion in Q3 2017
– World’s per capita debt now more than $30,000
– UK personal debts climbed to the highest level since credit crunch, reaching more than £200bn
– US consumer credit highest jump in 2 years by 8.8% in November to $3.83 trillion
– BofE warn UK banks could incur £30bn of losses if interest rates and unemployment rise sharply

Graph updated September 2017. 

Global debt levels have soared to a record high of $233 trillion, according to the Institute of International Finance (IIF).

Since the end of 2016 to the end of Q3 2017, the total debt incurred by the household, government, financial and non-financial corporate sectors increased by $16 trillion. A major increase in just nine months.

The institute reported that the rise was split between $63tn in government debts, $58tn in financial, $68TN in non-financial and $44tn in household sectors.

Just consider for one moment that prior to the financial crisis global debt was “only” around $150 trillion. How have we managed to add over $80 trillion in less than a decade?!

On a country-by- country basis both the UK and US saw worrying data when it came to their own levels of consumer debt.

Here in the UK personal borrowing on credit cards, loans and car finance, is now outpacing the rate of growth in UK pay five-times over.

In the US consumer credit jumped by its highest in two years, by 8.8% in November to $3.83 trillion.

Countries that saw a major increase in non-financial debt were Canada, France, Hong Kong, South Korea, Switzerland and Turkey, all saw all-time highs. Debt is increasing not because low-earners are borrowing more, but data is showing that increasing numbers of middle-class earners are driving up levels of leverage.

Why would those in usually stable jobs and comfortable earning levels be driving themselves into debt?

UK middle-class pushing up borrowing levels

UK personal debt is now rising at almost five times the rate of growth in UK pay. According to debt charities, many families are now living on the colloquially termed ‘never-never’ i.e. they rely on the prayer that they can keep transferring debt and therefore never repay it.

These are not all people who have directly suffered from the financial crisis by losing their jobs or losing their homes. Many are suffering from the repercussions of the ‘solutions’ to the downturn. According to StepChange the majority of those they help are employed, some even have senior roles and one in five are homeowners.

Last year credit card debt levels grew at their fastest rate in 11 years. In April alone £606 million was put on plastic. Previously the Bank of England and other organisations have not expressed too much concern about the ability of households to pay this back. Until now that is.

This week a report by the Bank of England and FCA, stated that British consumers are trapped by credit card debt for longer than previously thought.

The Guard-+ian reports on the study:

Nine out of every £10 of outstanding credit card debt in November 2016 was owed by people who were also in the red two years earlier, according to the study.

The analysis follows the rapid growth in personal borrowing on credit cards, loans and car finance, now rising at almost five times the rate of growth in UK pay. Households are finding themselves increasingly squeezed by meagre earnings growth and rising inflation, as the weak pound after the Brexit vote pushes up the cost of imported goods.

Bank data shows personal debts have risen to the highest level since before the credit crunch, reaching more than £200bn – with credit cards accounting for more than £70bn of the total.

Households are also facing a year of stagnant real earnings growth in 2018, which may push them further into debt should they wish to maintain their living standards.

Writing on the Bank Underground blog – where Threadneedle Street staff can air their views in public – the officials said: “Although a consumer may clear their debt on one credit product, it is not uncommon for them to remain in debt as they transfer balances, take out new credit products or draw down on existing credit lines, such as credit cards.”

US consumers feel confident to borrow more

The US Federal Reserve had a notable 2017 given their actions to both reduce their balance sheet and increase interest rates. One would have thought that an increase in the cost of borrowing would have given consumers pause for thought when it came to taking out loans.

This was not the case. In November 2017 consumer credit grew rapidly by $28.0bn in November. This was the largest gain in 16 years, according to Nomura. In the month previous it had climbed by $20.5bn.

Nomura, reporting on the data, pointed to the figures as if they are a sign of strength in the economy ‘This appears consistent with a strong labor market with low unemployment and elevated consumer confidence, which we expect will continue in the near term.’

In the US consumer spending accounts for roughly 7-0% of the economy’s activity. Last month surveys showed that American shoppers are feeling increasingly confident in the state of the country’s future. Early holiday reports suggest spending did not take a hit. However it was big loans such as student and auto which accounted for the major leap in debt levels.

So, if student loans accounted for a near $16.8 billion leap in the country’s spending, can one really argue that the increase is thanks to confidence levels. To me that sounds like a form of borrowing which is thanks to necessity rather than confidence.

Soon those student loans will need to be paid back, in an economy which is not currently creating that many jobs for graduates.

The student debt bubble is not a new phrase. It is something that has been reported on widely but with the logic that if we talk about it loud enough it might just skulk away and not rear its head. We should be so lucky.

As the FT reported back in April:

It is worth noting that over the past 10 years the amount of student loan debt in the US has grown by 170 per cent, to a whopping $1.4tn — more than car loans, or credit card debt.

In America, 44m people have student debt. Eight million of those borrowers are in default. That’s a default rate which is still higher than pre-crisis levels — unlike the default rate for mortgages, credit cards or even car loans. Rising college education costs will not help shrink those numbers. While the headline consumer price index is 2.7 per cent, between 2016 and 2017 published tuition and fee prices rose by 9 per cent at four-year state institutions, and 13 per cent at posher private colleges.

This is not something that can be magicked away by economic growth. Investors are worrying about their portfolios thanks to a financial crisis caused by rising, unsustainable debt levels. We appear to be in the same, if not worse, position that got us here in the first place.

Rebalance to combat global imbalance

These raging debt levels, whether government or consumer, are clearly unsustainable. These figures should serve as an indicator to investors that now is the time to look at their portfolios and rebalance them for this unbalanced world.

A shift from risk assets to safe haven assets such as gold and silver bullion seems to be a timely move, right now.

The concern with debt-levels such as these is that they end up scuppering the period of accelerated growth in global GDP, that we are currently witnessing. At the moment this high growth is the only way central banks and governments can justify the high levels of debt.

Central banks are obviously keen to start reigning in their balance sheets as well as increase interest rates. Unsustainable levels of debt could force them to park these plans should debtors begin to struggle with repayments.

This is quite the vicious circle. As we all know it was low interest rates which propelled such a highly-leveraged situation in the first place. This is an unsustainable path, something the central banks have become aware of all too late but now it seems they’ve buried themselves in real deep red hole.

Needless to say the future of global growth has been built on the Emperor’s New Clothes of foundations. There is little value really propping up an economy when it relies on its citizens drowning itself in debt in order to keep the charade going.

There’s little we can do to prevent individuals wracking up credit card debts or buying cars on finance. All we can do is prepare our portfolios for when the world realises that it’s standing on thin air.

Gold that is held in a segregated, allocated portfolio is a key way to protect your savings from counter-party risk in the financial system.  Gold’s performance in 2017, along with low gold liquidations, increased demand for gold coins and bars and central bank purchases suggests that gold buyers have identified that this really is all a mirage.

It is obvious from both political and economic events that the global economic crisis is not over. Data shows that we are fast approaching circumstances worse than those seen prior to 2008. Sadly no one is acknowledging them and solutions and preparations are not being considered.

-END-

END

 

RT reports that the rise in gold reserves between Russia and China is aimed to shake USA dominance

 

(courtesy RT/GATA)

 

Russia-China gold reserves could shake U.S. economic dominance, expert tells RT

 

---

end

3. ASIAN AFFAIRS

i)Late MONDAY night/TUESDAY morning: Shanghai closed UP 4.42 points or 0.13% /Hang Sang CLOSED UP 111.88 pts or 0.36% / The Nikkei closed UP 135.46 POINTS OR 0.57%/Australia’s all ordinaires CLOSED UP 0.08%/Chinese yuan (ONSHORE) closed DOWN at 6.5280/Oil UP to 61.92 dollars per barrel for WTI and 67.86 for Brent. Stocks in Europe OPENED ALL GREEN.   ONSHORE YUAN CLOSED DOWN AGAINST THE DOLLAR AT 6.5230. OFFSHORE YUAN CLOSED DOWN AGAINST  THE ONSHORE YUAN AT 6.5300 //ONSHORE YUAN  WEAKER AGAINST THE DOLLAR/OFF SHORE WEAKER TO THE DOLLAR/. THE DOLLAR (INDEX) IS  STRONGER AGAINST ALL MAJOR CURRENCIES. CHINA IS STILL  HAPPY TODAY.(GOOD MARKETS BUT WEAKER YUAN)

3 a NORTH KOREA/USA

NORTH KOREA/SOUTH KOREA

 

Peace progress.  North Korea will be sending a team to the Winter Games much to the chagrin of the uSA. Seoule is also prepared to lift some sanctions against the North.

 

(courtesy zerohedge)

 

3 b JAPAN AFFAIRS

Oh OH, it started.  We have been warning you that Japan is running out of bonds to buy. The Bank of Japan has now begun to taper its bond buying. This sends the yen flying and bond yields rising.

 

 

 

c) REPORT ON CHINA

 

China removes one of the support factors in the yuan fixing and this causes the yuan to fall.  It looks like China is ready to have the market determine the value of the yuan.

 

 

(courtesy zerohedge)

 

end

4. EUROPEAN AFFAIRS

 

end

5. RUSSIAN AND MIDDLE EASTERN AFFAIRS

IRAN/CHINA

With Washington set to impose more sanctions on Iran, it is likely that Iran will switch from receiving dollars for its oil to yuan.

(courtesy Nick Cunningham/OilPrice.com)

Iran Sanctions Will Help China’s Petro-Yuan

Authored by Nick Cunningham via OilPrice.com,

In a few days, U.S. President Trump may try to re-impose sanctions on Iran, a dramatic step that could heighten tensions between the two countries. Some analysts believe the move could contribute to a much broader global economic power shift from the U.S. to China.

The connection between the issues may not be obvious at first glance, but by seeking to isolate Iran from the international market, Iran could look elsewhere.

 

Because the global oil trade is conducted in greenbacks, the U.S Treasury was able to restrict Iran’s ability to access the global financial system in the past. That made it extremely difficult for Iran to sell its oil prior to the thaw in relations in 2015, which kept millions of barrels of daily oil production on the sidelines.

This time around, however, the U.S. will likely go it alone. The Trump administration won’t have the backing of the international community in its campaign to resurrect sanctions against Iran, which will make isolation much more difficult. A few months ago, Goldman Sachs predicted that unilateral sanctions from the U.S. could affect a few hundred thousand barrels per day from Iran, but without help from the rest of the world, the effort would not curtail nearly the same amount of oil as the last time around.

Moreover, some analysts argue that the Washington crackdown could merely push Iran to begin selling oil under contracts denominated in yuan rather than dollars.

“Potential consequent reactivation of sanctions may cause Iran to export oil using the Chinese Yuan denominated contract, which launches on 18 January,” Bjarne Schieldrop, Chief Commodities Analyst at SEB, said in a statement.

“This may spark a move away from the present long-established U.S. Dollar (USD) denominated oil trading regime.”

For a while, China has worked to launch a yuan-denominated oil futures contract—a move that would symbolize, as well as contribute to, the ascendance of the Chinese economy as a rival to long-held U.S. hegemony. Reports suggest China is planning to allow trading in the oil futures contract on the Shanghai Futures Exchange on January 18.

“The increased threat of renewed U.S. banking/USD sanctions on Iran alone is likely to boost Iran’s interest in the new Yuan oil contract,” said Bjarne Schieldrop of SEB. “China will benefit considerably from such developments.” Schieldrop argues that the more that the oil trade is conducted in yuan, the more the Chinese currency will be recognized as a major, or even a central, global currency.

“While the USD will not be replaced overnight as the world’s reserve currency nor as the one most commonly used for crude oil trading, it will be negative for the greenback, which will cease to be the crude oil market’s only ruling currency,” Schieldrop added.

The implications aren’t just a concern for national security types sitting in Washington. The weakening of the dollar could result in higher oil prices. “A potentially significantly weaker dollar would mean a much higher Brent crude oil price in nominal terms making today’s longer-term nominal prices a bargain,” Schieldrop said.

China has had some false starts in its quest to launch its yuan-denominated futures contract, but the official launch appears to be only days away. The contract will only be powerful to the extent that it becomes highly liquid and widely traded, which will only be achieved when more of the global oil trade is conducted in the currency. Meanwhile, Russia recently announced that it would sell $1 billion worth of yuan-denominated bonds in 2018—another move that will bolster the rise of the yuan as a top global currency.

But investors are unlikely to jump full on into the petro-yuan just yet; capital controls in China will deter some interest. Any transition from the U.S. dollar to the yuan will take years. But milestones such as an oil futures contract are one of the many building blocks needed to push the greenback off of its perch.

Washington could unwittingly accelerate the changeover. President Trump has sought to “make America great again,” but his effort to isolate Iran could have the side effect of pushing OPEC’s third-largest exporter onto the Chinese currency—giving a boost to China’s rise.

end

 

6. GLOBAL ISSUES

 

Amazing! every time a state or a province raises the minimum wage, companies react by initiating job less plus reducing benefits etc.  Just look what Tim Horton did when Ontario raised its minimum wage

 

(courtesy zero hedge)

A Curious Thing Happened When Ontario Hiked Minimum Wages By Over 20%

Minimum wage hikes, and the inevitable job losses that result from them, are a consistent topic of conversation for us…here are just a couple of recent examples:

• Seattle Min Wage Hikes Crushing The Poor: 6,700 Jobs Lost, Annual Wages Down $1,500 – UofW Study
• Study Finds Higher Min. Wages Bring Crushing Job Losses For Female And Minority Workers
• Harvard ‘Shock’ Study: Each $1 Minimum Wage Hike Causes 4-10% Increase In Restaurant Failures

Of course, no amount of empirical evidence (or common sense for that matter) will ever be sufficient to convince left-leaning politicians that basic economic concepts governing the relationship between supply and demand also apply to the market for labor.  No, in the mind of politicians, every business ever created is an evil corporation owned exclusively by “millionaire, billionaire, private jet owners” who earn infinite profits and will casually accept whatever minimum wage hikes or tax increases are thrown at them…

That said, here in the real world, competition prevents corporations from earning excess profits (at least for an extended period of time anyway) and businesses respond to higher labor costs through capital investments designed to reduce labor (think ordering kiosks at McDonald’s) and/or other cost cutting initiatives.

In fact, for the latest example of the unintended consequences of higher minimum wages, one has to look no further than a pair of Tim Horton’s franchises in Ontario, Canada.  Faced with a 21% hike in minimum wages starting January 1st, with hourly rates going to $14 from $11.60, owners of the two restaurants said they had no choice but to cut employee benefits and eliminate paid breaks to offset their higher costs.  Per the Financial Post:

Employees at the Tim Hortons locations owned by the children of the co-founders of the franchise say they have reduced employee benefits and cut back paid breaks to help offset Ontario’s $2.40 jump in hourly minimum wage.

Jeri Horton-Joyce and Ron Joyce Jr. wrote a letter to employees at their two Tim Hortons restaurants in Cobourg, Ont., that those who want to continue receiving dental and health benefits will have to pay a portion of the plan’s costs themselves. Those working at the restaurant for more than five years will have to pay half, while those working from more than six months to five years will pay 75 per cent.

Employee breaks will also no longer be compensated, the letter dated December 2017 read. For example, those working nine-hour shifts will be paid for eight hours and 20 minutes, while those on three-hour blocks will be paid for two hours and 45 minutes.

“We apologize for these changes,” the letter, widely circulated on social media, read. “Once the costs of the future are better known we may bring back some or all of the benefits we have had to remove.”

The alternative would be for the franchises to simply raise prices to offset their higher cost structure, which they did not, demonstrating how little confidence in pricing power businesses have despite the constant media cheerleading about the “coordinated global recovery.”

Discussions about economic stability aside, such efforts only seem to further undermine the relative profitability of small businesses versus larger national chains and drive lower volumes as fewer people can afford to eat out.

The minimum wage hike and other new franchisee costs, like vacation pay, have put Tim Hortons franchisees in “a difficult situation,” said a statement from the GWNFA’s board of directors.

The GWNFA, whose membership hit half of all Canadian Tim Hortons franchisees last October, said its goal is to mitigate job losses.

But without help from their parent company in lowering food costs, raising prices and reducing couponing, the association said franchisees have been forced to take steps to protect their business.

“While other competitors have received concessions from their franchisors, unfortunately our chain has not,” the GWNFA said. “Many of our store owners are left no alternative but to implement cost-saving measures in order to survive.”

Conclusion: Keep up the good “Fight for $15”, Bernie; it seems to be working really well.

7. OIL ISSUES

 

Both oil and gasoline rise after a huge drawdown in crude

 

(courtesy zerohedge)

WTI/RBOB Spike After Massive Crude Draw

WTI/RBOB prices soared once again today amid hopes for an 8th straight week of crude draws (and overall stockpiles near 5y average levels). API did not disappoint with a massive 11.19mm crude draw (biggest since Sept ’16) and continued builds in gasoline and distillates. WTI Knee-jerked to the highs of the day.

“The market is anticipating a pretty good draw in the crude oil storage number,” Bob Yawger, director of futures at Mizuho Securities USA Inc. in New York, said by telephone.

API

• Crude 11.19mm (-421k exp) – biggest draw since Sept 2016
• Cushing -2.156mm (-1.5mm exp)
• Gasoline +4.685mm (+3.25mm exp)
• Distillates +4.635mm (+2.25mm exp)

Last week’s massive product inventory builds (and ongoing crude draw – last week biggest draw since Aug) continued with a massive crude build (11.19mm would be the bigg4est crude draw since Sept 2016 if it hold sup for DOE data).

 

Overall, US crude stockpiles are nearing the five-year average after three years above that level…

 

The last time oil inventories in the world’s biggest economy touched these levels was September 2015.

 

WTI touched $63 intraday today ahead of the API print and spiked modestly higher on crude’s huge draw…

 

“Production cuts and demand are continuing to rebalance the market,” Gene McGillian, a market research manager at Tradition Energy in Stamford, Connecticut, said by telephone.

8. EMERGING MARKET

 

 

 end

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

TRADING IN GRAPH FORM FOR THE DAY

 

 

Early trading:

 

yields rise in a mini tantrum due to the rise in Japanese bond yields.  The 10 yr yield is now over 2.50%

(courtesy zerohedge)

 

END

 

 

 

Bill Gross just called the top of the bond price highs with Japan tapering and the USA bond yields rising

 

(courtesy zerohedge)

 

 

Negative family net worth growth is rising with the latest states that the median net worth is below 1989 levels.

Almost 30.4% of the population have zero  or non home wealth.

(courtesy Mish Shedlock/Mishtalk)

(courtesy zerohedge)

I will  see you WEDNESDAY night

HARVEY