DEC 12//GOLD AND SILVER WITNESS ANOTHER RAID//GOLD DOWN $2.65 TO $1468.00//SILVER UP 9 CENTS TO $16.88//FED PLANNING A MASSIVE 1/2 TRILLION REPO ON DEC 31//MORE ON THE POSZNAR VS SKYRM//MARKETS ADVANCE ON A SUPPOSED DEAL WITH CHINA “IN PRINCIPAL”//MORE SWAMP STORIES FOR YOU TONIGHT//

GOLD:$1468.00 DOWN $2.65    (COMEX TO COMEX CLOSING)

 

 

 

Silver:$16.88 UP 9 CENTS  (COMEX TO COMEX CLOSING) :

Closing access prices:

 

 

 

 

Gold :  $1469.80

 

silver:  $16.92

 

 

 

COMEX DATA

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

today RECEIVING:  36/133

DLV615-T CME CLEARING
BUSINESS DATE: 12/11/2019 DAILY DELIVERY NOTICES RUN DATE: 12/11/2019
PRODUCT GROUP: METALS RUN TIME: 20:19:09
EXCHANGE: COMEX
CONTRACT: DECEMBER 2019 COMEX 100 GOLD FUTURES
SETTLEMENT: 1,469.400000000 USD
INTENT DATE: 12/11/2019 DELIVERY DATE: 12/13/2019
FIRM ORG FIRM NAME ISSUED STOPPED
____________________________________________________________________________________________
118 H MACQUARIE FUT 48
435 H SCOTIA CAPITAL 16
657 C MORGAN STANLEY 3
661 C JP MORGAN 36
690 C ABN AMRO 23
737 C ADVANTAGE 21 8
800 C MAREX SPEC 89 22
____________________________________________________________________________________________

TOTAL: 133 133
MONTH TO DATE: 12,793

COMEX DATA

 

 

we are coming very close to a commercial failure!!

 

 

NUMBER OF NOTICES FILED TODAY FOR  DEC CONTRACT: 133 NOTICE(S) FOR 13,300 OZ (0.4136 tonnes)

TOTAL NUMBER OF NOTICES FILED SO FAR:  12,793 NOTICES FOR 1,279,300 OZ  (39.791 TONNES)

 

 

 

 

SILVER

 

FOR DEC

 

 

55 NOTICE(S) FILED TODAY FOR 275,000  OZ/

total number of notices filed so far this month: 3170 for 15,850,000 oz

 

XXXXXXXXXXXXXXXXXXXXXXXXX

Bitcoin: OPENING MORNING TRADE :  $ 7188 DOWN 19 

 

 

 

Bitcoin: FINAL EVENING TRADE: $ 7247 UP 39

 

Let us have a look at the data for today

xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx

IN SILVER THE COMEX OI ROSE BY A STRONG  SIZED 1614 CONTRACTS FROM 202,258 UP TO 203,872 WITH THE 13 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  STRONG SIZED NUMBER OF COMEX LONGS TRANSFERRING THEIR CONTRACTS TO LONDON THROUGH THE EFP:,

DEC 0; MARCH:  1146 AND ZERO FOR ALL  OTHER MONTHS  AND THEREFORE TOTAL ISSUANCE  1146 CONTRACTS. WITH THE TRANSFER OF 1146 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 1146 EFP CONTRACTS TRANSLATES INTO 5.73 MILLION OZ  ACCOMPANYING:

1.THE 13 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)

7.32     MILLION OZ INITIALLY STANDING IN OCT

2.630     MILLION OZ STANDING FOR NOV.

18.855   MILLION OZ  INITIALLY STANDING IN DEC

YESTERDAY, AGAIN OUR CROOKS USED COPIOUS PAPER IN ORDER TO CONTAIN SILVER’S PRICE…AND THEY WERE  UNSUCCESSFUL IN KNOCKING THE PRICE OF SILVER DOWN (IT ROSE 13 CENTS).. AND, OUR OFFICIAL SECTOR/BANKERS  WERE UNSUCCESSFUL IN THEIR ATTEMPT TO FLEECE  SOME SILVER LONGS AS THE TOTAL GAIN IN OI ON BOTH EXCHANGES TOTALED  2760 CONTRACTS. OR 13.80 MILLION OZ..

 

ALSO KEEP IN MIND THAT THE SPREADERS HAVE ALREADY STARTED THEIR INCREASE OF OI CONTRACTS IN SILVER.

 

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

20,227 CONTRACTS (FOR 10 TRADING DAYS TOTAL 20,227 CONTRACTS) OR 101.135 MILLION OZ: (AVERAGE PER DAY: 2022 CONTRACTS OR 10.113 MILLION OZ/DAY)

TO GIVE YOU AN IDEA AS TO THE HUGE SUPPLY THIS MONTH IN SILVER:  SO FAR THIS MONTH OF DEC:  101.135 MILLION PAPER OZ HAVE MORPHED OVER TO LONDON. THIS REPRESENTS AROUND 9.38% 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:          2,185.47   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

OCT 2019 TOTAL  EFP ISSUANCE:                                                  146.14 MILLION OZ

NOV 2019 TOTAL EFP ISSUANCE:                                                   213.60 MILLION OZ.

 

SPREADING LIQUIDATION HAS NOW STOPPED IN GOLD AS THEY MORPH INTO SILVER AS THEY HEAD TOWARDS THE NEW FRONT MONTH WILL BE JANUARY.

 

FOR THOSE OF YOU WHO ARE NEW, HERE IS THE MODUS OPERANDI OF THE SPREADERS AND THE CRIMINAL ELEMENT BEHIND IT:

 

THE SPREADING LIQUIDATION OPERATION IS NOW OVER FOR GOLD..AND WE WILL NOW MORPH INTO AN ACCUMULATION PHASE OF SPREADING CONTRACTS FOR SILVER.  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 SILVER AS THEY INCREASE THE OPEN INTEREST FOR THE SPREADERS. THE TOTAL COMEX SILVER 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  ACTIVE DELIVERY MONTH OF DEC HEADING TOWARDS THE  NON ACTIVE DELIVERY MONTH OF JANUARY FOR SILVER:

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  ACTIVE MONTH OF DEC BUT SO IS THE OPEN INTEREST OF SPREADERS. THE OPEN INTEREST IN SILVER WILL CONTINUE TO RISE UNTIL ONE WEEK BEFORE FIRST DAY NOTICE OF AN UPCOMING NON ACTIVE DELIVERY MONTH (JAN), 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.”

 

 

 

 

RESULT: WE HAD A STRONG SIZED INCREASE IN COMEX OI SILVER COMEX CONTRACTS OF 1614, WITH THE 13 CENT GAIN IN SILVER PRICING AT THE COMEX /YESTERDAY… THE CME NOTIFIED US THAT WE HAD A  STRONG SIZED EFP ISSUANCE OF 1146 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: 2740 TOTAL OI CONTRACTS ON THE TWO EXCHANGES: 

i.e 1146 OPEN INTEREST CONTRACTS HEADED FOR LONDON  (EFP’s) TOGETHER WITH INCREASE OF 1614 OI COMEX CONTRACTS. AND ALL OF THIS DEMAND HAPPENED WITH A 13 CENT GAIN IN PRICE OF SILVER AND A CLOSING PRICE OF $16.79 WITH RESPECT TO TUESDAY’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. 1.033 BILLION OZ TO BE EXACT or 148% of annual global silver production (ex Russia & ex China).

FOR THE NEW FRONT DEC MONTH/ THEY FILED AT THE COMEX: 55 NOTICE(S) FOR 275,000 OZ OF SILVER

IN SILVER,PRIOR TO TODAY, WE  SET THE NEW COMEX RECORD OF OPEN INTEREST AT 244,196 CONTRACTS ON AUG 22.2018.  AND AGAIN THIS HAS BEEN SET WITH A LOW PRICE OF $14.70

 

.

 

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//   NOV: 2.630 MILLION OZ//DEC:  18.715 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)

 

GOLD

 

IN GOLD, THE COMEX OPEN INTEREST ROSE BY A VERY STRONG 10,863 CONTRACTS, AND MOVING CLOSER TO THAT NEW ALL TIME RECORD OF 719,211 (SET NOV 20/2019). THE NEW OI RESTS AT 700,866. THE RISE IN COMEX OI  OCCURRED WITH A  $7.00 PRICING GAIN ACCOMPANYING COMEX GOLD TRADING// WEDNESDAY// /

 

 

 

THE CME RELEASED THE DATA FOR EFP ISSUANCAND IT TOTALED A FAIR SIZED 2642 CONTRACTS:

DEC 2019CONTRACTS, FEB>  2642 CONTRACTS AND ALL OTHER MONTHS ZERO.  The NEW COMEX OI for the gold complex rests at 700,866,,.  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 SIZED GAIN IN TOTAL CONTRACTS ON THE TWO EXCHANGES OF 13,505 CONTRACTS: 10,863 CONTRACTS INCREASED AT THE COMEX  AND 2642 EFP OI CONTRACTS WHICH NAVIGATED OVER TO LONDON. THUS  TOTAL OI GAIN OF 13,505 CONTRACTS OR 1,350,500 OZ OR 42.00 TONNES.  YESTERDAY WE HAD A GAIN OF $7.00 IN GOLD TRADING….

AND WITH THAT GAIN IN  PRICE, WE  HAD A VERY STRONG GAIN IN GOLD TONNAGE OF 42.00  TONNES!!!!!! THE BANKERS/OFFICIAL SECTOR WERE SUPPLYING INFINITE SUPPLIES OF SHORT GOLD COMEX PAPER WITH RECKLESS ABANDON. THE BANKERS WERE UNSUCCESSFUL IN THEIR ATTEMPT TO LOWER GOLD’S PRICE (UP  $7.00)THEY WERE TOTALLY  UNSUCCESSFUL IN THEIR ATTEMPT TO  FLEECE  GOLD LONGS FROM THE GOLD ARENA AS WE HAD A VERY STRONG GAIN IN OPEN INTEREST ON OUR TWO EXCHANGES (42.00 TONNES). THE SPREADING OPERATION HAS NOW SWITCHED OVER TO SILVER.

 

 

 

ACCUMULATION OF EFP’S GOLD AT J.P. MORGAN’S HOUSE OF BRIBES: (EXCHANGE FOR PHYSICAL) FOR THE MONTH OF DEC : 80,600 CONTRACTS OR 8,060,000 oz OR 250.69 TONNES (10 TRADING DAY AND THUS AVERAGING: 8,060 EFP CONTRACTS PER TRADING DAY

TO GIVE YOU AN IDEA AS TO THE STRONG SIZE OF THESE EFP TRANSFERS :  THIS MONTH IN 10 TRADING DAYS IN  TONNES: 250.69 TONNES

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

THUS EFP TRANSFERS REPRESENTS 250.69/3550 x 100% TONNES =7.04% OF GLOBAL ANNUAL PRODUCTION

WE ARE WITNESSING AN INCREASING USE OF OUR EXCHANGE FOR PHYSICAL MECHANISM TO MOVE CONTRACTS OFF OF NY AND INTO LONDON. IT BEGAN IN JUNE 2019 AND CONTINUES TO THIS DAY.

 

 

 

ACCUMULATION OF GOLD EFP’S YEAR 2019 TO DATE:     5976.77  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

NOV.2019 EFP ISSUANCE:                          568.20  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 HUGE SIZED INCREASE IN OI AT THE COMEX OF 10,863 DESPITE THE  PRICING GAIN THAT GOLD UNDERTOOK YESTERDAY($7.00)) //.WE ALSO HAD A FAIR SIZED NUMBER OF COMEX LONG TRANSFERRING TO LONDON THROUGH THE EFP ROUTE: 2642 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 2642 EFP CONTRACTS ISSUED, WE  HAD A VERY STRONG SIZED GAIN OF 13,505 CONTRACTS IN TOTAL OPEN INTEREST  ON THE TWO EXCHANGES:

2642 CONTRACTS MOVE TO LONDON AND 11,308 CONTRACTS INCREASED AT THE COMEX. (IN TONNES, THE GAIN IN TOTAL OI EQUATES TO 42.00 TONNES). ..AND THIS STRONG INCREASE OF DEMAND OCCURRED WITH A RISE IN PRICE OF $7.00 WITH RESPECT TO YESTERDAY’S TRADING AT THE COMEX.

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

 

 

 

 

 

 

 

 

 

 

 

xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx

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

 

GLD...

WITH GOLD DOWN $2.65 TODAY//(COMEX-TO COMEX)

NO CHANGE IN GOLD INVENTORY AT THE GLD//

DEC 12/2019/Inventory rests tonight at 885.93 tonnes

 

 

 

 

 

SLV/

 

WITH SILVER UP 9 CENTS TODAY: 

 

NO CHANGES IN SILVER INVENTORY AT THE SLV

 

 

DEC 12/INVENTORY RESTS AT 365.605 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 1614 CONTRACTS from 202,258 UP TO 203,872 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 DEC. 0; FOR MAR  1146  AND ALL OTHER MONTHS: ZERO. TOTAL EFP ISSUANCE: 1146 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 1614  CONTRACTS TO THE 1146 OI TRANSFERRED TO LONDON THROUGH EFP’S,  WE OBTAIN A STRONG SIZED GAIN OF 2832 OPEN INTEREST CONTRACTS. THUS IN OUNCES, THE GAIN ON THE TWO EXCHANGES: 13.80 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: 7.32 MILLION OZ//NOV 2.63 MILLION OZ//DEC: 18.855 MILLION OZ//

 

 

RESULT: A STRONG SIZED INCREASE IN SILVER OI AT THE COMEX DESPITE THE 13 CENT GAIN IN PRICING THAT SILVER UNDERTOOK IN PRICING// YESTERDAY. WE ALSO HAD A STRONG SIZED 1146 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 8.72 POINTS OR 0.30%  //Hang Sang CLOSED UP 348.71 POINTS OR 1.31%   /The Nikkei closed UP 32.95 POINTS OR 0.14%//Australia’s all ordinaires CLOSED DOWN .62%

/Chinese yuan (ONSHORE) closed DOWN  at 7.0372 /Oil UP TO 58.93 dollars per barrel for WTI and 64.15 for Brent. Stocks in Europe OPENED MIXED//  ONSHORE YUAN CLOSED DOWN // LAST AT 7.0372 AGAINST THE DOLLAR. OFFSHORE YUAN CLOSED DOWN ON THE DOLLAR AT 7.0384 TRADE TALKS STALL//YUAN LEVELS GETTING DANGEROUSLY PAST 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

NORTH KOREA

North Korea on the war path again as they state that the USA has nothing to offer even if nuke talks resume

(zerohedge)

3b) REPORT ON JAPAN

3C  CHINA

i)China/USA

China warns that if Trump proceeds with Dec 15 tariffs they will retaliate and it will be big

(zerohedge)

ii)China/USA

Trump announces this morning that they are “very close to a big China/USA trade deal”

Let’s see how China responds

(zerohedge)

iii)Trump folds: he offers to cut existing tariffs by 50% in exchange for pledges. Trump is losing his touch

(zerohedge)

iv)China

Another indicator of a fall in China’s economy:  Chinese mobile shipments fall 1.5% year/year as see no recovery until 2023
(zerohedge)

4/EUROPEAN AFFAIRS

i)ECB

No changes or surprises..Lagarde wants inflation to rip through the European Union.

(zerohedge)

ii)EU

Zero hedge pounds the table that Lagarde is wrong on two major points.  The EU is heading toward Japanification and negative rates certainly hurt the economy
(zerohedge)

iii)SPAIN

The Socialist government of Spain removes barbed fences which previously had blocked migrants from Morocco for entering their country.  Spain will soon be another Sweden

(Gatestone)

5. RUSSIAN AND MIDDLE EASTERN AFFAIRS

 

6.Global Issues

 

7. OIL ISSUES

Deadly to our shale boys:  Chevron writes down its natural gas property in the Appalachia mountains to the tune of 11 billion dollars.

(Cunningham/Oil Price.com)

8 EMERGING MARKET ISSUES

 

9. PHYSICAL MARKETS

i)Turkey wants to relax rules as they want citizens to bring gold into their country

(Bloomberg/GATA)

ii Another big party leader, this time it is Slovakia and wants his country to bring their gold back home

(Peter Schiff/ShiffGold.com)

iii) J Johnson’s commentary on physical silver plus other tus

(Johnson)

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)A little troubling for Powell has he cannot get prices to rise. It grew at its slowest pace in 3 years

(zerohedge)

b)Even the Bureau of Labour Statistics are confused with an unexpectedly rise in jobless claims today

(zerohedge)

iii) Important USA Economic Stories

i)USA

This kind of tells you things:  CEO resignations jump as corporate confidence collapses
(zerohedge)

iv) Swamp commentaries)

a)The house votes today and will most likely impeach Trump and then they will send this to the Senate.  It would probably last 15 minutes in the Senate as the Chief Justice will rule that there is no high crimes and misdemeanors.  He will then dismiss the case.  Trump will have to get the Bidens  in other ways

(zerohedge)

b)Alan Dershowitz opines how this will end with an unconstitutional impeachment of Trump by the HOuse.

(Dershowitz/Gatestone)

c)Nancy Pelosi is getting some Democrats to bail.  She can afford to lose 17 Democrats but the Republicans will paint narrative that the Dem, party is divided.

(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 ROSE BY A VERY STRONG SIZED 10,863 CONTRACTS TO A LEVEL OF 700,866 WITH THE GAIN OF $7.00 IN GOLD PRICING WITH RESPECT TO WEDNESDAY’S // COMEX TRADING)

WE ARE NOW IN THE  ACTIVE DELIVERY MONTH OF DEC..  THE CME REPORTS THAT THE BANKERS ISSUED A  FAIR SIZED  TRANSFER THROUGH THE EFP ROUTE AS THESE LONGS RECEIVED A DELIVERABLE LONDON FORWARD TOGETHER WITH A FIAT BONUS., THAT IS 2642 EFP CONTRACTS WERE ISSUED:

DEC: 0 ; FEB: 2642  AND  ZERO FOR ALL OTHER MONTHS:

TOTAL EFP ISSUANCE: 2642 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: 13,505 TOTAL CONTRACTS IN THAT 2642 LONGS WERE TRANSFERRED AS FORWARDS TO LONDON AND WE LOST A VERY STRONG SIZED 10,863 COMEX CONTRACTS.

THE BANKERS SUPPLIED THE NECESSARY AND INFINITE AMOUNT OF SHORT PAPER IN GOLD.  THE BANKERS WERE  UNSUCCESSFUL IN LOWERING GOLD’S PRICE //// (IT ROSE $7.00). AND THEY WERE MOST DEFINITELY UNSUCCESSFUL IN FLEECING ANY LONGS AS WE GAINED 13,505 CONTRACTS ON OUR TWO EXCHANGES:

 

 

NET GAIN ON THE TWO EXCHANGES ::  13,505 CONTRACTS OR 1,350,500 OZ OR 42.00 TONNES.  ( PLUS THE GAIN IN TONNES OF GOLD STANDING AT THE COMEX 0.6998 TONNES)

 

We are now in the  active contract month of DEC.  This month is always the biggest delivery month of the year.  Here we have a total of 728 open interest stand for a LOSS of 642 contracts.  We had 867 notices filed upon yesterday so we AGAIN SURPRISINGLY GAINED FOR THE EIGHTH DAY, A STRONG+++  225 contracts or an additional 22,500 OZ will stand (0.6998 TONNES) for delivery at the comex as they will try their luck finding physical metal on this side of the pond as they refused to morph into London based forwards and negated on receiving a fiat bonus.

we had:  133notice(s) filed upon for 13,300 oz of gold at the comex.

 

The next non active contract month after Dec, is  January and it saw its OI INCREASE by 1 contract UP to 5237 which is extremely high for a January delivery month.. The next active delivery month after January is February and here we witnessed A GAIN  OF 7134 in contracts UP to 501,128.

 

 

xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx

 

And now for the wild silver comex results.

Total COMEX silver OI ROSE BY A VERY STRONG SIZED 1614 CONTRACTS FROM 202,258 UP TO 203,944(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 STRONG  OI COMEX GAIN OCCURRED WITH A GOOD 13 CENT GAIN IN PRICING/TUESDAY.

WE ARE NOW INTO THE  ACTIVE DELIVERY MONTH OF DEC.

Here we have a LOSS of 155 contracts DOWN to 656. We had 183 notices served up on longs yesterday, so we GAINED ANOTHER 28 contracts or an additional 140,000  oz will stand in this active delivery month of December as they guys refused to morph into London based forwards as well as negating a fiat bonus.

After December, we have a loss in the next front month of January of 27 contracts to stand at 924.  The Feb non active month saw a loss of one contract down to 71.  March is a very active month and here we witness a gain of 1780 contracts up to 159,990

 

We, today, had 55 notice(s) filed for 275,000, OZ for the DEC, 2019 COMEX contract for silver

Trading Volumes on the COMEX TODAY: 377,457  CONTRACTS 

 

 

 

CONFIRMED COMEX VOL. FOR YESTERDAY:  284,454  contracts

 

 

 

 

INITIAL standings for  DEC/GOLD

DEC  12/2019

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 201.07 oz

 

Delaware

 

 

Deposits to the Customer Inventory, in oz  

nil

 

No of oz served (contracts) today
133 notice(s)
 13300 OZ
(0.4136 TONNES)
No of oz to be served (notices)
595 contracts
(59500 oz)
1.850 TONNES
Total monthly oz gold served (contracts) so far this month
12,793 notices
1,279,300 OZ
39.791 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
for the first time in quite a while, this week we have had considerable gold activity

we had 0 dealer entry:

We had 0 kilobar entries

 

 

 

 

total dealer deposits: 0 oz

total dealer withdrawals: 0 oz

 

we had 2 deposit into the customer account

i) Into JPMorgan: 64,549.042 oz

 

ii)into Delaware: 792.827

 

 

total gold deposits: 65,341.869 oz

 

 

 

 

we had 1 gold withdrawal from the customer account:

 

ii) out of HSBC:  75,444.01 oz

 

 

 

 

 

total gold withdrawals; 75,333.01  oz

We had 1 adjustment

i) Out of Int. Delaware a small 974.077 oz was adjusted out of the dealer and this landed into the customer account of Delaware and we will deem this a settlement

(In tonnes: 0302 tonnes)

 

 

 

 

FOR THE DEC 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 133 contract(s) of which 0 notices were stopped (received) by j.P. Morgan dealer and 36 notice(s) was (were) stopped/ Received) by j.P.Morgan customer account and 0 notices by the squid  (Goldman Sachs)

 

To calculate the INITIAL total number of gold ounces standing for the DEC /2019. contract month, we take the total number of notices filed so far for the month (12,793) x 100 oz , to which we add the difference between the open interest for the front month of  DEC. (728 contract) minus the number of notices served upon today (133 x 100 oz per contract) equals 1,338,800 OZ OR 41.64 TONNES) the number of ounces standing in this  active month of DEC

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

No of notices served (12,793 x 100 oz)  + (728)OI for the front month minus the number of notices served upon today (133 x 100 oz )which equals 1,338,800 oz standing OR 41.64 TONNES in this  active delivery month of DEC.

We gained 225 contracts or an additional 22,500 oz will stand at the comex as they refused to morph into London based forwards.

SURPRISINGLY WE HAVE BEEN WITNESSING NO REAL PHYSICAL GOLD ENTERING THE COMEX VAULTS FOR THE PAST YEAR!! ..ONLY PHONY KILOBAR ENTRIES…. WE HAVE ONLY 36.8904 TONNES OF REGISTERED GOLD WHICH CAN SETTLE UPON LONGS.

HERE IS WHAT STOOD DURING THESE PAST 5 MONTHS:  AUGUST 27.153 TONNES

SEPT:                                                                      5.4525 TONNES

 

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

NOV……                                                                5.3841 tonnes

DEC………………………….                                              41.64 TONNES

 

total: 117.62 tonnes

ACCORDING TO COMEX RULES:

 

IF WE INCLUDE THE PAST 5 MONTHS OF SETTLEMENTS WE HAVE 13.4396 TONNES SETTLED

 

IF WE ADD THE FIVE DELIVERY MONTHS: 117.62  tonnes

 

Thus:

117.62 tonnes of delivery –

13.4396 TONNES DEEMED SETTLEMENT

= 104.18 TONNES STANDING FOR METAL AGAINST 36.804 TONNES OF REGISTERED OR FOR SALE COMEX GOLD! THIS IS WHY GOLD IS SCARCE AT THE COMEX.

 

total registered or dealer gold:   1,420,807.613 oz or  44.193 tonnes
which  includes the following:
a) registered gold that can be used to settle upon: 1,183,254.0 oz (36.804 tonnes)
b) pledged gold held at HSBC  which cannot settle upon:  237,553.646 oz  ( 7.38989)//+
    total  7.38989 tonnes
true registered gold  (total registered – pledged)  1,184,228.0 tonnes  (36.804 tonnes)
total registered, pledged  and eligible (customer) gold;   8,789,084.555 oz 273.37 tonnes
WHY ARE THEY NOT SETTLING?
THE COMEX IS AN ABSOLUTE FRAUD..WE HAVE ZERO SETTLEMENTS.

 

 

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.

 

 

TODAY’S NOTICES FILED:

 

WE HAD 133 NOTICES FILED TODAY AT THE COMEX FOR  13300 OZ. (0.4136 TONNES)

 

end

And now for silver

AND NOW THE  DELIVERY MONTH OF DEC.

INITIAL  standings/SILVER

IN TOTAL CONTRAST TO GOLD, HUGE ACTIVITY IN SILVER TODAY.
DEC 12 2019
Silver Ounces
Withdrawals from Dealers Inventory NIL oz
Withdrawals from Customer Inventory
 973.680 oz
BRINKS

 

 

Deposits to the Dealer Inventory
nil oz

 

Deposits to the Customer Inventory
14,005.02 oz
CNT
No of oz served today (contracts)
55
CONTRACT(S)
(275,000 OZ)
No of oz to be served (notices)
601 contracts
 3,005,000 oz)
Total monthly oz silver served (contracts)  3170 contracts

15,850,000 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  0 deposits into the customer account

into JPMorgan:   nil

 

ii) Into CNT: 14,005.02 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 51.4% of all official comex silver. (161.1 million/313.4 million

 

 

 

 

total customer deposits today:  14,005.02  oz

 

we had 1 withdrawals out of the customer account:

i) Out of Brinks: 973.680 oz

 

 

 

 

 

total withdrawals; 973.680  oz

We had 2 adjustment:

i) Out of CNT: 9289.72 oz was adjusted out of the customer and this lands into the dealer of CNT

ii) Out of Delaware: 39,6607.191 oz was adjusted out of the customer and this lands into the dealer account of Delaware

 

 

total dealer silver:  86.361 million

total dealer + customer silver:  315.930 million oz

 

xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx

The total number of notices filed today for the DEC 2019. contract month is represented by 133 contract(s) FOR 275,000 oz

To calculate the number of silver ounces that will stand for delivery in  DEC, we take the total number of notices filed for the month so far at 3170 x 5,000 oz = 15,850,000 oz to which we add the difference between the open interest for the front month of DEC. (656) and the number of notices served upon today 133 x (5000 oz) equals the number of ounces standing.

.

Thus the INITIAL standings for silver for the DEC/2019 contract month: 3170 (notices served so far) x 5000 oz + OI for front month of DEC 656)- number of notices served upon today (133) x 5000 oz equals 18,855,000 oz of silver standing for the DEC contract month.

 

We gained 28 contracts or an additional 140,000 oz will stand at the comex as they, refused to morphed into London based forwards. 

 

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 55 notice(s) filed for 275,000 OZ for the DEC, 2019 COMEX contract for silver

 

 

TODAY’S ESTIMATED SILVER VOLUME:  106,310 CONTRACTS //

 

 

CONFIRMED VOLUME FOR YESTERDAY: 65,164 CONTRACTS..

 

 

 

 

 

YESTERDAY’S CONFIRMED VOLUME OF 65,164 CONTRACTS EQUATES to 325 million  OZ 46.5.% OF ANNUAL GLOBAL PRODUCTION OF SILVER..makes sense!!

COMMODITY LAW SUGGESTS THAT OPEN INTEREST SHOULD NOT BE MORE THAN 3% OF ANNUAL GLOBAL PRODUCTION. THE CROOKS ARE SUPPLYING MASSIVE PAPER TRYING TO KEEP SILVER IN CHECK.

The record level of silver open interest is 234,787 contracts set on April 21./2017 with the price at that day at $18.42
The previous record was 224,540 contracts with the price at that time of $20.44

 

end

NPV for Sprott

1. Sprott silver fund (PSLV): NAV FALLS TO -1.75% ((DEC 12/2019)
2. Sprott gold fund (PHYS): premium to NAV RISES TO -1.38% to NAV (DEC 12/2019 )
Note: Sprott silver trust back into NEGATIVE territory at +%-/Sprott physical gold trust is back into NEGATIVE/ -1.75%

(courtesy Sprott/GATA)

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

NAV 14.61 TRADING 14.12///DISCOUNT  3,37

 

END

 

And now the Gold inventory at the GLD/

DEC 12/WITH GOLD DOWN $2.65: NO CHANGE IN GOLD INVENTORY AT THE GLD//INVENTORY RESTS AT 885.93 TONNES

DEC 11/WITH GOLD UP $7.00: A SMALL CHANGE IN GOLD INVENTORY AT THE GLD: A WITHDRAWAL OF .30 TONNES/INVENTORY RESTS AT 885.93 TONNES

DEC 10//WITH GOLD UP $3.00: NO CHANGES IN GOLD INVENTORY AT THE GLD/INVENTORY RESTS AT 886.23 TONNES

DEC 9//WITH GOLD DOWN $.60: A HUGE PAPER WITHDRAWAL OF GOLD INVENTORY AT THE GLD: A WITHDRAWAL OF 2.34 TONNES//INVENTORY RESTS AT 886.23 TONNES

DEC 6//WITH GOLD DOWN $16.75 NO CHANGES IN GOLD INVENTORY AT THE GLD//INVENTORY RESTS AT 888.57 TONNES

DEC 5/2019: WITH GOLD UP $3.60 TODAY: A  SMALL CHANGE IN GOLD INVENTORY AT THE GLD: A PAPER WITHDRAWAL OF .59 TONNES/INVENTORY RESTS AT 888.57 TONNES

DEC 4/2019/WITH GOLD DOWN $4.00 TODAY//NO CHANGES IN GOLD INVENTORY AT THE GLD/INVENTORY RESTS AT 889.16 TONNES

DEC 3/WITH GOLD UP $15.00 TODAY: A HUGE CHANGE IN GOLD INVENTORY AT THE GLD: A PAPER WITHDRAWAL OF 7.32 TONNES/INVENTORY RESTS AT 889.16 TONNES

 

DEC 2 /WITH GOLD DOWN $.40 TODAY: NO CHANGES IN GOLD INVENTORY AT THE GLD//INVENTORY RESTS AT 895.60 TONNES

NOV 29/WITH GOLD UP $9.85//A SMALL  CHANGE IN GOLD INVENTORY AT THE GLD: A WITHDRAWAL TO PAY FOR FEES ETC./INVENTORY RESTS AT 895.60 TONNES

 

NOV 27//WITH GOLD DOWN $6.10 TODAY: NO CHANGE IN GOLD INVENTORY AT THE GLD/INVENTORY RESTS AT 896.48 TONNES//

NOV 26/WITH GOLD UP $3.10 TODAY:: A BIG CHANGE IN GOLD INVENTORY AT THE GLD: A PAPER GOLD DEPOSIT OF 4.69 TONNES INTO THE GLD///INVENTORY RESTS AT 896.48 TONNES

NOV 25/WITH GOLD DOWN $6.45: NO CHANGE IN GOLD INVENTORY AT THE GLD//INVENTORY RESTS AT 891.79 TONNES

NOV 22/WITH GOLD DOWN $1.00//NO CHANGE IN GOLD INVENTORY AT THE GLD/INVENTORY RESTS AT 891.79 TONNES

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

 

xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx

DEC 12/2019/Inventory rests tonight at 885.93 tonnes

*IN LAST 723 TRADING DAYS: 51.32 NET TONNES HAVE BEEN REMOVED FROM THE GLD
*LAST 623 TRADING DAYS: A NET 115.73 TONNES HAVE NOW BEEN ADDED INTO  THE GLD INVENTORY.

 

 

end

 

Now the SLV Inventory/

DEC 12/WITH SILVER UP 9 CENTS TODAY: NO CHANGES IN SILVER INVENTORY AT THE SLV//INVENTORY RESTS AT 3645.605 MILLION OZ

DEC 11/WITH SILVER UP 13 CENTS TODAY: NO CHANGES IN SILVER INVENTORY AT THE SLV/INVENTORY RESTS AT 365.605 MILLION OZ//

DEC 10//WITH SILVER UP 5 CENTS TODAY:  A BIG CHANGE IN SILVER INVENTORY: A PAPER WITHDRAWAL OF 1.495 MILLION OZ//// INVENTORY RESTS  AT 365.605 MILLION OZ//

DEC 9/WITH SILVER UP 3 CENTS TODAY: A HUGE PAPER WITHDRAWAL OF 1.869 MILLION OZ FROM SILVER INVENTORY AT THE SLV/INVENTORY RESTS AT 367.100 MILLION OZ/

DEC 6/WITH SILVER DOWN 42 CENTS TODAY: NO CHANGES IN SILVER INVENTORY AT THE SLV/INVENTORY RESTS AT 368.969 MILLION OZ//

DEC 5//WITH SILVER UP 14 CENTS TODAY: NO CHANGES IN SILVER INVENTORY AT THE SLV/INVENTORY RESTS AT 368.969 MILLION OZ//

DEC 4/WITH SILVER DOWN 31 CENTS TODAY: NO CHANGES IN SILVER INVENTORY AT THE SLV/INVENTORY RESTS AT 368.969 MILLION OZ//

DEC 3//WITH SILVER UP 25 CENTS TODAY: A BIG CHANGE IN SILVER INVENTORY AT THE SLV: A PAPER WITHDRAWAL OF 1.512 MILLION OZ FROM THE SLV.//INVENTORY RESTS AT 368.969 MILLION OZ..

DEC 2/WITH SILVER DOWN 9 CENTS TODAY: NO CHANGES IN SILVER INVENTORY AT THE SLV//INVENTORY RESTS AT 370.481 MILLION OZ

NOV 29/WITH SILVER UP 4 CENTS TODAY: A BIG CHANGE IN SILVER INVENTORY AT THE SLV: A PAPER WITHDRAWAL OF 2.383 MILLION OZ FROM THE SLV//INVENTORY RESTS AT 370.481 MILLION OZ//

 

NOV 27/WITH SILVER DOWN 8 CENTS TODAY: A BIG CHANGE IN SILVER INVENTORY AT THE SLV: A PAPER WITHDRAWAL OF 1.868 MILLION OZ OF SILVER FROM THE SLV///INVENTORY RESTS AT 372.864 MILLION OZ//

NOV 26//WITH SILVER UP 14 CENTS TODAY: NO CHANGE IN SILVER INVENTORY AT THE SLV//INVENTORY REST AT 374.732 MILLION OZ/

NOV 25/WITH SILVER DOWN 12  CENTS TODAY: NO CHANGES IN SILVER INVENTORY AT THE SLV///INVENTORY RESTS AT 374.732 MILLION OZ//

NOV 22/WITH SILVER DOWN 3 CENTS TO DAY: NO CHANGES IN SILVER INVENTORY AT THE SLV/INVENTORY RESTS AT 374.732 MILLION OZ

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 374.732 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

 

 

DEC 12:  SLV INVENTORY

365.605 MILLION OZ

 

LIBOR SCHEDULE AND GOFO RATES:

 

 

YOUR DATA…..

6 Month MM GOFO 1.88/ and libor 6 month duration 1.89

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

G0LD LENDING RATE: + .01

 

XXXXXXXX

12 Month MM GOFO
+ 1.93%

LIBOR FOR 12 MONTH DURATION: 1.94

 

GOFO = LIBOR – GOLD LENDING RATE

GOLD LENDING RATE  = +.01

end

 

 

end

 

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

The Most Important UK Election of the Century So Far

There’s only one story in the UK this morning – it’s the day Britain goes to the polls. It’s no exaggeration to say that this election is probably the most important of the century so far. If the ruling Conservative party wins a clear majority, then some form of Brexit is almost certain to go ahead.

If the Conservatives fail to win a majority, then, depending on the final makeup of any government, Brexit will likely be delayed or even derailed, with a second referendum or even outright cancellation on the cards.

In the run up to this election, polls have so far suggested that a majority for the Conservative party is the most likely outcome. But if the last four years or so have taught us anything at all, it’s that the “most likely” outcome is not always the one that wins out on the day.

The polls open at 7am and close at 10pm, at which point we will get an exit poll, which could be market moving.

Sign up to Money Morning daily email

NEWS & COMMENTARY

Gold little changed as U.S. tariff deadline approaches

United Kingdom votes to decide the fate of Brexit, again

Sterling derivative markets flash red as British election gets underway

Swiss National Bank indicates negative rates to stay for long haul

Saudi Aramco shares surge 10% as historic IPO begins trading (valuation of $1.88 trillion)

After year of living dangerously, Fed likely to signal time to lay low

The Fed is expected to hold rates steady and vow to keep short-term lending markets stable

Repo rupture at year-end could lead to ‘QE4’ – Credit Suisse analyst

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

11-Dec-19 1468.05 1466.80, 1116.89 1112.71 & 1324.92 1322.47
10-Dec-19 1464.45 1464.95, 1112.25 1112.04 & 1322.69 1322.26
09-Dec-19 1463.60 1461.70, 1112.04 1111.48 & 1323.09 1320.06
06-Dec-19 1474.85 1459.65, 1122.80 1112.40 & 1328.54 1320.25
05-Dec-19 1474.60 1475.95, 1122.76 1122.31 & 1329.65 1329.54
04-Dec-19 1475.85 1475.10, 1131.53 1125.94 & 1332.54 1327.89
03-Dec-19 1470.40 1477.30, 1132.50 1136.78 & 1328.51 1333.12
02-Dec-19 1457.50 1461.15, 1130.00 1130.05 & 1323.26 1321.17
29-Nov-19 1456.35 1460.15, 1129.55 1131.32 & 1323.24 1327.42
28-Nov-19 1457.55 1454.65, 1127.27 1127.35 & 1323.60 1321.84

Watch Our Latest Video Update Here

SIGN UP FOR OUR AWARD WINNING MARKET UPDATES HERE

Mark O’Byrne

end

ii) Important gold commentaries courtesy of GATA/Chris Powell

Turkey wants to relax rules as they want citizens to bring gold into their country

(Bloomberg/GATA)

Turkey wants the world’s gold, with few questions asked

 Section: 

By Cagan Koc and Ercan Ersoy
Bloomberg News
Wednesday, December 11, 2019

Turkey is putting the finishing touches on a plan to loosen rules that govern the import of gold to one of the world’s biggest consumers of the precious metal.

The Treasury is drawing up changes that would allow the certification and standardization of scrap or unregistered gold people may carry when entering Turkey, according to people with knowledge of the matter. It is working with Borsa Istanbul on the plan, which also includes the registration of gold brought without certification from the London Bullion Market Association, said the people, who asked not to be named because the plan is still confidential.

… 

The LBMA is an international trade association setting the standard for the global over-the-counter precious metal market in terms that range from purity and provenance to the way bars are traded. Borsa Istanbul, Turkey’s only stock exchange, which also been overseeing the market for precious metals and diamonds since 2013, is an affiliate member of the LBMA. …… For the remainder of the report:

https://www.yahoo.com/finance/news/turkey-wants-world-gold-few-112509314…

* * *

Help keep GATA going:

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

http://www.gata.org

To contribute to GATA, please visit:

http://www.gata.org/node/16

END

iii) Other physical stories:

Another big party leader, this time it is Slovakia and wants his country to bring their gold back home

(Peter Schiff/ShiffGold.com)

Top Slovak Party Leader Wants The Country To Bring Its Gold Home

Via SchiffGold.com,

A top Slovak political party official said his country should bring its gold home because even its allies cannot be trusted with it.

Ex-Premier Robert Fico chairs the biggest party in Slovakia. Last week, he called for a special parliamentary session on the country’s gold. He said the country’s gold reserves are not safe in England because of Brexit and the possibility of a global economic crisis.

Fico said you can hardly trust even your closest allies after the Munich Agreement, referring to the 1938 pact that allowed Hitler to annex part of Czechoslovakia.

 I guarantee that if something happens, we won’t see a single gram of this gold. Let’s do it as quickly as possible.”

The National Bank of Slovakia holds 31.7 tons of gold valued at around $1.4 billion.

Slovakia could follow the lead of Poland. Earlier this month, the National Bank of Poland announced that it had completed the repatriation of 100 tons of gold from London. NBP Governor Adam Glapiński said the gold “symbolizes the strength of the country.”

A number of central banks have been aggressively increasing their gold reserves over the last couple of years, including three in Eastern Europe. Poland began accumulating gold last year and added 100 tons of the yellow metal to its hoard through the first half of 2019. That brought the country’s total reserves to 228.6 tons, according to a statement issued by the National Bank of Poland.

Gold is the ‘most reserve’ of reserve assets: it diversifies the geopolitical risk and is a kind of anchor of trust, especially in times of tension and crises.”

Serbia added 9 tons of gold to its reserves in October, and late last year, the Hungarian central bank announced it boosted its gold reserves 10-fold.

Globally, central bank gold reserves charted another healthy gain in October as they continue their quest to diversify reserves away from the US dollar.

 

Central banks added another net 41.8 tons of gold to their reserves in October, according to the latest data from the World Gold Council.

Through September, central banks had purchased 547.5 tons of gold on a net basis in 2019, with Russia leading the way. That represents a 12% increase year-on-year. This continues a trend we saw through 2018. In total, the world’s central banks accumulated 651.5 tons of gold last year. The World Gold Council noted that 2018 marked the highest level of annual net central bank gold purchases since the suspension of dollar convertibility into gold in 1971, and the second-highest annual total on record.

Slovakia could join a number of other countries that have moved to bring their gold home in recent years. Joining Poland, both Hungary and Romania in Eastern Europe have announced plans to repatriate their gold. In the summer of 2017, Germany completed a project to bring half of its gold reserves back inside its borders. The country moved some $31 billion worth of the yellow metal back to Germany from vaults in England, France and the US. In 2015, Australia announced a plan to bring half of its reserves home. The Netherlands and Belgium also launched repatriation programs. Even the state of Texas has put a plan in place to bring its gold within state borders.

Gold repatriation underscores the importance of holding physical gold where you can easily access it. As the saying goes, if you can’t hold it, you don’t really own it.

Gold-backed exchange-traded funds (ETFs) and “paper gold” have their place. But true security and stability come from physical possession of precious metals. If you can’t hold it in your hand, you don’t really possess it. That’s exactly why these countries are bringing their gold home, safe within their own vaults.

END

(courtesy J. Johnson)

 

END

A good one..

A Missing Motive

Theodore Butler | December 12, 2019 – 9:12am

A new thought occurred to me about the extraordinary circumstance of the explosion of Federal Reserve accommodation in the repurchase (repo) market that erupted in mid-September. I’d be lying if I claimed to understand exactly what’s going on, except to know that truly astounding amounts of money (many hundreds of billions of dollars) are involved and that certain facts seem clear. Most reports point to JPMorgan as being at the heart of the expanding repo drama. Up until now, there has been no suggestion that the repo drama burst onto the scene by other than financial preconditions being ripe for the crisis to have erupted. What follows is unadorned speculation about a possible connection or motive between JPM’s role in gold and silver and the developing repo saga.

The Justice Department investigation into precious metals price manipulation by traders, both former and current, of JPMorgan must be considered mature at this point. The first guilty plea was secured more than a year ago and has been followed by another guilty plea and indictments of enough JPM traders to raise the question of whether there were any precious metals traders at the bank operating legitimately. The Justice Department has gone out of its way to label the precious metals desk at JPMorgan as a criminal enterprise and has used the RICO statute in bringing charges – virtually unprecedented actions. The DOJ has left unanswered the question of whether its allegations of a criminal enterprise apply to the traders or also to the bank itself. The answer to that question is beyond monumental.

I had come to the opinion that the Justice Department doesn’t have the chutzpah to charge JPMorgan as a criminal enterprise, not because the charge wouldn’t be fitting, but because of the widespread financial and economic damage that would result from the most systemically important financial institution in the US possibly being put out of business by such a serious charge. Any decision not to charge the bank itself still seems to me to be rooted in the fear of the unintended consequences on society in general that might result should the DOJ lower the boom on JPMorgan.

But perhaps I’m wrong and the Justice Department has been acting tough with JPMorgan behind the scenes. Certainly, it’s virtually impossible that senior management at JPM could not have been aware of the widespread allegations of price manipulation in precious metals that have persisted since the bank took over Bear Stearns in 2008. After all, the protection of JPMorgan’s reputation is an integral function of management, right up the Board of Directors level. In addition, I’ve personally sent the bank’s CEO and board at least 1000 of my articles which explain JPM’s illegalities. Therefore, it is impossible that senior management at JPMorgan were unaware of the ongoing precious metals manipulation at the hands of its traders.

It is also certain that the Justice Department has been in close and constant negotiation with JPMorgan about the very serious charges of precious metals manipulation and whether to charge the bank’s senior management as being aware or complicit in the crimes alleged and from which guilty pleas have been secured. This puts senior management in the crosshairs, potentially liable for having their employment terminated or worse (ending up in the Big House).

Up until this point, I believe I have objectively described the situation that has developed over the past year and longer, without many, if any subjective embellishments. I’ve just tried to connect the dots from the public record and what I know to be facts (like sending JPMorgan at least a thousand of my articles). Here comes the speculation. What if the DOJ, contrary to my take, has been much tougher on JPMorgan behind the scenes and has insisted on the dismissal or worse for high-placed senior management for overseeing the criminal enterprise on the precious metals desk? What possible counteraction could senior management take when faced with dismissal, the loss of personal reputation or worse (jail time)?

One of the few ways JPM senior management could fight back is by demonstrating just how important the bank is to the financial system and the economy and that the DOJ better tread lightly before charging the bank or its senior management as being complicit in the precious metals manipulation. What better way to do that than by throwing a monkey wrench into the repo market? Charge us and we’ll bring down the entire system. In other words, I believe the whole repo crisis was deliberately initiated by JPMorgan as a means to persuade the Justice Department to back off in charging the bank or its senior management in the precious metals manipulation. While this is, admittedly, unadorned speculation on my part, it is also simply the connection of several factual dots. While financial experts expect the repo crisis to intensify in the near future, few are discussing the possibility that it was deliberately set in motion.

Ted Butler

www.butlerresearch.com

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: 7.0372/ GETTING VERY DANGEROUSLY PAST 7:1

//OFFSHORE YUAN:  7.0384   /shanghai bourse CLOSED DOWN 8.72 POINTS OR 0.30%

HANG SANG CLOSED UP 348.71 POINTS OR 1.31%

 

2. Nikkei closed UP 32.95 POINTS OR 0.14%

 

 

 

 

3. Europe stocks OPENED MOSTLY GREEN EXCEPT SPAIN/

 

 

 

USA dollar index UP TO 97.16/Euro FALLS TO 1.1132

3b Japan 10 year bond yield: FALLS TO. –.13/ !!!!(Japan buying 100% of bond issuance)/Japanese yen vs usa cross now at 107.85/ 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:: 58.93 and Brent: 64.15

3f Gold UP/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 DOWN for WTI and DOWN FOR Brent this morning

3i European bond buying continues to push yields lower on all fronts in the EMU. German 10yr bund FALLS TO -.33%/Italian 10 yr bond yield DOWN to 1.17% /SPAIN 10 YR BOND YIELD DOWN TO 0.40%…ITALIAN 10 YR BOND YIELD/GERMAN BUND: 1.50: DANGEROUS FOR THE ITALIAN BANKING SYSTEM

3j Greek 10 year bond yield FALLS TO : 1.33

3k Gold at $1474.90 silver at: 16.86   7 am est) SILVER NEXT RESISTANCE LEVEL AT $18.50

3l USA vs Russian rouble; (Russian rouble UP 24/100 in roubles/dollar) 63.09

3m oil into the 58 dollar handle for WTI and 64 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 108.64 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 .9826 as the Swiss Franc is still rising against most currencies. Euro vs SF is 1.0938 well above the floor set by the Swiss Finance Minister. Thomas Jordan, chief of the Swiss National Bank continues to purchase euros trying to lower value of the Swiss Franc.

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

3r the 10 Year German bund now NEGATIVE territory with the 10 year FALLING to 0.33%

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 1.80% early this morning. Thirty year rate at 2.23%

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

6.  TURKISH LIRA:  UP  TO 5.7881..

Global Stocks On Verge Of All Time High After Powell Give The All Green

It was all systems go this morning, after Fed Chair Powell made it clear that Fed won’t be hiking rates for a long, long time, maybe ever, and could potentially expand QE to coupon Treasuries, sending bond yields and the dollar lower, and sparking a rally for global shares which took a fresh run at record highs on Thursday, as the Fed set traders up another news packed day of bank meetings and a Brexit-defining election in Britain, although the rally started to sputter around the time US traders walked in to their desks with US equity futures barely changed.

 

 

 

As expected, on Wednesday the Fed kept U.S. interest rates unchanged, but it was a message that it would take an unexpected and “persistent” rise in inflation to lift them again that inspired bulls and shoved the dollar to its lowest since August. It helped Asian shares rally almost 1%, despite reports Washington will press on with new China tariffs, and solid 0.2%-0.5% gains in Europe early on left MSCI’s broadest index of world shares just 0.1% shy of its January 2018 all-time high.

 

“The Fed’s accommodative stance does support equities, but the chance of a disruptive election outcome in Britain is very real,” said CMC strategist Michael McCarthy.

S&P 500 futures faded an early gain that pushed the index up briefly as high as 3,150 after the cash index rose for the first time this week in the wake of the Federal Reserve’s final policy gathering of the year. The yield on 10-year Treasuries fluctuated around 1.79% amid bets the bar will be high for any future U.S. rate hikes.

In Europe, the Stoxx Europe 600 Index pared an earlier gain, government bond yields in the region dipped and the euro was little changed before the European Central Bank delivers its decision at 745am in new ECB head Christine Lagarde’s inaugural meeting. The Swiss franc fluctuated after Switzerland’s central bank left rates unchanged and reiterated a threat to intervene in currency markets if needed.

Earlier in the session, Asian stocks gained after the Fed signaled it would stay on hold throughout 2020 amid a “solid economy.” Markets in the regions were mixed, with Taiwan and South Korea rallying. The Taiex ended 1.2% higher as it extended gains from its highest level since 1990, while South Korea’s Kopsi Index capped its best day since the end of August. India’s S&P BSE Sensex Index rose for a second day. Asia tech shares followed a global chip-stocks rally buoyed by positive comments from analysts at Bank of America and Citigroup

In FX, the Bloomberg Dollar Spot Index was little changed as currencies stayed in tight ranges, including the Swiss franc after the SNB kept interest rates at rock bottom.

Meanwhile, in the UK, sterling was hovering at its highest in more than two years versus the euro and close to an eight-month high versus the dollar as voting began in an election that will determine whether Britain exits the European Union next month. Expectations are that the ruling Conservatives, led by Boris Johnson, will score a majority that allows his Brexit deal to be passed by a new parliament, but the latest polls have shown the lead shrinking. Exit polls for Britain’s election will begin around 2200 GMT, after voting closes, with clarity over whether their will be a clear winner or another hung parliament likely between 0400 GMT and 0600 GMT.

As Reuters notes, following a 10% surge by the pound in the last few months, Traders and investors are now hedging their bets. Union Bancaire Privée’s Global Head of Forex Strategy Peter Kinsella said a Conservative majority remained his expectation, however: “We think a move to levels of around $1.35 or even $1.37 is entirely feasible,” if there is a decent Conservative majority, whereas with another hung parliament “you are definitely back down to $1.26-1.27.” It was last at $1.3107, just shy of its highest since March and close to a May 2017 peak against the euro at 84.32 pence.

The euro was also climbing against the weakened dollar. It rose as far as $1.1144, close to a five-week high before Christine Lagarde’s first meeting as President of the European Central Bank. She is almost certain to keep rate rates on hold, but her style and signals will be closely watched by economists, especially with the bank due to update its forecasts and make some changes to its policy framework next year.

Switzerland’s central bank had got up early and already held its rate meeting meanwhile. Negative interest rates remain central to its plans, the SNB’s Chairman Thomas Jordan said as it maintained its ultra-expansive monetary policy. The Swiss franc barely budged.

In summary:

  • The SNB maintained rates at -0.75%, as expected. SNB reiterated their language around the CHF and their willingness to intervene in FX markets. In terms of forecasts 2019 growth has been increased, while the 2020 and 2021 inflaton forecasts have been cut slightly. This was not enough to prompt a significant move in EUR/CHF, as focus for the CHF will be on external factors today namely the ECB and UK General Election; most notably, the SNB maintained their rate projection for the forecast period at -0.75%.
  • The CBRT cut by 200bp to 12.0% vs. Exp. 12.5% (Prev. 14.0%) Maintained their cautious stance and noted the disinflation process in on track, forecast show that inflation is likely to materialise closer to the lower bound of October’s projections. Following the decision the TRY saw some modest strength.
  • Brazil’s Central Bank cut the Selic rate by 50bps to 4.50% as expected via unanimous decision and stated the economic recovery is gaining steam but current stage of the cycle warrants caution in its next steps. BCB added it sees two-way risks to inflation and that stimulative policy is still required but noted that data shows the economy has gained traction from Q2 onwards and it assumes recovery will continue at a gradual pace.

It’s not just central banks, there were fresh U.S.-China developments to digest too: U.S. President Donald Trump is expected to meet top advisers on Thursday to discuss tariffs on nearly $160 billion of Chinese consumer goods that are scheduled to take effect on Dec. 15, three sources told Reuters. Trump is expected to go ahead with the tariffs, a separate source told Reuters, which could scuttle efforts to end a 17-month long trade dispute between the world’s two-largest economies.

“The fact is the big event risk remains in place, with the world watching to see if the 15% tariffs kick in,” Pepperstone’s Chris Weston wrote on Thursday. “What the Fed has delivered is about as much as we could have hoped for in this period.”

In rates, Treasury yields had fallen in reaction to the Fed’s comments, but they rebounded slightly in Asia and Europe. The yield on benchmark 10-year Treasury notes rose to 1.7966%.

In commodities, WTI edged up 0.15% to $58.85 a barrel, while Brent crude rose 0.39% to $63.97 per barrel. A report by OPEC released on Wednesday suggested that oil markets are tighter than previously thought. Traders are also focused on state oil company Saudi Aramco. Its value briefly rose above $2 trillion on Thursday as its shares surged again following its Riyadh stock market debut on Wednesday, however they closed at half their intraday gain, up around 4% and below $2 trillion.

To the day ahead now where datawise this morning we get final November CPI readings in Germany and France and October industrial production for the Euro Area. The ECB and SNB meetings follow, before we get November PPI in the US and the latest initial jobless claims data. Expect plenty of focus on the election in the UK too, especially with the exit polls this evening. Finally, EU leaders are due to gather in Brussels to discuss the EU budget and climate neutrality. Initial jobless claims are among Thursday’s economic data. Scheduled earnings include Oracle, Adobe, Costco and Broadcom.

Market Snapshot

  • S&P 500 futures up 0.2% to 3,148.75
  • STOXX Europe 600 up 0.2% to 407.17
  • MXAP up 0.6% to 166.68
  • MXAPJ up 1% to 534.06
  • Nikkei up 0.1% to 23,424.81
  • Topix down 0.1% to 1,712.83
  • Hang Seng Index up 1.3% to 26,994.14
  • Shanghai Composite down 0.3% to 2,915.70
  • Sensex up 0.6% to 40,649.98
  • Australia S&P/ASX 200 down 0.7% to 6,708.83
  • Kospi up 1.5% to 2,137.35
  • German 10Y yield fell 0.2 bps to -0.323%
  • Euro down 0.03% to $1.1127
  • Italian 10Y yield fell 3.9 bps to 0.858%
  • Spanish 10Y yield unchanged at 0.413%
  • Brent Futures up 0.7% to $64.16/bbl
  • Gold spot down 0.09% to $1,473.52
  • U.S. Dollar Index up 0.04% to 97.16

Top Overnight News from Bloomberg

  • The Federal Reserve left interest rates unchanged and signaled it would stay on hold through 2020, keeping it on the sidelines in an election year. Jerome Powell told reporters that the committee might consider widening reserves management-related Treasuries purchases to include short-term coupon-bearing securities, if necessary, to ease liquidity strains in money markets
  • Senate Republicans say there is an early consensus building within their ranks for a short impeachment trial that could see the GOP-led chamber vote on a likely acquittal of President Donald Trump without hearing from any witnesses
  • The pound earlier touched an eight-month high — the move understates uncertainty about whether U.K. Prime Minister Boris Johnson’s Conservative Party will win a majority in Thursday’s election. Sterling’s overnight implied volatility has soared to the highest since February 2017 as demand for downside protection jumped in Asian trade
  • The Swiss National Bank held interest rates at rock bottom and reiterated its intervention threat, steering a steady course even as its policy comes under increasing public criticism
  • Christine Lagarde finally has the chance to shake off the shadow of her predecessor on Thursday, at her debut press conference as ECB president. She faces a press conference in which she’ll be judged on how convincingly she communicates the institution’s plan to restore price stability
  • Saudi Aramco jumped for a second day, pushing the oil giant’s value beyond the $2 trillion mark that alienated global investors and potentially making further share sales abroad more difficult
  • A major Chinese commodities trader became the biggest dollar bond defaulter among the nation’s state-owned companies in two decades, in a moment of reckoning for Beijing as it struggles to contain credit risk in a weakening economy
  • Israel is headed to its third election in less than a year, an astonishing if foretold development that’s closely intertwined with Benjamin Netanyahu’s legal troubles and may not resolve the political crisis
  • The U.S. sees “deeply troubling indications” that North Korea may be poised to engage in a major provocation, United Nations Ambassador Kelly Craft warned
  • Uncertainty surrounding the U.K.’s general election and Brexit are paralyzing the housing market, according to the Royal Institution of Chartered Surveyors

Asian equity markets were varied for most of the day as ongoing trade uncertainty heading into this week’s tariff deadline and today’s looming risk events slightly dampened the momentum from Wall St where sentiment was mildly underpinned following the FOMC meeting. Nonetheless, ASX 200 (-0.7%) and Nikkei 225 (+0.2%) traded mixed as the former suffered from broad losses across its sectors including underperformance in tech and financials, while the Japanese benchmark was kept afloat by a predominantly weaker currency but with gains also limited by a surprise 4th consecutive contraction in Machinery Orders which represented the longest streak of declines in over a decade. Elsewhere, Hang Seng (+1.3%) outperformed and topped the 27k level with the index led by a surge in Chinese tech names, although sentiment in the mainland was less optimistic with Shanghai Comp. (-0.3%) subdued by the tariff-threat overhang and as participants await statements from China’s Central Economic Work Conference which is expected to finish today. Finally, 10yr JGBs tracked the post-FOMC gains in T-notes and with prices also underpinned following the abysmal Machine Orders data from Japan, despite slightly weaker demand at the enhanced liquidity auction for longer-dated JGBs.

Top Asian News

  • Hong Kong’s Dollar Jumps Into Strong Half of Its Trading Band
  • China to Unveil Plan to Make Macau Finance Hub, Reuters Says
  • Hong Kong Property Stocks Battered by Protests Look Cheap
  • Philippine Central Bank Holds Interest Rate as Growth Rebounds

European bourses trade choppy but tread water in modest positive territory [Eurostoxx 50 +0.3%) ahead of looming risk events (ECB, UK General Election) with FOMC now out of the way. UK’s FTSE 100 modestly outperforms (+0.5%) with banks, and homebuilders supported as election voting gets underway – with exit polls expected around 22:00GMT (Full preview available on the Newsquawk Research Suite). Sectors have shown somewhat of a recovery since the open and now trade mostly in the green vs. a mixed start – defensives retreat whilst cyclicals gain traction. In terms of individual movers, Tullow Oil (+11.8%) continues to pare back from its recent 70% slump with the aid of rising oil prices acting as tailwind. Elsewhere, Balfour Beatty (+4.2%) benefits from its latest trading update which sees FY profit from operations ahead of expectations. Similarly, a positive trading update sees Ocado (+2.5%) supported. Nestle (+0.5%) shares are underpinned by source reports that it is mulling the sale of its ice cream business, which could be valued at USD 4bln. On the flip side, Germany’s Metro (-1.7%) is subdued post-earnings, whilst AB InBev (-1.5%) hovers near the bottom of the Stoxx 600 after Australia competition watchdog ACCC expressed concern about Asahi Group’s proposed purchase of AB InBev’s Carlton & United Breweries unit.

Top European News

  • Nordea Hiring Freeze Includes Wealth Management Unit
  • Latvian Parliament Elects New Head for Scandal-Hit Central Bank
  • Chip Stocks Lead Tech Gains After Strength in Asian, U.S. Peers

In FX, the DXY is clinging to the 97.000 handle amidst broad-based Greenback depreciation in wake of the FOMC that contained enough dovish elements to keep the index depressed, including a muted view of inflation, flat 2020 dot plots and Fed Chair Powell raising the bar for any reversal of the mid-cycle insurance easing. On that note, US PPI data comes hot on the heels of the last 2019 policy meeting and yesterday’s mixed CPI metrics, while initial claims provide the first post-NFP snapshot of the labour market that may not be as tight as the Central Bank previously perceived.

  • CHF/EUR/TRY- All paring gains vs the Buck, with the Franc taking some heed of more NIRP and currency intervention backing from the SNB that is flagging no rate normalisation for the duration of the forecast horizon. Usd/Chf has nudged up to circa 0.9830 from 0.9810 and Eur/Chf is near the top of a 1.0924-48 range even though the Euro has drifted down against the Dollar within 1.1145-25 parameters ahead of the ECB. The single currency may be wary about key technical resistance just above 1.1150 in the form of the 200 DMA (1.1155) rather than any fundamental change in language or policy insight from new head Lagarde, while flow-wise decent option expiry interest between 1.1120-25 and 1.1090-1.1100 (1 bn and 2.2 bn respectively) could be exerting some downside pressure. Meanwhile, the TRY firmed in light of the latest CBTR decision which kept its cautious stance despite a deeper than forecast 200bps cut. Further, the Central Bank noted of signs that inflation is close to materialise close to lower bound of its October projects. USD/TRY breached 5.7800 to the downside to low of 5.7740 (vs. 5.7980 pre-announcement) before stabilising around 5.7800.
  • AUD/GBP/SEK/NOK – The Aussie continues to outperform across the board, as Aud/Usd squeezes higher and through a longer term downtrend to target 0.6900 and Aud/Nzd consolidates around 1.0450 given a more subdued Kiwi vs its US counterpart after losing altitude on the approach to 0.6500, while Sterling is meandering on GE day, with Cable pivoting 1.3200 and Eur/Gbp straddling 0.8430. Note, a hefty 1.1 bn option expiry at the 1.3200 strike may keep the Pound tethered awaiting the vote outcome. Elsewhere, another swing in sentiment for the Scandi Crowns after dismal Swedish jobs data vs a boost in Norwegian oil investment. Eur/Sek nudging 10.4500, Eur/Nok off near 10.1500 highs.

In commodities, a relatively slow session initially for commodities in the aftermath of the FOMC which saw crude future nurse some EIA-induced wounds. WTI and Brent futures saw a very modest pop higher shortly after the release of the IEA Monthly Oil Market report – which aligned itself more with the OPEC report as they both kept global demand growth forecasts unchanged for 2019 and 2020 whilst EIA saw a modest revision higher of 50k BPD to its 2020 forecast. The report also noted that global oil demand rose by 900k BPD in Q3 2019 – highest annual growth in year. WTI and Brent futures meander around session highs above 59/bbl and 64/bbl respectively as the complex eyes awaits its next catalyst(s) and have seen some upside on the recent geopolitical rhetoric out of China. Elsewhere, spot gold is flatlining around USD 1475/oz ahead of its FOMC high of USD 1478.90/oz and on stand-by for upcoming events. Copper meanwhile touched resistance just under USD 2.8/lb amid a strengthening USD and some consolidation following six sessions of consecutive gains. Finally, nickel prices hit their highest in almost two weeks – with touted FOMO the main driver.

US Event Calendar

  • 8:30am: 8:30am: PPI Final Demand YoY, est. 1.3%, prior 1.1%; Final Demand MoM, est. 0.2%, prior 0.4%;
  • 8:30am: PPI Ex Food and Energy YoY, est. 1.7%, prior 1.6%; Ex Food and Energy MoM, est. 0.2%, prior 0.3%;
  • 8:30am: Initial Jobless Claims, est. 214,000, prior 203,000; Continuing Claims, est. 1.68m, prior 1.69m
  • 9:45am: Bloomberg Consumer Comfort, prior 61.7
  • 12pm: Household Change in Net Worth, prior $1.83t

DB’s Jim Reid concludes the overnight wrap

Plenty of stuff to get through today. The General Election here in the UK, a wrap-up of the Fed last night and a preview of the ECB meeting.

As for the UK election today, I’ll be voting on the dot at 7am as soon as the polls open to ensure my side goes 1-nil up with only around 35 million more to come in as I try to defend my team’s lead. The first point of call will be the exit polls expected out at 10pm GMT. The results will then filter in over the next few hours after that so we should have a good idea of how things stand in the early hours of tomorrow morning. A reminder that Tuesday night saw the YouGov MRP forecast a much smaller 28 seat majority for the Conservatives versus 68 seats in the previous iteration. While much was made of this, to be fair that better reflects the BritainElects moving average of polls reducing to just below 10pts for a Tory lead versus closer to 12pts the first time the survey was run. The handful of polls over the last 24 hours have generally agreed with this although a SavantaComRes poll last night did show a 5% lead only – the narrowest of this election campaign. This morning Sterling is hovering around $1.322.

Turning to the Fed last night, the main headline was that the FOMC unanimously voted to leave rates unchanged, in line with the market’s expectations following a run of 3 successive 25bp cuts. Indeed, this was actually the first unanimous decision since May. Looking at the statement, the language on the economy was unchanged, with the Fed continuing to say that “the labor market remains strong and that economic activity has been rising at a moderate rate.” In a slightly hawkish lean however, they also removed their comment from the previous meeting’s statement that “uncertainties about this outlook remain.”

Examining the dot plot, the median dot for next year saw policy remaining unchanged, with just 4 members wanting a 25bp increase, while the median dot for 2021 saw a 25bp hike. That said, there was some variation around this, with 5 members seeing no change in policy, 4 with a 25bp increase, 5 with a 50bp increase, and 3 with a 75bp increase from present levels. But notably, not a single FOMC member opted for a cut, signalling that the Fed has finished its period of insurance cuts. In his press conference however, Chair Powell pushed back against any inferences that this meant the Fed now had a tightening bias, saying that “a significant move-up in inflation” was needed in order to support rate hikes.

Our US economists published their full summary of the meeting here. In their view, the most-important conclusion from it was Chair Powell’s strong signal of a low-for-longer outlook for the policy rate with rate hikes very unlikely for the foreseeable future. In contrast to the signal from a year ago when normalization was the driving force for the policy outlook, Powell stressed below-target inflation creates challenges, slack remained in the labor market despite a fifty-year low in unemployment, and a “persistent” and “significant” rise in inflation was needed to justify higher policy rates. These signals reinforce our team’s view the Committee is cognizant of the benefits of a hot labor market and is therefore likely to adopt an inflation makeup strategy as a result of the policy review. As Powell made clear, this change will require a credible commitment to be successful.

Markets were buoyed following the decision and press conference, with the S&P 500 advancing +0.29%, while the DOW and NASDAQ finished +0.11% and +0.44%. The trade-sensitive Philadelphia semiconductor index had its best session in over two weeks, closing up +2.23%. Sovereign debt also rallied a couple of bps following the decision, with 10y treasuries ending the session -5bps at 1.791%, with the 2s10s curve flattening -1.6bps. The dollar didn’t perform so well however, down -0.33% against the euro with the move lower largely post-FOMC. Elsewhere Gold performed strongly to end +0.72%,

This morning in Asia, with the exception of the Shanghai Comp which is down -0.12%, that post FOMC momentum has continued for the most part with the Kospi (+1.35%) and Hang Seng (+1.18%) leading the way followed by the Nikkei (+0.24%). Futures on the S&P 500 are also up slightly.

Moving on. With the Fed out of the way it’s the turn of the ECB today and while we’re not expecting any big announcements, given that its Lagarde’s first as the new ECB President, expect there to be plenty of focus. In their preview note our economists highlighted that staff forecasts for GDP growth, headline inflation and core inflation are likely to be stable for the first time since the exit from the APP was announced in mid-2018. The Council will likely remain cautious and view the balance of risks as still tilted to the downside. The accommodative policy stance will remain appropriate. However, Lagarde is likely to oversee one immediate change. That is, they expect the willingness to use “all instruments” to be conditioned on an assessment of the possible side effects of policy. All eyes on that this afternoon then. On a related topic our European economists put a piece out yesterday suggesting why the ECB pain trade cannot persist with regards to monetary policy and bank performance (link). Eventually they expect financial profitability will influence policy. Lagarde’s sensitivity to “side effects” is the signal and the coming ECB strategic review is the opportunity. Absent other changes (e.g. strong fee generation), the reversal of negative policy rates to counteract the side effects cannot be ruled out over time.

Back to yesterday, where the data highlight was the November CPI report in the US. The headline reading of +0.3% mom was a tenth ahead of expectations however the core reading of +0.2% mom (+0.23% unrounded) was in-line which left the year-over-year rate at +2.3% yoy. Later on the November monthly budget statement saw the deficit widen to $208.8bn (vs. $206.2bn expected).

There was no substantive data out in Europe yesterday, with newsflow also fairly light. The EU outlined its plan to become climate-neutral by 2050 while French President Macron finished his awaited clarification on pension reform proposals in which he signalled the dropping of aiming to pursue spending cuts in the short run. For completeness European stocks were a touch firmer yesterday with the STOXX 600 closing +0.22%. European bond markets were also slightly stronger with bunds -2.6bps

To the day ahead now where datawise this morning we get final November CPI readings in Germany and France and October industrial production for the Euro Area. The ECB and SNB meetings follow, before we get November PPI in the US and the latest initial jobless claims data. Expect plenty of focus on the election in the UK too, especially with the exit polls this evening. Finally, EU leaders are due to gather in Brussels to discuss the EU budget and climate neutrality.

 

3A/ASIAN AFFAIRS

I)THURSDAY MORNING/ WEDNESDAY NIGHT: 

SHANGHAI CLOSED DOWN 8.72 POINTS OR 0.30%  //Hang Sang CLOSED UP 348.71 POINTS OR 1.31%   /The Nikkei closed UP 32.95 POINTS OR 0.14%//Australia’s all ordinaires CLOSED DOWN .62%

/Chinese yuan (ONSHORE) closed DOWN  at 7.0372 /Oil UP TO 58.93 dollars per barrel for WTI and 64.15 for Brent. Stocks in Europe OPENED MIXED//  ONSHORE YUAN CLOSED DOWN // LAST AT 7.0372 AGAINST THE DOLLAR. OFFSHORE YUAN CLOSED DOWN ON THE DOLLAR AT 7.0384 TRADE TALKS STALL//YUAN LEVELS GETTING DANGEROUSLY PAST 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

NORTH KOREA

North Korea on the war path again as they state that the USA has nothing to offer even if nuke talks resume

(zerohedge)

North Korea Says US Has Nothing To Offer If Nuke Talks Resumed

A week after North Korea resumed its “dotard” insults at President Trump and their ambassador to the United Nations said further denuclearization talks are no longer needed, Reuters reported Thursday via Korean Central News Agency (KCNA) that, even if denuclearization talks resumed between both countries, the Trump administration has nothing to offer:

  • N.KOREA SAYS READY TO RESPOND TO ANY CORRESPONDING MEASURE THAT US CHOOSES – KCNA
  • N.KOREA SAYS US HAS DONE A STUPID THING BY CONVENING UN SECURITY COUNCIL – KCNA
  • N.KOREA SAYS UN SECURITY COUNCIL IS NOTHING MORE THAN A POLITICAL TOOL OF US INTERESTS
  • N.KOREA SAYS IT’S CLEAR THAT US HAS NOTHING TO OFFER US EVEN IF TALKS ARE RESUMED

North Korea’s foreign ministry criticized the Trump administration for meeting with officials at the UN Security Council and suggested that it would be ready to respond to any corresponding measures that Washington imposes.

“The United States said about corresponding measure at the meeting, as we have said we have nothing to lose and we are ready to respond to any corresponding measure that the US chooses,” said KCNA citing a North Korean Foreign Ministry spokesperson.

 

Following a breakdown in denuclearization talks, North Korea conducted a “very important” test at its Sohae satellite launch site over the weekend, President Trump – whom downplayed the rogue country’s latest actions, including missile tests, saying North Korean leader Kim Jong Un “is too smart and has far too much to lose, everything actually” if he acts in a hostile way toward the US.

Trump also tweeted that North Korea “must denuclearize as promised,” despite the communist nation’s ominous assessment that talks are now over.

NoKo ambassador, Kim Song, was heard over the weekend as saying: “We do not need to have lengthy talks with the US now and denuclearization is already gone out of the negotiating table.”

The latest developments on North Korea’s path towards denuclearization seems to have stalled — it could mean that the rogue country’s “Christmas gift” for the US could be imminent, likely in the form of a new intercontinental ballistic missile launch.

 

END

 

b) REPRT ON JAPAN

 

3 C CHINA

China/USA

China warns that if Trump proceeds with Dec 15 tariffs they will retaliate and it will be big

(zerohedge)

China Warns It Will Retaliate After Reuters Reports Trump Will Proceed With Dec 15 Tariffs

A report claiming that President Trump would be meeting  with senior aides on Thursday to discuss whether the US should move ahead with its next round of tariffs has apparently rankled the higher-ups in Beijing. Because Global Times editor Hu Xijin, a popular mouthpiece for the Communist Party, tweeted a rebuttal Thursday morning, warning that “China will surely retaliate” If Washington moves ahead with the Dec. 15 tariffs.

“Such a trade war escalation scenario has been played several times,” Hu warned, referring to the previous truces declared between China and the US during the 17-month trade fight, before adding that history would reflect poorly on Trump for walking away from the table.

Hu Xijin 胡锡进

@HuXijin_GT

Impose tariffs, China will surely retaliate, such a trade war escalation scenario has been played several times. Washington won’t be so naïve to still believe it can crush China, will it? A trade war that doesn’t result in a trade deal will only be completely denied by history.

View image on Twitter

The warning from Beijing is clear: If Washington moves ahead with the tariff hikes, there will be hell to pay, and we can forget about a trade deal before next year’s election.

Reuters initially reported that Treasury Secretary Steve Mnuchin, US Trade Rep. Robert Lighthizer, and White House advisers Larry Kudlow and Peter Navarro would be involved in the meeting.

The US is set to impose an additional 15 percentage points of tariffs on about $160 billion Chinese exports on Dec. 15. With USMCA now a done deal, President Trump has more leverage to rush a deal with China.

Recently, Peter Navarro, the Trump advisor and one of the administration’s top trade hawks, warned during an interview with Fox Business that Beijing has recently mastered the art of “shaping the narrative” with strategic leaks to Western media, claiming that trade-related leaks from earlier in the week “came from the Chinese not our side.”

Trump has a history of not responding well to provocation, and this latest threat from the Chinese is clearly that – a threat. Perhaps Navarro – who has been known to leak to Reuters – is simply trying to regain control of the narrative for the hawks?

END

China/USA

Trump announces this morning that they are “very close to a big China/USA trade deal”

Let’s see how China responds

(zerohedge)

Stocks Panic Bid As Trump Says “Very Close To Big China Deal”

With the magic of a few short tweeted words, President Trump lifts stocks to new record highs…

Donald J. Trump

@realDonaldTrump

Getting VERY close to a BIG DEAL with China. They want it, and so do we!

Mission Accomplished…MSCI All-Country Stock Index just hit a new all-time high

Record highs…

Yuan also exploded higher…

Source: Bloomberg

And Treasury yields are spiking.

Source: Bloomberg

Gold was monkeyhammered…

And oil prices are nearing $60…

How big is a phase one deal?

end

Trump folds: he offers to cut existing tariffs by 50% in exchange for pledges. Trump is losing his touch

(zerohedge)

Trump Folds: Will Cancel New China Tariffs, Offers To Cut Existing Tariffs By 50% In Exchange For Pledges

And just like that, confirming weeks of media speculation, Trump has folded with the Dow Jones/WSJ reporting that not only will Trump not impose the new tariffs set to come into effect on Dec 15, but will cut existing tariffs by up to 50%.

  • U.S. Negotiators Offer to Cut Existing Tariff Rates by up to 50% on $360 Billion of Chinese Imports – Sources
  • U.S. Negotiators Also Offer to Cancel New China Tariffs Set to Take Effect on Dec. 15 – sources
  • President Trump will Hold Meeting Thursday to Discuss China Trade – Sources

Moments before the WSJ report, Trump wrote in a Tweet: “Getting VERY close to a BIG DEAL with China. They want it and so do we!”

Donald J. Trump

@realDonaldTrump

Getting VERY close to a BIG DEAL with China. They want it, and so do we!

China’s Global Times twitter troll was delighted:

Hu Xijin 胡锡进

@HuXijin_GT

Glad to see President Trump saying this: “They (China) want it, and so do we (the US)!” Only when both sides want a deal, can it be truly reached. https://twitter.com/realDonaldTrump/status/1205134155853574145 

Donald J. Trump

@realDonaldTrump

Getting VERY close to a BIG DEAL with China. They want it, and so do we!

But why the flurry of recent rumors and Navarro media appearances? China-watcher Bill Bishop has a credible explanation:

Bill Bishop

@niubi

Sounds like there is some kind of deal, and Navarro was trying to rally outside forces to pressure the president because he knew he was losing internally

So what does Trump get in return for folding like a cheap chair? Why pledges to buy more agri products, pledges which apparently are not even enforceable as they are merely “firm commitments”, in other words taking China for its word:

According to the WSJ, the tariff-reduction offer was made in the past five days or so, and in exchange, the U.S. side has demanded that Beijing make firm commitments to purchase large quantities of U.S. agricultural and other products, to better protect U.S. intellectual-property rights and to allow greater access to China’s financial-services sector. Just one problem: this is where China balked in the past when told to make an uinbreakable pledge, and this time was no different. Curiously, a mere pledge was enough for Trump this time. That said, as the WSJ adds, “should China not carry out its pledges as part of the potential deal, the tariff rates would return to their original levels, a clause known in trade negotiations as a “snapback” provision.”

Sure enough, according to the report, “Chinese negotiators have balked at Washington’s request that Beijing guarantee its pledge to buy more U.S. soybeans, poultry and other products, saying doing so would run counter to the rules of the World Trade Organization.”

In any event, some sort of “deal”, in which the US gets a promise from China to buy more pork – which it desperately needs anyway thanks to its pig hyperinflation – is now virtually certain:

“Trade teams from both sides are maintaining close communications,” Gao Feng, spokesman at China’s Commerce Ministry, said at a news briefing Thursday. He didn’t provide any additional information.

In continuation of the move launched by Trump’s earlier tweet, stocks have extended their record breaking surge, with the Dow and S&P both now up nearly 1%.

30Y yields are surging, making lives for GSIB facing high year end scores even worse…

…. and the Yuan is soaring by 9 big handles, with the USDCNH down to 6.97.

Just one last thing before everyone gets carried away: the WSJ cautions that Trump still “hasn’t made a decision on whether or not to delay the scheduled new tariffs, or whether to accept a rate cut on existing tariffs.”

And then there’s this:

Carl Quintanilla

@carlquintanilla

“China talks are going very well” – Trump, 12/7/18

“We’re getting into the final laps” – Mnuchin, 4/29/19

“We are coming down to the short strokes” – Kudlow, 11/15/19

“Getting VERY close to a BIG DEAL” – Trump, 12/12/19

 

Finally, there is China itself, with the Global Times’ Business Source division suggesting that China still hasn’t gotten the memo:

The Business Source@GlobalTimesBiz

.@realdonaldtrump said that China and the US are getting “very close” to a deal, but this could just be another trick to boost stock markets. China wants to see real actions not just words to show sincerity such as rolling back tariffs: Mei Xinyu, an expert close to the MOFCOM.

View image on Twitter
China
Another indicator of a fall in China’s economy:  Chinese mobile shipments fall 1.5% yar/year as see no recovery un til 2023
(zerohedge)

China Mobile Shipments Fall 1.5% On Year, No Recovery Until 2023?

After a decade of record growth, the global mobile phone industry peaked in 2016/17. Innovation has slowed as phones reach the masses on a massive scale.

The loss of momentum in phone shipments is becoming increasingly visible on the manufacturer side, as shipments in China have contracted on the year.

Bloomberg cites a statement from the China Academy of Information and Communications Technology (CAICT), an institute under the industry ministry, that said mobile phone shipments dropped to 34.8 million units in Nov.

CAICT said mobile phone shipments dropped 1.5% Y/Y last month, continuing the fall seen in Oct. when shipments plunged 6.7% on the year.

Sangeetika Srivastava, the senior research analyst at IDC, said “Consumers continue to hold their devices for lengthier times, making sales difficult for the vendors and channels alike.”

The arrival of 5G phones could rebound the industry by 2023, with mobile phone sales expected to reach 1.48 billion, slightly above the peak from 2016. This means the mobile phone industry will remain below trend for the next several years.

END

4/EUROPEAN AFFAIRS

ECB

No changes or surprises..Lagarde wants inflation to rip through the European Union.

(zerohedge)

No Changes Or Surprises From ECB In Lagarde’s First Meeting

In her first policy meeting as head of the ECB, Christine Lagarde left the uber-dovish momentum put in place by her predecessor, Mario Draghi, untouched, and moments ago the ECB kept all its three rates unchanged as expected, noting that rates would remain “at their present or lower levels” until the ECB nears its inflation goal, i.e. never, and that the ECB will continue buying €20BN in bonds until “shortly before it starts raising the key ECB interest rates” (or until it runs out of German bonds to buy, whichever comes first). In short no surprises, and the market reacted accordingly, with the EURUSD and bunds not even pretending to move.

Full statement below:

  • At today’s meeting the Governing Council of the European Central Bank (ECB) decided that the interest rate on the main refinancing operations and the interest rates on the marginal lending facility and the deposit facility will remain unchanged at 0.00%, 0.25% and -0.50% respectively. The Governing Council expects the key ECB interest rates to remain at their present or lower levels until it has seen the inflation outlook robustly converge to a level sufficiently close to, but below, 2% within its projection horizon, and such convergence has been consistently reflected in underlying inflation dynamics.
  • On 1 November net purchases were restarted under the Governing Council’s asset purchase programme (APP) at a monthly pace of €20 billion. The Governing Council expects them to run for as long as necessary to reinforce the accommodative impact of its policy rates, and to end shortly before it starts raising the key ECB interest rates.
  • The Governing Council intends to continue reinvesting, in full, the principal payments from maturing securities purchased under the APP for an extended period of time past the date when it starts raising the key ECB interest rates, and in any case for as long as necessary to maintain favourable liquidity conditions and an ample degree of monetary accommodation.

As such, today’s press conference may reveal more information about this, and could come with a formal announcement. And among many other policy/mission tweaks for the convicted criminal-cum-central banking climate crusader, Rabobank sarcastically adds, “will it include a pledge to also do ‘whatever it takes’ to get to the Eurozone to net-zero carbon emissions?

END
EU
Zero hedge pounds the table that Lagarde is wrong on two major points.  The EU is heading toward Japanification and negative rates certainly hurt the economy
(zerohedge)

Dear Mrs. Lagarde, You’re Wrong (Twice)

During Christine Lagarde’s first press conference as ECB President she dropped a couple of statements that simpoly need to be addressed for their “error”-ness…

First, the former IMF head proclaimed confidently that “the Euro are is not seeing Japanification.”

We beg to differ…

 

And second, Lagarde confidently told the listening audience that “negative rates seem to work” even though she admitted that “the ECB is very aware of the side effects.”

The question is “working” for whom?

 

Source: Bloomberg

As a reminder, Europe’s banking CEOs disagree…

Oswald Gruebel, who served as Credit Suisse CEO from 2004 to 2007 and as UBS Group AG’s top executive from 2009 to 2011, has slammed ECB policy in an interview with Swiss newspaper NZZ am Sonntag.

“Negative interest rates are crazy. That means money is not worth anything anymore,” Gruebel exclaimed.

“As long as we have negative interest rates, the financial industry will continue to shrink.”

The ECB’s imposition of negative interest rates have created an “absurd situation” in which banks don’t want to hold deposits, rages UBS CEO Sergio Ermotti, arguing that this policy is hurting social systems and savings rates.

Additionally, Deutsche Bank CEO Christian Sewing warned that more monetary easing by the ECB, as widely expected next week, will have “grave side effects” for a region that has already lived with negative interest rates for half a decade.

“In the long run, negative rates ruin the financial system,” Sewing said at the event, organized by the Handelsblatt newspaper.

Another cut “may make refinancing cheaper for states, but has grave side effects.”

While Lagarde has previously claimed that the benefits of deeply negative rates outweigh the costs (reaffirming today that “a highly accommodative policy is warranted for a prolonged period of time”) few economists believe another cut at this level would actually help the economy. According to Sewing, all it would achieve is to further divide society by lifting asset prices while punishing Europe’s savers who are already paying 160 billion euros ($176 billion) a year because of negative interest rates.

“What’s really worrisome: central banks have hardly any tools left to effectively mitigate a real economic crisis,” Sewing said.

“They have already cranked open the money tap – most of all the European Central Bank.”

Who can blame them when you look at their share prices.

All of which reminds us that “…when it’s serious you have to lie…”

SPAIN

The Socialist government of Spain removes barbed fences which previously had blocked migrants from Morocco for entering their country.  Spain will soon be another Sweden

(Gatestone)

Spain’s “Migrant Friendly” Border Fences

Authored by Soeren Kern via The Gatestone Institute,

Spanish authorities have begun removing razor wire, known as concertina wire, from border fences along Spain’s frontier with Morocco. The Socialist government ordered their removal after migrants who tried to jump the fences to enter Europe illegally suffered injuries after coming into contact with the wire.

Spanish Interior Minister Fernando Grande-Marlaska justified the removal by saying that Morocco had recently installed concertina wire on fences on its side of the border, and that therefore it was no longer necessary on the Spanish side.

 

Critics say that the razor wire functions as a significant deterrent to illegal immigration and that by removing it, the Spanish government not only risks unleashing new waves of mass migration from Africa, but also gives effective control of the Spanish border to Morocco, with which Spain has a tense relationship. Morocco frequently dumps large numbers of illegal migrants along the Spanish border to extract concessions from the Spanish government on unrelated issues.

The border fences in question involve those at Spain’s North African exclaves of Ceuta and Melilla — magnets for Africans seeking a better life in Europe.

At Ceuta, two parallel fences that are six meters (20 feet) high and topped with concertina wire run eight kilometers (five miles) along the border with Morocco. At Melilla, twin fences that are four meters (13 feet) high run 12 kilometers (eight miles) along the border. The fences at Ceuta and Melilla are fortified with anti-climb mesh, video cameras, noise and motion sensors, spotlights and surveillance posts.

Each year, thousands of migrants — sometimes hundreds at a time — try to scale the fences at Ceuta and Melilla, where they are often successful. Once inside Spanish territory, illegal migrants are in the European Union, where magnanimous human rights laws virtually guarantee that they will never be deported back to their countries of origin.

Migrants who successfully scale the fences at Ceuta and Melilla are normally transferred to processing facilities in mainland Spain. Once there, many migrants continue on to wealthier countries in northern Europe, where social welfare benefits are more generous than in Spain. Only 30% of the migrants who enter Ceuta remain in Spain, according to Clemen Núñez, a director of the Red Cross in Ceuta. The rest normally move on to Britain, France and Germany. The border issue at Ceuta and Melilla is therefore one that affects all of Europe.

Migrants are increasingly using the tactic of mass attacks against the border fences in an effort to overwhelm the border police. During the past 18 months, thousands of migrants equipped with gloves, spike shoes and makeshift hooks have attempted to scale the fences at Ceuta and Melilla, often using extreme violence against the police. Notable recent incidents include:

  • July 26, 2018. At least 800 migrants from sub-Saharan Africa tried to scale the fence at Ceuta. A total of 602 managed to enter Spanish territory. The migrants used unprecedented violence against Spanish law enforcement. Eleven police officers were injured when migrants attacked them with quicklime, homemade flamethrowers, sticks and sharp objects, as well as with urine and excrement.
  • August 22, 2018. A total of 119 migrants successfully scaled the fence at Ceuta, after taking advantage of a diminished police presence on the Moroccan side of the border during a Muslim holiday.
  • October 2018. More than 300 migrants tried to scale the fence at Melilla; 200 migrants, mostly from sub-Saharan Africa, successfully entered Spanish territory.
  • May 12, 2019. More than 100 migrants tried to scale the fence at Melilla; 52 migrants, mostly from Cameroon, Ivory Coast and Mali, successfully entered Spanish territory.
  • August 30, 2019. More than 400 migrants tried to scale the fence at Ceuta; 155 migrants, mostly from sub-Saharan Africa, successfully entered Spanish territory.
  • September 19, 2019. At least 60 migrants tried to scale the fence at Melilla; 26 migrants, mostly from sub-Saharan Africa, managed to enter Spanish territory.
  • November 18, 2019. A people smuggler transporting 52 migrants — 34 men, 16 women and two children — reached Spanish territory after driving his van at full speed through the border gate at Ceuta. The driver, a 38-year-old Moroccan with French residency, was arrested more than a kilometer inside Spanish territory. The migrants, who claimed to be from Congo, Guinea and the Ivory Coast, were taken to a migrant processing facility in Ceuta.

Hundreds of migrants have suffered cuts and lacerations from the concertina wire, according to the Spanish Red Cross, prompting calls for the razor wire to be removed.

On June 14, 2018, Spanish Interior Minister Fernando Grande-Marlaska vowed to do “everything possible” to remove the “anti-migrant” razor wire fences. During an interview with the Spanish radio station Onda Cero, he said that he had commissioned a report into finding the “least bloody possible means” of preserving border security. “I’m going to do everything possible to see that these razor wire fences at Ceuta and Melilla are removed,” he said. “It is one of my main priorities.”

On February 23, 2019, Grande-Marlaska, during a campaign stop while on a visit to Ceuta, repeated his pledge to remove the concertina wire. At the same time, he visited a new barbed-wire fence on the Moroccan side of the border. The fence, topped with concertina wire, was paid for by a €140 million ($155 million) grant from the European Union.

On August 26, 2019, Grande-Marlaska, during an interview with Telecinco television, again said that he was determined to eliminate the “bloody means” of border control: “We said that we were going to generate 21st century borders, safer borders, where the concept of security and humanity are not in any way dissociated.”

On December 3, 2019, the government began work on a €32 million ($35 million) plan to remove the concertina wires from the fences that separate Ceuta from Morocco. Ironically, the razor wires were first installed by the government of Socialist Prime Minister José Luis Rodríguez Zapatero in 2005 — at a cost of €28 million ($30 million).

The removal is in line with the current Socialist government’s pro-immigration stance. In June 2018, for instance, Spanish Prime Minister Pedro Sánchez welcomed 630 migrants from the Aquarius migrant ship who were rescued off the coast of Libya. Spain accepted the migrants after the Aquarius was refused entry by Italy and Malta. Italy’s then interior minister, Matteo Salvini, accused Spain of “encouraging out-of-control immigration.”

A few weeks later, the Spanish government announced that it would end so-called express deportations — the practice of immediately deporting migrants the moment they reach the Spanish border — after the European Court of Justice ruled that summary deportations were a violation of EU law.

In October 2017, the Strasbourg-based court ruled that Spain must pay €10,000 to two African migrants who were summarily deported after they scaled the fence at Melilla in August 2014. The EU court said that Spanish border police failed to verify the identity of the migrants, and failed to provide them with access to lawyers, translators or medical personnel. Spain’s previous center-right government appealed the ruling, but the new Socialist government said that it would review that appeal and immediately end the practice of express deportations.

The government has justified the removal of the concertina wires on the grounds of human rights. Government spokeswoman Isabel Celaá said that “this government wants to remove the concertinas without losing any security.” She added that “border control must be linked to solidarity and respect for human dignity.” Celaá insisted that “you can have border security without hurting people.”

Police and border patrols agents, however, have said that without concertina wires, the border will become even more vulnerable to mass incursions than it already is. They added that whenever there are mass attacks against the fences, police are usually outnumbered by the migrants seeking to enter Spain illegally.

The Spanish newspaper ABC reported that police, in private conversations, said that they were worried that the Socialist government in Madrid was prioritizing the wellbeing of migrants over the safety of law enforcement officers. They noted that while eleven officers were injured in the mass attack against the fence in Ceuta on August 30, when migrants attacked police with acid and mace, not a single one of the 155 migrants who managed to reach Spanish territory have been deported.

Spanish border police told ABC that the main function of the concertina wires is not aggressive, but deterrent:

 

“The concertinas prevent many people from thinking about jumping the fence and, in the event that someone tries or there is a mass jump, they also allow agents to gain some time since they slow down the progress of migrants.”

The Senate spokesman of the center-right Popular Party, Ignacio Cosidó, warned that removing the concertina wires would be “a great irresponsibility” and that, in his opinion, this type of “gesture” would send the message that Spain now has an “open door” migration policy.

Santiago Abascal, leader of the Spanish conservative party Vox, the third-largest party in Spain, said that the Socialist government’s plan was part of a broader effort to undermine national sovereignty in favor of globalist mass migration. He called for replacing the fences with concrete walls to better secure the border:

“The borders in Ceuta and Melilla are permanently violated by avalanches of immigrants. We are going to propose a reform of the immigration law to be able to expel an immigrant immediately if their documentation is not in order. We believe that the best protection is a concrete wall that is high enough for security forces to control the border.”

Taking a page out of U.S. President Donald J. Trump’s playbook, Abascal said that new wall should be paid for by Morocco: “It is Morocco which launches waves of clandestine immigrants to blackmail the European Union. Maybe they should pay for it.”

On September 12, Vox Secretary General Javier Ortega Smith and Vox Parliamentary Spokesman Iván Espinosa de los Monteros presented a plan in the Spanish Congress to replace the “ineffective fences and concertinas” with a concrete wall that, due to its “thickness, strength and height” would make the borders at “Ceuta and Melilla borders impenetrable and impassable.” They said that the wall should be paid for by Spain with “economic collaboration” from the European Union.

Ortega Smith said that proposal to build a wall “is not a propaganda slogan” but a necessity to curb illegal immigration. He explained that the current fences are ineffective because migrants can scale them and, from on top, “throw stones, acids and quicklime” on the border police below. Ortega Smith said that the walls would eliminate the need for concertina wire, an excuse that the Spanish left was using to profess outrage about inhumane treatment: “We do not want migrants to be cut, rather, we do not want them to scale the fence in the first place.”

Vox parliamentary spokesman Iván Espinosa de los Monteros blamed the Socialist government for encouraging mass migration. “We are not against immigration,” he said during an interview with Spanish public television. “We are not even against the illegal immigrant. It is not their fault that an irresponsible government has called them to come here illegally.”

END

5. RUSSIAN AND MIDDLE EASTERN AFFAIRS

 

6.Global Issues

 

7. OIL ISSUES

Deadly to our shale boys:  Chevron writes down its natural gas property in the Appalachia mountains to the tune of 11 billion dollars.

(Cunningham/Oil Price.com)

Chevron’s $11 Billion Write Down Is A Warning For The Entire Oil Industry

Authored by Nick Cunningham via OilPrice.com,

Chevron said that it would write down $11 billion in assets in the fourth quarter, much of which is tied to natural gas in Appalachia. The impairment is a sign that the waters are getting pretty rough for the oil and gas industry, due to a combination of supply surpluses, low prices, the struggling and unproven business case for large-scale shale drilling, and the looming threat of peak demand.

The write down comes as Chevron lowered its long-term forecast for oil and gas prices, which directly impacted the value of its assets. “We have to make the tough choices to high-grade our portfolio and invest in the highest-return projects in the world we see ahead of us, and that’s a different world than the one that lies behind us,” Chevron Chief Executive Mike Wirth said in an interview with the Wall Street Journal.

The WSJ says the admission that billions of dollars’ worth of assets are worth a lot less than previously thought could force others to “publicly reassess the value of their holdings in the face of a global supply glut and growing investor concerns about the long-term future of fossil fuels.”

The write down is also an indictment of shale gas drilling in Appalachia. Low prices and a track record of not producing any profits has soured investors on the sector. A recent analysis by IEEFA found that the seven largest Appalachian gas drillers burned through a half a billion dollars in the third quarter. “Despite booming gas output, Appalachian oil and gas companies consistently failed to produce positive cash flow over the past five quarters,” the authors of the IEEFA report said.

But Chevron is also writing down some value in its LNG project in Canada.

“As a result of Chevron’s disciplined approach to capital allocation and a downward revision in its longer-term commodity price outlook, the company will reduce funding to various gas-related opportunities including Appalachia shale, Kitimat LNG, and other international projects,” Chevron said in a press release.

“Chevron is evaluating its strategic alternatives for these assets, including divestment.”

Chevron’s impairment charge is not a company-specific anomaly. Schlumberger took a massive $12.7 billion write down in October, largely due to the slowdown in shale drilling. BP wrote down $2.6 billion in assets in October and Repsol took a $5 billion impairment more recently. Repsol also said that it would try to transform its business, aiming to achieve net-zero emissions by 2050.

In fact, part of the reason why companies are increasingly acknowledging the likelihood of lower long-term prices is because of the energy transition. Supplies are abundant, largely because of the hundreds of billions poured into shale. But on the other side of the ledger, long-term demand looks increasingly shaky.

“[O]il companies have struggled to reap the profits of old and are falling out of favor with investors amid fears that electric vehicles and renewable energy, along with government regulations to address a warming planet, will constrain their futures,” the WSJ concluded.

At the same time, even as Chevron is narrowing its focus on its best acreage, and is shopping unprofitable shale gas assets in Appalachia, its strategy is still very much dependent on U.S. shale. In fact, increasingly so. Chevron is heavily investing in Permian drilling. The oil major hopes to produce 900,000 bpd from the Permian by 2023.

But after several years of working in West Texas, it’s not clear that Chevron is producing a lot of cash. Chevron’s CEO Mike Wirth said earlier this year that Chevron’s Permian business wouldn’t achieve positive cash flow until 2020.

When analysts pressed executives on this issue during a third quarter earnings call, the company reiterated its promise that positive cash flow would be coming soon.

“We are still expecting to have free cash flow positive next year,” Chevron’s Executive Vice President, Upstream Jay Johnson said.

To anyone following the long saga of U.S. shale, it’s a familiar refrain. 

end

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 1.1132 DOWN .0008 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 /MOSTLY GREEN EXCEPT SPAIN

 

 

USA/JAPAN YEN 108.64 UP 0.084 (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 1.3167   DOWN   0.0033  (Brexit March 29/ 2019/ARTICLE 50 SIGNED/BREXIT FEES WILL BE CAPPED/BREXIT EXTENDED TO JAN 31/2020//

USA/CAN 1.3173 DOWN .0001 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 FELL BY 1 basis points, trading now ABOVE the important 1.08 level FALLING to 1.1132 Last night Shanghai COMPOSITE CLOSED DOWN 8.72 POINTS OR 0.20% 

 

//Hang Sang CLOSED UP 348.71 POINTS OR 1.31%

/AUSTRALIA CLOSED DOWN 0,62%// EUROPEAN BOURSES MOSTLY GREEN EXCEPT SPAIN

 

Trading from Europe and Asia

EUROPEAN BOURSES MOSTLY GREEN EXCEPT SPAIN 

 

 

2/ CHINESE BOURSES / :Hang Sang CLOSED UP 348.71 POINTS OR 1.31%

 

 

/SHANGHAI CLOSED DOWN 8.72 POINTS OR 0.30%

 

Australia BOURSE CLOSED DOWN. 62% 

 

 

Nikkei (Japan) CLOSED UP 32.95  POINTS OR 0.14%

 

 

 

INDIA’S SENSEX  IN THE GREEN

Gold very early morning trading: 1475.20

silver:$16.89-

Early THURSDAY morning USA 10 year bond yield: 1.80% !!! 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 2.23 UP 1  IN BASIS POINTS from WEDNESDAY night.

USA dollar index early THURSDAY morning: 97.16 UP 4 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: 0.40% PLUS 5 in basis point(s) yield from YESTERDAY/

JAPANESE BOND YIELD: -.00%  DOWN 0   BASIS POINTS from YESTERDAY/JAPAN losing control of its yield curve/56

SPANISH 10 YR BOND YIELD: 0.45%//UP 4 in basis point yield from yesterday.

ITALIAN 10 YR BOND YIELD:1,23 UP 3 points in basis points yield from yesterday./

 

 

the Italian 10 yr bond yield is trading 78 points higher than Spain.

 

GERMAN 10 YR BOND YIELD: RISES TO –.27% IN BASIS POINTS ON THE DAY//

THE IMPORTANT SPREAD BETWEEN ITALIAN 10 YR BOND AND GERMAN 10 YEAR BOND IS 1.87% 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 THURSDAY

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

Euro/USA 1.1115  DOWN     .0018 or 18 basis points

USA/Japan: 109.13 UP .580 OR YEN UP 20 DOWN basis points/

Great Britain/USA 1.3124 DOWN .0075 POUND DOWN 75  BASIS POINTS)

Canadian dollar DOWN 9 basis points to 1.3183

 

xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx

 

The USA/Yuan,CNY: AT 7.0044    ON SHORE  (DOWN)..

 

THE USA/YUAN ON SHORE:  6.9819  (YUAN DOWN)..

 

TURKISH LIRA:  5.6842 EXTREMELY DANGEROUS LEVEL/DEATH WISH.

the 10 yr Japanese bond yield closed at -.00%

 

Your closing 10 yr US bond yield UP 8 IN basis points from WEDNESDAY at 1.87 % //trading well ABOVE the resistance level of 2.27-2.32%) very problematic USA 30 yr bond yield: 2.31 UP 8 in basis points on the day

Your closing USA dollar index, 97.38 UP 25  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 UP 67.22  0.79%

German Dax :  CLOSED UP 74.90 POINTS OR .57%

 

Paris Cac CLOSED UP 23.38 POINTS 0.40%

Spain IBEX CLOSED UP 76.00 POINTS or 0.81%

Italian MIB: CLOSED UP 235.31 POINTS OR 1.02%

 

 

 

 

 

WTI Oil price; 59.43 12:00  PM  EST

Brent Oil: 64.45 12:00 EST

USA /RUSSIAN /   RUBLE RISES:    62.84  THE CROSS LOWER BY 0.49 RUBLES/DOLLAR (RUBLE HIGHER BY 49 BASIS PTS)

 

TODAY THE GERMAN YIELD RISES  TO –.27 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 :  59.31//

 

 

BRENT :  64.35

USA 10 YR BOND YIELD: … 1.90..plus 10 basis pts…

 

 

 

USA 30 YR BOND YIELD: .2.31 ..plus 9 basis pts..

 

 

 

 

 

EURO/USA 1.1127 ( DOWN 6   BASIS POINTS)

USA/JAPANESE YEN:109.30 UP .741 (YEN DOWN 74 BASIS POINTS/..

 

 

USA DOLLAR INDEX: 97.28 UP 15 cent(s)/

The British pound at 4 pm   Britain Pound/USA:1.3165 DOWN 34  POINTS

 

the Turkish lira close: 5.7874

 

 

the Russian rouble 62.78   UP 0.54 Roubles against the uSA dollar.( UP 54 BASIS POINTS)

Canadian dollar:  1.3183 DOWN 9 BASIS pts

USA/CHINESE YUAN (CNY) :  7.0044  (ONSHORE)/

 

 

USA/CHINESE YUAN(CNH): 6.9482 (OFFSHORE)

 

German 10 yr bond yield at 5 pm: ,-0.27%

 

The Dow closed UP 202.75 POINTS OR 0.79%

 

NASDAQ closed UP 63.27 POINTS OR .273%

 


VOLATILITY INDEX:  13.97 CLOSED DOWN 1.02

LIBOR 3 MONTH DURATION: 1.887%//libor dropping like a stone

 

USA trading today in Graph Form

Trade-Deal Rumorgasm Sparks Stock Meltup To Record Highs, Bond Bloodbath

It’s a deal… again…

Oct 11: NEWS “Trump says the US has come to a substantial phase one deal with China”

Dec 12: RUMOR *TRUMP: GETTING VERY CLOSE TO A BIG DEAL WITH CHINA

Dec 12: RUMOR *U.S. NEGOTIATORS OFFER TO CANCEL NEW DEC. 15 CHINA TARIFFS: DJ

Dec 12: NEWS/RUMOR “Trump says he and China reached a ‘phase one’ trade deal in principle”

And that was good enough for new record highs for stocks (for a brief second, Nasdaq was back to unchanged after the early trade deal rumors faded, but that didn’t last)…

After each surge, algos dragged stocks back to VWAP but the last headline barrage sparked buying into the close…

And there’s only one clip that works for today…

Yuan exploded nine handles higher to four-month highs…

Source: Bloomberg

Sending expectations for a trade deal soaring…

Source: Bloomberg

30Y Yields soared the most in 3 months today…

Source: Bloomberg

Since the “phase one deal” was agreed again on Oct 11th, stocks are alone in their exuberance…

Source: Bloomberg

Cyclicals, as expected, dramatically outperformed…

Source: Bloomberg

Bank stocks soared as rates spiked and the yield curve steepened…

Source: Bloomberg

VIX was clubbed back to a 13 handle…

And as Equity protection costs plunged, so did credit with HY plunging back below 300bps…

Source: Bloomberg

Bond yields smashed higher on the initial rumors – dramatically worse reactions than for gold and stocks…

Source: Bloomberg

Treasury yields exploded higher on the day – all higher on the week now…

Source: Bloomberg

Notably 30Y Yields staled at the pre-Oct-FOMC levels as a strong auction stalled the carnage

Source: Bloomberg

The yield curve steepened dramatically…

Source: Bloomberg

The Dollar ended the day marginally higher after a huge rollercoaster…

Source: Bloomberg

Investors in sterling are the most hedged since the referendum…

Source: Bloomberg

USDJPY surged…

Source: Bloomberg

Yuan’s huge spike broke it back above its 200DMA…

Source: Bloomberg

Cryptos rallied on the day but remain lower on the week…

 

Source: Bloomberg

Copper and Crude soared on the trade rumors, PMs dumped, but silver managed to bounce back…

Source: Bloomberg

Gold was chaotic today – surging above payrolls and running stops before the trade rumors hit and it collapsed…

And while gold was down, silver managed to hold on to decent gains…

Gold also tumbled in yuan terms…

Source: Bloomberg

Finally, as the S&P 500 Index pushes to record highs, trading volume is drying up in typical fashion for the final weeks of a year…

Source: Bloomberg

As Bloomberg notes, in another sign of a slowdown, the SPDR S&P 500 ETF Trust has seen fewer than 100 million shares traded for 42 straight days, the longest stretch since 2007.

Do you believe in miracles (and coincidences)? 2019=2013

Source: Bloomberg

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

MARKET TRADING//USA

a)Market trading/THIS MORNING/USA

Gold & Silver Extend Gains On Lagarde’s “Inflation Is Coming” Comments

With the dollar sliding, and following yesterday’s dovish market reaction to The Fed, ECB’s Lagarde comments on inflation (increasing its expectations for 2020 and said that Q4 2022 inflation will be at 1.7%) and noting labor costs pressures have strengthened.

Over the medium term, the inflation rate will increase, Lagarde said.

Additionally, she noted The ECB’s highly accommodative stance will continue for a prolonged period until inflation rises, and said that incoming economic and survey data point to some stabilization in the slowdown of economic growth in the euro area.

Gold and silver have erased all the post-Payrolls losses…

END

 

b)MARKET TRADING/USA/AFTERNOON

WHERE HAVE WE SEEN THIS BEFORE?

Stocks Erase Half Of Trade-Hope Gains On China Comments

Between Trump appearing to walk back his more aggressive earlier tweet, telling reporters that “we’re working a deal with China, but I wouldn’t say up until now they’ve loved me,” and comments from CNBC China’s Eunice Yoon, stocks have given back a large chunk of earlier gains…

Eunice Yoon

@onlyyoontv

Reports of US offer on deal causing stir tonight in Beijing. One Chinese expert tells me he thinks Chinese side would continue to push back on agreeing to hard targets on “super huge” agricultural purchases even with Trump offer to reduce tariff rates. https://twitter.com/onlyyoontv/status/1205143251373588481 

Eunice Yoon

@onlyyoontv

DJ*U.S. Negotiators Offer to Cut Existing Tariff Rates by up to 50% on $360 Billion of Chinese Imports – Sources (MORE BELOW)

Trump offer to reduce tariff rates. https://twitter.com/onlyyoontv/status/1205143251373588481 

Eunice Yoon

@onlyyoontv

DJ*U.S. Negotiators Offer to Cut Existing Tariff Rates by up to 50% on $360 Billion of Chinese Imports – Sources (MORE BELOW)

View image on Twitter

Doesn’t sound so “Deal is close” after all eh?

Now where have we seen this before?

Carl Quintanilla

@carlquintanilla

“China talks are going very well” – Trump, 12/7/18

“We’re getting into the final laps” – Mnuchin, 4/29/19

“We are coming down to the short strokes” – Kudlow, 11/15/19

“Getting VERY close to a BIG DEAL” – Trump, 12/12/19

END
THEN LATE IN THE AFTERNOON

US Reaches Trade Deal “In Principle” With China, Stocks Re-Surge

The algos are loving it… again.

Bloomberg reports that U.S. negotiators have reached the terms of a phase-one trade deal with China that now awaits President Donald Trump’s approval, according to people briefed on the plans.

and the result…

S&P ripped right off of its VWAP…

And Yuan spiked to a new high for the day…

As did 30Y Yields…

Officials are meeting in The White House to get Trump’s sign-off, according to people familiar.

Just one little reminder of what happened two months ago:

Oct 11: Trump says the US has come to a substantial phase one deal with China

Trade accordingly!

END

 

ii)Market data/USA

A little troubling for Powell has he cannot get prices to rise. It grew at its slowest pace in 3 years

(zerohedge)

US Producer Prices Grow At Slowest Pace In Over 3 Years

Following yesterday’s bigger than expected rise in consumer prices (driven by surging services costs), US producer prices were expected to accelerate after slowing dramatically in recent months, but it didn’t with core PPI dropping 0.2% MoM and headline PPI holding at just 1.1% YoY – the lowest since September 2016.

 

 

 

Source: Bloomberg

Core PPI fell 0.2% MoM – dispelling more of the narrative that President Trump’s tariff threats will crush the average American with cost increases…

 

 

Notably, while Consumer Services costs surged in November, Producer Services costs slid 0.3% (with Trade -0.6%).

end
Even the Bureau of Labour Statistics are confused with an unexpectedly rise in jobless claims today
(zerohedge)

Even BLS Confused After Jobless Claims Unexpectedly Soar Most In Over Two Years

In addition to the surprising miss in PPI, which may rudely awake the Fed out of its “no rate cut for a year” slumber, moments ago the BLS reported a shocker, when the latest weekly initial jobless claims soared unexpectedly by 49K, from a near-cycle low of 203K to 252K, far above the 214K consensus expectations, and the highest print since 2017!

This was the biggest monthly jump since September 2017, however back then there was a reason: hurricanes; this time there was no immediate explanation for the sudden spike, although the Labor Department did note that volatility is “not unusual” around the Thanksgiving holiday.

And while it is likely that there was a big seasonal reason for today’s jump, it was not immediately clear what it is, especially since it should have been factored in the expectations as it is recurring every year. Meanwhile, looking at the unadjusted data, the number was even more jarring, rising by a whopping 100,697 claims in the week to a total of 317,509 in the week ending December 7.

As even the BLS admits, “the seasonal factors had expected an increase of 39,217 (or 18.1 percent) from the previous week. There were 261,525 initial claims in the comparable week in 2018.” That said, it is possible that the spike may be due to seasonal layoffs coming in early this year, although in prior years this spike usually took place later in December.

 

A breakdown by state did not provide color on what caused the spike: the largest increases in initial claims for the week ending November 30 were in Ohio (+1,504), Iowa (+1,194), Arkansas (+815), Oklahoma (+811), and Wisconsin (+733), while the largest decreases were in California (-12,676), Texas (-5,780), New York (-5,471), Florida (-1,845), and Georgia (-1,819).

We look to Larry Kudlow for color on what snapped in the first week of December, as left without an explanation the unexpected surge in claims is certainly an ominous inflection point for the state of the US labor market.

iii) Important USA Economic Stories

You will recall in our two pieces Posznar vs Skyrm, Posznar describes events that by December 31, there will be no liquidity due to new rules. You will recall that Skyrm predicted a large extra 100 billion USA will be loaned out to prevent a catastrophe.  Well guess again: the Fed just announced a huge 1/2 trillion dollar year end liquidity boost.

what is harmful to us is the fact that 20% of the funds are going illegally to hedge funds.  (only banks are allowed to receive window money). Hedge funds have suffered great losses and this funds are meant to patch up their gargantuan holes..especially in the huge losses in gold and silver.

Looks to me that Posznar is the correct one..

(zerohedge)

To Avoid Repo Crisis Fed Will Flood Market With A Gargantuan $500 Billion In Year-End Liquidity

In previewing today’s Fed statement regarding repurchase operations, on Tuesday Curvature Securities repo expert Scott Skyrm said that he expects the Fed to announce a $50 billion (at least) term operation for Monday December 23 (double the current term ops) and a $50 billion (at least) term operation for Monday, December 30. This prediction was in response to Zoltan Pozsar’s warning that reserve levels are too low and the result would be a market crash that could spark QE4.

Well, moments ago the NY Fed did publish it latest weekly “Statement Regarding Repurchase Operations” as expected laying out the Fed’s expected repo operations for the period December 13 – January 14… and it blew Skyrm’s expectations out of the water

According to the statement, the NY Fed will continue to offer two-week term repo operations twice per week, four of which span year end. In addition, the Desk will also offer another longer-maturity term repo operation that spans year end. The amount offered in this operation will be at least $50 billion, just as Skyrm expected.

But there was more. Much more.

 

In addition, to avoid a year-end liquidity squeeze, Fed overnight repo operations will continue to be held each day, and just to be safe, the Fed will go to town: On December 31, 2019 and January 2, 2020, the overnight repo offering will increase to at least $150 billion to cover the “turn” in a flood of overnight liquidity.  In addition, on December 30, 2019, the Desk will offer a $75 billion repo that settles on December 31, 2019 and matures on January 2, 2020.

And just in case that’s not enough, the NY Fed’s markets desk also added that it “intends to adjust the timing and amounts of repo operations as needed to mitigate the risk of money market pressures that could adversely affect policy implementation, consistent with the directive from the FOMC.”

So to summarize: in addition to expanding the sizes of its “turn” overnight repos to $150 billion, the Fed will conduct a total of nine term repos from Dec 16 to Jan 14, 8 of which will amount to $35BN and the first will be $50BN, for a total injection of a whopping $365 billion in the coming month.

And visually:

There’s more: add in the incremental liquidity from the expanded overnight repo of about $50 billion and another $60 billion in T-Bill purchases, and the Fed will inject a total of just shy of $500 billion in the next 30 days!

This also means that by Jan 14, the Fed’s balance sheet would have grown by a cumulative $365BN in “temporary” repos, and together with the expanded overnight repos, and the $60BN in monthly TBill purchases, and by mid-January, the Fed’s balance sheet, currently at $4.066 trillion, will surpass its all time high of $4.5 trillion!

The question then is whether this will be sufficient to refute the repo Doomsday predicted by Pozsar, one which was supposed to launch QE4, or will the Fed’s gargantuan liquidity injection still not be enough and lead to a collapse in the repo market. We will find out in the next three weeks.

 

END
USA
This kind of tells you things:  CEO resignations jump as corporate confidence collapses
(zerohedge)

Cycle Top? CEO Resignations Jump Amid Collapse In Corporate Confidence

CEOs generally have a good lead on the economy and can spot acceleration and deceleration periods in the business cycle. With the current economy cycling lower into year-end, CEOs are departing companies at a record rate, fastest in nearly two decades, amid their collapse in confidence in the outlook of the economy.

Bloomberg notes that CEOs are voluntarily abandoning ship [their respected companies] as the economic expansion slows and risks a further deceleration into 2020 with the treat of a mild recession in the back half of the year.

“Historical patterns indicate that when we see this rate of turnover, the economic expansion is almost certainly in its final inning,” Bloomberg warned.

Several studies show CEO turnover occurs during the boom cycle and right before a turning point in the economy. As we noted, CEOs have a lead on the economy and understand when a turning could be nearing.

So it makes sense why the turn over rate is at 17-year highs in the “greatest economy ever,” because CEOs understand what could happen next, after all this economic hype from President Trump is exhausted (likely next year) — the economy could turn down.

Deutsche Bank Research published a spread between corporate confidence and consumer confidence. It shows while the consumer is feeling wondering about the “greatest economy ever,” CEOs are quietly exhibiting unprecedented pessimism about the outlook.

CEOs and C-Suite folks, all of whom have a firm grasp of what lays ahead of the US economy in 2020, are also selling stock at record amounts as markets are pumped to new highs on “trade optimism” headlines and massive central bank money printing.

 

Historical patterns show that when CEOs abandon their positions and C-Suite folks dump high amounts of stock, they all know what’s coming: a recession.

END

iv) Swamp commentaries)

The house votes today and will most likely impeach Trump and then they will send this to the Senate.  It would probably last 15 minutes in the Senate as the Chief Justice will rule that there is no high crimes and misdemeanors.  He will then dismiss the case.  Trump will have to get the Bidens  in other ways

(zerohedge)

“We’ll See You On The Field” – Judiciary Committee Impeachment Vote Expected Thursday

After nearly two months of hearings, Democrats on the House Judiciary Committee are finishing up debate on articles of impeachment for President Trump, and are almost ready to hold what’s expected to be a party-line vote to approve the articles, and send them to the House to lock in Trump’s impeachment before everybody leaves for the holidays.

As Bloomberg reports, the Committee is set to finish debating the articles of impeachment on Thursday with a likely party-line vote to send the resolution to the floor of the House. Republicans are expected to put forward a batch of amendments to the articles, which the Dems should easily beat back, before the final vote is taken.

 

Trump is just the third president in American history to face impeachment. Once the articles are out of Committee, the full House will have an opportunity to debate, then vote, on the measure.

Despite being outnumbered, Republicans are expected to put up a vigorous debate on Thursday as they jockey for attention from Fox News.

Georgia Rep. Doug Collins, the top Republican on the Judiciary, said the Democrats’ drive to impeach Trump is based on “vague statements” from witnesses and no evidence.

“The real legacy of this impeachment hearing will not be the removal of Donald Trump as president,” he said. “The real legacy will be the institutional damage to this institution.”

As we reported on Tuesday, Dems accused President Trump of “corruptly soliciting” Ukraine for the benefit of his reelection campaign, never mind that Joe Biden is already preparing to play defense against the Republicans’ claims by throwing staffers under the bus.

Jerry Nadler, the Chairman of the Judiciary Committee and a Rep. from upstate New York, has used the impeachment drive as grounds to make many grandstanding speeches. And we imagine there will be plenty more this morning as Dems prepare to hold Trump accountable for his alleged “abuses of power.”

“Over the past 94 days since the House investigation began – indeed, over the past three years – one indisputable truth has emerged: If we do not respond to President Trump’s abuses of power, the abuses will continue,” Judiciary Chairman Jerrold Nadler said as he opened the hearing.

In response, Republicans are expected to show no crime or misconduct by Trump meriting impeachment. Impeach is merely a plot by Dems to influence the vote, a ploy that polls have clearly shown has failed to win the confidence of the public.

Collins said he expects Trump to survive impeachment, and go on to win a second term. “I do believe he will be president for five more years,” he said.

Florida Rep. Matt Gaetz said that “with no crime, no victim, House Democrats impeach because they have no agenda for America.” “Republicans will face this “with our heads held high,” he added. “We’ll see you on the field in 2020.”

Some made it sound more personal, accusing Dems of going after Trump “because they don’t like us.”

“It’s not just because they don’t like the president, they don’t like us,” Said Jim Jordan, a key player in the impeachment drama. He added that Democrats disdain “all of us in flyover country, all of us common folk in Ohio, Wisconsin, Tennessee and Texas.”

Whatever happens, Senate Majority Leader Mitch McConnell says he’s confident Trump will be acquitted in the Senate.

And although Trump’s team is said to be considering skipping witnesses at his trial, we expect it to be a Trumpian political circus for the ages to kick off the near year – and the new decade.

END

Alan Dershowitz opines how this will end with an unconstitutional impeachment of Trump by the HOuse.

(Dershowitz/Gatestone)

How Should The Senate Deal With An Unconstitutional Impeachment By The House?

Authored by Alan Dershowitz via The Gatestone Institute,

If the House of Representatives were to impeach President Trump on the two grounds now before it, the senate would be presented with a constitutional dilemma.

These two grounds – abuse of power and obstruction of Congress – are not among the criteria specified for impeachment. Neither one is a high crime and misdemeanor. Neither is mentioned in the constitution.

Both are the sort of vague, open-ended criteria rejected by the framers.

They were rejected precisely to avoid the situation in which our nation currently finds itself.

  • Abuse of power can be charged against virtually every controversial president by the opposing party.
  • And obstruction of Congress – whatever else it may mean – cannot extend to a president invoking privileges and then leave it to the courts to referee conflicts between the legislative and executive branches.

Hamilton feared that vague criteria would allow a majority of the House to impeach a president from the opposing party just because they had more votes than the president’s party. He called that “the greatest danger.” Madison worried that open-ended criteria, such as “maladministration” would give Congress too much discretion and power, and turn our republic into a parliamentary democracy in which the chief executive serves at the will of the legislature. To prevent these dangers, the framers settled on criteria with well-established meanings: treason, bribery and other high crimes and misdemeanors.

The House Democrats are simply ignoring these words and this history, because they have the votes to do so. They are following the absurd notion put forth by congresswoman Maxine Waters that when it comes to impeachment “there is no law,” and the criteria are anything a majority of the House wants it be, regardless of what the constitution mandates. This lawless view confuses what a majority of congress can get away with (absent judicial review) with what the constitution requires. It places Congress above the supreme law of the land, namely the constitution.

Were Congress to vote to impeach President Trump on the two proposed grounds, its action would be unconstitutional. According to Hamilton in Federalist 78, any act of Congress that does not comport with the Constitution is “void.” This view was confirmed by the Supreme Court in Marbury v. Madison and is now the law of the land.

So, what options would the Senate have if the House voted to impeach on two unconstitutional grounds? Would it be required to conduct a trial based on “void” articles of impeachment? Could it simply refuse to consider unconstitutional articles? Could the president’s lawyer make a motion to the Chief Justice — who presides over the trial of an impeached president — to dismiss the articles of impeachment on constitutional grounds?

This is uncharted territory with little guidance from the Constitution or history. There are imperfect analogies that may be informative. If this were an ordinary criminal case, and a grand jury had indicted a defendant for a non-crime (say, having gay sex) or an unconstitutional crime, the trial judge would be obliged to dismiss the indictment and not subject the defendant to an unconstitutional trial. Impeachment, however, is not an ordinary criminal proceeding. So, the analogy is not directly on point. But impeachment by the House is similar in many ways to indictment by a grand jury, and a removal trial by the Senate is similar to a criminal trial, including being presided over by a judge.

  • It is entirely possible that the president’s lawyers may file a motion seeking dismissal of the impeachment as unconstitutional. It is impossible to predict whether such a motion would be entertained and if so, how it would be decided.
  • Another option would be for the president’s lawyer to seek judicial review of the House’s unconstitutional action. Despite the fact that the Constitution says that the House shall be the “sole” judge of impeachment, two former justices have opined that there might be a judicial role in extreme cases.
  • The most likely option for the president — and the one hinted at by White House sources — is for the Senate to conduct a scaled down trial focusing on the constitutional defects in the articles of impeachment. No fact witnesses would be called: that would turn the proceeding into a he said/she said conflict with no clear resolution. Only legal arguments — neater and quicker — would be presented before a vote was taken.

Whichever option is pursued, the ultimate outcome seems clear: the Senate will vote to acquit President Trump. Regardless of the outcome, the damage will have been done by the House majority that will have abused its power by weaponizing the House’s authority over impeachment for partisan purposes — exactly as Hamilton feared.

end
Nancy Pelosi is getting some Democrats to bail.  She can afford to lose 17 Democrats but the Republicans will paint narrative that the Dem, party is divided.
(zerohedge)

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

@paulsperry_: AG Barr in new WSJ interview destroys the FBI’s excuse for not giving defensive briefing on Russia to Trump during campaign–that Putin might be tipped–by pointing out CIA chief Brennan contacted his Russian counterparts to complain in the summer of 2016, so Kremlin already knew

Only Fox News covered the entire Horowitz testimony at the Senate Judiciary Committee.

@CarpeDonktum: Twitter is suppressing videos from the IG hearing because they EXPOSE the fraud and treason of the MSM and the Obama administration. Twitter is actively censoring the Truth about the Democratic hoax it helped prop up for the last 3 years.

@LizRNC: Horowitz referred the entire chain of command of Obama’s FBI for further investigation

GOP @RepMarkMeadows: IG Michael Horowitz, on whether James Comey is vindicated by the report (as Comey claims): “The activities we found here don’t vindicate anybody who touched this

@julie_kelly2: Horowitz just confirmed that the DOJ’s National Security Division was notified about the Trump campaign investigation after it was opened. Guess who was the general counsel for NSD from July 2016 until late 2017? [He might have a date with Durham!]

    @seanmdav: What a coincidence! It’s the same lawyer who secretly changed the whistleblower rules and forms to accommodate the anti-Trump leaker’s impeachment gambit

@TheLastRefuge2: Keep in mind…. During the time this FISA issue was ongoing (2016) the Dept. of Justice National Security Diversion, where FISA applications originate, DID NOT permit inspector general oversight. Oversight blocked by Sally Yates and Michael Atkinsonhttps://ignet.gov/sites/default/

   That would be the same Sally Yates who signed the FISA application; and the same Michael Atkinson who is now coincidentally the ICIG who facilitated the CIA “whistleblower” complaint

@ChadPergram: DoJ IG Horowitz: We are deeply concerned that so many basic and fundamental errors were made by three separate, hand-picked investigative teams; on one of the most sensitive FBI investigations; after the matter had been briefed to the highest levels within the FBI

@brookefoxnews: Horowitz says that there was no evidence of political bias impacting the opening of the #CrossfireHurricane investigation at the FBI, but tells @SenatorLeahy that it is “murkier” and “gets more challenging when you get to the FISA and the attorneys’ actions in connection w/ FISA”

@MZHemingway: Rather than fight Horowitz on his claim that he found no “smoking gun” evidence of bias, Graham’s reading of cartoonishly biased texts from the key people who committed all the errors (that just happened to run uniformly in the anti-Trump direction) was pretty tactically smart.

@themarketswork: IG Horowitz: “It’s unclear what the motivations [of the FBI] were. On the one hand – gross incompetence, negligence. On the other hand intentionality. And where in between – we weren’t in a position with the evidence we had – to make that conclusion. But I’m not ruling it out.”

GOP @RepMarkMeadows: This exchange. Staggering.  Sen. Cruz: “A lawyer at the FBI creates fraudulent evidence, alters an email that is in turn used as the basis for a sworn statement to the court that the court relies on. Am I stating that accurately?” Horowitz: “That’s correct. That’s what occurred”

IG’s FISA Report Undercuts ‘Schiff Memo,’ Which Defended FBI and Steele Dossier

https://dailycaller.com/2019/12/10/devin-nunes-adam-schiff-memos-doj-ig-fisa-report/

@paulsperry_: Glenn Simpson is on a book tour defending the garbage dossier he dumped on nation, but refused to submit to questions about it by the IG, who exposed his dossier as a sham. Simpson may con the public, but he knows he can’t con federal agents w/o opening himself up to perjury rap

Comey avoided answering IG’s questions about his communications with AG Loretta Lynch and DAG Sally Yates and the Obama White House regarding surveilling the Trump camp through Carter Page by refusing to have his classified security reinstated during his IG interviews

    Sen. Graham just confirmed that his best friend Sen. McCain did in fact share the dossier with him… and showed it to Graham after McCain received it shortly after Nov 2016 election

Ex-AG Loretta Lynch swore to IG Horowitz’s investigators that she “did not recall receiving a briefing on the Crossfire Hurricane investigation,” even tho case targeting 4 officials in prez campaign of opposition party so sensitive that it wd have required AG signing off

    IG Horowitz testified FBI case agent who misled DOJ re Carter Page’s prior cooperating role w the CIA–otherwise exculpatory evidence in FISA wiretap process–is STILL WORKING at the FBI, along w other agents cited for misconduct. Why? “You’ll have to ask director Wray [FBI Director – for now]

@LeeSmithDC: Horowitz says IG identified 13 occasions Ohr spoke with Steele. It appears that either IG did not request or Mueller SC did not hand over FBI records of post-May 2017 Ohr talks with Steele.

Michael Isikoff @Isikoff [broke ‘Pee Dossier’ story]: Horowitz: “We were surprised to learn” that confidential human sources were used against members of a major party presidential campaign without approval of DOJ lawyers.

As noted by AG Barr, Comey “refused to sign backup for his security clearance”; so, Horowitz could not question him on key events.  Durham can compel Comey’s (and Simpson’s) testimony.

https://twitter.com/TrumpWarRoom/status/1204744150836563969?s=09

@SaraCarterDC: [Horowitz told Sen. Kennedy, R-LA]Fired FBI Deputy Director Andrew McCabe handpicked the Crossfire Hurricane team that lied and omitted evidence to the FISA court on @carterwpage.  McCabe is now a contributor at CNN…

@thebradfordfile: Lindsey Graham: “This hearing is adjourned. And finally — this is the beginning, not the end, of this committee’s involvement in this matter. Much more to follow.”

@Techno_Fog: With the IG Report out, the bigger picture. Team Mueller (Weissmann, Van Grack, etc.) pursued an obstruction case against Trump – when they knew the underlying investigation was based on lies, omissions, and altered evidence.

Remember, Watergate started with a handful of Deep State operatives planting a ‘bug’ in DNC Chairman Larry O’Brien’s office.  Compare that to what we already know (more to come) about Spygate – and Nixon was not aware of the scheme.  Nixon’s cover up was what felled him.

AG Barr’s information dump about probe into FBI in 24 concise, numbered points

https://sharylattkisson.com/2019/12/ag-barrs-information-dump-about-probe-into-fbi-in-24-concise-numbered-points/

@HotlineJosh: Fact that [Dem Rep] SLOTKIN is undecided after being one of lead Dems to call for impeachment hearings can’t be good news for vulnerable House Dems

Fox’s @ChadPergram: Pelosi indicates there will be indeed 2 votes on the Hse flr next wk on the separate articles of impeachment. Everything is bundled as one resolution now. Unclear if Hse will go to Rules Cmte to get a rule for impeachment debate. Hse DID NOT do that in Clinton impeachment in ’98

    Hoyer on the sequencing of flr traffic next wk for impeachment, USMCA and gov’t funding: “We’re still figuring that out.”

Tuesday, Nadler said there would be an impeachment vote this week.  Pelosi has delayed the vote.  Why?

@abigailmarone: Rep. Ted Deutch’s reason for impeaching @realDonaldTrump is that 𝙝𝙞𝙨𝙠𝙞𝙙𝙨𝙞𝙣𝙝𝙞𝙨𝙛𝙖𝙢𝙞𝙡𝙮𝙜𝙧𝙤𝙪𝙥𝙩𝙚𝙭𝙩𝙛𝙚𝙚𝙡𝙨𝙖𝙙.  THIS is how much of a joke impeachment is to Democrats.

https://twitter.com/abigailmarone/status/1204931969148215296

@seanmdav: Adam Schiff’s top impeachment staffer–the guy who questioned all the witnesses during HSPCI’s impeachment theater and wrote HPSCI’s impeachment report–wrote this piece claiming the FBI had a duty to lie and doctor evidence to spy on Carter Page.

https://www.thedailybeast.com/fbi-would-have-been-derelict-not-to-use-the-steele-dossier-for-the-carter-page-fisa-warrant

@nedryunDear Republican Senators: for once, try not to be gutless wonders. Your cowardice over the last 3 yrs has helped destabilize our democracy. For once, dear God, grow a pair and have a real trial with all the witnesses.

@Olivia_Beavers: Sign displayed in impeachment articles markup — Republicans making dig that top Dems behind impeachment are all from coastal states [Their big donors are the puppet masters.]

https://twitter.com/Olivia_Beavers/status/1204910183060770821

Techno Fog’s Giant List of MSM Hacks Who Swore FBI Didn’t Rely on Steele Dossier

https://www.zerohedge.com/political/technofogs-giant-list-msm-hacks-who-swore-fbi-didnt-rely-steele-dossier

Biden signals to aides that he would serve only a single term

“This makes Biden a good transition figure,” the adviser said…“That’s a weak play,” said John Podesta, Hillary Clinton’s 2016 campaign chairman. “I think who his vice president is will be very important because people will be thinking about that. But I don’t think I would make a one-term pledge. You’ve disempowered yourself as president, and I don’t think it helps you as a candidate. It accentuates your weakness. It doesn’t fix it.”…  https://www.politico.com/news/2019/12/11/biden-single-term-082129

Well that is all for today

I will see you Friday night.

 

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google photo

You are commenting using your Google account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s

%d bloggers like this: