JUNE 11//DOW DOWN 1861 PTS (6.90%//NASDAQ DOWN 527 POINTS(5.27%)//GOLD UP $16.80 TO $1731.60//SILVER UP 6 CENTS AS THE BANKERS KEEP THEIR FOOT ON THE THROAT OF OUR PRECIOUS METALS//CORONAVIRUS UPDATES//CHINA IS DEVIATING FROM BUYING SOYBEANS FROM THE USA…BUYING THE STUFF FROM BRAZIL ET AL// JOBLESS CLAIMS IN THE USA REMAINS CONSTANT AT 1.54 MILLION SOULS//MAJOR STORIES ON THE “MOB”//SWAMP STORIES FOR YOU TONIGHT//

GOLD:$1731.60  UP $16.80   The quote is London spot price

 

 

 

 

 

Silver:$17.74  UP 6 CENTS//LONDON SPOT PRICE

 

Closing access prices:  London spot

 

 

 

i)Gold : $1725.50  LONDON SPOT  4:30 pm

 

ii)SILVER:  $17.65//LONDON SPOT  4:30 pm

CLOSING FUTURES PRICES:  KEY MONTHS

 

 

 

AUG GOLD:  $1741.10  CLOSE 1.30 PM//   SPREAD SPOT (LONDON) VS/FUTURE JUNE: $+9.50

 

CLOSING SILVER FUTURE MONTH

 

 

JULY: 1:30 PM:              $17.90//1:30 PM //SPREAD SPOT LONDON VS FUTURE JULY:      16 CENTS PER OZ//

 

 

the gold market continues to be broken as future prices are much higher than spot prices.  The comex is desperate to fix things but they have no available gold.

If one is to buy gold and or gold coins, the price is around $2800. usa per oz

and silver; $31.00 per oz//

 

LADIES AND GENTLEMEN: YOU ARE NOW WITNESSING FIRST HAND THE DIFFERENCE BETWEEN PAPER GOLD/SILVER AND THE REAL PHYSICAL STUFF!!

DO NOT PAY ANY ATTENTION TO WHAT THE CROOKS ARE DOING AT THE COMEX AND LONDON LBMA..PHYSICAL IS THE NAME OF THE GAME AND NOTHING ELSE

 

COMEX DATA

 

 

 

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

today RECEIVING: 912/1323

issued 23

EXCHANGE: COMEX
CONTRACT: JUNE 2020 COMEX 100 GOLD FUTURES
SETTLEMENT: 1,713.300000000 USD
INTENT DATE: 06/10/2020 DELIVERY DATE: 06/12/2020
FIRM ORG FIRM NAME ISSUED STOPPED
____________________________________________________________________________________________
072 C GOLDMAN 18
072 H GOLDMAN 105
104 C MIZUHO 1
118 H MACQUARIE FUT 23
132 C SG AMERICAS 3
159 C ED&F MAN CAP 1
167 C MAREX 1
190 H BMO CAPITAL 11
323 H HSBC 3
355 C CREDIT SUISSE 11
357 C WEDBUSH 28
555 C BNP PARIBAS SEC 1
555 H BNP PARIBAS SEC 1054
624 C BOFA SECURITIES 28
657 C MORGAN STANLEY 75
657 H MORGAN STANLEY 51
661 C JP MORGAN 23 839
661 H JP MORGAN 73
685 C RJ OBRIEN 1 1
686 C INTL FCSTONE 1
690 C ABN AMRO 28
732 C RBC CAP MARKETS 2
737 C ADVANTAGE 2 14

DLV615-T CME CLEARING
BUSINESS DATE: 06/10/2020 DAILY DELIVERY NOTICES RUN DATE: 06/10/2020
PRODUCT GROUP: METALS RUN TIME: 20:49:39
800 C MAREX SPEC 7 18
845 C GOLDMAN SACHS C 1
905 C ADM 206 16
____________________________________________________________________________________________

TOTAL: 1,323 1,323
MONTH TO DATE: 50,080

NUMBER OF NOTICES FILED TODAY FOR  JUNE CONTRACT: 1323 NOTICE(S) FOR 132,300 OZ (4.115 tonnes)

 

TOTAL NUMBER OF NOTICES FILED SO FAR:  50,050 NOTICES FOR 500,800 OZ  (155.769 TONNES)

 

AND 8 NOTICES FILED FOR 800 OZ OF ENHANCED GOLD

SILVER

 

FOR JUNE

 

 

0 NOTICE(S) FILED TODAY FOR  nil  OZ/

total number of notices filed so far this month: 418 for 2,090,000 oz

 

BITCOIN MORNING QUOTE  $9767 DOWN $117

 

BITCOIN AFTERNOON QUOTE.: $9237 DOWN 644

 

GLD AND SLV INVENTORIES:

WITH GOLD UP $16.80 AND NO PHYSICAL TO BE FOUND ANYWHERE:

WITH ALL REFINERS CLOSED//MEXICO ORDERING ALL MINES SHUT:   WHERE ARE THEY GETTING THE “PHYSICAL”?

A HUGE 6.55 TONNES OF GOLD DEPOSITED INTO THE GLD/

GLD: 1,135.05 TONNES OF GOLD//

 

WITH SILVER UP 6 CENTS TODAY: AND WITH NO SILVER AROUND

 

NO CHANGE IN SILVER INVENTORY AT THE SLV

RESTING SLV INVENTORY TONIGHT:

 

SLV: 472.849  MILLION OZ./

 

XXXXXXXXXXXXXXXXXXXXXXXXX

Let us have a look at the data for today

 

 

xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx

IN SILVER THE COMEX OI ROSE BY A STRONG SIZED 2477 CONTRACTS FROM 175,240 UP TO 177,739 AND CLOSER TO OUR NEW RECORD OF 244,710, (FEB 25/2020. THE STRONG SIZED GAIN IN  OI OCCURRED WITH OUR  SMALL 3 CENT GAIN IN SILVER PRICING AT THE COMEX. IT SEEMS THAT THE GAIN IN COMEX OI IS DUE TO STRONG  BANKER SHORT COVERING PLUS A FAIR EXCHANGE FOR PHYSICAL ISSUANCE, ZERO LONG LIQUIDATION, ACCOMPANYING  A ZERO INCREASE IN SILVER OZ STANDING AT THE COMEX FOR JUNE.  WE HAD A NET GAIN IN OUR TWO EXCHANGES OF 3208 CONTRACTS  (SEE CALCULATIONS BELOW).

 

 

 

WE HAVE ALSO WITNESSED A HUMONGOUS 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 FAIR SIZED NUMBER OF COMEX LONGS TRANSFERRING THEIR CONTRACTS TO LONDON THROUGH THE EFP ROUTE:   JULY: 652  AND SEPT 57 FOR ZERO ALL  OTHER MONTHS  AND THEREFORE TOTAL ISSUANCE  709 CONTRACTS. WITH THE TRANSFER OF 709 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 709 EFP CONTRACTS TRANSLATES INTO 3.545 MILLION OZ  ACCOMPANYING:

1.THE 3 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  FINAL STANDING IN DEC

5.075     MILLION OZ FINAL STANDING IN JAN

1.480    MILLION OZ FINAL STANDING IN FEB

23.005  MILLION OZ FINAL STANDING FOR MAR

4.660  MILLION OZ FINAL STANDING FOR APRIL

45.220 MILLION OZ FINAL STANDING FOR MAY

2.145  MILLION OF INITIALLY STANDING FOR JUNE

 

WEDNESDAY, AGAIN OUR CROOKS USED COPIOUS PAPER IN ORDER TO LIQUIDATE SILVER’S PRICE…AND THEY WERE UNSUCCESSFUL IN KNOCKING THE PRICE OF SILVER DOWN (IT ROSE 3 CENTS).. AND,OUR OFFICIAL SECTOR/BANKERS  WERE UNSUCCESSFUL IN THEIR ATTEMPT TO FLEECE ANY SILVER LONGS FROM THEIR POSITIONS. THE CONSIDERABLE GAIN AT THE COMEX WAS ACCOMPANIED BY : i)  A FAIR ISSUANCE OF EXCHANGE FOR PHYSICALS 2) A ZERO INCREASE IN SILVER OZ STANDING  CONSIDERABLE BANKER SHORT COVERING  AND 4) ZERO LONG LIQUIDATION AS  WE DID HAVE A STRONG  NET GAIN OF 3208 CONTRACTS OR 16.04 MILLION OZ ON THE TWO EXCHANGES! YOU CAN BET THE FARM THAT OUR BANKER  ARE DESPERATE TO LIQUIDATE THEIR HUGE SHORT POSITIONS IN SILVER

SPREADING OPERATIONS

 

OUR SPREADING OPERATION HAS NOW SWITCHED INTO SILVER…..

SPREADING OPERATION FOR OUR NEWCOMERS:

 

FOR NEWCOMERS, HERE ARE THE DETAILS:

 

SPREADING LIQUIDATION HAS NOW COMMENCED IN SILVER  AS WE HEAD TOWARDS THE NEW ACTIVE FRONT MONTH OF JULY.

 

 

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

 HERE IS A BRIEF SYNOPSIS OF HOW THE CROOKS FLEECE UNSUSPECTING LONGS IN THE SPREADING ENDEAVOUR;

 

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

 

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 NON  ACTIVE DELIVERY MONTH OF JUNE HEADING TOWARDS THE ACTIVE DELIVERY MONTH OF JULY FOR SILVER:

 

YOU WILL ALSO NOTICE THAT THE COMEX OPEN INTEREST  STARTS TO RISE IN THIS NON ACTIVE MONTH OF JUNE. 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  ACTIVE DELIVERY MONTH (JULY), 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.”

 

HISTORICAL ACCUMULATION OF EXCHANGE FOR PHYSICALS

JUNE

 

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

4571 CONTRACTS (FOR 10 TRADING DAY(S) TOTAL 4571 CONTRACTS) OR 22.855 MILLION OZ: (AVERAGE PER DAY: 457 CONTRACTS OR 2.286 MILLION OZ/DAY)

TO GIVE YOU AN IDEA AS TO THE HUGE SUPPLY THIS MONTH IN SILVER:  SO FAR THIS MONTH OF MAY: 22.855 MILLION PAPER OZ HAVE MORPHED OVER TO LONDON. THIS REPRESENTS AROUND 3.027% 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 2020 TO DATE SILVER EFP’S:          1,088.89 MILLION OZ.

JANUARY 2020 EFP TOTALS SO FAR: 181.61 MILLION OZ

FEB 2020 EFP’S TOTAL :  ……     259.600 MILLION OZ

MARCH EFP’S …..                     452.280 MILLION OZ  //TOTALS//AND A NEW RECORD FOR THE MONTH)

APRIL EFP                               95.355 MILLION OZ.  (EX. FOR PHYSICALS BECOMING A LOT LESS)

MAY EFP FINAL:                     77.27 MILLION OZ

JUNE EXP SO FAR                   22.83 MILLION OZ.

EXCHANGE FOR PHYSICAL ISSUANCE FOR THE PAST 60 DAYS IS A LOT LESS.  NO DOUBT THAT THE COST TO CARRY THESE THINGS HAS EXPLODED  AND AS SUCH CANNOT BE DONE AS FREQUENTLY AS BEFORE.

 

RESULT: WE HAD A LARGE SIZED INCREASE IN COMEX OI SILVER COMEX CONTRACTS OF 2488, WITH OUR  3 CENT GAIN IN SILVER PRICING AT THE COMEX ///WEDNESDAY THE CME NOTIFIED US THAT WE HAD A GOOD SIZED EFP ISSUANCE OF 709 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

 

TODAY WE GAINED A STRONG SIZED OI CONTRACTS ON THE TWO EXCHANGES:  3208 CONTRACTS (WITH OUR 3 CENT GAIN IN PRICE)

 

THE TALLY//EXCHANGE FOR PHYSICALS

i.e 709 OPEN INTEREST CONTRACTS HEADED FOR LONDON  (EFP’s) TOGETHER WITH A LARGE SIZED INCREASE OF 2488 OI COMEX CONTRACTS. AND ALL OF THIS DEMAND HAPPENED DESPITE A 3 CENT GAIN IN PRICE OF SILVER/AND A CLOSING PRICE OF $17.67 // WEDNESDAY’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 UNDER 1 BILLION oz i.e. 0.846 BILLION OZ TO BE EXACT or 121% of annual global silver production (ex Russia & ex China).

FOR THE NEW  JUNE  DELIVERY MONTH/ THEY FILED AT THE COMEX: 0 NOTICE(S) FOR nil OZ OF SILVER.

IN SILVER,PRIOR TO TODAY, WE  SET THE NEW COMEX RECORD OF OPEN INTEREST AT 244,196 CONTRACTS ON AUG 22.2018. AND AGAIN THIS HAS BEEN SET WITH A LOW PRICE OF $14.70//TODAY’S RECORD OF 244,705 IS SET WITH A PRICE OF: 18.91 (FEB 25/2020)

 

.

 

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; JAN:  5.075 MILLION OZ.//FEB 1.480 MILLION OZ//MAR: 23.005 MILLION OZ/APRIL 4.660 MILLION OZ//MAY  45.220 MILLION OZ//JUNE: 2.145 MILLION OZ//
  2. THE  RECORD PRIOR TO TODAY WAS SET IN FEB 25/2018:  244,710 CONTRACTS,  WITH A SILVER PRICE OF $18.90//.
  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 GOOD 4984 CONTRACTS TO 480,645 AND CLOSER TO OUR NEW RECORD (SET JAN 24/2020) AT 799,541 AND  PREVIOUS TO THAT: (SET JAN 6/2020) AT 797,110.

THE CONSIDERABLE SIZED GAIN OF COMEX OI OCCURRED WITH OUR TINY LOSS IN PRICE  OF $0.30 /// COMEX GOLD TRADING// WEDNESDAY// WE  HAD STRONG BANKER SHORT  COVERING, ANOTHER HUMONGOUS SIZED INCREASE IN GOLD OZ STANDING AT THE COMEX, ALONG WITH ZERO LONG LIQUIDATION ACCOMPANYING A SMALL  EX. FOR PHYSICAL ISSUANCE. THIS ALL HAPPENED WITH OUR TINY LOSS IN PRICE OF $0.30 .

 

WE HAD A VOLUME OF 0  4 -GC CONTRACTS//OPEN INTEREST  8

 

WE GAINED A STRONG SIZED 6653 CONTRACTS  (20.69 TONNES) ON OUR TWO EXCHANGES.

 

E.F.P. ISSUANCE

 

 

 

THE CME RELEASED THE DATA FOR EFP ISSUANCAND IT TOTALED A SMALL SIZED 1669 CONTRACTS:

CONTRACT  JUNE 0.; AUG 1669 AND ALL OTHER MONTHS ZERO//TOTAL: 1669.  The NEW COMEX OI for the gold complex rests at 480,645. ALSO REMEMBER THAT THERE WILL BE A DELAY IN THE ISSUANCE OF EFP’S.  THE BANKERS REMOVE LONG POSITIONS OF COMEX GOLD IMMEDIATELY.  THEN THEY ORCHESTRATE THEIR PRIVATE EFP DEAL WITH THE LONGS AND THAT COULD TAKE AN ADDITIONAL, 48 HRS SO WE GENERALLY DO NOT GET A MATCH WITH RESPECT TO DEPARTING COMEX LONGS AND NEW EFP LONG TRANSFERS. . EVEN THOUGH THE BANKERS ISSUED THESE MONSTROUS EFPS, THE OBLIGATION STILL RESTS WITH THE BANKERS TO SUPPLY METAL BUT IT TRANSFERS THE RISK TO A LONDON BANKER OBLIGATION AND NOT A NEW YORK COMEX OBLIGATION. LONGS RECEIVE A FIAT BONUS TOGETHER WITH A LONG LONDON FORWARD. THUS, BY THESE ACTIONS, THE BANKERS AT THE COMEX HAVE JUST STATED THAT THEY HAVE NO APPRECIABLE METAL!! THIS IS A MASSIVE FRAUD: THEY CANNOT SUPPLY ANY METAL TO OUR COMEX LONGS BUT THEY ARE QUITE WILLING TO SUPPLY MASSIVE NON BACKED GOLD (AND SILVER) PAPER KNOWING THAT THEY HAVE NO METAL TO SATISFY OUR LONGS. LONDON IS NOW SEVERELY BACKWARD IN BOTH GOLD AND SILVER  AND WE ARE WITNESSING DELAYS IN ACTUAL DELIVERIES.

IN ESSENCE WE HAVE A STRONG SIZED INCREASE IN TOTAL CONTRACTS ON THE TWO EXCHANGES OF 6653 CONTRACTS: 4984 CONTRACTS INCREASED AT THE COMEX AND 1662 EFP OI CONTRACTS WHICH NAVIGATED OVER TO LONDON. THUS  TOTAL OI GAIN OF 6653 CONTRACTS OR 20.693 TONNES. WEDNESDAY, WE HAD A TINY LOSS OF $0.30 IN GOLD TRADING……

AND WITH THAT LOSS IN  PRICE, WE HAD A STRONG SIZED GAIN IN  TOTAL/TWO EXCHANGES GOLD TONNAGE OF 20.693 TONNES!!!!!! THE BANKERS/OFFICIAL SECTOR  SUPPLIED INFINITE SUPPLIES OF SHORT GOLD COMEX PAPER WITH RECKLESS ABANDON. THE BANKERS WERE UNSUCCESSFUL IN THEIR ATTEMPT TO LOWER GOLD’S PRICE (IT FELL $0.30).AND IT ALSO SEEMS THAT THEIR ATTEMPT TO FLEECE ANY GOLD LONGS FROM THE GOLD ARENA WAS  UNSUCCESSFUL  (SEE BELOW).

 

 

 

 

CALCULATIONS ON GAIN/LOSS ON OUR TWO EXCHANGES:

WE HAD A SMALL SIZED ISSUANCE IN EXCHANGE FOR PHYSICALS  (1669) ACCOMPANYING THE CONSIDERABLE SIZED GAIN IN COMEX OI  (4984 OI): TOTAL GAIN IN THE TWO EXCHANGES:  6653 CONTRACTS. WE NO DOUBT HAD 1 )CONSIDERABLE BANKER SHORT COVERING, 2.)ANOTHER HUMONGOUS INCREASE IN GOLD  OUNCES STANDING AT THE GOLD COMEX FOR THE FRONT JUNE MONTH,  3) ZERO LONG LIQUIDATION; 4) CONSIDERABLE COMEX OI GAIN.. AND  …ALL OF THIS WAS COUPLED WITH OUR TINY LOSS IN GOLD PRICE TRADING//WEDNESDAY//$0.30.

 

WE ARE BEGINNING TO WITNESS A LACK OF EXCHANGE FOR GOLD PHYSICALS UNDERWRITTEN DUE TO PREMIUMS STARTING TO REAPPEAR IN THE FUTURE PRICE OF GOLD VS LONDON SPOT. THE COST TO THE BANKERS IS JUST TOO GREAT TO ENGAGE IN THESE VEHICLES ONCE THIS OCCURS.

THE FACT THAT WE ARE CONTINUALLY SEEING A DROP IN COMEX OPEN INTEREST AND VOLUMES COUPLED WITH LESS EXCHANGE FOR PHYSICALS PROBABLY MEANS THAT OUR LONGS ARE ALREADY DEPARTING NEW YORK FOR THE NEW PHYSICAL PLATFORM AT LONDON’S LME.

 

 

HISTORICAL ACCUMULATION OF EXCHANGE FOR PHYSICALS IN 2020 INCLUDING TODAY

JUNE

 

ACCUMULATION OF EFP’S GOLD AT J.P. MORGAN’S HOUSE OF BRIBES: (EXCHANGE FOR PHYSICAL) FOR THE MONTH OF JUNE : 26,236 CONTRACTS OR 2,623,600 oz OR 81.60 TONNES (10 TRADING DAY(S) AND THUS AVERAGING: 2623 EFP CONTRACTS PER TRADING DAY

 

TO GIVE YOU AN IDEA AS TO THE STRONG SIZE OF THESE EFP TRANSFERS :  THIS MONTH IN 10 TRADING DAY(S) IN  TONNES: 81.60 TONNES

TOTAL ANNUAL GOLD PRODUCTION, 2019, THROUGHOUT THE WORLD EX CHINA EX RUSSIA: 3555 TONNES

THUS EFP TRANSFERS REPRESENTS 81.60/3550 x 100% TONNES =2.290% OF GLOBAL ANNUAL PRODUCTION

ISSUANCE OF EXCHANGE FOR PHYSICAL GOLD HAS DISSIPATED THIS MONTHTHE COST TO THE BANKERS TO CARRY THESE CONTRACTS IN LONDON IS BECOMING TOO GREAT FOR THEM.

 

ACCUMULATION OF GOLD EFP’S YEAR 2020 TO DATE   2896.53  TONNES

JANUARY 2220 TOTAL EFP ISSUANCE; : 570.19 TONNES

FEB 2020 TOTAL EFP ISSUANCE :            653.78 TONNES

MARCH TOTAL EFP ISSUANCE                1,098.93  TONNES  (*AND A NEW ALL TIME RECORD ISSUANCE//22 DAYS)

APRIL TOTAL EFP. ISSUANCE:               243.45  TONNES  (EFP ISSUANCE BECOMING A LOT LESS)

MAY TOTAL EFP ISSUANCE:                     248.68 TONNES (EFP ISSUANCE STILL LOW// PREMIUM COST TO THE BANKERS IS HUGE..SO ISSUANCE IS LESS)

JUNE TOTAL EFP ISSUANCE:                     81.60 TONNES

 

 

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

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

 

1.Today, we had the open interest at the comex, in SILVER, ROSE BY A STRONG SIZED 2499 CONTRACTS FROM 175,240 UP TO 180,645 AND CLOSER TO OUR COMEX RECORD //244,710(SET FEB 25/2020).  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 3/4 YEARS AGO.  THE PRICE OF SILVER ON THAT DAY: $17.89.

THE STRONG GAIN IN OI SILVER COMEX WAS DUE TO;   1) CONSIDERABLE BANKER SHORT COVERING , 2) A GOOD ISSUANCE OF EXCHANGE FOR PHYSICALS (SEE BELOW), 3) A ZERO INCREASE IN SILVER OZ STANDING AT THE COMEX FOR JUNE AND  4) ZERO LONG LIQUIDATION 

 

EFP ISSUANCE 709 CONTRACTS

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

JULY: 709 CONTRACTS   AND SEPT: 00 ALL OTHER MONTHS: ZERO. TOTAL EFP ISSUANCE: 709 CONTRACTS. EFP’S GIVE OUR COMEX LONGS A FIAT BONUS PLUS A DELIVERABLE PRODUCT OVER IN LONDON.  IF WE TAKE THE  COMEX OI GAIN  OF 2499  CONTRACTS TO THE 709 OI TRANSFERRED TO LONDON THROUGH EFP’S,  WE OBTAIN A STRONG GAIN OF 3208 OPEN INTEREST CONTRACTS FROM OUR TWO EXCHANGES. THUS IN OUNCES, THE GAIN ON THE TWO EXCHANGES 16.04 MILLION  OZ!!! OCCURRED WITH THE 3 CENT GAIN IN PRICE///

 

 

RESULT: A STRONG SIZED INCREASE IN SILVER OI AT THE COMEX WITH THE 3 CENT LOSS IN PRICING THAT SILVER UNDERTOOK IN PRICING// WEDNESDAY. WE ALSO HAD A GOOD SIZED 709 EFP’S ISSUED TRANSFERRING COMEX LONGS OVER TO LONDON. TOGETHER WITH THE STRONG  SIZED AMOUNT OF SILVER OUNCES STANDING FOR THIS MONTH, DEMAND FOR PHYSICAL SILVER CONTINUES TO INTENSIFY AS WE WITNESS SEVERE BACKWARDATION IN SILVER IN LONDON.

 

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

(report Harvey)

 

 

 

2 ) Gold/silver trading overnight Europe, Goldcore

(Mark O’Byrne/zerohedge

and in NY: Bloomberg

3. ASIAN AFFAIRS

i)THURSDAY MORNING/ WEDNESDAY NIGHT: 

SHANGHAI CLOSED DOWN 22.85 POINTS OR 0.78%  //Hang Sang CLOSED DOWN 569.58 POINTS OR 2.27%   /The Nikkei closed DOWN 652.04 POINTS OR 2.82%//Australia’s all ordinaires CLOSED DOWN 3.03%

/Chinese yuan (ONSHORE) closed UP  at 7.0695 /Oil DOWN TO 37.73 dollars per barrel for WTI and 40.04 for Brent. Stocks in Europe OPENED RED//  ONSHORE YUAN CLOSED UP// LAST AT 7.0685 AGAINST THE DOLLAR. OFFSHORE YUAN CLOSED UP ON THE DOLLAR AT 7.0690 TRADE TALKS STALL//YUAN LEVELS GETTING DANGEROUSLY PAST 7:1//TRUMP INITIATES A NEW 25% TARIFFS FRIDAY/MAY 10/MAJOR PROBLEMS AT HUAWEI /CFO ARRESTED/CORONAVIRUS PANDEMIC  : /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%

 

 

 

COMEX DATA//AMOUNTS STANDING//VOLUME OF TRADING/INVENTORY MOVEMENTS

GOLD

LET US BEGIN:

THE TOTAL COMEX GOLD OPEN INTEREST ROSE BY A GOOD 4984 CONTRACTS TO 480,645 MOVING CLOSER TO  OUR  RECORD THAT WAS SET IN JANUARY/2020: {799,541  OI(SET JAN 16/2020)} AND  PREVIOUS TO THAT: 797,110 (SET JAN 7/2020).  AND ALL OF THIS  GOOD  COMEX GAIN OCCURRED WITH OUR SMALL FALL OF $0.30 IN GOLD PRICING /WEDNESDAY’S COMEX TRADING//). WE ALSO HAD A SMALL EFP ISSUANCE (1669 CONTRACTS),.  THUS WE HAD 1) HUGE BANKER SHORT COVERING AT THE COMEX AND 2)  ZERO LONG LIQUIDATION AND 3)  ANOTHER HUMONGOUS INCREASE IN  GOLD OZ STANDING AT THE COMEX//JUNE DELIVERY MONTH (SEE BELOW) , …  AS WE ENGINEERED A STRONG GAIN ON OUR TWO EXCHANGES OF 6852 CONTRACTS DESPITE GOLD’S TINY FALL IN PRICE. 

 

 

WE AGAIN HAD 0    4 -GC VOLUME//open interest REMAINS AT 8

 

 

 

EXCHANGE FOR PHYSICAL ISSUANCE

WE ARE NOW IN THE  ACTIVE DELIVERY MONTH OF JUNE..  THE CME REPORTS THAT THE BANKERS ISSUED A SMALL SIZED  TRANSFER THROUGH THE EFP ROUTE AS THESE LONGS RECEIVED A DELIVERABLE LONDON FORWARD TOGETHER WITH A FIAT BONUS., THAT IS 1669 EFP CONTRACTS WERE ISSUED:  1669 FOR AUG AND  ZERO FOR ALL OTHER MONTHS:

TOTAL EFP ISSUANCE: 1669 CONTRACTS.

YOU WILL FIND THAT WHEN WE HAVE A PREMIUM IN THE FUTURES/SPOT, THEN THE NUMBER OF EXCHANGE FOR PHYSICALS DECLINE IN NUMBERS.  THE COST IS JUST TOO MUCH FOR THEM TO ISSUE.

 

ON A NET BASIS IN OPEN INTEREST WE GAINED THE FOLLOWING TODAY ON OUR TWO EXCHANGES:  6852 TOTAL CONTRACTS IN THAT 1669 LONGS WERE TRANSFERRED AS FORWARDS TO LONDON AND WE GAINED A GOOD SIZED 4984 COMEX CONTRACTS.  THE BANKERS PROVIDED ALL THE NECESSARY SHORT PAPER TO WHICH OUR LONGS DUTIFULLY ACCEPTED AS THEY GOBBLED UP A CONSIDERABLE  AMOUNT OF EXCHANGE FOR PHYSICALS WITH HUGE BANKER SHORT COVERING, ACCOMPANYING THE GOOD COMEX OI GAIN,  ANOTHER HUMONGOUS INCREASE GOLD TONNAGE STANDING FOR THE JUNE DELIVERY (SEE CALCULATIONS BELOW)… AND ZERO LONG LIQUIDATION…… ALL OF THE ABOVE OCCURRED WITH A TINY FALL IN COMEX PRICE OF 0.30 DOLLARS..

 

THE BANKERS WERE UNSUCCESSFUL IN LOWERING GOLD’S PRICE  //// (IT FELL $.30)AND, THEY WERE  UNSUCCESSFUL IN FLEECING SOME LONGS 

AS THE TOTAL GAIN ON THE TWO EXCHANGES REGISTERED A STRONG 20.693 TONNES.

 

 

NET GAIN ON THE TWO EXCHANGES :: 6653 CONTRACTS OR 665300 OZ OR 20.693 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:  480,645 TOTAL OI CONTRACTS X 100 OZ PER CONTRACT = 48.06 MILLION OZ/32,150 OZ PER TONNE =  1494 TONNES

THE COMEX OPEN INTEREST REPRESENTS 1494/2200 OR 67.95% OF ANNUAL GLOBAL PRODUCTION OF GOLD.

Trading Volumes on the COMEX TODAY: 202,869 contracts//extremely low//most traders have moved to london

 

 

 

CONFIRMED COMEX VOL. FOR YESTERDAY216,400 contracts//  volume low 

 

 

JUNE 11 /2020

JUNE GOLD CONTRACT MONTH

 

Gold Ounces
Withdrawals from Dealers Inventory in oz 2600.80 oz

MANFRA

Withdrawals from Customer Inventory in oz
nil oz
Deposits to the Dealer Inventory in oz 82,946.149 oz

BRINKS

 

 

 

Deposits to the Customer Inventory, in oz  

217,464.564

OZ

BRINKS ENHANCED

LOOMIS

 

 

INCLUDES 1200

KILOBARS..LOOMIS

No of oz served (contracts) today
1323 notice(s)
 132,300 OZ
(4.115 TONNES)
No of oz to be served (notices)
1700 contracts
(170,000 oz)
5.29 TONNES
Total monthly oz gold served (contracts) so far this month
50,080 notices
5,008,000 OZ
155.769 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 1 deposit into the dealer

i) Into dealer: Brinks: 82,946.149 oz

DEALER WITHDRAWAL:

i) Out of Manfra: 2600.800 oz

 

 

total dealer withdrawals: 2600.800 oz

we had 2 deposits into the customer account

i) Into Brinks enhanced  178,852.413 oz

ii) Into Loomis: 38,580.000  (1200 kilobars)

 

 

 

 

 

 

total deposits: 217,464.564    oz

 

 

we had 0 gold withdrawals from the customer account:

 

 

total gold withdrawals;  nil oz

We had 2  kilobar transactions  +

 

We had 0  4 KC bar volume transactions/8 contracts oi

 

 

 

 

ADJUSTMENTS: 3 //    

 

customer to dealer: JPM enhanced

322,256.680 oz adjusted customer to dealer

dealer to customer:

i) JPMorgan: 322,144.443 oz

ii) Int. Delaware: 96.43  3 kilobars

 

 

 

 

 

 

 

The front month of JUNE registered a total of 3020 oi contracts of a LOSS of 947 contracts.  We had 1282 notices filed on WEDNESDAY so we gained A STRONG 335 contracts or an additional 33,400 oz of gold (1.03 TONNES) will stand in this very active delivery month of June.

After June we have the non active delivery month of July and here we had a GAIN of 175 contracts UP to 3574 contracts.

Next comes August another strong delivery month and here the OI ROSE by 3234  contracts UP to 335,117 contracts.

 

We had 1323 notices filed today for 132,300 oz

 

FOR THE JUNE 2020 CONTRACT MONTH)Today, 0 notice(s) were issued from JPMorgan dealer account and 23 notices were issued from their client or customer account. The total of all issuance by all participants equates to 1323 contract(s) of which 73 notices were stopped (received) by j.P. Morgan dealer and 839 notice(s) was (were) stopped/ Received) by j.P.Morgan customer account and 136 notices by the squid  (Goldman Sachs)

To calculate the INITIAL total number of gold ounces standing for the JUNE /2020. contract month, we take the total number of notices filed so far for the month (50,080) x 100 oz , to which we add the difference between the open interest for the front month of  JUNE (3023 CONTRACTS ) minus the number of notices served upon today (1323 x 100 oz per contract) equals 5,178,000 OZ OR 161.07 TONNES) the number of ounces standing in this active month of JUNE

thus the INITIAL standings for gold for the JUNE/2020 contract month:

No of notices served (50,080)x 100 oz + (3023 OI) for the front month minus the number of notices served upon today (1323) x 100 oz which equals 5,178,000 oz standing OR 161.07 TONNES in this  active delivery month. This is a HUGE record amount for gold standing for a JUNE delivery month or any active/non active delivery month.

We gained an additional 335 contracts or 33,400 oz will stand on this side of the pond.  Issuance of exchange for physicals is FAIR today…  It is still too costly for our crooked bankers to carry.

 

 

 

NEW PLEDGED GOLD:  BRINKS

3027.500 OZ  REMOVED TO THE PLEDGED ACCOUNT JAN 10.2020/Brinks//Manfra .553 tonnes removed may 26

144,088.952 oz NOW PLEDGED  JAN 21.2020/HSBC  5.4807 TONNES

322,656.68 oz PLEDGED  MARCH 2020  JPMORGAN:  10.036 TONNES

42,548.308.00 PLEDGED  APRIL 3/2020: SCOTIA:            1.3234 tonnes

19,290.600 oz Pledged May 8/2020   INT DELAWARE:  .600 TONNES

21,026.754 oz pledged June 5/2020   Brinks                  .6054 tonnes

total pledged gold:  549,611.294 oz                               17.09 tonnes

 

 

 

SURPRISINGLY WE HAVE BEEN WITNESSING NO REAL PHYSICAL GOLD ENTERING THE COMEX VAULTS FOR THE PAST YEAR!! ..ONLY PHONY KILOBAR ENTRIES…. WE HAVE 361.54 TONNES OF REGISTERED GOLD WHICH CAN SETTLE UPON LONGS ie. 161.05 tonnes

CALCULATION OF REGISTERED GOLD THAT CAN BE SETTLED UPON:

total registered or dealer  12,173,254.778 oz or 378.63 tonnes
which  includes the following:
a) pledged gold held at HSBC   which cannot settled upon   144,088.952 oz x ( 4.4817 TONNES)//
b) pledged gold held at JPMorgan (added March 2020) which cannot be settled upon:  322,144.443 oz (or 10.0200 tonnes)
total pledged gold:
c)  pledged gold at Scotia: 1.3234 tonnes or 42,548.308 oz which cannot be settled  (1.3234 tonnes)
d) pledged gold at Manfra:  DELETED  MAY 26.2020
e) pledged gold at int.Del.    19,290.600 oz  which cannot be settled:   (.600 tonnes)
f) pledged gold at Brinks:  21,026.754 oz which cannot be settled June 5 (.65402 tonnes)
total weight of pledged:  549,611.294 oz or 17.09 tonnes
thus:
registered gold that can be used to settle upon: 11,623,643.0  (361.54 tonnes)
true registered gold  (total registered – pledged tonnes  11,623,643.0 (361.54 tonnes)
total eligible gold:  17,644,504.964 oz (548.82 tonnes)

total registered, pledged  and eligible (customer) gold;   30,035,208.522 oz 934.22 tonnes (INCLUDES 4 GC GOLD)

total 4 GC gold:   126.34 tonnes

total gold net of 4 GC:  807.88 tonnes

 

end

 

I have compiled  data with respect to registered (or dealer) gold taken on first day notice for each of the past 24 months

The data begins on first day notice for the May month taken on the last day of April 2018. and it continues to present day.  Thus 24 data entry points.

 

I then took, how many deliveries were recorded by the CME for each and every month.  I also included for reference the price of gold on first day notice.

 

The first graph is a logarithmic  graph and the second graph, linear.

You can see the huge explosion of registered gold at the comex along with deliveries.  Gold owners are very clear people.  They would know full well that

the gold at the comex is unallocated and that they would not be stupid enough to keep their gold at the comex especially in the registered category once deliveries are asked upon. If physical gold was present it would be have removed from the comex… It shows there is no gold at the comex.  They are just trading in sticky paper.

 

 

THE GOLD COMEX SEEMS TO BE  UNDER SEVERE ASSAULT FOR PHYSICAL

 

END

JUNE 11/2020

And now for the wild silver comex results

Total COMEX silver OI ROSE BY A STRONG SIZED 2499  CONTRACTS FROM 175,240 UP TO 177,739(AND FURTHER FROM OUR NEW ALL TIME RECORD OI FOR SILVER SET ON FEB 25.2020(244,710) ECLIPSING OUR PREVIOUS RECORD, AUGUST 25/2018 RECORD (244,196).  THE PREVIOUS RECORD TO THAT WAS SET ON APRIL 9.2018/ 243,411 CONTRACTS) . THE STRONG OI COMEX GAIN TODAY OCCURRED WITH OUR 3 CENT GAIN IN PRICING//WEDNESDAY. WE GAINED A TOTAL OF 3208 CONTRACTS IN OUR TWO EXCHANGES.  THE GAIN IN TOTAL OI (TWO EXCHANGES) OCCURRED WITH 1)  A GOOD ISSUANCE OF EXCHANGE FOR PHYSICALS 2) A ZERO INCREASE IN  SILVER OZ STANDING AT THE COMEX FOR THE JUNE DELIVERY MONTH, 3)  CONSIDERABLE BANKER SHORT COVERING , 4) ZERO LONG LIQUIDATION,5) STRONG COMEX GAIN IN OI, TINY EFP ISSUANCE… AND ALL OF THIS OCCURRED WITH OUR 3 CENT GAIN IN PRICE 

 

WE ARE NOW INTO THE NON ACTIVE DELIVERY MONTH OF JUNE

THE FRONT DELIVERY OF JUNE SAW 11 OPEN INTEREST CONTRACTS STANDING FOR A LOSS OF 0 CONTRACTS.  WE HAD 0 NOTICES SERVED UPON YESTERDAY SO WE GAINED 0 CONTRACT OR AN ADDITIONAL NIL OZ WILL  STAND IN THIS NON ACTIVE DELIVERY MONTH OF JUNE AS THEY REFUSED TO MORPHED INTO A LONDON BASED FORWARD.

AFTER JUNE COMES THE VERY BIG DELIVERY MONTH OF JULY AND HERE THE OI LOST 5548 CONTRACTS DOWN TO 93,307 CONTRACTS. AUGUST SAW ANOTHER loss OF 6 CONTRACTS TO 70 OPEN INTEREST CONTRACTS.. THE STRONG DELIVERY MONTH OF SEPT SAW A GAIN OF 7917 CONTRACTS UP TO 59,375

 

 

We, today, had  0 notice(s) FILED  for NIL OZ for the JUNE, 2020 COMEX contract for silver

 

JUNE 11/2020

JUNE SILVER COMEX CONTRACT MONTH

 

 

 

Silver Ounces
Withdrawals from Dealers Inventory NIL oz
Withdrawals from Customer Inventory
 1,150,063.170 oz
CNT
LOOMIS
Scotia

 

 

Deposits to the Dealer Inventory
nil oz

 

Deposits to the Customer Inventory
910,110.320 oz
BRINKS
LOOMIS
No of oz served today (contracts)
0
CONTRACT(S)
(60,000 OZ)
No of oz to be served (notices)
11 contracts
 55,000 oz)
Total monthly oz silver served (contracts)  418 contracts

2,090,000 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 deposit into the dealer:

total dealer deposits: nil oz

i) We had 0 dealer withdrawal

 

total dealer withdrawals: nil oz

i)we had 2 deposits into the customer account

into JPMorgan:   0

ii)into Brinks:  299,539.920

iii) Into Loomis: 619,570.400 oz

 

 

 

 

 

 

 

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

JPMorgan now has 160.819 million oz of  total silver inventory or 51.22% of all official comex silver. (160.819 million/312.838 million

 

total customer deposits today: 910,110.320    oz

we had 3 withdrawals:

 

 

i) Out of  CNT:  299,468.820 oz

ii) Out of Loomis:  815,369.700   oz

iii) Out of Scotia:  35,224.650 oz

 

 

 

 

 

 

total withdrawals; 1,150,063.170   oz

We had 0 adjustments

 

 

total dealer silver: 85.320 million

total dealer + customer silver:  312.838 million oz

 

xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx

 

The total number of notices filed today for the JUNE 2020. contract month is represented by 0 contract(s) FOR nil, oz

 

To calculate the number of silver ounces that will stand for delivery in JUNE we take the total number of notices filed for the month so far at 418 x 5,000 oz = 2,090,,000 oz to which we add the difference between the open interest for the front month of JUNE.(11) and the number of notices served upon today 0 x (5000 oz) equals the number of ounces standing.

.

Thus the INITIAL standings for silver for the JUNE/2019 contract month: 418 (notices served so far) x 5000 oz + OI for front month of JUNE (11)- number of notices served upon today 14) x 5000 oz of silver standing for the JUNE contract month.equals 2,145,000 oz.

We GAINED 0  contracts or an additional nil oz will  stand for delivery as they refused to morphed into London based forwards as well as negating a fiat bonus

 

TODAY’S ESTIMATED SILVER VOLUME: 100,568 CONTRACTS // volume strong/

 

 

FOR YESTERDAY: 114,873..,CONFIRMED VOLUME//volume very strong/

 

 

YESTERDAY’S CONFIRMED VOLUME OF 114,873  CONTRACTS EQUATES to 574 million  OZ 82.0% OF ANNUAL GLOBAL PRODUCTION OF SILVER..

 

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

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

end

 

NPV for Sprott

1. Sprott silver fund (PSLV): NAV  FALLS TO- 1.81% ((JUNE 11/2020)

2. Sprott gold fund (PHYS): premium to NAV  FALLS TO -1.42% to NAV:   (JUNE 11/2020 )

Note: Sprott silver trust back into NEGATIVE territory at +%-/Sprott physical gold trust is back into NEGATIVE/ 1.81%

(courtesy Sprott/GATA

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

NAV 16.45 TRADING 16.27///NEGATIVE 1.08

END

 

 

And now the Gold inventory at the GLD/

JUNE 11//WITH GOLD UP $16.80 TODAY: A HUGE CHANGE IN GOLD INVENTORY: A DEPOSIT OF 6.55 TONNES AT THE GLD//INVENTORY RESTS AT 1135.05 TONNES

JUNE 10/WITH GOLD DOWN $.30 TODAY: A HUGE CHANGE IN GOLD INVENTORY AT THE GLD//A DEPOSIT OF 4.02 TONNES AT THE GLD/INVENTORY RESTS AT 1129.50 TONNES

JUNE 9//WITH GOLD UP $16.00 TODAY: A HUGE CHANGE IN GOLD INVENTORY AT THE GLD//A WITHDRAWAL OF 2.63 TONNES OF GOLD AT THE GLD//INVENTORY RESTS AT 1125.48 TONNES

JUNE 8//WITH GOLD UP $18.70 TODAY: A HUGE CHANGE IN GOLD INVENTORY AT THE GLD//A WITHDRAWAL OF 4.10 TONNES AT THE GLD//INVENTORY RESTS AT 1128.11 TONNES

 

JUNE 5//WITH GOLD DOWN $40.40 TODAY: A HUGE CHANGE IN GOLD INVENTORY: A PAPER WITHDRAWAL OF 1.16 TONNES OUT OF THE GLD//INVENTORY RESTS AT 1132.21 TONNES

JUNE 4//WITH GOLD UP $20.60: A HUGE CHANGE IN GOLD INVENTORY AT THE GLD…A DEPOSIT OF 4.09 TONNES INTO THE GLD//INVENTORY RESTS AT 1133.37 TONNES

JUNE 3//WITH GOLD DOWN $26.15//A SMALL CHANGE IN GOLD INVENTORY//A DEPOSIT OF 0.78 TONNES OF GLD INTO THE GLD//INVENTORY RESTS AT 1129.28 TONNES

JUNE 2//WITH GOLD DOWN $11.20 TODAY: A HUGE CHANGE IN GOLD INVENTORY AT THE GLD: A DEPOSIT OF 5.26 TONNES OF GOLD INTO THE GLD////INVENTORY RESTS AT 1128.40 TONNES

JUNE 1//WITH GOLD UP $1.30//A HUGE CHANGE IN GOLD INVENTORY AT THE GLD: A DEPOSIT OF 4.06 TONNES OF GOLD//GLD INVENTORY RESTS TONIGHT AT 1123.14 TONNES

MAY 29/WITH GOLD UP $19.40 TODAY: NO CHANGE IN GOLD INVENTORY AT THE GLD///GLD INVENTORY RESTS THIS WEEKEND AT 1119.05 TONNES

MAY 28//WITH GOLD UP $4.00 TODAY/NO CHANGES IN GOLD INVENTORY TO THE GLD//INVENTORY RESTS  AT 1119.05 TONNES

MAY 27/WITH GOLD UP $.10 TODAY: A STRONG 2.34 TONNES OF GOLD ADDED TO THE GLD//INVENTORY RESTS AT 1119.05 TONNES

MAY 26//WITH GOLD DOWN $23.05//NO CHANGES IN GOLD INVENTORY://RESTS TONIGHT AT 1116.71 TONNES

MAY 22//WITH GOLD UP $13.05//A BIG CHANGE IN GOLD INVENTORY:: A PAPER ADDITION OF 3.93 TONNES//INVENTORY RESTS THIS WEEKEND AT:  1116.71 TONNES

MAY 21//WITH GOLD DOWN $26.70//NO CHANGE IN GOLD INVENTORY AT THE GLD/INVENTORY RESTS AT 1112.32 TONNES

MAY 20/WITH GOLD UP $7.20: A HUGE CHANGE IN GOLD INVENTORY AT THE GLD: A PAPER WITHDRAWAL OF 1.46 TONNES FROM THE GLD////INVENTORY RESTS TONIGHT AT 1112.32 TONNES

MAY 19//WITH GOLD UP $10.60//NO CHANGES IN GOLD INVENTORY AT THE GLD////INVENTORY RESTS AT 1113.78 TONNES

MAY 18/WITH GOLD DOWN $15.40 TODAY: A HUGE CHANGE IN GOLD INVENTORY: A PAPER DEPOSIT OF 9.06 TONNES./INVENTORY RESTS AT 1113.78 TONNES

MAY 15.WITH GOLD UP $16.30 TODAY: A HUGE CHANGE IN GOLD INVENTORY AT THE GLD: A PAPER DEPOSIT OF 12.58 TONNES/  INVENTORY RESTS AT 1104.72 TONNES

MAY 14//WITH GOLD UP $19.25 TODAY: NO CHANGES IN GOLD INVENTORY AT THE GLD////INVENTORY RESTS AT 1092.14 TONNES

MAY 13//WITH GOLD UP $9.05 TODAY: A HUGE CHANGE IN GOLD INVENTORY AT THE GLD//A DEPOSIT OF 11.07 TONNES/INVENTORY RESTS AT 1092.14 TONNES

MAY 12//WITH GOLD UP $6.60 TODAY; A SMALL CHANGES IN GOLD INVENTORY AT THE GLD/: A WITHDRAWAL OF .58 TONNES FROM THE GLD///INVENTORY RESTS AT 1081.07 TONNES

MAY 11/WITH GOLD DOWN $12.65 TODAY: NO CHANGES IN GOLD INVENTORY: //INVENTORY RESTS AT 1081.65 TONES..

MAY 8/WITH GOLD DOWN $7.00 TODAY; A BIG CHANGE IN GOLD INVENTORY: A PAPER ADDITION OF 5.85 TONNES/INVENTORY RESTS AT 1081.65 TONNES

MAY 7/WITH GOLD UP $29.65 TODAY : A SMALL CHANGE IN GOLD INVENTORY AT THE GLD//A PAPER ADDITION OF .41 TONNES/INVENTORY RESTS AT 1075.80 TONNES

MAY 6//WITH GOLD DOWN $17.00 TODAY/ A HUGE CHANGE IN GOLD INVENTORY AT THE GLD//A PAPER ADDITION OF 3.68 TONNES/INVENTORY RESTS AT 1075.39 TONES

MAY 5/WITH GOLD DOWN $1.65 TODAY: A HUGE CHANGE IN GOLD INVENTORY AT THE GLD: A PAPER ADDITION OF 3.81 TONNES//INVENTORY RESTS AT 1071.71 TONNES

MAY 4//WITH GOLD UP $12.00 TODAY//A HUGE CHANGE IN GOLD INVENTORY AT THE GLD: A MASSIVE PAPER DEPOSIT OF 11.4 TONNES INTO THE GLD////GOLD INVENTORY RESTS AT 1067.90 TONNES

MAY 1/WITH GOLD UP $8.45 NO CHANGES IN GOLD INVENTORY AT THE GLD//INVENTORY RESTS AT 1056.50 TONNES

 

xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx

Inventory rests tonight at

JUNE 11/ GLD INVENTORY 1135.05 tonnes*

LAST;  839 TRADING DAYS:   +191,05 NET TONNES HAVE BEEN REMOVED FROM THE GLD

 

LAST 739 TRADING DAYS://+366.35  TONNES HAVE NOW BEEN ADDED INTO  THE GLD INVENTORY.

 

 

end

 

 

Now the SLV Inventory/

JUNE 11//WITH SILVER UP 6 CENTS TODAY: A HUGE CHANGE IN SILVER INVENTORY: A PAPER DEPOSIT OF XX MILLION OZ//INVENTORY RESTS AT XXX MILLION OZ//

JUNE 10/WITH SILVER  UP 3 CENTS TODAY: NO CHANGES IN SILVER INVENTORY AT THE SLV//INVENTORY RESTS AT 472.849 MILLION OZ//

JUNE 9/WITH SILVER DOWN 6 CENTS TODAY//A HUGE CHANGE IN SILVER INVENTORY AT THE SLV: A DEPOSIT OF 2.605 MILLION OZ INTO THE SLV////INVENTORY RESTS AT 422.849 MILLION OZ//

JUNE 8/WITH SILVER UP 36 CENTS TODAY: TWO HUGE WITHDRAWALS OF 932,000 MILLION OZ AND 1.491 MILLION OZ FROM THE SLV//INVENTORY RESTS AT 470.240 MILLION OZ//

JUNE 5/WITH SILVER DOWN 46 CENTS TODAY: A SMALL CHANGE IN SILVER INVENTORY AT THE SLV: A PAPER WITHDRAWAL OF 648,000 OZ FROM THE SLV////INVENTORY RESTS AT 472.663  MILLION OZ

JUNE 4//WITH SILVER UP 8 CENTS TODAY: NO CHANGES IN SILVER INVENTORY AT THE SLV.//INVENTORY RESTS AT 473.315 MILLION OZ//

 

JUNE 3//WITH SILVER DOWN 23 CENTS TODAY//NO CHANGES IN SILVER INVENTORY AT THE SLV//

INVENTORY RESTS AT 473.315 MILLION OZ//

JUNE 2//WITH SILVER DOWN 31 CENTS TODAY; A HUGE CHANGES IN SILVER INVENTORY AT THE SLV: A HUMONGOUS 6.686 MILLION OZ ADDED TO THE SLV////INVENTORY RESTS TONIGHT AT 473.315 MILLION OZ//

JUNE 1//WITH SILVER UP 38 CENTS TODAY: A HUGE CHANGE IN SILVER INVENTORY AT THE SLV: A DEPOSIT OF 3.56 MILLION OZ INTO THE SLV////INVENTORY RESTS TONIGHT AT 466.629 MILLION OZ//

MAY 29//WITH SILVER UP 52 CENTS TODAY: A MASSIVE DEPOSIT OF 2.796 MILLION OZ INTO THE SLV//INVENTORY RESTS THIS WEEKEND AT 463.273 MILLION OZ//

MAY 28//WITH SILVER UP 9 CENTS TODAY: A MASSIVE  CHANGE IN SILVER INVENTORY AT THE SLV: A DEPOSIT OF 4.660 MILLION OZ INTO THE SLV////INVENTORY RESTS AT 460.477 MILLION OZ//

MAY 27/WITH SILVER UP 13 CENTS TODAY: NO CHANGES IN SILVER INVENTORY AT THE SLV//INVENTORY RESTS AT 455.817 MILLION OZ//

MAY 26//WITH SILVER DOWN 9 CENTS TODAY: NO CHANGES IN SILVER INVENTORY AT THE SLV/// INVENTORY RESTS AT 455.817 MILLION OZ//

MAY 22/WITH SILVER UP 22 CENTS TODAY/ A HUGE PAPER WITHDRAWAL OF 1.864 MILLION OZ//INVENTORY RESTS AT 455.817 MILLION OZ/

LAST 5 DAYS: SILVER UP 60 CENTS: INVENTORY  UP A WHOOPING 23.767 MILLION OZ///

MAY 21/WITH SILVER DOWN 50 CENTS TODAY: A HUGE PAPER DEPOSIT OF 7.923 MILLION OZ///INVENTORY RESTS AT 457.681 MILLION OZ//

MAY 20//WITH SILVER UP ANOTHER 11 CENTS TODAY: A HUGE CHANGE IN SLV INVENTORY: A HUGE PAPER DEPOSIT OF 9.601 MILLION OZ INTO THE SLV// //INVENTORY RESTS AT 449.758 MILLION OZ

MAY 19/WITH SILVER UP ANOTHER 29 CENTS TODAY:  NO CHANGES IN SILVER INVENTORY AT THE SLV////INVENTORY RESTS AT 440.157 MILLION OZ//

MAY 18/WITH SILVER UP ANOTHER 48 CENTS TODAY: TWO BIG CHANGES IN SILVER INVENTORY AT THE SLV I.E. 2 PAPER DEPOSIT OF ( I) 8.39 MILLION OZ AND THEN ( 2) 8.109 MILLION OZ//INVENTORY RESTS AT 432.048 MILLION OZ// (TOTAL DEPOSITS 16.500 MILLION OZ///)

MAY 15/WITH SILVER UP 81 CENTS TODAY: NO CHANGE IN SILVER INVENTORY AT THE SLV: /INVENTORY RESTS AT 423.65 MILLION OZ.

MAY 14//WITH SILVER UP 33 CENTS TODAY: NO CHANGES IN SILVER INVENTORY AT THE SLV.//INVENTORY RESTS AT 423.65 MILLION OZ

MAY 13/WITH SILVER UP 2 CENTS TODAY: A HUGE CHANGES IN SILVER INVENTORY AT THE SLV: A PAPER DEPOSIT OF 2.79 MILLION OZ INTO THE SLV..//INVENTORY RESTS AT 423.65 MILLION OZ//


MAY 12/WITH SILVER UP 5 CENTS TODAY: A BIG CHANGES IN SILVER INVENTORY AT THE SLV: A DEPOSIT OF 3.076 MILLION OZ INTO THE SLV////INVENTORY RESTS AT 420.861 MILLION OZ//

MAY 11.WITH SILVER DOWN 5 CENTS TODAY: NO CHANGES IN SILVER INVENTORY AT THE SLV//INVENTORY RESTS AT 417.785 MILLION OZ//

MAY 8/WITH SILVER UP 11 CENTS TODAY: A HUGE CHANGE IN SILVER INVENTORY AT THE SLV: A MONSTER DEPOSIT OF 4.661 MILLION OZ OF SILVER INTO THE SLV..///INVENTORY RESTS AT 417.785 MILLION OZ//

MAY 7/WITH SILVER UP 45 CENTS TODAY: NO CHANGES IN SILVER INVENTORY AT THE SLV//INVENTORY RESTS AT 413.124 MILLION OZ//

MAY 6/WITH SILVER DOWN 6 CENTS TODAY: NO CHANGES IN SILVER INVENTORY AT THE SLV//INVENTORY RESTS AT 413.124 MILLION OZ//

MAY 5/WITH SILVER UP 17 CENTS TODAY: NO CHANGES IN SILVER INVENTORY AT THE SLV//INVENTORY RESTS AT 413.124 MILLION OZ///

MAY 4//WITH SILVER DOWN 5 CENTS TODAY:2 HUGE PAPER CHANGES IN SILVER INVENTORY AT THE SLV.i).A  LARGE 1.399 MILLION OZ OF PAPER SILVER REMOVED FROM THE SLV//..//INVENTORY RESTS AT 411.427 MILLION OZ and ii) A LARGE 1.647 MILLION OZ OF PAPER SILVER ADDED TO THE SLV//  INVENTORY RESTS AT 413.124 MILLION OZ//


MAY 1/WITH SILVER FLAT IN PRICE: NO CHANGES IN SILVER INVENTORY AT THE SLV//INVENTORY RESTS AT 412.826 MILLION OZ///

 

JUNE 11.2020:

SLV INVENTORY RESTS TONIGHT AT

472.849 MILLION OZ.

END

 

LIBOR SCHEDULE AND GOFO RATES//  GOLD LEASE RATES

 

 

YOUR DATA…..

6 Month MM GOFO 2.62/ and libor 6 month duration 0.43

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

GOLD LENDING RATE: -2.19%

NEGATIVE GOLD LEASING RATES INCREASING BY A HUGE AMOUNT//GOLD SCARCITY AND CENTRAL BANKS CALLING IN ALL OF THEIR GOLD LEASES

 

XXXXXXXX

12 Month MM GOFO
+ 2.62%

LIBOR FOR 12 MONTH DURATION: 0.65

 

GOFO = LIBOR – GOLD LENDING RATE

GOLD LENDING RATE  = -2.19%

 

 

 

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

 

 

ii) Important gold commentaries courtesy of GATA/Chris Powell

the crooked Fed:  bailing out their budding and leaving Wall Street to burn..

Pam and Russ Martens/Wall; Street on Parade/gata

Pam and Russ Martens: The Fed just pulled off another backdoor bailout of Wall Street

 Section: 

By Russ and Pam Martens
Wall Street on Parade
Wednesday, June 9, 2020

The Federal Reserve has authorized 11 financial bailout programs thus far. Despite Fed Chairman Jerome Powell’s reassurances at his press conferences that these programs are to help American families, a full 10 of these programs are actually bailouts of Wall Street banks or their trading units.

The latest Wall Street bank bailout to come out of hiding is the Fed’s Secondary Market Corporate Credit Facility (SMCCF). This program was supposed to buy up corporate bonds in the secondary market in order to help corporate bond markets regain liquidity. Thus far, the only thing the SMCCF has bought up are exchange-traded funds (ETFs) holding investment grade and junk-rated bonds.

… 

The SMCCF program began operations on May 12. By May 18 the Fed had spent $1.58 billion buying up ETFs. The goal of the facility, at this point, is to spend $250 billion on ETFs and secondary market corporate bonds. The U.S. Treasury Department was supposed to hand over $25 billion of taxpayer money to eat losses on the SMCCF program. Instead, without explanation, the latest data from the Fed shows that the Treasury deposited $37.5 billion into the SMCCF, suggesting the program is expecting losses of greater than $25 billion.

The bulk of the purchases of ETFs were those issued by BlackRock, the company to whom the New York Fed has outsourced the program. The Fed is allowing BlackRock to buy up its own, previously sinking ETFs as well as those of other ETF issuers. The New York Fed gave BlackRock a no-bid contract to run the program as investment manager. But that’s far from the only outrage. …

… For the remainder of the report:

https://wallstreetonparade.com/2020/06/the-fed-just-pulled-off-another-b…

END

A good history listen on the gold-silver ratio throughout history

SDBullion/GATA

The gold-silver ratio throughout history — a great study by SDBullion

 Section: 

2:28p ET Wednesday, June 9, 2020

Dear Friend of GATA and Gold:

The people at SDBullion in Ottawa Lake, Michigan, today published a magisterial study of the gold-silver ratio throughout history. It comes with an amazing chart tracking the ratio back to 1862 during the U.S. Civil War. The data suggests that silver should do well in the days ahead.

The study is headlined “Gold/Silver Ratio Timeline” and it’s posted at SDBullion here:

https://sdbullion.com/gold-silver-ratio-chart

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

end

iii) Other physical stories:

 

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

71671201

Spencer Platt | Getty Images

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

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

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

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

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

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

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

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

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

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

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

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

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

end

March 4.2019

Parker City News

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

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

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

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

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

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

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

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

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

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

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

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

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

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

Kovel declined to comment.

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

-END-

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

 Section: 

9:47a ET Tuesday, March 5, 2019

Dear Friend of GATA and Gold:

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

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

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

… 

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

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

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

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

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

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

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

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

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

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

* * *

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

i) Chinese yuan vs USA dollar/CLOSED / LAST AT: 7.0695/ GETTING VERY DANGEROUSLY PAST 7:1

//OFFSHORE YUAN:  7.0690   /shanghai bourse CLOSED DOWN 22.85 POINTS OR 0.78%

HANG SANG CLOSED DOWN 569.58 POINTS OR 2.27%

 

2. Nikkei closed DOWN 652.04 POINTS OR 2.82%

 

 

 

 

3. Europe stocks OPENED ALL RED/

 

 

 

USA dollar index UP TO 96.33/Euro FALLS TO 1.1219

3b Japan 10 year bond yield: FALLS TO. +.01/ !!!!(Japan buying 100% of bond issuance)/Japanese yen vs usa cross now at 107.08/ 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:: 37.73 and Brent: 40.04

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

3i European bond buying continues to push yields lower on all fronts in the EMU. German 10yr bund FALLS TO -.39%/Italian 10 yr bond yield DOWN to 1.48% /SPAIN 10 YR BOND YIELD DOWN TO 0.62%…ITALIAN 10 YR BOND YIELD/GERMAN BUND: 1.87: DANGEROUS FOR THE ITALIAN BANKING SYSTEM

3j Greek 10 year bond yield FALLS TO : 1.31

3k Gold at $1726.00 silver at: 17.82   7 am est) SILVER NEXT RESISTANCE LEVEL AT $18.50

3l USA vs Russian rouble; (Russian rouble DOWN 10/100 in roubles/dollar) 62.99

3m oil into the 37 dollar handle for WTI and 40 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 107.08 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 .9422 as the Swiss Franc is still rising against most currencies. Euro vs SF is 1.06977 well above the floor set by the Swiss Finance Minister. Thomas Jordan, chief of the Swiss National Bank continues to purchase euros trying to lower value of the Swiss Franc.

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

3r the 10 Year German bund now NEGATIVE territory with the 10 year FALLING to 0.39%

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 0.70% early this morning. Thirty year rate at 1.47%

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

6.  TURKISH LIRA:  UP  TO 6.8185..

S&P Futures, World Stocks Tumble On Dismal Fed Outlook, Second Virus Wave Fears

According to analysts, it was one of the most dovish Fed statements in history. It was also not enough to offset the Fed’s gloomy and uncertain outlook which sees unchanged rates until 2022 and an economy that fails to recover its 2019 highs for at least three years. As a result global stocks dropped the most in five weeks and US equity futures tumbled on Thursday not only on the Fed’s sobering outlook but also on rising signs that a second wave of the pandemic has arrived; bonds rallied on bets yet more stimulus would be needed to ensure recovery and the dollar ominously rebounded indicating that financial conditions are about to get tighter again.

The MSCI All-world index slid 0.75% in its largest daily loss in five weeks, while E-Mini futures for the S&P 500 fell 2% to extend the previous session’s pullback on Wall Street, sliding as lows as 3,100 a day after Powell suggested the pandemic could inflict long-lasting damage on the economy. Futures legged lower after the WSJ reproted that the EU is reportedly mulling formal antitrust charges against Amazon in the next week or two over treatment of third-party sellers, according to WSJ citing sources.

Market sentiment also took a hit as new coronavirus infections in the United States showed a slight increase after five weeks of declines, topping 2 million, but only part of which was attributed to more testing; this has led to fears of a second wave in Texas and Florida. Consider the following headlines from Bloomberg:

  • Texas reported their highest 1 day new coronavirus cases total since the pandemic emerged
  • A month after reopening, Florida reported the most new cases of any seven day period-to-date
  • California’s hospitalizations are at their highest since May 13th, having risen in nine of the past 10 days
  • Arizona’s daily tally of new cases has abruptly spiked in the last two weeks, hitting an all-time high of 1,187 on June 2

Eric Toner, a senior scholar at the Johns Hopkins Center for Health Security said that “There is a new wave coming in parts of the country. It’s small and it’s distant so far, but its coming.”

“This is the first time we’ve had a little bit of negative newsflow recently” on developments in the coronavirus, Dean Turner, economist at UBS Global Wealth Management, told Bloomberg TV. “Put that in the context of how far markets have come in the last few weeks, it’s not at all surprising that we get a little bit of profit-taking at this stage.”

U.S. virus cases now top 2 million, with fears of a second wave in Texas and Florida. Treasury Secretary Steve Mnuchin said the U.S. “definitely”needs more fiscal stimulus, supporting prospects for another round this summer. European policy makers meet Thursday on whether to boost aid.

Europe’s main bourses all opened with a heavy thud, with the Stoxx Europe 600 Index sinking, as sectors that were bought up in the recent rally such as banks and travel leading declines.  London’s FTSE, Frankfurt’s DAX and Paris’s CAC40 were all down more than 2.5% in what for coronavirus-sensitive sectors such as carmakers and travel and tourism was a fourth straight day of drops.

Asian stocks saw a 10-day winning streak come to an abrupt finish, the drop led by finance and energy stocks in Japan and Australia. Trading volume for MSCI Asia Pacific Index members was 12% above the monthly average for this time of the day. The Topix declined 2.2%, with DLE and Relia falling the most. The Shanghai Composite Index retreated 0.8%, with Beijing Urban-Rural Commercial Group and Shanghai Fenghwa Group posting the biggest slides.

In a reality check to the stock market’s recent euphoria, the Fed predicted the U.S. economy would shrink 6.5% in 2020 and unemployment would still be at 9.3% at year’s end.

Shortly after the latest inflation data showed core U.S. consumer prices fell for a third straight month in May, the longest stretch of declines on record, Fed Chair Jerome Powell said he was “not even thinking about thinking about raising rates”. Instead, he emphasized recovery would be a long road and that policy would have to be proactive with rates near zero out to 2022.

“While Powell did not commit to any new action at this time, his focus on downside risk and uncertainty reinforces the message that they will take further action, probably by September,” JPMorgan economists said. “Outcome or calendar-based guidance looks likely and Powell left the door open for moving to some form of interest rate caps.” Powell also confirmed the Fed was studying yield curve control, although he did not hint that a launch was imminent.

YCC is probably further away today after yields on 10-year Treasuries fall 9 basis points on Wednesday, the biggest daily drop in almost two months. Treasuries extended their rally, with the biggest advance in the long end of the curve, in the wake of the Fed’s signal that it would keep rates near zero for years to come and continue its bond buying at least at current levels. 10Y yields were down at 0.70% on Thursday, a sharp rally from last week’s peak of 0.96%. German Bund yields – the benchmark for Europe – duly followed. Their 10-year levels fell to an eight-day low in early trade at -0.37%, falling 4 basis points on the day.

In FX, the risk of more Fed easing initially had the U.S. dollar under pressure, seeing it touch a three-month low against a basket of currencies at 95.714. But it then staged a rebound back towards 96.500 as risk appetite waned and stocks came off.  The Bloomberg Dollar Spot Index bounced back above 1200 and the greenback advanced against most Group-of-10 peers amid a flight to safety. Commodity currencies, led by the Australian dollar and the Norwegian krone, were the biggest losers after renewed concern about the global economy and rising U.S. coronavirus cases sparked a selloff in risk assets; oil prices slumped. The yen advanced to a 4-week high versus the dollar and the Swiss franc rose to its strongest level since mid-March amid haven demand, while the pound was hurt by the risk-off tone. Sweden’s krona pared some losses after inflation came in higher than forecast.

Crude oil declined while gold faded some of Wednesday’s gain amid the rise in the dollar. WTI and Brent front month future conformed to the overall risk aversion post-Powell with added weight from a resurgence in cases State-side and ongoing questions regarding the enforcement of OPEC compliance among laggard producers. Fresh news-flow has been light for the complex this morning with price action more-so a continuation of downside from the US and APAC sessions. WTI Jul briefly breached USD 38/bbl to the downside (vs. high 39.09) multiple times but USD 37.90/bbl held as a support throughout the session thus far.

Looking at the day ahead now, data highlights include initial jobless claims from the US, along with May’s PPI reading. There’ll also be a video conference of the Eurogroup taking place. Adobe and Lululemon are among companies reporting earnings

Market Snapshot

  • S&P 500 futures down 1.6% to 3,134.25
  • STOXX Europe 600 down 2.4% to 359.47
  • MXAP down 1.8% to 159.38
  • MXAPJ down 1.7% to 512.93
  • Nikkei down 2.8% to 22,472.91
  • Topix down 2.2% to 1,588.92
  • Hang Seng Index down 2.3% to 24,480.15
  • Shanghai Composite down 0.8% to 2,920.90
  • Sensex down 1.4% to 33,774.99
  • Australia S&P/ASX 200 down 3.1% to 5,960.64
  • Kospi down 0.9% to 2,176.78
  • German 10Y yield fell 4.8 bps to -0.379%
  • Euro up 0.09% to $1.1384
  • Italian 10Y yield rose 5.0 bps to 1.422%
  • Spanish 10Y yield fell 2.8 bps to 0.649%
  • Brent futures down 3.1% to $40.43/bbl
  • Gold spot down 0.2% to $1,734.61
  • U.S. Dollar Index up 0.2% to 96.11

Top Overnight News

  • A second wave of cases in America is raising alarms after new infections pushed the overall count past 2 million
  • U.K. Prime Minister Boris Johnson is battling to contain a public split with his top scientific advisers after they warned the government must learn from a catalog of failures it made during the coronavirus crisis
  • Governor Haruhiko Kuroda says Thursday the Bank of Japan will take all necessary measures to protect jobs, businesses and people’s livelihoods amid the pandemic
  • European Central Bank Chief Economist Philip Lane says the PEPP expansion last week is aimed at helping a recovery and countering a “substantial negative shock to the inflation trajectory”

Asian equity markets ended the session lower as the region took its cue from the underwhelming performance on Wall St where the spotlight was on the FOMC which maintained rates as expected and projected no change in rates through to 2022, while members forecast a 6.5% contraction in the economy this year and Fed Chair Powell also struck a cautious tone during the press conference. This resulted to a choppy reaction in US stocks and most major indices finished negative with energy and financials resuming their underperformance, although tech continued to buck the trend to lift the Nasdaq to its first ever close above the 10k landmark. ASX 200 (-3.1%) and Nikkei 225 (-2.8%) were lower as Australia’s financials and energy sectors mirrored the hefty losses seen in their counterparts stateside, while sentiment in Japan was pressured by a firmer currency and further deterioration of large business surveys in which the BSI Large Manufacturing Index slumped to -52.3 from -17.2. Hang Seng (-2.3%) and Shanghai Comp. (-0.8%) were mixed following another drab PBoC liquidity effort and with participants mulling mixed Chinese financing data, with focus also on IPO developments after NetEase shares surged around 10% at the open on its Hong Kong debut. 10yr JGBs edged higher and broke above the 152.00 level amid gains in T-notes and weakness in stocks, while the results of the enhanced liquidity auction in the long- to super-long end were mixed but attracted a slightly higher b/c.

Top Asian News

  • Booming Online Businesses Are Next Target in Philippine Tax Hunt
  • SoftBank’s China Chip Venture Rejects Accusations Against CEO
  • Even With $500 Billion Warchest, RBI Won’t Let Rupee Climb
  • JD Is Said to Raise $3.9 Billion in Year’s Second-Largest Listing

European equities continue to bleed as the session is underway [Euro Stoxx 50 -2.2%], following a similarly downbeat APAC handover as sentiment takes a hit post-Fed with investors weighing the prospect of resurging COVID-19 cases in the US – with Texas seeing the highest one-day total since the pandemic began, Florida cases rising above key recent averages and California hospitalisations at the highest since early May. Add to that the background tensions brewing between US and China, geopolitical tensions in the Korean peninsula, Brexit risk and disagreement over EU member states over the Recovery Fund proposals. Major European bourses trade with losses deeper than 2% at the time of writing, with Netherland’s AEX (-1.5%) faring somewhat better as Unilever (+2.3%) cushioned the index as the group is to combine its Anglo-Dutch arms to streamline M&As. UK’s FTSE 100 (-2.3%) fails to glean much support from the stock as exporters bear the brunt of a firmer Sterling. Sectors all reside in the red with defensives outpacing cyclicals – Energy, Financials and Consumer Discretionary lag. The detailed breakdown paints a similar anti-cyclical picture with Travel & Leisure taking a hit on the prospect of a second wave. In terms of individual movers, Lufthansa (-6.5%) pared back a bulk of opening losses after plunging 12% at the open after stating they have a surplus of 26k employees and said job cuts would be “significantly more” than the 10k figure previously estimate. Meanwhile, PSA (-6.3%) and Fiat Chrysler (-5.6%) are subdued amid reports the merger is facing a full-scale antitrust probe as they have failed to provide the necessary concessions to EU Officials regarding the van units which they have reportedly been reluctant to sell, according to sources.

Top European News

  • Generali Is Said to Explore Options for Swiss Insurance Unit
  • Europeans Are Hoarding Billions and Have Few Plans to Spend Them
  • Unilever to Combine British, Dutch Arms in U.K. in Reversal
  • Biting Passenger Gets EU Airlines Off Hook for Flight Delays

In FX, the DXY has been choppy in wake of the FOMC, but ultimately still more inclined to extend its losing streak within a 96.503-95.946 range as the Greenback underperforms G10 counterparts with a greater weighting in the basket. For the record, no new policy changes emerged from the Fed, but maintaining accommodation via QE was reaffirmed and the new dot plots signalled no change in rates until the end of 2022, albeit not indicating any chance of NIRP either. However, beyond a nod to last Friday’s gravity-defying headline payrolls count the FOMC’s prognosis of the economic situation and tone of Chair Powell’s presser was largely downbeat. Hence, no real respite for the Buck aside from recovery gains vs high beta and more risk sensitive rivals, especially as doubts about reopening from COVID-19 have been subsequently compounded by reports of 2nd waves of the pandemic in several US states that have lifted restrictions.

  • CHF/JPY/EUR – All extending advances against the Dollar, with the Franc now on the cusp of 0.9400 and testing 1.0700 vs the Euro even though Eur/Usd is rebounding towards Wednesday’s 1.1400+ spike highs. Meanwhile, the Yen continues to grind higher and has now soaked up offers ahead of 107.00 to expose another prior peak at 106.74 that was last seen on May 13 and constituted a higher low for the headline pair.
  • GBP/SEK/CAD/NZD/AUD/NOK – The Pound remains top heavy around 1.2750 in Cable terms and above 0.8900 on the Eur/Gbp cross due to rising Brexit no deal probability and coronavirus contagion, but the Swedish Krona has gleaned some protection from broad risk aversion following firmer than forecast inflation data rather than Riksbank remarks, as Jansson contends that the near term contraction in GDP may be a bit worse than envisaged in April’s projections. Indeed, Eur/Sek is holding below 10.5000 whereas Eur/Nok has rebounded much further from recent lows to 10.7000+ at one stage amidst a deeper retreat in crude prices that is also weighing on the Loonie, with Usd/Cad firmly above 1.3400 again between 1.3398-1.3498 parameters. Similar story down under where the Kiwi and Aussie have recoiled from best levels to trade sub-0.6500 and close to 0.6900 vs their US peer, albeit with Aud/Usd holding just above stops said to be sitting in wait at 0.6898, while Nzd/Usd is now eyeing US weekly claims and PPI before Westpac’s Q2 NZ consumer survey, May manufacturing PMI and FPI for further direction.
  • EM – Risk-off positioning undermining most regional currencies, but the Yuan and Lira weathering outflows better than others after another dip in the PBoC Usd/Cny fix and Usd/Try is capped by chart resistance circa 6.7900-50.

In commodities, WTI and Brent front month future conform to the overall risk aversion post-Powell with added weight from a resurgence in cases State-side and ongoing questions regarding the enforcement of OPEC compliance among laggard producers. Fresh news-flow has been light for the complex this morning with price action more-so a continuation of downside from the US and APAC sessions. WTI Jul briefly breached USD 38/bbl to the downside (vs. high 39.09) multiple times but USD 37.90/bbl held as a support throughout the session thus far. Meanwhile, Brent Aug trickles lower in tandem as it hovers around USD 40.50/bbl having found a mild base at USD 40.10/bbl and having waned off highs a touch above USD 41.00/bbl. Spot gold sees muted price action relative to the melt-down in stocks and bounce in bonds – with the yellow metal stable north of USD 1725/oz (USD 1727-40/oz intraday range) as it juggles USD action with the risk aversion in the market. Copper meanwhile retraces some of recent supply-led gains, with the risk-off tone also possibly providing the red metal with downside impetus as prices retreat from the USD 2.7/lb mark and closer to USD 2.65/lb.

US Event Calendar

  • 8:30am: PPI Final Demand YoY, est. -1.2%, prior -1.2%; MoM, est. 0.1%, prior -1.3%
  • 8:30am: PPI Ex Food and Energy YoY, est. 0.4%, prior 0.6%; MoM, est. -0.1%, prior -0.3%;
  • 8:30am: Initial Jobless Claims, est. 1.55m, prior 1.88m; Continuing Claims, est. 20m, prior 21.5m
  • 9:45am: Bloomberg Consumer Comfort, prior 37

DB’s Jim Reid concludes the overnight wrap

The Fed reiterated that it expects to maintain the near-zero fed funds rate until it is confident the economy is on track to achieve the central bank’s dual mandate. The quarterly dot plot, which was not published back in March due to the high level of uncertainty in forecasting, showed rates near-zero through 2022. It was a strong signal with only two dots above zero in 2022. Powell reinforced this message with the line that they are not even “thinking about thinking about raising rates.”

Along that timeline, the central bank does not expect GDP to return to pre-recession levels until at least 2022. On QE, the Fed said that it would continue its purchases “at least at its current pace,” which amounts to $80bn Treasuries and $40bn MBS per month. This was perhaps the most dovish development as it puts a floor on how much the Fed could buy, while leaving them able to surprise to the upside.

During the press conference Powell tried to downplay last week’s jobs report surprise and manage overall expectations of the considerable risks ahead for the US economy. He said that the Fed, “will continue to use our emergency powers forcefully, proactively and aggressively until the economy is solidly on the path to recovery”. He also stressed the need for fiscal support to stimulate the economy, considering the Fed only has the power to lend. Powell called the outlook extraordinarily uncertain, but that a full recovery is unlikely before people feel safe to resume normal activities. Is that just a step away from saying before a vaccine or herd-immunity is present? In the prepared remarks Powell touched on yield curve control, saying it remains an open question. DB think they’ll announce it in September where it’ll be focused on the 3 year part of the curve. Powell also touched on the topic of asset price inflation saying that “we’re not focused on moving asset prices in a particular direction at all, it’s just we want markets to be working and partly as a result of what we’ve done, they are working.” He also alluded to the fact that the Fed was unlikely to hold back just because of high asset prices as the damage to “normal people” would be greater. So a pretty explicit message. See our economists’ piece on the meeting here.

Going into the FOMC, the equity market looked somewhat like it did on Tuesday with the S&P 500 down slightly due to cyclicals lagging and technology stocks outperforming. The market rallied around 0.7% on the press release and through the early moments of the press conference before moving between gains and losses throughout the final 2 hours of trading as Powell spoke. The S&P 500 finally closed down -0.53%. Information Technology (+1.69%) was the only sector higher in the US, as the NASDAQ rose +0.67% to another record high. With the Fed dot plot showing rates low through 2022, US Bank stocks were the worst performing industry, down -5.75% – nearly 2.5% of that move came after the Fed announcement. In other assets, the US dollar fell to a 3-month low dropping -0.29% on the day. Gold rallied +1.06% with yields likely to remain low, and to that effect 10yr Treasuries fell -9.1bps to 0.735%.

Asian markets have also weakened this morning, with notable losses for the Nikkei (-2.05%) and ASX (-3.14%) in particular, while the Hang Seng and Kospi are down -1.04% and -1.41% respectively. Bourses in China are bucking the trend, trading close to flat. Yields on 10y Treasuries are down another -1.6bps and futures on the S&P 500 are trading down -0.88%. Elsewhere, WTI oil prices are trading down -3.11% to $38.38 after a buildup in US crude stockpiles.

Seemingly also not helping sentiment this morning is news that Texas reported 2,504 new coronavirus cases yesterday, the highest one-day total since the pandemic emerged. The latest numbers also show a pickup in cases in Florida and California. Eric Toner, a senior scholar at the Johns Hopkins Center for Health Security said that “There is a new wave coming in parts of the country. It’s small and it’s distant so far, but its coming.” A reminder that the current case and fatality Covid tables are in the pdf every day in the EMR.

As we navigate through the economic impact of the virus, yesterday we also published our latest weekly PowerPoint-based Exit Strategy Policy Tracker to help compare the current state of play towards reopening major economies. You can find the latest edition here.

The virus continued to cast a shadow on the data yesterday as May’s US CPI reading underperformed expectations. In terms of the month-on-month measure, both the CPI and core CPI readings came in at -0.1% (vs. 0.0% expected for both). That left the main CPI reading at just +0.1% year-on-year, which is its lowest annual rate since September 2015, while the core CPI print of +1.2% was its lowest since March 2011.

Meanwhile in Europe yesterday, financial markets struggled ahead of the Fed’s decision, as European equities fell for a 3rd day in a row. The STOXX 600 ended the session down -0.38%, while the DAX (-0.70%) and the CAC 40 (-0.82%) saw even larger falls. Against this backdrop, there was also a further divergence in sovereign bond spreads between the core and periphery. In fact, the spread of Spanish and Portuguese yields over 10yr bunds now stand above their levels before the ECB’s announcement of an extra €600bn in asset purchases last week, widening by a further +6.3bps and +7.0bps respectively. And the Italian spread also widened by +7.3bps in what was its 3rd consecutive move higher.

This repricing of peripheral risk came against the backdrop of a number of ECB headlines yesterday. Isabel Schnabel of the executive board said that the ECB didn’t “necessarily have to extend our toolbox already right now, but according to how the crisis develops there may be a time when this becomes necessary”. However, the Estonian central bank governor, Madis Muller, said that if growth recovered as expected in the second half and the inflation outlook didn’t worsen, “then I think an additional increase in the asset-purchase program isn’t needed”. Yesterday marked the first time in over two weeks that market expectations of Euro Area inflation fell, with five-year forward five-year inflation swaps snapping a run of 11 successive increases to fall by -1.6bps to 1.08%.

Staying with Europe, and yesterday saw a number of Brexit headlines, as the EU’s chief negotiator, Michel Barnier, said that there needed to be “clear and concrete signals” that the UK would compromise in order to reach a trade deal. It came as the Guardian reported that the European Parliament could veto such a deal if there weren’t “robust” safeguards, according to a draft resolution. That would include a level playing field, which has proven one of the biggest sticking points in the talks, but was described in the resolution as a “necessary condition for the European parliament to give its consent to a trade agreement with the UK”. Thus far the negotiations haven’t made much headway at all, so all eyes will be on a meeting expected later this month between Prime Minister Johnson and Commission President von der Leyen to see whether they will be able to break the deadlock. Remember that if a free-trade agreement can’t be reached, then we arrive at another Brexit cliff-edge at the end of the year (apologies if you’re experiencing déjà vu now…), since the end of the transition period sees the UK automatically leave the EU’s single market and customs union.

Aside from the US CPI reading there wasn’t a great deal of other data yesterday. However, we did get French industrial production for April, which fell by a further -20.1%, following a -16.2% decline in March.

To the day ahead now, and data highlights include Italian industrial production for April, weekly initial jobless claims from the US, along with May’s PPI reading for the US. This afternoon, there’ll also be a video conference of the Eurogroup taking place.

 

3A/ASIAN AFFAIRS

i)THURSDAY MORNING/ WEDNESDAY NIGHT: 

SHANGHAI CLOSED DOWN 22.85 POINTS OR 0.78%  //Hang Sang CLOSED DOWN 569.58 POINTS OR 2.27%   /The Nikkei closed DOWN 652.04 POINTS OR 2.82%//Australia’s all ordinaires CLOSED DOWN 3.03%

/Chinese yuan (ONSHORE) closed UP  at 7.0695 /Oil DOWN TO 37.73 dollars per barrel for WTI and 40.04 for Brent. Stocks in Europe OPENED RED//  ONSHORE YUAN CLOSED UP// LAST AT 7.0685 AGAINST THE DOLLAR. OFFSHORE YUAN CLOSED UP ON THE DOLLAR AT 7.0690 TRADE TALKS STALL//YUAN LEVELS GETTING DANGEROUSLY PAST 7:1//TRUMP INITIATES A NEW 25% TARIFFS FRIDAY/MAY 10/MAJOR PROBLEMS AT HUAWEI /CFO ARRESTED/CORONAVIRUS PANDEMIC  : /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/USA LATIN AMERICA/ASIA

Data suggests that China is shunning the USA trade deal

(zerohedge)

“Rush Hour Traffic” Of Soybean Ships From LatAm To Asia, As China Ditches US

Soybean futures were flat on Thursday morning amid oversupplied conditions globally, though the market was at a two month high from China increasing agriculture shipments. Prices remain near correction territory, down 9% since President Trump signed an agreement between the US and China to increase purchases of American products, dubbed the phase one trade deal.

Tracking bulk carriers of soybean shipments, Reuters’ Karen Braun discovers a “rush hour traffic of soybeans from South America to Asia continues.”

Braun said, “Official export data suggests Brazil shipped close to 31 mmt in April-May. That includes 22.2 mmt to China, some 66% more than the same period a year ago.”

She also shows a progression map of soybean shipments post the signing of the phase one trade deal through June 10. What it suggests is that China dramatically increased soybean shipments from South America while altogether ditching US markets.

“Here’s a little 2020 progression. January 30 ➡️ Feb 26 ➡️ March 23 ➡️ April 14. Exports of soybeans from Brazil had a slower start to 2020 than 2019, but through the first five months, they have shipped 37% more than in Jan-May 2019. Jan-May shipments to China are also up 37%,” Braun said.

January 30 soybean shipments 

February 26 soybean shipments

March 23 soybean shipments

April 14 soybean shipments 

May 11 soybean shipments

June 10 soybean shipments

At the moment, very few to no bulk carriers are carrying soybeans across the Pacific Ocean from US West Coast to Asia/China (a decline in shipments has been seen over the last several years since President Trump waged a war on trade against China — Beijing simply went elsewhere to shop).

To be fair, China did make several purchases of soybeans from the US, as of recent. Reuters said last Tuesday that Chinese state-owned Sinograin bought at least 120,000 tons of soybeans for shipment in December.

To sum up, China, and the rest of Asia, are sourcing soybeans from South America, not the US, leaving American farmers devastated as an economic depression unfolds.

President Trump recently said he was “very torn” about whether to end the phase one deal — as tensions between the US and China continue to soar — it appears China refuses to buy from the US.

What’s evident is that China has predictably fallen way short of its commitments of the trade deal as it now blames virus pandemic for reduced purchases.

END

4/EUROPEAN AFFAIRS

UK

London is bracing for a perfect storm where right wing groups clash with leftists like Black Lives Matter as the former defend statues

Watson/Summit News

London Police Warn Of “Perfect Storm” As Right Wing Groups Vow To Defend Statues From BLM

Authored by Steve Watson via Summit News,

London Metropolitan police are preparing for clashes between black lives matter activists and right wing groups this weekend in London, following a call by Tommy Robinson for counter-protests to defend memorials and statues.

Ken Marsh, chairman of the Metropolitan Police Federation, warned “We have got the perfect storm ahead of us this weekend, we have got planned protests and now Tommy Robinson and his agitators.”

Robinson released a short video in which he accused police of being “soft-handed” and allowing BLM protesters to deface memorials and statues, saying that police didn’t want the bad publicity of clashing with non-white protesters.

Robinson endorsed planned counter-demonstrations by multiple football ‘firms’ saying that “If you give a shit at all about our country, our history, our culture, our identity. I expect you are going to be in London next Saturday.”

Robinson noted that police removed the small group of “lads” who were guarding the Winston Churchill statue in London last weekend, only for BLM to then deface it.

Reports indicate that other groups also intend to join the fray, such as ‘Veterans Against Terrorism’, and even biker groups like the ‘Hells Angels’.

Video has already emerged of some members of one of the afore-mentioned ‘firms’ chasing down and delivering beatings to rioters in London this week:

BasedPoland@BasedPoland

The Democratic Football Lads Alliance will organize trips from across the UK to London next Saturday to protect WW2 monuments from BLM vandals. will there too

The first clashes have already taken place. On Sunday,some hooligans attacked a BLM group
⬇️⬇️⬇️

Embedded video

While defacement of statues grabbed more headlines, many were incensed more by the desecration of war memorials.

Neil Hamilton MS/AS

@NeilUKIP

If the media won’t spread these videos, we will.

Anti-British thugs spitting on the memory of veterans that sacrificed themselves for our country. A day after D-Day. This has nothing to do with racism or police brutality, how long will our weak Government tolerate it?

Embedded video

Emma Webb@Emma_A_Webb

The @metpoliceuk have this person’s picture. Desecrating a war memorial and setting fire to the British flag isn’t protest, its hatred.

View image on TwitterView image on Twitter

BLM in the UK has identified at least 60 ‘racist’ statues they say need to be removed for ‘celebrating slavery’.

Meanwhile, London Mayor Sadiq Khan announced the formation of a commission Tuesday to review all London landmarks and street names, and vowed to remove any that offend, and replace them with monuments to ‘diversity’.

Almost immediately, a statue of merchant, slave-factor and ship owner Robert Milligan was removed:

Paul Joseph Watson

@PrisonPlanet

The mob claims another trophy. Churchill next? https://twitter.com/TJFrancisLive/status/1270419917066698752 

Tyrone Francis

@TJFrancisLive

And just like that – the statue of Robert Milligan has been removed from West India Quay in East London

Embedded video

Leftists have been eager to provide suggestions for which statues to target next after a statue of Edward Colston was torn down by in Bristol.

While some are obvious targets for removal, the concern among many is that whatever and whoever is deemed ‘racist’ (at a time where almost anything and everything is called racist) will eventually also be purged.

For example, leftists expressed a desire to topple a statue of Charles, 2nd Earl Grey, a former British Prime Minister, despite the fact that he oversaw the abolition of slavery in the British empire.

END
EU/AMAZON
The EU beat the Dept of Justice to the punch as they bring antitrust charges against Trump hater Amazon
(zerohedge)

EU Beats DOJ To The Punch, Brings Antitrust Charges Against Amazon

After winning a trio of billion-euro judgments against Alphabet over the past three years, the European Commission’s anti-trust head, Margarethe Vestager, a name that strikes fear in to the hearts of Silicon Valley titans like Jeff Bezos and Mark Zuckerberg, is preparing to take on Amazon as her latest target among the US tech giants.

Taking on American tech behemoths is Vestager’s shtick. It’s how she built her reputation as a fierce anti-trust hawk (the DOJ’s newly formed anti-trust task force could probably learn a thing or two from her). Not only is going after these American firms politically safe, but the EU’s strict data protection laws (remember GDPR?) are almost impossible for US tech giants to follow.

To be sure, GDPR has nothing to do with Vestager’s case, which she has been building since at least last summer. Details of the case were  leaked to a pair of WSJ reporters ahead of the official charges being filed, clearly a sign that the leak is a warning shot, not at these companies (who have likely been aware of these investigations for some time), but as an update to the investing public (that’s why it’s going in the Journal, instead of, say, the FT). News of Vestager’s investigation first leaked last summer, so the announcement that the charges will soon be filed really isn’t a surprise.

Another reason WSJ likely got the scoop: Last month, the paper broke a blockbuster story exposing Amazon’s abuses of data gleaned from third-party sellers using its platform. Since Amazon does business as a competitor on the platform which it owns, it’s supposed to allow third-party sellers an equal opportunity to compete. However, over the years, the WSJ has exposed example after example of Amazon deliberately disadvantaging third-party sellers (most of whom are smaller business owners scattered throughout the US), culminating with last month’s report. That’s exactly the thrust of the EU’s anti-trust investigation, as it was described in a leak last summer.

Of course, as we mentioned above, the Trump DoJ, in partnership with the FTC, is investigating evidence of anticompetitive behavior by Amazon and other major tech firms. And Vestager’s office is reportedly investigating Facebook as well.

end

5. RUSSIAN AND MIDDLE EASTERN AFFAIRS

IRAQ/USA//

Rockets slam into the uSA embassy compound in Baghdad last night

(zerohedge)

Rockets Slam Into US Embassy Compound In Baghdad Late Night Attack

Late into Wednesday night local time, multiple rockets were fired at the high secured Green Zone in Baghdad, with at least one rocket appearing to score a direct hit on the front of the US Embassy, according to initial reports.

Video confirmation of the incident is now circulating on social media and shows a building or possibly multiple buildings on fire at the American embassy compound.

Joyce Karam

@Joyce_Karam

BREAKING : Katyusha Rocket attack Targets US Embassy area in Baghdad .

Landed near joint ops center:

Embedded video

Sirens are reportedly billowing across the Green Zone with an emergency response in progress, though there have yet to be any official reports of casualties. The attack occurred near midnight local time.

Such Katyusha rocket attacks have been semi-frequent on the US compound over the past half-year, most often failing to strike the compound directly, but in this case it appears at least one rocket hit its mark.

Kurdistan 24 journalist Barzan Sadiq uploaded footage of the attack aftermath, which shows fires raging, and described it as the result of Katyusha rocket impact.

Barzan Sadiq

@BarzanSadiq

More footage shows the aftermath of Katyusha attack on , .

Embedded video

Sadiq described that “multiple rockets” fell “near” the US Embassy. Another regional correspondent described further that at rocket slammed into a “joint ops center” at the compound.

Past attacks have been promptly blamed by US defense officials on Iran-backed Shia militias operating in Iraq, such as Kata’ib Hezbollah, and thus ultimately on Tehran.

 

The US Embassy at the Green Zone in Baghdad, Iraq. Via Reuters

Tensions have been soaring ever since the Jan. 3rd assassination by US drone strike of Iranian IRGC Quds Force commander Qassem Soleimani, as well as Iraqi Popular Mobilization Forces commander Abu Mahdi al-Muhandis.

END

6.Global Issues

CORONAVIRUS UPDATE/THE GLOBE

CDC Expects 200k COVID-19 Deaths By October As Dreaded ‘Second Wave’ Arrives: Live Updates

Summary:

  • Scott Gottlieb explains the problem with Texas’ response
  • Epidemiologists warn about threat of ‘second wave’
  • Mumbai hospitals overwhelmed
  • Russia cases top 500k
  • Latin America death toll tops 80k
  • US projects nearly 200k COVID deaths by October
  • LA County still seeing ~1,300 new cases a day as reopening continues

* * *

Update (0720ET): Former FDA Commissioner and perennial “Squawk Box” guest Scott Gottlieb offered some commentary about the situation in Texas, explaining that characterizing this as a ‘second wave’ might be misleading since ‘they never really got over the first’.

The fact that Texas hasn’t traced the rising case numbers, which are overwhelmingly centered in the greater Houston area, to a specific source – like a meatpacking plant or something – worries Gottlieb, because that means the contact tracers in the state have failed at their basic mission: to find the source of any ‘super-spreader’ incidents quickly before they become ‘super-duper spreaders’.

Squawk Box

@SquawkCNBC

“It’s not a second wave, they never really got rid of the first wave,” says @ScottGottliebMD on outbreaks in Arizona, Texas, South Carolina and North Carolina. “The more concerning part is they haven’t been able to isolate what the source of the infection is.”

Embedded video

Thanks for the comforting words, doc.

* * *

With futures pointing to a sharp drop at the open for the Dow, it appears investors are finally confronting signs of a second wave that have emerged both in the US, and around the world.

As one scientist who appeared on CNBC’s Worldwide Exchange program Thursday morning claimed, signs of a genuine second wave have emerged around the world, including in Sweden and Iran. Fortunately, we haven’t seen a sharp move higher in mortality alongside the surge in cases – but that could follow.

Across the northeast and Atlantic Coast, more states are lifting bans on outside graduation ceremonies, with Maryland Gov Larry Hogan announcing late Wednesday evening that he would allow outdoor graduation ceremonies in the state to move forward starting Friday.

Bad news for all you ‘influencers’ out there: Both Coachella and Stagecoach, two of the largest music festivals held each year in Southern California, have been canceled. Organizers moved both events to October, but have now decided to forgo them until next year (but don’t despair influencers, there will be many more protests to use as a backdrop for your selfies between now and the end of the year).

Last night, we reported that Mumbai, India’s wealthiest city and financial capital, had surpassed the total number of infections reported in Wuhan, the original epicenter of the virus. Mumbai is also India’s entertainment capital, home to ‘Bollywood’, the Indian film industry.

The city has reported more than 50k cases, nearly a fifth of India’s total, and more than the Chinese city of Wuhan, ground zero for the pandemic. The broader Maharashtra state has now confirmed more cases than the whole of China. India has recorded more than 286,000 coronavirus cases, including at least 8,100 deaths, according to the Indian Ministry of Health and Family Welfare.

Although Mumbai is India’s wealthiest city, and its most international, public hospitals have been totally overwhelmed by the virus, with doctors collapsing from exhaustion and dehydration.

“We expected that if infection took root, the health system would be overwhelmed,” said Rajeev Sadanandan, Kerala’s former health secretary and the chief executive of non-profit Health Systems Transformation Platform. “With the kind of population Mumbai has, there is no way that the infrastructure would have been enough.”

Russia crossed a grim milestone on Thursday when it reported another 8,779 confirmed cases of the virus on Thursday, bringing the total for the Russian Federation to 502,436, making Russia the third country to pass 500k cases after the US and Brazil. Another 174 deaths were recorded, bringing Russia’s deaths to 6,532. However, some observers fear the true total in the country – for deaths and cases – is much higher, since not every patient who tests positive for COVID-19 and then dies is counted as a ‘COVID-19 death’.

Earlier this week, Moscow’s mayor lifted self-isolation restrictions and the city is expected to reopen by the end of the month.

After the US topped 2 million confirmed cases last night, a set of COVID-19 projections maintained by the University of Washington has just been updated, and is now projecting 170k COVID-19 linked deaths in the US by Oct. 1, that would be a rise of nearly 80% by October.

Source: CDC

IHME, the institute that maintains the model, said it’s based on data through June 6. “Large gatherings in some states due to lifting of social distancing restrictions, gatherings on national holidays, and public protests are reflected in the general trend toward increased mobility.”

In the US, more than 20 states are seeing a rise in the daily number of new cases, per the NYT.

The flareup in Latin America and the Caribbean also reached a new milestone as deaths in the region surpassed 70k: Brazil, the worst-hit country in the region, has identified more than 772,000 cases, according to Johns Hopkins University.

Peru and Mexico, which just reported a record daily surge in new cases, are also seeing uncontrolled spread. Mexican paramedics are responding to 911 calls at an alarming rate, as the coronavirus pandemic continues to ravage Mexico City.

Quarantine measures have been extended in Chile, the health ministry said in a statement released Wednesday.

Meanwhile, in LA, more businesses, including gyms and museums, are reopening, even as the county continues to report about 1,300 new cases per day. There are 67,064 confirmed coronavirus cases and 2,768 deaths in Los Angeles County as of Thursday morning.

END
Michael Every…

“Stupid And Ridiculous”: Rabobank Says The Fed Will Cause Everything To Come Crashing Down In Epic Ruin

Submitted by Michael Every of Rabobank

Powell Play

 

Central banks carry out a nation’s monetary policy and control its money supply, often mandated with maintaining low inflation and steady GDP growth. On a macro basis, central banks influence interest rates and participate in open market operations to control the cost of borrowing and lending throughout an economy.” Investopedia

Really? That’s how it works, is it? At this point anyone who can’t see our real economic/financial market paradigm is either foolish, ignorant, or wilfully blind. The Fed has just admitted wages can’t rise except by making very rich people very much richer for a long, long time; then, finally, they might start to go up – perhaps. Moreover, the Fed has demonstrated yet again that it not only ignores asset bubbles –it will “never hold back support for the economy even if asset prices are too high”– but that it wants those bubbles. How can this end well?

Look at the uneven distribution of stock holdings. Gallup states that as of 4 June 2020, 55% of the US owns some stock: 66% of those aged 50-64 and 32% of those 18-29; 58% of men and 52% of women; 64% of whites, 42% of blacks, and 28% of Hispanics; 85% of post-graduates and 33% of those with no college education. It is far from genuine equality of ownership by any means. But what Gallup does not say, and Goldman Sachs does, is that as of February this year 50% of the US stock market was owned by the top 1% of society.

Could we please have the intellectual honesty just to admit the system as it exists today functions to give more money to ultra-rich people? This is no longer a ‘free market system’. Water does not find its own level. It is channelled through canals cut by an establishment, and some fields are watered very well and others left arid. This is not ‘capitalism’ as anyone teaches or models it, where money is made from productively investing in making things. It is speculative financial-capitalism, where money is made by watching money being made by central banks, which is then channelled into the stock of firms who often don’t make things. Given the homilies that central banks are now coming out with about inequality, one could even say it is even oligarchy excreting noblesse oblige. Yet perhaps it is even worse: central banks saying “Let them eat stocks.”

For those who roll out the cliché: “Well, the central-bank toolkit only allows X, Y, or Z – what can they do?” consider that these toolkits seem to expand on a weekly basis – but never in a direction that means wages will go up ahead of assets. Never. All the feverish innovation goes into new channels to get house prices up, or stocks, or sovereign or junk bonds (some of which are the same thing).

Yes, Powell did say more needs to be done on the fiscal side. What we did NOT get was a clear message aimed at the public, who would then demand it of their government: “Spend more on infrastructure, and/or national security supply-chain on-shoring, and/or social programs to narrow inequality: we will buy all the bonds needed to pay for it.” You know, “Whatever it takes” – but this time for the many and not the few. It was more of a “Whatever” as the Fed described a bleak future US economic landscape where many millions of jobs may never come back…and the response is still to channel more money to the rich via asset bubbles.

Meanwhile, and far from unrelated, in Seattle six city blocks have been seized by protestors. As the Seattle Times notes “Welcome to the CHAZ, the newly named Capitol Hill Autonomous Zone, where most everything was free Tuesday. Free snacks at the No-Cop Co-op. Free gas masks from some guy’s sedan. Free speech at the speaker’s circle, where anyone could say their piece. A free documentary movie — Ava DuVernay’s “13th” — showing after dark. A Free Capitol Hill, according to no shortage of spray paint on building facades.” When the rich get everything free, why shouldn’t everyone else? It’s a good question. Some people aren’t waiting for MMT from on high – they are trying to get it moving themselves.

Except that in a microcosm of this populist backlash itself –and recalling that free markets and capitalism were designed to deal with allocating finite resources and things not being free– a plaintive tweet went out last night: “ALERTA#2: the homeless people we invited took away all the food at the Capitol Hill Autonomous Zone. We need more food to keep the area operational. Please if possible bring vegan meat substitutes, fruits, oats, soy products, etc. – anything to help us eat.” The response to which on Twitter included: “Gotta say I’m impressed, it usually takes Marxists at least 3-4 months to achieve starvation.” The Fed’s free-money-policy-without-any-MMT will take a bit longer.

If you want to believe that the Fed is not aware of its own complicity in all this then one has to assume we are watching a man struggling to eat soup with a fork. It’s embarrassing, messy, stupid, and ridiculous. Except in this case the man gets paid billions of dollars for as long as it takes him not to eat the soup. Try to remember that.

I feel sorry for those who have to try to give a traditional vanilla write-up of what the Fed is doing; it’s hard to do so and maintain self-respect. One day this will all come crashing down in epic ruin and people will have to look at themselves in the mirror, or tell their kids what they did when this was all going on: I described the hand movements of an idiot being paid a fortune to eat soup with a fork – at a time when many others desperately needed to eat.” A life well lived.

Yet for those who do have to play along with the charade: the Fed is on hold until end-2022 at least; will do USD120bn a month of QE split 80bn-40bn between Treasuries and MBS; and there is as yet no hint of negative rates or yield curve control. Stocks actually edged down slightly in response: buy the rumour, sell the sad fact, perhaps. Bond yields edged lower. And so did USD, which one can certainly sympathize with….until all the other central banks have to go the same route, of course.

end

7. OIL ISSUES

This will be devastating to the uSA economy: USA shale faces a bankruptcy wave as the global economy turns down

(zerohedge)

US Shale Faces Bankruptcy Wave Amid “Long And Arduous” Global Downturn

The US shale industry could be on the verge of destruction due to the drastic decline in demand and falling energy prices brought on by coronavirus pandemic, a new report says.

The Institute for Economics and Peace (IEP) published its 14th edition of the Global Peace Index on Wednesday — outlining how the virus-induced downturn of the energy market and a price war between Organization of the Petroleum Exporting Countries (OPEC) and Russia — could result in a “collapse” of US shale.

The sharp fall in oil prices will affect political regimes in the Middle East, especially in Saudi Arabia, Iraq and Iran, which may result in the collapse of the shale oil industry in the US, unless oil prices return to their prior levels,” IEP warns.

The report goes on to say “this global recession will be long and arduous,” outlining how weakness in commercial, travel and industrial activity will persist for an extended period, indicating oil prices will remain subdued:

“These markets were already effected by an over-supply, emanating from Russia and Saudi Arabia who could not agree on production curbs. On April 20 the price of crude oil turned negative for the first time in history, as seen in Figure 1.9. Demand had collapsed so rapidly that overstocked producers were willing to pay buyers to take away excess inventory. The negative price was a short-lived technicality, due to the way futures contracts are written; with oil prices soon returning to positive territory. Nevertheless, the unprecedented episode highlighted the severity of demand collapsing worldwide.”

Crude prices stabilized in April after OPEC+ agreed to production cuts. Last weekend, an extension of the 9.7 million barrels per day (bpd) cuts were seen through July. The cuts equal about 10% of global supply, which has led to a 172% rise in Brent crude futures over the last 33 trading sessions. Despite the extension in cuts, Brent crude prices have stalled in the 43-40 level, now at risk of reversing.

Goldman Sachs warned in a Tuesday note that a tactical “pull-back in prices in the coming weeks with our short-term forecast of $35/bbl vs. Brent spot prices of $43/bbl.”

The oil market only moved into deficit late May and still faces the daunting challenge of normalizing a billion barrels of excess inventories. Yet, the oil relief rally remains unfazed, with prices doubling and exceeding our year-end price target just six weeks after the likely cycles lows.

This rebound has been fueled by a macro risk-on backdrop and a policy-induced Chinese crude import binge yet fundamentals are turning bearish: demand expectations are running ahead of a more gradual and still highly uncertain recovery, shale and Libyan shut-in production are coming back online, and prices are at levels where OPEC supply cuts should ease and Chinese purchases slow.

With OPEC’s latest cut already more than priced in, we now forecast a pull-back in prices in the coming weeks with our short-term Brent forecast of $35/bbl vs. spot prices of $43/bbl. Just as strengthening physical oil prices led us to turn constructive on the oil market on May 1, very poor refining margins and the recent sharp decline in US crude bases now comfort us in our sequentially bearish outlook. – Goldman’s energy analyst Damien Courvalin wrote in the note.

Courvalin outlined four reasons why fundamentals could drag crude prices lower in the near term:

The oil rally remains unfazed, however, with Brent prices doubling and exceeding our year-end price target just six weeks after the likely cycles lows. We see three reasons behind this rebound: (1) a macro risk-on backdrop with oil rallying with equities and dollar depreciation, (2) a policy-induced Chinese crude import binge, and (3) frictions in releasing crude from storage as the deficit starts.

While positioning leaves room for this rally to continue, we see four reasons why fundamentals are likely to set the stage for a pull-back in coming weeks:

(1) demand expectations are running ahead of a more gradual and still uncertain rebound,

(2) both shale and Libyan shut-in production are currently restarting,

(3) prices are nearing levels where OPEC supply cuts should ease and Chinese purchases slow, and

(4) the inventory overhang remains daunting with our latest deep dive still pointing to 1 bn in excess stocks.

The scale of the rally and the size of the inventory overhang are two challenges for OPEC+, threatening the higher prices, volumes and market-share targeted through 2021. While large cuts are needed to normalize excess inventories, too long a cut instead benefits competing high-cost producers, with US E&P HY debt issuance restarting. As we have argued, this should point to OPEC soon targeting higher output before shale activity inflects. If successfully carried-out, such a strategy should weigh on long-dated prices, helping achieve the backwardation that benefits low-cost producers.

As Goldman gets bearish on energy, hedge fund positioning in crude futures last week suggest the rally is running out of steam.

Perhaps the bearishness building in crude extends from lackluster global demand and continued oversupply conditions, due mostly because there will be no V-shaped recovery in the global economy this year or next, which was highlighted in our piece titled “OECD Warns Of Deepest Global Downturn In Century, Second Virus Wave.” 

The latest Energy Information Administration (EIA) report noted Wednesday that US crude stockpiles reached a record high.

With another possible decline in crude prices ahead, it remains to be seen if President Trump can save heavily indebted US shale companies. When prices crashed several months ago, the president struggled to get aid to the collapsing industry.

Lower for longer crude prices, in a global downturn, which could continue through at least 2021 — could be what finally leads to a  bankruptcy wave in shale.  

END

8 EMERGING MARKET ISSUES

 

 

 

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

Euro/USA 1.1352 DOWN .0015 REACTING TO MERKEL’S FAILED COALITION/ REACTING TO +GERMAN ELECTION WHERE ALT RIGHT PARTY ENTERS THE BUNDESTAG/ huge Deutsche bank problems ///ITALIAN CHAOS//CORONAVIRUS/PANDEMIC /AND NOW ECB TAPERING BOND PURCHASES/JAPAN TAPERING BOND PURCHASES /USA RISING INTEREST RATES /FLOODING/EUROPE BOURSES /DEEPLY IN THE RED

 

 

USA/JAPAN YEN 107.08 UP 0.089 (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 1.2653   DOWN   0.0058  (Brexit March 29/ 2019/ARTICLE 50 SIGNED/BREXIT FEES WILL BE CAPPED/

 

USA/CAN 1.3498 UP .0069 CANADA WORRIED ABOUT TRADE WITH THE USA WITH TRUMP ELECTION/ITALIAN EXIT AND GREXIT FROM EU/(TRUMP INITIATES LUMBER TARIFFS ON CANADA/CANADA HAS A HUGE HOUSEHOLD DEBT/GDP PROBLEM)

Early THIS  THURSDAY morning in Europe, the Euro FELL BY 15 basis points, trading now ABOVE the important 1.08 level FALLING to 1.1352 Last night Shanghai COMPOSITE CLOSED DOWN 22.85 POINTS OR 0.78% 

 

//Hang Sang CLOSED DOWN 569.58 POINTS OR 2.27%

/AUSTRALIA CLOSED DOWN 3,03%// EUROPEAN BOURSES ALL RED

 

Trading from Europe and Asia

EUROPEAN BOURSES ALL RED 

 

 

2/ CHINESE BOURSES / :Hang Sang CLOSED DOWN 131.51 POINTS OR 0.46%

 

 

/SHANGHAI CLOSED DOWN 22.85 POINTS OR 0.78%

 

Australia BOURSE CLOSED DOWN  3.03% 

 

 

Nikkei (Japan) CLOSED DOWN 652.04  POINTS OR 2.82%

 

 

 

INDIA’S SENSEX  IN THE RED

Gold very early morning trading: 1727.00

silver:$17.89-

Early THURSDAY morning USA 10 year bond yield: 0.70% !!! DOWN 3 IN POINTS from WEDNESDAY’S night in basis points and it is trading WELL BELOW resistance at 2.27-2.32%.

 

The 30 yr bond yield 1.47 DOWN 4  IN BASIS POINTS from WEDNESDAY night.

USA dollar index early THURSDAY morning: 96.33 UP 37 CENT(S) from  WEDNESDAY’s close.

This ends early morning numbers THURSDAY MORNING

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And now your closing  THURSDAY NUMBERS \1: 00 PM

Portuguese 10 year bond yield: 0.60% DOWN 4 in basis point(s) yield from YESTERDAY/

JAPANESE BOND YIELD: +01%  UP 1   BASIS POINTS from YESTERDAY/JAPAN losing control of its yield curve/56

SPANISH 10 YR BOND YIELD: 0.62%//DOWN 5 in basis point yield from yesterday.

ITALIAN 10 YR BOND YIELD:1,49 DOWN 5 points in basis points yield from yesterday./

 

 

the Italian 10 yr bond yield is trading  87 points higher than Spain.

 

GERMAN 10 YR BOND YIELD: FALLS TO –.41% IN BASIS POINTS ON THE DAY//

THE IMPORTANT SPREAD BETWEEN ITALIAN 10 YR BOND AND GERMAN 10 YEAR BOND IS 1.90% AND NOW ABOVE THE  THE 3.00% LEVEL WHICH WILL IMPLODE THE ENTIRE ITALIAN BANKING SYSTEM. AT 4% SPREAD THERE WILL BE A HUGE BANK RUN…

 

END

 

IMPORTANT CURRENCY CLOSES FOR THURSDAY

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

Euro/USA 1.1381  UP     .0015 or 15 basis points

USA/Japan: 106.69 DOWN .307 OR YEN UP 31  basis points/

Great Britain/USA 1.2637 DOWN .0075 POUND DOWN 75  BASIS POINTS)

Canadian dollar DOWN 132 basis points to 1.3557

 

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The USA/Yuan,CNY: AT 7.0650    ON SHORE  (UP)..GETTING DANGEROUS

THE USA/YUAN OFFSHORE:  7.0694  (YUAN UP)..GETTING REALLY DANGEROUS

TURKISH LIRA:  6.8460 EXTREMELY DANGEROUS LEVEL/DEATH WISH.

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

 

Your closing 10 yr US bond yield DOWN 5 IN basis points from WEDNESDAY at 0.67 % //trading well ABOVE the resistance level of 2.27-2.32%) very problematic USA 30 yr bond yield: 1.44 DOWN 7 in basis points on the day

Your closing USA dollar index, 96.23 UP 27  CENT(S) ON THE DAY/1.00 PM/

 

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

London: CLOSED DOWN 252.43 OR  3.99%

German Dax :  CLOSED DOWN 559.87 POINTS OR 4.47%

 

Paris Cac CLOSED DOWN 237.82 POINTS 4.71%

Spain IBEX CLOSED DOWN 385.90 POINTS or 5.04%

Italian MIB: CLOSED DOWN 951.15 POINTS OR 4.81%

 

 

 

 

 

WTI Oil price; 36.35 12:00  PM  EST

Brent Oil: 38.74 12:00 EST

USA /RUSSIAN /   RUBLE FALLS:    69.77  THE CROSS HIGHER BY 1.30 RUBLES/DOLLAR (RUBLE LOWER BY 130 BASIS PTS)

 

TODAY THE GERMAN YIELD FALLS  TO –.41 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 :  36.21//

 

 

BRENT :  38.42

USA 10 YR BOND YIELD: … 0.67..down 6 basis points.

 

 

 

USA 30 YR BOND YIELD: 1.41..down 10 basis  points..

 

 

 

 

 

EURO/USA 1.1292 ( DOWN 79   BASIS POINTS)

USA/JAPANESE YEN:106.88 DOWN .114 (YEN UP 12 BASIS POINTS/..

 

 

USA DOLLAR INDEX: 96.77 UP 81 cent(s)/

The British pound at 4 pm   Britain Pound/USA:1.2594 DOWN 119  POINTS

 

the Turkish lira close: 6.843

USA/CNY: 7.0802

USA/CNH: 7.0803

 

 

the Russian rouble 70.06   DOWN 1.59 Roubles against the uSA dollar.( DOWN 159 BASIS POINTS)

Canadian dollar:  1.3034 DOWN 189 BASIS pts

 

German 10 yr bond yield at 5 pm: ,-0.41%

 

The Dow closed DOWN 1861.20 POINTS OR 6.90%

 

NASDAQ closed UP 527.62 POINTS OR 5.27%

 


VOLATILITY INDEX:  40.76 CLOSED UP 13.19

LIBOR 3 MONTH DURATION: 0.318%//libor dropping like a stone

LIBOR/OIS:  .255%

TED SPREAD  (3 MONTH TREASURY VS LIBOR)  =  .148%

 

USA trading today in Graph Form

“It’s A F**king Rout” – Re-Open Rally Ruined But Bonds & Bullion Bid

Re-Open Rally Routed

As one newly-minted “expert” in trading expressed to us: “it’s a f**king rout! … and this after the most dovish Fed statement ever!”

Today saw the heaviest selling-pressure in stocks since record began as TICK collapsed to -2058 intraday

Source: Bloomberg

Cramer called it…

Too much transparency from Powell (on the economic shitshow) perhaps, COVID-19 second-wave concerns maybe, or just too far, too fast, and quant models reversing (more likely), but one thing is sure… Robinhood’rs were routed amid a big-tech bloodbath but Small Caps were the worst – down 10% this week!…

This is the biggest daily drop in stocks since mid-March at the height of the collapse.

And this collapse comes as the market has abandoned hedges…

Source: Bloomberg

The median price of US stocks is down 12.5% in the last few days…

Source: Bloomberg

Since The Fed statement and Powell presser, bonds & bullion are bid as stocks sink…

From the moment Jay Powell began his press conference, things “escalated very quickly”…

For many freshly minted day-traders, this is inconceivable… but to veterans, we’ve seen this malarkey before…

Looks like those rampant “Re-Open Rally” runs into value were entirely wrong…

Source: Bloomberg

Virus-impacted sectors are reversing all their insane gains…

Source: Bloomberg

Boeing, Boeing, Gone!

The overnight session remains a big winner but June has seen day session and overnight session syncing up…

Small Caps tumbled back to their 100DMA…

S&P dumped back to its 200DMA…

Dow dumped back to its 100DMA…

The S&P 500 appears to have tagged unchanged on the year (3230.78) and given up…

Banks bloodbath’d further today…

Source: Bloomberg

…extending the reversal from the perfect tag of the 200DAM…

Source: Bloomberg

VIX soared back above 35 today (not call-buying this time) as its curve inverted once again for the first time since April….

Source: Bloomberg

Bitcoin was also battered today (after tagging $10k yesterday)…

Source: Bloomberg

But, on the positive side, bonds were bid…

Source: Bloomberg

As the coiling yield dismisses the false upside breakout of the reopen rally…

Source: Bloomberg

Treasuries have erased all their losses for June with the long-end yields actually now lower this month…

Source: Bloomberg

Despite everyone’s excitement about The Fed’s apparent HY backstop, it led the drop…

Source: Bloomberg

And precious metals surged (though we did see some liquidation that was reminiscent of the ‘sell everything’ trend we saw in March)…

Source: Bloomberg

As black gold was battered (WTI was down over 10% at its worst, back to a $35 handle, but bounced)…

Source: Bloomberg

The dollar screamed higher today (biggest jump in 3 months), bucking its recent trend dramatically…

Source: Bloomberg

Notice where the dollar bounced…

Source: Bloomberg

Finally, is it catch-down time?

Source: Bloomberg

Robinhood’rs favorite stock routed…

And yesterday’s big winner…

“These are the days I live for… it was too easy”…

Dave Portnoy@stoolpresidente

You wanna get nuts? Let’s get FUCKING NUTS. How low can we go? Do the suits think I’m gonna flinch?

Embedded video

And one wonders if this is the real reason why stocks suddenly puked the last two days…

Source: Bloomberg

PredictIt (notoriously illiquid admittedly) is pricing in a sweep of White House, Congress, and The Senate for Democrats.

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

Mnuchin Scrambles To Halt Stock Rout, Says Will “Pump” Another $1 Trillion Into Economy This Month

With stocks tumbling, it was only a matter of time before Trump trotter out the “plunge protectors”, and sure enough just minutes after cash reopen, Steve Mnuchin dialed into CNBC, where he said that “we can’t shut down the economy again” amid growing fears of a second virus wave, and just to get the Robin hood traders extra pumped, the Treasury Secretary said that another $1 trillion will be pumped into the market economy.

  • MNUCHIN SAYS OVER NEXT MONTH ANOTHER $1 TRILLION WILL BE PUMPED INTO U.S. ECONOMY
  • MNUCHIN SAID ‘WE CAN’T SHUT DOWN THE ECONOMY AGAIN’
  • MNUCHIN ‘QUITE OPTIMISTIC’ IN MEDICAL PROGRESS THAT HAS BEEN MADE ON COVID-19
  • MNUCHIN SAYS FURTHER AID TO STATES WILL BE SUBJECT TO DISCUSSION WITH CONGRESS

Unfortunately for the stock market president, unlike previous Mnuchin appearances, this time the market was largely oblivious to his message, and was trading near the worst levels of the session, just around 3,100.

END
end

b)MARKET TRADING/USA/AFTERNOON

Dow Dumps 1000 Points, Erases All Post-Payrolls Hope Gains

Small Cap stocks are now down over 5% from before Friday’s payrolls surprise and only Nasdaq is holding on to gains for now…

The Dow is down over 1000 points today and over 1600 points from Monday’s highs

10Y Yields are down over 30bps from Friday’s peak…

It appears Powell burst the bubble for now…

 

end

 

 

ii)Market data/USA

Another 1.542 million jobless claims and continuing claims still steady and not down turning.  This dashes all hopes for a V shaped recovery.

(zerohedge)

Jobless Claims Continue To Surge, Dashing V-Shaped Payrolls Surprise Hopes

Despite last week’s hope-restoring nonfarm payrolls “recovery”, in the last week 1.542 million more Americans filed for unemployment benefits for the first time (slightly better than the 1.55mm expected).

Source: Bloomberg

That brings the twelve-week total to 44.21 million, dramatically more than at any period in American history. However, as the chart above shows, the second derivative has turned the corner (even though the 1.54 million rise this last week is still higher than any other week in history outside of the pandemic)

Continuing Claims did drop very modestly but hardly a signal that “re-opening” is occurring! And definitely not agreeing with payrolls data…

Source: Bloomberg

The claims by state, show an outlier improvement in Florida, where nearly there was a decline of 100K claims, with Texas and Georgia also on the mend, while California, Massachusetts and New York saw the biggest increases in the past week.

And as we noted previously, what is most disturbing is that in the last twelve weeks, twice as many Americans have filed for unemployment than jobs gained during the last decade since the end of the Great Recession… (22.13 million gained in a decade, 44.21 million lost in 12 weeks)

Worse still, the final numbers will likely be worsened due to the bailout itself: as a reminder, the Coronavirus Aid, Relief, and Economic Security (CARES) Act, passed on March 27, could contribute to new records being reached in coming weeks as it increases eligibility for jobless claims to self-employed and gig workers, extends the maximum number of weeks that one can receive benefits, and provides an additional $600 per week until July 31.

A recent WSJ article noted that this has created incentives for some businesses to temporarily furlough their employees, knowing that they will be covered financially as the economy is shutdown. Meanwhile, those making below $50k will generally be made whole and possibly be better off on unemployment benefits.

Additionally, families receiving food stamps can typically get a maximum benefit of $768, but through the increase in emergency benefits, the average five-person household can get an additional $240 monthly for buying food.

But, hey, there’s good news… stocks are near record highs and Treasury Secretary Steven Mnuchin said he anticipates most of the economy will restart by the end of August.

The big question is – what happens when the $600 CARES Act bonuses stop flowing?

Finally, it is notable, we have lost 392 jobs for every confirmed US death from COVID-19 (112,914).

Was it worth it?

 

 END
Not good:
PPI rising indicating soaring food and energy costs
(zerohedge)

Soaring Food & Energy Costs Spark Rebound In Producer Prices

Producer Prices rebounded MoM in May with headline Final Demand PPI rising 0.4% (against +0.1% exp) but it left PPI YoY still down 0.8%…

Source: Bloomberg

Some serious dispersion in the various sector’s price swings…

This rebound was driven by a record surge in food prices…

Source: Bloomberg

Two-thirds of the May increase in the index for final demand goods is attributable to a 40.4-percent jump in meat prices.

Source: Bloomberg

The indexes for gasoline, processed young chickens, light motor trucks, liquefied petroleum gas, and carbon steel scrap also moved higher.

Source: Bloomberg

Conversely, prices for chicken eggs fell 41.2 percent. The indexes for diesel fuel and for plastic resins and materials also decreased.

What will Jay Powell do now that average joe’s cost of living is soaring?

end

iii) Important USA Economic Stories

This Minneapolis Manufacturing Company was torched in the riots and they will be leaving the city.  They have had enough of Minneapolis

(zerohedge)

Minneapolis Manufacturing Company Torched In Riots To Leave City

A Minneapolis manufacturing company will be relocating after law enforcement and firefighters were unable to prevent rioters from setting fire to the building, according to the owner of 7-Sigma Inc., Kris Wyrobek.

They just don’t care about my business,” said Wyrobek, who’s been operating in south Minneapolis since 1987 according to the StarTribune. “They didn’t protect our people. We were all on our own.”

The move will cost the city about 50 jobs.

Wyrobek said the plant, which usually operates until 11 p.m., shut down about four hours early on the first night of the riots because he wanted to keep his workers out of harm’s way. He said a production supervisor and a maintenance worker who live in the neighborhood became alarmed when fire broke out at the $30 million Midtown Corner affordable housing apartment complex that was under construction next door.

The fire engine was just sitting there,” Wyrobek said, “but they wouldn’t do anything.” –StarTribune

Gov. Tim Walz, who called the city’s response to the riots an “abject failure,” ordered the National Guard into Minneapolis to restore order following a request by Mayor Jacob Frey – who admitted he’s broken.

This guy:

jordan

@JordanUhl

This is incredible.

Minneapolis mayor Jacob Frey showed up to a protest & tried to spew hollow platitudes about “putting [police] in their place.” The organizers asked him if he would commit to defunding the police.

He said no.

They forced him to leave.

Embedded video

On Monday, Frey said that the city was overwhelmed by the riots – and that every  fire truck was operating while they unfolded.

“This was a Guard-sized crisis and demanded a Guard-sized response,” said Frey. “And once we had the full presence of the National Guard — which by the way hasn’t been deployed since World War II — there was a significantly different result.”

According to the Tribune, nearly 1,000 commercial properties in Minneapolis were damaged during the riots – including 52 which were completely destroyed and 30 which suffered extreme damage.

Owners and insurance experts estimate the costs of the damage could exceed $500 million. That would make the Twin Cities riots the second-costliest civil disturbance in U.S. history, trailing only those in Los Angeles in 1992, which were also sparked by racial tensions with police and had $1.4 billion in damages in today’s dollars.

To accelerate the recovery, Frey announced Monday the creation of Minneapolis Forward: Community Now Coalition, which includes representatives of local business and community groups. Frey said the group will seek input from black residents and business owners to make sure rebuilding efforts accommodate their needs.

“George Floyd moved to Minneapolis for a fresh start,” Frey said. “In honoring his memory and generations of black people who have been victimized before him, we will rebuild as a stronger, more equitable and more inclusive city.” –StarTribune

We’re sure things will be better once Minneapolis abolishes its police force.

END
INSANITY TO THE HIGHEST DEGREE

Seattle “Autonomous Zone” Now Has A “Heavily-Armed” Warlord; Governor Clueless

Seattle’s new “autonomous zone” – a six-block area established by protesters after the police and National Guard pulled out of city’s Capitol Hill neighborhood – now has a ‘heavily-armed’ warlord, and he’s already enforcing his streets.

Soundcloud rapper Raz Simone and his entourage have claimed the Capitol Hill Autonomous Zone (CHAZ) as their territory – and have already been filmed regulating when a man wouldn’t stop spraying graffiti over an urban art installation, telling him “We are the police of this community now!”

MIYA BLACK HEARTED CYBER ANGEL BABY ☸️ WIRED_GOD@BPD_GOD

The Capital Hill Autonomous Zone, world’s most ambitious anthropological experiment, has received its first warlord. Took only one day for the “monopoly on violence” to be discovered… what will happen next?

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

REPARATIONSWORK@soultypechild

I am exposing a man who beats women, forces them into sex work and punishes them if they do not obey. Brb. And yes, @RazSimone, I’m talking about you.

– Sincerely, a black woman who will absolutely clock your shit.

hernandez1987@WeAreAntifa2020

Raz and crew assaulted someone on FB live.

Embedded video

Ian Miles Cheong

@stillgray

A SoundCloud rapper becoming the warlord in an Antifa insurgency-controlled autonomous zone in Seattle is proof we live in a simulation.

View image on Twitter

Meanwhile, homeless people who were invited to CHAZ stole all of their food. Antifa are calling for vegan supplies…

Andy Ngô

@MrAndyNgo

72 hours after the establishment of the , there are apparently already food shortages.

View image on Twitter

“Gotta say I’m impressed, it usually takes Marxists at least 3-4 months to achieve starvation,” said one Twitter user.

All isn’t lost in the republic of CHAZ, however, as the group has apparently organized its own trash collection while hosting regular free speech circles, according to the New York Post.

Inhabitants of the “CHAZ” are calling for defunding the Seattle Police Department as well as other demands published in a 30-point list online.

“This is no simple request to end police brutality,” organizers wrote. “We demand that the City Council and the Mayor, whoever that may be, implement these policy changes for the cultural and historic advancement of the City of Seattle, and to ease the struggles of its people.”

They continue, “This document is to represent the black voices who spoke in victory at the top of 12th & Pine after 9 days of peaceful protest while under constant nightly attack from the Seattle Police Department.” –New York Post

Sadly, Gov. Jay Inslee (D) has no clue about the autonomous zone whatsoever.

Rebecca Perry

@Rebecca_Perry

Gov. Inslee on so-called “autonomous zone” on Capitol Hill:

“That’s news to me”.

Embedded video

So, the governor of Washington doesn’t know that a six-block area, in the largest city in his state, was seized by Antifa after driving the police and National Guard out following a violent confrontation Sunday night.

Ron Coleman

@RonColeman

What else is news to you, @GovInslee?

Or do we even want to know?

KK Berd 🇺🇸@keny_berd

LOL! “I don’t recall”, “not in my purview”, and now…”that’s news to me” —works every time if you’re a Democrat.

View image on Twitter

Simone has called for the long-term occupation of the area, tweeting: ‘Come out now & hold it down.’

‘We’ll be here as long as it takes so bring a tent and a blanket,’ he added.

It followed astonishing developments in Seattle, where protesters have established what they call the ‘Capitol Hill Autonomous Zone,’ or CHAZ, setting up barricades and armed checkpoints and declaring that police are not allowed inside the zone.

The zone, which includes apartment buildings and businesses, also contains the Seattle Police Department’s East Precinct, which cops abandoned on Monday after receiving a threat that the station would be overrun and burned down. A defaced sign outside the precinct now reads ‘Seattle People Department’. –Daily Mail

On Wednesday, President Trump demanded that Seattle city officials regain control of CHAZ – to which Simone tweeted on Thursday: “The President really put a hit on my head,” adding “I’m not a Terrorist Warlord. Quit spreading that false narrative. The world has NEVER been ready for a strong black man.”

Raz Simone

@RazSimone

The President really put a hit on my head. I’m not a Terrorist Warlord. Quit spreading that false narrative. The world has NEVER been ready for a strong black man. We have been peaceful and nothing else. If I die don’t let it be in vain.

View image on Twitter

Perhaps Raz should stick to Soundcloud…

Donald J. Trump

@realDonaldTrump

THOSE THAT DENY THEIR HISTORY ARE DOOMED TO REPEAT IT!

Jack Posobiec 🇺🇸

@JackPosobiec

View image on Twitter
END
More insanity” advertisers boycott Carlson over the claim that Black lives Matter do not care about black lives.
Carlson is correct.
(zerohedge)

Advertisers Boycott “Tucker Carlson” Over Claim That BLM “Doesn’t Care About Black Lives”

In what’s shaping up to be a re-run of the 2018 “advertiser boycott” against Tucker Carlson’s prime time show on Fox News, a number of major advertisers have said they would cease advertising on the show immediately after the Fox host said the BLM movement was “definitely not about saving Black Lives”.

The Huffington Post and Media Matters were unsurprisingly all over the story as it ‘broke’ the news a few hours ago, citing comments from executives on twitter, and statements from company PR machines. “Disney, T-Mobile, SmileDirectClub, Papa John’s and Vari have pulled their commercials from ‘Tucker Carlson Tonight,’ Media Matters reported Wednesday,” according to Huffpo.

At least one company rep insisted that the advertisements were placed on Tucker by a “third-party” ad buyer, who had been instructed not to buy the ad time.

T-Mobile CEO Mike Sievert, responding to a Twitter user on Tuesday asking if the telecom giant supported Carlson’s message, wrote back: “It definitely is not. Bye-bye Tucker Carlson! #BlackLivesMatter.”

Other advertisers followed with confirmations on Wednesday.

Disney’s advertising of its ABC network on Fox News was never supposed to run on Carlson’s show at all, according to Deadline.

“The ABC advertisements were placed on the show without our knowledge by third party media buyers who were unaware that we do not advertise on the show, and they have now been notified not to place any further ads,” an ABC spokesperson told the entertainment site.

Carlson has repeatedly trashed protesters as national unrest grows over police brutality and racism. This week, he even took issue with a CNN town hall in which “Sesame Street” characters explained the protests.

As Tucker explained in the segment, it’s a terrifying time in the US, not because police officers are massacring thousands of minorities in the streets (they aren’t), but because radical left-wing agitators have hijacked a largely peaceful protest movement decrying the evils of police brutality and insisting that reforms be implemented to protect the civil liberties of all Americans, stop unfair racial profiling of minorities, and – most importantly – stop police unions from protecting officers with multiple conduct complaints.

Benny

@bennyjohnson

TUCKER: The Rise of Left-Wing Mobs in America

Embedded video

Thanks to the rise of smartphones, whispers about police brutality, which for years has been tolerated as an unfortunate fact of life in America. But now, public opinion polls show that the vast majority of Americans – both black and white – support reform. Instead, radical “professional activists” are pushing destructive policies and hateful rhetoric encouraging further racial animosity and division.

And yet, somehow, Tucker is the one accused of using “hateful” rhetoric?

END
Total Debt in the uSA increases by a cool $1 trillion in just one month
(zerohedge)

Total US Debt Increases By $1 Trillion In One Month

It took the US over two centuries to accumulate its first trillion dollars in Federal debt, a number which was surpassed for the first time in the fourth quarter of 1981.

Fast forward less then 40 years to today, when according to the US Treasury, total US debt just surpassed $26 trillion, or $26,003,751,512,344.91 as of June 9, to be exact.

What is stunning, however, is the recent pace of increase: total debt was “only” $23.5 trillion on March 23, the day the Fed unleashed unlimited QE, meaning that in two and a half months, the US has added $2.5 trillion in debt.

And the punchline: the US added the last trillion dollars in the shortest time on record, achieving this remarkable feat in just one month, since May 4, when total debt was just under $25 trillion.

For context, here is total US debt since the start of the century.

In light of this unprecedented helicopter paradrop of debt, something tells us that the Fed’s schedule released today of monetizing “only” $80 billion in Treasurys each month, or about $1 trillion per year, will not be sufficient.

END:

Not good:  one third of all renting Americans are worried about their next payment as recovery hopes fade

(zerohedge)

Third Of Renting Americans Worried About Next Payment As ‘Recovery’ Hopes Fade

An alarming number of Americans are having trouble making rent payments amid a period of high unemployment and an unfolding depression across the U.S. At least 17% didn’t pay their latest monthly rent and an even larger number of folks are worried about missing upcoming rent payments as the squeeze on households is getting worse, reported Bloomberg, citing the U.S. Census Bureau’s Household Pulse survey.

Census Bureau’s Household Pulse survey showed in the last five weeks through June 2, 31% of households said they had “little or no confidence” about paying rent next month.

The survey showed 11% of households with a mortgage skipped servicing payments last month, and 16% said they wouldn’t be able to make payments in the future.

The consumer is in rough shape, despite President Trump touting of a V-shaped recovery and how the stock market is at record highs — households, mainly ones of the bottom 90% — are getting absolutely crushed in this downturn. This sets the stage for a consumer that died with a bang: because in a time of virtually no visibility on job prospects, economic recovery, and how the pandemic is resolved, consumer behavior suggests winter is here.

“Households who suffered a loss of income due to Covid-19 may be reducing their spending on non-housing goods/services in order to make their rent or mortgage payment,” said Shawn Bucholtz, an economist with the U.S. Department of Housing and Urban Development.

Federal Reserve Chair Jerome Powell said Wednesday that he has told lenders to offer distressed consumers forbearances on their debt payments.

“There’s been a tremendous amount of forbearance on the part of the banks,” Powell said during a press conference. “But those are not decisions that we hold any legal authority to make, and by the way, we have encouraged those decisions.”

So how long until people can afford to pay rent and mortgages again? Or better yet, how long until people can start spending? The answer is that nobody knows, but one thing is certain: there can be no V-shaped recovery this year.

Our advice to Americans: the economic storm is not over

end

researchers find at least 7 different strains of coronavirus circulating in California.

If I am correct, it is due to the fact that the unstable man made virus is mutating to less virulent strains

(zerohedge)

 

Researchers Find At Least 7 Different Strains Of Coronavirus Circulated In California

The latest research published last night by the journal Science repudiated prior claims that early incidences of the virus in the US petered out, and instead found that at least seven different strains of the virus that have been circulating in California since the early days of the outbreak, suggesting that the outbreak in the US didn’t have one source, but evolved from a large number of travelers spreading the virus to the US. As we noted earlier, new satellite data suggests the virus emerged in Wuhan much earlier than Beijing has acknowledged.

The analysis found that the cases of the disease, including travelers coming from Europe and Asia, spread in Washington and California, before the virus spread from those states across the rest of the country, though it’s probably fair to assume that a similarly diverse number of strains traveled to New York.

“While the sample size is small, this study suggests that there may have been multiple introductions of the virus into the United States,” Brandon Brown, an associate professor of social medicine population and public health at the University of California-Riverside, told UPI.“The findings may actually leave us with more questions than answers regarding the introduction of SARS-CoV-2 in the U.S.,” he added. Brown was involved with the study.

The study published in Science was conducted by a team of California public health officials and international researchers analyzing viral samples from 36 patients spanning nine counties and the Grand Princess cruise ship, which docked in San Francisco Bay in March after an outbreak occurred on board.

A detailed genetic analysis revealed that at least seven different SARS-CoV-2 strains spread in California, and these strains showed some overlap with Washington State.

The press positioned the research as supportive of contact tracing. But many remain skeptical of the usefulness of the technique this late in the game…

There was no “predominant lineage” and limited transmission between communities within the state, they added.

In general, the findings “support contact tracing, social distancing and travel restrictions to contain SARS-CoV-2 spread in California and other states,” the authors said.

“Initially, we were focused on preventing the introduction of the virus via travel, but we soon began to understand the prevalence of the virus in the community among those who had not traveled,” Brown said.

“This study does illustrate the potential multiple introductions of the virus into Northern California, which makes it more difficult to control the spread.”

…particularly since the WHO has acknowledged that asymptomatic cases don’t play as big a role in spreading the virus as we previously suspected.

END
A well written piece by Dennis Prager: a must read:  the 4 horsemen of America’s
apocalypse.

The Four Horsemen of America’s Apocalypse

Authored by Dennis Prager via RealClearPolitics.com,

It takes a lot to build a civilization, and though it is much easier to destroy a civilization, it takes a lot to do that, too.

But now we have four roots of evil that are guaranteed to do so.

No. 1: Victimhood.

The first is victimhood. The more people who regard themselves as victims — as individuals or as a group — the more likely they are to commit evil. People who think of themselves as victims feel that, having been victimized, they are no longer bound by normal moral conventions — especially the moral conventions of their alleged or real oppressors.

Everyone knows this is true. But few confront this truth. Every parent, for example, knows that the child who thinks of him or herself as a perpetual victim is the child most likely to cause and get into trouble. And criminologists report that nearly every murderer in prison thinks of himself as a victim.

On a societal scale, the same holds true — and being on such a larger scale, the chances of real evil ensuing are exponentially increased. One of the most obvious examples is Germany after World War I. Most Germans regarded themselves as victims — of the Treaty of Versailles; of a “stab in the back” German government; of the British, Americans and French; and, of course, of the Jews. This sense of victimhood was one of the most important factors in the popularity of the Nazis, who promised to restore German dignity.

That millions of black Americans regard themselves as victims — probably more so today than at any time in the past 50 years — can only lead to disaster for America generally and for blacks specifically. While victims generally feel free to lash out at others, they also go through life angry and unhappy.

No. 2: Demonization.

The second of the four ingredients of this civilization-destroying witches’ brew is demonization — demonizing a group as inherently evil.

That is being done now with regard to the white people of America. All — again, all — whites are declared racist. The only difference among them is that some admit it and some deny it. The notion that whites are inherently evil has long been associated with Louis Farrakhan. But it has apparently migrated out from his relatively small following to many blacks, even those who might consider Farrakhan a kook. Former President Barack Obama, hardly a Farrakhan follower, described America as having racism in its DNA. That is as close to inherently and irredeemably evil as it gets; you cannot change your DNA.

In that sense, not only are whites demonized, but America is, too. Unlike traditional liberals, the left regards America as a moral cesspool — not only racist but, according to The New York Times, founded to be so. The New York Times has created a history of America that declares its founding not in 1776 but in 1619, when the first black slaves arrived. The American Revolution was fought, according to this malign narrative, not merely for American independence but in order to preserve slavery, a practice the British would have interfered with. This “history” will now be taught in thousands of American schools.

The combination of victimhood and demonization alone is dangerous enough. But there are still two more horsemen galloping toward the looming apocalypse.

No. 3: A Cause To Believe In.

Most Americans throughout American history found great meaning in being American and in being religious — usually Christian. Since World War II, we have lived in a post-Christian, post-nationalist age. Until very recently, Americans would have found the expression “for God and country” deeply meaningful; that term today, on the left, is risible and execrable.

But people need something to believe in. The need for meaning is the greatest human need after the need for food. Leftism, with all its offshoots — feminism, environmentalism, Black Lives Matter, antifa — has filled that vacuum. In Europe, communism, fascism and Nazism filled the hole left by the demise of nationalism and Christianity. Here it is leftism and its offshoots.

No. 4: Lies.

The fourth and most important ingredient necessary for evil is lies. Lies are the root of evil. Ironically, slavery itself was made possible only because of the lie that the black was inferior to the white. Nazism was made possible thanks to the lie that Jews were not fully human. And communism was built on lies. Lenin, the father of Soviet Communism, named the Soviet communist newspaper “Truth” (“Pravda”) because truth was what the Communist Party said it was.

The New York Times, CNN and the rest of the mainstream “news” media are becoming our version of Pravda.
Objective truth doesn’t exist on the left. The universities have already declared “objective truth” as essentially an expression of “white privilege.” See what happens to a student who says in class, for example, that “men cannot give birth.”

The public self-debasement demanded of anyone who differs with the left — like New Orleans Saints quarterback Drew Brees just did when he said not standing for the national anthem desecrated the flag and those who have died for it — happens almost daily. The only difference between this and what dissidents underwent during Mao’s Cultural Revolution is that the self-debasement here is voluntary — thus far.

Last week, when this Jew saw a store in Santa Monica with a sign reading “black-owned business” so as to avoid being destroyed, it evoked chilling memories.

That’s how bad it is in America today.

end

iv) Swamp commentaries)

FBI Knew Steele’s Russia Research Connected To Clinton, Dems From Earliest Interactions

Authored by John Solomon via Just the News

Notes and emails that have been kept so far from Senate investigators show the FBI knew from its earliest interactions with Christopher Steele in July 2016 that his Russia research project on Donald Trump was connected to Hillary Clinton and the Democratic Party.

The information, so far mentioned only glancingly and in footnotes of a Justice Department report, could provide the Senate Judiciary Committee with the most powerful evidence yet to confront witnesses about why the bureau concealed the political origins of Steele’s work from the FISA court.

So far the bureau is slow-walking this stuff,” a source familiar with senators’ frustrations told Just the News. “We need to see these sort of documents before we question key witnesses.”

Chairman Lindsay Graham (R-S.C.) is seeking a vote later this week to authorize subpoenas that would compel the Christopher Wray-led FBI to produce witnesses and outstanding documents for the committee’s investigation of the Russia investigators.

The effort to acquire the original source materials began last December after DOJ Inspector General Michael Horowitz released his explosive report blaming the FBI for 17 mistakes, omissions and acts of misconduct in seeking a FISA warrant against Trump campaign adviser Carter Page.

While the headlines since that report have mostly focused on FISA abuses, Senate investigators have also zeroed in on a handful of little-noticed passages in Horowitz’s narrative that reference original FBI source documents showing what agents and supervisors knew about Steele, the former MI6 agent, and the firm that hired him, Fusion GPS.

It wasn’t until late October 2017 that the public and Congress first learned that the law firm Perkins Coie, on behalf of the Democratic National Committee and Hillary Clinton’s campaign, hired Glenn Simpson’s Fusion GPS research firm to have Steele delve into Trump’s Russia connections.

And FBI officials have been vague in their explanations about when they knew Steele’s research was tied to Clinton and the DNC and why they did not explicitly inform the FISA court that the Steele dossier used to secure the warrant was funded by Trump’s election opponent.

But one passage and two footnotes in Horowitz’s report that have largely escaped public attention suggest the FBI agent who first interviewed Steele about his anti-Trump research in London on July 5, 2016 was aware immediately of a connection to Clinton and that a separate office of the FBI passed along information from an informant by Aug. 2, 2016 that Simpson’s Fusion GPS was connected to the DNC.

For instance, the agent in London contacted an Assistant Special Agent in Charge (ASAC) in the New York field office (NYFO) shortly after interviewing Steele and obtaining one of the anti-Trump memos that made up his dossier, according to information in Horowitz’s report.

The agent sought advice July 13, 2016 on how to handle the sensitive election-year allegations from the supervisor in New York, where the FBI had already opened a probe of Page that would eventually be assumed by Washington headquarters.

“ASAC 1’s notes from his July 13 call with Handling Agent 1 closely track the contents of Report 80, identify Simpson as a client of a law firm, and include the following: ‘law firm works for the Republican party or Hillary and will use [the information described in Report 80] at some point,’” the Horowitz report stated. “ASAC 1 told us that he would not have made this notation if Handling Agent 1 had not stated it to him.”

Footnote 223 in the report reveals a second line of evidence that came to the FBI from a confidential human source (CHS) suggesting the Steele-Simpson-Fusion project was tied to Democrats. That warning was immediately sent to Agent Peter Strzok, the case agent for the Crossfire Hurricane probe investigating whether Trump and Russia colluded to hijack the 2016 election.

“At approximately the same time that Handling Agent 1 was reporting information about Simpson to ASAC 1, an FBI agent from another FBI field office sent an email to his supervisor stating that he had been contacted by a former CHS who ‘was contacted recently by a colleague who runs an investigative firm. The firm had been hired by two entities (the Democratic National Committee as well as another individual…not name[d]) to explore Donald J. Trump’s longstanding ties to Russian entities.’”

“On or about August 2, 2016, this information was shared by a CD supervisor with the Section Chief of CD’s Counterintelligence Analysis Section I (Intel Section Chief), who provided it that day to members of the Crossfire Hurricane team (then Section Chief Peter Strzok, SSA 1, and the Supervisory Intel Analyst,)” the footnote adds.

Senate investigators want to see the original emails and notes from these conversations as they plan to interrogate dozens of key witnesses in the Russia investigation about whether there was an intentional effort by he FBI to hide from the courts and Congress the flaws in their case, exculpatory evidence involving the Trump targets, and derogatory information about Steele’s credibility.

In the end, Special Counsel Robert Mueller found no evidence that any Americans, including anyone associated with the Trump campaign, colluded with Russia to influence the election.

And evidence that has since emerged shows the FBI determined early on that Steele’s dossier included debunked, uncorroborated information and possible Russian disinformation aimed at smearing Trump, but agents proceeded anyway with their investigation.

The FBI notes and emails from summer 2016 are consistent with recent testimony that Steele gave in a civil case in London, where he testified he told the bureau his research and the Fusion GPS project was connected to Clinton.

I presumed it was the Clinton campaign, and Glenn Simpson had indicated that. But I was not aware of the technicality of it being the DNC that was actually the client of Perkins Coie,” Steele testified in March under questioning from lawyers for Russian bankers suing over his research.

Steele confirmed during that testimony that his notes of a 2016 FBI meeting showed he told agents about the Clinton connection.

Congressional investigators have now pieced together at least five instances early in the Russia case where the FBI was warned of the political origins and motives of Steele’s work but failed to fully inform the courts.

Instead, the FBI’s FISA warrant application told the judge Steele was working for a person interested in possibly defeating Trump but without disclosing it was the opposition research firm specifically hired by Clinton and the DNC through their law firm to find dirt on Trump in Russia.

Senate investigators are trying to determine whether that omission was part of a larger, intentional campaign to mislead the FISA court and Congress in order to keep the Russia investigation going despite a lack of evidence supporting the collusion theory.

Look, we’ve got to get to the bottom of this, to find out how they ended up with this dossier, how it was believed to be accurate, when did they know it was not accurate?” explained Sen. Marsha Blackburn (R-Tenn.) one of the key members of the Judiciary Committee.

 

END

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

FOMC Communique Highlights

  • Fed will hold rates near zero through 2022
  • Covid poses considerable risks
  • Fed will buy Treasuries, MBS “at least at current pace
  • Forecasts -6.5% GDP for 2020, +5.0% in 2021, 3.5% in 2022
  • Sees 9.3% unemployment in Q4, 6.5% in 2021; 0.8% inflation in 2020, 1.6% in 2021, 1.7% 2021

ESMs and stocks tumbled when Powell spoke because he issued more economic doom and gloom.  But, the dollar rallied on Powell’s a tad more hawkish than the communique comments.

Powell Press Conference Highlights

  • 20m Americans unemployed; U6 Unemployment at 22m, 2m more possibly ‘miscoded’
  • May jobs a good surprise, however ‘employed but not at work’ adds 3 points to unemployment
  • We’re not even thinking about raising interest rates.”
  • When crisis is over, Fed will put its tools away
  • Fed is issuing loans, not free money
  • Sees good short-term developments, worries about long-term/structural economic damage
  • He doesn’t care that stocks are bubbling up; more concerned about the economy
  • The Fed is not racist; no place for racism in society (Did someone accuse the Fed of racism?)

Even after Powell’s virtue signaling, a reporter asked Powell what the Fed could do to fight inequality.  The Fed Chair issued a disquisition on basic economics.  Stripping way all the subterfuge, posturing and boasting in Powell’s press conference yields a very trenchant point: Powell fears that the US economy has sustained long-term, structural economic damage and workers will exit the workforce for years.

Though US CPI declined for the third consecutive month in May, the cost of food and health care services increased.  Food increased 0.4% m/m and 4.0% y/y; ‘Food at home’ +1.0% m/m, +4.8% y/y; Medical care services +0.6% m/m, + 5.9% y/y.  Gasoline plunged 3.5% m/m, 33.8% y/y.    https://www.bls.gov/news.release/pdf/cpi.pdf

U.S. consumer prices post third straight monthly drop

The Labor Department said on Wednesday its consumer price index dipped 0.1% last month after plunging 0.8% in April, which was the largest decline since December 2008…

    Excluding the volatile food and energy components, the CPI slipped 0.1% in May after decreasing 0.4% in April, the largest drop since the series started in 1957. The so-called core CPI fell in March for the first time since January 2010…  https://www.reuters.com/article/us-usa-economy-inflation-idUSKBN23H1Y1

Markets Have Become “A Loaded, Wicked Game Attracting the Vulnerable & Desperate”

“At what point will Jay Powell and his colleagues at the Federal Reserve realize they have broken the market’s pricing mechanism?”…[They don’t care right now.]

https://www.zerohedge.com/markets/markets-have-become-loaded-wicked-game-attracting-vulnerable-desperate

White House will ‘seriously look at’ sending second round of stimulus checks to Americans, Mnuchin says [Stocks ignored this.]    https://www.foxbusiness.com/money/mnuchin-trump-admin-to-seriously-look-at-more-direct-payments-in-next-coronavirus-relief-package

@kristina_wong: DNI Ratcliffe has declassified documents related to RussiaGate and ordered them sent to Congress. Big release expected imminently.

 

FBI knew Steele’s Russia research connected to Clinton, Dems from earliest interactions

Senate investigators seeking to obtain FBI notes, emails from summer 2016 detailing first interactions with Steele’s Russia research… the FBI agent who first interviewed Steele about his anti-Trump research in London on July 5, 2016 was aware immediately of a connection to Clinton and that a separate office of the FBI passed along information from an informant by Aug. 2, 2016 that Simpson’s Fusion GPS was connected to the DNC…

https://justthenews.com/accountability/russia-and-ukraine-scandals/fbi-knew-steeles-russia-research-connected-clinton-dems

 

Fox’s @MattFinnFNC: Where were police during Minneapolis riots? Minneapolis police chief says “preservation of life” became the ultimate order – too many threats against outnumbered officers, potentially fatal confrontations [When things get hairy, you’re on your own!]

 

Black Lives Matter activist: ‘You don’t really need the police for much at all’

Mckesson says the Democrats’ new police reform legislation ‘doesn’t do enough’…local governments should shift many of their responsibilities to experts such as social workers

https://justthenews.com/government/congress/black-lives-matter-activist-you-dont-really-need-police-much-all

 

HBO Max Pulls ‘Gone With the Wind,’ While ‘Cops’ Gets Canceled

Moves come as entertainment companies reassess their content amid nationwide protests over racial injustice and police brutality   https://www.wsj.com/articles/hbo-max-pulls-gone-with-the-wind-11591754904

A professor at the University of California in Los Angeles says he was suspended from his job after refusing a student’s request to effectively cancel final exams for black students amid protests over the death of George Floyd…  https://nypost.com/2020/06/10/ucla-suspends-professor-for-refusing-leniency-for-black-students/

California deputy shot in head in ‘ambush’ attack, investigators say

https://www.foxnews.com/us/gunman-fires-shots-california-police-station-another-man-found-dead-nearby-investigators

Blaze TV’s @ElijahSchaffer: Antifa and BLM have broken into Seattle city hall despite their mayor @MayorJenny being beyond progressive.  They are demanding she resign since she won’t defund the Police.  This is the new normal in big cities of America.  https://twitter.com/ElijahSchaffer/status/1270570826585300994

Seattle protesters storm City Hall, demand mayor resign after driving police out of area, declaring autonomous zone  https://www.foxnews.com/us/seattle-city-hall-protesters-autonomous-zone

Antifa mob planning to take over more Seattle neighborhoods

Antifa are extorting money and businesses in the Capital Hill Zone for protection money,” said one of the officers who was previously stationed at the East Precinct.  “Those running this Capital Hill Zone are employing stop and frisk to anyone who walks through, and shaking down businesses for $500 for protection,” added another officer.

https://thepostmillennial.com/breaking-antifa-mob-planning-to-take-over-more-seattle-neighbourhoods

The Sacramento Bee: Defund the police? Some California Democrats ready to close state prison

https://www.sacbee.com/news/politics-government/capitol-alert/article243404096.html

@ColumbiaBugle: Tucker Carlson Destroying Senate Majority Leader Mitch McConnell & Other Cowardly Republicans For Appeasing The Left: “These people are cowards and they are liars. They pose as your protectors. They would sell you out for the price of lunch, and laugh as you were hauled away.  At the very least, they could point out the endless lying…”

https://twitter.com/ColumbiaBugle/status/1270522310542282752

Tucker Carlson: “The Rise of Left Wing Mobs in America”

“.. we’re becoming North KoreaWe now believe in blood guilt; we punish people for the sins of their relatives…we demand that the innocent plead guilty to things we know they didn’t do…then we order them to read their forced confessions in public…terrifying ideas now have free reign because nobody pushes back…some professional activist says something insane like “defund the police” – because that’s what professional activists do…and the rhetoric gets more disgusting.”…  https://www.zerohedge.com/political/tucker-carlson-rise-left-wing-mobs-america

@charliekirk11: Establishment Republicans are doing nothing to stand up against the leftist mob. Our country is in crisis and there is no courage in sightPeople are losing their lives at the hands of tyrants.

Wall Street Journal Staff Faults Column on Race by Former Top Editor

After a letter of protest from the newspaper’s union, Gerard Baker, now an editor at large, was reassigned to the opinion department…

https://www.nytimes.com/2020/06/09/business/wall-street-journal-gerard-baker-editor.html

Christopher Columbus statue toppled, thrown into lake at Virginia protest   https://trib.al/AijpoVn

Ex- Phil Prof @CHSommers: 1984 “Every record has been destroyed or falsified, every book has been rewritten…every statue and street and building has been renamed, every date has altered. And that process is continuing day by day and minute by minute. History has stopped.”

Ex-CIA analyst @BuckSexton: This cancellation frenzy of culture and history will not stop until enough Americans stand up for common sense, refuse to bend the knee, and stare right back at the woke mob

Until that happens, this only gets worse

The US Cultural Revolution is accelerating.  Free speech is gone.  The mob will try to ruin your life or career if you speak against their ideology.  People have gotten fired for saying “All lives matter”.  Books and movies are being banned.  Statues and monuments are being razed.  History is being rewritten.  This is precisely what occurred during other revolutions, including China’s Cultural Revolution.

Overview of the Chinese Cultural Revolution

In August 1966, Mao Zedong called for the start of a Cultural Revolution at the Plenum of the Communist Central Committee. He urged the creation of corps of “Red Guards” to punish party officials and any other persons who showed bourgeois tendencies…

    The first targets of the Red Guards included Buddhist temples, churches, and mosques, which were razed to the ground or converted to other uses. Sacred texts, as well as Confucian writings, were burnedalong with religious statues and other artwork. Any object associated with China’s pre-revolutionary past was liable to be destroyed.  The Guards conducted so-called “struggle sessions,” in which they heaped abuse and public humiliation upon people accused of capitalist thoughts

https://www.thoughtco.com/what-was-the-cultural-revolution-195607

The real threat to our republic is the Orwellian Antifa 08/27/17

It’s not “anti-fascist” or “anti-racist” as they attempt to portray themselves. It’s the systematic elimination of free speech, free assembly, and free thought via any means necessary, including violent protest, the media and Orwellian revisionism

     The gunman, James Hodgkinson, who shot Rep. Steve Scalise and four others in Alexandria was a habitual Antifa website visitor and advocate and Sanders volunteer. Even Democrat vice presidential candidate, Sen. Tim Kaine’s (D-Va.) son has been identified as an Antifa activist

      Increasingly, the violence we are seeing on the streets is not the result of the alt-right movement, but of the Antifa movement imposing their views on our society: tearing down statues, burning the American flag, shutting down town hall meetings, destroying private property and looting. All of it tactical toward achieving the goals of destroying the American culture, society and economy. Never mind that the tactics are themselves the tactics of the fascist…

    First, most mainstream media types are philosophically inclined toward anti-establishment organizations from the start; they see little wrong with crypto-fascist violence if the stated goals are in line with their own values systems.

    Second, that the Antifa movement hides behind its opposition to the Trump administration gives them the veneer of respectable protest the mainstream media needs to protect them

https://thehill.com/blogs/pundits-blog/the-administration/348137-the-real-threat-to-our-republic-is-the-orwellian-antifa

They came first for the Communists, and I didn’t speak up because I wasn’t a Communist. Then they came for the Jews, and I didn’t speak up because I wasn’t a Jew. Then they came for the trade unionists, and I didn’t speak up because I wasn’t a trade unionist. Then they came for the Catholics, and I didn’t speak up because I was a Protestant. Then they came for me, and by that time no one was left to speak up.” –Martin Niemoller, German Lutheran pastor

Well that is all for today

I will see you FRIDAY night.

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