JUNE 2//GOLD UP $22.50 TO $1867.35//SILVER UP 57 CENTS TO $22.23//PLATINUM UP $24.80 TO $1025.00/PALLADIUM UP $43.60 TO $2050.55//COVID UPDATES: SHANGHAI ANNOUNCES REOPENING TODAY BUT STILL UNSURE// VACCINE IMPACT//UKRAINE VS RUSSIA UPDATES//INFLATION UPDATES//SWAMP STORIES FOR YOU TONIGHT//

June 2 2022 · by harveyorgan · in Uncategorized · Leave a comment·Edit

harveyorgan · in Uncategorized · Leave a comment·Edit

GOLD;  $1867.35 UP $22.50 

SILVER: $22.23 UP  $.57

ACCESS MARKET: GOLD $1868.50

SILVER: $22.32

Bitcoin morning price:  $29,942 DOWN 320

Bitcoin: afternoon price: $30,059  down 203

Platinum price: closing UP $24.80 to $1025.55

Palladium price; closing UP $43.60  at $2050.55

END

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 EXCHANGE: COMEX EXCHANGE: COMEX

JPMorgan issued 1086/1854  

EXCHANGE: COMEX
CONTRACT: JUNE 2022 COMEX 100 GOLD FUTURES
SETTLEMENT: 1,843.300000000 USD
INTENT DATE: 06/01/2022 DELIVERY DATE: 06/03/2022
FIRM ORG FIRM NAME ISSUED STOPPED


072 C GOLDMAN 521
104 C MIZUHO 100
118 C MACQUARIE FUT 38
118 H MACQUARIE FUT 54
132 C SG AMERICAS 6
323 C HSBC 75
323 H HSBC 253
332 H STANDARD CHARTE 33
357 C WEDBUSH 1
363 H WELLS FARGO SEC 52
435 H SCOTIA CAPITAL 29
555 C BNP PARIBAS SEC 2
624 H BOFA SECURITIES 93
657 C MORGAN STANLEY 17
657 H MORGAN STANLEY 188
661 C JP MORGAN 980 1046
686 C STONEX FINANCIA 12
690 C ABN AMRO 3 13
700 C UBS 48
709 H BARCLAYS 30
730 C PTG DIVISION SG 3
732 C RBC CAP MARKETS 5
737 C ADVANTAGE 2
800 C MAREX SPEC 22 6
880 C CITIGROUP 45
905 C ADM 9 22


TOTAL: 1,854 1,854
MONTH TO DATE: 10,662

NUMBER OF NOTICES FILED TODAY FOR  JUNE CONTRACT 1854  NOTICE(S) FOR 185,400 Oz//5.7667  TONNES)

total notices so far: 10,662 contracts for 1,066,200 oz (33.163 tonnes)

SILVER NOTICES: 

17 NOTICE(S) FILED 85,000   OZ/

total number of notices filed so far this month  1458  :  for 7,290,000  oz



END

Russia is a major supplier of silver to London while Mexico supplies the COMEX

With the sanctions, London has no way to obtain silver other than compete with NY.

GLD

WITH GOLD UP $22.50

WITH RESPECT TO GLD WITHDRAWALS:  (OVER THE PAST FEW MONTHS):

GOLD IS “RETURNED” TO THE BANK OF ENGLAND WHEN CALLING IN THEIR LEASES: THE GOLD NEVER LEAVES THE BANK OF ENGLAND IN THE FIRST PLACE. THE BANK IS PROTECTING ITSELF IN CASE OF COMMERCIAL FAILURE

ALSO INVESTORS SWITCHING TO SPROTT PHYSICAL  (phys) INSTEAD OF THE FRAUDULENT GLD//

A HUGE CHANGES IN GOLD INVENTORY AT THE GLD: A WITHDRAWAL OF 1.64 TONNES FROM THE GLD/

INVENTORY RESTS AT 1067.20 TONNES

Silver//SLV

WITH NO SILVER AROUND AND SILVER UP $.57 CENTS

AT THE SLV// A BIG CHANGE IN SILVER INVENTORY AT THE SLV://NO CHANGES IN SILVER IVWENTORY AT THE SLV.: A WITHDRAWAL OF 2.261 MILLION OZ FROMTHE SLV/

INVESTORS ARE SWITCHING SLV TO SPROTT’S PSLV

CLOSING INVENTORY: 553.872 MILLION OZ

Let us have a look at the data for today

SILVER//OUTLINE


SILVER COMEX OI FELL BY A STRONG SIZED  661 CONTRACTS TO 146,640   AND CLOSER TO  THE NEW RECORD OF 244,710, SET FEB 25/2020 AND  THE GOOD LOSS IN OI WAS ACCOMPLISHED DESPITE OUR   $0.19 GAIN  IN SILVER PRICING AT THE COMEX ON WEDNESDAY.  OUR BANKERS WERE UNSUCCESSFUL IN KNOCKING THE PRICE OF SILVER DOWN (IT ROSE BY $0.19) BUT  ALSO UNSUCCESSFUL IN KNOCKING OFF ANY SILVER LONGS AS THEY REMAIN FIRM IN THEIR BELIEF OF A SILVER FAILURE AS WE HAD A STRONG NET GAIN OF1167 CONTRACTS ON OUR TWO EXCHANGES

WE  MUST HAVE HAD: 
I) HUGE BANKER SHORT COVERING AS THEY ARE VERY ANXIOUS TO GET OUT OF DODGE!!/. II)WE ALSO HAD  SOME  REDDIT RAPTOR BUYING//.   iii)  A STRONG ISSUANCE OF EXCHANGE FOR PHYSICALS iiii) A STRONG INITIAL SILVER STANDING FOR COMEX SILVER MEASURING AT 7.635 MILLION OZ FOLLOWED BY TODAY’S QUEUE JUMP OF 17 CONTRACTS OR 85,000 OZ//NEW STANDING:  7,355,000 / //  V)    STRONG SIZED COMEX OI LOSS/

 I AM NOW RECORDING THE DIFFERENTIAL IN OI FROM PRELIMINARY TO FINAL: 


THE DIFFERENTIAL FROM PRELIMINARY OI TO FINAL OI SILVER TODAY: CONTRACTS  : -57

HISTORICAL ACCUMULATION OF EXCHANGE FOR PHYSICALS  JUNE. ACCUMULATION FOR EFP’S SILVER/JPMORGAN’S HOUSE OF BRIBES/STARTING FROM FIRST DAY/MONTH OF JUNE: 

TOTAL CONTACTS for 2 days, total 3071,  contracts:  15.355 million oz  OR 7.67 MILLION OZ PER DAY. (1535CONTRACTS PER DAY)

TOTAL EFP’S FOR THE MONTH SO FAR: 7.676 MILLION OZ

.

LAST 11 MONTHS TOTAL EFP CONTRACTS ISSUED  IN MILLIONS OF OZ:

MAY 137.83 MILLION

JUNE 149.91 MILLION OZ

JULY 129.445 MILLION OZ

AUGUST: MILLION OZ 140.120 

SEPT. 28.230 MILLION OZ//

OCT:  94.595 MILLION OZ

NOV: 131.925 MILLION OZ

DEC: 100.615 MILLION OZ 

JAN 2022//  90.460 MILLION OZ

FEB 2022:  72.39 MILLION OZ//

MARCH: 207.430  MILLION OZ//A NEW RECORD FOR EFP ISSUANCE AND WE ARE STILL GOING STRONG THIS MONTH.

APRIL: 114.52 MILLION OZ FINAL//LOW ISSUANCE

MAY: 105.635 MILLION OZ//

JUNE: 7.676 MILLION OZ

RESULT: WE HAD A STRONG SIZED DECREASE IN COMEX OI SILVER COMEX CONTRACTS OF 661 DESPITE OUR  $0.19 GAIN IN SILVER PRICING AT THE COMEX// WEDNESDAY.,.  THE CME NOTIFIED US THAT WE HAD A STRONG  SIZED EFP ISSUANCE  CONTRACTS: 1771 CONTRACTS ISSUED FOR JULY AND 0 CONTRACTS ISSUED FOR ALL OTHER MONTHS) WHICH  EXITED OUT OF THE SILVER COMEX  TO LONDON  AS FORWARDS    THE DOMINANT FEATURE TODAY: /HUGE BANKER SHORT COVERING AS THEY GET OUT OF DODGE//// WE HAVE A HUGE INITIAL SILVER OZ STANDING FOR JUNE. OF 7.635 MILLION  OZ FOLLOWED BY TODAY’S 85,000 QUEUE JUMP//NEW STANDING:7,355,000 //  .. WE HAD A STRONG SIZED GAIN OF 1110 OI CONTRACTS ON THE TWO EXCHANGES FOR 5.550 MILLION  OZ WITH THE GAIN IN PRICE. 

 WE HAD 17  NOTICES FILED TODAY FOR  85,000 OZ

THE SILVER COMEX IS NOW BEING ATTACKED FOR METAL BY LONDONERS ET AL.

GOLD//OUTLINE

IN GOLD, THE COMEX OPEN INTEREST FELL  BY A STRONG SIZED 7868 CONTRACTS  TO 505,854 AND FURTHER FROM NEW RECORD (SET JAN 24/2020) AT 799,541 AND  PREVIOUS TO THAT: (SET JAN 6/2020) AT 797,110.

THE DIFFERENTIAL FROM PRELIMINARY OI TO FINAL OI IN GOLD TODAY: – 634 CONTRACTS.

THE BIS HAS ABANDONED THE GOLD COMEX TRADING!!!

.

THE  STRONG SIZED LOSS IN COMEX OI CAME DESPITE OUR GAIN IN PRICE OF $1.00//COMEX GOLD TRADING/WEDNESDAY / WE MUST HAVE  HAD  SOME SPECULATOR SHORT COVERING ACCOMPANYING OUR GIGANTIC SIZED EXCHANGE FOR PHYSICAL ISSUANCE. WE HAD ZERO LONG LIQUIDATION   //JUST SPECULATOR SHORT COVERING FROM OUR STUPID SPECULATORS.

WE ALSO HAD A HUGE INITIAL STANDING IN GOLD TONNAGE FOR JUNE AT 69.26 TONNES ON FIRST DAY NOTICE /FOLLOWED BY TODAY’S 29,100 OZ QUEUE JUMP//NEW STANDING:  69.063 TONNES

YET ALL OF..THIS HAPPENED WITH OUR GAIN IN PRICE OF   $1.00 WITH RESPECT TO WEDNESDAY’S TRADING

WE HAD A FAIR SIZED LOSS OF 4028  OI CONTRACTS 12.528 PAPER TONNES) ON OUR TWO EXCHANGES..

E.F.P. ISSUANCE

THE CME RELEASED THE DATA FOR EFP ISSUANCE AND IT TOTALED A FAIR SIZED  3394 CONTRACTS:

The NEW COMEX OI FOR THE GOLD COMPLEX RESTS AT 505,854

IN ESSENCE WE HAVE A FAIR SIZED DECREASE IN TOTAL CONTRACTS ON THE TWO EXCHANGES OF 4028, WITH 7868 CONTRACTS DECREASED AT THE COMEX AND 3840 EFP OI CONTRACTS WHICH NAVIGATED OVER TO LONDON. THUS  TOTAL OI LOSS ON THE TWO EXCHANGES OF4028 CONTRACTS OR 12.528 TONNES.

CALCULATIONS ON GAIN/LOSS ON OUR TWO EXCHANGES

WE HAD A FAIR SIZED ISSUANCE IN EXCHANGE FOR PHYSICALS (3840) ACCOMPANYING THE STRONG SIZED LOSS IN COMEX OI (7868,): TOTAL LOSS IN THE TWO EXCHANGES 4028 CONTRACTS. WE NO DOUBT HAD 1) SOME SPECULATOR SHORT COVERING ,2.) STRONG INITIAL STANDING AT THE GOLD COMEX FOR JUNE. AT 69.26 TONNES FOLLOWED BY TODAY’S QUEUE  JUMP OF 29,100 OZ//NEW STANDING:69.063 TONNES /  3) ZERO LONG LIQUIDATION//CONSIDERABLE SPECULATOR SHORT COVERING //.,4) STRONG SIZED COMEX  OI. LOSS 5) FAIR ISSUANCE OF EXCHANGE FOR PHYSICAL/

HISTORICAL ACCUMULATION OF EXCHANGE FOR PHYSICALS IN 2022 INCLUDING TODAY

JUNE

ACCUMULATION OF EFP’S GOLD AT J.P. MORGAN’S HOUSE OF BRIBES: (EXCHANGE FOR PHYSICAL) FOR THE MONTH OF JUNE :

10,287 CONTRACTS OR 1,028,700 OZ OR 31.996  TONNES 2 TRADING DAY(S) AND THUS AVERAGING: 5143 EFP CONTRACTS PER TRADING DAY

TO GIVE YOU AN IDEA AS TO THE  SIZE OF THESE EFP TRANSFERS :  THIS MONTH IN 2 TRADING DAY(S) IN  TONNES: 31.996 TONNES

TOTAL ANNUAL GOLD PRODUCTION, 2021, THROUGHOUT THE WORLD EX CHINA EX RUSSIA: 3555 TONNES

THUS EFP TRANSFERS REPRESENTS  31.996/3550 x 100% TONNES  0.90% OF GLOBAL ANNUAL PRODUCTION

ACCUMULATION OF GOLD EFP’S YEAR 2021 TO 2022 

JANUARY/2021: 265.26 TONNES (RAPIDLY INCREASING AGAIN)

 FEB  :  171.24 TONNES  ( DEFINITELY SLOWING DOWN AGAIN).. 

MARCH:.   276.50 TONNES (STRONG AGAIN/

APRIL:      189..44 TONNES  ( DRAMATICALLY SLOWING DOWN AGAIN//GOLD IN BACKWARDATION)

MAY:        250.15 TONNES  (NOW DRAMATICALLY INCREASING AGAIN)

JUNE:      247.54 TONNES (FINAL)

JULY:        188.73 TONNES FINAL

AUGUST:   217.89 TONNES FINAL ISSUANCE.

SEPT          142.12 TONNES FINAL ISSUANCE ( LOW ISSUANCE)_

OCT:           141.13 TONNES FINAL ISSUANCE (LOW ISSUANCE)

NOV:           312.46 TONNES FINAL ISSUANCE//NEW RECORD!! (INCREASING DRAMATICALLY)//SIGN OF REAL STRESS//SURPASSING THE MARCH 2021 RECORD OF 276.50 TONNES OF EFP

DEC.           175.62 TONNES//FINAL ISSUANCE// 

JAN:2022   247.25 TONNES //FINAL

FEB:           196.04 TONNES//FINAL

MARCH:  409.30 TONNES INITIAL( THIS IS NOW A RECORD EFP ISSUANCE FOR MARCH AND FOR ANY MONTH.

APRIL:  169.55 TONNES (FINAL VERY  LOW ISSUANCE MONTH)

MAY:  247,44 TONNES FINAL// 

JUNE: 31.996 TONNES

SPREADING OPERATIONS

(/NOW SWITCHING TO GOLD) FOR NEWCOMERS, HERE ARE THE DETAILS

SPREADING LIQUIDATION HAS NOW COMMENCED   AS WE HEAD TOWARDS THE  NEW ACTIVE FRONT MONTH OF JUNE. WE ARE NOW INTO THE SPREADING OPERATION OF SILVER

HERE IS A BRIEF SYNOPSIS OF HOW THE CROOKS FLEECE UNSUSPECTING LONGS IN THE SPREADING ENDEAVOUR ;MODUS OPERANDI OF THE CORRUPT BANKERS AS TO HOW THEY HANDLE THEIR SPREAD OPEN INTERESTS:HERE IS HOW THE CROOKS USED SPREADING AS WE ARE NOW INTO THE  NON ACTIVE DELIVERY MONTH OF APRIL HEADING TOWARDS THE  ACTIVE DELIVERY MONTH OF MAY, FOR SILVER:

YOU WILL ALSO NOTICE THAT THE COMEX OPEN INTEREST  STARTS TO RISE BUT SO IS THE OPEN INTEREST OF SPREADERS. THE OPEN INTEREST IN WILL CONTINUE TO RISE UNTIL ONE WEEK BEFORE FIRST DAY NOTICE OF AN UPCOMING  ACTIVE DELIVERY MONTH (JULY), AND THAT IS WHEN THE CROOKS SELL THEIR SPREAD POSITIONS BUT NOT AT THE SAME TIME OF THE DAY.  THEY WILL USE THE SELL SIDE OF THE EQUATION TO CREATE THE CASCADE (ALONG WITH THEIR COLLUSIVE FRIENDS) AND THEN COVER ON THE BUY SIDE OF THE SPREAD SITUATION AT THE END  OF THE DAY. THEY DO THIS TO AVOID POSITION LIMIT DETECTION. THE LIQUIDATION OF THE SPREADING FORMATION CONTINUES FOR EXACTLY ONE WEEK AND ENDS ON FIRST DAY NOTICE.”

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 661 CONTRACT OI TO 146,697 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  5 YEARS AGO.  

EFP ISSUANCE 1771 CONTRACTS

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

JULY 1771  ALL OTHER MONTHS: ZERO. TOTAL EFP ISSUANCE: 0 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 661 CONTRACTS AND ADD TO THE 1771 OI TRANSFERRED TO LONDON THROUGH EFP’S,

WE OBTAIN A STRONG SIZED GAIN OF 1110   OPEN INTEREST CONTRACTS FROM OUR TWO EXCHANGES. 

THUS IN OUNCES, THE  GAIN  ON THE TWO EXCHANGES 5.550 MILLION OZ

OCCURRED WITH OUR LOSS IN PRICE OF  $0.19 .

OUTLINE FOR TODAY’S COMMENTARY

1/COMEX GOLD AND SILVER REPORT

(report Harvey)

2 ) Gold/silver trading overnight Europe,

(Peter Schiff,

3. Egon von Greyerz///Matthew Piepenburg via GoldSwitzerland.com,

4. Chris Powell of GATA provides to us very important physical commentaries

end

5. Other gold commentaries

end

6. Commodity commentaries

3. ASIAN AFFAIRS

i)THURSDAY MORNING// WEDNESDAY  NIGHT

SHANGHAI CLOSED UP 13.30 PTS OR 0,42%   //Hang Sang CLOSED DOWN 212.81 PTS OR 1.00%    /The Nikkei closed DOWN 44.01 OR 0.16%          //Australia’s all ordinaires CLOSED DOWN .85%%   /Chinese yuan (ONSHORE) closed UP 6,6743    /Oil UP TO 112.24dollars per barrel for WTI and UP TO 113.30 for Brent. Stocks in Europe OPENED  MOSTLY GREEN       //  ONSHORE YUAN CLOSED UP AGAINST THE DOLLAR AT 6.6743 OFFSHORE YUAN CLOSED DOWN ON THE DOLLAR AT 6.6848: /ONSHORE YUAN TRADING ABOVE LEVEL OF OFFSHORE YUAN/ONSHORE YUAN  TRADING STRONGER AGAINST US DOLLAR/OFFSHORE STRONGER/

a)NORTH KOREA

outline

b) REPORT ON JAPAN/

OUTLINE

3 C CHINA

OUTLINE

4/EUROPEAN AFFAIRS

OUTLINE

5. RUSSIAN AND MIDDLE EASTERN AFFAIRS

OUTLINE

6.Global Issues

OUTLINE

7. OIL ISSUES

OUTLINE

8 EMERGING MARKET ISSUES

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

GOLD

LET US BEGIN:

THE TOTAL COMEX GOLD OPEN INTEREST FELL BY A STRONG SIZED 7868 CONTRACTS TO 505,854 AND FURTHER FROM THE 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 SMALL  COMEX DECREASE OCCURRED DESPITE OUR GAIN OF $1.00 IN GOLD PRICING WEDNESDAY’S COMEX TRADING. WE ALSO HAD A STRONG SIZED EFP (6447 CONTRACTS). . THEY WERE PAID HANDSOMELY  NOT TO TAKE DELIVERY AT THE COMEX AND SETTLE FOR CASH. IT NOW SEEMS THAT THE COMMERCIALS HAVE GOADED THE SPECS TO GO SHORT BIG TIME AND THEY ARE CAUGHT. THE COMMERCIALS WILL SLAUGHTER THESE GUYS WHEN THEY THINK THE TIME IS RIGHT

WE NORMALLY HAVE WITNESSED  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. IT SEEMS THAT ARE BANKERS FRIENDS ARE EXERCISING EFP’S FROM LONDON AND NOW THEY ARE LOATHE TO ISSUE NEW ONES.

EXCHANGE FOR PHYSICAL ISSUANCE

WE ARE NOW MOVING TO THE  ACTIVE DELIVERY MONTH OF JUNE..  THE CME REPORTS THAT THE BANKERS ISSUED A fair SIZED TRANSFER THROUGH THE EFP ROUTE AS THESE LONGS RECEIVED A DELIVERABLE LONDON FORWARD TOGETHER WITH A FIAT BONUS.,

THAT IS 3840 EFP CONTRACTS WERE ISSUED:  ;: ,  . 0 AUG :3840 & ZERO FOR ALL OTHER MONTHS:

TOTAL EFP ISSUANCE:  3840 CONTRACTS 

WHEN WE HAVE BACKWARDATION,  EFP ISSUANCE IS VERY COSTLY BUT THE REAL PROBLEM IS THE SCARCITY OF METAL AND IT IS FAR BETTER FOR OUR BANKERS TO PAY OFF INDIVIDUALS THAN RISK INVESTORS ESPECIALLY FROM LONDON STANDING FOR DELIVERY. THE LOWER PRICES IN THE FUTURES MARKET IS A MAGNET FOR OUR LONDONERS SEEKING PHYSICAL METAL. BACKWARDATION ALWAYS EQUAL SCARCITY OF METAL!

ON A NET BASIS IN OPEN INTEREST WE LOST THE FOLLOWING TODAY ON OUR TWO EXCHANGES: A  FAIR SIZED  TOTAL OF 3394 CONTRACTS IN THAT 7234 LONGS WERE TRANSFERRED AS FORWARDS TO LONDON AND WE HAD A STRONG SIZED  COMEX OI LOSS OF 7234  CONTRACTS..AND YET  THIS  LOSS ON OUR TWO EXCHANGES HAPPENED WITH  OUR  GAIN IN PRICE OF GOLD $1.00.   

// WE HAVE A STRONG AMOUNT OF GOLD TONNAGE STANDING FOR MAY   (69.063),

 HERE ARE THE AMOUNTS THAT STOOD FOR DELIVERY IN THE PRECEDING 12 MONTHS OF 2021:

DEC 2021: 112.217 TONNES

NOV.  8.074 TONNES

OCT.    57.707 TONNES

SEPT: 11.9160 TONNES

AUGUST: 80.489 TONNES

JULY: 7.2814 TONNES

JUNE:  72.289 TONNES

MAY 5.77 TONNES

APRIL  95.331 TONNES

MARCH 30.205 TONNES

FEB ’21. 113.424 TONNES

JAN ’21: 6.500 TONNES.

TOTAL SO FAR THIS YEAR (JAN- DEC): 601.213 TONNES

YEAR 2022:

JANUARY 2022  17.79 TONNES

FEB 2022: 59.023 TONNES

MARCH: 36.678 TONNES

APRIL: 85.340 TONNES FINAL.

MAY: 20.11 TONNES FINAL

JUNE: 69.063 TONNES

THE BANKERS WERE UNSUCCESSFUL IN LOWERING GOLD’S PRICE  //// (IT ROSE $1.00) BUT WERE SUCCESSFUL IN KNOCKING OFF SOME SPECULATOR LONGS/COMMERCIAL LONGS AS WELL AS SPECULATOR SHORTS////  WE HAVE  REGISTERED A FAIR SIZED loss  OF 4028 TONNES ON TOTAL OI FROM OUR TWO EXCHANGES, ACCOMPANYING OUR HUGE GOLD TONNAGE STANDING FOR JUNE (69.063 TONNES)

WE HAD 634 CONTRACTS REMOVED FROM COMEX TRADES. THESE WERE REMOVED AFTER TRADING ENDED LAST NIGHT

NET LOSS ON THE TWO EXCHANGES 4028 CONTRACTS OR 402800  OZ OR 12.528 TONNES

Estimated gold volume 123,634/// poor

Confirmed volume yesterday:164,991 contracts  fair

INITIAL STANDINGS FOR JUNE ’22 COMEX GOLD //JUNE 2

GoldOunces
Withdrawals from Dealers Inventory in oznil oz
Withdrawals from Customer Inventory in oz37,198.706 oz
Brinks
Int. Delaware
JPMorgan
1001 kilobars
10 kilobars
146 kilobars
Deposit to the Dealer Inventory in oznilOZ 
Deposits to the Customer Inventory, in oznil
No of oz served (contracts) today1854  notice(s)185,400 OZ
5.7667 TONNES
No of oz to be served (notices)11,542 contracts 1,154,200 oz
35.900 TONNES
Total monthly oz gold served (contracts) so far this month10,662 notices1,066,200 OZ
33.163 TONNES
Total accumulative withdrawals of gold from the Dealers inventory this monthNIL oz
Total accumulative withdrawal of gold from the Customer inventory this monthxxx oz

dealer deposits  0

total dealer deposit  0   oz//

No dealer withdrawals

0 customer deposits

total deposits: nil oz

3 customer withdrawals:

i) Out of Brinks:  32,183.150 oz 1001 kilobars

ii) Out of Int. Delaware: 321.510 oz (10 kilobars)

iii) Out of JPMorgan; 4694.046 oz (146 kilobars)

total withdrawal: 37,198.706  oz

ADJUSTMENTS:  2

i)  dealer to customer:  Brinks 160,980.05 oz

ii)  customer to dealer: JPMorgan 150,327.946 oz

CALCULATIONS FOR THE AMOUNT OF GOLD STANDING FOR JUNE.

For the front month of JUNE we have an  oi of 13,396 contracts having LOST 4432 contracts

We had 4723 notices filed on WEDNESDAY so we GAINED 291  contracts or 29,100 oz will stand at the comex 

July has a GAIN OF 29 OI to stand at 2125

August has a loss of 3800 contracts down to 428,720 contracts

We had 1854 notice(s) filed today for  185,400 oz FOR THE JUNE 2022 CONTRACT MONTH. 


Today, 0 notice(s) were issued from J.P.Morgan dealer account and  980 notices were issued from their client or customer account. The total of all issuance by all participants equate to 1854 contract(s) of which 0  notices were stopped (received) by j.P. Morgan dealer and  1046 notice(s) was (were) stopped/ Received) by J.P.Morgan//customer account and 0 notice(s) received (stopped) by the squid  (Goldman Sachs)

To calculate the INITIAL total number of gold ounces standing for the JUNE /2021. contract month, 

we take the total number of notices filed so far for the month (10,662) x 100 oz , to which we add the difference between the open interest for the front month of  (JUNE 13,396  CONTRACTS ) minus the number of notices served upon today  1854 x 100 oz per contract equals 2,220400 OZ  OR 69.063 TONNES the number of TONNES standing in this  active month of JUNE. 

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

No of notices filed so far (10,662) x 100 oz+   (13,396)  OI for the front month minus the number of notices served upon today (1854} x 100 oz} which equals 2,220,400 oz standing OR 69.063 TONNES in this   active delivery month of JUNE.

TOTAL COMEX GOLD STANDING:  69.063 TONNES  (A STRONG STANDING FOR A JUNE (  ACTIVE) DELIVERY MONTH)

XXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXXX

COMEX GOLD INVENTORIES/CLASSIFICATION

NEW PLEDGED GOLD:

241,794.285 oz NOW PLEDGED /HSBC  5.94 TONNES

204,937.290 PLEDGED  MANFRA 3.08 TONNES

83,657.582 PLEDGED JPMorgan no 1  1.690 tonnes

265,999.054, oz  JPM No 2 

1,152,376.639 oz pledged  Brinks/

Manfra:  33,758.550 oz

Delaware: 193.721 oz

International Delaware::  11,188.542 o

total pledged gold:  2,144,416.951 oz                             

TOTAL OF ALL GOLD ELIGIBLE AND REGISTERED:  35,027,983.608 OZ 

TOTAL ELIGIBLE GOLD: 17,018,340.509  OZ

TOTAL OF ALL REGISTERED GOLD: 18,009,643.094 OZ  

REGISTERED GOLD THAT CAN BE SERVED UPON: 15,865,227.0 OZ (REG GOLD- PLEDGED GOLD)  

END

JUNE 2022 CONTRACT MONTH//SILVER//JUNE 2

SilverOunces
Withdrawals from Dealers InventoryNIL oz
Withdrawals from Customer Inventory2,480,170.370  oz
Brinks
Delaware
JPMorgan
Deposits to the Dealer InventorynilOZ
Deposits to the Customer Inventory560,935.768 oz
CNT
No of oz served today (contracts)17CONTRACT(S)
85,000  OZ)
No of oz to be served (notices)13 contracts (65,000 oz)
Total monthly oz silver served (contracts)1458 contracts 7,290,000 oz)
Total accumulative withdrawal of silver from the Dealers inventory this monthNIL oz
Total accumulative withdrawal of silver from the Customer inventory this month


i) zero dealer deposits  
And now for the wild silver comex results

total dealer deposits:  0     oz

i) We had 0 dealer withdrawal

total dealer withdrawals: nil oz

We have 1 deposits into the customer account

ii) Into CNT:  560,935.768 oz

total deposit:  560,935.768    oz

JPMorgan has a total silver weight: 176.637 million oz/336.312 million =52.51% of comex 

 Comex withdrawals: 3

i) Out of Brinks:  663,356.370 oz

ii) Out of JPMorgan:  1,815,840.300 oz

iii) Out of Delaware; 973.70 oz

total withdrawal  2,480,170.370       oz

0 adjustments:  

the silver comex is in stress!

TOTAL REGISTERED SILVER: 72,458 MILLION OZ

TOTAL REG + ELIG. 336.312 MILLION OZ

CALCULATION OF SILVER OZ STANDING FOR JUNE

silver open interest data:

FRONT MONTH OF JUNE OI: 130 HAVING LOST 20 CONTRACTS. 

WE HAD 37 NOTICES FILED ON WEDNESDAY SO WE GAINED 17 CONTRACTS OR AN ADDITIONAL 85,000 OZ WILL STAND IN THIS NON ACTIVE

DELIVERY MONTH OF JUNE

JULY HAD A LOSS OF 2313 CONTRACTS DOWN TO 105,994 CONTRACTS.

AUGUST GAINED 11 CONTRACTS TO STAND AT 19

SEPTEMBER HAD A GAIN OF 1773 CONTRACTS UP TO 26,326 CONTRACTS.

 .

TOTAL NUMBER OF NOTICES FILED FOR TODAY: 17 for 85,000 oz

Comex volumes:37,453// est. volume today//   poor

Comex volume: confirmed yesterday: 59,002 contracts ( poor )

To calculate the number of silver ounces that will stand for delivery in JUNE we take the total number of notices filed for the month so far at 1458 x 5,000 oz = 7,290,000 oz 

to which we add the difference between the open interest for the front month of JUNE(30) and the number of notices served upon today 17  x (5000 oz) equals the number of ounces standing.

Thus the  standings for silver for the JUNE./2022 contract month: 1458 (notices served so far) x 5000 oz + OI for front month of JUNE (30)  – number of notices served upon today (17) x 5000 oz of silver standing for the JUNE contract month equates 7,355,000 oz. .

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

END

GLD AND SLV INVENTORY LEVELS:

JUNE 2/WITH GOLD UP $22.50: HUGE CHANGES IN GOLD INVENTORY AT THE GLD: A WITHDRAWAL OF 1.64 TONNES FROM THE GLD//INVENTORY RESTS AT 1067.20 TONNES

JUNE 1/WITH GOLD UP $1$ HUGE CHANGES IN GOLD INVENTORY AT THE GLD: AWITHDRAWAL OF 1.45 TONNES FROM THE GLD///INVENTORY RESTS AT 1068.36 TONNES

MAY 31/WITH GOLD DOWN $15.10: NO CHANGES IN GOLD INVENTORY AT THE GLD//INVENTORY RESTS AT 1069.81 TONNES

MAY 27/WITH GOLD UP $4.95//NO CHANGES IN GOLD INVENTORY AT THE GLD//INVENTORY RESTS AT 1069.81 TONNES

May 26/WITH GOLD UP $2.10/A HUGE CHANGE IN GOLD INVENTORY AT THE GLD: A DEPOSIT OF 1.74 TONNES OF GOLD INTO THE GLD//INVENTORY RESTS AT 1069.81 TONNES

MAY 25/WITH GOLD UP @$2.70: A HUGE CHANGES IN GOLD INVENTORY AT THE GLD: A DEPOSIT OF 11.89./INVENTORY RESTS AT 1068.07 TONNES

MAY 20/WITH GOLD UP $7.75: HUGE CHANGES IN GOLD INVENTORY AT THE GLD: A DEPOSIT OF 6.97 TONNES INTO THE GLD/INVENTORY RESTS  AT 1056.18 TONNES

MAY 19/WITH GOLD UP $24.20; NO CHANGES IN GOLD INVENTORY AT THE GLD//INVENTORY RESTS AT 1049.21 TONNES//

MAY 18/WITH GOLD DOWN $2.55//A HUGE CHANGE IN GOLD INVENTORY AT THE GLD: A WITHDRAWAL OF 4.07 TONNES FROM THE GLD///INVENTORY RESTS AT 1049.21 TONNES

MAY 17/WITH GOLD UP $5.40:HUGE CHANGES IN GOLD INVENTORY AT THE GLD: A WITHDRAWAL OF 2.61 TONNES FROM THE GLD////INVENTORY RESTS AT 1053.28 TONNES

MAY 16/WITH GOLD UP $5.40: HUGE CHANGES IN GOLD INVENTORY AT THE GLD: A WITHDRAWAL OF 4.93 TONNES FROM THE GLD///INVENTORY RESTS AT 1055.89 TONNES

MAY 13/ WITH GOLD DOWN $16.25//A HUGE CHANGE IN GOLD INVENTORY AT THE GLD: A WITHDRAWAL OF 5.8 TONNES FROM THE GLD.//INVENTORY RESTS AT 1060.82 TONNES

MAY 12/WITH GOLD DOWN $26.50: A BIG CHANGE IN GOLD INVENTORY AT THE GLD: A WITHDRAWAL OF 1.99 TONNES FROM THE GLD////INVENTORY RESTS AT 1066.62 TONNES

MAY 11/WITH GOLD UP $9.85//BIG CHANGES IN GOLD INVENTORY AT THE GLD: A WITHDRAWAL OF 7.25 TONNES FROM THE GLD/////INVENTORY RESTS AT 1068.65 TONNES

MAY 10//WITH GOLD DOWN $16.90: A HUGE CHANGE IN GOLD INVENTORY AT THE GLD: A MASSIVE WITHDRAWAL OF 6.10 TONNES OF GOLD FROM THE GLD//INVENTORY RESTS AT 1075.90 TONNES

MAY 9/WITH GOLD DOWN $24.05: A HUGE CHANGE IN GOLD INVENTORY AT THE GLD: A WITHDRAWAL OF 2.98 TONNES FROM THE GLD..//INVENTORY RESTS AT 1082.00 TONNES

MAY 6/WITH GOLD UP $7.95: A HUGE CHANGES IN GOLD INVENTORY AT THE GLD: A WITHDRAWAL OF 4.06 TONNES FROM THE GLD////INVENTORY RESTS AT 1084.98 TONNES

MAY 5/WITH GOLD UP $6.60 TODAY:NO CHANGES IN GOLD INVENTORY AT THE GLD//INVENTORY RESTS AT 1089.04 TONNES

MAY 4//WITH GOLD UP 70 CENTS TODAY; A HUGE CHANGE IN GOLD INVENTORY AT THE GLD: A WITHDRAWAL OF 3.19 \TONNES FROM THE GLD//INVENTORY RESTS AT 1089.04 TONNES

MAY 3/WITH GOLD UP $6.05: A BIG CHANGE IN GOLD INVENTORY AT THE GLD/ A WITHDRAWL OF 2.32 TONNES//INVENTORY RESTS AT 1092.23

MAY 2/WITH GOLD DOWN $46.20: A BIG CHANGE IN GOLD INVENTORY AT THE GLD: A WITHDRAWAL OF 1.17 TONNES FROM THE GLD///INVENTORY RESTS AT 1094.55 TONNES

APRIL 29/WITH GOLD UP $20.05/NO CHANGES IN GOLD INVENTORY AT THE GLD/INVENTORY RESTS AT 1095,72 TONNES

APRIL 28/WITH GOLD UP $2.35: HUGE CHANGES IN GOLD INVENTORY AT THE GLD: A WITHDRAWAL OF 3.77 TONNES FROM THE GLD //INVENTORY RESTS AT 1095.72 TONNES

APRIL 27/WITH GOLD DOWN $15.30//A HUGE CHANGE IN GOLD INVENTORY AT THE GLD; A WITHDRAWAL OF 1.74 TONNES FROM THE GLD////INVENTORY RESTS AT 1099.49 TONNES

APRIL 26/WITH GOLD UP $7.60//HUGE CHANGES IN GOLD INVENTORY AT THE GLD: A DEPOSIT OF 2.9 TONNES INTO THE GLD./INVENTORY RESTS AT 1101.23 TONNES

APRIL 25/WITH GOLD DOWN $36.80//NO CHANGES IN GOLD INVENTORY AT THE GLD//INVENTORY RESTS AT 1104.13 TONNES 

APRIL 22/WITH GOLD DOWN $13.50: A HUGE CHANGES IN GOLD INVENTORY AT THE GLD: A WITHDRAWAL OF 2.61 TONNES FROM THE GLD.//INVENTORY RESTS AT 1104.13 TONNES

APRIL 21/WITH GOLD DOWN $6.80//NO CHANGES IN GOLD INVENTORY AT THE GLD//INVENTORY RESTS AT 1106.74 TONNES

APRIL 20/WITH GOLD DOWN $3.05: A HUGE CHANGE IN GOLD INVENTORY AT THE GLD: A DEPOSIT IF 6.36 TONNES INTO THE GLD..//INVENTORY RESTS AT 1106.74 TONNES

APRIL 19//WITH GOLD DOWN $26.90//A SMALL CHANGE IN GOLD INVENTORY AT THE GLD A DEPOSIT OF .87 TONNES INTO THE GLD//INVENTORY RESTS AT 1100.36 TONNES

APRIL 18/WITH GOLD UP $11.20: A HUGE CHANGE IN GOLD INVENTORY AT THE GLD: A WITHDRAWAL OF 4.93 TONNES FROM THE GLD..//INVENTORY RESTS AT 1099.44 TONNES

APRIL 14/WITH GOLD DOWN $8.90: A HUGE CHANGE IN GOLD INVENTORY AT THE GLD: A  DEPOSIT OF 11.32 TONNES INTO THE GLD..//INVENTORY RESTS AT 1104.42 TONNES

APRIL 13/WITH GOLD UP $8.80: NO CHANGES IN GOLD INVENTORY AT THE GLD//INVENTORY RESTS AT 1093.10 TONNES

APRIL 12/WITH GOLD UP $26.95: A HUGE CHANGE IN GOLD INVENTORY AT THE GLD: A DEPOSIT OF 2.61 TONNES INTO THE GLD///INVENTORY REST AT 1093.10 TONNES

APRIL 11/WITH GOLD UP $3.40 //A HUGE CHANGE IN GOLD INVENTORY AT THE GLD: A DEPOSIT OF 1.74 TONNES OF GOLD INTO THE GLD.//INVENTORY RESTS AT 1090.49 TONNES

GLD INVENTORY: 1067.20 TONNES

Now the SLV Inventory/( vehicle is a fraud as there is no physical metal behind them

JUNE 2/WITH SILVER UP 57 CENTS TODAY: HUGE CHANGES IN SILVER INVENTORY AT THE SLV: A WITHDRAWAL OF 2.261 MILLION OZ FORM THE SLV.//INVENTORY RESTS T 553.872 MILLION OZ

JUNE 1/WITH SILVER UP 19 CENTS TODAY: HUGE CHANGES IN SILVER INVENTORY AT THE SLV//: A WITHDRAWAL OF 2.538 MILLION OZ FROM THE SLV//INVENTORY RESTS AT 556.133 MILLION OZ//

MAY 31/WITH SILVER DOWN $.41 TODAY; NO CHANGES IN SILVER INVENTORY AT THE SLV//INVENTORY REST S AT 558.071 MILLION OZ//

MAY 27/WITH SILVER UP 10 CENTS TODAY; NO CHANGES IN SILVER INVENTORY AT THE SLV//INVENTORY RESTS AT 558.071 MILLION OZ///

MAY 26/WITH SILVER UP 8 CENTS TODAY; HUGE CHANGES IN SILVER INVENTORY AT THE SLV: A WITHDRAWAL OF 3.515 MILLION OZ FROM THE SLV////INVENTORY RESTS AT 558.071 MILLION OZ

MAY 25/WITH SILVER UP 20 CENTS TODAY; A HUGE CHANGE IN SILVER INVENTORY AT THE SLV: A WITHDRAWAL OF .922 MILLION OZ FROM THE SLV/ //INVENTORY RESTS AT 561.486 MILLION OZ//

MAY 20.WITH SILVER DOWN 20 CENTS TODAY: HUGE CHANGES IN SILVER INVENTORY AT THE SLV: A WIHDRAWAL OF .785 MILLION OZ FROM THE SLV//INVENTORY RESTS AT 565.085 MILLION OZ//

MAY 19/WITH SILVER UP 34 CENTS: NO CHANGES IN SILVER INVENTORY AT THE SLV//INVENTORY REST AT 565.085 MILLION OZ//

MAY 18/WITH SILVER UP $0.04 TODAY: A HUGE CHANGE IN SILVER INVENTORY AT THE SLV// A WITHDRAWAL  1.892 MILLION OZ FROM THE SLV//INVENTORY RESTS AT 565.085 MILLION OZ//

MAY 17/WITH SILVER UP $.22 TODAY; HUGE CHANGES IN SILVER INVENTORY AT THE SLV: A WITHDRAWAL OF 3.508 MILLION OZ FROM THE SLV////INVENTORY RESTS AT 565.085 MILLION OZ//

MAY 16/WITH SILVER UP $.52 TODAY: HUGE CHANGES IN SILVER INVENTORY AT THE SLV: A WITHDRAWAL OF 1.546 MILLION OZ FROM THE SLV////INVENTORY RESTS AT 568.593 MILLION OZ//

MAY 13/WITH SILVER UP 31 CENTS TODAY; NO CHANGES IN SILVER INVENTORY AT THE SLV//INVENTORY RESTS AT 570.439 MILLION OZ/

MAY 12/WITH SILVER DOWN 88 CENTS TODAY; NO CHANGES IN SILVER INVENTORY AT THE SLV//INVENTORY RESTS AT 570.439 MILLION OZ//

May 11/WITH SILVER UP 8 CENTS TODAY: BIG CHANGES IN SILVER INVENTORY AT THE SLV: A WITHDRAWAL OF 5.487 MILLION OZ FROM THE SLV////INVENTORY RESTS AT 570.439 MILLION OZ//

MAY 10.//WITH SILVER DOWN 40 CENTS TODAY: NO CHANGES IN SILVER INVENTORY AT THE SLV//INVENTORY RESTS AT 575.977 MILLION OZ//

MAY 9/WITH SILVER DOWN 50 CENTS TODAY: NO CHANGES IN SILVER INVENTORY AT THE SLV//INVENTORY RESTS AT 575.977 MILLION OZ

MAY 6/WITH SILVER DOWN 6 CENTS TODAY: NO CHANGES IN SILVER INVENTORY AT THE SLV//INVENTORY RESTS AT 575.977 MILLION OZ//

MAY 5/WITH SILVER UP 6 CENTS TODAY: A SMALL CHANGE IN SILVER INVENTORY AT THE SLV: A WITHDRAWAL OF .93 MILLION OZ FROM THE SLV//INVENTORY RESTS AT 575.977 MILLION OZ//

MAY 4/WITH SILVER DOWN 27 CENTS TODAY: A SMALL CHANGES IN SILVER INVENTORY AT THE SLV: A DEPOSIT OF .851 MILLION OZ INTO THE SLV///INVENTORY RESTS AT 576.900 MILLION OZ

MAY 3/WITH SILVER UP 4 CENTS TODAY: A SMALL CHANGE IN SILVER INVENTORY AT THE SLV//A DEPOSIT OF.877 MILLION OZ INTO THE SLV.

MAY 2/WITH SILVER DOWN 47 CENTS: A SMALL CHANGE IN SILVER INVENTORY AT THE SLV: A WITHDRAWAL OF 554,000 OZ FROM THE SLV.//INVENTORY RESTS AT 575.171 MILLION OZ//

APRIL 29//WITH SILVER DOWN 12  CENTS: NO CHANGES IN SILVER INVENTORY AT THE SLV//INVENTORY RESTS AT 575.725 MILLION OZ/

APRIL 28/WITH SILVER DOWN 23 CENTS: HUGE CHANGES IN SILVER INVENTORY AT THE SLV: A WITHDRAWAL OF 2.308 MILLION OZ FROM THE SLV//INVENTORY RESTS AT 575.725 MILLION OZ//

APRIL 27/WITH SILVER DOWN 4 CENTS: A HUGE CHANGE IN SILVER INVENTORY AT THE SLV: A WITHDRAWAL OF 1.385 MILLION OZ FROM THE SLV////INVENTORY RESTS AT 578.033 MILLION OZ

APRIL 26/WITH SILVER DOWN 13 CENTS TODAY: NO CHANGES IN SILVER INVENTORY AT THE SLV//INVENTORY RESTS AT 579.418 MILLION OZ

APRIL 25/WITH SILVER DOWN 69 CENTS: A HUGE CHANGE IN SILVER INVENTORY AT THE SLV: A WITHDRAWAL OF 2.031 MILLION OZ FROM THE SLV//INVENTORY RESTS AT 579.418 MILLION OZ//

APRIL 22/WITH SILVER DOWN 34 CENTS : STRANGE!! A HUGE CHANGE IN SILVER INVENTORY AT THE SLV: A WHOPPING DEPOSIT OF 3.508 MILLION OZ INTO THE SLV//INVENTORY RESTS AT 581.449 MILLION OZ//

APRIL 21/WITH SILVER UP 57 CENTS: NO CHANGES IN SILVER INVENTORY AT THE SLV//INVENTORY RESTS AT 577.941 MILLION OZ

APRIL 20/WITH SILVER DOWN 15 CENTS : A HUGE CHANGES IN SILVER INVENTORY AT THE SLV: A DEPOSIT OF 2.955 MILLION OZ INTO THE SLV//INVENTORY RESTS AT 577.941 MILLION OZ///

APRIL 19/WITH SILVER DOWN 62 CENTS: A SMALL CHANGES IN SILVER INVENTORY AT THE SLV: A WITHDRAWAL OF .461 MILLION OZ FROM THE SLV INVENTORY…//INVENTORY RESTS AT 574.986 MILLION OZ

APRIL 18/WITH SILVER UP 38 CENTS: A HUGE CHANGES IN SILVER INVENTORY AT THE SLV: A DEPOSIT OF 5.771 MILLION OZ INTO THE SLV./INVENTORY RESTS AT 575.447 MILLION OZ//

APRIL 14/WITH SILVER DOWN 25 CENTS : A MONSTROUS CHANGE IN SILVER INVENTORY AT THE SLV: A DEPOSIT OF 4.355 MILLION OZ INTO THE SLV.//INVENTORY RESTS AT 569.676 MILLION OZ//

APRIL 13/WITH SILVER UP 27 CENTS: NO CHANGES IN SILVER INVENTORY AT THE SLV//INVENTORY RESTS AT 565.521 MILLION OZ

APRIL 12/WITH SILVER UP 66 CENTS: NO CHANGES IN SILVER INVENTORY AT THE SLV/INVENTORY RESTS AT 565.521 MILLION OZ//

APRIL 11/WITH SILVER UP 13 CENTS: A SMALL CHANGE IN SILVER INVENTORY AT THE SLV: A WITHDRAWAL OF 831,000 OZ FORM THE SLV////INVENTORY RESTS AT 565.521 MILLION OZ

INVENTORY TONIGHT RESTS AT 5563.872 MILLION OZ/

PHYSICAL GOLD/SILVER STORIES

1.PETER SCHIFF

Demand For American Gold Eagles Explodes

THURSDAY, JUN 02, 2022 – 09:35 AM

Via SchiffGold.com,

Demand for American Gold Eagles exploded in May according to the latest data from the US Mint.

The mint sold 147,000 ounces of American Gold Eagles in varying denominations totaling 200,500 coins. That was a 67% increase from March.

So far this year, the US Mint has sold 661,500 ounces of American Eagles. For the year, gold bullion demand is up a staggering 617%. When you factor out COVID-19-related sales disruptions, bullion sales are up 400% over the 5-year average between 2015 and 2019.

A market strategist told Kitco News that the surge in demand for physical metal reflects growing investor anxiety bubbling under the surface.

Bullion sales better reflect the anxiety investors are feeling right now. When you hear economists talk about a recession, it starts to make sense why bullion sales are so strong. Gold will always be a long-term store of value.”

Peter Schiff has been saying the recession is likely already here.

I don’t think it’s going to be a mild recession. I think this recession is going to be worse than the Great Recession that started following the 2008 financial crisis.”

The mainstream doesn’t seem to have picked up on this yes, but the demand for physical gold may indicate at least some people are beginning to worry.

Institutional investors focus more on the futures market. As Peter noted in a recent video on gold’s recent performance, the mainstream still thinks the Fed is going to successfully fight inflation by raising interest rates and believes the central bank has the tools to get inflation back to 2%.

Rather than fearing inflation, they’re fearing the fight against inflation.” Schiff said. “Because how is the Fed going to fight inflation? It’s going to jack up interest rates. It’s going to have a tight monetary policy. In fact, it’s even going to start shrinking the balance sheet. It’s going to start taking money out of circulation — quantitative tightening. It’s going to reverse all of that inflation. It’s going to suck up that liquidity. And that is what is scaring investors out of buying gold and silver. They still have confidence in the Federal Reserve.”

Peter said faith in the Fed is misplaced, and he emphasized that the Fed is only pretending it’s going to fight inflation.

Because it’s also pretending the economy is strong enough to withstand the fight. It’s not. Even though the fight is inadequate to solve the inflation problem, it’s going to cause a big problem for the economy that is so levered up on debt.”

A senior commodities broker with RJO Futures told Kitco News that he doesn’t think interest rates can go too much higher because of the government’s massive twin deficits – budget and trade.

Gold futures are capped by rising interest rates, but people have been going out to buy the physical metal to have some ‘real money’ stashed away.”

end

2. Lawrie Williams//Pam and Russ Martens/

END

3. Chris Powell of GATA provides to us very important physical commentaries

Silver manipulation as explained by John Adams

(John Adams/Chris Powell)

John Adams: Conquering silver market manipulation

Submitted by admin on Wed, 2022-06-01 12:57Section: Daily Dispatches

12:58p Wednesday, June 1, 2022

Dear Friend of GATA and Gold:

John Adams of As Good As Gold Australia writes that silver market manipulation goes beyond the futures markets to corrupt the physical market, where supply also is exaggerated by enterprises that sell claims to metal they don’t actually possess.

Exposing this physical market manipulation, Adams writes, is crucial to establishing a free-market price for silver. 

Adams’ analysis is headlined “Conquering Silver Market Manipulation” and it’s posted at his internet site, Adams Economics, here:

https://www.adamseconomics.com/post/conquering-silver-market-manipulation

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

END

The manipulation of gold/silver explained in USA Gold

(GATA/USA GOLD)

USAGold’s June ‘News & Views’ letter sees ‘the avalanche of history’

Submitted by admin on Wed, 2022-06-01 12:33Section: Daily Dispatches

12:32p Wednesday, June 1, 2022

Dear Friend of GATA and Gold:

USAGold’s “News & Views” letter for June carries many brief excerpts from analysts who are seeing “regime change” in the markets as inflation rages and the Federal Reserve contemplates tightening the money supply.

The June edition is headlined “The Avalanche of History” and it’s posted at USAGold here:

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

END

South Africa’s Gold Fields buys Yamana in a $6.7 billion deal

(Reuters/GATA)

South Africa’s Gold Fields to buy Yamana Gold in $6.7 billion deal

Submitted by admin on Tue, 2022-05-31 10:39Section: Daily Dispatches

From Reuters
via CNBC, New York
Tuesday, May 31, 2022

South African miner Gold Fields today agreed to buy Canada-based precious metals miner Yamana Gold in an all-share deal, valuing the Toronto-listed company at $6.7 billion.

Gold Fields said its shareholders will own about 61% of the combined group, while Yamana Gold shareholders will own around 39% after the deal completes.

The South African miner said Yamana’s board has unanimously approved the deal and recommended that its shareholders vote in favor of the offer.

The offer consists of new shares or newly issued American Depositary Shares in Gold Fields at a fixed exchange ratio of 0.6 of a Gold Fields share for each Yamana share outstanding. …

… For the remainder of the report:

https://www.cnbcafrica.com/2022/s-africas-gold-fields-to-buy-yamana-gold-in-6-7-bln-deal/

* * *

end

4.OTHER GOLD/SILVER COMMENTARIES

end

5.OTHER COMMODITIES //PALM OIL+ OTHERS

END

END

COMMODITIES IN GENERAL/

END

6.CRYPTOCURRENCIES

7. GOLD/ TRADING

Your early  currency/gold and silver pricing/Asian and European bourse movements/ and interest rate settings THURSDAY morning 7:30 AM

ONSHORE YUAN: CLOSED UP 6.6743

OFFSHORE YUAN: 6.6848

HANG SANG CLOSED  DOWN 212.81 PTS OR 1.00% 

2. Nikkei closed DOWN 44.01% OR .16%

3. Europe stocks  ALL CLOSED  MOSTLY GREEN

USA dollar INDEX  UP TO  102.21/Euro RISES TO 1.0689

3b Japan 10 YR bond yield: RISES TO. +.239/ !!!!(Japan buying 100% of bond issuance)/Japanese yen vs usa cross now at 129.69/JAPANESE FALLING APART WITH YEN FALTERING AS WELL AS LONG TERM YIELDS RISING BREAKING THE JAPANESE CENTRAL BANK.

3c Nikkei now  ABOVE 17,000

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

3e Gold UP /JAPANESE Yen DOWN CHINESE YUAN:   UP -SHORE CLOSED  DOWN//  OFF- SHORE UP

3f 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.

3g Oil DOWN for WTI and DOWN FOR Brent this morning

3h European bond buying continues to push yields lower on all fronts in the EMU. German 10yr bund FALLS TO +0.859%/Italian 10 Yr bond yield FALLS to 2.75% /SPAIN 10 YR BOND YIELD FALLS TO 1.90%…

3i Greek 10 year bond yield RISES TO 3.66

3j Gold at $1857.15 silver at: 22.15  7 am est) SILVER NEXT RESISTANCE LEVEL AT $30.00

3k USA vs Russian rouble;// Russian rouble DOWN  0.40      roubles/dollar; ROUBLE AT 61.67

3m oil into the 112 dollar handle for WTI and  113 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 129.67DESTROYING JAPANESE CITIZENS WITH HIGHER FOOD INFLATION

30 SNB (Swiss National Bank) still intervening again in the markets driving down the FRANC. It is not working: USA/SF this morning 0.9599– as the Swiss Franc is still rising against most currencies. Euro vs SF 1.0261well 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.

USA 10 YR BOND YIELD: 2.909 DOWN 2  BASIS PTS

USA 30 YR BOND YIELD: 3.052 DOWN 3 BASIS PTS

USA DOLLAR VS TURKISH LIRA: 16.47

Futures Rise For The First Time This Week As Oil Slumps

THURSDAY, JUN 02, 2022 – 08:03 AM

US futures advanced for the first time this week, as investors tentatively bought the dip and were cheered by a drop in oil prices. S&P 500 futures were 0.6% higher by 7:30 am in New York, while Nasdaq 100 futs gained 0.7%. Already light trading volumes are even lower, with UK markets shut for a long weekend holiday to mark Queen Elizabeth II’s Platinum Jubilee. Stocks slumped Wednesday after JPMorgan CEO Jamie Dimon’s warning to investors to prepare for an economic “hurricane”, reversing his cheerful comments from just one week earlier, and disagreeing with JPMorgan’s permabullish strategist, Marko Kolanovic, who expects stocks to rebound by the end of the year and the US to avoid recession. Treasuries held losses, with 10-year yields above 2.90%. The dollar slipped while the yen held near 130 per dollar after its recent decline on the prospect of widening interest rate differentials with the US.

Oil dropped on a rehashed report – this time from the FT which echoed an almost verbatim report from the WSJ one day earlier – that Saudi Arabia could pump more crude should Russian output drop substantially due to increasing sanctions over its invasion of Ukraine. It could, of course, but it won’t for various reasons we will discuss in a post shortly. In any case, OPEC+ meeting members are set to meet Thursday for their monthly gathering where no break up of OPEC+ is going to happen.

Oil’s decline helped to steady sentiment after US manufacturing activity and job openings data Wednesday fueled concern the Federal Reserve will need to get more restrictive to slow runaway price gains.

“There’s been a large correction in some stocks; those corrections led to valuations that are way more attractive that can benefit medium-to long-term investors, especially in Europe and the emerging-markets space,” Vanguard Asset Services Ltd. Investment Strategist Giulio Renzi Ricci said on Bloomberg TV, summarizing prevailing sentiment among the BTFD crowd.

In premarket trading, bank stocks are higher as the US 10-year Treasury yield rises for a third straight day to about 2.91%. Elsewhere, Repare Therapeutics will be in focus as shares soared 20% in postmarket after it announced a worldwide license and collaboration agreement with Roche for Camonsertib, while GameStop reported mixed results in the first quarter as it shifts to cryptocurrencies and non-fungible tokens. In corporate news, tech-bloated hedge fund Tiger Global Management’s losses for the year reached 51.8% amid turbulent markets. Here are some other notable premarket movers:

  • Hewlett Packard Enterprise (HPE US) drops as much as 8.1% in US premarket trading on Thursday after the computer hardware and storage company lowered its adjusted earnings per share forecast for the full year.
  • Chewy (CHWY US) shares are up 16% in pre- market trading after the online pet products retailer reported quarterly adjusted Ebitda and net sales that topped analysts’ expectations. Jefferies called the results “impressive.”
  • NetApp Inc. (NTAP US) shares gained in extended trading Wednesday. Analysts remain cautious about the outlook for the cloud business after the storage hardware and software company reported adjusted fourth-quarter earnings that were higher than analysts’ expectations.
  • C3.ai Inc. (AI US) tumbled 22% postmarket after the AI software company forecast revenue for fiscal 2023 that fell short of estimates. Piper Sandler’s analyst Arvind Ramnani cut his recommendation to neutral from overweight.
  • Veeva (VEEV US)shares advanced 4.2% in postmarket trading Wednesday as it lifted its revenue forecast for the full year.

Investors have been on edge over when (not whether) the US central bank’s tighter policies will induce a recession. A chorus of Fed officials has fallen behind calls to keep hiking to counter price pressures. Mary Daly of the San Francisco Fed and her more hawkish colleague James Bullard of St. Louis both backed a plan to raise rates by 50 basis points this month, while Richmond’s Thomas Barkin said it made “perfect sense” to tighten policy.

“We do see the rise in probability of a recession in the second half of this year, potentially persisting into 2023 as the Fed continues to battle inflation,” Tracie McMillion, Wells Fargo Investment Institute head of global asset allocation strategy, said on Bloomberg Television.

In Europe, the Stoxx 600 Index advanced amid low session volumes with the London market closed in commemoration of the Queen’s Jubilee festivities. Here are some of the biggest European movers today:

  • Remy Cointreau shares advance as much as 5.6% after the spirits company reported FY earnings that Morgan Stanley called “reassuring.” Peer Pernod Ricard also climb, as much as 3.1%.
  • Calliditas Therapeutics rise as much as 16% after Pareto Securities initiated with a buy recommendation, calling the Swedish biotechnology firm “highly undervalued” and a potential acquisition target.
  • European energy stocks underperformed as oil slipped following a report that Saudi Arabia is ready to pump more should Russian output decline substantially.

Earlier in the session, Asian markets were dragged lower by the technology sector, as strong US economic data bolstered the case for aggressive interest-rate hikes by the Federal Reserve. The MSCI Asia Pacific Index dropped as much as 1.2% as most sectors fell, with tech shares including TSMC and Alibaba among the biggest drags. South Korea led declines in the region as traders returned from a holiday, while China stocks eked out gains after authorities urged banks to set up a 800 billion yuan ($120 billion) line of credit for infrastructure projects.  An unexpected advance in US manufacturing activity and still-high job openings added to investor concerns about monetary tightening in the country and its impact on global growth. James Bullard of the St. Louis Fed urged policy makers to raise interest rates to 3.5% this year to try and curb inflation. The US policy outlook adds to pressure on Asian firms, whose earnings prospects have dimmed on higher costs and China’s economic slowdown. The MSCI regional benchmark is down 13% this year, largely tracking the S&P 500’s 14% loss.

“We do think near term it’s likely to be bumpy,” Sunil Koul, Apac equity strategist at Goldman Sachs, told Bloomberg Television. “This combination of quantitative tightening, raising rates, combined with some growth risks we are seeing and a stronger dollar is what is causing pain in the markets.”

Japanese stocks fell as the persistent risk of global inflation and the prospects of tighter monetary policy in the US damped sentiment.  The Topix closed 0.6% lower at 1,926.39 at the 3pm close in Tokyo, while the Nikkei 225 declined 0.2% to 27,413.88. Sony Group contributed the most to the Topix’s decline, decreasing 3.2%. Out of 2,171 shares in the index, 675 rose and 1,402 fell, while 94 were unchanged. “There are still worries over inflation in the US and rate hikes, so it will be quite hard for stocks to enter an upward trend,” said Hitoshi Asaoka, a senior strategist at Asset Management One. 

Stocks in India overcame concerns over hawkish central bank moves to snap two days of declines as a drop in oil prices and attractive valuations buoyed investors. The S&P BSE Sensex rose 0.8% to 55,818.11 in Mumbai, while the NSE Nifty 50 Index advanced 0.6%. Reliance Industries provided the biggest boost to the key gauges, surging 3.5%, followed by software majors Infosys and Tata Consultancy Services.  Of the 30 member stocks on the Sensex, 20 rose, while 10 declined. All but four of the 19 sectoral indexes compiled by BSE Ltd., rose, led by a measure of energy companies. Stocks in Asia were mostly lower after strong US economic data bolstered the case for aggressive interest-rate hikes by the Federal Reserve. However, the trend soon changed as investors assessed attractive valuations, while crude oil slid to $113 a barrel before the monthly OPEC+ meeting later today. “Nifty valuations are now at a sweet spot where they offer good potential returns,” DSP Mutual Fund said in note. About half of the NSE Nifty 500 Index’s members have corrected more than 30%, which creates selective opportunities, the asset manager said.

In Australia, the S&P/ASX 200 index fell 0.8% to close at 7,175.90, following US shares lower after Fed officials reinforced a hawkish stance and JPMorgan’s Jamie Dimon cautioned on the economy. Megaport led a drop in technology shares. Woodside was the top performer after a block trade. In New Zealand, the S&P/NZX 50 index fell 0.2% to 11,349.54.

In FX, the Bloomberg Dollar spot Index fell as the greenback traded weaker against all of its Group-of-10 peers. The euro snapped two days of losses and approached $1.07. One-week options in euro-dollar now capture the next ECB meeting, and implied volatility in the euro heads for its strongest close since mid-May. The pound retraced about half of Wednesday’s loss, with UK markets shut for a holiday. Australia’s bonds dropped amid speculation that the Reserve Bank of Australia will follow its Canadian counterpart and keep raising rates aggressively. The yen fell to a three-week low before reversing losses.

US Treasuries were flat in early US trading as equity futures rose for the first time this week. The 10Y Yield is trading unch at 2.91%, outperforming most euro-zone counterparts, with 2- to 5-year yields cheaper by 1bp-2bp with 10- to 30-year yields little changed, flattening 5s30s by ~2bp. IG dollar issuance slate empty so far; nine borrowers priced $14.6b Wednesday, largest daily total since May 17. European bonds posted modest losses after a steady start.

As noted above, crude oil slid on a report that Saudi Arabia is ready to pump more oil if Russian output declines. OPEC+ is scheduled to meet to discuss supply policy, where it is not expected to surprise anyone. At last check, Brent was trading just above $113, and although the benchmark lifted around $1/bbl off of its overnight troughs, this has marginally pulled back.

Looking at the day ahead, the economic data slate includes May Challenger job cuts (7:30am), ADP employment change (8:15am), 1Q final nonfarm productivity and initial jobless claims (8:30am) and April factory orders (10am). Fed speakers slated include Logan (12pm) and Mester (1pm).

Market Snapshot

  • S&P 500 futures up 0.5%
  • STOXX Europe 600 up 0.5%
  • MXAP down 0.7% to 167.84
  • MXAPJ down 0.8% to 552.13
  • Nikkei down 0.2% to 27,413.88
  • Topix down 0.6% to 1,926.39
  • Hang Seng Index down 1.0% to 21,082.13
  • Shanghai Composite up 0.4% to 3,195.46
  • Sensex up 0.8% to 55,825.08
  • Australia S&P/ASX 200 down 0.8% to 7,175.94
  • Kospi down 1.0% to 2,658.99
  • German 10Y yield up 2bps to 1.21%
  • Euro up 0.4% to $1.0689
  • Brent futures down 2.3% to $113.65/bbl
  • Gold spot up 0.3% to $1,851.88
  • U.S. Dollar Index down 0.3% to 102.23

Top Overnight News

  • President Joe Biden is likely to visit Saudi Arabia later this month as part of an international trip for NATO and Group of Seven meetings, according to people familiar with the matter, with record high US gas prices weighing on his party’s political prospects
  • The ECB must pare back stimulus as inflation is too strong and too broad, Governing Council member Francois Villeroy de Galhau said
  • EU efforts to approve a partial ban on Russian oil imports hit an obstacle after Hungary raised new or already rejected demands, further slowing a push to clinch a deal, according to people familiar with the negotiations
  • The pound is coming off the first positive month of 2022, but the mood in the market is as bleak as ever. Scorching inflation, an economy teetering on the edge of recession and a scandal-prone government are feeding into a view that the UK currency is vulnerable
  • After years of pushing exports to China and building up energy links to Russia, Germany’s economy faces a poisonous cocktail of risks. Its heavy reliance on manufacturing makes it more vulnerable than European peers to war-related disruptions in Russian energy supplies and bottlenecks in trade. The upshot is risk of contraction and even higher prices squeezing unsettled consumers
  • Beijing is turning to state-owned policy banks once again to help rescue an economy under strain, ordering them to provide 800 billion yuan ($120 billion) in funding for infrastructure projects
  • Chinese officials have vowed to carry out a slew of government policies to stimulate growth following Premier Li Keqiang’s recent call to avoid a Covid- fueled economic contraction this quarter

A more detailed look at global markets courtesy of Newsquawk

Asia-Pac stocks followed suit to the subdued performance seen in global peers after the recent upside in yields and hawkish central bank rhetoric. ASX 200 was dragged lower by underperformance in tech and weakness in financials, with sentiment also not helped by frictions with China. Nikkei 225 lacked firm direction with automakers indecisive following sharp declines in their US sales last month. Hang Seng and Shanghai Comp traded mixed ahead of the Dragon Boast Festival tomorrow and with Hong Kong suffering from notable losses in property names and tech, while losses in the mainland were pared amid COVID-related optimism and after the latest support efforts in which Beijing announced CNY 800bln of increased credit quotas for state-owned policy banks to fund the construction of infrastructure projects.

Top Asian News

  • China’s Ambassador to Australia said that Beijing is prepared to talk with Australia without preconditions but added that trade sanctions on Australia will not be removed until there is an improvement in the political relationship, according to AFR.
  • China’s Global Times tweeted that Chinese Coast Guard vessels patrolled the territorial waters off the Diaoyu Islands (Senkaku Islands) on Thursday, which is a disputed territory with Japan.
  • Japan’s Chief Cabinet Secretary Matsuno confirmed that the government wants to increase the average minimum wage to JPY 1000, according to Reuters.
  • China’s Commerce Ministry, on the US considering adding additional firms to the blacklist, says they will adopt measures to protect Chinese firms.
  • A group of nations are to make a request for an international labour organisation mission to China to probe alleged violation in Xinjiang at a meeting today, according to Reuters sources.
  • Chinese Officials Vow to Carry Out Plans for Economic Stimulus
  • Toshiba Reveals Buyout Bids as Privatization Chances Rise
  • Hong Kong Quarantine Backtrack Stokes Fears of Covid Zero Return

European bourses are posting modest gains, Euro Stoxx 50 +0.6%, though volumes are lighter given UK Spring Bank Holiday. Stateside, futures are firmer across the board, ES +0.5%, with action similarly contained ahead of a busy PM docket featuring ADP and Fed’s Mester.

Top European News

  • Deutsche Bank CEO’s Fixer Hoops Takes Another Leap as DWS Chief
  • Ukraine Latest: Russia Ready to Settle Eurobond Payment Claims
  • Euro Options Into ECB Meeting Are Now Most Overpriced in a Month
  • Swiss Exchange Investigates Swissquote for Disclosure Delay

FX

  • Pound pounces on Dollar downturn to reclaim 1.2500 handle as UK prepares for Platinum Jubilee celebrations.
  • DXY sub-102.500 amidst broad bounce in index components led by Franc initially; USD/CHF reverses around 0.9600 axis in wake of Swiss inflation data showing bigger overshoot vs SNB targets.
  • Euro eyes 1.0700, but capped by hefty option expiry interest from round number up to 1.0740.
  • Kiwi and Aussie boosted by recovery in risk sentiment, but Loonie lags as WTI sags on reports of Saudi Arabia standing ready to cover any shortfall in Russian oil output; NZD/USD probes 0.6500, AUD/USD approaches 0.7200 and Usd/Cad 1.2650+
  • Yen retrieves some losses as Greenback retreats and US Treasury yields slip from peaks ahead of busy pm agenda, USD/JPY circa 129.70 compared to 130.24 overnight peak.

Fixed Income

  • Bunds and Eurozone peers extend recent losing streak to set deeper cycle lows in futures/high yields, without Liffe support and despite steady US Treasuries.
  • 10 year German benchmark down to 150.29 and 1.21%+ in cash terms.
  • Multi-tranche Spanish and French issuance draw mixed covers irrespective of concession.
  • T-note holds around par within 118-30+/18+ range awaiting slew of US data and more Fed speakers.

Commodities

  • WTI and Brent remain pressured after overnight FT reports re. Saudi being prepared to pump more oil if Russian output declines.
  • Though, the benchmarks have lifted around USD 1/bbl off of their respective overnight troughs at best; however, this has marginally pulled back.
  • Reminder, the JMMC commences from 13:00BST/08:00ET with the OPEC+ event following ~30-minutes later.
  • US Private Energy Inventory Data (bbls): Crude -1.2mln (exp. -1.4mln), Gasoline -0.3mln (exp. +0.5mln), Distillate +0.9mln (exp. +1.0mln), Cushing +0.2mln.
  • Norway’s Hammerfest liquefied natural gas plant has restarted LNG production following a fire 20 months ago, according to Equinor (EQNR NO).
  • Spot gold is bid but has failed to gain much additional traction after breaching USD 1850/oz and the 10-DMA at USD 1851.3/oz; base metals are bid ahead of the long Chinese weekend for Dragon Boat Festival.

US Event Calendar

  • 8:15am: U.S. ADP Employment Change, May, est. 300k, prior 247k
  • 8:30am: U.S. Initial Jobless Claims, May 28, est. 210k, prior 210k; Continuing Claims, May 21, est. 1340k, prior 1346k
  • 8:30am: U.S. Nonfarm Productivity, 1Q F, est. -7.5%, prior -7.5%
  • 10am: U.S. Durable Goods Orders, April F, est. 0.4%, prior 0.4%
  • 10am: U.S. Factory Orders, April, est. 0.6%, prior 2.2%, revised prior 1.8%; -Less Transportation, April F, est. 0.3%, prior 0.3%
  • 10am: U.S. Cap Goods Orders Nondef Ex Air, April F, est. 0.4%, prior 0.3%
  • 10am: U.S. Cap Goods Ship Nondef Ex Air, April F, no est., prior 0.8%

DB’s Tim Wessel concludes the overnight wrap

Filling in while the UK is on holiday, I hope my use of “Z’s” and neglect of “U’s” does not prove jarring to regular readers. The start of the month was jarring to many asset holders, as bond and equities both sold off with more evidence that labor markets are historically tight while inflation remains well above target. Meanwhile, the Fed’s beige book provided anecdotes of slowing growth in some districts, while a majority of districts had respondents expecting growth to slow in the near future. St. Louis Fed President and Hawk Emeritus James Bullard joined San Francisco Fed President to echo previous Fed communications that policy would expeditiously get to neutral, while the CEO of J.P. Morgan gave the gloomy growth narrative his imprimatur. The mix drove policy pricing higher and all but one sector in the S&P lower. North of the border, the Bank of Canada hiked rates another +50bps, layering hawkish guidance into the statement such as “the risk of elevated inflation becoming entrenched has risen.” While in Europe, ECB Governing Council member Holzmann sang the virtues of a +50bp hike (in line with our Europe team’s updated ECB call, found here).

Stepping through the developments. The rate selloff began in earnest following the mid-morning data dump in the US, which included May ISM manufacturing and April JOLTS data. The ISM print surprised to the upside at 56.1 versus expectations of 54.5, while prices paid printed at 82.2 versus expectations of 81.0. Meanwhile, the JOLTS data across quits, hiring, and opening painted an historically tight labor market picture, with the vacancy yield (hires-per-job opening) hitting a record low. The March revisions also leaned tighter. The data re-emphasized that policy would need to get much tighter to do the work of actually bringing inflation down despite bubbling fears that the growth outlook was on shaky footing. The Treasury curve sold off and flattened, with 2yr yields gaining +8.5bps and the 10yr yield increasing +6.2bps, with real yields gaining +6.1bps in line with the tighter expected policy path.

Two of the more germane policy path questions – how to size the September hike and what is terminal – moved tighter, in turn. The odds of a +50bp September move reached a month-high 65%, while terminal pricing moved back north of 3.1%. Presidents Bullard and Daly, typically taking opposing corners in the ideological ring, both re-emphasized the need to tighten policy expeditiously to neutral in light of runaway inflation. While policymakers debate where neutral is and what to do once there, support to get there fast is robust; it is best to heed their harmonious message the next time growth fears or falling risk assets drive policy pricing lower. Balance sheet policy will augment tightening as June marks the start of the Fed’s balance sheet normalization process, or QT. For more details on what that entails, I published a playbook on QT in conjunction with US rates and economics colleagues, found here.

Steeper policy paths gripped north of the border and across the Atlantic as well. On the latter, Austrian central bank governor Holzmann said that “a 50 basis-point rise would send the necessary clear signal that the ECB is serious about fighting inflation”, leading OIS rates to price in +38bps by the July meeting. Longer-dated sovereign yields sold off in concert, with 10yr bunds (+6.4bps), OATs (+6.6bps) and BTPs (+8.5bps) hitting fresh multi-year highs. The spread of 10yr Italian yields over bunds also moved back above 200bps. The Bank of Canada hiked rates +50bps as expected, though weaved in restrictive guidance that gave the meeting a hawkish hue. Namely, the central bank warned they could be “more forceful” if needed, updating their statement to note that the economy was “clearly operating in excess demand”, which risked elevated inflation becoming yet more entrenched, as mentioned.

The daily stew got a dose of anecdotal growth fears with the release of the beige book and comments from the CEO of J.P. Morgan warning that an economic “hurricane” was on the horizon. The beige book had a majority of Fed districts with contacts reporting growth or recession fears. The impact was to bring 10yr yields around 5bps below their intraday highs. Those yields are less than a basis point higher from those levels as we go to press this morning.

The mixture drove equities lower on both sides of the Atlantic. The S&P 500 retreated -0.75% to start the month, with all but one sector in the red. The NASDAQ was in line, falling -0.72%, though mega cap growth FANG+ felt the impact of higher discount rates, falling -0.92%. In Europe, stocks underperformed as the continent countenances yet tighter monetary policy, with the STOXX 600 falling -1.04%.

Energy was the sole gainer in the S&P, though that outperformance may be short lived as the FT reported overnight that Saudi Arabia was primed to pump more oil onto the market should Russian exports be crimped by sanctions. Brent crude futures are -1.67% lower ahead of the OPEC+ meeting today.

Asian equity markets are trading lower following yesterday’s selloff. Across the region, the Hang Seng (-1.72%) is the largest underperformer after the local government decided to revive its toughest Covid-Zero measures as Covid variants flare. US stock futures are swinging between gains and losses with contracts on the S&P 500 (+0.04%), NASDAQ 100 (+0.07%) virtually unchanged.

Elsewhere, early morning data showed that Australia’s April trade surplus swelled to A$10.5 bn (v/s A$9.0 bn) from the A$9.7 bn.

In terms of yesterday’s other data, German retail sales fell by a larger-than-expected -5.4% (vs. -0.5% expected). Otherwise, the final manufacturing PMIs for May only diverged slightly from the flash readings. The Euro Area manufacturing PMI was revised up to 54.6 (vs. flash 54.4), but the US manufacturing PMI was revised down to 57.0 (vs. flash 57.5).

To the day ahead now, and data releases include the Euro Area’s PPI for April, as well as the US weekly initial jobless claims, April’s factory orders, and the ADP’s report of private payrolls for May. Central bank speakers include the ECB’s Villeroy and Hernandez de Cos, along with the Fed’s Mester.

3. ASIAN AFFAIRS

i)THURSDAY MORNING// WEDNESDAY NIGHT 

SHANGHAI CLOSED UP 13.30 PTS OR 0,42%   //Hang Sang CLOSED DOWN 212.81 PTS OR 1.00%    /The Nikkei closed DOWN 44.01 OR 0.16%          //Australia’s all ordinaires CLOSED DOWN .85%%   /Chinese yuan (ONSHORE) closed UP 6,6743    /Oil UP TO 112.24dollars per barrel for WTI and UP TO 113.30 for Brent. Stocks in Europe OPENED  MOSTLY GREEN       //  ONSHORE YUAN CLOSED UP AGAINST THE DOLLAR AT 6.6743 OFFSHORE YUAN CLOSED DOWN ON THE DOLLAR AT 6.6848: /ONSHORE YUAN TRADING ABOVE LEVEL OF OFFSHORE YUAN/ONSHORE YUAN  TRADING STRONGER AGAINST US DOLLAR/OFFSHORE STRONGER/

3 a./NORTH KOREA/ SOUTH KOREA

///NORTH KOREA/

3B  JAPAN

end

3c CHINA

Shanghai reopens after a two month COVID lockdown

(zerohedge)

“The Nightmare Has Ended”: Shanghai Reopens After Two-Month COVID Lockdown

WEDNESDAY, JUN 01, 2022 – 05:05 PM

Relieved residents danced in the streets after Shanghai on Wednesday officially lifted a two-month virus lockdown that triggered public outrage while dealing a huge blow to the economy, sending it reeling to depths not seen since the global shutdown in Q1 2020.

Dozens of cities across China have been under full or partial lockdown for months as the country with the “zero covid” policy battled its worst COVID-19 outbreak since early in the pandemic. But the Shanghai shutdown was the biggest, with most of the city’s 25 million residents confined to their homes since late March, turning the once-bustling metropolis into a ghost town.

That changed at midnight on Wednesday, when Shanghai authorities started taking down metal barriers and yellow plastic blockades that had blanketed one of the world’s biggest cities. Residents spilled into the streets to celebrate what was for many their first taste of freedom since the lockdown orders.

As the Nikkei reports, some residents cheered and posed for photos, others danced and drank in the streets until the early hours of Wednesday morning while parks filled up with kids and their parents. The end of the lockdown meant a green light for neighborhood businesses and major manufacturers to restart operations. But dining inside restaurants was still banned, bars are open but don’t serve alcohol, and movie theaters and gyms remain closed. Supermarkets, convenience stores and pharmacies were to reopen gradually with capacity limits.

Restarted public transit filled up with white-collar workers making their way back to the office. “I am glad the nightmare has ended,” said a banker surnamed Chen as he returned to work in the Lujiazui financial district. “But only about half of the staff will be back to the office this week due to COVID-prevention rules before we fully resume next week,” Chen said.

Chen was among hundreds of thousands of unlucky people hauled off to makeshift quarantine facilities after being suspected of coming into contact with a virus-infected person. He described his two-week stay at the bare-bones site as a “horrifying experience.”

Some more details from Nikkei:

Shanghai lifted the lockdown after confirmed infections this week plunged into the low double digits from highs topping 20,000 a day in April.

But the draconian measures sparked widespread anger as they left some homebound people jobless and others desperately struggling to keep businesses afloat. Food shortages and limited access to medical care aggravated the outrage, which often spilled on to social media despite government efforts to portray the shutdown as orderly and well managed.

The restrictions in Shanghai and other cities, including the capital Beijing, have taken a bite out of the economy and raised questions about whether China can hit its 5.5% growth target this year. There were signs, however, that factory activity was rebounding modestly as production shutdowns and other virus restrictions are eased.

To be sure, China is already “benefiting” from the reopening, with the latest PMI print seeing a bounce from recent lows. Expect these numbers to rise materially in coming months as more lockdowns ease.

On Wednesday, people walked their dogs on Shanghai’s streets and seniors practiced tai chi in public squares while barbers welcomed shaggy-haired residents in need of a trim. But the jubilation was mixed with caution, as many feared another outbreak could prompt nervous authorities to bring back restrictions.

“We feel happy, but at the same time we worry about another outbreak,” a husband and wife duo told Nikkei Asia as they walked along the Bund, Shanghai’s historic riverside district. “Many people think the pandemic is over … but it is clearly not.”

Some shopping malls threw open their doors Wednesday, while many retailers spent the day cleaning and disinfecting shops before welcoming back shoppers.

“Customers will likely to stay away for the first few weeks, just like what we went through in 2020,” said Jia Hong, a hot bun seller in the Jing’an central business district. “Many are wary about the risks of eating outside.”

China’s biggest lockdown tested President Xi Jinping’s signature zero-COVID policy, which relies on heavy restrictions, including mass testing and lockdowns, to quash outbreaks at any cost.

The government has said it is sticking with that approach in a bid to save lives and stop its health care system from being overwhelmed, even as much of the world moves toward living with the virus. That means Shanghai residents must now take a PCR test every three days at one of thousands of temporary screening booths in order to use public transit or enter shops.

“We will have to do this endlessly,” said Bai Ying, a property agent who was getting tested. “The risk of catching the virus is higher here than at home, but we have no choice.”

END

Shanghai’s Local Authorities Hesitate To Lift Lockdowns As Ordered, Concerned Over Blame For Inevitable Next Outbreak

THURSDAY, JUN 02, 2022 – 10:45 AM

Authored by Sophia Lam via The Epoch Times,

Shanghai, China’s economic and commercial hub with a population of over 24 million, has been in a hard lockdown for the past two months, which has only just been lifted by the municipal government. Production activities were halted, businesses shut down, and residents were barred from leaving their homes.

Residents have decried the absolute and heavily enforced restrictions, some unnecessary, imposed by their communities, while government staffers from Shanghai’s many local community committees deferred residents’ complaints by saying they were just following “orders from above”—referring to the municipal and central government authorities.

Community committees are the grassroots level of the Chinese regime’s government structure, and are under the direct supervision of subdistrict offices. They take charge of almost all civil affairs in the community, including enforcement of the regime’s policies such as family planning, maintenance of social security, and distribution of aid, among others.

Despite Shanghai’s announcement that it was lifting lockdown restrictions on June 1, many residents have expressed doubt over whether their local community committees will actually follow through with the relaxing the restrictions.

Several Shanghai residents told the Chinese-language edition of The Epoch Times that their community committees have continued to imposing strict lockdowns to avoid responsibility for any possible spreading of COVID-19.

Tang Hua (an alias) from Shanghai’s Hongkou District said in an interview on May 31 that there has been no notice from her community committee about allowing residents to move around freely again.

“Now the municipal government says to lift the restrictions. But who will be responsible for the relaxation? What prevention measures should be taken? They (community committee management) have said nothing. We in the community are still required to take nucleic acid testing today,” she told The Epoch Times.

A resident looks out from her window during a COVID-19 lockdown in the Jing’an district of Shanghai on May 25, 2022. (Hector Retamal/AFP via Getty Images)

At a regular presser on May 31, the municipal officials announced that, effective from June 1, only visitors from other districts would be required to do PCR COVID-19 tests. But residents from Fengxian District, Pudong District, and Songjiang District told The Epoch Times that they are still required to undergo PCR testing and also don’t expect their community committees to relax many restrictions.

Mr. Li (pseudonym) from Songjiang District said that his community committee told their residents that PCR testing was “a unified arrangement from higher above.” They were not able to present any documentation of the order when Mr. Li asked for it.

“There hasn’t been any single positive case in our compound in the past 50 days, so what’s the point of continuing with the tests when there is no positive case at all?” Mr. Li complained to his community committee.

Municipal Government Shirking Responsibility

Gu Guoping, a retired university teacher and rights activist based in Shanghai, said that the city’s municipal government let the community committees decide on their own restriction measures as a means of deferring any blame.

“They have put the blame on the grassroots level by doing so,” Guo told The Epoch Times in an interview. “But the community committee dare not take it upon themselves to impose the restrictions; they have to follow instructions from their superiors.”

“The government does this with one benefit: [the lockdown] isn’t done by the government, but by the community committee, which is meant to be elected by residents,” Gu added.

According to a document issued in 2010 by the general offices of the CCP’s Central Committee and of the State Council, the community committees, under the CCP leadership, have five to nine members who are elected by residents. Their work expenses and personnel remuneration, and the costs for establishing and maintaining information networks are included in the financial budget of the government. It is also stipulated that local governments should set up a community committee where there are 100 to 700 households.

“But in reality, the committee members are chosen by the government; we haven’t elected them,” Gu said.

Hardship and Suffering

Residents in Shanghai have suffered depression and people have died due to a lack of medical treatment during the lengthy and heavy-handed lockdown.

Chinese news portal NetEase released a survey on May 5 that found that 40 percent of residents had reported signs of depression.

Residents also experienced soaring prices of food and supply, and many people, especially the elderly, were starved because they could not get any food. Relief provisions from outside of Shanghai were either stranded on the road due to the strict lockdown policy, abandoned on site, or sold to residents by the authorities.

Bicycles from a bike-sharing service block a street during lockdown in Shanghai on May 16, 2022. (Aly Song/Reuters)

A netizen by the name “Guan Hong the Director” wrote: “[The lockdown] started as a fools’ play and ended as a child’s play,” as the lockdown began on April 1 and was ended on June 1, which is Children’s Day in China.

The Epoch Times has reached out to Shanghai’s municipal government and some community committees for comment. A staffer working at the city’s civil affairs bureau declined to comment.

One community committee member from Puxi District replied that PCR testing was still needed as residents need to scan their various health codes when entering or exiting compounds. Of the lockdown, he said that they were following orders from higher-level governments.

“Do you think we at the community committee have the right to lock down the city?” he said.

A member from a community committee in Pudong District replied that the notices they issue are from the subdistrict office.

END

CHINA/GLOBE

Global Smartphone Shipments Forecasted To Drop Amid China Woes And Ukraine War

THURSDAY, JUN 02, 2022 – 11:35 AM

International Data Corporation’s (IDC) Worldwide Quarterly Mobile Phone Tracker report downgraded global shipments of smartphones for the year from an expected 1.6% growth to a decline of 3.5%.

IDC’s downshift in growth estimates comes as “the smartphone industry is facing increasing headwinds from many fronts – weakening demand, inflation, continued geopolitical tensions, and ongoing supply chain constraints,” IDC research director Nabila Popal said in the report. 

The most significant declines are expected in Central and Eastern Europe, with shipments down 22%, and China, the largest smartphone market, is forecasted to decline 11.5% or roughly 38 million units, which accounts for 80% of the global drop in shipment volume this year. 

“The lockdowns hit global demand and supply simultaneously by reducing demand in the largest market globally and tightening the bottleneck to an already challenged supply chain,” IDC research director Phil Solis said. He added: “The bigger problem has been the tight supply of components such as PMICs, display drivers, and discrete Wi-Fi chips.” 

Last week, sources familiar with Apple’s supply chain told Bloomberg that production would remain flat after two months of China’s zero COVID policy and resulting lockdowns disrupted suppliers ahead of series production later this summer for the new iPhone

The expected 3.5% drop in global smartphone shipments to 1.31 billion units is a noticeable decline versus last year and relatively flat growth since 2020. However, smartphone growth is expected to rebound by 5% in 2023 as 5G products are predicted to gain a larger market share.

China’s slumping economy and conflict in Ukraine appear to be cooling worldwide smartphone demand this year. 

4/EUROPEAN AFFAIRS//UK AFFAIRS/

Bank of England may rescue collapsing stablecoin issuers if they believe it is systemic

(Hakki;DeCryto)

Bank Of England To Rescue Collapsing Stablecoin Issuers… (If They’re Big Enough)

THURSDAY, JUN 02, 2022 – 05:00 AM

Authored by Tim Hakki via Decrypt.co,

A new proposal would give England’s central bank regulatory oversight over stablecoin issuers should they pose a risk to financial stability…

The Bank of England yesterday announced it would intervene to direct and oversee collapsing stablecoins should the British central bank decide that a stablecoin issuer “has reached systemic scale fail [sic].” 

The news came via a document prepared by the HM Treasury in response to a cryptocurrency consultation that began in January 2021 and concluded in April this year. 

The British government proposes to amend the UK’s Financial Market Infrastructure Special Administration Regime to bring crypto within the jurisdiction of the British central bank while giving the institution the reins in the event of a collapsing stablecoin.

One proposed amendment also includes broadening the legal definition of a “payment system” to include crypto, providing the central bank with regulatory powers under Part 5 of the 2009 Banking Act. 

The government clarified that the central bank will only step in during “systemic” collapses, which it defines as any “deficiencies in [a system’s] design or disruption to its operation may threaten the stability of the UK financial system or have significant consequences for businesses or other interests.”

The exact powers given to the central bank under the amended Special Administration Regime are largely unclear, though the document mentions “direction” and “oversight” and provides an example:

“[The Bank of England] must approve the administrator’s proposals from the outset (and on a continuous basis) and has powers to direct the administrator to take or refrain from taking specified actions.”

The central bank will be required to consult the Financial Conduct Authority (FCA) before requesting a special administration order. 

The UK and Crypto 

Like the United States, the British government has so far taken a largely hands-off approach to cryptocurrencies, but the market’s undeniable growth since the 2021 bull run has gradually introduced the topic of regulation into Britain’s political conversation. 

In April 2021, The Bank of England and HM Treasury launched a CBDC task force to explore the prospect of a central bank-issued digital currency (CBDC). A CBDC is essentially a state-issued stablecoin, so in the Bank of England’s case, the CBDC would be a digital sterling. 

Around 100 countries are currently exploring CBDCs, according to Kristalina Georgieva, managing director at the IMF.

In April 2022, the British government also announced plans to become a “crypto asset technology hub.” 

So far, Westminster has taken baby steps to this end, but has confirmed that stablecoins will be “brought within regulation” so as to have them used “in the UK as a recognized form of payment.” 

The government will issue an NFT this summer in collaboration with the Royal Mint too. 

Last month Sarah Pritchard, the executive director of FCA told Bloomberg that British crypto regulations will need to take into account Terra’s historic stablecoin collapse. 

“Innovation lasts if it works well, and clearly, we’ve seen the consequences and some of the issues that can arise,” she said.

end

Hungary Stalls EU Sanctions Package Over Measure Targeting Russian Church Leader

THURSDAY, JUN 02, 2022 – 09:34 AM

Authored by Dave DeCamp via AntiWar.com,

Hungary stalled the EU’s latest sanctions package against Russia over objection to the sanctioning of Patriarch Kirill, the leader of the Russian Orthodox Church.

Earlier this week, the EU agreed on principle on a new sanctions package that includes a Russian oil ban with exemptions for pipeline deliveries to Hungary and other land-locked nations.

EU officials met Wednesday night to finalize the deal and turn it into law, but Hungary insisted that the sanctions against Patriarch Kirill must be dropped. “Agreement is held up because Hungary is objecting to sanctions on Patriarch Kirill,” an EU diplomat said, according to Al Jazeera.

More talks were expected to be held later on Wednesday night, but as of early Thursday morning in Brussels, there has been no word of the EU agreeing on the finalized version of the sanctions package.

According to Reuters, Prime Minister Viktor Orban has long made his stance on sanctioning the Russian church leader known:

Hungary’s opposition to potential EU sanctions against the head of the Russian Orthodox Church, Patriarch Kirill, “has been known for a long time,” Prime Minister Viktor Orban’s press chief told state news agency MTI on Thursday.

“We will not allow the inclusion of church leaders in the sanctions list,” Orban reiterated this week in a radio interview, stressing that religious freedom must be protected as a “sacred issue.”

The EU’s planned Russian oil ban will prohibit deliveries from Russian ships. While it has exemptions for pipeline deliveries, EU officials said the ban will cut around 90% of the EU’s oil imports from Russia.

The sanctions are meant to hurt Russia, but as the EU has been preparing the ban, Moscow has been busy finding other markets and is now shipping more than twice the amount of oil it was before the invasion of Ukraine. More shipments have been going to China and India, and now Asia has surpassed Europe as the top buyer of Russian oil.

5. RUSSIAN AND MIDDLE EASTERN AFFAIRS

Milley: it is dangerous to use the military to open up Ukrainian ports

(Dave DeCamp/Antiwar.com)

Milley Says Using Military To Open Ukrainian Ports Would Be “High Risk”

THURSDAY, JUN 02, 2022 – 03:30 AM

Authored by Dave DeCamp via Antiwar.com,

Amid growing calls for naval intervention to open up Ukrainian ports for grain exports, Chairman of the Joint Chiefs of Staff Gen. Mark Milley said such an operation would amount to a “high risk military operation.”

The West is blaming Russian ships for blocking grain exports from leaving Ukrainian ports, but there are other factors, including mines laid by Ukraine. Russia said last week that it cleared mines around Mariupol and that the Azov Sea port is now open to civil vessels.

This week, Retired Adm. James Stavridis, a former supreme allied commander of NATO, suggested that naval vessels under the auspice of the UN or NATO could escort convoys of grain ships out of Ukraine.

Ukrainian Foreign Minister Dmytro Kuleba suggested on Tuesday that Ukraine was pushing for a UN convoy to open its ports. “Ukraine is working on an international UN-led operation with navies of partners ensuring a safe trade route with no security risks,” he wrote on Twitter.

Milley said such a plan would be high risk due to the presence of Russian ships and mines in the waters:

“You can take the grain out by truck or train, or you can take it out by sea. Right now, the sea lanes are blocked by mines and the Russian navy. In order to open up those sea lanes would require a very significant military effort,” Milley said.

“It would be a high-risk military operation that would require significant levels of effort.”

Whether under the banner of the UN or not, trying to send Western warships into Ukrainian ports obviously risks sparking a direct war with Russia.

Meanwhile, Defense News notes that amid a looming global food supply crisis, “The White House last week rejected an offer from Russian President Vladimir Putin to facilitate grain and fertilizer exports from in exchange for the West to lift sanctions against Moscow over the war in Ukraine.”

Turkey said on Tuesday that it is in talks with Russia to establish a safe corridor for Ukrainian grain exports. Turkish Foreign Minister Mevlut Cavusoglu said Ankara wants to establish a center in Istanbul to monitor the corridor.

end

RUSSIA/WEST

We have a minor $1.9 million failed bond interest with Russia “failure to pay ” event

(zerohedge)

‘Minor’ $1.9 Million Failed Bond Interest Payment Triggers Russian “Failure-To-Pay” Event

WEDNESDAY, JUN 01, 2022 – 09:45 PM

In what seems a major action over what many outside observers may see as but a relatively minor technical issue, Russia’s failure to include less than $2 million interest on a late bond payment made at the start of last month has triggered a “failure-to-pay” event, the EMEA Credit Derivatives Determinations Committee has ruled. It has brought the country a significant step closer to a dreaded possible first major external debt default in over a century.

Russia failed to add the precisely $1.9 million in additional interest accrued on credit-default swaps. The ruling came after inquiry from overseas holders of the Russian sovereign bond in question, allowing them to seek payout on the default insurance on as much as $3.2 billion of debt (an amount likely determined later at auction).

But Reuters, which was the first to report the ruling by the panel of investors notes that “At the same time, the size of the accrued interest and the fact that the principal payment has already been paid means the ruling won’t spark a broader default on Russia’s bonds.”

The committee indicated it plans to take up the matter further when it meets Monday, June 6. It could have huge future implications for the some $40 billion of the country’s still outstanding international bonds – nearly $2 billion of which is due through the end of the year.

Russia last month rushed to send dollars through investors after the Credit Derivatives Determinations Committee logged its first “potential failure-to-pay” event when Moscow first tried to transfer rubles on the note.

Meanwhile, the Reuters report reviews: “There are currently $2.54 billion of net notional credit default swaps outstanding in relation to Russia, including $1.68 billion on the country itself and the remainder on the CDX Emerging Markets Index, according to JPMorgan calculations.”

Just prior to the Feb.24 Ukraine invasion Russia possessed nearly $650 billion of available gold and currency reserves, and currently takes in billions of dollars a week selling oil and gas – which Europe is currently seeking to blunt amid its mulled oil embargo – against the backdrop of of its $40BN sovereign debt estimate.

END

Russia Uses Chinese Ships And Indian Refiners To Stay Ahead of Oil Sanctions

THURSDAY, JUN 02, 2022 – 08:31 AM

Authored by Mike Shedlock via MishTalk.com,

As the US and EU pile on sanctions, Russia finds more ways to avoid them

Toughest Sanctions Yet 

The week, the EU Sets Harshest Russian Sanctions, Targeting Oil and Insurance, with exemptions to Hungary.

The European Union is set to impose its toughest sanctions yet on Russia, banning imports of its oil and blocking insurers from covering its cargoes of crude, officials and diplomats say, as the West seeks to deprive Moscow of cash it needs to fund the war on Ukraine and keep its economy functioning.

The sanctions, which are expected to be completed in the coming days, are harsher than expected. The ban on insurers will cover tankers carrying Russian oil anywhere in the world. These sanctions could undercut Russia’s efforts to sell its oil in Asia. European companies insure most of the world’s oil trade.

Russian Stays One Step Ahead of Sanctions

But why will these sanctions work any better than any other set of sanctions. Shippers and refiners have been very skilled at hiding origin of Russian oil.

The Wall Street Journal explains Russian Oil Producers Stay One Step Ahead of Sanctions

In the wake of the invasion of Ukraine and sanctions from the U.S. and the European Union, traders are working to obscure the origins of Russian oil to keep it flowing. The oil is being concealed in blended refined products such as gasoline, diesel and chemicals.

Oil is also being transferred between ships at sea, a page out of the playbook used to buy and sell sanctioned Iranian and Venezuelan oil. The transfers are happening in the Mediterranean, off the coast of West Africa and the Black Sea, with oil then heading toward China, India and Western Europe, according to shipping companies.

Overall, Russian oil exports rebounded in April, after dropping in March as the first Western sanctions took effect, the International Energy Agency said. Russia’s oil exports rose by 620,000 barrels to 8.1 million barrels a day, close to its prewar levels, with the biggest increase going to India.

India has emerged as a key hub for Russian oil flows. The country’s imports have skyrocketed to 800,000 barrels a day since the war began, compared with 30,000 barrels a day previously, according to commodity-markets data company Kpler.

A refinery owned by Indian energy giant Reliance Industries Ltd. bought seven times more Russian crude in May, compared with prewar levels, making up a fifth of its total intake, according to Kpler. 

Reliance chartered an oil tanker to carry a cargo of alkylate, a gasoline component, departing from the nearby Sikka port on April 21 without a planned destination. Three days later, it updated its records with a U.S. port and sailed over, discharging its cargo on May 22 in New York.

What likely happened was Reliance took on a discounted cargo of Russian crude, refined it and then sold the product on the short-term market where it found a U.S. buyer,” said Lauri Myllyvirta, lead analyst at the Centre for Research on Energy and Clean Air. The organization is tracking Russian fossil fuel exports and their role in funding the Ukraine war. “It does look like there’s a trade where Russian crude is refined in India and then some of it is sold to the U.S.”

Going Dark

To avoid large insurance costs, the ships turn off their GPS systems to go dark, then transfer oil to large megatankers such as the Lauren II, a giant Chinese crude carrier that can hold about 2 million barrels of oil.

As long as India and China are willing to bypass sanctions, the oil will get through. However, these added costs impact prices globally. 

More ships are use hauling oil from Russia to India and China instead of Russia to the EU. In turn the EU gets oil from Saudi Arabia instead of Russia. 

Sanctions drive up the price soo much that Russia is getting more money even though Russia has to discount its price significantly to find takers.

Something Only Politicians Could Concoct

The asininity of this setup is staggering. 

The desire to “do something” is so politically powerful that politicians would rather inadvertently aid Russia than do nothing at all. 

Price of Crude Jumps as EU Foolishly Doubles Down On Sanctions

Yesterday, I commented Price of Crude Jumps as EU Foolishly Doubles Down On Sanctions

That jump was short lived as Saudi Arabia allegedly considers not counting Russian oil as part of OPEC production goals. This would allow. the Arab states to pump more.

However, that rumor has bitten the dust already. 

Russia, Saudi Arabia Signal OPEC+ Is Going Strong

OilPrice reports Russia, Saudi Arabia Signal OPEC+ Is Going Strong

The OPEC+ alliance is solid, with the level of cooperation within it strong, according to a statement issued by the Russian Foreign Ministry following a meeting between Foreign Minister Sergey Lavrov and his Saudi counterpart Prince Faisal bin Farhan Al Saud.

“They noted the stabilising effect that the tight cooperation between Russia and Saudi Arabia has on world markets for hydrocarbons in this strategically important sector,” the statement said.

The news comes on the heels of a Wall Street Journal report that said some OPEC members are considering excluding Russia from the extended cartel as Western sanctions weigh on its production.

According to the report, excluding Russia from the oil production increase deal would allow other producers such as Saudi Arabia and the United Arab Emirates to boost their output more significantly, in line with requests made by the U.S. and Europe, as well as the International Energy Agency most recently.

It’s worth noting that Saudi Arabia and the UAE themselves have repeatedly signaled that they had no plans to boost crude oil production beyond their production quotas under the OPEC+ agreement. How a change in Russia’s participation in the deal could change that sentiment remains to be seen. Saudi Arabia and the UAE are the OPEC+ members with the most substantial spare production capacity.

Politicians vs Central Banks

We had a nice, timely, unsubstantiated rumor just as the EU announcement kicked up more oil sticker shock. Fancy that. 

Meanwhile, the oil gets through, just at higher prices for everyone involved.

This Mickey Mouse inflationary game will continue until Central Bank rate hikes are sufficient to counteract political stupidity.

end

ISRAEL/IRAN/RUSSIA/USA

Robert Hryniak10:31 AM (3 minutes ago)
to

Israeli has been now staging exercises on taking out Iran’s nuclear facilities. 

Sources have relayed that the Israeli Air Force fighter jets have been conducting air maneuvers over the Mediterranean Sea which began last night. They are “simulating” striking Iranian nuclear facilities. I recently wrote you that it appears that the American Neocons are trying to start a war in the Middle East to further drain the Russian capability. The US is only using Proxy Wars so as not to actually engage directly to keep the US forces in reserve. And in Syria, US troops have taken another former Syrian base expanding their influence. When the storm hits those Americans there, they  will likely be isolated and destroyed by various proxies as more combatants get in on the act. As it is Ukrainian arms shipments have already started to appear in conflict areas there. And everyone hears the drums of fresh fighting. It is why i keep cautioning about arms buildups in key areas. 

 They are completely bananas and will sacrifice anyone and everyone one in their hegemony ambitions. They are and will sacrifice the “last”  Ukrainian and other nations like Israel are no different. The reality is no nation is not on the altar of sacrifice in this game. Even Britain will and is on the altar just like Australia is in the Pacific. Just wait until the new chip plants are finished in Arizona. Why do you think Apple is shifting production out of China? It is not all about China lockdowns. Suppliers have been told to stockpile parts in Vietnam to feed the new plants there. 
While bothersome to Russia and yes of concern, given the number of Russians living in Israel, Russia’s response will be muted by the relationship and ties, both it and China have with Iran. China is actually more vested in Iran than Russia and it will not take this well. As it sees clearly what is going on. And Taiwan is naive as it is a expendable proxy. As for the Saudis, they may talk the walk but will not walk the walk, as they are making fast tracks to escape their American overlords. Very active discussions are taking place to sell oil in Yuan and even other national currencies outside the dollar. Their immediate problem is they do not believe in the longer term stability of the Euro. Nor are they prepared to be bullied into any increase in oil supply. Instead they intend to profit from higher prices to fix their own budget issues. 
When this conflict occurs anticipate both higher oil prices and in turn food prices.

end

Robert Hryniak2:55 PM (15 minutes ago)
to

From Readovka …..  and machine translated, the front on the evening of June 1. 

Summarized: MLRS HIMARS. The Pentagon said that the United States of America will consider any use of this system by Kiev on the territory of Ukraine defensive, but denied any attempts to attack the Russian Federation. Against this background, the Deputy Foreign Minister of the Russian Federation Sergey Ryabkov stated,
because the supply of weapons to Ukraine, no matter how Washington argues for them, increases the risks of a direct clash between Russia and the United States. 

In other sources both the UK and Germany are promising new weapons deliveries of various kinds and the UK says they will provide to Kiev the type of rocket that the US does not want to provide. 

The situation on the frontlines during the day

Kharkiv Front. During the counteroffensive, the Russian army actually regained all the positions that had to be abandoned in early May. Today they occupied Fedorovka and Shestakovo, thereby cutting off Stary Saltov from the rest of the AFU forces. The front begins to shift towards Kharkiv.

In the evening, information about the capture of Svyatogorsk began to appear. At the moment, there is no official information about the capture of the city.

Russian troops control Severodonetsk by 80% (including the industrial zone). Normal supply of the Severodonetsk group of the Armed Forces of Ukraine is impossible, all roads are being shot through.

At the Lisichansk – Zolotoe border, there is also progress in the offensive of Russian troops. The Ukrainian Armed Forces continue to” heroically ” retreat, 80% of Kamyshevakha has been liberated.

An early battle for Artemovsk (Bakhmut) is expected, and a group of troops is being concentrated to deliver a crushing blow. There are battles for the fortified area of Ukrainian formations in Pilipchatino.

Donetsk front. There was no significant improvement, and slow progress continues in the Avdiivka direction. There are battles on the southern outskirts of New York and near Novobakhmutovka.

Southern sector. The Russian Armed Forces have begun advancing in the direction of Dnepropetrovsk, and the next step is preparing an offensive in the Nikolaev area. In the Kherson region, another attempt by the Ukrainian Armed Forces to counterattack in the direction of Davydov Brod with the aim of further reaching Snigirevka was unsuccessful.

ReplyForward

Heads up.. revised

Inbox

Robert Hryniak9:43 PM (1 hour ago)
to

.. a Russian missile blew up a rail tunnel in the Carpathian Mountains that was used to transfer weapons into the Ukraine 

Sergei Lavrov publicly stated late this evening (Moscow time) that “A third country could become involved in the Ukraine conflict, now that the U.S. is sending long-range missiles to Ukraine.”

This may get quite serious .. 

6// GLOBAL COVID ISSUES/VACCINE MANDATE/

The spread of Monkeypox!

(zerohedge)

Where Has Monkeypox Spread To?

WEDNESDAY, JUN 01, 2022 – 11:45 PM

The monkeypox virus has sprung up in countries around the world, including in places where the virus does not usually exist.

While there are several disease outbreaks of similar size at the moment, for example hemorrhagic fever in Iraq or the bubonic plague in the Democratic Republic of the Congo, monkeypox has caught the media and the public’s attention, as it seems to be spreading in European and North American countries.

According to BNO News, the UK had the highest numbers of recorded cases in a non-endemic country, with 190 people known to have the disease, followed by 142 in Spain and 119 people in Portugal.

Source: BNO News

The US reportedly has 18 confirmed cases in California, Florida, Colorado, New York, and Utah…

Unlike Covid-19, which was a new disease in humans, monkeypox has been known to exist for the past 50 years and has made its way out of endemic countries before, albeit in singular cases which subsequently disappeared.

Experts say the situation is unusual now because of how many countries are seeing an outbreak.

Over past years, we have seen an increase in the number of cases in countries where monkeypox is endemic in wildlife.

The Democratic Republic of Congo has seen the highest number of confirmed monkeypox infections, according to the WHO, with 1,284 confirmed cases between 1 January and 8 May 2022, including 58 deaths. The next highest figures were seen in Nigeria between 1 January and 30 April 2022, with 46 cases and no deaths, and in Cameroon with 25 reported cases, including nine deaths.

As Statista’s Anna Fleck notes, one of the reasons that monkeypox is believed to be spreading now is because of the population’s diminishing protection from smallpox vaccines.

Smallpox, which is in the same family as monkeypox, was eradicated in the 1980s through mass vaccination. The lack of immunity in younger generations which have not received the vaccine, and are now growing up, means that it’s increasingly common for people to get monkeypox. However, wider causes are also to blame, according to The Guardian, as deforestation and a rapidly changing climate render new land masses liveable for potentially infectious insects, force animals out of their habitats, and increase the likelihood of animals interacting with people.

Like with Covid-19, increased interconnectedness in the world means that diseases can spread around the globe more easily.

The CDC  has now moved its travel advisory from Level 1 to Level 2, which is the “Alert” level, corresponding to “Practice Enhanced Precautions.”

The CDC lists several things that travelers should avoid.

One is “Close contact with sick people, including those with skin lesions or genital lesions.” So, if you are in the habit of touching other people’s lesions while you are traveling, stop it. Of course, this is probably something that you should avoid doing at any time, even when you are not traveling and even when there isn’t a monkeypox outbreak.

A second thing that you should avoid while traveling, according to the CDC, is Contact with dead or live wild animals such as small mammals including rodents (rats, squirrels) and non-human primates (monkeys, apes).”

The third thing to avoid is “Eating or preparing meat from wild game (bushmeat) or using products derived from wild animals from Africa (creams, lotions, powders)”.

– Forbes

Finally, The World Health Organization says it does not think reported monkeypox case around the world right now will grow into a pandemic, but officials at the United Nations-led group still acknowledge many unknowns in connect with the recent outbreak. 

“At the moment, we are not concerned about a global pandemic,” Dr. Rosamund Lewis said Monday during a live Q&A.

“We are concerned that individuals may acquire this infection through high-risk exposure if they don’t have the information they need to protect themselves.”

While anyone can get it, the dominant number of cases so far have been among men who have sex with men, as while it’s not strictly a sexually transmitted disease, it is passed on through close contact with the infectious rash.

END

Thousands of Celebrities And Elites Caught FAKING Their COVID Vaccine Status With Forged Vax Certificates As They Berated The Public For Not Getting Jabbed – enVolve

Inbox

Robert Hryniak3:07 PM (3 minutes ago)
to

No surprise….

Mass Vaccination Triggers Spike in Cases, Deaths

Inbox

Robert Hryniak6:41 AM (33 minutes ago)
to

https://m.theepochtimes.com/mass-vaccination-triggers-spike-in-cases-deaths-2_4503024.html

end

GLOBAL ISSUES/SUPPLY CHAINS

The huge inflation from food and fuel all stem from globalist policies

(Patricia Adams/Lawrence Solomon/EpochTimes)

Food, Fuel, & Inflation Crises All Stem From Globalist Policies

THURSDAY, JUN 02, 2022 – 07:32 AM

Authored by Patricia Adams and Lawrence Solomon via The Epoch Times,

The global elites left Davos last week after grappling with solutions to the profound crises facing the world. They left as they arrived, unaware that the crises are entirely of their own making.

Take energy, where shortages have led to the highest gasoline prices in the U.S. and UK history and to fuel poverty affecting millions of people. If not for the specter of climate change—for decades one of the globalists’ central preoccupations—the world’s energy situation would be radically different.

Canada’s tar sands wouldn’t have been demonized and the country would have built the Keystone XL Pipeline and other pipelines to transport ever greater quantities of energy across the continent and beyond.

Liquefied natural gas facilities on the Atlantic and Pacific coasts of Asia, the Americas, and Europe would have been built to ship and receive plentiful natural gas.

“Net Zero” policies wouldn’t be crippling the financing of new fossil fuel facilities. Carbon taxes wouldn’t be making energy ever more expensive.

In the same way that the United States quickly became the world’s largest oil and gas exporter once the Trump administration scaled back crippling climate-related regulation, Europe would have been awash in energy had bans on fracking and offshore fossil-fuel development been lifted to allow development of its immense oil and gas reserves. Instead of fuel poverty, Europe would be experiencing fuel plenty.

The globalists pushing climate change policies tell us there is no choice if the planet is to be saved from catastrophe many decades if not centuries from now. What they don’t tell us is that their prophecies of doom are based on computer climate models, all of which have proven false to date.

Not a single claim—whether that the Arctic ice caps would melt or polar bear populations would decline or tornadoes would increase—have materialized. Reasonable people can dispute whether the prophecies of doom will materialize in the future. Reasonable people cannot dispute that the globalists’ past decisions to override the free market have created today’s energy crisis.

Despite the globalists’ climate change policies, carbon dioxide in the atmosphere—now at 400 parts per million—have reached record levels. This has been a boon for the planet because CO2—also known as nature’s fertilizer—has produced a bounty of bumper crops. Australia reports record wheat, barley, and canola crops and near-record sorghum crop. India, the world’s second-largest producer of wheat, expects record exports this year. Brazil expects record corn. Russia, with another record crop, will be the world’s largest wheat exporter.

A combine harvests wheat in a field near the village of Suvorovskaya in Stavropol region, Russia, on July 17, 2021. (Eduard Korniyenko/Reuters)

Nevertheless, starvation is on the increase. The United Nations warns that we’re in the midst of a “global food crisis” in which “44 million people in 38 countries are at emergency levels of hunger.” Here, too, the responsibility rests with globalist policies that make food unaffordable.

A dominant contributor to the famine is the supply chain disruptions caused by the globalists’ decision to abandon traditional responses to pandemics in favor of an experimental lockdown of much of the world’s economy. The chaos and costs from this decision by governments to apply their COVID-19 lockdown theory upended the world’s food distribution systems and soared the cost of food. The inflation created when governments printed money to support industries and individuals sidelined during the lockdowns then made food prices even more prohibitive.

Exacerbating the supply chain disruptions was the globalists’ decision to perpetuate the Russia-Ukraine war by providing Ukraine with billions in armaments, a departure from the past norm of pressuring combatants to resolve their differences through negotiations. As a result, agricultural production in Ukraine, once known as the breadbasket of Europe, collapsed, with wheat production falling by 44 percent and corn by 39 percent.

Reasonable people can dispute whether Western governments were wise to implement and fund the lockdowns, or to perpetuate the Russia-Ukraine war, but they cannot dispute that their actions spurred the increase in famine that the world is experiencing today.

The globalists may believe that the world needs their new world order. But they also exemplify the adage that the road to hell is paved with good intentions.

VACCINE MANDATE

Vaccine Impact



Michael Every//

Michael Every on the day’s most important topics

Rabo: The Fed’s Bullard Had A Revelation Yesterday, Though Some Will Say He Was Tripping

THURSDAY, JUN 02, 2022 – 11:50 AM

By Michael Every of Rabobank

The Doors Of Perception

The recent Davos summit didn’t have many answers to the list of conflating problems currently facing us.

At least we had ‘The Psychedelic House of Davos, an unofficial satellite event running alongside it, fodder for the comedians who noticed it. (As if there aren’t literally rich pickings there anyway.) The Guardian quotes Stephen Colbert on the topic: “Oh good, just what billionaires need: a looser grip on reality.” He was referring to a “shamanic investing” expert, whom Bloomberg described as having “deep expertise in ayahuasca and experience managing family investments”.

Back to Colbert: “Hopefully at the same time. ‘We split your investments between high yield stocks, medium yield bonds and the sense-memory of your wronged ancestors, who will appear to you as a wolf with your father’s voice. Now walk with me into the fire, where we will itemize your deductions.’”

Yet those versed in Huxley, Leary, Castaneda, Dick, and Groff would agree that encouraging the box-thinkers, box-tickers, and misquoted-dead-economists and line-on-chart worshippers among the market masses to open up their Doors of Perception would be no bad thing. “Most lead lives at worst so painful, at best so monotonous, poor and limited that the urge to escape, the longing to transcend themselves if only for a few moments, is and has always been one of the principle appetites of the soul,” wrote Huxley. They just generally opt to spin, not psilocybin.

The Fed’s Bullard had a revelation yesterday, though some will say he was tripping. (If so, the BoC may have dosed him with their 50bps hike.) “The current US macroeconomic situation is straining the Fed’s credibility with respect to its inflation target,” he said, adding that the cause of inflation is central bank policy, and so it is up to central banks to bring it under control. He wants Fed Funds at 3.50% by the end of the year, so another 250bps in hikes from here.

That’s a stance adjacent to but entirely consistent with the hypothesis here – that the Fed needs to get serious about rates to deal with the commodity upswing and the ongoing geopolitical shift away from using the dollar towards dollar-priced barter trade. Other things are secondary. Take down commodities, especially oil, and you take down inflation and blow up commodity barter trade, and certain EM (and DM) currencies. Suddenly, mocking the US, the US dollar, or holding a physical cargo in the shadow banking system –which the Fed was recently warning us about– or a ‘new world order’, will look as inflation- and volatility-proof as crypto. (As Solana goes all Icarus.)

That may necessitate US actions outside blinkered perceptions of central-bankery. Indeed, oil is off sharply this morning on an FT report that the Saudis will agree to pump more: if they are, it is not about the ‘US dollar weapon’ but US weapons, directly or indirectly. You don’t have to drop a tab to know that this is how the world actually works. We just choose not to see.

Of course, in his solipsistic, long, hard stare into the mirror at his own dilated pupils, Bullard overlooks that there are structural factors at play that rates alone cannot address:

  • Fiscal policy, as subsidies are rolled out to deal with rising energy and food prices – where the latter have a lot further to rise. Even in China, albeit at the margin, local governments are playing around with giving consumers vouchers to buy locally-made goodies.
  • Supply chains, where although the key Federal Maritime Commission report into recent logistical problems just declared they were due to “unprecedented consumer demand”, few on the ground, or at sea, concur. We argued in ‘In Deep Ship’ that it’s not industry collusion, as the White House alleges, so much as massive money being made by systemic inefficiencies there are high incentives not to deal with. Indeed, even as consumer demand eases, ‘Long-term contracted ocean freight rates set ‘staggering’ new records’. The 30.1% hike just seen means long-term rates are up 150.6% y-o-y, and in 2022 have climbed by 55%. Similarly, the Dallas Fed survey this week saw 30.5% of Texas-based manufacturers experiencing procurement-related problems vs. 25.8% three months ago, and 14.7% a year ago.
  • The war in Ukraine, where Kyiv says it is losing around 100 soldiers a day, perhaps 50,000 died in Mariupol, and the US and Germany just pledged to send medium-range rocket systems and anti-aircraft missiles and radar systems despite Russian objections.

Nonetheless, if it is “rates or nothing” then it needs to be much more than nothing on rates.

The Fed’s Beige Book reported “strong or robust price increases, especially for goods businesses need, which will have to be passed. Several districts said inflation had slowed a bit and others said customers were starting to resist price hikes, or had cut back on purchases or sought out cheaper alternatives. However, the Fed is likely to read this as ‘keep going’.

Every region said labor markets were tight and some companies could not produce enough to meet customer demand as a result. (And this is not a US thing: have you tried to fly from the UK or Europe recently?!) Some businesses said they had put hiring freezes in place, others the big wage increases over the past year were beginning to level off. However, the Fed is still likely to read this as ‘keep going’.

Notably, three Fed regional districts saw contacts express concerns about a recession when none did last month: “Rising prices and recession fears have turned consumers and firms more cautious,” the Philadelphia Fed said; “While many contacts remained optimistic, an increasing number expected a recession by year’s end,” the Boston Fed said. Is the Fed still likely to read this as ‘keep going’?

It’s perhaps not a surprise that Jamie Dimon, whose 10-year Treasury yield forecast might finally be right years late (US 10s at 2.90% at time of writing), is warning of an “economic hurricane” ahead for the US. I say not just for the US, or just *in* the US. Or just in the economy:

As Huxley argued,

“Each person is at each moment capable of remembering all that has ever happened to him and of perceiving everything that is happening everywhere in the universe. The function of the brain and nervous system is to protect us from being overwhelmed and confused by this mass of largely useless and irrelevant knowledge, by shutting out most of what we should otherwise perceive or remember at any moment, and leaving only that very small and special selection which is likely to be practically useful.”

That is almost certainly an exaggeration: I can’t remember where I left my glasses half the time. However, equally exaggerated is how overly-focused those in markets are on their narrow here-and-now specifics at the expense of the general and the what-could-be.

Nobody but yourself is stopping you from reading from a different newspaper or a broader selection of voices on social media; or about a different market than your own line on a screen; or even a different academic discipline that might impact on your ‘siloed’ area of expertise. The hurricane ahead, and how we may avoid the worst of it, was and is most visible to those whose doors of perception are at the very least ajar.

Blinkers off; seat-belts and crash helmets on; and eyes, and consciousnesses, open.

end

7. OIL ISSUES//ELECTRICITY ISSUES/USA

8 EMERGING MARKET& AUSTRALIA ISSUES

Australia////  NEW ZEALAND/ SOUTH AFRICA/BRAZIL/ARGENTINA/INDIA

END

Your early  currency/gold and silver pricing/Asian and European bourse movements/ and interest rate settings THURSDAY morning 7:30 AM

Euro/USA 1.0689 UP 0.0039 /EUROPE BOURSES //MOSTLY GREEN

USA/ YEN 129.67   DOWN 0.449 /NOW TARGETS INTEREST RATE AT .11% AS IT WILL BUY UNLIMITED BONDS TO GETS TO THAT LEVEL…

GBP/USA 1.2549 UP   0.0066

 Last night Shanghai COMPOSITE CLOSED UP 1.330 POINTS UP 0.42%

 Hang Sang CLOSED  DOWN 212.81 PTS OR 1.00%

AUSTRALIA CLOSED DOWN 0.95%    // EUROPEAN BOURSES MOSTLY GREEN 

Trading from Europe and ASIA

I) EUROPEAN BOURSES MOSTLY GREEN 

2/ CHINESE BOURSES / :Hang SANG CLOSED DOWN 212.81 PTS OR 1.00%   

/SHANGHAI CLOSED UP 1.330 PTS UP 0.42% 

Australia BOURSE CLOSED DOWN  0.85% 

(Nikkei (Japan) CLOSED  DOWN 44.01 OR 0.16%

INDIA’S SENSEX  IN THE GREEN

Gold very early morning trading: 1855.75

silver:$22.11

USA dollar index early THURSDAY morning: 102.21  DOWN 32  CENT(S) from WEDNESDAY’s close.

 THURSDAY MORNING NUMBERS ENDS

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And now your closing THURSDAY NUMBERS 1: 00 PM

Portuguese 10 year bond yield: 2.41%  UP 9  in basis point(s) yield

JAPANESE BOND YIELD: +0.239% UP 0    AND 7/10   BASIS POINTS /JAPAN losing control of its yield curve/

SPANISH 10 YR BOND YIELD: 2.37%// UP 21   in basis points yield 

ITALIAN 10 YR BOND YIELD 3.30  UP 12   points in basis points yield ./

GERMAN 10 YR BOND YIELD: RISES TO +1.238.%

END

IMPORTANT CURRENCY CLOSES FOR THURSDAY  

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

Euro/USA 1.0723 DOWN  72    or 72 basis points

USA/Japan: 129.90 DOWN 0.320  OR YEN UP  32  basis points/

Great Britain/USA 1.2549 UP 0.0065 OR 65  BASIS POINTS

Canadian dollar UP .0074 OR 74 BASIS pts  to 1.2595

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The USA/Yuan,  CNY: closed    ON SHORE  (CLOSED ..UP 6.6603  

THE USA/YUAN OFFSHORE:    (YUAN CLOSED (UP)..6.6660

TURKISH LIRA:  16.48  EXTREMELY DANGEROUS LEVEL/DEATH WISH/HYPERINFLATION TO BEGIN.

the 10 yr Japanese bond yield  at +0.239

Your closing 10 yr US bond yield DOWN 1  IN basis points from WEDNESDAY at  2.917% //trading well ABOVE the resistance level of 2.27-2.32%) very problematic

 USA 30 yr bond yield   3.092 UP 1 in basis points 

Your closing USA dollar index, 101.97 DOWN 56   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 THURSDAY: 12:00 PM

London: CLOSED DOWN 74.71 PTS OR 0.98%

German Dax :  CLOSED UP 141.04  POINTS OR 0.98%

Paris CAC CLOSED UP 87,71 PTS OR 1.37% 

Spain IBEX CLOSED DOWN 2.80 OR 0.03%

Italian MIB: CLOSED UP 149.96 PTS OR  0.62%

WTI Oil price 116.04   12: EST

Brent Oil:  117.14   12:00 EST

USA /RUSSIAN ///   RUBLE FALLS TO:  61.55  DOWN 1/4         RUBLES/DOLLAR

GERMAN 10 YR BOND YIELD; +1.238

CLOSING NUMBERS: 4 PM

Euro vs USA: 1.0742 UP   .0091   OR  UP 91 BASIS POINTS

British Pound: 1.2561 UP .0081  or  81 basis pts

USA dollar vs Japanese Yen: 129.85 DOWN .270//YEN down 27 BASIS PTS

USA dollar vs Canadian dollar: 1.2576 DOWN 0092 (CDN dollar UP 92 basis pts)

West Texas intermediate oil: 117.18

Brent OIL:  117.88

USA 10 yr bond yield: 2.933 DOWN1 points

USA 30 yr bond yield: 3.085  UP 1  pts

USA DOLLAR VS TURKISH LIRA: 16,47

USA DOLLAR VS RUSSIA///USA/ ROUBLE:  61.65 UP  .37/ ROUBLES (ROUBLE  DOWN .37  ROUBLES/USA

DOW JONES INDUSTRIAL AVERAGE: UP 434.79 PTS OR 1.33%

NASDAQ 100 UP 344.52 PTS OR 2.75%

VOLATILITY INDEX: 24.74 DOWN 0.95 PTS (3.70%

GLD: 174.35 UP 2.12 PTS OR 1.23%

SLV/ 20.58 UP .45 PTS OR 2.26%

end)

USA trading day in Graph Form

‘Bad News Is Good News’ – Stocks Soar As Macro-Meltdown Accelerates

THURSDAY, JUN 02, 2022 – 04:00 PM

Plunging productivity – meh, buy it! Ugly ADP print – meh, buy it! Disappointing Factory Orders – meh, buy it! Hawkish FedSpeak – meh, buy it!

The market shrugged off hawkish comments from Lael Brainard (Fed Vice Chair), who dismissed the ‘September pause’ idea and Loretta Mester (Cleveland Fed), who suggested rates should get above neutral and warned that recession risk had risen. She also noted that Fed officials “all aligned” on the fact that inflation is way too high and that it’s the No. 1 problem in the economy.

One market did react – short-term-interest-rates (STIRs) pushed hawkishly higher adding back a full 25bps rate-hike from the post-Bostic dovish lows…

Source: Bloomberg

But stocks, while at first stunned by Brainard’s bearishness, regained their feet and exploded higher.. because… well who the fuck knows – bad news is good news again. Nasdaq and Small Caps ended the day up around 2.5% with that late-day panic bid…

In the last few minutes everything ripped into the green for the week (reversing yesterday’s puke) with even The Dow catching up…

MSFT managed to get green after tumbling over 4% on a guidance cut…

Treasuries went nowhere despite the manic-panic in equities…

Source: Bloomberg

The long-end of the curve did underperform modestly today (2Y unch, 30Y +2bps) but on the week the long-end is notably outperforming the belly’s weakness…

Source: Bloomberg

The dollar puked back all of yesterday’s gains, tumbling back to unchanged on the week…

Source: Bloomberg

Bitcoin rallied back above $30,000 today after tumbling yesterday…

Source: Bloomberg

Oil prices rallied today despite all the hype about OPEC+ pumping more and Biden praising their actions. Not exactly what

As Goldman warned, net/net, the increase in OPEC+ production is too small to fix the oil’s market structural deficit.

Gold surged back up to $1875, last week’s highs…

Finally, presented with almost no comment at all, there’s this…

Source: Bloomberg

Yes, US Macro data is collapsing (absolutely and relative to expectations)… and stocks are celebrating!

Imagine how high stocks will soar if payrolls prints with a massive job-loss.

I) / EARLY MORNING TRADING/

Stocks Slammed As Fed Vice-Chair Pours Cold Water On A ‘Pause’

THURSDAY, JUN 02, 2022 – 10:28 AM

Following Fed’s Bostic walking back his comments regarding a September pause in rate-hikes yesterday, Fed Vice-Chair Lael Brainard told CNBC this morning that …it’s “very hard to see the case for a pause in September.”

Brainard added that: “We do expect to see some cooling of a very, very strong economy over time”

The reaction was swift, with stocks tumbling to the lows of the day…

Rate-hike expectations are now back above pre-Bostic levels as that ‘strawman’ has been eviscerated…

Additionally, Brainard reminded CNBC viewers that QT might be worth another 2-3 rate-hikes, meaning  even more tightening than STIRs are considering needs to be priced in.

II)USA data

Weak ADP employment numbers

ADP Employment Data Signals Weakest Labor Market Since COVID Collapse

THURSDAY, JUN 02, 2022 – 08:21 AM

With various sentiment measures of employment sagging notably, and ISM Manufacturing employment dropping into contraction, it was perhaps surprising that analysts expected ADP to show a 300k job gain May (up from the 247k in April). However, the analysts were wrong, very wrong. May showed an addition of only 128k jobs  and April was drastically revised down to 202k addition.

Source: Bloomberg

That is the weakest monthly ADP jobs print since April 2020, led by a plunge in small business employment.

The construction industry also saw job losses…

Both Goods and Services job growth slowed dramatically in May with Services sector additions at their weakest since the COVID lockdowns

“Under a backdrop of a tight labor market and elevated inflation, monthly job gains are closer to prepandemic levels,” said Nela Richardson, chief economist, ADP.

“The job growth rate of hiring has tempered across all industries, while small businesses remain a source of concern as they struggle to keep up with larger firms that have been booming as of late.”

Finally, as a reminder, this bodes ill for tomorrow’s payrolls print.

END

US Factory Order Growth Slowed Dramatically In April

THURSDAY, JUN 02, 2022 – 10:04 AM

With US Macro surprises slumping at near-record pace in May, and Manufacturing surveys sending mixed signals (except for soaring costs), it is no surprise that analysts expected Factory order growth to decelerate to +0.7% MoM in April (from a revised lower +1.8% MoM in March). But, growth slowed even more dramatically to just 0.3% MoM

Source: Bloomberg

On a Year-over-Year basis, Factory orders actually accelerated to a 14.0% rise from last year.

Ex-transports, orders rose just 0.3% MoM, also slowing dramatically from the 2.2% MoM rise in March.

Bear in mind this is April data, meaning all of May’s maelstrom is yet to hit.

END

END

IIB) USA COVID/VACCINE MANDATES

END.

iii)a.  USA economic stories

Biden’s plan?

(zerohedge)

Biden’s “Incredible Transition”: High Gas Prices, Supply Shortages Part Of Plan To Unleash Green Economy

WEDNESDAY, JUN 01, 2022 – 05:25 PM

By Joshua Phlipp and Frank Fang of The Epoch Times

As Americans bear the brunt of a sagging economy, the Biden administration appears to be  framing this as a good thing, believing that citizens will be better off in the future if current supply shortages and high gas prices spiral out of control.

The United States, according to President Joe Biden, is in the midst of an “incredible transition”—one that will pave the way for a green economy.

While the administration may tout the benefits of a sustainable future, the question remains as to what will happen to average Americans while this “transition” takes place.

More importantly, what’s the endgame of all this that Americans don’t know about?

Biden, during a May 23 joint press conference in Japan with the country’s Prime Minister Kishida Fumio, used the word “transition” to seemingly admit that soaring gasoline prices are just part of his administration’s overall plan for moving from hydrocarbons to renewables.

“When it comes to the gas prices, we’re going through an incredible transition that is taking place that, God willing, when it’s over, we’ll be stronger and the world will be stronger and less reliant on fossil fuels when this is over,” Biden said.

The comment seems to suggest that ensuring the country’s gas supply is not high on Biden’s agenda, though the administration did announce to release of 1 million barrels of crude oil a day for six months between May and August.

Biden’s remarks angered some Republican lawmakers, including Rep. Elise Stefanik (R-N.Y.) said the president is “painfully out-of-touch.”

“The pain at the pump every #NY21 family feels is a direct result of Joe Biden and House Democrats’ Far-Left agenda,” Stefanik wrote on Twitter.

Sen. Rick Scott (R-Fla.) also took exception, writing on Twitter, “the only ‘incredible transition’ we want from Joe Biden is his transition to retirement.”

“Every family in America is paying record-breaking high gas prices thanks to @JoeBiden’s war on American energy—but the president doesn’t care,” Scott added.

A day before the press conference, Biden’s top economic advisor, Brian Deese told Fox News Sunday that the U.S. economy “is in a period of transition,” when he refused to directly answer a question on whether the economy is entering a recession.

“We’re moving from the strongest economic recovery in modern history to what can be a period of more stable and resilient growth,” Deese said.

On May 1, Samantha Power, head of the U.S. Agency for International Development (USAID), told ABC that fertilizer shortages—caused by Russia exporting less fertilizer presented farmers a chance to “hasten transition” from fertilizer to “natural solutions,” such as manure and compost, a change that farmers would need to “make eventually anyway.”

“So never let a crisis go to waste,” Power said.

Looking at the whole picture, it seems more and more the case that the Biden administration officials are just letting these different economic problems happen on purpose, believing that as these crucial resources collapse Americans will be led to a world of green alternatives.

But such a “transition” is no laughing matter, since these economic problems look set to produce real world pain. The gas crisis and fertilizer shortage are contributing to a global food crisis, and these and other factors could soon lead to actual mass death.

The current wheat supply crunch is in a case in point. On May 19, Sara Menker, the chief executive officer of New York-based agriculture analytics firm Gro Intelligence, told the U.N. Security Council that the world had only about 10 weeks of wheat supply left in storage.

“I want to start by explicitly saying that the Russia–Ukraine war did not start the food security crisis. It simply added fuel to a fire that was long burning,” Menker said. “It is important to note that the lowest grain inventory levels the world has ever seen are now occurring while access to fertilizers is highly constrained.”

Meanwhile, diesel prices in the United States have jumped more than 70 percent from a year ago. Further price increases could dampen the economy since diesel is used in everything from cargo ships, to freight trucks, to farming machinery.

The Biden administration has spoken enthusiastically about a future with clean energy, such as when Vice President Kamala Harris in March spoke of a world without hydrocarbon emissions.

“Imagine a future: The freight trucks that deliver bread and milk to our grocery store shelves and the buses that take children to school and parents to work; imagine all the heavy-duty vehicles that keep our supply lines strong and allow our economy to grow—imagine that they produced zero emissions,” Harris said during an “Accelerating Clean Transportation” event.

Speaking at the same event, Transportation Secretary Pete Buttigieg claimed that electric vehicles will bring “cost savings” to Americans.

“Clean transportation can bring significant cost savings for the American people as well,” Buttigieg said. “Last month, we announced a $5 billion investment to build out a nationwide electric vehicle charging network so the people from rural to suburban to urban communities can all benefit from the gas savings of driving an EV.”

Taken together, whether it’s with food or with gas, it seems as though many people within the Biden administration are pretty clear about what they’re trying to do.

They don’t appear to be willing or interested in fixing things, when it comes to the things that Americans all worried about.

Rather, it seems as though they’re planning for this—a transition to a green future, to the system that they want.

The Epoch Times has reached out to the White House for comment.

end 

iii b USA//inflation stories/log jams etc/

Expect higher price hikes

(Stocklin/EpochTimes)

Looming Price-Hikes On Food Set To Hit Americans Even Harder This Fall

WEDNESDAY, JUN 01, 2022 – 04:20 PM

Authored by Kevin Stocklin via The Epoch Times,

In its effort to contain inflation, the Federal Reserve has launched what many expect to be an ongoing series of interest rate increases, which are already taking a toll on stock and housing markets, with job losses likely to follow. As weary as Americans have become from paying record high gas and grocery prices, however, another round of price hikes is making its way through the food supply chain and is expected to reach consumers this fall.

“People don’t realize what’s fixing to hit them,” said Texas farmer Lynn “Bugsy” Allen.

“They think it’s tough right now, you give it until October. Food prices are going to double.”

The 8.8 percent increase in food prices that Americans have already seen does not take into account the dramatic cost increases that farmers are now experiencing. This is because farmers pay their costs upfront and only recoup them at the point of sale, months later.

“Usually, what we see on the farm, the consumer doesn’t see for another 18 months,” said John Chester, a Tennessee farmer of corn, wheat, and soybeans. But with the severity of these cost increases, consumers could feel the effects much sooner, particularly if weather becomes a factor.

Lorenda Overman, a North Carolina farmer who raises hogs and grows corn, soybeans, and sweet potatoes, said the spike in fuel costs has put her farm into the red this year. “Nothing that consumers are paying is going to bridge the gap for farmers right now,” she said. “The prices now have not hit the grocery stores yet,” but she expects they will start to by the end of summer.

Much of the cost of food hinges on the price of oil.

“They have no electric trucks delivering that food and there are no electric tractors,” Allen said.

“It takes diesel to run all this.”

Chester said that fuel and fertilizer together make up 55 percent of his total costs. The price of diesel fuel has more than doubled, from $2.50 per gallon at the end of 2020 to more than $5 per gallon today. Farmers say the cost of fertilizer, an oil derivative, has tripled and in some cases quadrupled.

“When you look at the machinery that uses diesel, it’s farm equipment, it’s railroads, and it’s truckers,” said Daniel Turner, Executive Director of Power the Future, an energy advocacy group. Diesel “moves all of our goods, it grows our food. From cargo ships arriving from overseas to trucks or trains getting those goods across the country. All those things now have added costs that will get sent to the consumer.”

“That surge in food and energy costs is very demand destructive for U.S. households,” said Joseph Lavorgna, Chief Economist at Natixis, a European bank. “If you have to pay a lot more money for your food, to heat or cool your home, or put gasoline in your vehicle to get to work, there’s less money available elsewhere.” Price hikes in gas and food will leave Americans with less money to spend on other goods, which will reduce demand and have a knock-on effect on the wider economy.

Economic reports are indicating that Americans are already unable to keep up with inflation. Household savings fell to the lowest rate in 14 years, as people struggle to maintain their standard of living. Credit card debt is hitting record highs, and retailers say they are preparing for more consumers to limit their spending to the “bare-bones basics.”

While it is possible that Americans’ loss of spending power may help to reduce inflation, some economists fear a return of 1970s-era “stagflation,” rising prices coupled with economic stagnation and increasing unemployment. That period of inflation was ultimately tamed by the Fed raising interest rates to nearly 20 percent.

In contrast to the Carter-era energy crisis, which was sparked by an embargo from foreign oil producers at a time of declining American oil output, today’s energy shortages are largely the result of domestic U.S. government policies, as the Biden administration attempts to force Americans to switch from fossil fuels to wind, solar, and electric. This effort has included shutting down pipelines, suspending oil and gas leases, and putting up regulatory roadblocks—all of which has reduced new investment in American oil and gas production.

Last week, Biden stated that the spike in oil prices was “an incredible transition that is taking place that, God willing, when it’s over, we’ll be stronger and the world will be stronger and less reliant on fossil fuels.”

Energy Secretary Jennifer Granholm said last week that rising oil prices were “an exclamation point” for the need to transition to wind and solar and “build homegrown clean energy.” Granholm previously stated that “if you drive an electric car, this would not be affecting you.”

With natural gas prices now hitting a 14-year high, Biden’s Department of Energy recently posted “a few tips on how you can prepare your home and office to safely navigate a blackout.”

Samantha Power, head of Biden’s Agency for International Development, said the solution to rising fertilizer prices is “natural solutions like manure and compost, and this may hasten transitions that would have been in the interest of farmers anyway. Never let a crisis go to waste.”

“That’s not the real world,” Overman said. “We are in the highest density for hog production in the nation and there’s not enough hog manure or turkey manure or chicken manure to fertilize our crops. We tried this fall to lock in some chicken and turkey litter to spread on our crops and there’s none to be had. There’s just not enough animals to produce the amount of fertilizer we need.”

“Energy is a very capital intensive business and we’re basically down to about half the level of cap-ex within energy that we had a couple years ago,” Lavorgna said. “A lot of that has to do with the fact that oil companies are not tone-deaf to what shareholders want, or more importantly what the regulators and politicians want.”

Gasoline prices are posted at a gas station in Washington on May 26, 2022. (Nicholas Kamm/AFP via Getty Images)

“It’s incredibly curious that of all [Biden’s] rhetoric, I have yet to hear anything along the lines of ‘we will do everything to increase production in America.’” Turner said.

“They are comfortable with the current state because of their green philosophy, and we’re just necessary casualties.”

Together with ruptures in global supply chains, oil and food prices are a key reason why many economists think the Fed will have a particularly hard time taming inflation. “There is a real risk the price [of gas] could reach $6 a gallon by August,” Natasha Kaneva, head of global oil and commodities research at JPMorgan Chase, told the press. “U.S. retail price could surge another 37% by August.”

The higher prices climb, the more aggressive the Fed will need to be to contain inflation.

“We think the risks are skewed towards a much more significant recession, as inflation proves more persistent than is generally expected … the moves from the Fed currently envisioned by markets will be too slow to restrain inflation,” stated economists from Deutsche Bank in a research report titled “Why the coming recession will be worse than expected.”

“A mild recession would be a relatively small increase in the unemployment rate,” Lavorgna said. “If, however, the Fed feels that it needs to compress demand further, then we are looking at a much deeper recession, with the unemployment rate perhaps doubling, if not more.”

One of the unique features of the current economic crisis is the extent to which it is driven by government actions, as opposed to a market failure. This includes trillions of dollars in federal spending to prop up an economy reeling from draconian government lockdowns that now appear to have had little success in containing the coronavirus. This spending was compounded by the Federal Reserve holding interest rates near zero while expanding its balance sheet to $9 trillion, flooding America with cash. These problems were then further exacerbated by the Biden administration’s re-regulating of the economy and its antipathy toward America’s fossil fuel industry, together with a western boycott of Russian oil and fertilizer exports following Russia’s invasion of Ukraine.

Inflation is the result of too many dollars chasing too few goods, and, in this case, it has been a “perfect storm” on both sides of the equation. As the Fed works to cool demand by raising rates, some economists say the Biden administration must reverse the policies it has put in place that are undermining productivity and holding back supply.

“If you want to address the inflation problem, you do it through the painful way of Federal Reserve action and higher interest rates and borrowing costs,” said Jonathan Williams, Chief Economist at the American Legislative Exchange Council. But simultaneously, “you do it through the supply side, which reduces taxes and gets productivity back up across the United States.”

Given the federal government’s reluctance thus far to take the necessary steps, some states have stepped up with their own solutions, Williams said. Since March, four states—Iowa, Mississippi, Georgia, and Arizona—have gone from progressive income tax rates as high as 8 percent to flat tax rates in the range of 2–4 percent. North Carolina eliminated business income tax, and nine other states currently have no state income tax at all.

On May 17, Sen. John Barrasso (R-Wy.) and other GOP Republicans introduced the ONSHORE Act, which would give states the power to manage oil and gas production on federal lands within their borders. They simultaneously introduced the Lease Now Act, which would require the Department of Interior to resume the sale of oil and gas leases.

Asked what Biden could do to help farmers, Allen said “lower the fuel prices. It will save the middle-class people. It will help them when it comes to buying food.”

END

Are You Upset About Inflation? If So, You Aren’t Alone!

THURSDAY, JUN 02, 2022 – 06:30 AM

Authored by Michael Snyder via TheMostImportantNews.com,

All of a sudden, just about everyone is upset about inflation.  It would have been nice if everyone would have been this upset back when our leaders were making the exceedingly foolish decisions that resulted in this crisis.  In May 2012, the federal government was 15 trillion dollars in debt.  Now we are 30 trillion dollars in debt, but our politicians continue to spend money as if tomorrow will never come.  Meanwhile, the Federal Reserve has pumped trillions of dollars that they created out of thin air into the financial system in recent years.  For a very long time, I passionately denounced what our leaders were doing, because I knew what would happen.  Now a day of reckoning has arrived, and millions upon millions of Americans are absolutely desperate for things to return to normal. 

Unfortunately, that simply is not going to happen.

In May 2020, the average price of a gallon of gasoline in the United States was less than two dollars.

Today, the average price of a gallon of gasoline in the United States reached a brand new record high of $4.62, and we are being warned that it could soon go to “$5 a gallon or more”

The national average for unleaded gas hit another new high of $4.62 per gallon Tuesday, according to AAA data. Prices are up more than 50% compared with last year.

Analysts say gasoline prices usually peak by mid-May, but this year prices at the pump could continue to rise into July and reach about $5 a gallon or more.

Most of the time, the vast majority of the population doesn’t pay much attention to economics.

But this is where the rubber meets the road, and two recent polls show very clearly that Americans are becoming increasingly frustrated…

An NBC News poll released earlier this month found that 33 percent of Americans approve of Biden’s handling of the economy, while 23 percent approve of his handling of the cost of living.

A Washington Post-ABC News poll in early May found that more than 9 in 10 Americans are concerned, at a minimum, about the rate of inflation, which has been at a 40-year high for months. That included 44 percent who say they are “upset” about the problem.

In addition, Gallup’s Economic Confidence Index has now fallen to the lowest reading that we have seen since the end of the Great Recession

Gallup’s Economic Confidence Index measured -45 in May, down from -39 in each of the previous two months. It is the lowest reading in Gallup’s trend during the coronavirus pandemic, and likely the lowest confidence has been since the tail end of the Great Recession in early 2009.

When things go bad, who are people going to blame?

More than anyone else, people are going to blame the guy in the White House.

And right now the Biden administration is absolutely desperate “to contain the political damage caused by inflation”

The White House launched a new push Tuesday to contain the political damage caused by inflation after President Biden complained for weeks to aides that his administration was not doing enough to publicly explain the fastest price increases in roughly four decades.

Aiming to demonstrate to the public that it is responding to its concerns, Biden met with Federal Reserve Chair Jerome H. Powell in the Oval Office, wrote an op-ed in the Wall Street Journal about inflation and sent top aides across major networks to push the administration’s economic message.

What is Biden’s “economic message” exactly?

I have been sitting here pondering that question, and I honestly cannot answer it.

Every day, the story seems to change.  A while back, Biden promised to do all that he could to lower gasoline prices, and he foolishly released a million barrels from the Strategic Petroleum Reserve.

That didn’t work.

So what now?

One insider told Politico that high gasoline prices are “a really difficult issue to message around”, because “you can’t deny the reality”

The White House’s focus on gas prices is bred from two sobering political conclusions top officials have made. The first is that they have little control over the problem. The second is that as prices rise at the pump, so do Democrats’ odds of a midterm wipeout — especially as the average U.S. gallon of gas hits fresh record highs.

“There really isn’t one silver bullet,” said one person familiar with the discussions. “It’s a really difficult issue to message around when you can’t deny the reality.”

If Joe Biden asked me what he should do in order to reduce gasoline prices, the first thing I would say would be to stop doing things that are counterproductive.  The following comes from a recent editorial by Marc A. Thiessen

If the Biden administration cared about high gas prices, they would be doing everything in their power to increase domestic production. After a federal judge invalidated an offshore oil and gas lease sale in January, the administration chose not to appeal and has since canceled three transactions in the Gulf of Mexico and off the coast of Alaska — taking millions of acres off the auction block. The Post called the move “a victory for climate activists intent on curbing U.S. fossil fuel leasing,” which “effectively ends the possibility of the federal government holding a lease sale in coastal waters this year.” Worse, the administration is about to let the nationwide offshore drilling program expire next month without a new plan in place.

Moving forward, we need to remove mountains of regulations that have made it extremely difficult to build and operate new refineries in the United States.

And we need far more exploration and far more drilling as soon as possible.

Of course the truth is that this isn’t just a U.S. problem.

Energy prices are out of control all over the world, and they are actually much higher in Europe than they are here.

In fact, soaring energy prices are a big reason why inflation in the European Union just hit a brand new record high

Following Germany’s post-Weimar record high inflation print, the European Union’s consumer price inflation data this morning surged to a record high at +8.1% YoY (notably hotter than the +7.8% YoY expected).

Most Americans don’t realize this, but Europe is actually much closer to a full-blown economic meltdown than we are.

I expect the euro to fall below parity with the dollar in the not too distant future.

And I expect a nightmarish energy crunch in Europe as supplies from Russia are restricted or cut off completely.  Unless something changes, next winter is going to be a really challenging time for many European nations.

We have entered the worst energy crisis in modern history, but what we have experienced so far is just the beginning.

Much worse is ahead, and the American people will become increasingly frustrated as prices just keep going higher and higher.

*  *  *

It is finally here! Michael’s new book entitled “7 Year Apocalypse” is now available in paperback and for the Kindle on Amazon.

END

Baby Formula Shortage Hits Record 74% As Biden Admits Being AWOL Until April

Tyler Durden's Photo

BY TYLER DURDEN

THURSDAY, JUN 02, 2022 – 03:45 PM

Despite all the bluster from The White House on its actions to relieve the crisis, the baby formula shortage continued to worsen last week.

Earlier this week, President Biden crowed on Twitter at the actions he has taken to ‘fix’ the problem:

https://platform.twitter.com/embed/Tweet.html?dnt=false&embedId=twitter-widget-0&features=eyJ0ZndfZXhwZXJpbWVudHNfY29va2llX2V4cGlyYXRpb24iOnsiYnVja2V0IjoxMjA5NjAwLCJ2ZXJzaW9uIjpudWxsfSwidGZ3X3JlZnNyY19zZXNzaW9uIjp7ImJ1Y2tldCI6Im9mZiIsInZlcnNpb24iOm51bGx9LCJ0Zndfc2Vuc2l0aXZlX21lZGlhX2ludGVyc3RpdGlhbF8xMzk2MyI6eyJidWNrZXQiOiJpbnRlcnN0aXRpYWwiLCJ2ZXJzaW9uIjpudWxsfSwidGZ3X3R3ZWV0X3Jlc3VsdF9taWdyYXRpb25fMTM5NzkiOnsiYnVja2V0IjoidHdlZXRfcmVzdWx0IiwidmVyc2lvbiI6bnVsbH19&frame=false&hideCard=false&hideThread=false&id=1532127355036221447&lang=en&origin=https%3A%2F%2Fwww.zerohedge.com%2Fpolitical%2Fbiden-admits-he-was-awol-until-april-baby-formula-crisis&sessionId=b3e238177ee05ed948a56845c06a11001490622d&siteScreenName=zerohedge&theme=light&widgetsVersion=b45a03c79d4c1%3A1654150928467&width=550px

But, as Bloomberg reports, out-of-stock rates climbed to 74% nationally for the week ending May 28according to data on 130,000 stores followed by DatasemblyThe increase comes after rates spiked to 70% for the week ending May 21 from 45% the week prior.

Even more stunningly, ten states now have shortage rates at 90% or greater, with Georgia hardest hit at 94%.

So since the president was made aware of shortages, the crisis has only worsened, but then again, haven’t we seen the same thing again and again (Afghanistan, gas prices…)

As Philip Wegmann detailed earlier via RealClear Politicsthe Biden presidency was born from crisis. And that was by design.

The country was looking for stability during the chaos of COVID-19, and the former vice president offered a shaken electorate the promise of tested leadership and trusted experience. At the very least, Biden said he could offer an improvement over the reality television politics that had defined his opponent’s time in office. And that pitch worked. He won the White House, but more crises followed.

A land war in Europe, a persistent pandemic, an ugly end to the war in Afghanistan, and an unrelenting cycle of historic inflation: Each challenge came so quickly, compounding and cascading over the last, that White House staffers reportedly joked that a plague of locusts must be next. Instead, it was baby formula.

They didn’t expect a nationwide shortage, and neither did the president. “I don’t think anyone anticipated the impact of the shutdown of one facility – the Abbott facility,” Biden told reporters Wednesday, referring to the Abbott Laboratories Inc. plant in Michigan that went offline in February due to safety concerns and that has led to months-long scarcity.

But baby formula manufacturers did anticipate the impact three months ago, and moments before Biden started fielding questions from the press, they had just said as much in front of the cameras. Robert Cleveland, senior vice president for North American operations of the Reckitt Co., was the first of the manufacturers to speak, and he said he told Biden that “we knew from the very beginning this would be a very serious event.”

Tarun Malkani, president and CEO of Gerber, told Biden that his company might be a relatively small player in powdered formula but they were doing all they could out of a sense of “national duty.” He added that they were operating with the same level of urgency today that they did “when I got that first phone call informing me of the crisis situation.”

Murray Kessler, CEO of Perrigo Company, told Biden that as soon as his company heard about the recall “we could foresee that this was going to create a tremendous shortage.”

The other manufacturers present said the same, and yet the president admitted he wasn’t made aware of the gravity of the crisis until last month. Hadn’t those CEOs just told him they understood it would have a very big impact the moment the Abbott plant was shuttered, a reporter asked.

“They did,” Biden replied, “but I didn’t.”

That terse admission undercut the official administration line. The White House has insisted for weeks that they were quick to react and that they mounted a “whole-of-government approach” since the Food and Drug Administration issued the recall on February 17. Apparently, and at least according to Biden himself, this did not include the president until April.

Although late to comprehend the crisis, the months-long absence did not prevent Biden from telling families without baby food that he felt their pain. “There is nothing more stressful than the feeling like you can’t get what your child needs,” he said. “As a father and grandfather,” he added, “I understand how difficult this shortage has been.”

That empathy did not satisfy the press corps. Reporter after reporter pressed White House Press Secretary Karine Jean-Pierre with various iterations of the same question: What did the president know about the formula shortage and when did he know it? Jean-Pierre reiterated that the administration had taken a whole-of-government approach. “We’ve been working on this for months,” she insisted. “We’ve been taking this incredibly seriously.”

She said that the day after the Abbott plant went dark, the U.S. Department of Agriculture was cutting red tape to allow states more flexibility to purchase formula. And to get that plant back up and running safely, scientists at the FDA, she added, “have been working around the clock.”

It wasn’t until May though, three months after Abbott went dark and the industry began racing to meet demand, that Biden invoked the Defense Production Act. Store shelves were bare across the country by the time the president finally launched Operation Fly Formula to bring baby food into domestic markets from overseas.

But when did the White House get a call alerting the administration that perhaps the issue required presidential involvement? “I don’t have the timeline on that,” Jean-Pierre replied. “All I can tell you as a whole-of-government approach, we have been working on this since the recall in February.

Another reporter asked a little later if the White House could detail the early steps that were taken: meetings or phone calls, for instance, or briefings back in February when the shortage first began. “I don’t have that information,” the press secretary answered, promising to make that material public when it became available.

Was the White House spokeswoman calling into question the April date that Biden had just given, a third reporter asked. Had he misspoken? “No,” Jean-Pierre pushed back, “I am not questioning the president at all.” She hadn’t talked with the president on this topic, she said, before coming to brief the press.

Biden predicted earlier in the day that it would take “a couple more months” before supply returned to normal. Fully stocked shelves can’t come soon enough for families with newborns or for individuals with metabolic disorders who rely on special formulas that only Abbott manufactures. Nationwide, according to a Wall Street Journal analysis, 23% of powdered formula was out of stock last week. Another 11% was entirely out of stock, the paper reported, because of supply-chain shortages and inflation.

Other manufacturers besides Abbott, including those speaking at the White House Wednesday, have ramped up manufacturing to meet demand. Domestic production, Jean-Pierre told reporters, “has even increased from last year.” Eventually, the shortages will end. A larger question remains, though, one that gets to the central promise that Biden made during his campaign: How serious does an issue have to be before it is brought to the president’s attention?

The press secretary ran through the timeline again as she had before, telling RealClearPolitics that “we did everything that we can to cut red tape, and now the Defense Production Act, flying in the formula from abroad. All of those things were actions we took to deal with this crisis.”

She did not answer the general question with any specificity other than to say, “There are always multiple crises happening that we are dealing with all at once.”

iv)swamp stories

King REPORT

The King Report June 2, 2022 Issue 6772Independent View of the News
  The Atlanta Fed: The GDPNow model estimate for real GDP growth (seasonally adjusted annual rate) in the second quarter of 2022 is 1.3 percent on June 1, down from 1.9 percent on May 27.  After this morning’s Manufacturing ISM Report on Business from the Institute for Supply Management, and this morning’s construction spending report from the US Census Bureau, the nowcasts of second-quarter real personal consumption expenditures growth and real gross private domestic investment growth declined from 4.7 percent and -6.4 percent, respectively, to 4.4 percent and -8.2 percent, respectively
https://www.atlantafed.org/cqer/research/gdpnow.aspx
 
Jamie Dimon says ‘brace yourself’ for an economic hurricane caused by the Fed and Ukraine war
“You better brace yourself,” Dimon told the roomful of analysts and investors. “JPMorgan is bracing ourselves and we’re going to be very conservative with our balance sheet.”…
    “We’ve never had QT like this, so you’re looking at something you could be writing history books on for 50 years,” Dimon said.  Several aspects of quantitative easing programs “backfired,” including negative rates, which he called a “huge mistake.”… Central banks “don’t have a choice because there’s too much liquidity in the system,”…
https://www.cnbc.com/2022/06/01/jamie-dimon-says-brace-yourself-for-an-economic-hurricane-caused-by-the-fed-and-ukraine-war.html
 
@zerohedge: Jamie Dimon, May 23: “credit looks really good, we’ve never seen it this good.”  Jamie Dimon, June 1 “brace for an economic hurricane. Everyone thinks the Fed can handle this. That hurricane is right out there coming our way.”
 
May ISM Mfg 56.1 from 55.4, 54.5 expected; Prices Paid 82.2 from 84.6, 81 expected; New Orders 55.1 from 53.5, 52.9 expected; Employment 49.6 (1st contraction since 11/20) from 50.9, 52 consensus.
https://www.ismworld.org/supply-management-news-and-reports/reports/ism-report-on-business/pmi/may/
 
@bespokeinvest: April Construction Spending weaker than expected (+0.2% vs +0.5%). It has now been weaker than expected in 12 of the last 14 months.
 
Monthly Construction Spending April 2022   https://www.census.gov/construction/c30/pdf/release.pdf
 
The BLS: JOB OPENINGS AND LABOR TURNOVER – APRIL 2022
The number of job openings decreased to 11.4 million on the last business day of April, the U.S. Bureau
of Labor Statistics reported today. Hires and total separations were little changed at 6.6 million and 6.0
million, respectively. Within separations, quits were little changed at 4.4 million, while layoffs and
discharges edged down to a series low of 1.2 million…
    The largest decreases in job openings were in health care and social assistance (-266,000), retail trade (-162,000), and accommodation and food services (-113,000).  The largest increases were in transportation, warehousing, and utilities (+97,000); nondurable goods manufacturing (+67,000); and durable goods manufacturing (+53,000)…  https://www.bls.gov/news.release/pdf/jolts.pdf
 
WSJ: Summer Worker Shortage Means Things Will Be Closed. Again.
Pools, restaurants and camps cut operations even though demand is back. Labor costs are higher and so are prices. ‘What, no one is applying?’    https://t.co/zPWvS2Cpjy
 
@charliebilello: US rents hit another new high in May, up 15% over the last yearhttps://t.co/n7uJtOqKrh
(Check this industry inflation number vs. BLS’s ‘Rents’ when May CPI is released on June 10)
 
The standard ESM pattern appeared on June 1: ESMs peaked (4165.00) eight minutes after the NYSE open on conditioned trader buying; and then tumbled to 4071.50 at 12:50 ET due to the troubling economic data, news, and (Dimon) commentary.
 
Thereafter, ESMs rallied on the conditioned buying that appears after a morning decline, as well as on expectations that June 1 buyers would appear near or at the NYSE close.
 
Companies Struggle with Rising Prices, Fed’s Beige Book Says (Released at 14:00 ET)
Tightness in the labor market has started to ease with some hiring freezes, according to some firms
https://www.wsj.com/articles/companies-struggle-with-rising-prices-feds-beige-book-says-11654109877
 
Companies spending more on wages and supplies, but still can’t find enough workers, Fed report says – they also cited accelerating inflation pressures coming from wages as well as the costs to procure input goods they need to operate…
https://www.cnbc.com/2021/06/02/beige-book-companies-are-paying-more-but-still-cant-find-workers.html
 
(St. Louis Fed Pres) Bullard:  Neutral Funds Rate around 2% (2-yr note model), but Wants 3.5% Funds Rate by Yearned – WSJ 14:45 ET
 
Bullard: It’s Too Early to Say if We’ve Seen a Peak in Inflation; Will Need More Than a few tenths to Make a Judgement – BBG 14:45 ET
 
The afternoon ESM rally peaked at 15:14 ET, +56.25 from the low.  ESMs and stocks treaded water until they broke down at 15:47 ET.  ESMs and stocks sank into the close, possibly due to this:
 
Meta shares fell as much as 3% after Sheryl Sandberg announced she’s stepping down as COO https://trib.al/i1DIHGD
 
USMs traded in concert with ESMs during US trading.  They peaked at 140, 32 minutes earlier than ESMs.  Bonds then tumbled to 138 6/32 at 12:50 ET.  USMs then rallied moderately.
 
WTI Oil peaked at +$3.18 but settled +$0.59.  Gasoline settled +3.03% (+3.3% peak), a new high.
 
@zerohedge: Morgan Stanley Cuts Targets for US Tech (including AMZN, GOOGL, FB) on Macro, Sector Risks
 
The Street.com: Amazon Stock Extends Gains Into 20-for1 Split Slated for Friday.
 
A vast majority of pundits and analysts often note that splits should not affect the value of a stock.  However, there is a mathematical reason for splitting stocks with active options to rally sharply.
 
The value of options is determined by the risk-free interest rate, dividend expectations, duration, and volatility, which is imprecise.  The aggregate value of 20 post-split Amazon options for a split-adjusted strike price will be greater than the value of 1 pre-split option because the aggregate volatility is higher.
 
We know this via personal experience. So, professional options traders, particularly option arbs and spreaders, are forced to readjust their ‘deltas’ (option rate of change vs stock ROC) to stay neutral or somewhat neutral, especially on options vs stock positions.
 
Amazon has surged 23.6% from its 2025.20 low on May 24 to 2503.58 at the high yesterday.
 
Unprecedented water restrictions hit Southern California today
More than 6 million Southern Californians will be placed under new drought rules today in an unprecedented effort to conserve water.  The restrictions are a response to the Metropolitan Water District of Southern California’s urgent call for a 35% reduction in water use following California’s driest-ever start to the year. MWD’s board has never before issued such severe cuts, but said they were left with little recourse after state officials slashed deliveries from the State Water Project to just 5%…
    More than 97% of the state is now under severe, extreme, or exceptional drought, according to the U.S. Drought Monitor. Many of the region’s most critical reservoirs are at half capacity or less…
https://www.latimes.com/california/story/2022-06-01/southern-california-new-drought-rules-june-2022
 
President Biden: What America Will and Will Not Do in Ukraine (Joe backtracks on ousting Putin)
America’s goal is straightforward: We want to see a democratic, independent, sovereign and prosperous Ukraine with the means to deter and defend itself against further aggression…That’s why I’ve decided that we will provide the Ukrainians with more advanced rocket systems and munitions…
    We do not seek a war between NATO and Russia. As much as I disagree with Mr. Putin, and find his actions an outrage, the United States will not try to bring about his ouster in Moscow…
https://www.nytimes.com/2022/05/31/opinion/biden-ukraine-strategy.html
 
The NYT’s @arappeport: Biden on Putin in March: “For God’s sake, this man cannot remain in power.”  Biden today: “As much as I disagree with Mr. Putin, and find his actions an outrage, the United States will not try to bring about his ouster in Moscow.”
 
Biden reverses course, says US will send rockets to Ukraine (Yet another Bid Guy U-turn!)
Biden’s change of heart came after several officials criticized the president’s refusal to send Ukraine missiles… The president added that his administration is not encouraging Ukraine to use the weapons to target locations in Russia… https://t.co/fW99m0nFgu
 
Positive aspects of previous session
Another robust rally after an early US equity tumble
 
Negative aspects of previous session
Despite upward June 1 bias, major equity indices declined sharply for the 2nd consecutive session
Bonds tumbled; Gasoline hit a new high
 
Ambiguous aspects of previous session
Is the rebound rally over?
 
First Hour/Last Hour Action [S&P 500 Index]: 1st Hour from NYSE open: Down; Last Hour: Down
 
Pivot Point for S&P 500 Index [above/below indicates daily trend to traders]: 4113.84
Previous session High/Low4166.54; 4073.85
 
GOP @RepMattGaetz: In response to a letter sent by Rep. Matt Gaetz and @Jim_Jordan, Perkins Coie, the legal arm of the DNC and Hillary Clinton, admits they have been operating an FBI workspace in their Washington, D.C. office since 2012.  https://twitter.com/RepMattGaetz/status/1531803761324310528
Rep. Matt Gaetz: DNC Law Firm Perkins Coie Admits It Has FBI Workspace in Its DC Office and Michael Sussmann was Operating the Worksite – Rep. Matt Gaetz: “The Democrat Party’s law firm, the law firm that received $42 million from the Democratic Party has this co-located workspace that they operate in concert with the FBI. Why in the world would that be the case? Why would Christopher Wray allow this to continue? Then you would also have to ask yourself why in the last 12 months was the person on behalf of Perkins Coie operating that worksite, Michael Sussmann himself?… What reason would there be for that and what leverage would the Perkins law firm have over the FBI given this work they are doing together?…”     https://www.thegatewaypundit.com/2022/05/rep-matt-gaetz-dnc-law-firm-perkins-coie-admits-fbi-workspace-dc-office-michael-sussmann-operating-worksite-video/
 
The FBI Maintains a Workspace, Including Computer Portal, Inside the Law Firm of Perkins Coie – The Ramifications are Significant – Essentially, what is being admitted in this claim is that a portal existed into FBI databases within the law firm that represents democrats.  This means access to FBI database searches exists inside the office of the DNC and Clinton legal group
    The start date of 2012 is important for several reasons, not the least of which is FISA presiding Judge Rosemary Collyer criticizing the scale and scope of unlawful FBI database access going back to exactly 2012.  Keep in mind a FISA-702 search, is simply an unlawful FBI warrantless electronic search of an American (“702” represents the American citizen) into the central database -maintained by the NSA- that contains all electronic data and communication…
    The report from Matt Gaetz about Perkins Coie access to FBI databases, is in direct alignment with Rosemary Collyer’s prior report on FBI abuses of the database, 702 violations…
https://theconservativetreehouse.com/blog/2022/05/31/breaking-the-fbi-maintains-a-workspace-including-computer-portal-inside-the-law-firm-of-perkins-coie-the-ramifications-are-significant
 
Can you imagine the Dem and MSM outrage and venom if the FBI ‘operated a workplace’ in the DC office of Trump’s law firm?  This is shocking news about the Swamp; so, the MSM has spiked it!
 
The FBI is irretrievably and inconceivably corrupted.  It’s well past time for major reform. After 9/11, ‘Lil Bush allowed Mueller to turn the FBI into a Stasi-like state snooping & security force.
 
Moral of Sussmann trial: Americans see lying as a DC norm, making punishment hard
“There are bigger things that affect the nation than a possible lie to the FBI,” jury forewoman declares after verdict…  https://justthenews.com/accountability/russia-and-ukraine-scandals/moral-sussmann-trial-americans-see-lying-dc-norm-making
 
GOP Sen. Grassley raises alarm over ‘partisan’ social media posts linked to FBI official
Timothy Thibault, FBI assistant special agent in charge and leader at the Washington field office handling public corruption matters and other criminal investigations, “likely violated several federal regulations and Department guidelines designed to prevent political bias from infecting FBI matters…
     ASAC Thibault’s social media postings, comments, and ‘likes’ … demonstrate a pattern of improper commentary related to… ongoing FBI investigations including those under his purview.”…
https://www.washingtonexaminer.com/news/senate/grassley-raises-alarm-over-partisan-social-media-posts-linked-to-fbi-official
 
@ProjectVirginia: So, the Democrats did in fact integrate the FBI into DNC operations, they’ve been doing it for a full decade, and the one-sided hyper-partisanship of the FBI in the modern era wasn’t just anybody’s imagination at all.
 
@RNCResearch: Joe Biden forgets HHS Secretary Xavier Becerra’s name: “I’m gonna hand it over to Secretary Be—uh, Mr. Secretary…” (Blame his staff?) https://twitter.com/RNCResearch/status/1532074099807342592
 
Auto-Armageddon: May Sales Data Shows Dramatic Slowdown in US New Car Sales
HONDA MAY U.S. AUTO SALES -57.3%; TOYOTA US MAY SALES 175,990, -27.3% Y/Y
MAZDA N. AMERICA MAY SALES DOWN 63.7%; NISSAN APRIL GLOBAL SALES -29.1%
Most other major auto manufacturers set to release data within the next day or so….
https://www.zerohedge.com/markets/auto-armageddon-may-sales-data-shows-dramatic-slowdown-us-new-car-sales
 
@AlessioUrban: Gasoline crack spread futures hit a new all-time high, this is dangerous https://twitter.com/AlessioUrban/status/1532100355001135105
 
Biden admits gas and food prices aren’t coming down anytime soon https://trib.al/5O7A2Hc
 
@yuriymatso: SPX 2008 vs 2022  https://twitter.com/yuriymatso/status/1532100401570361345
 
Today – The start of June did not go well.  Traders bought the morning tumble and the usual rebound rally appeared.  However, the expected final hour buying surge did not appear.  Instead, traders had to dump their longs into a thin market with few organic buyers.
 
The short-term upward seasonal bias for end of month and start of month is over.  The rebound from the May lows has lost momentum.  Today could be a tough day for stocks.  Will retail traders or bulls appear and keep stocks buoyant?   ESMs are -7.50 at 20:15 ET.
 
Expected Economic Data: May ADP Employment Change 300k; Q1 Nonfarm Productivity -7.5%, Unit Labor Costs 11.6%; Initial Jobless Claims 210k, Continuing Claims 1.34m; April Factory Orders 0.7% m/m; April Durable Goods Orders 0.4% m/m; NY Fed EVP Logan 12:00 ET, Cleveland Fed Pres Mester discusses economic outlook 13:00 ET; OPEC+ meets no change in policy is expected
 
S&P 500 Index 50-day MA: 4263; 100-day MA: 4345; 150-day MA: 4454; 200-day MA: 4453
DJIA 50-day MA: 33,559; 100-day MA: 34,032; 150-day MA: 34,621; 200-day MA: 34,693
 
S&P 500 Index – Trender trading model and MACD for key time frames
MonthlyTrender and MACD are negative – a close above 5023.97 triggers a buy signal
WeeklyTrender and MACD are negative – a close above 4359.32 triggers a buy signal
Daily: Trender and MACD are positive – a close below 3958.26 triggers a sell signal
Hourly: Trender and MACD are negative – a close above 4156.90 riggers a buy signal
 
@RNCResearch: Is the president satisfied with the FDA’s response to this [baby formula] crisis?”  Jean-Pierre: “Yes, he’s satisfied.”  https://twitter.com/RNCResearch/status/1532101271817175040
 
@RNCResearch: Biden says it’s going to “take a couple more months” for the baby formula shortage to end. In mid-May, the Biden administration said shelves would be back to normal in “a few weeks.
https://twitter.com/RNCResearch/status/1532108380482977792
 
The MSM and Dems are highly concerned about the coming midterm elections.  Unexpected reports are citing Team Biden’s managerial malfeasance and ineptness.  These are probably Team Obama and Team Hillary leaks to the MSM. 
 
Despite almost 50 years in DC, Biden has almost no one from his past on his team.  This is the best proof that The Big Guy is being handled by leftists.  The second-best evidence is Biden’s lurch to the left.  For over 4 decades, Joe has boasted that he was a centrist and got along with Democrats and Republicans.  That Joe has gone hard to the left is unfathomable. 
 
The Big Guy’s voluntary or involuntary lurch to the left has placed Joe in an electoral box.  Joe’s leftist policies are driving his unpopularity.  However, if Joe moves toward the center, the dominate wing of the Democrat Party will desert Joe.  The Big Guy and his handlers have a Hobson’s Choice.
 
SEC leaders with nearly 50 years’ experience quit under Gary Gensler’s tenure
More than a dozen staff attorneys have also left the agency, internal SEC sources tell FOX Business
https://www.foxbusiness.com/politics/sec-leaders-50-years-experience-quit-gary-gensler
 
Hunter’s search history reveals his obsession with porn and sex fantasies including ’18yrs old,’ ‘lonely widow’ and ‘MILF crack cocaine porn,’ he uploaded his OWN amateur videos and texted Pornhub link to phone listed in his contacts as ‘Dad’ (Replace Hunter with DJT Jr., imagine MSM!)
https://www.dailymail.co.uk/news/article-10846603/Hunter-Bidens-search-history-reveals-obsession-porn.html
 
In a blatant attempt to deflect attention from new vile developments concerning her husband, the odious Nancy Pelosi flung venomous and absurd accusations at some SCOTUS justices.  Where are the MSM and Dems on her attack against the US Constitution and US democracy?
 
Nancy Pelosi accuses ‘extremist Republicans’ and the Supreme Court’s conservative majority of an all-out assault on the safety and well-being of the LGBTQ community – from targeting trans children in Texas to bullying LGBTQ students in Florida
    Pelosi also warned that the Supreme Court’s looming opinion – that could overturn the federal abortion protections granted by Roe v. Wade – directly threatens the right to same-sex marriage
https://www.dailymail.co.uk/news/article-10875341/Nancy-Pelosi-attacks-extremist-Republicans-assault-LGBTQ-community-Pride-Month-statement.html
 
Paul Pelosi killed older brother in car accident as teenager (If Pelosi were Republican, MSM…)
At 16-years-old, he was driving with his brother David, 19, in the passenger seat when he lost control of the vehicle and flipped it into an embankment. Mr. Pelosi survived, but David was killed.
https://thepostmillennial.com/revealed-paul-pelosi-killed-older-brother-in-car-accident-as-teenager
 
Napa Valley authorities will not release Big Paul’s mug shot or police body cam video.  Thus, the allegations that Paul Pelosi ‘big-timed’ the cops that arrested and charged him cannot be verified. 
 
Growing number of US bishops in support of barring Pelosi from receiving Communion
https://americanwirenews.com/growing-number-of-us-bishops-in-support-of-barring-pelosi-from-receiving-communion/
 
Uvalde community vents fury at police chief Pete Arredondo for refusing to cooperate with state probe into school massacre (MSM avoids noting Arredondo is a Dem) https://t.co/SL32fkJv4w
 
Majority of Americans (Almost 2-1) Believe Armed Educators Make Schools Safer
57.5% of respondents said that preventing properly trained teachers from carrying firearms in schools makes schools somewhat or much more dangerous. Just 30.8% said the opposite
https://www.dailywire.com/news/exclusive-majority-of-americans-believe-armed-educators-make-schools-safer
 
AP: Cyber agency: Voting software (the notorious Dominion) vulnerable in some states
Electronic voting machines from a leading vendor used in at least 16 states have software vulnerabilities that leave them susceptible to hacking Dominion defended the machines as “accurate and secure.”… Halderman said it’s an “unfortunate coincidence” that the first vulnerabilities in polling place equipment reported to CISA affect Dominion machines…
https://apnews.com/article/2022-midterm-elections-technology-georgia-election-2020-a746b253f3404dbf794349df498c9542
 
Stephen Richer—Maricopa Cnty Recorder (prsnl acct) @stephen_richer: For 2022 elections, Maricopa County will only have 1 outside drop box. It can be monitored live through the below website.  Voters can also drop off their ballots at any voting location or, of course, provided it’s timely, at any mail slot.
 
@JenAFifield: Maricopa County scales back ballot drop boxes for 2020. There were 15 drive-by drop boxes and 23 at city/town halls/libraries in Nov 2020. (Why if nothing wrong with them in 2020?)

Greg Hunter interviewing 

See you tomorrow

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  1. […] by Harvey Organ, Harvey Organ Blog: […]

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