GOLD: $1306.20  DOWN $ 12.15  (COMEX TO COMEX CLOSINGS)

Silver: $16.12 DOWN 24 CENTS (COMEX TO COMEX CLOSINGS)

Closing access prices:

Gold $1304.00

silver: $16.16

For comex gold:

MAY/

NUMBER OF NOTICES FILED TODAY FOR MAY CONTRACT:3 NOTICE(S) FOR 300 OZ.

TOTAL NOTICES SO FAR 13 FOR 1300 OZ (0.040 tonnes)

For silver:

MAY

2671 NOTICE(S) FILED TODAY FOR

13,350,000 OZ/

Total number of notices filed so far this month: 3451 for 17,255,000 oz

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Bitcoin: BID $8989/OFFER $9089: down $206(morning)

Bitcoin: BID/ $8973/offer $9072: DOWN $224  (CLOSING/5 PM)

 

end

First Shanghai gold fix comes at 10 pm est

The second Shanghai gold fix:  2:15 pm

First Shanghai gold fix gold: 10 pm est:  1326.03

NY price  at the same time: 1313.15

PREMIUM TO NY SPOT: $12.88

ss

Second gold fix early this morning:  1327.26

USA gold at the exact same time:  1312.40

PREMIUM TO NY SPOT:  $14.86

AGAIN, SHANGHAI REJECTS NEW YORK PRICING.

WE WILL NOT PROVIDE LONDON FIXES AS THEY ARE NOT ACCURATE AS TO WHAT IS GOING ON AT THE SAME TIME FRAME.

Let us have a look at the data for today

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In silver, the total OPEN INTEREST  ROSE BY A CONSIDERABLE 3206 CONTRACTS FROM  190,177  RISING TO 193,383  DESPITE YESTERDAY’S 11 CENT FALL IN SILVER PRICING. AFTER A  STRING OF 4 CONSECUTIVE OI GAINS, WE ENDED OUR 5 CONSECUTIVE DROPS IN OI WITH YESTERDAY’S RISE AND WE NOW HAVE TWO CONSECUTIVE DAYS OF OI GAINS.  WE ARE NOW WITNESSING OUR USUAL AND CUSTOMARY COMEX LONG LIQUIDATION AS WE ENTERED INTO THE ACTIVE DELIVERY MONTH OF MAY AS LONGS PACK THEIR BAGS AND MIGRATE OVER TO LONDON.  WE WERE  NOTIFIED THAT WE HAD AN FAIR SIZED NUMBER OF COMEX LONGS TRANSFERRING THEIR CONTRACTS TO LONDON THROUGH THE EFP : 0 EFP CONTRACTS FOR APRIL,  0 EFP’S FOR MAY , 2900 EFP’S FOR JULY AND ZERO FOR ALL  OTHER MONTHS  AND THEREFORE TOTAL ISSUANCE OF 2900 CONTRACTS. WITH THE TRANSFER OF 2900 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. ALSO KEEP IN MIND THAT THERE CAN BE A DELAY OF 24-48 HRS IN THE ISSUING OF EFP’S. THE 2900 EFP CONTRACTS TRANSLATES INTO 17.875 MILLION OZ  ACCOMPANYING:

1.THE FALL IN  SILVER PRICE (11 CENTS) AT THE COMEX AND

2. THE STRONG AMOUNT OF SILVER OUNCES STANDING FOR MAY COMEX DELIVERY. (24.1 MILLION OZ)

ACCUMULATION FOR EFP’S/SILVER/J.P.MORGAN’S HOUSE OF BRIBES, / STARTING FROM FIRST DAY NOTICE/FOR MONTH OF APRIL: (FINAL)

2900 CONTRACTS (FOR 1 TRADING DAYS TOTAL 2900 CONTRACTS) OR 17.875 MILLION OZ: AVERAGE PER DAY: 2900 CONTRACTS OR 17.875 MILLION OZ/DAY

TO GIVE YOU AN IDEA AS TO THE HUGE SUPPLY THIS MONTH IN SILVER:  SO FAR THIS MONTH:  17.875 MILLION PAPER OZ HAVE MORPHED OVER TO LONDON. THIS REPRESENTS AROUND 2.55% OF ANNUAL GLOBAL PRODUCTION (EX CHINA EX RUSSIA)

ACCUMULATION IN YEAR 2018 TO DATE SILVER EFP’S:  1,160      MILLION OZ.

ACCUMULATION FOR JAN 2018:                                               236.879     MILLION OZ

ACCUMULATION FOR FEB 2018:                                               244.95         MILLION OZ

ACCUMULATION FOR MARCH 2018:                                       236.67         MILLION OZ

ACCUMULATION FOR APRIL 2018:                                          385.75         MILLION OZ

RESULT: WE HAD A CONSIDERABLE SIZED RISE IN COMEX OI SILVER COMEX OF 3206 DESPITE THE  11 CENT LOSS IN SILVER PRICE. WE HAVE NOW ENTERED THE NEW ACTIVE MONTH OF MAY.   THE CME NOTIFIED US THAT IN FACT WE HAD AN STRONG  SIZED EFP ISSUANCE OF 2900 CONTRACTS WHICH EXITED OUT OF THE SILVER COMEX AND TRANSFERRED THEIR OI TO LONDON AS FORWARDS. SPECULATORS CONTINUED THEIR INTEREST IN ATTACKING THE SILVER COMEX FOR PHYSICAL SILVER (SEE COMEX DATA) . FROM THE CME DATA:  0 CONTRACTS WERE ISSUED FOR APRIL, 0  EFP’S WERE ISSUED  FOR THE  MONTH OF MAY, AND 2900 EFP CONTRACTS FOR JULY,   FOR  A DELIVERABLE FORWARD CONTRACT OVER IN LONDON WITH A FIAT BONUS (TOTAL: 2900). TODAY WE GAINED 6106  TOTAL OI CONTRACTS  ON THE TWO EXCHANGES: i.e. 2900 OPEN INTEREST CONTRACTS HEADED FOR LONDON  (EFP’s) TOGETHER WITH AN INCREASE OF 3206  OI COMEX CONTRACTS. AND ALL OF THIS HAPPENED WITH THE  FALL IN PRICE OF SILVER OF 11 CENTS AND A CLOSING PRICE OF $16.36 WITH RESPECT TO YESTERDAY’S TRADING. YET WE STILL HAVE A STRONG AMOUNT OF SILVER STANDING AT THE COMEX FOR DELIVERY IN THIS  ACTIVE MAY DELIVERY MONTH. IT SURE SEEMS THAT WE MUST HAVE HAD SOME BANKER SHORT COVERING ON BOTH EXCHANGES.

In ounces AT THE COMEX, the OI is still represented by UNDER 1 BILLION oz i.e. .967 MILLION OZ TO BE EXACT or 138% of annual global silver production (ex Russia & ex China).

FOR THE NEW FRONT MAY MONTH/ THEY FILED AT THE COMEX: 2671 NOTICE(S) FOR 1,335,000 OZ OF SILVER

IN SILVER, WE HAVE NOW SET THE NEW RECORD OF OPEN INTEREST AT 243,411 AND AGAIN THIS HAS BEEN SET WITH A LOW PRICE OF $16.51  ON APRIL 9.2018.

ON THE DEMAND SIDE WE HAVE THE FOLLOWING:

1. HUGE AMOUNTS OF SILVER STANDING FOR DELIVERY  (MARCH: 27 MILLION OZ , APRIL: 2.485 MILLION OZ  AND MAY: 24.1 MILLION OZ )
2. HUGE RECORD OPEN INTEREST IN SILVER  243,411 CONTRACTS (OR 1.217 BILLION OZ/ SET APRIL 9/2018
3. HUGE ANNUAL EFP’S ISSUANCE EQUAL TO 2.9 BILLION OZ OR 400% OF SILVER ANNUAL PRODUCTION/2017
4. RECORD SETTING EFP ISSUANCE FOR ANY MONTH IN SILVER; APRIL/2018/ 385.75 MILLION OZ/ (FINAL)

AND YET, WITH THE EXTREMELY HIGH EFP ISSUANCE, WE HAVE A CONTINUAL LOW PRICE OF SILVER DESPITE THE ABOVE HUGE DEMAND.  TO ME THE ONLY ANSWER IS THAT WE HAVE SOVEREIGN  (CHINA) WHO IS ENDEAVOURING TO GOBBLE UP ALL AVAILABLE PHYSICAL SILVER NO MATTER WHERE, EXACTLY WHAT J.P.MORGAN IS DOING. AND IT IS MY BELIEF THAT J.P.MORGAN IS HOLDING ITS SILVER FOR ITS BENEFICIAL OWNER..THE USA GOVERNMENT WHO IN TURN IS HOLDING THAT SILVER FOR CHINA.(FOR A SILVER LOAN REPAYMENT). IT ALSO LOOKS LIKE BANKER CAPITULATION IN SILVER AS THEY STRUGGLE TO REMOVE SOME OF THEIR HUGE OBLIGATIONS.

In gold, the open interest ROSE BY A STRONG 7939 CONTRACTS UP TO 506,226 DESPITE THE FALL IN THE GOLD PRICE/YESTERDAY’S TRADING (LOSS OF $4.05).  WE ARE NOW IN THE NON ACTIVE DELIVERY MONTH OF MAY.  THE CME RELEASED THE DATA FOR EFP ISSUANCE AND IT TOTALED A GOOD SIZED 5747 CONTRACTS :   JUNE SAW THE ISSUANCE OF 5747 CONTRACTS , MAY SAW THE ISSUANCE OF 0 CONTRACTS  AND AUGUST SAW THE ISSUANCE OF: 0 CONTRACTS WITH ALL OTHER MONTHS ZERO.  The new OI for the gold complex rests at 503,700. ALSO REMEMBER THAT THERE WILL BE A DELAY IN THE ISSUANCE OF EFP’S.  THE BANKERS REMOVE LONG POSITIONS OF COMEX GOLD IMMEDIATELY.  THEN THEY ORCHESTRATE THEIR PRIVATE EFP DEAL WITH THE LONGS AND THAT COULD TAKE AN ADDITIONAL 48 HRS SO WE GENERALLY DO NOT GET A MATCH WITH RESPECT TO DEPARTING COMEX LONGS AND NEW EFP LONG TRANSFERS. . 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 HUMONGOUS SIZED  OI GAIN IN CONTRACTS ON THE TWO EXCHANGES: 7939  OI CONTRACTS INCREASED AT THE COMEX AND AN GOOD SIZED 5747 EFP OI CONTRACTS WHICH NAVIGATED OVER TO LONDON.THUS  TOTAL OI GAIN: 13,686 CONTRACTS OR 1,368,600 OZ = 42.569 TONNES. AND ALL OF THIS OCCURRED WITH A LOSS OF $4.05 DURING YESTERDAY’S RAID???

YESTERDAY, WE HAD 7816  EFP’S ISSUED.

ACCUMULATION OF EFP’S GOLD AT J.P. MORGAN’S HOUSE OF BRIBES: (EXCHANGE FOR PHYSICAL) FOR THE MONTH OF MAY : 5747 CONTRACTS OR 54700  OZ OR 17.875 TONNES (1 TRADING DAYS AND THUS AVERAGING: 5747 EFP CONTRACTS PER TRADING DAY OR 574,700 OZ/ TRADING DAY)

TO GIVE YOU AN IDEA AS TO THE HUGE SIZE OF THESE EFP TRANSFERS :    THIS MONTH IN 1 TRADING DAYS IN  TONNES: 17.875 TONNES

TOTAL ANNUAL GOLD PRODUCTION, 2017, THROUGHOUT THE WORLD EX CHINA EX RUSSIA: 2555 TONNES

THUS EFP TRANSFERS REPRESENTS 17.85/2550 x 100% TONNES =  0.700% OF GLOBAL ANNUAL PRODUCTION SO FAR IN APRIL ALONE.*** THE ACCUMULATION OF EFP CONTRACTS IS RISING PER MONTH.

ACCUMULATION OF GOLD EFP’S YEAR 2018 TO DATE:  2,776.30*  TONNES   *SURPASSED ANNUAL PROD’N

ACCUMULATION OF GOLD EFP’S FOR JANUARY 2018:           653.22  TONNES

ACCUMULATION OF GOLD EFP’S FOR FEBRUARY 2018:         649.45 TONNES

ACCUMULATION OF GOLD EFP’S FOR MARCH 2018:                741.89 TONNES  (22 TRADING DAYS)

ACCUMULATION OF GOLD EFP’S FOR APRIL 2018:                   713.84 TONNES  (21 TRADING DAYS)

WHAT IS ALARMING TO ME, ACCORDING TO OUR LONDON EXPERT ANDREW MAGUIRE IS THAT THESE EFP’S ARE BEING TRANSFERRED TO WHAT ARE CALLED SERIAL FORWARD CONTRACT OBLIGATIONS AND THESE CONTRACTS ARE LESS THAN 14 DAYS.  ANYTHING GREATER THAN 14 DAYS, THESE MUST BE RECORDED AND SENT TO THE COMPTROLLER, GREAT BRITAIN TO MONITOR RISK TO THE BANKING SYSTEM.  IF THIS IS INDEED TRUE, THEN THIS IS A MASSIVE CONSPIRACY TO DEFRAUD AS WE NOW WITNESS A MONSTROUS TOTAL EFP’S ISSUANCE AS IT HEADS INTO THE STRATOSPHERE. 

Result: A HUGE  INCREASE IN OI AT THE COMEX OF 7939  DESPITE THE FALL  IN PRICE // GOLD TRADING YESTERDAY ($4.05 LOSS). WE ALSO HAD A GOOD SIZED NUMBER OF COMEX LONG TRANSFERRING TO LONDON THROUGH THE EFP ROUTE: 5747 CONTRACTS AS THESE HAVE ALREADY BEEN NEGOTIATED AND CONFIRMED.   THERE OBVIOUSLY DOES NOT SEEM TO BE MUCH PHYSICAL GOLD AT THE COMEX.  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 5747 EFP CONTRACTS ISSUED, WE HAD A HUMONGOUS SIZED NET GAIN OF 13,686 CONTRACTS IN TOTAL OPEN INTEREST  ON THE TWO EXCHANGES: 

5747 CONTRACTS MOVE TO LONDON AND 7,939 CONTRACTS INCREASED AT THE COMEX. (in tonnes, the GAIN in total oi equates to 42.569 TONNES).

we had: 3 notice(s) filed upon for 300 oz of gold at the comex.

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

GLD…

WITH GOLD DOWN  $12.15 /NO CHANGE IN GOLD INVENTORY AT THE GLD

Inventory rests tonight: 871.20 tonnes.

SLV/

WITH SILVER DOWN 24 CENTS TODAY: NO CHANGES IN SILVER INVENTORY AT THE SLV/

/INVENTORY RESTS AT 316.899 MILLION OZ/

end

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

1. Today, we had the open interest in SILVER ROSE BY A CONSIDERABLE 3206 CONTRACTS from 190,177 UP TO 193,383 (AND CLOSER TO THE  NEW COMEX RECORD SET /APRIL 9/2017 AT 243,411/SILVER PRICE AT THAT DAY: $16.53). THE PREVIOUS RECORD OTHER THAN WAS ESTABLISHED AT: 234,787, SET ON APRIL 21.2017 OVER ONE YEAR AGO.  THE PRICE OF SILVER ON THAT DAY: $17.89. AFTER WE HAVE HAD PREVIOUSLY FOUR CONSECUTIVE OI GAINS YESTERDAY ENDED FIVE  CONSECUTIVE OI DROPS AND NOW TODAY WE HAVE TWO CONSECUTIVE OI GAINS.  OUR CUSTOMARY MIGRATION OF COMEX LONGS MORPH INTO LONDON FORWARDS CONTINUES AS OUR BANKERS USED THEIR EMERGENCY PROCEDURE TO ISSUE: 0 EFP CONTRACTS FOR APRIL, 206 EFP CONTRACTS FOR MAY  (WE DO NOT GET A LOOK AT THESE CONTRACTS AS IT IS PRIVATE BUT THE CFTC DOES AUDIT THEM), AND 2900 EFP’S FOR JULY AND ALL OTHER MONTHS ZERO. TOTAL EFP ISSUANCE:  1272 CONTRACTS. EFP’S GIVE OUR COMEX LONGS A FIAT BONUS PLUS A DELIVERABLE PRODUCT OVER IN LONDON.  IF WE TAKE THE  OI GAIN AT THE COMEX OF 3206 CONTRACTS TO THE 2900 OI TRANSFERRED TO LONDON THROUGH EFP’S,  WE OBTAIN A STRONG GAIN OF 6106 OPEN INTEREST CONTRACTS.  THUS IN OUNCES, THE GAIN ON THE TWO EXCHANGES:  30.53 MILLION OZ!!! AND THIS OCCURRED DESPITE A  FALL IN PRICE OF 11 CENTS.  THE BANKERS ORCHESTRATED THEIR RAID THROUGHOUT LAST WEEK  DESPERATELY TRYING TO PARE THEIR GIGANTIC OPEN INTEREST SHORT ON BOTH EXCHANGES BUT TO NO AVAIL. JUDGING BY THE RECORD NUMBER OF ISSUANCE DURING LAST MONTH OF APRIL AT 385.75 MILLION OZ. I DO NOT THINK THAT OUR BANKERS HAVE BEEN TOO SUCCESSFUL. THE CONSTANT RAIDS ARE NOW BEING CALLED UPON BY OUR BANKER FRIENDS ARE DONE IN AN ATTEMPT TO SHAKE AS MANY SILVER LEAVES FROM THE SILVER TREE AS POSSIBLE.

RESULT: A STRONG SIZED INCREASE IN SILVER OI AT THE COMEX DESPITE THE FALL IN SILVER PRICING / YESTERDAY (11 CENTS/) . BUT WE ALSO HAD ANOTHER GOOD SIZED 2900 EFP’S ISSUED TRANSFERRING COMEX LONGS OVER TO LONDON. TOGETHER WITH THE STRONG  SIZED AMOUNT OF SILVER OUNCES STANDING FOR APRIL, DEMAND FOR PHYSICAL SILVER CONTINUES TO INTENSIFY AS WE WITNESS SEVERE BACKWARDATION IN SILVER IN LONDON.

(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)TUESDAY MORNING/MONDAY NIGHT: Shanghai closed   /Hang Sang CLOSED    / The Nikkei closed UP 40.16 POINTS OR 0.18%/Australia’s all ordinaires CLOSED UP .47%  /Chinese yuan (ONSHORE) closed UP at 6.3322/Oil UP to 67.95 dollars per barrel for WTI and 74.13 for Brent. Stocks in Europe OPENED DEEPLY IN THE GREEN.   ONSHORE YUAN CLOSED UP AT 6.3322 AGAINST THE DOLLAR. OFFSHORE YUAN CLOSED DOWN ON THE DOLLAR AT 6.3341/ONSHORE YUAN TRADING STRONGER AGAINST OFFSHORE YUAN/ONSHORE YUAN TRADING STRONGER AGAINST USA DOLLAR/OFFSHORE YUAN TRADING A LITTLE WEAKER AGAINST THE DOLLAR /CHINA RETALIATES WITH TARIFFS/ TRUMP RESPONDS TO NEW TARIFFS AND IT NOW LOOKS LIKE A FULL TRADE WAR IS BEGINNING/

/NORTH KOREA/SOUTH KOREA

i)North Korea/South Korea/USA

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

Trading Volumes on the COMEX

PRELIMINARY COMEX VOLUME FOR TODAY: 269,983  contracts

CONFIRMED COMEX VOL. FOR YESTERDAY: 329,826 contracts

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And now for the wild silver comex results.

Total silver OI ROSE BY A CONSIDERABLE 3206 CONTRACTS FROM 190,177 UP TO 193,383 (AND CLOSER TO THE NEW RECORD OI FOR SILVER SET APRIL 9.2018/ 243,411 CONTRACTS)  DESPITE THE  11 CENT FALL IN SILVER PRICING. SINCE WE ARE NOW INTO THE  ACTIVE DELIVERY MONTH OF MAY. WE  WERE  INFORMED THAT WE HAD A GOOD SIZED  2900 EFP CONTRACT ISSUANCE FOR JULY AND ZERO FOR ALL OTHER MONTHS.  THESE EFPS WERE ISSUED TO COMEX LONGS WHO RECEIVED A FIAT BONUS PLUS A DELIVERABLE PRODUCT OVER IN LONDON.  THE TOTAL EFP’S ISSUED: 2900.   ON A NET BASIS WE GAINED 6106  SILVER OPEN INTEREST CONTRACTS AS WE OBTAINED A 3206 CONTRACT GAIN AT THE COMEX COMBINING WITH THE ADDITION OF 2900 OI CONTRACTS NAVIGATING OVER TO LONDON. DUE TO THE FACT THAT THE BOYS WERE VERY BUSY NEGOTIATING LONG COMEX CONTRACTS EMIGRATING TO LONDON,(AND WAITING FOR THEIR PASSPORTS)

NET GAIN  ON THE TWO EXCHANGES:   6106  CONTRACTS 

AMOUNT STANDING FOR SILVER AT THE COMEX

We are now in the  active delivery month of MAY and here the front month LOST 907 contracts FALLING TO 3915 contracts. We had 780 notices filed upon yesterday so we lost 127 contracts or 635,000 additional ounces will not stand for delivery in this  active delivery month of May.

June saw a GAIN of 99 contracts to stand at 906.  The next big delivery month for silver is July and here the OI ROSE by 3648 contracts UP to 140,156. The next active delivery month after July for silver is September and here the OI ROSE by 216 contracts UP to 19,251

We had 2671 notice(s) filed for 13,350,000 OZ for the APRIL 2018 contract for silver

end

And now for silver

AND NOW THE APRIL DELIVERY MONTH

MAY INITIAL standings/SILVER

we had 1 inventory movement at the dealer side of things

i) Into dealer: Brinks: 325,548.390 oz

total dealer deposits: 325,548.390 oz

we had 1 deposits into the customer account

i) Into JPMorgan: nil oz

*** JPMorgan for most of 2017 and in 2018 has adding to its inventory almost every single day.

JPMorgan now has 140 million oz of  total silver inventory or 53.4% of all official comex silver. (140 million/263 million)

JPMorgan did not  deposit  into its warehouses (official) today.

ii) Scotia 604,117.910 oz

total deposits today: 604,117.910  oz

we had 1 withdrawals from the customer account;

i) Out of HSBC;  286,942.240 oz

total withdrawals;  286,942.240  oz

we had 2 adjustment

i) Out of Brinks:

979,859.530 oz was adjusted out of the dealer and this landed into the customer account of Brinks

.

total dealer silver:  65.226 million

total dealer + customer silver:  262.948 million oz

The total number of notices filed today for the MAY. contract month is represented by 2671 contract(s) FOR 13,350,000 oz. To calculate the number of silver ounces that will stand for delivery in MAY., we take the total number of notices filed for the month so far at 3451 x 5,000 oz = 17,255,000 oz to which we add the difference between the open interest for the front month of MAY. (3915) and the number of notices served upon today (2671 x 5000 oz) equals the number of ounces standing.

.

Thus the INITIAL standings for silver for the MAY contract month: 3451(notices served so far)x 5000 oz + OI for front month of MAY(3915) -number of notices served upon today (2471)x 5000 oz equals 23,475,000 oz of silver standing for the MAY contract month 

WE LOST 127 CONTRACTS OR AN ADDITIONAL 635,000 OZ WILL NOT STAND AT THE COMEX AND THESE GUYS MORPHED INTO LONDON BASED FORWARDS.

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ESTIMATED VOLUME FOR TODAY: 79,660 CONTRACTS (WOW)  635 MILLION OZ OR 89% OF ANNUAL PRODUCTION.

CONFIRMED VOLUME FOR YESTERDAY: 78,981 CONTRACTS (my goodness)

YESTERDAY’S CONFIRMED VOLUME OF  78,981 CONTRACTS EQUATES TO 394 MILLION OZ  OR 56.4% 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.

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 

1. Sprott silver fund (PSLV): NAV RISES TO -1.13% (MAY1/2018)
2. Sprott gold fund (PHYS): premium to NAV FALLS TO -0.22% to NAV (MAY 1/2018 )
Note: Sprott silver trust back into NEGATIVE territory at -1.13%-/Sprott physical gold trust is back into NEGATIVE/ territory at -0.22%/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)

3.SPROTT CEF.A FUND (FORMERLY CENTRAL FUND OF CANADA): NAV FALLS TO -1.98`%: NAV 13.43/TRADING 13.29//DISCOUNT 1.91.

END

And now the Gold inventory at the GLD/

MAY 1/WITH GOLD DOWN $12.15/NO CHANGE IN GOLD INVENTORY AT THE GLD/INVENTORY RESTS AT 871.20 TONNES

APRIL 30/WITH GOLD DOWN $4.05/NO CHANGE IN GOLD INVENTORY AT THE GLD/INVENTORY RESTS AT 871.20 TONNES.

APRIL 27./WITH GOLD UP $5.90/NO CHANGE IN GOLD INVENTORY AT THE GLD/INVENTORY RESTS AT 871.20 TONNES/

APRIL 26/WITH GOLD DOWN $4.90/NO CHANGE IN GOLD INVENTORY AT THE GLD/INVENTORY RESTS AT 871.20 TONNES

APRIL 25/AFTER 9 CONSECUTIVE DAYS OF NO MOVEMENT OF GOLD INTO OUT OF THE GLD, WE HAD A HUGE DEPOSIT OF 5.31 TONNES OF GOLD INTO THE GLD/INVENTORY RESTS AT 871.20 TONNES.

APRIL 24./WITH GOLD UP $9.90, WE HAD NO CHANGES IN GOLD INVENTORY AT THE GLD/INVENTORY RESTS AT 865.89 TONNES/

APRIL 23.2018/WITH GOLD DOWN $14.00/NO CHANGE IN GOLD INVENTORY AT THE GLD/INVENTORY RESTS AT 865.89 TONNES.

APRIL 20/WITH GOLD DOWN $10.20: NO CHANGES IN GOLD INVENTORY AT THE GLD/INVENTORY RESTS AT 865.89 TONNES

APRIL 19/WITH GOLD DOWN $4.25: NO CHANGES IN GOLD INVENTORY AT THE GLD/INVENTORY RESTS AT 865.89 TONNES/

APRIL 18/WITH GOLD UP $3.65: NO CHANGES IN GOLD INVENTORY AT THE GLD/INVENTORY RESTS AT 865.89 TONNES

APRIL 17/WITH GOLD DOWN $1.00 NO CHANGES IN GOLD INVENTORY AT THE GLD/INVENTORY RESTS AT 865.89 TONNES/

April 16/WITH GOLD UP$2.80/NO CHANGES IN GOLD INVENTORY AT THE GLD/INVENTORY RESTS AT 865.89 TONNES/

April 13/WITH GOLD UP $6.15, A HUGE DEPOSIT OF 5.90 TONNES INTO THE GLD INVENTORY/INVENTORY RESTS AT 865.89 TONNES

April 12/WITH GOLD DOWN $17.40/NO CHANGES IN GOLD INVENTORY AT THE GLD/INVENTORY RESTS AT 859.99 TONNES

April 11/WITH GOLD UP $13.85/NO CHANGES IN GOLD INVENTORY AT THE GLD/INVENTORY RESTS AT 859,99 TONNES

APRIL 10/WITH GOLD UP $5.25/NO CHANGES IN GOLD INVENTORY AT THE GLD/INVENTORY RESTS AT 859.99 TONNES

APRIL 9/WITH GOLD UP$4.50/NO CHANGES IN GOLD INVENTORY AT THE GLD/INVENTORY RESTS AT 859.99 TONNES

APRIL 6/WITH GOLD UP $7.50 ,A HUGE CHANGE IN INVENTORY AT THE GLD/ A DEPOSIT OF 5.90 TONNES/INVENTORY RESTS AT 859.99 TONNES

APRIL 5/WITH GOLD DOWN $8.20 WE HAD TWO ENTRIES: 1) TINY WITHDRAWAL OF .28 TONNES TO PAY FOR FEES AND 2) A DEPOSIT OF 2.06 TONNES//INVENTORY RESTS AT 854.09 TONNES

April 4/WITH GOLD UP $2.90 WE HAD NO CHANGES IN GOLD INVENTORY AT THE GLD/INVENTORY RESTS AT 852.31 TONNES

APRIL 3./WITH GOLD DOWN $9.30 WE HAD NO CHANGES IN GOLD INVENTORY AT THE GLD/INVENTORY RESTS AT 852.31 TONNES

APRIL 2/WITH GOLD UP $19.50, WE HAD A BIG  CHANGES IN GOLD INVENTORY AT THE GLD A DEPOSIT OF 6.19 TONNES/INVENTORY RESTS AT 852.31 TONNES

MARCH 29/WITH GOLD DOWN $3.20 AND OPTIONS EXPIRY FINISHED, WE HAD NO CHANGE IN GOLD INVENTORY AT THE GLD/INVENTORY RESTS A 846.12 TONNES

March 28/WITH GOLD DOWN $16.70, ANOTHER RAID ORCHESTRATED, AGAIN NO SURPRISES AS WE WITNESS ANOTHER 1.18 TONNES OF GOLD REMOVED/INVENTORY RESTS AT 846.12 TONNES

xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx

MAY 1/2018/ Inventory rests tonight at 871.20 tonnes

*IN LAST 373 TRADING DAYS: 69.84 NET TONNES HAVE BEEN REMOVED FROM THE GLD
*LAST 323 TRADING DAYS: A NET 86.46 TONNES HAVE NOW BEEN ADDED INTO GLD INVENTORY.

end

Now the SLV Inventory/

MAY 1/WITH SILVER DOWN 24 CENTS/NO CHANGE IN SILVER INVENTORY AT THE SLV/INVENTORY RESTS AT 316.899 MILLION OZ/

APRIL 30/WITH SILVER DOWN 11 CENTS/NO CHANGES IN SILVER INVENTORY AT THE SLV/INVENTORY RESTS AT 316.899 MILLION OZ/

APRIL 27/WITH SILVER DOWN 5 CENTS/NO CHANGES IN SILVER INVENTORY AT THE SLV/INVENTORY RESTS AT 316.899 MILLION OZ/

APRIL 26/WITH SILVER DOWN 2 CENT/NO CHANGES IN SILVER INVENTORY AT THE SLV/INVENTORY RESTS AT 316,899 MILLION OZ/

APRIL 25./WITH SILVER DOWN 18 CENTS/NO CHANGES IN SILVER INVENTORY AT THE SLV/INVENTORY RESTS AT 316.899 MILLION OZ/

APRIL 24./WITH SILVER UP 8 CENTS/SOMETHING SPOOKED OUR CROOKS TO ADD SOME PAPER SILVER: A DEPOSIT OF 1.601 MILLION OZ/INVENTORY RESTS AT 316.899 MILLION OZ/

APRIL 23.2018/WITH SILVER DOWN 50 CENTS, ANOTHER HUGE WITHDRAWAL FROM THE SLV INVENTORY: A WITHDRAWAL OF 1.413 MILLION OZ/INVENTORY RESTS AT 315.298 MILLION OZ.

APRIL 20/WITH SILVER DOWN 11 CENTS: ANOTHER HUGE CHANGE IN SILVER INVENTORY: A WITHDRAWAL OF 1.13 MILLION OZ//SLV RESTS TONIGHT AT 316.711 MILLION OZ/

APRIL 19/WITH SILVER UP 3 CENTS TODAY: WE HAD A BIG CHANGE IN SILVER INVENTORY AT THE SLV: A WITHDRAWAL OF 2.355 MILLION OZ/ MAKES ABSOLUTELY NO SENSE!!/INVENTORY RESTS AT 317.841 MILLION OZ

APRIL 18/WITH SILVER UP 44 CENTS TODAY: NO CHANGES IN SILVER INVENTORY AT THE SLV/INVENTORY RESTS AT 320.196 MILLION OZ

APRIL 17/WITH SILVER UP 10 CENTS TODAY/NO CHANGES IN SILVER INVENTORY AT THE SLV/INVENTORY RESTS  AT 320.196 MILLION OZ

April 16/WITH SILVER UP 7 CENTS TODAY: NO CHANGES IN SILVER INVENTORY AT THE SLV/INVENTORY RESTS AT 320.196 MILLION OZ/

April 13/WITH SILVER UP 17 CENTS TODAY: NO CHANGES IN SILVER INVENTORY AT THE SLV/INVENTORY RESTS AT 320.196 MILLION OZ.

April 12/WITH SILVER DOWN 27 CENTS/NO CHANGES IN SILVER INVENTORY AT THE SLV/INVENTORY RESTS AT 320.196 MILLION OZ/

April 11/2018/WITH SILVER UP 16 CENTS:  NO CHANGES IN SILVER INVENTORY AT THE SLV/INVENTORY RESTS AT 320.196 MILLION OZ/

APRIL 10/WITH GOLD UP 8 CENTS/NO CHANGES IN SILVER INVENTORY AT THE SLV/INVENTORY RESTS AT 320.196 MILLION OZ/

APRIL 9/WITH SILVER UP 12 CENTS/WE HAD NO CHANGES IN SILVER INVENTORY/INVENTORY RESTS AT 320.196 MILLION OZ/

APRIL 6/WITH SILVER UP 4 CENTS, WE HAD A HUGE DEPOSIT OF 1.319 MILLION OZ INTO THE SLV INVENTORY/INVENTORY RESTS AT 320.196 MILLION OZ

APRIL 5/WITH SILVER UP 6 CENTS/NO CHANGES IN INVENTORY AT THE SLV/INVENTORY RESTS AT 318.877 MILLION OZ/

April 4/WITH SILVER DOWN 11 CENTS/A SMALL CHANGE IN SILVER INVENTORY AT THE SLV/ A WITHRAWAL OF 135,000 OZ AND THIS IS PROBABLY TO PAY FOR FEES/INVENTORY RESTS AT 318.877 MILLION OZ/

APRIL 3./WITH SILVER DOWN 16 CENTS/NO CHANGE IN SILVER INVENTORY AT THE SLV/INVENTORY RESTS AT 319.012 MILLION OZ/

APRIL 2/WITH SILVER UP 34 CENTS/NO CHANGES IN SILVER INVENTORY AT THE SLV/INVENTORY RESTS AT 319.012 MILLION OZ/

MARCH 29/WITH SILVER UP 6 CENTS, THE CROOKS DECIDED THAT THEY HAD BETTER ADD SOME 943,000 PAPER OZ TO THEIR INVENTORY/INVENTORY RESTS AT 319.012 MILLION OZ

March 28/WITH SILVER DOWN 27 CENTS/AGAIN NO CHANGE IN SILVER INVENTORY AT THE SLV/INVENTORY RESTS AT 318.069 MILLION OZ

MAY 1/2018:  NO  CHANGES IN SILVER INVENTORY:  

Inventory 316.899 million oz

end

6 Month MM GOFO 1.99/ and libor 6 month duration 2.49

Indicative gold forward offer rate for a 6 month duration/calculation:

G0FO+ 1.99%

libor 2.49 FOR 6 MONTHS/

GOLD LENDING RATE: .51%

XXXXXXXX

12 Month MM GOFO
+ 2.77%

LIBOR FOR 12 MONTH DURATION: 2.49

GOFO = LIBOR – GOLD LENDING RATE

GOLD LENDING RATE  = +.28

end

Major gold/silver trading /commentaries for MONDAY

GOLDCORE/BLOG/MARK O’BYRNE.

GOLD/SILVER

“Blood In The Streets” Of U.S. Gold Bullion Coin Market

1, May

U.S. Mint American Eagle gold coin sales collapse to weakest April since 2007 giving contrarian value buyers another buy signal

by Renita D. Young of Reuters

Sales of U.S. Mint American Eagle gold coins dropped to their weakest April since 2007, while silver coin purchases for the month rose 10 percent higher than last year, U.S. government data showed on Monday.

The U.S. Mint sold 4,500 ounces of American Eagle gold coins in April, down 25 percent from the year prior. However, April sales were up 29 percent from March.

During April, spot gold prices rallied to a 2-1/2-month high of $1,365.23 per ounce as concerns over escalating tensions in Syria, U.S. Sanctions on Russia and the U.S.-China trade stand-off weighed on stock markets and helped to knock the dollar index to a two-week low against a basket of currencies.

But later in the month, spot gold prices dipped after the Federal Reserve said the U.S. economy remained on track for continued growth and signaled more interest rate hikes for the year.

Higher interest rates make gold a less appealing asset to investors since it does not draw interest.

U.S. retail investors have also gradually lost their appetite for physical gold as buoyant stock markets offered tempting alternatives, and more coins were being sold back onto the market, further eroding demand for newly minted products.

The U.S. Mint sold 915,000 ounces of American Eagle silver coins in April, the data showed, unchanged from March. April silver coin sales were 9.6 percent higher than in 2017.

Artice from Reuters here

Listen on SoundCloud , Blubrry & iTunes. Watch on YouTube below

News and Commentary

U.S. Mint American Eagle gold coin sales at weakest April since 2007 (Reuters.com)

Gold inches down as dollar stays firm near 3-1/2-month peak (Reuters.com)

Stocks in Japan Trade Mixed; Dollar Holds Gains (Bloomberg.com)

U.S. Stocks Start Busy Earnings Week on Down Note (Bloomberg.com)

Pending-home sales crawl higher as inventory shortage turns urgent (MarketWatch.com)

Source: Frank Holmes & US Global Investors via Palisade

SWOT Analysis: Gold Continues Moving West to East (GoldSeek.com)

Gold Demand Grows While Mine Supply Declines (Palisade-research.com)

Savers are Just Collateral Damage (Monetary-Metals.com)

Syrian Army: “Enemy” Rockets Strike 2 Bases, 11 Iranians Killed (ZeroHedge.com)

Chinese Smartphone Sales Collapse In “Biggest Decline Ever” (ZeroHedge.com)

Listen on SoundCloud , Blubrry & iTunes. Watch on YouTube below

Gold Prices (LBMA AM)

30 Apr: USD 1,316.25, GBP 958.62 & EUR 1,087.62 per ounce
27 Apr: USD 1,317.70, GBP 954.41 & EUR 1,090.79 per ounce
26 Apr: USD 1,321.90, GBP 949.52 & EUR 1,085.94 per ounce
25 Apr: USD 1,325.70, GBP 949.47 & EUR 1,085.48 per ounce
24 Apr: USD 1,327.35, GBP 951.84 & EUR 1,087.76 per ounce
23 Apr: USD 1,328.00, GBP 950.45 & EUR 1,085.64 per ounce
20 Apr: USD 1,340.15, GBP 953.52 & EUR 1,089.14 per ounce

Silver Prices (LBMA)

30 Apr: USD 16.38, GBP 11.93 & EUR 13.54 per ounce
27 Apr: USD 16.53, GBP 12.01 & EUR 13.68 per ounce
26 Apr: USD 16.58, GBP 11.87 & EUR 13.61 per ounce
25 Apr: USD 16.57, GBP 11.87 & EUR 13.57 per ounce
24 Apr: USD 16.60, GBP 11.90 & EUR 13.59 per ounce
23 Apr: USD 16.94, GBP 12.14 & EUR 13.85 per ounce
20 Apr: USD 17.11, GBP 12.15 & EUR 13.91 per ounce

Recent Market Updates

– Most Important Chart Of The Century For Investors?
– Gold Mining Shares Are Speculative Making Gold Bullion A Better Investment
– Gold Price Increasingly Influenced By Declining Dollar Rather Than Interest Rates
– Cash “Vanishes” From Bank Accounts In Ireland 
– Russia Buys 300,000 Ounces Of Gold In March – Nears 2,000 Tons In Gold Reserves
– Family Offices and HNWs Invest In Gold Again
– New All Time Record Highs For Gold In 2019
– Palladium Bullion Surges 17% In 9 Days On Russian Supply Concerns
– Silver Bullion Remains Good Value On Positive Supply And Demand Factors
– London House Prices See Fastest Quarterly Fall Since 2009 Crisis
– Global Debt Bubble Hits New All Time High – One Quadrillion Reasons To Buy Gold
– Oil Surges Over 8%, Gold and Silver Marginally Higher, Stocks Gain In Volatile Week
– EU and Euro Exposed To Risks Including Trade Wars and War With Russia In Middle East

Mark O’Byrne

Executive Director

END

Andrew Maguire’s Kinesis money which is a “bitcoin” but backed 100% by allocated gold and silver is set to go.

it think it would be a great idea to look at this!

please read at:  https://kinesis.money/#/

(Andrew Maguire)

A terrific commentary from Nicholas as he beautifully articulates the fraud with respect to the COMEX issuance of EFP’s  to London based serial forwards

this is a must read if you want to understand the fraud that we are facing….l

(courtesy Nicholas Biezanek)

Venezuela stops paying $1 billion debt to Canadian gold miner

The following is a good one:  the 7 pillars of gold and why we should buy the yellow stuff

(courtesy Byron King/Daily Reckoning)

The Seven Pillars of Gold

You need to own gold; and you need to own shares in companies that find and mine it. I lay out seven reasons below, in what I’m calling the “Seven Pillars of Gold.”

Each “pillar” reinforces the argument for holding gold.

There’s some overlap between each of the pillars. In fact, it’s fair to say that many of the reasons to own gold actually segue back and forth, bumping into each other. But it’s possible to lay out seven distinct ideas. Here they are:

Pillar One: Oil prices are rising. Doubtless, you’ve noticed it if you’ve filled the fuel tank in your car with gasoline in the past nine months. From 2015 to late 2017, we enjoyed a three year respite from the olden days of $100 oil; but now, oil has decided to get up off the mat.

From a price in the $40 range a mere six months ago, we’re now into the $70s per barrel and higher prices are forecast. Of course, oil means energy, which means that higher oil costs will translate into higher prices for just about everything, not just at the fuel pump.

More costly energy will be a core component of inflation throughout the economy. That is, it will cost more to drive your car, for farmers to grow food, truckers to transport that food, businesses to buy supplies ranging from paint to roofing shingles.

That, and it will cost more to move all the other goods that support the economy. Indeed, energy-based inflation will eventually work its way all through the economy.

Rising energy costs are a type of inflation that we saw in the mid-2000s, during the previous runup to oil at over $130 per barrel in 2008. Then though, energy costs were squashed by “importing deflation” from low-priced overseas goods. But that trick has played out.

Americans haven’t experienced gut-ripping energy-based inflation in perhaps two generations, since the late 1970s and early 1980s. But when higher oil prices really pull into port, the ripple effect of inflation across every part of the economy will weaken the dollar’s purchasing power. We’ll see it in higher gold prices.

Pillar Two: Interest rates are rising. According to the Congressional Budget Office (CBO), interest on the national debt is among the fastest growing parts of the federal budget. In fact, by 2028 – just 10 years from now – the federal budget will spend more on interest payments (about one trillion dollars per year) than on defense (currently about $800 billion total).

Rising interest rates will crowd out most everything else in the federal budget, from defense to air traffic control to national parks. The budget money just won’t be there, because so much will go to pay interest. The only workarounds for Congress are less spending (ha!) or just open the spigots and roll with higher annual budget deficits.

Any way you cut it, the dollar – and the Federal Reserve’s unique powers of “money creation” – will surely be in play to wallpaper this mess. Again, we’ll see reduced purchasing power and higher gold prices.

Pillar Three: The petro-yuan. China has begun trading for oil in yuan, recently launching its so-called “petro-yuan.” Here’s the facts.

China is working hard to abandon the dollar as an instrument with which to pay for oil. It’ll use its own currency, the yuan, where and when possible. Currently, China’s petro-yuan contracts are what are called “long-dated,” meaning they commence in September 2018. (Four months is “long” if you’re trading.) In this respect, the Chinese are taking things slowly at first; no surprises.

China’s ultimate goal is to convince Saudi Arabia – one of China’s top-three oil suppliers – to take yuan in exchange for oil, and thus to abandon the 45-year link of Saudi oil to the petro-dollar.

If the globally dollarized oil trade takes a hit, it means many more bad things for the purchasing power of those “dead presidents” in your wallet or bank account.

Here’s the good news in all this. If you understand the implications, you are already several months ahead of the broad market on this. You have time to buy in on gold and miners. The entire setup is overall favorable for gold.

Pillar Four: Currency Wars. We’re already in the midst of “Currency Wars,” along the lines of what my colleague Jim Rickards discussed in his 2010 book of that title.

These types of monetary competitions are built around the very real understanding that nuclear armed nations cannot afford to fight old-fashioned, kinetic wars with each other. No battleships and bombers; but large, powerful nations can still play other games; such as cyber war and attacks on the other nation’s currency.

The currency war idea is ripe to hatch in the sense that Russia and China (among others) have accumulated immense amounts of gold over the past decade or so. Russia, in particular, is quite transparent about its national gold reserves, and Russian spokespeople make no secret that the gold is intended as a defense against dollar hegemony.

One of Jim’s theses in Currency Wars is that Russia and China could team up to combine their respective gold resources, and create a rival currency to the dollar. If the world trading system has an alternative to the dollar, it’s hard to imagine that the scenario would favor the U.S. dollar. Usage would likely decline to some level from decades past.

In other words, the dollar has had a runup in its percentage of world trade over the past 45 years. Looking ahead, if the dollar loses even some of its status as the world’s “reserve currency,” we should definitely expect to see its value decline and gold prices to increase.

Pillar Five: Tariffs, sanctions and potential trade wars. With global trade, it’s fair to say that everything is related to everything else. Lay a higher tariff on Chinese steel, and China taxes U.S. soybeans. Ban exports of high tech chips to China, and China might ban exports of rare earth magnetic powders to the U.S.

The “era of dollar supremacy is fast ending.

We no longer live in a unipolar, post-Cold War world in which the U.S. reigns supreme.” Indeed, to a large degree, the U.S. owes its current global economic and political dominance to a unique, near-accidental correlation of forces at the end of World War II in 1945. It’s a long story.

The short version is that the most destructive war in human history created the greatest economic engine that the world has ever seen. Post war, the U.S. was like the proverbial Phoenix, rising out of the ashes. It’s a massive, complex historical process, of course; but the point to keep in mind is that the post-war world – certainly that world for the U.S. – is coming to the end of its long, 73-year run.

Other nations, and even entire regions of the rest of the world, are rising; new phoenixes from their own beds of ash. Consider what analyst Christopher Preble recently wrote in the New York Times, that “America’s share of global wealth is shrinking. By some estimates, the United States accounted for roughly 50% of global output at the end of World War II… It has fallen to 15.1% today.”

Now, President Trump is using tariffs, taxes, sanctions and policy changes to try and rearrange the global trading dynamic. But global trade has evolved over the past four generations. Trump may or may not succeed in his quest to rearrange the elements of the U.S. economy; to “Make America Great Again. But if our nation is going to get into a trade war, you better have some gold in the vault.

Pillar Six: War. We’re living in a time of risky geopolitics, right at the edge of true war. Wars cost much “silver,” as the ancient Chinese scholar Sun Tzu once noted. As Sun Tzu wrote, “if the campaign is protracted, the resources of the State will not be equal to the strain.”

Now, consider the global scale of current saber rattling, from the Baltics to the Black Sea, to the Persian Gulf to the South China Sea, Korea and more.

More specifically, consider how NATO has expanded right against Russia, drawing wrath from the latter. Or think about Ukraine, where recent fighting has killed tens of thousands of soldiers and civilians. I barely need mention the Middle East, from Libya to Syria to Afghanistan.

You may have seen articles about the “new Cold War” between Russia and the West. It’s not just abstract anymore, either. It’s fair to say that U.S. forces are already “fighting” against Russians, in a manner of speaking, via full-fledged electronic warfare in the skies over Syria.

Meanwhile, on the other side of the globe, according to Admiral Philip Davidson, the likely next leader of U.S. Pacific Command, China has already taken control of the South China Sea.

We’re living in a world that’s quite close to real war, not just “currency wars.” And gold prices tend to spike on rumors of war, let alone when the shooting begins. One way or another – near-war, fight a war, win a war or especially when a side “loses” a war – it’s not good for the dollar. Come war, and rumor of war, we’ll see the value of dollars decline and gold prices increase.

Pillar Seven: Peak Gold. In a world where demand for gold is likely to rise for a wide variety of reasons, there will be less of it available to buy. We’re just not seeing a lot of new gold discovery. And fewer companies are spending the kind of funds required to make big impacts.

I’ve discussed the lack of investment and how large companies are spending big bucks, simply to stand still in terms of output. Even large gold miners are actively planning to shrink output, to focus on profitability.

We’re “there,” at the peak of gold production for a while to come, barring some sort of technical revolution – which might happen, but we’re not there yet.

When I look at the landscape for gold, I see the results of the lack of past exploration and development, and in consequence, few new mines coming online.

It’s accurate to say that gold output globally has plateaued just now; it’s likely declining in years to come. The result will be higher prices for gold, and for companies that mine it.

So there you have it; seven reasons why gold prices are geared to rise, benefitting metal owners and well-run miners that can pull yellow metal out of the ground.

Gold is in a breakout pattern, awaiting its moment. The price has been dammed-up for a while, via all manner of manipulations. But that golden dam is ready to break.

All the debt, the bad policy, the war dangers, the lack of investment and new output… It’s a prime setup for buying power to rush into the precious metal space.

Thus, Jim and I say to Gold Speculator subscribers, “Buy gold!”

And if you’re not already invested when the move begins, you’ll wind up chasing momentum.

Regards,

Byron King
for The Daily Reckoning

3. ASIAN AFFAIRS

i)TUESDAY MORNING/MONDAY NIGHT: Shanghai closed   /Hang Sang CLOSED    / The Nikkei closed UP 40.16 POINTS OR 0.18%/Australia’s all ordinaires CLOSED UP .47%  /Chinese yuan (ONSHORE) closed UP at 6.3322/Oil UP to 67.95 dollars per barrel for WTI and 74.13 for Brent. Stocks in Europe OPENED DEEPLY IN THE GREEN.   ONSHORE YUAN CLOSED UP AT 6.3322 AGAINST THE DOLLAR. OFFSHORE YUAN CLOSED DOWN ON THE DOLLAR AT 6.3341/ONSHORE YUAN TRADING STRONGER AGAINST OFFSHORE YUAN/ONSHORE YUAN TRADING STRONGER AGAINST USA DOLLAR/OFFSHORE YUAN TRADING A LITTLE WEAKER AGAINST THE DOLLAR /CHINA RETALIATES WITH TARIFFS/ TRUMP RESPONDS TO NEW TARIFFS AND IT NOW LOOKS LIKE A FULL TRADE WAR IS BEGINNING/

3 a NORTH KOREA/USA

North Korea/South Korea/usa

Looks like Trump scored on this one:  there will be a historic summit with Trump at the DMZ

(courtesy zerohedge)

 

3 b JAPAN AFFAIRS

c) REPORT ON CHINA/HONG KONG

4. EUROPEAN AFFAIRS

Greece/Turkey

This could get ugly..Turkey is holding a massive number of refugees and they are also angry at the West.  Turkey has also called upon the FRBNY to repatriate its gold.  Greece is fearing that Turkey will unload all of their refugees onto their shores.

(courtesy zerohedge)

Greece Sends Additional Forces To Turkish Border As Refugee Influx Spikes

Greece has rushed to reinforce its land border with Turkey as fears mount over a sharp rise in the number of refugees and migrants crossing the frontier.

As The Guardian reports, police patrols were augmented as local authorities said the increase in arrivals had become reminiscent of the influx of migrants on the Aegean islands close to the Turkish coast. About 2,900 people crossed the land border in April, by far surpassing the number who arrived by sea, the UN refugee agency (UNHCR) said. The figure represents half of the total number of crossings during the whole of 2017.

Speaking from the frontier town of Orestiada, the local mayor, Dimitris Mavrides, told the Guardian:

“Our reception facilities are overwhelmed and things are on the verge of spinning out of control. Far more are coming than are actually being registered.

“The government has just sent 120 extra police, but they are temporary and simply not enough. Frontex also has to intervene,” he added, referring to Europe’s border and coastguard agency.

This coincidental spike in refugees from Turkey into Greece comes  as tensions between two NATO member states have escalated dramatically in the last two months – Turkey has threatened to invade Greek islands, Greece has responded, and Greeks now see Turkey as the greatest threat to their existence.

However, The Guardian notes that the abrupt rise reflects a switch in tactics by people smugglers circumventing the controversial agreement the EU struck with Turkey in a bid to stem migration flows at the height of the crisis when more than a million people entered the bloc through Greece.

Under the deal, signed in March 2016, migrants and refugees reaching eastern Aegean islands must remain in situ until asylum requests are processed through a system that is notoriously slow, or face deportation.

The land border does not fall under the agreement and is said to be easier to traverse. “In a boat it can take as little as three minutes to cross and is far cheaper,” said Mavrides.

“They are coming precisely because it is not part of the deal and because word has got out the situation on the islands is dramatic. If they get here and are processed, they are free to go anywhere on the mainland. We have four buses a day to Athens and Thessaloniki and they are full.”

Officials in Greece’s leftist-led government say privately that they are dealing with a timebomb.

Clashes erupted on Lesbos this month between Greek extremists and asylum seekers protesting against their inability to move to the mainland after the country’s highest administrative court said it was illegal to impose geographic restrictions on migrants.

5. RUSSIAN AND MIDDLE EASTERN AFFAIRS

Saudi Arabia/Israel/Palestine/

Many fell off their chair with this bombshell:  MBS states that Palestinians must accept peace or shut up

(courtesy zerohedge)

Saudi Crown Prince Bombshell To Jewish Leaders: Palestinians Must “Accept Peace Or Shut Up”

Saudi Crown Prince Mohammed Bin Salman (MBS) issued a stunning and unprecedented rebuke to Palestinian leadership while speaking to US Jewish groups in the midst of the prince’s American tour last month.

MBS reportedly told the heads of Jewish organizations in a closed-door meeting in New York on March 27th that Palestinians should either accept peace proposals or “shut up,” according to Axios.

Multiple diplomatic sources, including a leaked Israeli foreign ministry cable sent from the Israeli consulate in New York, confirm the statements which shocked the audience to the point that “people literally fell off their chairs.”

The unexpected words came just as the Trump administration is reportedly finalizing its long-vaunted plan for Israeli-Palestinian peace, drafted under the leadership of Trump’s senior adviser and son-in-law Jared Kushner and special envoy Jason Greenblatt, and after tensions were inflamed with Trump’s official recognition of Jerusalem as the capital of Israel in December.

Axios reports the Saudi crown prince’s words as follows:

“In the last several decades the Palestinian leadership has missed one opportunity after the other and rejected all the peace proposals it was given. It is about time the Palestinians take the proposals and agree to come to the negotiations table or shut up and stop complaining.“

Since Saudi Arabia’s founding in 1932 and subsequent diplomatic embroilment in Israeli-Palestinian matters, especially after the Jewish state’s establishment in 1948, it has staunchly been on the Palestinian side (though often merely from a distance), accusing the Israelis of genocide and expansionist aggression against surrounding Arab nations. As a charter member of the Arab League it actively fought against the establishment of Israel, and also voted against the original U.N. Partition Plan for Palestine. The Saudis sent troops to fight on the allied Arab side in multiple conflicts with Israel, and the two have never had diplomatic relations. 

However, events in the region of the past few years such as the war in Syria, and related to this their common concern over Hezbollah and Iran’s growing influence, has brought the two unlikely and strange bedfellows into a closer relationship, especially in the area of intelligence sharing and possible joint covert action in pursuit of regime change in Damascus. 

Olivier Knox

✔@OKnox

This is big news. Seems to vindicate notion that Iran has reshaped priorities in the region, brought Saudi and Israel closer. Unclear when Trump plan lands, though.

Barak Ravid

✔@BarakRavid

SCOOP: Saudi Crown Prince told Jewish leaders: Palestinians should take what the Trump administration offers or stop complaining – my story on @axios and @news10 https://www.axios.com/saudi-crown-prince-tells-jewish-leaders-palestinians-should-take-what-they-are-offered-or-stop-complaining-1525025098-e7f0faf8-4f3f-442c-8478-6737ddb5a553.html …

Like Israel, MBS has lately made it clear that the kingdom’s top priority is thwarting Iran, as Axios further reports of the crown prince’s main points during the meeting with American Jewish leaders:

He made clear the Palestinian issue was not a top priority for the Saudi government or Saudi public opinion. MBS said Saudi Arabia “has much more urgent and important issues to deal with” like confronting Iran’s influence in the region.

Regardless of all his criticism of the Palestinian leadership, MBS also made clear that in order for Saudi Arabia and other Gulf states to normalize relations with Israel there will have to be significant progress on the Israeli-Palestinian peace process.

But US-Palestinian relations are at their lowest point in many years, with the Palestinian Authority (PA) under Mahmoud Abbas currently boycotting the White House since the December 6th recognition of Jerusalem, and later plans to relocate the American Embassy there from Tel Aviv. Once the new White House peace plan is rolled out, if ever, it will most certainly be dead in the water from the moment it’s publicized.

At the same time ongoing protests in the Gaza Strip as part of the “Great March of Return” protests have resulted in immense Palestinian casualties — more than 40 dead and thousands wounded since March 30 according to Israeli media sources — with the vast majority killed and injured as a result of live ammunition used by Israeli security forces.

So with Gaza currently inflamed, Palestinians will no doubt see the timing of Saudi crown prince bin Salman’s words as the ultimate and final stab in the back — though the Saudis have already long been seen by Palestinians as compromised double-dealers, using their plight as a geopolitical chess piece only when convenient.

Furthermore, the Saudis will now be perceived even more as a U.S. pawn (and thus Israeli pawn too) on the Palestine question — this as newly sworn in Secretary of State and former CIA Director Mike Pompeo flew to Saudi Arabia over the weekend in a hasty visit to cement the anti-Iran alliance while reinvigorating support for new sanctions against Iran.

All of this will only serve to underscore Palestinians’ perception that regional and world leaders will continue to merely pay lip service to any Israeli-Palestinian peace process as Iran has now fully taken front and center stage.

end

Iran/Israel

Iran furious with the Israeli accusations while the uSA confirms the findings by Israel

(courtesy zerohedge)

Iran Blasts “Child Killer” Netanyahu After Nuclear Program Accusations

In a predictably furious response to a presentation delivered Monday by Israeli Prime Minister Benjamin Netanyahu, Iran’s Foreign Ministry denounced allegations that the Islamic Republic had been carrying on its nuclear program in secret, calling Netanyahu “an infamous liar” and accusing him of being the head of a “child-killing Zionist regime,” according to a statement published in English on Iran’s Ministry of Foreign Affairs website.

The statement was attributed to Foreign Ministry Spokesman Bahram Qassemi.

Iran’s Foreign Ministry Spokesman Bahram Qassemi has lashed out at Israeli Prime Minister’s Monday speech against Iran, calling Netanyahu’s move a propagandistic one and one of his most recent theatrical presentations on Iran’s “secret” nuclear program.

In a Tuesday statement, Qassemi described Netanyahu’s claims as worn-out, useless and shameful. He added that such remarks are futile efforts by a “broke and infamous liar who has had nothing to offer except lies and deceits.”

He further noted that Zionist leaders see the survival of their “illegal regime”, which is established based on lies, in viewing others as a threat using battered charlatanism of the ignorance age and unawareness of the world’s public opinion.

Qassemi also stressed that the futility and uselessness of such claims is now obvious more than ever.

“Netanyahu and the notorious, child-killing Zionist regime must have reached the basic understanding that the people of the world have enough awareness and cognisance,” he added.

In a series of tweets, Iranian Foreign Minister Javad Zarif ridiculed Netanyahu’s accusations, noting that the Israeli prime minister appeared to have “coodinated the timing of alleged intelligence revelations by the boy who cries wolf just days before May 12.” President Trump has set a self-imposed deadline of May 12 for the renegotiating of the Iran deal.

Javad Zarif

✔@JZarif

Pres. Trump is jumping on a rehash of old allegations already dealt with by the IAEA to “nix” the deal. How convenient. Coordinated timing of alleged intelligence revelations by the boy who cries wolf just days before May 12. But Trump’s impetuousness to celebrate blew the cover.

Javad Zarif

✔@JZarif

BREAKING: The boy who can’t stop crying wolf is at it again. Undeterred by cartoon fiasco at UNGA. You can only fool some of the people so many times.

Zarif also slammed “the boy who can’t stop crying wolf” as at it again, referring to the “cartoon fiasco” at the United Nations, stating “you can only fool some of the people so many times.”

View image on Twitter

Javad Zarif

✔@JZarif

BREAKING: The boy who can’t stop crying wolf is at it again. Undeterred by cartoon fiasco at UNGA. You can only fool some of the people so many times.

Credibility aside, Netanyahu triggered a rally in oil prices when he accused Iran of secretly developing and building nuclear weapons in violation of the JCPOA. During his presentation, Netanyahu claimed he had 55,000 pages of documents and 183 CDs, which he said comprised an “atomic archive” of documents on Iran’s nuclear program that had been taken from inside the country.

Iran wasn’t the only country to doubt the allegations. Berlin also responded skeptically to Iran’s allegations.

Steffen Seibert, a spokesman for the German government, said that while “the international community had doubts” about Iran’s compliance, it was paramount that they adopt “an unprecedented, thorough and robust surveillance system.”

The International Atomic Energy Agency, whose responsibility it is to monitor Iran’s compliance, refused to comment on the allegations.

While experts confirmed that most of Bibi’s big reveal had been previously known, many admitted that the presentation would be “hugely helpful for Trump” as it “builds the public case for Trump to blow up the Iran deal on May 12 by reimposing sanctions on Iran’s oil exports and central bank.” Though, of course, Netanyahu insisted that “no one” is seeking a war with Iran.

In other words, Netanyahu provided the media with cover to cheer the next regional conflict: that between the US, its allies, Saudi Arabia and of course Israel on one side and Iran, Syria, Russia, and potentially China on the other. A conflict with the potential to metastasize into an all-out world war. While the White House released a statement validating Netanyahu’s findings, it refused to say whether it had made up its mind on whether to cancel the Iran deal.

6 .GLOBAL ISSUES

Mexico/usa

The Peso tumbled badly after Mexico’s leading party warns of confiscation  (if companies do not do want the new government wishes them to do).  This is something that Trump does not want to see as he is trying to put his head around the NAFTA agreement

(courtesy zerohedge)

Peso Pummelled After Mexico’s Leading Party Warns ‘Confiscation Is Coming’

The peso is down over 1% today, not helped by remarks from a co-founder of the party led by leading presidential candidate Andrés Manuel López Obrador has sparked controversy by advocating the expropriation of companies that refuse to cooperate with an AMLO administration if he wins the July 1 election.

“If businesses won’t cooperate, expropriate…”

As MexicoNewsDaily.com reports, prominent writer Paco Ignacio Taibo II, currently the art and culture secretary of the Morena party’s national executive committee, made the remarks while speaking at an event attended by party supporters earlier this week.

“. . . One day after taking power, I imagined Andrés Manuel in the [presidential residence] Los Pinos, right? Then he welcomes a committee of the powerful men of Mexican finance: [Carlos] Slim is there, the owner of the Modelo brewery is there, to tell him: ‘Careful, Andrés, because if you move in that sense [expropriation], we’ll take the factories to Costa Rica,” he said.

“[I will be surprised] if that same day, at that same time, we are not two or three million Mexicans in the street saying: ‘If they want to blackmail you, Andrés, expropriate them, fuck them, expropriate them,’” Taibo continued in a video currently circulating on social media.

AMLO, left, and Taibo, center: expropriation advocated. AMLO, left, and Taibo, center: expropriation advocated.

The writer, who is reportedly close to the “Together We Will Make History” coalition candidate, then went on to assert that the social mobilization of the Mexican people will be essential to achieving significant change in the country.

Just what America needs, further social unrest in Mexico to pile on the drug cartel war.

Read more here…

end

Canada

As many of you know, Canadian real estate has been on fire these past few years.  Many Canadians enjoyed lower interest rates and that was a primary reason for the boom in housing. Now the pain will start as over half of the underwritten mortgages will come due in 2018:

(courtesy zerohedge)

“We Know It’s Going To Be Painful”: Half Of Existing Canadian Mortgages Are Up For Renewal In 2018

When commenting last week on the latest troubling trends in Canada’s housing market, we predicted that unlike a previous forecast by Deutsche Bank’s Torsten Slok from early 2015, who at the time said that “Canada is in serious trouble”, this time the moment of truth for Canada’s all important housing market was indeed at hand.

The reason?

While it had taken banks some time to push up their mortgage rates, they were finally “catching up” and as Bloomberg reported, just in the past few days Toronto-Dominion Bank – Canada’s second largest lender – lifted its posted rate for five-year fixed mortgages by a whopping 45 bps to 5.59% as government bond yields touched their highest levels since 2011 this week.

“It’s a big move, the biggest move in years,” said Rob McLister, founder of RateSpy.com, a mortgage comparison website.

As regular readers are well-aware, rising rates in Canada has often been cited as the catalyst that could and would burst the country’s housing bubble, because Canadian households, unlike American ones, never managed to delever…

… and even modest increases in rates would have adversely cascading effects.

And while Toronto Dominion was not alone in raising key borrowing rates last week – it was joined by all of Canada’s biggest banks – just as the busy season for residential real estate gets underway, a more troubling development is taking place in the mortgage market, which according to Bloomberg is set for a particularly heavy year of renewals in an environment where debt-servicing costs are already soaring at the fastest pace in a decade.

What happens next is anyone’s guess, but the answer is critical as it will determine the severity of the recession that is now virtually assured to hit Canada.

“The economy has never been as levered as it currently is, and the economy is far more interest sensitive than it has been in the past, to a degree that we don’t have certainty over how each interest rate hike is going to affect Canadian consumers,” Frances Donald, senior economist at Manulife Asset Management, said by phone from Toronto. “All we know is it’s going to be painful, but how painful isn’t quite clear.”

As Bloomberg notes, the heavy household debt burden is perhaps the key reason the central bank has been reluctant to raise borrowing costs further, after hiking interest rates three times between July and January. Given the nation’s debt load – as of February, households had a record C$2.1 trillion ($1.6 trillion) of mortgage and non-mortgage debt – Poloz estimates the economy is 50% more sensitive to rate hikes than at any time in the past.

And yet, the banks appear to have capitulated last week when one after another they all hiked key mortgage rates in rapid succession, akin to the infamous selling scene in the movie “Margin Call”: the bank knew it would launch a financial crisis by being the first to sell as it would force the world to finally admit the emperor was naked.

Now it is Canada’s turn.

And here’s why Canada will no longer be able to avoid the troubling reality of rising rates: the country is entering a period in which no less than 47% of existing mortgages need to be refinanced this year versus 25% to 35% typically, according to Ian Pollick, head of North American rates strategy at CIBC in Toronto.

Worse, the refis will take place smack in the biggest mortgage interest increase in over a decade, just as the country’s biggest banks are raising key mortgage rates. To be sure, as we reported last week, Toronto-Dominion kicked it off Thursday, hoisting its five-year fixed mortgage rate 45 basis points to 5.59 percent. Royal Bank followed with its own hikes Friday.

Even worse, new mortgage stress tests are pushing some borrowers from the big banks to alternative lenders charging higher rates. Lenders such as the infamous Home Capital Group, which only survived a furious bank run thanks to a last minute bailout by Warren Buffett.

“That’s an unfortunate outcome of the stress test,” Will Dunning, an economic consultant who specializes in the housing market, said by phone from Toronto. “In that sense, the stress test is not reducing risk. It’s increasing risk.”

No matter who they refi with, the pain for Canadian homeowners appears unavoidable. According to Statistics Canada, total payments on debt made by Canadian households rose 6.7% in the fourth quarter from a year earlier, and the interest-paid component climbed 9.2%. Those were the biggest gains since the financial crisis.

A moving average of quarter-over-quarter changes shows a similar pattern, with the 1.62% increase in the latest period the fastest since 2008.

Meanwhile, as shown in the top chart, debt payments now represent about 14% of household disposable income, the highest share in three years: as long as rates keep rising, debt-service ratios will continue moving higher as well over the coming quarters, until a tipping point is reached, and there is a wholesale interest payment revulsion.

“The world spends a lot of time talking about the level of Canadian debt being extremely elevated, but what matters most is not the level of debt that Canadians hold, but the cost of carrying that debt,” Manulife’s Frances Donald said said. He’s right, and the problem is that the cost of carrying that debt is now spiking.

“Canadians are going to start to feel the pinch” Donald added ominously.

To be sure, as we reported three weeks ago, the cracks are already appearing: as RBC analyst Vivek Selot pointed out, the roll rate – the percentage of credit card users who “roll” from early stage delinquencies to 60-89 day delinquencies – reached the highest since 2008 for one credit card program, while delinquencies for another were above the 10-year average.

And while the level of mortgage arrears is still low by historical standards, a rising debt service ratio could signal that’s about to change.

The big question, of course, is what happens if and when the economy – which has never been more levered – falls into an all out recession. Perversely, Canada’s economy led the G-7 in growth last year, mostly because of the willingness of the country’s consumers to spend money, much of it on even more (cheap credit). But growth is expected to slow this year; GDP shrank unexpectedly in January, with February due latest Tuesday. Another disappointment, and that may be it for the BOC’s tightening cycle.

Meanwhile, leading indicators suggest that the tipping point may have already come:

Canada’s retailers have already had a tough few months. Retail sales in February were still 1.8% below 2017 peak levels. In volume terms, the input used to calculate gross domestic product data, first-quarter retail sales probably posted the biggest quarterly drop since the 2008-09 recession.

Canada bulls hang their hat on the country’s still low unemployment rate, which has benefited from rising oil prices,  and decent economic growth which should help the economy weather higher rates, although with ever basis point increase, risks are rising.

“You have some capacity in the economy to absorb this, but the fact that rates are going up isn’t positive for consumers, because it’s making credit more expensive,” Bloomberg Intelligence analyst Paul Gulberg said “That’s the but”, and in an economy that has never been more in debt, that is a very big ‘but’.

7. OIL ISSUES

8. EMERGING MARKET

Venezuela

end

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

TRADING IN GRAPH FORM FOR THE DAY

HARVEY