AUGUST 20/GOLD WITHSTANDS ANOTHER ATTACK FROM OUR OFFICIAL SECTOR//GOLD DOWN $23.45 TO $1940.30//SILVER DOWN $.26 TO $27.05// SCOTIA BANK FINED CRIMINALLY FOR MANIPULATING THE PRECIOUS METALS MARKET AND ALSO FOR FLYING TO PROSECUTORS//CORONAVIRUS UPDATES FROM AROUND THE GLOBE//CHINESE CITIZENS HAVE TO BE EVACUATED DUE TO FLOODING AS THE 3 GORGES DAM IS BREAKING//GLOBAL TRADE WANING//SWAMP STORIES FOR YOU TONIGHT//

GOLD:$1940.30  DOWN $23.45   The quote is London spot price

 

 

 

 

 

Silver::$27.05 DOWN $0.26   London spot price ( cash market)

Today marks the 5TH day out of the last 8 days that a raid has been orchestrated by the bankers..

 

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Closing access prices:  London spot

i)Gold : $1946.20  LONDON SPOT  4:30 pm

 

ii)SILVER:  $27.23//LONDON SPOT  4:30 pm

CLOSING FUTURES PRICES:  KEY MONTHS

 

AUGUST GOLD:   $1938.70  CLOSE  1::30 PM  SPREAD SPOT/FUTURE AUG  (BACKWARD  $1.60//)

OCT GOLD:  $1938.00  CLOSE 1.30 PM//   SPREAD SPOT/FUTURE OCT /:   : $2.30//BACKWARD/

 

 

DEC. GOLD  $1946.20   CLOSE 1.30 PM      SPREAD SPOT/FUTURE DEC   $6.10/ CONTANGO   ($6.00 BELOW NORMAL CONTANGO)

 

 

CLOSING SILVER FUTURE MONTH

 

SILVER SEPT COMEX CLOSE;   $27.15…1:30 PM.//SPREAD SPOT/FUTURE SEPT//  :    ( BACKWARD)

SILVER DECEMBER  CLOSE:     $27.30  1:30  PM SPREAD SPOT/FUTURE DEC.       : 01  CENTS PER OZ  ( WELL BELOW NORMAL CONTANGO)

 

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COMEX DATA

 

 

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

receiving today: 10/40

issued:  JPMorgan 1//Goldman Sachs 1

EXCHANGE: COMEX
CONTRACT: AUGUST 2020 COMEX 100 GOLD FUTURES
SETTLEMENT: 1,958.700000000 USD
INTENT DATE: 08/19/2020 DELIVERY DATE: 08/21/2020
FIRM ORG FIRM NAME ISSUED STOPPED
____________________________________________________________________________________________
072 C GOLDMAN 1
624 C BOFA SECURITIES 5
661 C JP MORGAN 1 10
685 C RJ OBRIEN 17
690 C ABN AMRO 29
732 C RBC CAP MARKETS 6
905 C ADM 10 1
____________________________________________________________________________________________

TOTAL: 40 40
MONTH TO DATE: 48,538

NUMBER OF NOTICES FILED TODAY FOR  AUGUST CONTRACT: 40 NOTICE(S) FOR 400 OZ  (0.1244 tonnes)

 

TOTAL NUMBER OF NOTICES FILED SO FAR:  48,538 NOTICES FOR 4,853,800 OZ  (150.973 TONNES)

 

 

SILVER

 

 

4 NOTICE(S) FILED TODAY FOR 20,000  OZ/

total number of notices filed so far this month: 1278 for 6.390 MILLION oz

 

BITCOIN MORNING QUOTE  $11,766  UP 15

 

BITCOIN AFTERNOON QUOTE.: $11,863 UP 112

 

GLD AND SLV INVENTORIES:

WITH GOLD DOWN $23.45 AND NO PHYSICAL TO BE FOUND ANYWHERE:

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

NO CHANGES IN GOLD INVENTORY AT THE GLD/// //

 

 

 

 

GLD: 1,252.38 TONNES OF GOLD//

 

 

WITH SILVER DOWN $0.26 CENTS TODAY: AND WITH NO SILVER AROUND:

 

A HUGE CHANGES IN SILVER INVENTORY AT THE SLV//

A WITHDRAWAL OF 3.724 MILLION OZ FROM THE SLV//

 

RESTING SLV INVENTORY TONIGHT:

 

SLV: 572.843  MILLION OZ./

 

 

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Let us have a look at the data for today

 

 

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IN SILVER THE COMEX OI FELL BY A CONSIDERABLE SIZED 2040 CONTRACTS FROM 194,807 DOWN TO 192,857, AND FURTHER FROM OUR NEW RECORD OF 244,710, (FEB 25/2020. THE LOSS IN OI OCCURRED WITH OUR STRONG 66 CENT LOSS IN SILVER PRICING AT THE COMEX. IT SEEMS THAT THE LOSS IN COMEX OI IS PRIMARILY DUE TO SOME  BANKER SHORT COVERING COUPLED AGAINST A GOOD EXCHANGE FOR PHYSICAL ISSUANCE, TINY LONG LIQUIDATION, WITH A TINY DECREASE IN SILVER OZ. STANDING AT THE COMEX FOR AUGUST.  WE HAD A SMALL NET LOSS IN OUR TWO EXCHANGES OF 870 CONTRACTS  (SEE CALCULATIONS BELOW).

 

 

 

 

WE HAVE ALSO WITNESSED A HUGE 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 GOOD SIZED NUMBER OF COMEX LONGS TRANSFERRING THEIR CONTRACTS TO LONDON THROUGH THE EFP ROUTE:   SEP 1170 DEC:  0 FOR ZERO ALL  OTHER MONTHS  AND THEREFORE TOTAL ISSUANCE  1170 CONTRACTS. WITH THE TRANSFER OF 562 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 1170 EFP CONTRACTS TRANSLATES INTO 5.85 MILLION OZ  ACCOMPANYING:

1.THE 44 CENT LOSS  IN SILVER PRICE AT THE COMEX AND

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

JUNE/2018. (5.420 MILLION OZ);

FOR JULY: 30.370 MILLION OZ

FOR AUG., 6.065 MILLION OZ

FOR SEPT. 39.505 MILLION  OZ S

FOR OCT.2.525 MILLION OZ.

FOR NOV:  A HUGE 7.440 MILLION OZ STANDING  AND

21.925 MILLION OZ FINALLY STAND FOR DECEMBER.

5.845 MILLION OZ STAND IN JANUARY.

2.955 MILLION OZ STANDING FOR FEBRUARY.:

27.120 MILLION OZ STANDING IN MARCH.

3.875 MILLION OZ STANDING FOR SILVER IN APRIL.

18.845 MILLION OZ STANDING FOR SILVER IN MAY.

2.660 MILLION OZ STANDING FOR SILVER IN JUNE//

22.605 MILLION OZ  STANDING FOR JULY

10.025   MILLION OZ INITIAL STANDING IN AUGUST.

43.030   MILLION OZ INITIALLY STANDING IN SEPT. (HUGE)

7.32     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

2.205  MILLION OF FINAL STANDING FOR JUNE

86.470 MILLION OZ FINAL STANDING IN JULY.

6.465 MILLION OZ INITIAL STANDING IN AUGUST

 

WEDNESDAY, AGAIN OUR CROOKS USED COPIOUS PAPER IN ORDER TO LIQUIDATE SILVER’S PRICE…AND THEY WERE SUCCESSFUL IN KNOCKING THE PRICE OF SILVER DOWN (IT FELL 66 CENTS ).. AND, OUR OFFICIAL SECTOR/BANKERS  WERE SOMEWHAT SUCCESSFUL IN THEIR ATTEMPT TO FLEECE SOME WEAK SILVER LONGS FROM THEIR POSITIONS. THEY  ENGAGED IN SOME BANKER SHORT COVERING BUT JUDGING FROM THE SMALL LOSS ON THE TWO EXCHANGES, THEY COULD NOT COVER MUCH… THUS: THE CONSIDERABLE SIZED LOSS AT THE COMEX WAS ACCOMPANIED BY : i)  A GOOD ISSUANCE OF EXCHANGE FOR PHYSICALS 2) A SMALL DECREASE IN SILVER OZ STANDING  FOR AUGUST,  SOME  BANKER SHORT COVERING  AND 4) SOME LONG LIQUIDATION AS  WE DID HAVE A SMALL NET LOSS OF 870 CONTRACTS OR 1.95 MILLION OZ ON THE TWO EXCHANGES! YOU CAN BET THE FARM THAT OUR BANKERS  ARE DESPERATE TO LIQUIDATE THEIR HUGE SHORT POSITIONS IN SILVER..AND THUS THE REASON FOR OUR MASSIVE RAID THIS MORNING!!

 

SPREADING OPERATIONS/NOW SWITCHING TO SILVER

 

 

OUR SPREADING OPERATION HAS NOW SWITCHED INTO GOLD…..

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 SEPT.

 

 

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 GOLD OPEN INTEREST WILL RISE FROM NOW ON UNTIL ONE WEEK PRIOR TO FIRST DAY NOTICE AND THAT IS WHEN THEY START THEIR CRIMINAL LIQUIDATION.

HERE IS HOW THE CROOKS USED SPREADING AS WE ARE NOW INTO THE NON  ACTIVE DELIVERY MONTH OF AUGUST HEADING TOWARDS THE ACTIVE DELIVERY MONTH OF SEPT FOR SILVER:

 

YOU WILL ALSO NOTICE THAT THE COMEX OPEN INTEREST  STARTS TO RISE IN THIS NON ACTIVE MONTH OF AUGUST. 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 (SEPT), 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

AUGUST

 

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

14,185 CONTRACTS (FOR 15 TRADING DAY(S) TOTAL 14,185 CONTRACTS) OR 70.925 MILLION OZ: (AVERAGE PER DAY: 9456 CONTRACTS OR 4.728 MILLION OZ/DAY)

TO GIVE YOU AN IDEA AS TO THE HUGE SUPPLY THIS MONTH IN SILVER:  SO FAR THIS MONTH OF AUGUST: 70.925 MILLION PAPER OZ HAVE MORPHED OVER TO LONDON. THIS REPRESENTS AROUND 9.29% 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:          1,341.22 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                              71.15 MILLION OZ.

JULY EXP                               133.95 MILLION OZ/ (EXCHANGE FOR PHYSICALS STARTING TO RISE EXPONENTIALLY AGAIN)

AUGUST EXP                         70.925  MILLION OZ (EXCHANGE FOR PHYSICALS STARTING TO DECREASE AGAIN)

 

 

 

RESULT: WE HAD A GOOD SIZED DECREASE IN COMEX OI SILVER COMEX CONTRACTS OF 2040, DESPITE OUR STRONG 66 CENT LOSS IN SILVER PRICING AT THE COMEX ///WEDNESDAY AS ONE A NET BASIS, NOT TOO MANY LEFT THE SILVER ARENA..…THE CME NOTIFIED US THAT WE HAD A GOOD SIZED EFP ISSUANCE OF 1170 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 LOST A SMALL SIZED 2040 OI CONTRACTS ON THE TWO EXCHANGES (DESPITE OUR STRONG 66 CENT FALL IN PRICE)//

 

 

THE TALLY//EXCHANGE FOR PHYSICALS

i.e 1170 OPEN INTEREST CONTRACTS HEADED FOR LONDON  (EFP’s) TOGETHER WITH A GOOD SIZED DECREASE OF 2040 OI COMEX CONTRACTS. AND ALL OF THIS DEMAND HAPPENED WITH A 66 CENT FALL IN PRICE OF SILVER/AND A CLOSING PRICE OF $27.31 // 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. 0.9640 BILLION OZ TO BE EXACT or 138% of annual global silver production (ex Russia & ex China).

FOR THE NEW AUGUST  DELIVERY MONTH/ THEY FILED AT THE COMEX: 4 NOTICE(S) FOR 20,000 OZ OF SILVER.

IN SILVER,PRIOR TO TODAY, WE  SET THE NEW COMEX RECORD OF OPEN INTEREST AT 244,196 CONTRACTS ON AUG 22.2018. AND AGAIN THIS HAS BEEN SET WITH A LOW PRICE OF $14.70//TODAY’S RECORD OF 244,705 WAS 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: 2.205 MILLION OZ// JULY 86.470 million oz//AUGUST 6.465 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 SIZED 2684 CONTRACTS TO 546,694 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 SURPRISING GAIN IN COMEX OI OCCURRED DESPITE OUR STRONG LOSS IN PRICE  OF $39.65 /// COMEX GOLD TRADING// WEDNESDAY//WE HAD SOME BANKER SHORT COVERING, A STRONG SIZED INCREASE IN GOLD TONNAGE STANDING AT THE COMEX FOR AUGUST, ALONG WITH ZERO LONG LIQUIDATION ACCOMPANYING A SMALL EXCHANGE FOR  PHYSICAL ISSUANCE. THIS ALL HAPPENED WITH OUR STRONG LOSS IN PRICE OF $39.65. 

 

 

WE HAD A VOLUME OF 0    4 -GC CONTRACTS//OPEN INTEREST  158

 

WE GAINED A GOOD SIZED 4432 CONTRACTS  (13.784 TONNES) ON OUR TWO EXCHANGES.

 

E.F.P. ISSUANCE

 

 

 

THE CME RELEASED THE DATA FOR EFP ISSUANCAND IT TOTALED A SMALL SIZED 1748 CONTRACTS:

CONTRACT .; AUG 0 AND OCT: 0 DEC: 1748; JUNE: 0  ALL OTHER MONTHS ZERO//TOTAL: 1748.  The NEW COMEX OI for the gold complex rests at 546,694. 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 EXCHANGE DEAL WITH THE LONGS AND THAT COULD TAKE AN ADDITIONAL, 48 HRS SO WE GENERALLY DO NOT GET A MATCH WITH RESPECT TO DEPARTING COMEX LONGS AND NEW EFP LONG TRANSFERS. . EVEN THOUGH THE BANKERS ISSUED THESE MONSTROUS EFPS, THE OBLIGATION STILL RESTS WITH THE BANKERS TO SUPPLY METAL BUT IT TRANSFERS THE RISK TO A LONDON BANKER OBLIGATION AND NOT A NEW YORK COMEX OBLIGATION. LONGS RECEIVE A FIAT BONUS TOGETHER WITH A LONG LONDON FORWARD. THUS, BY THESE ACTIONS, THE BANKERS AT THE COMEX HAVE JUST STATED THAT THEY HAVE NO APPRECIABLE METAL!! THIS IS A MASSIVE FRAUD: THEY CANNOT SUPPLY ANY METAL TO OUR COMEX LONGS BUT THEY ARE QUITE WILLING TO SUPPLY MASSIVE NON BACKED GOLD (AND SILVER) PAPER KNOWING THAT THEY HAVE NO METAL TO SATISFY OUR LONGS. LONDON IS NOW SEVERELY BACKWARD IN BOTH GOLD AND SILVER  AND WE ARE WITNESSING DELAYS IN ACTUAL DELIVERIES.

IN ESSENCE WE HAVE A GOOD SIZED INCREASE IN TOTAL CONTRACTS ON THE TWO EXCHANGES OF 4432 CONTRACTS: 2684 CONTRACTS INCREASED AT THE COMEX AND 1748 EFP OI CONTRACTS WHICH NAVIGATED OVER TO LONDON. THUS  TOTAL OI GAIN OF 4432 CONTRACTS OR 17.86 TONNES. WEDNESDAY, WE HAD A STRONG LOSS OF $39.65 IN GOLD TRADING..….

AND WITH THAT LOSS IN  PRICE, WE HAD A GOOD SIZED GAIN IN  TOTAL/TWO EXCHANGES GOLD TONNAGE OF 13.785 TONNES!!!!!! THE BANKERS WERE SUCCESSFUL IN THEIR ATTEMPT TO LOWER GOLD’S PRICE (IT FELL $39.65.  WE DID HAVE  A TINY BANKER SHORT COVERING OPERATION BUT JUDGING FROM THE GAIN IN COMEX OI AND THE GAIN IN EXCHANGES FOR PHYSICAL THEY COULD NOT FLEECE  OUR SPECULATOR LONGS.

 

 

 

 

 

 

 

CALCULATIONS ON GAIN/LOSS ON OUR TWO EXCHANGES:

WE HAD A SMALL SIZED ISSUANCE IN EXCHANGE FOR PHYSICALS (1748) ACCOMPANYING THE SURPRISINGLY GOOD SIZED GAIN IN COMEX OI  (2684 OI): TOTAL GAIN IN THE TWO EXCHANGES:  4432 CONTRACTS. WE NO DOUBT HAD 1 )TINY BANKER SHORT COVERING , 2.)A GOOD INCREASE IN GOLD TONNAGE  STANDING AT THE GOLD COMEX FOR THE FRONT AUGUST MONTH,  3) ZERO LONG LIQUIDATION; 4) GOOD COMEX OI GAIN AND 5) SMALL ISSUANCE OF EXCHANGE FOR PHYSICAL  AND  …ALL OF THIS WAS COUPLED WITH OUR HUGE LOSS IN GOLD PRICE TRADING//WEDNESDAY//$39.65. 

 

 

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

AUGUST

 

ACCUMULATION OF EFP’S GOLD AT J.P. MORGAN’S HOUSE OF BRIBES: (EXCHANGE FOR PHYSICAL) FOR THE MONTH OF AUGUST : 32,226, CONTRACTS OR 3,222,600, oz OR 100.23 TONNES (15 TRADING DAY(S) AND THUS AVERAGING: 2148 EFP CONTRACTS PER TRADING DAY

 

TO GIVE YOU AN IDEA AS TO THE STRONG SIZE OF THESE EFP TRANSFERS :  THIS MONTH IN 15 TRADING DAY(S) IN  TONNES: 100.23 TONNES

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

THUS EFP TRANSFERS REPRESENTS 100.23/3550 x 100% TONNES =2.67% 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   3,360.41  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:                     192.06 TONNES

JULY TOTAL EFP ISSUANCE;                       313.09 TONNES ..(EXCHANGE FOR PHYSICALS REVERSE COURSE AND ARE NOW INCREASING!)

AUGUST TOTAL EFP ISSUANCE;                 100.23 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, FELL BY A CONSIDERABLE SIZED 2040 CONTRACTS FROM 194,807 DOWN TO 192,857 AND FURTHER FROM 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 CONSIDERABLE SIZED LOSS IN OI SILVER COMEX WAS PRIMARILY DUE TO;   1)   SOME BANKER SHORT COVERING , 2) A SMALL ISSUANCE OF EXCHANGE FOR PHYSICALS (SEE BELOW), 3) A SMALL DECREASE IN SILVER OZ  STANDING AT THE SILVER COMEX FOR AUGUST,  AND  4) SOME WEAK LONG LIQUIDATION, 

 

 

EFP ISSUANCE 1170 CONTRACTS

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

 SEPT: 1170 AND DEC. 0 AND  ALL OTHER MONTHS: ZERO. TOTAL EFP ISSUANCE: 1170 CONTRACTS. EFP’S GIVE OUR COMEX LONGS A FIAT BONUS PLUS A DELIVERABLE PRODUCT OVER IN LONDON.  IF WE TAKE THE  COMEX OI LOSS OF 2684 CONTRACTS TO THE 1170 OI TRANSFERRED TO LONDON THROUGH EFP’S,  WE OBTAIN A SMALL LOSS OF 870 OPEN INTEREST CONTRACTS FROM OUR TWO EXCHANGES. THUS IN OUNCES, THE LOSS ON THE TWO EXCHANGES 4.35 MILLION  OZ, OCCURRED WITH OUR 66 CENT LOSS IN PRICE///

 

 

BOTH THE SILVER COMEX AND THE GOLD COMEX ARE IN STRESS AS THE BANKERS SCOUR THE BOWELS OF THE EXCHANGE FOR METAL..THE EVIDENCE IS CLEAR: HUGE AMOUNTS OF PHYSICAL STANDING FOR BOTH  SILVER AND GOLD .

(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 44.23 POINTS OR 1.30%  //Hang Sang CLOSED DOWN 387.52 POINTS OR 1.54%   /The Nikkei closed DOWN 229.99 POINTS OR 1.00%//Australia’s all ordinaires CLOSED DOWN .67%

/Chinese yuan (ONSHORE) closed  UP  at 6.9166 /Oil UP TO 42.50 dollars per barrel for WTI and 44.58 for Brent. Stocks in Europe OPENED RED//  ONSHORE YUAN CLOSED UP // LAST AT 6.9166 AGAINST THE DOLLAR. OFFSHORE YUAN CLOSED UP ON THE DOLLAR AT 6.9129 TRADE TALKS STALL//YUAN LEVELS GETTING DANGEROUSLY CLOSE TO 7:1//TRUMP INITIATES A NEW 25% TARIFFS FRIDAY/MAY 10/MAJOR PROBLEMS AT HUAWEI /CFO ARRESTED//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 SHOCKINGLY ROSE BY A GOOD SIZED 2684 CONTRACTS TO 548,004 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 COMEX INCREASE OCCURRED DESPITE OUR HUGE LOSS OF $39.65 IN GOLD PRICING /WEDNESDAY’S COMEX TRADING/). WE ALSO HAD A SMALL EFP ISSUANCE (1742 CONTRACTS),.  THUS,  WE HAD AGAIN 1) TINY BANKER SHORT COVERING AT THE COMEX (IF ANY),  AS THEY  ORCHESTRATED THEIR RAID BUT JUDGING FROM THE GAIN IN OI THEY WERE NOT SUCCESSFUL IN CLOSING OUT MUCH OF THOSE SHORTS…… , PLUS 2)  ZERO LONG LIQUIDATION  AND 3)  A GOOD INCREASE IN GOLD OZ  STANDING AT THE GOLD COMEX//AUGUST DELIVERY MONTH (SEE BELOW) …  AS WE ENGINEERED A GOOD SIZED GAIN ON OUR TWO EXCHANGES OF 4432 CONTRACTS DESPITE GOLD’S STRONG LOSS IN PRICE. WE HAVE LATELY WITNESSED THE EXCHANGE FOR PHYSICALS ISSUED BEING SMALL….. AS IT JUST TOO COSTLY FOR THEM TO CONTINUE SERVICING THE COSTS OF SERIAL FORWARDS CIRCULATING IN LONDON.

 

 

 

(SEE BELOW)

 

 

WE  HAD 0    4 -GC VOLUME//open interest REMAINS AT 158

 

 

 

EXCHANGE FOR PHYSICAL ISSUANCE

WE ARE NOW IN THE NON  ACTIVE DELIVERY MONTH OF JULY..  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 1742 EFP CONTRACTS WERE ISSUED:  AUG  0 , OCT: DEC 1731; JUNE// ’21 0 AND  ZERO FOR ALL OTHER MONTHS:

TOTAL EFP ISSUANCE: 17342  CONTRACTS.

YOU WILL FIND THAT WHEN WE HAVE A GOOD 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. TODAY THAT PREMIUM WAS SMALL AND THUS A LITTLE MORE THAN USUAL OF EXCHANGE FOR PHYSICALS WERE ISSUED.

 

ON A NET BASIS IN OPEN INTEREST WE GAINED THE FOLLOWING TODAY ON OUR TWO EXCHANGES: 4432 TOTAL CONTRACTS IN THAT 1742 LONGS WERE TRANSFERRED AS FORWARDS TO LONDON AND WE GAINED A GOOD SIZED 2684 COMEX CONTRACTS.  THE BANKERS ARE NOW LOATHE TO SUPPLY THE SHORT PAPER.  THEY CONTINUE TO ISSUE  SMALLER AMOUNTS OF EXCHANGE FOR PHYSICAL AS THE COST ON CARRYING SERIAL FORWARDS IN LONDON IS TOO GREAT FOR THEM. WE HAD TINY BANKER SHORT COVERING AS THE BANKERS HAVE BEEN CAUGHT TERRIBLY OFFSIDE ON THEIR SHORT POSITIONS..AND THUS THE REASON FOR OUR HUGE RAIDS LAST WEEK AND YESTERDAY COURTESY OF THE OFFICIAL SECTOR/BIS//BANKERS. TODAY WE WITNESSED A GOOD DECREASE IN GOLD TONNAGE STANDING FOR AUGUST…..  WE  LOST ZERO SPECULATOR LONGS AS SOME OF OUR BANKERS COVERED THEIR SHORTS WITH THE WICKED RAID THEY ORCHESTRATED.

 

 

 

THE BANKERS WERE SUCCESSFUL IN LOWERING GOLD’S PRICE  //// (IT FELL $39.65).  AND, THEY WERE  SUCCESSFUL IN FLEECING ANY LONGS 

AS THE TOTAL GAIN ON THE TWO EXCHANGES REGISTERED  13.785 TONNES

 

 

NET GAIN ON THE TWO EXCHANGES :: 546,694, CONTRACTS OR 546,694 OZ OR 13.785 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:  546,694 TOTAL OI CONTRACTS X 100 OZ PER CONTRACT = 54.66 MILLION OZ/32,150 OZ PER TONNE =  1700 TONNES

THE COMEX OPEN INTEREST REPRESENTS 1700/2200 OR 77.27% OF ANNUAL GLOBAL PRODUCTION OF GOLD.

 

 

Trading Volumes on the COMEX TODAY: 223,812 contracts// poor volume//

 

 

 

 

CONFIRMED COMEX VOL. FOR YESTERDAY:  473,415 contracts//  volume: strong//official sector raid// //most of our traders have left for London

 

 

AUGUST 20 /2020

AUGUST GOLD CONTRACT MONTH

INITIAL STANDING FOR AUGUST GOLD

 

Gold Ounces
Withdrawals from Dealers Inventory in oz nil oz
Withdrawals from Customer Inventory in oz
4822.650
oz
manfra
150 kilobars
Deposits to the Dealer Inventory in oz 96.453 oz

BRINKS

 

1 KILOBAR

 

 

 

Deposits to the Customer Inventory, in oz  

44,353.900 oz
HSBC

 

No of oz served (contracts) today
40 notice(s)
 4000 OZ
(0.1244 TONNES)
No of oz to be served (notices)
249 contracts
(24900 oz)
0.774 TONNES
Total monthly oz gold served (contracts) so far this month
48538 notices
4,853,800 OZ
150.973 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 the dealer Brinks:  96.453 oz

 

total deposit: 96.453 oz

 

 

 

 

 

 

 

total dealer withdrawals: nil oz

we had 1 deposit into the customer account

i) Into HSBC;  44,353.900 oz

 

 

total customer deposit:  44,353.900   oz

 

 

we had 1 gold withdrawals from the customer account:

i) Out of Manfra:  4822.65 oz

150 kilobars

 

 

total withdrawals;  nil  oz

 

 

 

We had 3  kilobar transactions  +

 

ADJUSTMENTS: 0 //

i) Out of JPMorgan:  14,467.809.006 oz

 

The front month of AUGUST registered a total of 289 CONTRACTS as we LOST 246 contracts. We had 334 notices served on WEDNESDAY so we GAINED A STRONG 88 contracts or an additional 8800 OZ will stand for delivery on this side of the pond as they refused to morph into London based forwards as well as negating a fiat bonus. The boys are scrambling in search of badly needed physical metal as they start to search for metal on the other side of the pond.

 

 

 

 

 

After August we have the non active Sept contract month.. Here we saw another GAIN of 33 contracts to stand at 2396.  Oct GAINED 2309 contracts UP to 72,379

 

The big December contract GAINED 608 contracts  down to 399,795 contracts…(it is here where some of our short side bankers tried to bail and failed)

 

 

 

We had 40 notices filed today for  4000 oz

 

FOR THE AUGUST 2020 CONTRACT MONTH)Today, 0 notice(s) were issued from JPMorgan dealer account and  1 notices were issued from their client or customer account. The total of all issuance by all participants equates to 40 contract(s) of which 0  notices were stopped (received) by j.P. Morgan dealer and 10 notice(s) was (were) stopped/ Received) by j.P.Morgan//customer account and 1 notices by the squid  (Goldman Sachs)

To calculate the INITIAL total number of gold ounces standing for the AUGUST /2020. contract month, we take the total number of notices filed so far for the month (48,538) x 100 oz , to which we add the difference between the open interest for the front month of  AUGUST (289 CONTRACTS ) minus the number of notices served upon today (40 x 100 oz per contract) equals 4,878,700 OZ OR 151.748 TONNES) the number of ounces standing in this active month of JUNE

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

No of notices filed so far (48,538, x 100 oz + (289 OI) for the front month minus the number of notices served upon today (40) x 100 oz which equals 4,878,700 oz standing OR 151.748 TONNES in this  active delivery month. This is a HUGE  amount for gold standing for a AUGUST delivery month (an active delivery month).

We gained 88 contracts or 800 oz of gold as these guys refused to  morph into London based forwards.

THE NAME OF THE GAME TODAY IS   BANKER SHORT COVERING AS FINALLY FEAR BECAME THEIR CENTRAL FOCUS.  THEY ORCHESTRATED A RAID TODAY SO AS TO CAUSE MANY SPECULATORS TO FLEE THE GOLD ARENA. IT LOOKS LIKE THEY FAILED.

 

 

 

NEW PLEDGED GOLD:  BRINKS

 

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

 

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

deleted Int. Delaware pledge July 7  (600 tonnes)

231,924.295 oz  (some deleted august 3)         JPM  7.2138 TONNES

611,401.341 oz pledged June 12/2020 Brinks/   july 2/july 21               19.017 tonnes

total pledged gold:  1,029,962.895 oz                                     32.03 tonnes

 

 

 

SURPRISINGLY WE HAVE BEEN WITNESSING NO REAL PHYSICAL GOLD ENTERING THE COMEX VAULTS FOR THE PAST YEAR!! ..ONLY PHONY KILOBAR ENTRIES…. WE HAVE 483.58 TONNES OF REGISTERED GOLD WHICH CAN SETTLE UPON LONGS i.e. 151.748 tonnes

CALCULATION OF REGISTERED GOLD THAT CAN BE SETTLED UPON:

total registered or dealer  16,591,809.006 oz or 516.07 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 (SOME  DELETED JUNE 24 2020/SOME JULY 9; SOME JULY 22/July 03/august 3) which cannot be settled upon:  231,924.295 oz (or 7.2138 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.    DELETED:   JULY 7.2020
f) pledged gold at Brinks:  DELETED july 2 and july 21
g) pledged gold at Brinks: 611,401.341 oz added which cannot be settled:  19,017 tonnes
total weight of pledged:  1,029,962.896 oz or 32.03 tonnes
thus:
registered gold that can be used to settle upon:  15,561,847.0  (484,03 tonnes)
true registered gold  (total registered – pledged tonnes  15,561,847.0 (484.03 tonnes)
total eligible gold:  20,745,707.805 oz (645.28 tonnes)

total registered, pledged  and eligible (customer) gold;   37,337,506.8.11 oz 1,161.35 tonnes (INCLUDES 4 GC GOLD)

total 4 GC gold:   126.34 tonnes

total gold net of 4 GC:  1035.01 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 July 2018. and it continues to present day.

 

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.

 

 

THE DATA AND GRAPHS:

 

 

 

THE GOLD COMEX SEEMS TO BE  UNDER SEVERE ASSAULT FOR PHYSICAL

 

END

AUGUST 20/2020

And now for the wild silver comex results

 

 

AUGUST SILVER COMEX CONTRACT MONTH//INITIAL STANDINGS

Silver Ounces
Withdrawals from Dealers Inventory NIL oz
Withdrawals from Customer Inventory
 998.79
CNT

 

 

 

Deposits to the Dealer Inventory
nil oz

 

Deposits to the Customer Inventory
nil
No of oz served today (contracts)
4
CONTRACT(S)
(20,000 OZ)
No of oz to be served (notices)
15 contracts
 75,000 oz)
Total monthly oz silver served (contracts)  1278 contracts

6,390,000 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

we had 0 deposits into the customer account

i)into JPMorgan:  nil oz

 

 

 

ii) Into everybody else:  0

 

 

 

 

 

 

 

 

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

JPMorgan now has 165.53 million oz of  total silver inventory or 48.75% of all official comex silver. (165.53 million/339.452 million

 

total customer deposits today: nil   oz

we had 1 withdrawals:

 

ii) Out of CNT:  85,734.290 oz

 

 

 

total withdrawals;  536,900.510    oz

We had 0 adjustments

 

 

Total dealer(registered) silver: 129.555 million oz

total registered and eligible silver:  339.453 million oz

 

xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx

the front month of August registered an open interest of 19 contracts and thus we LOST 3 contracts.  We had 0 notices filed on WEDNESDAY so we LOST 3 contracts or an additional 15,000 oz will  NOT stand for delivery as these guys  morphed into London based forwards as well as accepting a fiat bonus for their efforts…. The bankers are now desperate in their search for badly needed silver whether it is on this side of the pond or the European side.

 

 

 

After August we have the  big September contract month and here we see a loss 6104 contracts down to 71,118. November saw another gain of 22 contracts to stand at 305.

SEPT OI IS VERY HIGH AND WE WILL HAVE A DANDY AMOUNT OF SILVER STANDING AT THE COMEX.

 

The big December contract month saw its OI rise by good 4057 contracts up to 109,519

 

 

The total number of notices filed today for the AUGUST 2020. contract month is represented by 4 contract(s) FOR 20,000, oz

 

To calculate the number of silver ounces that will stand for delivery in AUGUST we take the total number of notices filed for the month so far at 1278 x 5,000 oz = 6,390,000 oz to which we add the difference between the open interest for the front month of AUGUST(19) and the number of notices served upon today 4 x (5000 oz) equals the number of ounces standing.

 

Thus the INITIAL standings for silver for the AUGUST/2019 contract month: 1278 (notices served so far) x 5000 oz + OI for front month of AUGUST  (19)- number of notices served upon today (4) x 5000 oz of silver standing for the AUGUST contract month.equals 6,465,000 oz. ..VERY STRONG FOR A NON ACTIVE MONTH.

We lost 3 contracts or an additional 15,000 oz will not stand for delivery as they morphed into London based forwards..

 

 

TODAY’S ESTIMATED SILVER VOLUME : 92,524 CONTRACTS // volume excellent+++++/

 

 

FOR YESTERDAY: 248,883.  ,CONFIRMED VOLUME//volume huge.++++++++++++++++++++++++++++++++++++++++++++++++++++  

 

 

 

YESTERDAY’S CONFIRMED VOLUME OF 248883 CONTRACTS EQUATES to 1.244 billion  OZ 178% 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  RISES TO- 2.51% ((AUGUST 20/2020)

2. Sprott gold fund (PHYS): premium to NAV  FALLS TO -1.10% to NAV:   (AUGUST 19/2020 )

Note: Sprott silver trust back into NEGATIVE territory at +%-/Sprott physical gold trust is back into NEGATIVE/2.51%

(courtesy Sprott/GATA

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

NAV 20.55 TRADING 20.27///NEGATIVE 1,35

END

 

 

And now the Gold inventory at the GLD/

AUGUST 20/WITH GOLD DOWN $23.45 TODAY: WE HAD NO CHANGED IN GOLD INVENTORY AT THE GLD: .//INVENTORY REST AT  1252.38 TONNES

AUGUST 19//WITH GOLD DOWN $39.65 TODAY: WE HAD NO CHANGES IN GOLD INVENTORY AT THE GLD//INVENTORY RESTS AT 1252.38 TONNES

AUGUST 18/WITH GOLD UP $14.60 TODAY: WE HAD A HUGE CHANGE IN GOLD INVENTORY: A DEPOSIT OF 4.09 TONNES//GLD INVENTORY RESTS TONIGHT AT 1252.38 TONNES

AUGUST 17/WITH GOLD UP $46.30  TODAY:  SURPRISINGLY WE HAD A HUGE CHANGE IN GOLD INVENTORY AT THE GLD//A WITHDRAWAL  OF 3.8 TONNES//INVENTORY RESTS AT 1248.29 TONNES

AUGUST 14/ WITH GOLD DOWN $19.45 TODAY: SURPRISINGLY, WE HAD A HUGE CHANGE IN GOLD INVENTORY AT THE GLD//A DEPOSIT OF 1.46 TONNES/INVENTORY RESTS AT 1252.63 TONNES.

AUGUST 13/WITH GOLD UP $23.15 TODAY: WE HAD A HUGE CHANGE IN GOLD INVENTORY: SURPRISINGLY A PAPER WITHDRAWAL OF 7.30 TONNES/INVENTORY RESTS AT 1250.63 TONNES

AUGUST 12/ WITH GOLD UP $1.00 TODAY: WE HAD A HUGE CHANGE IN GOLD INVENTORY AT THE GLD//A WITHDRAWAL OF 4.19 TONNES//INVENTORY RESTS AT 1257.93 TONNES

AUGUST 11//WITH GOLD DOWN $92.40 TODAY, WE HAD NO CHANGES IN GOLD INVENTORY AT THE GLD//INVENTORY RESTS AT 1262.12 TONNES.

AUGUST 10/WITH GOLD UP $11.35  TODAY, WE HAD A HUGE CHANGE IN GOLD INVENTORY AT THE GLD: A WITHDRAWAL OF 5.84 TONNES//INVENTORY RESTS AT 1262.12 TONNES

AUGUST 7/WITH GOLD DOWN $38.30 TODAY, WE HAVE NO CHANGES IN GOLD INVENTORY AT THE GLD//INVENTORY RESTS AT 1267.96 TONNES

AUGUST 6/WITH GOLD UP $20.45 TODAY, WE HAVE ANOTHER HUGE CHANGE IN GOLD INVENTORY AT THE GLD//A PAPER DEPOSIT OF 10.23 TONNES INTO THE GLD/INVENTORY RESTS AT 1267.96  TONNES//

AUGUST 5/WITH GOLD UP $ 33.75 TODAY, WE HAVE A HUGE CHANGE IN GOLD INVENTORY AT THE GLD/A DEPOSIT OF 9.35 TONNES INTO THE GLD//INVENTORY RESTS AT 1257.73 TONNES

AUGUST 4//WITH GOLD UP $31.75 TODAY, WE HAVE A HUGE CHANGE IN GOLD INVENTORY AT THE GLD//A DEPOSIT OF 6.48 TONNES/GLD INVENTORY RESTS AT 1248.38 TONNES

AUGUST 3/WITH GOLD UP $2.20 TODAY, WE HAVE NO CHANGES IN THE GOLD INVENTORY AT THE GLD////INVENTORY RESTS AT 1241,96 TONNES

JULY 31/WITH GOLD UP $17.90 TODAY/WE HAVE NO CHANGES IN GOLD INVENTORY AT THE GLD////INVENTORY RESTS AT 1241.96 TONNES.

JULY 30/WITH GOLD DOWN  $10.00 TODAY, WE HAVE ANOTHER SMALL CHANGE IN GOLD INVENTORY AT THE GLD: A WITHDRAWAL OF 1.16 TONNES//INVENTORY RESTS AT 1241.96 TONNES.

JULY 29//WITH GOLD UP  $12.45 TODAY, WE HAVE ANOTHER HUGE CHANGE IN GOLD INVENTORY AT THE GLD//A HUGE DEPOSIT OF 8.47 TONNES/INVENTORY RESTS AT 1243.12 TONNES

JULY 28///WITH GOLD UP $13.25 TODAY, WE HAVE ANOTHER HUGE CHANGE IN GOLD INVENTORY AT THE GLD//A HUGE DEPOSIT OF 5.84 TONNES/INVENTORY RESTS AT 1234.65

JULY 27//WITH GOLD UP $35.30 TODAY, WE HAVE NO CHANGES IN GOLD INVENTORY AT THE GLD//A DEPOSIT OF XXX TONNES/INVENTORY RESTS AT 1228.81 TONNES

JULY 24/WITH GOLD UP $8.80 TODAY: WE HAVE ANOTHER HUGE CHANGE IN GOLD INVENTORY AT THE GLD: A DEPOSIT OF 3.80 TONNES//INVENTORY RESTS AT 1228.81 TONNES

JULY 23/WITH GOLD UP $24.90 TODAY: WE HAVE A HUGE CHANGE IN GOLD INVENTORY AT THE GLD//A DEPOSIT OF 7.26 TONNES/INVENTORY RESTS AT 1225.01 TONNES

JULY 22/WITH GOLD UP $22.00 TODAY: WE HAVE A HUGE CHANGE IN GOLD INVENTORY AT THE GLD/ A DEPOSIT OF 7.89 TONNES/INVENTORY RESTS AT 1219.75 TONNES

JULY 21//WITH GOLD UP $26.00 TODAY, WE HAVE A HUGE CHANGE IN GOLD INVENTORY AT THE GLD: A DEPOSIT OF 4.97 TONNES INTO THE GLD// INVENTORY RESTS AT 1211.86 TONNES

JULY 20/WITH GOLD UP $7.70 TODAY, WE HAVE NO CHANGES IN GOLD INVENTORY AT THE GLD/INVENTORY RESTS AT 1206.89 TONNES

JULY 17/WITH GOLD UP $7.70 TODAY, WE HAVE NO CHANGES IN GOLD INVENTORY AT THE GLD: /INVENTORY RESTS AT 1206.89 TONNES

JULY 16/WITH GOLD DOWN $9.80 TODAY, WE HAVE NO CHANGES IN GOLD INVENTORY AT THE GLD: INVENTORY RESTS AT 1206.89 TONNES

JULY 15//WITH GOLD UP $1.55 TODAY/A HUGE CHANGE IN GOLD INVENTORY AT THE GLD//A DEPOSIT OF 2.96 TONNES INTO THE GLD///INVENTORY RESTS AT 1206.89 TONNES

JULY 14//WITH GOLD DOWN $1.65 TODAY: A HUGE CHANGE IN GOLD INVENTORY AT THE GLD/A DEPOSIT OF 3.51 TONNES/INVENTORY RESTS AT 1203.97 TONNES

JULY 13//WITH GOLD UP $12.50 TODAY: A SMALL CHANGE IN GOLD INVENTORY AT THE GLD: A WITHDRAWAL OF 0.36 TONNES INTO THE GLD//INVENTORY RESTS AT 1200.46 TONNES

JULY 10/WITH GOLD DOWN $.50 TODAY: A BIG CHANGE IN GOLD INVENTORY AT THE GLD//A STRANGE WITHDRAWAL  OF 1.75 TONNES FROM THE GLD//INVENTORY RESTS AT 1200.82 TONNES

JULY 9//WITH GOLD DOWN $11.75 TODAY: A BIG CHANGE IN GOLD INVENTORY AT THE GLD: A DEPOSIT OX 3.21 TONNES INTO THE GLD//INVENTORY RESTS AT 1202.57 TONNES

JULY 8/WITH GOLD UP $13.75 TODAY; A BIG CHANGE IN GOLD INVENTORY AT THE GLD:A DEPOSIT OF 7.89 TONNES INTO THE GLD//INVENTORY RESTS AT 1199.36 TONNES

JULY 7/WITH GOLD UP $12.50 TODAY: NO CHANGE IN GOLD INVENTORY AT THE GLD: /INVENTORY RESTS AT 1191.47 TONNES

JULY 6/WITH GOLD UP $6.50 TODAY: A HUGE CHANGE IN GOLD INVENTORY AT THE GLD: A DEPOSIT OF 9.36 TONNES INTO THE GLD//INVENTORY RESTS AT 1191.47 TONNES

JULY 2/WITH GOLD UP $7.00 TODAY: A HUGE CHANGE IN GOLD INVENTORY AT THE GLD: A DEPOSIT OF 3.21 TONNES INTO THE GLD////INVENTORY RESTS AT 1182.11 TONNES

JULY 1/WITH GOLD DOWN $12.90//NO CHANGES IN GOLD INVENTORY AT THE GLD: /INVENTORY RESTS AT 1178.90 TONNES

 

xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx

 

Inventory rests tonight at

AUGUST 20/ GLD INVENTORY 1252.38 tonnes*

LAST;  885 TRADING DAYS:   +312.88 NET TONNES HAVE BEEN ADDED THE GLD

 

LAST 785 TRADING DAYS://+491,41  TONNES HAVE NOW BEEN ADDED INTO  THE GLD INVENTORY.

 

 

end

 

 

Now the SLV Inventory/

AUGUST 20/WITH SILVER DOWN $.26 TODAY: WE HAD A HUGE CHANGE IN SILVER INVENTORY AT THE SLV//A WITHDRAWAL OF 3.724 MILLION OZ FROM THE SLV..//INVENTORY REST AT 572.843 MILLION  OZ

AUGUST 18/WITH SILVER UP $.44 TODAY: WE HAD A HUGE CHANGE IN SILVER INVENTORY AT THE SLV//A DEPOSIT OF 2.514 MILLION OZ//THE SLV INVENTORY RESTS TONIGHT AT 576.567 MILLION OZ//

AUGUST 17/WITH SILVER  UP $1.27 TODAY: WE HAD NO CHANGES IN SILVER INVENTORY: //INVENTORY RESTS AT 574.053 MILLION OZ//

AUGUST 14/WITH SILVER DOWN  $1.31 TODAY, WE HAD A HUGE CHANGE IN SILVER INVENTORY AT THE SLV: A WITHDRAWAL OF 6.984 MILLION OZ// //INVENTORY RESTS AT 574.053 MILLION OZ//

AUGUST 13//WITH SILVER UP $1.76  TODAY: WE HAVE TWO HUGE CHANGES IN SILVER INVENTORY AT THE SLV//A PAPER DEPOSIT OF 2.421  MILLION OZ INTO THE SLV AT 2 PM AND ANOTHER DEPOSIT OF 6.984 MILLION OZ AT 5 20 PM/INVENTORY RESTS AT 581.037 MILLION OZ//

AUGUST 12/WITH SILVER DOWN 40 CENTS TODAY: WE HAVE ANOTHER CHANGE IN SILVER INVENTORY AT THE SLV//A WITHDRAWAL OF XX MILLION OZ//INVENTORY RESTS AT XX MILLION OZ/

AUGUST 11/WITH SILVER DOWN $3.25 CENTS, WE HAVE ANOTHER CHANGE IN SILVER INVENTORY AT THE SLV//A DEPOSIT OF 2.41 MILLION OZ//INVENTORY RESTS AT 571.632 MILLION OZ//

AUGUST 10/WITH SILVER UP 1.89 TODAY, WE HAVE ANOTHER HUGE CHANGE IN SILVER INVENTORY AT THE SLV//A WITHDRAWAL OF 3.538 MILLION OZ/INVENTORY RESTS AT 569.491  MILLION OZ//

AUGUST 7/WITH SILVER DOWN 69 CENTS TODAY: WE HAVE ANOTHER HUGE CHANGE IN SILVER INVENTORY: A DEPOSIT OF 0.465 MILLION OZ/INVENTORY RESTS AT 573.029 MILLION OZ.

AUGUST 6/WITH SILVER UP $1.52 TODAY, WE HAVE NO CHANGES IN SILVER INVENTORY AT THE SLV//INVENTORY RESTS AT 572.564 MILLION OZ///

AUGUST 5/WITH SILVER UP $1.03 TODAY, WE HAVE A HUGE CHANGE IN SILVER INVENTORY AT THE SLV// A MONSTROUS DEPOSIT OF 5.403 MILLION OZ//INVENTORY RESTS AT 572.564 MILLION OZ//

AUGUST 4/WITH SILVER UP $1.45 TODAY, WE HAVE NO CHANGES IN SILVER INVENTORY: //INVENTORY RESTS AT 367.161 MILLION OZ//

AUGUST 3/WITH SILVER UP 23 CENTS TODAY: WE HAVE A HUGE CHANGE IN SILVER INVENTORY AT THE SLV//SURPRISINGLY ANOTHER WITHDRAWAL OF 0.931 MILLION OZ//INVENTORY RESTS AT 367.161 MILLION OZ//

JULY 31/WITH SILVER UP 82 CENTS TODAY: WE HAVE A HUGE CHANGE IN SILVER INVENTORY AT THE SLV: SURPRISINGLY A HUGE WITHDRAWAL OF 3.26 MILLION OZ//INVENTORY RESTS AT 368.092 MILLION OZ//

JULY 30//WITH SILVER DOWN 97 CENTS TODAY: WE HAVE A SMALL CHANGE IN SILVER INVENTORY: A WITHDRAWAL  OF 0.931 MILLION OZ//INVENTORY RESTS AT 571.352 MILLION OZ//

JULY 29/WITH SILVER UP 7 CENTS TODAY, WE HAD A BIG CHANGE IN SILVER INVENTORY//A DEPOSIT OF 5.984 MILLION OZ//INVENTORY RESTS AT 572.283 MILLION OZ//

JULY 28  WITH SILVER DOWN 14 CENTS TODAY, WE HAD A BIG CHANGE IN SILVER INVENTORY: A DEPOSIT OF 7.52 MILLION OZ//INVENTORY RESTS AT 566.299 MILLION OZ//

JULY 27/WITH SILVER UP $2.67 TODAY, WE HAD NO CHANGES IN SILVER INVENTORY: A DEPOSIT OF XX MILLION OZ//INVENTORY RESTS AT 558.779 MILLION OZ//

JULY 24/WITH SILVER DOWN $0.12 TODAY: NO CHANGE IN SILVER INVENTORY//INVENTORY RESTS AT 558.779 MILLION OZ/

JULY 23/WITH SILVER UP $.04 TODAY: A HUGE CHANGE IN SILVER INVENTORY AT THE SLV// A HUMONGOUS PAPER DEPOSIT OF 9.594 MILLION OZ//INVENTORY RESTS AT 558.779 MILLION OZ///

JULY 22/WITH SILVER UP $1.54 TODAY: A HUGE CHANGE IN SILVER INVENTORY AT THE SLV//A HUMONGOUS PAPER DEPOSIT OF 7.218 MILLION OZ//INVENTORY RESTS AT 549.185 MILLION OZ/

JULY 21/WITH SILVER UP $1.38 TODAY: A HUGE CHANGE IN SILVER INVENTORY AT THE SLV: A HUMONGOUS PAPER DEPOSIT OF 15.368 MILLION OZ////INVENTORY RESTS AT 541.967 MILLION OZ//

JULY 20/WITH SILVER UP 40 CENTS TODAY: A HUGE CHANGE IN SILVER INVENTORY AT THE SLV:  A MASSIVE PAPER DEPOSIT OF 3.819 MILLION OZ ‘ENTERED” THE SLV..INVENTORY RESTS AT 526.599 MILLION OZ/

JULY 17/WITH SILVER UP 15 CENTS TODAY: A HUGE CHANGES IN SILVER INVENTORY AT THE SLV/: A DEPOSIT OF 1.583 MILLION OZ INTO THE SLV/INVENTORY RESTS AT 522.780 MILLION OZ//

JULY 16//WITH SILVER DOWN 14 CENTS TODAY: A HUGE CHANGE IN SILVER INVENTORY AT THE SLV: A DEPOSIT OF  5.123 MILLION OZ//INVENTORY RESTS AT 521.197 MILLION OZ..

JULY 15.WITH SILVER  UP 21 CENTS TODAY: A HUGE CHANGE IN SILVER INVENTORY AT THE SLV: A DEPOSIT OF 1.956 MILLION OZ//INVENTORY RESTS AT 516.074 MILLION OZ//

JULY 14/WITH SILVER DOWN 21 CENTS TODAY; NO CHANGES IN SILVER INVENTORY AT THE SLV//INVENTORY REST AT 514.118 MILLION OZ//

JULY 13//WITH SILVER UP 67 CENTS TODAY: A HUGE CHANGE IN SILVER: A WITHDRAWAL OF 1.677 MILLION OZ INTO THE SLV//INVENTORY RESTS AT 514.118 MILLION OZ//

JULY 10/WITH SILVER UP 7 CENTS TODAY: A HUGE CHANGE IN SILVER INVENTORY AT THE SLV//A DEPOSIT OF 4.844 MILLION OZ INTO THE SLV//INVENTORY RESTS AT  515.795 MILLION OZ

WHAT A FRAUD!!

JULY 9/WITH SILVER DOWN 8 CENTS TODAY: A HUGE CHANGE IN SILVER INVENTORY AT THE SLV//A DEPOSIT OF 8.198 MILLION OZ INTO THE SLV/INVENTORY RESTS AT 510.951 MILLION OZ/

JULY 8/WITH SILVER UP 37 CENTS TODAY//A HUGE CHANGE IN SILVER INVENTORY AT THE SLV: A WITHDRAWAL OF 1.118 MILLION OZ FROM THE SLV//VERY SURPRISING.//INVENTORY RESTS AT 502.753 MILLION OZ//

JULY 7/WITH SILVER UP 8 CENTS TODAY: NO CHANGES IN SILVER INVENTORY AT THE SLV:/INVENTORY RESTS AT 503.871 MILLION OZ///

JULY 6//WITH SILVER UP 24 CENTS TODAY: A HUGE CHANGE IN SILVER INVENTORY AT THE SLV: A DEPOSIT OF 1.863 MILLION OZ INTO THE SLV//INVENTORY RESTS AT 503.871 MILLION OZ

JULY 2/WITH SILVER UP 4 CENTS TODAY: A HUGE CHANGE IN SILVER INVENTORY AT THE SLV//: A DEPOSIT OF 4.01 MILLION OZ INTO THE SLV//INVENTORY RESTS AT 502.008 MILLION OZ

JULY 1/WITH SILVER DOWN 23 CENTS TODAY: A HUGE CHANGES IN SILVER INVENTORY AT THE SLV: A MASSIVE DEPOSIT OF 5.403 MILLION OZ//INVENTORY RESTS AT 498.007 MILLION OZ/

 

AUGUST 20.2020:

SLV INVENTORY RESTS TONIGHT AT

572.843 MILLION OZ

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

 

 

ii) Important gold commentaries courtesy of GATA/Chris Powell

Big news but just the tip of the iceberg: Scotia bank pays 127 million dollars to settle gold and silver manipulating claims

(zerohedge/GATA)

Scotiabank pays $127.4 million to settle gold and silver spoofing claims

 Section: 

By Matt Robinson
Bloomberg News
Wednesday, August 19, 2020

Bank of Nova Scotia agreed to pay $127.4 million to settle U.S. allegations that the company engaged in spoofing of gold and silver futures contracts, and made false statements to the government.

As part of the accord, Bank of Nova Scotia will pay a $17 million fine on Commodity Futures Trading Commission claims that it dramatically misrepresented the scope of the alleged wrongdoing.

..The bank made multiple false statements during the CFTC’s investigation of a spoofing case that was resolved in 2018 for $800,000, the agency said. The regulator said the new punishment reflects Bank of Nova Scotia’s lack of cooperation in the earlier probe and actions it took to conceal its misconduct.

 

“Entities seeking to cooperate with the CFTC, like all others that interact with the commission, must tell the truth,” James McDonald, the agency’s enforcement chief said in a statement. “When entities are not completely truthful, they will be penalized.”

Bank of Nova Scotia also agreed to a deferred prosecution agreement with the Justice Department tied to criminal charges of attempted price manipulation and wire fraud. Under the agreement, the Toronto-based lender will pay $60.4 million in fines, forfeiture, and restitution, which will be offset by the CFTC order. The bank also agreed to hire an independent monitor for three years. …

… For the remainder of the report:

https://www.bloomberg.com/news/articles/2020-08-19/scotiabank-to-pay-127…

 

Bank Of Nova Scotia Pays $127 Million In Fines Over Criminal Precious Metal Manipulation

Back in April, we reported that one of the pillars in the gold-trading business, Bank of Nova Scotia’s ScotiaMocatta business was closing after failing to find a buyer in a sale process that had started in late 2017. As we further reported, Scotia was for years the world’s biggest lender to the physical precious metals industry, with a history stretching to the founding in 1684 of London gold dealer Mocatta Bullion, which it bought in 1997. Once a global player with more than 100 staff in offices from New York and London to India and Hong Kong, the bank effectively exited the business in 2018 following the above mentioned strategic review and unsuccessful attempt to find a buyer.

The sudden exit of one of the core precious metal traders left many wondering if some big news was about to hit. Well, that’s precisely what happened, because earlier today the Department of Justice announced that Bank of Nova Scotia has agreed to pay more than $127 million in fines to settle criminal investigations into a price manipulation scheme in the price of precious metals that saw the participation of at least four of itw traders.

The fines consist of $60.4 million to the Department of Justice with the remainder going to the CFTC in the form of two monetary penalties of $42 million and $17 million.

“Today, Scotiabank has admitted to their role in a massive price manipulation scheme aimed at falsely manufacturing the prices of precious metals futures contracts to serve the bank’s best interests,” said Assistant Director in Charge William F. Sweeney Jr. of the FBI’s New York Field Office.

“The bank’s actions were designed to lead others to trade in ways they never would have without what was believed to be legitimate market activity.  Scotiabank’s agreement to surrender more than $60 million in criminal fines, disgorgement and victim compensation underscores the severe penalties that can be levied against those who wish to engage in similar, illegal business tactics.”

The Canadian bank agreed to a deferred prosecution agreement (DPA) to settle separate probes by the Department of Justice and the U.S. commodities regulator, the Commodity Futures Trading Commission (CFTC).

According to an agreed upon statement of facts, between January 2008 and July 2016, four precious metals traders employed by Scotia in New York, London and Hong Kong made bogus trades to try to manipulate the price of gold, silver, platinum and palladium futures contracts by engaging in manipulative spoofing of the type demonstrated repeatedly on this website and elsewhere.

“For over eight years, Scotiabank traders placed thousands of orders for precious metals futures contracts in an attempt to manipulate prices for their own and the bank’s benefit and to deceive other market participants,” said Chief Robert A. Zink of the Justice Department’s Criminal Division, Fraud Section.  “This deferred prosecution agreement—which includes a criminal monetary penalty at the top of the United States Sentencing Guidelines range, money to compensate victims, and an independent compliance monitor—reflects the seriousness of the offense and the state of Scotiabank’s compliance program, and further helps to promote the integrity of our public markets.”

According to the settlement, “four Scotiabank traders attempted to rig precious metals futures prices in their favor by placing thousands of orders they knew they would cancel before the trades were executed,” U.S. Attorney Craig Carpenito said, describing a financial practice known as “spoofing.”

“In this way, they sought to illegally manipulate the market to their own advantage and to the disadvantage of other traders.”

The bank is also being punished because its compliance department “failed to detect or prevent the four traders’ unlawful trading practices,” the DOJ said.

“Between August 2013 and February 2016, three Scotiabank compliance officers possessed information regarding unlawful trading by one of the traders … but failed to prevent further unlawful conduct by this same trader,” the Department said.

While it was previously reported that Scotiabank, along with other banks such as JPMorgan and Merrill Lynch had participated in illegal spoofing for the better part of a decade, and was already forced to pay $800,000 in 2018 for the matter, the kicker is that according to the CFTC, the bank made false statements during the organization’s investigation necessitating another $77.4 million in payments.

According to admissions and court documents, between approximately January 2008 and July 2016, four precious metals traders located in New York, London and Hong Kong engaged in fraudulent and manipulative trading practices in the markets for gold, silver, platinum, and palladium futures contracts (collectively, precious metals futures contracts) that traded on the New York Mercantile Exchange Inc. (NYMEX) and Commodity Exchange Inc. (COMEX), which are commodities exchanges operated by the CME Group, Inc.  One of the traders, Corey Flaum, 42, of Delray Beach, Florida, pleaded guilty on July 25, 2019, to one count of attempted price manipulation in connection with his precious metals futures contracts trading at Scotiabank and another financial services firm, and his sentencing is scheduled for Jan. 27, 2021, before U.S. District Judge Brian M. Cogan of the Eastern District of New York.

Scotiabank did not receive voluntary disclosure credit because it did not voluntarily and timely disclose the offense conduct to the department.  In 2016, after one of its futures commission merchants flagged trading by Flaum for possible spoofing, Scotiabank made a voluntary disclosure regarding Flaum to the CFTC.  As a result of recordkeeping failures, however, Scotiabank’s disclosure to the CFTC was materially incomplete.  As a result, the CFTC was impaired in its ability to fully investigate Flaum’s unlawful trading and discover the true extent of the misconduct. The CFTC, relying on Scotiabank’s incomplete and, ultimately, inaccurate disclosure, entered into a resolution with Scotiabank in 2018 that did not reflect the full extent of Flaum’s conduct (2018 CFTC Resolution).  In the 2018 CFTC resolution, Scotiabank received a substantially reduced penalty in recognition of, among other things, its purported self-reporting.

As part of the DPA, Scotiabank has agreed to continue to cooperate with the department in any ongoing investigations and prosecutions relating to the underlying misconduct, to modify its compliance program where necessary and appropriate, and to retain an independent compliance monitor for a period of three years.

“At Scotiabank, we understand that in order to maintain the trust of our stakeholders, we must adhere to trading-related regulatory requirements and compliance policies,” the bank said in a statement Wednesday. “We are committed to adhering to these standards.”

Sadly, the only thing that Scotia is truly committed to is making sure it does not get caught the next time it is rigging the price of gold.

end

iii) Other physical stories:

The U.S. Mint Sells Another Million Silver Eagles In One Day

By in NewsPrecious Metals on August 19, 2020

With Silver Eagle demand continuing to be RED HOT, the U.S. Mint sold another million of the coins yesterday.  This is the biggest one-day sales increase in six months.  It seems as if the U.S. Mint is now able to ramp up production of both Gold and Silver Eagles.

In my last update, After Months Of Supply Issues, U.S. Mint Silver Eagle Sales Jump In August, I stated that sales for Silver Eagles reached the highest level at 1,593,000 on Monday since March.  I thought we might see a slow and steady rise in Silver Eagle sales out of the U.S. Mint, but when they updated their website, it jumped another one million yesterday.  Total sales of Silver Eagles are now 2,593,000.

I have to tell you; this is quite amazing as the average premium for many of the larger online dealers is running more than $10 per coin (based on sales of 1-19 coins).  Actually, the best prices I have seen from the leading online dealers is $9+ per coin (based on sales of 500+ coins).  So, the high premiums don’t seem to be curtailing Silver Eagle investment demand.

Total Silver Eagle sales for 2020 are already 16.3 million versus 14.8 million for 2019 and 15.7 million for 2018.  So, with four more months remaining in the year, it looks like Silver Eagle sales are quickly going to surpass 20 million, and quite possibly 25 million.

Lastly, the U.S. Mint is now providing the lower denomination Gold Eagles.  Here are the sales of Gold Eagles as of Tuesday, August 17th:

Gold Eagle Sales For August 2020 (coin amounts)

1/10 oz = 20,000 coins

1/4 oz = 12,000 coins

1/2 oz = 5,000 coins

1 oz = 84,000 coins

When I posted the update on Monday, the U.S. Mint didn’t show any sales of the smaller denomination Gold Eagle coins.  Thus, in one day, the U.S. Mint sold an additional 22,000 oz of Gold Eagle coins, mainly the 1 oz coins (14,500).

I believe we are just now seeing a glimpse of the enormous demand to come for silver and gold bullion products over the next several years as the Fed and central banks continue to prop up the global economy with massive monetary stimulus and liquidity.

-END-

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

71671201

Spencer Platt | Getty Images

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

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

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

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

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

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

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

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

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

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

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

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

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

end

March 4.2019

Parker City News

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

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

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

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

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

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

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

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

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

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

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

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

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

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

Kovel declined to comment.

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

-END-

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

 Section: 

9:47a ET Tuesday, March 5, 2019

Dear Friend of GATA and Gold:

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

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

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

… 

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

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

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

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

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

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

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

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

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

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

* * *

Your early 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: 6.9166/ GETTING VERY DANGEROUSLY CLOSE TO 7:1

//OFFSHORE YUAN:  6.9129   /shanghai bourse CLOSED DOWN 44.23 POINTS OR 1.30%

HANG SANG CLOSED DOWN 387.52 POINTS OR 1.54%

 

2. Nikkei closed DOWN 229.99 POINTS OR 1.00%

 

 

 

 

3. Europe stocks OPENED ALL RED/

 

 

 

USA dollar index UP TO 92.97/Euro RISES TO 1.1848

3b Japan 10 year bond yield: FALLS TO. +.03/ !!!!(Japan buying 100% of bond issuance)/Japanese yen vs usa cross now at 105.85/ THIS IS TROUBLESOME AS BANK OF JAPAN IS RUNNING OUT OF BONDS TO BUY./JAPAN 10 YR YIELD IS NOW TARGETED AT .11%/JAPAN LOSING CONTROL OF THEIR BOND MARKET//CARRY TRADERS GETTING KILLED

 

3c Nikkei now JUST BELOW 17,000

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

3e WTI:: 42.50 and Brent: 44.88

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

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

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

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

3i European bond buying continues to push yields lower on all fronts in the EMU. German 10yr bund FALLS TO -.49%/Italian 10 yr bond yield DOWN to 0.91% /SPAIN 10 YR BOND YIELD DOWN TO 0.29%…ITALIAN 10 YR BOND YIELD/GERMAN BUND: 1.40: DANGEROUS FOR THE ITALIAN BANKING SYSTEM

3j Greek 10 year bond yield FALLS TO : 1.08

3k Gold at $1939.00 silver at: 27.10   7 am est) SILVER NEXT RESISTANCE LEVEL AT $18.50

3l USA vs Russian rouble; (Russian rouble DOWN 55/100 in roubles/dollar) 73.84

3m oil into the 42 dollar handle for WTI and 44 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 105.85 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 .9103 as the Swiss Franc is still rising against most currencies. Euro vs SF is 1.0786 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 0.49%

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 0.657% early this morning. Thirty year rate at 1.39%

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

6.  TURKISH LIRA:  UP  TO 7.3473..

Global Stocks Slide After Fed Minutes Disappoint

US equity futures, Asian and European markets fell on Thursday after the U.S. Federal Reserve’s latest meeting minutes did not guide to more easing or hint at yield curve control while highlighting doubts about the recovery of the world’s largest economy which knocked the S&P500 from its record highs, although sentiment got a modest boost overnight after China announced it had agreed with the US to resume trade talks “in the coming days” to evaluate the progress of their Phase 1 trade deal.

 

Among early movers, Nvidia Corp slipped 1.1% in premarket trade after results from the data center business of the rising semiconductor industry star disappointed some investors. Intel Corp rose 4% after announcing an accelerated $10-billion share buyback plan. L Brands rose 1.3% after reporting a surprise quarterly profit, boosted by strong demand for Bath & Body Works’ products as well as higher online sales of Victoria’s Secret lingerie.

Markets stumbled after the Fed’s minutes from its July meeting highlighted doubts about the U.S. economic recovery, showing that the swift labor market rebound seen in May and June had likely slowed. “Of course, the Fed agreed that the virus is weighing heavily on the economy: is that some kind of surprise? Apparently it was,” Rabobank’s global strategist Michael Every wrote in a note to clients.

Yet despite the overall dovish sentiment, U.S. Treasury yields and the dollar surged with investors focusing on parts of the minutes that showed policymakers downplaying the need for yield caps and targets, nor did they hint at any additional QE.

“There is still a fair amount of uncertainty around the path of the coronavirus, through the flu season, and what that may mean for economic growth,” Jim McDonald, chief investment strategist at Northern Trust, said on Bloomberg TV. “Stocks are somewhat expensive here – we struggle to get to a meaningful positive return on stocks over the next year just because we’ve priced in so much of a recovery already.”

As Bloomberg notes, equities in several continents are seeing fresh weakness as investors debate whether momentum that pushed the S&P 500 to a record high this week can be sustained amid lofty valuations and delays in further stimulus to counter the pandemic. While France, Spain and Austria reported the highest daily infections in months, cases have subsided in a few populous U.S. states. Weekly unemployment figures are due in Washington later Thursday.

“The key question for investors is whether the policy responses are enough to mitigate the economic damage,” hedge fund firm Brevan Howard said in an interim report published on Thursday.  “Many businesses face solvency risks that are not addressed by borrowing; a debt overhang cannot be cured by more borrowing no matter how cheap it may be,” the fund’s report added.

“Improved financial conditions are narrowly focused on a handful of large companies and benefiting stakeholders who need relatively little economic assistance. The result is that financial assets are expensive by many standard metrics. So long as a V-shaped recovery in risky assets fails to create a V-shaped recovery in economic activity, this tension is a recipe for increased volatility.”

The MSCI world equity index was also impacted, sliding 0.6% early on Thursday. The pan-European STOXX 600 was down 0.9% and London’s FTSE 100 fell 0.8%. European equities slumped following a downbeat Asian session. Eurostoxx 50 dropped as much as 1.5%, with the CAC lagging peers. Miners, banking names and financial services are the worst performing sectors; real estate manages small gains

Earlier in the session, MSCI’s index of Asia-Pacific shares outside Japan had its biggest daily decline in five weeks. All markets in the region were down, with South Korea’s Kospi Index dropping 3.7% and Taiwan’s Taiex Index falling 3.3%. The Topix declined 0.9%, with Carta Holdings Inc and Mitani Sekisan falling the most. The Shanghai Composite Index retreated 1.3%, with Junzheng Energy and Yijiahe Tech posting the biggest slides. Hong Kong stocks fell for a second session as the U.S. suspended its extradition treaty with Hong Kong and ended reciprocal tax treatment with the former British colony.

In FX, the dollar index was choppy overnight after yesterday’s sharp spike but appeared to resume rolling over following the news the US and China had agreed to resume trade talks.

 

Elsewhere, the euro fluctuated ahead of the release of the ECB meeting’s minutes, and the Norwegian Krone slipped after Norges Bank announced it will probably keep interest rates at a record low for “some time ahead.” The Turkish lira tumbled after the central bank kept rates on hold. The CBRT also increased required FX reserves ratio for banks that meet growth target by 700bps for all maturities for precious metal repo accounts; all other RRR for FX raised by 200bps.

Treasuries reversed their Wednesady slump and were higher across the curve, led by the long end, amid gains for most developed sovereign bond markets and declines for equities globally. Yields are lower by about 4bp at long end, 10-year by ~3bp at 0.65%, flattening 2s10s and 5s30s curves by ~2bp; S&P 500 futures are lower after cash index Wednesday declined from a record high. 20-year yield is lower by 3bp at 1.165%. The new 20-year bond, which got a cool reception at Wednesday’s auction, is trading at a profit, as are the new 10-year and 30-year issues sold last week. This week’s final auction, a $7b 30-year TIPS reopening, is ahead at 1pm ET.

Germany’s benchmark 10-year Bund yield was at -0.473%, little changed after falling for the past four days in a row. Three-month Euribor fell to a record low, less than four months after rising to a four-year high, helped by the ECB’s policy to provide lenders with cheap loans in response to the economic damage of the pandemic.

In commodities, spot gold rebounded overnight, after declining to a near one-week low on Wednesday, when markets were more bullish. It was up 0.6% at $1,940.4478 per ounce. Oil prices fell, as major producers warned of a risk to demand recovery. OPEC and its allies pressed oil nations that are pumping above output targets to cut more in August to September. Brent crude was down 32 cents, or 0.7%, at $45.05 a barrel while WTI was down 38 cents, or 0.9%, at $42.55 a barrel.

Overnight, U.S. Congressional leaders hinted they were looking for a path toward reviving stalled talks on the next round of pandemic relief – even as both sides remain far from a deal. Any accord is still likely to wait until September despite the fact that the U.S. economy is limping along with many businesses still struggling and millions of Americans out of work.

On the day’s calendar, data from the Labor Department, due at 8:30 a.m. ET (1230 GMT), is expected to show the number of Americans seeking jobless benefits dipped to 925,000 in the week ended Aug. 15.

Market Snapshot

  • S&P 500 futures down 0.4% to 3,360.00
  • Brent futures down 0.8% to $45.00/bbl
  • Gold spot up 0.3% to $1,934.33
  • U.S. Dollar Index up 0.3% to 93.16
  • Stoxx Europe 600 down 1.4% to 364.59
  • MXAP down 1.6% to 169.27
  • MXAPJ down 1.8% to 557.36
  • Nikkei down 1% to 22,880.62
  • Topix down 0.9% to 1,599.20
  • Hang Seng Index down 1.5% to 24,791.39
  • Shanghai Composite down 1.3% to 3,363.90
  • Sensex down 1.2% to 38,160.20
  • Australia S&P/ASX 200 down 0.8% to 6,120.02
  • Kospi down 3.7% to 2,274.22
  • German 10Y yield fell 1.2 bps to -0.484%
  • Euro down 0.2% to $1.1818
  • Italian 10Y yield fell 1.3 bps to 0.788%
  • Spanish 10Y yield rose 1.1 bps to 0.303%

Top Overnight News from Bloomberg

  • U.S. central bankers backed off in July from an earlier readiness to set a clearer bar for raising interest rates, a step that would underscore their commitment to an extended period of ultra-loose monetary policy
  • Coronavirus infections flared in Europe, with France and Spain reporting their biggest increases in months. South Korea confirmed 288 more cases, while Hong Kong’s outbreak showed signs of easing
  • French president Emmanuel Macron ruled out shutting down the country once again even as the virus resurges across several European nations. He said the “collateral damage of confinement is considerable”. Cases in France were up 3,776, the most in three months, while Spain recorded 3,715 new infections. Germany recorded more than 1,000 new infections for the third day in a row.
  • Russia’s opposition leader Alexey Navalny is in intensive care in “serious condition” with suspected poisoning. Navalny is Russia’s most prominent opponent to Vladimir Putin.
  • As Brexit trade talks approach their deadline, the European Union’s top markets regulator called for rule changes that could limit firms’ ability to manage money in the bloc from London.
  • China and the U.S. will hold talks in the near term to discuss the progress of their trade deal, Beijing said, without mentioning a precise date, after last week’s call was postponed.
  • Three-month Euribor fell to a record low, less than four months after rising to a four-year high, helped by the ECB’s policy to provide lenders with cheap loans in response to the economic damage of the pandemic.
  • The U.S. suspended its extradition treaty with Hong Kong and ended reciprocal tax treatment on shipping with the former British colony, the latest salvo in escalating tensions between Washington and Beijing
  • President Donald Trump said he would call on the United Nations Security Council to restore all nuclear- related sanctions on Iran, an attempt to kill off the 2015 nuclear agreement and force Tehran back to the negotiating table
  • OPEC+ kept up the pressure on Nigeria and Iraq to stop cheating on their crude-production targets, emphasizing the need for all members to stick closely to their agreement because the market recovery remains fragile
  • Kamala Harris, the California senator Joe Biden selected as his running mate, opened the third night of the Democrats’ virtual convention by urging the party to defy what she called a Republican effort to suppress their votes

Asian equity markets traded lower across the board amid headwinds from Wall St where stocks faltered in the aftermath of the less accommodative than expected FOMC Minutes which triggered a pullback in the S&P 500 and the Nasdaq from record highs, while Apple shares also retraced the majority of the early gains that had briefly pushed the tech giant to the unprecedented USD 2tln market cap status. ASX 200 (-0.8%) was pressured by a slate of weak earnings and with underperformance seen in energy names, while Nikkei 225 (-1.0%) retreated below the 23,000 level with Tokyo exporters dragged by a predominantly firmer currency. Hang Seng (-1.5%) and Shanghai Comp. (-1.3%) conformed to the downbeat tone after the US State Department either suspended or terminated three bilateral agreements with Hong Kong and reports also suggested the likelihood of a RRR cut this year has declined with the central bank expected to inject liquidity through reverse repos and MLF operations instead. In addition, the PBoC maintained the 1-year and 5-year Loan Prime Rates at 3.85% and 4.65% as expected, while there were reports US and Chinese trade negotiators plan to confer by video in the coming days regarding the Phase 1 trade deal progress and US actions against Chinese tech firms, although this failed to provide any support for stocks. Finally, 10yr JGBs were initially kept afloat by the risk averse tone but with the upside restricted following the post-FOMC pressure in T-notes and with participants sidelined heading into the 5yr JGB auction which turned out to a be a weaker than previous auction and subsequently weighed on prices.

Top Asian News

  • Saudi Support for 2002 Plan Shows It Won’t Copy UAE-Israel Pact
  • RBL Bank to Raise $209 Million With Preference Share Sale
  • Thailand Arrests Leaders of Protests Challenging the Monarchy
  • Philippines Central Bank Pauses After Series of Rate Cuts

European equities trade lower across the board (Eurostoxx 50 -1.3%) as market participants digest the fallout of the FOMC minutes which were judged to be less dovish than some had hoped for. Furthermore, geopolitical tensions have been ratcheted up once again in the wake of comments from US Secretary of State Pompeo who warned that the US will hold China and Russia accountable if they attempt to block sanctions snapback on Iran. Separate reports have noted that US and Chinese trade negotiators plan to confer by video in the coming days over Phase One progress, however, no date has been set yet and expectations for the call, should it take place, will likely be relatively low. In terms of the tone of the market in Europe, all sectors trade in the red, with some of the more defensive sectors such as health care and utilities faring slightly better than peers, but ultimately still lower on the day. Basic resources are a laggard in the region following recent declines in both precious and base metals and post-Antofagasta (-4.8%) earnings with the Co. reporting a 22.4% decline in H1 core earnings amid the COVID-19 crisis; note, the Co. will nonetheless pay an interim dividend. Somewhat of a divergence has been seen in the travel & leisure sector with airlines such as IAG (-4.8%), Ryanair (-3.1%) and easyJet (-2.3%) lower as the UK is set to further expand its list of countries which will force travelers to self-isolate upon return. Conversely, hotel names are faring slightly better with Accor (+0.7%) and InterContinental Hotels (+1.0%) supported by reports in French media suggesting that the former could put in a bid for the latter. Elsewhere, as part of a more anti-cyclical bias, banks and auto names are faring relatively poorly this morning, for banks-specifically, some of the laggards are predominantly Spanish names, which could be a reflection of mounting COVID-19 cases in the nation.

Top European News

  • Schaeffler Looks to Raise $1.5 Billion Amid Pandemic Fallout
  • Swedish Match Misrepresented Oral Nicotine, Lawmakers Say
  • Macron Rules Out Shutdown as Europe Grapples With Virus Upsurge
  • Adyen Clinches Wirecard Clients During Online Shopping Boom

In FX, the DXY index oscillates on either side of 93.000 in the aftermath of the FOMC minutes – which pushed back on expectations that further policy action will arrive soon as it indicated that members are not inclined to a forward guidance change and YCC. The release propped up the broader Dollar and index back above the 93.000 mark to a high (yesterday) at 93.059, but thereafter trickled back below the figure as the dust settled in early European hours. The index has since regained traction and printed a fresh intraday peak just under 93.200. with the 21 DMA in proximity at 93.336. US stimulus talks will likely regain focus alongside US-Sino developments, whilst US Philly Fed and the weekly initial and continuing jobless claims, and Fed non-voter Daly are on today’s docket.

  • AUD, NZD, CAD, GBP, EUR – All softer against the Buck to various degrees, with the non-US Dollars taking their cue from the subdued risk tone across the market, with the antipodeans bearing the brunt of the pressure. AUD/USD remains sub-0.7200 having had dipped below its 21 DMA (0.7165) in early European trade, whilst the NZD/USD meanders around its 50 DMA (0.6550) after side-lining comments from RBNZ Assistant Governor Hawkesby whose speech largely proved to be a rehash of recent communication. The Loonie also see modest weakness, albeit fares better than its antipodean counterparts, with USD/CAD matching Tuesday’s high around 1.3231 but remaining contained within a tight band ahead of BoC Deputy Governor Beaudry’s panel discussion later today.  The core European FX trade in tandem with the Dollar. EUR/USD is edging closer towards 1.1800 to the downside from 1.1868 at best ahead of its 21 DMA at 1.1789 as trades eye the release of the ECB Minutes (Full preview available in the Research Suite). EUR/GBP resides around its 50 DMA (0.9034) having had printed a current parameter of 0.9030-69. Note: EUR/USD sees several large option expiries for today’s NY cut, including EUR 833mln at 1.1800, EUR 2.2bln between 1.1840-50 and 1.4bln at 1.1900.
  • NOK, SEK – The Norwegian Crown saw little immediate reaction upon the release of the Norges Bank decision, which kept rates unchanged and reiterated forward guidance as expected with focus turning to the September update for a possible tweak to the repo path. The NOK however is weaker on the day but more so a function of the risk tone across the market, with EUR/NOK closer to the top of its current parameter 10.5380-5940, albeit faring better than its Swedish counterpart which sees more pronounced losses despite the Swedish unemployment rate printing below forecasts. EUR/SEK continues gaining above 10.3000 with a current high of 10.3380.
  • CHF, JPY – Both modestly firmer against the USD as the risk averse tone persists during early EU hours, with EUR/CHF straddling around the 1.0800 (vs. 1.0842 at best) mark whilst USD/JPY encounters a barrier at 106.00 to the downside from a high of 106.21.
  • EM – EM FX conforms to the overall risk tone with broad-based losses seen across most pairs. USD/TRY gears up for the CBRT’s rate decision where no change is expected to the One-Week Repo rate amid a number of “backdoor” policy tightening measures taken up by the bank to stem the Lira’s freefall, although some have flagged the possibly of hikes to its overnight lending rate alongside its late liquidity window, currently at 9.75% and 11.25% respectively. Meanwhile, the CNH remains resilient to broader USD action after the PBoC left its LPR setting unchanged, whilst Chinese press noted that  the likelihood of the PBoC lowering RRR this year has declined, with the central bank expected to inject liquidity through reverse repos and MLF.
  • RBNZ Assistant Governor Hawkesby said the balance sheet will continue to expand as it supports the economy while the size and composition of the balance sheet will become a more active instrument for monetary policy decisions. Furthermore, Hawkesby added that it is not necessarily the case that the central bank’s balance sheets should revert to their former levels  and reiterated the view that a lower or negative OCR, funding for lending programme, foreign asset purchases and interest rate swaps remain possible options. (Newswires)

In commodities, WTI and Brent October futures hold onto modest losses in the aftermath of the FOMC-induced USD strength and the fallout of the JMMC meeting – which in a nutshell reaffirmed the commitments to the OPEC+ deal, made no recommendations for changes to the output target and emphasised the importance of compliance; laggards set to submit their over-compliance plans to the JMMC by August 28th. Note, Argus media citing delegates stated that OPEC+ needs a cumulative 2.3bln BPD of cuts over the next two months to make up for the stragglers’ shortfalls, albeit journalists with access to the ministers’ memo of the meeting say there is no such mention. WTI October meanders around USD 42.75/bbl (vs. high 42.98/bbl) while its Brent counterpart trades on either side of USD 45/bbl (vs. high 45.18/bbl). Elsewhere, spot gold and silver remain impaired by post-FOMC losses sub-USD 1950/oz and below USD 28/oz respectively as a firmer Dollar persists, having had traded within a USD 25/oz intraday range thus far. In terms of base metals, LME copper prices remain subdued by the Dollar and as the red metals track the equity sell-off, whilst Dalian iron ore futures ended the overnight session lower by over 1% against the same backdrop.

US Event Calendar

  • 8:30am: Philadelphia Fed Business Outlook, est. 20.8, prior 24.1
  • 8:30am: Initial Jobless Claims, est. 920,000, prior 963,000; Continuing Claims, est. 15m, prior 15.5m
  • 9:45am: Bloomberg Economic Expectations, prior 38.5; Bloomberg Consumer Comfort, prior 43.7
  • 10am: Leading Index, est. 1.1%, prior 2.0%

DB’s Craid Nicol concludes the overnight wrap

The repetitiveness of virus, fiscal and geopolitical headlines was finally put to one side yesterday with last night’s FOMC minutes offering an insight into the latest thinking over at the Fed. The minutes showed a Fed that aimed to wrap up its review in the ‘near future’ – most likely at the September meeting – though did not see a massive urgency to provide additional monetary accommodation. Neither were there any clues about imminent changes in either the size of composition of QE. The minutes also showed that officials were unenthusiastic about yield curve control, with our economists continuing to expect the Fed to move towards average inflation targeting. See our US economists’ full recap on the minutes here.

The minutes had enough in them to see equities make a decent U-turn. By the close of play the S&P 500 finished -0.44%, falling -0.71% in the last two hours of the session after the release. The NASDAQ also lost -0.57%, however not before Apple’s market cap had briefly passed the $2tn mark for the first time ever – the first US company to do so. Keep in mind that Apple’s market cap dipped below $1tn on March 23rd. So that works out to over $6.7bn of value added for every business day since, which is staggering. For context it took four decades for Apple to reach a $1tn market cap in 2018.

The dollar has been moving in a hurry in recent weeks too however yesterday did see a large reversal of some of the recent weakness with the dollar index bouncing back +0.67%. Half the move came after the minutes were released and it’s held onto gains overnight too. As for rates, 10y yields ended the session +1.1bps having traded a touch lower going into in the minutes although they have reversed much of that move overnight. The same goes for the bear steepening which was a big talking point last week, with 2s10s up +1.3bps and 5s30s up +2.4bps yesterday but curves flatter this morning.

This morning in Asia markets are following Wall Street’s lead with the Nikkei (-0.88%), Hang Seng (-2.11%), Shanghai Comp (-1.08%), Kospi (-2.93%) and ASX (-0.91%) all in the red. The move for the Kospi hasn’t been helped by the latest virus data in South Korea, with a reported 288 cases in the past 24 hours. Meanwhile, reports that the US has suspended its extradition treaty with Hong Kong and ended reciprocal tax treatment on shipping also isn’t helping broad sentiment this morning, as is the news that President Trump is calling on the UN to renew all nuclear-related sanctions on Iran. Futures on the S&P 500 are also down -0.64% while spot gold and silver prices are up +1.15% and +1.88% respectively.

Back to yesterday, where some of the focus was on earnings in the US retail sector – notably from Target, Lowe’s and TJX. The former’s shares were the best performing in the S&P, jumping +12.65% after reporting both record profit and sales last quarter. Lowe’s share price was up a much more modest +0.30%. Even though the home improvement store beat sales growth expectations, the stock was dragged lower with the overall index over the course of the day. TJX was down -5.33% after announcing that they expect sales this quarter will fall over -20%, as the business model is more geared to in-store purchases rather than online.

In other news, White House Chief of Staff Mark Meadows said yesterday on fiscal discussions that “the outlook for a skinny deal is better than it’s ever been, and we’re still not there”. That followed the comments from Pelosi who suggested there could be a meet in the middle near term solution and a Bloomberg story which suggested that the Trump administration sees a possibility for the two sides to agree on a pared-down $500bn deal that would omit the biggest areas of disappointment for now. The question remains whether the market would see this as enough and whether it would be enough to filter through the economy and into late summer/early fall economic data.

Meanwhile, in emerging markets the Turkish lira rallied after reports yesterday that the country had made an energy discovery in the Black Sea, which was most likely natural gas. We don’t have the full details yet, but the market reaction was notable, with the currency strengthening by +1.17% against the US dollar. Other Turkish assets similarly rallied, with the country’s BIST 100 equity index up +2.95%. Turkey is likely to be in the headlines again today with a monetary policy decision expected later. Our economists are anticipating a hike in the 1w repo rate to an above-consensus 10.0%.

As for the rest of markets yesterday, in Europe the STOXX 600 closed up +0.65% while European banks rallied +2.04%. That was despite bond markets in Europe closing down 1-2bps. In commodities Gold ended -3.67% lower as the dollar rallied, while WTI oil was -0.23%. Finally, in credit markets both HY and IG spreads were little changed in both the US and Europe. On that note, this week we published a report titled “Is duration risk the new credit risk in IG”, specifically looking at the impact of a pick-up in long dated issuance in the US IG market and the subsequent shift that has had in terms of spread duration. See the full note here.

Wrapping things up, in terms of data yesterday, there was a big upward surprise in the UK’s CPI reading, which came in at +1.0% in July (vs. +0.6% expected), whilst core CPI also surprised to the upside at +1.8%. It was the reverse picture in Canada however, where July’s CPI fell to +0.1% (vs. +0.5% expected). Finally, we also had the World Trade Organization’s Goods Trade Barometer, which fell to its lowest since data began back in 2007 at 84.5, below the baseline value of 100 and -18.6 points lower than at the same point a year ago.

To the day ahead now, and there are a number of data highlights from the US, including the weekly initial jobless claims, the leading index for July, as well as August’s Philadelphia Fed business outlook. Over in Europe, we’ll get the latest ECB minutes from their July meeting, as well as the German PPI reading for July. On the central bank front, there’s also a monetary policy decision from the Central Bank of Turkey, as well as remarks from San Francisco Fed President Daly. Finally, the Democratic convention will wrap up tonight, with their presidential candidate Joe Biden due to speak.

 

3A/ASIAN AFFAIRS

i)THURSDAY MORNING/ WEDNESDAY NIGHT: 

SHANGHAI CLOSED DOWN 44.23 POINTS OR 1.30%  //Hang Sang CLOSED DOWN 387.52 POINTS OR 1.54%   /The Nikkei closed DOWN 229.99 POINTS OR 1.00%//Australia’s all ordinaires CLOSED DOWN .67%

/Chinese yuan (ONSHORE) closed  UP  at 6.9166 /Oil UP TO 42.50 dollars per barrel for WTI and 44.58 for Brent. Stocks in Europe OPENED RED//  ONSHORE YUAN CLOSED UP // LAST AT 6.9166 AGAINST THE DOLLAR. OFFSHORE YUAN CLOSED UP ON THE DOLLAR AT 6.9129 TRADE TALKS STALL//YUAN LEVELS GETTING DANGEROUSLY CLOSE TO 7:1//TRUMP INITIATES A NEW 25% TARIFFS FRIDAY/MAY 10/MAJOR PROBLEMS AT HUAWEI /CFO ARRESTED//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

HONG KONG/
USA formally suspends extradition and tax treaties with Hong Kong as it is no longer autonomous
(zerohedge)

US Suspends Extradition & Tax Treaties With Hong Kong As It’s “No Longer Sufficiently Autonomous”

Perhaps much belatedly, but hugely significant following Australia, Canada, New Zealand, Germany, France and Britain doing the same, the US on Wednesday formally halted its extradition treaty with Hong Kong in protest of Beijing’s previously imposed national security law and amid soaring tensions with China more broadly.

The US State Department announced that it’s part of a total of three US bilateral agreements with Hong Kong being permanently dropped.

“These agreements covered the surrender of fugitive offenders, the transfer of sentenced persons, and reciprocal tax exemptions on income derived from the international operation of ships,” State Department spokeswoman Morgan Ortagus said.

In characteristic fashion Secretary of State Mike Pompeo released a more bellicose statement via Twitter, underscoring that it’s because “The Chinese Communist Party chose to crush the freedoms and autonomy of the people of Hong Kong.”

The move is pursuant to President Donald Trump’s July 14 executive order, the statements added, which deemed Hong Kong “no longer sufficiently autonomous to justify differential treatment in relation to the People’s Republic of China” due to the sweeping new law that has effectively stifled organized street protests and dissent.

 

Riot police during prior demonstrations in Hong Kong, via Reuters.

Already multiple arrests have been made for mere social media posts, which can potentially bring severe lengthy prison sentences under the law, and a number of high profile young activists have fled, fearing imprisonment for past statements and continued pro-independence activism, which the law can easily interpret as “terrorism”.

(zerohedge)

4/EUROPEAN AFFAIRS

Coronavirus update France/China/the Globe

Macron Rejects National Lockdown; Chinese Media Defends Wuhan ‘Pool Partiers’ In National Scandal: Live Updates

Summary:

  • Macron rejects nationwide lockdown, prefers “localized” efforts
  • Germany sees most new cases since April
  • Chinese media defends Wuhan “pool partiers”
  • Brazil says outbreak finally past its peak

* * *

Coronavirus news out of Europe and Asia on Thursday further cemented the narrative that while outbreaks in the US, India and Brazil appear to have finally reached their peaks in terms of both infections, and deaths, the virus is making a comeback elsewhere. As the worst-hit countries finally see some relief, clusters reported across Europe and Asia have continued to fester, while more continue to be discovered.

On Thursday, Germany once again reported its largest single-day COVID-19 case total since the Spring, with 1,707 new cases in the past 24 hours.

According to the Robert Koch Institute data, Thursday’s numbers brought the total number of infections to 228,621.

While the uptick in cases seen since Germany started reopening schools and its economy have alarmed elected officials, cases remain well below daily records seen in early April, when Germany reported just over 6,000 cases in a day. Ten new deaths were reported in the past 24 hours, bringing the total to 9,253.

Germany isn’t alone. Spain, France, the UK, Greece and a handful of other European states have seen a rise in cases recently. After France reported its highest single-day case tally in months, President Emmanuel Macron said in an interview published by Paris Match last night that French people don’t need to fear another national lockdown, though he left the door open for local lockdowns, like those that have been re-imposed in Paris and Toulouse.

“We can not put the country at a standstill, because the collateral damage of confinement is considerable,” Macron said. “Zero risk never exists in a company. We must respond to this anxiety without falling into the doctrine of zero risk.”

However, a “targeted re-containment” of certain areas should not be ruled out “if the situation requires it,” Macron said, insisting that he would prefer “very localized strategies.”

Over in Latin America, Brazilian public health officials proclaimed on Thursday that the outbreak might finally be slowing, as data collected since the end of July shows that a peak in both deaths and cases occurred in late July, according to Brazil’s Health Ministry.

The number of cases confirmed last week declined to 304,684 compared with a peak of 319,653 in the week ending July 25.

The number of deaths reported on a weekly basis has also fallen to 6,755 from a peak of 7,677 reported during the last week in July.

What’s more, an analysis of the data by Imperial College London shows Brazil’s transmission rate has fallen below one, a definitive sign that the outbreak is in fact slowing, as each infected patient is now expected to pass the virus to less than one person.

Finally, in China, state media are coming to the defence of a theme park in Wuhan which hosted a massive music festival and pool party over the weekend, raising concerns about potential COVID-19 transmission as the photos zinged across the global internet.

While Beijing defends partiers, officials in the state of Connecticut are punishing several students who attended a “packed dorm party”, photos of which incensed the Internet, according to the Hartford Courant.

end

5. RUSSIAN AND MIDDLE EASTERN AFFAIRS

ISRAEL/SAUDI ARABIA

Huge:  Saudi Arabia breaks their silence and now tentatively embrace Israel-UAE peace deal. Next on the list to join a deal will be them

Saudi Arabia needs Israel as they are quite fearful of the belligerent Iran.

(zerohedge)

Saudi Arabia Breaks Silence, Tentatively Embraces Israel-UAE Peace Deal

As the steward of the two Muslim holy cities (Mecca & Medina) – cities where no non-Muslims are allowed – Saudi Arabia has an image to maintain as an ally in the regional struggle to support the Palestinians in their struggle against Israel. But in another sign of just how significant Jared Kushner’s accomplishment actually was, it appears the desert petro-kingdom is finally ready to make an important step toward publicly accepting Israel as a neighbor and friend.

One of Prime Minister Binyamin Netanyahu’s greatest accomplishments during his record-setting tenure at the helm of the young Jewish state has been to parlay a mutual friendship with the US into a closet alliance with Saudi and the Saudi-aligned gulf puppet states (chief among them the UAE) in their eternal struggle to contain Iran, Israel’s sworn mortal foe. That accomplishment was finally crystalized with the Israeli-UAE peace deal, wherein Israel makes some critical concessions that could attract more support from its neighbors. If the trend continues, the Palestinians might be forced to the table, and a deal to end all sectarian hostilities might finally be reached, ending the blockade that’s suffocating the Gaza Strip.

Though Saudi Arabia stopped short of full-blown acceptance, the kingdom’s Foreign Minister, Prince Faisal bin Farhan, cautiously welcomed the agreement in a statement released Wednesday, ending the kingdom’s conspicuous silence. As we explained in a post published two days ago, the deal calls for Israel to suspend declaring sovereignty over areas outlined in Netanyahu’s “Vision for Peace” in the Western Bank.

Also, Tel Aviv will reportedly focus its efforts on “expanding ties with other countries in the Arab and Muslim world.” The agreement will also provide Muslims with greater access to the Al-Aqsa Mosque and other holy sites in the Old City of Jerusalem. It still remains in question how Israel will comply with its part of the deal as the annexation of Palestinian territories is the cornerstone of its regional policy.

Offering what could be called “muted praise”, Farhan said the deal “could be viewed as positive,” but refrained from outright backing the move and stressed Saudi Arabia is open to establishing similar relations on condition that a peace agreement is reached between Israel and the Palestinians.


His remarks came during a news conference with German Foreign Minister Heiko Maas.

As we mentioned above, it marked the first comments by Saudi Arabia on Thursday’s surprise deal announcement, which Trump and his administration helped broker. Bahrain, Oman and Egypt issued official statements welcoming the agreement shortly after it was reached.

Prince Faisal reiterated during the briefing that the kingdom supports the Arab Peace Initiative, sponsored by Saudi Arabia in 2002, which promises Israel full ties with Arab states in exchange for a peace deal with the Palestinians.

“Once that is achieved, all things are possible,” Faisal said.

END

RUSSIA 
Not good: Russian opposition leader in a coma after being poisoned for the 2nd time in 16 months
(zerohedge)

Russian Opposition Leader In A Coma After Being Poisoned For The 2nd Time In 16 Months

Update (0730ET): Though doctors have yet to affirmatively declare that Navalny was indeed poisoned, his spokeswoman is insisting that Putin was behind the attack, even as journalists have warned against jumping to conclusions because so many rich and powerful people in Russia hate Navalny.

Leonid Ragozin is a journalist known as a prominent critic of Putin. Because who needs facts when “Putin did it”?

He also accused Russian media of sowing lies about the “poisoning”.

Over in the Kremlin, Putin’s press shop officially wished the opposition leader a speedy recovery.

  • KREMLIN SPOKESMAN SAYS KREMLIN WISHES NAVALNY A SPEEDY RECOVERY LIKE ANY OTHER CITIZEN WHO FINDS THEMSELVES IN SUCH CIRCUMSTANCES
  • KREMLIN SPOKESMAN SAYS DOCTORS ARE DOING EVERYTHING THEY CAN TO HELP OPPOSITION POLITICIAN NAVALNY RECOVER

* * *

For the second time in just over a year, Russian opposition leader Alexei Navalny has apparently been poisoned. According to media reports, the liberal politician and leader of Russia’s anti-Putin domestic opposition was admitted to a hospital in Siberia after his aircraft was forced to make an emergency landing.

Navalny became sick on a flight from Tomsk to Moscow on Thursday and lost consciousness on the aircraft after reportedly drinking a cup of tea in the airport (it’s always the tea), according to his spokeswoman Kira Yarmysh. The politician collapsed in the plane’s bathroom during the flight.

According to reports, he was in a coma according to the most recent update.

Local health officials said Navalny was in intensive care and doctors were “performing all necessary tests.”

This is the second time in just over a year that Navalny, the most visible member of Russia’s domestic political opposition, has been mysteriously poisoned. Back in July 2019, while serving a 30-day sentence for planning an unauthorized protest, Navalny was apparently poisoned while in prison – the authorities attributed his symptoms of severe facial swelling to “an allergic reaction” – and was briefly treated at a nearby hospital before being abruptly sent back to the pen.

Navalny’s camp says doctors at the hospital have been given the ‘tap on the shoulder’ and told not to disseminate any more information about Navalny’s case. Alexei Kalinichenko, deputy chief doctor of the hospital in Omsk where Navalny was taken, said “there was no certainty that poisoning is the cause” though it is “one of the versions” under consideration. “We suspect Alexei was poisoned with something mixed into his tea…It was the only thing he drank all morning. Doctors said that the toxin was absorbed more quickly through hot liquid.”

Russian media are now speculating on the agent used in the poisoning, with one gossip site claiming GHB was the substance used on Navalny.

END

6.Global Issues

World trade plunges to its lowest levels

(zerohedge)

World Trade Plunged To ‘Lowest Levels’ On Record In June

Central banks expanded interventions to counteract the effects of the virus-induced global downturn have resulted in global equity prices, at, or, near record-high levels. These money wizards have printed trillions of dollars, plowing the money into financial markets to create an illusion that the worst global downturn on record is nothing more than a blip.

However, the World Trade Organization’s (WTO) Goods Trade Barometer registered a record low in June, confirming the decline in global merchandise trade in 2Q20 and suggests the recovery phase remains challenging:

“Additional indicators point to partial upticks in world trade and output in the third quarter, but the strength of any such recovery remains highly uncertain: an L-shaped, rather than V-shaped, the trajectory cannot be ruled out,” said the WTO.

June’s Goods Trade Barometer reading is at 84.5, 15.5 points below the baseline of 100 and down 18.6 points year-on-year. The current reading is in line with WTO’s June trade forecast of an 18.5% drop in merchandise trade volumes in the second quarter. It also said the full-year decline would be “less pessimistic” of about -13%.

Nevertheless, the Goods Trade Barometer set a record low reading in June:

“This reading – the lowest on record in data going back to 2007, and on par with the nadir of the 2008-09 financial crisis – is broadly consistent with WTO statistics issued in June, which estimated an 18.5% decline in merchandise trade in the second quarter of 2020 as compared to the same period last year,” the WTO said.

WTO said, “all the barometer’s component indices remain well below trend, with many registering record lows, but some have begun to stabilize. Indices for automotive products (71.8) and air freight (76.5) are by far the worst on record since 2007. Container shipping (86.9) also remains deeply depressed. Export orders (88.4) show signs of recovery as this index has turned upward. Meanwhile, indices for electronic components (92.8) and agricultural raw materials (92.5) have held up relatively well.”

Breakdown of component indices: 

Contrary to the official narrative of a “V-shaped” economic recovery seen around the world – the recovery in the USChina, and Europe is stalling.

Investor faith that central banks have effective monetary tools to produce a robust and timely recovery is merely an illusion of elevated asset prices.

END

The days events through the eyes of Michael Every…

(Michael Every)

Rabobank: The Response To The Fed’s Minutes Make You Feel Many People Are Gargling The Bong Water

By Michael Every of Rabobank

Hang on the minutes

Yesterday was an odd trading session. Stocks started higher then sold off, not hugely, but still by the kind of level (-0.4%) that seems to generate furrowed brows and a change on tone from anchors on financial TV, as well as central banks doing hand-stretching exercises next to the ‘do something again’ button. 10-year US yields fell from 0.67% to 0.65%, rose to 0.69%, and then decided they had been right all along to close to at 0.66%; 20-year yields, however, spiked from 1.12% to over 1.18% after a poorly-received auction. The US Dollar, meanwhile, had the best day in two months, rising from 1.1940 to 1.1840 vs. EUR, for example, from 105 to 106 vs. JPY, and 0.7270 to 0.7170 vs. AUD, to give just three examples.

Pretty much everything revolved around the Fed’s July 28-29 minutes, which had been expected to open the door to the next phase in central-bank jigger-pokery, including either more QE, because one can never get enough, yield curve control, because it’s been such a roaring success everywhere, or negative rates, because why not?

In reality, however, what we saw was a consensus that the Fed has backed off from what had looked like an earlier readiness to make it even clearer than it already is that the bar for rates ever rising again has been lifted. This is now appropriate “at some point” rather than “at upcoming meetings”; and since then stocks have mostly gone up, surely cementing that thinking ahead of what was supposed to be the pivotal September 15-16 meeting. Of course, the Fed agreed that the virus is weighing heavily on the economy: is that some kind of surprise? Apparently it was. Which does make you feel many people either live in bubbles, or are gargling the bong water: and I am not just talking about central bankers in that regard.

Overall, the picture should be clear: the economy is in serious difficulty due to the virus; the Fed is not going to raise rates for a long, long time; and at some point it will make that clear with a new set of targets, goals, and strategy, which may well include factors not previously looked at that will take central banking further away from the purely financial and deeper into the realm of the real economy and of politics. That should be just as clear today as it was yesterday before the minutes – but apparently it wasn’t, and hence the market swings and roundabouts.

The one thing that caught my eye personally was the passage which said the Fed would have to sharpen its language around its asset purchases in terms of “fostering accommodative financial conditions and supporting economic recovery.” One can read that lots of ways; but to this reader it says:

We have to explain to the public far better why we are buying the assets of cash-rich mega companies that does nothing to help struggling SMEs and those on Main Street who can’t borrow, and which also exacerbates both irrevocable market and real economy distortions, such as it is.”

Don’t expect much financial TV analysis to hang on those kind of portions of the minutes.

Yet the deeper the Fed, and indeed all central banks, go into the guts of our overall political-economy, the more their over-reach weaves enough rope to one day hang themselves. As Lenin is supposed to have said, “The Capitalists will sell us the rope with which we will hang them”. Nowadays it’s the buying, not the selling that will do the trick.

Meanwhile, the PBOC –which obviously is an integral part of its political-economy and will always remain so, despite market scribblers writing about it as if it operates on the same remit as the BOE or RBA– is reportedly looking at further ways to inject more liquidity after the net CNY620bn already pushed into its banking system this month so far, including via MLFs and reverse repos. Apparently, without doing so it will struggle to keep financial conditions accommodative, and today’s commentary is about the potential for a further RRR cut to release another CNY900bn in lending capacity, and what else can be done to boost this. Not that it is cutting rates, mind you: the 1-year Loan Prime Rate (“China’s Fed Funds”) stayed at 3.85% today, and the 5-year LPR at 4.65%.

This is all fine…. until one joins-the-dots-plot to wonder how Chinese banks can keep extending credit and buying government bonds willy-nilly, as ordered, if that means they are continually burning through cash buffers and so needing more PBOC support. Isn’t bank lending supposed to generate a return? When do bond yields need to rise, hurting the government, to help the banks? How low can RRRs be cut and how much MLF can be extended before FX markets grasp the PBOC is back-stopping unproductive bank loans and/or fiscal spending at very little distance removed – which seems to be why USD has been so unloved recently? Questions, questions. No answers. Other than that the market thinks 6.92 is fair value for USD/CNY. If only it were a fair market.

Today has minutes from the ECB, which even pre-EU agreement on what might eventually be a EUR750bn stimulus package (over time) will hardly differentiate it from what is going on at the Fed and the PBOC, if one looks at the bigger picture. Which EUR doesn’t seem to want to do: it continues to look rich, even after the overnight drop.

Actually holding up today is TRY, at 7.30, after news Turkey has found energy (probably gas) in the Black Sea. Of course, there’s still the issue of how much, how deep, and how to develop it, which is hardly an overnight job, and more so without FX reserves to back up the expensive investment; and Ankara is still saying it will press ahead with energy exploration in the Eastern Med (in Greek and Cypriot waters, says the EU). Turkish energy imports vary, but have been in a USD35-50bn range in recent years: the Black Sea will need lots of the black stuff to keep TRY in the black. Food for thought as the Turkish central bank also meets today, where an on-hold decision is expected, even if a rate hike is what most economists say is actually needed.

Not likely to hold up so well is NZD when one listens to the RBNZ, whose Assistant Governor Hawkesby (or should that be Dovesby?) said today the bank is prepared to consider lower rates, negative rates, a Funding for Lending Program, purchases of foreign assets(!), and interest rate swaps to provide further policy optionality. They favour starting with negative rates and more funding for lending. So jiggery-pokery it is, and one wonders how long until the politicians notice.

The Reserve Bank of India has its minutes out today: and it’s not as if there isn’t a lot of market chatter about what more it can or should do, and worries from our side about what that would mean for INR, if so.

The BoC’s governor also speaks, just to make sure another central bank with a skyrocketing balance sheet gets in on the action. The Canadian government, meanwhile, has just lost its finance minister in throw-yourself-on-your-sword circumstances, and seen PM Trudeau try to shift the focus from (another) ethics scandal by proroguing parliament –sending everyone home– to announce a massive, “transformational” increase in social spending at a time when the fiscal deficit is already 16% of GDP. Spending which the BOC will be backing, one way or another.

So many reasons to want to be short USD, aren’t there?

end

this is a must read…

(zerohedge)

A “Novel” Breakthrough? New Studies Show Memory T-Cells Offer Long Term And Pre-Existing COVID Immunity

Much of the talk about the coronavirus over the last couple of months has been about antibodies.

They are looked at as part of the key to unlocking questions about immunity to the virus. Specifically, researchers have looked at how vaccines induce antibody responses and how long antibody protections last after someone has had the virus. In the answers to those questions lies the answer to another: how and when will we achieve herd immunity?

There had been worries about coronavirus antibodies over the past few months, as several studies showed they may only last several months. This had led to a litany of questions about how often one would require a vaccination and whether or not we would ever become immune to the “novel” virus.

But on Friday, a new study highlighted by Business Insider shifted focus away from antibodies and onto memory T cells – the cells that identify and destroy infected cells and inform B cells how to craft antibodies. 

The study, published in Cell, now suggests that everyone who gets COVID-19 develops T cells that may offer long term immunity by hunting down the coronavirus at later dates. “Memory T cells will likely prove critical for long-term immune protection against COVID-19,” the study says.

The study looked at blood from 206 people in Sweden who had been exposed to COVID-19 in varying degrees of severity. Regardless of a person’s exposure, they developed a “robust” T cell response, according to the study. And even those who tested negative to antibodies developed memory T cells, the study found. 

Even Dr. Anthony Fauci even called T cell studies like this one “good news” for fighting the virus. “People who don’t seem to have high titers of antibodies, but who are infected or have been infected, have good T-cell responses,” he said during a Facebook interview last Thursday.

Similarly, a study performed in July found that in 36 COVID-19 patients who recovered, all produced memory T cells that “recognize and are specifically engineered to fight the new coronavirus.” A third study, published in Nature, found that out of 18 people studied, more than 80% developed these T cells.

These previous studies also found that many people who never had COVID-19 seem to have memory T cells that can recognize the new virus. This, of course, would mean that the virus isn’t a “novel” as we once thought. In the July study, more than half of people already had the T cells and in the Nature study, more than one third already had the T cells.

Another study published earlier in August showed that 25 people who never had COVID-19 had memory T cells that could recognize it. In other words, they had some form of pre-existing immunity. 

The lifespan of such T cells can be immense. For example, in the July study, T cells in blood samples from 23 people who survived SARS were still there 17 years later. The same T cells “could recognize the new coronavirus”.

Alessandro Sette, a coauthor of that study, said: “This could help explain why some people show milder symptoms of disease while others get severely sick.”

“You’re starting with a little bit of an advantage — a head start in the arms race between the virus that wants to reproduce and the immune system wanting to eliminate it,” he concluded.

We wonder if this could be part of the reason why Covid-19 numbers in the U.S. are starting to roll over, as we noted yesterday.

Back on July 14 when a wave of new Covid cases was sweeping the sunbelt states, prompting many to speculate if a new round of shutdowns was imminent, we took the other side of the argument and said that the pandemic peak had hit, and that in Arizona – an early recent outbreak state, “the worst was over for the COVID breakout.”

We were right, and as Bank of America wrote yesterday, Arizona has seen a 66% decline since its peak on July 14th, while the US excl. the four major recent outbreak states (AZ, CA, FL, TX) experiencing a 13% decline since the peak on July 30th.

There’s more: as BofA also points out, “we continue to see clear signs the Coronavirus is rolling over in the US as the number of people hospitalized due to COVID-19 declines at a rapid pace of about one percent a day (26% in 23 days).”

Extrapolating, this rate of decline means that there could be zero Covid-related hospitalizations around the Nov 3 election day, a feat that if marketed properly, could mean the difference for Trump between victory and defeat.

END

7. OIL ISSUES

 

8 EMERGING MARKET ISSUES

 

 

 

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

Euro/USA 1.1848 UP .0004 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 /RED

 

 

USA/JAPAN YEN 105.85 DOWN 0.235 (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 1.3147   UP   0.0038  (Brexit March 29/ 2019/ARTICLE 50 SIGNED/BREXIT FEES WILL BE CAPPED/

 

USA/CAN 1.3147 UP .0038 CANADA WORRIED ABOUT TRADE WITH THE USA WITH TRUMP ELECTION/ITALIAN EXIT AND GREXIT FROM EU/(TRUMP INITIATES LUMBER TARIFFS ON CANADA/CANADA HAS A HUGE HOUSEHOLD DEBT/GDP PROBLEM)

Early THIS  THURSDAY morning in Europe, the Euro ROSE BY 4 basis points, trading now ABOVE the important 1.08 level FALLING to 1.1219 Last night Shanghai COMPOSITE CLOSED DOWN 44.23 POINTS OR 1.30% 

 

//Hang Sang CLOSED DOWN 387.52 POINTS OR 1.54%

/AUSTRALIA CLOSED DOWN 0,67%// 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 44.23 POINTS OR 1.30%

 

Australia BOURSE CLOSED DOWN. 67% 

 

 

Nikkei (Japan) CLOSED DOWN 229.99  POINTS OR 1.00%

 

 

 

INDIA’S SENSEX  IN THE RED

Gold very early morning trading: 1939.60

silver:$27.17-

Early THURSDAY morning USA 10 year bond yield: 0.657% !!! 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 1.39 DOWN 4  IN BASIS POINTS from WEDNESDAY night.

USA dollar index early THURSDAY morning: 92.97 UP 9 CENT(S) from  WEDNESDAY’s close.

This ends early morning numbers THURSDAY MORNING

xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx6

And now your closing  THURSDAY NUMBERS \1: 00 PM

Portuguese 10 year bond yield: 0.32% DOWN 1 in basis point(s) yield from YESTERDAY/

JAPANESE BOND YIELD: -+.03%  DOWN 1   BASIS POINTS from YESTERDAY/JAPAN losing control of its yield curve/56

SPANISH 10 YR BOND YIELD: 0.28%//DOWN 1 in basis point yield from yesterday.

ITALIAN 10 YR BOND YIELD:0.92 UP 1 points in basis points yield from yesterday./

 

 

the Italian 10 yr bond yield is trading 64 points higher than Spain.

 

GERMAN 10 YR BOND YIELD: FALLS TO –.49% IN BASIS POINTS ON THE DAY//

THE IMPORTANT SPREAD BETWEEN ITALIAN 10 YR BOND AND GERMAN 10 YEAR BOND IS 1.41% 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 1.1851  UP     .0007 or 7 basis points

USA/Japan: 105.86 DOWN .222 OR YEN UP 22  basis points/

Great Britain/USA 1.3161 UP .0051 POUND UP 51  BASIS POINTS)

Canadian dollar DOWN 23 basis points to 1.3188

 

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The USA/Yuan,CNY: AT 6.9159    ON SHORE  (UP)..GETTING DANGEROUS

THE USA/YUAN OFFSHORE:  6.91075  (YUAN UP)..GETTING REALLY DANGEROUS

TURKISH LIRA:  7.3496 EXTREMELY DANGEROUS LEVEL/DEATH WISH.

the 10 yr Japanese bond yield closed at 0.03%

 

Your closing 10 yr US bond yield DOWN 4 IN basis points from WEDNESDAY at 0.648 % //trading well ABOVE the resistance level of 2.27-2.32%) very problematic USA 30 yr bond yield: 1.376 UP 3 in basis points on the day

Your closing USA dollar index, 92.903 DOWN 2  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 94.98  1.55%

German Dax :  CLOSED DOWN 148.67 POINTS OR  1.15%

 

Paris Cac CLOSED DOWN 64.67 POINTS 1.30%

Spain IBEX CLOSED DOWN 96.30 POINTS or 1.36%

Italian MIB: CLOSED DOWN 269.32 POINTS OR 1.34%

 

 

 

 

 

WTI Oil price; 42.59 12:00  PM  EST

Brent Oil: 44.69 12:00 EST

USA /RUSSIAN /   RUBLE FALLS:    74.11  THE CROSS HIGHER BY 0.81 RUBLES/DOLLAR (RUBLE LOWER BY 81 BASIS PTS)

 

TODAY THE GERMAN YIELD FALLS  TO –.49 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 :  42.58//

 

 

BRENT :  44.88

USA 10 YR BOND YIELD: … 0.65…lower by 3 basis points…

 

 

 

USA 30 YR BOND YIELD: 1.385…lower by 4 basis points

 

 

 

 

 

EURO/USA 1.1861 ( UP 17   BASIS POINTS)

USA/JAPANESE YEN:105.77 DOWN .212 (YEN UP 31 BASIS POINTS/..

 

 

USA DOLLAR INDEX: 92,74 DOWN 15 cent(s)/

The British pound at 4 pm   Britain Pound/USA:1.3219 UP 110  POINTS

 

the Turkish lira close: 7.300

 

 

the Russian rouble 73.79   down 0.49 Roubles against the uSA dollar.( down 49 BASIS POINTS)

Canadian dollar:  1.3177 UP 34 BASIS pts

 

German 10 yr bond yield at 5 pm: ,-0.49%

 

The Dow closed UP 46.85 POINTS OR 0.17%

 

NASDAQ closed UP 118.49 POINTS OR 1.06%

 


VOLATILITY INDEX:  22.59 CLOSED UP .05

LIBOR 3 MONTH DURATION: 0.247%//libor dropping like a stone

 

USA trading today in Graph Form

Big-Tech, Bonds, Bitcoin, & Bullion Bid As Dollar Dive Continues

From the opening bell today, stocks – well, we should say mega-tech stocks – were utterly panic bid (catalyzed early by JNJ vaccine headlines), with the Nasdaq erasing all of the post-FOMC Minutes losses (NOTE that none of the other major indices managed to retrace the losses)…

 

On the day, it looked early on like The Dow may suffer its 4th losing day in a row – a terrible thing that has not been seen since February – but it, like everything else, was bid into the green and beyond. Small Caps closed red…

 

YTD, the Nasdaq is crushing Chinese stocks and Europe remains negative…

FANG stocks rallied back near its record intraday high and closed at a record closing high…

Source: Bloomberg

Bonds were also bid (after disappointing claims data showed an economy un-recovering), erasing all of the FOMC Minutes spike in yields…

Source: Bloomberg

The dollar chopped around early on but tumbled after Europe closed…

Source: Bloomberg

And as the dollar slipped, gold rallied back from yesterday’s dive…

Source: Bloomberg

CTA positioning in gold fits with the price move but silver seems to suggest there is room for more as CTAs are squeezed in….

As did silver…

Source: Bloomberg

Since the FOMC Minutes suggested no YCC, only gold is still lower as Nasdaq ripped back to catch up and overtake the dollar and bonds…

Bitcoin also rallied on the day…

Source: Bloomberg

Oil prices dumped and pumped today and ended lightly lower…

Finally, remember tomorrow is opex and there’s a metric fuckton of gamma due to lift on QQQs

What is perhaps more notable is the potential for this to end… soon. Nomura’s Charlie McElligott writes today about the impact of tomorrow’s options expiration given the derivative market’s exposure goinb in. The $Gamma seen in QQQ (Nasdaq) options remains rather “extreme” at 87.3%ile (was 95th %ile into yday) as we have rallied violently to upper strikes.

This, McElligott warns, in conjunction with 99.3%ile $Delta and now an expected 58% of the Gamma rolling-off after this Friday’s expiration (!!!) makes the case for potentially “binary” price-action next week with a catalyst in either direction, as Dealer “long Gamma” hedging flows should collapse thereafter and allow for a much larger range of movement.

Additionally, the cross-asset strategy MD notes that he currently sees QQQ Gamma “flipping” below $272.06, ex tomorrow’s expiry.

And there is an increasingly ominous major (bearish) divergence between the ‘price’ of the index and the breadth of its underlying components (in this case, the % of names above their 50-day moving average) suggests trouble ahead…

Source: Bloomberg

It certainly did not end well in February as the index continued to rise in the face of growing virus headlines from around the world (but under the hood, a growing number of names were doubting the index’s apparent omnipotence).

 END

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

MARKET TRADING//USA

a)Market trading/LAST NIGHT/USA

 

b)MARKET TRADING/USA/AFTERNOON

ii)Market data/USA

Not what the market expected: another 1.106 million Americans filed for jobless benefits last week.

Continuous claims under 15 million

(zerohedge)

Over One Million Americans Filed For Jobless Benefits Last Week

Analysts expected a second week in a row of less than one million new jobless claims (after a record twenty-week streak above) but they were wrong… 1.106 million Americans filed for jobless benefits last week, back above one million and up notably from the 971k (revised higher) last week, and notably worse than the 920k expected…

Source: Bloomberg

This should not be entirely surprising as PPP rolled off.

California (202,509) dominated the new jobless claimants followed by Georgia (62,335), Florida (61,584), New York (52,631), and Texas (52,304).

Continuing claims improved once again, back below 15 million at 14.844mm…

Source: Bloomberg

So there’s “good” news and “bad” news, but the resurgence of new claimants is not a good signal!

Of course, but the numbers remain extreme outliers in a historical context and one can only imagine what happens next if Trump’s EOs are blocked/delayed by Dems or the current path towards a compromise deal in Washington falls apart.

end

Philadelphia Fed manufacturing index slows for second straight month in August

Aug. 20, 2020 at 2:29 p.m. ET

MarketWatch

Index falls to 17.2 this month after hitting 27.5 in June

The numbers: The Philadelphia Federal Reserve’s manufacturing index fell 7 points to a seasonally adjusted reading of 17.2 in August, the regional bank said Thursday. This is the second straight decline in the index after it his 27.5 in June.

Any reading above zero indicates improving conditions. Economists polled by MarketWatch expected a 20 reading.

What happened: The headline index is based on a single stand-alone question about business conditions unlike the manufacturing index, which is a composite based on components Below the headline, the new orders index fell 4 points to 19. The shipments index fell 5.9 points to 9.4. The survey found that optimism about the next six months remained solid, with the index for future activity rising 3 points to 38.8.

Big picture: Manufacturing has recovered a lot of ground lost from the coronavirus related lockdowns in mid- March but the slowing in the pace of activity in August fits with concern that further gains for the sector will be difficult. Earlier this week, a similar survey conducted by the New York Fed showed activity slowed with sentiment falling 13.5 points to 3.7 in August.

What are they saying? “We think the broader story of the factory sector is that inventories are way too low relative to demand — thus we’d expect strong gains in production in coming months as inventories are rebuilt,” said Neil Dutta, head of economics, at Renaissance Macro Research.

-END-

iii) Important USA Economic Stories

This is good news:  COVID 19 PANDEMIC NUMBERS are coming down:  Number of USA hospitalizations is declining by 1% per day

(zerohedge)

The COVID-19 Pandemic Is Rolling Over: The Number Of US Hospitalizations Is Declining By 1 Percent Per Day

Back on July 14 when a wave of new covid cases was sweeping the sunbelt states prompting many to speculate if a new round of shutdowns was imminent, we took the other side of the argument and said that the pandemic peak had hit, and that in Arizona – an early recent outbreak state, “the worst was over for the COVID breakout.” We were right, and as Bank of America writes today, Arizona has seen a 66% decline since its peak on July 14th, while the US excl. the four major recent outbreak states (AZ, CA, FL, TX) experiencing a 13% decline since the peak on July 30th.

There’s more: as BofA also points out, we continue to see clear signs the Coronavirus is rolling over in the US as the number of people hospitalized due to COVID-19 declines at a rapid pace of about one percent a day (26% in 23 days).”

Extrapolating, this rate of decline means that there will be zero covid-related hospitalizations around the Nov 3 election day, a feat that if marketed properly, could mean the differnce for Trump between victory and defeat.

Some more observations from BofA:

This week saw front page headlines that official COVID-19 statistics can no longer be trusted due to decreasing testing volumes. We agree but are wondering why there were no such headlines when daily new cases were rising due to more testing.

This is why we rely on statistics for the number of people hospitalized due to COVID-19. Drawback is that hospitalizations are lagged indicators of infections. Let’s assume for this discussion that the lag is three weeks. The recent peak number of hospitalized on July 24th suggests peak daily new COVID-19 infections in the US around Independence Day (July 4th).

But daily new COVID-19 cases continued to rise sharply in July, which dominated the headlines. It looks like daily new cases and the number of people hospitalized are virtually coincident, as the peaks for both were reached around the same time. This actually makes sense as probably the primary driver of testing is someone going to the hospital with COVID-19 symptoms. We imagine that person gets tested along with the immediate family, friends and colleagues. Because COVID-19 statistics are very persistent, it seems likely that the numbers continue to roll over.

There is little doubt that all these negative COVID-19 related headlines have weighed on consumer, business and investor confidence. As this now reverses we remain positioned for a re-steepening Treasury curve by expecting bull flattening IG corporate spread curves, compression along the quality curve and outperformance of the most COVID-19 negatively impacted names. Heavy new issuance remains a headwind, but it is mitigated by strong inflows. Next week should be busy and then the window closes in the two weeks before Labor Day.

It wasn’t just Bank of America that had good news: in its state-level coronavirus tracker, Goldman confirmed that the number of new confirmed coronavirus cases continues to decline in the vast majority of states, yet the bank urged some caution, noting that “although the nationwide downward trajectory is encouraging, state government officials may wait until case levels decline further before moving forward with additional reopening policies.”

end
Trump’s super ad against Joe and Hunter Biden foray into China
a must view
(zerohedge)

Trump Hits Joe And Hunter’s China Malarkey In New Campaign Ad

The Trump reelection campaign is out with a new ad attacking Joe and Hunter Biden’s close ties to China.

The two-minute ad spotlights Joe Biden’s cozy relationship with Chinese President Xi, interspersed with clips of destitute Americans whose jobs were outsourced during the Obama-Biden years.

It then puts Hunter’s China profiteering on blast – including footage of both Bidens denying they’ve ever spoken of his lucrative dealings, such as a trip he took to China to establish a joint investment fund with a Chinese bank.

Then, the clip features House Speaker Nancy Pelosi (D-CA) admitting in an interview that China and Iran prefer Biden over Trump.

Watch:

https://www.zerohedge.com/political/trump-hits-joe-and-hunters-china-malarkey-new-campaign-ad?utm_source=feedburner&utm_medium=feed&utm_campaign=Feed%3A+zerohedge%2Ffeed+%28zero+hedge+-+on+

end

Hotels are now headed for an unprecedented wave for foreclosures

(Peter Romeo/Restaurant Business)

Hotels Are Headed For An “Unprecedented Wave Of Foreclosures”, Lodging Group Warns

By Peter Romeo of Restaurant Business,

Payments on nearly one-fourth of all loans backed by hotel real estate are delinquent by at least 30 days, signaling an imminent and unprecedented wave of foreclosures, according to the American Hotel & Lodging Association (AH&LA).

It notes that the $20.6 billion in delinquent payments on commercial mortgage-backed securities (CMBS)—23.4% of all CMBS loans extended to hotels—compares with overdue payments of $1.15 billion at the end of 2019, or 1.3% of outstanding CMBS loans at the time. The current level of delinquencies even surpasses the $13.5 billion that lenders were owed during the Great Recession that started in 2008, according to the association.

The report, compiled for the AH&LA by a research company called Trepp, is the latest in a torrent of bad news from the association about the state of its industry.  Its release was accompanied by the announcement that 4,000 lodging executives have signed a letter to Congress, urging lawmakers to save the business by pushing through a federal relief package aimed specifically at the lodging trade.

Similar industry-specific measures are being pushed by the restaurant industry, with lobbying from both the National Restaurant Association and the Independent Restaurants Coalition.

The measure supported by the AH&LA, a bill known as the HOPE Act, would create an emergency fund to help hotels repay their CMBS loans.

“With record low travel demand, thousands of hotels can’t afford to pay their commercial mortgages and are facing foreclosure with the harsh reality of having to close their doors permanently,” Chip Rogers, CEO of the AH&LA, said in a statement. “Tens of thousands of hotel employees will lose their jobs and small business industries that depend on these hotels to drive local tourism and economic activity will likely face a similar fate.”

The industry has been stung by the sheer drop-off in travel that followed the implementation of stay-at-home policies in nearly every state at the start of the pandemic.

iv) Swamp commentaries)

Bannon arrested by the democratic loving Federal Prosecutors of Southern New York (former Geof Berman)

(zerohedge)

Steve Bannon Arrested And Charged With Fraud By Federal Prosecutors In New York

Former Trump advisor Steve Bannon has been arrested and indicted by the Manhattan US attorney for defrauding people in an online fundraising scheme.

The arrest is tied to the “We Build The Wall” online fundraising scheme which invited Americans to donate to a campaign to build the wall with private funds. Notably, this is a separate issue from the FBI investigation into a media venture involving Bannon, an exiled Chinese businessman, and the son of Morgan Stanley’s co-founder.

The arrest comes just hours before Joe Biden is set to accept the Democratic nomination. Bannon was indicted by Audrey Strauss, the successor (and former deputy head) to Geoffrey Berman, the US attorney in Manhattan who was messily pushed out by Bill Barr a few weeks ago.

While these charges are the culmination of a separate investigation from the one that was leaked to the WSJ yesterday (and which we mentioned above), it’s seems to be part of the same wave of charges and aspersions being cast upon the former White House chief strategist. Aside from the investigation revealed yesterday, there have been multiple leaks about a “previously unpublicized” letter sent by the Senate Intel Committee to the DoJ asking that Bannon be investigated for allegedly lying in his testimony to the Committee. The letter, which was delivered to the DoJ last July when Richard Burr was still committee chairman, was a “bipartisan” effort.

Read the DoJ press release explaining the charges below:

Audrey Strauss, the Acting United States Attorney for the Southern District of New York, and Philip R. Bartlett, Inspector-in-Charge of the New York Field Office of the United States Postal Inspection Service (“USPIS”), announced the unsealing of an indictment charging BRIAN KOLFAGE, STEPHEN BANNON, ANDREW BADOLATO, and TIMOTHY SHEA for their roles in defrauding hundreds of thousands of donors in connection with an online crowdfunding campaign known as “We Build the Wall” that raised more than $25 million.  The defendants were arrested this morning.  KOLFAGE will be presented today before U.S. Magistrate Judge Hope T. Cannon in the Northern District of Florida.  BANNON will be presented today in the Southern District of New York.  BADOLATO will be presented today before U.S. Magistrate Judge Thomas Wilson in the Middle District of Florida.  SHEA will be presented today before U.S. Magistrate Judge Kristen L. Mix in the District of Colorado.  The case is assigned to U.S. District Judge Analisa Torres in the Southern District of New York.

Acting U.S. Attorney Audrey Strauss said:  “As alleged, the defendants defrauded hundreds of thousands of donors, capitalizing on their interest in funding a border wall to raise millions of dollars, under the false pretense that all of that money would be spent on construction.  While repeatedly assuring donors that Brian Kolfage, the founder and public face of We Build the Wall, would not be paid a cent, the defendants secretly schemed to pass hundreds of thousands of dollars to Kolfage, which he used to fund his lavish lifestyle.  We thank the USPIS for their partnership in investigating this case, and we remain dedicated to rooting out and prosecuting fraud wherever we find it.”

Inspector-in-Charge Philip R. Bartlett said:  “The defendants allegedly engaged in fraud when they misrepresented the true use of donated funds.  As alleged, not only did they lie to donors, they schemed to hide their misappropriation of funds by creating sham invoices and accounts to launder donations and cover up their crimes, showing no regard for the law or the truth.   This case should serve as a warning to other fraudsters that no one is above the law, not even a disabled war veteran or a millionaire political strategist.”

According to the Indictment[1] unsealed today in Manhattan federal court:

Starting in approximately December 2018, BRIAN KOLFAGE, STEPHEN BANNON, ANDREW BADOLATO, and TIMOTHY SHEA, and others, orchestrated a scheme to defraud hundreds of thousands of donors, including donors in the Southern District of New York, in connection with an online crowdfunding campaign ultimately known as “We Build The Wall” that raised more than $25 million to build a wall along the southern border of the United States.  In particular, to induce donors to donate to the campaign, KOLFAGE repeatedly and falsely assured the public that he would “not take a penny in salary or compensation” and that “100% of the funds raised . . . will be used in the execution of our mission and purpose” because, as BANNON publicly stated, “we’re a volunteer organization.”

Those representations were false.  In truth, KOLFAGE, BANNON, BADOLATO, and SHEA received hundreds of thousands of dollars in donor funds from We Build the Wall, which they each used in a manner inconsistent with the organization’s public representations.  In particular, KOLFAGE covertly took for his personal use more than $350,000 in funds that donors had given to We Build the Wall, while BANNON, through a non-profit organization under his control (“Non-Profit-1”), received over $1 million from We Build the Wall, at least some of which BANNON used to cover hundreds of thousands of dollars in BANNON’s personal expenses.  To conceal the payments to KOLFAGE from We Build the Wall, KOLFAGE, BANNON, BADOLATO, and SHEA devised a scheme to route those payments from We Build the Wall to KOLFAGE indirectly through Non-Profit-1 and a shell company under SHEA’s control, among other avenues.  They did so by using fake invoices and sham “vendor” arrangements, among other ways, to ensure, as KOLFAGE noted in a text message to BADOLATO, that his pay arrangement remained “confidential” and kept on a “need to know” basis.

 

end

Judge Rejects Trump Challenge To Manhattan DA On Tax Records

A federal judge has tossed President Trump’s attempt to fight a subpoena by the Manhattan district attorney for his tax records, handing the Commander in Chief a loss in his high-profile legal battle.

Developing…

end
wow!! this is good:  Obama State Dept official destroyed much of the Christopher Steele’s documents at Steele’s request
(zero hedge)

Obama State Department Official Destroyed Records At Christopher Steele’s Request

In January 2017, former State Department official Jonathan Winer destroyed several years worth of reports from former UK spy Christopher Steele, at Steele’s request, according to the Daily Caller, citing a report released Tuesday.

Winer, a former legislative assistant to former Sen. John Kerry who became the State Department’s Special Envoy for Libya when Kerry was Secretary of State – was Steele’s contact at the State Department, and received the now-debunked reports claiming that President Trump had been compromised by the Russians.

According to the Senate report, Winer disclosed that he destroyed reports that Steele had sent him over the years. The Senate report also says that Winer failed to reveal when asked in his first interview with the committee that he had arranged the meeting for Steele at the State Department months earlier. –Daily Caller

“After Steele’s memos were published in the press in January 2017, Steele asked Winer to make note of having them, then either destroy all the earlier reports Steele had sent the Department of State or return them to Steele, out of concern that someone would be able to reconstruct his source network,” reads the Senate report, which quote sWiner as saying “So I destroyed them, and I basically destroyed all the correspondence I had with him.

In total, Winer had received over 100 intelligence reports from Steel between 2014 and 2016.

Emails that The Daily Caller News Foundation obtained through a Freedom of Information Act lawsuit show that Winer shared Steele’s reports with a small group of State Department officials. The Senate report says that the State Department was able to provide the committee with Steele’s reports from 2015 and 2016, though most from 2014 are missing. –Daily Caller

In March, Steele told a UK court that he had “wiped” all of his dossier-linked correspondence in December, 2016 and January, 2017, and had no records of communications with his primary dossier source, Igor Danchenko.

In addition to receiving reports from Steele, Winer gave Steele various anti-Trump memos from Clinton operative Sidney Blumenthal, which originated with Clinton “hatchet man” Cody Shearer. Winer claims he didn’t think Steele would share the Clinton-sourced information with anyone else in the government.

“But I learned later that Steele did share them — with the FBI, after the FBI asked him to provide everything he had on allegations relating to Trump, his campaign and Russian interference in U.S. elections,” Winer wrote in a 2018 Op-Ed.

Steele was paid $168,000 by opposition research firm Fusion GPS to produce his anti-Trump dossier, which was funded in part by Hillary Clinton and the DNC, who used law firm Perkins Coie as an intermediary.

Read the rest of the Daily Caller report here.

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

Fed officials expect that the coronavirus will ‘weigh heavily’ on the economy, minutes show

Members of the Federal Open Market Committee said the coronavirus likely would continue to stunt growth and potentially pose dangers to the financial system the ongoing public health crisis would weigh heavily on economic activity, employment, and inflation in the near term and was posing considerable risks to the economic outlook over the medium term,”…

https://www.nbcnews.com/business/markets/fed-officials-expect-coronavirus-will-weigh-heavily-economy-minutes-show-n1237331

After traders digested the disappointing FOMC Minutes, the usual suspects orchestrated a rebound rally that recaptured about half of the declined.  However, when the final hour appeared, sellers took charge and drove ESUs and stocks to new session lows.  ESUs lost 22 handles from their level when the final hour appeared.  Of course, someone pushed stuff higher during the final 10 minutes of trading.

WSJ: New U.S. Coronavirus Cases Slip to Lowest Since Late June

Monday’s 35,112 new cases were the fewest since June 24, and followed a Sunday count that was the lowest since June 29    https://www.wsj.com/articles/coronavirus-latest-news-08-18-2020-11597739213

@AlexBerenson: The stunning decline in Florida COVID hospitalizations continues – down almost half from peak. As with Arizona/Texas, little change in overall hospital use on either the way up or down…

As we commented a few missives ago, with Covid fears on the wane, Dems manufactured a US Post Office crisis to ‘get Trump’.

Tucker Carlson on Andrew Cuomo writing a book that brags about his Covid 19 response: “The whole thing was like watching Jeffrey Epstein brag about his internship program.”

Goodyear Stock Price Nosedives after Company Endorses ‘Black Lives Matter,’ Bans Employees from Saying ‘Blue Lives Matter’   https://thefederalist.com/2020/08/19/goodyear-stock-price-nosedives-after-company-endorses-black-lives-matter-bans-employees-from-saying-blue-lives-matter/#.Xz1mHeeJIuw.twitter

@realDonaldTrump: Don’t buy GOODYEAR TIRES – They announced a BAN ON MAGA HATS. Get better tires for far less! (This is what the Radical Left Democrats do. Two can play the same game, and we have to start playing it now!).

@seanmdav: In a bizarre and poorly written statement…, Goodyear confirms that it endorses “Black Lives Matter,” an openly Marxist organization, as a “racial justice” matter, while banning the phrase “Blue Lives Matter” for being too political.  https://twitter.com/goodyear/status/1296110550879891458/photo/1

BBG: White House Says Goodyear Needs to Come out and Clarify its Policy on Political Speech

Per the Athletic: NBA ratings have dropped to a level not seen since the 80s.  Prime viewing is -45%.

Ex-FBI lawyer Kevin Clinesmith pleads guilty in first criminal case arising from Durham probe

The Justice Department’s charging document stated that Clinesmith “did willfully and knowingly make and use a false writing and document, knowing the same to contain a materially false, fictitious, and fraudulent statement and entry in a matter before the jurisdiction of the executive branch and judicial branch of the Government of the United States.”… [10-page plea agreement!  Hmmm!]

https://www.foxnews.com/politics/ex-fbi-lawyer-kevin-clinesmith-pleads-guilty-durham-probe

 

Broadcast ratings for second night of Democratic convention off 48 percent from 2016

The Nielsen Media Research numbers come after broadcast ratings dropped by 42 percent on Monday night when compared to the first night of the convention in 2016. When including cable news networks MSNBC, CNN and Fox News, the total viewership on the first night of the 2020 convention was 18.6 million, an overall decrease of 27 percent from four years ago…

https://thehill.com/homenews/media/512760-broadcast-ratings-for-second-night-of-democratic-convention-off-48-percent

 

While Trump supporters are rejoicing at what is transpiring at the DNC Convention and Joe Biden’s latest moments, we are disgusted that Trump is the firewall against a dystopian America and his failure to alter his churlish behavior (see suburban women) has prevented what should have been a very easy re-election.  A more palatable Bad Orangeman would have saved us and many others some sleepless nights.

 

The second night of the DNC Convention was another Trump hate fest (the convention theme is “Unity”) with a bizarre lineup of incongruous speakers whose topics were unintentionally risible.  The centerpiece was Jill Biden’s smarmy account of the Bidens’ relationship – on a day that her ex-husband accused Jill of infidelity with Joe!  AOC snubbed Joe and advocated for Bernie.  Biden supporters chanted the f-word on live TV.  The grand finale, where Joe is officially anointed, produced more Joe moments.

 

Biden surrogates chant the presidential nominee’s ‘big f’n deal’ line about Obamacare during DNC

https://justthenews.com/politics-policy/elections/biden-surrogates-recite-his-big-fn-deal-line-about-obamacare-during-dnc

 

@CBSNews: In DNC address, Alexandria Ocasio-Cortez (AOC) supports nominating Bernie Sanders for the Democratic ticket, and makes no direct mention of Joe Biden

https://cbsnews.com/live-updates/democratic-convention-night-2-live-updates/

 

NY Governor Andy Cuomo slammed Trump over Covid!

 

Bill Clinton in a recorded speech talked about inappropriate behavior in the Oval Office.  Liz Warren appeared at a Native America caucus, which blew up social media with snide remarks.

 

‘Would you mind giving it a crack?’ Bill Clinton leans back and smiles while receiving neck massage from Epstein victim, 22, in never-before-seen photos during trip on pedophile’s plane to Africa in 2002 – as he addresses Dem convention TONIGHT

https://www.dailymail.co.uk/news/article-8639501/Bill-Clinton-smiles-receiving-neck-massage-Jeffrey-Epstein-victim.html

 

The Clinton hypocrisy was so egregious: Stephen Colbert slams Clinton for DNC speech that ‘lectured’ Trump on Oval Office behavior

https://www.dailymail.co.uk/news/article-8642045/Stephen-Colbert-leads-outrage-against-Bill-Clintons-DNC-speech-lectured-Trump-behavior.html

 

DNC disables chatroom after trolls crash Warren appearance at Native American caucus meeting

[What genius thought of using Warren in this risible manner?]

https://www.washingtonexaminer.com/news/dnc-disables-chatroom-after-trolls-crash-warren-appearance-at-native-american-caucus-meeting

 

Colin Powell, who has endorsed every Democratic presidential candidate since W Bush and misled or lied to Americans about WMDs in Iraq, slammed Trump for dividing the US.

 

Trump responded in a tweet: Colin Powell, a real stiff who was very responsible for getting us into the disastrous Middle East Wars, just announced he will be voting for another stiff, Sleepy Joe Biden.  Didn’t Powell say that Iraq had ‘weapons of mass destruction?’ They didn’t, but off we went to WAR!

 

@CBSNews: John Kerry (a regular punchline) says the U.S. deserves a president “who is looked up to, not laughed at”   (You can’t make this up!  Kerry must not have social media.)

 

Jimmy Carter was given a speaking assignment to slam Trump – enough said!

 

The wife of John McCain spoke.  John was a seminal instigator in the pee dossier and virulent DJT hater.

 

@ByronYork: Former top Justice Dept official Sally Yates, part of DOJ targeting of Michael Flynn, just spoke to Democratic convention. Said of Trump: ‘He’s even trying to sabotage our Postal Service.’

 

GOP Sen. Marsha Blackburn @VoteMarsha: Sally Yates led the effort to illegally spy on President @realDonaldTrump’s campaign, and the Democrats rewarded her with a national platform.

 

@ABC: Senate Minority Leader Chuck Schumer, speaking with the Statue of Liberty in the background, says “Donald Trump has divided our country, diminished our greatness and demeaned everything that this statue represents.”  [Remember, the DNC Convention these is “Unity”!]

 

DNC Panel Features ‘Mermaid Queen-King’ Who Calls for the Abolition of ICE, Police & Prisons

https://amgreatness.com/2020/08/19/dnc-panel-features-mermaid-queen-king-who-calls-for-the-abolition-of-ice-police-and-prisons/#.Xz17b4BTHeE.twitter

 

GOP Establishment from 1996 RNC Line Up to Endorse Joe Biden at 2020 DNC

Colin Powell, then-Gov. Christine Todd Whitman (R-NJ), then-Rep. John Kasich (R-OH), and then-Rep. Susan Molinari (R-NY) spoke at the RNC convention. Today, Powell, Whitman, Kasich, and Molinari are speaking at the DNC convention to endorse Biden and Sen. Kamala Harris (D-CA) against Trump. Likewise, the DNC featured a montage of the late John McCain’s relationship with Biden. McCain also spoke at the 1996 RNC convention…

https://www.breitbart.com/politics/2020/08/18/gop-establishment-from-1996-rnc-line-up-to-endorse-joe-biden-at-2020-dnc/

 

@thebradfordfile: The more RINOs featured at the DNC, the clearer it becomes: It’s not Trump vs. Biden; It’s still Trump vs. The Swamp

 

@jsolomonReports: Jill Biden: Classrooms will ‘ring out with laughter and possibility once again’ if Joe wins [‘Ring out with laughter’ and ‘Joe Biden’ should not be employed in the same sentence.]

 

Joe’s catatonic countenance when the balloons dropped for the grand finale was troubling and sad.  https://twitter.com/abigailmarone/status/1296109406631993345

Wise guys quickly crafted videos that mocked Joe.  Trump retweeted this: @RaheemKassam: Does he even know what is happening?  https://twitter.com/RaheemKassam/status/1295915720321183744

 

Pundits wondered happened with Joe when he appeared after Jill’s speech and said, “That’s the kind of First Lady, Lady, Lady, Lady Jill Biden will be.” https://twitter.com/COsweda/status/1296238445988212737

 

@COsweda: They rehearse Biden mercilessly.  So he forgot that they were live, and he tried different forms of delivery.  “Lady” Number 1 versus “Lady” Number 4.

 

Jill Biden, not Joe, appeared on ABC yesterday morning to address the issue of Joe’s cognitive decline.  Jill: “He’s writing speeches.  He’s being briefed.  He’s making phone calls.  He’s on Zoom constantly… He’s totally engaged…”    https://www.goodmorningamerica.com/news/video/dr-jill-biden-shares-people-vote-husband-72465163

 

Trump campaign calls Democratic convention ‘boring, glitchy’ in recap of 2nd night

‘Their candidate is diminished, decrepit, messy in a deep, dark basement in Delaware’ 

    “Are we going to call it the loser night?” Trump campaign senior adviser Mercedes Schlapp joked…

https://www.foxnews.com/politics/trump-campaign-calls-democratic-convention-boring-glitchy-in-recap-of-2nd-night

 

Please note that half of the DNC Convention is over and there has been NO promotion of plans or policies to help Americans.  Dem polling shows that most Democrats are voting against Trump rather than for Biden.  So, Dems are going to live or die on slamming DJT are avoiding specific initiatives.  The DJHT-hating WaPo is concerned about the Dems’ strategy.

 

The convention touts unity, but Democratic voters wonder: Are we the anti-Trumps? Is there one Democratic vision for America? – In this strangest of campaigns, Democrats watching the nation’s first virtual convention are at once united in their passion to end the Trump presidency and divided in their visions of how to do that — and what should come next… Democrats don’t agree on what policies will get the country back on track… “I watch MSNBC a couple hours every night, and lately the tone has been ‘We’re all going to die,’ ” she said. “I can’t take much more of that. I don’t want to be hanging black crepe all the time. What I need from the convention is the tiniest sense of hope.”… https://www.washingtonpost.com/politics/the-convention-touts-unity-but-democratic-voters-wonder-are-we-the-anti-trumps-is-there-one-democratic-vision-for-america/2020/08/19/25eba720-e01e-11ea-8dd2-d07812bf00f7_story.html

 

The left-leaning Politico: Progressives prepare to put the squeeze on Joe Biden

Progressives, who are emboldened after successfully ousting several entrenched Democrats in recent primaries, are also clear: Unlike with Obama, there will be no honeymoon for Biden…

https://www.politico.com/news/2020/08/17/biden-progressives-left-no-honeymoon-395778

 

On Wednesday, the Trump campaign issued an official notice that asked Biden, “Now that you are the Democrat nominee, who gives you your daily instructions?” a) Kamala Harris; b) Bernie Sanders, c) Alexandria Ocasio-Cortex; d)  Alyssa Milano (actress)

https://twitter.com/JennaEllisEsq/status/1296075391216607232/photo/1

 

@paulsperry_: Joe “Mr. Empathy” Biden sees suburban women as path to victory. RNC wd be wise to soften Trump @ next wk’s convention, personalizing him by telling story of how much he loved his late mom, bring out Melania + Barron & trot out folks he’s privately cut checks to help w plights

 

Fox media critic @HowardKurtz: Joe and Kamala have given their first joint interview to…People magazine. Bill and Hillary pioneered that in ‘92. I’m sure tougher ones will follow—right?

 

[Last night at DNC Convention]Obama slams Trump as selfish and blames him for COVID-19 toll  https://trib.al/gKDz2p7

@AnnCoulter: In speech tonight (3rd convention session last night), Obama to say that he hoped Trump “might show some interest in taking the job seriously.” [Can’t wait to see DJT’s response!]

 

Pelosi emphasizes need for COVID-19 deal ‘now’ [What is polling telling Nancy?]

https://reuters.com/article/us-health-coronavirus-usa-pelosi-idUSKCN25E2KH

 

@Convertbond: U.S. Counties Won 2016 – Trump: 3140, Clinton: 58

Electoral Votes – Trump: 304, Clinton: 227

Popular Votes – Clinton: 65.8m, Trump: 62.9m

*Why the electoral college matters – in the 5 counties that encompass New York City, Clinton received well over 2m more votes than Trump.

 

Second fire in a week at Portland Jewish center causes significant damage

https://katu.com/news/local/second-fire-in-a-week-at-portland-jewish-center-causes-significant-damage

 

Portland businesses fleeing downtown offices over nightly BLM riots   https://t.co/3C9TNFz31g

 

Minnesota Democratic Primary Winner Calls to Burn ‘White, Racist’ Town Down https://t.co/eZagF7vVfi

 

BLM leader Hawk Newsome defends looters, compares America to ‘terrorists’

Hawk Newsome’s comments came during a heated exchange with Fox News anchor Martha MacCallum, who had asked him to respond to former New York City Mayor Rudy Giuliani saying BLM should be designated a domestic terrorist organization…  https://t.co/WOcGrdgbrX

 

New Jersey BLM leader charged with punching elderly man during rally  https://trib.al/U6dmxtl

 

Iowa State professor threatens to dismiss students who oppose abortion, Black Lives Matter

The university described the syllabus as “inconsistent” with its commitment to the First Amendment…

https://www.foxnews.com/us/iowa-state-professor-black-lives-matter-abortion

 

@ColumbiaBugle: Reporter: “The crux of the theory is this belief that you are secretly saving the world from this satanic cult of pedophiles and cannibals. Does that sound like something that you are behind?”

President Trump: “I haven’t heard that. Is that supposed to be a bad thing?”

https://twitter.com/ColumbiaBugle/status/1296209412852334592

 

Ohio State Is Trying To Organize A Football Season with 5 Other Big 10 Teams

Iowa, Nebraska and Penn State are reportedly willing to go along with the plan. OSU is working on convincing Michigan and Wisconsin to fall in line and buck the Big 10’s stupidity…

https://dailycaller.com/2020/08/19/ohio-state-home-and-home-series-college-football-penn-state-nebraska-iowa-wisconsin-michigan-coronavirus-season-alternative/

 

Michigan Gov. Gretchen Whitmer reportedly blocking Michigan from playing fall football season

https://www.theblaze.com/news/whitmer-college-football-blocking

 

No Michigan football, no Michigan for Biden.  Perhaps Gov. Whitmer is retaliating against Joe for not selecting her as his VP.

Well that is all for today

I will see you FRIDAY night.

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