NOV 21/ANOTHER RAID ORCHESTRATED BY OUR BANKERS AHEAD OF OPTIONS’ EXPIRY: GOLD DOWN $10.85 TO $1464.85//SILVER DOWN 5 CENTS TO $17.09//ANOTHER GOOD SIZED QUEUE JUMPING//CHINA FURIOUS WITH THE USA’S NEW HUMAN RIGHTS BILL ON CHINA’S ABUSES IN THAT CATEGORY//CHINA WARNS THAT THE TRADE DEAL IS OFF IF TRUMP SIGNS IT INTO LAW//LEBANON IS A MESS: DEBT TO GDP OVER 150% , BANK RUNS AS CITIZENS REMOVE OVER 10 BILLION DOLLARS IN AN ECONOMY OF 56 BILLION DOLLARS/INTEREST RATES IN DOLLAR TERMS OVER 100% AS THIS NATION WILL FAIL//MORE SWAMP STORIES FOR YOU TONIGHT//

GOLD:$1464.85 DOWN $10.85    (COMEX TO COMEX CLOSING)

 

 

 

 

 

 

 

Silver:$17.09 DOWN 5 CENTS  (COMEX TO COMEX CLOSING)

Closing access prices:

 

 

 

 

Gold :  $1464.60

 

silver:  $17.11

 

We now enter options expiry for the November contract month.

The Comex options expiry:  Tuesday Nov 26/2019

London’s OTC/LBMA Nov 29.2019

 

gold/silver prices will be subdued until the conclusion of the week.

 

COMEX DATA

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

today RECEIVING: 0/26

 

we are coming very close to a commercial failure!!

 

 

NUMBER OF NOTICES FILED TODAY FOR  NOV CONTRACT: 26 NOTICE(S) FOR 2600 OZ (0.0808 tonnes)

TOTAL NUMBER OF NOTICES FILED SO FAR:  1694 NOTICES FOR 169,400 OZ  (5.2691 TONNES)

 

 

 

SILVER

 

FOR NOV

 

 

0 NOTICE(S) FILED TODAY FOR nil  OZ/

 

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

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Bitcoin: OPENING MORNING TRADE :  $ 7870 DOWN 228 

 

 

 

Bitcoin: FINAL EVENING TRADE: $ 7601 down 490

 

 

 

Let us have a look at the data for today

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IN SILVER THE COMEX OI ROSE BY A STRONG  SIZED 755 CONTRACTS FROM 221,707 UP TO 222,462 DESPITE THE 0 CENT GAIN 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 HUGE SIZED NUMBER OF COMEX LONGS TRANSFERRING THEIR CONTRACTS TO LONDON THROUGH THE EFP:,

FOR NOV 0,; DEC  1697 AND ZERO FOR ALL  OTHER MONTHS  AND THEREFORE TOTAL ISSUANCE  1697 CONTRACTS. WITH THE TRANSFER OF 1697 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 1697 EFP CONTRACTS TRANSLATES INTO 8.49 MILLION OZ  ACCOMPANYING:

1.THE 0 CENT GAIN 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

TODAY THE CROOKS TRIED AGAIN TO  RAID SILVER TO NO AVAIL. THEY AGAIN USED HUGE COPIOUS NON BACKED PAPER IN THEIR  UNSUCCESSFUL ENDEAVOUR TO WHACK SILVER’S PRICE ( IT WAS  FLAT  ON THE DAY AFTER AN INITIAL PUMMELING ). ALSO OUR OFFICIAL SECTOR/BANKERS  WERE AGAIN UNSUCCESSFUL IN THEIR ATTEMPT TO FLEECE  SILVER LONGS AS THE TOTAL GAIN IN OI ON BOTH EXCHANGES TOTALED A STRONG 2452 CONTRACTS. OR 12.26 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 NOV:

33,887 CONTRACTS (FOR 15 TRADING DAYS TOTAL 33,887 CONTRACTS) OR 169.43 MILLION OZ: (AVERAGE PER DAY: 2259 CONTRACTS OR 11.29 MILLION OZ/DAY)

TO GIVE YOU AN IDEA AS TO THE HUGE SUPPLY THIS MONTH IN SILVER:  SO FAR THIS MONTH OF AUGUST:  169.43 MILLION PAPER OZ HAVE MORPHED OVER TO LONDON. THIS REPRESENTS AROUND 22.99% 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:          1924,35   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 CONSIDERABLE SIZED INCREASE IN COMEX OI SILVER COMEX CONTRACTS OF 755, DESPITE THE 0 CENT GAIN IN SILVER PRICING AT THE COMEX /YESTERDAY... THE CME NOTIFIED US THAT WE HAD A  STRONG SIZED EFP ISSUANCE OF 1697 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 VERY STRONG SIZED: 2452 TOTAL OI CONTRACTS ON THE TWO EXCHANGES: 

i.e 1697 OPEN INTEREST CONTRACTS HEADED FOR LONDON  (EFP’s) TOGETHER WITH INCREASE OF 755  OI COMEX CONTRACTS. AND ALL OF THIS  DEMAND HAPPENED WITH A FLAT  PRICE OF SILVER AND A CLOSING PRICE OF $17.14 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. 1.113 BILLION OZ TO BE EXACT or 159% of annual global silver production (ex Russia & ex China).

FOR THE NEW FRONT MARCH MONTH/ THEY FILED AT THE COMEX: 0 NOTICE(S) FOR NIL 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 FAIR SIZED 1356 CONTRACTS, AND MOVING AWAY FROM THAT NEW ALL TIME RECORD OF 719,211 (SET NOV 20/2019). THE NEXT OI RESTS   AT 717,855.

THE LOSS IN COMEX OI  OCCURRED DESPITE A SMALL $0.50 PRICING GAIN WITH RESPECT TO COMEX GOLD PRICING// YESTERDAY// /

 

 

THE CME RELEASED THE DATA FOR EFP ISSUANCAND IT TOTALED A STRONG SIZED 8210 CONTRACTS:

NOV 2019: 0 CONTRACTS, DEC>  6822 CONTRACTS, FEB: 1388 AND ALL OTHER MONTHS ZERO.  The NEW COMEX OI for the gold complex rests at 717,855,,.  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  STRONG AND CRIMINALLY SIZED GAIN IN TOTAL CONTRACTS ON THE TWO EXCHANGES OF 6854 CONTRACTS: 1356 CONTRACTS DECREASED AT THE COMEX  AND 8210 EFP OI CONTRACTS WHICH NAVIGATED OVER TO LONDON. THUS  TOTAL OI GAIN OF 6854 CONTRACTS OR 685,400 OZ OR 21.32 TONNES.  YESTERDAY WE HAD A GAIN OF $0.50 IN GOLD TRADING….

AND WITH THAT GAIN IN  PRICE, WE  HAD A STRONG GAIN IN GOLD TONNAGE OF 21.32  TONNES!!!!!! THE BANKERS/OFFICIAL SECTOR WERE SUPPLYING INFINITE SUPPLIES OF SHORT GOLD COMEX PAPER WITH RECKLESS ABANDON AS ANOTHER RAID WAS AGAIN INITIATED. THE BANKERS WERE UNSUCCESSFUL IN THEIR ATTEMPT TO LOWER GOLD’S PRICE (UP $0.50) .THEY WERE UNSUCCESSFUL IN FLEECING  GOLD LONGS FROM THE GOLD ARENA. 

 

 

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 : 136,243 CONTRACTS OR 13,624,300 oz OR 423,77 TONNES (15 TRADING DAY AND THUS AVERAGING: 9082 EFP CONTRACTS PER TRADING DAY

TO GIVE YOU AN IDEA AS TO THE STRONG SIZE OF THESE EFP TRANSFERS :  THIS MONTH IN 15 TRADING DAYS IN  TONNES: 423.77 TONNES

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

THUS EFP TRANSFERS REPRESENTS 423.77/3550 x 100% TONNES =11.93% OF GLOBAL ANNUAL PRODUCTION

 

 

 

ACCUMULATION OF GOLD EFP’S YEAR 2019 TO DATE:     5195.41  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 FAIR SIZED DECREASE IN OI AT THE COMEX OF 1356 DESPITE THE  PRICING GAIN THAT GOLD UNDERTOOK YESTERDAY($0.50)) //.WE ALSO HAD  A HUGE SIZED NUMBER OF COMEX LONG TRANSFERRING TO LONDON THROUGH THE EFP ROUTE: 8210 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 8210 EFP CONTRACTS ISSUED, WE  HAD AN STRONG  AND CRIMINALLY SIZED GAIN OF 6854 CONTRACTS IN TOTAL OPEN INTEREST  ON THE TWO EXCHANGES:

8210 CONTRACTS MOVE TO LONDON AND 1356 CONTRACTS DECREASED AT THE COMEX. (IN TONNES, THE GAIN IN TOTAL OI EQUATES TO 21.32 TONNES). ..AND THIS STRONG INCREASE OF  DEMAND OCCURRED DESPITE THE TINY GAIN IN PRICE OF $0.50 WITH RESPECT TO YESTERDAY’S TRADING AT THE COMEX.

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

 

 

 

 

 

 

 

 

we had:  26 notice(s) filed upon for 2600 oz of gold at the comex.

 

xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx

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

GLD...

 

WITH GOLD DOWN $10.85 TODAY//(COMEX-TO COMEX)

no changes in gold inventory at the GLD

NOV 21/2019/Inventory rests tonight at 891.79 tonnes

 

 

SLV/

 

WITH SILVER DOWN 5 CENTS TODAY: 

a big changes in silver inventory at the SLV: a withdrawal of 842,000 oz

 

/INVENTORY RESTS AT 374.732 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 STRONG SIZED 755 CONTRACTS from 221,797 UP TO 222,462 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  1697  AND ALL OTHER MONTHS: ZERO. TOTAL EFP ISSUANCE: 1697 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 755  CONTRACTS TO THE 1697 OI TRANSFERRED TO LONDON THROUGH EFP’S,  WE OBTAIN A STRONG AND CRIMINALLY SIZED GAIN OF 2452 OPEN INTEREST CONTRACTS. THUS IN OUNCES, THE GAIN ON THE TWO EXCHANGES: 12.26 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 STRONG SIZED INCREASE IN SILVER OI AT THE COMEX DESPITE THE 0 CENT GAIN IN PRICING THAT SILVER UNDERTOOK IN PRICING// YESTERDAY. WE ALSO HAD A STRONG SIZED 1697 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 7.41 POINTS OR 0.25%  //Hang Sang CLOSED DOWN 422.73 POINTS OR 1.57%   /The Nikkei closed DOWN 109.99 POINTS OR 0.48%//Australia’s all ordinaires CLOSED DOWN .74%

/Chinese yuan (ONSHORE) closed DOWN  at 7.0295 /Oil UP TO 57.06 dollars per barrel for WTI and 62.52 for Brent. Stocks in Europe OPENED RED //  ONSHORE YUAN CLOSED DOWN // LAST AT 7.0294 AGAINST THE DOLLAR. OFFSHORE YUAN CLOSED DOWN ON THE DOLLAR AT 7.0332 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

South Korea//USA

South Korea  breaks off talks with the uSA after the bill to house USA troops is $4.7 billion.The USA wants South Korea to help pay for these bases.

(zerohedge)

3b) REPORT ON JAPAN

3C  CHINA

i)CHINA/USA

Both houses vote to back Hong Kong protesters and Trump is now expected to sign the bill. China is furious

(zerohedge)

ii)Hong Kong

Wealthy Hong Kong citizens are now making contingency plans to move out of the city. No doubt that those that have gold stored under the airport will move that gold to Singapore..a very safe place to store gold
(zerohedge)

iii)China/Hong Kong/USA

China warns that if they pass the bill on Hong Kong Human rights will kill the USA//China trade deal

(zerohedge)

iv)Bi partisan USA senators demand Trump to halt Huawei license approvals

(zerohedge)

4/EUROPEAN AFFAIRS

i)ECB

Two important points here:  The ECB now admit that low interest rates have caused excessive risk taking and also the negative interest rates have causes bank profitability to plummet

(zerohedge)

ii)UK

Boris Johnson is uniting the Conservative Party and he is gaining in the polls while Labour under Corbyn is faltering

(zerohedge)

5. RUSSIAN AND MIDDLE EASTERN AFFAIRS

Lebanon

This country is now out of control.  Protesters have blocked entry to their Parliament.  Lebanon has lost 10 billion dollars as citizens remove their dollars and place them under their mattress fearing a banking collapse.  For the first time error dollar yields on bonds is now over 100 %.  Debt to GDP is over 150%. Lebanon’s GDP is a tiny 56 billion dollars yet its debt is 80 billion. Lebanon’s saving grace is that it has 289 tonnes of official gold. It is now time to remove Hezbollah from governing affairs.

(zerohedge)

6.Global Issues

 

7. OIL ISSUES

 

8 EMERGING MARKET ISSUES

 

9. PHYSICAL MARKETS

i)A must read..

Pam and Russ martens discuss the banks that provided trillions of dollars to insolvent banks and hedge funds during the 2008 crisis.  It still continues today.  They outline the banks that provide the funds

(Pam and Russ Martens/Wall Street on Parade)

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

a)Republican consumer comfort plunges because of the impeachment hearings

(zerohedge)

b)Market Watch reports that the USA leading indicators falls for the 3rd straight month

(courtesy Market Watch)

iii) Important USA Economic Stories

i)Illinois continues to be a basket case as the new Governor of the state slams the door on pension reform\

(Ted Dabrowski/WirePoints)

ii)My wife’s favourite shop in New York, Saks sees its value crash by over 60%

(zerohedge)

iii)Trouble ahead:  WeWork bonds have crashed after the company slashed 17% of their workforce..and most importantly expansion is on hold

(zerohedge)

iv) Swamp commentaries)

i)Now we know why Schiff is so desperate to create a wall on the Hunter Biden/Burisma saga. It seems that he participated in a huge money laundering scheme using the facilities of Franklin Templeton

Can you imagine the Senate calling Schiff to testify and they bring this up?
Hoft/Gateway

ii)

Giuliani exposes a massive pay for play orchestrated by Soros and corrupt Ukrainians in the Obama/Biden administration. Among his finding that these Ukrainians helped Soros in trying to get Hillary elected

(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 FAIR SIZED 1356 CONTRACTS MOVING AWAY FROM OUR NEW RECORD LEVEL OF 719,750 SET NOV 20/2019 DESPITE THE  SMALL GAIN OF $0.50 IN GOLD PRICING WITH RESPECT TO YESTERDAY’S // COMEX TRADING. THE OPEN INTEREST TONIGHT STANDS AT 717,855.

 

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 8210 EFP CONTRACTS WERE ISSUED:

 FOR NOV; 0 CONTRACTS: DEC: 6822 ; FEB: 1388  AND  ZERO FOR ALL OTHER MONTHS:

TOTAL EFP ISSUANCE:  8210 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: 6854 TOTAL CONTRACTS IN THAT 8210 LONGS WERE TRANSFERRED AS FORWARDS TO LONDON AND WE LOST A FAIR SIZED 1356 COMEX CONTRACTS.

THE BANKERS SUPPLIED THE NECESSARY AND INFINITE AMOUNT OF SHORT PAPER IN GOLD.  THE BANKERS WERE UNSUCCESSFUL IN LOWERING GOLD’S PRICE WITH THE CONSIDERABLE RAID INITIATED (AND FAILED), AS IT ROSE BY $0.50. AND THEY WERE  UNSUCCESSFUL IN FLEECING SOME LONGS FROM OUR TWO GOLD ARENAS AS WE HAD A GOOD GAIN ON BOTH OUR EXCHANGES:

 

 

 

NET GAIN ON THE TWO EXCHANGES ::  6854 CONTRACTS OR 685,400 OZ OR 21.32 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 53 contracts still standing for a LOSS of 33 contracts. Yesterday we had 59 notices served upon so we have another strong gain of 26 contracts or an additional 2600 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 23,923 contracts down to 291,707.   The next non active contract month of January saw its OI FALL by 45 contracts DOWN to 353.

The December contract month is still highly elevated and we should have a humdinger of a DECEMBER delivery month. WE HAVE 5 MORE READING DAYS BEFORE FIRST DAY NOTICE: NOV 29.2019.

 

 

 

 

TODAY’S NOTICES FILED:

WE HAD 26 NOTICES FILED TODAY AT THE COMEX FOR  2600 OZ. (0.0808 TONNES)

 

 

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And now for the wild silver comex results.

Total COMEX silver OI ROSE BY A GOOD SIZED 755 CONTRACTS FROM 221,707 UP TO 222,462 (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 CONSIDERABLE  OI COMEX GAIN OCCURRED WITH A 0 CENT GAIN IN PRICING.//YESTERDAY.

WE ARE NOW INTO THE NON ACTIVE DELIVERY MONTH OF NOV.  HERE WE HAVE 0 OPEN INTEREST STAND FOR DELIVERY WITH A LOSS OF 0 CONTRACTS. WE HAD 0 CONTACTS SERVED UPON YESTERDAY SO WE GAINED 0 CONTRACTS OR NIL 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 10,405 contracts down to 70,582.  After December we have the non active month of January and here we see that we lost 45 contracts down to 353.

TODAY’S NUMBER OF NOTICES FILED:

 

We, today, had 0 notice(s) filed for nil, OZ for the NOV, 2019 COMEX contract for silver

Trading Volumes on the COMEX TODAY: 453,602  CONTRACTS 

 

 

 

CONFIRMED COMEX VOL. FOR YESTERDAY:  442,210  contracts

 

 

 

 

 

INITIAL standings for  NOV/GOLD

NOV  21/2019

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

 

 

 

Deposits to the Customer Inventory, in oz  

1998.98 oz

 

HSBC

 

No of oz served (contracts) today
26 notice(s)
 2600 OZ
(0.0808 TONNES)
No of oz to be served (notices)
27 contracts
(2700 oz)
0.083 TONNES
Total monthly oz gold served (contracts) so far this month
1694 notices
169,400 OZ
5.2491 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 1 deposit into the customer account

i) Into JPMorgan:  nil oz

 

ii) Into HSBC:  1,998.98 oz

 

 

total gold deposits: 1998.98  oz

 

 

 

we had 0 gold withdrawal from the customer account:

 

 

total withdrawals:  nil oz

 

We had 2 adjustment

i) Out of Brinks:

1157.436 oz was adjusted out of the dealer account and this landed into the customer account and this is a deemed settlement

ii) Out of HSBC

8160.815 oz was adjusted out of the dealer account and this landed into the customer account of HSBC

total deemed settlement: .2898

 

no pledged gold

 

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

 

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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 (1694) x 100 oz , to which we add the difference between the open interest for the front month of  NOV (53 contract) minus the number of notices served upon today (26 x 100 oz per contract) equals 172,100 OZ OR 5.3530 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 (1694 x 100 oz)  + (53)OI for the front month minus the number of notices served upon today 26 x (100 oz )which equals 172,100 oz standing OR 5.3530 TONNES in this  active delivery month of NOV

We GAINED 26 contracts OR 2600 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……                                                                5.3530 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: 75.948

TONNES- 4.4178 TONNES DEEMED SETTLEMENT = 71.53 TONNES STANDING FOR METAL AGAINST 27.42 TONNES OF REGISTERED OR FOR SALE COMEX GOLD! THIS IS WHY GOLD IS SCARCE AT THE COMEX.

 

total registered or dealer gold:  1,119,348.926 oz or  34.816 tonnes 
which  includes the following:
a) registered gold that can be used to settle upon: 89,111.35 oz (27.42 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;   8,506,990.2210 oz 264.60 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

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 21 2019
Silver Ounces
Withdrawals from Dealers Inventory NIL oz
Withdrawals from Customer Inventory
 17,887.35 oz
CNT

 

 

Deposits to the Dealer Inventory
nil oz

 

Deposits to the Customer Inventory
1,200,265.520 oz
CNT
loomis
No of oz served today (contracts)
0
CONTRACT(S)
(NIL 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  2 deposits into the customer account

into JPMorgan:   nil

 

ii) Into CNT: 599,384.300  oz

iii) Into Loomis: 600,881.220 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:  1200,265.520   oz

 

we had 1 withdrawals out of the customer account:

 

i) out of CNT:  17,887.35 oz

 

 

 

total withdrawals; 17,887.35  oz

We had 0 adjustment:

 

 

 

total dealer silver:  77.754 million

total dealer + customer silver:  316.718 million oz

 

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The total number of notices filed today for the NOV 2019. contract month is represented by 0 contract(s) FOR nil 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. (0) and the number of notices served upon today 0 x (5000 oz) equals the number of ounces standing.

.

Thus the INITIAL standings for silver for the NOV/2019 contract month: 532 (notices served so far) x 5000 oz + OI for front month of OCT (0)- number of notices served upon today (0) x 5000 oz equals 2,630,000 oz of silver standing for the OCT contract month. 

WE GAINED 0 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 0 notice(s) filed for NIL OZ for the NOV, 2019 COMEX contract for silver

 

 

TODAY’S ESTIMATED SILVER VOLUME:  122,549 CONTRACTS //volume increases due to raid

 

 

CONFIRMED VOLUME FOR YESTERDAY: 125,091 CONTRACTS..

 

 

 

 

 

YESTERDAY’S CONFIRMED VOLUME OF 125,091 CONTRACTS EQUATES to 625 million  OZ 89.3% 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

 

 

NPV for Sprott

 

1. Sprott silver fund (PSLV): NAV FALLS TO -1.70% ((NOV 21/2019)
2. Sprott gold fund (PHYS): premium to NAV RISES TO -0.71% to NAV (NOV 19/2019 )
Note: Sprott silver trust back into NEGATIVE territory at +%-/Sprott physical gold trust is back into NEGATIVE/ -1.70%

(courtesy Sprott/GATA)

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

NAV 14.63 TRADING 14.07///DISCOUNT 3.85

 

 

END

 

And now the Gold inventory at the GLD/

NOV 21/ WITH GOLD DOWN $10.85 //NO CHANGE IN GOLD INVENTORY AT THE GLD/INVENTORY RESTS AT 891.79 TONNES

NOV 20/WITH GOLD UP $.50 TODAY: NO CHANGE IN GOLD INVENTORY AT THE GLD/INVENTORY RESTS AT 891.79 TONNES

NOV 19/WITH GOLD UP $2.40 TODAY: A HUGE CHANGE:  A MASSIVE PAPER WITHDRAWAL OF 4.98 TONNES OF GOLD FROM THE GLD AND THIS WITH A GOLD PRICE RISE?/INVENTORY RESTS AT 891.79 TONNES

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

 

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NOV 21/2019/Inventory rests tonight at 891.79 tonnes

*IN LAST 709 TRADING DAYS: 44.58 NET TONNES HAVE BEEN REMOVED FROM THE GLD
*LAST 609 TRADING DAYS: A NET 122.47 TONNES HAVE NOW BEEN ADDED INTO  THE GLD INVENTORY.

 

end

 

Now the SLV Inventory/

NOV 21/  WITH SILVER DOWN 5 CENTS TODAY/a big CHANGES IN SILVER INVENTORY AT THE SLV: A WITHDRAWAL OF 84,000 OZ/INVENTORY RESTS AT 375.574 MILLION OZ//

NOV 20/WITH SILVER UP 0 CENTS TODAY: NO CHANGES IN SILVER INVENTORY AT THE SLV/INVENTORY RESTS AT 375.574 MILLION OZ//

NOV 19/WITH SILVER UP 11 CENTS TODAY: NO CHANGES IN SILVER INVENTORY AT THE SLV/INVENTORY RESTS AT 375.574 MILLION OZ//

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

 

 

NOV 21:  SLV INVENTORY

374.732 MILLION OZ

 

LIBOR SCHEDULE AND GOFO RATES:

 

 

YOUR DATA…..

6 Month MM GOFO 1.99/ and libor 6 month duration 1.91

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

G0LD LENDING RATE: – .10

 

XXXXXXXX

12 Month MM GOFO
+ 1.92%

LIBOR FOR 12 MONTH DURATION: 1.91

 

GOFO = LIBOR – GOLD LENDING RATE

GOLD LENDING RATE  = -.01

end

 

 

end

 

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

Global Gold Buyers Are ‘Confident’ in Gold

‘Retail Gold Insights 2019’ has just been published by the World Gold Council. It is a thematic analysis of their new consumer research survey. With a base of 18,000 participants across India, China, Russia, Germany, the US and Canada, we believe it is the largest ever consumer survey on the global gold market.

5 main themes of the report

  • People are confident in – and loyal to – gold. Gold already has strong foundations and it’s important to know where that confidence is strongest and weakest.
  • But there are areas of mistrust. While people have confidence in gold, there is some mistrust around product purity and trustworthiness of some retailers.
  • Gold can resonate more deeply among younger consumers. Millennials’ attitudes towards gold are not so different from those of older generations. But there are perceptual misgivings among the younger Gen Z audience, particularly in China’s jewellery market.
  • Technological innovation can create a route to new audiences. There are some pioneering, technologically-savvy players in the gold market. But our data suggests there are too few.
  • There are knowledge gaps in the minds of potential gold buyers that need to be filled. This includes greater awareness around gold, through TV, print and social media; more quality education around the benefits of owning gold; and, while it is not a mainstream issue now, the next generation of potential gold buyers need better education around the industry’s ethical credentials.

You can access the Retail Gold Insights 2019 Report here

NEWS and COMMENTARY

Gold steady on concerns of delay in U.S.-China trade deal

Gold ends slightly lower, then falls further after FOMC minutes

Chinese Shoppers and Investors Are Losing Their Appetite for Gold

Shares slide on U.S.-China spat over Hong Kong, dollar gains

Wall Street falls on concerns about U.S.-China trade deal progress

Watch Podcast Here

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

20-Nov-19 1475.70 1471.70, 1143.52 1138.95 & 1333.74 1328.36
19-Nov-19 1464.90 1468.45, 1132.37 1134.23 & 1323.68 1325.86
18-Nov-19 1458.40 1467.65, 1124.86 1132.59 & 1318.10 1325.88
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

SIGN UP FOR OUR AWARD WINNING MARKET UPDATES HERE

Mark O’Byrne
Executive Director

 

ii) Important gold commentaries courtesy of GATA/Chris Powell

A must read..

Pam and Russ martens discuss the banks that provided trillions of dollars to insolvent banks and hedge funds during the 2008 crisis.  It still continues today.  They outline the banks that provide the funds

(Pam and Russ Martens/Wall Street on Parade)

Pam and Russ Martens: These are the banks that own the NY Fed and its money button

 Section: 

By Pam and Russ Martens
Wall Street on Parade
Wednesday, November 20, 2019

The New York Fed has now pumped out upwards of $3 trillion in a period of 63 days to unnamed trading houses on Wall Street to ease a liquidity crisis that has yet to be credibly explained. In addition, it has launched a new asset purchase program, buying up $60 billion each month in U.S. Treasury bills.

Based on the continuing escalation of its plans, it appears to be testing the limits of what the public will tolerate. We thought it was time to answer the question: Who exactly owns the New York Fed and its magical money spigot that can pump trillions of dollars into Wall Street at the press of a button?

… 

The largest shareowners of the New York Fed are the following five Wall Street banks: JPMorgan Chase, Citigroup, Goldman Sachs, Morgan Stanley, and Bank of New York Mellon. Those five banks represent two-thirds of the eight Global Systemically Important Banks (G-SIBs) in the United States. The other three G-SIBs are Bank of America, a shareowner in the Richmond Fed; Wells Fargo, a shareowner of the San Francisco Fed; and State Street, a shareowner in the Boston Fed.

G-SIBs have the ability to inflict systemic contagion on the entire global banking system (as happened in 2008) and thus must be monitored closely for financial stability. JPMorgan Chase, Citigroup, Goldman Sachs, and Morgan Stanley are also four of the five largest holders of high-risk derivatives. (Bank of America is the fifth.)

The five mega-banks that are the major shareowners of the New York Fed are also supervised by the New York Fed, despite participating in the election of two-thirds of its Board of Directors. James Gorman, Chairman and CEO of Morgan Stanley, currently sits on the New York Fed Board. Jamie Dimon, chairman and CEO of JPMorgan Chase, previously served two three-year terms on the board. …

… For the remainder of the report:

https://wallstreetonparade.com/2019/11/these-are-the-banks-that-own-the-…

* * *

Help keep GATA going:

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These Are the Banks that Own the New York Fed and Its Money Button

By Pam Martens and Russ Martens: November 20, 2019 ~

The New York Fed has now pumped out upwards of $3 trillion in a period of 63 days to unnamed trading houses on Wall Street to ease a liquidity crisis that has yet to be credibly explained. In addition, it has launched a new asset purchase program, buying up $60 billion each month in U.S. Treasury bills. Based on the continuing escalation of its plans, it appears to be testing the limits of what the public will tolerate. We thought it was time to answer the question: who exactly owns the New York Fed and its magical money spigot that can pump trillions of dollars into Wall Street at the press of a button.

The largest shareowners of the New York Fed are the following five Wall Street banks: JPMorgan Chase, Citigroup, Goldman Sachs, Morgan Stanley, and Bank of New York Mellon. Those five banks represent two-thirds of the eight Global Systemically Important Banks (G-SIBs) in the United States. The other three G-SIBs are Bank of America, a shareowner in the Richmond Fed; Wells Fargo, a shareowner of the San Francisco Fed; and State Street, a shareowner in the Boston Fed.

G-SIBs have the ability to inflict systemic contagion on the entire global banking system (as happened in 2008) and thus must be monitored closely for financial stability. JPMorgan Chase, Citigroup, Goldman Sachs, and Morgan Stanley are also four of the five largest holders of high-risk derivatives. (Bank of America is the fifth.)

The five mega banks that are the major shareowners of the New York Fed are also supervised by the New York Fed, despite participating in the election of two-thirds of its Board of Directors. James Gorman, Chairman and CEO of Morgan Stanley, currently sits on the New York Fed Board. Jamie Dimon, Chairman and CEO of JPMorgan Chase, previously served two three-year terms on the Board.

These same Wall Street banks also participate in various advisory groups with the New York Fed where they hash out “best practices” for their industry. Those “best practices” were not sufficient to prevent JPMorgan Chase from becoming a three-count felon, Citigroup a one-count felon, and four of the banks (all but Bank of New York Mellon) from actively engaging in creating and selling subprime investments that blew up the U.S. financial system, the nation’s economy and a good swath of Wall Street in 2008.

There are 12 regional Federal Reserve banks of which the New York Fed is only one. But during the financial crisis, the New York Fed was given unprecedented powers by the Federal Reserve Board of Governors in Washington, D.C. to create over $29 trillion in electronically-engineered money to bail out Wall Street. A significant portion of the $29 trillion went to loans that were collateralized by stocks and junk bonds – an unprecedented action for the Federal Reserve. In some instances, the Fed threw its rule book under the bus and didn’t make loans at all, opting instead to buy up toxic assets outright through Special Purpose Vehicles it created. And despite its mandate to make properly collateralized loans to only solvent banks, it made over $2.5 trillion in loans to Citigroup, much of that after the bank was clearly insolvent.

The $29 trillion created electronically by the New York Fed from 2007 to the middle of 2010 is astronomical compared to the loans made by the Federal Reserve following the 1929 financial crash and early years of the Great Depression. Those Fed loans aggregated to only $1.5 million or approximately $25.5 million in today’s dollars.

Consider that $25.5 million in today’s dollars that was distributed by the Fed from 1932 to 1936 to just one day in 2008. On September 24, 2008 the New York Fed pounded away on its money button to pump out $110 billion to the miscreants of Wall Street. (See chart below: where Bank of New York Mellon and JPMorgan Chase are listed in capitalized letters, they were acting as intermediaries for the New York Fed to disburse Primary Dealer Credit Facility (PDCF) money to the securities firms listed directly below each entry.) The $25.3 billion that Morgan Stanley received on just that one day is 1,000 times all the money the Fed disbursed during the 1930s.

The listing below came directly from the Federal Reserve when it was forced to hand over its Discount Window documents on March 31, 2011 after losing a multi-year court battle with the media to keep its money spigot secret.

A Sampling of Loans Made on Just One Day, September 24, 2008, by the New York Fed

A Sampling of Loans Made on Just One Day, September 24, 2008, by the New York Fed (Source: Federal Reserve Board of Governors)

The banks of New York and their foreign derivatives counterparties were the largest beneficiaries of the $29 trillion bailout and yet Congress has allowed the New York Fed to continue to supervise these Wall Street banking behemoths just as if the collapse in 2008 never occurred.

Unlike the Federal Reserve Board of Governors in Washington, D.C., which is considered an independent federal agency, the regional Federal Reserve banks are owned by their members banks. They are private institutions.

According to the December 31, 2018 financial statement for the New York Fed, the banks in its region owned 205,202,792 shares of stock in the New York Fed, which represented $10.26 billion of paid-in capital. This is how the New York Fed explains who its largest shareholders are:

“The Federal Reserve Act requires that each member bank subscribe to the capital stock of the Reserve Bank in an amount equal to 6 percent of the capital and surplus of the member bank. These shares are nonvoting, with a par value of $100, and may not be transferred or hypothecated. As a member bank’s capital and surplus changes, its holdings of Reserve Bank stock must be adjusted. Currently, only one-half of the subscription is paid in, and the remainder is subject to call. A member bank is liable for Reserve Bank liabilities up to twice the par value of stock subscribed by it.”

While the shares are non-voting in terms of quantity of shares held, the banks do get a vote in electing the Board of Directors of their regional Fed bank. Each regional Fed board has nine members. Six of the directors are elected by member banks. Three of the directors are appointed by the Federal Reserve Board of Governors in Washington, D.C.. From among these three, the Board of Governors selects a chairman and a deputy chairman of the given Bank’s board.

That might help to explain why Tim Geithner, when he was President of the New York Fed, was wining and dining Sandy Weill, the Chairman and CEO of Citigroup, who had sat on his Board, instead of reining in Citigroup’s wild gambles before it blew itself up. (Geithner failed up to become U.S. Treasury Secretary, where he continued to coddle the Wall Street banks.) Or it might help to explain why Jamie Dimon, the Chairman and CEO of JPMorgan Chase, hasn’t been booted out of the bank despite presiding over three criminal felony charges, to which the bank pleaded guilty, and the current, ongoing prosecutions of its traders for turning the JPMorgan Chase precious metals trading desk into a racketeering enterprise according to the U.S. Department of Justice. (While Dimon was defending his bank against losing $6.2 billion of its depositors’ money in derivative gambles in London in 2012, he was actually sitting as a member of the Board of Directors at the New York Fed, his regulator.)

It’s long past the time to remove the money button from the New York Fed along with its Wall Street cop badge. As it is currently structured, it’s more dangerous than the banks in its district.

Related Articles:

end

Meet the real Koos Jansen ..a brilliant gold analyst.  Glad to have him back.

(GATA)

Jan Nieuwenhuijs, once Koos Jansen, resumes research at Voima Gold

 Section: 

2:37p ET Thursday, November 21, 2019

Dear Friend of GATA and Gold:

Jan Nieuwenhuijs, whose research in recent years made him an expert on China’s gold market when he was writing for Bullion Star using the pseudonym Koos Jansen, has become researcher for Voima Gold in Helsinki, Finland, and will resume his public commentaries there without a pseudonym.

… 

In an introductory interview posted at Voima Gold today, Nieuwenhuijs says:

“I’m working on a full-circle analysis of the mechanics of the global gold market, including supply and demand dynamics, the physical markets, derivatives markets, exchange-traded funds, and cultural differences. I want to show how all this relates to the price of gold. It will be similar to my analysis of the Chinese gold market but now global.

“I think there are many misunderstandings about certain elements of the gold market. This research will reveal an at least 80-year-old pattern I found in the gold market, which will be very valuable for the future as well. Having a foundation, I can and will write many other analyses about the gold market, the price of gold, and economics. …

“Other research will be about Special Drawing Rights and if these could serve as the new world reserve currency (spoiler: no), the Turkish gold banking system, the history of gold and the origins of money, the roots of Modern Monetary Theory, and the audits of Fort Knox, among other topics.”

Today’s interview with Nieuwenhuijs, conducted by Carl Svanberg, is here:

https://www.voimagold.com/insight/jan-nieuwenhuijs-joins-voima-gold-a-fi…

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

iii) Other physical stories:

Interview of myself with Silver Doctors

Hi Harvey,

The interview is finally published.
It took a while to finish because I’ve been so busy lately.
Anyway, I think it turned out really good.
Talk to you soon.
Thanks again,
Paul
Attachments area

Preview YouTube video GLD, COMEX & Now HSBC Out Of Gold, MASSIVE FRAUD To Be Exposed! | Harvey Organ

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

i) Chinese yuan vs USA dollar/CLOSED / LAST AT: 7.0294/ GETTING VERY DANGEROUSLY PAST 7:1

//OFFSHORE YUAN:  7.0334   /shanghai bourse CLOSED DOWN 7.41 POINTS OR 0.25%

HANG SANG CLOSED DOWN 422.73 POINTS OR 1.37%

 

2. Nikkei closed DOWN 109.99 POINTS OR 0.48%

 

 

 

 

3. Europe stocks OPENED ALL RED/

 

 

 

USA dollar index UP TO 97.24/Euro RISES TO 1.1085

3b Japan 10 year bond yield: FALLS TO. –.11/ !!!!(Japan buying 100% of bond issuance)/Japanese yen vs usa cross now at 108.56/ 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:: 57.06 and Brent: 62.52

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 -.34%/Italian 10 yr bond yield DOWN to 1.18% /SPAIN 10 YR BOND YIELD UP TO 0.43%…ITALIAN 10 YR BOND YIELD/GERMAN BUND: 1.85: DANGEROUS FOR THE ITALIAN BANKING SYSTEM

3j Greek 10 year bond yield FALLS TO : 1.40

3k Gold at $1470.70 silver at: 17.11   7 am est) SILVER NEXT RESISTANCE LEVEL AT $18.50

3l USA vs Russian rouble; (Russian rouble UP 5/100 in roubles/dollar) 63.77

3m oil into the 57 dollar handle for WTI and 62 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 108.56 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 .9910 as the Swiss Franc is still rising against most currencies. Euro vs SF is 1.0993 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 RISING to 0.34%

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 1.75% early this morning. Thirty year rate at 2.22%

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

6.  TURKISH LIRA:  UP  TO 5.6917..

Deal On, Deal Off: Futures Jump And Slide Amid Barrage Of Conflicting Trade Headlines

Stocks bounced around over the past 24 hours amid an optimistic/pessimistic headline barrage that triggered wave after wave of buying then selling then buying again, as the standoff between the world’s two largest economies expanded beyond trade, reducing the odds of a “phase-one” deal this year and forcing investors to shed risky assets.

The barrage of news, facts, rumor, innuendo, speculation and outright lies, started around noon on Wednesday, when Reuters reported that the trade deal could be delayed into 2020, while Global Times’ EIC sniped periodically from his twitter account warning that China is ready for full-blown trade war. Futures then staged their latest miraculous comeback, gravitating around the “gamma gravity” of S&P 3,100 before the House passed the Bill of support for Hong Kong protestors just after 5pm, once again spooking futures, especially after Bloomberg reported that Trump would likely sign the bill. Futures then slid to session lows again before rebounding on a Bloomberg report that China’s top trade negotiator Liu He was “cautiously optimistic” if “confused” at a dinner on Wednesday, even if Bloomberg failed to point out that due to the magic of time zones, the dinner took place some 12 hours earlier. A few hours later, around 2am, futures pushed to session highs after China’s commerce ministry said that China will “strive to reach an initial trade agreement” with the United States as both sides keep communication channels open. The good mood lasted for about an hour, when senior Chinese diplomat Wawng Yi said China “resolutely opposes” US lawmakers passing the Hong Kong human rights bill. Then, pessimism quickly turned to optimism just after 5am when the WSJ reported that China invited US trade negotiators to Beijing for further talks. The burst higher quickly faded when algos read a little deeper into the article to find that the phone call invitation took place last week, long before all the latest turmoil took place. As the WSJ added “US negotiators said they would be willing to meet in person, but would be reluctant travel all the way to China, unless they make it clear that it would make commitments on IP protection, forced technology transfers and ag purchases.” Needless to say, there was no trip.

All of this leaves us roughly where we started, with S&P futures virtually unchanged, as shown in the summary below.

And as the WSJ’s Lingling Wei summarized this ping-ponging back and forth, this is what the main impasse is currently:

  • China resisting US request to guarantee ag purchase;
  • China balks at stronger language on IP and tech without guarantee on tariff rollback, while U.S. doesn’t want to agree to tariff move until they get Chinese commitment.

Or as another twitter commentator summarized, “Both sides are locked in a game of chicken, and the clock is ticking towards Dec. 15th.”

“The cracks in equity market sentiment widened a little further yesterday, although this setback remains modest in the context of the index gains enjoyed so far in Q4,” said Ian Williams, economics & strategy research analyst at Peel Hunt.

So with November almost over, and a December 15 tariff hike looming without any plan for a meeting between Trump and Xi in place, let along agreement on a deal, where does all this leave us? As Reuters puts it, investors had hoped for a U.S.-China trade deal by mid-November but the absence of one, and Washington’s bill to support protesters in Hong Kong, has brought progress grinding to a halt. With U.S. President Donald Trump seen as likely to sign the bill, Deutsche Bank said this “could risk progress toward a phase one trade deal.”

On the other hand, since neither news nor fundamentals matter, European shares and US equity futures bounced back from day lows in late morning trade as fresh reports emerged that China has invited top U.S. trade negotiators for a new round of face-to-face talks in Beijing… only for it to be later revealed that the invitation took place last week.

In any case, the trade-sensitive German blue-chip index was down 0.2%, recovering from a 0.9% fall, after the Wall Street Journal reported Beijing hopes the round of talks can take place before next Thursday’s Thanksgiving holiday in the United States. Thyssenkrupp AG shares tumbled, after the steelmaker said it was suspending dividend payments and warned of deepening losses; the move helped the Stoxx 600 fall to its lowest intraday level since Nov. 1; basic resources, financial services and technology lead the drop, dropping as much as 1%.

U.S. S&P 500 futures were marginally down, having dropped as much as 0.6% in Asian trade (see chart above). The S&P 500 had hit a record high as recently as Tuesday on trade deal hopes, but Washington’s move on Hong Kong derailed the rally.

Earlier in the session, MSCI’s broadest index of Asia-Pacific shares outside Japan fell 1.1% to a near three-week lows, with Hong Kong’s Hang Seng tumbling 1.6% while Japan’s Nikkei dropped 0.5%. Chinese mainland shares dropped 0.3%. Asian stocks retreated for a second day, led by technology firms, as the House passage of a bill supporting Hong Kong protesters stoked concern that trade talks between Beijing and Washington would collapse. Japan’s Topix edged lower for a third day as electric-appliance makers and pharmaceutical companies weighed on the gauge. The Shanghai Composite Index dropped, dragged lower by large insurers and banks. India’s Sensex fluctuated, with gains in financial stocks offsetting concerns about slowing economic growth.

Meanwhile, investors who had sought the safety of government bonds, the yen and gold in early trade shifted back from those positions after China reportedly invited U.S. negotiators for talks. German government bond yields bounced back from two-week lows, while the 10-year U.S. Treasuries yield rose to 1.7551% off three-week lows touched earlier in the day.

In FX, the Bloomberg Dollar Spot Index reversed modest gains to drop 0.1% on the day, still up 0.1% on the week so far after the optimistic comment’s by China’s chief trade negotiator. The Chinese yuan meanwhile cut some losses after hitting three-week lows, and were last trading at 7.0210 to the dollar in onshore trade. The Japanese yen, which rallied almost 1% from more than five-month lows, was flat against the greenback. The euro gained slightly and was last trading at $1.1083 ahead of the release of minutes of the European Central Bank’s most recent policy meeting.

“Our short-term strategy remains fairly cautious, as markets are very narrowly driven — every positive piece of news in trade negotiations sends markets higher, while any disappointment sinks,” said Marija Veitmane, Senior Strategist at State Street Global Markets. “This makes it very hard for investors to build positions in risk trades.”

In commodities, oil prices dipped, paring some of the 2% gains made on Wednesday after a better-than-expected U.S. crude inventories report and as Russia said it would continue its cooperation with OPEC to keep the market balanced. Global benchmark Brent futures dropped 0.4% to $62.08. U.S. West Texas Intermediate (WTI) crude futures were down 0.4% at $56.73 per barrel in early Thursday trade. Spot gold gains to trade 0.2% lower at $1,468.91 per ounce as of 1127 GMT.

In geopolitics, US Defence Secretary Esper said US does not regret taking high road on halting joint drills, while he added that North Korea’s response was not positive and that he hasn’t heard of reports to withdraw troops from South Korea.

Turning to the day ahead, we’ll get the Philadelphia Fed’s business outlook for November, existing home sales and the leading index for October, and weekly initial jobless claims. Finally, the OECD will be releasing their economic outlook, and we’ll get earnings from Thyssenkrupp and Macy’s. Back on this side of the Atlantic, the opposition Labour Party will be launching their election manifesto today.

Market Snapshot

  • S&P 500 futures little changed at 3,110.25
  • STOXX Europe 600 down 0.7% to 401.20
  • MXAP down 0.7% to 163.42
  • MXAPJ down 1.1% to 520.98
  • Nikkei down 0.5% to 23,038.58
  • Topix down 0.1% to 1,689.38
  • Hang Seng Index down 1.6% to 26,466.88
  • Shanghai Composite down 0.3% to 2,903.64
  • Sensex down 0.2% to 40,565.32
  • Australia S&P/ASX 200 down 0.7% to 6,672.91
  • Kospi down 1.4% to 2,096.60
  • German 10Y yield unchanged at -0.346%
  • Euro up 0.1% to $1.1086
  • Italian 10Y yield fell 4.4 bps to 0.855%
  • Spanish 10Y yield rose 0.6 bps to 0.431%
  • Brent futures down 0.4% to $62.15/bbl
  • Gold spot down 0.2% to $1,468.85
  • U.S. Dollar Index down 0.1% to 97.80

Top Overnight News from Bloomberg

  • U.S. President Donald Trump is expected to sign legislation passed by Congress supporting Hong Kong protesters, setting up a confrontation with China that could imperil a long-awaited trade deal between the world’s two largest economies
  • China’s chief negotiator, Liu He, told one of the attendees at Wednesday night’s dinner that he was “confused” about the U.S. demands, but was confident the first phase of an agreement could be completed
  • U.S. House clears legislation showing support for pro-democracy protesters in Hong Kong by requiring an annual review of whether the city is sufficiently autonomous from Beijing to justify its special trading status, defying objections from China
  • Labour leader Jeremy Corbyn will urge voters in the U.K. election to take down bankers and billionaires who “profit from a rigged system.” Corbyn will launch an all-out assault on the wealthiest people in Britain on Thursday, when he unveils an election manifesto
  • U.K. Prime Minister Boris Johnson blew the lid off his Conservative Party’s biggest election tax-cut pledge so far, in a chaotic and disjointed announcement in which he repeatedly got the details wrong
  • European Central Bank is nearing a decision to launch a review of its policy strategy, chief economist Philip Lane said Wednesday, as officials struggle to boost inflation despite years of massive stimulus
  • U.S. envoy Gordon Sondland said Rudy Giuliani demanded a quid pro quo from Ukraine by holding up a White House meeting unless the country’s leader announced investigations that would benefit Trump politically
  • Former Israeli military chief Benny Gantz failed to muster enough support in parliament to form a government and dislodge Prime Minister Benjamin Netanyahu, bringing the nation closer to its third election in a year
  • Oil jumps the most since the first of the month as American crude stockpiles at a key storage hub shrank by the most since August
  • U.K. government borrowing is on the rise even before the winner of next month’s election opens up the spending taps
  • Oil and gas companies operating in Norway raised their investment forecast for next year, thanks to more projects and also higher costs on some developments
  • Indonesia’s central bank left its key interest rate unchanged at 5% on Thursday after four straight cuts but reduced the proportion of funds banks must hold in reserve, a move to stimulate Southeast Asia’s largest economy
  • Former U.S. Secretary of State Henry Kissinger said the U.S. and China were in the “foothills of a Cold War,” and warned that the conflict could be worse than World War I if left to run unconstrained

Asian equity markets declined across the board with risk sentiment rattled by increased trade pessimism after source reports noted the US-China phase one deal may not be completed this year and US President Trump suggested China is not stepping up to the level he wants. In addition, the House passage of the Hong Kong rights bill which President Trump is expected to sign, added another front to the trade uncertainty. ASX 200 (-0.7%) and Nikkei 225 (-0.5%) traded negatively with Australia dragged by underperformance in trade sensitive sectors such as tech, materials, and industrials, while Tokyo exporters suffered the ill-effects from safe-haven flows into the domestic currency. Hang Seng (-1.6%) and Shanghai Comp. (-0.3%) were also downbeat on the trade-related doubts and with China media outlets continuing to voice their backlash to the US ‘interference’, while the losses in Hong Kong initially snowballed as all components in its benchmark index briefly resided in the red, although there was mild relief following comments from Chinese Vice Premier Liu He who was cautiously optimistic about reaching an agreement and remained confident despite being confused regarding US demands. Finally, 10yr JGBs were underpinned by the early safe-haven demand although gains were later capped as advances in T-notes stalled around the 130.00 level and with the BoJ only in the market today for Treasury Discount bills.

People’s Daily commentary stated the Hong Kong Human Rights and Democracy Act is a piece of wastepaper that interferes in China’s internal affairs, while China Global Times tweeted that the US Senate’s move on Hong Kong bill will hurt US investments in Hong Kong and may lead to retaliation citing an expert. Elsewhere, CNBC’s Yoon tweeted that China will double down on attacks of US Congress after the House passed legislation supporting Hong Kong protesters, while she suggested both China and the US will not want to link the Hong Kong bill to current trade talks and also tweeted the Chinese feel the US is the one that needs to make the next move with tariff rollbacks to show sincerity, make deal “balanced” and give Beijing face.

Chinese Premier Li said China’s economy maintained stable performance this year and that China will keep macro policies stable, while it needs to use all possible means to lower real interest rates. Premier Li added China will stick to its reform agenda and that both foreign and domestic companies will be treated as equals regardless of ownership structure.

Top Asian News

  • Bankers Say Hong Kong’s Rich Are Ensuring Their Cash Can Escape
  • Czech Tycoon’s Home Credit Cancels $1.5 Billion Hong Kong IPO
  • China Still Has Room for Monetary Policy, Ex-PBOC Head Zhou Says
  • India to Privatize Oil Refiner, Ship Owner in Big Sales Push

Major European bourses (Euro Stoxx 50 -0.7%) are lower across the board but off worst levels, as hopes for a prompt US/China phase 1 trade accord fade on a series of negative developments. However, global equities were lifted off overnight lows on more upbeat comments from Chinese Vice Premier Liu, who said he is cautiously optimistic about agreeing a Phase One deal with US and remains confident but confused about US demands, whilst the WSJ report on China inviting US negotiators for a meeting also aided sentiment. Sectors are mostly in the red, barring Telecoms (-0.1%), with the more defensive Utilities (+0.2%) and Consumer Staples (-0.2%) holding up slightly better. In terms of notable movers; Tobacco names Imperial Brands (+0.8%) and British American Tobacco (+3.0%) received a boost from the news that US regulators have dropped a plan to sharply reduce nicotine content in cigarettes, with the former affected by ex-divs. Topping the Stoxx 600 chart is Centrica (+8.2%), who maintained its FY outlook, which some desks noted is a positive turn around after a series of downgrades to its outlook. Conversely, the notable Stoxx 600 loser is Royal Mail (-16.2%), who warned that revenue and cost headwinds could possibly result in a break-even or loss-making position for UK business in 2020-21 whilst warnings that its transformation plan to expand its parcels business internationally was behind schedule. Another laggard is ThyssenKrupp (-10.3%), sinking post-earnings on the news that the Co. will not achieve its medium-term targets set for 2020/21, with a weak economy weighing on margins, thus its peers Salzgitter (-1.4%) and ArcelorMittal (-2.2%) are lower in sympathy. Elsewhere, Fiat Chrysler (-1.8%) is under pressure after General Motors yesterday filed a racketeering lawsuit against Fiat Chrysler and three former executives, asserting that it bribed UAW officials to get more favourable contract terms. A Fiat Chrysler spokesperson said that the Co. believes GM is trying to disrupt its merger with PSA (-0.6%), who opened lower in sympathy but have since come off worst levels. Separately, LVMH (-1.1%) upped its offer for Tiffany & Co. to USD 130/shr the previous USD 120/shr offer, prompting Tiffany to open its books and thus upping the chances of a deal, according to sources. Finally, Sanofi (+1.6%) sharply reversed early losses on the news that the Co. is mulling options for its USD 30bln consumer health unit.

Top European News

  • U.K. Budget Deficit Widens Before Election Spending Bonanza
  • Bouygues Is Said to Seek Partners for $2.2 Billion Fiber Work
  • Gazprom Unit Offers $3.3 Billion of Gas Giant’s Shares Today
  • CMA Opens Investigation Into Hasbro, Entertainment One Deal

In FX, the broad Dollar and Index have drifted off overnight highs in early EU trade in wake of upbeat comments from China’s MOFCOM, who reaffirmed determination to reach a Phase One deal whilst dismissing rumours of disagreements in discussions. This follow comments from Chinese Vice Premier overnight who expressed cautious optimism regarding a deal. However, markets are gathering focus around the Hong Kong Human Rights bill, which was almost unanimously passed by the House overnight, with sources stating that US President Trump plans to sign the bill, which could be on his desk as soon as today. The bill could potentially imperil the trade deal between the two nations and is facing fierce backlash from Chinese officials. DXY remains below 98.00 (having shown little reaction to the FOMC Minutes) and has dipped under its 21 DMA and WMAs both coinciding around 97.86-87 to a session low of 97.80. The CNH meanwhile remains little changed on the day, albeit choppy as it balances trade optimism with potential ramifications from the HK bill. USD/CNH trades near the bottom of its current 7.0350-0530 range having earlier dipped below its 100 DMA (7.0428). CNH then saw a mild bout of strength amid sources reports noting that China last week invited US negotiators for further talks.

  • AUD, NZD, JPY – All modestly firmer and moving in tandem to the weakening USD as conflicting trade sentiment provide little to move on, although late source reports on China inviting US negotiators underpinned the antipodeans and influence mild outflow in the JPY. AUD climbed off overnight lows (0.6785) to reclaim 0.6800+ status ahead of its 50 DMA at 0.6812 (with AUD 1bln expiring at strikes 0.6800-10) whilst its Kiwi counterpart remains above 0.6400 (0.6424 current intraday high) having earlier tested the figure to the downside. Similarly, safe-havens remain firmer; USD/JPY trades just above 108.50 (current intraday range 108.30-66) looking ahead to a barrage of option expiries at 108.25-35 (1.7bln), 108.40-50 (2.7bln) abd 108.65-75 (1.3bln), whilst technicians will be eyeing resistance and support 108.74 (21 DMA) and 108.27 (50 DMA) respectively.
  • EUR, GBP – Once again, Sterling and the Single currency move in lockstep to the Dollar with little on the domestic front to spark individual movements ahead of the Labour manifesto release later today. Cable took out touted offers at 1.2945 ahead of more at 1.2950 with around 1bln in options expiring at 1.2955-65 and a further 1.8bln around 1.2990-1.300. Meanwhile, EUR/USD eclipsed its 100 DMA at 1.1087-88 in early trade with the next level to the upside its 21 WMA at 1.1094. Large options expiries for the pair reside at 1.1090 (1.4bln) and 1.1100-10 (1bln) for today’s NY cut, with little fireworks expected from the ECB Minutes.

In commodities, the crude complex is modestly lower on Thursday morning, reflective of the markets cautious tone following a litany of mixed US/China trade updates, although in the context of yesterday’s post bullish EIA Inventory data upside the moves are relatively small. Front month WTI and Brent contracts are subdued under 57/bbl and modestly above USD 62/bbl, some way off yesterday’s USD 57.40 and USD 62.80/bbl highs. In terms of crude specific news flow; the Norwegian Q4 oil investment survey revealed that 2019’s figure was revised slightly higher NOK 183bln, while the 2020 figure came in at NOK 182.7bln. Although lower than their expectations, Nordea notes that “the survey did not yet cover some big field developments such as Balder X which we assumed would be included”. In terms of metals, gold was consolidating between the USD 1470-1475/oz levels but saw some mild downside in recent trade on the WSJ source article. Market caution is, however, exerting downward pressure on Copper, which is heading towards weekly lows around USD 2.614/lbs after hitting weekly highs yesterday at USD 2.666/lbs.

US Event Calendar

  • 8:30am: Philadelphia Fed Business Outlook, est. 6, prior 5.6
  • 8:30am: Initial Jobless Claims, est. 218,000, prior 225,000; Continuing Claims, est. 1.68m, prior 1.68m
  • 9:45am: Bloomberg Consumer Comfort, prior 58; Bloomberg Economic Expectations, prior 49
  • 10am: Leading Index, est. -0.2%, prior -0.1%
  • 10am: Existing Home Sales, est. 5.49m, prior 5.38m; Existing Home Sales MoM, est. 2.04%, prior -2.2%

DB’s Jim Reid concludes the overnight wrap

I’ve been trying to predict the future of markets for nearly 25 years now and for the vast majority of that time have written an annual outlook. The fact that we published a new credit strategy one yesterday for 2020 suggests that I may not have got it 100% right every single year in the last quarter of a century and therefore still need to work. So maybe the people you should listen to for the year ahead no longer have to write outlooks!! Assuming you can’t find them then here is our view. Within the team we all think spreads will be wider in 2020 but there is a bit of disagreement on the magnitude. At one end Michal thinks that whilst valuations are stretched, it’s too early to price in the end of the cycle and he only has mild widening. At the other end I think the US cycle looks more vulnerable the nearer you get to 2021 – partly but not solely due to 2019’s yield curve inversions. So no certainties here but elevated risks. The 2020 US election could also be a big risk to markets depending on the Democratic candidate chosen. This risk could of course dissipate early in 2020 or could build. We don’t know yet but probability weighted outcomes suggest some risk premium is needed for it. In the note we show our trade preferences. For example, we expect further decompression between IG and HY, prefer US to EU HY and like Sterling IG. For more see the link here . This is the top level macro credit strategy view. Next week the team will do more detailed IG and LevFin 2020 notes with much more granularity about these universes.

Onto markets and back on October 11th, President Trump and China Vice President Liu He had a meeting and public briefing at the White House to confirm the “Phase One” arrangement. Indeed, looking back at the transcript this line from Mr Trump stands out, “We have come to a deal, pretty much, subject to getting it written. It’ll take probably three weeks, four weeks, or five weeks. As you know, we’re going to be in Chile together for a big summit. And maybe it’ll be then, or maybe it’ll be sometime around then.”

 

That summit in Chile was supposed to be last weekend before the domestic issues there led to it being cancelled. Nevertheless, it is now nearly six weeks since that trade breakthrough and rather than the market simply wondering when it will be signed there has to be a small but growing risk as to whether it gets signed at all.

Indeed, US markets were volatile again yesterday as trade news reverberated and outweighed earnings results. The S&P 500 dropped as much as -0.92% before retracing to end -0.38%. The DOW and NASDAQ were down a similar amount, -0.51% and -0.40% respectively. The initial move lower was driven by a Reuters article saying that a US-China trade deal might not get finished this year, citing sources close to the White House. However, Deputy Press Secretary Judd Deere then came out and said that “negotiations are continuing and progress is being made,” which arrested the decline and helped equities stabilise. For his part, President Trump spoke to reporters and said that he is fine with the status quo situation of tariffs on imports from China. He also said that “China would much rather make a trade deal than I would, I don’t think they’re stepping up to the level that I want.” Separate from the conflicting headlines about an imminent deal, the longer-term issue of US concern over the situation in Hong Kong came again to the fore, as the House of Representatives unanimously passed the same bill that the Senate passed unanimously on Tuesday.

The bill will now go straight to President Trump’s desk quicker than expected, since the two chambers no longer need to reconcile differences in language. This will force Trump to decide whether to accept the legislation, which could risk progress towards a phase one trade deal, or veto it and possibly face an override if two thirds of each chamber votes to overrule his veto. If he takes no action over the next ten days, the bill will automatically become law anyway. Bloomberg have a story this morning saying that “a person familiar” with events say he will sign it.

As a reminder, the bill requires the US State Department to certify each year whether Hong Kong should retain its special status and also places sanctions on those involved in human rights abuses. Reacting to the bill, the HK government said overnight that allowing the legislation to become law “would send the wrong signal to violent protesters, which doesn’t help in cooling the situation.”

Risk off is the theme in Asia this morning as a quick refresh of our screen shows that the Nikkei (-0.70%), Hang Seng (-1.65%), Shanghai Comp (-0.48%) and Kospi (-1.71%) are all trading in the red alongside almost all other markets in the region. However, most indices are off their respective intraday lows on positive trade comments by China’s top trade negotiator Liu He (more below). Elsewhere, futures on the S&P 500 are down -0.25% and yields on 10y USTs are down -1.5bps.

We also got a fresh set of trade headlines overnight with China’s Vice Premier Liu He saying in a private speech that he was “cautiously optimistic” about reaching a phase one deal. However, the speech which got reported by Bloomberg overnight, was made before the latest developments in the HK bill. In other news, President Trump said that he’s “looking at” exempting the iPhone maker from tariffs on goods imported from China while touring an Apple Inc. assembly plant in Texas.

Back to yesterday and in Europe, the STOXX 600 (-0.41%) also posted a small loss, while the DAX (-0.48%) was down similarly. Sovereign bonds advanced with bund yields down -0.7bps, while BTPs outperformed (-4.3bps).Ten-year Treasuries fell -4.1bps, while the US yield curve flattened for a 6th successive session, with the 2s10s -2.3bps to 16.2bps. Oil prices gained +2.45%, as official US data showed a smaller-than-expected build in stockpiles. The details for the report were also bullish, with a large increase in exports and a jump in refinery utilisation.

Regarding those positive earnings, both Target (+14.08%) and Lowe’s (+3.88%) bucked the previous day’s trend and surged to record highs yesterday as both companies raised their forecasts. The positive releases were in contrast to the poor Home Depot and Kohl’s announcements the previous day. On the whole, it’s been a pretty good earnings season, and of the 468 S&P 500 companies who’ve reported, 79% have reported a positive surprise on earnings for an aggregate beat of 4.75%. And in Europe, of the 414 in the STOXX 600 who’ve released, 58% have had a positive earnings surprise for an aggregate beat of 3.22%.

The FOMC minutes yesterday were full of interesting tidbits but bare on new substance. Officials continue to see risks as tilted to the downside, though some “have eased a bit.” Most officials now see rates as “well calibrated” after the October cut, though a couple of officials who supported the cut viewed it as a close call. There was an extended discussion about alternative monetary policy tools, with all participants agreeing that negative interest rates are currently an unattractive option. Many raised concerns about the prospect of capping long-term yields in a yield curve control-type framework, but a majority “saw greater benefits in using balance sheet tools to cap shorter-term interest rates and reinforce forward guidance.” As for nearer-term policy signals, there were disagreements about the pros and cons of starting a standing repo facility, which probably reduced the likelihood that any new program is announced before year-end.

In Europe, ECB Chief Economist Lane said that the institution is likely to launch a review of its policy strategy, possibly in a similar way to the Fed’s current policy review. He said that “we will make decisions fairly soon,” but emphasised that they want to take their time designing it before implementation.

Elsewhere in Europe, the European Commission gave its opinions on the draft budgets of Euro Area members yesterday. For 8 countries, including France, Italy and Spain, the Commission said that “the Draft Budgetary Plans pose a risk of non-compliance with the Stability and Growth pact in 2020.” Furthermore, their document said that “Belgium, Spain, France and Italy show declining or even negative primary balances, with debt only marginally declining or not declining at all, according to the Commission 2019 autumn forecast. … they are not taking sufficient advantage of recent declines in interest expenditure in order to reduce their debt ratios.” Italy in particular was identified as a risk, with the document saying that the “short-term sustainability of Italian public finances appears vulnerable to increases in the cost of debt issuance.”

Before we wrap up with yesterday’s data and the day ahead, yesterday we went live with the latest podcast from our Podzept series, where DB’s head of European Utilities Research, James Brand, shares his insights on ‘decarbonising heating’. Heating and cooling represents around half of all EU energy use and almost a quarter of all EU emissions. If European countries are serious about substantially reducing emissions, emissions from heating will need to be tackled. Click here to access or subscribe to Podzept on iTunes or Spotify.***

Recapping yesterday’s data releases, we saw further positive signs for US housing in the MBA’s weekly mortgage application index. Although weekly mortgage applications were down -2.2% last week, the purchase index rose to 270.4, its highest level since early July. It comes after the previous day saw US building permits rise to their highest level since the crisis. In terms of other data, German producer prices fell -0.6% yoy (vs. -0.4% expected), which was the biggest fall since September 2016. Meanwhile in Canada, inflation remained at +1.9% in October, in line with expectations, which comes ahead of Bank of Canada Governor Poloz speaking later today, so it’ll be interesting to see to what extent the possibility of rate cuts at the December meeting are left open. The current market pricing for a cut is at 22.7%.

Turning to the day ahead, from central banks we can expect the ECB’s account of their October monetary policy meeting, as well as policy decisions from South Africa and Indonesia. We’ll also hear from the ECB’s Mersch and de Guindos, along with the Fed’s Kashkari and Mester. In terms of data, we’ll get the Euro Area’s advance consumer confidence reading for November, French business confidence for November and the UK’s public finances for October. And from the US we’ll get the Philadelphia Fed’s business outlook for November, existing home sales and the leading index for October, and weekly initial jobless claims. Finally, the OECD will be releasing their economic outlook, and we’ll get earnings from Thyssenkrupp and Macy’s. Back on this side of the Atlantic, the opposition Labour Party will be launching their election manifesto today.

 

3A/ASIAN AFFAIRS

I)THURSDAY MORNING/ WEDNESDAY NIGHT: 

SHANGHAI CLOSED DOWN 7.41 POINTS OR 0.25%  //Hang Sang CLOSED DOWN 422.73 POINTS OR 1.57%   /The Nikkei closed DOWN 109.99 POINTS OR 0.48%//Australia’s all ordinaires CLOSED DOWN .74%

/Chinese yuan (ONSHORE) closed DOWN  at 7.0295 /Oil UP TO 57.06 dollars per barrel for WTI and 62.52 for Brent. Stocks in Europe OPENED RED /ONSHORE YUAN CLOSED DOWN // LAST AT 7.0294 AGAINST THE DOLLAR. OFFSHORE YUAN CLOSED DOWN ON THE DOLLAR AT 7.0332 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//USA

South Korea  breaks off talks with the uSA after the bill to house USA troops is $4.7 billion.The USA wants South Korea to help pay for these bases.

(zerohedge)

US-S.Korea Talks Abruptly Halted Over Trump’s $4.7BN Price Tag For Basing Troops

The Trump administration’s new $4.7 billion price tag suggested to South Korea two weeks ago to cover its share of the costs of housing American troops, which have been stationed on the peninsula as a deterrent against the north via US Indo-Pacific Command forces since 1957, has angered Seoul to the point that negotiations were abruptly cut off Tuesday.

Though South Korea had successfully negotiated cost sharing agreements for decades, the current timing to the crisis couldn’t be worse, given stalled US-DPRK talks and threats of new missile tests, not to mention the looming US presidential elections next year. CNN reports of the crisis:

The sudden end to the talks, which were in their third round, comes amid renewed tensions between the allies after President Donald Trump hiked the price tag for US forces roughly 400% for 2020, a move that frustrated Pentagon officials and deeply concerned Republican and Democratic lawmakers.

 

Osan Air Base, South Korea, via US Army/Stripes. 

Prior to the massive nearly $5BN price hike, South Korea already agreed to pay $920 million annually to maintain the roughly 29,000 US troops in the country.

Negotiations on Monday reportedly began with both sides optimistic, but Seoul said the US side walked out after the South Koreans balked at the Americans’ new whopping sum, and even a “new category” added to the obligations.

South Korea’s chief negotiator Jeong Eun-bo had described of the quickly failed meeting: “We couldn’t conduct the talk as plans as the US team left the venue.”

He said further, “We maintain our current stance that the cost division (between the US and South Korea) needs to be decided based on the Special Measures Agreement frame in which we have agreed for the past 28 years.”

 

The US side said it is giving their counterparts time to “reconsider” the demands, but no doubt trust has been severely eroded.

Late last week US Secretary of Defense Mark Esper told reporters at a briefing in Seoul that South Korea is “a wealthy country and could and should pay more” for the deployment of US forces on its soil.

But there’s also be possibility that the US side is bluffing in order to squeeze more money, given that so far Washington hasn’t suggested that it’s willing to reduce troops levels, and certainly won’t abandon its bases altogether.

end

b) REPORT ON JAPAN

 

3 C CHINA

CHINA/USA

Both houses vote to back Hong Kong protesters and Trump is now expected to sign the bill. China is furious

(zerohedge)

Futures Slide After House Joins Senate In Landslide Vote Backing Hong Kong Protesters; Trump Expected To Sign Bill

Update: the trade deal with China, not that it ever existed, is now dead and buried if the following headline from Bloomberg is accurate:

  • TRUMP EXPECTED TO SIGN HONG KONG BILL: PERSON FAMILIAR

In response, futures slide below 3,100, as not even the massive “gamma gravity” at 3,100 can hold the market any more.

And now we go straight to LeBron James for his hot take on recent developments.

* * *

One day after the Senate unanimously passed a Bill backing Hong Kong’s pro-democracy protesters, and spawning a wave of complaints and threats from China which warned it would retaliate, moments ago the U.S. House of Representatives followed in the footsteps of the Senate, and in a nearly unanimous vote cleared legislation supporting pro-democracy protesters in Hong Kong by requiring an annual review of whether the city is sufficiently autonomous from Beijing to justify its special trading status, defying objections from China.

The bill, S. 1838, which would require annual reviews of Hong Kong’s special status under U.S. law and sanction officials deemed responsible for human rights abuses and undermining the city’s autonomy, passed the House 417-1 late on Wednesday afternoon setting up a confrontation with Beijing that could imperil a long-awaited trade deal between the world’s two largest economies.

The bill now goes to Trump as soon as Thursday to be vetoed or signed into law, according to a congressional aide.

While the White House declined to comment on whether Trump will sign the legislation, Trump’s position is now acutely precarious because Congress would easily be able to override any veto. If Trump signs the bill, he could torpedo the trade talks, while refusing to sign it would give his political opponents a chance to attack him for being weak on China, while at the same time facing an ongoing impeachment process.

“The Congress is sending an unmistakable message to the world that the United States stands in solidarity with freedom-loving people of Hong Kong and that we fully support their fight for freedom,” Speaker Nancy Pelosi said on the House floor. “This has been a very unifying issue for us.”

Trump has been silent as the Hong Kong protests escalated into violence in recent weeks, even as lawmakers of both parties demanded action on the measure. Chinese officials quickly responded to the bill’s Senate passage Tuesday, saying Beijing “firmly” opposes the congressional action, which it considers a grave violation of international law.

“We stand in solidarity with the people of Hong Kong,” said Republican Representative Chris Smith, who has been pushing the legislation since Hong Kong protests in 2014. “There will be strong sanctions, other ramifications for this crackdown.”

After dropping 24 hours ago when the Senate first passed the bill, US equity futures dipped modestly following news of the bill’s passage in the House.

Meanwhile, as markets keep an eye on what Trump will do now, they will also be looking at China’s response. As we reported earlier, the Global Times editor in chief Hu Xijin tweeted early on Wednesday that “China wants a deal but is prepared for the worst-case scenario, a prolonged trade war.”

Hu Xijin 胡锡进

@HuXijin_GT

Few Chinese believe that China and the US can reach a deal soon. Given current poor China policy of the US, people tend to believe the significance of a trade deal, if reached, will be limited. China wants a deal but is prepared for the worst-case scenario, a prolonged trade war. https://twitter.com/Reuters/status/1197019236708896769 

Reuters

@Reuters

Trump says China would have to make a deal he likes and threatens to raise tariffs further if no trade deal is reached with Beijing https://reut.rs/2qvX9WK

Embedded video

To be sure, any aggressive response by China to the bill’s passage will not only make the passage of any trade deal in 2019 impossible, but will likely lead to even more antagonism and escalation in the coming months, something which Trump has been eager to avoid with the presidential elections less than a year ago.

On the other hand, even though China’s Xi Jinping doesn’t have to worry about electoral pressure – as he recently crowned himself ruler for life – he also wants to stop the bleeding and avoid more tariff increases, including one still due to take place in December. And Xi may be under pressure within the Communist Party: A rare leak to the New York Times this week of internal documents showing human-rights abuses in Xinjiang signaled some dissent in China’s opaque political system.

Beijing has other options too: beyond merely delaying trade talks, it could hit out at U.S. companies (most notably Apple), halt cooperation on enforcing sanctions related to North Korea and Iran, recall the Chinese ambassador to the U.S. or downgrade diplomatic relations. It could also further tighten rare earth metal exports.

Yet according to many, the most likely outcome is that for all its huffing and puffing, China will do, well, nothing. After all, when it comes to Hong Kong, Trump already has enormous leverage, and as Bloomberg notes, under the Hong Kong Policy Act of 1992, the U.S. president can issue an order removing the special trading status that underpins its economy, potentially with devastating consequences.

And since Beijing realizes will only do that if extremely provoked, it is likely to limit itself to “very high-sounding, rhetorical responses” rather than concrete actions hitting American economic interests, according to Willy Lam, an adjunct professor at the Chinese University of Hong Kong’s Centre for China Studies, who has authored numerous books on Chinese politics.

“The Chinese will, of course, cry foul, but the real reaction may not be that severe,” Lam said. “They will watch the situation and make a judgment later.”

We’ll find out in the next several days if this take was correct.

END
Hong Kong
Wealthy Hong Kong citizens are now making contingency plans to move out of the city. No doubt that those that have gold stored under the airport will move that gold to Singapore..a very safe place to store gold
(zerohedge)

Wealthy Hong Kongers Are “Activating Contingency Plans” As Violence Spirals Out Of Control

We’ve written plenty about how the unrest rattling Hong Kong hash shaken up its economy and threatened one of its most important industries – tourism – while millions of savers have seen the values of their homes decline, a trend that could seriously threaten the region’s financial system.

Earlier in the summer, we mapped out how both middle class and wealthy Hong Kongers are looking in several places as potential escape routes if living and working in Hong Kong simply becomes too difficult to sustain.

Malaysia, Taiwan, Singapore – these are some of the places Hong Kongers tired of the unrest and worried about a further crackdown by Beijing are eyeing. But while contingency plans are being drawn up, according to Bloomberg, few Hong Kongers have actually started utilizing their newly-developed ratlines, though that might change after some of the worst violence since the demonstrations started unfolded over the past week.

 

The heads of UBS, Credit Suisse and Standard Chartered said during interviews at the New Economy Forum in Beijing that Hong Kongers are mostly trying to wait out the violence, as far as they can tell. Goldman Sachs, meanwhile, isn’t seeing any change of behavior among major financial clients, but still “the situation needs to be resolved” soon, said CEO David Solomon.

As we’ve written about, so far, Hong Kong’s tourism is on track to take a 20% dive this year, and the drop has already surpassed the SARS outbreak of 2003 in severity. The economy of the former British colony is taking a beating, with retailers, restaurants and hotels cutting wages or letting staff go for fear of not surviving the downturn.

Many worry that if tensions continue to mount, it could hurt Hong Kong’s financial industry.

 

“We’ve seen clients open accounts in Singapore, Malaysia and Taiwan, in that order,” said Standard Chartered CEO Bill Winters during and interview with BBG. “But while the accounts were set up, not a lot of money has actually moved. We’re not seeing a crescendo.” Similarly, UBS Chief Sergio Ermotti said the Swiss bank has seen clients “activating contingency plans.”

Even bankers haven’t been able to avoid job losses. Many are now looking abroad for jobs as some have been assaulted by protesters and accidentally mistaken for protesters by police. A Citigroup investment banker was detained by police last week, while a JPM employee was punched outside the company’s main Hong Kong offices last month.

Politics have also become a distraction for all. At Standard Charted the directive is clear, said CEO Bill Winters: “You leave your politics at home because we’re here to work.”

end

China/Hong Kong/USA

china warns that if they pass the bill on Hong Kong Human rights will kill the USA//China trade deal

(zerohedge)

 

Stocks Dive After Chinese Media Warn Trump Signing Hong Kong Bill Could Kill Trade Deal

A day which has already had a near-record number of “trade deal on/trade deal off” twists and turns just got its latest reversal, when not long after Hong Kong’s SCMP boosted futures to session highs when it “reported” citing an unnamed source that the US would be willing to delay the Dec 15 tariffs even if there is no trade deal, warned – again – that the pro-Hong Kong Bill passed by Congress on Wednesday, i.e., the Hong Kong Human Rights and Democracy Act, could become a major obstacle to a trade deal between the US and China, “with Beijing closely watching developments.”

While US President Donald Trump is not expected to veto the bill, which enjoys broad bipartisan support, even the symbolic aspects may carry an extra significance – with a high-profile signing ceremony likely to further anger the Chinese government.

“The Hong Kong issue has the potential to influence the process of the trade talks. China will have to respond … if Trump signs it into law,” said one person who is familiar with the trade talks.

Quoting unnamed (of course) sources again, the SCMP also said said that in a worst-case scenario, China was willing to “fight and talk alternatively”.

A separate but similar report run by China’s Xinhua News Agency warned that legislation passed by Congress on Hong Kong is a “fiasco of interfering with other nations’ internal affairs” and is a U.S. miscalculation is due to fail.

The report went on to say that ensuring “one country, two systems” in Hong Kong for the city’s prosperity and stability is in the common interest of international community.

It then cautioned that “US politicians’ acts to harm Hong Kong’s position of international center of finance, shipping and trade via legislation will also undermine other nations’ interests, including the U.S.” This too was a clear warning that China may scuttle the trade deal if the Bill is passed.

 

In short, nothing really new here – all of this has already been noted by China – but the algos of course are very eager to pretend some new piece of market-moving information just hit. As a result, two hours after hitting session highs, S&P futures were back to the lows, and below 3,100 once again.

end

Bi partisan USA senators demand Trump to halt Huawei license approvals

(zerohedge)

15 US Senators Demand President Trump To Halt Huawei License Approvals

Reuters is now reporting that more than a dozen US senators have demanded the Trump administration to halt the Commerce Department from issuing licenses to US firms that conduct business with Huawei.

On Wednesday, the Trump administration allowed some suppliers to restart sales with the Chinese telecom after it was placed on a blacklist for national security threats over the summer.

The Commerce Department started issuing licenses on Wednesday to some US firms to conduct business with Huawei. One US official told Reuters that 300 license requests were filed, and half of those requests were processed by late Wednesday. Another source told Reuters that most of the licenses were for sales of cell phone and non-electronic parts.

But by Thursday, a bipartisan group of 15 US senators had enough with President Trump’s games. They demanded the administration to halt the Commerce Department from issuing licenses immediately.

Senators wanted the administration to provide Congress with a detailed report outlining specific criteria for determining whether or not the approval of any license poses a national security threat.”

The letter was signed by Senate Democratic Leader Chuck Schumer and Republican Senator Tom Cotton; the demands read: “congressional leaders “be notified prior to the issuance of any licenses to US firms to sell components to Huawei and its affiliates.”

Republicans Ben Sasse, John Cornyn, Josh Hawley, and Rick Scott and Democrats Elizabeth Warren, Richard Blumenthal, Ron Wyden, and Cory Booker also signed the letter.

President Trump has slammed Huawei for spying and put it on a trade blacklist over the summer after trade talks with China collapsed. The blacklist has prevented US firms from selling electrical components to Huawei unless granted special licenses.

The Trump administration has spent a great deal of effort in labeling Huawei as a national security threat but now wants companies to do business with the Chinese telecom. The idea behind granting licenses was to produce positive “trade optimism” and save stocks from rolling over.

 

4/EUROPEAN AFFAIRS

Two important points here:  The ECB now admit that low interest rates have caused excessive risk taking and also the negative interest rates have causes bank profitability to plummet

(zerohedge)

 

In Bizarre Admission, ECB Warns Its Policies Threaten Financial Stability, Could Lead To A Crash

Is the world’s largest hedge fund central bank finally starting to appreciate the devastating consequences of its asset reflating ways?

In some ways it is almost ludicrous to presume that a central bank which at the beginning of the year laughably “found” that its QE has reduced inequality in the eurozone…

zerohedge@zerohedge

The ECB also “found” that QE which has led to record inequality and unprecedented social upheaval has “reduced inequality” https://twitter.com/ecb/status/1090536758016655365 

European Central Bank

@ecb

ECB asset purchases have reduced inequality in the eurozone, our research shows. They have especially benefited low-income households, which suffer the most from unemployment. Full Research Bulletin here https://www.ecb.europa.eu/pub/economic-research/resbull/2019/html/ecb.rb190129.en.html?utm_source=ecb_twitter&utm_medium=social&utm_campaign=190130_rb_january_2019&utm_content=qe_inequality_2019 

View image on Twitter

… may have finally looked in the mirror objectively, and yet on Wednesday, it was the ECB which admitted that historically low eurozone interest rates – which it is solely responsible for – and which are expected to persist into the foreseeable future (and beyond) are causing increased risk-taking that could threaten financial stability.

“While the low interest rate environment supports the overall economy, we also note an increase in risk-taking which could… create financial stability challenges,” ECB vice-president Luis de Guindos said non-ironically in a statement… which to us sounds an awful close to a mea culpa. Then again, we know that central banks never admit responsibility for “increases in risk-taking” so we wonder if he was just trolling everyone.

Or perhaps he isn’t: “Signs of excessive risk-taking” were spotted by the Frankfurt central bank among non-bank financial players like “investment funds, insurance companies and pension funds.” Indeed, many “have increased their exposure to riskier segments of the corporate and sovereign sectors” the central bank said. Of course, it is the ECB’s own policy of negative yields has prompted investors to seek out riskier bets in search of returns.

Curiously, while the ECB’s twice-yearly update to its risk assessment shifted focus from May’s trade war concerns, “downside risks to global and euro area economic growth have increased” in the meantime, it warned. Such dangers included “persistent uncertainty, an escalation in trade protectionism, a no-deal Brexit and weak performance of emerging markets,” notably China, the ECB said.

In another stark admission of reality, the ECB said that an economic downturn – one which is virtually assured for Europe – could crash prices for riskier and less liquid assets as actors like asset managers or hedge funds sell up in a hurry.

“This may have implications for the ease and cost of corporate financing which could exacerbate any real economy downturn,” the ECB warned, adding that elsewhere in the economy, lower interest rates also “appear to be encouraging more borrowing by riskier firms” in non-financial sectors, as well as inflating property prices in some parts of the eurozone.

If only there was something the ECB could do to prevent this…

Alas it won’t, because returning to a far more familiar place, the ECB judged that authorities in the 19 eurozone countries were already taking steps to head off financial stability risks from property bubbles.

 

Meanwhile the central bank found that “bank profitability concerns remain prominent” as growth has weakened and eurozone policymakers further lowered a key interest rate in September. As well as outside pressure, banks “have made slow progress in addressing structural challenges.”

Here, for some odd reason, the ECB valiantly refuses to admit that keeping the yield curve consistently negative is catastrophic for bank profitability, and instead of admitting fault, the central banks points to silly diversions such as banks that do not have Apple apps. The central bank also points to “slow improvements” on multiple fronts to explain lack of bank profits, like disposing of so-called “non-performing” loans, where borrowers have fallen behind on payments.

Lenders must also cut costs and reduce overcapacity, and are largely failing to diversify their businesses, the ECB judged, effectively urging banks to keep firing people. Because it’s not like the Eurozone has an unemployment problem.

The good news according to the ECB: most banks have the liquid assets on hand to withstand any foreseeable financial shocks.

We’ll find out soon enough.

END

UK

Boris Johnson is uniting the Conservative Party and he is gaining in the polls while Labour under Corbyn is faltering

(zerohedge)

Mish: Without A Doubt, Boris Johnson United The Tory Party

Authored by Mike Shedlock via MishTalk,

Boris Johnson united the Tories. In contrast, Jeremy Corbyn failed to unite Labour.

Six Point Compelling Picture In Chronological Order

  1. Theresa May failed to deliver Brexit.
  2. Support for the Tory Party collapsed.
  3. Support for the Brexit Party soared.
  4. Support for the Labour party collapsed as well
  5. Things reversed for the Tories the moment it became apparent Boris Johnson would be the next Prime Minister.
  6. Support for Labour, even after a recent surge languishes well below where it was a year ago.

You can like the trends or not, but there is no denying what the chart shows.

Meanwhile, I keep hearing ad nauseum that Labour is ahead of where it was when Theresa May called for elections in 2017.

Let’s investigate that notion.

Polling Trends in 2017

We are Here

Please compare the above chart with the lead chart.

Spot any differences?

For starters, Corbyn is not ahead af 2017. It seems to be a tie with Corbyn fading fast.

This is Not 2017

  • This is 2019, not 2017.
  • The trends before and since the election was called are not remotely comparable.
  • Theresa May was never very popular or likeable.
  • Corbyn was in a honeymoon period.
  • Today, Corbyn is the most unpopular opposition leader in UK history.

Corbyn is Amazingly Unpopular

John Burn-Murdoch

@jburnmurdoch

NEW: everyone knows Corbyn’s unpopularity is a problem for Labour, but I’m not sure people appreciate how bad it is https://www.ft.com/content/f799e14e-0ae8-11ea-b2d6-9bf4d1957a67 

Corbyn’s net satisfaction ratings are at -60, by far the lowest going into an election since @IpsosMORI started tracking this in 1979.

View image on Twitter

Unless there is some sort of debate rally, Corbyn will be behind in 3 days, way behind in a week, and undeniably and impossibly behind in two weeks with the election the following week.

That is what the trends say. There is no point in denying the obvious.

Let’s discuss why this is.

Corbyn’s Message Does Not Resonate

Corbyn’s message “Negotiate a deal then hold a referendum on it” does not resonate.

And why should it?

People, even Remainers are sick of this. Corbyn pledged to honor the referendum and didn’t.

He wants another one. And after a bit he will support a referendum for Scotland too. He refused to rule it out.

And if he needs SNP support to break a deadlock in the case of a hung election, is there any doubt he won’t grant one immediately?

Union Question

A question came up in the debate: Is the union more important than Brexit?

Johnson answered yes. Corbyn didn’t. He couldn’t because he supports a Scotland referendum, not now, but later.

Of course, later means now if there is a hung election. For all this talk of Johnson busting up the union, please take a look at Corbyn.

I saw no media commentary on this at all. I wonder what the fence sitters think.

UK Election Debate: Johnson Wins by Not Losing

Yesterday, I commented UK Election Debate: Johnson Wins by Not Losing

A YouGov poll gave Johnson a small win. Look, a 51-49 “victory” is a tie in this kind of thing.

The media commentary on the outcome was quite amazing.

The Guardian and others proclaimed Corbyn the winner, despite the immediate polls, because Corbyn did better than expected and allegedly landed more blows.

Say what?

Boring Debate

I watched the entire debate. For the most part it was boring. And boring is precisely what Johnson wanted.

If anything, Johnson went well out of his way to be purposely boring!

 

Let that sink in.

Corbyn did not need boring, he needed a blowout and failed to deliver. If you score the debate by what was needed, Corbyn lost badly.

Nonetheless, straight up, I stick with my assessment: It was a tie. Spin that however you want because I just did.

Referendum on Corbyn

Despite Johnson’s insistence on making this a referendum on Brexit, what’s really happening is the campaign has morphed into a referendum on Corbyn himself.

That’s a pretty amazing poll.

A whopping 51.9% of men and 42.0% of women believe johnson would make the best Prime Minister!

Also note that Jo Swinson tops Jeremy Corbyn among women and age groups 55-64 and 65-74.

Not even 18-24 year-olds prefer Corbyn. The only demographic in which Corbyn leads is 25-34 year-olds.

For further discussion of the above chart, please see Fear of Corbyn Outweighs Fear of Brexit.

Expect More Boringness

At this juncture, Johnson simply wants to avoid any major gaffes.

Expect more “Let’s get Brexit Done” boringness.

end

5. RUSSIAN AND MIDDLE EASTERN AFFAIRS

Lebanon

This country is now out of control.  Protesters have blocked entry to their Parliament.  Lebanon has lost 10 billion dollars as citizens remove their dollars and place them under their mattress fearing a banking collapse.  For the first time error dollar yields on bonds is now over 100 %.  Debt to GDP is over 150%. Lebanon’s GDP is a tiny 56 billion dollars yet its debt is 80 billion. Lebanon’s saving grace is that it has 289 tonnes of official gold. It is now time to remove Hezbollah from governing affairs.

(zerohedge)

Lebanon Lost $10BN In Bank Deposits Since August; Bond Yields Soar Past 100% Into “Venezuela Territory”

Protest-racked Lebanon over the past month has seen its banks opened for only half that time. First, the deteriorating security situation since Oct. 17 forced their closure for two weeks, with the country’s association of banks then fearing a run on deposits, and after a brief opening staff went on strike, citing personal safety at the hands of angry citizens demanding their cash from the “thieving” banks (literally in some cases involving clients with guns).

Banks reopened Tuesday after the latest week-long closure interval, though with security personnel-enforced restrictions on hard currency withdrawals and transfers abroad.

This as Lebanese parliament was prevented from holding a session Tuesday when protesters blocked the outside of the building, forcing SUVs carry Lebanese MPs to turn back when demonstrators rushed their convoy, also amid gunfire ringing out. Parliament postponed the session indefinitely, according to Reuters.

 

Protest in front of the Lebanese Central Bank, Image source: EPA-EFE. 

And now the predicted and long expected tidal wave capital flight, despite dubious “silver bullet” attempts at imposing controls, is underway.

Lebanon has lost over $10 billion of its bank deposits since AugustBloomberg reports, citing The Institute of International Finance (IIF). In a new report, IIF chief economist Garbis Iradian writes, “Half of this decline represents withdrawals from the country, while the other half remains as cash under mattresses in Lebanon.”

Video showing protesters chasing away members of parliament as they attempted to approach the building Tuesday:

Kareem Chehayeb | كريم

@chehayebk

An MP’s convoy of 3 cars tries to drive past protestors blocking the road, who then try to stop the car & throw bottles and other small objects

One bodyguard opens the window & shoots warning shots into the air — then appears to detour.

(Video via an eyewitness)

Embedded video

Further alarming is that yields on some of the country’s dollar bonds are now entering socialist Venezuela territory, Bloomberg writes:

The political crisis in Lebanon has sent yields on some of its dollar bonds into triple digits.

Rates on the government’s $1.2 billion of notes maturing in March next year have climbed 28 percentage points this week to 105%. They were at 13% five weeks ago, just before the start of protests that led to the resignation of Prime Minister Saad Hariri and exacerbated the nation’s economic woes.

Dollar yields reaching 100% is extremely rare, territory which debt-strained Argentina has yet to even enter.

“With Lebanon viewed by many bond traders as a default waiting to happen, cash prices have become more important than yields as they factor in potential recovery rates,” the Bloomberg analysis continues.

 

“That’s inverted the government’s curve and distorted yields at the shorter end. The price of Lebanon’s 2020 debt is 77 cents on the dollar, while that of its April 2021 securities is 56 cents,” the report adds.

Though Lebanon can boast it’s never defaulted on its sovereign debt  now standing at $86 billion, or 150% of GDP and with the finance ministry vowing it can pay off a $1.5bn bond maturing this month  it’s never seen a crisis of this magnitude, causing economists to urge Beirut to pursue a debt restructuring plan as the default risk worsens.

 

Image via Middle East Institute 

Given that most of the country’s debt is held by local banks, and with the scene of police literally standing at teller windows having to enforce controls and restrain patrons from removing all of their own money, a vicious cycle has clearly begun.

END

ISRAEL

NETANYAHU charged with bribery and fraud but the charges seem minor in comparison to what we witness here in the est.

(zerohedge)

Benjamin Netanyahu Charged With Bribery And Fraud In Corruption Probe

The Israeli Attorney General has indicted prime minister Benjamin Netanyahu on corruption charges after months of uncertainty over whether Netanyahu would be able to retain his leadership of the country. Netanyahu will be charged with corruption by Israeli prosecutors, including charges of bribery and fraud, a spokesman for the country’s justice ministry said.

Netanyahu, a four-time premier, is to be charged with bribery in one case, and with fraud and breach of trust in all three cases in which he allegedly made illicit deals either with supporters or with local businesses, in exchange for gifts or cash.

 

According to RT, the most severe case involves charges of altering telecom regulations in favor of telecom company Bezeq, whose owner, Shaul Elovitch, also ran news site Walla News. Flush with a $500 million windfall, Elovitch would allegedly press his editors to make coverage more favorable to the Netanyahus. That case involves a bribery charge on top of breach of trust and fraud, and Elovitch and his wife are also facing bribery charges.

Attorney General Avichai Mandelblit announced the indictment in a statement on Thursday.The PM strenuously denies the charges, and is not obligated to resign because of them. However, his trouble forming a coalition government is likely to become more severe. He is expected to make a statement soon, while asking supporters to gather near his official residence in Jerusalem to protest the indictment.

end

 

 

6.Global Issues

 

7. OIL ISSUES

 

8 EMERGING MARKET ISSUES

 

 

 

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

Euro/USA 1.1085 UP .0007 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 /RED

 

 

USA/JAPAN YEN 108.56 UP 0.093 (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 1.2952   UP   0.0027  (Brexit March 29/ 2019/ARTICLE 50 SIGNED/BREXIT FEES WILL BE CAPPED/BREXIT EXTENDED TO OCT 31/2019//

USA/CAN 1.3311 UP .0008 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  THURSDAY morning in Europe, the Euro ROSE BY 7 basis points, trading now ABOVE the important 1.08 level RISING to 1.1085 Last night Shanghai COMPOSITE CLOSED DOWN 7.41 POINTS OR 0.25% 

 

//Hang Sang CLOSED DOWN 422.73 POINTS OR 1.37%

/AUSTRALIA CLOSED DOWN 0,74%// EUROPEAN BOURSES ALL RED

 

Trading from Europe and Asia

EUROPEAN BOURSES ALL RED 

 

 

2/ CHINESE BOURSES / :Hang Sang CLOSED DOWN 422.73 POINTS OR 1.57%

 

 

/SHANGHAI CLOSED DOWN 7.41 POINTS OR 0.25%

 

Australia BOURSE CLOSED DOWN. 74% 

 

 

Nikkei (Japan) CLOSED DOWN 109.99  POINTS OR 0.48%

 

 

 

INDIA’S SENSEX  IN THE RED

Gold very early morning trading: 1470.10

silver:$17.09-

Early THURSDAY morning USA 10 year bond yield: 1.75% !!! UP 1 IN POINTS from WEDNESDAY’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 1  IN BASIS POINTS from WEDNESDAY night.

USA dollar index early THURSDAY morning: 97.92 DOWN 12 CENT(S) from  WEDNESDAY’s close.

This ends early morning numbers THURSDAY MORNING

xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx6

And now your closing THURSDAY NUMBERS \1: 00 PM

Portuguese 10 year bond yield: 0.42% UP 4 in basis point(s) yield from YESTERDAY/

JAPANESE BOND YIELD: -.11%  DOWN 0   BASIS POINTS from YESTERDAY/JAPAN losing control of its yield curve/56

SPANISH 10 YR BOND YIELD: 0.45%//UP 3 in basis point yield from yesterday.

ITALIAN 10 YR BOND YIELD:1,17 DOWN 3 points in basis points yield from yesterday./

 

 

the Italian 10 yr bond yield is trading 72 points higher than Spain.

 

GERMAN 10 YR BOND YIELD: RIESS TO –.32% IN BASIS POINTS ON THE DAY//

THE IMPORTANT SPREAD BETWEEN ITALIAN 10 YR BOND AND GERMAN 10 YEAR BOND IS 1.49% 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 1.1066  DOWN     11008 or 11 basis points

USA/Japan: 108.59 UP .118 OR YEN DOWN 12  basis points/

Great Britain/USA 1.2906 DOWN .0019 POUND DOWN 19  BASIS POINTS)

Canadian dollar UP 29 basis points to 1.3282

 

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The USA/Yuan,CNY: AT 7.0324    ON SHORE  (DOWN)..GETTING DANGEROUS

THE USA/YUAN OFFSHORE:  7.0291  (YUAN DOWN)..GETTING REALLY DANGEROUS

TURKISH LIRA:  5.7036 EXTREMELY DANGEROUS LEVEL/DEATH WISH.

the 10 yr Japanese bond yield closed at -.11%

 

Your closing 10 yr US bond yield UP 2 IN basis points from WEDNESDAY at 1.76 % //trading well ABOVE the resistance level of 2.27-2.32%) very problematic USA 30 yr bond yield: 2.23 UP 1 in basis points on the day

Your closing USA dollar index, 97.92 UP 1  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 THURSDAY: 12:00 PM

London: CLOSED DOWN 29.81  0.41%

German Dax :  CLOSED DOWN 5.81 POINTS OR .04%

 

Paris Cac CLOSED DOWN 6.16 POINTS 0.10%

Spain IBEX CLOSED DOWN 11.50 POINTS or 0.12%

Italian MIB: CLOSED DOWN 57.53 POINTS OR 0.25%

 

 

 

 

 

WTI Oil price; 58.01 12:00  PM  EST

Brent Oil: 63.27 12:00 EST

USA /RUSSIAN /   RUBLE RISES:    63.72  THE CROSSLOWHER BY 0.11 RUBLES/DOLLAR (RUBLE HIGHER BY 11 BASIS PTS)

 

TODAY THE GERMAN YIELD FALLS  TO –.32 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 :  58.43//

 

 

BRENT :  63.74

USA 10 YR BOND YIELD: … 1.77..PLUS 2 BASIS PTS….

 

 

 

USA 30 YR BOND YIELD: 2.23..PLUS 2 BASIS PTS….

 

 

 

 

 

EURO/USA 1.1058 ( DOWN 20   BASIS POINTS)

USA/JAPANESE YEN:108,61 UP .132 (YEN DOWN 13 BASIS POINTS/..

 

 

USA DOLLAR INDEX: 98.00 UP 7 cent(s)/

The British pound at 4 pm   Britain Pound/USA:1.2905 DOWN 20  POINTS

 

the Turkish lira close: 5.6994

 

 

the Russian rouble 63.70   UP 0.13 Roubles against the uSA dollar.( UP 13 BASIS POINTS)

Canadian dollar:  1.3283 UP 20 BASIS pts

USA/CHINESE YUAN (CNY) :  7.0324  (ONSHORE)/

 

 

USA/CHINESE YUAN(CNH): 7.0310 (OFFSHORE)

 

German 10 yr bond yield at 5 pm: ,-0.34%

 

The Dow closed DOWN 55.07 POINTS OR 0.20%

 

NASDAQ closed DOWN 20.52 POINTS OR 0.24%

 


VOLATILITY INDEX:  13.33 CLOSED UP .55

LIBOR 3 MONTH DURATION: 1.898%//libor dropping like a stone

 

USA trading today in Graph Form

Bonds, Stocks, Bitcoin, & Bullion All Drop As Trade-Deal Hope Tumbles

Up, down; buy, sell; impeach, don’t impeach; deal, no deal… it’s enough to make you go full Ari

Amid an avalanche of misdirecting headlines and statements on the trade-deal…

Source: Bloomberg

…the market has reduced its odds of a deal happening…

Source: Bloomberg

Chinese stocks extended their losses overnight but ChiNext remains green on the week…

Source: Bloomberg

European stocks ended the day lower despite a desperate rally effort after the early tumble…

Source: Bloomberg

US equities were red on the day led by Small Caps

 

 

 

S&P Futs pinned around 3100 once again as gamma dominates…

 

Rather notably, the aggregate return of bonds and stocks was negative today…

Source: Bloomberg

Each trade headline was met with a rapid momo ignition as algos attempted to squeeze shorts…

 

Source: Bloomberg

Vol has been collapsing of late but today we saw the VIX term structure notable flatten…

Source: Bloomberg

Is Equity risk starting to catch up to credit risk’s break?

 

Source: Bloomberg

Treasury yields rose 2-3bps across the curve today – despite equity weakness…

 

Source: Bloomberg

The Dollar managed gains for a second day, reversing overnight weakness during the US session once again…

 

Source: Bloomberg

Offshore Yuan also rallied today…

 

Source: Bloomberg

Cryptos were pummeled lower today…

 

Source: Bloomberg

With Bitcoin crashing below $7500 briefly intraday…

Source: Bloomberg

PMs drifted modestly lower today (USD strength) despite trade deal hope fading but oil prices continued to rip…

 

Source: Bloomberg

WTI surged above $58 on the heels of a Reuters report that OPEC and its allies, including Russia, are likely to agree to extend crude production cuts until mid-2020 when they meet next month…

And finally, we note that Buttigieg has overtaken Biden…

Source: Bloomberg

And just in case you heard someone claiming the equity rally is in tact because credit hasn’t shown any signs of cracking… that’s not true… the junkiest debt is blowing out drastically…

Source: Bloomberg

And then there’s the fun-durr-mentals – Bloomberg reports that The Conference Board’s index of leading economic indicators has fallen three straight months, the worst streak since 2016.

Source: Bloomberg

“The major difference this month is the softening in the labor market, whereas conditions in manufacturing remain weak and show no signs of improvement yet,” Ataman Ozyildirim, senior director of economic research, said in a statement.

 

end

This should be lots of fun:  Lindsay Graham requests full transcripts of Joe Biden’s calls with Ukrainian president.

(Sara Carter)

Lindsay Graham Requests Full Transcripts Of Joe Biden’s Calls With Ukrainian President

Via SaraACarter.com,

Senate Judiciary Committee Chairman Lindsey Graham, (R-SC) confirmed in an interview with Sean Hannity on Fox News that he is sending a letter to Secretary of State Mike Pompeo requesting the transcripts of three phone calls the senator said then-Vice President Joe Biden had with then-Ukrainian President Petro Poroshenko.

Graham said the phone calls coincided with the time frame in which a Ukrainian prosecutor, once praised for going after the head of natural gas company Burisma Holdings – a person Graham said was known as the “dirtiest guy in Ukraine” by one top American official – was fired.

 

Sara A. Carter

@SaraCarterDC

BREAKING: @LindseyGrahamSC demands from @StateDept the transcripts of the calls between fmr VP @JoeBiden and the fmr Ukrainian President. ||

More: https://saraacarter.com 

Embedded video

Burisma was the company on which Hunter Biden, the son of the 2020 Democratic candidate, sat on the board.

“I want to know are there any transcripts or readouts of the phone calls between the vice president and the president of Ukraine in February [2016] after the raid on the gas company president’s house,” said Graham.

“After this raid, Hunter Biden kicks in. Hunter Biden’s business partner meets with [then-Secretary of State] John Kerry, and Vice President Biden on three occasions makes a phone call to the president of Ukraine and goes over there in March and they fire the guy, and this is the same man that the ambassador wanted investigated in 2015.”

Graham added he found it “odd” that instead of lauding the Ukrainian prosecutor, Viktor Shokin, for investigating the Burisma chairman, he was instead relieved of his duties.

 

He said that in 2015, President Obama’s ambassador to Ukraine, Geoffrey Pyatt, said in a speech he wanted Shokin to be more forceful in his investigation of domestic corruption.

“The one person he named as being a sleazebag was the president of Burisma,” Graham remarked.

Is Lindsay Graham a conspiracy theorist too?

end

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

MARKET TRADING//USA

 

a)Market trading/LAST NIGHT/USA

A JOKE!!!

Futures Spike After China’s Top Trade Negotiator Says “Cautiously Optimistic” About Phase 1

Futures slumped for just over three hours amid fears that the US-China trade deal was hopelessly lost and in anticipation of Chinese retaliation for Congress voting unanimously to support Hong Kong protesters, before a burst of optimism was injected. Only there was a surprise twist: instead of the optimism coming from Kudlow, or Ross, or even a Trump tweet, this time it was China that did what it could to push up US equity futures.

As Bloomberg reported, China’s chief negotiator and vice premier Lie He, said Wednesday night that he was “cautiously optimistic” about reaching a phase one trade deal with the U.S., even as tensions over Hong Kong soar while trade talks continue to stretch out without even a meeting date still agreed upon.

How do we know this? Because as Bloomberg reports, “Liu He made the comments in a speech in Beijing” although not in public, but rather to an Impeachment-style whistleblower, i.e., “according to people who attended the dinner and asked not to be identified.”

It was unclear why, if Liu He was truly “cautiously optimistic“, officials wouldn’t say so in public, and instead we would have to rely on a deep throat Bloomberg source, who refused give his name. This unnamed source said that He also explained China’s plans “for reforming state enterprises, opening up the financial sector, and enforcing intellectual property rights — issues which are at the core of U.S. demands for change in China’s economic system.”

And while algos focused exclusively on the flashing red Bloomberg headline, reading a bit further into the article reveals that Blomberg’s unnamed “source” Lie He told one of the attendees that he was “confused” about the U.S. demands... but was confident the first phase of an agreement could be completed nevertheless.

Credible or not, the Bloomberg report was enough to send S&P futs spiking back over 3,100 now that if not order, then at least trade optimism has been (somewhat) restored…

 

… with the Chinese Yuan jumping as much as 100 pips before cutting gains in half.

b)MARKET TRADING/USA/THIS MORNING

Futures Flat After China Invites Top US Trade Negotiators For More Talks

Update (Nov. 21, 6:54 am est.): China is resisting US requests to guarantee ag purchases, “balks” at stronger language on IP and tech transfers without a guarantee on tariff rollback, while the US doesn’t want to agree to move until they get Chinese commitment, according to WSJ’s Lingling Wei.

Lingling Wei 魏玲灵@Lingling_Wei

ICYMI: From WaPo’s @davidjlynch — Lighthizer’s “repeat visits to Beijing also have left him unimpressed. ‘I don’t know how you live here,” he once told a China-based American diplomat.”

Lingling Wei 魏玲灵@Lingling_Wei

Our understanding of where the main impasse is:

*China resisting US request to guarantee ag purchase;
*China balks at stronger language on IP and tech without guarantee on tariff rollback, while U.S. doesn’t want to agree to tariff move until they get Chinese commitment.

Wei quoted Paul Triolo, head Geo-tech Eurasia Group, who said, “The talks now are at a fragile state…Both sides are locked in a game of chicken, and the clock is ticking towards Dec. 15th.”

Lingling Wei 魏玲灵@Lingling_Wei

Our understanding of where the main impasse is:

*China resisting US request to guarantee ag purchase;
*China balks at stronger language on IP and tech without guarantee on tariff rollback, while U.S. doesn’t want to agree to tariff move until they get Chinese commitment.

Lingling Wei 魏玲灵@Lingling_Wei

“The talks now are at a fragile state,” says @pstAsiatech. “Both sides are locked in a game of chicken, and the clock is ticking towards Dec. 15th.”

* * *

Equity futures pumped then dumped Thursday morning after China invited the top US trade negotiation team for a new round of talks in Beijing amid the latest warnings that the ”Phase One trade deal’ signing could be delayed until next year, reported the Wall Street Journal citing unnamed sources.

  • 21-Nov-2019 05:09:48 AM – CHINA INVITES U.S. TRADE NEGOTIATORS FOR NEW ROUND OF FACE-TO-FACE TALKS -WALL STREET JOURNAL, CITING UNNAMED SOURCES
  • 21-Nov-2019 05:11:13 AM – NEW U.S.-CHINA TRADE NEGOTIATIONS COULD TAKE PLACE IN BEIJING BEFORE U.S. THANKSGIVING HOLIDAY NEXT WEEK -WALL STREET JOURNAL

Unnamed sources said Chinese Vice Premier Liu He invited U.S. Trade Representative Robert Lighthizer and Treasury Secretary Steven Mnuchin for a meeting next week (there has been no confirmation on date).

The sources said Lighthizer and Mnuchin wouldn’t make the trip “unless China makes it clear that it would make commitments on intellectual-property protection, forced technology transfers, and agricultural purchases.”

E-Mini S&P 500, E-Mini Nasdaq 100, and E-Mini Russell 2000 pumped on the first headlines, but after further examination — are flat as it seems the WSJ pump isn’t working…

Around 5:55 am est., equity futures remain unimpressed on the trade news. Time for more headlines? Bring out the Kudlow?

Maybe equity futures are flat to now red because “China invited the US team LAST WEEK. Old headline warning,” tweeted Russian_Market. 

Russian Market

@russian_market

One remark

China invited US team LAST WEEK.

Old headline warning.

END

ii)Market data/USA

Republican consumer comfort plunges because of the impeachment hearings

(zeroedge)

Republican Consumer Comfort Plunges To 18-Month Lows, Renter Hope Hammered

It seems the impeachment circus is having some affect on Republicans’ attitudes as, according to Bloomberg’s consumer comfort survey, while Democrats saw a small increase in confidence, Republicans plunged to their least confident since May 2018…

Source: Bloomberg

All three of the major pillars rebounded modestly in the last week…

Source: Bloomberg

But Renters appear to be extremely frustrated all of a sudden…

Source: Bloomberg

 

Finally, it appears record-er and record-er highs in the US stock markets is doing nothing to rescue Americans’ views of their personal financial outlook…

Source: Bloomberg

But, but, but… the consumer is strong!

end
Market Watch reports that the USA leading indicators falls for the 3rd straight month
(courtesy Market Watch)

U.S. leading indicators fall third straight month, adding more evidence of slowing economy

Nov 21, 2019 10:34 a.m. ET

China trade fight still weighing on the U.S. economy

MarketWatch

The U.S. economy is still churning out enough goods and services to keep the economy expanding for a record 11th straight year, but growth has softened since the summer.

The numbers: Economic growth in the U.S. has softened considerably since the end of the summer, according to an index that measures the nation’s economic health.

The leading economic index fell 0.1% in October to mark the third straight decline, the Conference Board said Thursday.

What’s more, the index’s six-month growth turned negative for the first time since mid-2016.

What happened: The decline last month stemmed mostly from higher applications for unemployment benefits, weaker orders for manufactured goods, and the number of hours employees work.

The LEI is a weighted gauge of 10 indicators designed to signal business-cycle peaks and valleys.

Big picture: The U.S. economy slowed during the summer and fall largely due to worries over the trade fight with China. Farmers and manufacturers have been particularly hard hit while anxious corporate chieftains have been more reluctant to hire, spend and invest.

What’s kept the economy going is strong consumer spending, the byproduct of the best labor market in decades. The U.S. is unlikely to grow much faster until trade tensions with China are either reduced or resolved.

What they are saying?: “Taken together, the LEI suggests that the economy will end the year on a weak note, at just below 2 percent growth,” said Ataman Ozyildirim, economist at the board.

And: It’s great the stock market is setting records, but it’s not because the economy is great.

iii) Important USA Economic Stories

Illinois continues to be a basket case as the new Governor of the state slams the door on pension reform\

(Ted Dabrowski/WirePoints)

Governor Of Illinois, Home Of Nation’s Worst Fiscal Crisis, Slams Door On Pension Reform

Submitted by Ted Dabrowski and John Klingner of WirePoints

The argument that “nothing is going to happen in Illinois until things blow up” got a major boost this week when the governor of the nation’s most fiscally upside down state said no to pension reform. Gov. J.B. Pritzker once again rejected calls to put a pension amendment on the ballot in 2020. Illinois’ constitution currently prohibits any reforms that “diminish or impair” pensions.

Never mind that Illinois has been in a credit rating free fall for more than a decade and is now just one notch from a junk rating. Or that Illinois is the nation’s extreme outlier when it comes to public sector retirement debts. Or that Chicago, Illinois’ economic heart, is in even worse shape.

A rejection of pension reform by Pritzker means Illinois will continue its slide toward insolvency.

 

Illinois’ retirement debts are already one-third of the state’s annual economy – the worst in the nation.

Ditto retirement costs as a percentage of budget. No state consumes more of its budget for pensions like Illinois does. At 26 percent of budget, Illinois’ pension burden dwarfs those of its neighboring states. Pension costs are crowding out everything in its way.

And Chicagoans are already drowning in pension debts – more so than residents in any other major city. According to Moody’s, each Chicago household is on the hook for nearly $140,000 in overlapping state and local pension debts.

Expect more Chicagoans to flee as tax rates jump to help pay for those debts.

Pritzker’s alternative to real reform is to simply pretend that tiny changes will somehow help the crisis. “There are a lot of other ways to address pensions, and we’re going to go after each and every one of them,” he said.

But Pritzker’s “lots of other ways” – which include buyouts and pension consolidation – will do little to nothing

 

For example, Illinois’ pension buyout scheme, where workers give up future pension benefits in exchange for immediate payouts, has been an absolute failure. Illinois politicians originally projected buyouts would save the state save over $400 million in 2019. Actual results showed savings of just $13 million.

And while Pritzker calls his recent pension consolidation bill “momentous” – it’s anything but. The consolidation of assets for Illinois’ 650 downstate and suburban public safety pension funds only impacts $12 billion of Illinois’ $280 billion in official pension debts. That’s less than 5 percent of the total official retirement shortfall Illinoisans are on the hook for.

Pritzker says there is “no silver bullet” to fix the pension crisis, though he’s touted his progressive tax proposal as the solution for all the state’s problems.

If you were hoping for some sort of sense from the governor in light of recent events – Lightfoot’s request for a state takeover of city pensions and his own consolidation commission’s warning about Tier 2 – any chance of that is clearly dashed.

Illinois path toward insolvency just got steeper.

END

My wife’s favourite shop in New York, Saks sees its value crash by over 60%

(zerohedge)

Saks Manhattan Flagship Store Crashes 60% In Value

The value of Hudson’s Bay’s Saks Fifth Avenue flagship store in Midtown Manhattan has more than halved in five years, that is according to a new Bloomberg report.

Filings show the building at 611 Fifth Ave. was assessed for $1.6 billion in 2H19, has plunged by 60% in value since it was last appraised at $3.7 billion in 2013.

A Hudson’s Bay spokesperson told Bloomberg that the decline in valuation is mostly due to “the performance of the store relative to expectations in 2014, changes in market rents on New York’s Fifth Avenue, and the changes in the retail landscape.” 

Ahead of the holiday season, consumers are pulling back, and this is most evident in Manhattan’s retail industry.

Average asking rents for retail space across Upper Fifth Avenue, between 42nd and 49th streets, saw one of the steepest drops in retail rents in Q3, dropping 25% YoY.

Lower Fifth, Broadway, Madison Avenue, SoHo, and Herald Square retail rents over the same period were in free fall. This is a reflection of the weakening consumer base. There were several outliers, Upper Fifth and Times Square retail rents over the same period marginally declined. Meanwhile, the Meatpacking district saw rents jump 7.3% in Q3 YoY.

Patrick Smith, vice chairman at JLL’s retail brokerage, said plunging rents in some of NYC’s most popular shopping districts is a bad omen.

A random walk down Manhattan these days and you’ll find vacant retail shops, as landlords begging for tenants slam rents lower.

The Real Deal has said Manhattan’s Upper East Side is “facing a retail vacancy epidemic.”

 

Manhattan Borough President Gale Brewer has said more than 188 vacant shops can be found along Broadway.

Douglas Elliman, a real estate brokerage, has said 20% of Manhattan retail is likely vacant, up 7% since 2016

Manhattan’s retail rents and retail vacancy problems are a result of weakening consumer trends.

Hudson’s Bay Saks Fifth Avenue flagship store will likely take another sharp drop in value during the next recession.

END

 

Trouble ahead:  WeWork bonds have crashed after the company slashed 17% of their workforce..and most importantly expansion is on hold

(zerohedge)

iv) Swamp commentaries)

Billionaire Mike Bloomberg Officially Enters Run For President As A Democrat

Will Bloomberg get “Schultz’d”?

Having earlier this year said he would not run for president, and following his registration for the Alabama primary, billionaire Mike Bloomberg has just “made it official” by filing the paperwork with FEC to register as a presidential candidate as a Democrat.

 

As we detailed previously, the NYT warned that , “a Bloomberg campaign could represent a seismic disruption in the Democratic race.” With his immense personal wealth, centrist views and close ties to the political establishment, he would present a grave and instantaneous threat to former Vice President Joseph R. Biden Jr., who has been struggling to raise money and assemble a ideologically moderate coalition.

But Mr. Bloomberg could also reshape the race in other ways, intensifying the Democrats’ existing debates about economic inequality and corporate power, and offering fodder to the party’s rising populist wing, led by Senators Elizabeth Warren and Bernie Sanders, who contend that the extremely rich already wield far too much influence in politics. Mr. Bloomberg has repeatedly expressed discomfort with certain policies favored by both Ms. Warren and Mr. Sanders.

Howard Wolfson, a close adviser to Mr. Bloomberg, said that the former mayor viewed President Trump as an “unprecedented threat to our nation,” and noted Mr. Bloomberg’s heavy spending in the 2018 midterm elections and this week’s off-year races in Virginia. Mr. Bloomberg, he said, has grown uneasy about the existing trajectory of the Democratic primary.

“We now need to finish the job and ensure that Trump is defeated — but Mike is increasingly concerned that the current field of candidates is not well positioned to do that,” Mr. Wolfson said.

“If Mike runs he would offer a new choice to Democrats built on a unique record running America’s biggest city, building a business from scratch and taking on some of America’s toughest challenges as a high-impact philanthropist.

 

A former Republican who repeatedly explored running for president as an independent, Bloomberg registered as a Democrat ahead of the midterm elections last year. In his past flirtations with the presidency, Bloomberg has never before taken this step… and his odds are rising (albeit still low)…

end

Giuliani exposes a massive pay for play orchestrated by Soros and corrupt Ukrainians in the Obama/Biden administration. Among his finding that these Ukrainians helped Soros in trying to get Hillary elected

(zerohedge)

Giuliani Explains “Massive Pay-For-Play” Soros-Ukraine Scheme Facilitated By US Diplomats

Rudy Giuliani claims that US diplomats have been acting to further the interests of billionaire George Soros in Ukraine in what he described as a “massive pay-for-play” scheme which included falsifying evidence against President Trump.

“The anti-corruption bureau is a contradiction,” Giuliani told Glenn Beck, regarding Ukraine’s National Anti-Corruption Bureau (NABU), which Joe Biden helped establish when he was the Obama administration’s point-man on Ukraine.

As a bit of background, in December of 2018, a Ukrainian court ruled that NABU director Artem Sytnyk “acted illegally” when he revealed the existence of Trump campaign manager Paul Manafort’s name to Journalist and politician Serhiy Leschenko in a “black ledger” containing off-book payments to Manafort by Ukraine’s previous administration. The ruling against Sytnyk and Leshchenko was later overturned on a technicality.

In December, The Blaze obtained audio of Sytnyk bragging about helping Hillary Clinton in the 2016 US election.

“They took all the corruption cases away from the prosecutor general, they gave it to the anti-corruption bureau, and they got rid of all the cases that offended Soros, and they included all the cases against Soros’ enemies,” Giuliani told Beck.

The Soros connection

One of the first cases they dismissed was a case in which his [Soros’s] NGO, AntAC, was supposed to have embezzled a lot of money, but not only that, collected dirty information on Republicans to be transmitted, gotten by Ukrainians, to be transmitted to this woman Alexandra Chalupa and other people who worked for the Democratic National Committee,” Giuliani continued.

“The first case that [former prosecutor Yuri] Lutsenko tanked was that case at the request of the ambassador,” he added.

Elsewhere in the interview, Giuliani described his reaction when he discovered the Ukrainian collusion that undermined the accusations of the Democrats made against the president.

“Hallelujah! I now have what a defense lawyer always wants: I can go prove somebody else committed this crime!” Giuliani said.

Giuliani explained to Beck that he had gone to Ukraine seeking exculpatory evidence, that which would exonerate his client, the president, in the special counsel Robert Mueller investigation.

When Giuliani was asked directly about the identity of the whistleblower, he said that he could not speak about the matter publicly, and could not indicate if he knew the identity or not.

He also claimed that there were several prosecutors in Ukraine currently who were willing to testify about the collusion, but they were being blocked by the U.S. State Department. When prompted by Beck, he said he would provide for him the names of those individuals off air.

The case is a massive pay-for-play multimillion-dollar scheme, and it is an absolute travesty of justice,” Giuliani said. –The Blaze

Last month  Senate Judiciary Committee Chairman Lindsey Graham (R-SC) has invited Trump attorney Rudy Giuliani to explain allegations of rampant corruption against former Vice President Joe Biden and his son Hunter in Ukraine. The former New York Mayor has yet to accept.

 

end
Now we know why Schiff is so desperate to create a wall on the Hunter Biden/Burisma saga. It seems that he participated in a huge money laundering scheme using the facilities of Franklin Templeton
Can you imagine the Senate calling Schiff to testify and they bring this up?
Hoft/Gateway

REVEALED: Adam Schiff Connected to Both Companies Named in $7.4 Billion Burisma-US-Ukraine Corruption Case

Jim Hoft by Jim Hoft November 21, 2019

As reported on Wednesday the head of Burisma Holdings was indicted this week in Ukraine!

Ukrainian Prosecutor General indicted Burisma owner Nikolai Zlochevsky.

The claim alleges that Hunter Biden and his partners received $16.5 million over several years for their ‘services’ in Ukraine.

Vice President Joe Biden’s son Hunter Biden took a lucrative post on the Burisma Board in 2014.
Hunter Biden was making millions from the corrupt Ukrainian oil and gas company.

New memos released earlier this month revealed Burisma Holdings, Hunter Biden’s Ukrainian natural gas company, pressured the Obama State Department to help end the corruption investigation during the 2016 election cycle just one month before then-Vice President Joe Biden forced Ukraine to fire Viktor Shokin, the prosecutor probing his son Hunter.

Joe Biden bragged about getting Viktor Shokin fired during a 2018 speech to the Council on Foreign Relations.

The media immediately covered for Biden and said his targeting of Mr. Shokin was totally unrelated to the prosecutor’s corruption investigation into Hunter and Burisma Holdings.

Burisma Holdings actually name-dropped Hunter Biden when requesting help from the State Department.

According to CD Media last week former Ukrainian official Oleksandr Onyshchenko said Hunter Biden was receiving “off the books” payments from Burisma in the millions.

Earlier this month the chief of Burisma Holdings was indicted in Ukraine.  He has gone missing.

https://twitter.com/JackPosobiec/status/1197207946935095296

Now this…
Democrat Adam Schiff is linked to both US corporations named in the $7.4 BILLION corruption case.

M3thods reported:

Here are US government documents that show Schiff’s links to and donations from BlackRock and Franklin Templeton Investments.

And here is a mention of BlackRock and Franklin Templeton Investments from reports on Wednesday.

Will Adam Schiff and Democrats call this $7+ billion corruption case a conspiracy too?
Someone needs to get Schiff on the record for his ties to these two companies.

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

Fox: Justice Department watchdog’s findings on potential FISA abuses to be released Dec. 9, Graham tells Fox New

Graham said he will ask Sec of State Pompeo for records of Biden phone calls to the Ukraine president.

Yesterday, Ukraine hurled a pair of incendiary devices into Dems/MSM’s impeachment quest.

MPs demand Zelensky, Trump investigate suspicion of U.S.-Ukraine corruption involving $7.4 bln

Ukrainian members of parliament have demanded the presidents of Ukraine and the United States, Volodymyr Zelensky and Donald Trump, investigate suspicions of the legalization of $7.4 billion by the “family” of ex-President Viktor Yanukovych through the American investment fund Franklin Templeton Investments, which they said has ties to the U.S. Democratic Party.

    At a press conference at the Interfax-Ukraine agency on Wednesday, MP Andriy Derkach announced that deputies have received new materials from investigative journalists about international corruption and the participation of Ukrainian officials in it…

    “The son of Templeton’s founder, John Templeton Jr., was one of President Obama’s major campaign donors. Another fund-related character is Thomas Donilon. Managing Director of BlackRock Investment Institute, shareholder Franklin Templeton Investments, which has the largest share in the fund. It is noteworthy that he previously was Obama’s national security advisor,” Derkach said…

https://en.interfax.com.ua/news/press-conference/625831.html

TASS: The Ukrainian Office of the Prosecutor General has drawn up an indictment against the owner of the BurismaHoldings energy company, ex-Ecology Minister Nikolai Zlochevsky, that contains information that the son of former US Vice President Joe Biden, Hunter, as a Burisma board member along with his partners received $16.5 million for their services, Ukrainian Verkhovna Rada MP from the ruling Servant of the People party Alexander Dubinsky told a press conference on Wednesday, citing the investigation’s materials. According to him, the money came from duplicitous criminal activity

According to the politician, “the son of Vice-President Joe Biden was receiving payment for his services, with money raised through criminal means and money laundering.” He also clarified that “Biden received money that did not come from the company’s successful operation but rather from money stolen from citizens.”…   https://tass.com/world/1090971

The Prosecutor General of Ukraine has widened its investigation into the founder of energy company Burisma to include suspicion of embezzling state funds    https://t.co/WDU8NrhCtk

The US is obliged to aid Ukraine with the investigation due to Clinton’s “Treaty with Ukraine on Mutual Legal Assistance in Criminal Matters”.  https://www.congress.gov/treaty-document/106th-congress/16/document-text?overview=closed

 

Memo Given To Fusion GPS Described Ukrainian Lawmaker as Potential ‘Conduit’ for Publicizing Information – Serhiy Leshchenko, a former journalist and Ukrainian lawmaker.  The memo could shed light on Fusion GPS contractor Nellie Ohr’s testimony where she said Leshchenko was a source for Fusion, which is best known for its work on the Steele dossier.

https://dailycaller.com/2019/11/19/fusion-gps-serhiy-leshchenko-ohr/

FBI seeks interview with CIA whistleblower [Really bad news for Schiff & his staff]

An FBI agent in the Washington field office in October reached out to one of the lawyers representing the whistleblower and asked to question the CIA analyst who triggered the congressional inquiry into the president’s conduct, one of the sources said…

https://news.yahoo.com/fbi-seeks-interview-with-cia-whistleblower-121637359.html

@ABC: [Amb. to EU] Gordon Sondland: “I’ve already provided 10 hours of deposition testimony—and I did so despite directives from the White House and the State Dept. that I refuse to appear.”  “I agreed to testify because I respect the gravity of the moment.”

    Amb. Gordon Sondland: “Sec. Perry, Amb. Volker and I worked with Mr. Rudy Giuliani on Ukraine matters at the express direction of the president of the United States. We did not want to work with Mr. Giuliani. Simply put, we played the hand we were dealt.”

 

@JennaEllisEsq: Sondland testimony is dead on arrival. Opening statement: I came to the conclusion that there was a quid pro quo” but admits he didn’t know anything about Ukraine aid or reasons for hold.  His OPINION is meaningless. He didn’t have all the facts.  Sondland has also said he was not on the July 25th call, and he did not see the transcript until it was publicly released on September 25th.

 

@bennyjohnson: Ambassador Gordon Sondlond: “I never heard @realDonaldTrump ever talking to me about any security assistance” “Trump said I want nothing from Ukraine.” “Trump said I want no quid-pro-quo.”  Came to his own opinions of aid being linked to investigations.

Sondland said he asked DJT: “What do you want from Ukraine?” He said Trump responded: “I want nothing. I want no quid pro quo. I just want Zelensky to do the right thing, to do what he ran on.”

 

Sondland: “No one told me directly the aid was tied to anything. I was presuming it was.”

 

Sondland testified that his presumption about military aid being tied to investigations came, he “thinks’, from a Politico article.  You can’t make this up!!!

 

@NolteNC: Sondland isn’t even claiming he heard it third or fourth hand, like all the other stupid witnesses who witnesses nothing.  Sondland just ASSUMED it all… Stupidest. Impeachment. Ever.

What a terrible day for Democrats.

@ABC: Amid Amb. Sondland’s testimony, Pres. Trump says, “I don’t know him well. I have not spoken to him much. This is not a man I know well. Seems like a nice guy, though. But I don’t know him well.”

Fox’s @ChadPergram: Trump: I want nothing. That’s what I want from Ukraine. I want nothing. I said it twice. (Sondland) asked me the question what do you want. I don’t know him well. This is not a man I know well. He was with other candidates supporting other candidates.

    From Pence’s CoS Mark Short: “Ambassador Gordon Sondland was never alone with Vice President Pence on the September 1 trip to Poland.  This alleged discussion recalled by Ambassador Sondland never happened.”

    Statement from the Chief of Staff to the Vice President, Marc Short: “The Vice President never had a conversation with Gordon Sondland about investigating the Bidens, Burisma, or the conditional release of financial aid to Ukraine based upon potential investigations.

    Rick Perry spox: Sondland’s testimony today misrepresented both Secretary Perry’s interaction with Rudy Giuliani and direction the Secretary received from President Trump..at no point..did the words ‘Biden’ or ‘Burisma’ ever come up in the presence of Secretary Perry.”

 

GOP @RepMarkMeadows: Gordon Sondland was clear: “I’ve never heard from President Trump that the aid (to Ukraine) was conditioned on the investigations.”  So what did @realDonaldTrump say when Sondland DID talk to him?  Sondland, quoting POTUS: “I want nothing. I want no quid pro quo.”

 

GOP Rep @SteveScalise: Ambassador Sondland: “I don’t recall President Trump ever talking to me about any security assistance. Ever.”

 

Sondland: “I never heard from President Trump that aid was conditioned on an announcement of [investigations].”  Dem Chief Counsel Goldman: “So you never heard those specific words?”  Sondland: “Right. Never heard those words.”  Goldman: “Well, let’s move ahead.”

 

@Peoples_Pundit: Sondland is saying he didn’t make the Burisma-Biden “connection” until “maybe” once the transcript was released…

 

@RudyGiuliani: I came into this at Volker’s request. Sondland is speculating based on VERY little contact. I never met him and had very few calls with him, mostly with Volker.  Volker testified I answered their questions and described them as my opinions, NOT demands. I.E., no quid pro quo

 

@rameswaram: Sondland just yelled “I thought i was done. This is bull $#it.” to his lawyer off mic.

 

@RealSaavedra: Democrat Rep. Jim Himes (CT) to Ambassador Gordon Sondland: “I’m not asking for your opinion, I’m asking for your beliefs.  [What’s the difference?  You can’t make this up!]

 

@ABCWorldNews: GOP Rep. Mike Turner: “So you really have no testimony today that ties Pres. Trump to a scheme to withhold aid from Ukraine in exchange for these investigations.”  Sondland: “Other than my own presumption.”  “Which is nothing!https://abcn.ws/2KBuiXR

 

@realDonaldTrump: All four of Gordon Sondland’s lawyers are Democrat Donors.” @TuckerCarlson  Despite this, big win today for Republicans!

 

@ArthurSchwartz: Vindman & Fiona Hill are represented by Boies, Schiller & Flexner. That law firm also did work for Burisma, the Ukrainian gas company that paid Hunter Biden millions of dollars. That firm also employed Hunter Biden & paid him more than he’s worth. Weird, huh?

This is what a NY federal judge had to say about the law firm representing Vindman & Fiona Hill (Hunter Biden’s former employer): “A clearer conflict of interest cannot be imagined. A first year law student on day one … should be able to spot it. [Boies Schiller] did not.” https://t.co/gL3jOcmV0J

 

@RealSLokhova: Traditionally the most lucrative job in Ukraine is Minister of Defence. The kickbacks are huge. Odd Vindman turned it down not once, but three times [Was Ukraine trying to bribe Vindman?]

 

Vindman Advised Ukraine Prez about Alleged Plot but Not His Commander-in-Chief

Rep. Schiff specifically asked Vindman as to “why did he felt it was necessary for President Zelensky to stay out of U.S. domestic politics?”  “Chairman, in the March and April timeframe, became clear there were actors in the U.S. …public actors, non-governmental actors that were promoting the idea of investigations and 2016 Ukrainian interference…and it was consistence with U.S. policy to advise any country…all the countries in my portfolio, any country in the world to not participate in US domestic politics,” explained Alexander Vindman…

    How did Vindman deliver the message to the Ukrainian president and who directed him to deliver such policy directives on behalf of the United States?  Vindman’s statement about his visit to Ukraine are highly unusual because any advice or policy directive initiated to a foreign leader must be fully approved by the administration…

    Even more puzzling, is that after the U.S. delegation returned from Ukraine the participants debriefed Trump. However, Vindman, who apparently spoke directly to Zelensky was not in attendance. He noted in his testimony that Trump’s former Russian advisor Fiona Hill, told him he was not needed…

Why was Vindman so concerned about “public actors, nongovernmental actors” questioning Ukrainian interference in the 2016 election, when it is apparent that the intelligence agencies, who he worked for, were very concerned about Russia’s interference in the 2016 election…

https://saraacarter.com/vindman-advised-ukraine-prez-about-alleged-plot-but-not-his-commander-in-chief/

 

Anti-Trump forces do NOT want a thorough investigation into how Ukraine interfered in the US’s 2016 election and the alleged Ukrainian source for the Steele dossier.

 

Gen. Flynn attorney @SidneyPowell1: Strzok and Page wanted to open a case against Trump as early as July 2016. This also tells us there are more relevant text messages that have not been disclosed to the Flynn defense.  https://twitter.com/SidneyPowell1/status/1196944632338403328/photo/1

 

@RoscoeBDavis1: This is why Ciaramella can’t reveal who he is, because he was involved with the setting up of @GenFlynn, he was the mole that both Yates and Comey referred to. Ciaramella was the spy in the West Wing. Strzok/Page are referring to him in this text I’m close to certain.

https://twitter.com/SidneyPowell1/status/1196866578182295552

 

FBI’s vetting of informants like Christopher Steele slammed by inspector general

Horowitz rebuked the bureau in a report released this week for failing to follow Justice Department procedures in vetting informants and allowing for a lengthy backlog of required validation reports about the reliability and credibility of long-term confidential human sources (CHS)…

    The most troubling revelation in the report, however, may be that some of the FBI analysts used to vet informants complained they were “discouraged from documenting conclusions and recommendations” about an informant’s credibility or reliability…

https://johnsolomonreports.com/fbis-vetting-of-informants-like-christopher-steele-slammed-by-inspector-general/

Last night, Joe Biden had a horrible debate performance.  He stammered and stuttered on some answers; but he made an enormous guffaw that shocked the panel and the audience.

 

@LizRNC: Joe Biden on his plan to reduce wife beaters: “Keep punching at it, and punching at it, and punching at it” “I really mean it.”  https://twitter.com/LizRNC/status/1197359816152375297

 

Well that is all for today

I will see you Friday night.

 

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