DEC 30//ANOTHER NEW OI RECORD AT THE GOLD COMEX//GOLD UP $2.05 TO $1515.75//SILVER UP 6 CENTS TO $17.94//GOLD LEASE GOES FURTHER NEGATIVE AT .22% FOR THE 6 MONTH LEASE//IRANIANS FIRE ON THE USA IN IRAQ AND THE USA FIRES BACK WITH MEGA MISSILES AS TENSIONS ESCALATE IN THE REGION//3 BIG USA DATA POINTS TODAY ILLUSTRATE A USA FALTERING ECONOMY//MORE SWAMP STORIES FOR YOU TONIGHT///

GOLD:$1515.75 UP $2.05    (COMEX TO COMEX CLOSING

 

 

 

 

 

Silver:$17.94 UP 6 CENTS  (COMEX TO COMEX CLOSING)

 

 

 

 

 

6 MONTH GOLD LEASING RATE  AGAIN TO -.22%..INDICATES HUGE SCARCITY

OPTIONS EXPIRY AT THE COMEX FINISHED ON THURSDAY

OTC OPTIONS EXPIRY/LBMA ON TUESDAY/DEC 31 AT AROUND 11 AM.

SURPRISINGLY GOLD STRONG TODAY DESPITE OTC OPTIONS EXPIRY FINISHING ON TUESDAY. THE BANKERS ARE NOW LOATHE TO SUPPLY PAPER SHORTS, AFRAID THAT THE BUYERS WILL TURN THEIR PAPER INTO REAL METAL.

 

Closing access prices:

 

 

Gold :  $1515.55

 

silver:  $17.94

 

 

COMEX DATA

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

today RECEIVING:

MONTH TO DATE: 14,761

 

we are coming very close to a commercial failure!!

 

 

NUMBER OF NOTICES FILED TODAY FOR  DEC CONTRACT: 59 NOTICE(S) FOR 5900 OZ (0.1835 tonnes)

TOTAL NUMBER OF NOTICES FILED SO FAR:  14,761 NOTICES FOR 1,476,100 OZ  (45.912 TONNES)

 

 

 

 

SILVER

 

FOR DEC

 

 

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

total number of notices filed so far this month: 4194 for 20,970,000 oz

 

XXXXXXXXXXXXXXXXXXXXXXXXX

Bitcoin: OPENING MORNING TRADE :  $ 7327 DOWN 60 

 

 

 

 

Bitcoin: FINAL EVENING TRADE: $ 7273 DOWN 115

 

Let us have a look at the data for today

xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx

IN SILVER THE COMEX OI ROSE BY A VERY TINY SIZED 87 CONTRACTS FROM 225,666 UP TO 225,753 WITH THE 6 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:,

; FEB 0; MARCH:  965 AND ZERO FOR ALL  OTHER MONTHS  AND THEREFORE TOTAL ISSUANCE  965 CONTRACTS. WITH THE TRANSFER OF 1965 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 965 EFP CONTRACTS TRANSLATES INTO 4.825 MILLION OZ  ACCOMPANYING:

1.THE 6 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.

20.970   MILLION OZ  INITIALLY STANDING IN DEC

FRIDAY, AGAIN OUR CROOKS USED COPIOUS PAPER IN ORDER TO CONTAIN SILVER’S PRICE…AND THEY WERE  SUCCESSFUL IN KNOCKING THE PRICE OF SILVER DOWN (IT ROSE 6 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  1052 CONTRACTS. OR 5.26 MILLION OZ…..

 

 

ALSO KEEP IN MIND THAT THE SPREADERS HAVE ALREADY STARTED THEIR INCREASE OF OI CONTRACTS IN SILVER. AND THAT IS PROBABLY THE REASON FOR THE STRONG GAIN IN COMEX OI.WE SHOULD SEE THE SPREADING LIQUIDATION PHASE BEGIN DURING THIS COMING WEEK.

 

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

35,427CONTRACTS (FOR 23 TRADING DAYS TOTAL 35,427 CONTRACTS) OR 177.135 MILLION OZ: (AVERAGE PER DAY: 1610 CONTRACTS OR 8.051 MILLION OZ/DAY)

TO GIVE YOU AN IDEA AS TO THE HUGE SUPPLY THIS MONTH IN SILVER:  SO FAR THIS MONTH OF DEC:  177.135MILLION PAPER OZ HAVE MORPHED OVER TO LONDON. THIS REPRESENTS AROUND 23.14% 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:          2,272.42 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.

DEC 2019 TOTAL EFP ISSUANCE;                                                                MILLION OZ

TOTAL FOR THE YEAR:

 

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

 

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 VERY TINY SIZED INCREASE IN COMEX OI SILVER COMEX CONTRACTS OF 87, WITH THE 6 CENT GAIN IN SILVER PRICING AT THE COMEX /MONDAY… THE CME NOTIFIED US THAT WE HAD A  STRONG SIZED EFP ISSUANCE OF 965 CONTRACTS WHICH EXITED OUT OF THE SILVER COMEX AND TRANSFERRED THEIR OI TO LONDON  AS FORWARDS. SPECULATORS CONTINUED THEIR INTEREST IN ATTACKING THE SILVER COMEX FOR PHYSICAL SILVER (SEE COMEX DATA)

TODAY WE GAINED A STRONG SIZED: 1126 TOTAL OI CONTRACTS ON THE TWO EXCHANGES: 

i.e 965 OPEN INTEREST CONTRACTS HEADED FOR LONDON  (EFP’s) TOGETHER WITH INCREASE OF 87 OI COMEX CONTRACTS. AND ALL OF THIS STRONG DEMAND HAPPENED WITH A 6 CENT GAIN IN PRICE OF SILVER AND A CLOSING PRICE OF $17.94 WITH RESPECT TO MONDAY’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. 1.128 BILLION OZ TO BE EXACT or 161% of annual global silver production (ex Russia & ex China).

FOR THE NEW FRONT DEC MONTH/ THEY FILED AT THE COMEX: 11 NOTICE(S) FOR 55,000 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:  20.970 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 SIZED 10,082 CONTRACTS TO 765,653 SETTING AN ALL TIME RECORD (SET DEC 30/2019)  AND THUS  ECLIPSING  OUR PREVIOUS ALL TIME RECORD OF 755,571 (SET DEC 27/2019).

THE RISE IN COMEX OI OCCURRED WITH A  $2.05 PRICING GAIN ACCOMPANYING COMEX GOLD TRADING// MONDAY// /

 

 

 

THE CME RELEASED THE DATA FOR EFP ISSUANCAND IT TOTALED A STRONG SIZED 8366 CONTRACTS:

DEC 2019: 0 CONTRACTS, FEB>  8366 CONTRACTS APRIL: 0 AND ALL OTHER MONTHS ZERO.  The NEW COMEX OI for the gold complex rests at A RECORD 765,653,,.  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 AN ATMOSPHERIC AND CRIMINALLY SIZED GAIN IN TOTAL CONTRACTS ON THE TWO EXCHANGES OF 18,448 CONTRACTS: 10,082 CONTRACTS INCREASED AT THE COMEX  AND 8366 EFP OI CONTRACTS WHICH NAVIGATED OVER TO LONDON. THUS  TOTAL OI GAIN OF 18,448 CONTRACTS OR 1,844,800 OZ OR 57.38 TONNES.  MONDAY WE HAD A GAIN OF $2.05 IN GOLD TRADING….

AND WITH THAT GAIN IN  PRICE, WE  HAD A STRONG GAIN IN GOLD TONNAGE OF 57.38  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 $2.05) THEY WERE TOTALLY  UNSUCCESSFUL IN THEIR ATTEMPT TO  FLEECE  GOLD LONGS FROM THE GOLD ARENA AS WE HAD OUR STRONG GAIN IN OPEN INTEREST ON OUR TWO EXCHANGES (57.38 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 : 148,255 CONTRACTS OR 14,825,500 oz OR 461.13 TONNES (23 TRADING DAY AND THUS AVERAGING: 6738 EFP CONTRACTS PER TRADING DAY

TO GIVE YOU AN IDEA AS TO THE STRONG SIZE OF THESE EFP TRANSFERS :  THIS MONTH IN 23 TRADING DAYS IN  TONNES: 461.13 TONNES

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

THUS EFP TRANSFERS REPRESENTS 461.13/3550 x 100% TONNES =12.98% 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:    6,187.22  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

DEC 2019 EFP ISSUANCE:                                        TONNES

TOTAL FOR THE YEAR:

 

 

 

 

 

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

 

Result: A STRONG SIZED INCREASE IN OI AT THE COMEX OF 10,082 WITH THE  PRICING GAIN THAT GOLD UNDERTOOK MONDAY($2.05)) //.WE ALSO HAD A STRONG SIZED NUMBER OF COMEX LONG TRANSFERRING TO LONDON THROUGH THE EFP ROUTE: 8366 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 8366 EFP CONTRACTS ISSUED, WE  HAD AN ATMOSPHERIC AND CRIMINALLY SIZED GAIN OF 18,448 CONTRACTS IN TOTAL OPEN INTEREST  ON THE TWO EXCHANGES:

8366 CONTRACTS MOVE TO LONDON AND 10,082 CONTRACTS INCREASED AT THE COMEX. (IN TONNES, THE GAIN IN TOTAL OI EQUATES TO 57.38 TONNES). ..AND THIS  INCREASE OF DEMAND OCCURRED WITH A GAIN IN PRICE OF $2.05 WITH RESPECT TO MONDAY’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 UP $2.05 TODAY//(COMEX-TO COMEX)

A STRONG CHANGE IN GOLD INVENTORY AT THE GLD//: A DEPOSIT OF .68 TONNES OF GOLD INTO THE GLD//

DEC 30/2019/Inventory rests tonight at 893.25 tonnes

 

 

 

 

 

SLV/

 

 

WITH SILVER UP 6 CENTS TODAY

 

NO CHANGE IN SILVER INVENTORY AT THE SLV

 

 

DEC 30/INVENTORY RESTS AT 363.830 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 TINY SIZED 87 CONTRACTS from 225,666 UP TO 225,827 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 1/2 YEARS AGO.  THE PRICE OF SILVER ON THAT DAY: $17.89.

 

EFP ISSUANCE 965

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

 FOR FEB. 0; FOR MAR  965  AND ALL OTHER MONTHS: ZERO. TOTAL EFP ISSUANCE: 965 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 87  CONTRACTS TO THE 965 OI TRANSFERRED TO LONDON THROUGH EFP’S,  WE OBTAIN A STRONG GAIN OF 1052 OPEN INTEREST CONTRACTS. THUS IN OUNCES, THE GAIN ON THE TWO EXCHANGES: 5.26 MILLION OZ!!! AND YET WE ALSO HAVE A STRONG DEMAND FOR PHYSICAL AS WE WITNESSED A FINAL STANDING OF GREATER THAN 30 MILLION OZ FOR JULY, A STRONG 7.475 MILLION OZ FOR AUGUST..  A HUGE 39.505  MILLION OZ  STANDING FOR SILVER IN SEPTEMBER… OVER 2 million  OZ STANDING FOR THE NON ACTIVE MONTH OF OCTOBER.,  7.440 MILLION OZ FINALLY STANDING IN NOVEMBER.  21.925 MILLION OZ STANDING IN DECEMBER , 5.845 MILLION OZ STANDING IN JANUARY. 2.955 MILLION OZ STANDING IN FEBRUARY,  27.120 MILLION OZ FOR MARCH., 3.875 MILLION OZ FOR APRIL  18.765 MILLION OZ FOR MAY  NOW 2.660 MILLION OZ FOR JUNE WITH JULY AT 22.605 MILLION OZ AUGUST AT 10.025 MILLION OZ//  SEPT: 43.030 MILLION OZ///OCT: 7.32 MILLION OZ//NOV 2.63 MILLION OZ//DEC: 20.970 MILLION OZ//

 

 

RESULT: A TINY SIZED INCREASE IN SILVER OI AT THE COMEX WITH THE 3 CENT LOSS IN PRICING THAT SILVER UNDERTOOK IN PRICING// FRIDAY. WE ALSO HAD A VERY STRONG SIZED 965 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)MONDAY MORNING/ SUNDAY NIGHT: 

SHANGHAI CLOSED UP 34.99 POINTS OR 1.06%  //Hang Sang CLOSED UP 93.07 POINTS OR 0.33%   /The Nikkei closed DOWN 181.10 POINTS OR 0.76%//Australia’s all ordinaires CLOSED DOWN .21%

/Chinese yuan (ONSHORE) closed UP  at 6.9868 /Oil UP TO 62.09 dollars per barrel for WTI and 67.46 for Brent. Stocks in Europe OPENED RED//  ONSHORE YUAN CLOSED UP // LAST AT 6.9868 AGAINST THE DOLLAR. OFFSHORE YUAN CLOSED UP ON THE DOLLAR AT 6.9830 TRADE TALKS STALL//YUAN LEVELS GETTING DANGEROUSLY CLOSE TO 7:1//TRUMP INITIATES A NEW 25% TARIFFS FRIDAY/MAY 10/MAJOR PROBLEMS AT HUAWEI /CFO ARRESTED  : /ONSHORE YUAN TRADING BELOW LEVEL OF OFFSHORE YUAN/ONSHORE YUAN TRADING STRONGER AGAINST USA DOLLAR/OFFSHORE YUAN TRADING STRONGER AGAINST THE DOLLAR /TRADE DEAL NOW DEAD..TRUMP  RAISED RATES TO 25%

 

3A//NORTH KOREA/ SOUTH KOREA

 

3b) REPORT ON JAPAN

3C  CHINA

China realizing that their economy is moribund, is launching a stealth rate cut, trying desperately to stimulate their economy

(zerohedge)

4/EUROPEAN AFFAIRS

This is a very important commentary from Tom Luongo. Did France’s Macron engineer a hard Brexit deal with the uK in order to shaft Germany>in other words stick Germany with its huge 1 trillion dollars of Target 2 balances that cannot be paid by the Club Med South boys.

a must read…

(Tom Luongo)

5. RUSSIAN AND MIDDLE EASTERN AFFAIRS

i)Turkey/Syria/Libya

Turkey is sending Syrian rebel mercenaries to attack General Hafter. So we now have Turkey allying with Russia, Syria against USA interests in Libra who has as allies Saudi Arabia, UAE and Qatar

(zerohedge)

ii)Iraq/Iran/Syria/USA/Israel

The USA finally gets the message that Iranians inside Iraq and Syria are dangerous. Last night the USA initiated air strikes against positions held by Iranians inside Iraq and Syria after a USA contractor was killed

(zerohedge)

iii)Iraq/USA
Iraq is not happy with the uSA strikes and they vow a strong response to the uSA occupiers.
(zerohedge)
iv)Iran/Russia China/Iraq/Syria
After their 4 day naval exercise, Iran states that uSA dominance in the Middle east is over
(zerohedge)

6.Global Issues

 

7. OIL ISSUES

It did not take Mark Carney long to state that firms must justify their investment in fossil fuels.  He is to the the UN special envoy for climate change

(courtesy London’s the Guardian)

and special thanks to G for sending this to us

8 EMERGING MARKET ISSUES

 

9. PHYSICAL MARKETS

i)Israel discovers an interesting set of ancient gold coins around Caliph Harun’s time..and the money is still good…

(Jerusalem Post/GATA)

ii)We brought this story to you on Friday but it is worth repeating..Russia is intent on converting its wealth fund into gold. That should be a c=game changer.

(zerohedge)

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

i)Another win for Trump;  Trade deficit shrinks to the smallest level since Trumppwas elected at 67 billion dollars last month

(zerohedge)

ii)The Chicago area PMI continues in its contraction mode for the 4th straight month

(zerohedge)

iii)The Dallas Fed for the 3rd straight month contracts confirming its regional survey.  The Dallas Fed joins the Richmond Fed, the Kansas City Fed, Chicago Fed, and Philly Fed with poor results in December(zerohedge)

iii) Important USA Economic Stories

a)This is a good indicator that the economy is not doing as good as people think: We now witness 400,000 railway cars sitting idle amid the worst market in 30 years.

(zerohedge)

b)We are now starting to see cracks appearing in the premier malls in the USA

(zerohedge)

iv) Swamp commentaries)

a)Will “Russiagate” snare Obama.  Eric Zuesse comments

(courtesy Eric Zuesse.Strategic Culture Foundation)

b)Another good commentary:  the real reason democrats are pushing for Trump impeachment? ..if they do not impeach they will be put in jail

(Robert Bridge)

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 10,082 CONTRACTS, UP TO A NEW RECORD OF 765,653 (SET DEC 30/2019) (ECLIPSING OUR PREVIOUS NEW RECORD OF 755,571 SET DEC 27/2019) WITH THE GAIN OF $4.10 IN GOLD PRICING // FRIDAY’S // COMEX TRADING)

WE ARE NOW IN THE  ACTIVE DELIVERY MONTH OF DEC..  THE CME REPORTS THAT THE BANKERS ISSUED A VERY STRONG SIZED  TRANSFER THROUGH THE EFP ROUTE AS THESE LONGS RECEIVED A DELIVERABLE LONDON FORWARD TOGETHER WITH A FIAT BONUS., THAT IS 8366 EFP CONTRACTS WERE ISSUED:

DEC: 00 ; FEB: 8366  AND APRIL: 00  ZERO FOR ALL OTHER MONTHS:

TOTAL EFP ISSUANCE: 8366 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: A HUMONGOUS 18,448 TOTAL CONTRACTS IN THAT 8366 LONGS WERE TRANSFERRED AS FORWARDS TO LONDON AND WE GAINED A VERY STRONG SIZED 10,082 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 BY $9.85). AND THEY WERE MOST DEFINITELY UNSUCCESSFUL IN FLEECING ANY LONGS AS WE GAINED A VERY HUMONGOUS SIZED  18,448 CONTRACTS ON OUR TWO EXCHANGES…..

 

NET GAIN ON THE TWO EXCHANGES ::  18,448 CONTRACTS OR 1,844,800 OZ OR 57.38  TONNES.  

COMMODITY LAW SUGGESTS THAT COMMODITY FUTURES OPEN INTEREST SHOULD APPROXIMATE 3% OF TOTAL PRODUCTION.  IN GOLD THE WORLD PRODUCES AROUND 3500 TONNES PER YEAR BUT ONLY 2200 TONNES ARE AVAILABLE FROM THE WEST (THUS EXCLUDING RUSSIA, CHINA ETC..WHO KEEP 100% OF THEIR PRODUCTION)

THUS IN GOLD WE HAVE THE FOLLOWING:  765,653 CONTRACTS X 100 OZ PER CONTRACT = 238.6 MILLION OZ/32,150 OZ PER TONNE =  2,382 TONNES

THE COMEX OPEN INTEREST REPRESENTS 2,382/2200 OR 108.22% OF ANNUAL GLOBAL PRODUCTION OF GOLD.

 

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 59 open interest stand for a LOSS of 34 contracts.  We had 21 notices filed on FRIDAY so we LOST  13 contracts or an additional 1300 OZ will NOT stand for delivery at the comex as they will try their luck finding physical metal on the OTHER side of the pond as they  morphed into London based forwards and well as accepting a fiat bonus…

 

we had: 59 notice(s) filed upon for 5900 oz of gold at the comex.

 

The next non active contract month after Dec, is  January and it saw its OI DECREASE by 416 contracts DOWN to 2050 which is STILL UNBELIEVABLY  high for a January delivery month. Normally we see some rolling action as longs sell their January contracts and move to Feb.  This is not happening..longs are refusing to roll and are standing pat!!

The next active delivery month after January is February and here we witnessed A GAIN  OF 5945 in contracts UP to 542,438.

THE PAPER HELD FOR JANUARY IS IN VERY STRONG HANDS AND THESE GUYS ARE REFUSING TO ROLL.  THIS IS ROUGHLY 6.4 TONNES OF GOLD WHICH WILL BE A HUGE RECORD STANDING FOR A GENERALLY WEAK JANUARY DELIVERY MONTH.

 

 

 

xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx

And now for the wild silver comex results

Total COMEX silver OI ROSE BY A VERY TINY SIZED 87 CONTRACTS FROM 225,666 UP TO 225,753(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 TUESDAY’S STRONG  OI COMEX GAIN OCCURRED WITH A 3 CENT LOSS IN PRICING/.

WE ARE NOW INTO THE  ACTIVE DELIVERY MONTH OF DEC.

Here we have a LOSS of 50 contracts DOWN to 11. We had 58 notices served up on longs yesterday, so we GAINED 8 contracts or an additional 40,000 oz will stand in this active delivery month of December AT THE COMEX 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 177 contracts to stand at 257.  The Feb non active month saw a GAIN of 39 contracts UP to 391.  March is a very active month and here we witness a LOSS of 19 contracts UP to 178,652

 

 

We, today, had 11 notice(s) filed for 55,000, OZ for the DEC, 2019 COMEX contract for silver

Trading Volumes on the COMEX TODAY: 171,503 contracts 

 

 

 

CONFIRMED COMEX VOL. FOR YESTERDAY: 220,324 contracts

 

 

 

 

FINAL standings for  DEC/GOLD

DEC 30/2019

 

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

 

 

 

 

 

Deposits to the Customer Inventory, in oz  

67,255.824 IZ

hsbc

 

No of oz served (contracts) today
59 notice(s)
 5900 OZ
(0.1835 TONNES)
No of oz to be served (notices)
00 contracts
( oz)
0.0000 TONNES
Total monthly oz gold served (contracts) so far this month
14,761 notices
1,476,100 OZ
45.912 TONNES
Total accumulative withdrawals of gold from the Dealers inventory this month NIL oz
Total accumulative withdrawal of gold from the Customer inventory this month xxx oz

we had 0 dealer entry:

We had 0 kilobar entries

 

 

total dealer deposits: nil oz

total dealer withdrawals: 0 oz

 

we had 1 deposit into the customer account

i) Into JPMorgan: nil  oz

 

 

ii)into HSBC:  67,255.874 oz

 

total gold deposits: 67,255.874  oz

 

 

 

 

we had 1 gold withdrawals from the customer account:

 

i) Out of HSBC: 79,014.385 oz

 

 

 

 

total gold withdrawals; 79,014.385 oz

ADJUSTMENTS:  0

 

 

 

 

 

 

 

FOR THE DEC 2019 CONTRACT MONTH)Today, 0 notice(s) were issued from JPMorgan dealer account and 48 notices were issued from their client or customer account. The total of all issuance by all participants equates to 59 contract(s) of which 0 notices were stopped (received) by j.P. Morgan dealer and 0 notice(s) was (were) stopped/ Received) by j.P.Morgan customer account and 0 notices by the squid  (Goldman Sachs)

 

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 (14,761) x 100 oz , to which we add the difference between the open interest for the front month of  DEC. (59 contracts) minus the number of notices served upon today (59 x 100 oz per contract) equals 1,476,100 OZ OR 45.912 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 (14,761 x 100 oz)  + (59)OI for the front month minus the number of notices served upon today (59 x 100 oz )which equals 1,476,100 oz standing OR 45.912 TONNES in this  active delivery month of DEC.

 

 

We LOST 13 contracts or an additional 1300 oz will NOT stand at the comex as the  morphed 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 31.017 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………………………….                                              45.912 TONNES

 

total: 121.892 tonnes

ACCORDING TO COMEX RULES:

 

IF WE INCLUDE THE PAST 5 MONTHS OF SETTLEMENTS WE HAVE 19.2540 TONNES SETTLED

 

IF WE ADD THE FIVE DELIVERY MONTHS: 121.932  tonnes

 

Thus:

121.892 tonnes of delivery –

19.2540 TONNES DEEMED SETTLEMENT

= 102.638 TONNES STANDING FOR METAL AGAINST 31.017 TONNES OF REGISTERED OR FOR SALE COMEX GOLD! THIS IS WHY GOLD IS SCARCE AT THE COMEX.

 

total registered or dealer gold:   1,234,772.557 oz or  38.406 tonnes
which  includes the following:
a) registered gold that can be used to settle upon: 997,218.9 oz (31.017 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 tonnes  997,218.9  (31.017 tonnes)
total registered, pledged  and eligible (customer) gold;   8,656948.101 oz 269.26 tonnes

 

 

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..

 

end

And now for silver

AND NOW THE  DELIVERY MONTH OF DEC.

FINAL  standings/SILVER

IN TOTAL CONTRAST TO GOLD, HUGE ACTIVITY IN SILVER TODAY.
DEC 30 2019
Silver Ounces
Withdrawals from Dealers Inventory NIL oz
Withdrawals from Customer Inventory
 604,008.870 oz
Brinks
Scotia

 

 

Deposits to the Dealer Inventory
nil oz

 

Deposits to the Customer Inventory
nil oz
No of oz served today (contracts)
11
CONTRACT(S)
(55,000 OZ)
No of oz to be served (notices)
0 contracts
 (nil oz)
Total monthly oz silver served (contracts) 4194 contracts

20,970,000 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:   0

 

ii) Into everybody else: 0

 

 

 

 

 

 

 

 

 

 

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

JPMorgan now has 161.3 million oz of  total silver inventory or 50.77% of all official comex silver. (161.3 million/317.74 million

 

 

 

 

total customer deposits today:  nil  oz

 

we had 2 withdrawals out of the customer account:

 

i) Out of Brinks:  600,030.100 oz

ii) Out of BNS: 3,978.770 oz

 

 

 

 

 

total withdrawals; 604.0078.870  oz

We had 0 adjustment:

 

 

 

total dealer silver:  89.179 million

total dealer + customer silver:  317.177 million oz

 

xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx

The total number of notices filed today for the DEC 2019. contract month is represented by 11 contract(s) FOR 55,000 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 4194 x 5,000 oz = 20,970,000 oz to which we add the difference between the open interest for the front month of DEC. (11) and the number of notices served upon today 11 x (5000 oz) equals the number of ounces standing.

.

Thus the INITIAL standings for silver for the DEC/2019 contract month: 4194 (notices served so far) x 5000 oz + OI for front month of DEC (11)- number of notices served upon today (11) x 5000 oz equals 20,970,000 oz of silver standing for the DEC contract month.

 

We gained 8 contracts or an additional 40,000 oz will stand at the comex as they refused to morph 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 11 notice(s) filed for 55,000 OZ for the DEC, 2019 COMEX contract for silver

 

 

TODAY’S ESTIMATED SILVER VOLUME:  60,833 CONTRACTS //

 

 

CONFIRMED VOLUME FOR YESTERDAY: 72,777 CONTRACTS..

 

 

 

 

 

YESTERDAY’S CONFIRMED VOLUME OF 72,777 CONTRACTS EQUATES to 363 million  OZ   51.9% OF ANNUAL GLOBAL PRODUCTION OF SILVER..makes sense!!

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

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

 

end

 

xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx

 

NPV for Sprott

 

1. Sprott silver fund (PSLV): NAV RISES TO -1.19% ((DEC 30/2019)
2. Sprott gold fund (PHYS): premium to NAV FALLS TO -0.89% to NAV (DEC 30/2019 )
Note: Sprott silver trust back into NEGATIVE territory at +%-/Sprott physical gold trust is back into NEGATIVE/ -1.19%

(courtesy Sprott/GATA)

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

NAV 15.20 TRADING 14.63///DISCOUNT  3,76

 

END

 

 

 

 

And now the Gold inventory at the GLD/

DEC 30//WITH GOLD UP $2.05//NO CHANGES IN GOLD INVENTORY AT THE GLD//INVENTORY RESTS AT 892.37 TONNES

DEC 27/WITH GOLD UP $4.10 TODAY: A BIG  CHANGE IN GOLD INVENTORY AT THE GLD: A PAPER DEPOSIT OF 3.51 PAPER TONNES INTO THE GLD////INVENTORY RESTS AT 892.37 TONNES

DEC 26/WITH GOLD UP $9.85 TODAY: A HUGE CHANGE IN GOLD INVENTORY AT THE GLD: A PAPER DEPOSIT OF 2.93 TONNES INTO THE GLD.///INVENTORY RESTS AT 888.86 TONNES

DEC 24/WITH GOLD UP $14.60//NO CHANGES IN GOLD INVENTORY AT THE GLD/INVENTORY RESTS AT 885.93 TONNES

DEC 23/WITH GOLD UP $7.75: A BIG CHANGE IN GOLD INVENTORY AT THE GLD: A DEPOSIT OF 2.64 TONNES OF PAPER GOLD INTO THE GLD////INVENTORY RESTS AT 885.93 TONNES

DEC 20/WITH GOLD DOWN $3.15 TODAY; NO CHANGES IN GOLD INVENTORY AT THE GLD/INVENTORY RESTS AT 883.29 TONNES

DEC 19/WITH GOLD UP $6.65 TODAY: A BIG CHANGE IN GOLD INVENTORY AT THE GLD: A PAPER DEPOSIT OF 2.65 TONNES INTO THE GLD///INVENTORY RESTS AT 883.29 TONNES

DEC 18/WITH GOLD DOWN $2.00 TODAY: A HUGE CHANGE IN GOLD INVENTORY AT THE GLD: A PAPER WITHDRAWAL OF 5.56 TONNES FROM THE GLD////INVENTORY RESTS AT 880.66 TONNES

DEC 17/WITH GOLD UP $.30 TODAY: 1 SMALL CHANGE IN GOLD INVENTORY AT THE GLD: A DEPOSIT OF .29 TONNES/INVENTORY RESTS AT 886.22 TONNES

DEC 16//WITH GOLD DOWN $.40 TODAY: NO CHANGES IN GOLD INVENTORY AT THE GLD//INVENTORY RESTS AT 885.93 TONNES

DEC 13/ WITH GOLD UP $8.60 TODAY: NO CHANGES IN GOLD INVENTORY AT THE GLD/INVENTORY RESTS AT 885.93 TONNES

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//

 

xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx

DEC 30/2019/Inventory rests tonight at 892.37 tonnes

*IN LAST 734 TRADING DAYS: 44.20 NET TONNES HAVE BEEN REMOVED FROM THE GLD
*LAST 634 TRADING DAYS: A NET 122.85 TONNES HAVE NOW BEEN ADDED INTO  THE GLD INVENTORY.

 

end

 

Now the SLV Inventory/

DEC 30/WITH SILVER UP 6 CENTS TODAY: NO CHANGES IN SILVER INVENTORY AT THE SLV//INVENTORY RESTS AT 363.830 MILLION OZ//

DEC 27/WITH SILVER DOWN 3 CENTS TODAY: NO CHANGES IN SILVER INVENTORY AT THE SLV//INVENTORY RESTS AT 363.830 MILLION OZ

DEC  26//WITH SILVER UP 16 CENTS TODAY: NO CHANGES IN SILVER INVENTORY AT THE SLV//INVENTORY RESTS AT 363.830 MILLION OZ//

DEC 24/WITH SILVER UP 32 CENTS TODAY: NO CHANGE IN SILVER INVENTORY AT THE SLV//INVENTORY RESTS AT 363.830 MILLION OZ///

 

DEC 23/WITH SILVER UP 26 CENTS TODAY: A HUGE PAPER WITHDRAWAL OF 1.028 MILLION PAPER OZ IN SILVER INVENTORY AT THE SLV//INVENTORY RESTS AT 363.830 MILLION OZ//

DEC 20/WITH SILVER UP 7 CENTS TODAY: NO CHANGES IN SILVER INVENTORY AT THE SLV//INVENTORY RESTS AT 364.858 MILLION OZ//

DEC 19/WITH SILVER UP 11 CENTS TODAY: NO CHANGES IN SILVER INVENTORY AT THE SLV//INVENTORY RESTS AT 364.858 MILLION OZ//

DEC 18/WITH SILVER DOWN 3 CENTS TODAY: NO CHANGES IN SILVER INVENTORY AT THE SLV/INVENTORY RESTS AT 364.858 MILLION OZ//

DEC 17//WITH SILVER DOWN 5 CENTS TODAY: A FAIR SIZED CHANGE IN SILVER INVENTORY AT THE SLV: A WITHDRAWAL OF 747,000 OZ FROM THE SLV/INVENTORY RESTS AT 364.858 MILLION OZ/?

DEC 16/WITH SILVER UP 12 CENTS: NO CHANGES IN SILVER INVENTORY AT THE SLV//INVENTORY RESTS AT 365.605 MILLION OZ//

DEC 13//WITH SILVER UP 7 CENTS TODAY: NO CHANGES IN SILVER INVENTORY AT THE SLV/INVENTORY RESTS AT 365.605 MILLION OZ//

DEC 12/WITH SILVER UP 9 CENTS TODAY: NO CHANGES IN SILVER INVENTORY AT THE SLV//INVENTORY RESTS AT 365.605 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//

 

 

DEC 30:  SLV INVENTORY

363.830 MILLION OZ

LIBOR SCHEDULE AND GOFO RATES:

 

 

YOUR DATA…..

6 Month MM GOFO 2.14/ and libor 6 month duration 1.92

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

G0LD LENDING RATE: – .22

 

XXXXXXXX

12 Month MM GOFO
+ 2.02%

LIBOR FOR 12 MONTH DURATION: 2.00

 

GOFO = LIBOR – GOLD LENDING RATE

GOLD LENDING RATE  = -.02

end

 

 

end

 

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

 

 

ii) Important gold commentaries courtesy of GATA/Chris Powell

Israel discovers an interesting set of ancient gold coins around Caliph Harun’s time..and the money is still good…

(Jerusalem Post/GATA)

Potter’s ‘piggy bank’ contains Caliph Harun’s 1,200-year-old money, and it’s still good though his regime is long gone

 Section: 

Trove of 1,200-Year-Old ‘Arabian Nights’ Gold Coins Uncovered in Israel

By Rossella Tercatin
Jerusalem Post, Israel
Sunday, December 29, 2019

https://www.jpost.com/Israel-News/Culture/Trove-of-1200-year-old-Arabian…

A Hanukkah present straight from the legendary One Thousand and One Nights has brightened the holiday of a group of Israeli archaeologists.

The Antiquities Authority announced today that a juglet full of rare 1,200-year-old gold coins was discovered in an excavation in Yavne just before the festival. The site is being excavated by the authority prior to the building of a new neighborhood in the city.

… 


“I was in the middle of cataloging a large number of artifacts we found during the excavations when all of a sudden I heard shouts of joy,” Liat Nadav-Ziv, codirector of the excavation said on behalf of the authority. “I ran toward the shouting and saw Marc Molkondov, a veteran archaeologist of the Israel Antiquities Authority, approaching me excitedly. We quickly followed him to the field where we were surprised at the sight of the treasure. This is without a doubt a unique and exciting find, especially during the Hanukkah holiday.”

“I ran toward the shouting and saw Marc Molkondov, a veteran archaeologist of the authority approaching me excitedly. We quickly followed him to the field, where we were surprised at the sight of the treasure. This is without a doubt a unique and exciting find especially during the Hanukkah holiday,” she added.

As revealed by authority coin expert Robert Kool, the coins date back to the early Abbasid Period, 9th century CE. The period marked the beginning of a golden age for the Muslim empire, with the Abbasid rulers acquiring international status and promoting art, science, commerce, and industry. According to Kool, among the coins was a dinar from the reign of Caliph Harun al-Rashid (786-809 CE) —

https://en.wikipedia.org/wiki/Harun_al-Rashid

— whose court was the setting of many parts of the renowned One Thousand and One Nights, also known as Arabian Nights.

“The hoard also includes coins that are rarely found in Israel,” Kool said. “These are gold dinars issued by the Aghlabid dynasty that ruled in North Africa, in the region of modern Tunisia, on behalf of the Abbasid Caliphate centered in Baghdad,” he added. “Without a doubt this is a wonderful Hanukkah present for us.”

Archaeologists excavating the site also found a large amount of pottery kilns used to produce jars, pots, and bowls. The juglet containing the gold coins was uncovered nearby, and the experts suggested it might have been the potter’s “piggy bank,” where he had kept his personal savings. The kilns date back to the end of the Byzantine and beginning of the Early Islamic period (7th–9th centuries CE).

Even older artifacts were revealed in the region. According to the authority, a large wine-production installation dating back to the Persian Period (4th–5th centuries) was uncovered in a different area of the excavation. Co-director of the excavation Elie Haddad explained that an “initial analysis of the contents of the installation revealed ancient grape pips,” or seeds. Hadded added, “The size and number of vats found at the site indicated that wine was produced on a commercial scale, well beyond the local needs of Yavne’s ancient inhabitants.”

* * *

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

iii) Other physical stories:

We brought this story to you on Friday but it is worth repeating..Russia is intent on converting its wealth fund into gold. That should be a c=game changer.

(zerohedge)

Petrodollar Shock: Russia Could Invert Part Of Its National Wealth Fund In Gold

In the past two years Russia has been quite explicit in its shifting preference between fiat, in the form of the world’s reserve currency, US Dollars and hard assets, i.e., gold: after liquidating almost all of its Treasury holdings in mid 2018, roughly around the time relations between the US and Russia hit rock bottom and started digging, Russian gold holdings continued to climb and just a few months back rose to a record, more than doubling in the past 4 years.

It now appears that the recent gold-buying spree wasn’t enough, because according to Russia’s Finance Minister Anton Siluanov, Russia is now also considering investing part of its National Wealth Fund in gold, adding that it is Russia’s view that investment in the precious metal as more sustainable in the long-term than in financial assets.

“There is a discussion on whether to invest the fund’s money in gold and precious metals. There are a lot of supporters and opponents,” Siluanov said.

While Russia has traditionally been one of the world’s largest gold producers, its central bank has been the main buyer of its metal in recent years, partly as a result of Western sanctions imposed on Moscow in 2014, which forced the central bank was reducing the share of U.S. dollar assets in its reserves.

So is Russia about to double down and in addition to converting its forex reserves into gold, will start buying the yellow metal for its sovereign wealth fund too? It appears so: speaking to reporters last Tuesday, Siluanov said that the finance ministry proposes that the National Wealth Fund’s new investment structure would mirror the foreign exchanges reserves structure of the central bank and excludes gold.  As of December 1, the central bank’s gold reserves stood at 72.7 million troy ounces, worth approximately $108 billion.

As a reminder, the Russian National Wealth Fund accumulates revenues from oil exports and was initially designed to support the pension system. It was worth $124 billion as of Dec. 1. It is, therefore, a key cog in the petrodollar mechanism. This means that a key player in the global petrodollar recycling pathway will instead convert its revenues from sales of oil not into dollars, but directly into gold, bypassing the current reserve currency.

As a reminder, it was in late 2014, shortly before China’s economy suffered its first major shock – and currency devaluation – of the post-crisis era, when we reported in “How The Petrodollar Quietly Died, And Nobody Noticed” that as a result of the oil price crash of late 2014, the petrodollar had suffered its first near-death experience, as petrodollar exports would fall negative in 2014 for the first time in 18 years. And while since then we have seen a modest rebound, the net exported capital remains dangerously close to zero, in effect keeping the entire petrodollar system on death watch.

Russian gold miners usually sell their metal to Russian commercial banks, which then re-sell it to the central bank. Russia’s Polyus and Polymetal, along with Canada’s Kinross, are the world’s top producers.

That said, for now, the petrodollar is safe: “The Finance Ministry does not propose (the fund) investing in the precious metals, though one could think and consider this,” Siluanov said. “My point of view is that gold might well be present when investing reserve money.”

In November, the Russian finance ministry proposed spending 1 trillion roubles ($16 billion) from the National Wealth Fund to support infrastructure projects and exports between 2020 and 2022, as it tries to boost economic growth. The government will be able to use money from the Fund once its liquid assets exceed 7% of GDP, something the finance ministry expects to happen in 2020.

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
end

J Johnson’s Latest

Comex and the Signal, under the Dollar

Great and Wonderful last Monday of the Year Folks,

Gold is following Silver’s signal, made on Friday, with the trade at $1,515.20, down $2.90 after dipping to $1,513.50 with the high to beat at $1,519.10. Silver is still signaling (like it will continue to work) with the trade at $17.915, down 2.8 cents after hitting a low of $17.83 with the high at $18.005. The US Dollar is flat to lower with the trade at 96.50, down 4.6 points after dipping to 96.385 with the high at 96.630. All of this was done before 5 am pst, the Comex open, the London close, and after Team Nancy figured the only way to beat any conservative or Trump supporters is by removing their party from the California ballot. Tom Fitton is all over it! I Love Q, Judicial Watch, and Veritas Videos!

Gold in Venezuela is now being priced at 15,133.06 showing a 3 Bolivar drop in value with Silver at 178.926 proving a loss of only 0.005 of a Bolivar over the weekend. Argentina’s Peso has Gold valued at 90,659.37 showing a loss of 111.40 Peso’s with Silver at 1,073.20 proving a 1.590 A-Peso gain. The Turkish Lira now has Gold valued at 9,015.51 Lira showing a loss of 13.22 with Silver at 106.507 T-Lira’s losing only 0.258.

December Silver’s Delivery count ended Friday with no additional fanfare for our support side with today being a set up for tomorrows First Notice Day for January Silver. Friday’s ending numbers for Red Silver showed a Volume of 9 with a trading range between $17.92 and $17.93 with the last trade for physical at $17.93 with the Comex adjusted closing price at $17.849 proving our point that the paper is leading the trade when the trade should be leading the papers. January Silver’s Demand Count now sits at 257 contracts and with a Volume of 35 up on the board so far with a trading range between $17.90 and $17.855 with the last trade at the low. Some of these contracts will have to clear out by tonight’s close, that is, “if” they decide not to take delivery.

Silver’s Overall Open Interest remains ridiculously elevated compared to what has been extracted and traded in physicals with the count now at 225,791 Overnighters showing a reduction of 14 contracts since Friday mornings quote (not the Comex closing numbers). This leaves the shorts only 18,405 pieces of paper away from doing what Gold is doing, telling everyone who owns Gold, that the paper is controlling the roll (for now). Gold’s Overall Open Interest continues to break new territory (but only in the papers) with Friday’s closing numbers at 767,077 Overnighters. One day there will be no more Comex Gold or Silver physicals to take delivery of, leaving only the obligated papers, a criminal element in control, and a regulated market, looking for a reason to remain viable.

Tomorrow is a partial day; we don’t expect much to occur today or tomorrow but we would love to be wrong. After all, the DNC still controls the accusations on television but not the evidence in a court room or Senate, and the evidence keeps piling higher and higher as the game of politics reveals itself and from what I’m gathering, people are very pissed off. We strongly suggest to everyone to Stay Calm! Nancy and her friends are doing just fine. They are establishing all the reasons for “their” removal from office, legally. In the meantime, we have Q who is telling us what the media and their political ties are doing against the will of the people. If people think removing the majorities party is acceptable, because their feelings were hurt, they’ve felt nothing yet! So, keep searching for the truth, have a positive attitude in the head no matter what, and as always …

Stay Strong!

J. Johnson

(courtesy zerohedge/Chris Powell)

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

71671201

Spencer Platt | Getty Images

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

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

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

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

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

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

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

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

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

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

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

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

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

end

March 4.2019

Parker City News

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

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

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

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

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

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

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

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

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

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

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

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

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

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

Kovel declined to comment.

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

-END-

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

 Section: 

9:47a ET Tuesday, March 5, 2019

Dear Friend of GATA and Gold:

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

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

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

… 

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

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

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

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

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

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

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

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

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

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

* * *

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

i) Chinese yuan vs USA dollar/CLOSED / LAST AT: 6.9869/ GETTING VERY DANGEROUSLY CLOSE TO 7:1

//OFFSHORE YUAN:  6.9830   /shanghai bourse CLOSED UP 34.99 POINTS OR 1.16%

HANG SANG CLOSED UP 93.07 POINTS OR 0.33%

 

2. Nikkei closed DOWN 181.10 POINTS OR 0.76%

 

 

 

 

3. Europe stocks OPENED ALL RED/

 

 

 

USA dollar index UP TO 96.82/Euro RISES TO 1.1191

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:: 612.09 and Brent: 67.46

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

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

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

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

3i European bond buying continues to push yields lower on all fronts in the EMU. German 10yr bund RISES TO -.19%/Italian 10 yr bond yield UP to 1.39% /SPAIN 10 YR BOND YIELD UP TO 0.45%…ITALIAN 10 YR BOND YIELD/GERMAN BUND: 1.58: DANGEROUS FOR THE ITALIAN BANKING SYSTEM

3j Greek 10 year bond yield RISES TO : 1.46

3k Gold at $1512.85 silver at: 17.87   7 am est) SILVER NEXT RESISTANCE LEVEL AT $18.50

3l USA vs Russian rouble; (Russian rouble UP 31/100 in roubles/dollar) 61.85

3m oil into the 62 dollar handle for WTI and 67 handle for Brent/

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

JAPAN ON JAN 29.2016 INITIATES NIRP. THIS MORNING THEY SIGNAL THEY MAY END NIRP. TODAY THE USA/YEN TRADES TO 109.17 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 .9717 as the Swiss Franc is still rising against most currencies. Euro vs SF is 1.0875 well above the floor set by the Swiss Finance Minister. Thomas Jordan, chief of the Swiss National Bank continues to purchase euros trying to lower value of the Swiss Franc.

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

3r the 10 Year German bund now NEGATIVE territory with the 10 year RISING to 0.19%

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 1.92% early this morning. Thirty year rate at 2.36%

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

6.  TURKISH LIRA:  UP  TO 5.9496..

Global Stocks Cling To Record Highs As Dollar, Treasuries Pounded

Global stocks and US equity futures slipped modestly in thin overnight trading on the second to last day of what may be the best year for stocks in 22 years, with broad if shallow losses in Asia and Europe, despite renewed optimism over a U.S.-China trade deal and the global growth outlook, while US Treasurys and the dollar slumped, and the euro climbed to a 4-1/2 month high.

Investors were cautious in thin pre-holiday trading at the end of a year that’s propelled global equity benchmarks to record highs,and with a backdrop of persistent central bank stimulus and the anticipated sealing of a U.S.-China interim trade deal in January, many market participants say they’re still bullish for early 2020.

Easing trade war worries lifted global equities this month, putting MSCI’s global equity index on track for a 3.8% rise in December – its fourth straight month of gains.

All major US equity indexes were set to open near their record highs in the countdown to the New Year’s Day holiday Wednesday, even as tech giants Facebook and Amazon.com edged lower in pre-market trading following a furious rally that has sent the tech sector into extremely overbought territory.

Europe’s Stoxx 600 index was 0.3% lower, led by declines in telecommunications and carmaker shares, while Germany’s DAX slipped 0.5%. European banks which had been lagging the 2019 rally, were the only sector to mark small gains in thin year-end trading.

“Investors appear to be growing a tad apprehensive about chasing the record setting U.S. equity market risk-reward premise into year-end,” Stephen Innes at AxiTrader wrote in a note to clients. “Much focus continues to fall on the abundance of liquidity offered up by the Fed as a critical driver behind the late-season equity market window dressing.”

“As fears of a global recession have dissipated and the manufacturing cycle looks to be heading for a U-turn in the first half of 2020, expect to see some rotation from the U.S. into emerging and European markets,” Hussein Sayed, chief market strategist at online brokerage ForexTime Ltd., said in a note to investors. “If this scenario plays out, expect the dollar to remain under pressure for the next couple of weeks.”

Earlier in the session, Asian stocks were little changed ahead of the New Year holiday with Chinese blue chips roaring 1.2% higher, led by consumer services and basic materials stocks, bolstered by a report that 2019 retail sales are forecast to rise 8% and expectations that a new benchmark for floating-rate loans could lower borrowing costs and boost flagging economic growth. Japan’s Topix index declined 0.7% on last trading day of the year as the yen strengthened ahead of a four-day break. Japan’s Nikkei finished its last trading day of the year down 0.76%. The index gained 18.2% in 2019 after dropping 12.8% last year.

In FX markets, the Bloomberg Dollar Spot Index dropped to a six-month low as the greenback weakened versus most major peers amid unwinding of long positions into year-end. Thin end-of-year volumes exacerbated the broad weakness in the greenback which on Friday suffered its biggest one-day fall since June.

“The U.S. dollar is the worst performing G10 currency overnight,” said MUFG’s Fritz Louw. “The main drivers of the weaker dollar have likely been risk appetite holding up in the wake of comments from the U.S. pertaining to a Phase One trade deal recently as well as the U.S. Federal Reserve’s continued repo operations.”

The weak greenback helped other currencies shine. The euro climbed as high as $1.1211, its strongest level since mid-August. Sterling also benefited, rising 0.2% to $1.3122 against the dollar. Yet the pound was flat against the euro at 85.38 pence amid concerns that Britain could be headed for a disruptive “hard Brexit” at the end of 2020. China’s yuan held below the key level of 7 per dollar, rising in offshore markets to 6.9752 its highest since Dec. 13.

There was also some commotion in the rates market, as rising risk appetite saw euro zone bond yields rise across the board, with most 10-year bond yields two basis points higher on the day. Germany’s Bund yield stood at -0.23%, heading back toward recent six-month highs. US 10Y Treasuries also sold off, with the yield on the benchmark paper spiking as high as 1.9332%

In commodities, oil prices held near three-month highs with traders also keeping a close watch on the Middle East following U.S. air strikes in Iraq and Syria against Kataib Hezbollah, an Iran-backed militia group. U.S. officials said on Sunday that the attacks were successful, but warned “additional actions” may be taken to defend U.S. interests. The weaker dollar also lifted commodity markets with gold hitting a two month peak. Brent crude traded at $68.33 a barrel and U.S. West Texas Intermediate stood at $61.74.

Oil prices were also supported by a bigger-than-expected decline in crude inventories in the United States, the world’s biggest fuel consumer. Stockpiles fell by 5.5 million barrels in the week to Dec. 20, far exceeding a 1.7-million-barrel drop forecast in a Reuters poll, government data showed on Friday.

Economic data include wholesale inventories, pending home sales. Looking ahead, China’s official manufacturing PMI is due Tuesday, and the Caixin version comes Thursday. World leaders including China’s Xi Jinping and North Korea’s Kim Jong Un are set to deliver New Year addresses. Federal Open Market Committee minutes will be released on Friday. U.S. ISM manufacturing is also due Friday. The Institute for Supply Management’s PMI is forecast to show a contraction for a fifth straight month.

Market Snapshot

  • S&P 500 futures up 0.1% to 3,241.25
  • STOXX Europe 600 down 0.4% to 418.18
  • MXAP down 0.04% to 171.01
  • MXAPJ up 0.09% to 555.91
  • Nikkei down 0.8% to 23,656.62
  • Topix down 0.7% to 1,721.36
  • Hang Seng Index up 0.3% to 28,319.39
  • Shanghai Composite up 1.2% to 3,040.02
  • Sensex unchanged at 41,573.98
  • Australia S&P/ASX 200 down 0.3% to 6,804.86
  • Kospi down 0.3% to 2,197.67
  • German 10Y yield rose 3.9 bps to -0.217%
  • Euro up 0.1% to $1.1193
  • Brent Futures up 0.2% to $68.33/bbl
  • Italian 10Y yield fell 5.7 bps to 1.203%
  • Spanish 10Y yield rose 3.2 bps to 0.441%
  • Brent futures up 0.2% to $68.33/bbl
  • Gold spot up 0.2% to $1,513.12
  • U.S. Dollar Index down 0.1% to 96.80

Top Overnight News

  • China’s central bank ordered lenders to adopt a new loan-pricing regime for all credit from next year, marking an end to the previous benchmark and another step toward liberalizing the financial system
  • The U.K. is likely to drop its opposition to extending the Brexit transition period beyond 2020, European Union Trade Commissioner Phil Hogan said in an interview with the Irish Times
  • Spain’s acting Prime Minister Pedro Sanchez has a second term in office within reach after his Socialist party lined up an agreement with the Catalan separatist group Esquerra Republicana, El Pais reported
  • Outgoing Bank of England Governor Mark Carney said that the financial sector needs to act more quickly to shift investment away from fossil fuels and help avert damaging climate change, according to excerpts of an interview published Monday by the BBC
  • Kim Jong Un urged “positive and offensive measures” to bolster North Korea’s security, as the Trump administration said it was watching for provocations around the regime’s year-end deadline
  • Hedge funds are approaching the end of the year more optimistic on global oil prices than they’ve been since May. Their net-bullish wagers on Brent crude climbed for the ninth week in 10, reaching a seven-month high, data released Friday show

Top Asian News

  • Monex Founder Matsumoto Sees Nikkei 225 Heading Toward 29,000
  • India Citizenship Row May Spook Investors, Risk Advisers Say
  • HNA to Win ‘War’ Against Debt Problems Next Year, Chairman Says
  • Here’s What You Need to Know About Asia Stock Markets Today

Top European News

  • EssilorLuxottica Uncovers $213 Million Fraud at Thai Factory
  • Italian Bonds Drop Before Sale, Leading Euro-Area Debt Declines
  • Sanchez Set to Take Power in Spain With Catalan Help, Pais Says
  • U.K. Labour’s Long Bailey Mulls Bid for Party Leadership

In FX, the Bloomberg Dollar Spot Index dipped 0.2%. The British pound rose 0.4%. The euro climbed 0.1% to $1.1191. The Japanese yen strengthened 0.2% to 109.18 per dollar. The South Korean Won appreciated 0.4% to 1,156.18 per dollar.

In commodities, West Texas Intermediate crude gained 0.6% to $62.09 a barrel. Gold climbed 0.1% to $1,511.88 an ounce. Iron ore increased 0.2% to $90.25 per metric ton. Soybeans climbed 0.8% to $9.49 a bushel.

 

3A/ASIAN AFFAIRS

I)MONDAY MORNING/ SUNDAY NIGHT: 

SHANGHAI CLOSED UP 34.99 POINTS OR 1.06%  //Hang Sang CLOSED UP 93.07 POINTS OR 0.33%   /The Nikkei closed DOWN 181.10 POINTS OR 0.76%//Australia’s all ordinaires CLOSED DOWN .21%

/Chinese yuan (ONSHORE) closed UP  at 6.9868 /Oil UP TO 62.09 dollars per barrel for WTI and 67.46 for Brent. Stocks in Europe OPENED RED//  ONSHORE YUAN CLOSED UP // LAST AT 6.9868 AGAINST THE DOLLAR. OFFSHORE YUAN CLOSED UP ON THE DOLLAR AT 6.9830 TRADE TALKS STALL//YUAN LEVELS GETTING DANGEROUSLY CLOSE TO 7:1//TRUMP INITIATES A NEW 25% TARIFFS FRIDAY/MAY 10/MAJOR PROBLEMS AT HUAWEI /CFO ARRESTED  : /ONSHORE YUAN TRADING BELOW LEVEL OF OFFSHORE YUAN/ONSHORE YUAN TRADING STRONGER AGAINST USA DOLLAR/OFFSHORE YUAN TRADING STRONGER AGAINST THE DOLLAR /TRADE DEAL NOW DEAD..TRUMP  RAISED RATES TO 25%

 

 

3 a./NORTH KOREA/ SOUTH KOREA

South Korea

 

b) REPORT ON JAPAN

 

3 C CHINA

China realizing that their economy is moribund, is launching a stealth rate cut, trying desperately to stimulate their economy

(zerohedge)

China Launches Stealth Rate Cut By Switching Benchmark Lending Rate, Lowering Funding Costs

More than 4 years since the last official Chinese rate cut (not of its far more targeted Required Reserve Ratio but its broad Benchmark rate), economists and pundits were wondering when, if ever, Beijing would finally cut its main rate again to ease financial conditions again at the broadest level and boost fading corporate profits while kickstarting the country’s moribund economy whose GDP is now growing below 6% GDP, the lowest on record. To be sure, China has had its share of setbacks in the past year preventing it from implementing the type of monetary policy it desires, most notably soaring food inflation as a result 110% pork CPI…

… even as producer prices, a driver of industrial profits, slumped below zero earlier in 2019, a clear indicator that China’s enterprises desperate for lower rates.

And yet, a wholesale easing, such as cutting the benchmark rate, could potentially spark even more food inflation, setting off violent popular protests. After all, the Chinese population’s patience is already running thin, forcing Beijing to scrap import tariffs on US pork exports, a move which Xi Jinping (and Trump) quickly spun as a trade war concession, but in reality was a matter of preserving the peace for China which is desperate for any sources of cheaper protein to keep its 1.4 billion people fed, and happy.

Well, overnight China finally did what so many had been expecting to do, if once again it did so in a roundabout way.

Remember that back on August 17, China’s central bank unveiled detailed measures on its long-awaited interest rate reform by establishing a reference rate for new loans issued by banks to help steer corporate borrowing costs lower and support a slowing economy.

As a key part of the rate overhaul, the Loan Prime Rate (LPR) would eventually become the new Benchmark Reference Rate to be used by banks for lending which is aimed at supporting funding as well as lower borrowing costs for small businesses; the rate will be set monthly (20th of every month) and will be linked to the Medium-term Lending Facility rate. The current 1 year LPR stands at 4.15% after its latest cut on Nov 30 versus the Benchmark Rate 4.35%.

So even with the PBOC pushing the LPR lower by 10bps since its August inception, the benchmark rate has remained unchanged at 4.35% since October 2015.

It is in this context that on Saturday, China’s entire interest rate framework was overhauled when the PBOC ordered lenders to adopt the new LPR rate as the de facto basis for all credit from next year, marking an end to the previous benchmark in what Bloomberg said was another step toward liberalizing the financial system (although many disagree).

In a statement, the PBOC said that financial institutions should stop using the old lending rate as the pricing reference for all credit from January, and gradually convert existing loans to a new base using the loan prime rate, from March to August. The one-year lending rate had provided the previous anchor for loans across the economy.

And since the PBOC is effectively forcing lenders to adopt a reference rate that is 20bps lower than the benchmark, Saturday’s announcement is effectively stealth easing, and will lower costs for the roughly 152 trillion yuan ($21.7 trillion) in yuan-denominated outstanding loans held by financial institutions and boost economic growth, even though – as with most things in China – it does not involve a straightforward cut to interest rates.

The transition is “in line with the need to further reduce the financing costs for the real economy, although there’s still a long way to go,” said Fan Ruoying, analyst at the Bank of China’s Institute of International Finance in Beijing, as quoted by Bloomberg. The shift to the LPR comes at a time when Beijing has unveiled a raft of pro-growth measures, including tax cuts, more infrastructure spending, reductions in the amount of cash banks must keep on reserve and lending rates to boost credit.

Ironically, while the move will benefit end-consumers and debtors, it could have an especially adverse impact for creditors, forcing even more bank failures, bank runs, bailouts and nationalizations. As Fan warned, “the move will present more challenges for commercial banks because the interest margin will be squeezed and lenders will need to improve their pricing ability.” As a reminder, many of the small and medium-bank failures that took place in 2019 – and there have been more this year than ever on record – have been attributed to the ongoing drop in rates that banks can charge client which in a time of shadow bank crackdowns, has meant more bank failures amid a flattening of the Net Interest Margin curve.

“The purpose of the step is to make interest rates more market-driven and help lower financing costs,” said Wen Bin, an economist at Minsheng Bank in Beijing.

To be sure, the impact of the loan reform won’t be groundbreaking as most new loans issued in the past 4 or so months already track the LPR: “By now close to 90% of new loans are priced with the LPR, but outstanding loans with floating rates are still based on the benchmark lending rate,” the central bank said in a separate statement. That means the real lending cost “can’t reflect changes in market interest rates.”

Why did the PBOC decide to shift to the LPR, which we also dubbed China’s Libor rate when we discussed it in the summer, besides providing it a convenient way to cut rates by 20bps without actually implementing a 20bps rate cut? As a reminder, the rate which will become the benchmark for new loans this year, is based on the interest rate for one-year loans that 18 banks offer their best customers. Banks submit the quoted price each month in the form of a spread over the rate of the PBOC’s medium-term loans.

 

According to Bloomberg, the move may help make monetary policy more effective, resolving a long-standing problem in which cheap funding that the PBOC offers banks doesn’t result in cheaper loans to businesses. In the new scenario when all borrowing is based on the LPR, the supply of central bank funding or cuts to the rates of medium-term loans will in theory push down the LPR, and reduce the cost of all lending to businesses. One can almost call it trickle down credit with Chinese characteristics…

Whether or not such a move will succeed remains to be seen, but one thing is certain: the transition to just one short-term rate will simply somewhat China’s arcane rate system. The following Bloomberg explainer makes it clear why this was long overdue: most central banks govern the price of money in an economy via the rate that banks are charged to borrow cash over short time periods. In China, that approach had been divided into two steps. First, the PBOC guided prices for funding in the inter-bank market via its reverse repurchase agreements and medium-term lending facility. Then, it set the benchmark rates that were used to price mortgages, business loans and other commercial lending – the one-year and five-year lending rates.

So will a successful transition from a benchmark to an LPR rate stoke another asset bubble? Perhaps, although the PBOC is careful to avoid overheating among China’s most important assets: housing. While the interest rate of home mortgages should also be converted to the LPR, the central bank said that the new borrowing cost must be the same as the current charges to “reflect the request to regulate the property market.” Eventually, at some point in the future, home mortgages could be repriced in the future, based on the LPR, the PBOC said, giving itself a buffer for when China’s housing market takes its next leg down.

And while Bloomberg concludes that this latest stealth rate cut shows the PBOC’s “commitment to making the interest-rate system more market-driven” controls on deposits remain for now. In short, the step-by-step approach appears to be trying to open up the system without shrinking interest margins too rapidly and adding more pressure to smaller lenders. Unfortunately, with numerous banks having already failed previously in 2019 (as discussed here), and with more than half of China’s banks failing a recent central bank stress test, the only guaranteed outcome from this weekend’s effective rate cut is that, paradoxically, it will only accelerate the rate of failure of China’s already cash strapped, and in many cases insolvent, banks.

Which begs the question: did Beijing, in hopes of gently stimulating the economy, start a cascade of failures that will eventually drag down more than just the small and medium banks (and result in the executions of many more bank CEOs) despite such “brilliant” marketing ploys as offering a pound of pork to starving savers with every new deposit, and precipitate China’s long-overdue financial crisis?

end

4/EUROPEAN AFFAIRS

This is a very important commentary from Tom Luongo. Did France’s Macron engineer a hard Brexit deal with the uK in order to shaft Germany>in other words stick Germany with its huge 1 trillion dollars of Target 2 balances that cannot be paid by the Club Med South boys.

a must read…

(Tom Luongo)

Did Macron And Johnson Negotiate A Hard Brexit In October?

Authored by Tom Luongo via Gold, Goats, ‘ Guns blog,

Something odd is happening with Brexit. It looks like Prime Minister Boris Johnson is pushing for a hard Brexit much to my surprise.

Johnson’s strong showing in the recent election which secured the Tories its biggest majority since the days of Margaret Thatcher should have set the stage for the great Brexit bait and switch.

This has been my argument for months since Johnson became the front-runner to replace Theresa May. All Johnson had to do was manipulate events to get a majority which marginalizes the hard Brexiteers of the European Research Group (ERG).

Then he could undermine Brexit by giving back all the concessions during his subsequent negotiations with the EU over a trade deal.

This analysis should have been the correct one given the staunch opposition by the political elite in the U.K. to Brexit.

But something has changed.

Johnson is practically channeling Nigel Farage in his stance to trade negotiations with the European Union. The modified Withdrawal Bill that passed Parliament with six Labour defectors significantly strengthens Johnson’s hand in trade negotiations by removing any potential extension beyond the end of 2020. There are a ton of changes the Guardian article linked above covers.

The two year transition period EU Chief Negotiator Michel Barnier was planning on using to bully Johnson around with is dead. January 31st Brexit happens.

And if no trade deal happens between then and the end of 2020, the U.K. leaves on WTO terms and the so-called Hard Brexit happens. Hard Brexit is back on the table and Parliament has been sidelined.

While this isn’t news anymore what it means is.

Given the context of his negotiations with French President Emmanuel Macron in October which secured the current Withdrawal Treaty, I think the way forward is clearer now.

The Macron Gambit

The key to understanding what’s happening is the ever-shifting dynamic between France, Germany and the U.K. in relation to their relationship with the United States.

Macron is pushing France to unseat Germany as the de facto rule-setter for the EU. He wants more integration at every level, but most importantly fiscally.

Macron understands that the euro is flawed because of a lack of fiscal integration. For the euro to survive at least three major things need to happen.

  1. There needs to be a single entity capable of issuing and retiring Euro-zone sovereign debt. The ECB and the EU fiscal authorities need to have a relationship similar to that of the Federal Reserve and the U.S. Treasury Dept.
  2. The euro has to weaken considerably to remove the garrote around the necks of countries like Spain, Portugal, Italy, Greece and even France.
  3. Much of the existing sovereign debt needs to be converted into a Eurobond, doing away with much of the stock of debt as liabilities for member states like Italy and Spain. The ECB can lead the way with its $3 trillion it’s holding on its balance sheet.

In my podcast with Yra Harris from a few weeks ago, Yra made the point that the ECB has an enormous pile of gold it can use to back its new Eurobonds to sell this plan to skeptical markets.

So all the pieces are in place. But opposition to Brexit was actually undermining it.

Macron realized that the Brits would never accept betraying Brexit the way it had been planned. He saw the opportunity to cut the Gordian knot of Brexit and screw Germany at the same time.

Germany is dead set against any of these things occurring. It wants to continue with using the euro to underwrite its mercantilism to leverage its industrial prowess. It has benefited handsomely at the hollowing out of member states economies through internal trade advantages. And then, once they were broke used debt restructuring as a bludgeon to buy up their assets at pennies on the euro, c.f. Greece.

Italy was to be next on the block.

This is fundamentally why the euro is designed the way it currently is. It wasn’t a mistake, rather it was the plan. I know that sentiment will rankle my German readers, but that’s my take on the history.

They may have had their reasons for this, but this is classic colonialism.

But, what does this have to do with Brexit?

The Double Cross

Everything.

Macron installed Christine Lagarde as head of the ECB to push for fiscal integration and to politically blackmail the Germans into going along with it.

How? By threatening to write down or allowing default on the massive $850 billion in TARGET 2 liabilities German banks have in euro-zone sovereign debt on their balance sheets.

But there’s no way City of London and the crown would survive the British people’s anger at underwriting the costs of this shakedown and subsequent debt crisis.

Nigel Farage and the other hard Brexiteers understood that this was a key issue, but one that didn’t resonate with voters. Fishing rights and immigration get people to the polls, not bailing out German banks.

But, make no mistake, Farage, the old commodities trader, knows that breaking the British banking system free from the EU’s and put up a hard border, as it were, between them is the key to a successful Brexit.

And I suspect, after it was clear they couldn’t convince the British people otherwise, that City of London and the Crown saw this as well.

So, Macron and Johnson looked at the landscape clearly and with the blessing of the British political class negotiated a settlement.

By allowing Johnson and the U.K. to get clear of the fiscal and political storm, Macron gets even more leverage over Germany whose economy is the one hurt most by a hard Brexit.

The Germans run a huge trade surplus with the U.K. Cutting that down weakens the euro and Germany at the same time.

Germany will insist on bail-ins of depositors versus bailing out the Italian government. But Macron realizes the only way for the EU to survive the coming debt crisis is to over-ride Germany’s deflationary attitudes. They are going to have to print euros like no tomorrow.

He may throw Merkel a bone in the negotiations but it won’t be much. She lost the power struggle over the new European Commission.

Macron is many things, but he’s not stupid. He knows the Euroskeptic populists will eventually rise to power in Italy, Spain, Portugal and potentially even Germany. He knows he’s in trouble in France.

The miserable polling data is a reflection of the economic misery of German austerity taken too far.

 

The only way to placate them and keep them in the euro-zone and, ultimately, the EU is to give them debt relief and a bigger seat at the monetary policy table.

Matteo Salvini understands this. Viktor Orban understands this.

The Special Relationship

So the deal is pretty simple in the end. The collapse of Project Fear to dissuade the British people against Brexit forced a reconsideration on the ruling elite who finally felt a real threat to their power. Because if they betrayed Brexit one of either Farage or Jeremy Corbyn could have entered 10 Downing St. giving real voice to political change in the U.K.

I’m sure Prince Andrew’s relationship with Jeffrey Epstein didn’t help matters one whit.

This forced Macron and Johnson to make a deal which gave Johnson just enough room to win the election and blame the Remainers. This ends the stalling and Macron can use Brexit to his advantage within the EU to get what he wants.

No one gets everything they want here, but this is the best of a bad situation for everyone.

The U.K. is realigning itself politically with the U.S. under Trump. Trump will beat his impeachment unless Pelosi is setting up for an even bigger one, as Martin Armstrong suggests.

He’ll likely win re-election in November unless something profound changes. British neoconservatives, which Johnson represent, want to continue fighting against a resurgent Russia.

Macron and Merkel want rapprochement.

Brexit, in the end, may be more about the return of the special relationship between the U.S. and the U.K. while Europe splits itself off as an independent beast.

But with the euro being systemically destroyed by the ECB’s poisonous negative interest rates, I still don’t see a path forward even if Macron gets what he wants.

*  *  *

Join my Patreon if you want unique insights into the world behind the headlines.  Install the Brave Browser to help us keep the conversation going on our terms.

end

5. RUSSIAN AND MIDDLE EASTERN AFFAIRS

Turkey/Syria/Libya

Turkey is sending Syrian rebel mercenaries to attack General Hafter. So we now have Turkey allying with Russia, Syria against USA interests in Libra who has as allies Saudi Arabia, UAE and Qatar

(zerohedge)

Foreign Fighter ‘Rat Line’ In Reverse: Turkey Sends Syrian ‘Rebels’ To Libya

Bloomberg has confirmed on Friday the prior rumors that Turkey will be sending mercenaries to Libya  where it is propping up the UN-backed government in Tripoli (the GNA) — are true. “Turkey is preparing to deploy troops and naval forces to support the internationally-recognized Libyan government, joining a planned push by Ankara-backed Syrian rebels to defeat strongman Khalifa Haftar,” reports Bloomberg.

Though Ankara has yet to confirm or deny the new reports, Erdogan’s Turkey has for years overseen a Libya-to-Turkey-to-Syria arms “rat line”which saw both heavy weaponry and jihadists fighters transported for the purpose of toppling Assad. But now with Erdogan’s eyes set on defeating Benghazi-based General Khalifa Haftar, it appears this arms and jihadist rat line has conveniently been reversed.

 

Jihadists of the Turkish-backed Syrian National Army, via DPA/PA Images.

This also as President Erdogan in a speech on Thursday presented plans to send Turkish national troops bolster Tripoli as well.

Possibly thousands from among the so-called Turkish Free Syrian Army (formerly the FSA), with most of its fighters currently attacking Syrian Kurds in the ongoing ‘Operation Peace Spring’, will now be sent into Libya.

There are reports suggesting Turkey is ready to pay $2,000 a month for each Syrian ‘rebel’ willing to go to Libya.

Lindsey Snell

@LindseySnell

TFSA source told me Turkey will be offering fighters from all TFSA factions $2,000/month to go to Libya.

And akin to the current proxy war which has seen both the US, Kurds, and Sunni Islamists backed by Turkey wrangle over Syria’s oil rich eastern region, Libya is heating up to be the latest ‘oil and gas prize’ — but with immensely more at stake. As Bloomberg notes:

In a deepening proxy war, Turkey aims to send its Navy to protect Tripoli, while its troops train and coordinate forces of Prime Minister Fayez al-Sarraj, according to a senior Turkish official. Turkey recently signed a critical maritime deal with oil-rich Libya that serves energy interests of both countries and aims to salvage billions of dollars of business contracts thrown into limbo by the conflict.

As we predicted earlier, Libya and the southern Mediterranean is on its way to becoming the next big Middle East conflict of 2020, also with Egypt and even Russia warning of further involvement to block Turkey’s increasing role on the ground.

And as the mainstream media finally stops ignoring the looming catastrophe for north Africa and the region (still in denial as to the fruits of US-NATO “liberated” Libya after Gaddafi was overthrown and killed), it must be remembered that in another ironic plot twist, the CIA trained the very FSA ‘rebel’ fighters now on their way to Libya.

 

Gee who would have ever predicted? It’s the foreign fighter ‘rat line’ in reverse.

Remember when the CIA thought it was a good idea to train and fund jihadists in Syria to topple Assad? Via a 2015 military study:

The conflict in Syria has become a rallying point for jihadists from around the world. More than 20,000 foreign fighters are fighting or have fought in Syria, and most are part of jihadist groups, including Jubhat al Nusra (JAN) and Islamic State (IS). North Africa has provided a large portion of these foreign fighters, from countries as diverse as Morocco and Libya. Who are these North African fighters, and why are they going to Syria? What do they hope to accomplish there, and do they want to return to their home countries?

Considering the tens of thousands of foreign fighters which poured into Syria starting in 2011 and 2012 in the first place, many of them from Libya, perhaps many are now simply headed “home” — ready to further the proxy war chaos at Erdogan’s bidding.

END

Iraq/Iran/Syria/USA/Israel

The USA finally gets the message that Iranians inside Iraq and Syria are dangerous. Last night the USA initiated air strikes against positions held by Iranians inside Iraq and Syria after a USA contractor was killed

(zerohedge)

6.Global Issues

 

7. OIL ISSUES

It did not take Mark Carney long to state that firms must justify their investment in fossil fuels.  He is to the the UN special envoy for climate change

(courtesy London’s the Guardian)

and special thanks to G for sending this to us

Firms must justify investment in fossil fuels, warns Mark Carney

Outgoing Bank of England governor says financial sector cutting back too slowly on investing in oil

Mark Carney
Mark Carney will focus on his new role as UN special envoy for climate change and finance after he steps down as Bank governor in the new year. Photograph: Kirsty Wigglesworth/AFP via Getty Images

The outgoing governor of the Bank of England, Mark Carney, has said all companies and financial institutions must justify their continued investment in fossil fuels, and warned that assets in the sector could end up “worthless”.

In an interview with BBC Radio 4’s Today programme being broadcast on Monday, Carney said that although the financial sector was starting to cut back on investment in oil and gas companies, the process was not moving quickly enough.

Carney, who will focus on his new role as UN special envoy for climate change and finance after he steps down from the governorship in the new year, agreed to appear on the programme for an edition edited by the climate crisis campaigner Greta Thunberg, one of several guest editors on Today over the holiday period.

Carney has been one of the most vocal central bank governors on the need for the financial sector to do more to transition towards a zero-carbon economy.

He told the programme that the climate crisis was a “tragedy on the horizon” and that more extreme weather events were inevitable. “By the time that the extreme events become so prevalent and so obvious, it will be too late to do anything about it,” he said. Political leaders had to “start addressing future problems today”.

On the issue of whether investors should be divesting from companies in the fossil fuel sector, Carney said fund managers would “have to make the judgment and justify to the people whose money it ultimately is”.

When pressed on whether pension funds should divest from oil and gas companies even if the returns were attractive, he replied: “Well that hasn’t been the case but they could make that argument. They need to make the argument, to be clear about why is that going to be the case if a substantial proportion of those assets are going to be worthless.”

He warned: “If we were to burn all those oil and gases, there’s no way we would meet carbon budgets. Up to 80% of coal assets will be stranded, [and] up to half of developed oil reserves. A question for every company, every financial institution, every asset manager, pension fund or insurer: what’s your plan?”

The Bank of England has said assets worth up to $20tn (£16tn) could become worthless very quickly if the financial sector and business do not make a smooth transition towards a zero-carbon economy.

In his interview, Carney urged climate change deniers to drop their opposition on the issue, saying: “We can’t afford on this one to have selective information, spin, misdirection.”

One such sceptic is the former Daily Telegraph editor Charles Moore, who guest-edited Today on Saturday and included in his programme a feature questioning the global consensus on the climate crisis. Complaining about how much internal opposition there had been to this item being included, Moore accused the BBC of “climate change alarmism”.

As the climate crisis escalates…

… the Guardian will not stay quiet. This is our pledge: we will continue to give global heating, wildlife extinction and pollution the urgent attention and prominence they demand. The Guardian recognises the climate emergency as the defining issue of our times.

We chose a different approach: to keep Guardian journalism open for all. We don’t have a paywall because we believe everyone deserves access to factual information, regardless of where they live or what they can afford to pay.

Our editorial independence means we are free to investigate and challenge inaction by those in power. We will inform our readers about threats to the environment based on scientific facts, not driven by commercial or political interests. And we have made several important changes to our style guide to ensure the language we use accurately reflects the environmental catastrophe.

The Guardian believes that the problems we face on the climate crisis are systemic and that fundamental societal change is needed. We will keep reporting on the efforts of individuals and communities around the world who are fearlessly taking a stand for future generations and the preservation of human life on earth. We want their stories to inspire hope. We will also report back on our own progress as an organisation, as we take important steps to address our impact on the environment.

We hope you will consider supporting us today. We need your support to keep delivering quality journalism that’s open and independent. Every reader contribution, however big or small, is so valuable. Support The Guardian from as little as CA$1 – and it only takes a minute. Thank you.

end

8 EMERGING MARKET ISSUES

 

 

 

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

Euro/USA 1.1191 UP .0021 REACTING TO MERKEL’S FAILED COALITION/ REACTING TO +GERMAN ELECTION WHERE ALT RIGHT PARTY ENTERS THE BUNDESTAG/ huge Deutsche bank problems ///ITALIAN CHAOS /AND NOW ECB TAPERING BOND PURCHASES/JAPAN TAPERING BOND PURCHASES /USA RISING INTEREST RATES /FLOODING/EUROPE BOURSES /MIXED

 

 

USA/JAPAN YEN 109.17 DOWN 0.216 (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 1.3133   UP   0.0082  (Brexit March 29/ 2019/ARTICLE 50 SIGNED/BREXIT FEES WILL BE CAPPED/BREXIT EXTENDED TO JAN 31/2020//

USA/CAN 1.321 UP .0010 CANADA WORRIED ABOUT TRADE WITH THE USA WITH TRUMP ELECTION/ITALIAN EXIT AND GREXIT FROM EU/(TRUMP INITIATES LUMBER TARIFFS ON CANADA/CANADA HAS A HUGE HOUSEHOLD DEBT/GDP PROBLEM)

Early THIS  MONDAY morning in Europe, the Euro FELL BY 8 basis points, trading now ABOVE the important 1.08 level FALLING to 1.1219 Last night Shanghai COMPOSITE CLOSED UP 34.99 POINTS OR 1.16% 

 

//Hang Sang CLOSED UP 93.97 POINTS OR 0.33%

/AUSTRALIA CLOSED DOWN 0,21%// EUROPEAN BOURSES ALL RED

 

Trading from Europe and Asia

EUROPEAN BOURSES ALL RED 

 

 

2/ CHINESE BOURSES / :Hang Sang CLOSED UP 93.97 POINTS OR 0.33%

 

 

/SHANGHAI CLOSED UP 34.99 POINTS OR 1.16%

 

Australia BOURSE CLOSED DOWN. 21% 

 

 

Nikkei (Japan) CLOSED DOWN 181.10  POINTS OR 0.76%

 

 

 

INDIA’S SENSEX  IN THE GREEN

Gold very early morning trading: 1512.05

silver:$17.86-

Early MONDAY morning USA 10 year bond yield: 1.92% !!! UP 4 IN POINTS from FRIDAY’S night in basis points and it is trading WELL BELOW resistance at 2.27-2.32%.

 

The 30 yr bond yield 2.36 UP 5  IN BASIS POINTS from FRIDAY night.

USA dollar index early MONDAY morning: 96.82 DOWN 10 CENT(S) from  FRIDAY’s close.

This ends early morning numbers MONDAY MORNING

xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx6

And now your closing MONDAY NUMBERS \1: 00 PM

Portuguese 10 year bond yield: 0.44% UP 6 in basis point(s) yield from YESTERDAY/

JAPANESE BOND YIELD: -.01%  DOWN 0   BASIS POINTS from YESTERDAY/JAPAN losing control of its yield curve/56

SPANISH 10 YR BOND YIELD: 0.47%//UP 6 in basis point yield from yesterday.

ITALIAN 10 YR BOND YIELD:1,41 DOWN 3 points in basis points yield from yesterday./

 

 

the Italian 10 yr bond yield is trading  94 points higher than Spain.

 

GERMAN 10 YR BOND YIELD: RISES TO –.19% IN BASIS POINTS ON THE DAY//

THE IMPORTANT SPREAD BETWEEN ITALIAN 10 YR BOND AND GERMAN 10 YEAR BOND IS 1.60% AND NOW ABOVE THE  THE 3.00% LEVEL WHICH WILL IMPLODE THE ENTIRE ITALIAN BANKING SYSTEM. AT 4% SPREAD THERE WILL BE A HUGE BANK RUN…

 

END

IMPORTANT CURRENCY CLOSES FOR MONDAY

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

Euro/USA 1.1215 UP 0.0008 or 8 basis points

USA/Japan: 108.86 DOWN .527 OR YEN UP 53  basis points/

Great Britain/USA 1.3145 UP .0095 POUND UP 95  BASIS POINTS)

Canadian dollar UP 4 basis points to 1.3058

 

xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx

 

The USA/Yuan,CNY: AT 6.9840    ON SHORE  (UP)..

 

THE USA/YUAN OFFSHORE:  6.9793  (YUAN UP)..

 

TURKISH LIRA:  5.9434 EXTREMELY DANGEROUS LEVEL/DEATH WISH.

the 10 yr Japanese bond yield closed at -.01%

 

Your closing 10 yr US bond yield UP 5 IN basis points from FRIDAY at 1.92 % //trading well ABOVE the resistance level of 2.27-2.32%) very problematic USA 30 yr bond yield: 2.38 UP 6 in basis points on the day

Your closing USA dollar index, 96.63 DOWN 28  CENT(S) ON THE DAY/1.00 PM/

 

Your closing bourses for Europe and the Dow along with the USA dollar index closing and interest rates for MONDAY: 12:00 PM

London: CLOSED DOWN 67.85  0.76%

German Dax :  CLOSED DOWN 554.17 POINTS OR .92%

 

Paris Cac CLOSED DOWN 88.10 POINTS 0.66%

Spain IBEX CLOSED DOWN 97.900 POINTS or 0.91%

Italian MIB: CLOSED DOWN 251.23 POINTS OR 1.06%

 

 

 

 

 

WTI Oil price; 61.61 12:00  PM  EST

Brent Oil: 66.72 12:00 EST

USA /RUSSIAN /   RUBLE RISES:    61.99  THE CROSS LOWER BY 0.15 RUBLES/DOLLAR (RUBLE HIGHER BY 15 BASIS PTS)

 

TODAY THE GERMAN YIELD FALLS  TO –.19 FOR THE 10 YR BOND 1.00 PM EST EST

END

 

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

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

WTI CRUDE OIL PRICE 4:30 PM :  61.59//

 

 

BRENT :  66.63

USA 10 YR BOND YIELD: …1.89  UP ONE BASIS PT…

 

 

 

USA 30 YR BOND YIELD: 2.34… UP 2 BASIS PTS..

 

 

 

 

 

EURO/USA 1.1198 ( UP 29   BASIS POINTS)

USA/JAPANESE YEN:108.82 DOWN .574 (YEN UP 57 BASIS POINTS/..

 

 

USA DOLLAR INDEX: 96.76 DOWN 15 cent(s)/

The British pound at 4 pm   Britain Pound/USA:1.3108 UP 57  POINTS

 

the Turkish lira close: 5.9484

 

 

the Russian rouble 61.99   UP 0.17 Roubles against the uSA dollar.( UP 17 BASIS POINTS)

Canadian dollar:  1.3058 DOWN 3 BASIS pts

USA/CHINESE YUAN (CNY) :  6.9840  (ONSHORE)/

 

 

USA/CHINESE YUAN(CNH): 6.9840 (OFFSHORE)

 

German 10 yr bond yield at 5 pm: ,-0.19%

 

The Dow closed DOWN 183.12 POINTS OR 0.64%

 

NASDAQ closed DOWN 60.62 POINTS OR 0.67%

 


VOLATILITY INDEX:  14.82 CLOSED UP 1.39

LIBOR 3 MONTH DURATION: 1.944%//libor dropping like a stone

 

USA trading today in Graph Form

Stocks & Bonds Suffer Worst Day In A Month As Year-End Looms

“But everyone else was long too, right?”

Stock and bond prices were both down today – adding up to the worst combined day since 12/2

Source: Bloomberg

US Major equity indices were all lower on the day, despite a valiant attempt at a bounce…

 

Source: Bloomberg

Chinese markets were higher overnight…

Source: Bloomberg

European stocks were lower today…

Source: Bloomberg

US markets perfectly reflected AAPL today as the buyback machine lifted the market then stalled…

US Majors also broke the December uptrend line today…

And Nasdaq fell (for the 2nd day) back below the key 9,000 level…

FANG stocks have erased last week’s gains (biggest daily drop in six weeks)…

Shorts were squeezed as Europe closed, and managed to lift Small Caps to green, but could not hold it…

Source: Bloomberg

A ‘mini’ rotation today from TSLA into NIO?

 

VIX and stocks continued to decouple…

Source: Bloomberg

Credit and equity protection majorly decoupled…

Source: Bloomberg

Bond yields (up) and stocks (down) recoupled today after the decoupling from 12/20…

Source: Bloomberg

Once again the old pattern of EU selling and US buying is back for bonds…

Source: Bloomberg

The 30Y Yield ramped (illquidly) above last week’s highs before tumbling back…

Source: Bloomberg

The yield curve (2s10s) pushed to its steepest since Oct 2018…

Source: Bloomberg

The Dollar accelerated lower again today with a small rebound after Europe closed…

Source: Bloomberg

The Dollar hit 6-month lows…

Source: Bloomberg

 

Cryptos gave back their weekend gains today (but Ethereum remains higher)…

Source: Bloomberg

Bitcoin topped $7500 over the weekend but slipped back to $7200 intraday today…

Source: Bloomberg

Silver had another good day as copper and crude lagged (despite an implicit rate cut in China)…

Source: Bloomberg

According to the commodity complex (copper/gold), Treasury yields should be notably lower…

Source: Bloomberg

What does gold know about a resurgence in global negative-yielding debt?

Source: Bloomberg

Finally, Ed Yardeni’s Fundamental Stock Market Indicator is signaling the S&P is 20% rich to reality…

Source: Bloomberg

end

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

MARKET TRADING//USA

a)Market trading/THIS MORNING/USA

Stocks Are Tanking, Gold Gains As Cash Markets Open

It appears the US cash market open is a ‘bearish’ event now.

After ramping gently overnight, US equity markets are dumping as markets open, erasing all gains from the Boxing Day spike…

Treasuries are bid after their yield spike…

And gold is rallying…

b)MARKET TRADING/USA/AFTERNOON

ii)Market data/USA

Another win for Trump;  Trade deficit shrinks to the smallest level since Trumppwas elected at 67 billion dollars last month

(zerohedge)

US Goods Trade Deficit Shrinks To Smallest Since Trump Elected

According to advance good trade balance data from the Census Bureau, November saw the smallest goods trade deficit since before President Trump was elected.

Source: Bloomberg

The $63.2 billion deficit was considerably smaller than the $68.7 billion expected:

  • Imports fell 1.3% in Nov. to $199.568b from $202.249b in Oct.
  • Exports rose 0.7% in Nov. to $136.375b from $135.450b in Oct.

Auto exports rose 3.4%.

Another ‘win’ for Trump?

And if the relationship with Manufacturing PMI holds up, the deficit is set to shrink further…

end

END
The Chicago area PMI continues in its contraction mode for the 4th straight month
(zerohedge)

Chicago PMI Stuck In Contraction For 4th Straight Month

Despite weakness in regional Fed business surveys, analysts expectations were for Chicago PMI to extend its rebound from multi-year lows in December, and it did, rising to 48.9 (47.9 exp).

This rise comes despite weakness in overall data, but as the chart shows PMI remains sub-50 (in contraction) for the 4th straight month…

Source: Bloomberg

5 of the survey’s components rose in December, but it’s not a pretty picture:

  • Prices paid rose at a faster pace, signaling expansion
  • New orders fell at a faster pace, signaling contraction
  • Employment fell at a faster pace, signaling contraction
  • Inventories fell at a slower pace, signaling contraction
  • Supplier deliveries rose at a faster pace, signaling expansion
  • Production fell at a slower pace, signaling contraction
  • Order backlogs fell at a slower pace, signaling contraction

Regional fed business surveys are rolling back lower…

Source: Bloomberg

So much for the bottom being in.

END

Pending home sales also disappoints slipping to 4 month lows

(zerohedge)

Pending Home Sales Disappoint, Slip To 4-Month Lows

Pending home sales data today is tie-breaker after weaker existing home sales and stronger new home sales in November.

Pending home sales rose 1.2% MoM (less than expected) and historical data was revised modestly higher (leaving sales up 5.6% YoY)

Source: Bloomberg

“Favorable conditions are expected throughout 2020,” though supplies still aren’t sufficient to meet healthy demand, Lawrence Yun, NAR’s chief economist, said in a statement.

Builder confidence levels are high, so we just need housing supply to match and more home construction to take place in the coming year.”

But, thanks to historical revisions, the pending home sales index slipped to 4-month lows

Source: Bloomberg

The increase was led by a rebound in the West, which climbed 5.5%from the prior month. Signings were up 1% in the Midwest and were down in the South and Northeast.

END

The Dallas Fed for the 3rd straight month contracts confirming its regional survey.  The Dallas Fed joins the Richmond Fed, the Kansas City Fed, Chicago Fed, and Philly Fed with poor results in December

(zerohedge)

Dallas Fed Contracts For 3rd Straight Month, Confirming Regional Survey Slump

 

Against expectations of a rebound to 0.0, The Dallas Fed Manufacturing Outlook survey disappointed in December, sliding from -1.3 to -3.2 – in contraction for the 3rd straight month…

The Dallas Fed survey has been in contraction for 7 months this year…

 

Source: Bloomberg

Under the hood was just as unimpressive with New Orders Growth rate contracting and Finished goods contracting along with the six-month outlook dropping further.

Dallas joins, Philadelphia, Kansas, Chicago, and Richmond in their regional weakness in December…

 

Source: Bloomberg

But, but , but, The Fed is on hold!?

end

iii) Important USA Economic Stories

This is a good indicator that the economy is not doing as good as people think: We now witness 400,000 railway cars sitting idle amid the worst market in 30 years.

(zerohedge)

“Worst Market In 30 Years” – 400,000 Commodity Railcars Sit Idle Amid Industrial Recession 

Wells Fargo, Citigroup, PNC Financial Service Group, and CIT Group accumulated hundreds of thousands of commodity hauling railcars in North America over the last decade. These banks believed railcars carrying coal, grain, and other commodities were going to be highly profitable but have recently turned out to be a major headache as many cars are now in storage because of new regulations and demand woes brought on by fluctuating commodity markets.

David Nahass, president of Railroad Financial Corp., which provides advisory services to railroad firms, told The Wall Street Journal that “the industry is suffering, there are no two ways about it. Lease rates are down, and there’s not a source of hope about when it will start to improve.”

The Journal, citing the Association of American Railroads (AAR), said about 400,000 railcars currently sit in storage with no use at all, and many are bank-owned.

CIT estimated railcar lease rates fell 10% to 15% in 2019 over the prior year. GATX Corp., a nonbank lessor, said specific car lease rates crashed 20% in 3Q Y/Y as an industrial recession worsened.

Wells Fargo is the largest railcar lessor in the US, with 175,000 total cars under management. The Journal provided no details on how many railcars from the bank were sitting idle.

The railroad crisis has hit certain types of railcars the hardest. For instance, coal shipments have plunged since 2011, which diminished the demand for coal hopper cars.

“It’s the worst market I’ve seen in my 30-plus years in the industry,” railcar appraiser Patrick Mazzanti told the Journal.

Mazzanti said new regulations have also been the reasoning behind many oil cars sitting idle, as these cars must be retrofitted with modern technology to meet new federal requirements.

Rail-leasing units at major banks are a tiny fraction of their overall balance sheets and won’t make or break the banks.

 

AAR’s report last month of plunging rail traffic and intermodal container usage could be a sign that the slowing industrial economy will continue to weigh on the rail industry and force banks to idle more cars in 2020.

Transportation is a barometer of how well the real economy is doing. And it just keeps getting worse as investors hope for “green shoots” next quarter.

end

We are now starting to see cracks appearing in the premier malls in the USA

(zerohedge)

Cracks Are Showing On The Surface Of Once “Safe” Top Tier Malls

For a while, it looked as though top tier malls may be able to narrowly avoid the ugly fate that was facing most malls around the country in the wake of the Amazon revolution.

But this holiday season, it looks like that’s not going to be the case. Some landlords of the most highly trafficked malls across the country are issuing warnings about slowing income growth as they try to continue to target new ways to get feet in the door, according to the Wall Street Journal.

Simon Property Group said during its most recent earnings call that retail bankruptcies “negatively impacted” net operating income in the quarter. It also lowered its 2019 guidance to a range of $6.76 to $6.81 from $7.04 to $7.14 due to a one time cost associated with an early debt repayment.

Taubman Centers, owner of The Mall at Short Hills in New Jersey and Beverly Center in Los Angeles, also lowered its 2019 guidancefor same property net operating income growth to a range of 0% to 1%, from 2%. The company’s COO blamed the lowering partially on the bankruptcy of Forever 21.

William Taubman, chief operating officer said: “Forever 21’s bankruptcy has disproportionately impacted ‘A-malls’ and Taubman Centers specifically.”

These higher end malls were among 260 top tier malls in the U.S. that many analysts thought were protected from store closings and bankruptcies. But bankruptcies of large name retailers are starting to create aftershocks, even in these once “protected” malls. And even when malls are fall, revenue can still be falling, as landlords have to cut rent to entice stores to stay.

Forever 21 has started closing 87 of its stores, which is actually an improvement after planning on closing 178, before securing rent reductions from landlords. Landlords, of course, had to lower their earnings projections as a result.

Average occupancy of top malls is still in the 90% range – for now. Some analysts are concerned about the higher costs landlords face to replace departing tenants. They are also expressing concern about the “sales per square foot” metric that is often touted by landlords in the business. Malls usually only need one very productive tenant – like a Tesla store – to skew this metric higher.

Vince Tibone, an analyst at Green Street Advisors said: “All it tells me is that you added a Tesla into your mall. It tells me nothing about how the mall is doing.”

And while the market has roared in 2019, investors have punished top mall owners. Shares of Taubman and Macerich are down by about 33% each and Simon is down about 14%. Dividend yields currently hover around 10% for some names.

 

Bill Smead, chief executive of Smead Capital Management has started to invest in Macerich because Macerich executives have been buying their own shares.

Still, some analysts are cautious. A recent Morgan Stanley note warned: “They may not be as attractive as they look, especially since the dividends for some REITs are not fully covered and require cash flow growth.”

Landlords point out that they continue to invest in new entertainment options and retail strategies that combine online shopping with traditional brick and mortar retail. They are also spending to give older malls face-lifts.

Ali Slocum, a Simon spokeswoman said: “Our company continues to be well-positioned, prosperous and dynamic.”

end

iv) Swamp commentaries)

Will “Russiagate” snare Obama.  Eric Zuesse comments

(courtesy Eric Zuesse.Strategic Culture Foundation)

Zuesse: Russiagate Investigation Now Endangers Obama

Authored by Eric Zuesse via The Strategic Culture Foundation,

Former US President Barack Obama is now in severe legal jeopardy, because the Russiagate investigation has turned 180 degrees; and he, instead of the current President, Donald Trump, is in its cross-hairs.

The biggest crime that a US President can commit is to try to defeat American democracy (the Constitutional functioning of the US Government) itself, either by working with foreign powers to take it over, or else by working internally within America to sabotage democracy for his or her own personal reasons. Either way, it’s treason (crime that is intended to, and does, endanger the continued functioning of the Constitution itself*), and Mr. Obama is now being actively investigated, as possibly having done this. The Russiagate investigation, which had formerly focused against the current US President, has reversed direction and now targets the prior President. Although he, of course, cannot be removed from office (since he is no longer in office), he is liable under criminal laws, the same as any other American would be, if he committed any crime while he was in office.

 

December 17th order by the FISA (Foreign Intelligence Surveillance Act) Court severely condemned the performance by the FBI under Obama, for having obtained, on 19 October 2016 (even prior to the US Presidential election), from that Court, under false pretenses, an authorization for the FBI to commence investigating Donald Trump’s Presidential campaign, as being possibly in collusion with Russia’s Government. The Court’s ruling said:

In order to appreciate the seriousness of that misconduct and its implications, it is useful to understand certain procedural and substantive requirements that apply to the government’s conduct of electronic surveillance for foreign intelligence purposes. Title I of the Foreign Intelligence Surveillance Act (FISA ), codified as amended at 50 USC. 1801-1813, governs such electronic surveillance. It requires the government to apply for and receive an order from the FISC approving a proposed electronic surveillance. When deciding whether to grant such an application, a FISC judge must determine among other things, whether it provides probable cause to believe that the proposed surveillance target is a “foreign power” or an agent a foreign power…

…The government has a heightened duty of candor to the FISC in ex parte proceedings, that is, ones in which the government does not face an adverse party, such as proceedings on electronic surveillance applications. The FISC expects the government to comply with its heightened duty of candor in ex parte proceedings at all times. Candor is fundamental to this Court’s effective operation…

…On December 9, 2019, the government filed, with the FISC, public and classified versions of the OIG Report… It documents troubling instances in which FBI personnel provided information to NSD[National Security Division of the Department of Justice] which was unsupported or contradicted by information in their possession. It also describes several instances in which FBI personnel withheld from NSD information in their possession which was detrimental to their case for believing that Mr. [Carter] Page was acting as an agent of a foreign power…

On December 18th, Martha McCallum, of Fox News, interviewed US Attorney General Bill Barr, and asked him (at 7:00 in the video) how high up in the FBI the blame for this (possible treason) goes:

MACCALLUM: Were you surprised that he [Obama’s FBI Director James Comey] seemed to give himself such a distance from the entire operation?

“JAMES COMEY: As the director sitting on top of an organization of 38,000 people you can’t run an investigation that’s seven layers below you. You have to leave it to the career professionals to do.”

MACCALLUM: Do you believe that?

BARR: No, I think that the — one of the problems with what happened was precisely that they pulled the investigation up to the executive floors, and it was run and bird dogged by a very small group of very high level officials. And the idea that this was seven layers below him is simply not true.

The current (Trump) A.G. there called the former (Obama) FBI Director a liar on that.

If Comey gets heat for this possibly lie-based FBI investigation of the US Presidential nominee from the opposite Party of the sitting US President (Comey’s own boss, Obama), then protecting himself could become Comey’s top motivation; and, in that condition, protecting his former boss might become only a secondary concern for him.

Moreover, as was first publicly reported by Nick Falco in a tweet on 5 June 2018 (which tweet was removed by Twitter but fortunately not before someone had copied it to a web archive), the FBI had been investigating the Trump campaign starting no later than 7 October 2015. An outside private contractor, Stefan Halper, was hired in Britain for this, perhaps in order to get around laws prohibiting the US Government from doing it. (This was ‘foreign intelligence’ work, after all. But was it really? That’s now being investigated.) The Office of Net Assessment (ONA) “through the Pentagon’s Washington Headquarters Services, awarded him contracts from 2012 to 2016 to write four studies encompassing relations among the US, Russia, China and India”. Though Halper actually did no such studies for the Pentagon, he instead functioned as a paid FBI informant (and it’s not yet clear whether that money came from the Pentagon, which spends trillions of dollars that are off-the-books and untraceable), and at some point Trump’s campaign became a target of Halper’s investigation. This investigation was nominally to examine “The Russia-China Relationship: The impact on US Security interests.” Allegedly, George Papadopoulos said that “Halper insinuated to him that Russia was helping the Trump campaign”, and Papadopoulos was shocked at Halper’s saying this. Probably because so much money at the Pentagon is untraceable, some of the crucial documentation on this investigation might never be found. For example, the Defense Department’s Inspector General’s 2 July 2019 report to the US Senate said “ONA personnel could not provide us any evidence that Professor Halper visited any of these locations, established an advisory group, or met with any of the specific people listed in the statement of work.” It seems that the Pentagon-contracted work was a cover-story, like pizza parlors have been for some Mafia operations. But, anyway, this is how America’s ‘democracy’ actually functions. And, of course, America’s Deep State works not only through governmental agencies but also through underworld organizations. That’s just reality, not at all speculative. It’s been this way for decades, at least since the time of Truman’s Presidency (as is documented at that link).

Furthermore, inasmuch as this operation certainly involved Obama’s CIA Director John Brennan and others, and not only top officials at the FBI, there is no chance that Comey would have been the only high official who was involved in it. And if Comey was involved, then he would have been acting in his own interest, and not only in his boss’s — and here’s why: Comey would be expected to have been highly motivated to oppose Mr. Trump, because Trump publicly questioned whether NATO (the main international selling-arm for America’s ‘defense’-contractors) should continue to exist, and also because Comey’s entire career had been in the service of America’s Military-Industrial Complex, which is the reason why Comey’s main lifetime income has been the tens of millions of dollars he has received via the revolving door between his serving the federal Government and his serving firms such as Lockheed Martin. For these people, restoring, and intensifying, and keeping up, the Cold War, is a very profitable business. It’s called by some “the Military-Industrial Complex,” and by others “the Deep State,” but by any name it is simply agents of the billionaires who own and control US-based international corporations, such as General Dynamics and Chevron. As a governmental official, making decisions that are in the long-term interests of those investors is the likeliest way to become wealthy.

Consequently, Comey would have been benefiting himself, and other high officials of the Obama Administration, by sabotaging Trump’s campaign, and by weakening Trump’s Presidency in the event that he would become elected. Plus, of course, Comey would have been benefitting Obama himself. Not only was Trump constantly condemning Obama, but Obama had appointed to lead the Democratic National Committee during the 2016 Presidential primaries, Debbie Wasserman Schultz, who as early as 20 February 2007 had endorsed Hillary Clinton for President in the Democratic Party primaries, so that Shultz was one of the earliest supporters of Clinton against even Obama himself. In other words, Obama had appointed Shultz in order to increase the odds that Clinton — not Sanders— would become the nominee in 2016 to continue on and protect his own Presidential legacy. Furthermore, on 28 July 2016, Schultz became forced to resign from her leadership of the DNC after WikiLeaks released emails indicating that Schultz and other members of the DNC staff had exercised bias against Bernie Sanders and in favor of Hillary Clinton during the 2016 Democratic primaries — which favoritism had been the reason why Obama had appointed Shultz to that post to begin with. She was just doing her job for the person who had chosen her to lead the DNC. Likewise for Comey. In other words: Comey was Obama’s pick to protect Clinton, and to oppose Trump (who had attacked both Clinton and Obama).

Nowadays, Obama is telling the Party’s billionaires that Elizabeth Warren would be good for them, but not that Sanders would — he never liked Sanders. He wants Warren to get the voters who otherwise would go for Sanders, and he wants the Party’s billionaires to help her achieve this (be the Party’s allegedly ‘progressive’ option), so that Sanders won’t be able to become a ballot option in the general election to be held on 3 November 2020. He is telling them whom not to help win the Party’s nomination. In fact, on November 26th, Huffington Post headlined “Obama Said He Would Speak Up To Stop Bernie Sanders Nomination: Report” and indicated that though he won’t actually say this in public (but only to the Party’s billionaires), Obama is determined to do all he can to prevent Sanders from becoming the nominee. In 2016, his choice was Hillary Clinton; but, today, it’s anyone other than Sanders; and, so, in a sense, it remains what it was four years ago — anyone but Sanders.

Comey’s virtually exclusive concern, at the present stage, would be to protect himself, so that he won’t be imprisoned. This means that he might testify against Obama. At this stage, he’s free of any personal obligation to Obama — Comey is now on his own, up against Trump, who clearly is his enemy. Some type of back-room plea-bargain is therefore virtually inevitable — and not only with Comey, but with other top Obama-appointees, ultimately. Obama is thus clearly in the cross-hairs, from now on. Congressional Democrats have opted to gun against Trump (by impeaching him); and, so, Trump now will be gunning against Obama — and against the entire Democratic Party (unless Sanders becomes its nominee, in which case, Sanders will already have defeated that Democratic Party, and its adherents will then have to choose between him versus Trump; and, so, too, will independent voters).

But, regardless of what happens, Obama now is in the cross-hairs. That’s not just political cross-hairs (such as an impeachment process); it is, above all, legal cross-hairs (an actual criminal investigation). Whereas Trump is up against a doomed effort by the Democratic Party to replace him by Vice President Mike Pence, Obama will be up against virtually inevitable criminal charges, by the incumbent Trump Administration. Obama played hardball against Trump, with “Russiagate,” and then with “Ukrainegate”; Trump will now play hardball against Obama, with whatever his Administration and the Republican Party manage to muster against Obama; and the stakes this time will be considerably bigger than just whether to replace Trump by Pence.

Whatever the outcome will be, it will be historic, and unprecedented. (If Sanders becomes the nominee, it will be even more so; and, if he then wins on November 3rd, it will be a second American Revolution; but, this time, a peaceful one — if that’s even possible, in today’s hyper-partisan, deeply split, USA.)

There is no way that the outcome from this will be status-quo. Either it will be greatly increased further schism in the United States, or it will be a fundamental political realignment, more comparable to 1860 than to anything since. The US already has a higher percentage of its people in prison than does any other nation on this planet. Americans who choose a ‘status-quo’ option will produce less stability, more violence, not more stability and a more peaceful nation in a less war-ravaged world. The 2020 election-outcome for the United States will be a turning-point; there is no way that it will produce reform. Americans who vote for reform will be only increasing the likelihood of hell-on-Earth. Reform is no longer an available option, given America’s realities. A far bigger leap than that will be required in order for this country to avoid falling into an utter abyss, which could be led by either Party, because both Parties have brought the nation to its present precipice, the dark and lightless chasm that it now faces, and which must now become leapt, in order to avoid a free-fall into oblivion.

The problem in America isn’t either Obama or Trump; it’s neither merely the Democratic Party, nor merely the Republican Party; it is instead both; it is the Deep StateThat’s the reality; and the process that got us here started on 26 July 1945 and secretly continued on the American side even after the Soviet Union ended and Russia promptly ended its side of the Cold War. The US regime’s ceaseless thrust, since 26 July 1945, to rule the entire world, will climax either in a Third World War, or in a US revolution to overthrow and remove the Deep State and end its dictatorship-grip over America. Both Parties have been controlled by that Deep State, and the final stage or climax of this grip is now drawing near. America thus has been having a string of the worst Presidents — and worst Congresses — in US history. This is today’s reality. Unfortunately, a lot of American voters think that this extremely destabilizing reality, this longstanding trend toward war, is okay, and ought to be continued, not ended now and replaced by a new direction for this country — the path toward world peace, which FDR had accurately envisioned but which was aborted on 26 July 1945. No matter how many Americans might vote for mere reform, they are wrong. Sometimes, only a minority are right. Being correct is not a majority or minority matter; it is a true or false matter. A misinformed public can willingly participate in its own — or even the world’s — destruction. That could happen. Democracy is a prerequisite to peace, but it can’t exist if the public are being systematically misinformed. Lies and democracy don’t mix together any more effectively than do oil and water.

*  *  *

* The given official US definition of “treason” (see top of page 3 there) is “Whoever, owing allegiance to the United States, levies war against them or adheres to their enemies, giving them aid and comfort within the United States or elsewhere, is guilty of treason.” Any US official has sworn to uphold and defend, never to subvert, the Constitution of the United States, and this is defining the US, itself, as being the continued functioning of the US Constitution. Treason is thus the supremely illegal act under US law, the act that violates any US official’s oath of office. (When treason is perpetrated by someone who is not a US official, it is still a severe crime, but less severe than it is for any US official.) The phrase “levies war against them” means war against the functioning of the Constitution that is their supreme law. “Or” means alternatively, and “adheres to their enemies” means is a follower of any person or other entity that seeks to impose a different constitution. “Enemies” is not defined — it need not be a foreign opponent; it may be a domestic opponent of the US Constitution. Thus, an American can be an enemy of the United States of America. In fact, the official definition explicitly refers ONLY to an entity “owing allegiance to the United States.” (Obviously, that especially refers to any US official.) This is how a “traitor” is understood, in US law. Obviously, the worst traitor would be one who committed the treasonous act(s) while a US official.

end

Another good commentary:  the real reason democrats are pushing for Trump impeachment? ..if they do not impeach they will be put in jail

(Robert Bridge)

“Because You’d Be In Jail!” – The Real Reason Democrats Are Pushing Trump Impeachment?

Authored by Robert Bridge via The Strategic Culture Foundation,

In the time-honored tradition of Machiavellian statecraft, all of the charges being leveled against Donald Trump to remove him from office – namely, ‘abuse of power’ and ‘obstruction of congress’ –are essentially the same things the Democratic Party has been guilty of for nearly half a decadeabusing their powers in a non-stop attack on the executive branch. Is the reason because they desperately need a ‘get out of jail free’ card?

Due to the non-stop action in Washington of late, few believe that the present state of affairs between the Democrats and Donald Trump are exclusively due to a telephone call between the US leader and the Ukrainian President Volodymyr Zelensky. That is only scratching the surface of a story that is practically boundless.

 

Back in April 2016, before Trump had become the Republican presidential nominee, talk of impeachment was already in the air.

“Donald Trump isn’t even the Republican nominee yet,” wrote Darren Samuelsohn in Politico.

Yet impeachment, he noted, is “already on the lips of pundits, newspaper editorials, constitutional scholars, and even a few members of Congress.”

The timing of Samuelsohn’s article is not a little astonishing given what the Department of Justice (DOJ) had discovered just one month earlier.

In March 2016, the DOJ found that “the FBI had been employing outside contractors who had access to raw Section 702 Foreign Intelligence Surveillance Act (FISA) data, and retained that access after their work for the FBI was completed,” as Jeff Carlson reported in The Epoch Times.

That sort of foreign access to sensitive data is highly improper and was the result of “deliberate decision-making,” according to the findings of an April 2017 FISA court ruling (footnote 69).

On April 18, 2016, then-National Security Agency (NSA) Director Adm. Mike Rogers directed the NSA’s Office of Compliance to terminate all FBI outside-contractor access. Later, on Oct. 21, 2016, the FBI and the DOJ’s National Security Division (NSD), and despite they were aware of Rogers’s actions, moved ahead anyways with a request for a FISA warrant to conduct surveillance on Trump campaign adviser Carter Page. The request was approved by the FISA court, which, apparently, was still in the dark about the violations.

On Oct. 26, following approval of the warrant against Page, Rogers went to the FISA court to inform them of the FBI’s non-compliance with the rules. Was it just a coincidence that at exactly this time, the Director of National Intelligence James Clapper and Defense Secretary Ashton B. Carter were suddenly calling for Roger’s removal? The request was eventually rejected. The next month, in mid-November 2016 Rogers, without first notifying his superiors, flew to New York where he had a private meeting with Trump at Trump Towers.

According to the New York Times, the meeting – the details of which were never publicly divulged, but may be guessed at – “caused consternation at senior levels of the administration.”

Democratic obstruction of justice?

Then CIA Director John Brennan, dismayed about a few meetings Trump officials had with the Russians, helped to kick-start the FBI investigation over ‘Russian collusion.’ Notably, these Trump-Russia meetings occurred in December 2016, as the incoming administration was in the difficult transition period to enter the White House. The Democrats made sure they made that transition as ugly as possible.

Although it is perfectly normal for an incoming government to meet with foreign heads of state at this critical juncture, a meeting at Trump Tower between Michael Flynn, Trump’s incoming national security adviser and former Russian Ambassador to the US, Sergey Kislyak, was portrayed as some kind of cloak and dagger scene borrowed from a  John le Carré thriller.

Brennan questioning the motives behind high-level meetings between the Trump team and some Russians is strange given that the lame duck Obama administration was in the process of redialing US-Russia relations back to the Cold War days, all based on the debunked claim that Moscow handed Trump the White House on a silver platter.

In late December 2016, after Trump had already won the election, Obama slapped Russia with punitive sanctions, expelled 35 Russian diplomats and closed down two Russian facilities. Since part of Trump’s campaign platform was to mend relations with Moscow, would it not seem logical that the incoming administration would be in damage-control, doing whatever necessary to prevent relations between the world’s premier nuclear powers from degrading even more?

So if it wasn’t ‘Russian collusion’ that motivated the Democrats into action, what was it?

From Benghazi to Seth Rich

Here we must pause and remind ourselves about the unenviable situation regarding Hillary Clinton, the Secretary of State, who was being grilled daily over her use of a private computer to communicate sensitive documents via email. In all likelihood, the incident would have dropped from the radar had it not been for the deadly 2012 Benghazi attacks on a US compound.

In the course of a House Select Committee investigation into the circumstances surrounding the attacks, which resulted in the death of US Ambassador Chris Stevens and three other US personnel, Clinton handed over some 30,000 emails, while reportedly deleting 32,000 deemed to be of a “personal nature”. Those emails remain unaccounted for to this day.

Hillary Clinton

@HillaryClinton

I want the public to see my email. I asked State to release them. They said they will review them for release as soon as possible.

By March 2015, even the traditionally tepid media was baring its baby fangs, relentlessly pursuing Clinton over the email question. Since Clinton never made a secret of her presidential ambitions, even political allies were piling on. Senator Dianne Feinstein (D-Calif.), for example, said it’s time for Clinton “to step up” and explain herself, adding that “silence is going to hurt her.”

On July 24, 2015, The New York Times published a front-page story with the headline “Criminal Inquiry Sought in Clinton’s Use of Email.” Later, Jennifer Rubin of the Washington Post candidly summed up Clinton’s rapidly deteriorating status with elections fast approaching: “Democrats still show no sign they are willing to abandon Clinton. Instead, they seem to be heading into the 2016 election with a deeply flawed candidate schlepping around plenty of baggage — the details of which are not yet known.”

Moving into 2016, things began to look increasingly complicated for the Democratic front-runner. On March 16, 2016, WikiLeaks launched a searchable archive for over 30 thousand emails and attachments sent to and from Hillary Clinton’s private email server while she was Secretary of State. The 50,547-page treasure trove spans the dates from June 30, 2010 to August 12, 2014.

In May, about one month after Clinton had officially announced her candidacy for the US presidency, the State Department’s inspector general released an 83-page report that was highly critical of Clinton’s email practices, concluding that Clinton failed to seek legal approval for her use of a private server.

“At a minimum,” the report determined, “Secretary Clinton should have surrendered all emails dealing with Department business before leaving government service and, because she did not do so, she did not comply with the Department’s policies that were implemented in accordance with the Federal Records Act.”

The following month brought more bad news for Clinton and her presidential hopes after it was reported that her husband, former President Bill Clinton, had a 30-minute tête-à-tête with Attorney General Loretta E. Lynch, whose department was leading the Clinton investigations, on the tarmac at Phoenix International Airport. Lynch said Clinton decided to pay her an impromptu visit where the two discussed “his grandchildren and his travels and things like that.” Republicans, however, certainly weren’t buying the story as the encounter came as the FBI was preparing to file its recommendation to the Justice Department.

The summer of 2016, however, was just heating up.

David Axelrod

@davidaxelrod

I take @LorettaLynch & @billclinton at their word that their convo in Phoenix didn’t touch on probe. But foolish to create such optics.

Hack versus Leak?

On the early morning of July 10, Seth Rich, the director of voter expansion for the Democratic National Committee (DNC), was gunned down on the street in the Bloomingdale neighborhood of Washington, DC. Rich’s murder, said to be the result of a botched robbery, bucked the homicide trend in the area for that particular period; murders rates for the first six months of 2016 were down about 50 percent from the same period in the previous year.

In any case, the story gets much stranger. Just five days earlier, on July 5th, the computers at the DNC were compromised, purportedly by an online persona with the moniker “Guccifer 2.0” at the behest of Russian intelligence. This is where the story of “Russian hacking” first gained popularity. Not everyone, however, was buying the explanation.

In July 2017, a group of former U.S. intelligence officers, including NSA specialists, who call themselves Veteran Intelligence Professionals for Sanity (VIPS) sent a memo to President Trump that challenged a January intelligence assessment that expressed “high confidence” that the Russians had organized an “influence campaign” to harm Hillary Clinton’s “electability,” as if she wasn’t capable of that without Kremlin support.

“Forensic studies of ‘Russian hacking’ into Democratic National Committee computers last year reveal that on July 5, 2016, data was leaked (not hacked) by a person with physical access to DNC computer,” the memo states (The memo’s conclusions were based on analyses of metadata provided by the online persona Guccifer 2.0, who took credit for the alleged hack). “Key among the findings of the independent forensic investigations is the conclusion that the DNC data was copied onto a storage device at a speed that far exceeds an Internet capability for a remote hack.”

In other words, according to VIPS, the compromise of the DNC computers was the result of an internal leak, not an external hack.

At this point, however, it needs mentioned that the VIPS memo has sparked dissenting views among its members. Several analysts within the group have spoken out against its findings, and that internal debate can be read here. Thus, it would seem there is no ‘smoking gun,’ as of yet, to prove that the DNC was not hacked by an external entity. At the same time, the murder of Seth Rich continues to remain an unsolved “botched robbery,” according to investigators. Meanwhile, the one person who may hold the key to the mystery, Julian Assange, is said to be withering away Belmarsh Prison, a high-security London jail, where he is awaiting a February court hearing that will decide whether he will be extradited to the United States where he 18 charges.

Here is a question to ponder: If you were Julian Assange, and you knew you were going to be extradited to the United States, who would you rather be the sitting president in charge of your fate, Hillary Clinton or Donald Trump? Think twice before answering.

“Because you’d be in jail”

On October 9, 2016, in the second televised presidential debates between Donald Trump and Hillary Clinton, Trump accused his Democratic opponent of deleting 33,000 emails, while adding that he would get a “special prosecutor and we’re going to look into it…” To this, Clinton said “it’s just awfully good that someone with the temperament of Donald Trump is not in charge of the law in our country,” to which Trump deadpanned, without missing a beat, “because you’d be in jail.”

Now if that remark didn’t get the attention of high-ranking Democratic officials, perhaps Trump’s comments at a Virginia rally days later, when he promised to “drain the swamp,” made folks sit up and take notice.

At this point the leaks, hacks and everything in between were already coming fast and furious. On October 7, John Podesta, Clinton’s presidential campaign manager, had his personal Gmail account hacked, thereby releasing a torrent of inside secrets, including how Donna Brazile, then a CNN commentator, had fed Clinton debate questions. But of course the crimes did not matter to the mendacious media, only the identity of the alleged messenger, which of course was ‘Russia.’

By now, the only thing more incredible than the dirt being produced on Clinton was the fact that she was still in the presidential race, and even slated to win by a wide margin. But perhaps her biggest setback came when authorities, investigating Anthony Weiner’s abused laptop into illicit text messages he sent to a 15-year-old girl, stumbled upon thousands of email messages from Hillary Clinton.

Fox News

@FoxNews

BREAKING NEWS: @jasoninthehouse: @HillaryClinton email – “Case reopened.”

View image on Twitter

Now Comey had to backpedal on his conclusion in July that although Clinton was “extremely careless” in her use of her electronic devices, no criminal charges would be forthcoming. He announced an 11th hour investigation, just days before the election. Although Clinton was also cleared in this case, observers never forgave Comey for his actions, arguing they cost Clinton the White House.

Now James Comey is back in the spotlight as one of the main characters in the Barr-Durham investigation, which is examining largely out of the spotlight the origins of the Trump-Russia conspiracy theory that dogged the White House for four long years.

In early December, Justice Department’s independent inspector general, Michael E. Horowitz, released the 400-page IG report that revealed a long list of omissions, mistakes and inconsistencies in the FBI’s applications for FISA warrants to conduct surveillance on Carter Page. Although the report was damning, both Barr and Durham noted it did not go far enough because Horowitz did not have the access that Durham has to intelligence agency sources, as well as overseas contacts that Barr provided to him.

With AG report due for release in early spring, needless to say some Democrats are very nervous as to its finding. So nervous, in fact, that they might just be willing to go to the extreme of removing a sitting president to avoid its conclusions.

Whatever the verdict, 2020 promises to be one very interesting year.

END

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

The Fed balance sheet increased $29B for the week ended on Tuesday.  (+$406B since August!)

CNBC’s @carlquintanilla: Fed’s balance sheet “continues its epic rise” — up by an avg $101.5b per month since September, compared to $80b per month during QE3. “It’s hard not to imagine this influence on stock prices,” says @pboockvar

Trump Exposes Pelosi and Son’s Ties to Ukraine-Linked Energy Group

Trump: “Wow Crazy Nancy, what’s going on? This is big stuff!”… As Patrick Howley reports, Nancy Pelosi’s son Paul Pelosi Jr. (who went to Ukraine in 2017) was a board member of Viscoil and executive at its related company NRGLab, which did energy business in Ukraine!…

https://www.zerohedge.com/political/trump-exposes-pelosi-and-sons-ties-ukraine-linked-energy-group

Two Possibilities in Trump Wiretapping, and Neither Is Good [by ex-FBI agent Frank Watt]

Either your nation’s premiere law enforcement agency was breathtakingly incompetent when the stakes were the highest, or select officials in that organization made deliberate decisions to break the law…  https://www.americanthinker.com/articles/2019/12/two_possibilities_in_trump_wiretapping_and_neither_is_good.html

An op-ed in the anti-DJT Newsweek: Nancy Pelosi Is Playing Political Games with the U.S. Constitution over Donald Trump’s Impeachment – Just as Bill Clinton gave us what came to be called “the permanent campaign,” Nancy Pelosi and her allies are giving America “the permanent impeachment.”… https://www.newsweek.com/nancy-pelosi-political-games-constitution-donald-trump-impeachment-opinion-1479159

Joe Biden says he wouldn’t comply with subpoena in Trump impeachment trial https://trib.al/YBtf3hw

[This is obstruction of Congress/Justice.  Joe does NOT have executive privilege.]

Facing blowback, Biden clarifies stance on impeachment trial testimony

“But I am just not going to pretend that there is any legal basis for Republican subpoenas for my testimony in the impeachment trial,” Biden added… Some legal experts and commentators had criticized Biden for his remarks to the Iowa newspaper, noting that the White House’s refusal to comply with congressional subpoenas was part of the reason why Trump had been impeached…

https://www.reuters.com/article/us-usa-election-biden-subpoena-idUSKBN1YW0BM?taid=5e07d79fb1b456000180847b

Elizabeth Warren’s Fundraising DROPS 30% in Fourth Quarter 2019

https://hannity.com/media-room/warning-signs-elizabeth-warrens-fundraising-drops-30-in-fourth-quarter-2019/

Elizabeth Warren’s Brother “Furious” Over Her Claims Their Father was a Janitor

Warren’s own book makes no reference to her father as a “janitor,” instead, calling him a “maintenance man.”…https://bongino.com/report-elizabeth-warrens-brother-furious-over-her-claims-their-father-was-a-janitor/

Political pundits are starting to forecast a brokered Democratic Presidential candidate.  No Democratic candidate has emerged; the leaders cannot attain 30% in the polls.  The last brokered Dem Presidential candidate was Stephenson in 1952.  He lost to Ike.  Before that, FDR was the brokered candidate in 1932.  He won.  In 1924, Dem brokered candidate John Davis lost to Coolidge.  In 1920 Dem brokered candidate James Cox, lost to Harding.  Barring the onset of a depression, a brokered presidential candidate is a loser.

https://twitter.com/RoscoeBDavis1/status/1210612556727017474

@MichaelCoudrey: Obama gave Pearson Publishing a government contract worth $350 million for their work to create the Common Core text for his administrations education initiative.  A subsidiary of that same publisher gave Obama roughly $65 million for his book deal after he left office.

@3Days3Nights: Comey and Biden’s book deals came from Flatiron. Brennan’s book deal came from Celadon. McCabe’s book deal came from St. Martins. What do all these book deals have in common? Easy, the parent company rolls up to PEARSON PUBLISHING who gave Obama his $65M book deal.

NYPD Investigating 9th Anti-Semitic Attack Reported This Week

https://newyork.cbslocal.com/2019/12/28/rash-of-anti-semitic-attacks-new-york-city/

Anti-Semitism and corresponding violence are escalating in the US and Europe.  Many solons are mum on this due to politics.  Big-city pols have gone soft on crime as a means to procure votes and donations.

@MrAndyNgo: Shocking video recorded earlier this month in Richmond, Cal. shows thieves making off with huge piles of clothing at Sears. https://twitter.com/MrAndyNgo/status/1210687493416206336

@SharylAttkisson: In DC, some people routinely walk out of the CVS stores with whatever they want. They don’t even bother to run. The employees aren’t allowed to go after them because it’s dangerous.

Woman accused of assaulting 3 Jewish women arrested again day after release – for assaulting another woman…   https://nypost.com/2019/12/29/woman-accused-of-assaulting-3-jewish-women-arrested-again-day-after-release/

The above tweets are why AG Barr recently excoriated Soros for funding State AGs that are lax on crime.

De Blasio giving freed NYC inmates MetroCards and gift cards

Mayor Bill de Blasio’s latest soft-on-crime initiative has workers stationed on Rikers Island presenting newly released jailbirds with free transit passes and two $25 debit cards each…

https://nypost.com/2019/12/27/de-blasio-giving-freed-nyc-inmates-cellphones-metrocards-and-gift-cards/

We are in an age in which elites increasing say abjectly stupid stuff and the MSM does not criticize or shame them – as long as the offender is in tune with MSM ideology.

Yale Psychiatrist Claims Pelosi Can Subject Trump to ‘Involuntary’ Mental Health Evaluation

https://www.breitbart.com/politics/2019/12/27/yale-psychiatrist-claims-pelosi-can-subject-trump-involuntary-mental-health-evaluation/

This is not a parody! HuffPost: “Those close to the president say he has no one close to him.”

END

Well that is all for today

I will see you Tuesday 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: