OCT 1//GOLD UP $19.70 TO $1910.10//SILVER UP $.66 TO $24.05//GOLD STANDING AT THE COMEX; 95.3 TONNES/SILVER STANDING: 8.46 MILLION OZ///CORONAVIRUS UPDATES//IN USA VERY SKEPTICAL THAT A STIMULUS DEAL WILL BE REACHED//830,000 INITIAL UNEMPLOYMENT BENEFIT CLAIMS FILED LAST WEEK//PERSONAL INCOME AND PERSONAL SAVINGS PLUMMET AS AMERICANS BURN THEIR SAVINGS TO FUND THEMSELVES//SWAMP STORIES FOR YOU TONIGHT///

GOLD $1910.10 UP  $19.70   The quote is London spot price

 

 

 

 

 

Silver:$24.05 UP  $0.66   London spot price ( cash market)

 

your data…

 

Closing access prices:  London spot

 

i)Gold : $1905.40  LONDON SPOT  4:30 pm

 

ii)SILVER:  $23.76//LONDON SPOT  4:30 pm

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CLOSING FUTURES PRICES:  KEY MONTHS

 

 

OCT GOLD:  1906.80  CLOSE 1.30 PM//   SPREAD SPOT/FUTURE OCT /: $$3.70 BACKWARD!! A MAGNET FOR LONDON PURCHASERS OF GOLD!1

 

 

DEC. GOLD  $1916.80   CLOSE 1.30 PM      SPREAD SPOT/FUTURE DEC   $6.70/ CONTANGO   ( $0.70 ABOVE NORMAL CONTANGO) //

 

CLOSING SILVER FUTURE MONTH

 

SILVER NOV COMEX CLOSE;   $24.16…1:30 PM.//SPREAD SPOT/FUTURE SEPT//  :    ( 11 CENTS CONTANGO/ABOVE NORMAL CONTANGO//)

SILVER DECEMBER  CLOSE:     $24.20  1:30  PM SPREAD SPOT/FUTURE DEC.       :   15  CENTS PER OZ  CONTANGO (   3 CENTS ABOVE NORMAL CONTANGO)

 

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COMEX DATA

 

 

 

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

receiving today: 1815/5949

EXCHANGE: COMEX
CONTRACT: OCTOBER 2020 COMEX 100 GOLD FUTURES
SETTLEMENT: 1,887.500000000 USD
INTENT DATE: 09/30/2020 DELIVERY DATE: 10/02/2020
FIRM ORG FIRM NAME ISSUED STOPPED
____________________________________________________________________________________________
072 C GOLDMAN 315
099 H DB AG 170
104 C MIZUHO 43
118 H MACQUARIE FUT 269
132 C SG AMERICAS 3 34
135 H RAND 2
323 C HSBC 5
332 H STANDARD CHARTE 75
355 C CREDIT SUISSE 72
435 H SCOTIA CAPITAL 5
624 C BOFA SECURITIES 7
657 C MORGAN STANLEY 7 289
657 H MORGAN STANLEY 289
661 C JP MORGAN 5900 1535
661 H JP MORGAN 280
690 C ABN AMRO 277
709 C BARCLAYS 1093
709 H BARCLAYS 1008
732 C RBC CAP MARKETS 10
737 C ADVANTAGE 4
800 C MAREX SPEC 8 80
880 C CITIGROUP 49
905 C ADM 31 38
____________________________________________________________________________________________

TOTAL: 5,949 5,949
MONTH TO DATE: 12,391

issued:  5900

GOLDMAN SACHS STOPPED 315 CONTRACTS.

 

 

NUMBER OF NOTICES FILED TODAY FOR  OCT. CONTRACT: 5949 NOTICE(S) FOR 594900 OZ  (18.503 tonnes)

 

TOTAL NUMBER OF NOTICES FILED SO FAR:  12,391 NOTICES FOR 1,239,100 OZ  (38.54 tonnes) 

 

 

SILVER//OCTOBER CONTRACT

 

 

19 NOTICE(S) FILED TODAY FOR 95,000  OZ/

total number of notices filed so far this month: 1045 for 5.226 MILLION oz

 

BITCOIN MORNING QUOTE  $10,863   UP   111

 

 

 

 

BITCOIN AFTERNOON QUOTE.:  $10,799  DOWN 192 DOLLARS .

 

 

GLD AND SLV INVENTORIES:

WITH GOLD UP $19.70  AND NO PHYSICAL TO BE FOUND ANYWHERE:

 

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

NO CHANGE IN GOLD INVENTORY AT THE GLD//

 

 

GLD: 1,268.89 TONNES OF GOLD//

 

WITH SILVER UP 66 CENTS TODAY: AND WITH NO SILVER AROUND:

A HUGE WITHDRAWAL OF 1.489 MILLION OZ FROM THE SLV//

 

SLV: 549.116  MILLION OZ./

 

 

 

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Let us have a look at the data for today

 

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IN SILVER THE COMEX OI FELL BY A STRONG 2480 CONTRACTS FROM 157,308 DOWN TO 154,828, AND FURTHER FROM  OUR NEW RECORD OF 244,710, (FEB 25/2020. THE LOSS IN OI OCCURRED WITH OUR $0.96 LOSS IN SILVER PRICING AT THE COMEX. IT SEEMS THAT THE LOSS IN COMEX OI IS  DUE TO CONSIDERABLE BANKER AND ALGO  SHORT COVERING..  COUPLED AGAINST A WEAK EXCHANGE FOR PHYSICAL. WE ALSO HAD SOME LONG LIQUIDATION, AND A SMALL LOSS FOR SILVER STANDING   AT THE COMEX FOR OCT.  WE HAD A STRONG NET LOSS IN OUR TWO EXCHANGES OF 2059 CONTRACTS  (SEE CALCULATIONS BELOW).

 

 

WE WERE  NOTIFIED  THAT WE HAD A TINY  NUMBER OF  COMEX LONGS TRANSFERRING THEIR CONTRACTS TO LONDON THROUGH THE EFP ROUTE:  961, AS WE HAD THE FOLLOWING ISSUANCE:  OCT 0;  DEC:  961, MARCH  0 FOR ZERO ALL  OTHER MONTHS  AND THEREFORE TOTAL ISSUANCE  961 CONTRACTS. THE BANKERS ARE NOW BEING BITTEN BY THOSE SERIAL FORWARDS (EFP’S CIRCULATING IN LONDON)AS THEY ARE NOW BEING EXERCISED AND COMING BACK TO NEW YORK FOR REDEMPTION OF METAL.  THE COST TO SERVICE THESE SERIAL FORWARDS IS HIGH TO OUR BANKERS  BUT THEY HAVE NO CHOICE BUT TO ISSUE A FEW OF THEM!

 

HISTORY OF SILVER OZ STANDING AT THE COMEX FOR THE PAST 26 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

55.400 MILLION OZ FINAL STANDING IN SEPT

8.4650 MILLION OZ INITIALLY STANDING IN OCT.

 

WEDNESDAY, AGAIN OUR CROOKS USED COPIOUS PAPER IN ORDER TO LIQUIDATE SILVER’S PRICE…AND THEY WERE SUCCESSFUL IN KNOCKING THE PRICE OF SILVER DOWN (IT FELL $0.96) ).. AND, OUR OFFICIAL SECTOR/BANKERS WERE  SUCCESSFUL IN THEIR ATTEMPT TO FLEECE SOME SILVER LONGS AS WE HAD A CONSIDERABLE LOSS IN OUR TWO EXCHANGES (1999 CONTRACTS). NO DOUBT THE LOSS IN OI WAS DUE TO i)BANKER/ALGO SHORT COVERING.  WE ALSO HAD  ii)  A SMALL ISSUANCE OF EXCHANGE FOR PHYSICALS 2) A SMALL LOSS IN SILVER OZ  STANDING  FOR OCTOBER, iii) STRONG COMEX LOSS AND iv) SOME LONG LIQUIDATION YOU CAN BET THE FARM THAT OUR BANKERS  ARE DESPERATE TO LIQUIDATE THEIR HUGE SHORT POSITIONS IN SILVER..

 

We have now switched to silver for our spreaders!!

 

FOR DETAILS ON THE SPREADING EXERCISE HERE IS A BRIEF OUTLINE:

 

 

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

 

 

 

SPREADING OPERATION FOR OUR NEWCOMERS:

 

FOR NEWCOMERS, HERE ARE THE DETAILS:

 

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

 

 

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

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

 

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

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

.

AS I HAVE MENTIONED IN PREVIOUS COMMENTARIES:

 

 

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

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

 

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

OCT

 

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

421 CONTRACTS (FOR 1 TRADING DAY(S) TOTAL 421 CONTRACTS) OR 2.105 MILLION OZ: (AVERAGE PER DAY: 421 CONTRACTS OR 2.105 MILLION OZ/DAY)

TO GIVE YOU AN IDEA AS TO THE HUGE SUPPLY THIS MONTH IN SILVER:  SO FAR THIS MONTH OF OCT: 2.105 MILLION PAPER OZ HAVE MORPHED OVER TO LONDON. THIS REPRESENTS AROUND 0.30% 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:          1,459.15 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                                78.360 MILLION OZ (EXCHANGE FOR PHYSICALS DRAMATICALLY FALLING OFF A CLIFF)

OCT EFP                                 2.105   MILLION OZ

 

RESULT: WE HAD A STRONG SIZED DECREASE IN COMEX OI SILVER COMEX CONTRACTS OF 2480, WITH OUR STRONG $0.96 FALL IN SILVER PRICING AT THE COMEX ///WEDNESDAY.…THE CME NOTIFIED US THAT WE HAD A WEAK SIZED EFP ISSUANCE OF 421 CONTRACTS WHICH  EXITED OUT OF THE SILVER COMEX  TO LONDON  AS FORWARDS.

 

 

TODAY WE LOST A STRONG SIZED 2059 OI CONTRACTS ON THE TWO EXCHANGES (WITH OUR $0.96 FALL IN PRICE)//

 

 

THE TALLY//EXCHANGE FOR PHYSICALS

i.e 421 OPEN INTEREST CONTRACTS HEADED FOR LONDON  (EFP’s) TOGETHER WITH A STRONG SIZED DECREASE OF 2,480 OI COMEX CONTRACTS. AND ALL OF THIS DEMAND HAPPENED WITH OUR $0.96 FALL IN PRICE OF SILVER/AND A CLOSING PRICE OF $23.39 // WEDNESDAY’S TRADING. YET WE STILL HAVE A STRONG AMOUNT OF SILVER STANDING AT THE COMEX FOR DELIVERY. 

 

In ounces AT THE COMEX, the OI is still represented by JUST UNDER 1 BILLION oz i.e. 0.774 BILLION OZ TO BE EXACT or 110% of annual global silver production (ex Russia & ex China).

FOR THE NEW AUGUST  DELIVERY MONTH/ THEY FILED AT THE COMEX: 19 NOTICE(S) FOR 95,000 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. 55.400 MILLION OZ// OCTOBER: 8.465 MILLION OZ//
  2. THE  RECORD PRIOR TO TODAY WAS SET IN FEB 25/2018:  244,710 CONTRACTS,  WITH A SILVER PRICE OF $18.90//.
  3. HUGE ANNUAL EFP’S ISSUANCE EQUAL TO 2.9 BILLION OZ OR 400% OF SILVER ANNUAL PRODUCTION/2017 RECORD SETTING EFP ISSUANCE FOR ANY MONTH IN SILVER; APRIL/2018/ 385.75 MILLION OZ/  AND THE SECOND HIGHEST RECORDED EFP ISSUANCE JUNE 2018 345.43 MILLION OZ

 

AND YET, WITH THE EXTREMELY HIGH EFP ISSUANCE, WE HAVE A CONTINUAL LOW PRICE OF SILVER DESPITE THE ABOVE HUGE DEMAND.  TO ME THE ONLY ANSWER IS THAT WE HAVE SOVEREIGN  (CHINA) WHO IS ENDEAVOURING TO GOBBLE UP ALL AVAILABLE PHYSICAL SILVER NO MATTER WHERE, EXACTLY WHAT J.P.MORGAN IS DOING. AND IT IS MY BELIEF THAT J.P.MORGAN IS HOLDING ITS SILVER FOR ITS BENEFICIAL OWNER..THE USA GOVERNMENT WHO IN TURN IS HOLDING THAT SILVER FOR CHINA.(FOR A SILVER LOAN REPAYMENT)

 

 

GOLD

 

IN GOLD, THE COMEX OPEN INTEREST FELL BY A CONSIDERABLE 6,429 CONTRACTS TO 556,656 AND FURTHER FROM OUR NEW RECORD (SET JAN 24/2020) AT 799,541 AND  PREVIOUS TO THAT: (SET JAN 6/2020) AT 797,110.

THE CONSIDERABLE SIZED LOSS IN COMEX OI OCCURRED WITH OUR VERY LOSS IN PRICE  OF $6.80 /// COMEX GOLD TRADING// WEDNESDAY. WE HAVE NOW CONCLUDED OUR  SPREADER LIQUIDATION WITH TODAY’S READING.//WE PROBABLY HAD SOME BANKER/ALGO SHORT COVERING  ACCOMPANYING OUR SMALL EXCHANGE FOR  PHYSICAL ISSUANCE. WE PROBABLY HAD MINOR LONG LIQUIDATION….THIS ALL HAPPENED WITH OUR FALL IN PRICE OF $6.80. 

 

 

WE HAD A VOLUME OF 0    4 -GC CONTRACTS//OPEN INTEREST  81//

 

 

WE HAD A CONSIDERABLE LOSS OF 5468 CONTRACTS  (17.00 TONNES) ON OUR TWO EXCHANGES.

 

 

 

E.F.P. ISSUANCE

 

THE CME RELEASED THE DATA FOR EFP ISSUANCAND IT TOTALED A SMALL SIZED 961 CONTRACTS:

CONTRACT . OCT: 0 DEC: 961; FEB: 0  ALL OTHER MONTHS ZERO//TOTAL: 961.  The NEW COMEX OI for the gold complex rests at 555,967. 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 CONSIDERABLE SIZED DECREASE IN TOTAL CONTRACTS ON THE TWO EXCHANGES OF 5468 CONTRACTS: 6429 CONTRACTS DECREASED AT THE COMEX AND 961 EFP OI CONTRACTS WHICH NAVIGATED OVER TO LONDON. THUS  TOTAL OI LOSS OF 5468 CONTRACTS OR 17.00 TONNES.

 

 

 

CALCULATIONS ON GAIN/LOSS ON OUR TWO EXCHANGES:

WE HAD A SMALL SIZED ISSUANCE IN EXCHANGE FOR PHYSICALS (961) ACCOMPANYING THE CONSIDERABLE SIZED LOSS IN COMEX OI  (6429 OI): TOTAL LOSS IN THE TWO EXCHANGES:  5468 CONTRACTS. WE NO DOUBT HAD 1 ) SOME BANKER SHORT COVERING AND CONSIDERABLE ALGO SHORT COVERING ,2.)A HUGE  STANDING AND A GOOD INCREASE AT THE GOLD COMEX FOR THE FRONT OCT. MONTH TO 95.138 TONNES)  3) SOME LONG LIQUIDATION ;4) CONSIDERABLE COMEX OI LOSS AND 5) SMALL ISSUANCE OF EXCHANGE FOR PHYSICAL AND 6) CONCLUSION OF OUR SPREADER LIQUIDATION.../  AND  ...ALL OF THIS WAS COUPLED WITH OUR STRONG LOSS IN GOLD PRICE TRADING//WEDNESDAY//$6.80.

 

 

 

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.

 

 

 

 

HISTORICAL ACCUMULATION OF EXCHANGE FOR PHYSICALS IN 2020 INCLUDING TODAY

OCT.

 

ACCUMULATION OF EFP’S GOLD AT J.P. MORGAN’S HOUSE OF BRIBES: (EXCHANGE FOR PHYSICAL) FOR THE MONTH OF OCT : 961, CONTRACTS OR 96100 oz OR 2,989 TONNES (1 TRADING DAY(S) AND THUS AVERAGING: 961 EFP CONTRACTS PER TRADING DAY

TO GIVE YOU AN IDEA AS TO THE  SIZE OF THESE EFP TRANSFERS :  THIS MONTH IN 1 TRADING DAY(S) IN  TONNES: 2.989 TONNES

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

THUS EFP TRANSFERS REPRESENTS 2.989/3550 x 100% TONNES =0.080% OF GLOBAL ANNUAL PRODUCTION

 

ACCUMULATION OF GOLD EFP’S YEAR 2020 TO DATE   3,566.01  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 (EFP ISSUANCE EXTREMELY LOW)

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:                       178.49 TONNES (EFP’s AGAIN RISING DUE TO BACKWARDATION/LOWER FUTURE PREMIUMS//THUS LESS COST TO CARRY)

OCT TOTAL EFP ISSUANCE.                        2.989 TONNES

 

 

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

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

 

1.Today, we had the open interest at the comex, in SILVER, FELL BY A STRONG SIZED 2480 CONTRACTS FROM 157,308, DOWN TO 154,828 AND CLOSER TO OUR COMEX RECORD //244,710(SET FEB 25/2020).  THE LAST RECORDS WERE SET  IN AUG.2018 AT 244,196 WITH A SILVER PRICE OF $14.78/(AUGUST 22/2018)..THE PREVIOUS RECORD TO THAT WAS SET ON APRIL 9/2018 AT 243,411 OPEN INTEREST CONTRACTS WITH THE SILVER PRICE AT THAT DAY: $16.53). AND PREVIOUS TO THAT, THE RECORD  WAS ESTABLISHED AT: 234,787 CONTRACTS, SET ON APRIL 21.2017 OVER  2 3/4 YEARS AGO.  THE PRICE OF SILVER ON THAT DAY: $17.89.

THE STRONG SIZED LOSS IN OI SILVER COMEX WAS PRIMARILY DUE TO 1)   SOME BANKER SHORT COVERING//ALGO SHORT COVERING , 2) A WEAK ISSUANCE OF EXCHANGE FOR PHYSICALS (SEE BELOW), 3) A SMALL LOSS IN STANDING  FOR SILVER AT THE COMEX FOR OCT., AND 4) SOME LONG LIQUIDATION 

 

 

 

EFP ISSUANCE 421 CONTRACTS

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

 OCT: 0 AND DEC. 421 AND MARCH:  0  ALL OTHER MONTHS: ZERO. TOTAL EFP ISSUANCE: 421 CONTRACTS. EFP’S GIVE OUR COMEX LONGS A FIAT BONUS PLUS A DELIVERABLE PRODUCT OVER IN LONDON.  IF WE TAKE THE  COMEX OI LOSS OF 2420 CONTRACTS TO THE 421 OI TRANSFERRED TO LONDON THROUGH EFP’S,  WE OBTAIN A STRONG SIZED LOSS OF 1999 OPEN INTEREST CONTRACTS FROM OUR TWO EXCHANGES. THUS IN OUNCES, THE LOSS ON THE TWO EXCHANGES 9.995 MILLION  OZ, OCCURRED WITH OUR $0.96 FALL IN PRICE///

 

 

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

(report Harvey)

2 ) Gold/silver trading overnight Europe, Goldcore

(Mark O’Byrne/zerohedge

and in NY: Bloomberg

3. ASIAN AFFAIRS

i)THURSDAY MORNING/ WEDNESDAY NIGHT: 

SHANGHAI CLOSED GOLDEN WEEK  //Hang Sang CLOSED GOLDEN WEEK   /The Nikkei closed //MALFUNCTION//Australia’s all ordinaires CLOSED UP 1.00%

/Chinese yuan (ONSHORE) closed UP  at 6.7903 /Oil UP TO 57.21 dollars per barrel for WTI and 64.13 for Brent. Stocks in Europe OPENED GREEN//  ONSHORE YUAN CLOSED UP // LAST AT 6.7903 AGAINST THE DOLLAR. OFFSHORE YUAN CLOSED UP ON THE DOLLAR AT 6.7356 TRADE TALKS STALL//YUAN LEVELS GETTING DANGEROUSLY CLOSE TO 7:1//TRUMP INITIATES A NEW 25% TARIFFS FRIDAY/MAY 10/MAJOR PROBLEMS AT HUAWEI /CFO ARRESTED  : /ONSHORE YUAN TRADING BELOW LEVEL OF OFFSHORE YUAN/ONSHORE YUAN TRADING STRONGER AGAINST USA DOLLAR/OFFSHORE YUAN TRADING STRONGER AGAINST THE DOLLAR /TRADE DEAL NOW DEAD..TRUMP  RAISED RATES TO 25%

 

 

 

 

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

 

GOLD

LET US BEGIN:

THE TOTAL COMEX GOLD OPEN INTEREST  FELL BY BY A CONSIDERABLE 6,429 CONTRACTS TO 555,967 MOVING FURTHER FROM   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 THIS  COMEX DECREASE OCCURRED WITH OUR FALL OF $6.80 IN GOLD PRICING /WEDNESDAY’S COMEX TRADING/). WE ALSO HAD A SMALL EFP ISSUANCE (961 CONTRACTS),.AND WE ALSO HAD OUR SMALL FINAL  SPREADER LIQUIDATION WITH MOST OF THE SPREADERS LEAVING ON THURSDAY’S RAID.    WE  ALSO PROBABLY HAD  1)  SOME CONSIDERABLE BANKER SHORT COVERING,  2)   SOME  LONG LIQUIDATION  AND 3)  STRONG GOLD STANDING AT THE  COMEX//OCT. DELIVERY MONTH (SEE BELOW) …  AS WE ENGINEERED A CONSIDERABLE SIZED LOSS ON OUR TWO EXCHANGES OF 5468 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. HOWEVER, MUCH TO THE ANNOYANCE OF OUR BANKERS, THE COMEX IS THE SCENE OF AN ASSAULT ON GOLD AS LONDONERS, NOT BEING ABLE TO FIND ANY PHYSICAL ON THAT SIDE OF THE POND, EXERCISE THESE CIRCULATING EXCHANGE FOR PHYSICALS IN LONDON AND FORCING DELIVERY OF REAL METAL OVER HERE AS THE OBLIGATION STILL RESTS WITH NEW YORK BANKERS.

 

 

 

 

(SEE BELOW)

 

 

WE  HAD 0    4 -GC VOLUME//open interest REMAINS AT 81

 

 

 

EXCHANGE FOR PHYSICAL ISSUANCE

WE ARE NOW IN THE NON  ACTIVE DELIVERY MONTH OF SEPT..  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 961 EFP CONTRACTS WERE ISSUED:   OCT: 0  DEC 961; FEB// ’21 0 AND  ZERO FOR ALL OTHER MONTHS:

TOTAL EFP ISSUANCE: 961  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 LOST THE FOLLOWING TODAY ON OUR TWO EXCHANGES: 5468 TOTAL CONTRACTS IN THAT 961 LONGS WERE TRANSFERRED AS FORWARDS TO LONDON AND WE LOST A CONSIDERBLE SIZED 6429 COMEX CONTRACTS.. THE BIG NEWS IS THE POWERFUL LEVEL OF OCTOBER 2020 CONTRACTS STANDING FOR DELIVERY. ( 95.138 tonnes).

 

THE BANKERS WERE SUCCESSFUL IN LOWERING GOLD’S PRICE  //// (IT FELL $6.80).  AND, THEY WERE SOMEWHAT SUCCESSFUL IN FLEECING SOME LONGS. AS MENTIONED ABOVE THE TOTAL LOSS ON THE TWO EXCHANGES REGISTERED   17.000 TONNES,…

 

 

NET LOSS ON THE TWO EXCHANGES :: 5468, CONTRACTS OR 546,800 OZ OR 17.00 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:  555,967 TOTAL OI CONTRACTS X 100 OZ PER CONTRACT = 55.96 MILLION OZ/32,150 OZ PER TONNE =  1740 TONNES

THE COMEX OPEN INTEREST REPRESENTS 1740/2200 OR 79.11% OF ANNUAL GLOBAL PRODUCTION OF GOLD.

 

 

Trading Volumes on the COMEX TODAY: 235,895 contracts// volume poor/

 

 

 

 

 

CONFIRMED COMEX VOL. FOR YESTERDAY:  268,192 contracts//  volume: POOR //most of our traders have left for London

 

 

OCT 1 /2020

SEPT. GOLD CONTRACT MONTH

INITIAL STANDING FOR OCT GOLD

 

 

Gold Ounces
Withdrawals from Dealers Inventory in oz nil oz
Withdrawals from Customer Inventory in oz
230,199.955 oz
BRINKS
MANFRA
Deposits to the Dealer Inventory in oz NIL oz

 

 

 

Deposits to the Customer Inventory, in oz  

122,077.347

OZ

MALCA

 

 

No of oz served (contracts) today
5949 notice(s)
 594,900 OZ
(18.503 TONNES)
No of oz to be served (notices)
18,185 contracts
(1,818,500 oz)
56.562 TONNES
Total monthly oz gold served (contracts) so far this month
12,391 notices
1,239,100 OZ
38,54 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 MALCA:  122,077.347 oz

3.79 tonnes

 

 

 

total customer deposit:  122,077.347      oz  3.79 tonnes

 

 

 

we had 2 gold withdrawals from the customer account:

i) Out of Brinks: 224,895.04 oz

ii) Out of Manfra: 5,304.915

 

 

total withdrawals; 230,199.955  oz  7.16 tonnes

 

 

 

We had 0  kilobar transactions  +

 

ADJUSTMENTS: 0 // 

 

 

 

 

 

The front month of OCT registered a total of 24,134 contracts for a LOSS of 6390 contracts. We had 6442 notices filed yesterday so we gained 52 contracts or 5200 additional oz will stand for delivery in this active delivery month of October. In gold we have not seen queue jumping start so early in the month. Thus you can bet the farm that throughout October, the total number of gold oz standing will increase from this level.

 

November gained 54 contracts to stand at 834.

The big December contract LOST 193 contracts UP to 440,988 contracts..

THE BIG STORY AGAIN TODAY IS THE HIGH OI STANDING FOR OCTOBER (95.138 tonnes). GENERALLY OCTOBER IS A POOR DELIVERY MONTH AS MOST INVESTORS PREFER TO SKIP THIS MONTH AND MOVE STRAIGHT TO DECEMBER.  IT LOOKS LIKE SOME MAJOR ENTITY(GOLDMAN SACHS) JUST CANNOT WAIT FOR DECEMBER AS THEY ARE MAKING THEIR MOVE ON OCTOBER FOR PHYSICAL METAL. GOLDMAN SACHS ONE OF THE LEADERS OF THE NEW LONDON LME EXCHANGE NEEDS THE GOLD INVENTORY FOR LIQUIDITY AND INITIAL CONTRIBUTION WITH OTHER MAJOR PLAYERS. THE MAJOR DIFFERENCE BETWEEN THIS MONTH AND OTHER MONTHS IS THAT THIS GOLD STANDING IN OCTOBER WILL LEAVE THE COMEX AND HEAD FOR LONDON.

 

 

 

We had  5949 notices filed today for  594,900 oz OR 18.503 TONNES.

 

FOR THE OCT 2020 CONTRACT MONTH)Today, 0 notice(s) were issued from JPMorgan dealer account and  5900 notices were issued from their client or customer account. The total of all issuance by all participants equates to 5949  contract(s) of which 280  notices were stopped (received) by j.P. Morgan dealer and 1535 notice(s) was (were) stopped/ Received) by j.P.Morgan//customer account and 315 notices received (stopped) by the squid  (Goldman Sachs)

To calculate the INITIAL total number of gold ounces standing for the OCT /2020. contract month, we take the total number of notices filed so far for the month (12,391) x 100 oz , to which we add the difference between the open interest for the front month of  OCT (24,134 CONTRACTS ) minus the number of notices served upon today (5949 x 100 oz per contract) equals 3,057,600 OZ OR 95.104 TONNES) the number of ounces standing in this active month of JUNE

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

No of notices filed so far (12,391, x 100 oz +24,134 OI) for the front month minus the number of notices served upon today (5949) x 100 oz which equals 3,057,600 oz standing OR 95.104 TONNES in this  active delivery month. This is a HUGE amount for gold standing for a OCT delivery month (a poor active delivery month).

We gained 52 contracts or an additional 5200 oz will stand on this side of the pond searching for metal.

 

 

 

 

NEW PLEDGED GOLD:  BRINKS

 

592,648.822 oz NOW PLEDGED  SEPT 15.2020/HSBC  18.433 TONNES ( A HUGE INCREASE FROM 10.6)

 

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

deleted Int. Delaware pledge July 7  (600 tonnes)

277,934.09 oz  (some deleted august 3)         JPM  8.644 TONNES

610,238.285 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:  1,574,454.119 oz                                     48.97 tonnes

 

 

 

SURPRISINGLY WE HAVE BEEN WITNESSING NO REAL PHYSICAL GOLD ENTERING THE COMEX VAULTS FOR THE PAST YEAR!! ..ONLY PHONY KILOBAR ENTRIES…. WE HAVE 471.05 TONNES OF REGISTERED GOLD WHICH CAN SETTLE UPON LONGS i.e. 94.95 tonnes

CALCULATION OF REGISTERED GOLD THAT CAN BE SETTLED UPON:

total registered or dealer  16,718,763.723 oz or 520.02 tonnes
total weight of pledged:  1,574,454.119 oz or 48.97 tonnes
thus:
registered gold that can be used to settle upon: 15,144,309.0  (471,05 tonnes)
true registered gold  (total registered – pledged tonnes  15,144,309.0 (471.05 tonnes)
total eligible gold:  20,075,024.071 oz (624.41 tonnes) 

total registered, pledged  and eligible (customer) gold  36,793,787.794 oz 1,144.44 tonnes (INCLUDES 4 GC GOLD)

total 4 GC gold:   126.34 tonnes

total gold net of 4 GC:  1018.10 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

OCT 1/2020

And now for the wild silver comex results

And now for the wild silver comex results

 

INITIAL STANDINGS

OCT. SILVER COMEX CONTRACT MONTH//INITIAL STANDING

Silver Ounces
Withdrawals from Dealers Inventory NIL oz
Withdrawals from Customer Inventory
 1,029,074.630 oz

 

DELAWARE

MANFRA

 

Deposits to the Dealer Inventory
nil oz

 

Deposits to the Customer Inventory
3,339,411.780 oz
BRINKS
JPM
No of oz served today (contracts)
19
CONTRACT(S)
(95,000 OZ)
No of oz to be served (notices)
648 contracts
 3,240,000 oz)
Total monthly oz silver served (contracts)  1045 contracts

5,225,000 oz)

Total accumulative withdrawal of silver from the Dealers inventory this month NIL oz
Total accumulative withdrawal of silver from the Customer inventory this month
We had 0 deposits into the dealer:

total dealer deposits: nil      oz

i) We had 0 dealer withdrawal

 

total dealer withdrawals: nil oz

 

we had 2 deposits into the customer account (ELIGIBLE ACCOUNT)

i)into JPMorgan:  1,164,086.36 oz

 

ii) Into BRINKS:  2,175,325.420

 

 

 

 

 

 

 

 

 

JPMorgan now has 186.1 million oz of  total silver inventory or 49.29% of all official comex silver. (186.1 million/377.513 million

 

total customer deposits today:  3,339,411.780   oz

we had 2 withdrawals:

 

i) Out of DELAWARE  24,351.200 oz
ii) Out of Manfra; 1,004,723.430 oz

total withdrawals; 1,029.074.630    oz

We had 1 adjustments/ customer to dealer

 

i) Brinks:  567,751.920

 

 

 

Total dealer(registered) silver: 140.381 million oz

total registered and eligible silver:  377.513 million oz

 

xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx

October had  667 notices outstanding for a loss of 1037 contracts.  We had 1026 notices served upon yesterday so we lost 11 contracts or 55,000 additional oz of silver will not stand in this non active month of October.

 

November saw a gain of 18 notices up to 291 contracts.

December saw a loss of 2021 contracts up to 131,768 contracts.

 

 

 

 

The total number of notices filed today for the OCT 2020. contract month is represented by 19 contract(s) FOR 95,000 oz

 

To calculate the number of silver ounces that will stand for delivery in OCT we take the total number of notices filed for the month so far at 1045 x 5,000 oz = 5,225,000 oz to which we add the difference between the open interest for the front month of OCT( 667) and the number of notices served upon today 19x (5000 oz) equals the number of ounces standing.

 

Thus the INITIAL standings for silver for the OCT/2019 contract month: 1,045 (notices served so far) x 5000 oz + OI for front month of SEPT  (667)- number of notices served upon today (19) x 5000 oz of silver standing for the OCT contract month .equals 8,465,000 oz. ..VERY STRONG FOR A NON ACTIVE MONTH.

We lost 11 contracts or 55,000 oz will not stand for silver metal on this side of the pond as they morphed into a London based forward and received a fiat bonus for their efforts.

 

 

 

TODAY’S ESTIMATED SILVER VOLUME : 69,149 CONTRACTS // volume  rather slow//

 

 

 

 

 

FOR YESTERDAY  97,254  ,CONFIRMED VOLUME// strong/

 

 

 

YESTERDAY’S CONFIRMED VOLUME OF 97,254 CONTRACTS EQUATES to 0.486 billion  OZ 69.4% OF ANNUAL GLOBAL PRODUCTION OF SILVER..

 

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

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

end

 

NPV for Sprott

1. Sprott silver fund (PSLV): NAV  FALLS TO- 1.12% ((OCT 1/2020)

2. Sprott gold fund (PHYS): premium to NAV  FALLS TO -1.12% to NAV:   (OCT 1/2020 )

Note: Sprott silver trust back into NEGATIVE territory at +%-/Sprott physical gold trust is back into NEGATIVE/1.12%

(courtesy Sprott/GATA

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

NAV 19.32 TRADING 18.67///NEGATIVE 3.35

END

 

 

 

And now the Gold inventory at the GLD/

OCT 1/WITH GOLD UP $19.70 TODAY: NO CHANGES IN GOLD INVENTORY AT THE GLD//INVENTORY RESTS AT 1268.89 TONNES

SEPT 30//WITH GOLD DOWN $6.80 TODAY, NO CHANGES IN GOLD INVENTORY AT THE GLD//INVENTORY RESTS AT 1268.89 TONNES

SEPT 29/WITH GOLD UP $19.10//NO CHANGES IN GOLD INVENTORY AT THE GLD//INVENTORY RESTS AT 1268.89 TONNES

 

/SEPT 28//WITH GOLD UP $14.30 DOLLARS: A HUGE  CHANGE IN GOLD INVENTORY AT THE GLD: A DEPOSIT OF 2.05 TONNES INTO THE GLD//INVENTORY RESTS AT 1268.89 TONNES

SEPT 25//WITH GOLD DOWN 410.80 TODAY: A SMALL CHANGE IN GOLD INVENTORY AT THE GLD: A WITHDRAWAL OF .3 TONNES FROM THE GLD////INVENTORY RESTS AT 1266.84 TONNES

SEPT 24/WITH GOLD UP $9.80 TODAY:NO CHANGES IN GOLD INVENTORY AT THE GLD//INVENTORY RESTS AT 1267.14TONNES.

SEPT 23//WITH GOLD DOWN $28.00 TODAY//A HUGE CHANGE IN GOLD INVENTORY AT THE GLD: A PAPER WITHDRAWAL OF 11.68 TONNES FROM THE GLD////INVENTORY RESTS AT 1267.14 TONNES

SEPT 22/WITH GOLD DOWN $4.50 TODAY, A MONSTROUS CHANGE IN GOLD INVENTORY AT THE GLD: A DEPOSIT OF 18.98 TONNES OF PAPER GOLD ENTER THE GLD///// INVENTORY RESTS AT 1278.62TONNES

SEPT 21/WITH GOLD DOWN $47.20 TODAY: A HUGE CHANGE IN GOLD INVENTORY AT THE GLD: A DEPOSIT OF 12.94 TONNES INTO THE GLD///INVENTORY RESTS AT 1259.64TONNES

SEPT 18/WITH GOLD UP $10.50 TODAY: NO CHANGES IN GOLD INVENTORY AT THE GLD//INVENTORY RESTS THIS WEEKEND AT: 1246.99 TONNES

SEPT 17/WITH GOLD DOWN $18.05 TODAY: A SMALL  CHANGE IN GOLD INVENTORY AT THE GLD: A WITHDRAWAL OF .58 TONNES FROM THE GLD//INVENTORY RESTS AT 1246.99 TONNES

SEPT 16.WITH GOLD UP $4.90 TODAY: NO CHANGE IN GOLD INVENTORY AT THE GLD//INVENTORY RESTS AT 1247.57 TONNES

SEPT 15//WITH GOLD UP $2.25 TODAY: A SMALL CHANGES IN GOLD INVENTORY AT THE GLD: A WITHDRAWAL OF .43 TONNES FROM THE GLD//INVENTORY RESTS AT 1247.57 TONNES

SEPT 14/WITH GOLD  DOWN 90 CENTS TODAY: A HUGE CHANGE IN GOLD INVENTORY AT THE GLD: A WITHDRAWAL OF 4.96 TONNES FROM THE GLD////INVENTORY RESTS AT 1248.00 TONNES

SEPT 11/WITH GOLD DOWN $14.80//NO CHANGES IN GOLD INVENTORY AT THE GLD//INVENTORY RESTS AT 1252.96 TONNES

SEPT 10/WITH GOLD UP $8.85 TODAY: A HUGE CHANGES IN GOLD INVENTORY AT THE GLD: A DEPOSIT OF 2.92 TONNES INTO THE GLD////INVENTORY RESTS AT 1252.96 TONNES

SEPT 9/WITH GOLD UP $19.55 TODAY: NO CHANGES IN GOLD INVENTORY AT THE GLD//INVENTORY RESTS AT 1250.04 TONNES

SEPT 8/WITH GOLD UP $8.20 TODAY: NO CHANGES IN GOLD INVENTORY AT THE GLD/INVENTORY RESTS AT 1250.04 TONNES

SEPT 4//WITH GOLD DOWN $3.80 TODAY: NO CHANGES IN GOLD INVENTORY AT THE GLD//INVENTORY RESTS AT 1250.04 TONNES

SEPT 3/WITH GOLD DOWN $7.50 ON THIS 2ND DAY OF A 3 DAY RAID:  NO CHANGES IN GOLD INVENTORY AT THE GLD//INVENTORY RESTS AT 1250.04 TONNES

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 1251.50 TONNES

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

xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx

 

Inventory rests tonight at

OCT 1/ GLD INVENTORY 1268.89 tonnes*

LAST;  911 TRADING DAYS:   +329.05 NET TONNES HAVE BEEN ADDED THE GLD

 

LAST 811 TRADING DAYS://+507.98  TONNES HAVE NOW BEEN ADDED INTO  THE GLD INVENTORY.

 

 

end

 

 

Now the SLV Inventory/

OCT 1/WITH SILVER UP 66 CENTS TODAY, A BIG CHANGES IN SILVER INVENTORY AT THE SLV: A WITHDRAWAL OF 1.489 MILLION OZ FROM THE SLV////INVENTORY RESTS AT 549.116 MILLION OZ//

SEPT 30//WITH SILVER DOWN 96 CENTS TODAY: A SMALL CHANGE IN SILVER INVENTORY AT THE SLV: A WITHDRAWAL OF 186,000 OZ FROM THE SLV.//INVENTORY RESTS AT 550.605 MILLION OZ..

SEPT 29/WITH SILVER UP 86 CENTS TODAY: NO CHANGES IN SILVER INVENTORY AT THE SLV//INVENTORY RESTS AT 550.791 MILLILON OZ//

 

SEPT 28//WITH SILVER UP 48 CENTS TODAY: A HUGE DEPOSIT OF 3.769 MILLION OZ CHANGE IN SILVER INVENTORY AT THE SLV//INVENTORY RESTS AT 550.791 MILLION OZ//

SEPT 25/WITH SILVER DOWN 14 CENTS TODAY; A HUGE CHANGE IN SILVER INVENTORY AT THE SLV: 2 TRANSACTIONS: A PAPER WITHDRAWAL OF 8.28 MILION OZ FROM THE SLV AND A DEPOSIT OF 1.861 MILLION OZ INTO THE SLV////INVENTORY RESTS AT 547.022 MILLION OZ//

SEPT 24//WITH SILVER UP 15 CENTS: NO CHANGES IN SILVER INVENTORY AT THE SLV//INVENTORY RESTS AT 553.443 MILLION OZ//

SEPT 23//WITH SILVER DOWN $1.41: A HUGE CHANGE IN SILVER INVENTORY AT THE SLV: A WITHDRAWAL OF 2.048 MILLION OZ FROM THE SLV//INVENTORY RESTS AT 553.443 MILLION OZ///

SEPT 22/WITH SILVER DOWN ONE CENT TODAY: A MONSTROUS CHANGE IN SILVER INVENTORY AT THE SLV: A PAPER DEPOSIT OF 2.141 MILLION OZ////INVENTORY RESTS AT 555.491 MILLION OZ..

SEPT 21/WITH SILVER DOWN $2.43 TODAY: A HUGE CHANGE IN SILVER INVENTORY AT THE SLV A PAPER WITHDRAWAL OF 1.862 MILLION OZ FROM THE SLV////INVENTORY RESTS AT 553.350MILLION OZ//

SEPT 18. WITH SILVER DOWN 7 CENTS TODAY: NO CHANGES IN SILVER INVENTORY AT THE SLV//INVENTORY RESTS AT 555.212 MILLION OZ/

SEPT 17/WITH SILVER DOWN 31 CENTS TODAY: A HUGE CHANGES IN SILVER INVENTORY AT THE SLV: A WITHDRAWAL OF 3.537 MILLION OZ FROM THE SLV////INVENTORY RESTS AT 555.212 MILLION OZ/

SEPT 16//WITH SILVER DOWN 2 CENTS TODAY: NO CHANGES IN SILVER INVENTORY AT THE SLV//INVENTORY RESTS AT 558.749 MILLION OZ//

SEPT 15/WITH SILVER UP 11 CENTS TODAY: A HUGE CHANGE IN SILVER INVENTORY AT THE SLV: A DEPOSIT OF 2.793 MILLION OZ INTO THE SLV..//INVENTORY RESTS AT 558.749 MILLION OZ..

SEPT 14/WITH SILVER UP 47 CENTS TODAY:  HUGE CHANGES IN SILVER INVENTORY AT THE SLV: 2 WITHDRAWALS A) 1.675 MILLION OZ AND ANOTHER B) 0.931 MILLION OZ/ FROM THE SLV////INVENTORY RESTS AT 555.956 MILLION OZ//

SEPT 11/WITH SILVER DOWN 39 CENTS TODAY: NO CHANGES IN SILVER INVENTORY AT THE SLV//INVENTORY RESTS AT 558.562 MILLION OZ//

SEPT 10/WITH SILVER UP 16 CENTS TODAY: A HUGE CHANGE IN SILVER INVENTORY AT THE SLV: A WITHDRAWAL OF 2.607 MILLION OZ FROM THE SLV//INVENTORY RESTS AT 558.562 MILLION OZ.

SEPT 9/WITH SILVER UP 6 CENTS TODAY: STRANGE: A HUGE CHANGE IN SILVER INVENTORY AT THE SLV: A WITHDRAWAL OF 3.63 MILLION OZ FROM THE SLV////INVENTORY RESTS AT 561.169 MILLION OZ

SEPT 8/WITH SILVER UP 27 CENTS TODAY; NO CHANGES IN SILVER INVENTORY AT THE SLV//INVENTORY RESTS AT 564.799 MILLION OZ

SEPT 4//WITH SILVER DOWN 15  CENTS TODAY: HUGE CHANGES IN SILVER INVENTORY AT THE SLV: A PAPER WITHDRAWAL OF 3.631 MILLION OZ FROM THE SLV////INVENTORY RESTS AT 564.799 MILLION OZ//

SEPT 3//WITH SILVER DOWN 50 CENTS TODAY: A HUGE CHANGE IN SILVER INVENTORY AT THE SLV: A WITHDRAWAL OF 3.258 MILLION OZ FROM THE SLV////INVENTORY RESTS AT 568.430 MILLION OZ/./

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//

 

OCT 1.2020:

SLV INVENTORY RESTS TONIGHT AT

549.116 MILLION OZ

 

 

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

Where Next for Gold & Silver [Charts]

Markets have struggled to find a clear direction as they attempt to digest US election news, debate performance, the impact of increased Covid-19 restrictions in many countries and vaccine news.

The charts of gold and silver reflect the battle for dominance between the Bulls and the Bears.

Today’s silver chart is a bit more crowded and busy than usual.

Silver has continued to close just above the major trend line support from the March lows. It is also trading below both the 20 and 50 Day Moving Averages.

A close below this trend line support could signal further short term weakness for the white metal with support coming in at the recent low closes around $22.75. A close below this and from a technical point of view we wouldn’t see much support above the $19.50 support level which also happens to be where the 200 Day Moving Average is currently.

On the upside a close above short-term resistance at $24.30 and higher again at $24.75 opens up the potential for another test of resistance at $26.50.

 

Gold is currently testing resistance at $1,910 and continues to trade below the 20 Day Moving Average which is also proving to be resistance to an up move at the moment.

Further failure to close above either could signal another leg down and test of the significant support at $1,810, $1,750 or the 200 Day Moving Average at $1,722.

On the upside a close ab$1,910 would be very bullish for gold short-term.

Silver and in particular gold are taking their short-term directional signals from the stock market and the US dollar. Further sharp sell-offs in the stock markets and a rally in the dollar will weigh down the precious metals initially, as it always tends to. However, the arguments for holding gold and silver in this era of money printing and extreme financial, political and geo-political uncertainty have never been stronger.

Access Latest Goldnomics Podcast (Part II) Here

NEWS and COMMENTARY

Gold set for worst month in nearly 4 years on dollar bounce-back

Central Bank Gold-Buying Seen Climbing to About 450 Tons, from Near Decade Low

U.S. dollar share of global reserves dips in second quarter to 61.3%

Global stocks pull back as acrimonious U.S. debate stokes caution

Dow rebounds more than 300 points on stimulus hope to end first losing month since March

 

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

30-Sep-20 1883.40 1886.90 1468.49 1467.63 1609.74 1613.30
29-Sep-20 1882.40 1883.95 1461.87 1465.71 1610.02 1606.44
28-Sep-20 1850.95 1864.30 1440.78 1448.37 1589.41 1597.52
25-Sep-20 1870.05 1859.70 1467.05 1462.65 1605.25 1598.78
24-Sep-20 1850.75 1861.75 1453.21 1460.92 1588.68 1598.50
23-Sep-20 1888.10 1873.40 1483.48 1470.06 1611.49 1603.63
22-Sep-20 1903.10 1906.00 1487.46 1493.16 1621.63 1625.25
21-Sep-20 1930.90 1909.35 1503.21 1489.48 1638.18 1624.47
18-Sep-20 1954.75 1950.85 1505.16 1508.01 1647.85 1648.66
17-Sep-20 1936.10 1936.25 1494.67 1499.82 1642.78 1640.20
16-Sep-20 1964.80 1961.80 1521.15 1512.55 1654.56 1656.74
15-Sep-20 1963.55 1949.35 1523.13 1513.09 1652.13 1644.67
14-Sep-20 1942.30 1958.70 1511.69 1518.97 1638.14 1648.83
11-Sep-20 1944.50 1947.40 1519.82 1523.06 1639.41 1644.38
10-Sep-20 1944.80 1966.25 1493.41 1519.71 1643.74 1651.26

 

 

Own gold coins and bars in the safest vaults in Zurich, Switzerland with GoldCore. Learn why Switzerland remains a safe haven jurisdiction for owning precious metals. Access Our Most Popular Guide, the Essential Guide to Storing Gold in Switzerland here

Receive Our Award Winning Market Updates In Your Inbox – Sign Up Here

 

Mark O’Byrne
Executive Director

END

 

ii) Important gold commentaries courtesy of GATA/Chris Powell

Cuba set to devalue its peso its first devaluation since the 1959 revolution.  There is a huge shortage of tradable currency in the country.

(London’s Financial Times)//GATA

Cuba on edge as government readies landmark currency devaluation

 Section: 

By Marc Frank
Financial Times, London
Wednesday, September 30, 2020

HAVANA, Cuba — Cuba is stepping up plans to devalue the peso for the first time since the 1959 revolution, as a dire shortage of tradable currency sparks the gravest crisis in the communist-ruled island since the fall of the Soviet Union.

Two Cubans and a foreign businessman, all with knowledge of government plans, said the move to devalue the peso had been approved at the highest level.

… 

They said the devastating effect of the coronavirus pandemic on tourism, a fall in foreign earnings from the export of doctors and tougher US sanctions had created the worst cash crunch since the early 1990s, forcing the government to move forward with monetary and other reforms. …

 

… For the remainder of the report:

https://www.ft.com/content/a15bd6d9-8cec-442e-95ae-d88bb3f652e7

end

Pam and Russ Martens discuss the tiny slap on the wrist to JPMorgan

(Pam and Russ Martens/Wall Street on Parade/GATA)

 

Pam and Russ Martens: Justice Department lets JPMorganChase off easy

 Section: 

JPMorgan Chase Admits to Two New Felony Counts — Brings Total to Five Felony Counts in Six Years, All During Tenure of Jamie Dimon

By Pam and Russ Martens
Wall Street on Parade
Tuesday, September 29, 2020

As the attention of Americans is focused on surviving the pandemic and the pivotal presidential debate, William Barr’s Justice Department decided to quietly hand an early Christmas present to a notorious Wall Street bank.

Under the richly compensated leadership of Chairman and CEO Jamie Dimon, JPMorgan Chase, the largest bank in the United States, has admitted to an unprecedented five criminal felony counts since 2014 and put on criminal probation three times. Dimon notched two of those felony counts in his belt today. (That’s five felonies more than the bank pleaded guilty to in its prior 100 years of existence. Translation: This is not normal even on Wall Street.)

… 

The bank has agreed today to pay criminal fines and admit to two felony counts of wire fraud for manipulating (spoofing) trading in the precious metals and U.S. Treasury markets.

 

Why the Justice Department is bringing only two counts when its own charging document indicates that traders engaged in “tens of thousands of instances of unlawful trading in gold, silver, platinum, and palladium … as well as thousands of instances of unlawful trading in U.S. Treasury futures contracts and in U.S. Treasury notes and bonds” is one more sign that this Justice Department is egregiously failing the American people and making a mockery of the word “justice.” …

… For the remainder of the commentary:

https://wallstreetonparade.com/2020/09/jpmorgan-chase-admits-to-two-new-…

end

Chutzpah!

More Than 500 JPMorgan Employees Inexplicably Got Emergency Virus Relief Funds

Three weeks ago, when we first reported that JPMorgan – the bank that this week was slammed with a record settlement of nearly $1 billion when it admitted it had manipulated and spoofed the gold and Treasury markets – was probing its employees’ role in abuse of PPP funds following reports of “instances in which Covid-relief funds were misused by customers and is probing employees’ involvement in the potentially illegal activities”, we said that it was about time the role of banks was put under the microscope because ” while it was easy to blame the administration for rushing to hand out hundreds of billions in grants/loans (without which the US economy would still be in a depression), a key question is how and why did the private banks that were gatekeepers for all this capital, allow such abuse to take place.

A few days later, we also found out that not only did JPM employees allegedly enable fraud by clients when obtaining PPP loans, the largest US bank also found that some of its employees themselves “improperly applied for and received”, i.e. stole, Covid-relief money that was intended for legitimate U.S. businesses hurt by the pandemic.

The bank discovered the actions, which were tied to the Economic Injury Disaster Loan program, “after noticing that suspicious amounts of money had been deposited into checking accounts owned by bank employees.” The findings prompted an unusual all-staff message from JPMorgan Tuesday which according to Bloomberg “puzzled many across the industry for its candid admission of potentially illegal acts by some of its own while not describing what they had done.”

At the time, JPMorgan sent a memo to its roughly 256,000 employees in which senior leaders said they had seen “instances of customers misusing Paycheck Protection Program Loans, unemployment benefits and other government programs” and that some employees had fallen short on ethical standards, too.

JPMorgan tried to mitigate this discovery by claiming that only a handful of its employees were abusing the program.

Well, fast forward to today, when we learn that more than 500 JPMorgan employees got assistance from taxpayers aimed at helping businesses through the pandemic “and dozens of them shouldn’t have”according to Bloomberg.

The discovery that so many people at the largest and most profitable U.S. bank had tapped the Economic Injury Disaster Loan program raised suspicions inside the company and set off a hasty probe, the full extent of which hasn’t been previously reported.

Upon discovering that “hundreds of employees” –clearly not the brightest ones as they used checking accounts operated by their employer into which they deposited funds meant for struggling Americans – had received government funds in their accounts, JPMorgan “began scrutinizing director-level employees and workers who received certain amounts.” Of almost two dozen in that first group, the bank found that at least five – none of them director-level employees – had improperly tapped the program, one of the people said. We say at least because every update on this issue reveals that more and more employees had illegally tapped the taxpayer-funded program.

Amusingly, the bank concluded that of the hundreds of deposits many were “probably” legitimate – providing funds, for example, to side businesses run on workers’ own time, although how a JPM banker would have a “side” business that suddenly needs emergency funding is probably left best for the upcoming Congressional hearings.

JPM’s findings of illegal employee activity come amid a broader sweep of individual accounts that received business aid. On July 22, the SBA warned banks to be on the lookout for suspicious deposits or activity as part of the EIDL program. The SBA’s inspector general has also flagged evidence of fraud in the program, saying it identified more than $250 million in aid given to potentially ineligible recipients as well as $45.6 million in possibly duplicate payments. A Bloomberg analysis of SBA data last month identified $1.3 billion in suspicious payments.

As a result, prosecutors have brought charges against more than 20 businesses for fraud under the CARES Act, which authorized the PPP loan program, and a recent report by the House Committee on Oversight suggested that there could have been billions of dollars worth of fraud in the PPP program. Rep. James Clyburn, a Democrat from South Carolina, called on the inspectors general of the U.S. Treasury Department and SBA to investigate the program.

“The SBA does not comment on individual borrowers. Evidence of waste, fraud, and abuse with any of SBA’s loan programs is not tolerated and should be reported. … The SBA successfully distributed 5.21 million loans and $525 billion to small businesses in an unprecedented amount of time, through the Paycheck Payment Program,” the SBA said, misstating the name of the Paycheck Protection Program.

“This is going to be the biggest fraud in government history, the magnitude of which we will not know for many years to come,” said Vic Hartman, a former FBI agent and author of a 2019 book about fraud based on lessons from his career.

end

iii) Other physical stories:

 

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

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

71671201

Spencer Platt | Getty Images

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

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

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

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

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

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

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

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

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

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

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

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

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

end

March 4.2019

Parker City News

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

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

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

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

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

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

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

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

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

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

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

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

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

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

Kovel declined to comment.

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

-END-

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

 Section: 

9:47a ET Tuesday, March 5, 2019

Dear Friend of GATA and Gold:

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

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

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

… 

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

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

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

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

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

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

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

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

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

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

* * *

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

i) Chinese yuan vs USA dollar/CLOSED / LAST AT:  CLOSED/GOLDEN WEEK

 

//OFFSHORE YUAN:  6.7356   /shanghai bourse CLOSED

 

HANG SANG CLOSED

 

 

2. Nikkei closed MALFUNCTION

 

 

 

 

3. Europe stocks OPENED ALL GREEN/

 

 

 

USA dollar index UP TO 93.56/Euro RISES TO 1.1762

3b Japan 10 year bond yield: FALLS TO. +.02/ !!!!(Japan buying 100% of bond issuance)/Japanese yen vs usa cross now at 105.66/ 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:: 39.64 and Brent: 41.56

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

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

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

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

3i European bond buying continues to push yields lower on all fronts in the EMU. German 10yr bund RISES TO -.51%/Italian 10 yr bond yield DOWN to 0.87% /SPAIN 10 YR BOND YIELD DOWN TO 0.25%…ITALIAN 10 YR BOND YIELD/GERMAN BUND: 1.39: DANGEROUS FOR THE ITALIAN BANKING SYSTEM

3j Greek 10 year bond yield FALLS TO : 1.02

3k Gold at $1901.20 silver at: 23.75   7 am est) SILVER NEXT RESISTANCE LEVEL AT $30.00

3l USA vs Russian rouble; (Russian rouble UP 48/100 in roubles/dollar) 77.16

3m oil into the 39 dollar handle for WTI and 41 handle for Brent/

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

JAPAN ON JAN 29.2016 INITIATES NIRP. THIS MORNING THEY SIGNAL THEY MAY END NIRP. TODAY THE USA/YEN TRADES TO 105.46 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 .9168 as the Swiss Franc is still rising against most currencies. Euro vs SF is 1.0784 well above the floor set by the Swiss Finance Minister. Thomas Jordan, chief of the Swiss National Bank continues to purchase euros trying to lower value of the Swiss Franc.

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

3r the 10 Year German bund now NEGATIVE territory with the 10 year RISING to 0.51%

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 0.701% early this morning. Thirty year rate at 1.476%

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

6.  TURKISH LIRA:  UP  TO 7.73..

Futures Surge After Stimulus Pessimism Turns To Stimulus Optimism

Narratives used to explain market moves have become so simple enough even 16-year-old Robinhood traders can understand them: if markets are down, it’s due to stimulus pessimism, rising covid cases and/or a fading economic recovery; if markets are up, it’s due to stimulus optimism, covid vaccine hopes and/or a stronger economic recovery.

Case in point, yesterday we for the former, when late in the session news out of McConnell and Mnuchin hit market sentiment late in the session. However, all that reversed overnight, when Roll Call reported that Mnuchin had proposed a $1.62 trillion compromise proposal including more state and local aid and $400 a week in unemployment insurance. Talks continue today after the House delayed a vote on its $2.2 trillion plan to give Mnuchin and Nancy Pelosi more time to try to thrash out a deal

That was enough to boost market sentiment, while allowing traders to ignore the latest flood of mass layoff announcements as American Air and United said they’ll start laying off a combined 32,000 workers (but said they would reverse the move if the government agrees to additional support in the coming days, adding more pressure on policy makers to reach an eleventh-hour stimulus deal, according to Bloomberg). Also overnight, President Trump signed a stopgap spending legislation early Thursday to avert a government shutdown weeks before the presidential election.

As a result futures S&P 500 E-mini futures breached Wednesday’s highs, gaining as much as 1%, and the dollar weakened as investors “remained hopeful” – as Reuters put it – of a new coronavirus fiscal aid package ahead of a clutch of economic data including consumer spending and weekly jobless claims. European stocks advanced, led by technology firms.

Shares of American Airlines Group, Delta Air Lines, United Airlines and JetBlue rose all between 1.3% and 3.6% in thin premarket tradin, after the White House proposed a new stimulus bill to House Democrats worth more than $1.5 trillion that includes a $20 billion extension in aid for the battered airline industry. U.S. airlines have been pleading for more payroll support to protect jobs after the current package expired at midnight on Thursday.

Boeing rose 2.7% a day after Federal Aviation Administration Chief Steve Dickson conducted a 737 MAX test flight, a milestone for the jet to win approval to resume flying after two fatal crashes. PepsiCo gained 2.2% after it forecast full-year profit above estimates as consumers bought more of its snacks such as Doritos and Cheetos, while staying indoors due to the COVID-19 pandemic. Nasdaq futures also rose as tech giga-caps including Apple, Nvidia, Microsoft and Alphabet all rose between 1.3% and 2.4%.

Europe’s Stoxx 600 pared its advance to 0.1%, with FTSE 100 also relinquishing some gains on Brexit concern as the EU started the first step of legal action against the U.K. for breaching the terms of the Withdrawal Agreement. Travel and leisure shares fare worst on Stoxx 600, while chip stocks rallied after STMicroelectronics N.V. raised its revenue guidance. The French-Italian chipmaker jumped 6.4% after it saw a sharp rise in automotive and microcontrollers demand in the third quarter, setting it on course to top its 2020 forecast. Bayer AG shares fell as much as 13% in Frankfurt after the agriculture and pharma giant issued a profit warning. Engine maker Rolls-Royce Holdings Plc dropped after announcing a share sale. The UK’s FTSE 100 trims advance even as GBP falls; midcap FTSE 250 almost wipes gains of as much as 0.6%.

The recovery in euro zone manufacturing activity gathered pace last month but it was largely driven by strength in powerhouse Germany, and rising coronavirus cases across the region may yet reverse the upturn, a survey showed. The Euro area manufacturing PMI for September was unrevised from its flash estimate of 53.7, primarily reflecting partially offsetting revisions to the German (-0.2pt) and French (+0.3pt) counterparts, and somewhat stronger PMIs elsewhere than initially implied. The Italian manufacturing PMI rose only modestly further (below expectations), whereas the Spanish counterpart rose more notably (above expectations). The composition of both the Italian and Spanish readings was mixed, with some commonalities such as (i) weaker domestic but stronger foreign demand, and (ii) relative weakness in consumer goods and strength in investment goods.

Commenting on the data, Goldman said that “the September manufacturing PMI readings across the Euro area suggest the recovery in the industrial sector has continued, reflecting a net positive impulse despite (primarily domestic) headwinds amid a recovery in global industrial activity.”

Earlier in the session, the Tokyo Stock Exchange halted trading for the entire day Thursday. Japan Exchange Group, the operator of the TSE, said the problem occurred due to a failed switchover to backups following a hardware breakdown. The exchange will replace hardware and restart its system, aiming to resume trading as normal on Friday. Elsewhere, Asian stocks gained, led by materials and finance, after falling in the last session. The Topix was little changed, with Kyokuyo rising and Kyokuyo falling the most.

In rates, US Treasuries have been under modest selling pressure after S&P 500 E-mini futures breached Wednesday’s highs, gaining as much as 1%. The long-end yields are cheaper by ~2bp, steepening 2s10s, 5s30s by ~1bp each; 10-year, higher by 1.7bp at 0.70%, trails bunds and gilts by ~1bp. 30-year rose as much as 2.7bp to 1.482% in European trading.

In FX, the dollar slipped against most of its G-10 peers even though trading was muted in Asian session with Hong Kong and China shut for a holiday. The weakness continue what was the worst quarter for the dollar in more than three years.

The Bloomberg Dollar Spot Index slipped, yet came off a an early London session low as a rally in equities lost steam. The pound sank versus the euro after the European Union started legal proceedings against the U.K. over Prime Minister Boris Johnson’s plan to breach terms of its Brexit divorce deal. However, pound options traders are in no rush to hedge the risk of a sharp decline in the U.K. currency due to Brexit risks, according to Bloomberg. The Australian and New Zealand dollars rose to a one-week high as gains in U.S. stock futures and China’s yuan lift sentiment.

In commodities, crude futures continued to decline in tandem with sentiment in Europe as Brexit remains in the doldrums while crude-specific news-flow for the complex remains light; as participants look towards the day’s European Council gathering & key US data. WTI Nov trades on either side of USD 40/bbl (vs. high 40.47/bbl) whilst Brent Dec oscillates around the USD 42/bbl mark (vs. high 42.55/bbl). Elsewhere, spot gold remains capped by the USD 1900/oz mark as the yellow metal failed another jab at the psychosocial levels, whilst spot silver retraces some of yesterday’s losses and sees itself north of 23.50/oz.

With a clutch of better-than-expected data also boosting sentiment in the previous session, investors will turn to consumer spending figures for August and the latest batch of weekly jobless claims on Thursday to gauge the pace of the domestic economic recovery. Initial jobless claims are not expected to show much improvement from last week’s 870,000 total when the data is released at 8:30 a.m. Eastern Time. The number comes as more companies announce they are going to move ahead with layoffs with American Airlines Group and United Airlines Holdings cutting a combined 32,000 positions. Goldman Sachs Group is also swinging the ax. Increasingly, signs are pointing to the rapid rebound in activity in the third quarter grinding to a near halt, according to Bloomberg. September data on the manufacturing sector is also due at 10 a.m. ET, while the Labor Department’s jobs report is scheduled for release on Friday.

Looking at today’s session, U.S. economic data includes initial jobless claims and August personal income and spending (includes PCE deflator) at 8:30am, final September Markit manufacturing PMI (9:45am), August construction spending and September ISM manufacturing (10am); jobs report is ahead Friday.

Market Snapshot

  • S&P 500 futures up 0.6% to 3,372.75
  • STOXX Europe 600 up 0.3% to 362.31
  • MXAP up 0.4% to 170.66
  • MXAPJ up 0.6% to 560.29
  • Nikkei unchanged at 23,185.12
  • Topix unchanged at 1,625.49
  • Hang Seng Index up 0.8% to 23,459.05
  • Shanghai Composite down 0.2% to 3,218.05
  • Sensex up 1.6% to 38,668.04
  • Australia S&P/ASX 200 up 1% to 5,872.93
  • Kospi up 0.9% to 2,327.89
  • German 10Y yield rose 0.3 bps to -0.519%
  • Euro up 0.03% to $1.1725
  • Brent Futures down 0.8% to $41.98/bbl
  • Italian 10Y yield rose 1.4 bps to 0.662%
  • Spanish 10Y yield rose 0.3 bps to 0.251%
  • Brent Futures down 0.8% to $41.98/bbl
  • Gold spot up 0.5% to $1,894.65
  • U.S. Dollar Index down 0.02% to 93.86

Top Overnight News from Bloomberg

  • President Donald Trump signed stopgap spending legislation early Thursday to avert a government shutdown weeks before the presidential election, the White House said
  • U.S. Treasury Secretary Steven Mnuchin and House Speaker Nancy Pelosi plan to resume discussions Thursday on a new pandemic relief package, racing against the clock to resolve their differences on another round of coronavirus stimulus
  • The European Commission will on Thursday send a “letter of formal notice” to the U.K. for breaching the terms of the Withdrawal Agreement, a person familiar with the matter says
  • The ECB’s emergency stimulus has propelled excess cash sloshing around the euro area’s economy past 3 trillion euros ($3.5 trillion) for the first time
  • The Tokyo Stock Exchange halted trading for the entire day Thursday, freezing buying and selling in thousands of companies in the worst-ever outage for the world’s third-largest bourse
  • Sweden’s Riksbank said in the minutes of its latest monetary policy meeting that if there is a need for more monetary policy stimulus, further expansion of the balance sheet remains an important tool

A quick look at global markets courtesy of NewsSquawk

European cash indices trade with modest gains (Eurostoxx 50 +0.3%), albeit off best levels as Q4 gets underway. Direction is potentially in part due to gains in US equity index futures, which remain elevated near yesterday’s best levels as policymakers in Capitol Hill continue to attempt to broker some form of agreement on COVID-19 stimulus. Focus ahead, will likely be on whether the administration and Democrats can bridge the gap between their respective USD 1.62trl and USD 2.2trl offers respectively and then ultimately whether any agreed deal can make its way through Congress; failure to do so at this juncture will likely mean that the US will not receive a fiscal boost until after the November election. From a European perspective, the DAX (+0.2%) has been a modest laggard throughout the session amid losses in index-heavyweight Bayer (-10.5%) after the Co. announced it is intending to cut around EUR 1.5bln in annual costs whilst citing weakness in the agricultural sector, which desks suggest further undermines the efficacy of the Co.s’ purchase of Monsanto. From a sector standpoint, retail names have been underpinned by upside in H&M (+6.6%) after its Q3 update posted a beat on expectations and revealed plans to lower its store count by 250 in 2021. IT names are also firmer this morning after prelim Q3 earnings from STMicroelectronics (+5.8%) saw the Co. raise its net revenue outlook for the quarter to USD 2.67bln from USD 2.45bln whilst nothing that Q3 was fuelled by “significantly better than expected market conditions throughout the quarter”; peers such as Infineon (+5.7%) and Dialog Semiconductor (+4.1%) have been seen higher in sympathy. Elsewhere, travel & leisure names are the clear laggard in the region with losses in airline names such as IAG (-3.9%), easyJet (-2.3%) and Ryanair (-2%). Finally, Rolls-Royce (-9.5%) have faced heavy selling pressure throughout the session after the Co. announced a GBP 2bln rights issue alongside the intention to begin a bond offering raising at a minimum of GBP 1bln.

Top European News

  • Brexit Prompts 7,500 City Jobs, $1.6 Trillion to Leave U.K.
  • H&M German Unit Fined $41.4 Million for Snooping on Staff
  • ECB’s Overnight Funding Rate Falls to Record Low Amid Cash Glut
  • UniCredit CEO Says M&A Isn’t a ‘Panacea’ for His Bank

Asia-Pac markets were quiet, owing to the closures in key bourses across the region with China, Hong Kong, Taiwan and South Korea all observing holidays, while trade in Japan was also mired by system issues for the Tokyo Stock Exchange which forced JPX to announce a halt of trade for the entire day. The lack of participants resulted in an uneventful overnight session; however, the mood was still positive as US equity futures extended on gains which had been attributed to month-end flows, strong data and increased stimulus hopes. This was after attempts by US Treasury Secretary Mnuchin and House Speaker Pelosi to reach an agreement on COVID relief and although progress was said to have been made, an actual deal remained elusive and House Democrats were forced to postpone the vote on their USD 2.2tln bill to Thursday to allow more time for talks with the White House. ASX 200 (+1.0%) traded with firm gains and surged above the 5,900 level with the index underpinned as miners led the broad strength in all its sectors, while Nikkei 225 remained suspended alongside Tokyo trade but Osaka futures were higher by 0.2% with a mild lift provided by the tailwinds from US and amid reports Japan is to consider further stimulus to address the pandemic. There was also mixed Tankan data which despite mostly missing expectations including on the headline Large Manufacturers Index, it still showed an improvement of the index for the first time in 11 quarters and Large All Industry Capex also topped estimates. Finally, 10yr JGBs futures were steady just above the 152.00 psychological level with price action contained as firmer results in the 10yr JGB auction was nullified by the system issues in Tokyo.

Top Asian News

  • Rare Ouster of Indian Bank CEOs to Spur Drive to Find Suitors
  • Top India Carmaker’s Sales Soar to 2-Year High After Lockdown
  • Global Investors Sell Record Japanese Debt as FX Swaps Sour
  • Korea Exports Rise in September for First Time Since Pandemic

In FX, sterling stands as the marked underperformer with initial downside sparked by source reports that the UK and EU have failed to narrow differences on State Aid in trade talks, whilst notably, a senior diplomat said the final agreement will be contingent on the UK withdrawing the Internal Market Bill – a move the UK PM previously rejected, citing UK safeguards. Thereafter, the European Commission President announced that Brussels will begin infringement proceedings against the UK for the breach of the Withdrawal Agreement, again in relation to the IMB. As such, Cable slid from an overnight high of 1.2950 to print a base at 1.2820 before stabilising, whilst EUR/GBP was propelled from 0.9070 to a high just shy of 0.9150. EUR/USD meanwhile has been under some pressure, potentially on Dollar-follow-through from the Sterling weakness as final manufacturing PMIs and an in-line EZ unemployment rate were brushed aside, with the pair briefly dipping below 1.1725 (vs. high 1.1758), whilst today’s NY cut sees a raft of large EUR/USD opex including some EUR 1.175bln rolling off between 1.1700-50 and EUR 2bln between 1.1680-85.

  • DXY – The broader Dollar and index remain within a tight range but off worst levels with the aid of the aforementioned Sterling weakness, with overnight losses a function of the then upbeat sentiment across markets, with talks on State-side stimulus still in limbo but the two sides seemingly in tense negotiations for an agreement. DXY resides around the middle of its current 93.614-876 intraday band, with downside levels including the 50 DMA at the 93.50 psychological level. The Buck now eyes US PCE Price Index and ISM Manufacturing PMI, alongside another wave of Fed speakers, relief bill talks and the fallout from the Special European Council Summit.
  • AUD, NZD, CAD – The non-US Dollars stand as the G10 gainers and hold onto APAC upside which was fuelled by overnight sentiment coupled with a firm CNH performance in the absence of the PBoC, and amidst a lack of pertinent data. AUD/USD trades just below 0.7200 having had tested the level to the upside overnight. A breach to the upside would open the door to the 50 and 21 DMAs at 0.7206 and 0.7211 respectively. The Kiwi similarly remains buoyed with a 0.6600+ status but just shy of the 0.6650 psychological level vs. the USD which lines up with the 21DMA. The Loonie’s gains meanwhile are to a lesser extent as the decline in oil prices weigh on the currency, but nonetheless USD/CAD meanders around 1.3300 having printed a current range of 1.3280-3327.
  • JPY – Shallow losses for the JPY but seemingly on Dollar-dynamics after the technical glitch in Tokyo stock markets. USD/JPY sees itself a touch above 105.50 as it eyes Tuesday’s high at 105.73 and the 50 DMA at 105.75. Note: today’s notable option expiries see USD 1.6bln at 105, USD 1.1bln between 105.30-35 and USD 1.4bln between 105.70-80.

In Commodities, WTI and Brent futures continue to decline in tandem with sentiment in Europe as Brexit remains in the doldrums with the EU readying legal actions against the UK on breaches of “good faith”, whilst crude-specific news-flow for the complex remains light; as participants look towards the day’s European Council gathering & key US data. WTI Nov trades on either side of USD 40/bbl (vs. high 40.47/bbl) whilst Brent Dec oscillates around the USD 42/bbl mark (vs. high 42.55/bbl). Elsewhere, spot gold remains capped by the USD 1900/oz mark as the yellow metal failed another jab at the psychosocial levels, whilst spot silver retraces some of yesterday’s losses and sees itself north of 23.50/oz. Finally, LME copper prices have retreated from earlier highs as the red metal tracks losses in stock markets, Dollar dynamics and overall sentiment.

US Event Calendar

  • 8:30am: Initial Jobless Claims, est. 850,000, prior 870,000; Continuing Claims, est. 12.2m, prior 12.6m
  • 8:30am: Personal Income, est. -2.5%, prior 0.4%; Personal Spending, est. 0.8%, prior 1.9%
  • 9:45am: Markit US Manufacturing PMI, est. 53.5, prior 53.5;
  • 10am: Construction Spending MoM, est. 0.7%, prior 0.1%
  • 10am: ISM Manufacturing, est. 56.4, prior 56; New Orders, est. 65.2, prior 67.6; Prices Paid, est. 58.8, prior 59.5
  • Wards Total Vehicle Sales, est. 15.7m, prior 15.2m

DB’s Jim Reid concludes the overnight wrap

Welcome to October and the last quarter of what has been a decidedly strange year. Markets rounded off a fairly solid Q3 yesterday, even if September was more difficult. The quarter ended on a decent note though, as hopes rose among investors that a US stimulus deal might finally be reached between Republicans and Democrats, even if we were off the highs for the session as nothing materialised from talks. Henry is publishing the latest monthly, quarterly and YTD performance numbers in the next hour so watch out for that. As a spoiler the worst performer in September was the best in Q3. I’ll let you guess what that was before the note hits your inbox.

In terms of yesterday’s developments, the day started with higher expectations on the US fiscal front as Treasury Secretary Mnuchin said on CNBC that he hoped to have an “understanding” worked out with Speaker Pelosi by today. However after having met Pelosi for around 90 minutes yesterday, Mnuchin said that there was no agreement on an additional stimulus package. He tried to keep the mood upbeat, saying “we’ve made progress in a lot of areas.” Pelosi agreed in her own statement, “we found areas where we are seeking further clarification. Our conversations will continue.” The House was supposed to vote on the most recent Democratic proposal for a $2.2 trillion package overnight but it seems that’s now today’s business. That bill will likely be dead on arrival in the Republican Senate, where Senate Majority Leader McConnell called it “outlandish”. McConnell has tempered expectations quite a bit, saying the two sides were “very, very far apart on a deal.” Overnight, the Roll Call has reported that Mnuchin has offered a $1.62t relief proposal to Pelosi which includes more state and local assistance than Republican negotiators had previously offered and $400 per week in unemployment insurance.

The earlier initial hopes that a stimulus deal might soon be reached were a boon for risk assets, as the S&P 500 was up +1.74% intra-day. However after Mnuchin and McConnell’s comments the broad index retraced over 1.5% before a slight rally into the close saw the S&P finish +0.83%. Elsewhere the NASDAQ followed a similar pattern, finishing well off its highs, but closing up +0.74%. In Europe, the STOXX 600 fell -0.11% as fiscal stimulus was an issue as well, with Germany warning that delays to the European Union’s Recovery Fund were inevitable given disputes between member countries.

The net positive sentiment in the US was further supported by some positive data surprises. To start with, the ADP’s report of private payrolls in September showed a +749k increase (vs. +649k expected), while the previous month’s figure was revised up by +53k. Furthermore, pending home sales in August saw an +8.8% increase (vs. +3.1% expected), and the MNI Chicago PMI rose to 62.4 in September (vs. 52.0 expected), which was its highest level since December 2018.

Overnight in Asia, the markets which are open are mostly trading up including the Asx (+1.58%) and India’s Nifty (+1.14%). Futures on the S&P 500 are also up +0.51%. Japanese bourses have halted trading for the whole session following a serious hardware breakdown at the Tokyo Stock Exchange. This is the worst breakdown that the world’s third-largest bourse has ever suffered. Currently, there is no guidance on if trading will resume tomorrow. Meanwhile markets in China, Hong Kong and South Korea are closed for a holiday. Chinese markets will remain closed for a week. In Fx, the US dollar index is trading down -0.21%. Elsewhere, spot gold and silver prices are up +0.36% and +1.33% respectively.

In overnight news, President Donald Trump signed an executive order aimed at expanding domestic production of rare-earth minerals vital to most manufacturing sectors and reducing dependence on China. Meanwhile, the Fed has extended through the rest of the year its constraints on dividend payments and share buybacks for the biggest US banks citing “economic uncertainty from the coronavirus response” and the need for the banking industry to preserve capital. Elsewhere, Bloomberg has reported the White House is planning to announce an investigation into Vietnam’s currency practices, under section 301 of the 1974 Trade Act, after the Departments of Commerce and Treasury in August determined that Vietnam had manipulated its currency in a specific trade case involving tires.

The main data highlight of the day ahead will be the manufacturing PMIs from major economies. We have already seen the Jibun Bank Japan PMI come in at 47.7 (vs flash 47.3). In the West, the flash readings generally showed global manufacturing PMIs in expansion territory and roughly in line with expectations, whereas the services readings disappointed. In the Euro Area, the flash manufacturing PMI rose to 53.7, the highest reading since August 2018. While Germany’s flash manufacturing PMI rose to 56.6, not every region saw robust momentum with France (50.9) closer to the 50pt line that divides expansion and contraction. The US ISM manufacturing reading was quite strong last month at 56.0 and the market is expecting 56.4 today. It will be key to see if a recent pickup of covid-19 cases in the Midwest (particularly towards the latter end of the month) affect any momentum. Similarly if the rising coronavirus cases and reintroduction of some restrictions in Europe have affected data there.

In terms of the coronavirus itself, Spain became the most recent country to order restrictions on movement and social gatherings. Spanish Health Minister Illa indicated that a majority of the 17 regions of Spain agreed to the new rules which will limit public services and retail to 50% capacity and install a 10pm closing hour. The measures are meant to target regions with more than 50 infections per 10,000 people or where ICU capacity is strained, currently including Madrid. In the UK, the government reached a compromise with rebel Conservative MPs, as the Health Secretary announced that MPs would be able to have a vote on national regulations before they come into force “wherever possible”. It came as a further 7,121 cases were reported yesterday, pushing the 7-day average up to 6,220. Elsewhere in New York City, the positivity rate fell back to 0.94%, a day after it had been above the 3% threshold which if maintained over a 7-day rolling average could trigger school closures. At the moment, the 7-day rolling average is at 1.46%. See our table below for all the latest Covid cases numbers. The rolling 7-day number remains our focus. Also as we showed in our CoTD link here yesterday, covid has moved up to 20th in the list of the worst pandemics in history. Find out in the note how far it could end up going by looking at other pandemics through history.

Overnight we also saw some vaccine related news, with the CEO of Moderna saying that the company would not be ready to seek emergency use authorisation from the US FDA before November 25 at the earliest. He also added that the company doesn’t expect to have full approval to distribute the drug to all sections of the population until next spring. On the positive side, Bloomberg reported that the European Medicines Agency is expected to announce an accelerated “rolling review” for the University of Oxford and AstraZeneca Plc vaccine candidate as soon as this week to grant it an emergency approval. Such reviews allow regulators to see trial data while the development is ongoing to speed up approvals of drugs and vaccines. The move comes even as the US FDA widened its investigation of a serious illness in AstraZeneca’s vaccine study by asking for data from earlier trials of similar vaccines developed by the same scientists.

As investors moved away from safe havens, the dollar index (-0.01%) fell for a 3rd consecutive session, which concluded a quarter in which the greenback had weakened -3.51% in its worst performance since Q2 2017. And sovereign bonds also sold off on both sides of the Atlantic, with 10yr Treasury yields climbing +2.79bps to reach 0.684%, while in Europe 10yr bunds (+2.3bps), OATs (+2.4bps) and BTPs (+1.5bps) all saw yields rise.

Staying on Europe, following the weak German inflation print on Tuesday, both the French and Italian readings similarly showed readings that were below expectations. In Italy, inflation fell to -0.9% (vs. -0.4% expected), while over in France, inflation came in at 0.0% (vs. +0.2% expected), which was the lowest since April 2016. We’ll get the flash reading for the whole Euro Area on Friday, but given the Euro’s +4.34% appreciation against the US dollar over Q3, the figures will represent yet more unwelcome news for ECB policymakers.

On the US election, there wasn’t a lot of news yesterday following the raucous presidential debate we covered yesterday, and we won’t find out if there’s been any impact on the polls for a few days yet. Nevertheless, the betting/prediction markets have shifted somewhat in Biden’s favour in the last 24 hours, probably because there is little that’s likely to jolt the race out of the current dynamic with a persistent Biden lead in the mid-to-high single digits. The next set-piece event is on Wednesday, with the Vice-Presidential Debate between incumbent VP Mike Pence and California Senator Kamala Harris.

To the day ahead now, and as mentioned earlier the manufacturing PMIs from around the world will be the main data highlight. Otherwise, there’s also the Euro Area unemployment rate for August, the weekly initial jobless claims from the US, as well as US data on personal income, personal spending and construction spending for August. From central banks, we’ll hear from the ECB’s Lane and Hernandez de Cos, the BoE’s Haldane, and the Fed’s Williams and Bowman. Finally, EU leaders will gather in Brussels for a Special European Council summit.

 

3A/ASIAN AFFAIRS

i)THURSDAY MORNING/ WEDNESDAY NIGHT: 

SHANGHAI CLOSED GOLDEN WEEK  //Hang Sang CLOSED GOLDEN WEEK   /The Nikkei closed //MALFUNCTION//Australia’s all ordinaires CLOSED UP 1.00%

/Chinese yuan (ONSHORE) closed UP  at 6.7903 /Oil UP TO 57.21 dollars per barrel for WTI and 64.13 for Brent. Stocks in Europe OPENED GREEN//  ONSHORE YUAN CLOSED UP // LAST AT 6.7903 AGAINST THE DOLLAR. OFFSHORE YUAN CLOSED UP ON THE DOLLAR AT 6.7356 TRADE TALKS STALL//YUAN LEVELS GETTING DANGEROUSLY CLOSE TO 7:1//TRUMP INITIATES A NEW 25% TARIFFS FRIDAY/MAY 10/MAJOR PROBLEMS AT HUAWEI /CFO ARRESTED  : /ONSHORE YUAN TRADING BELOW LEVEL OF OFFSHORE YUAN/ONSHORE YUAN TRADING STRONGER AGAINST USA DOLLAR/OFFSHORE YUAN TRADING STRONGER AGAINST THE DOLLAR /TRADE DEAL NOW DEAD..TRUMP  RAISED RATES TO 25%

 

 

3 a./NORTH KOREA/ SOUTH KOREA

South Korea

 

b) REPORT ON JAPAN

Malfunction in Japan

(zerohedge)

Japan’s Stock Exchange Halts All Trading “Due To Network Issue”

As Asian markets open for the start of Q4 trading, Japanese markets have hit a ‘glitch’ resulting in the halting of all buying and selling of securities.

Tokyo Stock Exchange operator Japan Exchange Group said in a statement:

We would like to express our sincere gratitude for your exceptional support for the operation of the Securities Market on this exchange.

Today, there is a failure to deliver market information, and we are pleased to let you know that we will stop buying and selling all stocks on the Tokyo Stock Exchange.

At the same time, it is not possible to accept orders from that time.

Recovery is currently undecided, but we will contact you again about future plans.

Seems like it’s a system-wide issue:

  • *NIKKEI, TOPIX ARE NOT TRADING DUE TO SYSTEM ISSUE
  • *JPX: TOSTNET ALSO NOT EXECUTING TRADES
  • *JAPAN SAPPORO EXCHANGE ALSO HALTS TRADING
  • *JAPAN NAGOYA STOCK EXCHANGE ALSO EXPERIENCING SYSTEM ISSUES

Nikkei futures are modestly lower with the halt…

And Yen is weaker…

3 C CHINA

4/EUROPEAN AFFAIRS

EU/UK

What a riot! The EU launches “legal proceedings” against the UK Parliament over their inclusion of the “intermarket bill”.  The UK has no intention of paying the huge exit fees demanded by the EU

(zerohedge)

EU Launches ‘Legal Proceedings’ Over UK ‘Intermarket’ Bill As Brexit Talks Enter Final Round

Political theater has long been a defining feature of the negotiations between the UK and EU, whether over the initial withdrawal treaty that created a year-long transition period allowing the two sides time to negotiate a comprehensive UK-EU trade agreement. Given that political considerations will always be paramount for both London and Brussels, the two sides must pull off a difficult balancing act if an agreement is to be reached: They must both appear to be taking a hard line, and each side must be able to sell the narrative that they extracted concessions from the other.

This is why the talks under former PM Theresa May were often so infuriating, with neither side giving an inch until the British people in effect approved Brexit for a second time when they sent the Tories back to the Commons with a reinvigorated majority, under the leadership of PM Boris Johnson.

Well, the political brinksmanship between the two belligerents entered a new phase on Thursday when European Commission President Ursula von der Leyen initiated legal action against the UK over the Intermarket Bill, just as Brussels promised.

To express its objections to the Intermarket Bill, the EU is sending a “letter of formal notice” to London notifying BoJo’s government that it’s on the verge of violating an international treaty, and that Brussels would activate the dispute-resolution mechanism outlined in the withdrawal agreement. Von der Leyen offered a terse statement on the matter Thursday morning. Here’s the transcript:

Good morning,

As you know, we had invited our British friends to remove the problematic parts of their draft Internal Market Bill by the end of September.

This draft Bill is – by its very nature – a breach of the obligation of good faith
laid down in the Withdrawal Agreement (Article 5).

Moreover, if adopted as is, it will be in full contradiction to the Protocol on Ireland / Northern Ireland.

The deadline lapsed yesterday.

The problematic provisions have not been removed.

Therefore, this morning, the Commission has decided to send a letter of formal notice to the UK government.

This is the first step in an infringement procedure.

The letter invites the UK government to send its observations within a month.

The Commission will continue to work hard towards a full and timely implementation of the Withdrawal Agreement.

We stand by our commitments.

Of course, the dispute resolution mechanism is a slow process, and with trade talks entering their ninth and final round this week, it’s clear BoJo is hoping to run out the clock to try and exert maximum pressure on the EU as his government seeks concessions on fisheries, and other matters. The government in London responded to the letter, saying it would respond in “due course”.

Tellingly, the spat over the Intermarket bill, which passed its final reading with zero ‘no’ votes from Tory MPs (even as former PM May denounced the measure as a violation of international law that undermined international trust in the UK) has not stopped negotiations, which are set to conclude on Friday. A crucial UK-EU summit is scheduled for mid-October, during which a trade deal is hoped to be finalized.

But if we’ve learned anything from the last three years of talks, it’s that the “final” summit is never really the end, as talks will inevitably burn down to the wire.

Bloomberg explains how the dispute-resolution mechanisms in the withdrawal treaty are supposed to work: The UK has agreed that for treaty obligations breached before the end of the transition period, it is still subject to rulings by the European Court of Justice for another four years. But the UK could simply ignore any adverse rulings or financial penalties, though that would be a clear treaty violation. Additionally, the Withdrawal Agreement provides for a five-member arbitration panel to rule on matters of non-compliance, and if the UK refuses to pay up, Brussels can unilaterally suspend the withdrawal agreement, setting the “hard Brexit” in motion.

Here’s a more comprehensive explanation from a professor of EU law:

BoJo has repeatedly argued that the Intermarket bill is a defense mechanism to prevent the re-emergence of a hard border on the island of Ireland by effectively overriding some of the commitments made by the UK in the withdrawal treaty – specifically, the Northern Ireland “provision” – better known as the Irish backstop. The backstop was intended to coerce London into striking a deal by risking the return of inter-UK trade barriers, specifically, a barrier between Northern Ireland and the rest of Great Britain in the Irish Sea.

Here’s more on the Intermarket Bill from the BBC:

The bill sets out rules for the operation of the UK internal market – trade between England, Scotland, Wales and Northern Ireland – after the end of the Brexit transition period in January.

It proposes:

  • No new checks on goods moving from Northern Ireland to Great Britain
  • Giving UK ministers powers to modify or “disapply” rules relating to the movement of goods that will come into force from 1 January if the UK and EU are unable to reach an alternative agreement through a trade deal
  • Powers to override previously agreed obligations on state aid – government support for businesses

As traders brace for the flurry of Brexit headlines, the pound sunk Thursday morning, falling 0.7% against the dollar and pushing the greenback higher to the chagrin of US equity bulls.

END

What is coming next:

important email from Robert H to me:

The sight from the mast

September 18.2020
 

The talk is that Europe is in a box it cannot get out of, as negative rates or non existent rates have run their course and have failed. Hastened by the blanket shutdowns over the virus which have caused enormous damage to the economy, that cannot be repaired any time soon. The result will be that all past debt will be declared PERPETUALas of January 1, 2021. If this does indeed occur, it will serve to confirm that Europe cannot borrow any longer and the central banks can not raise interest rates without blowing up their own balance sheets. What happens to bottomless country deficit spending is an unknown, as there is no consensus as to how to address new debt going forward or what the reaction will be. However, one can be sure will come to an end with many repercussions. Making debt perpetual is a simple confirmation of the fact you can no longer pay it back, so you make it interest only. What impact this will have on such asset holdings is not known as it depends on treatment of such asset holdings. The reality is that any attributed value to capital not redeemable is worthless as only interest payments have cash value. While perpetual value has zero liquidity value as it is a declared valuation where technically a default has occurred. What banks will do will be indeed fascinating. And what that means for the value of the Euro itself is a intriguing question. 

This is extraordinary, in that traditional economic thinking goes into the dustbin. Even in Canada, there is talk of zero or negative rates, which if implemented will lead to the same end. While in the short term driving all asset classes to higher values. 
The times are a-changing and so is investment outlook with new risks and opportunities as a new course will be charted. The blanket shutdowns over this virus has hastened the conclusion of failed economics and will result in a reset which will not be the the “Great Reset” planned for by socialist agendas as failure already exists before starting down this road. 
Watch for capital flows for direction, as astute money will flow to stay out of harms way and reposition itself. 
 
October1.2020
Currently, London is discussing using lockdowns to prevent climate change and the bank of England is discussing the use of negative interest rates at a time when Boris Johnson found out the hard way that his own party will stand against him, if he tries lockdowns without a parliamentary approval. Even in England, it seems the socialists of Europe want their boot stamp and the fight is on.  Perhaps Brexit has yet to achieve its’ desired goal of escape from the EU. And a this is prime reason for the spawn of the new Heritage Party in England. No doubt the socialist goal is cause Britain to go down the same path as the EU at the same time. If Britain avoids the boot stamp of the EU, it will gain some safe harbor for Capital fleeing the EU. Although, not to the same extent as America and not withstanding the contraction within its’ economy.
The world is quickly moving into very divided distinct camps of both monetary and political thinking. Klaus Schwab of the world economic forum (WEF) has successfully sold the idea to politicians that the global economy can be restructured in less than a year while Thomas Piketty, the socialist economist from France wants to confiscate all wealth and have be redistributed for economic equality. After all, the socialist believes in the collective and not the individual. You would think that parties with wealth would recognize this will mean their wealth. And you would have thought that various political parties would recognize that this will mean their demise as well, as in the collective socialist mind there is only one party and that is the ruling one. This is another example of corrupt flawed thinking that will further serve to damage the economy as opposed to transforming it into a growth economy. It seems every so often people come along with weird thinking that they with the help of others impose on the public in failure that destroys societies for long periods of time. It is truly remarkable that history needs to repeat over and over again with its’ lessons ignored by some people who believe history has no lessons for them. It is also curious how wealth in Europe can be maintained by families to chart a future through such chaotic times approaching. Although, in Italy it would not be surprising to hear next year of socialists hung by villagers who remember the old ones who tried.
No doubt, the only way out for Europe as opposed to out right default is perpetual bonds, as the shell game of unwanted debt comes to a halt. Otherwise, politicians will have to accept blame and Central banks will need to admit failure of policies.  Europe will also move to digital currency simultaneously and the reason is to prevent bank runs. Already there is a hoarding of Euro cash and Swiss Francs by people as well as USD. And whether international credits by European Banks will mean much remains to be tested as these banks hold debt that will become Perpetual. And how that is valued or used will prove interesting as no doubt it will impact the balance sheets of them and their customers, some of who also hold government debt which they use to borrow with. What is the intrinsic value of a perpetual bond remains to be seen, but it certainly is not par (100%). Watch out in the crypto markets as they will never allow crypto’s to interfere with the agenda nor will they allow capital to escape via cryptocurrencies without full taxation and digital redemptions. Expect a heavy-handed approach to all crypto holdings and requirements for declarations next year. Also expect drastic reporting on all miners of Crypto in the EU. In addition it is more than likely that one can expect interest rates to rise to perhaps 3-4% in Europe which will put pressure on North American rates, and cause flow of capital into America raising both the value of the dollar and the stock market. This will be more about capital safety then necessarily long-term believe in investment potential as the whole world seems to have embracing upheavals and chaos as the norm.
It seems that in Canada, Trudeau is now taking direction from the UN, as leader of the first post national state and having journalist Chrystia Freeland turned politician and now Minister of finance caring out the mandate of the WEF where she is a member of the board of trustees along with the UN and the WHO. So, do understand what is happening in Europe will be quickly be happening in Canada and capital will understand this long before the public wakes up, which will make any recovery in Canada much more difficult. Canada cannot recover quickly without large scale foreign investment and current policy will act as a deterrent. Capital likes stability and consistency and why a post national state means, does not send warm fuzzies to foreign capital which is more than likely to take a wait and see approach. And it would not be surprising to see Canada follow the footsteps of Europe by issuing perpetual bonds at some point in the future, coupled with a currency value decline. Other nations like Australia and New Zealand will no doubt beat the Canadians in the rush to digital currency and perpetual debt. And we should expect much separation angst within nations as upheavals progress through 2021 as this will by no means be a smooth transition and over time many countries will fragment into smaller ones.
The battle in America, is a Battle between left and right, socialism versus democracy. And the leaders of both political spectrum‘s each have their own flaws as individuals and characters but they do represent a simple choice. Trump made it very clear when  he spoke at the WEF that America will never be a socialistic country as long as he’s in power. The socialist movement needs to gain traction in America to successfully pull off what is already moving in Europe; or accept failure upon commencement.  If Trump is defeated,  one can expect a quick movement to full socialism in America as Biden has already declared that he will rejoin the Paris accord on climate change. And that will be the move to place America under the auspice of policies and goals of people like Thomas Piketty and Klaus Schwab and Gates with his Eugenics aspirations. And not to be left flat footed the Fed seems ready to dust the covers off a digital dollar if the Democrats get in short order. Why, you ask? Because if the US remains as is, it will continue to be the currency of choice and a safe harbor for capital and it will continue to be the only major player who did not default on its’ debts. As in Europe, a move to perpetual bonds is in fact a default, regardless of what is said. Global capital will see this as a EU failure and react accordingly contrary to what the pipers of the current plan pipe. Whether importers remain comfortable with Euro payments will be doubtful as one should expect extreme currency swings as people look to establish new parameters of value and risk. This will no doubt be a positive for the metal markets who traditionally do well in times of upheaval. And there is no question that this move will be a blow to China in its’ attempt to seek a consumer market in Europe which will shrink. And this will have further fallout because as it is many Chinese companies are under a wall of non serviceable debt thanks growing quickly.
Do expect much more chaos and noise as we move through this quarter and witness the outcome of elections in America in early November.”

5. RUSSIAN AND MIDDLE EASTERN AFFAIRS

Azerbaijan/Armenia/Turkey

Huge war casualties in the 1000’s..Azerbaijan claims destruction of Armenia’s S 300 system

(South Front)

War Casualties Reported In The 1000s As Azerbaijan Claims Destruction Of Armenian S-300 System

Submitted by SouthFront,

On September 30, the Azerbaijani-Armenian war entered its third day with another increase in casualties and victorious communiqués from both sides…

In the morning, the Azerbaijani Defense Ministry claimed that its forces had put out of service an Armenian S-300 long-range air defense system near the village of Shushakend in the Khojaly District of the Nagorno-Karabakh Region. How the long-range system might have appeared near the contact line in the contested region remains a mystery. Unfortunately, the Azerbaijani troops and media units at the site were not able to film a video to explain the situation. Apparently, their phones and cameras must have run out of power.

Meanwhile, the Azerbaijani Defense Ministry announced that its forces had killed or injured up to 2,300 Armenian soldiers or officers, as well as eliminated up to 130 battle tanks and other equipment pieces, over 200 artillery guns and rocket launchers, 25 air defense systems, 6 HQs, 5 weapon depots, up to 50 anti-tank weapons and 55 vehicles.

The Azerbaijani side insists that its forces have victoriously repelled Armenian attacks in the Madagiza area. Clashes, artillery duels and drone strikes are being reported along the entire contact line in the contested region.

Earlier, the Azerbaijani Defense Ministry reported that its artillery strikes pounded positions of the 1st battalion of Armenia’s 5th Motorized Rifle Regiment near Gasangaya in the Tartar area and the 1st battalion of the 6th Motorized Rifle Regiment in the Talysh area. Azerbaijan claims that the Armenian military suffered heavy losses and has been facing difficulties in finding equipment to organize the evacuation of the dead and wounded.

As of September 30, the rhetoric of the Azerbaijani side shifted from declaring regular gains in the battle against Armenian forces to claiming that Armenian attacks on positions captured in the first day of the war had been successfully repelled. This, as is typical of war-time propaganda, attempts to deflect from the lack of notable gains on the ground despite the successful and active use of artillery, Turkish Bayraktar TB combat drones and Israeli Harpy loitering munitions. The Azerbaijani media has also been actively preparing the nation for a prolonged war by releasing multiple reports and explanations that Azerbaijan should be interested in a war of attrition to exhaust Armenian forces and to teach the Armenians a ‘lesson’.

The Armenian Defense Ministry is not lagging behind its Azerbaijani counterparts. On the evening of  September 29 , it claimed that since the morning of September 27, about 790 Azerbaijani servicemen had been killed and 1,900 people injured in the conflict, which had erupted in the Nagorno-Karabakh region. The Armenian military also claimed that its forces had destroyed 137 units of military equipment, including battle tanks, 72 drones, 7 helicopters and a military plane.

The Armenian side, including top officials of the Nagorno-Karabakh Republic and Armenia itself, insist that Turkey has been directly supporting Azerbaijan in this war. This support allegedly includes not only diplomatic support, but also military planning, intelligence assistance, the deployment of military advisers and special forces, weapon supplies and even direct participation of various Turkish units in the clashes. On September 29, they even reported that a Turkish F-16 fighter jet deployed in Azerbaiijan shot down an Armenian Su-25 warplane in order to provide air cover to combat drones, which were striking targets inside Armenia. Both Turkey and Azerbaijan denied this. As of now, the mysterious F-16 looks every bit as perplexing as the ghost S-300 system somehow found by Azerbaijan near the contact line in Karabakh.

At the same time, neither side seems to be interested in a resumption of the ceasefire. Instead, both Armenia and Azerbaijan declare their goal to be delivering a military defeat to their opponent. Azerbaijani President Ilham Aliyev said that there are no prospects for peace with Armenia as their position is unacceptable. “The Armenian Prime Minister publicly declares that Karabakh is Armenia, period. In this case, we cannot talk about any kind of negotiation process,” Aliyev said. Earlier he vowed to settle the Karabakh question by returning control over the contested region to Azerbaijan. In their own turn, the President of the Nagorno-Karabakh Republic,  thus speaking for Armenia, declared that the Armenians are not interested in requesting a ceasefire. Instead, he said, they will force the enemy to ask for it.

end
RUSSIA/Navalny

This is very very fishy to me…if Russia realLy wanted to poison him with Novichok both he and Skripal would be dead long ago

(zerohedge)

Kremlin Alleges Navalny Is “Working With CIA” After Bombshell Charge: ‘Putin Poisoned Me!’

The controversy and mystery surrounding the alleged poisoning of Russian activist and opposition figure Alexey Navalny just escalated dramatically upon the first published full media interview with Navalny, who after recovering in a German hospital was recently released. The bombshell interview with German newsmagazine Der Spiegel hit the web Thursday. Navalny alleged directly that Putin was behind the poisoning, saying he had “no other explanation for what happened.” 

“Putin is behind the crime,” Navalny said in the newly published interview. “I have no other versions of the crime. I am not saying this to flatter myself, but on the basis of facts.” And for the first time he described harrowing details aboard the Russian flight where he fell unconscious:

“I leave the toilet, turn to the steward – and instead of asking for help, I say, to my own surprise: ‘I’ve been poisoned. I’m dying.’ And then I lay down on the ground in front of him to die.”

 

Russian activist and opposition figure Alexei Navalny, Getty Images

Navalny has only recently fully recovered and left the hospital. Much of the interview was focused on Germany’s intervention in the saga, which began with an emergency medical transport flight across Russian borders and all the way to Berlin, where he was later even visited by Chancellor Angela Merkel.

“They were waiting for me to die,” Navalny said of the Russians who he says poisoned him. “The Russian leadership has developed such an inclination to poison that it will not stop so soon,” he said. “My medical history will yet become instructive.”

This after German officials last month alleged the poison was from the ‘Novichok’ family — a Cold War era military grade nerve-agent which was developed only by the Soviet Union, which critics of the story say is bizarre given how “obvious” Russian fingerprints behind such an “assassination attempt” would be.

Navalny tells Der Spiegel: “I assert that Putin was behind the crime.”

And there’s also the fact that prior to the alleged poisoning of a ‘popular opposition leader’ the reality is that a huge chunk of the Russian population may have never heard of him:

The ‘western’ media jumped onto the ‘Navalny was poisoned’ claim to heap the usual trash on Russia. They also claimed that Navalny is the ‘opposition leader’ in Russia even as he polls at 2% which is lower than the leader of the communist party and several other real opposition politicians.

Der Spiegel acknowledges at one point in the interview that prior to the poisoning incident, he was largely unknown to Europe or the rest of the world:

The Kremlin has an explanation, apparently. Within hours after Navalny pointing the finger directly at President Putin, the Russian president’s spokesman Dmitry Peskov said this was all “probably” a CIA operation.

The official Russian response is now being widely reported via state media sources:

Western intelligence agencies – in particular, agents from the American CIA – are working with Russian opposition figure Alexey Navalny, Vladimir Putin’s spokesman alleged on Thursday.

“Probably, it is not the patient [Navalny] who works for the Western special services, but that the Western intelligence services who work with him – this would be more correct [to say],” Dmitry Peskov explained.  “I can even be specific: these days, specialists from the Central Intelligence Agency (CIA) of the United States of America are working with him.”

“This isn’t the first time he’s been given different instructions,” the spokesman continued. “The instructions given to the patient are obvious. We have seen such patterns of behavior on more than one occasion.”

This bombshell accusation against Navalny also comes after Russia has been persistent in demanding further, independently obtained evidence from Germany. It appears the statement also referenced the “pattern” of accusations which surrounded the Skripal case in the UK.

Also on the question of Navalny being an “exile” from Russia, Peskov emphasized he can return to his homeland at any time.

“Any citizen of Russia can return to his homeland at any time,” the Kremlin spokesman said. “Treatment can take place in our country, in fact, almost all people avail of this. Lives are saved in our country, and the life of this patient was also saved in Russia.”

end

6.Global Issues

WHO/CORONAVIRUS UPDATE

WHO Begs For Billions To Support Global COVID-19 Vaccinations, Israel Sees Another Daily Record: Live Updates

Summary:

  • CDC extends ‘no sail’ order until end of Oct. amid controversy
  • WHO begs for more money for global vaccine effort
  • New restrictions imposed in Spain, UK
  • Germany sees another jump in cases
  • Europe supports expedited review for AZ-Oxford vaccine
  • Texas virus hospitalizations jump

* * *

Last week, the CDC quietly published its latest calculations on the ‘Infection-Fatality’ Ratio, which found that Americans under the age of 70 have a 99%+ chance of surviving a bout of COVID-19. But as President Trump’s political opponents continued to castigate the CDC for the appearance of political interference, the agency last night ordered an extension of its “no sail” order until the end of October, following a New York Times report claiming that the administration had “blocked” a longer extension until February at the behest of the tourism industry.

To be sure, in Europe, national governments in Spain and France have undertaken many more consequential decisions to try and revive their flagging tourism industries. Last night, the CDC announced the extension until Oct. 31. The previous “no sail” order expired at midnight on Wednesday.

The White House denied the NYT’s claims that the decision was politically motivated.

Brian Morgenstern, the White House deputy press secretary, said that the administration’s cruise ship plans were not politically motivated. “The president, the vice president and the task force follow the science and data to implement policies that protect the public health and also facilitate the safe reopening of our country,” he said.

At any rate, the administration could simply extend the order again later this month when the new deadline approaches. Still, the report represents the latest embarrassment for the CDC, which last month elicited an outpouring of criticism after publishing guidance on airborne transmission, only to revoke it a few days later. The agency also angered epidemiologists when it declared that asymptomatic people who were recently in contact with a COVID-19 positive individual didn’t need to be tested.

Meanwhile, as Bill Gates urges developed nations to pour more money into vaccination efforts for low-income developing nations, the UN Secretary General Antonio Guterres declared Thursday that the world needs a “quantum leap in support” for the global vaccination plan to contain the pandemic. The UK, Canada, Germany and Sweden have already pledged nearly $1 billion to secure developing nations’ access to vaccines. But COVAX, the WHO-led organization that’s leading the charge, says it needs another $35 billion, on top of the $3 billion it has already received, of which $15 billion will be needed before the end of the year. Some 168 countries are already signed up.

Global cases of the virus are approaching 34 million, with a total of 33,832,124 as of Thursday morning at 0630ET, following a jump of 326,540…

 

…while the worldwide death toll has hit 1,012,341, after a jump of 6,407.

 

In Europe, the Spanish government ordered even more restrictions on movement in Madrid to try and slow the latest wave of infections. The new curbs will limit shops and public services to 50% capacity, while limiting operating hours to 10pm local time, with few exceptions. Local officials in Madrid agreed to implement the new measures, but said they might push back against them. In the UK, Health Secretary Matt Hancock announced new restrictions for areas in northern England to try and prevent the spread of the virus, warning that cases are “still rising”, even after a coterie of local officials wrote to Hancock asking him to ease up on the economy crushing restrictions in place in several cities in Northern England. The new measures require residents in the Liverpool region, as well as Warrington, Hartlepool and Middlesbrough, to be barred from meeting other households in all settings except outdoor public spaces. Residents are also advised to avoid sporting events while only visiting care homes in “exceptional circumstances.”

Across the Mediterranean, Israel posted yet another daily record, with 8,919 new cases reported in a single day, following a dip in confirmed cases over the holiday weekend. The new cases brought Israel’s total to over 248,000, including more than 1,500 deaths. PM Benjamin Netanyahu has promised to lift the restrictions only slowly, saying they could be in place for as long as six months.

Here’s more COVID-19 news from overnight and Thursday morning.

Indonesia’s Kalbe Farma begins distributing the antiviral drug remdesivir to hospitals (Source: Nikkei) .

China reports 12 new COVID-19 cases for Wednesday, vs 19 a day earlier (Source: Xinhua).

Germany sees the most new cases since late April, while its infection rate fell below a key benchmark of 1.0 for the first time in five days. There were 2,442 new cases in the 24 hours through Thursday morning, according to data from JHU. That’s still far short of almost 7,000 cases recorded at the peak of the pandemic in the spring. Nevertheless, officials are still worried about a new wave of the disease stretching the health-care system and are urging citizens to respect distancing and hygiene rules (Source: Bloomberg).

As the FDA expands its probe into the AstraZeneca-Oxford vaccine, European regulators are getting ready to begin an accelerated review of the partnership’s vaccine, which would restore the group’s status as the fastest moving project in the West, despite some setbacks from Washington (Source: Bloomberg).

Just days after deaths fell to the lowest level in months, Texas virus hospitalizations just saw their biggest daily increase in more than three weeks, with a 3% jump (93) to 3,344, an 8.5% increase since the caseload bottomed out 10 days ago.

END

7. OIL ISSUES

Oil and Copper

Copper & Crude Crashing As Growth Fears Re-Emerge

Headlines signaling dwindling chance of new fiscal stimulus combined with notable disappointments in US manufacturing data has sent the ‘growth-signaling’ commodities crashing…

Crude is collapsing, back below $39…

But it’s not just US, as COVID continues to re-emerge worldwide in its so-called second-wave, there are ominous signs for consumption.

A 7-day moving average of worldwide commercial flights declined to the lowest since mid-August, according to Flightradar24, a website that tracks flights in real time, while U.K. car usage slumped last week amid new virus restrictions. Europe’s oil refineries are struggling to cope with a diesel glut, limiting their prospects for extra crude buying.

And so much for Dr. Copper?

Copper has a long way to fall (versus Gold) to catch down to bonds’ reality…

But, but, but everyone said we were coming back?

8 EMERGING MARKET ISSUES

INDIA//CORONAVIRUS REPORT

“Super Spreaders” Cause More Than 4 Million COVID-19 Infections Across India, New Study Finds

In what scientists have billed as the first major analysis of SARS-CoV-2 transmission in a developing country, a new study published Wednesday in the journal Science shows that a small number of “super spreaders” caused as much as 2/3rds of infections in India.

The data was gathered over months while tracing more than 3 million contacts in the southern Indian states of Andhra Pradesh and Tamil Nadu.

Until recently, most of the research on the virus came from the US, Europe and China. But with India set to surpass the US as the world’s largest outbreak over the next 2 weeks or so, the research has arrived at a critical time. It shows that roughly 8% of confirmed cases later led to 2/3rds of the outbreak.

With India teetering on the cusp of passing 100,000 deaths – it would be the third country to top that number after the US and Brazil – Ramanan Laxminarayan, director of the Center for Disease Dynamics, Economics & Policy and author of the study, said in an interview with Bloomberg that his research marks the first time that scientists have had granular data allowing them to actually map the spread of the virus from contact to contact in two Indian states.

But on the flip side, the researchers found that 71% of infected people never passed the virus to anyone.

“We’ve never had this degree of information to say, hey, some people are really transmitting the virus in a massive way,” Laxminarayan said in an interview. In contrast with the super-spreader minority, 71% of confirmed cases whose contacts were traced weren’t found to have spread the virus to anyone.

Data for the study were gathered by thousands of contact-tracers during the lengthy lockdown imposed by the Indian government.  Almost 130 million people live in Tamil Nadu and Andhra Pradesh.

Combined, their population represents roughly 10% of all of India. Both states reported their first infections on March 5. The data examined ended on Aug. 1.Now, India has nearly 6.25 million confirmed cases of the virus.

Source: Science

Health workers traced the spread using the same skills they’ve used to trace the spread of HIV and tuberculosis. In settings like public transit, coming into close contact with an infected person could carry as high as a 79% risk of infection.

One notable finding of the study was the role that younger people played in spreading the virus. In the two Indian states, children under the age of 14 often “silently” spread the virus to their parents and family members.

An analysis of the risks for different age groups found that the rate of mortality for the youngest cohort was 0.05% for ages 5 to 17. On the other end of the spectrum, the mortality rate hits 16.6% for people aged 85 and up.

 

Read the full paper below:

Science.abd7672.Full by Zerohedge on Scribd

END

 

 

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

Euro/USA 1.1762 UP .0039 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 105.46 UP 0.013 (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 1.2971   UP   0.0057  (Brexit March 29/ 2019/ARTICLE 50 SIGNED/BREXIT FEES WILL BE CAPPED/

 

USA/CAN 1.3284 DOWN .0024 CANADA WORRIED ABOUT TRADE WITH THE USA WITH TRUMP ELECTION/ITALIAN EXIT AND GREXIT FROM EU/(TRUMP INITIATES LUMBER TARIFFS ON CANADA/CANADA HAS A HUGE HOUSEHOLD DEBT/GDP PROBLEM)

Early THIS  THURSDAY morning in Europe, the Euro FELL BY 8 basis points, trading now ABOVE the important 1.08 level FALLING to 1.1219 Last night Shanghai COMPOSITE CLOSED GOLDEN WEEK 

 

 

//Hang Sang CLOSED GOLDEN WEEK

 

/AUSTRALIA CLOSED UP 1.00%// EUROPEAN BOURSES ALL GREEN

 

Trading from Europe and Asia

EUROPEAN BOURSES ALL GREEN 

 

 

2/ CHINESE BOURSES / :Hang Sang CLOSED 

 

 

 

/SHANGHAI CLOSED

 

Australia BOURSE CLOSED UP 1.00% 

 

 

Nikkei (Japan) CLOSED MALFUNCTION /DATA CENTRE 

 

 

 

 

INDIA’S SENSEX  IN THE GREEN

Gold very early morning trading: 1900.10

silver:$23.84-

Early THURSDAY morning USA 10 year bond yield: 0.701% !!! UP 2 IN POINTS from WEDNESDAY’S night in basis points and it is trading WELL BELOW resistance at 2.27-2.32%.

 

The 30 yr bond yield 1.476 UP 2  IN BASIS POINTS from WEDNESDAY night.

USA dollar index early THURSDAY morning: 93.56 DOWN 33 CENT(S) from  WEDNESDAY’s close.

This ends early morning numbers THURSDAY MORNING

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And now your closing  THURSDAY NUMBERS \1: 00 PM

Portuguese 10 year bond yield: 0.25% DOWN 2 in basis point(s) yield from YESTERDAY/

JAPANESE BOND YIELD: +.02%  UP 1   BASIS POINTS from YESTERDAY/JAPAN losing control of its yield curve/56

SPANISH 10 YR BOND YIELD: 0.24%//DOWN 2 in basis point yield from yesterday.

ITALIAN 10 YR BOND YIELD:0.83 DOWN 4 points in basis points yield from yesterday./

 

 

the Italian 10 yr bond yield is trading 59 points higher than Spain.

 

GERMAN 10 YR BOND YIELD: FALLS TO –.53% IN BASIS POINTS ON THE DAY//

THE IMPORTANT SPREAD BETWEEN ITALIAN 10 YR BOND AND GERMAN 10 YEAR BOND IS 1.46% AND NOW ABOVE THE  THE 3.00% LEVEL WHICH WILL IMPLODE THE ENTIRE ITALIAN BANKING SYSTEM. AT 4% SPREAD THERE WILL BE A HUGE BANK RUN…

 

END

IMPORTANT CURRENCY CLOSES FOR THURSDAY

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

Euro/USA 1.1740  UP     .0018 or 18 basis points

USA/Japan: 105.56 UP .109 OR YEN DOWN 11  basis points/

Great Britain/USA 1.2887 DOWN .0029 POUND DOWN 29  BASIS POINTS)

Canadian dollar UP 12 basis points to 1.3296

 

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The USA/Yuan,CNY: AT CLOSED    ON SHORE  (XX)..

THE USA/YUAN OFFSHORE:  6.7493  (YUAN UP)..

TURKISH LIRA: 7.74 EXTREMELY DANGEROUS LEVEL/DEATH WISH.

the 10 yr Japanese bond yield closed at +.02%

 

Your closing 10 yr US bond yield UP 1 IN basis points from WEDNESDAY 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 THURSDAY: 12:00 PM

London: CLOSED UP 13.35  0.23%

German Dax :  CLOSED DOWN 29.96 POINTS OR .23%

 

Paris Cac CLOSED UP 20.60 POINTS 0.43%

Spain IBEX CLOSED UP 14.10 POINTS or 0.21%

Italian MIB: CLOSED UP 46.23 POINTS OR 0.24%

 

 

 

 

 

WTI Oil price; 37.90 12:00  PM  EST

Brent Oil: 40.38 12:00 EST

USA /RUSSIAN /   RUBLE RISES:    77.59  THE CROSS LOWER BY 0.5 RUBLES/DOLLAR (RUBLE HIGHER BY 5 BASIS PTS)

 

TODAY THE GERMAN YIELD FALLS  TO –.53 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 :  38.64//

 

 

BRENT : 40.83

USA 10 YR BOND YIELD: … 0.673  down one basis point…..

 

 

 

USA 30 YR BOND YIELD: 1.454..down 0 basis points..

 

 

 

 

 

EURO/USA 1.1745 ( UP 21   BASIS POINTS)

USA/JAPANESE YEN:105.54 UP .091 (YEN DOWN 9 BASIS POINTS/..

 

 

USA DOLLAR INDEX: 93.74 DOWN 15 cent(s)/

The British pound at 4 pm   Britain Pound/USA:1.2884 DOWN 32  POINTS

 

the Turkish lira close: 7.74

 

 

the Russian rouble 77,31   UP 0.33 Roubles against the uSA dollar.( UP 33 BASIS POINTS)

Canadian dollar:  1.3280 UP 29 BASIS pts

 

German 10 yr bond yield at 5 pm: ,-0.52%

 

The Dow closed UP 35.20 POINTS OR 0.13%

 

NASDAQ closed UP 159.00 POINTS OR 1.42%

 


VOLATILITY INDEX:  26.79 CLOSED UP .42

LIBOR 3 MONTH DURATION: 0.233%//libor dropping like a stone

 

USA trading today in Graph Form

Copper, Crude, Crypto, & Credit Clobbered As Stimulus Hopes Fade

“Stimulus On, Stimulus Off”…

That was the tale of the tape today as markets shrugged off various disappointing economic data and the algos just pumped and dumped on whatever keyword was selected from Pelosi, Meadows, or Mnuchin…From yesterday afternoon’s stimulus optimism highs, The Dow is down and Nasdaq managing to hold some gains…

Personal Incomes unexpectedly tumbled, Manufacturing surveys disappointed, and over 830,000 Americans filed for first time jobless claims last week, and Challenger job cuts screamed higher – probably nothing!

Source: Bloomberg

So layoffs… and stocks… are soaring?

But copper, crude, cryptos, and credit all suffered…

Extreme positioning and growth fears combined to crush Dr.Copper’s economics PhD forecast…

This is the worst single-day drop in copper since March…

Source: Bloomberg

We suspect more than one of these extreme specs got a tap on the shoulder today…

Source: Bloomberg

Crude oil was clubbed like a baby seal, back below $40…

And as goes oil, so goes energy stocks – dumping to fresh six-month lows today…

Bitcoin and its crypto-cousins all plunged today after BitMEX charges…

Source: Bloomberg

Credit markets refused to play along with equity’s exuberance…

Source: Bloomberg

Bonds were bid today, erasing overnight weakness…

Source: Bloomberg

The dollar limped lower for the 4th straight day…

Source: Bloomberg

While crude and copper were clobbered, PMs rallied…

Source: Bloomberg

Gold futures back above $1900…

And Silver futs made it back to $24…

Finally, there’s this – Nasdaq bounced back up to the level of global central bank liquidity…

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

MARKET TRADING//USA

a)Market trading/THIS MORNING/USA

Stocks fall on a very skeptical deal on Covid elief

(zerohedge)

Stocks Knocked After Pelosi ‘Very Skeptical About Deal’

Nancy Pelosi on Thursday said she’s ‘VERY skeptical about a deal’ over the next round of pandemic stimulus, following Wednesday discussions with Treasury Secretary Stephen Mnuchin.

Speaking on a Democratic whip call, Pelosi said Republicans and Democrats ‘don’t share the same values,’ citing the child income tax credit, and that Democrats ‘have gone down significantly’ in their demands, while Republicans ‘are at 0,’ according to Politico‘s Jake Sherman.

Pelosi’s comments jolted stocks downward in Thursday trading.

On Wednesday, Democrats delayed a vote on their own $2.2 trillion proposal in order to allow for further negotiation, saying that the two sides must agree by Thursday or the high-wire talks will collapse, according to the NY Daily News.

 

Treasury Secretary Steven Mnuchin, makes a brief comment as he leaves the Capitol, Wednesday, Sept. 30, 2020, in Washington. Mnuchin earlier met with House Speaker Nancy Pelosi of Calif. (Manuel Balce Ceneta/AP)

Despite progress, insiders caution it’s a long shot to expect any important bipartisan compromise so close to a presidential vote.

Underlining the stakes for the American people, airlines went ahead with furloughs of tens of thousands of workers after a provision in a previous stimulus measure expired.

A new measure would likely include a new round of $1,200 checks to taxpayers and some version of the federal weekly emergency unemployment assistance, which was pegged at $600. It would also extend aid to small businesses and airlines. –NY Daily News

Alas for the American people, Wednesday’s ‘hopeful’ progress was dashed by Pelosi’s Thursday pessimism.

Yet, another Politico reporter, Heather Caygle says her Democratic sources are reporting a “small chance” of a deal.

 

b)MARKET TRADING/USA/AFTERNOON

Stocks & Bond Yields Suddenly Plunge On House Stimulus Headlines

Confirming “no deal” today, headlines stating that a House vote on Democrats’ stimulus deal is expected today, US equities and bond yields tumbled as Pelosi claims the difference is ‘not dollars, but value’…

The Dow is red while Nasdaq holds some gains for now…

And 10Y Yields are down notably from overnight highs…

AS a reminder, yesterday the House had delayed the vote by one day as a concession to the ongoing dialog between Secretary Mnuchin and Nancy Pelosi. However, the fact that the House speaker now plans to ram through the vote confirms what should have been obvious weeks ago- that no agreement has been reached and that no agreement will likely be reached until after the election.

END

ii)Market data/USA

still more Americans are filing for first time jobless benefits..another 830,000!!!

(zerohedge)

Over 830,000 Americans Filed For First-Time Jobless Benefits Last Week

837,000 Americans filed for first time unemployment benefits last week…

Source: Bloomberg

…getting better, but still over four times the pre-COVID normal for the 28th straight week.

Looking at the breakdown by state, there was no notable outliers now that the spotlight has fallen on California’s fraudulent initial claims reports, which for weeks reported the biggest weekly increase.

end

end

 

Personal income tumbles in August and savings rate plunges.  Not good!

(zerohedge)

 

US Personal Income Tumbles In August, Savings-Rate Plunges

After briefly up-ticking in July, US personal income was expected to drop 2.5% MoM and spending growth slow from +1.9% MoM to +0.8% MoM. It turns out things were better and worse than expected with incomes tumbling 2.7% MoM and spending rising 1.0% MoM…

 

Source: Bloomberg

As government handouts fade from history, income growth has slowed to +4.7% YoY and income growth has rebounded to be down just 1.9% YoY…

 

Source: Bloomberg

Wages rebounded:

  • Private workers: -0.4%, vs -1.3% last
  • Government workers -0.8%, vs -1.6% last

But the income-spend mismatch sent the savings rate tumbling from 17.7% to 14.1% (the lowest since March and down 60% from the highs)..

 

end

In April 2020 Americans had 6.4 trillion dollars collectively in savings

It is now down to 2.43 trillion dollars.  In August alone 724 billion dollars in savings was used up as stimulus was fading. Now you know why Americans are facing a fiscal cliff as their savings will burn through.

(zerohedge)

Americans Burn Through A Staggering $724BN In Annualized Savings In August As Stimulus Fades

As we warned back in June in “‘Look Out Below’: Why The Economy Is About To Fly Off A Fiscal Cliff“, and again last week in “Failure To Launch New Fiscal Stimulus Would Have Catastrophic Consequences For The US Economy“, the US consumer – having grown accustomed to the $600 in weekly Federal Pandemic Unemployment Compensation (FPUC) which however expired at the end of July – is suddenly running on fumes, which will only get worse if there is no Fifth fiscal stimulus deal struck by Dec 31, when two more anchor stimulus pillars – the Pandemic Emergency Unemployment Compensation (PEUC) and Pandemic Unemployment Assistance (PUA) – also expire.

So far the US economy has not suffered a consumption hit in the two months following the fiscal cliff, with personal spending in September once again surprising to the upside, which in turn is likely preventing Congress from reaching a deal, especially with stocks not too far from all time highs.

Indeed, as we noted earlier, and as Morgan Stanley’s Ellen Zentner wrote subsequently, nominal personal income growth in August was reported just below consensus expectations, declining by 2.7% (vs. consensus at -2.5%), with July upwardly revised by 10bp to +0.5%M. Real disposable personal income fell 3.5%M in August as well. The decrease in income was largely due to the end of the $600/week supplemental unemployment insurance benefits, which we first warned about back in June. Partially offsetting this decline was further improvement in the labor market in August, lifting wage and salary income by 1.3%M for the second consecutive month.

Meanwhile, personal spending came in above consensus expectations, rising 1.0%M (vs. consensus at 0.8%M), with July downwardly revised by 40bp to 1.5%M. Spending was driven by a 1.4%M increase in services spending, while durable goods spending rose by 0.9%M and spending on nondurable goods declined by 0.1%M.

And here lies the problem: lower income coupled higher spending in a time when the vast majority of Americans were looking forward to more stimulus meant that US consumer rapidly burned through savings. According to the BEA, in August, the amount of annualized savings tumbled by $723 billion to $2.435 trillion, the lowest since March and far below the $6.4 trillion peak in annualized personal savings hit in April.

At the same time, the personal savings rate collapsed by 17.7% to 14.1%this means that a whopping 60% of the personal savings built up in the aftermath of the covid fiscal stimulus tide have now been used up.

So as Congress continues to debate and pretend that a new fiscal stimulus bill is just around the corner, the massive savings buffer that was built up in the aftermath of the covid crisis, and which funded much of personal consumer spending in the past two months is now shrinking fast and at this rate personal savings will be back to pre-covid levels in 2-3 month at the most. At that point it is safe to say that unless a new fiscal deal is in place, US consumption will crater unless somehow the millions of unemployed workers who still desperately rely on government stimulus find a job (spoiler alert: they won’t).

end

Both Markit and ISM manufacturing data suggests the outlook for recovery has been severely hampered

(zerohedge)

 

US Manufacturing Surveys Suggests “The Outlook Has Darkened”

As ‘hard’ data has begun to disappoint in recent months, ‘soft’ survey data has been very mixed. On the manufacturing side of the US economy, Markit’s  PMI disappointed, dropping from 53.5 preliminary to 53.2 final for August (very marginally higher MoM). ISM’s gauge of Manufacturing also disappointed, printing 55.4 vs 56.5 exp (and down from 56.0).

Source: Bloomberg

Markit notes that business confidence slowed amid election and COVID uncertainty. ISM’s Manufacturing New Orders tumbled and Employment remains in contraction (and continues to dramatically lag the exuberance in New Orders)…

Source: Bloomberg

Chris Williamson, Chief Business Economist at IHS Markit said:

“US manufacturers rounded off a solid quarter which should see the sector rebound strongly from the steep second quarter downturn.

Encouragingly, companies reported a marked upturn in demand for plant and machinery, which suggests firms are increasing their investment spending again after expansion plans were put on hold during the spring. Similarly, fuller order books helped drive further job creation as firms continued to expand capacity.”

But it was not all good news…

Supply shortages worsened as companies increasingly struggled to source enough inputs to meet production requirements. With demand often exceeding supply, prices rose sharply again across many types of inputs, especially metals.

Growth of new orders for consumer goods also waned during the month, hinting at some cooling of demand from households, commonly blamed on Covid-19. Overall order book inflows consequently slowed compared to August.

The outlook also darkened, as companies grew more concerned about the sustained economic disruption from the pandemic alongside uncertainty caused by the upcoming presidential election. The sector therefore looks to be entering the fourth quarter on a slower growth trajectory, adding to signs that fourth quarter GDP growth will wane considerably from the third quarter rebound.”

 

END
Spending on goods increase…spending on services like travel, entertainment plummet.
This lead to a Q2 retail trade profit surge. Also the huge Fed payment scheme to homes helped dramatically
(zerohedge)

Bizarro Recession: Q2 Retail Trade Profits Surge To Record High

As Joseph Carson, former chief economist of AllianceBernstein, writes every recession has unique features, but this is one for the record books (no pun intended).

According to the GDP report released on Wednesday, operating profits for the retail trade sector hit a record high in Q2.  BEA said record earnings from large retailers – Walmart, Amazon, Home Depot – were responsible for the gains.

Record profits in retail occurred even when store bankruptcies are the highest since the Great Financial Recession.  The record profits for the retail sector highlights the unusual nature of the recession.

That is, the pandemic has hit the consumer service sector unlike most recessions that impacts consumer spending on goods. Spending at many retail stores has actually increased more than normal as spending that would have been spent on services (i.e., travel, recreation and entertainment) has been directed towards goods.

This should probably not come as a surprise. As we wrote back in July when we brought readers a note from DB’s Jim Reid in which he spotlighted the “strangest recession in history”, while Recessions don’t usually result in personal income soaring, “this one has thanks to government support around the world.”

The problem is that unless we get a fresh, fifth fiscal stimulus program, the record spending – and retail trade profits – party is ending. And judging by the daily back and forth out of Congress, a new stimulus deal is unlikely before the election with potentially catastrophic consequences for the economy.

end

iii) Important USA Economic Stories

GOLDMAN SACHS

As the COVID 19 moratorium ends, Goldman cuts 400 jobs

(zerohedge)

Goldman Cuts 400 Jobs As COVID-19 Layoff Moratorium Ends

Although they won’t be counted in time to be reflected in the pre-election day jobs numbers, the last batch of which is set to be released on Friday, a flurry of corporate layoffs in recent days has offered the latest reminder that for millions of Americans, the “K” shaped recovery described by Chris Wallace last night is a reality for working people.

The layoff wave continued Wednesday morning with Shell and Continental announcing thousands of layoffs, and continued into the afternoon as Goldman Sachs announced that it, too, would soon move along with some layoffs that had purportedly been planned before COVID-19.

Shareholders might remember that Goldman CEO David Solomon has been doing a top-to-bottom review of the bank. Presumably, the roughly 400 positions (1% of its workforce) being eliminated are part of Solomon’s vision to make the bank a more consumer-focused, tech savvy institution (basically, it’s firing investment bankers and hiring more coders).

Bloomberg notes that the cuts come despite the fact that the bank’s traditional dealmaking and trading businesses are “booming”.

Goldman is hardly alone. In the US, Wells Fargo and Citigroup were among the first to restart their planned cuts. In Europe, Deutsche Bank is moving ahead with the biggest Wall Street cull since Lehman. Solomon acknowledged the cuts over the summer, saying he would resume the cuts “for the good of our shareholders”.

The bank was already facing immense pressure to lower costs before the coronavirus was declared a global pandemic.

“At the outbreak of the pandemic, the firm announced that it would suspend any job reductions,” said Pat Scanlan, a spokesman for New York-based Goldman Sachs. “The firm has made a decision to move forward with a modest number of layoffs.”

Hopefully, the Goldman traders who got COVID-19 wont’ see their positions included in the cull – though, right now, they’re probably making too much money for the firm to risk cutting lose. Then again, it doesn’t exactly take a genius to reap a major windfall trading options in this market.

end
We are now witnessing food shortages in the USA. Grocery store chains are preparing for worst case scenarios
(Michael Snyder)

Global Food Shortages Are Becoming Very Real, And US Grocery Store Chains Are Preparing For Worst Case Scenarios

Authored by Michael Snyder via The End of The American Dream blog,

The head of the UN World Food Program repeatedly warned us that we would soon be facing “famines of biblical proportions”, and his predictions are now starting to become a reality.  We have already seen food riots in some parts of Africa, and it isn’t too much of a surprise that certain portions of Asia are really hurting right now.  But I have to admit that I was kind of shocked when I came across an article about the “hunger crisis” that has erupted in Latin America.  According to Bloomberg, “a resurgence of poverty is bringing a vicious wave of hunger in a region that was supposed to have mostly eradicated that kind of malnutrition decades ago”.

We are being told that food shortages are becoming acute from Mexico City all the way down to the southern tip of South America, and those that are the poorest are being hit the hardest.

Let me ask you a question.

What would you do if you didn’t have any food to feed your family?

Fortunately, for the vast majority of my readers that is just a hypothetical question.  But for many families in Latin America, the unthinkable is now actually happening

He couldn’t feed his family. Matilde Alonso knew it was true but couldn’t believe it. The pandemic had just hit Guatemala in full force and Alonso, a 34-year-old construction worker, was suddenly jobless.

He sat up all alone till late that night, his mind racing, and fought back tears. He had six mouths to feed, no income and no hope of receiving anything beyond the most meager of crisis-support checks — some $130 — from the cash-strapped government.

I once had a friend that is a hardcore prepper tell me that his worst nightmare would be for his daughter to tell him that she was hungry and he didn’t have anything to give her.

Many of us can’t even imagine being in Matilde Alonso’s shoes.  Sadly, this is going to be happening to even more families soon, because the UN World Food Program is projecting that the number of people facing “severe food insecurity” in Latin American and Caribbean nations will rise by a whopping 270 percent in the months ahead.

Thankfully, for the moment the United States is in far better shape.  But there have been serious shortages of certain items throughout this pandemic, and many grocery stores have had a very difficult time trying to keep their shelves full.

For example, during my most recent trip to my local grocery store I noticed more empty shelves than I had ever seen before, and that greatly alarmed me.

And now we are being told that grocery stores all over the country are attempting to stockpile goods in an attempt “to avoid shortages during a second wave of coronavirus”

Grocery stores across the United States are stocking up on products to avoid shortages during a second wave of coronavirus.

Household products – including paper towels and Clorox wipes – have been difficult to find at times during the pandemic, and if grocery stores aren’t stocked up and prepared for second wave this winter, runs on products and shortages could happen again.

When even CNN starts admitting that more shortages are coming, that is a sign that it is very late in the game.

And the Wall Street Journal is reporting that some chains are actually putting together “pandemic pallets” in anticipation of more shortages

According to theWall Street Journal, Associated Food Stores has recently started building “pandemic pallets” to ensure cleaning and sanitizing products are readily available in its warehouses to prepare for high demand through the end of the year.

“We will never again operate our business as unprepared for something like this,” Darin Peirce, vice president of retail operations for the cooperative of more than 400 stores told the outlet. If grocery stores sense something is coming and are preparing for another “wave” of this scamdemic, it may be something worth taking note of.

Most of these grocery chains believe that another wave of COVID-19 is the worst case scenario that they could possibly be facing.  Sadly, that isn’t even close to the truth.

We have entered a time when global food supplies are going to become increasingly stressed, and it is going to be absolutely critical to keep U.S. food production at the highest levels possible.

Unfortunately, U.S. farmers have been going bankrupt in staggering numbers during this downturn, and the federal assistance that was supposed to help them survive has mostly gone to “large, industrialized farms”

Five months into the pandemic, farmers say the federal payments have done little to keep them afloat, as these favor large, industrialized farms over smaller family farms. In fact, initial payments under the Coronavirus Food Assistance Program – which provided $16 billion in direct support and $3 billion in purchases – revealed an uneven distribution of financial aid.

An NBC News analysis of the first 700,000 payments showed how corporate farms and foreign-owned operations received over $1.2 billion in coronavirus relief – or over 20 percent of the money – with average payments of almost $95,000. Smaller farms, meanwhile, had average payments of around $300. The figures did not take into account other struggling farmers who are ineligible for assistance.

Reading those numbers greatly frustrated me, because family farms have always been so critical to our success as a nation.

U.S. farm bankruptcies hit an eight-year high last year, and they are on pace to go even higher this year.

This should deeply alarm all of us, because we are going to need as much food production as possible during the years to come.

Experts from the global financial services group Nomura said that although the flooding is among the worst that China has experienced since 1998, it could still get worse in the weeks to come, with the nation poised to lose $1.7 billion in agricultural production.

However, since the start of the monsoon season, the area of flooded croplands have almost doubled. Nomura’s estimates also do not include the potential loss of wheat, corn and other major crops. Therefore, China could be facing a far greater economic loss than current projections.

On my news headlines website, I am going to start posting stories like this on a daily basis so that people can keep up with what is really going on out there.

We really are facing a very serious global food crisis, and the number of people without sufficient food is only going to grow as the months roll along.

For now, most Americans still have plenty of food, and we should be very thankful for that.

But everyone should be able to see that global conditions are rapidly changing, and we should all be using this window of opportunity to prepare, because very, very challenging times are ahead of us.

end
This may be bad!! Voting memory sticks and a laptop stolen in Philadelphia
(zerohedge)

Voting Machine Memory Sticks, Laptop Stolen In Philadelphia

An investigation into potential election tampering has been launched in Philadelphia after several memory sticks and a laptop used to program voting machines were stolen from a city warehouse, officials confirmed on Wednesday. The laptop belonged to an on-site employee for the company that supplies the machines.

 

MIGUEL MARTINEZ / Staff Photographer (via The Philadelphia Inquirer)

It is unclear when the equipment was stolen, however aPhiladelphia Inquirer source says the items vanished last week.

And while City officials said on Wednesday that the theft would not disrupt voting on November 3, they worried behind the scenes that the theft would fuel theories from President Trump and his allies over the integrity of the city’s elections.

Perhaps coincidentally, President Trump on Tuesday knocked Philadelphia for allegedly refusing to let poll watchers into voting locations. (The Inquirer says that’s false)

City commissioners initially refused to confirm the theft, or that an investigation had been launched, according to the Inquirer – and only did so after the outlet told them that they would be reporting the incident based on sources who were not authorized to discuss it publicly.

Since being informed of the incident, I have immediately committed to making necessary police resources available to investigate this incident and find the perpetrators. I have also committed to the city commissioners additional resources to provide enhanced security at the warehouse going forward,” said Mayor Jim Kenney in a statement. “This matter should not deter Philadelphians from voting, nor from having confidence in the security of this election.”

Many details surrounding the stolen technology in Philadelphia remained unclear Wednesday, including how the equipment was taken, whether there are any suspects, and whether any machines had been compromised.

Custodio, the deputy to Deeley, said officials ensured the stolen laptop had been disabled remotely after the theft was discovered to prevent it from being used and added that it “did not have any of our election material on it.”

His statement did not address the stolen memory sticks, which are used to program the machines in advance of an election, including setting the design of the ballots. –Philadelphia Inquirer

The memory sticks are encrypted to prevent tampering, and are matched with individual voting machines, according to a spokesperson for the vendor, Election Systems & Software. “Upon programming, these encryption keys ‘marry’ the USB with the machine, and if placed in another machine, it will cause an error and the machine will not work.”

Philadelphia has 3,750 of the ExpressVote XL touchscreen voting machines, and elections staff have begun programming them so they are ready to use on Nov. 3. The flash drives are inserted into the top of the machines; some of them are used to record the electronic votes used for unofficial results on election night, but it was unclear whether those stolen served that function.

Once a machine has been set up, it’s closed with a numbered seal. That means that any voting machines that are opened after being programmed should be identifiable because they would have broken seals. The commissioners have begun checking all the seals on the machines, which are numbered to prevent them from being opened and simply replaced, Custodio said, to ensure they have not been tampered with. –Philadelphia Inquirer

According to sources familiar with the investigation, officials found several voting machines with incorrect seal numbers, however Custodio said the discrepancies were likely due to a logging error in recording the numbers – adding that the machines “will be thoroughly examined, wiped, and tested just to be sure.”

Read the rest of the report here.

end
AIRLINE INDUSTRY
They need another bailout
(courtesy Wolf Richter)
and thanks to Robert H for sending this to us;

Facing Crappiest Recovery Ever, Airlines Demand New $25-Billion Bailout, for $50 Billion Total, after Having Burned $45 Billion on Share Buybacks

Coddled investors, not taxpayers, should step up to the plate and fund the “daily cash burn.”

By Wolf Richter for WOLF STREET.

October 1 is the day US airlines that accepted their portion of the $25-billion bailout under the CARES Act can start involuntary layoffs of their employees. They’ve been shedding large numbers of employees since March but through voluntary buyouts, early retirements, and other programs that induced employees to temporarily or permanently leave. Now the airlines are engaged in a desperate lobbying effort to get legislation signed into law that would provide the next $25-billion bailout package. Threats have been flying, so to speak, to motivate Congress to get this done.

American Airlines CEO Doug Parker told CBS News on Sunday that if there isn’t a new bailout program, “there are going to be 100,000 aviation professionals who are out of work, who wouldn’t be otherwise.” This would include the 18,000 employees American Airlines has threatened to lay off.

So airlines have been lobbying hard. “You know, we have everyone putting us in every bill they have,” Parker said. “We just need the bills to be laws. We need laws not bills.”

American Airlines was also the airline that blew, incinerated, wasted, and trashed more than any other airline on share buybacks. Buybacks ceased in the second quarter, but from 2013 through Q1 2020, American Airlines incinerated $13.1 billion in cash on share buybacks. That cash would now come in very handy. 2013 was also the year Mr. Parker became CEO of American Airlines.

Delta blew, wasted, and incinerated $11.7 billion in cash on share buybacks over the period; Southwest Airlines, $10.9 billion (starting in 2012); and United $8.9 billion. In total, the big four airlines blew, wasted, and incinerated $44.6 billion in cash on share buybacks from 2012 through Q1 2020, and now the airlines want an additional $25 billion bailout, for a total of $50 billion, much of it in forms of grants, from taxpayers (data via YCharts):

OK, the demand recovery has been the crappiest ever.

In terms of the numbers of passengers entering airports in the US, over six months into the Pandemic, the business is still down nearly 70% from last year, according to TSA airport screenings. The interesting thing is how the recovery is not happening, and how the strong seasonal patterns have disappeared.

Normally, the passenger count drops sharply in the weeks before Labor Day from the summer peak in June, July, and early August. But after Labor Day, business travel picks up, and older folks with kids out of school start traveling, and the passenger count rises sharply in September. But none of that is happening this year.

The chart below shows TSA checkpoint screenings per day, as a seven-day moving average through September 27, last year (black) versus this year (red):

The very lucrative business segment has gotten crushed as companies still avoid sending their people anywhere unless they absolutely have to; conferences and large meetings are still mostly shut down; and job applicants are interviewed remotely. And among vacation travelers, older people with no kids in school, who would normally take advantage of the beautiful and less crowded fall months, are avoiding getting on planes for health reasons.

Over the past seven days, from September 21 through September 27, the passenger count was down each day in a range of -64.4% to -73.0% compared to the same weekday last year, putting the seven-day moving average at -68.4% as of September 27. Part of the year-over-year bump around Labor Day was due to the calendar shift with Labor Day falling on September 7 this year, compared to September 2 last year:

In terms of international travel, flight restrictions and quarantine requirements in the US and other countries make this a tough situation for willing American travelers. And for US airlines, that crucial and lucrative segment is unlikely to bounce back quickly, given the once-again rising infection rates in the US and many other countries.

So what to do with these airlines?

The airline industry invented a new metric during the Pandemic: “daily cash burn.” The purpose is to give investors a feel for the progress in implementing the airlines’ survival strategies. Every airline now cites this metric. The idea is to make this number as small as possible by cutting capacity, shedding employees, and reducing costs wherever possible.

Investors who’ve been coddled over the years through share-buybacks, have helped fund the airlines’ daily cash burn by buying the newly issued bonds and shares. They have done so because they counted on support from taxpayers and the Fed.

Investors should continue to step up to the plate and fund that daily cash burn. But taxpayers – they’re already sitting on billions of dollars in tickets they can’t get refunds for though they can use the “credits” or whatever in the future – shouldn’t be shanghaied into funding airlines. That’s Wall Street’s job.

And if Wall Street refuses to step up to the plate and one or the other airline runs out of funds to fuel its daily cash burn, well then, that debt needs to be restructured at the expense of investors, and that can be done in bankruptcy court, as Delta, American, and United have already proven and demonstrated in the past.

In the Atlanta metro, 53,000 FHA mortgages are delinquent. In the Houston metro, 47,000. Just FHA, not including other delinquent mortgages. By metro. Read..Subprime, No Problem? FHA Mortgage Delinquencies Hit Record 17.4%, as Fed Triggers Mad Land-Rush in Split Housing Market

Enjoy reading WOLF STREET and want to support it? Using ad blockers – I totally get why – but want to support the site? You can donate. I appreciate it immensely. Click on the beer and iced-tea mug to find out how:

end

iv) Swamp commentaries)

Rittenhouse will win big as Lin Wood, a brilliant defense attorney sues Biden over “White Supremacist Campaign ad”

(zerohedge)

Kyle Rittenhouse To Sue Biden Over ‘White Supremacists’ Campaign Ad

Kyle Rittenhouse is pursuing a libel case against the Joe Biden and his campaign after the former Vice President included the 17-year-old in a Wednesday campaign advertisement suggesting he is a white supremacist – despite the Anti-Defamation League finding no evidence he was or is connected to any extremist movements.

According to his attorney, Lin Wood, a lawsuit is headed straight for Biden.

I will rip Joe into shreds. Ask witnesses who have had the misfortune of sitting across the table from me under oath,” Wood added.

Rittenhouse, whose defense funds have raised over $500,000, was arrested after killing two BLM attackers and injuring a third in Kenosha, Wisconsin during an August 25th BLM protest. The teen was in Kenosha to protect businesses in anticipation of rioting and property destruction in the wake of the shooting of Jacob Blake by police.

Video from the scene shows Rittenhouse being chased down the street before falling on the ground and firing his weapon, while earlier footage shows him shooting BLM protester Joseph Rosenbaum – who had acted aggressively earlier towards Rittenhouse Rittenhouse, who was charged with six criminal counts including first-degree intentional homicide and first-degree reckless homicide, has claimed self-defense.

end 
And for those of you who thought that Trump may have lost the debate guess again:  CNN viewers find out for the first time the corruption in the Biden family
courtesy:
GATEWAY PUNDIT: (Cristina Laila) 

Trump Battered Biden So Bad Last Night That CNN’s John King Forced to Admit Hunter Biden a ‘Swamp Creature Using His Family Name to Make Money Around the World’ (VIDEO)

By Cristina Laila
Published September 30, 2020 at 9:07pm
130 Comments

President Trump absolutely stunned Joe Biden during last night’s debate when he brought up his crackhead son Hunter Biden.

Biden’s jaw dropped when Trump asked why Hunter Biden received a $3.5 million wire from the mayor of Moscow’s wife.

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“China ate your lunch, Joe!” Trump said. “And no wonder, your son goes in and he takes out billions of dollars to manage — he makes millions of dollars.”

Trump continued, “And also, while we’re at it, just out of curiosity, the Mayor of Moscow’s wife gave your son $3.5 million. What did he do to deserve it? What did he do with Burisma?”

TRENDING: They Know Who Won: Thoroughly Defeated Democrats Urge Joe Biden to Cancel Future Debates

President Trump battered Biden so bad last night that CNN’s John King was forced to admit Hunter Biden is a corrupt DC swamp creature.

“Hunter Biden in many ways is a weakness for the former Vice President because of his work,” King said.

“He was a — I’ll call it out — He’s a Swamp Creature – like many people – trading in on his family name to make money around the world.”

You know it’s bad when CNN admits Hunter Biden and the Biden crime family are corrupt grifters and thieves.

Hunter Biden made millions of dollars sitting on the board of Burisma Holdings, a corrupt Ukrainian natural gas company, despite having zero experience in the field — while his father was US Vice President and tasked to clean up corruption in the Ukraine.

Hunter Biden flew on Air Force 2 with daddy VP Biden to China and 12 days later secured a $1.5 billion infusion for his private fund from the Bank of China.

end

This was one of the better lines of Trump to Biden:\

“ideas don’t burn down buildings”

Watson/SummitNews)

Trump To Biden On Antifa: “Ideas Don’t Burn Down Buildings”

Authored by Steve Watson via Summit News,

During a Campaign rally in Duluth, Minnesota Wednesday, President Trump mocked Joe Biden’s declaration during the Presidential debate that Antifa is ‘just an idea’.

“Joe Biden says Antifa is just an idea,” Trump announced, adding “Well, ideas don’t assault cops and they don’t burn down buildings. Antifa is a domestic terrorist organization.”

Trump picked up where he left off in the debate, noting that he has received endorsements from law enforcement organizations nationwide, while Biden has not received a single one.

“I said, ‘Sleepy Joe, name one law enforcement group that supports you.’ Then Chris Wallace said, ‘Don’t do that! That’s not…’” Trump said, adding “Can you believe this guy? I was debating two people last night.”

“If you ever became president, you have to deal with some of the toughest people in the world and Chris Wallace is very, very easy by comparison,” Trump added.

After telling a heckler to “go home to mom,” the President also slammed the corporate media for refusing to report on rioting and looting by leftists.

“They think rioting is just ok, just do whatever you want,” Trump said.

“You can do whatever you want, you don’t have to wear masks, you just riot, 25,000 people standing on each other’s face,” he added.

“the liberal media is upset that I took the fight to Biden and exposed his very dangerous agenda,” the President added.

“Arson is ok, but challenging Sleepy Joe is totally off-limits,” Trump boomed.

Seg Joe and Jill Biden’s Flacid Lawn “Rallies,” No One Shows Up

Elsewhere during the rally, Trump warned that Biden wants to give free health care to illegal immigrants, destroying Medicare:

Trump also talked about launching his 1776 Commission to counter Anti-American rhetoric in colleges:

The President also vowed to return America to the manufacturing superpower of the world:

Trump also spoke about reopening the Iron range mining districts after Biden and Obama shut them down:

Watch the full speech here:

endSuch crooks: Haspel personally intervening blocking the declassication of Russigate documents showing Hillary and the Democrats involvement in Russiagate!!(zerohedge/Real ClearPolitics)

CIA Director Haspel Personally Blocking Declassification Of Russiagate Documents

Authored by Ian Schwartz via RealClearPolitics,

“Federalist” co-founder Sean Davis reports that CIA Director Gina Haspel is personally blocking the release of documents that will show “what actually happened” with Russiagate.

This isn’t just a scandal about Democrat projection, this is a scandal about what was a coup planned against the incoming administration at the highest levels and I can report here tonight that these declassifications that have come out,” Davis told FOX News host Tucker Carlson on Wednesday. “Those weren’t easy to get out and there are far more waiting to get out.”

“Unfortunately those releases and declassifications according to multiple sources I’ve talked to are being blocked by CIA director Gina Haspel who herself was the main link between Washington and London,” Davis said.

“As the London station chief from John Brennan’s CIA during the 2016 election. Recall, it was London where Christopher Steele was doing all this work. And I’m told that it was Gina Haspel personally who is blocking a continued declassification of these documents that will show the American people the truth of what actually happened.”

Watch:

 
end
Job cuts soaring!

Challenger Job Cuts Soared In September, “Spreading To Sectors Outside Entertainment And Retail” 

flurry of corporate layoffs in recent days has offered readers the latest reminder that the economic recovery continues to wane, and many of these layoffs won’t be counted in time to be reflected in the pre-election day job numbers.

For more troubling news on the rapid deterioration in the employment space, outplacement firm Challenger, Gray & Christmas released a new report Thursday announcing 118,804 job cuts in September, with the majority of reductions seen in bars, restaurants, hotels, and amusement parks, reported Reuters.

September’s job cuts increased by 2.6% from 115,762 in August to 118,762 in September. Total job cuts for the year are around 2.082 million, surpassing the previous record of 1.957 million in 2001. There was some good news, job cuts in the third quarter totaled 497,215, down 59.8% from the second quarter.

“We are beginning to see cuts spread to sectors outside Entertainment and Retail,” Andrew Challenger, the firm’s senior vice president, said in a statement.

The layoff wave comes as companies have burned through government loans to support operations and pay wages. Stimulus funding ended nearly two months ago. Some economists have warned, the weakening labor market and stalling recovery could result in a double-dip recession without a second round of stimulus (read: here).

Challenger said, “especially if another relief package fails to pass, employers are going to enter the fourth quarter, hesitant to invest or spend.”

This week, Royal Dutch Shell, Continental Airlines, Dow Chemicals, Marathon Petroleum, and Goldman Sachs have announced restructuring plans that involve laying off tens of thousands of workers. Yesterday, Disney announced plans to eliminate 28,000 jobs as most of its theme parks remain closed, and the movie business remains effectively shuttered.

Challenger’s report showed 32,099 job cuts at bars, restaurants, hotels, and amusement parks in September. The aerospace/defense industry announced 18,971 layoffs last month, following 16,628 cuts in the transportation sector.

“The employment landscape is dealing with a host of burdens that reach beyond job cuts. COVID-19 and the recession continue to cause volatile conditions in many industries,” he said.

Job cuts spreading across major industries is not a sign of a robust economic recovery. US main equity futures on Thursday morning ignored the report as hopes for more stimulus lift E-mini S&P500 futures nearly 1%.

end
special thanks to G. for sending this to us

MUST SEE: Senator Josh Hawley Absolutely DESTROYS Fired FBI Director James Comey in Hearing on Deep State Corruption (VIDEO) –for once a guy that has balls and is clever!! Gijs see the video!

 

https://www.thegatewaypundit.com/2020/10/must-see-senator-josh-hawley-absolutely-destroys-fired-fbi-director-james-comey-hearing-deep-state-corruption-video/

MUST SEE: Senator Josh Hawley Absolutely DESTROYS Fired FBI Director James Comey in Hearing on Deep State Corruption (VIDEO)

By Joe Hoft
Published October 1, 2020 at 10:06am
4 Comments

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Finally “Cardinal” Comey meets his match. Senator Josh Hawley from Missouri destroys Comey in yesterday’s hearing before the US Senate.

Fired FBI Director Jim Comey, who was right in the middle of the coup to remove President Trump from office, was in front of the US Senate yesterday.  He spoke from home while the Senate met in Washington, D.C. to question him.

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The real highlight of the hearing was when Missouri Senator Josh Hawley had his turn.

Below are the transcripts from a couple of the exchanges as recorded by PJ Media:

TRENDING: Leftist Former CEO of Twitter Dick Costolo Wants to Watch His Political Opponents Get Lined Up Against a Wall and Shot in the “Revolution”

HAWLEY: Do you regret your role in this unprecedented misleading of a FISA court?

COMEY: I don’t regret my role, I regret that it happened?

 

HAWLEY: Why not? Why don’t you regret your role in the unprecedented misleading of a FISA court?

COMEY: I regret that the FBI supplied information to a FISA court that was inaccurate, incomplete, and should have been updated.

HAWLEY: Do you regret that you signed off on it?

COMEY: Well, I regret that it happened. The only reason that I’m hesitating is that what the FBI director does in connection with a FISA is actually very narrow but put that to the side, it’s important that it be accurate and it wasn’t and I regret that.

HAWLEY: You’ve said this several times and I frankly don’t understand it—the certification that the statute requires is a certification by the FBI director as to the contents of the application. You signed off on it. The FISA court said it was so misleading that it now had reason to doubt the FBI’s truthfulness across the board. Are you responsible for these certifications or not?

 

describing the statutory requirements…

HAWLEY: Are you responsible for these certifications, or not? Answer my question.

COMEY: I sign certifications on every FISA the FBI sends over to the FISA court, including these.

HAWLEY: Are you responsible for this misleading evidence given to the FISA court? Yes or no?

 

COMEY: Yes in the sense of command responsibility, no in that I didn’t have personal knowledge that would have led me to understand that we weren’t supplying complete information.

Hawley pressed Comey on this issue:

HAWLEY: Let’s talk about what personal knowledge you have. When you certified the first Carter Page FISA application you believed that Mr. Steele was working for the Democratic Party, didn’t you?

COMEY: I don’t remember if I knew the Democratic Party, I knew that he was working for political opponents of President Trump.

 

HAWLEY: Now let me remind you of your testimony under oath on December 7th, 2018, at the House Oversight Committee in which you said, and I quote, “Steele was retained by Republicans adverse to Mr. Trump during the primary season and then his work was underwritten after that by Democrats opposed to Mr. Trump during the general election season.” Now, surely you recognized at the time that relying so heavily on a biased source would undermine public confidence in the FBI’s activities, didn’t you?

COMEY: No, I did not.

HAWLEY: Why wouldn’t you? You told the same committee…and I quote, “When you’re the leader of a justice agency,” that’s YOU, “the appearance of bias is as important as the existence of actual bias.” You also said, “A reasonable appearance of bias can corrupt the American people’s faith in your work as much as actual bias can.” Do you stand by those remarks?

COMEY: Very much so.

 

HAWLEY: But you nevertheless allowed the Democratic Party to leverage the federal government’s most invasive intelligence capabilities against President Trump and you personally signed off on it. You also knew at the time that other officials in the Department of Justice had serious concerns.

But then Hawley destroyed Comey with evidence refuting Comey’s comments and actions:

HAWLEY: Do you know who Stuart Evans is?

COMEY: I do.

 

HAWLEY: Mr. Evans was a lawyer in the national security division of the DOJ under President Obama, wasn’t he?

COMEY: I don’t know. I think he was a career official at the Department of Justice…

HAWLEY: He was a lawyer in the national security division of the Department of Justice. Before the first Carter Page FISA application Mr. Evans raised serious concerns about the ostensibly partisan nature of the information provided by Mr. Steele, did he not?

COMEY:  I don’t know.

 

HAWLEY: He did. The IG reports it on pages 136 and 137 on this report and you knew of those concerns before you signed off on the FISA application, didn’t you?

COMEY: I don’t think I knew before, I remember reading a footnote that attempted to inform the court of potential bias.

HAWLEY: No, actually the Inspector General found on page 139 of the report and I quote “on October 12, 2016 Evans’ concerns about Steele were briefed to Comey.”

COMEY: (shrug)

 

HAWLEY: And yet you signed off, knowing that the research was funded by the Democrat Party, knowing that senior officials in the DOJ National Security Division had serious concerns, you signed off.

Below is the 10 minute exchange.

Hawley was right at the end of this exchange as well when he shared, “It’s time we held people responsible.”

 

end

Trump refuses to allow debate organizers to change the rules of the next two debates

(zerohedge)

Trump Accuses “Swamp Monster” Debate Organizers Of Colluding With Dems, Won’t Allow Format Changes

President Trump tweeted Thursday that he wouldn’t allow the Commission on Presidential Debates to move ahead with promised changes to the debate formate, which the organization announced yesterday.

In a statement, the Commission on Presidential Debates said it was mulling what to do, and also raised the possibility of equipping moderators with new “tools” – perhaps including the ability to cut a speaker’s mic.

But Trump in a series of tweets sent Thursday afternoon, Trump boasted that he won the debate, and questioned “why would I allow the Debate Commission to change the rules for the second and third Debates when I easily won last time?”

It’s a good question.

Trump’s campaign held a 1500ET phone call with reporters to discuss the opposition to tweaking the format. During the call, the campaign told reporters that they don’t want to change the rules, and accused “swamp monsters” on the debate committee of having unseemly ties to Democrats.

Meanwhile, debate moderator Chris Wallace griped in a Fox News interview that the president had “put his foot” in the “beautiful cake” Wallace had baked.

“I never dreamt that it would go off the tracks the way it did,” Wallace added.

Before the call, PJ Media reported that the moderator for the second debate, C-SPAN’s Steve Scully, had interned in then-Sen. Joe Biden’s office when he was in college, before going on to work full time in the office of Ted Kennedy, another Democratic Senator. Of course, many of the president’s most rabid supporters accused Wallace of being too hostile of an interviewer to fairly preside over the debate.

END

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

The good US economic news pushed bonds lower.  Traders were long bonds (or USZs) and short ESZs in anticipation that large institutions would buy billions of dollars of bonds and sell billions of dollars of equities to rebalance their portfolios.

Then, this hit the fan: Mnuchin signals stimulus deal is near driving Dow up nearly 400 points

https://www.foxbusiness.com/markets/stock-futures-drop-after-contentious-trump-biden-debate

U.S. Senate Republican Leader McConnell Says Republicans and Democrats are Far Apart on Coronavirus Relief – BBG

Fox’s @ChadPergram: McConnell on coronavirus bill negotiations: It’s safe to say we’re far apart.  McConnell on the $2.2 trillion bill House Democrats want: Yeah: It’s too high.

ESZs were +10.00 at 20:30 ET because Mnuchin said there is an agreement on direct payments to Americans.  Traders are bullish; but they must be careful about sudden headlines on the Covid stimulus plan.  After the open, stocks could be listless until the stimulus deal is resolved.  ESZs are +4.50 at 21:00 ET because American Airlines just announced that it would lay off 19,000 workers.

Expected economic data: Initial Jobless Claims 850k, Continuing Claims 12.2m; Aug Personal Income -2.5% m/m, Spending +0.8%; PCE Deflator 0.3%, PCE Core 0.3%; Sept Markit US Mfg PMI 53.5, Sept ISM 56.4, New Orders 65.2, Prices Paid 58.8; Aug Construction Spending 0.7% m/m; Sept Wards Vehicle Sales 15.7m; NY Fed Prez Williams 11:00 ET, Fed Gov. Bowman 15:00 ET

Memory sticks used to program Philly’s voting machines were stolen from elections warehouse

https://www.inquirer.com/politics/election/philadelphia-election-trump-equipment-stolen-usb-laptop-20200930.html

Ex-FBI Director Comey testified at the Senate Judiciary Committee on Wednesday.  Jim did a Sgt. Schultz routine/defense.  Comey repeatedly claimed he knows nothing, saw nothing and heard nothing.

@CBS_Herridge: On @DNI_Ratcliffe letter + whether he received an “investigative referral” Sept 2016 about an alleged effort by Clinton campaign to distract from the email probe.  @Comey said under oath, “It doesn’t ring a bell.”  @LindseyGrahamSC: “It went to you.”Under oath @Comey: “I don’t remember any information reaching me about the source for Steele.” WHY IT MATTERS: Newly declassified records show FBI Russia team knew as early as Dec 2016 the primary source for the Steele dossier was the subject of 2009 FBI investigation as suspected Russian agent. FBI also interviewed dossier source over three day period January 2017 where he dismissed Steele reporting as rumor.

@MZHemingway: Graham asks Comey about the investigative referral sent directly to him on 9/7/16, re: Clinton’s approval of a plan concerning Donald Trump and Russian hackers hampering US elections as a means of distraction from email server. Comey: “Doesn’t ring a bell.”

    Sen. Grassley lays out all the official communications to/from FBI about Steele’s unreliability. Asks Comey why he kept this hidden. Comey says he doesn’t remember anything.

    Graham doesn’t seem to find it plausible that Comey was unaware of the mountains of exculpatory evidence for Carter Page. “How could all that happen and not get up to you, the director of the FBI, on one of the most important investigations in the history of the FBI?”

Sen. Mike Lee to James Comey: “You don’t seem to know anything about this investigation that you ran.”

https://twitter.com/SteveGuest/status/1311340268571025408

@seanmdav: Comey just said he has no idea if the FBI did anything to verify the Steele dossier before the FBI used it to spy on Carter Page in October of 2017.

    Sen Cruz: Based upon what we know about how you and your agency ran the FBI’s anti-Trump investigation, you are either criminally corrupt or completely incompetent. And I don’t think you’re incompetentNobody trusts the FBI anymore because of you, and that is your legacy.

Comey: “I know nothing about Mr. Clinesmith.”  [Ex-FBI attorney that pleaded guilty to falsifying an email and is cooperating with Durham and Jensen’s investigations]

Three-quarters of voters say faith is important in their personal lives

Less than one-quarter of respondents said it was unimportant.

https://justthenews.com/politics-policy/polling/three-quarters-voters-say-faith-important-their-personal-lives

Day after the debate recap

We doubt that the debate changes the dynamics of the race.  The only certainty: Chris Wallace lost.

Fox News hosts blast presidential debate moderator — Fox News’ Chris Wallace

https://justthenews.com/government/white-house/fox-news-hosts-blast-presidential-debate-moderator-fox-news-chris-wallace

Rancorous first debate yields no clear winner, raises questions about moderator

Wallace repeatedly traded barbs with Trump, leading the president to tell Wallace, “I guess I’m debating you, not him.”…  https://justthenews.com/politics-policy/elections/rancorous-first-presidential-debate-yields-no-clear-winner-raises

@WhitlockJason: Why didn’t Chris Wallace ask Biden to disavow Antifa and BLM, the violent enforcers of the Democratic Party? How much more violence and racism do we have to see from Antifa and BLM before the American media acknowledge their wickedness?

Chris Wallace, American Media Fiddle During Debate As BLM, Antifa Burn Our Country

FOX News host Chris Wallace is the focus of an avalanche of criticism today after his pot-stirring, one-sided performance as debate moderator. Wallace was bad…Our country is burning. The global corporations holding the mainstream media’s purse strings have instructed their beneficiaries to distract the public while America burns to the ground.  Wallace played the role of Nero at the behest of corporate advertisers…

   Tuesday’s debate centered on race. Wallace did all he could to make sure the discussion of it avoided the heart of the problem — the violent fascist behavior of Antifa and Black Lives Matter.

    Twitter and the media want you to believe Trump’s call for the Proud Boys to “stand back and stand by” was a critical moment revealing the president’s allegiance to white supremacy. Trump made the comment in response to Wallace and Joe Biden repeatedly asking him to denounce white supremacists and militias. Trump initially said “Sure. I will do that.”

   Why wouldn’t he? He’s done it previously. It’s the equivalent of saying “I disavow cancer.” He then asked for a specific name of a group that Wallace wanted him to condemn. Wallace didn’t give him one…I’m not here to defend the Proud Boys, a multi-racial group. But let’s quit pretending they’re as big a problem as Antifa and BLM…The American media are as complicit in this country’s fall as Nero was to Rome’s.  https://www.outkick.com/chris-wallace-american-media-fiddle-during-debate-as-blm-antifa-burn-our-country/

Trump accuses Chris Wallace of siding with Joe Biden in first debate   https://t.co/71yhTWXAab

@realDonaldTrump: Chris [Wallace] had a tough night. Two on one was not surprising, but fun. Many important points made, like throwing Bernie, AOC PLUS 3, and the rest, to the wolves! Radical Left is dumping Sleepy Joe. Zero Democrat enthusiasm, WEAK Leadership!  Nobody wants Sleepy Joe as a leader, including the Radical Left (which he lost last night!). He disrespected Bernie, effectively calling him a loser!… Biden REFUSED to use the term, LAW & ORDER! There go the Suburbs.

DJT Atty @JennaEllisEsq: Joe: “I don’t trust him, I trust the scientists.” POTUS: “So you don’t trust Johnson & Johnson, Pfizer?”  Chris [Wallace] interrupts and Biden doesn’t have to respond.

Here Are the 11 Dumbest, Most Slanted Questions Asked by Chris Wallace

https://thefederalist.com/2020/09/30/here-are-the-11-dumbest-most-slanted-questions-asked-by-chris-wallace/#.X3TJPIGh9lI.twitter

Trump wasn’t sharp; he missed layup zingers on Biden (On taxes, Joe only gave 1.5% of his income to charity) and did an inadequate job of explaining what he said at Charlottesville as well as his past denunciation of racism and white supremacy (even MSM types noted his past condemnations).  DJT was too abrasive.  He could have explained Covid and his Covid response better.

Six Hoaxes Trump Failed to Debunk in the First Debate

The Charlottesville “very fine people” hoax…The “white supremacists” hoax…The “China” hoax…

https://www.breitbart.com/politics/2020/09/30/pollak-six-hoaxes-trump-failed-to-debunk-in-the-first-debate/

@abigailmarone: CNN’s Jake Tapper admits that President Donald Trump condemned neo-Nazis and white supremacists: “He’s not saying that the neo-Nazis and white supremacists are very fine people”

https://twitter.com/abigailmarone/status/1311398755330125825

President @realDonaldTrump: I don’t know who the Proud Boys are but they have to stand down, let law enforcement do their work… Antifa is a real problem because the problem is on the left; and Biden refuses to talk about it, he refuses to issue the words ‘law & order’… He can’t say the words because he will lose the rest of the left.  He has to condemn Antifa…” https://twitter.com/TeamTrump/status/1311383013515833345

@1776Stonewall: Wilfred Reilly, a black professor of political science at Kentucky State Univ – Historically black college, says Proud Boys are NOT white supremacy group. Says “10% to 20% of them are people of color, a diverse racial composition that is “extremely well-known in law enforcement”

Black Member from the Proud Boys debunks the Mainstream Media White Supremacist Claims

https://twitter.com/dowop_robinson/status/1311364064589869058

Senior Trump advisor Jason Miller says when people complain that the debate was bad for America; it is code for our guy got his butt kicked.  https://t.co/mkbZ6cqCim

The MSM was generally displeased with Joe.

CNN’s Jake Tapper: “I don’t know if Joe Biden won the debate per se.  He had some nice moments but I thought he was kind of flat.”  https://t.co/erzb2ptSkH

@TVNewsHQ: NBC’s @SavannahGuthrie on @JoeBiden’s debate performance: “Joe Biden wasn’t exactly the strongest, clearest version of himself we’ve ever seen.” https://t.co/i21CmNfHkK

WSJ’s @KimStrassel: There are two ways to think of debates. Did you excite/enthuse base? On this, Trump wins. He was consistent, and made the points that he is running on in this election–law/order; economy; D corruption in terms of FBI investigation/Hunter; handling of virus.  Biden didn’t help himself with base. Performance was OK, but he was forced several times to distance himself from policies that are baseline progressive demands–Medicare for All, defund police, Green New Deal. Never forget the D party is seriously divided. #Debates2020

@DineshDSouza: Biden called Trump a racist, a clown and a liar. What equivalent epithets did Trump hurl at Biden? I can’t think of any

W Bush’s Pres Sec, no friend of Trump @AriFleischer: I rewatched the start of the debate. The 1st Q went to Trump who gave an uninterrupted 2-min response. Then Biden gave an uninterrupted 2-min response. Then it went back to Trump, whose answer was interrupted 3 times by Biden. If you didn’t like it, blame Biden for starting it.

Joe issued numerous lies, some of which can be disproven by video or documentation evidence.

Trump Campaign: Biden Makes 33 False or Misleading Claims at the Debate

https://www.donaldjtrump.com/media/correct-the-record-fact-biden-makes-33-false-or-misleading-claims-at-the-debate?s=02

@AnnCoulter: Biden’s entire campaign is based on the media’s lies about Trump

Two crucial things emerged from the first presidential debate

Biden did well if one ignored that almost every other statement he made was a lie or fantasy; Trump dominated him, almost too aggressively; and Chris Wallace may have been the worst and most obviously biased moderator since Candy Crowley.  Most significantly, though, Biden and Trump each made a critical point.  Biden’s was a tacit admission that if he is elected president, he will preside over the end of the filibuster, allowing Democrats to pack the courts and add two new Democrat-majority states.  Trump’s point was that he’s holding damning evidence about the Democrats’ coup attempt

https://www.americanthinker.com/blog/2020/09/two_crucial_things_emerged_from_the_first_presidential_debate.html

Lin Wood, the attorney that secured defamation/slander settlements with the MSM for the Covington Catholic teenager, put Biden on notice for libeling his client, the 17-year old charged in Kenosha.

@LLinWood: Formal demand for public retraction is being prepared for Biden/Harris Campaign on behalf of Kyle Rittenhouse. I also hereby demand that @JoeBiden immediately retract his false accusation that Kyle is a white supremacist & militia member responsible for violence in Kenosha

The only thing that saves Chris Wallace is that he did not use Kyle’s name or likeness. @JoeBiden & his campaign recklessly did.  Meets the “of and concerning” requirement of libel law. Joe is going to be sued.  Successfully.https://twitter.com/LLinWood/status/1311290152619307008

@DailyCaller: Joe Biden includes Kyle Rittenhouse in a video about white supremacists

https://twitter.com/DailyCaller/status/1311325639782338560

Conservative talk host @marklevinshow: Biden is a nasty old man, as he was a nasty young man when first elected to public office.  He has not changed.  Personal attacks against Bork, Thomas, et al.  His name-calling last night was contemptible. The media are too invested in their hatred for the president and their cheerleading for Biden to objectively point it out.

Joe had some difficulty on Wednesday morning.

https://twitter.com/FrancisBrennan/status/1311314107455492098

@AP: The Commission on Presidential Debates says it will add new “tools to maintain order” to the upcoming debates after a chaotic first contest between President Trump and Dem nominee Joe Biden.

    @realDonaldTrump in response: Try getting a new Anchor and a smarter Democrat candidate!

@joshdcaplan: [Trump advisor] TIM MURTAUGH: “They’re only doing this because their guy got pummeled last night. President Trump was the dominant force and now Joe Biden is trying to work the refs. They shouldn’t be moving the goalposts and changing the rules in the middle of the game.”

Trump Campaign announces ‘Fighters against Socialism Bus Tour’ launch in Florida

On October 3, the tour will kick off with various events across the state.

https://www.foxnews.com/politics/trump-campaign-fighters-against-socialism-bus-tour-florida

Ex-CBS (28 years) and Fox reporter @BernardGoldberg: I detest Donald Trump. And I hope he wins in a landslide.

Well that is all for today

END

I will see you FRIDAY night.

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