SEPT 2//BIS ORCHESTRATED RAID, FRONT RUNNING BY JPMORGAN AND FRIENDS//GOLD DOWN $34.00 TO $1938.70//SILVER DOWN $1.04 TO $27.22//GOLD TONNAGE AND SILVER OZ INCREASE IN STANDING AT THE COMEX//CHINA VS USA//CORONAVIRUS UPDATES// IN USA:ADP JOBS REPORT DISAPPOINTS/FACTORY ORDERS SLIGHTLY INCREASE//INTERESTING SWAMP STORIES FOR YOU TONIGHT///

GOLD:$1938.70  DOWN $34.00   The quote is London spot price

 

 

 

 

 

Silver:$27.22 DOWN $1.04   London spot price ( cash market)

 

DONATE

Click here if you wish to send a donation. I sincerely appreciate it as this site takes a lot of preparation.

Closing access prices:  London spot

i)Gold : $1942.60  LONDON SPOT  4:30 pm

 

ii)SILVER:  $27.44//LONDON SPOT  4:30 pm

CLOSING FUTURES PRICES:  KEY MONTHS

 

SEPT GOLD:   $XXX  CLOSE  1::30 PM  SPREAD SPOT/FUTURE XXX//) //

OCT GOLD:  $1937.50  CLOSE 1.30 PM//   SPREAD SPOT/FUTURE OCT /:   : $1.20//BACKWARD//

 

 

DEC. GOLD  $1945.00   CLOSE 1.30 PM      SPREAD SPOT/FUTURE DEC   $6.30/ CONTANGO   ($5.70 BELOW NORMAL CONTANGO)

 

 

CLOSING SILVER FUTURE MONTH

 

SILVER SEPT COMEX CLOSE;   $27.25…1:30 PM.//SPREAD SPOT/FUTURE SEPT//  :    ( 3 cents contango//0 CENTS ABOVE NORMAL contango)

SILVER DECEMBER  CLOSE:     $27.76  1:30  PM SPREAD SPOT/FUTURE DEC.       : 54  CENTS PER OZ  CONTANGO ( 40 CENTS ABOVE NORMAL CONTANGO)

 

XXXXXXXXXXXXXXXXXXXXXXXXX

 

COMEX DATA

 

 

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

receiving today: 0/18

issued 0

EXCHANGE: COMEX
CONTRACT: SEPTEMBER 2020 COMEX 100 GOLD FUTURES
SETTLEMENT: 1,968.200000000 USD
INTENT DATE: 09/01/2020 DELIVERY DATE: 09/03/2020
FIRM ORG FIRM NAME ISSUED STOPPED
____________________________________________________________________________________________
624 C BOFA SECURITIES 1 2
657 C MORGAN STANLEY 2 2
657 H MORGAN STANLEY 5
709 C BARCLAYS 8
709 H BARCLAYS 1
737 C ADVANTAGE 3
800 C MAREX SPEC 6
905 C ADM 6
____________________________________________________________________________________________

TOTAL: 18 18
MONTH TO DATE: 2,233

NUMBER OF NOTICES FILED TODAY FOR  AUGUST CONTRACT: 18 NOTICE(S) FOR 1800 OZ  (0.0559 tonnes)

 

TOTAL NUMBER OF NOTICES FILED SO FAR:  2233 NOTICES FOR 223300 OZ  (6.9455 tonnes) 

 

 

 

SILVER

 

 

470 NOTICE(S) FILED TODAY FOR 2,350,000  OZ/

total number of notices filed so far this month: 7723 for 38.615 MILLION oz

 

BITCOIN MORNING QUOTE  $11,328  UP 517

 

BITCOIN AFTERNOON QUOTE.: $11,351 UP 569

 

GLD AND SLV INVENTORIES:

WITH GOLD DOWN $34.00 AND NO PHYSICAL TO BE FOUND ANYWHERE:

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

TWO CHANGES IN GOLD INVENTORY AT THE GLD// A WITHDRAWAL OF .87 TONNES FROM THE GLD AND ANOTHER WITHDRAWAL OF.59 TONNES

 

 

 

GLD: 1,250.04 TONNES OF GOLD//

 

 

WITH SILVER DOWN $1.04  TODAY: AND WITH NO SILVER AROUND:

 

A HUGE CHANGE IN INVENTORY AT THE SLV/// A WITHDRAWAL OF 2.365 MILLION OZ FROM THE SLV

 

 

RESTING SLV INVENTORY TONIGHT:

 

SLV: 571.688  MILLION OZ./

 

 

XXXXXXXXXXXXXXXXXXXXXXXXX

 

 

 

Let us have a look at the data for today

 

 

xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx

IN SILVER THE COMEX OI ROSE BY A STRONG SIZED 906 CONTRACTS FROM 165,543 DOWN TO 166,449, AND CLOSER TO OUR NEW RECORD OF 244,710, (FEB 25/2020. THE  GAIN IN OI OCCURRED WITH OUR  9 CENT RISE IN SILVER PRICING AT THE COMEX. IT SEEMS THAT THE GAIN IN COMEX OI IS  DUE TO ATTEMPTED BANKER  SILVER SHORT COVERING..  COUPLED AGAINST A STRONG EXCHANGE FOR PHYSICAL ISSUANCE, ZERO LONG LIQUIDATION, A GOOD GAIN IN SILVER OZ  STANDING  AT THE COMEX FOR SEPT..  WE HAD A CONSIDERABLE NET GAIN IN OUR TWO EXCHANGES OF 2571 CONTRACTS  (SEE CALCULATIONS BELOW).

 

 

 

 

WE HAVE ALSO WITNESSED A STRONG AMOUNT OF PHYSICAL METAL STAND FOR COMEX DELIVERY AS WELL WE ARE WITNESSING CONSIDERABLE LONGS PACKING THEIR BAGS AND MIGRATING OVER TO LONDON IN GREATER NUMBERS IN THE FORM OF EFP’S.  WE WERE  NOTIFIED  THAT WE HAD A STRONG SIZED NUMBER OF COMEX LONGS TRANSFERRING THEIR CONTRACTS TO LONDON THROUGH THE EFP ROUTE:   SEP 0;  DEC:  1665, MARCH  0 FOR ZERO ALL  OTHER MONTHS  AND THEREFORE TOTAL ISSUANCE  1655 CONTRACTS. WITH THE TRANSFER OF 1655 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 1655 EFP CONTRACTS TRANSLATES INTO 8.325 MILLION OZ  ACCOMPANYING:

1.THE 9 CENT RISE 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.

6.475 MILLION OZ FINAL STANDING IN AUGUST

52.6400 MILLION OZ INITIALLY STANDING IN SEPT

 

TUESDAY, AGAIN OUR CROOKS USED COPIOUS PAPER IN ORDER TO LIQUIDATE SILVER’S PRICE…AND THEY WERE UNSUCCESSFUL IN KNOCKING THE PRICE OF SILVER DOWN (IT ROSE 9 CENTS) ).. AND, OUR OFFICIAL SECTOR/BANKERS  WERE BASICALLY UNSUCCESSFUL IN THEIR ATTEMPT TO FLEECE ANY SILVER LONGS FROM THEIR POSITIONS AS FEAR STRUCK AS BANKERS AS THE RATS ARE STARTING TO FLEE A SINKING SHIP.  WE ALSO HAD  ii)  A STRONG ISSUANCE OF EXCHANGE FOR PHYSICALS 2) A GOOD GAIN IN SILVER OZ STANDING  FOR SEPTEMBER,  AND 3) ZERO LONG LIQUIDATION.  YOU CAN BET THE FARM THAT OUR BANKERS  ARE DESPERATE TO LIQUIDATE THEIR HUGE SHORT POSITIONS IN SILVER..

 

 

 

 

HISTORICAL ACCUMULATION OF EXCHANGE FOR PHYSICALS

SEPT.

 

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

2854 CONTRACTS (FOR 2 TRADING DAY(S) TOTAL 2854 CONTRACTS) OR 14.270 MILLION OZ: (AVERAGE PER DAY: 1427 CONTRACTS OR 7.135 MILLION OZ/DAY)

TO GIVE YOU AN IDEA AS TO THE HUGE SUPPLY THIS MONTH IN SILVER:  SO FAR THIS MONTH OF AUGUST: 14.270 MILLION PAPER OZ HAVE MORPHED OVER TO LONDON. THIS REPRESENTS AROUND 0.849% 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:          1,400.355 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 EFP                              71.15 MILLION OZ.

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

AUGUST EFP                         127.46  MILLION OZ (EXCHANGE FOR PHYSICALS STARTING TO DECREASE AGAIN)

SEPT EFP                                14.270 MILLION OZ

 

 

 

RESULT: WE HAD A STRONG SIZED INCREASE IN COMEX OI SILVER COMEX CONTRACTS OF 906, WITH OUR 9 CENT RISE IN SILVER PRICING AT THE COMEX ///TUESDAY AS ONE A NET BASIS, NOBODY REALLY LEFT THE SILVER ARENA.…THE CME NOTIFIED US THAT WE HAD A STRONG SIZED EFP ISSUANCE OF 1655 CONTRACTS WHICH EXITED OUT OF THE SILVER COMEX AND TRANSFERRED THEIR OI TO LONDON  AS FORWARDS. SPECULATORS CONTINUED THEIR INTEREST IN ATTACKING THE SILVER COMEX FOR PHYSICAL SILVER

 

TODAY WE GAINED A STRONG SIZED 2571 OI CONTRACTS ON THE TWO EXCHANGES (WITH OUR 9 CENT GAIN IN PRICE)//

 

 

 

THE TALLY//EXCHANGE FOR PHYSICALS

i.e 1655 OPEN INTEREST CONTRACTS HEADED FOR LONDON  (EFP’s) TOGETHER WITH A CONSIDERABLE SIZED INCREASE OF 906 OI COMEX CONTRACTS. AND ALL OF THIS DEMAND HAPPENED WITH OUR 9 CENT RISE IN PRICE OF SILVER/AND A CLOSING PRICE OF $28.38 // TUESDAY’S TRADING. YET WE STILL HAVE A STRONG AMOUNT OF SILVER STANDING AT THE COMEX FOR DELIVERY. 

 

In ounces AT THE COMEX, the OI is still represented by JUST UNDER 1 BILLION oz i.e. 0.843 BILLION OZ TO BE EXACT or 120% of annual global silver production (ex Russia & ex China).

FOR THE NEW AUGUST  DELIVERY MONTH/ THEY FILED AT THE COMEX: 470 NOTICE(S) FOR 2,350,000 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 6.475 MILLION OZ//SEPT. 52.640 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 FAIR SIZED 3698 CONTRACTS TO 547,704 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 FAIR SIZED GAIN IN COMEX OI OCCURRED WITH OUR GOOD RISE IN PRICE  OF $7.10 /// COMEX GOLD TRADING// TUESDAY//WE HAD ATTEMPTED  BANKER SHORT COVERING, A STRONG ADVANCE IN STANDING AT THE GOLD COMEX FOR SEPT, ALONG WITH ZERO LONG LIQUIDATION ACCOMPANYING A SMALL EXCHANGE FOR  PHYSICAL ISSUANCE. THIS ALL HAPPENED WITH OUR GOOD GAIN IN PRICE OF $7.10. 

 

 

WE HAD A VOLUME OF 0    4 -GC CONTRACTS//OPEN INTEREST  134//  (2400 OZ WAS DELIVERED ON FRIDAY FROM THE ENHANCED GOLD INVENTORY)…

 

WE GAINED A GOOD SIZED 5086 CONTRACTS  (15.82 TONNES) ON OUR TWO EXCHANGES

 

E.F.P. ISSUANCE

 

 

 

THE CME RELEASED THE DATA FOR EFP ISSUANCAND IT TOTALED A SMALL SIZED 1388 CONTRACTS:

CONTRACT .; AUG 0 AND OCT: 0 DEC: 1388; JUNE: 0  ALL OTHER MONTHS ZERO//TOTAL: 1388.  The NEW COMEX OI for the gold complex rests at 547.704. 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 STRONG SIZED INCREASE IN TOTAL CONTRACTS ON THE TWO EXCHANGES OF 5086 CONTRACTS: 3698 CONTRACTS INCREASED AT THE COMEX AND 1688 EFP OI CONTRACTS WHICH NAVIGATED OVER TO LONDON. THUS  TOTAL OI GAIN OF 5086 CONTRACTS OR 15.82 TONNES. TUESDAY, WE HAD A GOOD GAIN OF $7.10 IN GOLD TRADING……

AND WITH THAT GAIN IN  PRICE, WE HAD A GOOD SIZED GAIN IN  TOTAL/TWO EXCHANGES GOLD TONNAGE OF 15.82 TONNES!!!!!! THE BANKERS WERE UNSUCCESSFUL IN THEIR ATTEMPT TO LOWER GOLD’S PRICE (IT ROSE $7.10).  WE HAD ATTEMPTED BANKER SHORT COVERING  OPERATION  WITH SMALL ISSUANCE IN EXCHANGES FOR PHYSICAL. THEY BANKERS COULD NOT FLEECE ANY OF OUR SPECULATOR LONGS.

 

 

 

CALCULATIONS ON GAIN/LOSS ON OUR TWO EXCHANGES:

WE HAD A SMALL SIZED ISSUANCE IN EXCHANGE FOR PHYSICALS (1388) ACCOMPANYING THE  FAIR SIZED GAIN IN COMEX OI  (3698 OI): TOTAL GAIN IN THE TWO EXCHANGES:  5086 CONTRACTS. WE NO DOUBT HAD 1 )ATTEMPTED BANKER SHORT COVERING ,2.)A STRONG ADVANCE IN  STANDING AT THE GOLD COMEX FOR THE FRONT SEPT. MONTH,  3) ZERO NET LONG LIQUIDATION; 4) FAIR COMEX OI GAIN AND 5) SMALL ISSUANCE OF EXCHANGE FOR PHYSICAL  AND  …ALL OF THIS WAS COUPLED WITH OUR GOOD GAIN IN GOLD PRICE TRADING//TUESDAY//$7.10.

 

 

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.

 

EXCHANGE FOR PHYSICALS//OUTLINE

SPREADING OPERATIONS/NOW SWITCHING TO GOLD  (WE SWITCH OVER TO SILVER ON OCT  1)

 

 

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 GOLD  AS WE HEAD TOWARDS THE NEW ACTIVE FRONT MONTH OF OCT.

 

 

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 SILVER..AND WE WILL NOW MORPH INTO AN ACCUMULATION PHASE OF SPREADING CONTRACTS FOR GOLD.  THEY WILL ACCUMULATE CONSIDERABLE AMOUNT OF THE CONTRACTS AND THEN LIQUIDATE ONE WEEK PRIOR TO FIRST DAY NOTICE

 

MODUS OPERANDI OF THE CORRUPT BANKERS AS TO HOW THEY HANDLE THEIR SPREAD OPEN INTERESTS:

.

 

 

AS I HAVE MENTIONED IN PREVIOUS COMMENTARIES:

 

 

“AS YOU WILL SEE, THE CROOKS WILL NOW SWITCH TO GOLD AS THEY INCREASE THE OPEN INTEREST FOR THE SPREADERS. THE TOTAL COMEX GOLD OPEN INTEREST WILL RISE FROM NOW ON UNTIL ONE WEEK PRIOR TO FIRST DAY NOTICE AND THAT IS WHEN THEY START THEIR CRIMINAL LIQUIDATION.

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

 

YOU WILL ALSO NOTICE THAT THE COMEX OPEN INTEREST  STARTS TO RISE IN THIS NON ACTIVE MONTH OF SEPT. BUT SO IS THE OPEN INTEREST OF SPREADERS. THE OPEN INTEREST IN GOLD WILL CONTINUE TO RISE UNTIL ONE WEEK BEFORE FIRST DAY NOTICE OF AN UPCOMING  ACTIVE DELIVERY MONTH (OCT), 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 IN 2020 INCLUDING TODAY

SEPT.

 

ACCUMULATION OF EFP’S GOLD AT J.P. MORGAN’S HOUSE OF BRIBES: (EXCHANGE FOR PHYSICAL) FOR THE MONTH OF SEPT : 2268, CONTRACTS OR 226,800, oz OR 7.054 TONNES (2 TRADING DAY(S) AND THUS AVERAGING: 1134 EFP CONTRACTS PER TRADING DAY

TO GIVE YOU AN IDEA AS TO THE STRONG SIZE OF THESE EFP TRANSFERS :  THIS MONTH IN 2 TRADING DAY(S) IN  TONNES: 7.054 TONNES

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

THUS EFP TRANSFERS REPRESENTS 7.054/3550 x 100% TONNES =0.19% 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   3,417.87  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;                 150.78 TONNES  FINAL (AGAIN: RETREATING IN NUMBERS)

SEPT TOTAL EFP ISSUANCE:                       7.054 TONNES

 

 

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

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

 

1.Today, we had the open interest at the comex, in SILVER, ROSE BY A STRONG SIZED 906 CONTRACTS FROM 165,543, UP TO 166,449 AND CLOSER TO OUR COMEX RECORD //244,710(SET FEB 25/2020).  THE LAST RECORDS WERE SET  IN AUG.2018 AT 244,196 WITH A SILVER PRICE OF $14.78/(AUGUST 22/2018)..THE PREVIOUS RECORD TO THAT WAS SET ON APRIL 9/2018 AT 243,411 OPEN INTEREST CONTRACTS WITH THE SILVER PRICE AT THAT DAY: $16.53). AND PREVIOUS TO THAT, THE RECORD  WAS ESTABLISHED AT: 234,787 CONTRACTS, SET ON APRIL 21.2017 OVER  2 3/4 YEARS AGO.  THE PRICE OF SILVER ON THAT DAY: $17.89.

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

 

 

 

 

EFP ISSUANCE 1665 CONTRACTS

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

 SEPT: 0 AND DEC. 1655 AND MARCH:  0  ALL OTHER MONTHS: ZERO. TOTAL EFP ISSUANCE: 1655 CONTRACTS. EFP’S GIVE OUR COMEX LONGS A FIAT BONUS PLUS A DELIVERABLE PRODUCT OVER IN LONDON.  IF WE TAKE THE  COMEX OI GAIN OF 906 CONTRACTS TO THE 1655 OI TRANSFERRED TO LONDON THROUGH EFP’S,  WE OBTAIN A STRONG SIZED GAIN OF 2612 OPEN INTEREST CONTRACTS FROM OUR TWO EXCHANGES. THUS IN OUNCES, THE GAIN ON THE TWO EXCHANGES 12.860 MILLION  OZ, OCCURRED WITH OUR GOOD 9 CENT GAIN 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)WEDNESDAY MORNING/ TUESDAY NIGHT: 

SHANGHAI CLOSED DOWN 5.60 POINTS OR 0.17%  //Hang Sang CLOSED DOWN 64.76 POINTS OR 0.26%   /The Nikkei closed UP 109.08 POINTS OR 0.47%//Australia’s all ordinaires CLOSED UP 1.77%

/Chinese yuan (ONSHORE) closed UP  at 6.8260 /Oil UP TO 43.00 dollars per barrel for WTI and 45.91 for Brent. Stocks in Europe OPENED GREEN//  ONSHORE YUAN CLOSED UP // LAST AT 6.8260 AGAINST THE DOLLAR. OFFSHORE YUAN CLOSED UP ON THE DOLLAR AT 6.8269 TRADE TALKS STALL////TRUMP INITIATES A NEW 25% TARIFFS FRIDAY/MAY 10/MAJOR PROBLEMS AT HUAWEI /CFO ARRESTED/CORONAVIRUS PANDEMIC  : /ONSHORE YUAN TRADING ABOVE LEVEL OF OFFSHORE YUAN/ONSHORE YUAN TRADING STRONGER AGAINST USA DOLLAR/OFFSHORE YUAN TRADING STRONGER AGAINST THE DOLLAR /TRADE DEAL NOW DEAD..TRUMP  RAISED RATES TO 25%

 

 

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

 

GOLD

LET US BEGIN:

THE TOTAL COMEX GOLD OPEN INTEREST ROSE BY A FAIR SIZED 3698 CONTRACTS TO 547,794 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 FAIR COMEX INCREASE OCCURRED WITH OUR GOOD GAIN OF $7.10 IN GOLD PRICING /TUESDAY’S COMEX TRADING/). WE ALSO HAD A SMALL EFP ISSUANCE (1388 CONTRACTS),.  THUS,  WE HAD AGAIN 1) ATTEMPTED BANKER SHORT COVERING.  THEY WERE TOTALLY UNSUCCESSFUL IN CLOSING OUT MUCH OF THOSE SHORTS AS WE HAD A STRONG GAIN IN THE TWO EXCHANGES,…….. , PLUS WE HAD 2)  ZERO LONG LIQUIDATION  AND 3)  A STRONG INCREASE IN TONNAGE  STANDING AT THE GOLD COMEX//SEPT. DELIVERY MONTH (SEE BELOW) …  AS WE ENGINEERED A STRONG SIZED GAIN ON OUR TWO EXCHANGES OF 5086 CONTRACTS.  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. THE COMEX IS THE SCENE FOR AN ASSAULT ON GOLD AS LONDONERS EXERCISE THEIR EXCHANGE FOR PHYSICALS AND TURN THEM INTO REAL METAL.

 

 

 

(SEE BELOW)

 

 

WE  HAD 0    4 -GC VOLUME//open interest REMAINS AT 134

 

 

 

 

 

 

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 1388 EFP CONTRACTS WERE ISSUED:   OCT: 0  DEC 1388; JUNE// ’21 0 AND  ZERO FOR ALL OTHER MONTHS:

TOTAL EFP ISSUANCE: 1388  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: 5086 TOTAL CONTRACTS IN THAT 1388 LONGS WERE TRANSFERRED AS FORWARDS TO LONDON AND WE GAINED A FAIR SIZED 3698 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 ATTEMPTED BANKER SHORT COVERING  AS THE BANKERS HAVE BEEN CAUGHT TERRIBLY OFFSIDE ON THEIR SHORT POSITIONS..AND THUS THE REASON FOR OUR CONSTANT RAIDS. WE HAD A STRONG GAIN IN OI ON OUR TWO EXCHANGES.

 

 

 

 

 

THE BANKERS WERE UNSUCCESSFUL IN LOWERING GOLD’S PRICE  //// (IT ROSE $7.10).  AND, THEY WERE  UNSUCCESSFUL IN FLEECING ANY LONGS AS BANKER SHORT COVERING 

WAS THE NAME OF THE GAME: 

 THE TOTAL GAIN ON THE TWO EXCHANGES REGISTERED  15.82 TONNES  WITH THE GOOD RISE IN  PRICE

 

 

NET GAIN ON THE TWO EXCHANGES :: 5086, CONTRACTS OR 508,600 OZ OR 15.82 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:  547,704 TOTAL OI CONTRACTS X 100 OZ PER CONTRACT = 54.77 MILLION OZ/32,150 OZ PER TONNE =  1703 TONNES

THE COMEX OPEN INTEREST REPRESENTS 1703/2200 OR 77.43% OF ANNUAL GLOBAL PRODUCTION OF GOLD.

 

 

Trading Volumes on the COMEX TODAY: 327,228 contracts// volume fair

 

 

 

 

CONFIRMED COMEX VOL. FOR YESTERDAY:  322,494 contracts//  volume: fair  //most of our traders have left for London

 

 

SEPT 2 /2020

SEPT. GOLD CONTRACT MONTH

INITIAL STANDING FOR SEPT GOLD

 

 

Gold Ounces
Withdrawals from Dealers Inventory in oz nil oz
Withdrawals from Customer Inventory in oz
146,331.745 oz
HSBC
Brinks
4.5 tonnes
Deposits to the Dealer Inventory in oz NIL oz

 

 

 

Deposits to the Customer Inventory, in oz  

64,782.425

OZ

HSBC

 

2015

KILOBARS

No of oz served (contracts) today
18 notice(s)
 1800 OZ
(1.4121 TONNES)
No of oz to be served (notices)
924 contracts
(92,400 oz)
2.87 TONNES
Total monthly oz gold served (contracts) so far this month
2233 notices
223300 OZ
6.9455 TONNES
Total accumulative withdrawals of gold from the Dealers inventory this month NIL oz
Total accumulative withdrawal of gold from the Customer inventory this month xxx oz

 

We had 0 deposit into the dealer

 

total deposit: nil oz

 

 

 

 

 

 

 

total dealer withdrawals: nil oz

we had 1 deposit into the customer account

 

i) Into  HSBC: 64,782.425  oz 2015 kilobars

 

total customer deposit:  64,782.425 oz    oz

 

 

we had 2 gold withdrawals from the customer account:

i) Out of HSBC  8213.425 oz

ii) Out of Brinks: 138,118.320 oz

 

 

total withdrawals;  146,331.745    oz

lots of gold starting to leave the comex  (4.5 tonnes)

 

 

 

We had 1  kilobar transactions  +

 

ADJUSTMENTS: 0 //

 

 

 

 

The front month of SEPT registered a total of 942 contracts for a loss of 240 contracts.  We had 287 notices filed on Tuesday, so we gained  37 contracts or an additional 3,700 oz will stand for delivery in this non active month of Sept.

Oct LOST 398 contracts DOWN to 62,438.  November gained 2 contracts to stand at 3.

The big December contract GAINED 3428 contracts UP to 406,202 contracts…

 

 

 

 

 

 

We had 18 notices filed today for  1800 oz

 

FOR THE SEPT 2020 CONTRACT MONTH)Today, 0 notice(s) were issued from JPMorgan dealer account and  0 notices were issued from their client or customer account. The total of all issuance by all participants equates to 18 contract(s) of which 0  notices were stopped (received) by j.P. Morgan dealer and 3 notice(s) was (were) stopped/ Received) by j.P.Morgan//customer account and 0 notices by the squid  (Goldman Sachs)

To calculate the INITIAL total number of gold ounces standing for the SEPT /2020. contract month, we take the total number of notices filed so far for the month (2233) x 100 oz , to which we add the difference between the open interest for the front month of  SEPT (942 CONTRACTS ) minus the number of notices served upon today (18 x 100 oz per contract) equals 315,700 OZ OR 9.819 TONNES) the number of ounces standing in this active month of JUNE

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

No of notices filed so far (2233, x 100 oz + (942 OI) for the front month minus the number of notices served upon today (18) x 100 oz which equals 315,700 oz standing OR 9.819TONNES in this  active delivery month. This is a HUGE amount for gold standing for a SEPT delivery month (a NON active delivery month).

we gained 37 contracts or an additional 3700 oz will try their luck searching for metal on this side of the pond.

 

 

THE NAME OF THE GAME TODAY IS  BANKER SHORT COVERING AS FINALLY FEAR BECAME THEIR CENTRAL FOCUS. YOU CAN VISUALIZE THIS LAST NIGHT AND TODAY WITH GOLD’S STRONG ADVANCE IN TUESDAY’S COMEX. TODAY ATTEMPTED BANKER SHORT COVERING WHICH FAILED WITH THE HIGHER PRICES.

 

 

 

 

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)

261,955.892 oz  (some deleted august 3)         JPM  8.1479 TONNES

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

51,084.609 oz Pledged August 21/regular account 1.588 tonnes jpm

total pledged gold:  1,109916.036 oz                                     34.52 tonnes

 

 

 

SURPRISINGLY WE HAVE BEEN WITNESSING NO REAL PHYSICAL GOLD ENTERING THE COMEX VAULTS FOR THE PAST YEAR!! ..ONLY PHONY KILOBAR ENTRIES…. WE HAVE 466.63 TONNES OF REGISTERED GOLD WHICH CAN SETTLE UPON LONGS i.e. 9.819 tonnes

CALCULATION OF REGISTERED GOLD THAT CAN BE SETTLED UPON:

total registered or dealer  16,112,338.560 oz or 501.16 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:  261,955.892 oz (or 8.1479 tonnes)
total pledged gold:
b 2 pledged gold JPMorgan august 21/2020;  51,084.609 oz  (1.599 tonnes)
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: 610,238.285 oz added which cannot be settled:  18.980 tonnes
total weight of pledged:  1,109,916.036 oz or 34.52 tonnes
thus:
registered gold that can be used to settle upon:  15,002.422.0  (466,63 tonnes)
true registered gold  (total registered – pledged tonnes  15,002,422.0 (466.63 tonnes)
total eligible gold:  20,950.045.915 oz (650.23 tonnes)

total registered, pledged  and eligible (customer) gold;   37,062,434.425 oz 1,152.79 tonnes (INCLUDES 4 GC GOLD)

total 4 GC gold:   126.34 tonnes

total gold net of 4 GC:  1026,45 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

SEPT 2/2020

And now for the wild silver comex results

 

INITIAL STANDINGS

SEPT. SILVER COMEX CONTRACT MONTH//INITIAL STANDINGS

Silver Ounces
Withdrawals from Dealers Inventory NIL oz
Withdrawals from Customer Inventory
 243,510.921 oz
Brinks
Delaware

 

 

Deposits to the Dealer Inventory
295,241.320 oz
Brinks
Scotia

 

Deposits to the Customer Inventory
2,308,238.296 oz
CNT
Delaware
JPMorgan
Scotia
No of oz served today (contracts)
479
CONTRACT(S)
(2,350,000 OZ)
No of oz to be served (notices)
2806 contracts
 14,030,000 oz)
Total monthly oz silver served (contracts)  7723 contracts

38,615,000 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 2 deposit into the dealer:
i) Into brinks:  5053.800 oz
ii) into Scotia:  290,187.320 oz

total dealer deposits: 295,241.320     oz

i) We had 0 dealer withdrawal

 

total dealer withdrawals: nil oz

 

we had 4 deposits into the customer account

i)into JPMorgan: nil

 

ii) Into CNT:  601,004.57  oz

iii) into Delaware:  248,495.326 oz

iv) Into JPMorgan:  1,160,569.900 oz

v) Into Scotia:  2927.320  oz

 

 

 

 

 

 

 

 

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

JPMorgan now has 167.320 million oz of  total silver inventory or 48.42% of all official comex silver. (167.320 million/345.468 million

 

total customer deposits today: 2,308,238.296   oz

we had 2 withdrawals:

 

 

i) Out of Delaware; 4971.171 oz

ii) Out of Brinks:  238,539.750 oz

 

 

 

 

 

 

 

total withdrawals;  243,510.921    oz

We had 0 adjustments

 

 

 

Total dealer(registered) silver: 139.890 million oz

total registered and eligible silver:  347.533 million oz

 

xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx

the front month of SEPTEMBER registered an open interest of 3285 contracts thus losing 693 contracts.  We had 708 notices filed on Monday so we GAINED A GOOD 15 contracts or an additional 75,000 oz will stand in this active delivery month of September  as they morphed into London based forwards and received a fiat bonus for their efforts.  However this time our London boys are ready to exercise these EFP’s and they will turn them into real physical metal as we now have a full frontal attack on both of our two precious metals.

 

Oct saw another GAIN of 1 contract to stand at 695.November gained 12 contract to stand at 14,

The big December contract month saw its OI rise by good 1569 contracts up to 145,603

 

 

The total number of notices filed today for the SEPT 2020. contract month is represented by 470 contract(s) FOR 2,350,000, oz

 

To calculate the number of silver ounces that will stand for delivery in SEPT we take the total number of notices filed for the month so far at 7723 x 5,000 oz = 38,615,000 oz to which we add the difference between the open interest for the front month of SEPT(3261) and the number of notices served upon today 470 x (5000 oz) equals the number of ounces standing.

 

Thus the INITIAL standings for silver for the SEPT/2019 contract month: 7723 (notices served so far) x 5000 oz + OI for front month of AUGUST  (3285)- number of notices served upon today (470) x 5000 oz of silver standing for the SEPT contract month.equals 52,645,000 oz. ..VERY STRONG FOR AN ACTIVE MONTH.

We GAINED 15 contracts or AN ADDITIONAL 75,000 oz. WILL STAND FOR DELIVERY IN THIS ACTIVE DELIVERY MONTH.

 

 

TODAY’S ESTIMATED SILVER VOLUME : 126,806 CONTRACTS // volume huge//raid orchestrated by the BIS

 

 

 

FOR YESTERDAY: 121,269.  ,CONFIRMED VOLUME//volume huge  

 

 

 

YESTERDAY’S CONFIRMED VOLUME OF 121,269 CONTRACTS EQUATES to 0.606 billion  OZ 86.6% OF ANNUAL GLOBAL PRODUCTION OF SILVER..

 

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

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

end

 

NPV for Sprott

1. Sprott silver fund (PSLV): NAV  FALLS TO- 2.67% ((SEPT 2/2020)

2. Sprott gold fund (PHYS): premium to NAV  RISES TO -0.60% to NAV:   (SEPT 2/2020 )

Note: Sprott silver trust back into NEGATIVE territory at +%-/Sprott physical gold trust is back into NEGATIVE/2.67%

(courtesy Sprott/GATA

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

NAV 20.51 TRADING 20.12///NEGATIVE 2.18

END

 

 

And now the Gold inventory at the GLD/

SEPT 2/WITH GOLD DOWN $34.00 TODAY, WE HAVE 2 SMALL CHANGES IN GOLD INVENTORY AT THE GLD: 2 WITHDRAWALS OF .87 TONNES AND.59 TONNES FROM THE GLD////INVENTORY RESTS AT 1250.04 TONNES

SEPT 1/WITH GOLD UP $7.10 TODAY, WE HAVE NO CHANGES IN GOLD INVENTORY AT THE GLD//INVENTORY RESTS AT 1251.50TONNES

AUGUST 31//WITH GOLD UP $5.90 TODAY/WE HAD NO CHANGES IN GOLD INVENTORY AT THE GLD..//INVENTORY RESTS AT 1251.50 TONNES/

AUGUST 28/WITH GOLD UP $38.20 TODAY, WE SURPRISINGLY HAD A .59 TONNE WITHDRAWAL//INVENTORY RESTS AT 1251.50 TONNES

AUGUST 27/WITH GOLD DOWN 17.50 TODAY: WE HAD A HUGE CHANGE IN GOLD INVENTORY AT THE GLD//A DEPOSIT OF 3.24 TONNES INTO THE GLD//INVENTORY REST AT 1252.09 TONNES

AUGUST 26/WITH GOLD UP $26.70  TODAY/  WE  HAD A HUGE CHANGE IN GOLD INVENTORY AT THE GLD: A WITHDRAWAL OF 3.53 TONNES FROM THE GLD//RESTS AT 1248.85 TONNES

AUGUST 25/WITH GOLD DOWN $14.60 TODAY, WE  HAD NO CHANGES IN GOLD INVENTORY AT THE GLD//RESTS AT 1252.38 TONNES

AUGUST 24//WITH GOLD DOWN $7.20 TODAY: WE HAD NO CHANGES IN GOLD INVENTORY AT THE GLD: /INVENTORY RESTS AT 1258.38 TONNES

AUGUST 21//WITH GOLD DOWN $.40 TODAY: WE HAD NO CHANGE IN GOLD INVENTORY AT THE GLD: /INVENTORY RESTS AT 1252.38 TONNES

AUGUST 20/WITH GOLD DOWN $23.45 TODAY: WE HAD NO CHANGES 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

SEPT 2/ GLD INVENTORY 1250.04 tonnes*

LAST;  894 TRADING DAYS:   +310.54 NET TONNES HAVE BEEN ADDED THE GLD

 

LAST 794 TRADING DAYS://+489.07  TONNES HAVE NOW BEEN ADDED INTO  THE GLD INVENTORY.

 

 

end

 

 

Now the SLV Inventory/

SEPT 2.WITH SILVER DOWN $1.04 TODAY: A HUGE CHANGES IN SILVER INVENTORY AT THE SLV: A WITHDRAWAL OF 2.365 MILLION OZ FROM THE SLV///INVENTORY REST AT 571.688 MILLION OZ.

SEPT 1//WITH SILVER UP 9 CENTS TODAY: NO CHANGES IN SILVER INVENTORY AT THE SLV//INVENTORY RESTS AT 574.053 MILLION OZ//

AUGUST 31/WITH SILVER UP 80 CENTS TODAY: A HUGE CHANGE IN THE SLV//A DEPOSIT OF 2.982 MILLION OZ ENTERS THE SLV/INVENTORY RESTS AT 574.053 MILLION OZ//

AUGUST 28/WITH SILVER UP 48 CENTS TODAY: A MASSIVE PAPER DEPOSIT OF 4.652 MILLION OZ ENTERS THE SLV//INVENTORY RESTS AT 571.071 MILLION OZ

AUGUST 27/WITH SILVER DOWN 28 CENTS  TODAY// NO CHANGES IN SILVER INVENTORY AT THE SLV//INVENTORY RESTS AT 566.419 MILLION OZ

AUGUST 26//WITH SILVER UP $1.04 TODAY: A HUGE CHANGE IN SILVER INVENTORY AT THE SLV: A WITHDRAWAL OF 4.65 MILLION OZ FROM THE SLV////INVENTORY RESTS AT 566.419 MILLION OZ..

AUGUST 25/WITH SILVER DOWN 21 CENTS: A HUGE CHANGE IN SILVER INVENTORY AT THE SLV: A WITHDRAWAL OF 2.607 MILLION OZ FROM THE SLV////INVENTORY RESTS AT 571.074 MILLION OZ//

AUGUST 24//WITH SILVER DOWN 18 CENTS TODAY: WE HAD A NO CHANGES//INVENTORY RESTS AT 573.843  MILLION OZ//

AUGUST 21//WITH SILVER DOWN 30 CENTS TODAY: WE HAD A HUGE CHANGE IN SILVER INVENTORY AT THE SLV//A DEPOSIT OF.838 MILLION OZ INTO THE SLV//INVENTORY RESTS AT 573.843 MILLION OZ..

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/

 

SEPT 2.2020:

SLV INVENTORY RESTS TONIGHT AT

571.688 MILLION OZ

 

 

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

 

 

ii) Important gold commentaries courtesy of GATA/Chris Powell

Somewhat better as the B. of E will publish gold holdings with a one month lag instead of 3.  It should be one day

(Reuters)

Bank of England to publish gold holdings data with one-month lag, not three

 Section: 

By Andy Bruce
Reuters
Tuesday, September 1, 2020

https://www.reuters.com/article/britain-boe-gold/bank-of-england-to-publ…

LONDON — The Bank of England said today it will publish data on gold holdings with a one-month lag to improve transparency.

“Alongside the London Bullion Market Association and other commercial vaults, the Bank of England will now publish gold holding data with a one-month lag,” the central bank said in a statement.

“The reduction from a three-month lag will increase transparency around gold holdings, in line with the Fair and Effective Market Review’s goal to increase transparency in the gold market

END

Our good friends over at Barrick not happy today as they lost a court battle over their big Papula New Guinea gold mine.  Buffett also not happy

(Toronto Star)

Barrick reports court loss as battle continues over Papua New Guinea gold mine

 Section: 

From the Canadian Press
via Toronto Star
Tuesday, September 1, 2020

TORONTO — Barrick Gold Corp. says it has suffered further setbacks in its fight with the national government over control of its Porgera Gold Mine in Papua New Guinea.

The operating company that represents the Toronto-based miner and its partners says it lost a court challenge in the country over rights to the gold mine and intends to appeal to the country’s supreme court.

… 

It adds it has confirmation from the prime minister that the government has granted a special mining lease for Porgera to Kumul Mineral Holdings Ltd., the national mining company.

 

… For the remainder of the report:

https://www.thestar.com/business/2020/09/01/barrick-reports-court-loss-a…

* * *

END

Craig Hemke over at Sprott is also catching on that EFP’s are being used less and less

(Craig Hemke/GATA)

Craig Hemke at Sprott Money: Comex (ab)use of gold EFPs has collapsed

 Section: 

8:40p ET Tuesday, September 1, 2020

Dear Friend of GATA and Gold:

Use of the strange “exchange for physicals” mechanism to settle gold futures contracts on the New York Commodities Exchange has diminished dramatically this year, the TF Metals Report’s Craig Hemke writes today at Sprott Money.

Hemke writes: “Bank EFP use is down by as much as 75 percent versus years past. This is significant, as it betrays both a lack of physical metal and a lack of counterparty confidence.

… 

“This also explains why the spread between spot gold and the front-month futures contract persists. When you lack confidence in your counterparty, what was once perceived as a risk-free arbitrage becomes something quite risky indeed.”

 

Hemke’s analysis is headlined “Comex EFP (Ab)use Has Collapsed” and it’s posted at Sprott Money here:

https://www.sprottmoney.com/blog/COMEX-EFP-AbUse-Has-Collapsed-Craig-Hem…

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

END

Stefan Gleason:

Now pension funds are looking to gold to avert disaster

(Stefan Gleason)

Stefan Gleason: Pension funds start looking to gold to avert disaster

 Section: 

By Stefan Gleason
Money Metals News Service, Eagle, Idaho
Tuesday, September 1, 2020

Public and private pension plans face a dual crisis.

The first and most obvious threat to pensioners is that defined-benefit vehicles are severely underfunded. By one estimate, pension systems taken as a whole are $638 billion in the red.

… 

Some are in better shape financially than others. But all pension plans will have to reckon with a second huge challenge going forward.

 

Namely, they are already entirely unable to meet their stated return objectives by owning conventional “safe” interest-bearing instruments such as Treasury bonds. …

How can pension funds obtain protection from this threat? They can own gold. …

… For the remainder of the commentary:

https://www.moneymetals.com/news/2020/09/01/pension-funds-look-to-gold-0…

iii) Other physical stories:

We brought this commentary to you yesterday but it is worth repeating

Jan Nieuenhuijs

 

Former Central Banker: “The World Is Heading Towards A New Monetary System That Incorporates Gold”

Submitted by Jan Nieuwenhuijs of Voima Gold

An interview with Pentti Pikkarainen—former Head of Banking Operations at the central bank of Finland—on the future of the international monetary system.

When it comes to the development of the price of gold, it’s important to know in what direction the international monetary system is evolving. For example, if gold is assigned a greater role in a forthcoming arrangement, not only will the price of gold rise while approaching that arrangement, the price increase will be sustained during that arrangement.

Introduction

According to my analysis the world is heading towards a new monetary system that incorporates gold, although I do not know how that system will be structured. To get a better perspective I decided to interview Pentti Pikkarainen, former Head of Banking Operations at the central bank of Finland, member of the Voima Gold Advisory Board, and Professor of Practice at the University of Oulu in Finland. Pikkarainen thinks we are moving towards a multi-reserve currency system. My interpretation of Pikkarainen’s view is that the dollar will lose its primacy status, and gold, the dollar, euro, yen, pound, renminbi, etc., will be competing each other.

When I thought about this system, I remembered an article I published last January: “Hitting Zero: 700 Years of Declining Global Real Interest Rates.” The article is about an academic study by Paul Schmelzing, who has shown that global real interest rates have been declining for eight centuries, and the trend line was nearly hitting zero in 2018. (Real interest rates are nominal interest rates minus inflation.) The data of the study is displayed in the chart below.

Noteworthy is that since 2018 nominal interest rates in advanced economies have declined, and the Federal Reserve—the most important central bank in the world—disclosed on August 27, 2020, that it will target higher inflation (above 2%). Other central banks will likely follow this policy.

Because of the massive debt overhang, it’s impossible for central banks to raise nominal interest rates. Real interest rates will thus continue to plummet, as the chart above suggests.

A huge factor that drives the gold price is real interest rates. See the chart below. U.S. real rates on 10-year government bonds are shown on the left axis (inversely), and the gold price on the right axis. The lower real rates, the higher the gold price.

Schmelzing was correct in predicting global real rates will continue to fall. He also wrote that real rates “could soon enter permanently negative territory.” In such a scenario gold will be an essential store of value for citizens, and a very popular reserve asset for central banks. Possibly, gold will be sun in a new monetary cosmos.

Having said that, let’s turn to the interview with Pikkarainen.

Heading Towards A Multi-Reserve Currency System

(JN is Jan Nieuwenhuijs, PP is Pentti Pikkarainen.)

JN: Do you think it was a mistake for Europe to launch the euro?

PP: It was a big mistake to start the euro area with a large number of countries. Moreover, the convergence criteria were not strictly applied. The euro was an experiment, and we should have been much more careful. We should have started with a small set of countries, like Germany, France, Austria, Belgium, the Netherlands and Luxembourg. The door should have been closed for other countries for at least 20 years. If the results of the experiment turned out positive, the door could have been opened slowly for new countries. That is, if strict criteria would allow it. The convergence criteria should also include more variables like GDP per capita.

JN: Was the euro launched to break dollar dominance?

PP: That argument is partly true. But, to challenge the dollar the development of the euro had to be a great success, which it is not.

JN: Do you think the current international monetary system is sustainable?

PP: No. I believe that we are moving towards a multi-reserve currency system in which gold, the dollar, the euro and other currencies take part. I am a great fan of the floating exchange rate regime. It usually works well for large and small economies. For many countries a too rigid exchange rate regime is a problem. There are exceptions, like Denmark.

JN: How should central bankers continue monetary policy to get out of the current debt overhang.

PP: The debt overhang is a serious issue. In many countries we need to have debt restructurings both in the private sector and public sector. Elevated inflation is also an option. These considerations are driving the price of gold and will determine gold’s position in a multi-reserve currency system.

Central bankers should take very seriously the risks related to loose monetary policy (like creating bubbles in asset markets, and eliminate incentives to conduct sound economic policies). When we get out of the current situation, we should “start a new regime” in central banking taking into account this aspect. Central banks should keep their main interest rates positive, i.e., higher than zero. Central banks should not go below one per cent. There is no reason to intervene in stock markets. Interventions in bond markets should be very exceptional.

JN: Do you think there is a risk of elevated consumer price inflation like in the 1970s?

PP: During the 1970s the factor behind elevated inflation was the high price of oil, which was translated in goods and services. I do not believe that the price of oil will be the driving factor of inflation during the forthcoming years. Many are concerned about the consequences of very loose monetary policy and the risk of debt monetization. Unfortunately, that risk cannot be excluded.

JN: Do you think it would be sensible or doable that gold would be officially reintroduced in the international monetary system?

PP: I think all “serious” central banks hold gold in their reserves. There is no need to give advice to good central bankers. They know what to do. Other central bankers will follow.

JN: Is the classic gold standard an option in your view?

PP: I do not believe that the classic gold standard is an option. The classic gold standard had many positive features but also some weaknesses.

JN: Do you think the SDR will play a bigger role in international economics going forward? What about international cooperation in general, through for example the IMF?

PP: The SDR reflects the value of a basket of currencies, but it’s not a currency itself. I think currencies of “strong” (large) countries, and gold, will be more successful.

The role of the IMF and the World Bank depend on the role of developing countries in the decision-making bodies of these institutions. We should get rid of the mandates of Europe (IMF) and USA (WB) leading these institutions. Simply, the best candidates should be elected. Europe dominates too much the decision making in the IMF. This is not good even for Europe. The role of developing countries should be enhanced clearly in the decision-making bodies of the IMF and the World Bank.

*  *  *

Stay up to date, subscribe to Voima Insight – click here

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 WEDNESDAY 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: 6.8260/ 

 

//OFFSHORE YUAN:  6.8269   /shanghai bourse CLOSED DOWN 5.60 POINTS OR 0.17%

HANG SANG CLOSED DOWN 64.76 POINTS OR 0.26%

 

2. Nikkei closed UP 109.08 POINTS OR 0.47%

 

 

 

 

3. Europe stocks OPENED ALL GREEN/

 

 

 

USA dollar index UP TO 92.70/Euro FALLS TO 1.1854

3b Japan 10 year bond yield: FALLS TO. +.045/ !!!!(Japan buying 100% of bond issuance)/Japanese yen vs usa cross now at 106.27/ 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:: 43.00 and Brent: 45.91

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

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

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

3h Oil 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 -.45%/Italian 10 yr bond yield DOWN to 0.97% /SPAIN 10 YR BOND YIELD DOWN TO 0.34%…ITALIAN 10 YR BOND YIELD/GERMAN BUND: 1.42: DANGEROUS FOR THE ITALIAN BANKING SYSTEM

3j Greek 10 year bond yield FALLS TO : 1.13

3k Gold at $1964.50 silver at: 16.13   7 am est) SILVER NEXT RESISTANCE LEVEL AT $18.50

3l USA vs Russian rouble; (Russian rouble DOWN 41/100 in roubles/dollar) 74.73

3m oil into the 43 dollar handle for WTI and 45 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 106.27 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 .9112 as the Swiss Franc is still rising against most currencies. Euro vs SF is 1.0803 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 0.45%

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 0.678% early this morning. Thirty year rate at 1.425%

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

6.  TURKISH LIRA:  UP  TO 7.3840..

Another Day, Another Record S&P High As Central Banks Fan Biggest Ever Bubble

When rigging and manipulating stocks or markets, one usually allows for the occasional down day to avoid the impression of too much artificiality. But when it comes to the S&P and certainly the Nasdaq, the market (just like its central bank sponsor) is not even thinking about thinking about a dip. And with both Clarida and Brainard repeating this week that no rate hikes are coming any time soon, if ever (see Japan), there is no reason for the party to stop until everything blows and millions of Robinhood Gen-Zers go postal when they lose everything with leverage.

Peter Chatwell, head of multi-asset at Mizuho International, said strong U.S. manufacturers data on Tuesday is combining with dovish commentary from officials including Lael Brainard at the Federal Reserve earlier this week to underpin risk assets. “The central bank easing theme has moved another notch higher,” he said.

But we digress. On Wednesday, S&P futures rose for the ninth time in past ten sessions, hitting a new all time high helped by a seemingly endless rally in tech stocks in general and Apple in particular, as focus turns to economic data that is likely to show a jump in private jobs in August.

The MSCI world equity index rose 0.2%, with Wall Street futures gauges pointed to gains of 0.7%, the ES last seen just around 3,550, up more than 60% from the March lows.

High-flying shares of technology companies, seen as resilient to the hit from the coronavirus outbreak, including Apple, Amazon, Intel, Facebook, AMD, Nvidia and Slack Technologies all rose between 1.3% and 2.4% in high volumes premarket.

While we have extensively discussed the gamma chase in dealer delta as the main reason behind the market meltup (with Bloomberg catching up yesterday), one separate reason why the momentum names keep soaring is because of idiocy like this from Bank of America, which one day after upgrading Apple on multiple expansion, raised its Tesla price target claiming that a higher stock price is bullish, so it expects an even higher stock price (no really, read the note).

Fuelling the market optimism were also bets that the world’s major economies were recovering from the damage caused by the coronavirus pandemic. Economic survey data over recent days has fuelled such expectations, buoying stocks and helping the dollar rise from two-year lows. On Tuesday, data showed that U.S. manufacturing activity sped to a nearly two-year high in August on a surge in new orders, its highest level since November 2018.

“The data in the U.S. is telling us that the recovery is on track, and this is good news,” said Alessia Berardi, senior economist at Amundi, adding there was a “disconnection” between economic fundamentals and market positioning. “It’s too early to say that we will shift the recovery to a much stronger acceleration, or a V-shaped recovery,” she said.

That said, in a melt up economic data is irrelevant, yet at 815am ET, we will get the latest ADP National Employment report which is expected to show private payrolls increased by 950,000 last month after a disappointing 167,000 rise in July. The report follows encouraging manufacturing sector surveys on Tuesday. As the COVID-19 pandemic rages on, signs that the recovery in the labor market was faltering has been a worry for investors. The official monthly jobs report from the BLS is due on Friday.

In Europe, the party was in full blast too, with the Stoxx Europe 600 Index headed for its biggest gain in almost a month, rising as much as 2% to session high, crossing above 200-day moving average. Chemicals, personal and household goods and technology led gains. Still, recovery from the euro zone’s deepest recession on record will take two years or more, according to a Reuters poll of economists last month, although investors spoke of cautious optimism. “We do need to focus on what the numbers are telling us,” said Gregory Perdon, co-chief investment officer at Arbuthnot Latham. “We are trying to cautiously embrace risk, without trying to be foolish about it.”

Earlier in the session, Asian stocks also gained, with MSCI’s broadest index of Asia-Pacific shares outside Japan rising 0.3%, led by communications and IT, after rising in the last session. Markets in the region were mixed, with Australia’s S&P/ASX 200 and South Korea’s Kospi Index rising, and Hong Kong’s Hang Seng Index and Singapore’s Straits Times Index falling. The Topix gained 0.5%, with Nippon Kinzoku and TYK rising the most. The Shanghai Composite Index retreated 0.2%, after the PBOC drained a whopping 180bn yuan in liquidity, with Changzhou Shenli Electrical Machine and JCET Group Co Ltd posting the biggest slides.

Things got a little weird in Australia where shares soared, on track to recoup Tuesday’s losses as investors brushed off a record gross domestic product slump and confirmation of the nation’s first recession in almost 30 years. As we reported last night, GDP for Aoril-June for plunged 7% compared with the first three months of the year, the largest fall in records dating back to 1959, the statistics bureau said in Sydney Wednesday. Once again: there is nothing as quite so good for stocks as bad news.

Also feeding the positive mood were signs that Washington was moving closer to offering some fiscal stimulus support to counter damage from the coronavirus. White House chief of staff Mark Meadows said on Tuesday that Republicans in the Senate were likely to take up a COVID-19 relief bill next week offering $500 billion in additional federal aid. The administration was still weighing help for U.S. airlines, he added. The fact that Pelosi poured cold water all over Meadows’ optimism was completely ignored by traders.

In FX, the dollar index added 0.4% at 92.612, rising on Tuesday from its lowest since April 2018 at 91.737. The euro and the pound both fell against the greenback, in a modest pullback from recent moves. The euro slid further below $1.20, a level it breached for the first time in over two years Tuesday, after the ECB’s Lane made it clear it won’t allow further gains in the currency. Ten-year bunds rose along with most of their sovereign peers, benefiting Germany, which took in 33 billion euros ($39 billion) of orders for its first green bonds. The pound also weakened against the greenback before BOE Governor Bailey addresses a parliamentary committee Wednesday afternoon. The Australian dollar fell after data showed that the nation fell into its first recession in almost three decades, with its GDP down 7% in the three months through June, more than the estimated 6% slump.

In rates, Treasuries fell, shortly before the ADP employment report may signal the pace of private-sector employment is picking up. Yields were cheaper by less than 2bp across the curve with 2s10s, 5s30s spreads steeper by 1.3bp and 0.9bp; 10-year yields around 0.685%, trailing bunds and gilts by more than 4bp. Core European debt outperformed despite Euro Stoxx 50 higher by 2.2% on the day; chemicals and technology shares are among the top gainers.

In commodities, oil rose towards $46 a barrel, gaining for a third day. Brent crude, the global benchmark, was up 1 cents at $45.68 a barrel.  Crytpos were inexplicably crushed earlier this morning, despite a clear bubble forming in absolutely every asset class.

Expected data include employment change and factory orders. Macy’s and CrowdStrike are among companies reporting earnings

Market Snapshot

  • S&P 500 futures up 0.6% to 3,548.50
  • STOXX Europe 600 up 1.8% to 371.84
  • MXAP up 0.3% to 174.19
  • MXAPJ up 0.3% to 578.14
  • Nikkei up 0.5% to 23,247.15
  • Topix up 0.5% to 1,623.40
  • Hang Seng Index down 0.3% to 25,120.09
  • Shanghai Composite down 0.2% to 3,404.80
  • Sensex up 0.05% to 38,918.98
  • Australia S&P/ASX 200 up 1.8% to 6,063.21
  • Kospi up 0.6% to 2,364.37
  • Brent futures up 0.1% to $45.64/bbl
  • Gold spot little changed at $1,969.91
  • U.S. Dollar Index up 0.3% to 92.63
  • German 10Y yield fell 3.4 bps to -0.454%
  • Euro down 0.4% to $1.1862
  • Italian 10Y yield fell 5.9 bps to 0.909%
  • Spanish 10Y yield fell 5.2 bps to 0.346%

Top Overnight News from Bloomberg

  • Germany got 30 billion euros ($36 billion) of orders for its first green bond sale as it aims to dominate the market for such debt by the end of the year
  • Coronavirus cases exceeded 25.7 million globally, and the number of deaths was above 857,000. U.S. top virus official Anthony Fauci said that a Covid-19 vaccine could be available earlier than expected if clinical trials produce overwhelmingly positive results
  • Switzerland’s financial regulator started enforcement proceedings against Credit Suisse over a spying scandal. The bank said it will continue to fully cooperate with the regulator

A quick look around global markets courtesy of NewsSquawk.com

Asian equity markets were mixed as the region partially sustained the momentum from the fresh record highs on Wall St where risk appetite was spurred once again by strength in big tech names and following better than expected ISM Manufacturing PMI data. ASX 200 (+1.8%) was positive with the advance led by materials as it found inspiration from the similar outperformance stateside and with AMP Capital front-running the largest-weighted financials sector after it announced to conduct a portfolio review amid heightened interest and enquiries regarding its assets and businesses. Nikkei 225 (+0.5%) remained afloat although upside was limited by a mixed currency and with heavy losses seen in Nippon Kayaku on news it will be replaced by SoftBank Corp in the index, while Hang Seng (-0.3%) and Shanghai Comp. (-0.2%) were pressured following another substantial PBoC liquidity drain and with underperformance seen in Hong Kong-listed casinos names which suffered from dismal Macau gaming revenue and with notable weakness in financials. 10yr JGBs were rangebound with price action hampered amid the gains in riskier Japanese assets but with downside also limited by the BoJ’s presence in the market for a total JPY 890bln of JGBs with 1-5yr and 10-25yr JGBs.

Top Asian News

  • Japan Premier’s Aide Suga Announces Bid to Replace Outgoing Abe
  • Turkey Slams U.S. Decision to Ease Its Arms Embargo on Cyprus
  • China’s Vow to Keep Schools ‘Public Good’ Slams Education Stocks
  • Singapore Can’t Sustain Emergency Measures Forever, PM Says

European stocks continue grinding higher, with solid gains thus far (Euro Stoxx 50 +2.3%) in spite of a relatively mixed APAC performance, with news flow also on the light side ahead of the US market entrance and a slew of notable Central Bank speakers. Broad-based gains are seen across the bourses with no clear out/underperformers. Sectors reside firmly in the green across the board but lack a clear risk bias; Banks, Insurance and Oil & Gas stand as the laggards, amid a low-yield environment and as energy prices recede. In terms of individual movers and shakers, earnings see the likes of Barratt Developments (+6.9%) underpinned as forwards sales improved alongside a future dividend policy based on a dividend cover of 2.5x. Credit Suisse (+0.9%), although firmer, underperforms the wider markets as Swiss regulators have commenced enforcement proceedings against the Co. Elsewhere ITV (+3.2%) has brushed off its relegation from the FTSE 100, whilst the Euro Stoxx 50 shake-up sees Adyen (+1.8%), Prosus (+1.2%), Vonovia (+2.5%), Pernod Ricard (+3.2%) and Kone (+1.3%) replacing SocGen (-0.2%), Fresenius (+1.8%), Orange (+1.3%), Telefonica (+0.3%) and BBVA (-0.6%). Finally, Novartis (+2.1%) is buoyed after announcing that it is to launch its SARS-CoV-2 rapid antigen test in countries accepting the CE mark.

Top European News

  • Euro Surge Is ECB’s Newest Complication for Pandemic Economy
  • Sunak Has 60 Billion Problems, But Taxes Aren’t One of Them
  • Vallourec Slumps as French Pipe Maker Pursues Debt Restructuring
  • Bulgarian Protesters Renew Pressure as Premier Seeks Support

In FX, it may well be too premature to suggest that the rot has stopped, but the Buck is bouncing further from Tuesday’s 2020 low (91.737) and seemingly gleaning more traction from the US manufacturing ISM, with considerable assistance via independent weakness in rival currencies. Tests and ultimate rejections of big figure and psychological levels in several Dollar/major pairs have also contributed to the revival, as the DXY reclaims 92.500+ status ahead of ADP, factory orders and more Fed speak, with Williams and Mester scheduled to orate.

  • CHF/EUR/AUD – The Franc has lost more ground vs the Greenback and Euro to sub-0.9100 and 1.0850 at one stage respectively in wake of verbal intervention from SNB’s Maechler yesterday that could be deemed a warning of something official at the upcoming September quarterly policy meeting, while the single currency has pulled back through 1.1900 after its short-lived foray above barriers at 1.2000 amidst weak Eurozone data and dovish/downbeat ECB commentary. However, Eur/Usd may yet find support around 1.1850 and be drawn towards decent option expiry interest at 1.1875 (1 bn). In similar vein, the Aussie has been undermined Q2 GDP missing consensus and suffering a record q/q contraction, thereby condemning the country to its first technical recession in over a quarter of a century. In response, Aud/Usd has fallen below 0.7350 from 0.7400+ and Treasury Minister Frydenberg fears that Victoria’s lockdown will be a big drag for the current quarter resulting in slightly negative ‘growth’ or stagnation at best.
  • GBP/JPY – Also making way for the broad Buck renaissance, as Cable recoils from lofty 1.3480+ peaks to the low 1.3300 area awaiting a blast from the BoE and a Brexit ‘progress’ report via EU chief negotiator Barnier, while the Yen is back under 106.00 amidst a pronounced upturn in risk sentiment, dovish rhetoric from the BoJ and LDP leadership challengers.
  • NZD/CAD – The Kiwi is holding up relatively well courtesy of strong NZ terms of trade and the absence of any direct currency remarks from RBNZ Governor Orr, with Nzd/Usd revisiting the upper end of the recent range (just shy of 0.6700) and Aud/Nzd reversing from 1.0900+ to sub-1.0850 before consolidating circa 1.0860 in the run up to Australian trade data on Thursday. Elsewhere, the Loonie is sitting tight between 1.3084-53 parameters before Canadian labour productivity, trade tomorrow and the next NA jobs report head to head the following day.
  • SCANDI/EM – The Swedish and Norwegian Krona are back on upward trajectories on the back of buoyant, if not exuberant risk appetite, as Eur/Sek eyes 10.2900 and Eur/Nok hovers around 10.4000 irrespective of Norway’s Q2 current account surplus shrinking by more than 1/3rd, but perhaps taking heed of Norges Bank Deputy Governor Bache downplaying the prospect of lower rates in contrast to pretty standard and neutral comments from Riksbank’s Jansson. Conversely, most EM currencies are conceding ground due to the Dollar’s impressive comeback (DXY up to 92.685 at best for reference), aside from the Renminbi that remains resilient following another bullish PBoC midpoint Cny fix.

In commodities, WTI and Brent front month futures have given up earlier gains despite a distinct lack of complex-specific news flow during early European hours, and after the benchmarks were underpinned overnight by the larger-than-forecast draw in Private Inventory stockpiles (-6.4mln barrels vs. Exp. -1.9mln). Traders will be on the look-out for confirmation from the EIA release later today forecasting a headline crude draw of 1.887mln barrels. Before that, some short term USD/sentiment-induced action may arise from the ADP National Employment release ahead of Friday’s US jobs figures. WTI Oct resides around USD 43/bbl (vs. high 43.21/bbl) and Brent Nov lost its USD 46/bbl status (vs. high USD 46.05/bbl). Elsewhere, precious metals have been slightly subdued predominately due to a modest revival in the Dollar. Spot gold hovers within a tight range in European trade, around the USD 1965/oz mark having notched a current range of USD 1956-73/oz. Similarly, spot silver remains caged on either side of USD 28/oz. In terms of base metals, copper prices pulled back amid a firmer Buck and following a downbeat performance in Chinese stocks markets. Conversely, Dalian iron ore futures touched a two-week high on a robust steel demand outlook and improving global economic activity.

US Event Calendar

  • 8:15am: U.S. ADP Employment Change, Aug., est. 1000k, prior 167k
  • 10am: U.S. Durable Goods Orders, July F, est. 11.2%, prior 11.2%
  • 10am: U.S. Factory Orders, July, est. 6.0%, prior 6.2%; -Less Transportation, July F, est. 2.4%, prior 2.4%
  • 10am: U.S. Cap Goods Orders Nondef Ex Air, July F, est. 1.9%, prior 1.9%; Cap Goods Ship Nondef Ex Air, July F, no est., prior 2.4%

DB’s Jim Reid concludes the overnight wrap

It was Groundhog Day in US equities last night as equities hit fresh highs and with tech again outperforming. The S&P 500 (+0.75%) and the NASDAQ (+1.39%) fresh peaks came as Europe comparatively struggled with the STOXX 600 down -0.35%. That said, UK equities dragged the index down, with the FTSE 100 falling -1.70% as it caught down from Monday’s holiday. The DAX did close +0.22%. Over in the fixed income sphere, sovereign bonds rallied on both sides of the Atlantic, with yields on 10yr Treasuries (-3.6bps) and bunds (-2.3bps) both falling back. Italian BTPs outperformed in particular, with yields down -5.9bps.

Asian markets are trading mixed this morning with the Asx (+1.94%) and Nikkei (+0.23%) up while the Hang Seng (-0.55%), Shanghai Comp (-0.39%) and Kospi (-0.15%) are down. In FX, the Indonesia rupiah is down -1.35% after the country’s lawmakers announced a draft bill to extend the government’s authority over the central bank under which a five-member monetary board, led by the finance minister, will be setup to help Bank Indonesia determine policy. President Joko Widodo’s comments that the authorities may enlist Bank Indonesia’s help in financing the deficit through 2022 are also weighing on the currency. Although this bill may get watered down through the legislative process, I can’t help think this is the direction of travel around the world over the next few years as governments try to finance their ever increasing debt.

Talking of debt, yields on 10y UST are back up +1.6bps this morning to 0.686% while futures on the S&P 500 are up +0.29%. In terms of data, Australia fell into its first recession since 1991 after its GDP in the quarter ending June fell by -7% qoq (vs. -6% qoq expected).

Back to yesterday and a major milestone was reached in markets as the EUR/USD exchange rate briefly broke through the $1.20 barrier for the first time since May 2018, even though it fell back to $1.191 by the end of the session and is alsoa touch lower this morning at $1.1903. The move lower came as the ECB chief economist Philip Lane said in an online conference that “The euro-dollar rate does matter,” and added that “If there are forces moving the euro-dollar rate around, that feeds into our global and European forecasts and that in turn does feed into our monetary policy setting.” The reversal also came shortly after the stronger than expected manufacturing US ISMs contrasting with the relatively softer European numbers, which also coincides with recent virus trends. This aligns with what our FX strategists had already written a couple of weeks back; there are multiple factors making further EUR/USD gains from here more difficult. Positioning is more extended now, and the fundamentals in Europe don’t look as good now with the virus accelerating once again. So they think consolidation around this level is the most likely outcome moving forward.

Lane’s comments were the first from an ECB member to dwell on the currency in recent times. In fact, during Sunday’s Reuters interview with Executive Board member Schnabel, she discussed dollar depreciation as a positive effect of increased global confidence, as well as the fact that there’s more confidence in Euro Area stability since the agreement on an EU recovery fund. The issue of Euro appreciation was also mentioned in the July ECB minutes, though again this was in the context of tail risks being removed and the relatively successful virus containment seen in Europe.

What will be of concern to the ECB however was the flash Euro Area CPI print yesterday, which came in at a deflationary -0.2%. That’s the first negative reading since May 2016, and was beneath expectations for a +0.2% print. Furthermore, the core inflation reading fell to +0.4%, which was its lowest level since the formation of the single currency back in 1999, so it’s not as though this can just be explained thanks to volatile components. It’s true to say that energy continued to drive much of the decline, with deflation of -7.8%, but even the CPI ex energy was only at +0.7%, suggesting that price pressures in the Euro Area continue to remain weak.

In terms of the latest on the coronavirus, Russia became the 4th country to report over a million cases yesterday, joining the US, India and Brazil who’ve also reached that point. Meanwhile in New York City, Mayor de Blasio said that an agreement had been reached with teachers’ unions on delaying the start of the school year, which will now be on September 21, rather than September 10. Elsewhere, Texas Governor Abbott signaled that he may lift restrictions as soon as next week with infection rates falling across the state. Sweden on the other hand may implement stricter local level restriction such as work-from-home instructions and online learning in specific communities that see outbreaks, but the government remains committed to its strategy of limited mobility restrictions.

Speaking of the coronavirus, yesterday’s Chart of the Day (full link here) looked at the possibility of a second covid wave, amidst rising case numbers in a number of countries. Nevertheless, in terms of fatalities and hospitalisations, things are looking much more positive, since among other factors, it is younger and less vulnerable people who’ve been catching the virus more recently. While this lower fatality rate is good news, this could confuse the response strategy, since while case numbers remain elevated the numbers of hospitalisations have (thus far) remained low. The question will be whether policymakers fight the battle of the first wave as cases rise or whether they learn to adapt to this new world. Either way, vaccine developments will be key and we’ll have a note out hopefully today summarising the current state of play.

Without a vaccine the outlook for the global economy is murky and may require greater accommodation. Last night markets heard from Fed Governor Brainard, who called for continuing support from both fiscal and monetary policy makers. On monetary policy, she noted that it was important that the central bank should “pivot from stabilization to accommodation.” She joined other recent Fed speakers calling on more action from Congress, saying that, “while the virus remains the most important factor, the magnitude and timing of further fiscal support is a key factor for the outlook.”

Governor Brainard’s comments came as the US House Select Subcommittee on the Coronavirus Crisis held a hearing with Treasury secretary Mnuchin, where he said that the US economy needed additional stimulus urgently. He called Speaker Pelosi following the meeting in an attempt to try and restart negotiations and has indicated that President Trump is fully supportive of additional relief. White House Chief of Staff earlier confirmed reports that Senate Republicans are readying a $500bn relief package that could be voted on next week, even as Speaker Pelosi has previously rejected smaller interim steps. With the US election under just over 2 months away this could well be the last legislative battle before ballots are cast and a lack of stimulus could result in softer data in the upcoming months.

Looking at yesterday’s data, the main highlight came from the manufacturing PMIs, which saw a varied performance across the world. In the Euro Area, where we’d already had a flash reading, it was left unrevised at 51.7, while Germany saw a slight downward revision to 52.2 (vs. 53.0 previously). In Italy, where there hadn’t been a flash PMI, the 53.1 reading exceeded expectations, but in Spain, the PMI fell back to 49.9, from July’s 53.5, so below the 50-mark that separates expansion from contraction. Over in the US meanwhile, the ISM manufacturing indicator rose to 56.0 in August (vs. 54.2 expected), and marks the strongest reading since November 2018. Looking ahead, the services PMIs tomorrow will be of more interest given their greater weight in the economy, as well as the link to mobility and Covid infections.

To the day ahead now, and the data highlights include German retail sales and US factory orders for July, along with the ADP employment report from the US for August. There are also an array of central bank speakers, including Bank of England Governor Bailey and MPC members Ramsden and Vlieghe before the House of Commons Treasury select committee, along with Broadbent and Haldane at a separate event. Otherwise, we’ll hear from Bundesbank President Weidmann, the Fed’s Williams, Mester and Daly, and the Fed will be releasing their Beige Book.

end

3A/ASIAN AFFAIRS

i)WEDNESDAY MORNING/ TUESDAY NIGHT: 

SHANGHAI CLOSED DOWN 5.60 POINTS OR 0.17%  //Hang Sang CLOSED DOWN 64.76 POINTS OR 0.26%   /The Nikkei closed UP 109.08 POINTS OR 0.47%//Australia’s all ordinaires CLOSED UP 1.77%

/Chinese yuan (ONSHORE) closed UP  at 6.8260 /Oil UP TO 43.00 dollars per barrel for WTI and 45.91 for Brent. Stocks in Europe OPENED GREEN//  ONSHORE YUAN CLOSED UP // LAST AT 6.8260 AGAINST THE DOLLAR. OFFSHORE YUAN CLOSED UP ON THE DOLLAR AT 6.8269 TRADE TALKS STALL////TRUMP INITIATES A NEW 25% TARIFFS FRIDAY/MAY 10/MAJOR PROBLEMS AT HUAWEI /CFO ARRESTED/CORONAVIRUS PANDEMIC  : /ONSHORE YUAN TRADING ABOVE LEVEL OF OFFSHORE YUAN/ONSHORE YUAN TRADING STRONGER AGAINST USA DOLLAR/OFFSHORE YUAN TRADING STRONGER AGAINST THE DOLLAR /TRADE DEAL NOW DEAD..TRUMP  RAISED RATES TO 25%

 

 

3 a./NORTH KOREA/ SOUTH KOREA

South Korea

 

b) REPORT ON JAPAN

 

3 C CHINA

CHINA VS USA

USA correctly is seeking to curb their reliance on rare earths. USA production is good on this matter but at much higher costs

(zerohedge)

Bipartisan Bill Seeks To Curb US Reliance On China For Rare Earths

Ever since the first shots were fired in the US-China trade/tech/cold war in 2016, Beijing has frequently threatened to use its strategic position as the world’s pre-eminent supplier of rare earth metals – a group of 17 elements used in everything from sophisticated weapons to cell phones to wind turbines to electric cars – as potential leverage which it could wield in response to any perceived foreign (read US) aggression, even if it has so far refused to use this particular trump card. And with Sino-US relations deteriorating by the day, pushing China ever closer to the day it may in fact ban rare earth exports to the US, US House lawmakers are now taking advance measures for when that day finally comes, and have introduced a bipartisan bill aimed at seeking to curb US dependence on China for rare earths.

 

Rare earth elements are described as the ‘vitamins of chemistry’ — producing powerful effects in small doses

The legislation was co-authored by Republican Lance Gooden and Democrat Vicente Gonzalez, both of Texas, and is similar to that introduced in May by Senator Ted Cruz. Republicans Will Hurd, Roger Williams, Pete Olson and Randy Weber, as well as Democrat Henry Cuellar, are co-sponsors of the bill. All are Texas representatives. The measure would give tax incentives for companies involved in the mining, reclaiming and recycling of critical minerals and metals from deposits in the US, Bloomberg reported.

The bill is also part of a recent push in Congress to shift supply chains, especially in sectors viewed as critical for national defense, away from China and back toward the US; predictably, the effort has drawn broad support from domestic rare-earth companies which anticipate a major financial windfall should the bill pass.

“The tax incentive seeks to level the playing field with regard to the subsidies China provides from mine to magnet,” Pini Althaus, chief executive officer of USA Rare Earth, which is developing the Round Top Mountain deposit in Texas, said in a phone interview. “It would significantly improve the bottom line of any domestic rare earth project.”

Althaus also said the House measure which China would surely claim is a subsidy prohibited by the WTO, reduces the potential for China to dissuade investment in U.S.-based rare earth projects and supply chains, because those businesses will be better able to compete.

Last year, amid mounting concerns China would limit shipments of rare earths as the trade war escalated, Trump ordered the Defense Department to spur production of rare-earth magnets.

END

4/EUROPEAN AFFAIRS

 

5. RUSSIAN AND MIDDLE EASTERN AFFAIRS

 

6.Global Issues

CORONAVIRUS UPDATE CHINA/GLOBE

China Mulls Joining WHO Vaccine Program Abandoned By US; Midwestern Outbreaks Intensify: Live Update

Summary:

  • Midwest outbreak worsening
  • China mulls joining WHO vaccine program as US pulls out
  • California outbreak moves to central valley
  • India outbreak still on track to outpace US, Brazil
  • Global cases near 26 million

* * *

At least twice over the past week, we have warned about the startling acceleration in new cases from four (GOP-controlled) states: Iowa, North Dakota, South Dakota and Alabama. As the number of new cases continues to decline across the Sun Belt (although, as Bloomberg reminded us Wednesday, a new outbreak is emerging in California’s central valley now that SoCal’s outbreak has quieted down), Wall Street and some of America’s top public health officials – including CDC chief Dr. Robert Redfield – have been heralding this declining trend in cases and hospitalizations as a sign that the US might finally be moving past the outbreak.

Decisions by governors in Texas and Maryland to move into the next phase of reopening, allowing more businesses to re-open, suggest a high degree of official confidence in the declining trend, even as experts like Dr. Fauci seize every opportunity to warn about the risks of another wave emerging in the fall, as falling temperatures force more Americans inside.

This chart, shared by a team of Bank of America analysts, sums up the situation in the Midwest.

Outside of the US, the most important trend internationally is what’s happening with India. As officials move to test practically the entire population of India’s biggest cities, which have also emerged as the country’s most virulent hotspots, the country has persistently reported just under 80k new cases per day. India has broken the record for most cases reported in a single day for any country on earth at least twice over the past week.

As the world’s second-most-populous country moves ahead with reopening its schools and economy, experts warn that India will soon likely surpass both the US and Brazil as the world’s worst-hit hotspot.

India registered 78,357 new coronavirus cases in the past 24 hours, pushing its total north of 3.7 million as the government eases pandemic restrictions nationwide to help revive its battered economy.

In other major news on Wednesday, China has reportedly hinted that it might move to pick up some of the slack left by the US in a WHO-led global vaccine program that the White House recently withdrew from. As the US leaves behind the COVID-19 Vaccines Global Access Facility – or COVAX, a global effort to develop and distribute a vaccine being led by the WHO – China looks to be using the program as the vessel for it to keep its promise to supply the developing world with badly needed vaccines.

Per Bloomberg, China’s Foreign Ministry spokeswoman Hua Chunying said that “China’s purpose is highly consistent with Covax’s aim” and that Beijing is in close contact with the people in charge of COVAX. Showering Southeast Asia, Latin America, Africa and other poorer countries with billions of doses of various vaccines would be a major coup in China’s struggle to outflank the US in terms of geopolitical influence.

The latest numbers from Johns Hopkins University show more than 25.7 million people have been diagnosed worldwide, while 857,015 have died. More than 17 million people have recovered. News was mostly slow, as we await the latest batch of numbers out of the US. Though Japan is reportedly considering universal vaccinations in caretaker PM Shinzo Abe’s hope to knock out the virus quickly with a vaccine. South Korea and Singapore have also agreed to ease some travel restrictions.

end
the science is still the same:  dexamethasone will work on the COVID 19 after it reaches the mid section to lower lungs.  HCQ must be used once the COVID enters the nasal passages
(zerohedge)

“It’s A Game-Changer” – New WHO-Backed Research Finds Cheap Steroids Reduce COVID-19 Mortality By One-Third

For the last 2 months, we’ve been wondering: whatever happened to that British study purporting to show surprising efficacy of cheap steroid dexamethasone in treating COVID-19?

While we suspected that drug companies working on vaccines and fancy new treatments (see Gilead’s questionably effective remdesivir) might secretly be working to undermine this type of research for fear it might interfere with “innovation” their bottom lines, on Wednesday, a group of doctors brought together by the WHO published a report analyzing several studies on the effectiveness of steroids in treating late-stage COVID-19.

The studies, which involved a total of 1,700 patients, apparently show that a number of cheap, plentiful corticosteroids (anti-inflammatory drugs that can damp the effects of an overactive immune system) helped lower COVID-19-related mortality by roughly one-third, compared with the ‘control’ group that didn’t receive the medication.

The paper published by JAMA featured a meta-analysis performed by the group of scientists and doctors encompassing seven studies done between February and June. All the studies evaluated the use of the commonly used steroid drugs dexamethasone, hydrocortisone and methylprednisolone. The study found relatively consistent benefits for using the drugs in severely ill patients: Of 678 severely ill patients who received steroids, 32.7% died, compared with 41.5% of patients receiving either the usual care, or a placebo (depending on the study).

The doctors called the data an “unambiguous win” and said it might lead to these types of drugs becoming part of the “standard treatment” of COVID-19.

“This to me feels like one of the first unambiguous wins in trying to combat Covid-19,” said Derek C. Angus, a distinguished professor of critical-care medicine at the University of Pittsburgh and one of the leaders and authors of the meta-analysis. Angus spoke during an interview with  WSJ.

Dr. Angus, one of the doctors who helmed the study, said that the results are particularly encouraging because of the consistency seen across different types of steroids used for treatments. This, the doctor said, should lead to widespread acceptance of steroids as treatment for COVID-19.

There is one important caveat: The steroids only show meaningful results in “only the sickest” of patients hospitalized with COVID-19. So far, no drugs have proven effective at combating early-stage outbreaks (except some studies on hydroxychloroquine, but we won’t get into that). Still, that should mean it could be effective at reducing the mortality rate from the disease.

The steroids appear to work by dampening a hyperactive immune response that is thought to be a major cause of death. Though researchers claimed it’s still too early to know for certain how it works, this so-called “cytokine storm” has been a major topic of mystery and discussion among researchers and doctors. Researchers who published this latest study claimed this explanation is “too simplistic”, since other aspects of the immune response are also at work, and partly responsible.

“It’s almost death by friendly fire…You end up causing more trouble with your own immune system than the virus itself,” the study said.

This meta-study, along with the latest approval of a rapid, cheap COVID-19 test (this one made by Roche), is the latest development that bolsters the White House’s push to reopen the economy and get children back in the classroom – efforts that some Democrats have denounced as ploys intended to get Trump reelected no matter the cost in terms of lives.

But keeping children out of school and people out of the workforce has created many serious, even deadly, problems of its own.

 

7. OIL ISSUES

 

8 EMERGING MARKET ISSUES

 

 

 

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

Euro/USA 1.1854 DOWN .0068 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 /GREEN

 

 

USA/JAPAN YEN 106275 UP 0.374 (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 1.3341   DOWN   0.0058  (Brexit March 29/ 2019/ARTICLE 50 SIGNED/BREXIT FEES WILL BE CAPPED/

 

USA/CAN 1.3065 UP .0011 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  WEDNESDAY morning in Europe, the Euro FELL BY 68 basis points, trading now ABOVE the important 1.08 level FALLING to 1.1854 Last night Shanghai COMPOSITE CLOSED DOWN 5.60 POINTS OR 0.17% 

 

//Hang Sang CLOSED DOWN 64.76 POINTS OR 0.26%

/AUSTRALIA CLOSED UP 1.77%// EUROPEAN BOURSES ALL GREEN

 

Trading from Europe and Asia

EUROPEAN BOURSES ALL GREEN 

 

 

2/ CHINESE BOURSES / :Hang Sang CLOSED DOWN 64.76 POINTS OR 0.26%

 

 

/SHANGHAI CLOSED DOWN 5.60 POINTS OR 0.17%

 

Australia BOURSE CLOSED UP 1.77% 

 

 

Nikkei (Japan) CLOSED UP 109.08  POINTS OR 0.47%

 

 

 

INDIA’S SENSEX  IN THE GREEN

Gold very early morning trading: 1959.10

silver:$27.61-

Early WEDNESDAY morning USA 10 year bond yield: 0.678% !!! UP 0 IN POINTS from TUESDAY’S night in basis points and it is trading WELL BELOW resistance at 2.27-2.32%.

 

The 30 yr bond yield 1.425 UP 0  IN BASIS POINTS from TUESDAY night.

USA dollar index early WEDNESDAY morning: 92.70 UP 37 CENT(S) from  TUESDAY’s close.

This ends early morning numbers WEDNESDAY MORNING

xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx6

And now your closing  WEDNESDAY NUMBERS \1: 00 PM

Portuguese 10 year bond yield: 0.35% DOWN 1 in basis point(s) yield from YESTERDAY/

JAPANESE BOND YIELD: +045%  DOWN 1   BASIS POINTS from YESTERDAY/JAPAN losing control of its yield curve/56

SPANISH 10 YR BOND YIELD: 0.33%//DOWN 2 in basis point yield from yesterday.

ITALIAN 10 YR BOND YIELD: 0.97 DOWN 8 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 –.47% IN BASIS POINTS ON THE DAY//

THE IMPORTANT SPREAD BETWEEN ITALIAN 10 YR BOND AND GERMAN 10 YEAR BOND IS 1.44% 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 WEDNESDAY

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

Euro/USA 1.1836  DOWN     .00087 or 87 basis points

USA/Japan: 106.12 UP .221 OR YEN  DOWN 22  basis points/

Great Britain/USA 1.3306 DOWN .0094 POUND DOWN 94  BASIS POINTS)

Canadian dollar DOWN 9 basis points to 1.3065

 

xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx

 

The USA/Yuan,CNY: AT 6.8800    ON SHORE  (DOWN)..GETTING DANGEROUS

THE USA/YUAN OFFSHORE:  6.8872  (YUAN DOWN)..GETTING REALLY DANGEROUS

TURKISH LIRA:  5.6842 EXTREMELY DANGEROUS LEVEL/DEATH WISH.

the 10 yr Japanese bond yield closed at -.13%

 

Your closing 10 yr US bond yield UP 1 IN basis points from TUESDAY at 2.06 % //trading well ABOVE the resistance level of 2.27-2.32%) very problematic USA 30 yr bond yield: 2.59 UP 3 in basis points on the day

Your closing USA dollar index, 97.15 UP 81  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 WEDNESDAY: 12:00 PM

London: CLOSED UP 78.90  1.35%

German Dax :  CLOSED UP 269.18 POINTS OR 2.07%

 

Paris Cac CLOSED UP 93.64 POINTS 1.90%

Spain IBEX CLOSED UP 40.00 POINTS or 0.57%

Italian MIB: CLOSED UP 263.19 POINTS OR 1.34%

 

 

 

 

 

WTI Oil price; 54.92 12:00  PM  EST

Brent Oil: 61.83 12:00 EST

USA /RUSSIAN /   RUBLE RISES:    63.05  THE CROSS HIGHER BY 0.15 RUBLES/DOLLAR (RUBLE LOWER BY 15 BASIS PTS)

 

TODAY THE GERMAN YIELD FALLS  TO –.24 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 :  41.56//

 

 

BRENT :  44.36

USA 10 YR BOND YIELD: … 0.644…down 3 basis points

 

 

 

USA 30 YR BOND YIELD: 1.381. down 4 basis points.

 

 

 

 

 

EURO/USA 1.1852 ( DOWN 70   BASIS POINTS)

USA/JAPANESE YEN:106.18 UP .291 (YEN DOWN 29 BASIS POINTS/..

 

 

USA DOLLAR INDEX: 92.65 UP 81 cent(s)/

The British pound at 4 pm   Britain Pound/USA:1.3041 DOWN 46  POINTS

 

the Turkish lira close: 7.390

 

 

the Russian rouble 75.32   DOWN 1.00 Roubles against the uSA dollar.( DOWN 100 BASIS POINTS)

Canadian dollar:  1.3041 DOWN 14 BASIS pts

 

German 10 yr bond yield at 5 pm: ,-0.47%

 

The Dow closed UP 454.84 POINTS OR 1.59%

 

NASDAQ closed UP 116.78 POINTS OR 0.98%

 


VOLATILITY INDEX:  26.51 CLOSED UP .45

LIBOR 3 MONTH DURATION: 0.251%//libor dropping like a stone

 

USA trading today in Graph Form

S&P Reaches Critical Resistance, Valuation At Record High As Liquidity Crashes

The S&P 500’s P/E multiple just broke above the all-time highs from the dotcom bubble…

Source: Bloomberg

As the S&P 500 reaches a critical resistance level…

Source: Bloomberg

And the record surge higher in stocks is occurring as liquidity crashes to record lows…

Source: Bloomberg

Nasdaq from +1.3% to -1% to +1.0% – Composite broke above 12,000 today. The Dow and S&P massively outperformed today with a massive panic-bid all afternoon…

“Party On Dudes!”

AAPL was down $170BN today, more than an ‘Exxon’…

TSLA tanked for the second day in a row…

After the carmaker became more valuable than 18 other automakers in the U.S., western Europe and Japan combined…

Source: Bloomberg

Bonds were mixed today with the long-end bid and shorter-end (out to 5Y) flat, but this has erased the entire post-Powell “inflation is coming, inflation is coming” speech spike in yields…

Source: Bloomberg

So much for the end of the bond bull market…

Source: Bloomberg

The dollar rallied today, extending yesterday afternoon’s surge…

Source: Bloomberg

The Ruble tumbled after German claims that “worst military grade nerve agent ever” was used to poison Navalny…

Source: Bloomberg

Bitcoin was rejected at $12k again…

Source: Bloomberg

And Ethereum could not quite make it to $500…

Source: Bloomberg

Oil plunged today rejected at $43 once again (on Russia production and Nalvany headlines)…

Dollar’s gains took the shine off gold today…

Real yields continue to suggest gold goes higher…

Source: Bloomberg

Silver futures too, having tagged $29…

Finally, uncertainty around the forthcoming election has never been so extremely priced into vol markets. With betting markets now seeing Trump back in the lead over Biden…

Source: RCP

The volatility curve is pricing is massive relative and sudden risk around the election period…

Source: Bloomberg

As Bloomberg macro strategist Cameron Crise notes, “in the history of the VIX futures contracts, we’ve never had an event risk command this sort of premium into forward-dated vol at a specific tenor.”

“That obviously suggests that markets anticipate some pretty incredible fireworks.”

The spread between October and November VIX futures is also wide at about -1.7 instead of about 0.2, which history suggests it should be based on the level of the spot VIX, according to Crise. Of course, none of this vol disturbance has held back stocks.

Source: Bloomberg

Today’s all-time-high in the S&P 500 was accompanied by the highest level ever for VIX at an all-time high stock print…

Source: Bloomberg

But we give the last words to Liberty Blitzkrieg’s Mike Krieger:

“Today is one of the most bizarre days in the stock market I can remember and that’s saying a lot…”

We’d say that about sums things up in general everyday!

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

ADP

The normally bullish ADP report shows employment dramatically misses expectations in August.  Job gains are minimal…exactly what we have described to you

 

(ZEROHEDGE)

“Job Gains Are Minimal” – ADP Employment Dramatically Misses Expectations In August

Ahead of this Friday’s payroll print, ADP was expected to report a sizable 1 million person improvement in employment in August (a resurgence from the disappointing +167k print in July), but it significantly missed those expectations with a rise of “only” 428k

Source: Bloomberg

Despite soaring ISM manufacturing employment data…

Source: Bloomberg

Manufacturing jobs barely budged…

Source: Bloomberg

The biggest job gains went to minimum-wage sectors:

“The August job postings demonstrate a slow recovery,” said Ahu Yildirmaz, vice president and co-head of the ADP Research Institute.

“Job gains are minimal, and businesses across all sizes and sectors have yet to come close to their pre-COVID-19 employment levels.”

And only big firms (government-enabled through direct bailouts of Fed-enabled repression to offer low-cost capital market funding) are hiring… (with small businesses struggling since PPP seemed to fail to spark with the renaissance it was meant to)…

Finally, we note that ADP has massively ‘underperformed’ relative to the official payrolls data in the last two months (after strongly ‘outperforming’ in the three months prior)…

Source: Bloomberg

Today’s 428k gain is about a third of what economists expect from BLS on Friday, but we are not sure this additional ‘jobs’ datapoint offers anything but noise ahead of Friday’s print, but that won’t stop the algos from freaking out.

 

end

 

US Factory Orders Surprise To Upside, Remain Down 6.2% YoY

After a solid 6.2% surge in June, US factory orders were expected to improve on that bounce with a 6.2% rise in July (especially after the scream higher in ISM Manufacturing’s New Orders index yesterday), but the data was even better with a 6.4% rise (and a revised higher 6.4% rise in June).

However, on a YoY basis, Factory orders remain down 6.2%…

 

Source: Bloomberg

The ‘v’ is still there in the hard data, but it is nothing like as ‘confident’ as the ‘soft data’ suggests…

 

Source: Bloomberg

We wait to see what Friday’s jobs data says but for now, it is the ‘soft’ survey data that is leading the hype and ‘hard’ reality just not living up to the hype.

end

Beige Book: very little recovery

(zerohedge)

Fed’s Beige Book Finds Some Recovery In Economic Activity But “Well Below” Pre-Pandemic Levels

Four months after the May Beige Book was shocked at the economic devastation across the US, things continue to improve according to the latest assessment from various regional Fed, which said in today’s just released August edition of the Beige Book that “economic activity increased among most Districts, but gains were generally modest and activity remained well below levels prior to the COVID-19 pandemic” while manufacturing rose in most Districts – as confirmed by the latest PMI and ISM data – and which coincided with increased activity at ports and among transportation and distribution firms.

Some more details from the latest report, first looking at consumer spending and residential activity :

  • Consumer spending continued to pick up, sparked by strong vehicle sales and some improvements in tourism and retail sectors.
  • But many Districts noted a slowing pace of growth in these areas, and total spending was still far below pre-pandemic levels.
  • Commercial construction was down widely, and commercial real estate remained in contraction. Conversely, residential construction was a bright spot, showing growth and resilience in many Districts.
  • Residential real estate sales were also notably higher, with prices continuing to rise along with demand and a shortage of inventory. In the banking sector, overall loan demand increased slightly, led by solid residential mortgage activity.
  • Agricultural conditions continued to suffer from low prices, and energy activity was subdued at low levels, with little expectation of near-term improvement for either sector.

In its assessment, the report noted that “while the overall outlook among contacts was modestly optimistic, a few Districts noted some pessimism. Continued uncertainty and volatility related to the pandemic, and its negative effect on consumer and business activity, was a theme echoed across the country.”

Next, the Beige Book looked at jobs and wages:

  • Employment increased overall among Districts, with gains in manufacturing cited most often. However, some Districts also reported slowing job growth and increased hiring volatility, particularly in service industries, with rising instances of furloughed workers being laid off permanently as demand remained soft.
  • Firms continued to experience difficulty finding necessary labor, a matter compounded by day care availability, as well as uncertainty over the coming school year and jobless benefits.
  • Wages were flat to slightly higher in most Districts, with greater pressure cited among lower-paying positions. Some firms also rescinded previous pay cuts.
  • Others, however, have looked to roll back hazard pay for high-exposure jobs, though some have chosen not to do so for staff morale and recruitment purposes

Finally, a look at the most important variable in this day and age of Average Inflation Targeting, namely prices:

  • Price pressures increased since the last report but remained modest. While input prices generally rose faster than selling prices, they were moderate overall.
  • Notable exceptions included inputs experiencing demand surges or supply-chain disruptions, such as structural lumber, for which prices spiked.
  • Several Districts also reported that costs for personal protective equipment and inputs to it remained elevated.
  • Freight transportation rates rose in several Districts due to a resurgence in demand.
  • In contrast, contacts in multiple Districts cited weak demand or lack of pricing power as a factor behind slower growth in retail or other selling prices.

One notable aspect of the latest Beige Book: at 52 instances of “covid” or “coronavirus”, there was a tiny increase from the 50 instances in July and unchanged from the 52 in May.

end

iii) Important USA Economic Stories

Millions Of Americans Had Their Emergency Savings Wiped Out By Downturn

A new survey via CNBC and Acorns Invest commissioned by SurveyMonkey, found that the virus-induced recession wiped out 14% or about 46 million American’s emergency savings. 

About 17% had to tap into emergency savings to cover living expenses, 11% had to borrow money to cover everyday expenses, 6% stopped contributing to 401(k) or other retirement accounts, and 5% asked for rent relief.

The survey of more than 5,400 adults in August found that older millennials depleted their emergency savings the most. About 26% of those aged 25 to 34 said their savings had been drained as they struggled to survive the downturn. Only 6% of boomers drained savings; they’ve been through multiple boom/bust cycles and understand the importance of saving for a rainy day. Unlike millennials who have only been through one recession.

The survey’s findings outline a similar message from former Federal Reserve Chair Janet Yellen last week, where she warned in an op-ed, published in The New York Times, that millions of Americans are suffering. She said monetary policy by itself could not save the economy from the downturn, and the solution will require additional rounds of fiscal stimulus to thwart a deepening fiscal cliff.

The virus-induced recession has caused unprecedented economic damage, while more than 30 million American’s are collecting unemployment benefits. The labor market recovery has stalled as the Fed’s new policy to raise the inflation target above 2% will result in a higher cost of living for tens of millions broke, jobless Americans.

What’s even more stunning is that a quarter of all personal income is derived from the government.

This merely underscores the uneven, or K-shaped nature of the the recovery: where the political elites and ultra-wealthy were bailed out by the Fed, while millions of serfs, i.e., low-income folks, have (almost) completely run out of savings, depleted stimulus funds, and some can no longer afford food as the fiscal cliff  hits the 31 day mark on Tuesday.

Congress and the Fed better beware: stress low-income households enough, they will eventually assemble and revolt, striking at the one building that has so far avoided the protesters’ focus: the Marriner Eccles building.

end

Trump now leads Biden according to the bookies and they are generally quite accurate.  It is something that we have been pointing out..Trump is getting a big surge in Black American support

(zerohedge)

Trump Leads Biden At The Bookies Amid Surge In Black Americans’ Support

The trend we have been noting for the last week has accelerated overnight and ‘the streams have crossed’, with the average bookie now seeing it more likely that President Trump wins the 2020 election that Joe Biden.

Source: RealClearPolitics

This huge swing comes as Summit News’ Paul Joseph Watson notes that the results of a new national poll reveal that a stunning 28 per cent of black Americans plan on voting for President Donald Trump.

The Atlas Intel poll finds that Biden leads Trump nationally by just three points.

But the real story lies in the percentage of Hispanic and black voters who told the pollsters that they will vote for Trump.

According to the survey, 28 per cent of African-Americans say they plan to vote for Trump, a stunning figure.

29 per cent of black Americans also approve of the job Donald Trump is doing.

This compares to 2016 when Trump attracted 8 per cent of the black vote while Hillary Clinton captured 89 per cent. Joe Biden is down to 66 per cent of the black vote, according to the poll.

Amongst Hispanics, Trump is up 13 points on the 2016 (41%), while Biden is down 10 per cent (56%).

The reason behind the surge in black support for Trump could be the fact that the Black Lives Matter movement seems to be backfiring after 3 straight months of violent riots and unrest.

As we highlighted earlier, a separate poll found that Trump’s support amongst African-Americans has doubled since 2016, although the results of the Atlas Intel poll blows even that figure out of the water.

Activist Candace Owens, who has led the ‘Blexit’ campaign to convince black Americans to get off the Democratic reservation, appears to have achieved a stunning success.

“We are sounding an alarm and saying that this is a very real

 

end

 

possibility, that the data is going to show on election night an incredible victory for Donald Trump,” Hawkfish CEO Josh Mendelsohn said.

“[but], when every legitimate vote is tallied and we get to that final day, which will be some day after Election Day, it will in fact show that what happened on election night was exactly that, a mirage.”

We suspect the social unrest will go to ’11’ should such an event occur.

end

The election Mess..

((courtesy James Rickards/Daily Reckoning)

Nancy Pelosi, Next President Of The United States?

Authored by James Rickards via The Daily Reckoning,

IN an ideal world, markets and politics would be separate. But we don’t live in an ideal world, and the outcome of the upcoming election could have large ramifications for markets.

The stock market has done extremely well under Trump, so a Trump victory would logically pose no threat. But a Biden victory would mean higher taxes, more regulations and other policies that aren’t supportive of markets.

That’s why the election outcome is so important for investors. With the election just over two months away, where does the race presently stand?

We’ve all seen the headlines showing Joe Biden with a big lead over Donald Trump in the national polls and substantial leads in almost all of the battleground states in the state-specific polls.

Polls can be valuable, but not if you take them at face value. You have to deconstruct the polls to see what they are really saying. The results can be surprising.

The Only Polls That Count

First off, national polls don’t matter because the U.S. doesn’t have national elections. We have 50 separate elections in the states plus one in the District of Columbia.

Biden can beat Trump in California by three or four million votes, but none of those votes matter because you can only win California once. All of the excess votes are wasted.

About 40 of the 50 states (and D.C.) are foregone conclusions. They will fall predictably in either the Biden or Trump column. Only about ten states will decide the election and those polls are the ones to watch.

Even in those few states, Biden has the lead in all but two or three. Does this mean the election is over and Biden will win?

Of course not. We still have 65 days to go and the election season is really just getting started.

Most voters don’t pay much attention until after Labor Day. A lot can change. But, there’s an even bigger reason to be optimistic if you’re a Trump supporter, or to be concerned if you’re a Biden supporter.

Do People Answer Polls Honestly?

It seems the polls are not accurate at all. Many voters do not answer pollster questions honestly because they fear their answers will be recorded or revealed and their real views could cost them their jobs or bring social criticism down on their heads.

What’s most interesting is the skew. CloudResearch conducted a study that revealing that 11.7% of Republicans don’t give pollsters their honest views, while the figures are 5.4% for Democrats and 10.5% for Independents.

If we assume that all of the Republicans and Democrats who do not give true opinions to the pollsters will vote for the candidate of their party and the Independents split 50/50 on the same issue, this would give the Republicans a gain of six percentage points compared to what the polls show publicly.

That’s enough to almost wipe out Biden’s national lead and more than enough to wipe out Biden’s lead in all of the battleground states.

The result would be a win for Donald Trump on November 3.

More Good News for Trump

Here’s some more good news for Trump (or bad news for Biden):

A recent CNBC poll among the top global CEOs says they believe that Joe Biden will win the election. “Wait,” you might say, “how’s that good for Trump and bad for Biden?”

Well, it’s because CEOs are almost always wrong about politics.

They may be great business leaders and be extremely wealthy, but that does not make them good forecasters of events outside their narrow business field.

CEOs tend to live in a bubble. They cluster with other CEOs and wealthy entrepreneurs in places like Martha’s Vineyard, Aspen, Beverly Hills and Silicon Valley. They travel on private jets and live on large estates surrounded by other large estates.

As a result, they don’t connect with everyday Americans, do not pick up important social clues and tend to echo what they hear from other elites (who in turn are echoing still other elites).

In 2012, the hedge fund billionaires all thought Romney would win; (that was an easy call; Romney could not get Evangelical votes and Obama was set for a clean victory).

In 2016, hedge fund billionaire Paul Singer was all-in for Marco Rubio and funded anti-Trump research.

The simple fact of the matter is that elites are out of touch and usually get the important things wrong. They are constantly caught by surprise.

I correctly predicted that Trump would win in 2016 (against polls showing Hillary Clinton with a 92% chance of winning) and my models now show Trump as the likely winner in 2020. It’ll be close, but Trump likely has the slight edge.

When I learned that CEOs expected Biden to win, I added that to the list of factors favoring a Trump victory. Elites and CEOs are always the last to know.

Now, having said all that, Biden could still win the election. Again, I’m giving Trump an edge, but only a slight edge. And a lot can happen in two months.

Even Crazier Than the 2000 Election

But we might not know the actual outcome for days, weeks, or even months potentially…

Americans are already on guard that mail-in ballots, long lines at polling places, armies of lawyers and potential court orders could make this presidential election one of the most heavily contested and uncertain elections in our lifetimes.

It could be even more drawn-out and uncertain that the 2000 election between Bush and Gore, which was finally decided by the Supreme Court weeks after Election Day.

If you don’t think things can get even weirder and more uncertain than that, well, they can. I’m not predicting it’s going to happen, let me be clear, but we could even end up with President Pelosi. Here’s how:

The United States has a line-of-succession statute that dictates what happens if an election is undecided. The sitting President and Vice President leave office at noon on January 20, 2021 even if no winner has been decided.

Nancy Pelosi, President?

In that case, House Speaker Nancy Pelosi becomes Acting President. But, that assumes Pelosi is named Speaker. What if House seats are also undecided because of mail-in ballots, legal challenges and close elections?

If enough House seats are not decided, there may not be a quorum in the House, which means that there would be no Speaker at all and still no Acting President.

Let’s hope that none of this happens and the outcome is resolved quickly with a legitimate winner all can agree on. The social unrest we’re seeing today could be child’s play next to the kind of unrest we’d see during a disputed election.

But, given the looming uncertainty, it’s impossible to rule out this kind of chaotic scenario. And the way things have gone this year, with the pandemic and the social unrest, would it surprise you if it happened?

Just don’t count on objective coverage from social media. Facebook is planning a “kill switch” in case Trump disputes the election results.

There’s no word yet on the much more likely scenario that Democrats dispute the results because of the new Post Office hoax or “the Russians!” But I think we know the answer.

Investors may not be able to stop these scenarios from playing out, but they can at least prepare for them by increasing allocations to cash and allocating 10% of your portfolio to gold bullion as the best hedge against electoral chaos.

end

I wonder why?

(zerohedge0

Cuomo Delays Release Of Data On New York’s COVID-19 Nursing Home Deaths Until After Election

Last week, Democrats denounced the DoJ Civil Rights Division’s decision to demand more data from New York, Michigan, New Jersey and Pennsylvania on policies enacted by each (Democratic) governor that required hospitals and long-term care homes to accept COVID-19 positive patients. Such a bone-headed policy sounds almost horrifying in retrospect – and mainstream media outlets have even admitted that these decisions might stand as the worst policy blunders of the entire pandemic. Even worse than the Trump Administration’s struggle to ramp up testing during the early days of the outbreak (something the Washington Post once showed was primarily caused by bureaucratic incompetence at the CDC).

Fast forward to Tuesday evening, and it appears the governor’s office is stonewalling the DoJ by refusing to turn over some of the information being requested. Remember, the DoJ didn’t launch a full-on investigation – at least, not yet. This is mostly a fact-finding mission to try and determine how these harmful policies, which have been blamed for thousands of COVID-19 deaths, were left in place for so long. Cuomo reportedly didn’t scrap the policy in NY until May.

Now, the Empire Center for Public Policy is accusing the New York Health Department of stalling on compliance with a Freedom of Information (FOIA) request seeking more information.

Since New York state is comfortably Democratic, bureaucrats can comfortably brush off these types of requests because they know they won’t be held accountable by voters. When pressed for a reason on why the state couldn’t turn over these nursing home death records, it said it needed more time to “find the records”. How much more time? Well, at least until Nov. 5 – two days after the Nov. 3 presidential election.

“The state Health Department is offering a new explanation for why it won’t provide the full death toll of coronavirus in nursing homes: it can’t find the records,” according to Bill Hammond, a health analyst for the Empire Center who submitted the legal request, who spoke about the situation in an interview with the New York Post.

Responding to Hammond, the department said it couldn’t fulfill the request “because a diligent search for relevant documents is still being conducted.”

“We estimate that this Office will complete its process by November 5, 2020. The Department will notify you in writing when/if the responsive materials are available for release or if the time needed to complete your request extends beyond the above date,” said the department’s record access officer, Rosemary Hewig.

Hammond called bs in a blog post, arguing that this type of a delay “should not be necessary”, and claiming it appeared to be a brazen stalling tactic to avoid embarrassing Cuomo, and, by extension, Joe Biden and all the other Democrats on the ticket.

Right now, the state’s nursing home death toll only includes people who died inside long-term care homes. Thousands more likely succumbed while at the hospital in the ICU, days after being transferred there for treatment.

iv) Swamp commentaries)

Have fun with this hypocrite

(zerohedge)

“Blowouts For Me, Not For Thee!”: Pelosi Sneaks Visit To Closed San Francisco Hair Salon

House Speaker Nancy Pelosi (D-CA) – who invited people to tour Chinatown in late February to prove that coronavirus was ‘no big deal’ – has just been caught ignoring a San Francisco city ordinance ordering hair salons to remain closed during the pandemic.

According to security footage obtained by Fox News, the 80-year-old lawmaker was seen at San Francisco hair salon “eSalon” Monday afternoon for a wash and blow-out at 3:08 p.m. according to a timestamp on the footage, which shows her walking through the salon without a mask over her mouth or nose.

Her stylist, however, can be seen walking behind her with a black face mask.

Salons in San Francisco had been closed since March and were only notified they could reopen on Sept. 1 for outdoor hairstyling services only.

Salon owner Erica Kious, in a phone interview with Fox News on Tuesday, shared details of Pelosi’s visit. Kious explained she has independent stylists working for her who rent chairs in her salon.

“One of the stylists who rents a chair from me contacted me Sunday night,” Kious said.

A screengrab of the text message she received from one of her stylists, and obtained by Fox News, said: “I’ll be there at 2:45 tomorrow. Pelosi assistant just messaged me to do her hair.”

Kious replied: “Pelosi?” –Fox News

“I was like, are you kidding me right now? Do I let this happen? What do I do?” Salon owner Kious told Fox News, adding that she “can’t control” what her stylists do if they rent chairs from her – as “they’re not paying” at this time.

According to Kious, Pelosi’s visit was like a “slap in the face.”

It was a slap in the face that she went in, you know, that she feels that she can just go and get her stuff done while no one else can go in, and I can’t work,” Kious told Fox News, adding that she “can’t believe” the speaker didn’t have a mask on. (From the footage, it appears Pelosi had some kind of covering around her neck.)

We’re supposed to look up to this woman, right? It is just disturbing.

The fact that they did this, and she came in, it’s like a slap in the face.

Pelosi spokesman Drew Hammill told Fox that the speaker was simply following the rules.

“The Speaker always wears a mask and complies with local COVID requirements. This business offered for the Speaker to come in on Monday and told her they were allowed by the city to have one customer at a time in the business. The Speaker complied with the rules as presented to her by this establishment.”

Not so fast, says Kious, who said Pelosi received a wash and blow-dry, but added that “you’re not supposed to blow dry hair” according to COVID-19 safety precautions for hair salons.

“We have been shut down for so long, not just me, but most of the small businesses and I just can’t – it’s a feeling – a feeling of being deflated, helpless and honestly beaten down,” Kious added. “I have been fighting for six months for a business that took me 12 years to build to reopen.”

“I am a single mom, I have two small children, and I have no income.”

Clearly Pelosi is taking this thing seriously…

Read the rest of the report here.

END

Portland Mayor Tells Neighbors He’s Moving After Riot Outside His Condo

In late July, Portland Mayor Ted Wheeler attempted to hold a ‘listening session’ with BLM protesters – wading into an angry crowd he thought he could tame with his giant brain and a PA loudspeaker in what he called a ‘listening session’.

Instead, he was heckled by the crowd and then booedafter he wouldn’t commit to abolishing the police.

Six weeks and several riots later, tensions have escalated – as protesters began showing up to his high-rise condominium over the weekend, breaking windows, setting fires and partying.

Wheeler’s neighbors in the city’s upscale Pearl District were treated to the musical stylings of a local band, while young Portlandians danced in the street.

On Sunday it was bullhorns, bear costumes and chanting:

And on Monday, Wheeler’s 58th birthday, police declared a riot outside Wheeler’s condo – arresting 19 people who were mostly charged with disorderly conduct and interfering with a peace officer.

And so, the mayor who just five days agorejected the Trump administration’s offer to send federal law enforcement to help control the city, is moving out of his building, according toFox News.

In a Tuesday email to the other residents of his 114-unit high rise, Wheeler expressed his “sincere apologies for the damage to our home and the fear that you are experiencing due to my position,” adding “It’s unfair to all of you who have no role in politics or in my administration.”

Wheeler added that it would be “best for me and for everyone else’s safety and peace” if he left the two-bedroom unit he bought in 2017 for $840,000 according to Multnomah County property records.

On Monday, Wheeler received a letter from Acting Homeland Security Secretary Chad Wolf, urging him to request federal assistance in quelling the protests and riots that have been held in the city for more than 90 consecutive days.

I urge you to prioritize public safety and to request federal assistance to restore law and order in Portland,” Wolf wrote in the letter dated Aug. 31. “We are standing by to support Portland. At the same time, President Trump has made it abundantly clear that there will come a point when state and local officials fail to protect its citizens from violence, the federal government will have no choice but to protect our American citizens.”

Will Wheeler and his big brain eventually accept federal assistance?

end

The debate team picked loser Chris Wallace to host the first one

The other two moderators are democrat lovers

(zerohedge)

Trump Foe Chris Wallace Among Moderators Chosen For Upcoming Presidential Debates

Despite Nancy Pelosi’s personal misgivings, the three debates agreed to between the Trump Campaign and Biden Campaign are moving ahead. And on Wednesday, the Commission on Presidential Debates announced the slate of moderators for all three debates.

The first debate between President Trump and former VP Biden is set for Sept. 29 in Cleveland. It will be hosted by “Fox News Sunday” anchor Chris Wallace. Wallace became the first reporter from Fox to moderate a debate back in 2016.

C-SPAN senior producer and senior political editor Steve Scully will moderate the second debate, a town-hall style event that will take place on Oct. 15 in Miami.

The final debate, set for Oct. 22 in Nashville, will be moderated by NBC News White House reporter and “Today” show weekend co-anchor Kristen Welker.

The announcement could trigger a showdown between the Trump Campaign and the Commission on Presidential Debates, which neglected to pick even one single name from a list of twenty “preferred” moderators recommended by the White House, according to Politico.

President Trump has attacked Chris Wallace on Twitter before,

Once, Trump slammed Wallace as a “Mike Wallace wannabe”.

END

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

Well that is all for today

I will see you THURSDAY night.

Leave a Reply

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

WordPress.com Logo

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

Google photo

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

Twitter picture

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

Facebook photo

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

Connecting to %s

%d bloggers like this: