NOV 18//GOLD WITHSTANDS ANOTHER RAID AS IT EVENTUALLY RISES UP $3.50 TO $1471.50//SILVER FOLLOWS SUIT UP 3 CENTS TO $17.03//ANOTHER BIG SHOT AT JPMORGAN ARRESTED IN THE GOLD/SILVER MANIPULATION AND THIS TIME FOR RACKETEERING AND FRAUD//HONG KONG CHAOS CONTINUES AS PROTESTERS OCCUPY ALL UNIVERSITIES..ONE OF WHICH HOLDS THE HUB FOR ALL INTERNET USAGE//PROTESTS BEGIN IN HAMBURG GERMANY AND CONTINUE IN IRAN//CENTRAL BANK OF IRAN BURNED DOWN//DAVE KRANZLER AGAIN ON THE PLEDGED COMEX GOLD//MORE SWAMP STORIES FOR YOU TONIGHT//

GOLD:$1471.50 UP $3.50    (COMEX TO COMEX CLOSING)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Silver:$17.03 UP 3 CENTS  (COMEX TO COMEX CLOSING)

Closing access prices:

 

 

 

 

Gold :  $1471.00

 

silver:  $17.03

 

COMEX DATA

JPMorgan has been receiving gold with reckless abandon and sometimes supplying (stopping)

today RECEIVING:  4/13

EXCHANGE: COMEX
CONTRACT: NOVEMBER 2019 COMEX 100 GOLD FUTURES
SETTLEMENT: 1,467.300000000 USD
INTENT DATE: 11/15/2019 DELIVERY DATE: 11/19/2019
FIRM ORG FIRM NAME ISSUED STOPPED
____________________________________________________________________________________________
657 C MORGAN STANLEY 2
661 C JP MORGAN 4
737 C ADVANTAGE 13 4
905 C ADM 3
____________________________________________________________________________________________

TOTAL: 13 13
MONTH TO DATE: 1,562

we are coming very close to a commercial failure!!

 

 

NUMBER OF NOTICES FILED TODAY FOR  NOV CONTRACT: 13 NOTICE(S) FOR 1300 OZ (0.0404 tonnes)

TOTAL NUMBER OF NOTICES FILED SO FAR:  1562 NOTICES FOR 156200 OZ  (4.8584 TONNES)

 

 

 

SILVER

 

FOR NOV

 

 

6 NOTICE(S) FILED TODAY FOR 30,000  OZ/

 

total number of notices filed so far this month: 532 for 2,660,000 oz

XXXXXXXXXXXXXXXXXXXXXXXXX

Bitcoin: OPENING MORNING TRADE :  $ 8382 DOWN 77 

 

 

 

Bitcoin: FINAL EVENING TRADE: $ 8221 down 280

 

 

 

Let us have a look at the data for today

xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx

IN SILVER THE COMEX OI ROSE BY A FAIR  SIZED 436 CONTRACTS FROM 221,250 UP TO 221,686 DESPITE THE 6 CENT LOSS IN SILVER PRICING AT THE COMEX.

TODAY WE ARRIVED CLOSER TO  AUGUST’S 2018  RECORD SETTING OPEN INTEREST OF 244,196 CONTRACTS.

WE HAVE ALSO WITNESSED A LARGE AMOUNT OF PHYSICAL METAL STAND FOR COMEX DELIVERY 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 SMALL SIZED NUMBER OF COMEX LONGS TRANSFERRING THEIR CONTRACTS TO LONDON THROUGH THE EFP:,

FOR NOV 0,; DEC  529 AND ZERO FOR ALL  OTHER MONTHS  AND THEREFORE TOTAL ISSUANCE  529 CONTRACTS. WITH THE TRANSFER OF 3342 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 529 EFP CONTRACTS TRANSLATES INTO 1.875 MILLION OZ  ACCOMPANYING:

1.THE 6 CENT LOSS IN SILVER PRICE AT THE COMEX AND

2. THE STRONG AMOUNT OF SILVER OUNCES WHICH STOOD FOR DELIVERY IN THE LAST 12 MONTHS:

JUNE/2018. (5.420 MILLION OZ);

FOR JULY: 30.370 MILLION OZ

FOR AUG., 6.065 MILLION OZ

FOR SEPT. 39.505 MILLION  OZ S

FOR OCT.2.525 MILLION OZ.

FOR NOV:  A HUGE 7.440 MILLION OZ STANDING  AND

21.925 MILLION OZ FINALLY STAND FOR DECEMBER.

5.845 MILLION OZ STAND IN JANUARY.

2.955 MILLION OZ STANDING FOR FEBRUARY.:

27.120 MILLION OZ STANDING IN MARCH.

3.875 MILLION OZ STANDING FOR SILVER IN APRIL.

18.845 MILLION OZ STANDING FOR SILVER IN MAY.

2.660 MILLION OZ STANDING FOR SILVER IN JUNE//

22.605 MILLION OZ  STANDING FOR JULY

10.025   MILLION OZ INITIAL STANDING IN AUGUST.

43.030   MILLION OZ INITIALLY STANDING IN SEPT. (HUGE)

7.665     MILLION OZ INITIALLY STANDING IN OCT 

FRIDAY, IS GENERALLY A DAY THEY RAID SILVER  AS THE BANKS DO NOT HAVE TO WORRY ABOUT LONGS EXERCISING FOR PHYSICAL AS EUROPE IS SHUT DOWN FOR THE WEEKEND. FOR THEM TWO DAYS IS AN ETERNITY.THEY START WORRYING ONCE MONDAY IS UPON THEM. THEY AGAIN USED HUGE COPIOUS NON BACKED PAPER IN THEIR  SOMEWHAT SUCCESSFUL ENDEAVOUR TO WHACK SILVER’S PRICE ( IT FELL 6 CENTS ). OUR OFFICIAL SECTOR/BANKERS HOWEVER WERE AGAIN UNSUCCESSFUL IN THEIR ATTEMPT TO FLEECE  SILVER LONGS AS THE TOTAL GAIN IN OI ON BOTH EXCHANGES TOTALED A STRONG 811 CONTRACTS. OR 4.555 MILLION OZ..THE RAID BY OUR BANKERS FAILED AS THEY COULD  NOT COVER ANY OF THEIR HUGE SHORTFALL.

 

 

 

 

 

 

 

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

27,409 CONTRACTS (FOR 12 TRADING DAYS TOTAL 27,409 CONTRACTS) OR 137.05 MILLION OZ: (AVERAGE PER DAY: 2284 CONTRACTS OR 11.42 MILLION OZ/DAY)

TO GIVE YOU AN IDEA AS TO THE HUGE SUPPLY THIS MONTH IN SILVER:  SO FAR THIS MONTH OF AUGUST:  115,15 MILLION PAPER OZ HAVE MORPHED OVER TO LONDON. THIS REPRESENTS AROUND 19.57% 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 2019 TO DATE SILVER EFP’S:          1891.85   MILLION OZ.

JANUARY 2019 EFP TOTALS:                                                      217.455. MILLION OZ

FEB 2019 TOTALS:                                                                       147.4     MILLION OZ/

MARCH 2019 TOTAL EFP ISSUANCE:                                          207.835 MILLION OZ

APRIL 2019 TOTAL EFP ISSUANCE:                                              182.87  MILLION OZ.

MAY 2019: TOTAL EFP ISSUANCE:                                                136.55 MILLION OZ

JUNE 2019 , TOTAL EFP ISSUANCE:                                               265.38 MILLION OZ

JULY 2019   TOTAL EFP ISSUANCE:                                                175.74 MILLION OZ

AUG. 2019  TOTAL EFP ISSUANCE;                                                 216.47 MILLION OZ

SEPT 2019 TOTAL EFP ISSUANCE                                                  174.900 MILLION OZ

OCTOBER 2019 ISSUANCE:                                                           146.14 MILLION OZ

RESULT: WE HAD A SMALL SIZED INCREASE IN COMEX OI SILVER COMEX CONTRACTS OF 436, DESPITE THE 6 CENT LOSS IN SILVER PRICING AT THE COMEX /YESTERDAY... THE CME NOTIFIED US THAT WE HAD A  SMALL SIZED EFP ISSUANCE OF 375 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 FAIR SIZED: 811 TOTAL OI CONTRACTS ON THE TWO EXCHANGES: 

i.e 375 OPEN INTEREST CONTRACTS HEADED FOR LONDON  (EFP’s) TOGETHER WITH INCREASE OF 436  OI COMEX CONTRACTS. AND ALL OF THIS  DEMAND HAPPENED WITH A 6 CENT LOSS IN PRICE OF SILVER AND A CLOSING PRICE OF $17.00 WITH RESPECT TO YESTERDAY’S TRADING. YET WE STILL HAVE A STRONG AMOUNT OF SILVER STANDING AT THE COMEX FOR DELIVERY!! 

 

 

In ounces AT THE COMEX, the OI is still represented by JUST OVER 1 BILLION oz i.e. 1.109 BILLION OZ TO BE EXACT or 158% of annual global silver production (ex Russia & ex China).

FOR THE NEW FRONT MARCH MONTH/ THEY FILED AT THE COMEX: 6 NOTICE(S) FOR 30,000 OZ OF SILVER

IN SILVER,PRIOR TO TODAY, WE  SET THE NEW COMEX RECORD OF OPEN INTEREST AT 244,196 CONTRACTS ON AUG 22.2018 AND AGAIN THIS HAS BEEN SET WITH A LOW PRICE OF $14.78.  

 

.

 

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:  A HUGE 39.505 MILLION OZ./ OCTOBER: 2,520,000 oz  NOV AT 7.440 MILLION OZ./ DEC. AT 21.925 MILLION OZ   JANUARY AT  5.825 MILLION OZ.AND FEB 2019:  2.955 MILLION OZ/ MARCH: 27.120 MILLION OZ/  APRIL AT 3.875 MILLION OZ/ A MAY:  18.845 MILLION OZ ..JUNE 2.660 MILLION OZ//JULY 22.605 MILLION OZ; AUGUST 10.025 MILLION OZ/ SEPT 43.030 MILLION OZ//OCT: 7.665 MILLION OZ//   
  2.  THE  RECORD WAS SET IN 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 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 COMEX OPEN INTEREST FELL BY A STRONG SIZED 4088 CONTRACTS, MOVING SLIGHTLY AWAY FROM OUR PREVIOUS TIME RECORD  OF 716,593 SET THURSDAY NOV 14/2019. THE LOSS IN COMEX OI SURPRISINGLY OCCURRED WITH A  $4.70 PRICING LOSS WITH RESPECT TO COMEX GOLD PRICING// FRIDAY// / THE OPEN INTEREST AT THE GOLD COMEX RESTS TONIGHT  AT 710,717….

 

 

 

THE CME RELEASED THE DATA FOR EFP ISSUANCAND IT TOTALED A STRONG SIZED 5383 CONTRACTS:

NOV 2019: 0 CONTRACTS, DEC>  5383 CONTRACTS AND ALL OTHER MONTHS ZERO.  The NEW COMEX OI for the gold complex rests at 710,717,,.  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 GOOD GAIN IN TOTAL CONTRACTS ON THE TWO EXCHANGES OF 1292 CONTRACTS: 4088 CONTRACTS DECREASED AT THE COMEX  AND 5383 EFP OI CONTRACTS WHICH NAVIGATED OVER TO LONDON. THUS  TOTAL OI GAIN OF 1295 CONTRACTS OR 129,200 OZ OR 4.018 TONNESYESTERDAY WE HAD A LOSS OF $4.70 IN GOLD TRADING….

AND WITH THAT LOSS IN  PRICE, WE  HAD SURPRISINGLY A GOOD IN GOLD TONNAGE OF 4.018  TONNES!!!!!! THE BANKERS/OFFICIAL SECTOR WERE SUPPLYING INFINITE SUPPLIES OF SHORT GOLD COMEX PAPER WITH RECKLESS ABANDON AND HAD SUCCESS IN THEIR ATTEMPT TO LOWER GOLD’S PRICE (DOWN $4.70). THEY WERE ALSO SOMEWHAT UNSUCCESSFUL IN THEIR ATTEMPT TO FLEECE SOME GOLD LONGS FROM ANY THE GOLD ARENA AS THE TOTAL OI FOR BOTH EXCHANGES INCREASED!

 

 

 

THE SPREADING LIQUIDATION OPERATION IS NOW OVER FOR SILVER..AND WE WILL NOW MORPH INTO AN ACCUMULATION PHASE OF SPREADING CONTRACTS FOR GOLD.  THEY WILL ACCUMULATE CONSIDERABLE AMOUNT OF THE CONTRACTS AND THEN LIQUIDATE ONE WEEK PRIOR TO FIRST DAY NOTICE

FOR THOSE OF YOU WHO ARE NEWCOMERS HERE IS A BRIEF SYNOPSIS OF HOW THE CROOKS FLEECE UNSUSPECTING LONGS IN THE SPREADING ENDEAVOUR;

MODUS OPERANDI OF THE CORRUPT BANKERS AS TO HOW THEY HANDLE THEIR SPREAD OPEN INTERESTS:

 

 

AS I HAVE MENTIONED IN PREVIOUS COMMENTARIES:

 

 

“AS YOU WILL SEE, THE CROOKS WILL NOW SWITCH TO GOLD AS THEY INCREASE THE OPEN INTEREST FOR THE SPREADERS. THE TOTAL COMEX GOLD OPEN INTEREST WILL RISE FROM NOW ON UNTIL ONE WEEK PRIOR TO FIRST DAY NOTICE AND THAT IS WHEN THEY START THEIR CRIMINAL LIQUIDATION.

HERE IS HOW THE CROOKS USED SPREADING AS WE ARE NOW INTO THE NON ACTIVE DELIVERY MONTH OF OCT HEADING TOWARDS THE  ACTIVE DELIVERY MONTH OF OCTOBER FOR GOLD.

AS I HAVE MENTIONED IN PREVIOUS COMMENTARIES, HERE IS THE BANKERS MODUS OPERANDI:

YOU WILL ALSO NOTICE THAT THE COMEX OPEN INTEREST  STARTS TO RISE IN THIS NON ACTIVE MONTH OF NOV BUT SO IS THE OPEN INTEREST OF SPREADERS. THE OPEN INTEREST IN GOLD WILL CONTINUE TO RISE UNTIL ONE WEEK BEFORE FIRST DAY NOTICE OF AN UPCOMING ACTIVE DELIVERY MONTH (DEC), AND THAT IS WHEN THE CROOKS SELL THEIR SPREAD POSITIONS BUT NOT AT THE SAME TIME OF THE DAY.  THEY WILL USE THE SELL SIDE OF THE EQUATION TO CREATE THE CASCADE (ALONG WITH THEIR COLLUSIVE FRIENDS) AND THEN COVER ON THE BUY SIDE OF THE SPREAD SITUATION AT THE END  OF THE DAY. THEY DO THIS TO AVOID POSITION LIMIT DETECTION. THE LIQUIDATION OF THE SPREADING FORMATION CONTINUES FOR EXACTLY ONE WEEK AND ENDS ON FIRST DAY NOTICE.” 

 

 

ACCUMULATION OF EFP’S GOLD AT J.P. MORGAN’S HOUSE OF BRIBES: (EXCHANGE FOR PHYSICAL) FOR THE MONTH OF NOV : 116,704 CONTRACTS OR 1,1670,400 oz OR 362.99 TONNES (12 TRADING DAY AND THUS AVERAGING: 9725 EFP CONTRACTS PER TRADING DAY

TO GIVE YOU AN IDEA AS TO THE STRONG SIZE OF THESE EFP TRANSFERS :  THIS MONTH IN 12 TRADING DAYS IN  TONNES: 362.99 TONNES

TOTAL ANNUAL GOLD PRODUCTION, 2018, THROUGHOUT THE WORLD EX CHINA EX RUSSIA: 3555 TONNES

THUS EFP TRANSFERS REPRESENTS 362.99/3550 x 100% TONNES =10.22% OF GLOBAL ANNUAL PRODUCTION

 

 

 

 

 

 

ACCUMULATION OF GOLD EFP’S YEAR 2019 TO DATE:     5134.85  TONNES

JANUARY 2019 TOTAL EFP ISSUANCE;   531.20 TONNES

FEB 2019 TOTAL EFP ISSUANCE:             344.36 TONNES

MARCH 2019 TOTAL EFP ISSUANCE:       497.16 TONNES

APRIL 2019 TOTAL ISSUANCE:                 456.10 TONNES

MAY 2019 TOTAL ISSUANCE:                    449.10 TONNES

JUNE 2019 TOTAL ISSUANCE:                   642.22 TONNES

JULY 2019: TOTAL ISSUANCE:                    591.56 TONNES

AUG. 2019 TOTAL ISSUANCE:                    639.62 TONNES

SEPT 2019 TOTAL EFP ISSUANCE              509.57 TONNES

OCT 2019 EFP ISSUANCE                           497.16 TONNES

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 DECREASE IN OI AT THE COMEX OF 4088 DESPITE THE  PRICING LOSS THAT GOLD UNDERTOOK FRIDAY($4.70)) //.WE ALSO HAD  A STRONG SIZED NUMBER OF COMEX LONG TRANSFERRING TO LONDON THROUGH THE EFP ROUTE: 5383 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 5,383 EFP CONTRACTS ISSUED, WE  HAD A GOOD GAIN OF 1295 CONTRACTS IN TOTAL OPEN INTEREST  ON THE TWO EXCHANGES:

5383 CONTRACTS MOVE TO LONDON AND 4088 CONTRACTS DECREASED AT THE COMEX. (IN TONNES, THE GAIN IN TOTAL OI EQUATES TO 4.027 TONNES). ..AND THIS GOOD INCREASE OF  DEMAND OCCURRED WITH THE LOSS IN PRICE OF $4.70 WITH RESPECT TO FRIDAY’S TRADING AT THE COMEX.

THE COMEX IS NOW UNDER FULL ASSAULT WITH RESPECT TO GOLD AND SILVER.

 

 

 

 

 

 

 

 

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

 

xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx

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

GLD...

 

WITH GOLD UP $3.50 TODAY//(COMEX-TO COMEX)

no change in gold inventory today

NOV 18/2019/Inventory rests tonight at 896.77 tonnes

 

 

SLV/

 

WITH SILVER UP 3 CENTS TODAY: 

 

a big change in silver inventory at the slv

a paper withdrawal of 1.074 million oz from the slv

absolute fraudsters

 

/INVENTORY RESTS AT 375,574 MILLION OZ

 

 

 

 

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

 

 

end

 

OUTLINE OF TOPICS TONIGHT

 

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

1. Today, we had the open interest in SILVER ROSE BY A SMALL SIZED 436 CONTRACTS from 221,250 UP TO 221,686 AND CLOSER TO A  NEW COMEX RECORD.  THE LAST RECORDS WERE SET  IN AUG.2018 AT 244,196 WITH A SILVER PRICE OF $14.78/(AUGUST 22/2018)..THE PREVIOUS RECORD TO THAT 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  2 YEARS AGO.  THE PRICE OF SILVER ON THAT DAY: $17.89.

 

 

 

 

EFP ISSUANCE: 

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

 FOR NOV. 0; FOR DEC  284: MARCH:  91   AND ALL OTHER MONTHS: ZERO. TOTAL EFP ISSUANCE: 375 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 436  CONTRACTS TO THE 375 OI TRANSFERRED TO LONDON THROUGH EFP’S,  WE OBTAIN A GOOD SIZED 811OPEN INTEREST CONTRACTS. THUS IN OUNCES, THE GAIN ON THE TWO EXCHANGES: 4.055 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 7.475 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.,  7.440 MILLION OZ FINALLY STANDING IN NOVEMBER.  21.925 MILLION OZ STANDING IN DECEMBER , 5.845 MILLION OZ STANDING IN JANUARY. 2.955 MILLION OZ STANDING IN FEBRUARY,  27.120 MILLION OZ FOR MARCH., 3.875 MILLION OZ FOR APRIL  18.765 MILLION OZ FOR MAY  NOW 2.660 MILLION OZ FOR JUNE WITH JULY AT 22.605 MILLION OZ AUGUST AT 10.025 MILLION OZ//  SEPT: 43.030 MILLION OZ///OCT: 7.665 MILLION OZ//

 

 

RESULT: A SMALL SIZED INCREASE IN SILVER OI AT THE COMEX DESPITE THE 6 CENT LOSS IN PRICING THAT SILVER UNDERTOOK IN PRICING// FRIDAY. WE ALSO HAD A SMALL SIZED 375 EFP’S ISSUED TRANSFERRING COMEX LONGS OVER TO LONDON. TOGETHER WITH THE STRONG  SIZED AMOUNT OF SILVER OUNCES STANDING FOR THIS MONTH, DEMAND FOR PHYSICAL SILVER CONTINUES TO INTENSIFY AS WE WITNESS SEVERE BACKWARDATION IN SILVER IN LONDON.

BOTH THE SILVER COMEX AND THE GOLD COMEX ARE IN STRESS AS THE BANKERS SCOUR THE BOWELS OF THE EXCHANGE FOR METAL

 

 

(report Harvey)

.

 

2 ) Gold/silver trading overnight Europe, Goldcore

(Mark O’Byrne/zerohedge

and in NY: Bloomberg

3. ASIAN AFFAIRS

I)THURSDAY MORNING/ WEDNESDAY NIGHT: 

SHANGHAI CLOSED DOWN 30.52 POINTS OR 1.04%  //Hang Sang CLOSED DOWN 131.51 POINTS OR 0.46%   /The Nikkei closed DOWN 422.94 POINTS OR 1.97%//Australia’s all ordinaires CLOSED DOWN .42%

/Chinese yuan (ONSHORE) closed DOWN  at 6.8807 /Oil UP TO 57.21 dollars per barrel for WTI and 64.13 for Brent. Stocks in Europe OPENED MIXED//  ONSHORE YUAN CLOSED DOWN // LAST AT 6.8807 AGAINST THE DOLLAR. OFFSHORE YUAN CLOSED DOWN ON THE DOLLAR AT 6.8834 TRADE TALKS STALL//YUAN LEVELS GETTING DANGEROUSLY CLOSE TO 7:1//TRUMP INITIATES A NEW 25% TARIFFS FRIDAY/MAY 10/MAJOR PROBLEMS AT HUAWEI /CFO ARRESTED  : /ONSHORE YUAN TRADING ABOVE LEVEL OF OFFSHORE YUAN/ONSHORE YUAN TRADING WEAKER AGAINST USA DOLLAR/OFFSHORE YUAN TRADING WEAKER AGAINST THE DOLLAR /TRADE DEAL NOW DEAD..TRUMP  RAISED RATES TO 25%

 

3A//NORTH KOREA/ SOUTH KOREA

 

3b) REPORT ON JAPAN

3C  CHINA

i)Hong Kong/China/Saturday

Peoples Liberation of China volunteered to clean up the streets in Hong Kong

zerohedge

ii)Hong Kong

Sunday: Not good! A Hong Kong police officer was shot in the leg with an arrow as the University burns…standoff rages
(zerohedge)

iii)Hong KongGood reason why the Hong Kong police are targeting this university as it the hub for internet services

(zerohedge)

iv)Hong Kong

Anti masking unconstitutional in Hong Kong

(zerohedge)

v)China/Usa

Trump’s 50 billion farm deal is a pipe dream.  China has not committed to this purchase yet nor will they.

(zerohedge)

vi)China

This is a biggy:Harbin Bank  the 5th largest bank with over 620 billion yuan in assets or 87 billion USA  had to be bailed out by sovereign China
(zerohedge)

4/EUROPEAN AFFAIRS

Germany,Hamburg

Another area where we witness protests.  This time Hamburg Germany in a complete revolt over EU regulations

(Paul Watson./Summit News)

5. RUSSIAN AND MIDDLE EASTERN AFFAIRS

IRAN

This is big news:  Iran is burning all weekend after the country shocked its citizens with a huge price rise (a 300% rise). Iran has run out of money and could no longer give subsidies at the pump

i)(zero hedge)

ii)As illustrated above the Central bank in Behbahan has been set on fire

(the portal)

iii)ISRAEL/USA

Mike Pompeo issues an historic policy reversal of the Obama administration:  Israel west bank settlements are not illegal

(zerohedge)

6.Global Issues

Officially the big Institute of International Finance is reporting that by the end of 2019, the total of all debt will approximate 255 trillion dollars.\

(zerohedge)

7. OIL ISSUES

 

8 EMERGING MARKET ISSUES

 

9. PHYSICAL MARKETS

i)Dave Kranzler agrees with me: the reason for the comex “gold collateral” or the the use of “London gold” is meant to rescue HSBC. Hong Kong has a huge vault underneath the airport. I can assure you that wealth individuals have already moved their physical gold from Hong Kong to other places as you can bet the farm that these citizens are scared of a “complete’ takeover by Mainland China. HSBC does 90% of all its business in China and it the guardian of the gold at GLD, Almost all of that gold has been hypothecated.  Thus the crisis: HSBC has run out of gold.  The other crisis is the repo money and that is a dollar problem:  trillions of dollars are used to fix the massive losses at Deutsche bank.

(Dave Kranzler/.IRD/GATA)

ii)We bless this company for their perception: SKAL confirms gold market manipulation\

(SKAL/GATA/)

iii)CNBC is careful as it admits that the gLD does not own gold

(GATA/Chris Powell)

iv)This is why you must donate to GATA which is probably the best operation exposing the fraud in our two precious metals, gold and silver

Please contribute…

Chris Powell

V)Another jPMorgan precious metals trader is charged and the probe widens to include conspiracy and racketeering conspiracy.

(Steve Stroth/Bloomberg)

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

MARKET TRADING//USA

a)Market trading/LAST NIGHT/USA

 

b)MARKET TRADING/USA/AFTERNOON

ii)Market data/USA

iii) Important USA Economic Stories

a)It sure looks like Deutsche bank is a major problem for the Fed and in need of 120 billion in continual repo money funneled their way.

MN Gordon/Economic Prism

b)This is interesting:  Powell and Mnuchin meet Trump this morning

(zerohedge)

c)Trump now promises more aid to farmers who are declaring bankruptcies in record numbers

(zerohedge)

d)USA/Japan/China/Luxembourg/Israel

Who is buying USA treasuries and who is dumping…
Japan and China dump.  Luxembourg and Israel buy
(zerohedge)

iv) Swamp commentaries)

a)here we go again: another hearsayer has come forth to negate the Sonland call.

(zerohedge)

b)The Tim Morrison testimony has now been released and it blows up the Ukrainian hoax. It destroys Vindman’s testimony as well. Morrison was on the the famous July 25 call.

Two commentaries

Hoft/zerohedge)

v) King report/Courtesy of Chris Powell of GATA which includes the major swamp stories.

 

LET US BEGIN:

 

 

Let us head over to the comex:

THE TOTAL COMEX GOLD OPEN INTEREST FELL BY A STRONG SIZED 4088 CONTRACTS TO A LEVEL OF 710,717 WITH THE LOSS OF $4.70 IN GOLD PRICING WITH RESPECT TO FRIDAY’S // COMEX TRADING. WE MUST HAVE HAD SOME COMEX BANKER SHORT COVERING//

WE ARE NOW IN THE NON ACTIVE DELIVERY MONTH OF NOV..  THE CME REPORTS THAT THE BANKERS ISSUED STRONG SIZED  TRANSFER THROUGH THE EFP ROUTE AS THESE LONGS RECEIVED A DELIVERABLE LONDON FORWARD TOGETHER WITH A FIAT BONUS., THAT IS 5383 EFP CONTRACTS WERE ISSUED:

 FOR NOV; 0 CONTRACTS: DEC: 5383   AND  ZERO FOR ALL OTHER MONTHS:

TOTAL EFP ISSUANCE:  5383 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 OUR 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: 1295 TOTALCONTRACTS IN THAT 5383 LONGS WERE TRANSFERRED AS FORWARDS TO LONDON AND WE LOST A STRONG SIZED 4088 COMEX CONTRACTS.

THE BANKERS SUPPLIED THE NECESSARY AND INFINITE AMOUNT OF SHORT PAPER IN GOLD.  THE BANKERS WERE SUCCESSFUL IN LOWERING GOLD’S PRICE WITH THE SMALL RAID INITIATED, AS IT FELL BY $4.70. AND THEY WERE  UNSUCCESSFUL IN FLEECING SOME LONGS FROM THE GOLD ARENA. WE NO DOUBT ALSO HAD SOME SHORT COVERING BY THE BANKS. 

 

 

NET GAIN ON THE TWO EXCHANGES ::  1295 CONTRACTS OR 129500 OZ OR 4.027 TONNES.

We are now in the  NON active contract month of NOV.  This month is generally the poorest delivery month of the year as must players prefer to go straight to the big active delivery month of December. Today we have 60 contracts still standing for a LOSS of 31 contracts. Yesterday we had 44 notices served upon so we have another whopper of a gain of 13 contracts or an additional 1300 oz will stand as these guys refused to morph into London based forwards as well as negating a fiat bonus. We again have queue jumping by the bankers/official sector in their attempt to find physical metal on this side of the pond.

 

The next active delivery month after NOV is the  active contract month of DECEMBER. Here we had a loss of 12,809 contracts down to 343,582.   The next non active contract month of January saw its OI rise by 76 contracts up to 410.

The December contract month is still highly elevated and we should have a humdinger of a delivery month

 

 

 

 

TODAY’S NOTICES FILED:

WE HAD 13 NOTICES FILED TODAY AT THE COMEX FOR  1300 OZ. (0.0404 TONNES)

 

 

 

xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx

And now for the wild silver comex results.

Total COMEX silver OI ROSE BY A SMALL SIZED 436 CONTRACTS FROM 221,250 UP TO 221,686 (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 SMALL  OI COMEX GAIN OCCURRED DESPITE A 6 CENT LOSS IN PRICING.//FRIDAY.

WE ARE NOW INTO THE NON ACTIVE DELIVERY MONTH OF NOV.  HERE WE HAVE 6OPEN INTEREST STAND FOR DELIVERY WITH A LOSS OF 3 CONTRACTS. WE HAD 9 CONTACTS SERVED UPON YESTERDAY SO WE GAINED 6 CONTRACTS OR 30,000 ADDITIONAL OZ WILL STAND FOR DELIVERY IN THIS NON ACTIVE MONTH.  THE ALSO REFUSED TO MORPH INTO LONDON BASED FORWARDS AS WELL AS NEGATING A FIAT BONUS.

 

AFTER NOVEMBER WE HAVE THE  ACTIVE MONTH OF DECEMBER and here he has a loss of 3106 contracts down to 98,802.  After December we have the non active month of January and here we see that we lost 4 contracts down to 520.

The big December contract month is also highly elevated for silver as well.

 

TODAY’S NUMBER OF NOTICES FILED:

 

We, today, had 6 notice(s) filed for 30,000, OZ for the NOV, 2019 COMEX contract for silver

Trading Volumes on the COMEX TODAY: 355,231  CONTRACTS 

 

 

 

CONFIRMED COMEX VOL. FOR YESTERDAY:  291,449  contracts

 

 

 

 

 

INITIAL standings for  NOV/GOLD

NOV 18/2019

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

 

 

 

 

Deposits to the Customer Inventory, in oz  

nil

 

No of oz served (contracts) today
13 notice(s)
 1300 OZ
(0.0404 TONNES)
No of oz to be served (notices)
47 contracts
(4700 oz)
0.1461 TONNES
Total monthly oz gold served (contracts) so far this month
1562 notices
156,200 OZ
4.8584 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:

We had 0 kilobar entries

 

 

 

 

total dealer deposits: nil oz

total dealer withdrawals: nil oz

 

we had 0 deposit into the customer account

i) Into JPMorgan:  nil oz

 

ii) Into everybody else: 0

 

 

 

total gold deposits: nil  oz

 

very little gold arrives from outside/ Today  zero amount  arrived

 

we had 1 gold withdrawal from the customer account:

i) Out of HSBC  103.81 oz

total withdrawals:  103.81 oz

 

We had 0 adjustment

 

 

FOR THE NOV 2019 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 13 contract(s) of which 0 notices were stopped (received) by j.P. Morgan dealer and 4 notice(s) was (were) stopped/ Received) by j.P.Morgan customer account and 0 notices by the squid  (Goldman Sachs)

 

xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx

 

xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx

To calculate the INITIAL total number of gold ounces standing for the NOV /2019. contract month, we take the total number of notices filed so far for the month (1562) x 100 oz , to which we add the difference between the open interest for the front month of  NOV (60 contract) minus the number of notices served upon today (13 x 100 oz per contract) equals 160,900 OZ OR 5.0046 TONNES) the number of ounces standing in this  active month of NOV

Thus the INITIAL standings for gold for the NOV/2019 contract month:

No of notices served (1562 x 100 oz)  + (60)OI for the front month minus the number of notices served upon today 13 x (100 oz )which equals 160,900 oz standing OR 5.0046 TONNES in this  active delivery month of NOV

We GAINED 13 contracts OR 1300 ADDITIONAL OZ WILL STAND AS THESE GUYS REFUSED TO MORPH INTO LONDON BASED FORWARDS AS WELL AS NEGATE A FIAT BONUS

 

 

SURPRISINGLY WE HAVE BEEN WITNESSING NO REAL PHYSICAL GOLD ENTERING THE COMEX VAULTS FOR THE PAST YEAR!! ..ONLY PHONY KILOBAR ENTRIES.… WE HAVE ONLY 27.47 TONNES OF REGISTERED GOLD WHICH CAN SETTLE UPON LONGS.

HERE IS WHAT STOOD DURING THESE PAST 4 MONTHS:  AUGUST 27.153 TONNES

SEPT:      5.4525 TONNES

 

OCT…………………………………………………………………………..     OCT…..   37.99 TONNES

AND NOW NOV……                                                                5.0046 tonnes

 

 

ACCORDING TO COMEX RULES:

FOR A SETTLEMENT YOU NEED A TRANSFER FROM THE DEALER (REGISTERED) ACCOUNT OVER TO AN ELIGIBLE ACCOUNT. FOR THE  ENTIRE MONTH OF AUGUST WE HAD O TRANSACTIONS ON THIS FRONT, IN SEPT, 3 TRANSACTIONS FOR 2.60155 TONNES. IF WE INCLUDE THE PAST FEW DAYS OF SETTLEMENTS WE HAVE 4.127 TONNES SETTLED

IF WE ADD THE FOUR DELIVERY MONTHS: 75.6001

TONNES- 4.128 TONNES DEEMED SETTLEMENT = 71.474 TONNES STANDING FOR METAL AGAINST 27.47 TONNES OF REGISTERED OR FOR SALE COMEX GOLD! THIS IS WHY GOLD IS SCARCE AT THE COMEX.

 

total registered or dealer gold:  1,120,771.939 oz or  34.86 tonnes 
which  includes the following:
a) registered gold that can be used to settle upon: 88,328.30 oz (27.47 tonnes)
b) pledged gold held at HSBC which cannot settle upon:  237,553.645 oz  ( 7,3889 tonnes)
total registered pledged  and eligible (customer) gold;   8,328,545.540 oz 259.05 tonnes
WHY ARE THEY NOT SETTLING?
THE COMEX IS AN ABSOLUTE FRAUD..WE HAVE ZERO SETTLEMENTS.

IN THE LAST 36 MONTHS 103 NET TONNES HAS LEFT THE COMEX.

 

THE GOLD COMEX IS NOW IN STRESS AS
1. GOLD IS LEAVING THE COMEX 
2. GOLD IS LEAVING THE REGISTERED CATEGORY OF THE COMEX.

WHY ARE THEY NOT SETTLING?

 

THE COMEX IS AN ABSOLUTE FRAUD..WE HAVE ZERO SETTLEMENTS.

end

And now for silver

AND NOW THE  DELIVERY MONTH OF NOV.

INITIAL  standings/SILVER

IN TOTAL CONTRAST TO GOLD, HUGE ACTIVITY IN SILVER TODAY.
NOV 18 2019
Silver Ounces
Withdrawals from Dealers Inventory NIL oz
Withdrawals from Customer Inventory
 6,025.010 oz
Delaware
Scotia

 

 

Deposits to the Dealer Inventory
nil oz

 

Deposits to the Customer Inventory
28,834.398 oz
Delaware
No of oz served today (contracts)
6
CONTRACT(S)
(30,000 OZ)
No of oz to be served (notices)
0 contracts
 NIL oz)
Total monthly oz silver served (contracts)  532 contracts

2,660,000 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

**

 

we had 0 inventory movement at the dealer side of things

 

 

 

 

total dealer deposits: nil  oz

total dealer withdrawals: nil oz

i)we had  1 deposits into the customer account

into JPMorgan:   nil

 

ii) Into Delaware:  28,834.398 oz

 

 

 

 

 

 

 

 

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

JPMorgan now has 161.1 million oz of  total silver inventory or 51.10% of all official comex silver. (161.1 million/315.22 million

 

 

 

 

total customer deposits today:  262,760.129  oz

 

we had 2 withdrawals out of the customer account:

 

 

i) Out of Delaware:  2996.400 oz

ii) out of Scotia; 3028.610

 

 

 

 

total withdrawals; 6,025.010  oz

We had 0 adjustment:

 

total dealer silver:  79.228 million

total dealer + customer silver:  315.604 million oz

 

xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx

The total number of notices filed today for the NOV 2019. contract month is represented by 6 contract(s) FOR 30,000 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 532 x 5,000 oz = 2,660,000 oz to which we add the difference between the open interest for the front month of NOV. (6) and the number of notices served upon today 6 x (5000 oz) equals the number of ounces standing.

.

Thus the INITIAL standings for silver for the NOV/2019 contract month: 532 (notices served so far) x 5000 oz + OI for front month of OCT (6)- number of notices served upon today (6) x 5000 oz equals 2,630,000 oz of silver standing for the OCT contract month. 

WE GAINED 6 contracts or an additional 30,000 oz of silver will stand at the comex as they guys refused to morph into London based forwards. For the past several weeks we have been witnessing queue jumping in both gold and silver.

 

LADIES AND GENTLEMEN:  THE COMEX IS UNDER ASSAULT FOR BOTH PHYSICAL GOLD AND SILVER WITH SILVER IN THE LEAD BY FAR. DESPITE  MASSIVE RAIDS, LONGS CONTINUE WITH THEIR HUNT AT THE COMEX FOR PHYSICAL METAL.. IT WILL NOT BE LONG BEFORE WE WITNESS A COMMERCIAL FAILURE..STAY TUNED..WE WITNESSED CONSIDERABLE BANKER SHORT COVERING IN SILVER TODAY AND AN ATTEMPTED BANKER SHORT COVERING IN GOLD WITH ZERO SUCCESS.

 

 

TODAY’S NUMBER OF NOTICES FILED:

 

We, today, had 6 notice(s) filed for 30,000 OZ for the NOV, 2019 COMEX contract for silver

 

 

TODAY’S ESTIMATED SILVER VOLUME:  109,579 CONTRACTS (we had considerable spreading activity..accumulation

 

CONFIRMED VOLUME FOR YESTERDAY: 78,061 CONTRACTS..

 

 

 

 

 

YESTERDAY’S CONFIRMED VOLUME OF 78,061 CONTRACTS EQUATES to 390 million  OZ 55.7% OF ANNUAL GLOBAL PRODUCTION OF SILVER..makes sense!!

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

 

 

xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx

 

 

 

NPV for Sprott

 

1. Sprott silver fund (PSLV): NAV RISES TO -1.54% ((NOV 18/2019)
2. Sprott gold fund (PHYS): premium to NAV FALLS TO -0.94% to NAV (NOV 18/2019 )
Note: Sprott silver trust back into NEGATIVE territory at +%-/Sprott physical gold trust is back into NEGATIVE/ -1.54%

(courtesy Sprott/GATA)

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

NAV 14.66 TRADING 14.10///DISCOUNT 3.84

 

 

END

 

 

 

And now the Gold inventory at the GLD/

NOV 18/WITH GOLD UP $3.50 TODAY: NO CHANGE IN GOLD INVENTORY AT THE GLD//INVENTORY RESTS AT 896.77 TONNES

NOV 15//WITH GOLD DOWN $4.70 TODAY: NO CHANGE IN GOLD INVENTORY AT THE GLD/INVENTORY RESTS AT 896.77 TONNES

NOV 14/WITH GOLD UP $10.00: NO CHANGE IN GOLD INVENTORY AT THE GLD/INVENTORY RESTS AT 896.77 TONNES

NOV 13/WITH GOLD UP $9.50 : A SMALL CHANGE IN GOLD INVENTORY AT THE GLD: A WITHDRAWAL OF .32 TONNES (PROBABLY TO PAY FOR FEES)/INVENTORY RESTS AT 896.77 TONNES

NOV 12: WITH GOLD DOWN $3.40 TODAY: A HUGE CHANGE IN GOLD INVENTORY AT THE GLD: A PAPER GOLD WITHDRAWAL OF 4.10 TONNES///INVENTORY RESTS AT 897.09 TONES

NOV 11/WITH GOLD DOWN $5.70 TODAY: NO CHANGE IN GOLD INVENTORY AT THE GLD/INVENTORY RESTS AT 901.19 TONNES

NOV 8/WITH GOLD DOWN $3.50 TODAY: A MASSIVE WITHDRAWAL  OF 13.19 PAPER TONNES OF GOLD  INVENTORY AT THE GLD//INVENTORY RESTS AT 901.19 TONNES

NOV 7/2019 WITH GOLD DOWN $35.55 TODAY: A PAPER WITHDRAWAL OF 1.47 TONNES FROM THE GLD/INVENTORY RESTS AT 914.38 TONNES

NOV 6/2019  WITH GOLD UP $8.70 TODAY: A BIG CHANGES IN GOLD INVENTORY AT THE GLD: A DEPOSIT OF 1.18 TONNES INTO THE GLD//INVENTORY RESTS AT 915.85 TONNES

NOV 5/WITH GOLD DOWN $26.00//NO CHANGES IN GOLD INVENTORY AT THE GLD//INVENTORY RESTS AT 914.67 TONNES

NOV 4/WITH GOLD DOWN $0.75 TODAY: A CONSIDERABLE WITHDRAWAL OF .88 TONNES FROM THE GLD//INVENTORY RESTS AT 914,67 TONNES

NOV 1/WITH GOLD DOWN $2.90 TODAY/NO CHANGE IN GOLD INVENTORY AT THE GLD/INVENTORY RESTS AT 915.55 TONNES

OCT 31/NO CHANGE IN GOLD INVENTORY AT THE GLD

OCT.30 WITH GOLD UP 5.50 TODAY: A WITHDRAWAL OF 2.93 TONNES FROM THE GLD/INVENTORY RESTS AT 915,55 TONNES

OCT 29/WITH GOLD DOWN $5.00 TODAY: NO CHANGES IN GOLD INVENTORY AT THE GLD/INVENTORY RESTS AT 918.48 TONNES

OCT 28/WITH GOLD DOWN $9.70 TODAY: NO CHANGES IN GOLD INVENTORY AT THE GLD/INVENTORY RESTS AT 918.48 TONNES

OCT 25/WITH GOLD UP $1.40 TODAY: NO CHANGES IN GOLD INVENTORY AT THE GLD//INVENTORY RESTS AT 918.48 TONNES

OCT 24/WITH GOLD UP $8.75 TODAY: A BIG CHANGE IN GOLD INVENTORY AT THE GLD: A PAPER GOLD WITHDRAWAL OF 1.18 TONNES FROM THE GLD//INVENTORY RESTS AT 918.48 TONNES

OCT 23/2016′ WITH GOLD UP $8.40 TODAY: A HUGE PAPER WITHDRAWAL OF 4.98 TONNES  IN GOLD INVENTORY AT THE GLD/INVENTORY RESTS AT 919.66 TONNES

OCT 22.WITH GOLD DOWN $0.15: NO CHANGE IN GOLD INVENTORY AT THE GLD/INVENTORY RESTS AT 924.64 TONNES

OCT 21/WITH GOLD DOWN $6.25//A HUGE CHANGE IN GOLD INVENTORY AT THE : A MONSTROUS PAPER DEPOSIT OF 6.45 TONNES//GLD/INVENTORY RESTS AT 924.64 TONNES

OCT 18/WITH GOLD DOWN $3.25 TODAY: NO CHANGES IN GOLD INVENTORY AT THE GLD/INVENTORY RESTS AT 918.19 TONNES

OCT 17/WITH GOLD UP $4.00 TODAY: A BIG CHANGE IN GOLD INVENTORY AT THE GLD: A WITHDRAWAL OF 1.47 TONNES OF GOLD FROM THE GLD////INVENTORY RESTS AT 918.19 TONNES

OCT 16/WITH GOLD UP $10.25 TODAY//A BIG CHANGE IN GOLD INVENTORY AT THE GLD; A PAPER WITHDRAWAL OF 2.05 TONNES/INVENTORY RESTS AT 919.66 TONNES

OCT 15//WITH GOLD DOWN$13.25 TODAY: NO CHANGE IN GOLD INVENTORY AT THE GLD/INVENTORY RESTS AT 921.71 TONNES

OCT 14/2019: WITH GOLD UP $8.25 TODAY//NO CHANGE IN GOLD INVENTORY AT THE GLD/INVENTORY RESTS AT 921.71 TONNES

OCT 11/WITH GOLD DOWN $12.90 TODAY NO CHANGE IN GOLD INVENTORY AT THE GLD/INVENTORY RESTS AT 921.71 TONNES

OCT 10/WITH GOLD DOWN $10.00 TODAY, A SMALL CHANGE IN GOLD INVENTORY AT THE GLD A WITHDRAWAL OF 2.05 TONNES OF GOLD FROM THE GLD//INVENTORY RESTS AT 921,71 TONNES

OCT.9//WITH GOLD UP $8.90//NO CHANGE IN GOLD INVENTORY AT THE GLD

OCT 8\WITH GOLD DOWN 35 CENTS //NO CHANGE IN GOLD INVENTORY AT THE GLD

 

 

xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx

 

NOV 18/2019/Inventory rests tonight at 896.77 tonnes

*IN LAST 707 TRADING DAYS: 39.60 NET TONNES HAVE BEEN REMOVED FROM THE GLD
*LAST 607 TRADING DAYS: A NET 127.45 TONNES HAVE NOW BEEN ADDED INTO  THE GLD INVENTORY.

 

end

 

Now the SLV Inventory/

NOV 18/ WITH SILVER UP 3 CENTS TODAY: A BIG CHANGE IN SILVER INVENTORY AT THE SLV: A PAPER WITHDRAWAL OF 1.074 MILLION OZ F FROM THE SLV///INVENTORY RESTS AT 375.574 MILLION OZ/

NOV 15//WITH SILVER DOWN 6 CENTS TODAY: NO CHANGE IN SILVER INVENTORY AT THE SLV/INVENTORY RESTS AT 376.648 MILLION OZ//

NOV 14/ WITH SILVER UP 12 CENTS TODAY: NO CHANGE IN SILVER INVENTORY AT THE SLV/INVENTORY RESTS AT 376.648 MILLION OZ/

NOV 13/WITH SILVER UP 20 CENTS TODAY: A BIG CHANGE IN SILVER INVENTORY AT THE SLV: A WITHDRAWAL OF 2.524 MILLION /INVENTORY RESTS AT 376.648 MILLION OZ/

NOV 12/ WITH SILVER DOWN 10 CENTS TODAY: NO CHANGES IN SILVER INVENTORY AT THE SLV/INVENTORY RESTS AT 379.172 MILLION OZ..

NOV 11/2019 WITH SILVER DOWN 3 CENTS TODAY: NO CHANGES IN SILVER INVENTORY AT THE SLV/INVENTORY RESTS AT 379.172 MILLION OZ///

NOV 8/2019 WITH SILVER DOWN 19 CENTS TODAY: NO CHANGES IN SILVER INVENTORY AT THE SLV//INVENTORY RESTS AT 379.172 MILLION OZ//

NOV 7/WITH SILVER DOWN 57 CENTS TODAY; NO CHANGES IN SILVER INVENTORY AT THE SLV// SLV INVENTORY RESTS AT 379.172

NOV 6/WITH SILVER UP ONE CENT TODAY: A HUGE  CHANGE IN SILVER INVENTORY AT THE SLV; A MASSIVE DEPOSIT OF 2.804 MILLION OZ///INVENTORY REST AT 379.172 MILLION OZ

NOV 5/WITH SILVER DOWN 44 CENTS TODAY: NO CHANGES IN SILVER INVENTORY AT THE SLV/INVENTORY RESTS AT 376.368 MILLION OZ//

NOV 4/WITH SILVER UP ONE CENT TODAY: A SMALL CHANGE IN INVENTORY AT THE SLV A WITHDRAWAL OF 157,000 OZ TO PAY FOR FEES/INVENTORY RESTS AT 376.368 MILLION OZ//

NOV 1//WITH SILVER DOWN 3 CENTS TODAY: NO CHANGE IN INVENTORY AT THE SLV INVENTORY RESTS AT 376.525 MILLION OZ

OCT 31//NO CHANGE IN SILVER INVENTORY

OCT 30.//WITH SILVER DOWN 6 CENTS TODAY NO CHANGE IN SILVER INVENTORY AT THE SLV/INVENTORY RESTS AT 376.525 MILLION OZ

OCT 29/WITH SILVER DOWN 6 CENTS TODAY: A SMALL  CHANGE IN SILVER INVENTORY AT THE SLV” A WITHDRAWAL OF 400,000 OZ TO PAY FOR FEES/INVENTORY REMAINS AT 376.525 MILLION OZ//

OCT 28/WITH SILVER DOWN 6 CENTS TODAY: A BIG CHANGE IN SILVER INVENTORY AT THE SLV: A WITHDRAWAL OF 909,000 OZ FROM THE SLV INVENTORY/INVENTORY RESTS AT 376.925 MILLION OZ/

OCT 25/2019: WITH SILVER UP 16 CENTS TODAY: NO CHANGE IN SILVER INVENTORY AT THE SLV/INVENTORY RESTS AT 377.834 MILLION OZ//

OCT 24/2019: WITH SILVER UP 22 CENTS TODAY: NO CHANGE IN SILVER INVENTORY AT THE SLV/INVENTORY RESTS AT 377.834 MILLION OZ/

OCT 23/2019: WITH SILVER UP 9 CENTS TODAY: NO CHANGE IN SILVER INVENTORY AT THE SLV/INVENTORY RESTS AT 377.834 MILLION OZ//

OCT 22/WITH SILVER DOWN 9 CENTS TODAY: A HUGE CHANGE IN SILVER INVENTORY AT THE SLV: A PAPER WITHDRAWAL OF 1.963 MILLION OZ//INVENTORY RESTS AT 377.834 MILLION OZ.

OCT 21/WITH SILVER UP ONE CENT TODAY: A BIG CHANGE IN SILVER INVENTORY AT THE SLV: A PAPER WITHDRAWAL OF 1.222 MILLION OZ FROM THE SLV../INVENTORY RESTS AT 379.797 MILLION OZ//

OCT 18/WITH SILVER DOWN 3 CENTS TODAY: NO CHANGE IN SILVER INVENTORY AT THE SLV/INVENTORY RESTS AT 380.919 MILLION O

OCT 17./WITH SILVER UP 17 CENTS TODAY: A BIG CHANGE IN SILVER INVENTORY AT THE SLV: A PAPER WITHDRAWAL OF 1.87 MILLION OZ FROM THE SLV.//INVENTORY RESTS AT 380.919 MILLION OZ//

OCT 16/WITH SILVER UP 4 CENTS TODAY: NO CHANGE IN SILVER INVENTORY AT THE SLV/INVENTORY RESTS AT 382.789 MILLION OZ//

OCT 15/WITH SILVER DOWN 30 CENTS TODAY: A HUGE CHANGE IN SILVER INVENTORY AT THE SLV: A PAPER WITHDRAWAL OF 2.15 MILLION OZ//. INVENTORY RESTS AT 382.789 MILLION OZ

OCT 14/WITH SILVER UP 18 CENTS TODAY: NO CHANGE IN SILVER INVENTORY AT THE SLV//INVENTORY RESTS AT 384.939 MILLION OZ

OCT 11/WITH SILVER DOWN 6 CENTS NO CHANGE IN SILVER INVENTORY AT THE SLV//INVENTORY RESTS AT 384.939 MILLION OZ//

OCT 10/2016//WITH SILVER DOWN 22 CENTS: A HUGE CHANGE IN SILVER INVENTORY AT THE SLV: A PAPER DEPOSIT OF 1.443 MILLION OZ INTO THE SLV/INVENTORY RESTS AT 384.939 MILLION OZ

OCT 8/WITH SILVER UP 15 CENTS //NO CHANGE IN SILVER INVENTORY AT THE SLV//INVENTORY RESTS AT 383.496 MILLION OZ

 

 

NOV 18:  SLV INVENTORY

375.574 MILLION OZ

 

LIBOR SCHEDULE AND GOFO RATES:

 

 

YOUR DATA…..

6 Month MM GOFO 1.94/ and libor 6 month duration 1.92

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

G0LD LENDING RATE: – .02

 

XXXXXXXX

12 Month MM GOFO
+ 1.93%

LIBOR FOR 12 MONTH DURATION: 1.96

 

GOFO = LIBOR – GOLD LENDING RATE

GOLD LENDING RATE  = +.03

end

 

 

end

 

PHYSICAL GOLD/SILVER STORIES
i) GOLDCORE BLOG/Mark O’Byrne

Daily Market Update

True US Economy About To Be ‘Revealed’ – Stockman Interview

Click Here to Watch the Full Interview

David Stockman is the former budget director for President Ronald Reagan and author of “Peak Trump: The Undrainable Swamp and the Fantasy of MAGA”

He believes that the market “can’t digest” all the money flooding into Wall Street and that the Federal Reserve responded with panic.

NEWS and COMMENTARY

Gold slips as trade optimism derails safe-haven demand

Gold finishes lower as trade deal hopes dent haven appeal

Putin: U.S. Dollar Will Collapse Soon (video)

Danske Bank Offered Russian Clients Gold to Hide Money

JPMorgan Precious Metals Probe Expands as Another Is Charged

Watch Podcast Here

GOLD PRICES (LBMA – USD, GBP & EUR – AM/ PM Fix)

15-Nov-19 1465.60 1466.90, 1138.04 1136.41 & 1329.59 1327.84
14-Nov-19 1467.65 1466.65, 1141.39 1142.52 & 1334.24 1333.18
13-Nov-19 1463.45 1462.90, 1138.86 1140.62 & 1328.23 1328.46
12-Nov-19 1455.00 1452.05, 1134.03 1130.42 & 1319.69 1318.17
11-Nov-19 1465.50 1458.70, 1144.41 1132.39 & 1328.33 1321.87
08-Nov-19 1466.85 1464.15, 1144.58 1142.62 & 1328.09 1328.13
07-Nov-19 1484.10 1484.25, 1153.44 1156.82 & 1339.40 1341.76
06-Nov-19 1488.55 1486.05, 1155.26 1154.51 & 1342.23 1341.31
05-Nov-19 1504.60 1488.95, 1166.37 1156.17 & 1352.18 1344.67
04-Nov-19 1509.20 1509.45, 1168.57 1169.52 & 1352.39 1353.98

SIGN UP FOR OUR AWARD WINNING MARKET UPDATES HERE

Mark O’Byrne
Executive Director

 

ii) Important gold commentaries courtesy of GATA/Chris Powell

Dave Kranzler agrees with me: the reason for the comex “gold collateral” or the the use of “London gold” is meant to rescue HSBC. Hong Kong has a huge vault underneath the airport. I can assure you that wealth individuals have already moved their physical gold from Hong Kong to other places as you can bet the farm that these citizens are scared of a “complete’ takeover by Mainland China. HSBC does 90% of all its business in China and it the guardian of the gold at GLD, Almost all of that gold has been hypothecated.  Thus the crisis: HSBC has run out of gold.  The other crisis is the repo money and that is a dollar problem:  trillions of dollars are used to fix the massive losses at Deutsche bank.

(Dave Kranzler/.IRD/GATA)

Dave Kranzler: New Comex gold collateral mechanism seems meant to rescue HSBC

 Section: 

12:38p ET Saturday, November 16, 2019

Dear Friend of GATA and Gold:

Our friend Dave Kranzler of Investment Research Dynamics in Denver today elaborates on his commentary yesterday —

http://www.gata.org/node/19589

— about the New York Commodities Exchange’s invention of another mechanism for creating “paper gold.” Kranzler writes today that the mechanism seems aimed at easing the pressure of the short position likely making serious trouble for HSBC, the bullion bank custodian of the major exchange-traded fund GLD.

… 

Kranzler’s hypothesis fits the decades-long practice of the international gold price suppression scheme of governments, central banks, and bullion banks. That is, to keep metal moving around so fast that it can be applied to pressure points before its real owners notice that it’s missing — to make a single ounce of gold seem to be in as many as a hundred places at once.

Kranzler’s elaboration is appended.

CHRIS POWELL, Secretary/Treasurer
Gold Anti-Trust Action Committee Inc.
CPowell@GATA.org

* * *

New Comex gold collateral mechanism seems meant to rescue HSBC

By Dave Kranzler
Saturday, November 16, 2019

On November 4 authorization for traders on the New York Commodities Exchange to use “London gold” and Comex gold warrants as collateral was tripled, raised from $250 million to $750 million. HSBC now has used $340 million, or 45.3 percent, of its new collateral limit. It seems more than coincidental that HSBC took advantage of the collateral increase so soon after it was put into effect.

I see the rule change as a low-grade bailout of HSBC, analogous to the Fed’s low grade bailout of the big banks with the “repo” “quantitative easing.” The rule change also flags HSBC as the largest trader in the commitment-of-trader category that designates the percentage of the long and short contracts held by the four largest traders on the Comex.

Assuming, as is likely, that HSBC’s short position was largely put on at lower gold prices, the bank is probably getting hammered with a mark-to-market loss.

Here is the issue that needs to be answered but likely never will be: Do any of the warrants HSBC has pledged as collateral involve gold not owned by HSBC?

In my opinion, probably all the gold in these warrants is not really owned by the bank.

Most likely HSBC is using for collateral purpose gold that does not belong to the bank — customer gold. That is outright hypothecation.

I wonder if the agreement signed by the vault operators allows them to hypothecate gold held in the vault and not owned by the bank.

Now here’s where it gets even more interesting. Assume HSBC is short those warrants pledged as performance bond collateral and the price of gold moves a lot higher. Then HSBC is getting killed technically being short gold collateral it has pledged for its own liability but doesn’t own. How does the bank remedy this?

It uses an exchange-for-physical or privately negotiated transaction using “London gold.” Since HSBC is the vault operator for the major gold exchange-traded fund GLD, this London gold EFP/PNT would likely use GLD vault gold that may or may not have been hypothecated.

HSBC is likely getting financially squeezed to a major extent on its Comex futures short position and the CME bailed it out by changing the collateral and performance bond margin rules.

—–

Dave Kranzler operators Investment Research Dynamics in Denver.

END

We bless this company for their perception: SKAL confirms gold market manipulation\

(SKAL/GATA/)

SKAL Capital study confirms gold market manipulation

 Section: 

11p ET Saturday, November 16, 2019

Dear Friend of GATA and Gold:

Sam Laakso, a market analyst in Finland and founder of SKAL Capital in Hong Kong, published in April a long study titled “The Future of Gold from 2019 to 2039,” and it validates at length complaints of manipulation of the gold market even as it makes the case for stronger gold prices in the two decades ahead. Laakso’s study can be found at Skal Capital’s internet site here:

https://www.skalcapital.com/thesis/

CHRIS POWELL, Secretary/Treasurer
Gold Anti-Trust Action Committee Inc.
CPowell@GATA.org

END

CNBC is careful as it admits that the gLD does not own gold

(GATA/Chris Powell)

CNBC is careful to admit that owning GLD is not owning gold

 Section: 

7:29p ET Sunday, November 17, 2019

Dear Friend of GATA and Gold:

Two cheers for today’s CNBC report celebrating the 15th anniversary of the gold exchange-traded fund GLD, since the report does not pretend that owning GLD is the same as owning the monetary metal itself.

Instead, the report says, GLD “tracks one of the world’s most popular commodities,” provides “an easy and particularly cost-effective way to get indirect exposure to gold,” and is a device for “having exposure to movements in the gold price”

Of course it would have been nice for CNBC to note that the custodian of the vault holding GLD’s gold is the investment bank HSBC, perhaps the biggest short in the gold market; that the bank is the beneficiary of a new New York Commodities Exchange rule apparently allowing the bank to inject more “paper gold” into the futures market —

http://gata.org/node/19589

ht/gata.org/node/19592

that GLD itself facilitates the shorting of real metal through the borrowing and conversion to metal of its shares and the sale or lease of that metal by enormously well-funded brokers executing central bank market-rigging policy; and that anyone buying “paper gold” might as well flush his money down the toilet.

But then if CNBC or anyone else covering the gold market ever undertook journalism that serious, nobody would need GATA anymore.

The CNBC report is headlined “Wall Street’s Biggest Gold ETF Turns 15” and it’s posted here:

https://www.cnbc.com/2019/11/17/gld-wall-streets-top-gold-etf-turns-15-h…

CHRIS POWELL, Secretary/Treasurer
Gold Anti-Trust Action Committee Inc.
CPowell@GATA.org

end

This is why you must donate to GATA which is probably the best operation exposing the fraud in our two precious metals, gold and silver

Please contribute…

Chris Powell

If not for GATA, what would you really know about gold?

 Section: 

9:51p ET Sunday, November 17, 2019

Dear Friend of GATA and Gold:

Since it is the secret knowledge of the financial universe, gold has been dragged into the phoniest, most obscure, and most sinister market of all. GATA doesn’t claim to know everything that goes on with the monetary metal, but we do know that much is going on with gold in secret and nobody exposes these secrets as well as we do.

For example, just in the last few days GATA has brought you:

— A summary of developments in gold market manipulation in the last year:

http://www.gata.org/node/19556

— Dave Kranzler’s examination of the new Comex regulation that appears to have authorized creation of hundreds of millions of dollars worth of “paper gold” to help rescue the biggest short in the gold futures market, the investment bank HSBC:

http://www.gata.org/node/19589

http://www.gata.org/node/19592

— A comprehensive independent review of gold’s prospects that confirms extensive manipulation of the market:

http://www.gata.org/node/19593

Nobody else delivers like this.

Now maybe it doesn’t matter. Maybe the rigging of the gold market and indeed all financial markets has reached a state of relative permanence amid the growing totalitarianism of governments everywhere.

Certainly most monetary metals mining companies don’t care about this rigging. Most are happy to mine their shareholders as much as they mine their land claims. And mainstream financial news organization are to timid or corrupt to bring serious journalism to bear here.

Central bank market-rigging policy; and that anyone buying “paper gold” might as well flush his money down the toilet.

But then if CNBC or anyone else covering the gold market ever undertook journalism that serious, nobody would need GATA anymore.

The CNBC report is headlined “Wall Street’s Biggest Gold ETF Turns 15” and it’s posted here:

https://www.cnbc.com/2019/11/17/gld-wall-streets-top-gold-etf-turns-15-h…

CHRIS POWELL, Secretary/Treasurer
Gold Anti-Trust Action Committee Inc.
CPowell@GATA.org

* * *

end

 

iii) Other physical stories:

Another jPMorgan precious metals trader is charged and the probe widens to include conspiracy and racketeering conspiracy.

(Steve Stroth/Bloomberg)

JPMorgan Precious Metals Probe Expands as Another Is Charged

By Steve Stroth/Bloomberg

November 15, 2019, 3:56 PM CST Updated on November 15, 2019, 5:05 PM CST

Another JPMorgan Chase & Co. official was charged in the U.S. probe of the bank’s precious metals trading operation.

Jeffrey Ruffo, a former JPMorgan executive director on the metals desk in New York who specialized in hedge fund sales, was charged with fraud conspiracy and racketeering conspiracy, according to a superseding indictment made public Friday in federal court in Chicago.

The allegations are part of a broader investigation of market spoofing that has now resulted in charges against six bank employees. Indictments against Michael Nowak — JPMorgan’s global head of precious metals trading — and Gregg Smith were made public in September and they have pleaded not guilty. Another defendant, Christopher Jordan, plans to plead not guilty, according to his lawyer. All three have been free on bond since their arrests.

Ruffo, 56, worked at the bank from about 2008 until August 2017, court records show. Prosecutors claim he worked with the other defendants to coordinate precious metals transactions to benefit big hedge fund clients, who were a key source of the bank’s revenue.

In one instance in January 2012, when a hedge fund client wanted to sell 93,200 ounces of gold, Ruffo alerted JPMorgan traders who then placed deceptive orders to buy gold futures in an attempt to push prices higher, according to the indictment. Ruffo will be arraigned in Chicago on Dec. 5, court documents show.

-END-

Due to the criminal conviction of trader Edmonds, the USA prosecution is seeking to halt the civil lawsuit. I was misinformed: all discoveries in a civil suit are public and because of that, the prosecution gives the defendants the right to plead the 5th if their testimony incriminates them
(courtesy zerohedge/Chris Powell)

US seeks halt in civil lawsuit accusing JP Morgan of manipulating metals market, citing criminal case

  • The U.S. wants a federal judge to halt a civil lawsuit accusing J. P. Morgan of manipulating precious metals markets. The Justice Department cited an ongoing criminal case as its reason for the request.
  • A former J. P. Morgan trader pleaded guilty in Connecticut last month to manipulation charges.
  • In the guilty plea, the trader said he had learned to make bogus trade orders from senior traders at the bank and that he used the strategy hundreds of times with the knowledge and consent of his immediate supervisors.

A sign of JP Morgan Chase Bank is seen in front of their headquarters tower in New York.

Amr Alfiky | Reuters
A sign of JP Morgan Chase Bank is seen in front of their headquarters tower in New York.

The Justice Department is asking a judge to put the brakes on a civil lawsuit against J. P. Morgan Chase, citing an ongoing probe into a “related criminal case” that involves alleged manipulation of precious metals markets.

The department wants a six-month postponement in the proceedings of the civil lawsuit, which was filed in 2015 by hedge fund manager Daniel Shak and two commodity traders. The government also says it could ask for a longer delay in the case, according to a court filing on Monday.

The move comes days after Shak’s lawyer, David Kovel, sought permission to reopen questioning of two former J. P. Morgan traders and the bank’s current global head of base and precious metals trading.

Kovel, in making the request with the Manhattan federal judge in the civil case, cited last month’s guilty plea by one of those former traders, John Edmonds, in federal court in Connecticut.

Edmonds admitted making bogus bids on precious metals contracts while working at the bank from 2009 to 2015.

Neither J. P. Morgan Chase nor Kovel’s clients have opposed the Justice Department’s request.

In arguing for a delay, the Justice Department said Shak’s lawsuit is “related” to Edmonds’ criminal case and that Edmonds has “pleaded guilty and acknowledged his own participation in such conduct, as well as that of other traders.”

“Edmonds awaits sentencing, but the broader investigation is ongoing,” the Justice Department said. The U.S. wants to delay the civil case “to protect the integrity of its ongoing criminal investigation,” it said.

J. P. Morgan did not respond to a request for comment by CNBC. Kovel declined to comment.

Tuesday night, after this story first was published, Judge Paul Engelmayer ordered the federal prosecutors to explain in detail by Monday why postponing proceedings in the civil lawsuit would not harm those involved, and why reopening questioning “would be detrimental to the Government’s ongoing criminal investigation.”

Englemayer also wrote that he regards Edmonds’ guilty plea “as potentially highly consequential” to the civil case.

In his guilty plea, the 36-year-old Edmonds said he had learned to make bogus trade orders from senior traders at the bank and that he used the strategy hundreds of times with the knowledge and consent of his immediate supervisors. He admitted to working with “unnamed co-conspirators” at J. P. Morgan, according to the Justice Department.

Kovel wants to question Edmonds again as well as Michael Nowak, the bank’s global head of base and precious metal trading, and former J. P. Morgan Chase Managing Director Robert Gottlieb. The three had previously answered questions under oath in the civil case.

Kovel said in court filings that Nowak was the immediate supervisor of Edmonds, while Gottlieb was Edmonds’ mentor.

In his prior deposition, Edmonds said that Gottlieb sat only a “couple feet” away from him for about five years, and that he was “somebody [he] looked up to in the business,” who helped guide and train him.

Nowak is described by Edmonds as his direct supervisor, with whom he would sometimes discuss trading strategies. Nowak was also the person responsible for overseeing the performance and risk of Edmonds’ portfolio, according to the deposition.

Edmonds also stated in his prior deposition that he would enter precious metals trades for both Nowak and Gottlieb, among others.

The civil lawsuit claims Shak and his fellow plaintiffs lost tens of millions of dollars as a result of actions by J. P. Morgan’s traders.

A federal judge tells traders that they can combine cases (with the other 6 banks) as they accused JPMorgan of rigging the precious metals market
(courtesy CNBC)

Federal judge tells traders they can combine cases accusing JP Morgan of rigging metals market

  • Litigation in a separate civil case has been put on hold until at least May at the behest of the Justice Department, which is investigating a “related criminal case” that involves alleged market manipulation by precious metals traders at J. P. Morgan.
  • Judge John Koeltl of the Southern District of New York appointed the White Plains, N.Y., law firm Lowey Dannenberg as interim lead counsel for the proposed class action.

71671201

Spencer Platt | Getty Images

A group of traders from across the U.S. who allege that J. P. Morgan Chase manipulated precious metals markets for years are one step closer to bringing a class action suit against the nation’s largest bank.

Earlier this month, a federal judge said five separate lawsuits making similar allegations against the bank could be combined, potentially including thousands of people who traded in the precious metals market from Jan. 2009 through Dec. 2015.

Litigation in a separate civil case has been put on hold until at least May at the behest of the Justice Department, which is investigating a “related criminal case” that involves alleged market manipulation by precious metals traders at J. P. Morgan.

J. P. Morgan declined to comment on this story.

Judge John Koeltl of the Southern District of New York appointed the White Plains, N.Y., law firm Lowey Dannenberg as interim lead counsel for the proposed class action.

Vincent Briganti, a partner at the firm, filed the first suit seeking class action status in November on behalf of Dominick Cognata, a trader who alleges he suffered losses due to J.P. Morgan’s illegal trading conduct in the silver and gold futures and options markets.

That was after the federal court in Connecticut unsealed a criminal plea agreement by John Edmonds, a former J.P. Morgan metals trader. In his guilty plea, Edmonds, who is 36-years old, admitted that he and other “unnamed co-conspirators” fraudulently manipulated the precious metals markets while they were employed at J. P. Morgan from 2009 to 2015.

Edmonds said he had learned the illegal trading tactics from senior traders, and then used them hundreds of times with the knowledge of and consent of his immediate supervisors.

Briganti’s lawsuit also names John Edmonds and a group of yet-to-be-identified precious metals traders and the bank as defendants.

On Wednesday, the lawyers sent a letter to Judge Koeltl saying they were having difficulty locating Edmonds to serve him legal papers and requested a 30-day extension to do so, which the judge granted on Thursday. Briganti noted that they have been in contact with Edmonds’ attorney in the criminal case. Edmonds’ attorney and Briganti could not be reached for comment.

“We are hopeful that this extension will result in completing service on Mr. Edmonds without formal motion practice and a request for alternative means of service,” Briganti said in the letter.

The next step in the civil case is for the plaintiffs to file an amended class action complaint and set a schedule for defendants to respond.

In addition to the proposed class action, J. P. Morgan also faces a separate civil suit which also accuses the bank of rigging precious metals markets.

end

March 4.2019

Parker City News

JP Morgan faces potential class action lawsuit after guilty pleas by a former metals trader

Traders from across the U.S. are banding together to accuse J. P. Morgan Chase of manipulating precious metals markets for years.

At least six lawsuits, all making similar allegations against the nation‘s largest bank, have been filed in New York federal court in the past month, since federal prosecutors in Connecticut with a former J. P. Morgan Chase metals trader.

The cases could potentially include thousands of people who traded in the precious metals market. The White Plains, N.Y., law firm Lowey Dannenberg is asking the court to combine the cases and name it as the lead.

The law firm‘s commodities group is led by Vincent Briganti, the attorney who filed the first lawsuit on behalf of Dominick Cognata, a New York resident who alleges he suffered losses due to J. P. Morgan‘s trading conduct in the silver and gold futures and options markets.

A combined case, seeking class action status, would include anyone who purchased or sold futures contracts or an option on NYMEX platinum or palladium or COMEX silver or gold between at least Jan. 1, 2009, and Dec. 31, 2015. The lawyers believe that “at least hundreds, if not thousands” of traders would be eligible to join the case.

Named as defendants in all of the lawsuits are John Edmonds, a 36-year old former metals trader at J. P. Morgan, a group of yet-to-be-identified precious metals traders and the bank.

Edmonds, a New York resident, pleaded guilty in October to one count of conspiracy to defraud the market and manipulate prices of precious metals futures contracts and one count of commodities fraud. In the criminal plea, Edmonds admitted that he and other “unnamed co- conspirators” at J. P. Morgan, fraudulently manipulated precious metals markets from 2009 to 2015, the same time frame covered in the class action suits.

Briganti filed the initial class action on Nov. 7, just one day after the Justice Department unsealed Edmonds‘ plea in the U.S. District Court of Connecticut.

Edmonds admitted in his guilty plea that he deployed the illegal trading scheme hundreds of times with the direct knowledge and consent of his immediate supervisors. Plaintiffs say they have suffered economic injury, including monetary losses, as a direct result of actions by Edmonds and the other unnamed J. P. Morgan metals traders in the futures and options contracts.

One of the suits alleges that “the number of unlawful trades that JP Morgan traders executed in precious metals futures markets is at least in the thousands.”

J. P. Morgan declined to comment. Lowey Dannenberg did not respond to a request for comment by CNBC.

The Justice Department‘s criminal investigation is still ongoing and recently caused a separate related civil case to be put on hold for at least six months while the government continues its investigation. That civil lawsuit, which also accuses J. P. Morgan of rigging the precious metals market, was filed in 2015 by hedge fund manager Daniel Shak and two commodity traders.

After reviewing the details of the plea agreement, David Kovel, the attorney for Shak‘s suit, sought to re- interview Edmonds, along with two other current and former senior traders at the bank. However, the government argued that reopening questioning would be detrimental to the ongoing criminal investigation. The federal judge overseeing the proceedings ordered a six-month stay in the civil case.

Kovel declined to comment.

Edmonds was originally scheduled to be sentenced in Hartford, Conn., on Wednesday, Dec. 19, but a court filing on Nov. 27 shows the sentencing has been postponed until June. A spokesman for the U.S. Attorney for Connecticut could not elaborate on why the sentencing was postponed since the court filing is under seal.

-END-

Justice Department stalls another class action in gold market rigging, this one against JPM

 Section: 

9:47a ET Tuesday, March 5, 2019

Dear Friend of GATA and Gold:

Proceedings in the federal class-action anti-trust lawsuit against JPMorganChase charging the investment bank with manipulating the gold and silver futures markets —

http://www.gata.org/node/18844

— have been suspended for three months at the request of the U.S. Justice Department, just as the department has arranged suspension of proceedings in the class-action anti-trust lawsuit against Deutsche Bank charging similar market manipulation.

… 

In both cases the Justice Department has told U.S. District Court for the Southern District of New York that proceedings would jeopardize its criminal investigation into market rigging, which has been admitted by a former JPMorganChase trader, John Edmonds, who awaits sentencing.

According to court filings, the White Plains, New York, law firm representing the plaintiffs against JPMorganChase, Lowey Dannenberg, concurred in the government’s request to suspend proceedings. The stay is to continue for three months and may be extended.

The Justice Department’s motion, granted by the court on February 26 —

http://www.gata.org/files/JPMorganChaseClassActionStay.pdf

— said “the government is not seeking an open-ended stay that could indefinitely postpone this matter and thus jeopardize the parties’ interests in a timely resolution.” The motion added, “Any developments in the criminal case during the period the consolidated action is stayed may reduce or completely resolve the need to litigate certain issues in the consolidated action.”

Much of the Justice Department’s motion is redacted to conceal from the public evidence still under investigation. Edmonds has said he and other traders manipulated the gold and silver markets for years with the knowledge of their supervisors at JPMorganChase. In its motion to conceal that evidence, also granted by the court on February 26, the Justice Department said disclosure “could lead to destruction of evidence, flight from prosecution, and otherwise interfere with the government’s ability to conduct its investigation”:

http://www.gata.org/files/JPMorganChaseClassActionStaySeal.pdf

Monetary metals investors may be skeptical of the Justice Department’s stalling the Deutsche Bank and JPMorganChase cases, since the department and the U.S. Commodity Futures Trading Commission do not seem ever to have responded conscientiously to complaints of gold and silver market rigging until the class actions commenced.

How much time will the court give the Justice Department to delay getting to the bottom of the issue? The court might hasten matters if enough monetary metals mining companies protested the harm done to them and their shareholders by market rigging, but of course most monetary metals mining companies don’t mind at all.

CHRIS POWELL, Secretary/Treasurer
Gold Anti-Trust Action Committee Inc.
CPowell@GATA.org

* * *

Your early MONDAY morning currency, Asian stock market results,  important USA/Asian currency crosses, gold/silver pricing overnight along with the price of oil Major stories overnight/7 AM EST

i) Chinese yuan vs USA dollar/CLOSED / LAST AT: 67.0165/ 

 

//OFFSHORE YUAN:  7.0185   /shanghai bourse CLOSED UP 17,86 POINTS OR 0.62%

HANG SANG CLOSED UP 354.43 POINTS OR 1.35%

 

2. Nikkei closed UP 113.44 POINTS OR 0.49%

 

 

 

 

3. Europe stocks OPENED ALL MIXED/

 

 

 

USA dollar index UP TO 97.95/Euro FALLS TO 1.1060

3b Japan 10 year bond yield: FALLS TO. –.08/ !!!!(Japan buying 100% of bond issuance)/Japanese yen vs usa cross now at 1079.04/ 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//CARRY TRADERS GETTING KILLED

 

3c Nikkei now JUST BELOW 17,000

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

3e WTI:: 57.61 and Brent: 63.15

3f Gold DOWN/JAPANESE Yen DOWN 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 -.32%/Italian 10 yr bond yield DOWN to 1.21% /SPAIN 10 YR BOND YIELD DOWN TO 0.43%…ITALIAN 10 YR BOND YIELD/GERMAN BUND: 1.53: DANGEROUS FOR THE ITALIAN BANKING SYSTEM

3j Greek 10 year bond yield FALLS TO : 1.45

3k Gold at $1458.20 silver at: 16.81   7 am est) SILVER NEXT RESISTANCE LEVEL AT $18.50

3l USA vs Russian rouble; (Russian rouble DOWN 10/100 in roubles/dollar) 63.86

3m oil into the 57 dollar handle for WTI and 63 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 109.04 DESTROYING JAPANESE CITIZENS WITH HIGHER FOOD INFLATION

30 SNB (Swiss National Bank) still intervening again in the markets driving down the SF. It is not working: USA/SF this morning .9911 as the Swiss Franc is still rising against most currencies. Euro vs SF is 1.0961 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 NEGATIVE territory with the 10 year FALLING to 0.32%

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 1.85% early this morning. Thirty year rate at 2.33%

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

6.  TURKISH LIRA:  UP  TO 5.7275..

US Futures Breach New All-Time Highs As Global Stocks Approach Record On Unexpected Chinese Rate Cut

At this rate, rising by about 20 points per day, Trump will only be happy if the S&P hits 4,000 around the time of the 2020 election.

While US equity futures drifted ever higher into all time high territory, with S&P futures now above 3,120 on what many erroneously claim is trade deal optimism but in reality is the Fed and ECB’s injection of $80 billion in liquidity every month, world shares were also close to a record high on Monday, after Beijing surprised markets by trimming a key interest rate for the first time since 2015.

Confirming what we said just on Friday, that China has major structural problems that are far greater than just its GDP and slowing economy, and that the PBOC will be forced to step in with support, early on Monday, China’s central bank cut rates on seven-day reverse repurchase agreements by five basis points to 2.50% in its latest show of support for its economy.

The news helped Asia’s main markets close higher, surprising various experts who would not reconcile the war-like scenes out of Hong Kong and the jump in the Hang Seng and Shanghai Composite…

zerohedge@zerohedge

Why is Hang Seng +1.2% and the SHCOMP at session highs after war like scenes from Hong Kong? The PBOC injected a net CNY180 BN via reverse repo and cut the 7-day rev repo rate by 5bps to 2.50%.

All you need to know

… and Europe followed suit, though early moves showed the initial reaction was cautious.

The Chinese intervention helped nudge MSCI’s 49-country world share index 0.12% higher to leave it less than 1% off the record high it set back in early 2018.

“It is a slow start to a slow week, but risk is marginally on,” said SocGen FX strategist Kit Juckes, who added it was now hard to avoid concluding that China was slowly easing monetary policy, having held off in recent months, wary of drawing fresh criticism from U.S. President Donald Trump during trade talks. “Maybe that’s what 5 basis points is all about. It’s not rocking the boat, but it’s a shift.”

As the region digested the unexpected cut in the PBoC’s 7-Day Reverse Repo rate, Asian markets resumed the momentum from last Friday’s record-setting performance in the US where all major indices notched all-time highs and the DJIA breached the 28,000-milestone for the first time. ASX 200 (-0.4%) and Nikkei 225 (+0.5%) were mixed with Australia dragged by broad weakness across its sectors including underperformance in gold miners and losses for the top-weighted financials, while the Japanese benchmark was relatively quiet with mild gains spurred on the back of a weaker currency. Shanghai Comp. (+0.6%) was initially choppy with markets somewhat desensitized by the latest trade headlines including reports of a constructive call between US-China top trade negotiators and recent comments from US Commerce Secretary Ross that the finish line is close regarding a phase one trade deal. However, Chinese stocks were eventually supported after the PBoC injected liquidity through reverse repos for the first time in 3 weeks and lowered the rate by 5bps to 2.50%, while the Hang Seng (+1.4%) was resilient despite continued Hong Kong unrest with the index lifted by outperformance in property names and on touted short-covering following last week’s 5% slump, as well as reports of government rescue for mid-sized lender Harbin Bank. Finally, 10yr JGBs traded choppy amid the somewhat indecisive risk sentiment and mixed results from the enhanced liquidity auction, although prices have eked mild gains as it continues its rebound from support at 153.00.

After a solid Asian session, the European STOXX 600 index fluctuated in early trading, initially trimming gains in Monday morning trading as construction materials and autos sectors decline, before extending its six-week winning streak  as advances in Switzerland offset weakness in France and Germany. The index is only 8 points short of its own record high of 415.18 points hit in mid-April.

In the US, E-Mini futures pointed to S&P 500 adding to Friday’s record highs, with an open around 3,124. Just around 1am, S&P e-minis breached 3120 to the upside, triggering a raft of stop orders in a surge of volume but then faded from the highs.

Beijing’s latest easing bolstered to hopes it might also be more serious about making progress in trade talks with the United States. On Saturday, Chinese state media said the two sides had “constructive talks” on trade in a high-level phone call that included Vice Premier Liu He, U.S. trade representative Robert Lighthizer and Treasury Secretary Steven Mnuchin.

“More than in previous rounds, we see momentum toward reaching at least a limited trade deal, and certainly a mini-deal would remove some of the negative sentiment overhang for the real economy and markets,” said Patrik Schowitz, global multi-asset strategist at J.P. Morgan Asset Management.

“We have upgraded our outlook on equities as an asset class,” he added. “Emerging-market equities are now our most favoured region alongside U.S. large-cap equities.”

Emerging-market stocks and currencies advanced for a second day on the above-mentioned trade deal optimism and China’s easing: Turkey’s lira and South Korea’s won outperformed peers after U.S. and Chinese trade negotiators held “constructive discussions” in a phone call on Saturday to address each side’s core concerns of phase one of the trade deal. White House economic adviser Larry Kudlow’s comment late Thursday that U.S.-China talks were nearing the final stages helped to trim emerging-market losses last week. “It seems market reaction to trade discussions has been asymmetric recently, with a stronger reaction to any slightly positive news” said Credit Agricole strategist Guillaume Tresca, unwittingly hitting the nail on the head, that the market is not responding to trade news at all but to the Fed’s QE “The news flow on the global front is limited in the week ahead and barring any negative surprise, the positive momentum should continue.”

In rates, the 10Y TSY yield rose 2 bps from the Friday close, trading around 1.850%, while German Bunds also fell amid positive signals from “constructive discussions” in U.S. and China trade talks. The Bunds decline was led by the 5- to 10-year sectors as core bonds underperform semi-core peers. Italian BTPs were little changed as Greek bonds fare best among peripheral peers. Gilts slip led by the belly ahead of speeches by PM Johnson and opposition leader Corbyn at the Confederation of British Industry conference in London later Monday.

In FX, the dollar was little changed against other major currencies on Monday and within recent trading ranges. Volatility in the market has been the lowest in decades recently and shows no sign of shifting. The dollar rose against the safe-haven yen to 108.94. The Bloomberg Dollar Spot Index initially headed for its third day of losses before reversing back to unchanged as the pound rallied following a series of opinion polls that showed U.K. Prime Minister Boris Johnson’s party well ahead of the opposition.

A UK election Survation poll conducted November 14th-16th showed Conservatives at 42% (+7), Labour at 28% (-1), Lib Dems at 13% (-4) and Brexit Party at 5% (-5). (Twitter) UK election YouGov/Times poll conducted November 14th-15th showed Conservatives at 45% (+3), Labour at 28% (unch), Lib Dems at 15% (unch) and Brexit Party at 4% (unch). Mail on Sunday poll conducted November 14th-16th showed Conservatives 45% (+4), Labour 30% (+1), Lib Dems 11% (-5%), Brexit Party 6% (unch).

The dollar and bonds are likely to be sensitive to minutes of the Federal Reserve’s last policy meeting, set to be released on Wednesday.  “The minutes are likely to reiterate that the U.S. economy is ‘solid’ and that current monetary policy settings are ‘appropriate’, which would support the dollar,” said Joseph Capurso, a currency analyst at Commonwealth Bank of Australia. However, he noted a report on October U.S. retail sales released on Friday suggested previously strong consumption might be slowing. “Any further weakness in consumption could warrant a material reassessment of the outlook by the FOMC.  Under our baseline, the FOMC would most likely start cutting interest rates again in 2020,” said Capurso.

The yen is leading losses amid a thin data calendar and as investors await fresh developments on trade discussions. Sterling gains as investors add longs in the cash market on the back of low uncertainty over the U.K. election, while demand to hedge downside risks emerges through the options market, The pound strengthened against all its Group-of-10 peersafter U.K. Prime Minister Boris Johnson said Conservative candidates pledged to vote for his Brexit deal if he wins the Dec. 12 election.GBPUSD gains a fourth day, up 0.5% to 1.2963 after high of 1.2985; stops triggered above 1.2930 and 1.2940, with some stop entries also going through, a Europe-based trader says. The pair was headed for its best run in a month as it touches its strongest level since Oct. 22; Johnson will try to win business leaders over to his side Monday, offering them tax cuts as an olive branch for the disruption caused by Brexit.

In commodities, spot gold fell to $1,459 per ounce; oil prices also fell, after Brent touched a seven-week high on Friday. Brent crude futures dropped 18 cents to $63.12 a barrel. WTI slipped by 4 cents to $57.69.

In overnight central bank comments, ECB’s de Guindos defended the central bank’s catastrophic NIRp policy, said the most significant vulnerabilities of euro area banks relates to their weak profitability prospects. Notes banking system is operating with significant overcapacity resulting in cost inefficiencies and competitive pressures; weaker cyclical momentum and associated low interest rates are weighing on bank profitability, although monetary policy accommodation has supported lending volumes.

In geopolitics, US Defence Secretary Esper met with Chinese Defence Minister Wei in Bangkok which experts described as significant in strengthening mutual military trust, while China was said to ask US to stop escalating the South China Sea situation. In related news, China’s Defence Ministry spokesman said China will not tolerate any Taiwan independence incidents and a China Navy spokesperson confirmed a Chinese carrier sailed through the Taiwan Straits but noted the passage is not directed at any target nor is it related to current situation.

Over the weekend, Iran experienced widespread protests in more than 100 cities and towns following a 50% gas price increase; separately, protestors are reportedly blocking the entrance to Iraq’s Umm Qasr port, operations are down by 50%., according to port sources

No major economic data is expected. Woodward is among companies reporting earnings

Market Snapshot

  • S&P 500 futures up 0.2% to 3,123.00
  • STOXX Europe 600 up 0.02% to 406.14
  • MXAP up 0.4% to 164.98
  • MXAPJ up 0.5% to 528.02
  • Nikkei up 0.5% to 23,416.76
  • Topix up 0.2% to 1,700.72
  • Hang Seng Index up 1.4% to 26,681.09
  • Shanghai Composite up 0.6% to 2,909.20
  • Sensex down 0.2% to 40,293.79
  • Australia S&P/ASX 200 down 0.4% to 6,766.82
  • Kospi down 0.07% to 2,160.69
  • German 10Y yield rose 0.7 bps to -0.327%
  • Euro up 0.1% to $1.1064
  • Italian 10Y yield fell 9.1 bps to 0.886%
  • Spanish 10Y yield fell 1.2 bps to 0.428%
  • Brent futures little changed at $63.28/bbl
  • Gold spot down 0.6% to $1,459.99
  • U.S. Dollar Index down 0.1% to 97.90

Top Overnight News from Bloomberg

  • Donald Trump used Twitter on Sunday to slam Jennifer Williams, an aide to Vice President Mike Pence, who’s due to testify in the public impeachment inquiry into the president’s actions with Ukraine
  • The political peril for Trump, will be heightened as the House investigation accelerates with three days of public hearings starting Tuesday. Gordon Sondland, the U.S. Ambassador to the EU, a Trump donor and a confederate with Rudy Giuliani in back-channel diplomatic efforts for the president in Ukraine is scheduled to testify Wednesday
  • Hong Kong police urged protesters to drop their weapons and leave a university campus in Kowloon, but many remained holed up after a weekend standoff led to dramatic scenes with smoke billowing from multiple fires at the campus as the work week kicked off
  • Protesters called for rallies on Monday night near Hong Kong Polytechnic University, which is surrounded by police vowing to arrest hundreds of demonstrators who have taken over the campus. Clashes around Kowloon university has led to multiple arrests and injuries
  • China lowered the cost it charges on short-term open-market operations for the first time since October 2015, a move aimed at shoring up confidence following a string of poor economic data
  • British PM Johnson will try to win business leaders to his side with an offer of tax cuts at the start of a crucial week in the U.K. general election campaign. Britain goes to the polls on Dec. 12 and a slew of opinion polls in Sunday’s newspapers all put Johnson’s Conservatives well ahead of the opposition Labour Party
  • U.S. and Chinese trade negotiators held “constructive discussions” in a phone call on Saturday to address each side’s core concerns of phase one of the trade deal. China’s Vice Premier Liu He, the country’s key negotiator in the trade talks with the U.S., spoke with Treasury Secretary Steven Mnuchin and Trade Representative Robert Lighthizer, according to the Chinese Commerce Ministry
  • China lowered the cost it charges on short-term open-market operations for the first time since October 2015, a move aimed at shoring up confidence following a string of poor economic data

Asian equity markets partially resumed the momentum from last Friday’s record-setting performance on Wall St. where all major indices notched all-time highs and the DJIA breached the 28000-milestone for the first time. Furthermore, the region also digested a cut in the PBoC’s 7-Day Reverse Repo rate but with gains limited as participants await the next developments on the trade front. ASX 200 (-0.4%) and Nikkei 225 (+0.5%) were mixed with Australia dragged by broad weakness across its sectors including underperformance in gold miners and losses for the top-weighted financials, while the Japanese benchmark was relatively quiet with mild gains spurred on the back of a weaker currency. Shanghai Comp. (+0.6%) was initially choppy with markets somewhat desensitized by the latest trade headlines including reports of a constructive call between US-China top trade negotiators and recent comments from US Commerce Secretary Ross that the finish line is close regarding a phase one trade deal. However, Chinese stocks were eventually supported after the PBoC injected liquidity through reverse repos for the first time in 3 weeks and lowered the rate by 5bps to 2.50%, while the Hang Seng (+1.4%) was resilient despite continued Hong Kong unrest with the index lifted by outperformance in property names and on touted short-covering following last week’s 5% slump, as well as reports of government rescue for mid-sized lender Harbin Bank. Finally, 10yr JGBs traded choppy amid the somewhat indecisive risk sentiment and mixed results from the enhanced liquidity auction, although prices have eked mild gains as it continues its rebound from support at 153.00.

Top Asian News

  • China Trims Market Borrowing Costs as Economic Outlook Dims
  • China Bond Traders Still on Edge After Rate Cuts Spur Rally
  • Malaysian Stocks Get Cheaper by the Day But Few Want to Buy

Major European bourses (Euro Stoxx 50 -0.2%) are choppy and mostly directionless thus far on the first trading session of the week, following a mostly positive APAC session where sentiment was supported by Wall Street’s Friday rally, seemingly positive US/China trade headlines and the latest cut to the PBoC’s 7-Day Reverse Repo rate. European bourses trade mostly within last week’s ranges, however, US indices futures made fresh ATHs again this morning, with ES Dec’ 19 futures reaching as high as 3127.50. Looking ahead, further impetus is most likely to come from further developments on the US/China trade front, with the data docket largely empty for the day, aside from Central Bank speak. Moving on to the sectors, the picture is mixed; Utilities (+0.1%), Financials (+0.3%) and Health Care (+0.6%) are on the front foot, while Tech (-0.3%) and Industrials (-0.3%) the slight laggards. In terms of the most notable individual movers; BME (+38.1%) shot higher on increased hopes for a bidding war between Euronext (+1.2%) and SIX Exchange, the former having confirmed it is in discussions for the Co. and the latter putting in a bid worth EUR 34.0/shr. Meanwhile, Qiagen (+12.1%) opened higher on the news that the Co. has received several conditional non-binding indications of interest and has decided to start discussions to examine potential strategic alternatives. In terms of the laggards, Aviva (-3.5%) shares were sent tumbling on the news that, after an options review for its Singapore business, the Co. had concluded that retaining the business will achieve the best shareholder value.

Top European News

  • Bunds Caught in a Battle Between Sentiment and Fundamentals
  • Qiagen Rises to Highest Level Since 2001 as Bidders Multiply
  • Aviva Retains Singapore, China Ops After Review; Shares Fall
  • Yandex Changes Ownership Structure as Kremlin Tightens Rules

In FX, another subdued day for the broad Dollar and Index with the latter losing further ground below the 98.00 figure amid Friday’s downbeat US IP figure coupled with strength in some G10 peers. DXY probes the 97.90 mark having dipped to 97.87 as European participants entered the market with the next level to the downside its 21 DMA at 97.83. Meanwhile, the Yuan is on a modestly softer footing after the PBoC cut its 7-day reverse repo rate by 5bps ahead of the Central Bank’s LPR decision later this week – with consensus pointing towards a maintained rate, but against growing views of a 5bps reduction. USD/CNH remains off highs after the pair rose to to almost 7.0200 post-PBoC ahead of its 100 DMA at 7.0381. Looking ahead, this week sees a mammoth USD 5bln in USD/CNH at strike 7.0000, with the largest chunk of USD 2.1bln for tomorrow.

  • GBP, EUR – Sterling stands as the marked outperformer thus far amid tailwinds from weekend polls suggesting an uptrend in the Conservative’s lead over Labour, with the weekend polls showing a lead between 14-17 points across three surveys. Thus, Cable extends upside above 1.2900 to test 1.2950 in early EU trade before taking out resistance at 1.2972-5 (Oct31/Nov1 highs) and ahead of touted barriers at 1.3000. As a result, EUR/GBP continues to edge lower towards the 0.8500 mark (0.8535 intraday low) with bears’ targets now including the YTD low at 0.8456 ahead of the 55 MMA (0.8437). Meanwhile, the Single Currency sees little action and largely moves at the whim of the Buck having clocked in a 20 pip intraday parameter for now and with a few pertinent speakers on today’s docket and a lack of notable data points. EUR/USD meanders just above 1.1050 and with options expiries eyeing a hefty EUR 1.3bln at 1.1055 for today’s NY cut.
  • JPY – Modestly softer start to the week with little by way of major weekend risk events to sway sentiment. USD/JPY tested 109.00 in early trade and has since meandered around the round figure where its 200 DMA also resides. Scheduled events today are unlikely to affect the market mood, but as always traders will be on the lookout for developments on the trade and Hong Kong front for catalysts.

In commodities, crude prices are flat to lower, as the market consolidates following last Friday’s healthy gains on the back of trade related optimism tailwinds. Both WTI and Brent front month contracts trade at the top of recent ranges, the former just below the USD 58.00/bbl mark and the latter comfortably above USD 63.00/bbl. Other geopolitical developments are focused over in East Asia; the US and South Korea postponed joint military drills to help provide an opportunity to bring North Korea back to negotiations, while US Defence Secretary Esper reportedly met with Chinese Defence Minister Wei in Bangkok which experts described as significant in strengthening mutual military trust and China was said to ask US to stop escalating the South China Sea situation. In terms of metals; Gold has been heading lower, breaking below resistance just above the USD 1460/oz level. Copper, meanwhile, has been moving sideways after making modest gains overnight on the back of PBoC liquidity injections at a lower RRR and trade hopes.

US Event Calendar

  • 10am: NAHB Housing Market Index, est. 71, prior 71
  • 4pm: Net Long- term TIC Flows, prior $41.1b deficit
  • 4pm: Total Net TIC Flows, prior $70.5b
  • 12pm: Fed’s Mester Speaks at University of Maryland

DB’s Jim Reid concludes the overnight wrap

Happy Monday. We discovered the first major design flaw in our new house yesterday as 2 year old twin Eddie locked himself in our downstairs toilet and was then so hysterical for 20 minutes that we couldn’t reason with him that it was just as easy to unlock as it was to lock. I must admit, I was mentally working out whether it was cheaper to call a locksmith or to try to bash the door down and get it repaired. In the end, he calmed down in time and managed to unlock the door and I saved myself some money and/or another injury.

We might find ourselves stuck a little this week as well as it isn’t the biggest for important data but there are still some key highlights for markets and the global economy to look forward to. We have to be patient for the main data release which comes in the form of the preliminary November PMIs on Friday. If global data is on the turn this will be a useful point for it to show itself. Ahead of that, both the Federal Reserve (Weds) and the ECB (Thurs) will be releasing accounts of their October monetary policy meetings. In politics, we’ll see the first televised debate for the UK general election (Tues) alongside further impeachment hearings in the US and a Democratic primary debate (Weds). Finally, we’ll hear from ECB President Lagarde on Friday, and earnings season will continue to draw to a close.

The preliminary November PMIs on Friday will be important as expectations have risen that the global economy has bottomed. Indeed, our economists put out a global piece on Friday suggesting such an outcome (albeit with event risks still there) in the US, Europe and in Asia. See here for their report. Back to PMIs, and consensus for the German composite currently stands at 49.2, above October’s 48.9 but still in contractionary territory. Meanwhile, the Euro Area composite PMI is seen rising to 50.8, having been 50.6 in October. A similar increase is expected in the US.

Elsewhere in the US, there aren’t a great deal of data releases out this week. We’ll get the final University of Michigan sentiment indicator for November on Friday, following the preliminary reading which saw a small increase to 95.7, a three-month high. On Wednesday, October’s building permits and housing starts data comes out, before Thursday sees the release of October’s existing homes sales, along with the Philadelphia Fed’s business outlook indicator for November.

The FOMC minutes on Wednesday will be interesting but with the Fed seemingly on hold until further notice it’ll be difficult to gain too much new insight into it. However our economists think that given the growing contingent of policymakers that have either voiced opposition to the latest rate cut or only supported it conditional on sending a hawkish signal with it, then the minutes could provide more intelligence as to the power of the different camps in the Fed at the moment.

Before we look at the rest of the weekly economic highlights, this morning in Asia the PBOC has cut the interest rate on its seven-day reverse repurchase agreements to 2.5% from 2.55% for the first time since October 2015. Along with the reduction in interest rates, the PBoC also added CNY 180bn of cash into the financial system via open market operations, helping to alleviate liquidity concerns. Meanwhile, over the weekend the PBOC’s quarterly report warned not only on growth risks but also on rising inflation, highlighting the limited room that monetary policy has to respond. The PBoC also said in the report that it will “increase counter-cyclical adjustment” to ward off downward pressure on the economy while adding that monetary policy will “properly handle the short-term pressure,” making sure not to offer excessive funding, while keeping an eye on the risk of expectations that inflation may spread.

We also saw new trade headlines over the weekend with the Chinese Commerce Ministry saying in a statement that the US and Chinese trade negotiators held “constructive discussions” in a phone call on Saturday to address each side’s core concerns ahead of “phase one“ of the trade deal. The talk was held between China’s Vice Premier Liu He and the US Treasury Secretary Steven Mnuchin and Trade Representative Robert Lighthizer. The report further added that the call was held at the request of the U.S. negotiators, and the two sides agreed to remain in close communication.

Asian markets are trading mixed this morning with the Nikkei (+0.22%), Hang Seng (+0.83%) and Shanghai Comp (+0.43%) all up while the Kospi (-0.29%) is trading down. Elsewhere, futures on the S&P 500 are trading flat.

Back to this week’s highlights and we have a number of central bank speakers over the week ahead, with ECB President Lagarde scheduled to speak on Friday. Her first speech at the start of the month didn’t feature monetary policy at all, so if her remarks do cover monetary policy issues, markets will be paying close attention in order to find out more about her views. Alongside Lagarde, we’ll hear from ECB Vice President de Guindos, along with Bundesbank President Weidmann. And from the US, this week’s Fed speakers include Cleveland Fed President Mester, New York Fed President Williams, and Minneapolis Fed President Kashkari.

Turning to politics, this week has two notable debates occurring on either side of the Atlantic. The first will be the televised head-to-head debate tomorrow between Prime Minister Johnson and Labour Party leader Corbyn, which comes ahead of the UK general election on 12 December. The polls this weekend showed the Conservatives anywhere from 8 to 16 percentage points in the lead with some evidence of Brexit Party votes slightly going their way this week relative to the week before. Elsewhere, Bloomberg reported that in a speech today at the CBI, PM Johnson will offer tax cuts to the business leaders for the disruption caused by Brexit. He will say a Conservative government victory at the December 12 election will lead to a “fundamental review” of business rates. On taxes, the U.K. and US elections over the next 12 months possibly bring the sharpest divide between cutting and raising taxes in living memory. A fascinating fork in the road moment for both countries. Staying with the U.K., over the weekend PM Johnson said that every Conservative candidate has signed a pledge to vote for his deal if elected, thereby giving credibility to his claim that he can break the Brexit deadlock. Sterling is up +0.20% this morning on the news.

Staying with politics, there’ll be another debate in the US between the Democratic primary candidates on Wednesday. Although the presidential election itself isn’t until November 2020, the first primaries and caucuses occur in February. Finally, we’ll see further impeachment hearings in the US over the week ahead.

On earnings, we’re nearing the end of this season, with 461 of the S&P 500 companies having reported. Of those that have, nearly 80% have reported a positive surprise on earnings, while just under 60% have reported a positive surprise on sales. Even if your view is that expectations were managed beforehand or that share buybacks continue to distort the picture, it’s hard not to be impressed with the resilience of US markets. Highlights to watch out for this week include Home Depot on Tuesday, Lowe’s and Target on Wednesday, and Thyssenkrupp and Macy’s on Thursday.

Reviewing last week briefly, equity markets staged a small rally with the S&P 500, NASDAQ, and DOW all nudging to fresh all-time highs. Those three US indexes gained +0.89%, +0.77%, and +1.17% on the week (+0.77%, +0.73%, and +0.80% and most of the week’s gains on Friday), respectively. The S&P 500 has now gone 27 session without consecutive down days, the longest streak since January 2012. In Europe, the STOXX 600 gained a more modest +0.15% (+0.44% Friday), with the IBEX (-1.41% on the week, +0.96% Friday) underperforming after the Socialist party partnered with a more left-wing group to form a new government after elections. EMs were also pressured, with an index of equities falling -1.26% (+0.79% Friday), and an index of EM currencies dipping -0.65% (flat Friday).

In fixed income, bond yields rallied, partially retracing the previous week’s selloff and partially a reflection of still-muted US inflation data. Ten-year yields in the US and Germany fell -11.1bps and -7.1bps (+1.2bps and +1.7bps Friday). The divergence helped the euro gain +0.30% versus the dollar (+0.26% Friday). Credit spreads widened, with high yield spreads +13bps and +9bps wider in the US and Europe (-2.6bps and +1.8bps Friday). Meanwhile, volatility remains low with the VIX at 12.1, flat on the week.

 

3A/ASIAN AFFAIRS

I)MONDAY MORNING/ SUNDAY NIGHT: 

SHANGHAI CLOSED UP 17.86 POINTS OR 0.62%  //Hang Sang CLOSED UP 354.43 POINTS OR 1.35%   /The Nikkei closed UP 113.44 POINTS OR 1.34%//Australia’s all ordinaires CLOSED DOWN .39%

/Chinese yuan (ONSHORE) closed DOWN  at 7.0165/Oil UP TO 57.61 dollars per barrel for WTI and 63.15 for Brent. Stocks in Europe OPENED MIXED//  ONSHORE YUAN CLOSED DOWN // LAST AT 7.0165 AGAINST THE DOLLAR. OFFSHORE YUAN CLOSED DOWN ON THE DOLLAR AT 7.0185 TRADE TALKS STALL//YUAN LEVELS GETTING DANGEROUSLY CLOSE TO 7:1//TRUMP INITIATES A NEW 25% TARIFFS FRIDAY/MAY 10/MAJOR PROBLEMS AT HUAWEI /CFO ARRESTED  : /ONSHORE YUAN TRADING ABOVE LEVEL OF OFFSHORE YUAN/ONSHORE YUAN TRADING WEAKER AGAINST USA DOLLAR/OFFSHORE YUAN TRADING WEAKER AGAINST THE DOLLAR /TRADE DEAL NOW DEAD..TRUMP  RAISED RATES TO 25%

 

 

3 a./NORTH KOREA/ SOUTH KOREA

South Korea

 

b) REPORT ON JAPAN

 

3 C CHINA

Hong Kong/China/Saturday

Peoples Liberation of China volunteered to clean up the streets in Hong Kong

zerohedge

Chinese Soldiers Deployed Onto Street Of Hong Kong To “Help Clean Up”

Dozens of People’s Liberation Army (PLA) soldiers were spotted on the streets of Hong Kong’s Kowloon Tong neighborhood on Saturday afternoon, cleaning up bricks and roadblocks left behind by pro-democracy protestors, according to broadcaster Radio Television Hong Kong (RTHK).

Atlantide@Atlantide4world

Chinese People’s Liberation Army () soldiers in shorts and t-shirts joined pro- residents in on Saturday (Nov 16) to clean up barricades and debris after anti-government protests blocked roads pic.twitter.com/czZH5k8o3R https://bit.ly/2qXJCqW

Embedded video

J. L😷@JL30905014

PLA is in , claimed voluntarily to clear the road block.

What if next time they come out for maintaining the order with guns voluntarily? The main point is: PLA is already IN Hong Kong.

Embedded video

Victor Ting@VictorTing7

: A PLA commander tells press “this is a volunteer mission. Stopping violence in is every one’s responsibility.” He refuses to say if the action is requested by or govt

Embedded video

This was the first time PLA soldiers have entered the streets of the city since the violent protests began in June.

Sam Pye@freddie1999

VIDEO: PLA ‘’ at work on the streets of HongKong pic.twitter.com/U0eRFaA31F

Embedded video

The soldiers, unarmed, dressed in olive T-shirts with a Chinese flag on the sleeves, used buckets and brooms for about one hour to clean up streets around the barracks in Kowloon Tong, RTHK said.

One PLA soldier told the South China Morning Post that their actions weren’t related to any direct orders from the Government of Hong Kong.

“We initiated this! ‘Stopping violence and ending chaos’ is our responsibility,” he said, quoting a phrase used by President Xi Jinping.

So far, there hasn’t been any official statement from the Government of Hong Kong about PLA soldiers on the streets.

According to Article 14 of the Garrison Law, PLA soldiers are permitted to enter the streets of Hong Kong to assist with disaster relief or maintaining public order if requested by the local government.

On Thursday, President Xi broke his silence over the chaos in the city at the 11th BRICS Summit in Brazil.

President Xi said the violent protests in Hong Kong threatened the rule of law and social order, which has sent the city into crisis.

“We will continue to firmly support the chief executive in leading the Hong Kong Special Administrative Region government to govern in accordance with the law, firmly support the Hong Kong police in strictly enforcing the law, and firmly support the Hong Kong judicial bodies in severely punishing the violent criminals in accordance with the law,” he said.

If violent protests persist, it could be entirely possible that PLA soldiers are re-deployed with riot control gear and weapons.

HKgirl_ilovehk@HkgirlI

Garrison Law: can be deployed only upon HK govt’s request.
However, PLA said that they initiated to clean the barricases in Hong Kong Baptist University today. They are violating the law of . They cannot intervene affairs of Hong Kong.

View image on TwitterView image on Twitter

Hong Kong has recently entered a technical recession. The city is on the verge of financial collapse.

end
Hong Kong
Sunday: Not good! A Hong Kong police officer was shot in the leg with an arrow as the University burns…standoff rages
(zerohedge)

Hong Kong Police Officer Shot With Arrow As Fiery University Standoff Rages

Following a week of Hong Kong student protesters occupying the city’s university campuses where severe clashes with riot police have witnessed increasingly brazen and dangerous tactics such as using javelins and bows and arrows against police lines, security forces are looking to clear the last one at Hong Kong Polytechnic University (PolyU) on Sunday.

Early last week protesters took control of Chinese University of Hong Kong (CUHK) campus, and from there the war to control the city’s academic centers was on.

 

A police officer was shot with an arrow Sunday.

At each, students raided sports equipment storehouses and could be seen setting up makeshift petrol bomb factories on sports fields.

Given the escalation in tactics, including deadly weapons such as bows and arrows, HK police have now designated the students occupying the university as “rioters”.

Conviction for ‘rioting’ in Hong Kong brings a mandatory prison sentence, thus the new designation is considered a significant new step by police.

And now at least one police officer has been shot with an arrow amid a chaotic scene that’s included student barricades and metal spikes set up on roadways.

Students have also been utilizing homemade catapults and slingshots, and hurling rocks, bricks, and desks off of campus buildings.

The injured officer has been described as part of police media liaison office. An arrow reportedly launched from the student side struck his leg and pierced through to the other side, as photographs showed of the gruesome injury.

He was said to be conscious when transported to the hospital and is expected to recover.

 

A police officer was shot with an arrow Sunday. Image source: hkpoliceforce

A handful of passersby and locals who at one point attempted to clear debris from a road reportedly suffered head injuries as a result of the brick throwing and were taken to the hospital.

 

Image source: South China Morning Post

Roads surrounding PolyU have been closed for days, and with other campuses remaining disaster zones even after student rioters have been ousted from these locations, the Education Bureau over the weekend announced all classes and schools in Hong Kong would remain suspended into Monday due to safety concerns.

Deadly weapons used by the students have included launching petrol bombs from catapults from atop campus building rooftops.

Antony Dapiran

@antd

A petrol bomb is fired from a rooftop catapult towards police lines at

Embedded video

Meanwhile, the Hong Kong Professional Teachers’ Union and the university’s Staff Association said on Sunday there were “very worried” about the safety of all involved in the escalating situation.

“We call on both sides to exercise restraint and avoid the use of deadly weapons. The current stalemate is caused by a series of government decision-making mistakes and should be resolved responsibly,” the statement said.

Antony Dapiran

@antd

The barricade smashing vehicle just made an advance on the bridge and got engilfed in Molotovs

Embedded video

As the battle for the final student-occupied campus rages on, we don’t have to wonder for a moment what police in America would do if bows and arrows were launched at them. Likely a severe police crackdown is coming, though it appears the Chinese military is for now still staying on the sidelines.

 

end

Hong Kong

Good reason why the Hong kong police are targeting this university as it the hub for internet services

(zerohedge)

Here’s The Real Reason Why Hong Kong Authorities Are Desperate To Regain Control Of University

The last few days have seen scenes of utter carnage appearing on social media round the world as Hong Kong authorities (with the ‘generous support’ of the PLA) have fought with students at various universities.

However, the Chinese University of Hong Kong (CUHK) was apparently the main focus of the police, and became a literal battleground.

James Pomfret@jamespomfret

Poly U entrance in flames as riot police try to storm in

Embedded video

Why?

As The Epoch Times’ Tang Jingyuan points out, the answer may be simpler (and more ominous) than many suspect. Many CUHK students suspect that the real goal of the police is to control the internet, as Hong Kong’s internet center which handles 99 percent of the city’s internet traffic is located inside the CUHK campus.

The police fired multiple rounds of tear gas, rubber bullets, bean bag rounds and a water cannon on Nov. 12. Students retaliated by throwing bricks and petrol bombs at the police. At least 60 students were injured, several were hit in the head. A reporter at the scene was also hit by rubber bullets in the head and lost consciousness, according to local media.

Even CUHK Vice Chancellor Rocky Tuan, who tried to negotiate with the police as a peacemaker, was among those affected by tear gas.

Many are wondering why the Hong Kong police focused on CUHK when almost all universities in Hong Kong are involved in anti-government protests. What’s more, the police seemed to be very determined to take control of the campus.

Is there anything unique and special about CUHK? The answer is yes. CUHK is the hosting university of Hong Kong Internet eXchange (HKIX)—the internet exchange center of Hong Kong.

HKIX is a cooperative project initiated by the Information Technology Services Centre of CUHK, providing service free of charge. It is now operated by HKIX Limited, a wholly owned subsidiary of the CUHK Foundation.

The function of HKIX is to connect internet service providers (ISPs) in Hong Kong so that intra-Hong Kong traffic can be exchanged locally without routing through the United States or any other country. About 99 percent of Hong Kong’s internet traffic goes through the center. According to Cloudflare, HKIX is the largest internet exchange point in Asia.

Many CUHK students suspect that the police is actually going after HKIX, because taking control of HKIX means Beijing can either shut down the internet or monitor internet communications.

Based on the current situation, Hong Kong authorities are more likely to control the internet than shutting it down. In theory, every single message going through the HKIX center can be intercepted and monitored if the police gain access to the center.

Needless to say, the Chinese communist regime and their Hong Kong puppet rulers indeed have the motivation to control and monitor the internet. For China’s top leaders, quickly quelling the protest in Hong Kong is now a number one political task, with a higher priority than the U.S.-China trade negotiations.

end

Hong Kong

Anti masking unconstitutional in Hong Kong

(zerohedge)

Hong Kong

Hong Kong Anti-Mask Law Ruled Unconstitutional By High Court

Six weeks after Hong Kong leaders enacted an emergency ‘mask ban’ aimed at quelling ongoing protests, a local court ruled that the measure is unconstitutional – a decision which has forced police to immediately halt anti-mask law enforcement pending the possibility of another legal interpretation by Beijing, according to SCMP.

On Monday, two High Court judges ruled that the ban on face coverings, based on a colonial-era Emergency Regulations Ordinance, was “incompatible with the Basic Law.” The judges also found that the new law violated fundamental rights and freedoms.

“The need for an urgent response is no justification for departing from or impugning the constitutional scheme,” wrote the judges. “We believe [the ordinance] is not compatible with the constitutional order laid down by the Basic Law.

The judges added that the regulation had imposed “a near-blanket prohibition” of unlawful assemblies, peaceful public meetings and processions where participants could have “perfectly legitimate reasons for not wishing to be identified or seen to be supporting [certain] causes,” per SCMP.

The ruling by justices Anderson Chow Ka-ming and Godfrey Lam Wan-ho, in favour of the 25 pan-democrats who applied for judicial review, dealt a blow to the beleaguered government. Police announced they would stop enforcing the ban for now, while prosecutors sought adjournment “to consider the situation”.

Legal experts were divided, some calling the judgment an important recognition of Hong Kong’s constitutional framework, while those on the mainland expressed concerns that the court might have sent the wrong signal to the radical protesters, floating the idea of Beijing interpreting the Basic Law again. –SCMP

Hu Xijin, editor-in-chief for China’s state-owned Global Times, said in a tweet that the court ruling was “disappointing,” but that “HK police have been enforcing and defending laws, setting an example of abiding by the law for the opposition and radical demonstrators.”

Hu Xijin 胡锡进

@HuXijin_GT

High Court ruling anti-mask law unconstitutional is disappointing but HK police immediately announced to suspend enforcing it. HK police have been enforcing and defending laws, setting an example of abiding by the law for the opposition and radical demonstrators.

While the judges ruled the anti-mask law unconstitutional, they recognized that its goal was rationally aimed at eliminating the emboldening effect of wearing masks, and made clear that it was not their judgement that the emergency legislation was objectionable. According to SCMP, “they sided with the applicants in finding the ordinance had effectively given the chief executive “the widest possible” powers to make laws with no limit on the subject matter, whenever desirable in times of public danger that could mean a wide range of scenarios, leaving the legislature with a diminished role.”

“The restriction imposed by the [regulation] is … not to be trivialised as a minor inhibition on mask-wearing during demonstrations but, depending on the context, can have a significant impact on the freedom of expression in peaceful public meetings and processions,” they continued.

“We consider it to be clear that the measure adopted … exceeds what is reasonably necessary to achieve the aim of law enforcement, investigation and prosecution of violent protesters even in the prevailing turbulent circumstances in Hong Kong.”

As of November 14, approximately 632 people had been arrested for wearing masks, according to SCMP, citing police statistics.

Chief Secretary Matthew Cheung Kin-chung said the government is reviewing the ruling.

“The judgement today is not the end of the judicial process,” said Secretary for Security John Lee Ka-chiu.

end

China/Usa

Trump’s 50 billion farm deal is a pipe dream.  China has not committed to this purchase yet nor will they.

(zerohedge)

Trump’s $50 Billion Farm Deal Is Fantasy After Trade War Market Shifts

Industry insiders have told South China Morning Post (SCMP) that President Trump’s alleged $50 billion agriculture deal with China is merely a fantasy, used to stimulate his Farm Belt supporters ahead of an election year, and even used as a communication tool to drive the stock market to new highs. Still, the likelihood of it actually happening is very low.

SCMP notes that China has never confirmed the $50 to $60 billion agriculture deal that President Trump consistently tweets about and touts in headlines.

Donald J. Trump

@realDonaldTrump

The deal I just made with China is, by far, the greatest and biggest deal ever made for our Great Patriot Farmers in the history of our Country. In fact, there is a question as to whether or not this much product can be produced? Our farmers will figure it out. Thank you China!

Agricultural analysts said even if China agreed to purchase additional US agriculture products, the numbers that the Trump administration uses are incorrect.

Darin Friedrichs, senior Asia commodity analyst at trading house INTL FCStone in Shanghai, told SCMP that since the African swine fever wiped out 50% of the pigs in China, demand for soybean and corn has disappeared.

“With the African swine fever, there’s just not much demand for the stuff that the US has to offer in terms of corn or soybeans to feed pigs – because we just do not have any pigs. We’ve lost half of them!” said Friedrichs.

With soybean prices falling from $13 per bushel two years ago to $9 today, “even if they [China] bought the same amount they did before the trade war, it’s just not going to make the same dollar value,” Friedrichs added.

Nick Marro, head of the Economist Intelligence Unit in Hong Kong, told SCMP that there is a tremendous “disconnect between the political and economic realities here.”

“China has made real efforts to diversify its meat sourcing in recent months, signing export deals with France and Brazil. From the US too, diversification has been the order of the day.”

Chinese buyers are rushing to diversify away from the US and have signed landmark deals with Argentina and Brazil for corn and soybean. They’ve also signed trade deals in Australia, Europe, South America, and New Zealand for beef, dairy, and pork to fill supply gaps.

John Reeve, director at Agree Commodities Australia, said China sourced very little beef from Australia in 2012 — but at present day, China is purchasing an unbelievable amount, as it continues diversifying from the US.

“We’ve gone from virtually no beef going to China in 2012 to it being our biggest market now. There are 30 to 40 years of hard graft in developing the premium name, so we are very vulnerable to any fluctuation in the trade policy related to tariffs,” Reeve said.

An overwhelming number of analysts found that it would be challenging for the US to restore its market share in China considering the damage the Trump administration caused by escalating the trade war.

Even though China is purchasing some agriculture products from the US in recent weeks, the numbers President Trump uses are propaganda to hype up his base for re-election and send the stock market to new highs.

end
China
This is a biggy:Harbin Bank  the 5th largest bank with over 620 billion yuan in assets or 87 billion USA  had to be bailed out by sovereign China
(zerohedge)

China Quietly Bails Out Another Bank With 620 Billion Yuan In Assets

Late last week, we argued that one could ignore China’s sinking retail sales, industrial production, capital expenditures, record low and declining sub-6% GDP and even its fading monthly credit injections and impotent credit impulse, and instead what matters most for the world’s second biggest economy with the world’s biggest financial system (at around $40 trillion, roughly double that of the US) is the following chart showing the market cap to total assets ratio for the four largest commercial banks in China, which as Saxo Bank found, hit a new all-time low of 5.8% in Q3 as total assets grew an annualized 8% in Q3 while market cap of the four banks declined.

This means that Chinese investors – who happen to know best what is truly going on behind the scenes – are not valuing these new assets as high quality, and the dynamic in China right now is that the current credit expansion is just offsetting the surge in bad loans, whose real amount Beijing has been keeping under wraps ever since the great bank debt for equity swap of 1999, but which we know is far higher the propaganda number of around 1.5% The net effect is zero credit transmission to the real economy in China constraining economic growth, which in turn makes banks especially vulnerable to failure as a result of even modest capital outflows.

Confirming that there is something fundamentally broken with China’s debt transmission mechanism and that, by implication, Chinese bad loans are soaring, two weeks after we reported that there was a bank run at Henan Yichuan Rural Commercial Bank which brought the bank to the verge of collapse, the WSJ reported that Harbin Bank, a politically-linked midsize Chinese lender based in the capital of northeast Heilongjiang province, became the latest Chinese financial institution to get a state bailout after its key private shareholders were replaced by government investors.

 

Harbin Bank, which is one of the biggest banks in China’s northeast with 622 billion yuan in assets as of June 30, 2019, and trades on Hong Kong’s stock exchange, becomes the fifth bank – after Baoshang Bank Bank of JinzhouHeng Feng Bank, and  Henan Yichuan Rural Commercial Bank  – to be bailed outby the state, and will be 48%-controlled by two government entities after six private shareholders shed their stakes, according to a bank statement issued late on Friday.

Total consideration for the shares involved came to almost 15 billion yuan, or around $2.1 billion, the bank said, though it described the transactions as transfers rather than stock sales, which is to be expected if the bank was being bailed out instead of actually selling a viable stake.

As has been the customary case, the bank didn’t provide any reason for the transactions in the statement, and Chinese bank regulators made no comment on the action.

And, as was the case with at least one previous bank “rescue”, Harbin Bank was connected to a former oligarch who disappeared not that long ago amid allegations of massive fraud. Indeed, as the WSJ reports, the bank is among a handful of financial businesses in China linked to once-powerful tycoon named Xiao Jianhua who in early 2017 disappeared amid a wave of prosecutions of big private investors. Businesses owned by some of those people, including Wu Xiaohui’s Anbang Insurance Group Co., have also since become government-owned.

 

Xiao Jianhua

Incidentally, the first of the year’s bailouts of a troubled small lenders was that of Baoshang Bank, which as we reported at the time, was also linked to Xiao. Its government takeover in May sparked a funding crisis for many other small banks in China and helped send Harbin Bank’s shares sharply lower. The stock has fallen more than 16.5% in 2019. Incidentally, when discussing the failed lender, China’s PBOC said that Baoshang was being restructured and that the takeover was designed to “stop bleeding” at the bank and contain risks to the financial sector.

So why did Harbin Bank fail?

In its financial report for H1 2019, Harbin Bank cited deteriorating asset quality – read surging bad loans – as well as intensified competition for deposits and higher borrowing costs in money markets as China’s economy slows. Yet, paradoxically, the near-insolvent lender also said it recorded a profit of 2.18 billion yuan, or about $311.1 million, though that was off about 16% because of, drumroll, more-aggressive write-offs of bad debts. Which goes to show that corporate earnings reports in China are as “credible” as all other Chinese economic “data.”

As for the oligarch behind not one but two bank failures in the country so far this year, Chinese authorities have publicly said nothing about Xiao since he abruptly left Hong Kong and entered mainland China in early 2017. He has made no public comment and can’t be reached.

Another curious fact: a little over a year ago, Harbin Bank, which in March 2018 had abandoned plans to list its shares in China, announced it would raise over $2 billion in perpetual bonds to replenish its capital after regulators in early 2018 allowed lenders to sell such instruments to bolster their balance sheets. Incidentally, a perpetual bonds is effectively the same thing as equity, but for some bizarre reason sells much better in China where the investing population is apparently stupid enough to be fooled by the clever change in designation. As such, Harbin Bank was the first Chinese lender to announce its intention to sell perpetual bonds to increase its Additional Tier 1 (AT1) capital. We now know what prompted the bank’s rush.

Harbin Bank’s exiting shareholders are business entities owned by a number of individuals, according to the company’s latest annual report. The biggest holder among them, Heilongjiang Keruan Software Technologies owned a 6.55% stake and is identified in the annual report as the subsidiary of another business primarily owned by two individuals.

Who are the bank’s new owners?

Under the transactions disclosed Friday, an entity controlled by Harbin city’s financial bureau, Harbin Economic Development & Investment, will control 29.63%, compared with 19.65% at the end of June. A second, new shareholder will have a 18.55% stake: Heilongjiang Financial Holdings Group Co., which was established in January by the province of Heilongjiang. Combined, these state-owned enterprises would own nearly 50% of the bailed out bank.

Meanwhile, since the PBOC refuses to admit or acknowledge that it has an unprecedented bad loan problem, and thus nothing can be done to address the underlying cause at the heart of China’s failing bank problem, expect more and ever bigger Chinese bank bailouts until eventually a bank fails and its depositors are impacted, sparking a furious scramble by Chinese depositors across the country to redeem their roughly $27 trillion (190 trillion yuan) in bank deposits, which as a reminder, is more than double the total amount of US commercial bank deposits.

They are in for an unpleasant surprise.

4/EUROPEAN AFFAIRS

Germany,Hamburg

Another area where we witness protests.  This time Hamburg Germany in a complete revolt over EU regulations

(Paul Watson./Summit News)

German Farmers Block Hamburg In Revolt Against Globalist Environmental Regulations

Authored by Paul Joseph Watson via Summit News,

German farmers are blocking roads in Hamburg with their tractors to protest against environment regulations as the rural revolt against globalism spreads across Europe.

4,000 tractors arrived in Hamburg yesterday in a massive rebuke to what protesters assert is government bullying amidst efforts to impose Green New Deal-style control measures.

 

Placards displayed on the tractors included one that read, “No farm, no food, no future,” with farmers expressing their fury at being blamed while their contribution to the economy is ignored and ministers refuse to engage in dialogue with them.

ZDF Hamburg

@ZDFhamburg

4.000 Landwirte protestieren heute in bei der . Die sorgt für erhebliche Verkehrsbehinderungen.

Embedded video

“The rules, which are coming from the German government, are so hard for us that we can’t work on our farms,” Klaus-Peter Lucht, Vice President of the regional Farmers Association, told RT.

“We can’t make good crops. We can’t have good fodder for the dairy [cows].”

The kilometer long convoys of tractors caused “considerable traffic disruption” across the city, according to authorities.

Hamburg is just the latest site of a rural revolt against globalism that is sweeping Europe.

Last month, thousands of Dutch farmers descended on the Netherlands capital to protest against a government proposal that livestock production be slashed by up to 50% in the name of preventing global warming.

Demonstrators were angry that the same restrictions they may be hit with will not apply to the aviation industry.

The Yellow Vest movement in France, which is set to mark its first anniversary this weekend, also began as a backlash against onerous gas tax hikes and other regulations impacting rural workers.

*  *  *

My voice is being silenced by free speech-hating Silicon Valley behemoths who want me disappeared forever. It is CRUCIAL that you support me. Please sign up for the free newsletter here. Donate to me on SubscribeStar here. Support my sponsor – Turbo Force – a supercharged boost of clean energy without the comedown.

END

5. RUSSIAN AND MIDDLE EASTERN AFFAIRS

IRAN

This is big news:  Iran is burning all weekend after the country shocked its citizens with a huge price rise (a 300% rise). Iran has run out of money and could no longer give subsidies at the pump

(zero hedge)

Iran Burning: Shock Gas Price Hike Triggers Violent Protests After Subsidy Cuts

With protests and unrest raging in multiple hot spots around the globe from Latin America to Hong Kong to Lebanon and Iraq, it could be Iran’s turn to join in.

Amid a fresh price hike in gasoline — the latest in a string of woes to hit the sanctions ravaged Iranian economy, ultimately making life miserable for the common populace — rare mass protests have broken out in multiple cities.

 

Image source: RFERL/Iranian social meida 

Protests and clashes with police began Friday when petrol prices suddenly rose by at least 50% after government subsidies on it were slashed. Government statements said the plan is to divert the funds in order to make cash payments to low-income households.

 

In essence Tehran authorities dubiously claim they were forced to “free up money” to assist the poor; however, it appears more drastic scrambling as Tehran struggles to find global purchasers to offload its oil.

Persian Reuters@PersianReuters

, Nov 16- Millions of citizens across the country take to streets, closing the roads to protest against tripling gas prices. Video sent form the city of Shiraz.

Embedded video

And as of Saturday Reuters Persian reports thatgas prices have tripled, taking millions of angry middle class demonstrators to the streets across the country.

Raman Ghavami@Raman_Ghavami

Early report about middle class and upper class protesting in Tehran Pars is now confirmed. People are on t he streets chanting “down with the dictator” and burning Sina Bank. https://twitter.com/raman_ghavami/status/1195692460145565696 

Embedded video

Raman Ghavami@Raman_Ghavami

So far only south and west parts(Tehransar, Shoush, Cannon, Imam Ali, Sattar Khan etc) of Tehran are on the streets.These areas are mostly working and middle class.However,I just received a report of protests in Tehran Pars(East of Tehran) where middle class and upper class live. https://twitter.com/Raman_Ghavami/status/1195670521335164928 

The BBC reports that the protests are fierce enough to have already led to at least two deaths and multiple injured as demonstrations are active in at least a dozen cities:

One person was killed during protests in the central city of Sirjan. State news agency Irna said there were clashes with police when protesters attacked a fuel storage warehouse and tried to set fire to it.

Several more people were injured. A protester also died in the city of Behbahan.

Other cities were also affected including the capital, Tehran, Kermanshah, Isfahan, Tabriz, Karadj, Shiraz, Yazd, Boushehr and Sari.

Ahmad Batebi

@radiojibi

Burning a public transportation bus by Iranian Protesters in the capital city of East Province, in northwestern .

16th November 2019

Embedded video

The AP reported that while at the start of this week drivers were allotted up to 250 liters a month at the pump at at a controlled 10,000 rials per liter, as of Friday that changed drastically to an allowance of 60 liters (or 13 gallons) of petrol a month at 15,000 rials ($0.13; £0.10) a liter. Additional liters after that cost 30,000 rials.

saman arbabi 🏳️

@SamanArbabi

WOW!!! This is nothing like 2009 !
New generation. New chapter.
Sheer courage ✊

Embedded video

In response, one protest method has been for motorists to turn off their vehicles in the middle of busy streets, blocking traffic and adding the frustration of security forces.

Meanwhile, Iranian state media has admitted that violent clashes with police are underway. As Deutsche Welle reports of the official statements:

In the city of Sirjan in central Iran, demonstrators tried to set a fuel warehouse on fire in protests that police described as “severe.”

The semi-official news agency INSA reported that one civilian was killed and several others injured.

Acting governor Mohammad Mahmoudabadi said some people had exploited the “calm gathering” and had destroyed public property and damaged fuel stations. He added it was unclear whether the victim had been shot dead by security forces who were “trying to bring back calm to the city.”

There are also reports that protesters have begun targeting banks, after video was posted online of what appears to show the Central Bank In Behbahan, Iran being engulfed in flames as demonstrators chant.

Ahmad Batebi

@radiojibi

Burning a bank building by in , capital of Behbahan County, Province, .

16th November 2019

Embedded video

Brief local news coverage of the bank building going up in flames:

Aurora Intel@AuroraIntel

Protestors have burnt down the central bank as they take back to the streets this morning.

Embedded video

In the below video now circulating widely among Iranian opposition activist accounts, live gun fire is heard as both protest and police lines scatter.

Security forces appear to be retreating into a police headquarters amid an attacking crowd. And what sounds like live ammo is then fired by police defenders of the HQ.

Ahmad Batebi

@radiojibi

Face to face battle field, escaping Islamic Republic oppressive forces and their direct fire on .
Mali Abad Boulevard police station, , Fars Province,

16th Nov 2019

Embedded video

On Saturday the protests have appeared to get more confrontational, as police were filmed using riot control measures against crowds, and with some unconfirmed reports of live fire being used, as has been the case over the past month in neighboring Iraq.

END

As illustrated above the Central bank in Behbahan has been set on fire

(the portal)

Iranian protesters set fire to the Central Bank in Behbahan

courtesy:
:Center For Middle Eastern Studies

Iranian protesters set fire to the Central Bank of Iran in the city of Behbahan, Khuzestan Province, in demonstrations against the government’s decision to ration hike the price of petrol.

A surprise decision to ration and raise fuel prices by 50% has led to long queues at gas pumps and protests around the country. President Rouhani argues the move is for the good of the people.

Demonstrations broke out around Iran Friday night after the government raised the price of fuel by at least 50%, the country’s state news agency reports.

In the city of Sirjan in central Iran, demonstrators tried to set a fuel warehouse on fire in protests that police described as “severe.”

The semi-official news agency INSA reported that one civilian was killed and several others injured.

Acting governor Mohammad Mahmoudabadi said some people had exploited the “calm gathering” and had destroyed public property and damaged fuel stations. He added it was unclear whether the victim had been shot dead by security forces who were “trying to bring back calm to the city.”

Protesters also gathered in a dozen other cities. Some crowds attempted to block traffic. State media reported that protests had ended by midnight.

Authorities raised fuel prices and instituted rationing measures without warning earlier in the day.

The government limited fuel consumption to 60 liters per vehicle per month, down from a prior limit of 250 liters. Prices have spiked over 50% to 15,000 rials (€0.12, $0.13). Every liter above 60 is subject to a penalty cost of 60,000 rials.

The move left drivers waiting hours in lines at gas pumps. Many people said they were shocked when they went to refuel their vehicles. Police were deployed near gas stations to keep order.

Earmarked for subsidies

Iranian President Hassan Rouhani told advisors that the move was intended to put money in its citizens’ pockets and that the government has earmarked all funds to be used on subsidies for poor families.

“No one should imagine that the government has done this because it is economically struggling; not at all, not a rial of this will go to the treasury,” Rouhani said, state media reports.

The economy has suffered under US-imposed sanctions in place since 2018. Inflation is at 40% and the economy is expected to contract 9% this year.

Fuel in Iran is heavily subsidized, costing 10,000 rials (€0.08, $0.09, approximately) prior to the price hike. Rouhani argues that raising prices is a natural move considering the current conditions. The country’s 80 million citizens currently consume about 90 million liters of cheap oil a day.

“Increasing petrol prices is to the people’s benefit and also to help the society’s strata under [economic] pressure,” he said.

The fuel-rationing measures should bring in 300 trillion rials ($2.55 billion) annually, head of the country’s Planning and Budget Organisation Mohammad Bagher Nobakht said on state television, adding that payments will start within the next 10 days.

They will range from 550,000 rials ($4.68) for couples to just over 2 million rials ($17.46) for families of five or more.

end

ISRAEL/USA

Mike Pompeo issues an historic policy reversal of the Obama administration:  Israel west bank settlements are not illegal

(zerohedge)

 

Pompeo Issues Historic Policy Reversal: Israeli West Bank Settlements ‘Not Illegal’

In a major, if entirely expected, complete reversal of Obama-era policy on the Middle East, Secretary of State Mike Pompeo announced Monday the Trump administration is reversing the official US stance on the illegality of Israeli settlements in the West Bank.

“After carefully studying all sides of the legal debate, this administration agrees with President Reagan,” Pompeo said in reference to Reagan’s view that settlements were not inherently illegal. “The establishment of Israeli civilian settlements in the West Bank is not per se inconsistent with international law,” Pompeo said.

“The Trump administration is reversing the Obama administration’s approach towards Israeli settlements. U.S. public statements on settlement activities in the West Bank have been inconsistent over decades.”

 

AFP/Getty Images

This came after the State Department’s legal office was ordered to conduct a year-long review of the official US policy on the expanding settlements in the West Bank, according to The Jerusalem Post.

This will further widen the gap on the issue between Washington its own European allies and international institutions, and among most UN members, given the US already often votes alone over and against much of the world on Israeli-Palestine related issues.

The EU court, for example, earlier this month moved to require all EU countries to specially label any product made in illegal Israeli West Bank settlements, something US Congressional leaders are attempting to lobby EU officials against, according to reports.

“In 1978, the Carter administration categorically concluded that Israel’s establishment of civilian settlements was inconsistent with international law,” Pompeo explained. “However, in 1981, President Reagan disagreed with that conclusion and stated that he didn’t believe that the settlements were inherently illegal.”

“The hard truth is that there will never be a judicial resolution to the conflict and arguments about who is right and who is wrong as a matter of international law will not bring peace,” Pompeo said further.

 

Expansion at the Jewish settlement of Neve Yaakov. West Bank expansion of Israeli settlers has reportedly occurred at unprecedented pace under Netanyahu over the past years. Image source: AFP

“This is a complex political problem that can only be solved by negotiations between Israelis and Palestinians,” America’s top diplomat added.

It will also likely inflame tensions and protests in Gaza and the West Bank, after last year the US moved its embassy from Tel Aviv to Jerusalem, and controversially issued formal recognition of Jerusalem as the capital of Israel.

END

6.Global Issues

Officially the big Institute of International Finance is reporting that by the end of 2019, the total of all debt will approximate 255 trillion dollars.\

(zerohedge)

Global Debt To End 2019 At A Record High Of $255 Trillion, 330% Of World GDP

There are three certainties in life: death, taxes and that global debt will keep rising in perpetuity.

Addressing the third, yesterday the Institute of International Finance reported that global debt has now hit $250 trillion and is expected to hit a record $255 trillion at the end of 2019, up $12 trillion from $243 trillion at the end of 2018, and nearly $32,500 for each of the 7.7 billion people on planet.

“With few signs of slowdown in the pace of debt accumulation, we estimate that global debt will surpass $255 trillion this year,” the IIF said in the report.

The surge was driven by a $7.5 trillion surge in the first half of the year which was used to reverse the global slowdown that sent stocks into a bear market in 2018, and which shows no signs of slowing. Around 60% of that jump came from the United States and China. Government debt alone is set to top $70 trillion this year, as will overall debt (government, corporate and financial sector) of emerging-market countries.

The total debt breakdown as of Dec. 31 is as follows:

  • Household debt: $47.9 trillion
  • Non-financial corporate: $75.7 trillion
  • Government: $70 trillion
  • Financial corporate: $61.7 trillion

This amounts to a grand total of just over $255 trillion, roughly equivalent to a record 330% of global GDP.

Separately, Bank of America’s Michael Hartnett on Friday calculated that since the collapse of Lehman, government debt has increased by $30tn, corporates debt by $25tn, household by $9tn, and financial debt by $2tn; And with central banks expected to support government debt, BofA warns that “the biggest recession risk is disorderly rise in credit spreads & corporate deleveraging.”

Overall, global bond markets have increased from $87 trillion in 2009 to over $115 trillion, with government bonds now making up 47% of the market compared with 40% in 2009 according to Reuters.

Crushing Ray Dalio’s delightful, if impossible, dream of a “beautiful deleveraging”, borrowing by the four separate categories – governments, households, financial corporates, non-financial business – is growing faster than the global economy especially among emerging markets, where as noted above, Chinese companies were the biggest source of debt issuance the Washington-based IIF said in its Thursday report, although more than half of “corporate” debt in those countries is likely held by state-owned businesses, which means that effectively this is government-backstopped debt.

With state-owned companies now accounting for over half of non-financial corporate debt in emerging markets, sovereign-related borrowing has been the single most important driver of global debt over the past decade.

Not surprisingly, in developed countries it was governments that account for the bulk of borrowings.

As it does every quarter, the IIF report warned about the limits and risks of debt-fueled economic growth, a warning that has not only been widely ignored by virtually every politician (now that even the Tea Party has thrown in the towel), but a warning which is clearly being ignored by the US where the CBO projects debt to grow exponentially until something finally breaks.

The IIF also said that emerging markets that have increasingly relied on foreign-currency borrowing – including Turkey, Mexico and Chile – could be exposed to risks if growth slows further.  Separately, the IIF warned that the three EM economies with the greatest percentage increase in debt year-over-year from Q2 2018 to Q2 2019, were Chile, South Korea, and Argentina. Of these, the first is currently being rocked by unprecedented social upheaval, while the latter effectively defaulted on its debt, sending its bond prices plummeting last quarter, crushing the IMF’s credibility in the process.

Altogether, emerging market debt hit a new all time high of $71.4 trillion in Q2, up nearly $5 trillion in the past year.

And, in yet another hint that MMT is only a matter of when, not if, the IIF suggested that “high-debt countries that also have high exposure to climate risk” – like Japan, Singapore, Korea and the U.S. – may struggle with the rapid increase in funding that the fight against climate change will require. Of course, there will be no such issue if the Treasury can openly monetize the debt it issues, something MMT claims would lead to global utopia and instead will lead to the end of the current monetary system as we know it.

end

7. OIL ISSUES

Saudi Arabia/Aramco

The Saudis now admit that Aramco is not worth 2 trillion dollars but worth betw. 1.6 and 1.7 trilion and will be a much tougher sell.

Saudis Admit Aramco Not Worth $2 Trillion: “It’s A Much Tougher Sell Now”

On Sunday morning, a series of headlines from Reuters notes that Saudi Aramco has finally set a price range for its IPO between $1.6 to $1.7 trillion, far below the $2 trillion levels the Saudi crown prince had imagined for the last several years, but priced higher than most institutional analysts

  • SAUDI ARAMCO SETS INDICATIVE PRICE RANGE OF 30/32 RIYALS PER SHARE-SOURCES
  • SAUDI ARAMCO’S VALUATION AT $1.7 TRLN AT TOP END OF ANNOUNCED PRICE RANGE-ACCORDING TO REUTERS CALCULATIONS

Aramco said Sunday it would sell 1.5% of its shares (3 billion shares) for around $8 per share, valuing the IPO around $25.6 billion.

Over $25 billion would be a record-breaking IPO value amount, which would eclipse the amount Alibaba Group Holding Limited raised in its 2014 IPO debuted.

Reuters Business

@ReutersBiz

Saudi Aramco is worth up to $1.7 trillion at the price range set by the oil giant on Sunday, below the $2 trillion sought by Saudi’s crown prince but putting it in the running to become the world’s biggest IPO. More here: https://reut.rs/2Xncbdr

View image on TwitterView image on TwitterView image on Twitter

Several sources told Reuters that Aramco has no intention to list in the US. 

  • SAUDI ARAMCO NO LONGER USING 144A RULE FOR DOMESTIC IPO, MEANING IT WILL NOT MARKET THE SECURITIES IN THE UNITED STATES – TWO SOURCES

Aramco’s elevated valuation has been a difficult sell to institutional investors amid the emergence of climate activism in the West, and the concern that medium to long-term oil demand is slowing as a global synchronized slowdown gains momentum.

Notably, even at this lower-than-$2trillion valuations, it remains notably rich to analysts’ expectations.  According to 40 percent of 24 investors surveyed by Bloomberg, Aramco’s value is between US$1.2 trillion and US$1.5 trillion. Nearly all banks have huge gaps in their low-end and high-end valuations. The valuations from 16 banks that have come up with estimates range from as low as US$1.1 trillion to as high as US$2.5 trillion, Bloomberg says, quoting people who have reviewed all estimates.

The Organization of the Petroleum Exporting Countries (OPEC) is a Middle East-dominated producer group of 14 countries, led by Saudi Arabia, has recently cut its forecast for global oil demand. It expects consumption in 2023 to reach 103.9 million BPD, down from 104.5 million BPD in a 2018 report.

Electric vehicles will likely see explosive growth across Organisation for Economic Co-operation and Development (OECD) countries in the next decade — also depressing the demand for petroleum products.

And while Aramco’s IPO has been pitched as a way to fund Crown Prince Mohammed bin Salman’s (MbS) Vision 2030 plan to transform the economic structure of the kingdom to a more sustainable greener path, the real reason that MbS could be rushing the IPO is that Saudi Arabia is running out of money. 

The country has been thrown into a fiscal crisis with MbS searching for new revenues, former CIA chief David Petraeus recently told CNBC.

Then there’s the geopolitical threat in the region where Iran could conduct more drone and cruise missile attacks on Aramco facilities.

With too much uncertainty surrounding the Aramco IPO, some institutional investors are likely to watch from the sidelines as the world’s largest IPO could imminently debut on the Tadawul exchange.

But we give the last word to Bloomberg’s Julian Lee, who notes that: “the time to bring private investors into Saudi Aramco was when everybody wanted a piece of the action. Twenty years ago investors would have fallen over each other beating a path to Saudi Aramco’s door. It’s a much tougher sell now.”

end

8 EMERGING MARKET ISSUES

 

 

 

Your early morning currency/gold and silver pricing/Asian and European bourse movements/ and interest rate settings MONDAY morning 7:00 AM….

Euro/USA 1.1060 UP .0013 REACTING TO MERKEL’S FAILED COALITION/ REACTING TO +GERMAN ELECTION WHERE ALT RIGHT PARTY ENTERS THE BUNDESTAG/ huge Deutsche bank problems ///ITALIAN CHAOS /AND NOW ECB TAPERING BOND PURCHASES/JAPAN TAPERING BOND PURCHASES /USA RISING INTEREST RATES /FLOODING/EUROPE BOURSES /MIXED

 

 

USA/JAPAN YEN 109.04 UP 0.274 (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 1.2953   UP   0.0054  (Brexit March 29/ 2019/ARTICLE 50 SIGNED/BREXIT FEES WILL BE CAPPED/BREXIT EXTENDED TO OCT 31/2019//

USA/CAN 1.3219 UP .0003 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  MONDAY morning in Europe, the Euro FELL BY 8 basis points, trading now ABOVE the important 1.08 level FALLING to 1.1219 Last night Shanghai COMPOSITE CLOSED UP 17.86 POINTS OR 0.62% 

 

//Hang Sang CLOSED UP 354.43 POINTS OR 1.35%

/AUSTRALIA CLOSED DOWN 0,39%// EUROPEAN BOURSES ALL MIXED

 

Trading from Europe and Asia

EUROPEAN BOURSES ALL MIXED 

 

 

2/ CHINESE BOURSES / :Hang Sang CLOSED UP 254,43 POINTS OR 1.35%

 

 

/SHANGHAI CLOSED UP 17.86 POINTS OR 0.62%

 

Australia BOURSE CLOSED DOWN. 39% 

 

 

Nikkei (Japan) CLOSED  UP 113.44  POINTS OR 0.49%

 

 

 

INDIA’S SENSEX  IN THE RED

Gold very early morning trading: 1457.28

silver:$16.79-

Early MONDAY morning USA 10 year bond yield: 1.85% !!! UP 2 IN POINTS from FRIDAY’S night in basis points and it is trading WELL BELOW resistance at 2.27-2.32%.

 

The 30 yr bond yield 2.22 UP 2  IN BASIS POINTS from FRIDAY night.

USA dollar index early MONDAY morning: 97.16 DOWN 6 CENT(S) from  FRIDAY’s close.

This ends early morning numbers MONDAY MORNING

xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx6

And now your closing MONDAY NUMBERS \1: 00 PM

Portuguese 10 year bond yield: 0.35% DOWN 2 in basis point(s) yield from YESTERDAY/

JAPANESE BOND YIELD: -.08%  DOWN 2   BASIS POINTS from YESTERDAY/JAPAN losing control of its yield curve/56

SPANISH 10 YR BOND YIELD: 0.41%//DOWN 3 in basis point yield from yesterday.

ITALIAN 10 YR BOND YIELD:1,21 DOWN 3 points in basis points yield from yesterday./

 

 

the Italian 10 yr bond yield is trading 80 points higher than Spain.

 

GERMAN 10 YR BOND YIELD: FALLS TO –.34% IN BASIS POINTS ON THE DAY//

THE IMPORTANT SPREAD BETWEEN ITALIAN 10 YR BOND AND GERMAN 10 YEAR BOND IS 1.55% AND NOW ABOVE THE  THE 3.00% LEVEL WHICH WILL IMPLODE THE ENTIRE ITALIAN BANKING SYSTEM. AT 4% SPREAD THERE WILL BE A HUGE BANK RUN…

 

END

IMPORTANT CURRENCY CLOSES FOR MONDAY

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

Euro/USA 1.1083  UP     .0037 or 37 basis points

USA/Japan: 108.60 DOWN .168 OR YEN UP 17  basis points/

Great Britain/USA 1.2963 UP .0063 POUND UP 63  BASIS POINTS)

Canadian dollar UP 7 basis points to 1.3209

 

xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx

 

The USA/Yuan, CNY: 7.0257    ON SHORE  (DOWN)..GETTING DANGEROUS

THE USA/YUAN OFFSHORE:  7.0260  (YUAN DOWN)..GETTING REALLY DANGEROUS

TURKISH LIRA:  5.7216 EXTREMELY DANGEROUS LEVEL/DEATH WISH.

the 10 yr Japanese bond yield closed at -.08%

 

Your closing 10 yr US bond yield DOWN 2 IN basis points from FRIDAY at 1.81 % //trading well ABOVE the resistance level of 2.27-2.32%) very problematic USA 30 yr bond yield: 2.28 UP 2 in basis points on the day

Your closing USA dollar index, 97.74 DOWN 26  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 MONDAY: 12:00 PM

London: CLOSED UP 4.76  0.07%

German Dax :  CLOSED DOWN 34.74 POINTS OR .20%

 

Paris Cac CLOSED DOWN 9.48 POINTS 0.16%

Spain IBEX CLOSED DOWN 3.40 POINTS or 0.04%

Italian MIB: CLOSED DOWN 124.61 POINTS OR 0.53%

 

 

 

 

 

WTI Oil price; 52.77 12:00  PM  EST

Brent Oil: 62.13 12:00 EST

USA /RUSSIAN /   RUBLE FALLS:    63.76  THE CROSS HIGHER BY 0.01 RUBLES/DOLLAR (RUBLE LOWER BY 1 BASIS PTS)

 

TODAY THE GERMAN YIELD FALLS  TO –.34 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 :  56.80//

 

 

BRENT :  62.419

USA 10 YR BOND YIELD: … 1.81…DOWN 2 BASIS PTS…

 

 

 

USA 30 YR BOND YIELD: 2.30…DOWN 1 BASIS POINT..

 

 

 

 

 

EURO/USA 1.11075 ( UP 29   BASIS POINTS)

USA/JAPANESE YEN:108.66 DOWN .6112 (YEN UP 11 BASIS POINTS/..

 

 

USA DOLLAR INDEX: 97.79 DOWN 21 cent(s)/

The British pound at 4 pm   Britain Pound/USA:1.2952 UP 53  POINTS

 

the Turkish lira close: 5.7386

 

 

the Russian rouble 63.84   UP 0.08 Roubles against the uSA dollar.( UP 8 BASIS POINTS)

Canadian dollar:  1.3206 UP 10 BASIS pts

USA/CHINESE YUAN (CNY) :  7.0257  (ONSHORE)/

 

USA/CHINESE YUAN(CNH): 7.0257 (OFFSHORE)

 

German 10 yr bond yield at 5 pm: ,-0.33%

 

The Dow closed UP 31.55 POINTS OR 0.11%

 

NASDAQ closed UP 9.11 POINTS OR 0.11%

 


VOLATILITY INDEX:  12.60 CLOSED UP .55

LIBOR 3 MONTH DURATION: 1.902%//libor dropping like a stone

 

USA trading today in Graph Form

Stocks & Bonds Bid, Dollar Skids As Powell-Pontification Trumps Trade-Pessimism

Chinese officials are reportedly “pessimistic” about a trade deal (the same trade deal that has enabled endless equity ramps on the back of spurious headlines proclaiming progress), but US equities refuse to go down (S&P down only twice in November) as speculation on what was discussed between Trump and Powell today levitated stocks (despite the dollar and bond yields sliding)…

Source: Bloomberg

Simply put America – all is well, so keep spending!!

 

Chinese markets were higher overnight, thanks to a late morning buying spree (NOTE, China closed before the “pessimism” comments)…

Source: Bloomberg

Europe was mostly lower with only UK’s FTSE holding gains (as cable continued to rally)…

Source: Bloomberg

US Stocks were mixed today, ending around unchanged but bid off early lows on Trump-Powell headlines (Small Caps ended red but record highs for S&P, Dow, and Nasdaq)

 

Futures show the chaos overnight…

 

Momentum surged at the open but did nothing after that…

 

Source: Bloomberg

Shorts were dramatically squeezed after Trump-Powell headlines…

Source: Bloomberg

VIX briefly topped 13 but was quickly hammered back to a 12 handle…

Source: Bloomberg

Treasury yields plunged on the trade-deal pessimism comments, but as the US session continued, yields drifted higher again…

Source: Bloomberg

10Y briefly tested below 1.80%…

Source: Bloomberg

Meanwhile, WeWork bonds are collapsing, now yielding over 16%…

Source: Bloomberg

The Dollar fell for the 3rd day in a row, tumbling on reports that Trump and Powell discussed the dollar and NIRP…

Source: Bloomberg

Cable pushed higher again today, back towards the key 1.30 level…

Source: Bloomberg

Yuan tumbled today on the trade-deal pessimism headlines…

Source: Bloomberg

Cryptos plunged suddenly this morning after a relatively stable weekend…

Source: Bloomberg

Precious metals gained on the day as trade deal hopes ebbed and copper and crude mirrored those gains for the same reasons…

Source: Bloomberg

Silver pushed back up to $17…

And WTI dropped from the upper rail of its recent range (once again)…

 

And, finally, Bill Dudley said (on August 27th) that The Fed can kill Trump’s reelection chances by tanking the market. So is The Fed now assuring Trump gets reelected?

 

Source: Bloomberg

 end

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

MARKET TRADING//USA

a)Market trading THIS MORNING/USA

Stocks, Yuan, Bond Yields Tumble On “Pessimistic” Reports From China On Trade Deal

After surging overnight, US equity futures are tumbling on reports that China is less optimistic about a deal with US as Hong Kong tensions soar.

CNBC’s Eunice Yoon tweets:

Mood in Beijing about #trade deal is pessimistic, government source tells me. #China troubled after Trump said no tariff rollback. (China thought both had agreed in principle.) Strategy now to talk but wait due to impeachment, US election. Also prioritize China economic support.”

The result is clear, stocks are tumbling into the red…

As is the yuan…

Source: Bloomberg

And Treasury yields are also plunging…

Source: Bloomberg

And at the same time, tensions in Hong Kong are reaching a tipping point that will likely force division between Trump and Xi, no matter how much the former would prefer to ignore it.

END

b)MARKET TRADING/USA/AFTERNOON

ii)Market data/USA

iii) Important USA Economic Stories

It sure looks like Deutsche bank is a major problem for the Fed and in need of 120 billion in continual repo money funneled their way.

MN Gordon/Economic Prism

Is The Fed Secretly Bailing Out A Major Bank?

Authored by EconomicPrism’s MN Gordonannotated by Acting-Man’s Pater Tenebrarum,

Prettifying Toxic Waste

The promise of something for nothing is always an enticing proposition. Who doesn’t want roses without thorns, rainbows without rain, and salvation without repentance?  So, too, who doesn’t want a few extra basis points of yield above the 10-year Treasury note at no added risk?

The yield-chasing hamster wheel… [PT]

Thus, smart fellows go after it; pursuing financial innovation with unyielding devotion.  The underlying philosophy, as we understand it, is that if risk is spread thin enough it magically disappears. In other words, the solution to pollution is dilution.

With this objective, new financial products are fabricated into existence. The risk free rewards of several extra basis points are then packaged up into debt instruments and sold off to pension funds and institutional investors. The search for yield demands it.

Yet as an economic expansion progresses, especially one that has been extended and distorted with the Fed’s cheap credit, these derived financial securities are polluted with more and more toxic waste. Spreading the risk ultimately pollutes the entire pool of liquidity.

At this moment in the business cycle, after a lengthy bull market in stocks and bonds, countless manifestations of the greater fool theory have bubbled up to the surface. Bonds with negative yields epitomize this. Buyers accept a guaranteed coupon loss with the hopes of scoring capital appreciation as yields fall. But when yields rise, it is game over.

German Bund futures contract, weekly. The recent blow-off and subsequent reversal illustrates the convexity effect on bond prices… [PT]

Of course, the greater fool theory extends much deeper and wider than negative yielding debt. It also extends to the polluted world of corporate debt…

Wreckage from the Past

The progression of a credit crisis often starts with an initial shock, which is then followed by a much deeper revelation. This initial shock also serves as a turning point for banks and financial institutions and their attitudes towards risk. The promise of something for nothing turns to toxic waste.

Financial innovation always works great until the precise moment it doesn’t.  And, unfortunately, financial innovation has taken its wreckage from the past and applied it to the present.  Here we turn to the Bank for International Settlements (BIS), September 2019 Quarterly Review, for edification:

“Collateralized debt obligations (CDOs) that invested in subprime mortgage-backed securities (MBS) were at the center of the Great Financial Crisis (GFC). The issuance of subprime CDOs ceased after the GFC, but other forms of securitization have grown substantially – in particular, collateralized loan obligations (CLOs). CLOs invest mainly in leveraged loans, i.e. bank loans to firms that are highly indebted, have high debt service costs relative to earnings and are typically rated below investment grade.

“The leveraged loan market has surged in recent years to roughly $1.4 trillion outstanding, of which about $200 billion is denominated in euros and the rest in US dollars. This rapid expansion has been accompanied by the securitization of leveraged loans into CLOs. As of June 2019, over 50 percent of outstanding leveraged loans in US dollars and about 60 percent of those in euros had been securitized through CLOs.

“The rapid growth of leveraged finance and CLOs has parallels with developments in the US subprime mortgage market and CDOs during the run-up to the GFC […] including some that could give rise to financial distress. These include the deteriorating credit quality of CLOs’ underlying assets; the opacity of indirect exposures; the high concentration of banks’ direct holdings; and the uncertain resilience of senior tranches, which depend crucially on the correlation of losses among underlying loans.”

Some data on leveraged loans and CLOs from the BIS. Although overall default rates on leveraged loans remain fairly low, there were recently a number of worrisome developments with respect to speculative grade corporate borrowers. For example, according to S&P the number of so-called “weakest links” (defined as issuers rated ‘B–’ or lower by S&P Global Ratings with negative outlooks or ratings on credit watch with negative implications) has recently jumped to the highest level since November 2009. The default rate of “weakest links” is nearly 8 times greater than that of the high-yield universe as a whole. [PT]

What to make of it?

Is the Fed Secretly Bailing Out a Major Bank?

By now you are probably well aware of the trouble in the overnight funding market. We have touched on it several times. In short, sometime between Monday night and Tuesday morning September 16/17 the overnight repurchase agreement (repo) rate hit 10 percent.  Short-term liquidity markets essentially broke.

After several technical glitches, the Fed executed its first repo operation in a decade – $53 billion – to keep the interbank funding market flowing.  Since then, overnight repo operations have become a near daily occurrence.  However, these daily operations have ballooned to the order of over $120 billion and are being maintained indefinitely.

Apparently, that is indeed who he is… [PT]

Despite the Fed’s efforts, and the efforts of professional economists to sweep concerns under the rug, something is clearly broken. Why else would $120 billion in repetitive overnight repo operations be needed to control interest rates?

Could it be, just maybe, the Fed is secretly bailing out a major U.S. or foreign bank, or some other financial institution?  Maybe.  Maybe not.  But this week the New York Fed stated it would not disclose which banks are receiving repo cash for at least two years. If this was disclosed now, an old fashioned bank run would ensue.

Federal Reserve repo operations, then and now: it does give one pause… [PT]

In the meantime, with a little imagination, today’s problems in the repo market could be a warning that CLOs are turning to toxic waste, and, as a result, are developing into the next financial crisis.  While it is still unclear, it is very possible that a bank or financial institution did not have sufficient high quality collateral and was frozen out of private repo markets.Hence, the dramatic rate spike followed by Fed supplied liquidity.

The takeaway from all this: Don’t be surprised if a large bank goes belly-up with little advance notice.

Deutsche Bank, monthly – needless to say, this is not a happy chart. [PT]

On an unrelated note, Deutsche Bank flushed a net loss of 832 million euros – that’s $924 million – down the toilet during the third quarter of 2019.

end
This is interesting:  Powell and Mnuchin meet Trump this morning
(zerohedge)

Fed Says Powell Unexpectedly Met With Trump, Mnuchin On Monday Morning

Moments ago, the Fed announced that in a previously unannounced meeting that was not on the official White House Calendar, Fed Chair Powell met with Trump and Mnuchin at the White House “to discuss the economy, growth, employment and inflation.” That boilerplate statement was followed by another, with the Fed noting that “Powell’s comments were consistent with his remarks at his congressional hearings last week. He did not discuss his expectations for monetary policy, except to stress that the path of policy will depend entirely on incoming information that bears on the outlook for the economy.”

What is notable is the Fed’s addition that “Powell said that he and his colleagues on the Federal Open Market Committee will set monetary policy, as required by law, to support maximum employment and stable prices and will make those decisions based solely on careful, objective and non-political analysis.”

The full statement is below:

Statement on Chair Powell’s meeting with the President and the Treasury Secretary

At the President’s invitation, Chair Powell met with the President and the Treasury Secretary Monday morning at the White House to discuss the economy, growth, employment and inflation.

Chair Powell’s comments were consistent with his remarks at his congressional hearings last week. He did not discuss his expectations for monetary policy, except to stress that the path of policy will depend entirely on incoming information that bears on the outlook for the economy.

Finally, Chair Powell said that he and his colleagues on the Federal Open Market Committee will set monetary policy, as required by law, to support maximum employment and stable prices and will make those decisions based solely on careful, objective and non-political analysis.

Considering Trump’s relentless Twitter barrage urging the Fed to cut rates more, and even go negative, as well with Trump’s periodic invocation that the Fed launch QE (which is odd since the Fed did launch QE last month), one can only imagine what Trump really said to Powell, although we would assume that kneejerk speculation that Trump asked Powell to probe Biden’s finances is merely the results of a “whistleblower” with an acute sense of humor.

end
Trump now promises more aid to farmers who are declaring bankruptcies in record numbers
(zerohedge)

Trump Promises Farmers More Aid Amid Plunging Incomes 

President Trump, on Sunday, tweeted that another farm bailout will be issued to “smaller farms and farmers” amid plunging incomes, reported Reuters.

Donald J. Trump

@realDonaldTrump

Our great Farmers will recieve another major round of “cash,” compliments of China Tariffs, prior to Thanksgiving. The smaller farms and farmers will be big beneficiaries. In the meantime, and as you may have noticed, China is starting to buy big again. Japan deal DONE. Enjoy!

One reason behind the continued bailout of US farmers is because the trade war continues to deepen as there is no resolution in ending trade disputes with China.

There’s also a significant concern that the first round of bailouts went to large corporate farms and never trickled down to smaller mom-and-pop ones. By late year, farm incomes have plunged, and farm bankruptcies are soaring across the country.

Farmageddon is getting worse as commodity prices, costs, leverage, production, real estate values, and the effects of President Trump’s ongoing trade war have likely ushered in a farm crisis that is on par with the early 1980s. Here’s what the Federal Reserve Bank of Kansas City said in a new report last week, warning about the farm crisis:

“Despite a slight increase in the price of some agricultural commodities and additional support from government payments, farm income and loan repayment rates declined at a modest pace. According to District bankers, agricultural economic conditions in the quarter were influenced by uncertainty about crop production, agricultural trade and other factors that contributed to commodity price fluctuations. Persistent weaknesses in the sector put further pressure on farm finances and signs of modest increases in credit stress remained.” 

Bankers at the Kansas City Fed warned that farm incomes are likely to drop again in the coming quarters — as it appears the outlook for the farming industry remains negative for 2020/election year.

President Trump’s Sunday tweet also touted that “China is starting to buy big again,” but industry insiders outlined in a recent report, that the alleged $50 billion agriculture deal with China is merely a fantasy.

FXHedge@Fxhedgers

U.S importers and consumers are paying for the welfare to farmers https://twitter.com/realDonaldTrump/status/1196097712925691906 

Donald J. Trump

@realDonaldTrump

Our great Farmers will recieve another major round of “cash,” compliments of China Tariffs, prior to Thanksgiving. The smaller farms and farmers will be big beneficiaries. In the meantime, and as you may have noticed, China is starting to buy big again. Japan deal DONE. Enjoy!

China has never confirmed the $50 to $60 billion agriculture deal, though the president runs around on Twitter promoting “the greatest and biggest deal ever made for our Great Patriot Farmers in the history of our Country.” 

Donald J. Trump

@realDonaldTrump

The deal I just made with China is, by far, the greatest and biggest deal ever made for our Great Patriot Farmers in the history of our Country. In fact, there is a question as to whether or not this much product can be produced? Our farmers will figure it out. Thank you China!

While the president has been busy bailing out farmers in 2019, and about to inject them with another round of cash ahead of the holiday season, China is rushing to diversify away from the US and have signed landmark deals with Argentina and Brazil for corn and soybean. They’ve also signed trade deals in Australia, Europe, South America, and New Zealand for beef, dairy, and pork to fill supply gaps.

With every farm bailout, more truth comes out of how disastrous the trade war has been for US farmers.

 end
USA/Japan/China/Luxembourg/Israel
Who is buying USA treasuries and who is dumping…
Japan and China dump.  Luxembourg and Israel buy
(zerohedge)

Japan Dumps Most Treasuries In History As Israel’s 2019 Buying Spree Continues

After plunging in August (US foreign net transactions saw a $41 billion outflow – the biggest monthly outflow since Dec 2018), September data showed a notable $49.47 billion rebound in flows

Source: Bloomberg

Only Treasuries saw net selling

 

  • Foreign net selling of Treasuries at $34.3b
  • Foreign net buying of equities at $8.8b
  • Foreign net buying of corporate debt at $14.9b
  • Foreign net buying of agency debt at $26b

Source: Bloomberg

Rather notably Japan, after buying the most Treasuries since 2013 in August, dumped $28.9 billion in September – its biggest monthly cut in Treasury reserves ever…

Source: Bloomberg

China dumped Treasuries for the sixth month in the last seven to its lowest level of holdings since May 2017…

Source: Bloomberg

On the buy-side, little old Luxembourg has seen the biggest 2-month buying of Treasuries since August 2011 to a new record high…

Source: Bloomberg

And finally, we note that Israel continues to be an active buyer of US bonds (buying for the fifth of the last six months to a new record high)…

Source: Bloomberg

…quid pro quo?

The trend continues – albeit with a slowdown in the last month or two – as Treasury holdings tumble worldwide, gold reserves have been rising…

Source: Bloomberg

Michael Snyder on the true state of the USA economy:
(Michael Snyder)

Snyder: “Brace For Impact!” The US Economy Is Going Down, And It’s Going Down Hard…

Authored by Michael Snyder via TheMostImportantNews.com,

I have so many bad economic numbers to share with you that I don’t even know where to start. I had anticipated that the U.S. economic slowdown would accelerate during the fourth quarter of 2019, and that is precisely what has happened. The Federal Reserve is trying to do all that it can to keep us from officially slipping into a recession, and the federal government is literally spending money as if tomorrow will never come, but all of that intervention has not been enough to reverse our economic momentum. We are really starting to see conditions begin to deteriorate very rapidly now, and 2020 is already shaping up to be the most pivotal year for the U.S. economy since 2008.

Let me start my analysis by discussing how U.S. consumers are doing right now. According to CBS News, a major new study that was just released found that 70 percent of all Americans are struggling financially…

Many Americans remain in precarious financial shape even as the economy continues to grow, with 7 of 10 saying they struggling with at least one aspect of financial stability, such as paying bills or saving money.

The findings come from a survey of more than 5,400 Americans from the Financial Health Network, a nonprofit financial services consultancy. The project, which started a year ago, is aimed at assessing people’s financial health by asking about debt, savings, bills and wages, among other issues.

That sure doesn’t sound like a “booming economy”, does it?

And even though things are already really tough for millions upon millions of American families, it appears that things are rapidly getting worse. In fact, we just witnessed the largest decline for the Bloomberg Consumer Comfort Index since 2008

Despite stocks soaring to record highs, The Bloomberg Consumer Comfort index fell last week to 58.0 from 59.1 a week earlier, and has now plunged 5.4 points in three weeks, the biggest such drop since 2008

Yes, the employment situation in this country is still relatively stable for the moment, but the truth is that most of the “jobs” that have been “created” in recent years actually pay very little. If you can believe it, 58 million jobs in the United States currently pay less than $793 a week

There are now roughly 105 million production and nonsupervisory jobs in the U.S. That’s 83 percent of all private sector jobs. And more than half of them — 58 million — pay less than the average weekly U.S. wage of $793. Many of these jobs don’t offer health care or other benefits.

These are the best jobs that many Americans can find and the most hours they can get.

And I discussed in a previous article, 50 percent of all U.S. workers currently make less than $33,000 a year.

In recent years, many families have increasingly turned to debt in order to maintain their “middle class lifestyles”, but now a lot of those debts are starting to go bad.

In fact, the New York Fed just announced that serious auto loan delinquencies in the United States have hit a brand new record high. The following comes from Wolf Richter

Serious auto-loan delinquencies – auto loans that are 90 days or more past due – in the third quarter of 2019, after an amazing trajectory, reached a historic high of $62 billion, according to data from the New York Fed today

Do you remember the subprime mortgage meltdown of 2008?

Well, a very similar thing is happening right now with auto loans.

Meanwhile, the bad economic numbers just keep rolling in. Here are a few new data points that we have gotten since my last article…

  • We just witnessed the worst decline for U.S. industrial production since 2009.
  • The Cass Freight Index has just fallen for the 11th month in a row.
  • Sears has announced that they will be laying off hundreds of workers as they continue to close stores at a very rapid pace.

At this point, it is going to be a real challenge to keep U.S. GDP growth above zero for the fourth quarter. If you can believe it, the latest forecast from the Atlanta Fed is projecting a fourth quarter growth rate of just 0.3 percent…

The GDPNow model estimate for real GDP growth (seasonally adjusted annual rate) in the fourth quarter of 2019 is 0.3 percent on November 15, down from 1.0 percent on November 8. After this morning’s retail trade releases from the U.S. Census Bureau, and this morning’s industrial production report from the Federal Reserve Board of Governors, the nowcasts of fourth-quarter real personal consumption expenditures growth and fourth-quarter real gross private domestic investment growth decreased from 2.1 percent and -2.3 percent, respectively, to 1.7 percent and -4.4 percent, respectively.

That is terrible.

We aren’t talking about 3 percent. They are projecting growth of “0.3 percent”, and if we slip below zero we could actually be in the beginning of a recession right now without even realizing it yet.

The Federal Reserve has been attempting to bolster the economy by cutting interest rates and by pumping massive amounts of money into the financial system. They are telling us that this new round of money creation is “not QE”, but from the very beginning I have been pointing out that it really is more quantitative easing, and many in the financial world are starting to acknowledge this reality

After a month of constant verbal gymnastics (and diarrhea from financial pundit sycophants who can’t think creatively or originally and merely parrot their echo chamber in hopes of likes/retweets) by the Fed that the recent launch of $60 billion in T-Bill purchases is anything but QE (whatever you do, don’t call it “QE 4”, just call it “NOT QE” please), one bank finally had the guts to say what was so obvious to anyone who isn’t challenged by simple logic: the Fed’s “NOT QE” is really “QE.”

In a note warning that the Fed’s latest purchase program – whether one calls it QE or NOT QE – will have big, potentially catastrophic costs, Bank of America’s Ralph Axel writes that in the aftermath of the Fed’s new program of T-bill purchases to increase the amount of reserves in the banking system, the Fed made an effort to repeatedly inform markets that this is not a new round of quantitative easing, and yet as the BofA strategist notes, “in important ways it is similar.”

But as I discussed earlier, all of the Fed’s efforts are not working.

No matter how hard they try, they have not been able to reverse our economic momentum.

And many people believe that what we have seen so far is just the tip of the iceberg. In fact, trends forecaster Gerald Celente is convinced that we are heading for “the Greatest Depression”

You think you have a crisis in a country near you now? You haven’t seen anything. When the Greatest Depression hits, people are going to be escaping violence, poverty, corruption — civil wars are happening in front of everybody’s eyes. And you think you’ve got a homeless problem in a city near you? You haven’t seen anything. You are going to see homeless everywhere. This is out of control and it’s going to only get worse as the global economy slows down…

And you know what?

He’s right.

What is coming is going to make 2008 look like a Sunday picnic, and our society is completely and utterly unprepared for what is about to happen.

end

iv) Swamp commentaries)

here we go again: another hearsayer has come forth to negate the Sonland call.

(zerohedge)

Zelensky “Loves Your Ass”: Hearsay-Gate Intensifies Over Trump-Sondland Call

House Democrats have teed up their next ‘gotcha’ that will surely bring down Trump; a US official overheard a phone call between the president and his top diplomat in Europe in which Trump was told that the president of Ukraine “loves your ass” – after which Trump, whose voice carries, asked “So he’s gonna do the investigation?

Pack it up boys, Trump’s done!

Overheard by US Embassy in Ukraine official David Holmes, the alleged conversation took place just one day after the infamous July 25 phone call at the heart of the impeachment, in which President Trump politely asked Zelensky to investigate the Bidens and political matters relating to the 2016 US election.

 

 

David Holmes

What’s more, Holmes salts the geopolitical wound – suggesting Trump is simply grabbing Ukraine by the pussy and doesn’t actually care about the country.

According to Holmes, Sondland replied “he’s gonna do it,” adding that Zelenskiy will do “anything you ask him to.”

Holmes said he later asked Sondland if the president cared about Ukraine, and Sondland said Trump did not “give a s— about Ukraine.

“I asked why not, and Ambassador Sondland stated that the president only cares about ‘big stuff,’” Holmes testified, according to the document posted by CNN. “I noted that there was ‘big stuff’ going on in Ukraine, like a war with Russia, and Ambassador Sondland replied that he meant ‘big stuff’ that benefits the president, like the ‘Biden investigation.”’ –Bloomberg

Hear that Volodomyr?

Holmes told House Investigators this latest tidbit of ‘damning hearsay’ in a closed-door session Friday (which was promptly leaked). Now, the State Department employee is now set to peddle this latest scandal du jour in public testimony next week.

Why is it a “gotcha?” According to Bloomberg the conversation, held in an open-air restaurant on an unsecured phone (another gotcha) – “could yield the most direct evidence yet that the president himself pressured a foreign power to conduct politically motivated investigations.

This, despite an actual transcript of the phone call revealing no such ‘pressure,’ and Zelensky publicly saying the same. And now we learn Zelensky ‘loves Trump’s ass,’ which would suggest Trump wouldn’t have to apply pressure at all.

As Democrats continue to frame Trump’s investigation requests as impeachable election meddling – a ‘high crime and misdemeanor’ – nobody seems to care about getting to the bottom of what the Bidens did in Ukraine.

END

The Tim Morrison testimony has now been released and it blows up the Ukrainian hoax. It destroys Vindman’s testimony as well. Morrison was on the the famous July 25 call.

Two commentaries

Hoft/zerohedge)

BREAKING: Schiff Finally Releases Tim Morrison Testimony — NSC Sr. Director BLOWS UP Ukrainian Hoax — Destroys Schiff Top Witness Lt. Col. Vindman

Jim Hoft by Jim Hoft November 17, 2019 365 Comments

 

The NSC Senior Director for European Affairs testified before the Schiff secret star chamber in October.

The transcript of his testimony was released this weekend.

Morrison’s testimony COMPLETELY DESTROYED the Democrat’s latest attempt to remove President Trump from office.
Worse yet, Morrison’s testimony OBLITERATES Adam Schiff’s chief witness, and reported second whistleblower, Lt. Col. Vindman who is unreliable and reports to Morrison.

Morrison, who was on the July 25 Trump-Zelensky call testified in Schiff’s secret basement star chamber that nothing illegal was discussed on the Trump-Zelensky phone call.

This is why Schiff held his secret hearings behind closed doors in a basement.

Schiff doesn’t want the American public to know that President Trump’s phone call with Ukrainian President Volodymyr Zelensky was completely above board.

Here are the key points to Tim Morrison’s testimony.

1. Mr. Morrison did not believe anything improper occurred on the July 25 call. (p. 60)

2. Mr. Morrison testified that the memorandum of conversation (a phrase used to describe the call transcript) of the July 25 call was complete and accurate. (p. 60)

3. Mr. Morrison, who listened to the July 25 call, testified that he was not concerned about the substance of what was discussed on the call – only that the transcript might leak. (p. 46-47)

4. Mr. Morrison was told by National Security Council lawyer John Eisenberg that the July 25 call record mistakenly ended up on the highly classified system, debunking the Democrats’ allegations of an attempted “cover up.”

5. Mr. Morrison repeatedly testified that he purposefully kept Lt. Col. Vindman out of the loop on this matter because he had concerns about Vindman’s judgment, which were also raised to him by Fiona Hill and others.

6. Mr. Morrison testified that, as the final clearing authority for any edits made to the 7/25 call package, he accepted all of Lt. Col. Vindman’s proposed edits. (p. 61-62)

7. Mr. Morrison testified that he does not believe Burisma came up on the call or that anyone suggested edits to the mem-con to include the word Burisma. (p. 64)

8. Mr. Morrison testified that Lt. Col. Vindman relayed two concerns to him about the July 25 call: that the call did not get into the subject matter they had hoped, and the fidelity of the translation. (p. 72-73)

9. Mr. Morrison testified that Lt. Col. Vindman never reported to Morrison any of the “light queries” that he received from Ukrainian officials in August regarding the hold on aid. (p. 93)

10. Mr. Morrison confirmed that President Trump generally does not like foreign aid generally, and specifically held concerns that corruption in Ukraine may cause U.S. aid to be “misused.”

This should end the Democrat impeachment proceedings. There is no crime. There was no crime. And Democrats continue to lie to the American people about their secret sham investigation!

Democrats will pay for this.

end

Top NSC Official Told Secret Impeachment Panel Nothing Improper Transpired During Trump-Zelensky Call

A former top national security adviser to President Trump told a secret impeachment panel that he believed nothing improper occurred during a July 25 phone call between Trump and Ukrainian president Volodomyr Zelensky, according to a transcript released over the weekend.

NSC official Tim Morrison, who was on that phone call, expressed this narrative-killing opinion to the Democratic-led House Intelligence Committee last month – which would have undermined recent public testimony by several US officials who said that President Trump abused his office when he asked Zelensky to investigate former VP Joe Biden and matters related to the 2016 US election.

That said, Morrison also testified that US Ambassador to the EU, Gordon Sondland, was involved in an effort to encourage Ukraine to investigate Joe Biden – though he could not say whether Trump was involved in those efforts.

 

He was uncertain of Trump’s involvement in Sondland’s efforts. “I’m still not completely certain that this was coming from the President,” Morrison testified to House Democrats. “I’m only getting this from Ambassador Sondland.”

During a closed-door deposition as part of the House impeachment inquiry, Morrison was asked, “In your view, there was nothing improper that occurred during the call?

Correct,” he answered as he was testifying under oath. –Epoch Times

Morrison replaced former NSC official Fiona Hill, who resigned from her position on July 19, days before the infamous Trump-Zelensky call. He says that the word “Burisma” never came up during that call, referring to the Ukrainian natural gas company which employed Hunter Biden on its board while Joe Biden used his position as Vice President to have a prosecutor fired who was investigating the company.

Trump asked Zelensky to investigate this, as well as allegations that Ukraine was involved with the hacked DNC server as well as the only firm allowed to look at it, Crowdstrike.

Morrison also testified that the Trump administration withheld foreign aid from Ukraine due to Trump’s general skepticism toward foreign aid, and a “concern that Ukrainians were not paying their fair share, as well as concerns [that] our aid would be misused because of the view that Ukraine has a significant corruption problem.”

Morrison was asked more about the phone call.

You were on the call. Do you remember whether the name Burisma came up on the call?” “No, I don’t believe it did,” he said.

The answer is significant, as a junior NSC official, Lt. Col. Alexander Vindman, testified to the House Intelligence Committee that Zelensky brought up the word “Burisma.” However, Morrison said that he has the “final clearing authority” on the July 25 call transcript.

“Do you remember whether anyone suggested edits adding the word Burisma to the [memorandum of conversation]?” Morrison was asked. “I do not,” he responded. Vindman testified that he suggested to edit in the word “Burisma.”

But when asked about Vindman’s suggestions, Morrison said he approved all of them.

“Had I recalled or had it in my notes that was mentioned, yes, I would have agreed to the edit,” he said of the word “Burisma.” –Epoch Times

Morrison also told Congressional investigators that he questioned Vindman’s judgement and that other NSC officials shared those concerns.

“I had concerns about Lieutenant Colonel Vindman’s judgment. Among the discussions I had with Dr. Hill in the transition [period] was our team, my team, its strengths and its weaknesses. And Fiona and others had raised concerns about Alex’s judgment,” he recalled.

“I had concerns that he did not exercise appropriate judgment as to whom he would say what.”

When asked about rumors that Vindman might be leaking information to the press, Morrison said “It was brought to my attention that some had—some of my personnel had concerns that he did [have access to things he was not supposed to see].”

v) King report/Courtesy of Chris Powell of GATA which includes the major swamp stories.

 

How Bad Is China’s Debt? A City Hospital Is Asking Nurses for Loans – The city of Ruzhou spent big, then used its health care workers to raise money, as local governments look for ways to keep the economy going…  https://www.nytimes.com/2019/11/10/business/china-debt-hospitals.html

@zerohedge: With 92% of the companies in the S&P 500 reporting, the blended earnings decline for the index for Q3 is -2.3%: Factset.  Meanwhile, Q4 EPS is now also projected to be negative, as the S&P is now knee-deep in an earnings recession [For now, earnings don’t matter; it’s the QE that counts.]

Iran’s Bank Melli branch burnt amid angry protests

Iranian protests against fuel price hikes escalated for the second day, on Saturday. A branch of Bank Melli of Iran was burnt.  This coincided with demands to oust the supreme leader and stop Tehran’s interference in the affairs of Arab states, Sky News reported…

https://www.thebaghdadpost.com/en/Story/44668/Iran-s-Bank-Melli-branch-burnt-amid-angry-protests

Barr Attacks Trump Opponents, Democrats in Fiery Speech

Attorney general castigates Congress, courts and ‘Resistance’ [Don Trump’s wartime consiglieri?]

   “Immediately after President Trump won election, opponents inaugurated what they called the Resistance… to cripple by any means necessary, a duly elected government…

   The sheer volume… of scores of parallel investigations through an avalanche of subpoenas – is plainly designed to incapacitate the executive branch and, indeed, is touted as such.”…

He argued that constitutional separation of powers has been eroded — especially in recent years. And the attacks on Trump, he suggested, could weaken the government itself… “In waging a scorched earth, no-holds-barred war of resistance against this administration, it is the left that has engaged in the systematic shredding of norms and undermining the rule of law,” Barr said. [Barr, who has no allegiance or connection to DJT, took the job for this reason.]

https://www.bloomberg.com/news/articles/2019-11-16/barr-attacks-trump-opponents-democrats-in-fiery-speech

Attorney General William P. Barr Delivers the 19th Annual Barbara K. Olson Memorial Lecture at the Federalist Society’s 2019 National Lawyers Convention

https://www.justice.gov/opa/speech/attorney-general-william-p-barr-delivers-19th-annual-barbara-k-olson-memorial-lecture

Dem Rep. [Jeff Van Drew (NJ)] Says He Will Vote NO on Impeachment, Reveals Other Dem Lawmakers “Quietly, Privately” Concerned About Schiff Show Trials

https://www.thegatewaypundit.com/2019/11/huge-dem-rep-says-he-will-vote-no-on-impeachment-reveals-other-dem-lawmakers-quietly-privately-concerned-about-schiff-show-trials-video/

Marie Yovanovitch, ex-ambassador to Ukraine (removed by DJT), testified at the impeachment inquiry on Friday.  Marie has whined for months that Team Trump was mean to her.  She admitted that she had no knowledge of Trump’s phone calls with Zelensky or any quid pro quo or any delay in aid.  At the beginning of her prepared statement, she cited her long history in the Deep State, just like the two star witnesses did on Wednesday.

 

Team Schiff wanted to display her to Americans as someone that Trump had wronged.  To portray her a victim, the Dem counsel asked Marie how she felt when she was dismissed.  Average Americans don’t care about career Ivy League Deep Staters.  It is alleged that Marie ‘monitored’ (Deep State/MSM euphemism for spying) DJT-friendly journalists and routinely bashed DJT. PS – Obama fired all of Bush’s ambassadors.  For the record, Marie is still employed at the State Department.

 

Bloomberg @business: The former U.S. ambassador to Ukraine said Rudy Giuliani’s campaign against her is damaging to the U.S. [You can make up this megalomania!]

https://www.bloomberg.com/news/articles/2019-11-15/ex-envoy-says-giuliani-s-campaign-against-her-damaging-to-u-s

 

@johncardillo: Yovanovitch is admitting, under oath, that she feels State Dept. bureaucrats, not @POTUS, should craft and execute foreign policy. This is the Deep State on full display.

 

Fired Ambassador Yovanovitch Compares Herself to US Hostages in Tehran & The Benghazi Four!    https://www.thegatewaypundit.com/2019/11/wow-pompous-blowhard-and-fired-ambassador-yovanovitch-compares-herself-to-us-hostages-in-tehran-and-the-benghazi-four-video/

 

GOP @RepMarkMeadows: Schiff just asked Ambassador Yovanovitch a blatantly speculative question on the President’s mindset, regarding a phone call she wasn’t a party to and alleged discussions she had no knowledge of.  This is all they have—speculation. They have no case.  Democrats are now making a roundabout issue of the President’s right to recall his own ambassadors.

 

While Yovanovitch was complaining about Trump, DJT tweeted about her.   Schiff stopped Yovanovitch’s testimony to read Trump’s tweets.

 

@realDonaldTrump: Everywhere Marie Yovanovitch went turned bad. She started off in Somalia, how did that go? Then fast forward to Ukraine, where the new Ukrainian President spoke unfavorably about her in my second phone call with him. It is a U.S. President’s absolute right to appoint ambassadors.  

     They call it “serving at the pleasure of the President.” The U.S. now has a very strong and powerful foreign policy, much different than proceeding administrations. It is called, quite simply, America First! With all of that, however, I have done FAR more for Ukraine than O.

 

AntiTrumper Bret Baier of Fox News said Trump’s tweets were obstruction of justice and this should be added to articles of impeachment.  Fox’s Chris Wallace said ‘if you’re not moved my Marie’s testimony, you don’t have a heart’.  You can’t make this up!

 

@MZHemingway responding to Baier: If Democrats push an article of impeachment for literally tweeting, about his Constitutional powers no less, I don’t think it will be taken seriously outside of DC.

 

Ex-fed prosecutor Solomon Wisenberg @WisenbergSol: No responsible prosecutor would ever present an attempted witness intimidation charge based on this tweet. The tweet is 100% protected speech. He is allowed to criticize, even if he is the President and even if it is in real time while she testifies.

 

@ChadPergram: GOP NY Rep Zeldin on Yovanovitch. Says Dems “wanted to recreate what happened in the deposition. They wanted her to cry for the cameras. It’s unfortunate…  they wanted to get her to cry. It was obvious.”  [Nunes placed a box of Kleenex on the dais before Marie testified.]

 

@seanmdav: Nunes just yielded time to @RepStefanik, and Schiff just told her she’s not allowed to speak. He’s done that repeatedly today to her. Stefanik noted this was the 5th or 6th time today Schiff told Republicans they weren’t allowed to ask questions.

    Nunes: Not sure why Yovanovitch is even here today. This is the House Intelligence Committee, not the Human Resources subcommittee for employment disputes. She didn’t witness any of the events that are under discussion today.

 

Rep. Stefanik caught Yovanovitch in an apparent perjury.

 

@TCPigott: What Amb Yovanovitch said earlier“Although I have met former Vice President Biden several times over the course of our many years in government service, neither he nor the previous administration ever raised the issue of either Burisma or Hunter Biden with me”

https://twitter.com/TCPigott/status/1195417528492810245

 

When Rep Stefanik got a chance to quiz Marie, she got the ex-Ambassador to admit that the Obama State Department was concerned so about Hunter Biden’s role with Burisma that it prepared Marie on the situation for her confirmation hearing with Congress – and it was Trump not Obama that provided lethal weapons to Ukraine.  https://twitter.com/M2Madness/status/1195408464178274305

 

Rep. @EliseStefanik: President Obama’s own State Department was so concerned about potential conflicts of interest from Hunter Biden’s role at Burisma that they raised it themselves while prepping the wonderful ambassador nominee before her confirmation. [Elise slammed Schiff for hiding the WB.]

 

Due to GOP Rep. Stefanik’s takedown of Schiff and Yovanovitch, Dems, NeverTrumpers and MSM bashed her over the weekend.  Dems wanted to portray Yovanovitch as a DJT victim to curry favor with the real swing voters, suburban women.  The GOP knew this; so the men treated her with kid gloves.  But Stefanik thwarted the designs of Dems.

 

Kevin McCarthy @GOPLeader: @Repstefanik is a young, powerful, conservative woman—and Democrats are threatened by that. They are resorting to slander and fake, photoshopped images to try to damage her character. [How will swing voters react to this?]

 

Elise Stefanik emerges as main Schiff antagonist in fiery impeachment hearings

Another moment came later in the hearing when Stefanik read out comments from Schiff about how the whistleblower was going to testify “very soon” — comments that he had not allowed to be submitted for the record… “Since I’ve exposed Adam Schiff, radical liberals & never-Trumpers are launching disgusting attacks against me in an attempt to silence me,” she said…

https://www.foxnews.com/politics/elise-stefanik-schiff-antagonist-fiery-impeachment-hearings

 

GOP @RepJeffDuncan: Former Ambassador Yovanovitch is coming across as a scorned employee who didn’t want her career to end w/ firing. She disagreed w/ @POTUS on policy. Indicative of career bureaucrats who believe they are superior–all the while, she served at the pleasure of the President.

    She’s also giving an impassioned defense of the #DeepState. The career folks are supposed to make all the decisions, not the @WhiteHouse – a “we know what’s best”

 

@JordanSchachtel: Yovanovitch keeps talking about a horrific smear campaign waged against her that has supposedly harmed her reputation. In next breath, she says she is idolized by her colleagues at State. What is the point of this ridiculous charade, again? This is a Resistance Anonymous meeting.

 

@CBSNews: Rep Stewart: Do you have any information regarding the president of the United States accepting any bribes?  Yovanovitch: No.  Stewart: Do you any have information regarding any criminal activity that the president of the United States has been involved with at all?  Yovanovitch: No.

 

@seanmdav: Jim Jordan just got Yovanovitch, who’s clearly a left-wing partisan, to admit she didn’t do a single thing to prevent Ukrainian officials from meddling in our election in 2016. Her demeanor made it clear she did nothing because she supported foreign efforts to damage Trump.

 

@paulsperry_: Fired Ukraine ambassador and Obama holdover Yovanovitch has joined the whistleblower’s former boss on the faculty at Georgetown University

 

@Gonewit54222776: Ukrainian Prosecutor General Yuriy Lutsenko told http://Hill.TV’s John Solomon in an interview that aired Wednesday that U.S. Ambassador to Ukraine Marie Yovanovitch gave him a do not prosecute list during their first meeting.

https://twitter.com/Gonewit54222776/status/1195383749887889409

 

Trump released the transcript of his first call (April 21, 2019) to Zelensky.  He invited the Ukraine president to the White House without conditions.  This undermines Dem and MSM claims that Trump withheld an invitation to meet with Zelensky until the Ukraine president agreed to investigate the Bidens.

https://www.documentcloud.org/documents/6550369-Trump-Zelenskiy-first-call.html

 

The WaPo notes that Pelosi and Dems are using ‘bribery’ now to drum up impeachment support because they used focus groups to find out what resonated with people.

 

WaPo: Several Democrats have stopped using the term “quid pro quo,” instead describing “bribery”… The shift came after the Democratic Congressional Campaign Committee conducted focus groups in key House battlegrounds in recent weeks, testing messages related to impeachment…the focus groups found “bribery” to be most damning…    https://www.washingtonpost.com/politics/pelosi-calls-trumps-actions-bribery-as-democrats-sharpen-case-for-impeachment/2019/11/14/0ee9a202-0702-11ea-b17d-8b867891d39d_story.html

 

Late on Friday, David Holmes, the political counsel at the U.S. Embassy in Ukraine (probably CIA) testified to Schiff’s covert Star Chamber that he overheard Ambassador Sondland while at a restaurant on July 26 talking to Trump about “investigations”.

 

Embassy official says he heard Trump-Sondland call about Ukraine ‘investigations’

https://www.foxnews.com/politics/embassy-official-david-holmes-trump-sondland-call

 

WaPo ran this deceit: Witness says he overheard Trump demand Ukrainian investigation of Bidens

 

The transcript of DJT’s July 25 call to Zelensky shows Trump asked the Ukraine president about the investigations and DJT mentioned Crowdstrike, the firm that claims Russians hacked the DNC computer but would not allow the FBI or anyone to examine the DNC server.  It reportedly is in Ukraine.

 

Holmes testified: “I told everyone in the embassy (including Taylor) multiple times since August” about the phone call. Taylor testified that he did not learn of the phone call until November 8.  So, someone is lying.  PS – Ex-Amb to Ukraine Marie Yovanovitch testified on Friday that the investigation into Burisma commenced under Obama and the investigation “was not fully closed.”

 

@TrumpWarRoom: Holmes sat across the table from Sondland & POTUS was not on speakerphone. Holmes supposedly overheard everything about Ukraine, but says he couldn’t hear POTUS once the call turned to Sweden.  David Holmes admits he consumed alcohol before allegedly overhearing the phone call from across the table. David Holmes’ written statement includes supposedly exact quotes from the July phone call, but the quotes are solely based on his four-month-old memories. He admits “I did not take notes,” and it did not occur to him to come forward about the call until last week.  David Holmes admits he is motivated to bolster Democrats’ case for impeachment.  Holmes wrote that after seeing “press reports noting the lack of first-hand evidence” & hearings are based on “hearsay,” he decided what he allegedly overheard 4 months ago was relevant.

 

GOP @RepLeeZeldin: Just finished the depo of OMB staffer, Mark Sandy, in Schiff’s Capitol basement bunker. He came in to testify about why there was a hold on aid to Ukraine. His answer was very bad for Schiff’s fairy tale. This transcript needs to be released BEFORE the next public hearing on Tue!

 

Gop Rep@Jim_Jordan: Morrison testified that: The transcript of the call is accurate.  He was concerned about leaks.  There was absolutely nothing improper or illegal on the call

 

Morrison testified that Fiona Hill had questions about Lt. Col. Vindman’s judgment and that some people suspected him of being a leaker.  Morrison said this stunner: “I sometimes lump together Burisma and the 2016 [DNC] server in my head.”

 

Democrats Omit Exculpatory Information from Summary of Tim Morrison Transcript

https://www.breitbart.com/politics/2019/11/17/democrats-omit-tim-morrison/

 

Tim Morrison, ex-National Security Council’s Russia and Europe director, testimony

https://intelligence.house.gov/uploadedfiles/morrison_final_version.pdf

 

Jennifer Williams, aide to VP Mike Pence, testimony

https://intelligence.house.gov/uploadedfiles/williams_final_version_with_letter.pdf

 

Williams, a Bushie, testified that Trump’s call was “unusual and inappropriate” and DJT mentioned Burisma.  But, the call transcript and first-person testimony contradicted her.  On November 11, Williams submitted a letter that amended her testimony. She claimed that after checking her notes, it was Zelensky that mentioned Burisma.   https://twitter.com/RoscoeBDavis1/status/1195819698409091072/photo/1

 

@realDonaldTrump: Tell Jennifer Williams, whoever that is, to read BOTH transcripts of the presidential calls, & see the just released statement from Ukraine. Then she should meet with the other Never Trumpers, who I don’t know & mostly never even heard of, & work out a better presidential attack!

 

White House: Vindman wrote summary of April Trump-Zelensky call that conflicts with rough transcript – The rough transcript of the phone call documents Trump congratulating Zelensky on his election victory and pledging to send a “very, very high level representative” to attend Zelensky’s inauguration. However, it does not include Trump explicitly promising to work with Zelensky to “strengthen democracy, increase prosperity, and root out corruption” in Ukraine… https://www.washingtonexaminer.com/news/white-house-nsc-ukraine-expert-wrote-summary-of-april-trump-zelensky-call-that-conflicts-with-rough-transcript

 

@paulsperry_: Several White House NSC officials, including some who have testified as impeachment witnesses, viewed Schiff’s star witness Alex Vindman not only as a “loose cannon” but as a “security concern” inside the White House [Vindman is scheduled to testify on Tuesday.  He might not appear.]

 

Even with Schiff stacking rules and procedure against Republicans – and preventing certain questions, the hearings have been a disaster for Dems.  Each witness had no first-hand info about misdeeds and all agreed that Burisma was corrupt and warranted investigation.  Dems know that if they vote for impeachment, the trial goes to the Senate where the GOP can stack the rules.  Also, the GOP gets to call witnesses and Trump can call anyone, including Schiff, Pelosi, Obama, the Bidens, Hillary et al.

 

Reporter John Solomon Threatens Lawsuits against Liberal Media Smear Merchants – Claims Obama, Brennan and Lynch Involved in Spygate Scandal    https://www.thegatewaypundit.com/2019/11/boom-reporter-john-solomon-threatens-lawsuits-against-liberal-media-smear-merchants-claims-obama-brennan-and-lynch-involved-in-spygate-scandal/

 

NBC: Roger Stone found guilty on all seven counts– The Republican operative and Trump associate was charged with making false statements, obstruction and witness tampering. [Trump fired Roger Stone from this campaign in August 2015.]

 

@realDonaldTrump: So they now convict Roger Stone of lying and want to jail him for many years to come. Well, what about Crooked Hillary, Comey, Strzok, Page, McCabe, Brennan, Clapper, Shifty Schiff, Ohr & Nellie, Steele & all of the others, including even Mueller himself? Didn’t they lie?….

 

Remember, IG Horowitz reported that McCabe ‘repeatedly lied’ to investigators but the DoJ would not prosecute him.  https://www.washingtonpost.com/world/national-security/justice-department-inspector-general-provides-report-to-congress-on-andrew-mccabe/2018/04/13/ce367c4c-3f36-11e8-974f-aacd97698cef_story.html

 

Brennan and Clapper lied to Congress about illegal surveillance of Americans.

end

Let us close out tonight with this great interview of John Rubino by Greg Hunter.

(John Rubino/Greg Hunter)

 

Rubino: “I Don’t See How We Can Go On Much Longer”

Via Greg Hunter’s USAWatchdog.com,

Financial writer and book author John Rubino says he can see the end of the economic expansion fueled by massive debt creation.

Rubino explains, “Every sector of the U.S. economy is so over indebted I don’t see how we go on much longer…”

“The Fed is desperately trying to prolong this thing. We are running trillion dollar deficits now, and what that is for is to keep the system from falling apart. We are 11 years into an expansion, a record. This is the longest bull market in history, and this is the longest economic expansion in history…

These guys don’t know exactly what’s going to happen in the next recession, but they are afraid that the system is so highly leveraged that even a garden variety three quarters of a percent of negative growth and a garden variety of 20 % drop in stock prices might be fatal.

The system might not be able to handle that because it would cause so much damage and there are so many different places that can blow up that the system would spin out of control. We would get 2008-2009 again but on steroids because the numbers are so much bigger this time around. So, they want to avoid that at all costs.”

Rubino points out, “Fear is the enemy in a fiat currency system…”

“Everything is based on our assumption that the guys in charge know what they are doing and that the confidence in them is good. You take that away, and they let us see them sweat, and it’s over. There is no real bottom for the dollar, euro or the yen. Their intrinsic value is zero. When the economic players out there in the global financial system realize that the central banks of the world are out of ammo, and nothing these guys do is going to fix our problem, then all hell breaks loose…

What worries me about today’s world is that everything falls apart all at once, and there is no way to fix what went wrong…

We have a lot of examples of governments doing crazy things when everything falls apart.”

In closing, Rubino points out riots and protests around the world, such as in South America and Europe. Rubino says,

This is happening largely because of financial mismanagement… They see a corrupt elite siphoning off all the wealth in their society. Does that sound familiar? That’s what a lot of people think of the U.S. right now. That’s in an expansion when there are jobs. So, take away a lot of those jobs, but leave that elite in place, and you have a powder keg. You lit the fuse that could get very, very scary. I hate this. The Mad Max scenario is a tragedy beyond belief for some place like the U.S. where it did not have to happen.”

Join Greg Hunter as he goes One-on-One with John Rubino, founder of the popular website DollarCollapse.com.

To Donate to USAWatcdhdog.com Click Here

Fed Fears Next Crash Fatal – John Rubino

By Greg Hunter On November 17, 2019

Financial writer and book author John Rubino says he can see the end of the economic expansion fueled by massive debt creation. Rubino explains, “Every sector of the U.S. economy is so over indebted I don’t see how we go on much longer. The Fed is desperately trying to prolong this thing. We are running trillion dollar deficits now, and what that is for is to keep the system from falling apart. We are 11 years into an expansion, a record. This is the longest bull market in history, and this is the longest economic expansion in history. . . . These guys don’t know exactly what’s going to happen in the next recession, but they are afraid that the system is so highly leveraged that even a garden variety three quarters of a percent of negative growth and a garden variety of 20 % drop in stock prices might be fatal. The system might not be able to handle that because it would cause so much damage and there are so many different places that can blow up that the system would spin out of control. We would get 2008-2009 again but on steroids because the numbers are so much bigger this time around. So, they want to avoid that at all costs.”

Rubino points out, “Fear is the enemy in a fiat currency system. Everything is based on our assumption that the guys in charge know what they are doing and that the confidence in them is good. You take that away, and they let us see them sweat, and it’s over. There is no real bottom for the dollar, euro or the yen. Their intrinsic value is zero. When the economic players out there in the global financial system realize that the central banks of the world are out of ammo, and nothing these guys do is going to fix our problem, then all hell breaks loose. . . . What worries me about today’s world is that everything falls apart all at once, and there is no way to fix what went wrong. . . .We have a lot of examples of governments doing crazy things when everything falls apart.”

In closing, Rubino points out riots and protests around the world, such as in South America and Europe. Rubino says, “This is happening largely because of financial mismanagement . . . . They see a corrupt elite siphoning off all the wealth in their society. Does that sound familiar? That’s what a lot of people think of the U.S. right now. That’s in an expansion when there are jobs. So, take away a lot of those jobs, but leave that elite in place, and you have a powder keg. You lit the fuse that could get very, very scary. I hate this. The Mad Max scenario is a tragedy beyond belief for some place like the U.S. where it did not have to happen.”

Join Greg Hunter as he goes One-on-One with John Rubino, founder of the popular website DollarCollapse.com.

World economic news:

end

Well that is all for today

I will see you TUESDAY night.

 

One comment

  1. Harvey

    Ted B recently asked why there was so much silver activity at the Comex warehouses. Trucks coming and going to the various warehouses. I think they are Kiting. Would be interesting to know times of inventory counting at each warehouse.

    Like

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google photo

You are commenting using your Google account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s

%d bloggers like this: