NOV 7 A/USA ELECTIONS GO ACCORDING TO POLLSTERS AND YET DOW GOES THROUGH ESCAPE VELOCITY UP OVER 500 POINTS./GOLD RISES BY $2.60 TO $1227.50/SILVER UP 8 CENTS TO $14.59/ THE 10 YR USA BOND YIELD NOW HITS 3.24%/LIBOR RISES TO 2.6011/JEFF SESSIONS RESIGNS/SWIFT SYSTEMS OBEY TRUMP AND BAN THEIR USE WITH IRANIAN BANKS/A JPMORGAN TRADER PLEADS GUILTY TO MANIPULATING GOLD AND SILVER AND FINGERS HIS BOSSES/

 

 

 

 

GOLD: $1227.50 UP  $2.60 (COMEX TO COMEX CLOSINGS)

Silver:   $14.59 UP 8 CENTS (COMEX TO COMEX CLOSING)

Closing access prices:

Gold :  1226.00

 

silver: $14.57

 

 

 

 

 

 

 

 

 

 

 

For comex gold and silver:

NOV

 

 

 

 

 

NUMBER OF NOTICES FILED TODAY FOR  NOV CONTRACT:2 NOTICE(S) FOR 200

Total number of notices filed so far for NOV:  192  for 19200 OZ  (0.5972 TONNES)

 

 

 

 

 

FOR NOVEMBER

XXXXXXXXXXXXXXXXXXXXXXXXXXXXXX

3 NOTICE(S) FILED TODAY FOR

15,000 OZ/

Total number of notices filed so far this month: 1088 for 5,440,000 oz

XXXXXXXXXXXXXXXXXXXXXXXXXXXXXX

Bitcoin: OPENING MORNING TRADE  $6473: up  $52

 

Bitcoin: FINAL EVENING TRADE: $6574  up 53 

 

end

 

XXXX

 

China is controlling the gold market

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  619 CONTRACTS FROM 213218 UP TO  213,566  DESPITE YESTERDAY’S 14 CENT LOSS IN SILVER PRICING AT THE COMEX. TODAY WE  CLOSER TO  AUGUST’S RECORD SETTING OPEN INTEREST OF 244,196 CONTRACTS.

WE HAVE ALSO WITNESSED A LARGE AMOUNT OF PHYSICAL METAL STAND FOR COMEX DELIVERY(WELL OVER 30 MILLION OZ AT THE COMEX FOR JULY , 6 MILLION OZ FOR AUGUST AND NOW JUST LESS THAN 31 MILLION OZ STANDING IN SEPTEMBER. AS WELL WE ARE WITNESSING CONSIDERABLE LONGS PACKING THEIR BAGS AND MIGRATING OVER TO LONDON IN GREATER NUMBERS IN THE FORM OF EFP’S.  WE WERE  NOTIFIED  THAT WE HAD A FAIR SIZED NUMBER OF COMEX LONGS TRANSFERRING THEIR CONTRACTS TO LONDON THROUGH THE EFP:

EFP’S FOR NOV.  1749 EFP’S FOR DECEMBER AND ZERO FOR ALL  OTHER MONTHS  AND THEREFORE TOTAL ISSUANCE: OF 1749 CONTRACTS. WITH THE TRANSFER OF 1749 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 1749 EFP CONTRACTS TRANSLATES INTO 8.74 MILLION OZ  ACCOMPANYING:

1.THE 14 CENT LOSS IN SILVER PRICE AT THE COMEX AND

2. THE STRONG AMOUNT OF SILVER OUNCES WHICH STOOD FOR THE JUNE/2018 COMEX DELIVERY MONTH. (5.420 MILLION OZ);  30.370 MILLION OZ  STANDING FOR DELIVERY IN JULY, FOR AUGUST: 6.065 MILLION OZ AND  39.505 MILLION  OZ STANDING  IN SEPT.  2,520,000 OZ STANDING IN OCTOBER. AND NOW SO FAR A HUGE 6,865,000 OZ STANDING FOR NOVEMBER

 

 

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

11,338 CONTRACTS (FOR 5 TRADING DAYS TOTAL 11338 CONTRACTS) OR 56.69 MILLION OZ: (AVERAGE PER DAY: 2267 CONTRACTS OR 11.338 MILLION OZ/DAY)

TO GIVE YOU AN IDEA AS TO THE HUGE SUPPLY THIS MONTH IN SILVER:  SO FAR THIS MONTH OF NOV:  56.69 MILLION PAPER OZ HAVE MORPHED OVER TO LONDON. THIS REPRESENTS AROUND 8.12% OF ANNUAL GLOBAL PRODUCTION (EX CHINA EX RUSSIA)*  JUNE’S 345.43 MILLION OZ IS THE SECOND HIGHEST RECORDED ISSUANCE OF EFP’S AND IT FOLLOWED THE RECORD SET IN APRIL 2018 OF 385.75 MILLION OZ.

ACCUMULATION IN YEAR 2018 TO DATE SILVER EFP’S:           2,486.41    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

ACCUMULATION FOR MAY 2018:                                             210.05        MILLION OZ

ACCUMULATION FOR JUNE 2018:                                           345.43         MILLION OZ

ACCUMULATION FOR JULY 2018:                                            172.84          MILLION OZ

ACCUMULATION FOR AUGUST 2018:                                      205.23          MILLION OZ.

ACCUMULATION FOR SEPTEMBER 2018:                                 167,05          MILLION OZ

ACCUMULATION FOR OCTOBER 2018:                                     224.875        MILLION OZ

RESULT: WE HAD A FAIR SIZED INCREASE IN COMEX OI SILVER COMEX CONTRACTS OF 619 DESPITE THE 14 CENT LOSS IN SILVER PRICING AT THE COMEX //YESTERDAY. THE CME NOTIFIED US THAT WE HAD A STRONG SIZED EFP ISSUANCE OF 1749 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) .

TODAY WE GAINED A STRONG SIZED: 2368 TOTAL OI CONTRACTS ON THE TWO EXCHANGES:

i.e 1749 OPEN INTEREST CONTRACTS HEADED FOR LONDON  (EFP’s) TOGETHER WITH INCREASE OF 619  OI COMEX CONTRACTS. AND ALL OF THUS GOOD  DEMAND HAPPENED WITH A 14 CENT FALL IN PRICE OF SILVER  AND A CLOSING PRICE OF $14.51 WITH RESPECT TO YESTERDAY’S TRADING. YET WE HAD A GIGANTIC AMOUNT OF SILVER STANDING AT THE COMEX FOR DELIVERY IN THE BIG JULY DELIVERY MONTH OF SLIGHTLY OVER 30 MILLION OZ, IN AUGUST ANOTHER BIG 6.065 MILLION OZ IN A NON ACTIVE MONTH  IN SEPTEMBER A FINAL MONSTROUS 39.505 MILLION OZ OF SILVER STANDING FOR DELIVERY, WITH HUGE DELIVERIES OF OVER 2 MILLION OZ IN OCTOBER (A NON DELIVERY MONTH) AND NOW WELL 6.81 MILLION OZ IN NOVEMBER….... NOBODY IS PAYING ATTENTION TO THE HUGE NUMBER OF PHYSICAL OUNCES STANDING FOR SILVER THESE PAST SEVERAL MONTHS.

 

In ounces AT THE COMEX, the OI is still represented by JUST OVER 1 BILLION oz i.e. 1.059 BILLION OZ TO BE EXACT or 151% of annual global silver production (ex Russia & ex China).

FOR THE NEW FRONT AUGUST MONTH/ THEY FILED AT THE COMEX: 3 NOTICE(S) FOR 15,000 OZ OF SILVER

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

AND NOW WE RECORD FOR POSTERITY ANOTHER ALL TIME RECORD OPEN INTEREST AT THE COMEX OF 244,196 CONTRACTS ON AUGUST 22/2018 AND AGAIN WHEN THIS RECORD WAS SET, THE PRICE OF SILVER WAS $14.78 AND LOWER IN PRICE THAN PREVIOUS RECORDS.

ON THE DEMAND SIDE WE HAVE THE FOLLOWING:

  1. HUGE AMOUNTS OF SILVER STANDING FOR DELIVERY  (MARCH/2018: 27 MILLION OZ , APRIL/2018 : 2.485 MILLION OZ  MAY: 36.285 MILLION OZ ; JUNE/2018  (5.420 MILLION OZ) , JULY 2018 FINAL AMOUNT STANDING: 30.370 MILLION OZ   )  FOR AUGUST 6.065 MILLION OZ. , SEPT:  AN INITIAL HUGE 39.505 MILLION OZ./ OCTOBER: 2,520,000 oz AND NOW NOV AT OVER 6 MILLION OZ.
  2. HUGE RECORD OPEN INTEREST IN SILVER 243,411 CONTRACTS (OR 1.217 BILLION OZ/ SET APRIL 9/2018) AND NOW AUGUST 22/2018:  244,196 CONTRACTS,  WITH A SILVER PRICE OF $14.78.
  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/  AND THE SECOND HIGHEST RECORDED EFP ISSUANCE JUNE 2018 345.43 MILLION OZ

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).

IN GOLD, THE OPEN INTEREST ROSE BY A STRONG  SIZED 6253 CONTRACTS UP TO 4949,11 DESPITE THE LOSS IN THE COMEX GOLD PRICE/YESTERDAY’S TRADING (A DROP IN PRICE OF $5.80).THE CME RELEASED THE DATA FOR EFP ISSUANCAND IT TOTALED A VERY STRONG SIZED 9874 CONTRACTS: ALWAYS, ON THE WEEK PRIOR TO FIRST DAY NOTICE IN ANY ACTIVE MONTH WHETHER GOLD OR SILVER THE OI COLLAPSES.  IT IS HERE THAT THE MIGRANTS RECEIVE THEIR FIAT BONUS FOR ENGAGING IN THIS EXERCISE. WE HAD THE FOLLOWING EFP ISSUANCE FOR TODAY:

 

NOVEMBER HAD EFP’S ISSUED AND, DECEMBER HAD AN ISSUANCE OF 9874 CONTACTS  AND ALL OTHER MONTHS ZERO.  The NEW COMEX OI for the gold complex rests at 494.911. 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 RISE IN TOTAL CONTRACTS ON THE TWO EXCHANGES OF 16,127 CONTRACTS:  6253 OI CONTRACTS INCREASED AT THE COMEX AND 9874 EFP OI CONTRACTS WHICH NAVIGATED OVER TO LONDON. THUS  TOTAL OI GAIN: 16,127 CONTRACTS OR 1,612,700 OZ = 50.16 TONNES. AND ALL OF THIS STRONG DEMAND OCCURRED WITH A FALL IN THE PRICE OF GOLD/ YESTERDAY TO THE TUNE OF $5.80???.

 

 

 

 

YESTERDAY, WE HAD 1322 EFP’S ISSUED.

ACCUMULATION OF EFP’S GOLD AT J.P. MORGAN’S HOUSE OF BRIBES: (EXCHANGE FOR PHYSICAL) FOR THE MONTH OF NOV : 37,515 CONTRACTS OR 3,751,500 OZ OR 116.68 TONNES (5 TRADING DAYS AND THUS AVERAGING: 7503 EFP CONTRACTS PER TRADING DAY

TO GIVE YOU AN IDEA AS TO THE HUGE SIZE OF THESE EFP TRANSFERS :  THIS MONTH IN 5 TRADING DAY IN  TONNES: 116.68 TONNES

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

THUS EFP TRANSFERS REPRESENTS 116.68/2550 x 100% TONNES =  3.37% OF GLOBAL ANNUAL PRODUCTION SO FAR IN JULY ALONE.***

ACCUMULATION OF GOLD EFP’S YEAR 2018 TO DATE:     6,326.65*  TONNES   *SURPASSED ANNUAL PROD’N

ACCUMULATION OF GOLD EFP’S FOR JANUARY 2018:           653.22  TONNES (21 TRADING DAYS)

ACCUMULATION OF GOLD EFP’S FOR FEBRUARY 2018:         649.45 TONNES  (20 TRADING DAYS)

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)

ACCUMULATION OF GOLD EFP’S FOR MAY 2018:                   693.80 TONNES ( 22 TRADING DAYS)

ACCUMULATION OF GOLD EFP FOR JUNE 2018                      650.71 TONNES  (21 TRADING DAYS)

ACCUMULATION OF GOLD EFP FOR JULY 2018                       605.5 TONNES     (21 TRADING DAYS)

ACCUMULATION OF GOLD EFP FOR AUG. 2018                      488.54  TONNES  (23 TRADING DAYS)

ACCUMULATION OF GOLD EFP FOR SEPT 2018                       470.64 TONNES   (19 TRADING DAYS)

ACCUMULATION OF GOLD EFP FOR OCT. 2018                        543.92 TONNES  (23 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 STRONG SIZED INCREASE IN OI AT THE COMEX OF 6253 DESPITE THE LOSS IN PRICING ($5.80) THAT GOLD UNDERTOOK YESTERDAY) //.WE ALSO HAD A GOOD SIZED NUMBER OF COMEX LONG TRANSFERRING TO LONDON THROUGH THE EFP ROUTE: 9874 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 9874 EFP CONTRACTS ISSUED, WE HAD A HUMONGOUS RISE OF 16,127 CONTRACTS IN TOTAL OPEN INTEREST  ON THE TWO EXCHANGES:

9874 CONTRACTS MOVE TO LONDON AND 6253 CONTRACTS INCREASED AT THE COMEX. (in tonnes, the GAIN in total oi equates to 50.16 TONNES). ..AND ALL OF THIS  DEMAND OCCURRED WITH A LOSS OF $5.80 IN YESTERDAY’S TRADING AT THE COMEX????.

 

 

we had: 2 notice(s) filed upon for 200 oz of gold at the comex.

xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx

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

GLD...

 

WITH GOLD UP $2.60 TODAY: / 

 

NO CHANGES IN GOLD INVENTORY AT THE GLD

 

 

 

 

 

 

 

 

 

 

 

/GLD INVENTORY   756.70 TONNES

Inventory rests tonight: 756.70 tonnes.

TO ALL INVESTORS THINKING OF BUYING GOLD THROUGH THE GLD ROUTE: YOU ARE MAKING A TERRIBLE MISTAKE AS THE CROOKS ARE USING WHATEVER GOLD COMES IN TO ATTACK BY SELLING THAT GOLD.  IT SURE SEEMS TO ME THAT THE GOLD OBLIGATIONS AT THE GLD EXCEED THEIR INVENTORY

SLV/

WITH SILVER UP 8  CENTS TODAY

 

NO CHANGES  AT THE SLV:

 

 

 

 

 

 

 

 

/INVENTORY RESTS AT 326.005 MILLION OZ.

 

NOTE THE DIFFERENCE BETWEEN THE GLD AND SLV: THE CROOKS CAN RAID GOLD BECAUSE THEY DO HAVE SOME PHYSICAL.  THEY DO NOT RAID SILVER PROBABLY BECAUSE THERE IS NO REAL SILVER INVENTORIES BEHIND THEM

 

end

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

1. Today, we had the open interest in SILVER ROSE BY 619 CONTRACTS from 212,947 UP TO 213,566  AND MOVING A LITTLE CLOSER TO THE NEW COMEX RECORD SET LAST IN AUG.2018 AT 244,196 WITH A SILVER PRICE OF $14.78/(AUGUST 22/2018)..THE PREVIOUS RECORD WAS SET ON APRIL 9/2018 AT 243,411 OPEN INTEREST CONTRACTS WITH THE SILVER PRICE AT THAT DAY: $16.53). AND PREVIOUS TO THAT, THE RECORD  WAS ESTABLISHED AT: 234,787 CONTRACTS, SET ON APRIL 21.2017 OVER  1 1/3 YEARS AGO.  THE PRICE OF SILVER ON THAT DAY: $17.89.  AS YOU CAN SEE, WE HAVE RECORD HIGH OPEN INTERESTS IN SILVER  ACCOMPANIED BY A CONTINUAL LOWER PRICE WHEN THAT RECORD WAS SET…..

 

.

OUR CUSTOMARY MIGRATION OF COMEX LONGS CONTINUE TO MORPH INTO LONDON FORWARDS  AS OUR BANKERS USED THEIR EMERGENCY PROCEDURE TO ISSUE:

i) 0 EFP’s for November… and

 

1749 CONTRACTS FOR DECEMBER AND  AND ALL OTHER MONTHS: ZERO. TOTAL EFP ISSUANCE: 1749 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 761 CONTRACTS TO THE 1749 OI TRANSFERRED TO LONDON THROUGH EFP’S,  WE OBTAIN A STRONG  NET GAIN OF 2368 OPEN INTEREST CONTRACTS.  THUS IN OUNCES, THE  GAIN ON THE TWO EXCHANGES: 11.84 MILLION OZ!!! AND YET WE ALSO HAVE A STRONG DEMAND FOR PHYSICAL AS WE WITNESSED A FINAL STANDING OF GREATER THAN 30 MILLION OZ FOR JULY, A STRONG 6.065 MILLION OZ FOR AUGUST..  A HUGE 39.505  MILLION OZ  STANDING FOR SILVER IN SEPTEMBER… OVER 2 million  OZ STANDING FOR THE NON ACTIVE MONTH OF OCTOBER., AND NOW 

 6.81 MILLION OZ STANDING IN NOVEMBER.

 

 

RESULT: A GOOD INCREASE IN SILVER OI AT THE COMEX DESPITE THE 14 CENT PRICING LOSS THAT SILVER UNDERTOOK IN PRICING// YESTERDAY.BUT WE ALSO HAD ANOTHER STRONG SIZED 1749 EFP’S ISSUED TRANSFERRING COMEX LONGS OVER TO LONDON. TOGETHER WITH THE STRONG  SIZED AMOUNT OF SILVER OUNCES STANDING FOR SEPTEMBER, 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)WEDNESDAY MORNING/ TUESDAY NIGHT: 

SHANGHAI CLOSED DOWN 18.01 POINTS OR 0.68% //Hang Sang CLOSED UP 186.57 POINTS OR 0.72% //The Nikkei closed DOWN 61.95 OR 0.28%/ Australia’s all ordinaires CLOSED UP 0.39%  /Chinese yuan (ONSHORE) closed DOWN  at 6.9181 AS POBC RESUMES  ITS HUGE DEVALUATION  /DELEGATION COMING TO THE USA TO SEE TRUMP IN NOVEMBER CANCELLED/Oil UP to 62.91 dollars per barrel for WTI and 73.19 for Brent. Stocks in Europe OPENED GREEN//.  ONSHORE YUAN CLOSED WELL DOWN AT 6.9181 AGAINST THE DOLLAR. OFFSHORE YUAN CLOSED WELL DOWN ON THE DOLLAR AT 6.9172: HUGE DEVALUATION/PAST SEVERAL DAYS RESUMES// TRADE TALKS NOW ON   : /ONSHORE YUAN TRADING SLIGHTLY WEAKER  AGAINST OFFSHORE YUAN/ONSHORE YUAN TRADING WEAKER AGAINST USA DOLLAR/OFFSHORE YUAN TRADING WEAKER AGAINST THE DOLLAR /CHINA RETALIATES WITH TARIFFS/ TRUMP RESPONDS TO NEW TARIFFS AND IT NOW A FULL TRADE WAR COMMENCED

 

 

 

 

 

 

 

3A/NORTH KOREA/SOUTH KOREA

i)North Korea/South Korea/USA/

 

 

 

b) REPORT ON JAPAN

3 C/  CHINA

Things are heating up in the South Chinese Seas. It seems that the uSA and Japan are planning a military response to Chinese incursions into the disputed islands.

( zerohedge)

 

 

4/EUROPEAN AFFAIRS

 

Italy

Tom Luongo explains Salvini’s brilliant move of limited the money to migrants.  Most Italian citizens had no idea that these migrants were receiving 35 euros per day…and they are rightfully angry. The cutting of the stipend to 19 euros is better but still angers the general populace.

( Tom Luongo)

5. RUSSIAN AND MIDDLE EASTERN AFFAIRS

i)Iran

We explained this to you yesterday:  Iran has turned off its trackers and such it will be impossible to track where their oil goes

( zerohedge)

ii)EU/SWIFT SYSTEM/USA/iRANIAN BANKS
Despite pressure to resist the USA. the European based SWIFT system defies the EU by cutting off Iranian banks
( zerohedge)
iii)SAUDI ARABIAAnother journalist is killed during a torture session inside Saudi Arabia.  I guess freedom of the press is out of the question

(courtesy Middle East Monitor)

6. GLOBAL ISSUES

 

 

 

7. OIL ISSUES

 

8 EMERGING MARKET ISSUES

 

 

9. PHYSICAL MARKETS

i)An historical review of GATA and what to expect from gold and silver in the future
( Bill Murphy/GATA)
ii)Interesting:  the energy cost of “mining’ bitcoin is twice that of mining for gold( Guardian/London/Hern/GATA

iii)This is good:  Ex JPMorgan pleads guilty to rigging the precious metals and now he implicates his supervisors at the bank

(courtesy Hugh Son/Mangan/CNBC/GATA

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

 

 

MARKET TRADING

Early trading early this morning after Dems win the House but lose more seats in the Senate

(zerohedge)

 

 

ii)Market data

a)Housing is a very big component of USA GDP.  Today another indicator: mortgage applications plummet to an 18 yr low

The reason: higher interest rates

(courtesy zerohedge)

b)Three month libor hits 1.6011 early this morning

( zerohedge)

c)Credit card debt surprisingly drops but student loans hits a new all time hime of 1.561 trillion dollars
(courtesy zerohedge)

 

iii)USA ECONOMIC/GENERAL STORIES

a)Summary of election results last night:

(zerohedge)

b)According to DHS Secretary Nielson, there are middle easterners in the Central American caravan

( zerohedge
c)Kelly delivers the news to Sessions that he wants him to resign. ..and he does
( zerohedge)

 

iv)SWAMP STORIES

Trump threatens a reciprocal leak program if the Dems. launch more witch hunts

( zerohedge)

 

E)SWAMP STORIES/THE KING REPORT

Let us head over to the comex:

 

The total gold comex open interest ROSE BY A STRONG SIZED 6253 CONTRACTS UP to an OI level 494,911 DESPITE THE FALL IN THE PRICE OF GOLD ($5.80 IN YESTERDAY’S COMEX TRADING). FOR TWO YEARS STRAIGHT WE HAVE NOTICED THAT ONE WEEK PRIOR TO FIRST DAY NOTICE OF AN ACTIVE DELIVERY MONTH THE COMEX OPEN INTEREST CONTRACTS AND EFP’S NOTICES EXPONENTIALLY INCREASE AS WELL AS WE WITNESS THE COMEX OPEN INTEREST COLLAPSE. ONCE WE GET TO FIRST DAY NOTICE, THEN THE OPEN INTEREST RISES AND AGAIN THEY DID NOT DISAPPOINT US.

 

 

WE ARE NOW IN THE NON ACTIVE DELIVERY MONTH OF NOV..  THE CME REPORTS THAT THE BANKERS ISSUED A STRONG SIZED COMEX TRANSFER THROUGH THE EFP ROUTE AS THESE LONGS RECEIVED A DELIVERABLE LONDON FORWARD TOGETHER WITH A FIAT BONUS., THAT IS 9874 EFP CONTRACTS WERE ISSUED:

NOV: 0 EFP’S AND DECEMBER:  98974 AND  ZERO FOR ALL OTHER MONTHS:

TOTAL EFP ISSUANCE:  9874 CONTRACTS.

THE OBLIGATION STILL RESTS WITH THE BANKERS ON THESE TRANSFERS. ALSO REMEMBER THAT THERE IS NO DOUBT A HUGE DELAY IN THE ISSUANCE OF EFP’S AND IT PROBABLY TAKES AT LEAST  48 HRS AFTER LONGS GIVE UP THEIR COMEX CONTRACTS FOR THEM TO RECEIVE THEIR EFP’S AS THEY ARE NEGOTIATING THIS CONTRACT WITH THE BANKS FOR A FIAT BONUS PLUS THEIR TRANSFER TO A LONDON BASED FORWARD.

ON A NET BASIS IN OPEN INTEREST WE GAINED THE FOLLOWING TODAY ON OUR TWO EXCHANGES:  16,127 TOTAL CONTRACTS IN THAT 9874 LONGS WERE TRANSFERRED AS FORWARDS TO LONDON AND WE GAINED A STRONG 86253 COMEX CONTRACTS.

NET GAIN ON THE TWO EXCHANGES: 16,127 contracts OR 1,612,700 OZ OR 50.16 TONNES.

 

We are now in the non active contract month of November. For the November contract month, we have 6 notices standing so we lost 5 contracts. We had 5 notices served upon yesterday

 

we lost 0 contracts or an additional NIL oz of gold will stand for gold at the comex and these guys REFUSED TO morph into London based forwards as well as NOT receiving a fiat bonus for the trouble.

 

 

 

 

 

The next delivery month after November is the very big December contract month and here the OI FELL by 384 contracts  to 345.393 contracts.  January saw a  RISE TO 1936 FOR A GAIN OF 732 CONTRACTS.  February gained 5325 contracts to stand at 95.205 contracts.

 

 

 

 

WE HAD 2 NOTICES FILED AT THE COMEX FOR 200 OZ.

 

 

 

xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx

And now for the wild silver comex results.

Total silver OI ROSE BY 619 CONTRACTS FROM 212947 UP TO 213,566 (AND CLOSER TO THE NEW RECORD OI FOR SILVER SET ON AUGUST 22.2018.  (THE PREVIOUS RECORD WAS SET APRIL 9.2018/ 243,411 CONTRACTS) AND TODAY’S GOOD  OI COMEX GAIN  OCCURRED WITH A 14 CENT LOSS IN PRICING.

 

WE ARE NOW INTO THE NON ACTIVE DELIVERY MONTH OF NOVEMBER AND, WE WERE  INFORMED THAT WE HAD A FAIR SIZED 1749 EFP CONTRACTS:  FOR NOVEMBER:  0 CONTRACTS AND FOR …

 

FOR DECEMBER: 1749 CONTRACTS 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: 1749.  ON A NET BASIS WE GAINED 2368 SILVER OPEN INTEREST CONTRACTS AS WE OBTAINED A  619 CONTRACT GAIN AT THE COMEX COMBINING WITH THE ADDITION OF 1749 OI CONTRACTS NAVIGATING OVER TO LONDON.

NET GAIN ON THE TWO EXCHANGES:   2368 CONTRACTS...AND ALL OF THIS GOOD DEMAND OCCURRED WITH A 14 CENT LOSS IN PRICING// YESTERDAY??

 

 

 

 

We are now in the non active delivery month of NOVEMBER and here we now have 277 notices  standing for a LOSS of 148 contacts.  We had 150 notices served upon yesterday so we gained another 2 contracts or an additional 10,000 oz will  stand for delivery as these longs refused to  morph into London based forwards as well as not accepting a fiat bonus for their efforts. QUEUE JUMPING DID RETURN TO THE COMEX ARENA AS THIS PHENOMENON  (IN SILVER) HAS BEEN THE NAME OF THE GAME FOR OVER 19 MONTHS.

 

 

 

After November, we have a December contract and here we lost 1609 contracts down to 149,070.  January saw a gain of 13 contracts DOWN to 991 contracts.   March, the next big delivery month after December saw a gain of 2259 contracts  up to 51,650.

 

 

 

 

 

 

 

 

We had 3 notice(s) filed for 15,000 OZ for the NOV, 2018 COMEX contract for silver

 

Trading Volumes on the COMEX

 

PRELIMINARY COMEX VOLUME FOR TODAY: 175,881 contracts,

 

CONFIRMED COMEX VOL. FOR YESTERDAY:  216,671  contracts..

 

 

 

 

 

 

 

 

 

 

 

INITIAL standings for  NOV/GOLD

NOV 7-/2018.

Gold Ounces
Withdrawals from Dealers Inventory in oz nil oz
Withdrawals from Customer Inventory in oz
 nil oz
Deposits to the Dealer Inventory in oz NIL oz

 

Deposits to the Customer Inventory, in oz  

 

 

nil

 

oz

 

 

 

 

 

 

 

 

No of oz served (contracts) today
2 notice(s)
 200 OZ
No of oz to be served (notices)
6 contracts
(600 oz)
Total monthly oz gold served (contracts) so far this month
192 notices
19200 OZ
0.5972 TONNES
Total accumulative withdrawals of gold from the Dealers inventory this month NIL oz
Total accumulative withdrawal of gold from the Customer inventory this month xxx oz

 

we had 0 dealer entry:

 

total gold entering dealer:  0 oz

total gold withdrawing from the dealer;  0 oz

 

we had 0 kilobar transaction/
we had 0 withdrawal out of the customer account:
total customer withdrawals:  nil oz
we had 0 customer deposit
total customer deposits nil oz
we had 0  adjustment..
i

FOR THE NOV 2018 CONTRACT MONTH)

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 2 contract(s) of which 0 notices were stopped (received) by j.P. Morgan dealer and 0 notice(s) was (were) stopped/ Received) by j.P.Morgan customer account.

xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx
To calculate the INITIAL total number of gold ounces standing for the NOV/2018. contract month, we take the total number of notices filed so far for the month (192) x 100 oz , to which we add the difference between the open interest for the front month of NOV. (8 contracts) minus the number of notices served upon today (2 x 100 oz per contract) equals 19,800 OZ OR 0.6158 TONNES) the number of ounces standing in this non active month of NOV

 

Thus the INITIAL standings for gold for the NOV/2018 contract month:

No of notices served (192 x 100 oz)  + {8)OI for the front month minus the number of notices served upon today (2x 100 oz )which equals 19800 oz standing OR 0.6158 TONNES in this NON active delivery month of NOVEMBER.

WE GAINED 0 CONTRACTS OR AN ADDITIONAL NIL WILL  STAND AT THE COMEX AS THESE LONGS REFUSED TO  MORPH INTO LONDON BASED FORWARDS AS WELL AS NEGATE A FIAT BONUS. QUEUE JUMPING IN GOLD TOOK A LITTLE HIATUS BUT WILL RETURN AS THE DEALERS TRY AND PUT OUT FIRES ELSEWHERE.

 

 

 

 

 

THERE ARE ONLY 4.2969 TONNES OF REGISTERED COMEX GOLD AVAILABLE FOR DELIVERY AGAINST 0.6158 TONNES STANDING FOR NOVEMBER  

 

 

 

total registered or dealer gold:  138,146.468 oz or   4.2969 tonnes
total registered and eligible (customer) gold;   8,013,936.429 oz 259.26 tonnes
 I BELIEVE THAT THIS IS THE LOWEST REGISTERED GOLD READING IN THE COMEX HISTORY..AS WELL AS THE LONGEST WE HAVE SEEN THE REGISTERED COLUMN AT 5 TONNES OR LESS.

IN THE LAST 27 MONTHS 107 NET TONNES HAS LEFT THE COMEX.

LADIES AND GENTLEMEN: THERE IS NO GOLD AT THE COMEX..AS THE CROOKS SEEMS TO BE FORCING LONGS TO TAKE DELIVERY OF LONDON FORWARDS AND NOT TAKE POSSESSION OF ANY GOLD AT THE COMEX/

end

And now for silver

AND NOW THE NOV DELIVERY MONTH

NOV INITIAL standings/SILVER

NOV 7 2018
Silver Ounces
Withdrawals from Dealers Inventory NIL oz
Withdrawals from Customer Inventory
 646,197.103 oz
CNT
Malca

 

 

Deposits to the Dealer Inventory
604,655.500
oz
Brinks
Deposits to the Customer Inventory
1,087m186.850
oz
Scotia
JPM
No of oz served today (contracts)
3
CONTRACT(S)
15,000 OZ)
No of oz to be served (notices)
274 contracts
(1370,000 oz)
Total monthly oz silver served (contracts) 1088 contracts

(5,440,000 oz)

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

lots of activity in the silver vaults today.

 

we had 1 inventory movement at the dealer side of things

i) Into Brinks:  604,655.500 oz

 

 

total dealer deposits: 604,655.500 oz

total dealer withdrawals: 0 oz

we had 2 deposits into the customer account

i) Into JPMorgan: 447,742.500 oz

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

JPMorgan now has 151.4 million oz of  total silver inventory or 51.94% of all official comex silver. (151.4 million/291.4 million)

ii)Into  Scotia:  599,444.350. oz

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

total customer deposits today:  1,087,186.850  oz

we had 2 withdrawals from the customer account;

 

i) Out of CNT:  50,319.358  oz

 

ii) Out of Malca:  598,877.715 oz

 

 

 

 

 

total withdrawals: 646,197.103  oz

 

we had 0 adjustments

 

 

 

 

 

 

total dealer silver:  85.934 million

total dealer + customer silver:  291.458  million oz

The total number of notices filed today for the NOV 2018. contract month is represented by 3 contract(s) FOR 25,000 oz. To calculate the number of silver ounces that will stand for delivery in NOV., we take the total number of notices filed for the month so far at 1088 x 5,000 oz = 5,440,000 oz to which we add the difference between the open interest for the front month of NOV. (277) and the number of notices served upon today (3 x 5000 oz) equals the number of ounces standing.

.

Thus the INITIAL standings for silver for the NOV/2018 contract month: 1088(notices served so far)x 5000 oz + OI for front month of NOV( 277) -number of notices served upon today (3)x 5000 oz equals 6,810,000 oz of silver standing for the NOV contract month.  This is a gigantic number of oz standing for an off delivery month. Somebody is after a large supply of physical silver. We GAINED 2 contracts or an additional 10,000 will  stand at the comex as these longs accepted a London based forwards as well as receiving the right for a fiat bonus. QUEUE JUMPING IN SILVER RETURNED IN EARNEST TODAY

 

 

 

 

 

 

 

 

 

xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx

ESTIMATED VOLUME FOR TODAY: 49.655 CONTRACTS  … 

 

 

 

 

CONFIRMED VOLUME FOR YESTERDAY: 78,356 CONTRACTS….

 

 

 

YESTERDAY’S CONFIRMED VOLUME OF 78356 CONTRACTS EQUATES to 391 million OZ  OR 55.9% 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 FALLS TO -5.37% (NOV 6/2018)
2. Sprott gold fund (PHYS): premium to NAV FALLS TO -2.00% to NAV (NOV 6/2018 )
Note: Sprott silver trust back into NEGATIVE territory at -5.37%-/Sprott physical gold trust is back into NEGATIVE/

(courtesy Sprott/GATA)

3.SPROTT CEF.A FUND (FORMERLY CENTRAL FUND OF CANADA):

NAV 12.46/TRADING 11.86/DISCOUNT 4.83

END

And now the Gold inventory at the GLD/

NOV 7/WITH GOLD UP $2.60″ NO CHANGES IN GOLD INVENTORY AT THE GLD/INVENTORY RESTS AT 756.70 TONNES

NOV 6/WITH GOLD DOWN $5.80 A SMALL WITHDRAWAL OF .58 TONNES OF GOLD FROM THE GLD/INVENTORY RESTS AT 756.70 TONES

NOV 5/WITH GOLD DOWN $1.05 TODAY: A BIG CHANGE IN GOLD INVENTORY AT THE GLD: A WITHDRAWAL OF 1.77 TONNES OF GOLD FROM THE GLD INVENTORY/INVENTORY RESTS AT 757.29 TONNES

NOV 2/WITH GOLD DOWN $5.05: A BIG CHANGE IN GOLD INVENTORY AT THE GLD: A WITHDRAWAL OF 1.76 TONNES FROM THE GLD INVENTORY//INVENTORY RESTS AT 759.06 TONNES

NOV 1/: 2 TRANSACTIONS:WITH GOLD UP $23.85,A SMALL WITHDRAWAL OF .80 TONNES OF GOLD TO PAY FOR FEES, INSURANCE AND STORAGE: INVENTORY AT THE GLD RESTS AT 754.06 TONNES THEN A DEPOSIT OF 6.76 TONNES OF GOLD INTO THE GLD/INVENTORY RESTS AT 760.82

OCT 31: WITH GOLD DOWN $11.35: NO CHANGES IN GOLD INVENTORY AT THE GLD/INVENTORY RE3STS AT 754.94 TONNES

OCT 30/WITH GOLD DOWN $2.00: A HUGE DEPOSIT OF 5.30 TONNES OF GOLD INTO THE GLD/INVENTORY RESTS AT 754.94 TONNES

OCTOBER 29/WITH GOLD DOWN $7.75 TODAY/NO CHANGES IN GOLD INVENTORY AT THE GLD/INVENTORY RESTS AT 749.64 TONNES

OCTOBER 26/WITH GOLD UP $3.65 TODAY: NO CHANGES IN GOLD INVENTORY AT THE GLD/INVENTORY RESTS AT 749.64 TONNES

OCT 25/WITH GOLD UP $1.15: A DEPOSIT OF 1.76 TONNES OF GOLD INTO THE GLD INVENTORY/INVENTORY RESTS AT 749.64 TONNES. FROM ITS LOW POINT AT THE BEGINNING OF OCTOBER THE GLD HAS ADDED.19.47 TONNES OF GOLD

OCT 23/WITH GOLD UP $11.85 TODAY: NO CHANGES IN GOLD INVENTORY AT THE GLD/INVENTORY RESTS AT 747.88 TONNES

Oct 22/WITH GOLD DOWN $3.90 TODAY: A WITHDRAWAL OF 2.97 TONNES OF GOLD FROM THE GLD INVENTORY/INVENTORY RESTS AT 745.82

AND THEN: A DEPOSIT OF 2.06 TONNES SUCH THAT THE FINAL RESTING INVENTORY IS 747.88 TONNES

OCT 19/WITH GOLD DOWN $1.70 : NO CHANGES IN GOLD INVENTORY AT THE GLD/INVENTORY RESTS AT 748.76 TONNES

OCT 18/WITH GOLD UP $2.80/NO CHANGES IN GOLD INVENTORY AT THE GLD/INVENTORY RSTS AT 748.76 TONNES

OCT 16/WITH GOLD UP BY ONLY $1.00/WE HAD ANOTHER 4.12 TONNES OF GOLD ADDED TO THE GLD/INVENTORY RESTS AT 748.76 TONNES

OCT 15/WITH GOLD UP $8.45/ANOTHER 5.65 TONNES OF GOLD WAS ADDED TO THE GLD INVENTORY/INVENTORY RESTS AT 744.64 TONNES

OCT 12/WITH GOLD DOWN $4.35/NO CHANGES IN GOLD INVENTORY AT THE GLD/INVENTORY RESTS AT 738.99 TONNES

OCT 11/WITH GOLD UP $35.20 TODAY: A HUGE PAPER GOLD INVENTORY GAIN OF 8.82 TONNES/INVENTORY RESTS AT 738.99 TONNES

OCT 10/WITH GOLD UP $2.65 TODAY: NO CHANGE IN GOLD INVENTORY AT THE GLD/INVENTORY RESTS AT 730.17 TONNES

OCT 9/WITH GOLD UP $2.00 TODAY: NO CHANGE IN GOLD INVENTORY AT THE GLD/INVENTORY RESTS AT 730.17

OCT 8/WITH GOLD DOWN $18.60 NO CHANGE IN GOLD INVENTORY AT THE GLD/INVENTORY RESTS AT 730.17TONNES

 

 

xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx

NOV 7.2018/ Inventory rests tonight at 756.70 tonnes

*IN LAST 493 TRADING DAYS: 178.45 NET TONNES HAVE BEEN REMOVED FROM THE GLD
*LAST 393 TRADING DAYS: A NET 18.15 TONNES HAVE NOW BEEN REMOVED FROM GLD INVENTORY.

 

end

 

Now the SLV Inventory/

NOV 7: WITH SILVER UP 8 CENTS TODAY: NO CHANGES IN SILVER INVENTORY AT THE SLV/INVENTORY RESTS AT 326.005 MILLION OZ/

NOV 6/WITH SILVER DOWN 14 CENTS: NO CHANGE IN SILVER INVENTORY/INVENTORY RESTS AT 326.005 MILLION OZ/

NOV 5/WITH SILVER DOWN 9 CENTS TODAY: ANOTHER BIG CHANGES IN SILVER INVENTORY AT THE SLV: A WITHDRAWAL OF 1.315 MILLION OZ FROM THE SLV INVENTORY/INVENTORY RESTS AT 326.005 MILLION OZ/

NOV 2/WITH SILVER DOWN 6 CENTS TODAY: A SMALL CHANGES IN SILVER INVENTORY AT THE SLV: A WITHDRAWAL OF 143,000 OZ/INVENTORY RESTS AT 327.320 MILLION OZ/

NOV 1/WITH SILVER UP 54 CENTS TODAY: A BIG CHANGE IN SLV” A WITHDRAWAL OF 1.033 MILLION OZ FROM THE SLV. /INVENTORY RESTS AT 327.463 MILLION OZ.

OCT 31/WITH SILVER DOWN  18 CENTS: NO CHANGES IN SLV INVENTORY/INVENTORY RESTS AT 328.496 MILLION OZ/

OCT 30/WITH SILVER UP 4 CENTS TODAY: NO CHANGES IN SLV INVENTORY/INVENTORY RESTS AT 328.496 MILLION OZ

OCTOBER 29/WITH SILVER DOWN 27 CENTS NO  A HUGE CHANGE IN SILVER INVENTORY AT THE SLV” A WITHDRAWAL OF 1.879 MILLION OZ FROM THE SLV/INVENTORY RESTS AT 328.496 MILLION OZ.

OCTOBER 26/WITH SILVER UP 7 CENTS NO CHANGES IN SILVER INVENTORY AT THE SLV/INVENTORY RESTS AT 330.375 MILLION OZ

OCT 25/WITH SILVER DOWN 7 CENTS: ANOTHER HUGE WITHDRAWAL OF 1.315 MILLION OZ FROM THE SLV INVENTORY/INVENTORY RESTS AT 330.375 MILLION OZ/

OCT 23/WITH SILVER UP 22 CENTS/A HUGE CHANGE IN SILVER INVENTORY AT THE SLV: A WITHDRAWAL OF 2.819 MILLION OZ /INVENTORY RESTS AT 331.690 MILLION OZ.

OCT 22/WITH SILVER DOWN 8 CENTS: A SMALL CHANGES IN SILVER INVENTORY AT THE SLV: A DEPOSIT OF 470,000/INVENTORY RESTS AT 334.509 MILLION OZ/

OCT 19/WITH SILVER UP 6 CENTS TODAY: NO CHANGES IN SILVER INVENTORY AT THE SLV/INV. RESTS AT 334.039 MILLION OZ

OCT 18/WITH SILVER DOWN 6 CENTS: A HUGE CHANGE IN SILVER INVENTORY AT THE SLV: A DEPOSIT OF 1.127  MILLION /RESTS AT 334.039 MILLION OZ/

OCT 16/WITH SILVER DOWN 2 CENTS/NO CHANGES IN SILVER INVENTORY AT THE SLV/INVENTORY RESTS AT 332.912 MILLION OZ/

OCT 15/WITH SILVER UP 10 CENTS TODAY: NO CHANGES IN SILVER INVENTORY AT THE SLV/INVENTORY RESTS AT 332.912 MILLION OZ/

OCT 12/WITH SILVER UP 3 CENTS TODAY: NO CHANGES IN SILVER INVENTORY AT THE SLV/INVENTORY RESTS AT 332.912 MILLION OZ/

OCT 11/WITH SILVER UP 25 CENTS TODAY; NO CHANGE IN SILVER INVENTORY AT THE SLV/INVENTORY RESTS AT 332.912 MILLION OZ/

OCT 10/WITH SILVER DOWN 7 CENTS TODAY: NO CHANGE IN SILVER INVENTORY AT THE SLV/INVENTORY RESTS AT 332.912 MILLION OZ/

OCT 9/WITH SILVER UP 9 CENTS TODAY: NO CHANGE IN SILVER INVENTORY: SLV INVENTORY RESTS AT 332.912 MILLION OZ

OCT 8/WITH SILVER DOWN 33 CENTS, A GOOD SIZE WITHDRAWAL OF 563,000 OZ/INVENTORY RESTS AT 332.912 MILLION OZ.

 

 

NOV 7/2018:

 

Inventory 326.005 MILLION OZ

LIBOR SCHEDULE AND GOFO RATES:

HUGE JUMP IN LIBOR RATES TODAY./

 

 

THE RISE IN LIBOR IS CREATING A SCARCITY OF DOLLARS BECAUSE FOREIGN EXCHANGE SWAPS (COSTS) ARE SIMPLY PROHIBITIVE

YOUR DATA…..

6 Month MM GOFO 2.44/ and libor 6 month duration 2.84

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

G0LD LENDING RATE: + .50

 

 

XXXXXXXX

12 Month MM GOFO
+ 2.68%

LIBOR FOR 12 MONTH DURATION: 3.12

GOFO = LIBOR – GOLD LENDING RATE

GOLD LENDING RATE  = +.44

end

 

 

PHYSICAL GOLD/SILVER STORIES

end
i) GOLDCORE BLOG

Gold ETFs See Strong Demand In Volatile October After Robust Global Gold Demand In Q3

– Gold ETFs saw inflows in volatile October as investors again hedged risk
– Gold ETFs see demand of 16.5 tonnes(t) in October to total of 2,346t, the equivalent of US$1B in inflows
– Global gold demand was robust in Q3 – demand of 964.3 tonnes – plus 6.2t yoy
– Strong central bank and store of value coin and bar demand offset the gold ETF outflows in Q3
– Central bank gold reserves grew 148.4t in Q3, up 22% yoy
– Gold coin and bar investors took advantage of the price dip and demand for gold coins and bars rose 28% yoy

The latest research from the World Gold Council on gold demand trends in Q3 and demand for gold ETFs in October are must reads and point to strong ongoing demand which bodes well for the gold market in the coming  months.

According to the World Gold Council, gold demand was 964.3t in Q3 which was 6.2t higher y-o-y.

Gold coin and bar demand jumped 28% to 298.1t as investors and store of value buyers took advantage of the lower gold price and sought protection against currency weakness and tumbling stock markets.

Jewellery demand rose 6% in Q3 as lower prices seem to have caught Asian consumers’ attention. Technology registered its eighth consecutive quarter of y-o-y growth, up 1%.

Central bank gold buying was robust again as a growing number of central bank buyers saw demand in this sector rise 22% y-o-y to 148.4t, the highest level of quarterly net purchases since 2015.

The 13% rise in global gold demand offset large ETF outflows, primarily from the U.S. market.

However, those gold ETF outflows reversed in a very volatile October and global gold ETFs and similar products rose in October by 16.5 tonnes(t) to 2,346t which was the equivalent to US$1.0bn in inflows

Excellent research, data and charts from WGC here:

Positive inflows in gold-backed ETFs as investors hedge risk (Gold.org)

Gold Demand Trends Q3 2018 (Gold.org)

 

News and Commentary

Stocks Lose Gains, Dollar Falls as Traders Mull a Split Congress: Markets Wrap (Bloomberg.com)

Gold gains on weaker dollar; U.S. election in focus (Reuters.com)

Election results 2018: Track midterm races and the battle for control of Congress (MarketWatch.com)

China’s gold consumption continues to grow (Nation.com.pk)

Former JP Morgan trader pleads guilty to manipulating U.S. metals markets for years (CNBC.com)

October inflows to gold-backed ETFs up as investors hedged risk -WGC (Reuters.com)

Energy cost of ‘mining’ bitcoin is more than twice that of gold (TheGuardian.com)


U.S. Treasuries “see wild swings”. Source: Bloomberg

Democrats Poised to Take House Control as GOP Holds Senate (Bloomberg.com)

Democrats Win Control Of US House As Republicans Keep Senate (ZeroHedge.com)

Mortgage Rates Hit 7-Year High (EconomicBlogs.org)

How Did “Exhaustive” Investigation of the Silver Market by the CFTC miss this? (GoldSeek.com)

GATA’s past and the future of gold and silver – Murphy (Gata.org)

 

Gold Prices (LBMA AM)

06 Nov: USD 1,234.85, GBP 947.75 & EUR 1,083.58 per ounce
05 Nov: USD 1,231.60, GBP 946.61 & EUR 1,081.96 per ounce
02 Nov: USD 1,235.50, GBP 948.00 & EUR 1,079.83 per ounce
01 Nov: USD 1,223.25, GBP 950.47 & EUR 1,075.85 per ounce
31 Oct: USD 1,217.70, GBP 955.77 & EUR 1,074.25 per ounce
30 Oct: USD 1,220.00, GBP 956.36 & EUR 1,074.33 per ounce

Silver Prices (LBMA)

06 Nov: USD 14.70, GBP 11.25 & EUR 12.89 per ounce
05 Nov: USD 14.74, GBP 11.33 & EUR 12.96 per ounce
02 Nov: USD 14.82, GBP 11.38 & EUR 12.95 per ounce
01 Nov: USD 14.45, GBP 11.19 & EUR 12.68 per ounce
31 Oct: USD 14.34, GBP 11.23 & EUR 12.64 per ounce
30 Oct: USD 14.43, GBP 11.32 & EUR 12.71 per ounce


Recent Market Updates

 

– Venezuela Seeks To Repatriate $550 Million Of Gold From London
– Big Short’s Eisman Is Shorting Two U.K. Banks on Brexit
– “Red October” Highlights Importance of Rebalancing Portfolios and Gold’s “Very Positive” Outlook
– Alarm Bells Ring and Gold Rises In October As Stocks and Property Fall Globally
– Gold Analysts At LBMA See 25% Return To $1,532/oz In 12 months
– Gold Improves Investment, Pension and Central Bank Portfolio’s Risk-Adjusted Returns
– Gold Gains Nearly 1% On Week As Global Stock Markets Fall Sharply
– Dublin Housing Boom Set To Bust?
– Palladium Surges To All Time Record High On Russian Supply Concerns
– Happy Birthday GoldCore

DAG Video Still Play V2

Mark O’Byrne
Executive Director

 

ii) GATA stories
An historical review of GATA and what to expect from gold and silver in the future
(courtesy Bill Murphy/GATA)

Bill Murphy: GATA’s past and the future of gold and silver

 Section: 

Remarks by Bill Murphy, Chairman
Gold Anti-Trust Action Committee Inc.
New Orleans Investment Conference
Friday, November 2, 2018

Thanks for taking the time to come by on a bustling Friday night in New Orleans.

What to bring your way of new interest this year was the most puzzling for me than at any other time over the past two decades when first preparing this presentation. Very little has changed over the past year for the precious metals camp except that The Gold Cartel has stepped up their lockdown of the gold and silver markets in the most forceful of fashions. So I thought it might be best to go over the past years and what it ought to portend in the future for gold/silver investors.

But first a bit of a GATA recap as The Gold Anti-Trust Action Committee was set into motion 20 years ago just about now when my colleague Chris Powell responded to my constant complaining about the manipulation of the gold market by various bullion banks.

… 

 

Jefferson Financial, promoters of this very conference, had published The Gold Book by my long time friend Frank Veneroso, a consultant to the World Bank and other prestigious organizations. In his book Frank explained that the bullion banks of the world had secretly lent out many thousands of tonnes of physical gold in order to control the gold price. One of his sources for this information was the Bank of England.

Soon after opening my LeMetropoleCafe 20 years ago this past September, the famed hedge fund, Long Term Capital Management, went belly up. They were such a big deal back then their demise threatened the financial system. Mostly because they were short some three or four hundred tonnes of gold (which were lent out to finance other investments) and would have to be covered as part of the liquidation of assets on their books. It then came to my attention that the major bullion banks were collectively selling gold on the Comex to prevent the price from going through $300 an ounce. In essence they were taking the Long Term’s gold liability off their books and were making sure they didn’t lose money on their new positions. Interestingly enough, the now famous Jim Rickards of the gold world was Long Term’s lawyer back then and knows full well what occurred at the time. In addition there were other coinciding events which confirmed the manipulation … Enough to raise a big stink for anyone who could put two and two together.

Anyway, that was two decades ago and my colleague here, Chris Powell, who had become a subscriber to my website, suggested we do something about it. That was how GATA came into being in January of 1999.

What a journey it has been!

We came out of the box on fire.

In February of 1999 I was interviewed by CNBC’s Ron Insanna. Course once they heard what GATA had to say that would be the last time we would be on CNBC in the US. In April Dow Jones wrote an extensive story on GATA and presented our views. That was unacceptable to the establishment. How dare they give GATA’s discoveries of foul play coverage! Eighteen years later the Wall Street Journal wrote a lengthy front page story about the Fed’s gold, but purposely cut GATA completely out of the article, despite lengthy interviews with us.

Then in May of that year I met Congressman James Saxton, head of the Joint Economic Committee, in Washington, who listened intensely. Since then, we met with Speaker of the House at the time, Dennis Hastert. Ironically, he certainly developed a great deal more problems as time passed by than GATA ever had.

Speaker Hastert quickly arranged a meeting with the Subcommittee on Domestic and International Monetary Policy. Over the years ahead we met with very pro-gold advocate Congressman Ron Paul and contacted many other politicians by mail. They all listened intensely. But that is all they did.

Yes, we were off to a very enthusiastic start. Around that time the GATA camp began to contact the gold mining executives to raise funds and garner support. The CEO of Goldcorp, Chris Thompson, sent us $20,000 and we were off to the races. Bobby Godsell, CEO of Anglo-Gold and a major hedger akin to Barrick Gold, was soon shamed to do the same by an ardent GATA follower.

But we soon realized, the task at hand would not be an easy one. We would be taking on the richest and most powerful people in the world. THEY don’t like to be messed with and very few people or entities would be willing to take them on. Actually, phrasing it that way is an understatement.

To begin with we soon came to understand the manipulation of the gold market was far larger and more complex than we originally thought. We realized that included in this nefarious activity were other central banks, The Fed, The US Treasury, Exchange Stabilization Fund, and the Bank for International Settlements. AND it included the silver market as well.

How tough would it be to get the gold industry behind GATA to end the price suppression scheme which was hurting THEM so badly?

As far as the gold companies go, this little recap says it all…

* I flew to Vancouver for an arranged meeting Robert Champion de Crespigny, the chairman of Normandy Mining in Australia. After going all that way, he refused to see me.

* The secretary for Newmont Mining’s CEO Wayne Murdy returned my email to him saying Newmont never received it. HUH?

* Chris Thompson was to become the CEO of the World Gold Council. When I met him in South Africa at a conference years later, he would not even talk to me.

* And finally Chris, John Embry, and I went to London and met up with the World Gold Council and their new CEO. When we arrived, we had to sign a document that said we were never there. HUH again!

You get the drill. It was going to be an uphill battle recruiting the management of the major gold companies. That said we are very grateful for the financial support we have received from some of the junior/exploration firms.

And, not to be deterred, my colleague CP is making another valiant effort to gain the attention and support of some major gold companies at this very moment.

As far as the politicians go, it is very difficult for them to do anything about the gold price suppression scheme when it is their own government who is responsible for what is going on. The same government which espouses free markets and freedom of speech. Surely part of the rigging scheme is conducted by The Exchange Stabilization Fund. This secretive operation reports only to the President and Secretary of the Treasury and has full, legal authority to do whatever it wishes in the gold and currency markets.

Even the most pro-gold political advocate of all, Congressman Ron Paul will not press very hard about the rigging of the gold price. Chris and I have met him and he is a great guy. But, I will never forget how much work we put into formulating key questions to be asked to a monetary committee way back when, one which was televised. He and his staff requested questions from GATA to be asked. The outspoken congressman just backed down and did not ask one of them.

Then you have the CFTC, the regulatory agency in charge of oversight for the commodities markets. What a farce they are, as most of you know. We have been to Washington and met with them too and then I was able to make a presentation in front of a televised CFTC inquiry into the markets. There were various presentations, all of which were seen by the public. Except mine, which was mysteriously blacked out. You can’t make this stuff up, especially when it is all tied together.

The bottom line is this: one of the great lines ever was by Chris when he said the US would rather reveal their nuclear secrets than what they are doing in the gold market. It is that big a deal.

Now, while this has been as frustrating as anything I have taken on in my life, it has been one of the most rewarding experiences imaginable. The people we have met on this journey are the best, some of whom are here now. We have held four international conferences: in Durban, South Africa; Dawson City in the Yukon: right outside of Washington, D.C.; and in London. They all were very successful and the speakers/attendees were awesome.

Yes, while exposing the gold price suppression scheme and making progress to end this rigged farce has been more than aggravating, what we have learned will pay off big time for those who are paying attention. The gold and silver prices have been sent to incredibly low artificial prices. In my opinion the most important thing to know about those prices is that because of what The Gold Cartel has done, they are going to explode in the years ahead.

As a result of The Gold Cartel’s antics, numerous investors have fled the sector. Other assets have soared these past many years, while gold and silver have faded and gone nowhere. What should have meant higher prices due to rising budget deficits, surging government debt and zero interest rates have meant nothing.

While gold and silver prices should have taken off, they were battered, and now are incredibly cheap. They should not be here, but they are.

Here is what I think happened over the last 7 plus years.

The Gold Cartel had a plan and this is how they carried it out.

In late 2010 silver began to make its move … from $16 an ounce to right below $50 at the beginning of May 2011. It was SOME move and IMO engineered by JP Morgan. My colleague CP astutely believes The Gold Cartel wanted to take a more elevated position in the rigging business, but had no physical silver left to help them get the job done. To be fully effective a lousy silver price was needed to confirm a lousy gold price, which is widely regarded as the barometer of US financial market health. As former Fed Chairman Paul Volcker said about gold. “Up is bad, down is good.”

So JP Morgan began to buy physical silver, all the way up to the $50 mark. Yes, they were eventually buying high, but that would be insignificant compared to the amount of shorting of derivatives they put on their books as silver was to peak out.

Ted Butler, who covers the silver market thoroughly, is constantly pointing out how JPM took over the short positions of Bear Stearns when that firm blew up. The silver open interest back then in 2008 was around 162,000 contracts. When the silver price began its mega move years later that open interest had fallen to around 133,000 contracts and it was about that level until the very end of the silver move in 2011. It came to my attention after the move that JPM was out of the market. They probably had no short positions, having rid themselves of the Bear Stearns’ shorts. Have not heard Ted ever deal with that issue.

So JPM began to sell silver derivatives in size as silver began its approach to $50.

And then they blasted silver for $7 in a day. Stunning. It was some blow to the bull move and it has been downhill ever since. JPM has made a fortune. Yes they bought some now relatively expensive physical silver, but have cleaned up by shorting derivatives at the top of the move in 2011 and ever since then … many times over their physical holdings. And NOW they had physical silver to belt the price any time they wanted for The Gold Cartel.

That was critical. Mission accomplished.

With JPM (the US Government) having the ability to sell physical silver at will, the price fell below $14 an ounce, below where JPM first took over their short positions from Bear Stearns. And this is key. The silver open interest (the number of longs and shorts in the futures market on the Comex) soared … to a high of 193,000 for years and then recently it went even more bonkers to 243,000 contracts earlier this year despite the price going into oblivion. This just does not occur in other commodity markets. The norm would be for the open interest to collapse as hedgers on the short side disappear because the prices are too low to hedge and spec longs flee the scene due to lack of interest and expectations. The extraordinarily high silver open interest has been like an anchor around silver’s neck for many years now and THE constant sign of excessive suppression.

Interestingly enough, gold did not top out for another six months after silver when it moved above $1900 one month after GATA’s London gold conference in August of 2011. A US debt downgrade was the cause for the move of over $250 after our conference. Gold was then blasted lower in the early days of September of that year.

It has been downhill for both metals ever since. Gold and silver could be punished lower in sync now. It seems to me The Gold Cartel forces knew what had to be done to revitalize the US economy and gold and silver had to be put in their place and negate all the fundamental reasons for them to keep going higher by the price action. To repeat, those reasons included enormous budget deficits, soaring government debt, and zero interest rates.

Price action makes market commentary and investors follow suit.

As the years have gone by, interest in the west in the precious metals slowly evaporated.

So here we are, years later, in the weeds. But boy this ought to change in a major league way sometime in the near future.

While gold and silver have remained as dull as dishwater over the past year, the efforts by The Gold Cartel to bury their prices has been as blatant as it could be, or ever has been.

Perhaps the most obvious of all this past year was when gold was blasted done below key support right above $1300 for no apparent reason at all. The whole drill was ludicrous, but fits right into the way The Gold Cartel operates … one that the financial world refuses to deal with.

Gold fell close to $1160 and then has recovered these last weeks to $1230, which is a ludicrous price relative to the debasement of currencies and financial trauma in the world.

What they have done to the gold price to accomplish their mission is a true farce. Yet what they have done to silver is beyond comprehension and their never-ending capping of any silver price advance has been hideously blatant.

For silver bulls like myself, this is a BIG problem. All the money and power in the world, backed by JP Morgan, says clearly they do not want the price of silver to exhibit any sort of life of other than looking like a nearly dead animal.

Silver is now the cheapest asset on the planet as a result of its manipulation by JP Morgan and The Gold Cartel. What they have done is incredibly obscene and it will end badly for them if they stay the course.

Just recently, GATA supporter James McShirley, a prominent speaker at GATA’s 2011 conference in London; lumber company CEO; and highly regarded futures trader, recently noted the following three scenarios for silver:

* If the silver price control is part of a mutually agreed contractual obligation the buyers of physical are getting the deal of a lifetime.

* If the silver price control isn’t mutually agreed upon the buyers of physical are still getting the deal of a lifetime, however under hostile circumstances.

* If the silver price control is because of the cartel’s total terror of silver getting away from them, and hence gold too then somebody is still getting the deal of a lifetime.

He went on to say. …

The only question is, whose lifetime? At what point does a massive buyer of silver make their move, and clean up the billions currently there for the taking? In a short squeeze there’s no earthly reason why silver couldn’t be priced closer to platinum, or even palladium. Daily moves of $10 or more would be more probable that these 1 cent daily comas.

* * *

So well put.

Dealing with the constantly suppressed gold/silver prices while other assets have soared has been tiresome to put it mildly. There was a phrase growing up, “The Seven Year Itch.” That is what dealing with the precious metals has felt like the past seven years. Now, after all this time, enough is enough.

The pressures seem to be building within the gold/silver markets to take their prices to much higher levels. Based on what we have seen of late, The Gold Cartel has been as aggressive as ever in stopping price rises. They have pulled out all stops to prevent gold from taking out resistance at $1235 and staying above that key technical level. What they have done to keep silver below the pitifully low $14.70 level is a joke, reported on over and over again in my commentary. Taking out $15 is pivotal for silver, but JP Morgan won’t even let it get close to that level.

So why should things change? Increasing inflation pressures due to monetary debasement and stock market turmoil around the world are suddenly attracting investors to the precious metals in the west because they are so artificially cheap, thanks to what The Gold Cartel has done.

The likelihood this Cartel is going to be overpowered by investment demand from around the world is growing … enough to enforce a major retreat. They certainly are not going away quietly. Over the past months the Commitment of Traders Reports put out by the CFTC revealed the commercials (which includes the Cartel forces) to be as long the futures markets as they have been for decades. Due to the constant interference in the market, the large specs were as short as they ever get. The internet was ripe with calls for short covering squeezes of those spec shorts. Didn’t happen. Gold had one unusual 3% rally and then was stuffed. Silver was not allowed to do anything on the upside. It was kept in a tomb, like rarely ever seen in markets. And now the so-called commercials are going heavily short yet again as the specs go long.

For long-suffering and patient precious metals investors this Gold Cartel is going to have to be overpowered, which is just what I believe will occur. Seems to me it is an accident waiting to happen. The tide is going to turn. But the tide ought to look quite a bit different than it did in the years leading up to 2011.

Gold rose 12 years in a row. The Gold Cartel constantly flushed out spec longs in the process, raking in the dough, but the price gradually went higher and higher. But now, after all these years of suppression, we are probably looking at a typhoon instead of a rising tide. The gold price is more than likely going to explode like it did in its blow off top in September of 2011 and keep on going. And it is likely to make new all-time highs sooner than most people think.

The real surprise ought to be moribund silver. I am a big fan of Newton’s Law of Equal and Opposite Reactions. As poorly as silver has traded these past years, which has the gold/silver ratio above 84, it should suddenly act that surprisingly well over the coming months. Short term it has to clear $15 to begin its move. But the real key is for its price to take out $21. When done it will be off to the races in a move to $100 an ounce. Seems like a pipe dream after all these crummy years, but it is coming.

As far as GATA goes, we will continue to fight the good fight. Eventually, following severe market turmoil and soaring precious metals prices, the price suppression scandal will break wide open. A decimated investing public will want to know how such a debacle developed the way it did. And the GATA camp will lay it out for them … in hopes it is not allowed to happen ever again.

Thank you.

END

Interesting:  the energy cost of “mining’ bitcoin is twice that of mining for gold

(courtesy Guardian/London/Hern/GATA

Energy cost of ‘mining’ bitcoin is more than twice that of gold

 Section: 

By Alex Hern
The Guardian, London
Monday, November, 5, 2018

The amount of energy required to “mine” one dollar’s worth of bitcoin is more than twice that required to mine the same value of copper, gold, or platinum, according to a new paper, suggesting that the virtual work that underpins bitcoin, ethereum, and similar projects is more similar to real mining than anyone intended.

One dollar’s worth of bitcoin takes about 17 megajoules of energy to mine, according to researchers from the Oak Ridge Institute in Cincinnati, Ohio, compared with four, five, and seven megajoules for copper, gold, and platinum.

Other cryptocurrencies also fare poorly in comparison, the researchers write in the journal Nature Sustainability, ascribing a cost-per-dollar of 7MJ for ethereum and 14MJ for the privacy-focused cryptocurrency monero. But all the cryptocurrencies examined come off well compared with aluminium, which takes an astonishing 122MJ to mine one dollar’s worth of ore. …

… For the remainder of the report:

https://www.theguardian.com/technology/2018/nov/05/energy-cost-of-mining…

Help keep GATA going

GATA is a civil rights and educational organization based in the United States and tax-exempt under the U.S. Internal Revenue Code. Its e-mail dispatches are free, and you can subscribe at:

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To contribute to GATA, please visit:

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end

This is good:  Ex JPMorgan pleads guilty to rigging the precious metals and now he implicates his supervisors at the bank

(courtesy Hugh Son/Mangan/CNBC/GATA

Ex-Morgan trader pleads guilty to rigging monetary metals, implicates supervisors at bank

 Section: 

How did that “exhaustive” investigation of the silver market by the U.S. Commodities Futures Trading Commission miss this? How will the World Gold Council and most monetary metals mining companies continue to miss it? How many more anti-trust lawsuits will this prompt? Anybody seen Blythe Masters lately?

* * *

Former JP Morgan Trader Pleads Guilty to Manipulating U.S. Metals Markets for Years

By Hugh Son and Dan Mangan
CNBC, New York
Tuesday, November 5, 2018

An ex-J.P. Morgan Chase trader has admitted to manipulating the U.S. markets of an array of precious metals for about seven years — and he has implicated his supervisors at the bank.

John Edmonds, 36, pleaded guilty to one count of commodities fraud and one count each of conspiracy to commit wire fraud, price manipulation, and spoofing, according to a release today from the U.S. Department of Justice:

https://www.justice.gov/opa/pr/former-precious-metals-trader-pleads-guil…

Edmonds spent 13 years at New York-based J.P. Morgan until leaving last year, according to his LinkedIn account.

 

As part of his plea, Edmonds said that from 2009 through 2015 he conspired with other J.P. Morgan traders to manipulate the prices of gold, silver, platinum, and palladium futures contracts on exchanges run by the CME Group. He and others routinely placed orders that were quickly canceled before the trades were executed, a price-distorting practice known as spoofing.

“For years John Edmonds engaged in a sophisticated scheme to manipulate the market for precious metals futures contracts for his own gain by placing orders that were never intended to be executed,” Assistant Attorney General Brian Benczkowski said in the release.

Of note for J.P. Morgan, the world’s biggest investment bank by revenue: Edmonds, a relatively junior employee with the title of vice president, said that he learned this practice from more senior traders and that his supervisors at the firm knew of his actions.

Edmonds pleaded guilty under a charging document known as an “information.” Prosecutors routinely use them to charge defendants who have agreed to cooperate with an ongoing investigation of other people or entities. …

… For the remainder of the report:

https://www.cnbc.com/2018/11/06/ex-jp-morgan-trader-pleads-guilty-to-man…

* * *


iii) Other Physical stories

 

________________________________________________________________________

 

 

 

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

i) Chinese yuan vs USA dollar/CLOSED DOWN TO 6.9181/HUGE DEVALUATION FOR THE PAST FOUR WEEKS RESUMES/CHINESE COMING TO USA FOR TRADE TALKS IN NOVEMBER NOW ON //OFFSHORE YUAN:  6.9172   /shanghai bourse CLOSED DOWN 18,01 POINTS OR 0,68%

. HANG SANG CLOSED UP 26.43 POINTS OR 0.10%

 

 

2. Nikkei closed DOWN 61.95 POINTS OR 0.28%

 

3. Europe stocks OPENED ALL GREEN

 

 

 

/USA dollar index FALLS TO 95.80/Euro RISES TO 1.1477

3b Japan 10 year bond yield: FALL TO. +.12/ !!!!(Japan buying 100% of bond issuance)/Japanese yen vs usa cross now at 113.21/ THIS IS TROUBLESOME AS BANK OF JAPAN IS RUNNING OUT OF BONDS TO BUY./JAPAN 10 YR YIELD IS NOW TARGETED AT .11%/JAPAN LOSING CONTROL OF THEIR BOND MARKET

 

3c Nikkei now JUST BELOW 17,000

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

3e WTI:: 62.91 and Brent: 73.19

3f Gold UP/JAPANESE Yen UP/ CHINESE YUAN:   ON SHORE DOWN/OFF- SHORE:  DOWN

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

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

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

3i European bond buying continues to push yields lower on all fronts in the EMU. German 10yr bund RISES TO +.45%/Italian 10 yr bond yield DOWN to 3.33% /SPAIN 10 YR BOND YIELD UP TO 1.59%

3j Greek 10 year bond yield FALLS TO : 4.30

3k Gold at $1232.75 silver at:14.70   7 am est) SILVER NEXT RESISTANCE LEVEL AT $18.50

3l USA vs Russian rouble; (Russian rouble UP 10/100 in roubles/dollar) 65.96

3m oil into the 62 dollar handle for WTI and 73 handle for Brent/

3n Higher foreign deposits out of China sees huge risk of outflows and a currency depreciation. This can spell financial disaster for the rest of the world/

JAPAN ON JAN 29.2016 INITIATES NIRP. THIS MORNING THEY SIGNAL THEY MAY END NIRP. TODAY THE USA/YEN TRADES TO 113.21DESTROYING JAPANESE CITIZENS WITH HIGHER FOOD INFLATION

30 SNB (Swiss National Bank) still intervening again in the markets driving down the SF. It is not working: USA/SF this morning 0.9971 as the Swiss Franc is still rising against most currencies. Euro vs SF is 1.1443 well above the floor set by the Swiss Finance Minister. Thomas Jordan, chief of the Swiss National Bank continues to purchase euros trying to lower value of the Swiss Franc.

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

3r the 10 Year German bund now POSITIVE territory with the 10 year RISING to +0.45%

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

4. USA 10 year treasury bond at 3.20% early this morning. Thirty year rate at 3.41%

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

6.  TURKISH LIRA:  UP  TO 5.3350

The Morning After: S&P Futures Surge On Gridlock, Dollar Slides

So much for the consensus midterm election outcome being priced in: one look at global markets this morning shows a sea of green, and confirms that markets clearly like gridlock more than many had expected.

After what was initially a muted reaction from financial investors in the United States and globally, European stock markets turned higher ignoring a mixed Asian Session with S&P futures following, gaining as much as 1% percent.

A quick look at global markets saw Asian equities mixed, Europe solidly in the green, while in FX, the Indonesian rupiah, which soared the most since June 2016, led gains as the dollar weakened for the third day. South Africa’s rand jumped to the strongest in three months. Egyptian shares rose 1.5% and Turkish stocks gained 1.1%.

US politicians will now be looking to the 2020 elections, so “Republicans should now push the Trump Administration to pursue more cautious economic policies, particularly with respect to trade,” said Jan Dehn, the head of research at Ashmore Group. With Democrats keen on constraining Trump, there may be a moderation in policies, he added. And finally, “the likelihood of very large stimulus measures has now declined,” Dehn said. “All in all, these factors will weigh on the dollar and support EM currencies.”

Recapping last night’s results, Democrats regained a majority in the House of Representatives while Republicans not only clinched control of the Senate but also gained 3 extra seats. And while the results will hamper Trump’s business-friendly agenda and could lead to uncertainty about his administration at a time when investors are already worried that a decade-old bull market may be ending, dimming chances for any major fiscal initiative from the administration that might have pushed yields higher and strengthened the greenback, so far stocks are enjoying a relief rally that the outcome wasn’t worse.

Indeed, the results for the GOP were no worse than investors had feared and point to a protracted political gridlock that had largely been expected by investors. That left investors free to buy back into a market that had its worst month in seven years in October.

“Given what futures are pointing to right now, I think it’s probably a sign that on balance Republicans have marginally outperformed,” said UBS global wealth management CIO Geoffrey Yu. “The big question from here is do we add risk. Given how weak markets were in October, there is a slightly stronger case for us to outperform in the short-term.”

As Reuters notes this morning, gridlock in Washington will all but eliminate the potential for more tax cuts, which Trump has called for and which many on Wall Street would like. The sweeping corporate tax cuts passed by the Republicans last year have supercharged earnings growth. It also means a lower debt deficit on net, lower yields and a lower dollar. And indeed, the greenback tumbled overnight even as risk assets jumped, with the Bloomberg dollar index sliding to a two weeks low after peaking at the start of the month. The BBDXY fell as much as 0.6% following the results of U.S. midterm elections, with the move gaining traction after the London open as short-term names added fresh shorts; the 10-year Treasury yield fell almost 5bps below 3.18%.

The euro rose a third day to set a fresh two-week high against the dollar in early London hours, supported by data showing that German industrial output picked up steam in September, supporting the view that a third-quarter stagnation will prove temporary. Sterling advanced as U.K. Prime Minister Theresa May is preparing to ask the Cabinet to approve a draft Brexit deal potentially within days; option traders are less bearish on the pound, especially in the front end

The Democrats’ victory in the House could also benefit the market, some investors suggested, by tempering Trump’s aims such as on international trade.  Indeed, the Democrats’ ability to prevent Trump from passing new laws may push him to focus more on resolving U.S. disputes with China, although that wasn’t obvious to Chinese stocks, with the Shanghai Composite one of the few indexes closing in the red, and near session lows overnight.

Some investors were hopeful that Republicans and Democrats could agree on spending to improve infrastructure, which could boost many companies’ profits and drive more economic expansion.

In any case, investors will be happy just to move on from the elections: “It’s one less thing that’s in front of you that you have to worry about,” said Greenwood Capital CIO Walter Todd.

And with the elections now in the rearview mirror, the biggest macro themes remain the Fed’s ongoing interest rate hikes and the trade war after recent warnings from major names including Christine Lagarde and Former U.S. Treasury Secretary Hank Paulson. Meanwhile, the Italian government is holding a confidence vote on Wednesday, the Federal Reserve is set to decide interest rates on Thursday, and Theresa May is pushing on with efforts to agree a Brexit deal.

“Now that the elections are behind us, earnings and the Fed will be back in focus,” said Mohannad Aama, managing director at Beam Capital Management in New York. “Neither of those factors support expanding multiples for stocks.”

Elsewhere shares of Spanish banks surged after the local Supreme Court ruled they don’t have to pay back billions of euros in back taxes. The euro rallied as data showed German industrial output picked up steam in September.

Mortgage applications data is due, as well as earnings from Qualcomm, Prudential and Rockwell Automation, among others

Market Snapshot

  • S&P 500 futures up 1% to 2,786.00
  • Gold spot up 0.6% to $1,234.44
  • U.S. Dollar Index down 0.6% to 95.79
  • STOXX Europe 600 up 1.2% to 366.76
  • MXAP up 0.2% to 153.15
  • MXAPJ up 0.5% to 490.65
  • Nikkei down 0.3% to 22,085.80
  • Topix down 0.4% to 1,652.43
  • Hang Seng Index up 0.1% to 26,147.69
  • Shanghai Composite down 0.7% to 2,641.34
  • Sensex up 0.1% to 34,991.91
  • Australia S&P/ASX 200 up 0.4% to 5,896.87
  • Kospi down 0.5% to 2,078.69
  • German 10Y yield fell 0.7 bps to 0.427%
  • Euro up 0.5% to $1.1486
  • Brent Futures down 0.01% to $72.12/bbl
  • Italian 10Y yield rose 7.0 bps to 3.026%
  • Spanish 10Y yield fell 3.2 bps to 1.552%

Top Overnight News from Bloomberg

  • Republicans won Senate seats from Democrats in states where Trump repeatedly journeyed for raucous, red-meat-filled rallies, including Indiana, Missouri and North Dakota. Trump allies won governors’ mansions in Florida, Iowa and Ohio. Trump’s party lost control of the House of Representatives. Democrats took at least 26 seats held by Republicans and one of the most high- profile races, in Georgia, was too close to call early Wednesday
  • The Democratic takeover of the House of Representatives cripples Trump’s conservative agenda and opens the way for unfettered investigations into his scandal-plagued administration, his presidential campaign and his family’s business empire
  • Former U.S. Treasury Secretary Hank Paulson warned of an “Economic Iron Curtain” dividing the world if the U.S. and China fail to resolve strategic differences; former Federal Reserve Chair Janet Yellen warned the U.S. might struggle to cope with lending risks that have spread beyond banks
  • The People’s Bank of China sold 20 billion yuan ($2.9 billion) of bills in its first issuance in Hong Kong Wednesday, a move that could reduce the offshore yuan’s liquidity and support the Chinese currency
  • CME Group Inc. is moving its European market for short-term financing, the largest in the region, out of London because the exchange operator wants to guarantee continental firms can continue to use it if there is a no-deal Brexit

Asian equity markets traded cautious as all focus centred on the US mid-term election results. A strong start for the Democrats weighed on US equity futures in early trade, although stock futures then recovered after further results and projections trickled in which suggested the unlikelihood of a Blue Tsunami (Democrat-controlled House and Senate) as the Republicans won in key Senate battlegrounds such as Indiana and tightly-contested Texas. As such, there was a non-committal tone in most Asia bourses with ASX 200 (+0.4%) and Shanghai Comp. (-0.7%) choppy, while Nikkei 225 (-0.3%) was initially bolstered by recent favourable currency moves before dipping into the red. Hang Seng (+0.1%) briefly outperformed amid a tech-led surge, before slipping into the red. Finally, price action in 10yr JGBs reflected the non-committal risk tone as participants second-guessed the election results and amid jittery trade in T-notes.

Top Asian News

  • China’s Foreign Reserves Post Third Decline Amid Outflow Signs
  • China’s Car Market May Contract This Year, Official Warns
  • China’s Datang, Huadian Said to Await Final Merger Approval
  • Vietnam’s Growth at Risk as Banks Face Capital Squeeze

European equities are positive across the board as investors digest the consequences of a split Congress, with US equity futures edging higher as some traders see the Democratic House majority as a prospect for trade policies to be reeled in slightly, albeit a lot of powers will still be retained by Trump. It is also worth noting the split Congress may translate to less fiscal stimuli as US tax reforms would face greater obstacles when passing through Congress. Going back to Europe, sectors are largely experiencing broad-based gains, while IT names lag. Spain’s IBEX outperforms as banking names (Caixabank +3.8%, Sabadell +2.9%, Santander +2.8%, BBVA +2.4%) benefit from reports the Supreme court ruled that banks are not required to pay mortgage stamp duty, which saves the banks from potentially having to reimburse billions of EUR to borrowers, although source reports noted that the Spanish government is to propose a law change so banks pay mortgage stamp duties, which contradicts the ruling. In terms of individual movers, Adidas (-1.9%) is the laggard in the German benchmark after revenues missed expectations, while Fresenius Medical (+9.0%) and Mediclinic (+5.0%) rose to the top of their respective indices after voters in California rejected a proposal to cap profits on dialysis companies.

Top European News

  • Ukraine May Join Euro-Bond Rush in Bid to Deepen Investor Pool
  • SNB’s Foreign Currency Reserves Rise to Near-Record Level
  • Salvini Says Italian Government ’Absolutely Not at Risk’
  • Why May Closing In on a Brexit Deal Can’t Stem a Business Exodus

In currencies, the DXY saw a relatively marked retreat in the index amidst broad Greenback losses in wake of the US mid-term elections, as currency markets factor in the prospect of policy protraction and a more difficult passage for President Trump’s fiscal agenda through a divided Congress. The DXY has lost grip of the 96.000 handle and also breached pre-NFP lows to test support/underlying bids around 95.700. CHF/EUR/AUD/GBP – Also firmly ahead vs the Usd, with the Franc back above parity and almost testing 0.9950 resistance despite latest SNB assurances that an accommodative and proactive stance is necessary due to fragile FX moves. The single currency has put aside persistent Italian budget concerns to clear some key upside technical levels, including 21 and 30 DMAs (1.1453 and 1.1479 respectively) to test a Fib just a fraction below 1.1500 where a whole host of orders are anticipated ranging from stops, option expiry and barrier hedging. The Aud is partially piggy-backing its antipodean counterpart, as the cross holds above 1.0700, but also extending post-RBA gains after upgrades to the 2018 and 2019 growth outlooks to probe offers/resistance ahead of 0.7300. Meanwhile, Cable continues to climb on Brexit hopes as well as the indirect bid via Buck weakness, and has now advanced above 1.3150 to circa 1.3175. JPY/CAD – Both lagging other majors amidst the post-midterm Dollar demise, but still well ahead and rebounding from recent lows around 113.00 and 1.3075 respectively, with the Loonie also benefiting from a recovery in oil prices amidst reports that Russia and Saudi Arabia may discuss crude output cuts in 2019. EM – Everyone’s a winner vs the increasingly down-trodded Usd, and even the Rouble that could yet face more US sanctions – Usd/Rub sub-66.0000.

In commodities, Brent (+1.0%) and WTI (+0.9%) are both higher on the day due to dollar weakness and general market sentiment, with a recent uptick in prices attribute to sources noting that Russia and Saudi Arabia are to begin discussing production cuts in 2019. In regards to Iran, the Nigerian oil minister stated that OPEC needs data on Iranian oil production ahead of the 6th December meeting, while adding that Iranian sanctions may not lead to a “nose dive” in Iranian oil output. Last night’s API crude inventories showed a build of 7.8mln barrels, which was more than three times the expected 2.4mln barrels. Traders will be mindful of the weekly DoE crude inventories for any signs of rising US crude production. Gold (+0.7%) hovering near session highs of USD 1235.4/oz as a weaker dollar boosts the yellow metal. Elsewhere, copper prices have increased on the back of dollar action and risk sentiment as market fears were alleviated by the GOP’s retention of the senate

Looking at the day ahead, much of the focus will likely be spent digesting the midterm results especially with the data on the light side. This morning in Europe it’ll be worth keeping an eye on the September industrial production print in Germany while UK house price data for October and September retail sales for the Euro Area are also due. In the US the only release of note is September consumer credit this evening. Away from that, EU trade chief Cecilia Malmstrom is due to make a speech in Brussels today while Russian PM Medvedev is due to meet Chinese Premier Li Keqiang in Beijing.

US Event Calendar

  • 7am: MBA Mortgage Applications, prior -2.5%
  • 3pm: Consumer Credit, est. $15.0b, prior $20.1b

DB’s Jim Reid concludes the overnight wrap

Straight to the main event this morning where the US midterm election results have mostly fallen in line with results indicated by polls, with the Democrats looking set to gain control of the House of Representatives but the Republicans retaining control of the Senate (and even potentially gaining 3 seats) according to all the major media outlets. It seems at the moment that the results have been broadly in line with what you’d expect given the President’s approval rating. There wasn’t a big blue wave but we will have a split Congress. A couple of hours before we went to print it was actually looking close in the House before the Democrats pulled away.

As for what markets have done, on net, moves have been orderly, though there were some sharper moves overnight when it looked like the Republicans might in fact retain control of both chambers. S&P 500 futures rallied as much as +0.56% around 3am GMT, but are back to +0.25% now. Similarly, the dollar swung from a +0.15% gain to -0.37% as we go to print. 10y Treasury yields are also now down 3.9bps to 3.186% however that was after touching a high of 3.2501% which in fact is higher than the closing high made back in October – which is also a seven year high. So a decent swing. In Asia we’ve also seen bourses advance including the likes of the Shanghai Comp (+0.26%), Hang Seng (+1.17%), Nikkei (+0.55%) and Kospi (+0.22%).

Yesterday’s session is a bit of an afterthought now but for completeness we did see Wall Street finish on a strong note, albeit on lighter-than-usual volumes. The NASDAQ fully reversed Monday’s loss to close +0.64% while the S&P (+0.63%) and DOW (+0.68%) also advanced into yesterday’s close with healthy gains. Mixed comments from China’s Vice President Wang Qishan about China reaffirming a desire to “work for a solution on trade acceptable to both sides” but also not to be “bullied and oppressed by imperialist powers” seemingly had little impact on sentiment. The same cannot be said for oil, where WTI and Brent slumped -1.41% and -1.42% respectively after the US issued temporary waivers to eight countries on purchases of Iranian crude. Treasuries (10-year +2.7bps) edged higher and to within half a basis point of that seven year high – which is impressive given the recent risk off – although as we’ve seen above they’ve rallied back overnight.

Prior to that, European markets just failed to clamber back onside having spent the majority of the session in the red. The STOXX 600 (-0.26%) notched up a second consecutive modest decline while the DAX and FTSE MIB ended -0.09% and -0.07% respectively. Bunds sold off +0.8bps, while BTPs underperformed (+7.2bps). The final October services PMI revisions were the highlight of the morning session, with the big headline being the outsized miss for Italy (49.2 vs. 52.0 expected). That represented a drop of 4.1pts from September and was also the first sub-50 reading since May 2016. That sent the composite down to 49.3 and a 59-month low, however the wider Eurozone composite print was revised up 0.4pts to 53.1 after Germany’s services print was revised up 1.1pts to 54.7. Italy was really the only real negative in October, as European growth looks much less synchronized than it did last year. On the positive side, however, Italy’s idiosyncratic weakness has not been contagious as yet.

Away from that, German factory orders rose +0.3% mom in September, with the August figures revised higher as well. That’s consistent with our economists’ expectations for 0.0% German growth in Q3 but a bounce to 0.3-0.4% qoq in Q4. The only data in the US yesterday was the September JOLTS report. Job openings declined slightly (to 7.01m from 7.29m in August) however the overall quits rate and the private quits rate held at 2.4% and 2.7%, respectively, matching their highest levels since 2001. Our US economists note that this data leads ECI wage growth and points to the ECI rising to 3.4% yoy by mid-2019 which, if realised, would be the highest level of the cycle.

The British Pound bounced between gains and losses yesterday but ultimately rose +0.44% amid a slew of Brexit-related headlines. The CME group announced that it is moving its eur-dominated bond and repo trading hub to Amsterdam to address potential “hard Brexit” uncertainties, while Prime Minister May is reportedly preparing to seek cabinet approval to a new draft Brexit deal. Press reports (like Bloomberg) suggested that a full Parliamentary vote could come as soon as 19 November. Ultimately, these headlines do not change the fundamental situation, where a solution to the Northern Ireland border remains the key sticking point. The DUP leader was quoted as saying that if the rhetoric goes in the current direction we’re heading for a no-deal. That’s a worry for PM May as it indicated the DUP aren’t best pleased with the current shape of the deal and without their support that chances of getting a deal through Parliament are more limited. It would also raise the prospect of an early general election if relations between the Conservatives and the DUP broke down completely as a result. Having said that cable is back above $1.31 having traded at $1.27 only a week ago.

As far the day ahead, much of the focus will likely be spent digesting the midterm results especially with the data on the light side. This morning in Europe it’ll be worth keeping an eye on the September industrial production print in Germany while UK house price data for October and September retail sales for the Euro Area are also due. In the US the only release of note is September consumer credit this evening. Away from that, EU trade chief Cecilia Malmstrom is due to make a speech in Brussels today while Russian PM Medvedev is due to meet Chinese Premier Li Keqiang in Beijing.

 

 

3. ASIAN AFFAIRS

i)WEDNESDAY MORNING/ TUESDAY NIGHT: 

SHANGHAI CLOSED DOWN 18.01 POINTS OR 0.68% //Hang Sang CLOSED UP 186.57 POINTS OR 0.72% //The Nikkei closed DOWN 61.95 OR 0.28%/ Australia’s all ordinaires CLOSED UP 0.39%  /Chinese yuan (ONSHORE) closed DOWN  at 6.9181 AS POBC RESUMES  ITS HUGE DEVALUATION  /DELEGATION COMING TO THE USA TO SEE TRUMP IN NOVEMBER CANCELLED/Oil UP to 62.91 dollars per barrel for WTI and 73.19 for Brent. Stocks in Europe OPENED GREEN//.  ONSHORE YUAN CLOSED WELL DOWN AT 6.9181 AGAINST THE DOLLAR. OFFSHORE YUAN CLOSED WELL DOWN ON THE DOLLAR AT 6.9172: HUGE DEVALUATION/PAST SEVERAL DAYS RESUMES// TRADE TALKS NOW ON   : /ONSHORE YUAN TRADING SLIGHTLY WEAKER  AGAINST OFFSHORE YUAN/ONSHORE YUAN TRADING WEAKER AGAINST USA DOLLAR/OFFSHORE YUAN TRADING WEAKER AGAINST THE DOLLAR /CHINA RETALIATES WITH TARIFFS/ TRUMP RESPONDS TO NEW TARIFFS AND IT NOW A FULL TRADE WAR COMMENCED

 

3 a NORTH KOREA/USA

 

North Korea/South Korea/USA/China

3 b JAPAN AFFAIRS

 
END

3 C CHINA

Things are heating up in the South Chinese Seas. It seems that the uSA and Japan are planning a military response to Chinese incursions into the disputed islands.

(courtesy zerohedge)

“Flashpoint For War”: U.S. And Japan Plan Military Response To Chinese Incursions Of Disputed Islands

Things are again rapidly heating up in the East China Sea amidst already heightened tensions in a region where Washington is increasingly asserting the right of navigation in international waters against broad Chinese claims and seeking to defend the territorial possessions of its allies.

According to a bombshell new Reuters report the tiny and rocky Senkaku Islands which lie between northern Taiwan and the Japanese home islands are “rapidly turning into a flashpoint for war”. Alarmingly, Japanese government sources have been quoted as saying Tokyo and the United States are drawing up an operations plan for an allied military response to Chinese threats to the disputed Senkaku Islands.

The Senkaku Islands, historically claimed by both Japan and China.From nearly the start of his entering the White House, President Trump has said he’s committed to upholding Article 5 of the US-Japan security treaty signed the post-war years of the mid-20th century: “We are committed to the security of Japan and all areas under its administrative control and to further strengthening our very crucial alliance,” Trump had promised from the first official reception of Japanese Prime Minister Shinzo Abe back in February 2017, and since consistently maintained.

Japanese government sources have told regional media that the joint plan of response with the United States involves “how to respond in the event of an emergency on or around the uninhabited islands in the East China Sea” — which is set to be completed by next march, according to the statements.

Beijing claims the islands as part of its historical inheritance — as it does neighbouring Taiwan, despite failing to seize the protectorate during the Chinese Civil War.

Taiwan, however, was a Japanese protectorate before World War II.

It’s a messy historical scenario, thought resolved through United Nations conventions and treaties established after the conflict. — Reuters/news.com.au

The Japan Times reports that “The plan being drawn up assumes such emergencies as armed Chinese fishermen landing on the islands, and Japan’s Self-Defense Forces needing to be mobilized after the situation exceeds the capacity of the police to respond.”

The situation is now taking on a greater urgency as both the US and Japan participate in the two nations’ largest ever join war games, which involves the nuclear-powered USS Ronald Reagan aircraft carrier. The exercise, called Keen Sword began on Monday and is set to run through Thursday, and involved a combined force of 57,000 sailors, airmen and marines — with Japan contributing 47,000 of those military personnel. Canadian warships are also involved in the exercises.

Japan is seeking greater direct commitment and resolve on the part of the United States to defend its territorial claims against Chinese encroachment, which Japan says is already beginning to happen through informal provocative raids of fishing boats organized by Beijing.

Reuters reports that “ongoing aggressive incursions by Chinese fishing boats — organised as a state militia — and a freshly militarized coast guard has seen tensions in the East China Sea flare.” And the report further confirms: “The plan being drawn up assumes such emergencies as armed Chinese fishermen landing on the islands, and Japan’s Self-Defense Forces needing to be mobilized after the situation exceeds the capacity of the police to respond.”

View image on TwitterView image on TwitterView image on TwitterView image on Twitter

William Seely

@william_seely

Right now nearly 100K US, allied, & partner-nation military pers are conducting exercises #TridentJuncture & #KeenSword: each involving ~50K troops, dozens of ships, & 100s of aircraft across Europe and the Pacific. #GlobalReach #AnyWhere #AnyTime #WeAreNATO #PacificPartnerships

Though the United States has in the past expressed deep reluctance on outright defending claims to the Japan-administered islands (indicating it will take no official position on the issue), which China calls the Diaoyu, Japan’s Self-Defense Forces says the focus of talks with the US has involved how to incorporate the US military’s strike capabilities in any potential Chinese invasion of the Senkaku Islands scenario.

One Japanese military analyst was quoted as saying: “Given that military organizations always need to assume the worst possible situation, it is natural for the two countries to work on this kind of plan against China.”

The two already have a framework for such talks based on recently created 2015 defense guidelines known ans the Bilateral Planning Mechanism, or BPM. It stipulates the US and Japan’s Self-Defense Forces will “conduct bilateral operations to counter ground attacks against Japan by ground, air, maritime, or amphibious forces”. Currently there’s a similar contingency plan in place for a potential emergency threat on the Korean peninsula.

Between now and the spring – when the plan is set to be finalized and agreed upon – China will likely ramp up its incursions on the islands, or just seize them altogether before US commitments can be firmed up, in which case the great unknown will be whether the United States actually steps up to come to Japan’s aid while risking war with China — something that up until now has been carefully avoided.

ene

4.EUROPEAN AFFAIRS

Italy

Tom Luongo explains Salvini’s brilliant move of limited the money to migrants.  Most Italian citizens had no idea that these migrants were receiving 35 euros per day…and they are rightfully angry. The cutting of the stipend to 19 euros is better but still angers the general populace.

(courtesy Tom Luongo)

Europe’s Immigration Imbroglio: Mo’ Money, Mo’ Invasion

Authored by Tom Luongo,

Immigration is a tricky subject for a lot of libertarians.  If there is one issue that has caused more fights in libertarian circles it is the question of restricting a person’s right to movement.

But in a world of private property where does that right end?  We know where it is in a world of public property.  It doesn’t.  I’m very Hoppean in my views on private property and the private production of defense.  So, I have zero problem going toe to toe with the left-libertarians who refuse to divorce themselves from reality and their principled hobby horses and push for open borders uber alles.

It’s stupid, counter-productive and, frankly, one of the main reasons why libertarians are thoroughly corrupted as a political force in the U.S., having been neutered by the Koch brothers fighting about irrelevancies.

Immigration issues are on the ballot today.

The Soros-funded invasion caravan is a thinly-veiled political stunt which is being used to fuel the unquenchable greed of globalists using Marxist arguments of envy to sow sympathy for those marching to take back what was supposedly stolen by evil white American Imperialists.

The sad truth is that part of that narrative is true.  It’s also why open borders are incompatible with the world we live in today.  Because both the warfare state and the welfare state create an artificially high supply of migrants and an artificial demand for subsidy of those migrants, especially, as here in the U.S. where those migrants overwhelmingly vote for the party who will further subsidize them.

This is far beyond the principle that peaceable people should be free to traverse arbitrary political boundaries.

Those artificial political boundaries are created through the application of private property of the citizens nee subjects of the government.  If anyone has a claim on the property expropriated by this government it is the taxpayers themselves and not those trudging across Mexico in search of a handout.

Because like it or not, that’s what’s on the table today.  That’s reality.  When my grandparents came here from Italy they didn’t ask for a handout.  They weren’t given one either.

All they wanted was the opportunity, which they took and were grateful for.

So, it makes me happy today to see Italian Interior Minister and all-around badass Matteo Salvini highlight just how sick and insane the whole immigration issue is by announcing he’s cutting in half the daily allowance of migrants from 35€ per day (PER DAY!) to 19€.

That’s nearly $1200 per month folks.

As Ron Paul so succinctly said on the campaign trail, when you subsidize something you get more of it.

So, Italy under the direction of an EU-appointed Prime Minister and government was handing out nearly €1 billion a year to migrants in a country under a brutal austerity program and laboring under a crushing debt load due to fiscal mismanagement.

Now, it doesn’t take an economist to tell you that people respond to incentives.   No wonder everyone wants in.  And this is where I break with my left-libertarian brethren.

Open borders are incompatible with public property on the subject of defense. Because the state via public roads exports behavior the community doesn’t want to your front yard and you have no direct way to combat this.

It is especially incompatible with public property in which Marxist wealth transfer systems are in place.

In fact, the political system is so dysfunctional it encourages this behavior to suit the agenda of the wealthy at the expense of the middle class.  So has it been in both Europe and the U.S.

And the sick display of using economic migrants as political footballs lies at their feet.  And those who stand up against this abrogation of the basic property rights of natives are labeled racists, elitists, populists and Nazis.

So, Salvini made a brilliant political move by highlighting this insane practice of paying people to come be subsidized by native Italians who, frankly, had very little say in the matter.

Because up until today I didn’t know Italy was paying these people €35 per day.  And I’m sure a lot of Italians didn’t either.  So, by cutting the allowance Salvini highlights the practice but doesn’t end it outright, leaving that decision to voters to continue to be outraged about.

It also puts both his coalition partners at Five Star Movement and the rest of the Italian political elite and media in a position to defend a practice that 60% of Italians are furious about, illegal immigration.

He can do this because the polls are trending in his favor.  Any disagreement with his coalition partner puts them on a path to call for snap elections and reversing the terms of the coalition since The League now out-polls M5S.  Salvini knows this and it’s why he can continue to push on this issue because it is 1) popular and 2) the right thing to do.

The solution to the immigration problem lies at the heart of our attitude towards government.  The more power the government has to co-opt private property and the private production of defense the more the borders have to be controlled because of the perverse incentives the State engenders.

Like with most of our political problems, the solution is leaving the wealth of a community in the hands of that community to be free to try different solutions of their own accord.  It isn’t more power to the state.

And to the left libertarians who think destroying the country by flooding it with economic migrants is the most efficient way to achieve that end, I say, try that in your backyard, bub.

Because it ain’t happening in mine.

*  *  *

END
EU/SWIFT SYSTEM/USA/iRANIAN BANKS
Despite pressure to resist the USA. the European based SWIFT system defies the EU by cutting off Iranian banks
(courtesy zerohedge)

SWIFT Caves To US Pressure, Defies EU By Cutting Off Iranian Banks

Shortly after Trump reimposed nuclear sanctions on Tehran on November 5, the international financial messaging system SWIFT announced the suspension of several Iranian banks from its service. “In keeping with our mission of supporting the resilience and integrity of the global financial system as a global and neutral service provider, SWIFT is suspending certain Iranian banks’ access to the messaging system,” SWIFT said.

The Belgium-based financial messaging service added:

“This step, while regrettable, has been taken in the interest of the stability and integrity of the wider global financial system.”

SWIFT’s decision has further undermined EU efforts to maintain trade with Iran and save an international deal with Tehran to curtail its nuclear program, after President Donald Trump pulled the US out in May. Being cut off from SWIFT makes it difficult for Iran to get paid for exports and to pay for imports, mostly of oil.

As a further note, the EU was one of the few entities not to receive a sanctions waiver from the US earlier this week.

The European Commission was understandably displeased, and on Wednesday said it found the SWIFT decision “regrettable”

“We find this decision rather … regrettable,” Commission foreign affairs spokeswoman Maja Kocijancic told a briefing.

As we reported over the weekend, last Friday Treasury Secretary Steven Mnuchin warned SWIFT it could be penalized if it doesn’t cut off financial services to entities and individuals doing business with Iran. However, by complying with Washington, SWIFT now faces the threat of punitive action from Brussels.

Washington has been pressuring SWIFT to cut off Iran from the financial system as it did in 2012 before the nuclear deal. Six years, ago the EU imposed sanctions on Iranian banks, forcing SWIFT, which is subject to EU laws, to cut financial transactions with at least 30 of Iran’s financial institutions, including the central bank.

Iranian banks were reconnected to the network in 2016 after the Iran nuclear deal came into force, allowing much needed foreign cash to flow into Tehran’s coffers.

END

 

5.RUSSIAN AND MIDDLE EASTERN AFFAIRS

Iran

We explained this to you yesterday:  Iran has turned off its trackers and such it will be impossible to track where their oil goes

(courtesy zerohedge)

Iran’s ‘Ghost Ships’ Evade Oil Sanctions By Turning Off Trackers

In anticipation of the US sanctions against Iranian oil exports, which were reimposed by the Trump Administration on Monday (along with additional sanctions on everything from Iranian shipping to banking and insurance), oil tankers bearing the Iranian flag have embraced a stealthy approach to keeping the oil flowing: They’re ‘ghosting’ international trackers by turning off their transponders, rendering the ships impossible to track by anything aside from visual cues.

Iranian

Iran, which is already suffering from a drop in exports to 1.8 million barrels per day, down from 2.8 million barrels at the peak, is doing everything it can to keep the crude (along with 300,000 barrels of condensate) flowing. Though Iran received a temporary reprieve from the Trump Administration’s sanctions waivers granted to eight of its biggest customers, those waivers are temporary, and they were also granted with the understanding that the applicants would gradually reduce their reliance on Iranian oil.

That means the kingdom is going to need to do everything it can to help any and all customers avoid detection, and possible US sanctions (which could include barring a given country’s largest banks from accessing dollars and the global dollar-based financial system). Already, the ghosting method is proving surprisingly effective: In an interview with Sputnik, the founders of one of the most popular oil-tanker tracking services, tankertracker.com, have been “utterly exhausted” trying to track Iranian ships.

“It’s the first time I’ve seen a blanket black-out. It’s very unique,” said TankerTrackers co-founder Samir Madani.

“Iran has around 30 vessels in the Gulf area, so the past 10 days have been very tricky, but it hasn’t slowed us down. We are keeping watch visually,” said co-founder Lisa Ward.

Meanwhile, the “special purpose vehicle” – a kind of SWIFT alternative designed explicitly to help European companies avoid detection by the US – is helping to facilitate clandestine payments for Iranian crude, eliminating another methodology for tracking who, exactly, is buying Iranian crude. Iranian president Hassan Rouhani has said Iran will defy US sanctions, though both sides have insisted that they remain “open” to negotiations surrounding a new deal.

Iran has also employed another strategy from the pre-Iran deal era. The Republica is keeping six ships with a total capacity of 11 million barrels anchored offshore, allowing the “floating storage tankers” to make speedy deliveries to try and mitigate buyers’ anxieties as, once they leave port, the ships will be essentially impossible to track.

end

SAUDI ARABIA

Another journalist is killed during a torture session inside Saudi Arabia.  I guess freedom of the press is out of the question

(courtesy Middle East Monitor)

Another Journalist Killed During Torture By Saudi Arabia

Via Middle East Monitor,

Saudi journalist and writer Turki Bin Abdul Aziz Al-Jasser (not a US-resident writing for The Washington Post) has died after being tortured while in detention, the New Khaleej reported yesterday.

Reporting human rights sources, the news site said that Al-Jasser was arrested and tortured to death after Saudi authorities claimed he administered the Twitter account Kashkool, which disclosed rights violations committed by the Saudi authorities and royal family.

The sources said that the authorities identified Al-Jasser as the admin using spies in Twitter’s regional office located in Dubai. He was arrested in March.

View image on TwitterView image on TwitterView image on Twitter

Prisoners of Conscie@m3takl_en

🔴 Authorities believe that the writer Turki bin Abdul Aziz al-Jasser (TurkialjasserJ) is the Twitterati KASHKOOL (coluche_ar), private #Saudi security sources asserted to us. The source confirmed what ALQST tweeted about using personal information in Jasser’s PC to blackmail him

According to the sources, these spies are considered part of the Saudi Cyber Army which was established by Saud Al-Qahtani, the former aide of Saudi Crown Prince Mohammad Bin Salman.

In a tweet, Al-Qahtani has said that the fake names on Twitter would not protect those behind the accounts from the Saudi authorities.

*  *  *

Where’s the international outrage? The condemnations?

6. GLOBAL ISSUES

 

7  OIL ISSUES

8. EMERGING MARKETS

INDIA

 

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

Euro/USA 1.1477 UP .0032 REACTING TO MERKEL’S FAILED COALITION/ REACTING TO +GERMAN ELECTION WHERE ALT RIGHT PARTY ENTERS THE BUNDESTAG/ huge Deutsche bank problems + USA election:///ITALIAN CHAOS /AND NOW ECB TAPERING BOND PURCHASES/JAPAN TAPERING BOND PURCHASES /USA RISING INTEREST RATES /FLOODING/EUROPE BOURSES ALL GREEN

 

 

 

 

 

USA/JAPAN YEN 113.21  DOWN 0.127  (Abe’s new negative interest rate (NIRP), a total DISASTER/NOW TARGETS INTEREST RATE AT .11% AS IT WILL BUY UNLIMITED BONDS TO GETS TO THAT LEVEL

GBP/USA 1.3155 UP   0.0042  (Brexit March 29/ 2017/ARTICLE 50 SIGNED/BREXIT FEES WILL BE CAPPED

USA/CAN 1.3083  DOWN .0032 CANADA WORRIED ABOUT TRADE WITH THE USA WITH TRUMP ELECTION/ITALIAN EXIT AND GREXIT FROM EU/(TRUMP INITIATES LUMBER TARIFFS ON CANADA/CANADA HAS A HUGE HOUSEHOLD DEBT/GDP PROBLEM)

Early THIS TUESDAY morning in Europe, the Euro ROSE by 9 basis point, trading now ABOVE the important 1.08 level RISING to 1.1417; / Last night Shanghai composite CLOSED DOWN 18.01 POINTS OR 0.68%

 

//Hang Sang CLOSED UP 26.73 POINTS OR 0.10% 

 

 

/AUSTRALIA CLOSED UP  0.39% /EUROPEAN BOURSES ALL GREEN

 

 

 

The NIKKEI: this TUESDAY morning CLOSED DOWN 61.95 POINTS OR 0.28%

 

 

 

Trading from Europe and Asia

1/EUROPE OPENED  GREEN 

 

 

 

 

 

 

 

 

2/ CHINESE BOURSES / :Hang Sang CLOSED UP 26.73 POINTS OR 0.10% 

 

 

/SHANGHAI CLOSED DOWN 18.01POINTS OR 0.68%

 

 

 

Australia BOURSE CLOSED UP 0.39%

Nikkei (Japan) CLOSED DOWN 61.95 POINTS OR 0.28%

 

 

 

INDIA’S SENSEX  IN THE RED

Gold very early morning trading: 1231.60.

silver:$14.67

Early WEDNESDAY morning USA 10 year bond yield: 3.20% !!! DOWN 0 IN POINTS from TUESDAY’S night in basis points and it is trading WELL ABOVE resistance at 2.27-2.32%. (POLICY FED ERROR)/

The 30 yr bond yield 3.42 DOWN 0  IN BASIS POINTS from TUESDAY night. (POLICY FED ERROR)/

USA dollar index early WEDNESDAY morning: 95.80 DOWN 51  CENT(S) from TUESDAY’s close.

This ends early morning numbers WEDNESDAY MORNING

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And now your closing WEDNESDAY NUMBERS \1: 00 PM

 

Portuguese 10 year bond yield: 1.93% UP 3    in basis point(s) yield from TUESDAY/

JAPANESE BOND YIELD: +.12%  DOWN 1  BASIS POINTS from TUESDAY/JAPAN losing control of its yield curve/EXTREMELY VOLATILE YESTERDAY…

 

SPANISH 10 YR BOND YIELD: 1.60% UP 2 IN basis point yield from TUESDAY

ITALIAN 10 YR BOND YIELD: 3.33 DOWN 7   POINTS in basis point yield from TUESDAY/

 

 

the Italian 10 yr bond yield is trading 173 points HIGHER than Spain.

GERMAN 10 YR BOND YIELD: RISES UP TO +.44%   IN BASIS POINTS ON THE DAY//

 

END

IMPORTANT CURRENCY CLOSES FOR WEDNESDAY

Closing currency crosses for WEDNESDAY night/USA DOLLAR INDEX/USA 10 YR BOND YIELD/1:00 PM

Euro/USA 1.1463 UP .0021 or 21 basis points

 

 

USA/Japan: 113.32 DOWN .026 OR 3 basis points/

Great Britain/USA 1.3145 UP .0033( POUND UP 33 BASIS POINTS)

Canadian dollar up 8 basis points to 1.3108

 

xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx

This afternoon, the Euro was ROSE BY 21 BASIS POINTS  to trade at 1.1463

The Yen ROSE to 113.32 for a GAIN of 3 Basis points as NIRP is STILL a big failure for the Japanese central bank/HELICOPTER MONEY IS NOW DELAYED/BANK OF JAPAN NOW WORRIED AS AS THEY ARE RUNNING OUT OF BONDS TO BUY AS BOND YIELDS RISE

The POUND GAINED 33 basis points, trading at 1.3145/

The Canadian dollar GAINED 8 basis points to 1.3108

 

 

The USA/Yuan,CNY closed DOWN AT 6.9200-  ON SHORE  (YUAN DOWN)

THE USA/YUAN OFFSHORE:  6.9185(  YUAN DOWN)

TURKISH LIRA:  5.3846

the 10 yr Japanese bond yield closed at +.12%

 

 

 

Your closing 10 yr USA bond yield DOWN 1 IN basis points from TUESDAY at 3.19 % //trading well ABOVE the resistance level of 2.27-2.32%) very problematic USA 30 yr bond yield: 3.39 DOWN 4 in basis points on the day /

THE RISE IN BOTH THE 10 YR AND THE 30 YR ARE VERY PROBLEMATIC FOR VALUATIONS

Your closing USA dollar index, 95.92 DOWN 40 CENT(S) ON THE DAY/1.00 PM/

Your closing bourses for Europe and the Dow along with the USA dollar index closing and interest rates for WEDNESDAY: 4:00 PM 

London: CLOSED UP 66.65 POINTS OR 0.95%

German Dax : CLOSED UP 88.27 POINTS  OR 0.27%
Paris Cac CLOSED UP 57.54 POINTS OR 1.13%
Spain IBEX CLOSED UP 166.50POINTS OR 1.85%

Italian MIB: CLOSED UP:  9258.84 POINTS OR 1.34%/

 

 

WTI Oil price; 61.49 1:00 pm;

Brent Oil: 72.10 1:00 EST

USA /RUSSIAN /   ROUBLE CROSS:    66.12  THE CROSS LOWER BY .03 ROUBLES/DOLLAR (ROUBLE HIGHER by 3 BASIS PTS)

USA DOLLAR VS TURKISH LIRA:  5.3846 PER ONE USA DOLLAR.

TODAY THE GERMAN YIELD RISES +.44 FOR THE 10 YR BOND 1.00 PM EST EST

END

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

Closing Price for Oil, 4:00 pm/and 10 year USA interest rate:

WTI CRUDE OIL PRICE 4:30 PM:61.63

 

BRENT:72..03

USA 10 YR BOND YIELD: 3.24%.. VERYdeadly….

 

USA 30 YR BOND YIELD: 3.44%/. VERY .deadly…

 

EURO/USA DOLLAR CROSS: 1.1435 ( DOWN 6 BASIS POINTS)

USA/JAPANESE YEN:113.58 UP .238 (YEN DOWN 24 BASIS POINTS/ .

 

USA DOLLAR INDEX: 96.14 DOWN 18 cent(s)/

The British pound at 5 pm: Great Britain Pound/USA: 1.3134 UP 21 POINTS FROM YESTERDAY

the Turkish lira close: 5.31623

the Russian rouble:  66.24 DOWN 0.09 Roubles against the uSA dollar.( DOWN 9 BASIS POINTS)

 

Canadian dollar: 1.3124 UP 4 BASIS pts

USA/CHINESE YUAN (CNY) : 6.9200  (ONSHORE)

USA/CHINESE YUAN(CNH):  6.9169 (OFFSHORE)

German 10 yr bond yield at 5 pm: ,0.44%

 

The Dow closed  UP 545.39 POINTS OR 2.13%

NASDAQ closed UP 194.79  points or 2.64% 4.00 PM EST


VOLATILITY INDEX:  16.36  CLOSED DOWN  3.55

LIBOR 3 MONTH DURATION: 2.6011%  .LIBOR  RATES ARE RISING/big jump today

 

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

TRADING IN GRAPH FORM FOR THE DAY

 

Stocks Surge On Midterm-Malaise But Bonds & Bullion Bid

500 Dow points… on an expected outcome? “That escalated quickly…”

Since The Dems were confirmed as taking the House last night, the dollar is down but bonds, stocks, and gold are all higher…

NOTE the odd panic bid in stocks at 3am.

After two afternoon sessions of recovery gains, China dumped into its close…seemingly unimpressed with Trump holding on to the Senate…

 

European stocks surged at the open and held gains (no extended push though)…

 

US Futures show a surge at Asia open, European open, and US open… (Dow futs 650 point ramp off overnight lows)

 

And a non-stop bid during the day session… Nasdaq’s 2.4% surge was impressive to say the least… (UNH provide 75 of the Dow’s points gain)

The Nasdaq Composite is up over 2%, yet only 62% of stocks in the index are higher, below the readings seen during October’s snap-back rallies. Another factor that suggests a lack of verve is the percentage of volume in advancing stocks on the NYSE

Strong bid all day…

But another super-low volume day…

 

Dow, S&P, and Nasdaq all surged to or above key technical levels…

 

Healthcare led the markets (Obamacare handouts for all) and Tech and Consumer Discretionary

FANG Stocks soared…finally filling the gap-down-open from Oct 26th…

 

AAPL was panic-bid all day (all hail the end of blackouts) – up 3%! to perfectly top sits 100DMA…

After 22 days of inversion (longest streak since 2011), the VIX term structure normalized today (barely)…

 

Abysmal Long Bond auction (2.3bps tail) sparked some ugliness in Treasuries in the afternoon…

 

But the 30Y still ended the day lower in yield (so not exactly reflective of the exuberant risk-on appetite in stocks…

 

But.. we note that this looks more like an equity catch up, yield catch down from early November’s derisking…

 

The dollar was swinging around like a penny stock on Midterm elections before everyone settled on the Dems taking the House and that sparked the selling…

 

And amid all that chaotic dollar movement – yuan went nowhere…

 

Cryptos managed to hold the week’s gains…

 

From Europe’s open, commodities slid lower as the dollar limped off its lows…

 

WTI Crude was ugly – tumbling after the inventory data… Oil is down 8 days in a row – the longest streak since July 2014.

 

Once again Gold was rebalanced back to 8500 Yuan overnight…

 

Finally, we note that Inflation Breakevens have decoupled from Oil’s collapse…

Who’s right?

David Rosenberg@EconguyRosie

It’s amusing that pundits are talking about market implications from a political event that consensus had bang-on: a congressional split that’s happened every time in the past 18 midterms after a presidential sweep. Immigration, trade, and Fed policy all unaffected by the results

 

 

 

market trading

Early trading early this morning after Dems win the House but lose more seats in the Senate

(zerohedge)

Bonds Jump, Dollar Dumps After Dems Win House

US equity futures are fading off earlier highs, bond yields are tumbling along with the dollar after several media outlets have called the House for Democrats (while Republicans maintain control of the Senate).

It was quite a roller-coaster for the dollar but it’s been a one-way-street lower since the odds of a Dem House triggered the calls…

 

And as the dollar fades, safe-haven buying in bonds and gold is evident…

 

For now S&P futures are still green but clinging to a critical support level at the 200DMA

Still a long way to go until the cash market open tomorrow in New York.

END

 

market data/

Housing is a very big component of USA GDP.  Today another indicator: mortgage applications plummet to an 18 yr low

The reason: higher interest rates

(courtesy zerohedge)

 

Mortgage Applications Plummet To 18-Year Lows As Rates Hit 2010 Highs

With purchase applications tumbling alongside the collapse in refinancings, the headline mortgage application data slumped to its lowest level since September 2000 last week.

This should not be a total surprise as Wells Fargo’s latest results shows the pipeline is collapsing – a forward-looking indicator on the state of the broader housing market and how it is impacted by rising rates, that was even more dire, slumping from $67BN in Q2 to $57BN in Q3, down 22% Y/Y and the the lowest since the financial crisis.

But in the month since those results, mortgage rates have gone higher still… (this is now the biggest 2Y rise in mortgage rates since 2000)…

Sparking further weakness in the housing market…

And absent Xmas weeks in 2000 and 2014, this is the weakest level of mortgage applications since September 2000…

What these numbers reveal, is that the average US consumer can barely afford to take out a new mortgage at a time when rates continued to rise – if not that much higher from recent all time lows. It also means that if the Fed is truly intent in engineering a parallel shift in the curve of 2-3%, the US can kiss its domestic housing market goodbye.

And, as famed housing-watcher Robert Shiller recently notedthe weakening housing market is similar to the last market high, just before the subprime housing bubble burst a decade ago.

The economist, who predicted the 2007-2008 crisis, told Yahoo Finance that current data shows “a sign of weakness.”

“This is a sign of weakness that we’re starting to see. And it reminds me of 2006 … Or 2005 maybe,”

Housing pivots take more time than those in the stock market, Shiller said, adding that:

“the housing market does have a momentum component and we’re seeing a clipping of momentum at this time.”

The Nobel Laureate explained:

 If the markets go down, it could bring on another recession. The housing market has been an important element of economic activity. If people start to get pessimistic about housing and pull back and don’t want to buy, there will be a drop in construction jobs and that could be a seed for another recession.”

When reminded that 2006 predated the greatest financial crisis in a lifetime, RT notes that Shiller acknowledged that any correction would likely be far less severe.

“The drop in home prices in the financial crisis was the most severe drop in the US market since my data begin in 1890,” the Yale economist said.

“It could be that we’re primed to repeat it because it’s in our memory and we’re thinking about it but still I wouldn’t expect something as severe as the Great Financial Crisis coming on right now. There could be a significant correction or bear market, but I’m waiting and seeing now.”

Tick, tick, Mr Powell.

END

Three month libor hits 1.6011 early this morning

(courtesy zerohedge)

Three-Month Libor Hits New Decade High As Rate Hike Odds Increase

While one of the consensus expectations resulting from last night’s midterm election result is that any hopes for future fiscal stimulus have been put on hold indefinitely, thereby preventing any potential further overheating of the economy and obviating a need for further tightening by the Fed, this has yet to trickle down to the market, where this morning December rate hike odds rose notably, hitting 78% from just above 74% before the election.

And while 10Y yields have dropped from yesterday’s highs just shy of new 7 year highs, when the benchmark US Treasury hit 3.25%, dropping to 3.19% on Wednesday morning, the short end has been following rate hike intentions, with the 2Y higher modestly, rising to 2.932%, up 0.4bps. Also tracking the move higher in rate hike odds was USD three-month Libor, which was fixed higher by about 1bp on Wednesday to 2.6011%, the highest level since November 2008.

While Libor is being phased out, it remains a key benchmark for over $200 trillion in financial securities which reference the infamous rate. Furthermore, even assuming Libor is fully phased out on schedule, and replaced with the alternative SOFR rates some time in 2021, an estimated $36T notional of LIBOR-linked instruments will remain outstanding after that date.

In the meantime, many new trades continue to reference LIBOR and according to the TBAC, “the calculation does not consider replacement risk.”

More concerning is that as the Treasury noted in its latest refunding documents, LIBOR transition plans have not meaningfully altered issuance behavior as many deals continue to reference LIBOR.

And the reason why rising Libor remains a major risk to financial conditions, is because as the table below shows, its footprint can be found everywhere, from OTC interest rate swaps, to leveraged loans – considered by many as the locus of the next credit crisis – to retail mortgages, to complex securitizations.

 

While so far Libor’s rise has not been cited as a key catalyst for tighter financial conditions, it is only a matter of time before the breaking point is hit, and the Fed is forced to end the tightening cycle, an event which will surely happen long before 2021 when Libor is no longer the dominant fixed income reference rate.

There is much more on the role of Libor, and its replacement SOFR, in the following TBAC document submitted as part of the latest refunding announcement.

https://www.scribd.com/embeds/392601116/content?start_page=1&view_mode=scroll&access_key=key-jkWGdPmKOzlKESXZful5&show_recommendations=true

end
Credit card debt surprisingly drops but student loans hits a new all time hime of 1.561 trillion dollars
(courtesy zerohedge)

Credit Card Debt Unexpectedly Shrinks As Student Loans Hit Fresh Record High

One month after both revolving and non-revolving consumer credit hit fresh all time highs, the Fed reported that in September total consumer credit rose to $3.950 trillion, rising $10.9 billion in the month, or a 3.3% SAAR, and missing expectations of a $15 billion increase.

What was surprising is that or revolving debt, i.e., credit card usage, unexpectedly shrank by $312 million after jumping $4.6 billion in August. This was the 5th monthly decline in credit card usage in 8 months; it also means that in the 9 months of 2018, there has been a decline in revolving credit in more than half. Incidentally, until 2018, credit card debt had posted a streak of 4 consecutive years in which there had not been a single decline starting in 2014. With this month’s reduction, total revolving debt was $1.041 trillion.

At the same time, growth in non-revolving credit, i.e. student and auto loans, also dipped, increasing by only $11.2 billion in September, a sharp drop from August’s $18.3 billion increase. With the September increase, the total non-revolving debt outstanding increased to $2.91 trillion. Non-revolving lending to consumers by the Federal government, which is mainly student loans, rose to $1.228t.

And while the drop in revolving credit will once again prompt questions about the resilience of the US consumer as the US economy entered the fall, one place where there were no surprises, was in the total amount of student and auto loans: here as expected, both numbers were at fresh all time highs, with a record $1.564 trillion in student loans outstanding, an material increase of $33 billion in the quarter, while auto debt also hit a new all time high of $1.143 trillion, an increase of $19 billion in the quarter.

USA ECONOMIC STORIES OF INTEREST

Summary of election results last night:

(zerohedge)

 

Trump Declares Victory As He Faces Two-Year Struggle With House Democrats

Despite record voter turnout and a staggering $5 billion political spend between both parties, Democrats’ hoped-for ‘blue wave’ failed to materialize on Tuesday. Instead, the reality was closer to a purple wash.

Democrats won a slight majority in the House – they were up 26 seats at last count, three more than the 23 needed to flip control, with more races expected to be called in their favor on Wednesday – but Republicans picked up seats in the Senate, solidifying what had been a razor-thin majority. Almost all of those seats were won by staunch conservatives who are expected to back the Trump agenda. Meanwhile, it’s unlikely that the Democrats will come anywhere close to the 40 seats they would have needed to signify a “tsunami-like” victory. However, at least one Democratic narrative was validated as 18 of the 29 Republican districts that flipped to the Democrats were won by women, cementing the ‘year of the woman’ narrative.

Trump

Both parties can claim important victories in gubernatorial races. Republican Mike DeWine bested Richard Cordray in Ohio, and Ron DeSantis defeated Democratic challenger Andrew Gillum in Florida, solidifying Republican control over two key swing states. But Democrats wrested control of governors’ mansions in Wisconsin, Michigan and Kansas.

Republican won several important victories in the Senate and ousted a handful of Democratic incumbents, per the FT:

In the Senate, the Democrats lost ground after its incumbents were defeated in North Dakota, Indiana and Missouri. At last count, Democrats were also trailing in Montana and Florida, with the latter race possibly set to go to a recount. The only real upset for Democrats in the upper chamber was the defeat of Nevada’s Dean Heller, who lost to Democrat Jacky Rosen. But the Senate victories were strong enough to vindicate President Trump’s controversial campaign strategy, which saw the president hold a blitz of campaign rallies across the US, while elevating immigration to the race’s defining issue.

Still, the Democrats’ takeover of the House suggests that they will almost certainly use their subpoena power to investigate everything from Trump’s tax returns to his financial ties in Eastern Europe to his purported “relationship” with the Kremlin. It also signals that Trump is in for a two-year struggle as partisan gridlock will almost certainly hamstring parts of his agenda.

Guardian

Here’s a summary of the night’s big wins and losses, courtesy of the Guardian.

  • In the House, Democrats secured the 218 seats needed to regain control.
  • Democrats won Republican-held seats in Colorado, Florida, Kansas, Minnesota, New York, Pennsylvania and Virginia.
  • In the Senate, Republicans have expanded their majority, and Trump declared the night a “tremendous success”.
  • Missouri Democratic senator Claire McCaskill lost to a Republican challenger.
  • A Republican also ousted senator Joe Donnelly, Indiana’s only Democratic statewide officeholder.
  • Texas Senate candidate Beto O’Rourke, who became a Democratic superstar this election, narrowly lost in his race to unseat Ted Cruz.
  • Republican senator Dean Heller also lost his seat in Nevada to a Democratic challenger.
  • In the governor’s races, Democrats gained seven new seats.
  • Wisconsin governor Scott Walker, an influential Republican, lost his seat to a Democratic challenger.
  • Andrew Gillum, Democratic candidate for governor in Florida, lost to Republican Ron DeSantis.
  • The governor’s race in Georgia was too close to call, with Democrat Stacey Abrams saying she would not concede to Republican Brian Kemp, the state’s secretary of state. It could result in a runoff.
  • A record number of women won races across the country, and candidates of color and LGBT people have also broken barriers.
  • Voters passed ballot measures across the country with new laws on voting rights, marijuana, taxes and more.

And as the FT pointed out, for Trump, there might be a silver lining. The paper noted that many of those ousted were moderates who had resisted the Trump agenda. By flushing these lawmakers out of the party, Trump may have just solidified his dominance of the Republican Party.

While many mainstream political pundits refused to acknowledge it, this fact wasn’t lost on Trump.

Donald J. Trump

@realDonaldTrump

Those that worked with me in this incredible Midterm Election, embracing certain policies and principles, did very well. Those that did not, say goodbye! Yesterday was such a very Big Win, and all under the pressure of a Nasty and Hostile Media!

Donald J. Trump

@realDonaldTrump

Tremendous success tonight. Thank you to all!

Donald J. Trump

@realDonaldTrump

Received so many Congratulations from so many on our Big Victory last night, including from foreign nations (friends) that were waiting me out, and hoping, on Trade Deals. Now we can all get back to work and get things done!

Seeing President Trump’s Wednesday morning “victory” tweet, and hearing reports about his jubilant White House reception, some Democratic pundits were inclined to accuse the president of embracing an unrealistically positive take on the night’s events. But even as their “blue wave” fizzled, Democrats were inclined to do some wishful thinking of their own.

If the Senate didn’t exist you would think this is a massive blue wave,” Brendan Boyle, a Pennsylvania Democrat who won re-election to a third term told the Financial Times. “In the House, governor, and state legislative races, we’re seeing big Democratic wins. But in the Senate, against that deep red map, not at all.”

Nancy Pelosi, who will almost certainly reclaim the title of speaker of the house now that Democrats have taken back the chamber, tried her hardest to play down the disappointment Democrats probably felt as Trump’s party expanded its majority in the Senate while staving off a Democratic super-majority.

“Today is more than about Democrats and Republicans,” said Ms Pelosi. “It’s about restoring the constitutions’ checks and balances to the Trump administration.”

Trump will retain the ability to appoint conservative judges (and replace several cabinet members including Attorney General Jeff Sessions, is widely believed to be on his way out) thanks to Republicans’ expanded Senate majority (Republicans picked up two Senate seats, though ten races remain undecided), but with Democrats reigning in the House, there’s no question that life for Trump is about to get a lot more difficult.

“Life is going to get far tougher for President Trump,” said James Knightley, chief international economist at ING Bank NV. “The split Congress means that there is more likely to be gridlock, which will significantly curtail his legislative agenda. Bi-partisan action may be possible in areas such as infrastructure spending, but for the most part divisions between and within the parties mean that progress will be difficult.”

In summary, voters are about to become reacquainted with one of the defining features of the Obama era – that is, intractable gridlock in Washington (profiled here) as partisan warfare becomes the defining themeWhile analysts believe there might be room for cooperation on infrastructure spending, Trump will now need to focus on what he can accomplish out of the executive (and, when it comes to appointing judges, the judiciary) branch. Passing major legislative priorities, which was already hard enough with his fractious Republican majority in the Senate, will be nearly impossible.

But investors didn’t seem to mind, as US stock futures surged Wednesday morning as the market celebrated the triumph of its “base case”.

But legislative priorities aside, Washington will now turn its attention to the 2020 campaign, which has already unofficially begun.

 end
According to DHS Secretary Nielson, there are middle easterners in the Central American caravan
(courtesy zerohedge)

 

There Are “Absolutely” Middle Easterners Among Caravan: DHS Secretary Nielsen

Homeland Security Secretary Kirstjen Nielsen doubled down on a claim that Middle Easterners are among those traveling in the Central American caravans currently making their way north in hopes of gaining asylum in the United States.

Speaking with Fox News Intelligence on Monday, Nielsen said: “We absolutely see people from the Middle East, from southeast Asia, from other parts of the world,” adding “They are not just from Central America.”

“We don’t always know exactly who they are … What I can tell you is we stopped 3,000 people last year at the southwest border who had patterns of travel similar to a terrorist. We call those special interest aliens.

Nielsen also added that the migrants are using women and children as “barriers,” which are sent up to the front of the group to frustrate federal military and police, and that the rest of the caravans – which appear to be organized and financed – are comprised of “mostly single men.” She added that the timing and origin of the groups are suspicious in nature.

Nielsen’s comments come amid a CNBC report suggesting that President Trump’s decision to send thousands of US troops to reinforce border security in California, Arizona and Texas will cost upwards of $220 million.

Last week footage emerged of several groups of migrants becoming violent with Mexican authorities, including this clip of them throwing rocks at a helicopter.

Benny

@bennyjohnson

Here is video of the migrant caravan throwing rocks & molotov cocktails at Mexican security forces on the Guatemalan border.

I reached out to the man who took this video.

He confirms it’s authenticity.

Watch it.

The caravan is violent.

President Trump in response said that the US military would treat rocks as “rifles,” a comment he later walked back while still stressing that the caravan was a dangerous threat to the United States.

Meanwhile, according to Mexico News Daily, a fourth caravan of 4,000 asylum-seekers is now making its way north, bringing the total number of migrants headed towards the US above 12,000.

The first caravan started out with approximately 7,000 people, however around half either turned back or accepted asylum from Mexico.

Between 7,000 and 15,000 US troops will be stationed in Southern Border states, while the actual number of migrants which reach the US-Mexico border will undoubtedly be much smaller than the estimated 12,000 currently traveling north. An April caravan of approximately 1,200 people dwindled to several hundred people, who were granted asylum at the US border.

Kelly delivers the news to Sessions that he wants him to resign. ..and he does
(courtesy zerohedge)

Sessions Was Told Wednesday That Trump Wanted Him To Resign: BBG

Update (3:55 pm ET): Jeff Sessions was reportedly informed on Wednesday by phone that Trump wanted his resignation. And now that Sessions’ former Chief of Staff Matthew Whitaker has taken over as acting AG, he will also assume control of the Mueller probe, according to Bloomberg. Unsurprisingly given Trump’s well-documented ironic aversion to firing people in person, Chief of Staff John Kelly reportedly delivered the news to Sessions in a phone call.

White House Chief of Staff John Kelly called Attorney General Jeff Sessions prior to President Trump’s news conference today to inform him that Trump wanted his resignation, a US official said.

Sessions is packing up his things and will address senior level staff in a private meeting before leaving DOJ for final time Matthew Whitaker, who previously served as DOJ’s chief of staff, is officially the acting attorney general and will take over Robert Mueller’s probe into Russia’s role in the 2016 campaign, the official said.

Mueller declined to comment on the matter, according to spokesman Peter Carr.

So, it looks like the Mueller probe really is in trouble.

* * *

After months of being publicly denigrated by President Trump, Jeff Sessions is finally out at the DOJ…

Just one day after Republicans expanded their majority in the Senate, President Trump revealed in a tweet that Attorney General Jeff Sessions has resigned. Matthew G. Whitaker, Sessions’ chief of staff, will become acting Attorney General until Trump can win a confirmation for Sessions’ replacement from the Senate. Whitaker is expected to be sworn in by end of day Wednesday. Session confirmed that he is resigning at the president’s request.

Donald J. Trump

@realDonaldTrump

We are pleased to announce that Matthew G. Whitaker, Chief of Staff to Attorney General Jeff Sessions at the Department of Justice, will become our new Acting Attorney General of the United States. He will serve our Country well….

Donald J. Trump

@realDonaldTrump

….We thank Attorney General Jeff Sessions for his service, and wish him well! A permanent replacement will be nominated at a later date.

As speculation turns to the fate of Deputy AG Rod Rosenstein, the White House has confirmed that Rosenstein will remain in his role (for now, at least). This is key, because Rosenstein, who oversees the Mueller probe, was reportedly on the cusp of resigning back in September after a NYT story which alleged that Rosenstein had tried to corral members of Trump’s cabinet to invoke the 25th Amendment to remove Trump, even reportedly suggesting that senior officials surreptitiously record their conversations with Trump. After that story broke, Whitaker was briefly rumored to be a possible replacement for Rosenstein before Roz and Trump purportedly buried the hatchet. Immediately after Trump announced Sessions’ resignation, Chuck Schumer, the top Democrat in the Senate, said in a statement of his own that protecting the Mueller probe would be paramount.

Since Whitaker hasn’t recused himself from the probe, he will become the senior DOJ official overseeing the Mueller, whose investigation is said to be winding down after a handful of departures from his team of prosecutors. This could be a problem for the veteran prosecutor, because Whitaker, a former US attorney for the Southern District of Iowa, said during a stint as a conservative commentator that the Mueller probe was a “witch hunt” and that he believes Mueller has violated the law by looking into Trump’s finances and venturing beyond the original scope of the investigation.

Matt Whitaker 🇺🇸

@MattWhitaker46

Worth a read–“Could Trump Fire Mueller? It’s Complicated”. http://politi.co/2uZyN7v  via @politicomag

Could Trump Fire Mueller? It’s Complicated.

But the real question is what Congress would do to stop him.

politico.com

What’s more, Whitaker could try and gut the Southern District of New York’s investigation of the Trump Organization and other probes related to the president’s dealings before he took office, per Bloomberg.

An acting attorney general also could impede the investigations of the US Attorney for the Southern District of New York and the Federal Bureau of Investigation. The White House could be apprised of whatever private or confidential information they have accumulated.

“An acting attorney general could do a lot of damage,” said Martin Lederman, a former top Justice Department official and Georgetown University law professor.

In July 2017, Whitaker said during an interview on CNN that he could envision a scenario where the AG doesn’t fire Mueller, but instead “just reduces his budget to so low that his investigations grinds to almost a halt.” This has fueled speculation that, if Whitaker does take over the probe, that he would suspend the “memorandum of independence” that Rosenstein gave Mueller.

Schumer added that the timing of Sessions’ firing is “extremely suspect” – though most of Washington probably inferred that Sessions’ days were numbered once it became clear Tuesday that Republicans would expand their majority in the Senate.

Incoming House Judiciary Chairman Jerry Nadler demanded that Trump offer an explanation for why he fired Sessions. Apparently, Nadler doesn’t follow the president on twitter.

(((Rep. Nadler)))

@RepJerryNadler

Americans must have answers immediately as to the reasoning behind @realDonaldTrump removing Jeff Sessions from @TheJusticeDept. Why is the President making this change and who has authority over Special Counsel Mueller’s investigation? We will be holding people accountable.

Donald J. Trump

@realDonaldTrump

We are pleased to announce that Matthew G. Whitaker, Chief of Staff to Attorney General Jeff Sessions at the Department of Justice, will become our new Acting Attorney General of the United States. He will serve our Country well….

Speculation has been mounting for months that Trump would fire Sessions – whom Trump has publicly criticized in interviews and tweets over Sessions’ decision to recuse himself from the Mueller probe. Many believe South Carolina Lindsey Graham will be tapped to replace Sessions, speculation that has only intensified following Nikki Haley’s decision to resign as UN Ambassador, which some believe she did to set herself up to succeed Graham (Haley previously served as governor of South Carolina) should he be tapped for Trump’s cabinet.

Sessions’ ouster also follows Trump’s decision to try and bait House Democrats into investigating him by tweeting that “two can play that game” and saying during a press conference on Wednesday that he wouldn’t work with Democrats on legislation if they tried to subpoena him. Trump also boasted on Tuesday that he could “end the Mueller probe right now” if he wanted. And, as it turns out, Democrats are probably afraid that, as they inch closer to acquiring subpoena power, the president might be leaning toward doing just that.

Read Sessions resignation letter below:

Letter

 

 

 

SWAMP STORIES

Trump threatens a reciprocal leak program if the Dems. launch more witch hunts

(courtesy zerohedge)

Trump Threatens Reciprocal Leak Probe If Dems Launch More Witch-Hunts

President Trump on Wednesday tweeted a warning to Democrats who have threatened to investigate him upon reclaiming a majority in the House of Representatives:

“If the Democrats think they are going to waste Taxpayer Money investigating us at the House level,” Trump said, “then we will likewise be forced to consider investigating them for all of the leaks of Classified Information, and much else, at the Senate level.”

Donald J. Trump

@realDonaldTrump

If the Democrats think they are going to waste Taxpayer Money investigating us at the House level, then we will likewise be forced to consider investigating them for all of the leaks of Classified Information, and much else, at the Senate level. Two can play that game!

Last December, President Trump’s son, Don Jr. called on the House intelligence Committee to investigate information that was leaked from his closed interview the week before.

“This committee should determine whether any member or staff member violated the rules by leaking information to the media concerning the interview or by purposely providing inaccurate information which led to significant misreporting,” said Trump Jr.’s attorney, Alan Futerfas.

In addition, his letter charges that members of the House committee “began disseminating wildly inaccurate information” to reporters that formed the basis of an erroneous CNN report on an email that Mr. Trump and other members of the Trump campaign received in September 2016.

The CNN report relied on two unnamed sources who described an email purporting to show that Mr. Trump and other campaign officials had received advance notice about a cache of hacked Democratic documents that were about to be posted by WikiLeaks, the anti-secrecy group. In fact, the email had been sent the day after the cache was posted publicly. CNN later corrected its story. –NYTimes

“These disturbing circumstances warrant examination,” concluded Futerfas.

Rep. Adam Schiff (D-CA), who will lead the House Intelligence Committee, told the Los Angeles Times on Monday that he will revive the investigation into so-called “Russian collusion” – vowing to go after Trump’s personal business interests.

“The president has sought to keep that off limits, but if that’s the leverage Russians pose that’s a real threat to our country,” said Schiff.

Schiff insisted in March that there was “more than circumstantial evidence” connecting Trump to Russia, however despite the best efforts of the US-UK-Australian intelligence community and the DOJ/FBI’s multi-year counterintelligence “sting” and now probe, no such evidence has emerged.

Rep. Maxine Waters (D-CA), meanwhile, who has repeatedly called to impeach President Trump, is set to lead the House Financial Services Committee. As chair, she will be able to subpoena officials at financial regulatory agencies for testimony and other information.

In September, Waters renewed her calls to impeach Trump – and told a crowed of constituents at a rally that she would “get” Vice President Mike Pence once Trump was gone.

“I had a conversation here today with someone [who] asked, ‘Well, what about Pence? If you are able to impeach, Pence will be worse,’” said Waters. “And I said, ‘Look, one at a time. You knock one down, one at a time. You knock one down, and we’ll be ready for Pence. We’ll get him, too.”

SWAMP STORIES COURTESY OF THE KING REPORT

and special thanks to Chris Powell of GATA for sending this down to us:

I HOPE TO SEE YOU ON THURSDAY IF ALL GOES WELL
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One comment

  1. Paul Heron · · Reply

    No JP Morgan silver manipulation story detail .? This was important news for us

    Like

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