JUNE 13//MASSIVE BLOODBATH IN ALL MARKETS TODAY: GOLD DOWN $41.55 TO $1830.30//SILVER DOWN 62 CENTS TO $21.30//PLATINUM DOWN ANOTHER $37.90//PALLADIUM DOWN $1713.00 TO $1978.45//COVID UPDATES: SHANGHAI RETURNS TO LOCKDOWNS//VACCINE INJURIES//VACCINE IMPACT//IVERMECTIN UPDATES//JAPANESE YEN CRASHES//UKRAINE VS RUSSIA UPDATES//DHL CEO WARNS THAT GLOBAL SUPPLY CHAINS WILL NOT RETURN TO NORMAL AT LEAST UNTIL 2023//INFLATION COMMENTARIES BOTH DOMESTIC AND FOREIGN//SWAMP STORIES FOR YOU TONIGHT//

JUNE 13 2022 · by harveyorgan · in Uncategorized · Leave a comment·Edit

harveyorgan · in Uncategorized · Leave a comment·Edit

GOLD;  $1830.30 DOWN $41.55 

SILVER: $21.30 DOWN $0.62

ACCESS MARKET: GOLD $1819.25

SILVER: $21.09

Bitcoin morning price:  $23,660 DOWN 5,317

Bitcoin: afternoon price: $23,276  DOWN 5701  

Platinum price: closing DOWN $37.90 to $939.95

Palladium price; closing DOWN $1713.00  at $1807.15

END

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 EXCHANGE: COMEX EXCHANGE:EXCHANGE: 

COMEX

no. of contracts issued by JPMorgan: 172/200

  EXCHANGE: COMEX

CONTRACT: JUNE 2022 COMEX 100 GOLD FUTURES
SETTLEMENT: 1,871.500000000 USD
INTENT DATE: 06/10/2022 DELIVERY DATE: 06/14/2022
FIRM ORG FIRM NAME ISSUED STOPPED


118 C MACQUARIE FUT 2
118 H MACQUARIE FUT 200
323 C HSBC 5
363 H WELLS FARGO SEC 3
407 C STRAITS FIN LLC 1
624 H BOFA SECURITIES 6
657 C MORGAN STANLEY 1
661 C JP MORGAN 172
700 C UBS 3
709 H BARCLAYS 1
732 C RBC CAP MARKETS 3
905 C ADM 3


TOTAL: 200 200
MONTH TO DATE: 22,053

_____________________________________________________________________________________ TOTAL: 200 200 MONTH TO DATE: 22,053  

NUMBER OF NOTICES FILED TODAY FOR  JUNE CONTRACT 200  NOTICE(S) FOR 20000 Oz//0.6220  TONNES)

total notices so far: 22,053 contracts for 2,205,300 oz (68.594 tonnes)

SILVER NOTICES: 

12 NOTICE(S) FILED 60,000   OZ/

total number of notices filed so far this month  1615 :  for 8,075,000  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 DOWN $41.55

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//

HUGE CHANGES IN GOLD INVENTORY AT THE GLD: A DEPOSIT OF 3.48 TONNES INTO THE GLD//

INVENTORY RESTS AT 1068.87 TONNES

Silver//SLV

WITH NO SILVER AROUND AND SILVER DOWN  62 CENTS

AT THE SLV// HUGE CHANGES IN SILVER INVENTORY AT THE SLV://NO CHANGES IN SILVER INVENTORY AT THE SLV//

INVESTORS ARE SWITCHING SLV TO SPROTT’S PSLV

CLOSING INVENTORY: 544.399 MILLION OZ

Let us have a look at the data for today

SILVER//OUTLINE


SILVER COMEX OI FELL BY A GIGANTIC SIZED  1699 CONTRACTS TO 150,044   AND FURTHER FROM  THE NEW RECORD OF 244,710, SET FEB 25/2020 AND  THE HUGE LOSS IN OI WAS ACCOMPLISHED DESPITE OUR GOOD $0.13 GAIN  IN SILVER PRICING AT THE COMEX ON FRIDAY.  OUR BANKERS WERE UNSUCCESSFUL IN KNOCKING THE PRICE OF SILVER DOWN (IT ROSE BY $0.13) BUT WERE UNSUCCESSFUL IN KNOCKING OFF ANY SILVER LONGS AS THEY REMAIN FIRM IN THEIR BELIEF OF A SILVER FAILURE AS EVEN THOUGH WE HAD A  STRONG LOSS OF 649 CONTRACTS ON OUR TWO EXCHANGES, ALL OF THAT LOSS WAS FROM SPECULATOR SHORTS COVERING.

WE  MUST HAVE HAD: 
I) HUGE SPECULATOR 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 13 CONTRACTS OR 65,000 OZ//NEW STANDING:  8,405,000 / //  V)    GIGANTIC SIZED COMEX OI LOSS/(SPECULATOR COVERING)

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


THE DIFFERENTIAL FROM PRELIMINARY OI TO FINAL OI SILVER TODAY: CONTRACTS  : -1

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 9 days, total 6812,  contracts:  34.060 million oz  OR 3.784 MILLION OZ PER DAY. (756 CONTRACTS PER DAY)

TOTAL EFP’S FOR THE MONTH SO FAR: 34.060 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: 34.060 MILLION OZ

RESULT: WE HAD A HUGE SIZED DECREASE IN COMEX OI SILVER COMEX CONTRACTS OF  1699 DESPITE OUR STRONG  $0.13 GAIN IN SILVER PRICING AT THE COMEX// FRIDAY.,.  THE CME NOTIFIED US THAT WE HAD A STRONG  SIZED EFP ISSUANCE  CONTRACTS: 1051 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 65,000 QUEUE JUMP //NEW STANDING: 8,405,000 OZ //  .. WE HAD A VERY STRONG SIZED LOSS OF 649 OI CONTRACTS ON THE TWO EXCHANGES FOR 3.240 MILLION  OZ WITH THE GAIN IN PRICE. 

 WE HAD 12  NOTICES FILED TODAY FOR  60,000 OZ

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

GOLD//OUTLINE

IN GOLD, THE COMEX OPEN INTEREST ROSE  BY A GIGANTIC 14,934 CONTRACTS  TO 509,575 AND CLOSER TO 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: -57 CONTRACTS.

THE BIS HAS ABANDONED THE GOLD COMEX TRADING!!!

.

THE  HUGE GAIN IN COMEX OI CAME WITH OUR RISE IN PRICE OF $21.40//COMEX GOLD TRADING/FRIDAY / WE MUST HAVE  HAD  SOME SPECULATOR SHORT COVERING ACCOMPANYING OUR STRONG 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  25,000 OZ QUEUE JUMP//NEW STANDING:  74.068 TONNES

YET ALL OF..THIS HAPPENED WITH OUR GAIN IN PRICE OF   $21.40 WITH RESPECT TO THURSDAY’S TRADING

WE HAD A MAMMOTH SIZED GAIN OF 20,933  OI CONTRACTS 65.287 PAPER TONNES) ON OUR TWO EXCHANGES..

E.F.P. ISSUANCE

THE CME RELEASED THE DATA FOR EFP ISSUANCE AND IT TOTALED A STRONG SIZED  6056 CONTRACTS:

The NEW COMEX OI FOR THE GOLD COMPLEX RESTS AT 509,575

IN ESSENCE WE HAVE A MAMMOTH SIZED INCREASE IN TOTAL CONTRACTS ON THE TWO EXCHANGES OF 20,933, WITH 14,877 CONTRACTS INCREASED AT THE COMEX AND 6056 EFP OI CONTRACTS WHICH NAVIGATED OVER TO LONDON. THUS  TOTAL OI GAIN ON THE TWO EXCHANGES OF 20,990 CONTRACTS OR 65.287TONNES.

CALCULATIONS ON GAIN/LOSS ON OUR TWO EXCHANGES

WE HAD A STRONG SIZED ISSUANCE IN EXCHANGE FOR PHYSICALS (6056) ACCOMPANYING THE GIGANTIC SIZED LOSS IN COMEX OI (14,877,): TOTAL GAIN IN THE TWO EXCHANGES 20,933 CONTRACTS. WE NO DOUBT HAD 1) CONSIDERABLE SPECULATOR SHORT COVERING ,2.) STRONG INITIAL STANDING AT THE GOLD COMEX FOR JUNE. AT 69.26 TONNES FOLLOWED BY TODAY’S QUEUE  JUMP OF 25,000 OZ//NEW STANDING: 74.068 TONNES /  3) ZERO LONG LIQUIDATION//CONSIDERABLE SPECULATOR SHORT COVERING //.,4) STRONG SIZED COMEX  OI. LOSS 5) STRONG 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 :

36,049 CONTRACTS OR 3,604,900 OZ OR 112.13  TONNES 9 TRADING DAY(S) AND THUS AVERAGING: 4005 EFP CONTRACTS PER TRADING DAY

TO GIVE YOU AN IDEA AS TO THE  SIZE OF THESE EFP TRANSFERS :  THIS MONTH IN 9 TRADING DAY(S) IN  TONNES: 112.13 TONNES

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

THUS EFP TRANSFERS REPRESENTS  112.13/3550 x 100% TONNES  3.15% 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: 112.13 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 GIGANTIC SIZED 1699 CONTRACT OI TO 150,043 AND FURTHER FROM  OUR COMEX RECORD //244,710(SET FEB 25/2020).  THE LAST RECORDS WERE SET  IN AUG.2018 AT 244,196 WITH A SILVER PRICE OF $14.78/(AUGUST 22/2018)..THE PREVIOUS RECORD TO THAT WAS SET ON APRIL 9/2018 AT 243,411 OPEN INTEREST CONTRACTS WITH THE SILVER PRICE AT THAT DAY: $16.53). AND PREVIOUS TO THAT, THE RECORD  WAS ESTABLISHED AT: 234,787 CONTRACTS, SET ON APRIL 21.2017 OVER  5 YEARS AGO.  

EFP ISSUANCE 1051 CONTRACTS

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

JULY 1051  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 1700 CONTRACTS AND ADD TO THE 1051 OI TRANSFERRED TO LONDON THROUGH EFP’S,

WE OBTAIN A STRONG SIZED LOSS OF 648   OPEN INTEREST CONTRACTS FROM OUR TWO EXCHANGES. 

THUS IN OUNCES, THE LOSS  ON THE TWO EXCHANGES 3.240 MILLION OZ

OCCURRED DESPITE OUR GAIN IN PRICE OF  $0.13 .

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)MONDAY MORNING// SUNDAY  NIGHT

SHANGHAI CLOSED DOWN 29.28PTS OR 1.42%   //Hang Sang CLOSED DOWN 738.60 PTS OR 3.39%    /The Nikkei closed DOWN 836.35 OR 3.01%          //Australia’s all ordinaires CLOSED DOWN 1.32%   /Chinese yuan (ONSHORE) closed DOWN 6.7361    /Oil DOWN TO  118.73dollars per barrel for WTI and UP TO 120.18 for Brent. Stocks in Europe OPENED  ALL RED       //  ONSHORE YUAN CLOSED DOWN AGAINST THE DOLLAR AT 6.7371 OFFSHORE YUAN CLOSED DOWN ON THE DOLLAR AT 6.7584: /ONSHORE YUAN TRADING ABOVE LEVEL OF OFFSHORE YUAN/ONSHORE YUAN  TRADING WEAKER AGAINST US DOLLAR/OFFSHORE WEAKER/

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 ROSE BY A GIGANTIC SIZED 14,877 CONTRACTS TO 509,575 AND CLOSER TO 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  COMEX INCREASE OCCURRED WITH OUR STRONG GAIN OF $21.40 IN GOLD PRICING FRIDAY’S COMEX TRADING. WE ALSO HAD A STRONG SIZED EFP (6056 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 GOOD SIZED TRANSFER THROUGH THE EFP ROUTE AS THESE LONGS RECEIVED A DELIVERABLE LONDON FORWARD TOGETHER WITH A FIAT BONUS.,

THAT IS 6056 EFP CONTRACTS WERE ISSUED:  ;: ,  . 0 AUG :6056 & ZERO FOR ALL OTHER MONTHS:

TOTAL EFP ISSUANCE:  6056 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 GAINED THE FOLLOWING TODAY ON OUR TWO EXCHANGES: A MAMMOTH SIZED  TOTAL OF 20,933  CONTRACTS IN THAT 6056 LONGS WERE TRANSFERRED AS FORWARDS TO LONDON AND WE HAD A GIGANTIC SIZED  COMEX OI GAIN OF 14,877  CONTRACTS..AND  THIS  GAIN ON OUR TWO EXCHANGES HAPPENED DESPITE  OUR GAIN IN PRICE OF GOLD $21.40.   

// WE HAVE A STRONG AMOUNT OF GOLD TONNAGE STANDING FOR MAY   (74.086),

 HERE ARE THE AMOUNTS THAT STOOD FOR DELIVERY IN THE PRECEDING 12 MONTHS OF 2021-2022:

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: 74.086 TONNES

THE BANKERS WERE UNSUCCESSFUL IN LOWERING GOLD’S PRICE  //// (IT ROSE $21.40) AND WERE UNSUCCESSFUL IN KNOCKING OFF ANY SPECULATOR LONGS/COMMERCIAL LONGS// SPECULATOR SHORTS ANNIHILATED////  WE HAVE  REGISTERED A MAMMOTH SIZED GAIN  OF 65.111 TONNES ON TOTAL OI FROM OUR TWO EXCHANGES, ACCOMPANYING OUR HUGE GOLD TONNAGE STANDING FOR JUNE (74.068 TONNES)

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

NET GAIN ON THE TWO EXCHANGES 20,932 CONTRACTS OR 2,093,200  OZ OR 65.11 TONNES

Estimated gold volume 229,948/// good/raid

final gold volumes/yesterday  287,429  /good/cpi

INITIAL STANDINGS FOR JUNE ’22 COMEX GOLD //JUNE 13

GoldOunces
Withdrawals from Dealers Inventory in oznil oz
Withdrawals from Customer Inventory in oz163,095.984 oz
Brinks
JPMorgan
Loomis
5000 kilobars
4 kilobars
Deposit to the Dealer Inventory in oznilOZ 
Deposits to the Customer Inventory, in oznil
No of oz served (contracts) today200  notice(s)
20000 OZ
0.6229 TONNES
No of oz to be served (notices)1760 contracts 17,600 oz
5.474 TONNES
Total monthly oz gold served (contracts) so far this month22053 notices
2205300 OZ
68.594 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

total dealer deposit  0

No dealer withdrawals

0 customer deposits

total deposits: nil oz

3 customer withdrawals:

i) Out of Brinks: 2212.380 oz   

ii) Out of JPMorgan:  160,755.000 oz  5,000 kilobars)

iii) Out of LOOMIS:  128.604    oz  (4 kilobars)

total withdrawal: 163,095.984  oz

ADJUSTMENTS: 2 dealer to customer

Malca  110,920,950 oz

Manfra:  55,367.987 oz

CALCULATIONS FOR THE AMOUNT OF GOLD STANDING FOR JUNE.

For the front month of JUNE we have an  oi of 1960 contracts having GAINED 222 contracts

We had 28 notices filed on FRIDAY so we GAINED  250  contracts or an additional 25,000 oz will stand for gold in this very active month of June

July has a LOSS OF 84 OI to stand at 2056

August has a GAIN of 12,995 contracts DOWN to 429,489 contracts

We had 200 notice(s) filed today for  20,000 oz FOR THE JUNE 2022 CONTRACT MONTH. 


Today, 0 notice(s) were issued from J.P.Morgan dealer account and  0 notices were issued from their client or customer account. The total of all issuance by all participants equate to 200 contract(s) of which 0  notices were stopped (received) by j.P. Morgan dealer and  172 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 (22,053) x 100 oz , to which we add the difference between the open interest for the front month of  (JUNE 1960  CONTRACTS ) minus the number of notices served upon today 200 x 100 oz per contract equals 2,381,300 OZ  OR 74.068 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 (22,053) x 100 oz+   (1960)  OI for the front month minus the number of notices served upon today (200} x 100 oz} which equals 2,381,300 oz standing OR 74.068 TONNES in this   active delivery month of JUNE.

TOTAL COMEX GOLD STANDING:  74,086 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:  2,331,163.529 oz   72.5 tonnes 

TOTAL OF ALL GOLD ELIGIBLE AND REGISTERED:  34,389,710.781 OZ 

TOTAL ELIGIBLE GOLD: 16,611,948.775  OZ

TOTAL OF ALL REGISTERED GOLD: 17,777,761.606 OZ  

REGISTERED GOLD THAT CAN BE SERVED UPON: 15,466,598.0 OZ (REG GOLD- PLEDGED GOLD)  

END

JUNE 2022 CONTRACT MONTH//SILVER//JUNE 13

SilverOunces
Withdrawals from Dealers InventoryNIL oz
Withdrawals from Customer Inventory699,519.170  oz 
Delaware
CNT
JPM
Deposits to the Dealer InventorynilOZ
Deposits to the Customer Inventory1,185,661.200  oz
CNT
Delaware
JPMorgan
No of oz served today (contracts)12CONTRACT(S)60,000  OZ)
No of oz to be served (notices)66 contracts (330,000 oz)
Total monthly oz silver served (contracts)1615 contracts 8,075,000 oz)
Total accumulative withdrawal of silver from the Dealers inventory this monthNIL oz
Total accumulative withdrawal of silver from the Customer inventory this month

And now for the wild silver comex results


i) zero dealer deposits  

total dealer deposits:  0     oz

i) We had 0 dealer withdrawal

total dealer withdrawals: nil oz

We have 3 deposits into the customer account

i) Into JPMorgan: 587,266.200 oz

ii) Into Delaware: 998.200

iii) Into CNT 587,266.2000 oz

total deposit:  1,185,661.200    oz

JPMorgan has a total silver weight: 171.465 million oz/338.6087 million =50.71% of comex 

 Comex withdrawals: 3

i) Out of CNT  71,468.710 oz

ii) Out of Delaware 989.480 oz
iii) Out of JPMorgan: 627,061.020 oz

total withdrawal  699,519.170        oz

0 adjustments: 

the silver comex is in stress!

TOTAL REGISTERED SILVER: 71.984 MILLION OZ

TOTAL REG + ELIG. 338,087 MILLION OZ

CALCULATION OF SILVER OZ STANDING FOR JUNE

silver open interest data:

FRONT MONTH OF JUNE OI: 78 HAVING LOST 2 CONTRACTS. 

WE HAD 15 NOTICES FILED ON FRIDAY SO WE GAINED 13 CONTRACTS OR AN ADDITIONAL 65,000 OZ WILL  STAND IN THIS NON ACTIVE

DELIVERY MONTH OF JUNE

JULY HAD A LOSS OF 8856 CONTRACTS DOWN TO 72,721 CONTRACTS.

AUGUST GAINED 11 CONTRACTS TO STAND AT 983

SEPTEMBER HAD A GAIN OF 6010 CONTRACTS UP TO 53,510 CONTRACTS.

 .

TOTAL NUMBER OF NOTICES FILED FOR TODAY: 12 for  60,000 oz

Comex volumes:103,708// est. volume today//   strong//raid

Comex volume: confirmed yesterday: 99,047 contracts ( strong/CPI report )

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 1615 x 5,000 oz = 8,075,000 oz 

to which we add the difference between the open interest for the front month of JUNE(78) and the number of notices served upon today 12  x (5000 oz) equals the number of ounces standing.

Thus the  standings for silver for the JUNE./2022 contract month: 1615 (notices served so far) x 5000 oz + OI for front month of JUNE (78)  – number of notices served upon today (12) x 5000 oz of silver standing for the JUNE contract month equates 8,405,000 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 13/WITH GOLD DOWN $41.55: NO CHANGES IN GOLD INVENTORY AT THE GLD//INVENTORY RESTS AT 1065.39 TONNES

JUNE 10/WITH GOLD UP $21.40: NO CHANGES IN GOLD INVENTORY AT THE GLD//INVENTORY RESTS AT 1065.39 TONNES

JUNE 9/WITH GOLD DOWN $3.50: HUGE CHANGES IN GOLD INVENTORY AT THE GLD: A DEPOSIT OF 2.32 TONNES OF GOLD INTO THE GLD////INVENTORY RESTS AT 1065.39 TONNES

JUNE 8/WITH GOLD UP $4.75: NO CHANGES IN GOLD INVENTORY AT THE GLD//INVENTORY RESTS AT 1063.07 TONNES

JUNE 7/WITH GOLD UP $7.45: NO CHANGES IN GOLD INVENTORY AT THE GLD//INVENTORY RESTS AT 1063.07 TONNES

JUNE 6/WITH GOLD DOWN $5.85: NO CHANGES IN GOLD INVENTORY AT THE GLD//INVENTORY RESTS AT 1066.04 TONNES

JUNE 3/WITH GOLD DOWN $19.75//A BIG CHANGE IN GOLD INVENTORY AT THE GLD: A WITHDRAWAL OF 1.16 TONNES FROM THE GLD//INVENTORY RESTS AT 1066.04 TONNES

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

GLD INVENTORY: 1065.39 TONNES

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

JUNE 13/WITH SILVER DOWN 62 CENTS  TODAY: NO CHANGES IN SILVER INVENTORY AT THE SLV//INVENTORY RESTS AT 544.399 MILLION OZ//

JUNE 10.WITH SILVER UP 13 CENTS TODAY: HUGE CHANGES IN SILVER INVENTORY AT THE SLV: A WITHDRAWAL OF 830,000 Z FROM THE SLV//INVENTORY RESTS AT 544.399 MILLION OZ//

JUNE 9/WITH SILVER DOWN 27 CENTS TODAY:HUGE CHANGES IN SILVER INVENTORY AT THE SLV: A DEPOSIT OF 923,000 OZ INTO THE SLV////INVENTORY RESTS AT 545.229 MILLION OZ

JUNE 8/WITH SILVER DOWN 8 CENTS TODAY: NO CHANGES IN SILVER INVENTORY AT THE SLV/INVENTORY RESTS AT 544.306 MILLION OZ//

JUNE 7/WITH SILVER UP 6 CENTS TODAY: NO CHANGES IN SILVER INVENTORY AT THE SLV//INVENTORY RESTS AT 544.306 MILLION OZ/

JUNE 6/WITH SILVER UP 20 CENTS TODAY: A HUGE CHANGE IN SILVER INVENTORY AT THE SLV: A WITHDRAWAL OF 6.459 MILLION OZ FROM THE SLV///INVENTORY RESTS AT 547.167 MILLION OZ//

JUNE 3/WITH SILVER DOWN $.34: A SMALL CHANGES IN SILVER INVENTORY AT THE SLV: A WITTHDRAWAL OF 246,000 OZ FORM THE SLV//INVENTORY RESTS AT 553.626 MILLION OZ..

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//

INVENTORY TONIGHT RESTS AT 544.399 MILLION OZ/

PHYSICAL GOLD/SILVER STORIES

1.PETER SCHIFF

2. Lawrie Williams//Pam and Russ Martens/Jim Rickards/Mathew Piepenburg

Fatal Macro Warnings: We’re Gonna Need A Bigger Boat

SUNDAY, JUN 12, 2022 – 10:30 AM

Authored by Matthew Piepenburg via GoldSwitzerland.com,

As one who loves metaphor, I can’t help but notice the recent and varying range of metaphorical macro warnings.

JP Morgan’s Jamie Dimon, for example, is now predicting a “market hurricane” ahead, which Peter Schiff has recently upgraded to a “Category 5.”

Meanwhile, the always blunt Michael Burry has compared the trajectory of our market economy and macro warnings to “watching a plane crash.”

In short, the bull vs. bear debate is behind us; even the TBTF banks are now openly alarmed.

The Shark Fins Approach

In fact, current macro warnings are more suggestive of a market shark rather than bear, and borrowing a line from Speilberg’s Jaws, we are all “gonna need a bigger boat” as these dorsal-finned macro warnings begin circling in plain sight.

Specifically, we are seeing three separate macro warnings rising simultaneously, each of which are eerily familiar to the pre-2008 conditions which preceded the last global implosion.

In short: Cue the John Williams music.

Shark-Fin 1: Counterparty Risk

As we’ve argued ever since the September 2019 implosion of the reverse repo market, this was a very big deal.

Of course, the corporate media and politicized Fed tried to downplay the repo crisis as Powell was losing control of the rates markets and banks were losing trust for each other (and each other’s collateral.)

The financial “leadership” were hoping an intentionally confusing and complex reverse repo market would be too difficult for the average citizen-investor to grasp. Thus, the 2019 Fed nervously whistled past that ticking timebomb as it dumped trillions of mouse-click money into the repo morass.

But to make better sense of these repo markets, let’s keep things clean and simple.

The Repo Fins Explained

The reverse repo market is a place where loans keep markets and banks greased in short-term (typically over-night) liquidity, as liquidity (i.e., borrowed money) is the grease that makes our debt-soaked, over-levered and counter-party heavy markets go round.

Given this important “grease,” when the counterparties in the reverse repo markets lose trust in each other, the wheels of the markets start to squeak, shake, rattle and roll…off.

In September of 2019, TBTF Bank 1 essentially stopped trusting TBTF Bank 2’s balance sheet, and thus wouldn’t lend each other money at normal rates.

The distrusting banks chose instead to charge each other painful rates, skyrocketing from the sub 2% range to the 10% range in one trading day.

That’s a counter-party crisis colliding with a liquidity crisis. Or, more simply: A trust crisis.

Net result? The Fed’s money printers came in as a repo lender of last resort, tossing trillions of “loaned” grease into this otherwise dysfunctional repo marriage among the big banks.

Counterparty Dysfunction Explained

Once again, and unbeknownst to just about everybody, those days of dysfunctional liquidity marriages (i.e., distrust) have returned.

As of April 2021, the Fed has been making daily loans into the reverse repo market to the skyrocketing tune of $2T a day.

Please re-read that last line.

The eye-opening chart below looks a lot like a shark fin…

What ghastly data like the above chart boils down to is the Fed is providing the Money Market with mind-numbingly massive doses of daily liquidity to keep it alive. They do this by swapping out Treasuries for Money Market funds in what is the churning equivalent to treading water with fiat dollars.

Some experts claim that this insane level of Fed “support” is due to the TBTF banks off-loading deposits from their balance sheets onto the Fed’s balance sheet in order to meet the Basel 3 requirements.

A more likely scenario, however, boils down to counter-party distrust and hence counter-party risk among Wall Street’s broken moving parts.

That is, fund managers who run Money Market accounts no longer want to park their money with the TBTF banks for the simple reason that they see trouble ahead and frankly don’t trust them.

No wonder Jamie Dimon is so scared of hurricanes…

Stated otherwise: Distrust in the system is rising like a shark fin and the money markets are now swimming toward a “bigger boat”—namely the Fed.

Such distrust among counterparties is a major macro warning. In fact, it was precisely this kind of counterparty distrust/risk (and bad collateral) which brought down Bear Sterns and Lehman in 08.

Just saying…

Shark Fin 2: The Shift from Hysteria to Fear

Markets, no matter how artificially stimulated or can-kicked, move in cycles which are driven by the availability (or unavailability) of liquidity.

When cash is cheap (i.e., when rates are low), markets hysterically rip; and when cash is expensive (i.e., when rates rise), markets fearfully tank.

Ever since November of 2021 when Powell “forward guided” a June 2022 “tightening” of liquidity, markets have been slowly (and fearfully) tanking, as “tightening” is just a fancy way of telegraphing a rate hike.

And as stated above, rate hikes matter…They turn hysteria into fear.

Between 2006 and 2008, for example, we saw a crappy-credit housing market climb in euphoria and then tank in fear.

Today, as rates slowly rise into a Powel 2022 “taper,” today’s too-much-credit housing market will make a similar slow (and then rapid) shift from euphoria to “uh-oh.”

Equally (and eerily) reminiscent of the pre-2008 pivot from euphoria to fear is the teetering “tech will save you” meme, which like Cathie Wood’s ARKK fund, is tanking in real-time despite her rising spin-talk on primetime.

In short, we are seeing signs all over the hype-driven NASDAQ and S&P of a classic bear-trap, of which BTC was just one among many.

What’s far scarier today, however, is that the 2008 crisis (bubble) was limited to real estate; today, we are in an everything bubble, from meme stocks, inflated bonds and over-priced housing to bloated art, over-paid celebrity chefs and pricy used cars.

And remember: ALL bubbles pop, despite what your broker, central banker or 20-something financial journalist might tell you.

Shark Fin 3: MBS Toxic Waste

For those who remember 2008, then you also remember all those crappy mortgages packaged into Mortgage-Backed Securities (MBS) which Wall Street then syndicated to your broker like candy and which the rating agencies equated to magical beans.

You also know those MBS were toxic waste. And as Chernobyl reminds, toxic waste doesn’t just go away—it lingers and festers in deep, dark pits.

Sadly, the MBS waste of the 2008 era is still lingering and festering in the deep and dark pits of the Fed’s toxic and bloated balance sheet.

But now Powell wants to unload that MBS waste.

Great idea, but who wants to buy toxic waste?

How a Real Estate Bubble Dies

If, Powell sticks to his June unloading of unwanted MBS, this will add more supply of an asset class for which there is no demand.

And as high school economics reminds, such a over-supply & drying dynamic means tanking prices for those MBS radiation assets.

But again, who will buy radiation assets?

Sadly, the big banks will, which means they’ll now have more older and crappier MBS added to their balance sheets of the newer, less crappy loans, which they float through Freddie and Fannie to turn into more MBS.

But given the increasing supply and tanking demand for these MBS, their prices will go nowhere but south, which means their yields and hence interest rates (i.e., tomorrow’s mortgages) will have nowhere to go but north.

After all, banks survive by lending at a risk premium. As the Fed slowly takes the Fed Funds Rate from zero to 75 bps or more, the mortgage rates must rise at a much greater pace and slope, already climbing from 3% to 5% to date.

And that, folks, is how a housing bubble ends.

Where to Hide?

Investors facing these macro warnings and shark fins need a bigger boat.

Needless to say, our view lies partially in gold, which detractors will attribute to sell-side bias rather than informed conviction, private common sense, or a basic understanding of math or history.

As we’ve warned for years, all fraudulent bankingcurrency and market systems eventually collapse under their own weight.

This slow collapse is already in play, as the NASDAQ, S&P, TLT and even Muni bonds have all seen near 20% losses thus far into 2022.

Meanwhile, us boring gold investors are having to defend the only primary asset category that has kept its nose above the water level this year; we are constantly asked why gold is not ripping when in fact it has already done a noble job of not tanking.

Gold’s Bull Cycle Is Just Beginning

From its 2009 low to its high late last year, the Fed-created U.S. stock market became the biggest bubble in modern history.

But we believe the gold market’s rise has not even begun. In 1980, when gold topped an 8X move in just 3 years, stocks were flat. If anything, the only “bubble” then was gold itself.

But until recently, the only bubbles in sight were risk assets (from junk bonds to junk tech), which means gold’s time to shine is ahead of us, not behind us.

When considered in the larger backdrop of a commodities cycle, such confidence is an evolution rather than bias.

The recent uptrend in the Bloomberg Commodities Index, for example, is admirable, but does not even compare to the highs it reached in 2011 and prior.

In short, commodities in general, and precious metals in particular, are at the beginning of a bull cycle, whereas over-valued risk assets are approaching the traumatic end of theirs.

As for interim price action in gold, we are not promising a straight line. When risk asset markets tank, gold can temporarily follow, as seen in October of 2008 or March of 2020.

But just after joining those tanking markets, gold then divorced the tantrum trend and skyrocketed north. We see an inevitable gold surge in the tumultuous years ahead, and as investors rather than speculators, time is clearly on our side.

Still Trust the Fed?

Of course, there are still those who will trust the Fed and the magical money theories” (MMT) of the so-called experts.

As the great Janet Yellen sits down with Powell and Biden this week, I wonder if anyone in that Oval Office will remind Yellen that she had described inflation as “transitory” throughout 2021, though now it has reached 40-year highs?

I wonder if anyone will remind her that for the entire first half of her term as Fed Cahir, she kept rates stapled to zero, and then took 2 more years just to reach 1.15%, thereby adding low-rate fuel to the current inflationary fire that always follows cheap debt paid for with mouse-klick money?

And I wonder if anyone will remind her that when she sat as President of the San Francisco Fed, her low-rate policies lead directly to the greatest housing bubble (I was there) in that state’s (and our nation’s) history, despite her continued promises that there was no risk of a housing bubble nor any damage to the broader economy?

Has Janet forgotten 2008?

Trust Hard Facts

But if the politico’s wish to pretend and shirk, we at least can be blunt and direct.

In the last 200+ years, 98% of all countries with a debt to GDP ratio of > 130% have defaulted via inflation, currency devaluation, restructuring or pure default. (Reinhart & Rogoff)

Sadly, the problem for the U.S., based on the global centric nature of USD structures, means the entire world has a sovereign debt problem.

As I have written and spoken many times, it’s my belief that debt-soaked sovereigns will publicly decry inflation while privately seeking more of it as a Main-Street-crushing “strategy” to inflate away their sovereign debt.

Big brother crushing Main Street? No shocker there…

Such “constructive” default via crippling inflation is a way of defaulting without having to publicly (i.e., politically) confess default, and God knows politicians like Yellen et al never admit to any faults.

Follow the Fed

Furthermore, given that natural supply and demand-driven price discovery (along with basic capitalism) died years ago in what is now a central-bank driven market, the only signal (headwind or tailwind) left for tracking future market direction is based upon central bank policy in general and Powell’s Fed in particular.

I mean let’s be honest: It’s a rigged Fed market, not a stock market.

So, what will Powell do? Will he 1) tighten QE into a topping market (and thus create an historical market blow-off and global meltdown) or 2) pivot, reverse course and start creating more fiat money faster than a bat out of Hell?

No one, of course, can know for certain.

Volatility Ahead

The Fed is in such a ridiculous corner that neither option is a sane option, and thus the base-case is to expect more market volatility ahead as investors stand on the razor’s edge of either a tanking market or a dying (inflated, devalued and debased) currency.

Meanwhile, Powell, Biden and Yellen can meet to “plan a strategy,” which in my mind is akin to Mickey Mouse sitting down with Tweedle-Dee and Tweedle-Dumb to diffuse a timebomb.

All three know that the economic data ahead is getting worse not better (all blamed conveniently on Putin and COVID, rather than the cancerous debt that pre-existed both crises and the insanely toxic policy reactions which they pursued).

Given political preferences for re-election self-interest over the public good or personal accountability, it’s hard to imagine any of these political parties actually confessing a recession with a mid-term election on the horizon.

The U.S. administration is already pre-telegraphing weaker economic data for the coming months, preparing the masses for more pain while pointing fingers at Putin or bat-made (man-made?) virus rather than assuming one iota of personal accountability.

In this backdrop, it is possible that the three stooges above may allow markets to tank by sticking to Powell’s QT schedule and hence “fight” money-supply-driven inflation with a tanking market-price-driven “deflation.”

Even if this desperate option is taken, my guess, and it’s only a guess based on human (political) nature and centuries of historical patterns, is that the Fed will then pivot and crank out the money printing once markets spiral into QT.

In short, I see lots of inflationary, deflationary and then again inflationary forces ahead—all screaming volatility ahead.

In short, amidst these clear macro warnings, I think we’re all gonna need a bigger boat—and mine will have a golden rudder.

END

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

Daniela Cambone having left Kitco for Stansberry can no mention gold market rigging

(Chris Powell/GATA)

Having left Kitco for Stansberry, Cambone can abide mention of gold market rigging

Submitted by admin on Sat, 2022-06-11 08:46Section: Daily Dispatches

8:56a ET Saturday, June 11, 2022

Dear Friend of GATA and Gold:

Daniela Cambone couldn’t address gold market manipulation when she was doing interviews for Kitco News, and her successors there still can’t, but this week, now that she is at Stansberry Research, she got around to it during an interview in Zurich with Commodity Discovery Fund manager and financial author Willem Middlekoop.

Cambone invited Middlekoop to explain why gold hasn’t exploded with inflation along with other commodities, to which Middlekoop replied: “We know the gold price is managed by selling all these futures, all this paper gold, this silver, through the Comex” — the New York Commodity Exchange. But, Middlekoop noted by way of a graph, the Comex lately has become much more of a physical market with a lot of metal being taken out of it.

Then Middlekoop elaborated a bit uncomforably for Cambone.

“You’ve been in this industry for a long time,” Middlekoop said. “In your previous job maybe you weren’t allowed to discuss this. But there’s a lot of paper out there and many of those ounces have been sold several times.”

Cambone didn’t dispute him.

Middlekoop, one of whose books is “The Big Reset — The War on Gold and the Financial Endgame,” also said he thinks an international financial reset involving gold is already under way, as indicated by renewed central bank purchases of the monetary metal and the steady increase of the gold price in many currencies besides the dollar. The dollar, he said, will be the last currency to yield to gold.

Cambone’s interview with Middlekoop is 24 minutes long and can be viewed at YouTube here:

https://www.youtube.com/watch?v=Qr3Dpw9CsW0

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

END

A good interview of Grandich by Maguire

(GATA/Kinesis)

Grandich, Maguire salute GATA, see gold displacing dollar

Submitted by admin on Fri, 2022-06-10 21:48Section: Daily Dispatches

9:49p ET Friday, June 10, 2022

Dear Friend of GATA and Gold:

Financial analyst Peter Grandich is the guest of London metals trader Andrew Maguire on this week’s “Live from the Vault” program from Kinesis Money, and they salute GATA’s work exposing gold market manipulation. 

Grandich believes that the U.S. government’s weaponization of the dollar against Russia and other adversaries marks the beginning of the end of the dollar as the world reserve currency, leading to gold’s ascent. Maguire envisions Russia and China increasingly monetizing gold.

The discussion is 47 minutes long and can be viewed at YouTube here:

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

4.OTHER GOLD/SILVER COMMENTARIES

end

5.OTHER COMMODITIES //LITHIUM

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 MONDAY morning 7:30 AM

ONSHORE YUAN: CLOSED DOWN 6.7361

OFFSHORE YUAN: 6.7584

HANG SANG CLOSED  DOWN 728.60 PTS OR 3.39% 

2. Nikkei closed DOWN 836.35% OR 3.01%

3. Europe stocks  ALL CLOSED  ALL RED

USA dollar INDEX  UP TO  104.75/Euro FALLS TO 1.0451

3b Japan 10 YR bond yield: RISES TO. +.253/ !!!!(Japan buying 100% of bond issuance)/Japanese yen vs usa cross now at 134.54/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 DOWN /JAPANESE Yen DOWN CHINESE YUAN:   DOWN -SHORE CLOSED  DOWN//  OFF- SHORE DOWN

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 UP for WTI and UP FOR Brent this morning

3h European bond buying continues to push yields lower on all fronts in the EMU. German 10yr bund DOWN TO +1.395%/Italian 10 Yr bond yield RISES to 3.71% /SPAIN 10 YR BOND YIELD RISES TO 2.64%…ALL BLOWING UP!!

3i Greek 10 year bond yield RISES TO 4.404//BLOWING UP

3j Gold at $1854.20 silver at: 21.58  7 am est) SILVER NEXT RESISTANCE LEVEL AT $30.00

3k USA vs Russian rouble;// Russian rouble UP  0      roubles/dollar; ROUBLE AT 58.80

3m oil into the 118 dollar handle for WTI and  120 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 134.54DESTROYING 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 0.9930– as the Swiss Franc is still rising against most currencies. Euro vs SF 1.0388well 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: 3.280 UP 12  BASIS PTS

USA 30 YR BOND YIELD: 3.280 UP 8 BASIS PTS

USA DOLLAR VS TURKISH LIRA: 17.27

Black Monday: All Hell Breaks Loose As Stocks Plunge Into Bear Market, Curve Inverts, Cryptos Crater

MONDAY, JUN 13, 2022 – 07:57 AM

For all those claiming that stocks had priced in 3 (or more) 50bps (or more) rate hikes, we have some bad news.

All hell is breaking loose on Monday, with futures tumbling (again) into bear market territory, sliding below the 20% technical cutoff from January’s all time high of 3,856 and tumbling as low as 3,798.25 – taking out the May 10 intraday low of 3,810 – before reversing some modest gains. S&P 500 futures sank 2.5% and Nasdaq 100 contracts slid 3.1%, in a session that has seen virtually everything crash. Dow futures were down 567 points at of 730am ET.

The global selloff – which has dragged Asian and European markets to multi-month lows and which was sparked by a hotter than expected US CPI print which heaped pressure on the Federal Reserve to step up monetary tightening – accelerated on Monday as panicking traders now bet the Fed will raise rates by 175 bps by its September decision, implying two 50-bp moves and one hike of 75 bps, with Barclays and now Jefferies predicting such a move may even come this week. If that comes to pass it would be the first time since 1994 the Fed resorted to such a draconian measure.

The selling in stocks was matched only by the puke in Treasuries, as yields on 10-year US Treasuries reached 3.24%, the highest since October 2018, yet where 2Y yields sold off more, sending the 2s10s curve to invert again…

… for the second time ahead of the coming recession, an unprecedented event.

Meanwhile, the selloff in European government bonds also gathered pace, with the yield on German’s two-year government debt rising above 1% for the first time in more than a decade and Italian yields exploding and nearing 4%, ensuring that another European sovereign debt crisis is just a matter of time (recall that all Italian net bond issuance in the past decade has been monetized by the ECB… well that is ending as the ECB pivots away from QE and NIRP).

The exodus from stocks and bonds is gaining momentum on fears that central banks’ battle against inflation will end up killing economic growth. Inversions along the Treasury yield curve point to fears that the Fed won’t be able to stave off a hard landing.

“The Fed will not be able to pause tightening let alone start easing,” said James Athey, investment director at abrdn. “If all global central banks deliver what’s priced there are going to be some significant negative shocks to economies.”

Going back to the US market, big tech stocks slumped in US premarket trading as bets that the Federal Reserve hikes rates more aggressively sent bond yields higher, and Nasdaq futures dropped. Cryptocurrency-exposed stocks cratered as Bitcoin continued its recent decline to hit an 18- month low, precipitated by news that crypto lender Celsius had halted withdrawals…

… which sent Ethereum to the most oversold level in 4 years.

Here are some of the biggest U.S. movers today:

  • Apple shares (AAPL US) -3.1%, Amazon (AMZN US) -3.4%, Microsoft (MSFT US) -2.8%, Alphabet (GOOGL US) -3.7%, Netflix -3.8% (NFLX US), Nvidia (NVDA US) -4.5%
  • Tesla (TSLA US) shares dropped as much as 3.1% in US premarket trading amid losses across big tech stocks, while the electric-vehicle maker also filed to split shares 3-for-1 late Friday.
  • MicroStrategy (MSTR US) -18.4%, Riot Blockchain (RIOT US) -15%, Marathon Digital (MARA US) -14%, Coinbase (COIN US) -12.5%, Bit Digital (BTBT US) -10%, Silvergate Capital (SI US) -11%, Ebang (EBON US) -4%
  • Bluebird Bio (BLUE US) shares surge as much as 86% in US premarket trading and are set to trim year-to- date losses after the biotech firm’s two gene therapies won backing from an FDA advisory panel.
  • Chinese education stocks New Oriental Education (EDU US) and Gaotu Techedu (GOTU US) jump 8.3% and 3.4% respectively in US premarket trading after peer Koolearn’s endeavors into livestreaming e-commerce went viral and sent its shares up 95% in two sessions.
  • Astra Space (ASTR US) shares slump as much as 25% in US premarket trading, after the spacetech firm’s TROPICS-1 mission saw a disappointing launch at the weekend.
  • Invesco (IVZ US) and T. Rowe (TROW US) shares may be in focus today as BMO downgrades its rating on the two companies in a note saying it favors alternative asset managers over traditional players as a way to hedge beta risk against the current macro backdrop.

In Europe, the Stoxx 600 also extended declines to a three-month low, plunging mover than 2%, with over 90% of members declining, as meeting-dated OIS rates price in 125bps of tightening, one 25bps move and two 50bps hikes by October.  Tech leads the declines as bond yields rise, with cyclical sectors such as autos and consumer products also lagging as recession risks rise.  The Stoxx 600 Tech Index falls as much as 4.3% to its lowest since November 2020. Chip stocks bear the brunt of the selloff: ASML -3%, Infineon -4.2%, STMicro -3.6%, ASM International -2.9%, BE Semi -2.8%, AMS -5.3% as of 9:36am CET. As if inflation fears weren’t enough, French banks tumbled after a first round of legislative elections showed that President Emmanuel Macron could lose his outright majority in parliament. Here is a look at the biggest movers:

  • Atos shares decline as much as 12%; Oddo says the company’s reported decision to retain and restructure its legacy IT services business in a separate legal entity is bad news for the company.
  • Getinge falls as much as 7.6% after Kepler Cheuvreux cut its recommendation to hold from buy, cautioning that headwinds and supply chain challenges may intensify as Covid-related tailwinds abate.
  • Elior plunges as much as 15% amid renewed worries over inflation and rising interest rates impacting a caterer that’s still looking for a new CEO following the unexpected departure of the previous one.
  • Valneva falls as much as 27% in Paris after saying its effort to salvage an agreement to sell Covid-19 shots to the European Union looks likely to fail.
  • Subsea 7 drops as much as 13% after the offshore technology company lowered its 2022 guidance, with analysts noting execution challenges on some of its offshore wind projects.
  • French banks decline after a first round of legislative elections showed that President Emmanuel Macron could lose his outright majority in parliament.
  • Societe Generale shares fall as much as 4.5%, BNP Paribas -4.2%
  • Euromoney rises as much as 4.4% after UBS raises the stock to buy from neutral, saying the financial publishing and events firm’s “ambitious” growth targets for 2025 are broadly achievable.

Earlier in the session, Asian stocks also declined across the board following the hot US CPI data and amid fresh COVID concerns in China. Nikkei 225 fell below the 27k level with sentiment not helped by a deterioration in BSI All Industry data. Hang Seng and Shanghai Comp. conformed to the downbeat mood with heavy losses among tech stocks owing to the higher yield environment and with mainland bourses constrained after the latest COVID outbreak and containment measures.

The Emerging-market stocks index dropped about 3%, falling for a third day in the steepest intraday drop since March, as a fresh high in US inflation sparked concerns that the Fed may need to be more aggressive with rate hikes.

In FX, the Bloomberg dollar rose a fourth day as the dollar outperformed all its Group of 10 peers apart from the yen, which earlier weakened to a 24-year low with NOK and AUD the worst G-10 performers. In EMs, currencies were led lower by the South Korean won and the South African rand as the index fell for a fifth day, the longest streak since April.  The onshore yuan dropped to a two-week low as a jump in US inflation boosted the dollar and China moved to re-impose Covid restrictions in key cities. India’s rupee dropped to a new record low amid a selloff in equities spurred by continuous exodus of foreign investors. The euro fell for a third day, touching an almost one-month low of 1.0456. Sterling fell after weaker-than-expected UK GDP highlighted the risks to the economy, with a global risk-off mood adding pressure on the currency, UK GDP fell 0.3% from March. The yen erased earlier losses after earlier falling to a 24-year low while Japanese bonds tumbled, prompting a warning from the Bank of Japan as its easy monetary policy increasingly feels the strain of rising interest rates globally. Bank of Japan Governor Haruhiko Kuroda said a recent abrupt weakening of the yen is bad for the economy and pledged to closely work with the government hours after the yen hit the lowest level since 1998.

Bitcoin is hampered amid broad-based losses in the crypto space with the likes of Celsius pausing withdrawals/transfers due to the “extreme market conditions”. Currently, Bitcoin is at the bottom-end of a USD 23.7-27.9 range for the session.

In rates, the US two-year yield exceeded the 10-year for the first time since early April, an unprecedented re-inversion. The 2-year Treasury yield touched the highest level since 2007 and the 10-year yield the highest since 2018.

Treasuries continued to sell off in Asia and early European sessions, leaving 2-year yields cheaper by 15bp on the day into the US day as investors continue to digest Friday’s inflation data. Into the weakness a flurry of block trades in futures added to soaring yields. Three-month dollar Libor jumps 8.4bps. US yields remain close to cheapest levels of the day into early US session, higher by 13bp to 6bp across the curve: 2s10s, 5s30s spreads flatter by 5bp and 5.5bp on the day — 5s30s dropped as low as -16.6bp (flattest since 2000) while 2s10s bottomed at -2bp. US 10-year yields around 3.235%, remain cheaper by 8bp on the day and lagging bunds, gilts by 2.5bp and 5bp in the sector. Fed-dated OIS now pricing in one 75bp move over the next three policy meetings with 175bp combined hikes priced by September, while 55bp — or 20% chance of a 75bp move is priced into Wednesday’s meeting. A selloff of European government bonds gathered pace as traders priced in a more aggressive pace of tightening from the ECB, with traders now wagering on two half-point hikes by October.

The Bank of Japan announced it would conduct an additional bond-buying operation, offering to purchase 500b yen in 5- to 10-year government bonds Tuesday after 10-year yields rose above the upper limit of its policy band.

In commodities, oil and iron ore paced declines among growth-sensitive commodities; crude futures traded off worst levels. WTI remains ~1% lower near 119.30. Spot gold gives back half of Friday’s gains to trade near $1,855/oz. Base metals are in the red with LME tin lagging

While it’s a busy week ahead, with the FOMC meeting on deck where the Fed is set to hike 50bps, or maybe 75bps and even 100bps, there is nothing on Monday’s calendar. Fed Vice Chair Lael Brainard will discuss the Community Reinvestment Act in a pre-recorded video and an audience Q&A; she is not expected to discuss monetary policy given the FOMC blackout period.

Market Snapshot

  • S&P 500 futures down 2.4% to 3,803.50
  • STOXX Europe 600 down 2.0% to 414.12
  • MXAP down 2.7% to 161.61
  • MXAPJ down 2.8% to 534.45
  • Nikkei down 3.0% to 26,987.44
  • Topix down 2.2% to 1,901.06
  • Hang Seng Index down 3.4% to 21,067.58
  • Shanghai Composite down 0.9% to 3,255.55
  • Sensex down 3.2% to 52,585.17
  • Australia S&P/ASX 200 down 1.3% to 6,931.98
  • Kospi down 3.5% to 2,504.51
  • Brent Futures down 1.9% to $119.71/bbl
  • Gold spot down 0.8% to $1,857.56
  • U.S. Dollar Index up 0.39% to 104.55
  • German 10Y yield little changed at 1.54%
  • Euro down 0.3% to $1.0484
  • Brent Futures down 1.9% to $119.69/bbl

Top Overnight News

  • “Sell everything but the dollar” is resounding across trading desks as investors reprice the risk that the Federal Reserve hikes rates more aggressively than previously thought
  • Investors rushed to price in more aggressive Federal Reserve rate hikes Monday as the US inflation shock continued to reverberate, sending two-year Treasury yields to a 15-year high and strengthening the dollar
  • UK Prime Minister Boris Johnson risks reopening divisions that tore his Conservative Party apart in 2019, with his government set to propose a law that would let UK ministers override parts of the Brexit deal he signed with the European Union
  • Crypto lender Celsius Network Ltd. paused withdrawals, swaps and transfers on its platform, fueling a broad cryptocurrency selloff and prompting a competitor to announce a potential bid for its assets
  • French President Emmanuel Macron has a week to convince voters to give him an outright majority in parliament to ease the way for the controversial social and economic reforms he promised. Shares in France fell on the results

A more detailed look at global markets courtesy of Newsquawk

Asia-Pac stocks declined across the board following the hot US CPI data which rose to a 40-year high and amid fresh COVID concerns in China. Nikkei 225 fell below the 27k level with sentiment not helped by a deterioration in BSI All Industry data. Hang Seng and Shanghai Comp. conformed to the downbeat mood with heavy losses among tech stocks owing to the higher yield environment and with mainland bourses constrained after the latest COVID outbreak and containment measures.

Top Asian News

  • Beijing government said the scale of Beijing’s latest outbreak linked to bars is ferocious and explosive in nature after the city reported 166 cases in a bar cluster and with 6,158 people determined as close contacts linked to the bar cluster, while Beijing announced to halt offline sports events from today and the district of Chaoyang is to launch mass COVID testing on June 13th-15th, according to Reuters.
  • Shanghai re-imposed a ban on dine-in restaurant services in most districts and punished officials for a management lapse at a quarantine hotel, according to Business Times.
  • At least three Chinese cities of Beijing, Nanjing and Wuhan are trialling a shorter quarantine period of 7+7 days for international arrivals at entry points, according to Global Times.
  • Beijing government spokesperson says that the Beijing COVID-19 bar outbreak still presents risks to the community; Beijing City reports 45 new local cases of 3pm, according to a health official, via Reuters, adding that the COVID-19 bar outbreak is still developing and epidemic control is at a critical juncture.
  • Chinese Defence Minister Wei said China firmly rejects accusations and threats by the US against China, while he added the US Indo-Pacific strategy will create confrontation and that Taiwan is first and foremost China’s Taiwan. Wei also said those that pursue Taiwan’s independence will come to no good end and that China will fight to the end if anyone attempts to secede Taiwan from China, according to Reuters. Furthermore, Wei reiterated that Beijing views the annexation of Taiwan as a historic mission that must be achieved which its military would be willing to fight for but added that peaceful unification remained the biggest hope of the Chinese people and they are willing to make the biggest effort to achieve it, according to FT.
  • China urges local governments to raise revenue and sell assets to resolve debt risks, via Reuters. Urges local govt’s to lower the debt burden; adding, they will crackdown on illegal debt raising.
  • Japanese Defence Minister Kishi met with his Chinese counterpart in Singapore and said Japan and China agreed to promote defence dialogue and exchanges, while Japan warned China against attempting to alter the status quo in the South and East China sea, according to Reuters.
  • Australian and Chinese defence ministers met in Singapore on Sunday for the first time in three years at the sidelines of the Shangri-La Dialogue summit with the talks described as an important first step following a period of strained ties, according to AFP News Agency.

European bourses are hampered across the board, Euro Stoxx 50 -2.5%, in a continuation of the fallout from Friday’s US CPI and amid fresh COVID concerns in China. US futures are in-fitting with this price action, ES -2.4% (sub-3800 at worst), ahead of the FOMC where the likes of Barclays now look for a 75bp hike after the May inflation release. Sectors in Europe are all in the red and feature Travel & Leisure as the underperformer given further cancellations going into the summer period.

Top European News

  • UK Northern Ireland Secretary Lewis said the government will publish legislation on the Northern Ireland Protocol on Monday and that the bill will rectify the issues in the protocol, according to Reuters. Reports suggest that the new law could see European judges blocked from having the final say on Northern Ireland-related disputes, according to the Telegraph.
  • UK Tory MPs accused PM Johnson of ‘damaging the UK and everything the Conservatives stand for’ as he plans to release legislation on Monday to tear up the Northern Ireland protocol, according to FT.
  • UK government ministers are drawing up plans to cut the link between gas and electricity to help reduce household bills for millions of families, according to The Times.
  • UK Foreign Minister Truss says she has spoken to EU VP Sefcovic about the Nothern Ireland protocol and the preference is for a negotiated solution; adding, the EU needs to be willing to change the protocol.
  • French President Macron’s majority in parliament is at risk as an IFOP initial estimate showed that Macron’s centrist camp is seen qualified for winning 275-310 out of 577 seats after the first round of the French lower house elections, while the IPSOS initial estimate shows the centrist camp is qualified for winning 255-295 seats, according to Reuters. Note, 289 seats are required for a majority

FX

  • Greenback extends US inflation data gains as near term Fed hike expectations crank up; DXY hits 104.750 to eclipse May 16 high and expose 105.010 YTD peak.
  • Pound undermined by negative UK GDP and output prints plus NI protocol jitters, Cable perilously close to 1.2200 and EUR/GBP tops 0.8575.
  • Aussie hit by heightened Chinese Covid concerns and demand implication for commodities, Kiwi feeling contagion and Loonie lurching as oil prices retreat; AUD/USD sub-0.7000, NZD/USD near 0.6300 and USD/CAD just shy of 1.2850.
  • Euro and Franc make way for outperforming Buck, but Yen claws back losses on risk dynamics allied to technical retracement; EUR/USD under 1.0500, USD/CHF above 0.9900 and USD/JPY below 134.50 vs 135.20 apex overnight.
  • Yuan falls as Beijing suffers ferocious and explosive virus outbreak and Shanghai reimposes restrictions in most districts, USD/CNH pivots 6.7500 and USD/CNY straddles 6.7350.

Commodities

  • WTI & Brent are hampered amid the broader market pressure; though, did experience a fleeting move off lows during a break in the newsflow.
  • Currently, the benchmarks are lower by circa. USD 2.00/bbl given Friday’s CPI, China COVID, geopolitics around US-China-Taiwan and Iran-IAEA developments (or lack of) following last week’s camera removal.
  • Iraq set July Basrah medium crude OSP to Asia at a premium of USD 3.30/bbl vs Oman/Dubai average and set OSP to Europe at a discount of USD 7.60/bbl vs dated Brent, while it set OSP to North and South America at a discount of USD 1.70/bbl vs ASCI, according to Reuters citing Iraq’s SOMO.
  • Libya’s Minister of Oil and Gas Aoun said Libya is currently losing more than 1.1mln bpd of oil production and that most oil fields are closed except for the Hamada field and the Mellitah complex, while the Al-Wafa field continues operations from time to time, according to The Libya Observer.
  • QatarEnegy signed an agreement with TotalEnergies (TTE FP) for the North Field East expansion project, while it will announce subsequent signings with partners in the gas field expansion in the near future and possibly at the end of next week, according to Reuters.
  • Norwegian Oil and Gas Association reached an agreement in principle with three unions of offshore workers to avert a strike although two of the unions will ask members before signing a deal, according to Reuters.
  • Spot gold is pressured by circa. USD 15/oz amid a stronger USD and pronounced yield action; however, the yellow metal is yet to drop below USD 1850/oz and the 10-, 21- & 200-DMAs at USD 1852, 1847 & 1842 respectively.

Fixed Income

  • Bond bears still in control and pushing futures down to fresh troughs, at 145.85 for Bunds, 112.33 for Gilts and 115-30+ for 10 year T-note.
  • Cash yields test or breach psychological levels, like 1.50%, 2.5% and 3.25%, while 2-10 year US spread inverts briefly on rising recession risk.
  • Monday agenda very light, but big week ahead including top tier data and multiple Central Bank policy meetings.

Central Banks

  • BoJ announces new offer for bond buying programme in which it is to purchase JPY 500bln in 5yr-10yr JGBs tomorrow and will increase amount of offers for its bond buying as needed.
  • BoJ fixed-rate bond purchases exceed JPY 1tln, at their highest since 2018, via Bloomberg; Further reported that the BoJ accepts JPY 1.5tln of bids for the daily offers to purchase 10yr bonds.
  • BoJ Governor Kuroda says they must support the economy with monetary easing to achieve higher wages; adding, the domestic economy is still in the midst of a COVID recovery. Increasing raw material costs are increasing downward pressure, recent sharp JPY dalls are undesirable. Additionally, Japan’s Finance Minister says a weak JPY has both merits and demerits.
  • BoJ buys JPY 70.1bln in ETF, according to a disclosure.

DB’s Jim Reid concludes the overnight wrap

This week is squarely and firmly all about the FOMC meeting on Wednesday. We go into it with the 2yr US note up +25bps on Friday and another c.+10bps this morning in Asia. The 2s10s curve has flattened around 20bps since Friday morning to c.2bps as we type. So some dramatic moves.

The problem as we enter the next couple of Fed and ECB meetings is that the central banks haven’t quite been able to let go of forward guidance and are a little trapped. To recap, forward guidance has prevented the Fed and the ECB from hiking as early as they needed to, largely because both saw the need to gradually wind down asset purchases over several months first as promised. However this hasn’t deterred them, and they have continued to try to flag their intentions to the market in advance with the Fed having previously all but signalled a 50bps this Wednesday, as well as in July, with the ECB now signalling 25bps in July and a strong possibility of 50bps in September.

Providing clarity is admirable but in the wake of another shocking US CPI print on Friday, should a 75bps hike not be a serious consideration? It seems strange that most think policy needs to be restrictive but that it’s going to take several meetings to get there from a still highly accommodative position. Without the recent Fed guidance, 75bps would be firmly on the table for Wednesday. This is highly unlikely this week, but our economists think they could break cover from their own guidance and leave the door open for 75bps in July.

DB Research has long been at the hawkish end on inflation and the Fed, and on Friday our US economists further raised their hiking expectations. In addition to 50bps at the next two meetings they have now added 50bps in September and November, before a return to 25bps in December (to 3.125%). They now see the peak at 4.125% in mid-2023. This is closer to the 5% view in the “Why the upcoming recession will be worse than expected” (link here) that David Folkerts-Landau, Peter Hooper and myself published back in April. If we do have a terminal Fed rate approaching a 5-handle it does raise the question as to where 10yr yields top out. My guess would be a slightly inverted curve but it would likely mean the 4.5-5% range discussed in the note from April, mentioned above, is within reason.

We’ll recap details of the big US CPI print in last week’s recap in the second half of this piece, but it wasn’t just this that was the problem on Friday, as the University of Michigan long-term inflation expectations series hit 3.3% (3.0% last month) which was the highest since 2008. This series first hit 3% last May so has actually been range trading for a year, which has been a hope for the doves. However it now risks breaking out to the upside.

It’s not just the Fed this week as the BoE (Thursday) and the BoJ (Friday) will also meet. For the UK, a preview from our UK economists can be found here. The team expects a +25bps hike this week and have updated their terminal rate forecast from 1.75% to 2.5%. Staying in the UK, labour market data releases will be out tomorrow with retail sales on Friday.

The week will conclude with a decision from the BoJ and how they address pressures from the yen hovering around a 20-year low, as well as the growing monetary policy divergence between Japan and other G7 economies. Our chief Japan economist previews the meeting here. He expects a shortening or even the abandonment of yield curve control in H2 2023.

In data terms we go back to the US for the main highlights, with PPI (tomorrow) and retail sales (Friday) the main events. China’s key May indicators on Wednesday will also have global implications as we await industrial production, retail sales and property investment numbers.

Elsewhere in the US, we have June’s Philadelphia Fed business outlook (Wednesday), and May industrial production and capacity utilisation (Friday) numbers. April business inventories will be out on Wednesday and provide markets with a check on corporate stockpiling after Target’s renewed warning last week. Finally, a slew of housing market data is due. This includes the June NAHB housing market index (Wednesday) and May building permits and housing starts (Thursday). The impact of rising mortgage rates will be in focus.

In Europe, Germany’s ZEW survey for June (tomorrow) is among the key data highlights. We will also see April industrial production and trade balance data for the Eurozone on Wednesday and Eurozone construction output and April trade balance data for Italy on Friday. ECB speakers will also be on the radar for investors as they tend to start to break the party line on the Monday after the ECB meeting. A lengthy line up includes ECB President Lagarde on Wednesday and six other speakers.

Asian stock markets have started the week on a weaker footing with all the major indices trading deep in the red after a rough week on Wall Street. The Hang Seng (-2.81%) is leading losses across the region in early trade amid a tech sell-off whilst the Shanghai Composite (-1.20%) and CSI (-1.07%) are both sliding as a resurgence of Covid cases in China is threating global growth. Elsewhere, the Nikkei (-2.64%) is also sharply down this morning, with the Kospi declining as much as -2.50%, hitting its lowest level since November 2020.

As discussed at the top, 10yr USTs (+2.81 bps) have moved higher to 3.18% while the 2yr yield (+9.8 bps) has exploded higher to 3.16%. Will we see a fresh inversion in the hours and days ahead? Oil prices are lower with Brent futures -1.36% to $120.35/bbl and WTI futures -1.48%, falling below the $120/bbl mark. On the FX side, there is no respite for the Japanese yen from rising Treasury yields as the currency hit a fresh 24yr low, declining -0.50% to 135.08 versus the dollar.

DMs equity futures point to further losses with contracts on the S&P 500 (-1.33%), NASDAQ 100 (-1.87%) and DAX (-1.37%) all trading in negative territory.

Moving on to the French legislative elections. In the first round, exit polls indicate that President Emmanuel Macron is at risk of losing his outright majority after a strong showing by the left-wing alliance in the first round of the country’s parliamentary election. According to the official results, Jean-Luc Mélenchon’s left-wing NUPES alliance (+25.61%) finished neck and neck with Mr Macron’s Ensemble (+25.71%), in terms of votes cast in Sunday’s first round. An average of 5 pollsters expect Macron to win 262-301 seats, with 289 needed to keep his majority. So a nervy wait ahead of the second round.

Turning back to review last week now. The business end of the week had two huge macro events that sent markets into some degree of upheaval.

On Thursday, the ECB met, confirming the end of net APP purchases this month, paving the way for liftoff in July. Beyond July they opened the door for 50 basis point hikes if inflation persists or deteriorates. Judging by their upgraded forecasts, they are now in the ‘persists’ camp. President Lagarde in the press conference took great pains to commit to fighting inflation in a hawkish tone shift. The bigger market reaction was on the apparent lack of progress on any implementation tool designed to avoid fragmentation. President Lagarde tried to downplay the lack of new tool, leaning on PEPP reinvestment flexibility, but the market wasn’t comfortable that this would be enough.

All told, 2yr bunds increased +30.9bps (+13.6bps Friday) on the tighter expected policy path, with the end-2022 policy rate implied by OIS markets ending the week at 0.99%, a new high and in line with our Euro economists updated call (their full review and new call here). The lack of an immediate anti-fragmentation tool saw peripheral spreads underperform, moving to new post-Covid wides, as 10yr BTPs increased +35.9bps (+16.0bps Friday) with 10yr Spanish bonds increasing +34.0bps (+15.6bps Friday), versus a 10yr bund increase of +24.3bps (+8.6bps Friday).

The Friday moves above were given a further boost by yet another above consensus US CPI report, with YoY inflation gaining +8.6% in May versus expectations it would stay consistent with the prior month’s +8.3% reading. FOMC officials have consistently cited deceleration in MoM readings as necessary to find clear and convincing evidence that inflation was stabilising and returning to target, evidence which they surely didn’t get on Friday, as MoM inflation increased +1.0% from +0.3% in April, beating lofty expectations of +0.7%.

The dramatic beats drove the expected path of Fed tightening sharply higher, with 2yr Treasury yields increasing +40.9bps on the week after a +25.0bp gain Friday, it’s largest one-day move since June 2009. The expected fed funds rate by the end of the year reached a new high of 3.22%. The curve aggressively bear flattened, as the reality that the Fed will have to induce slower growth to tame inflation set in; 10yr yields gained +22.0bps on the week and +11.2bps on Friday, with almost all of the increase coming in real yields. That brings 2s10s to 8.8bps, its flattest since its early-April rebound after its brief inversion.

The sharp global policy repricing weighed on equity indices. All major transatlantic indices fell, including the STOXX 600 (-3.95% week, -2.69% Friday), DAX (-4.83%, -3.08%), CAC (-4.60%, -2.69%), S&P 500 (-5.05%, -2.91%), NASDAQ (-5.60%, -3.52%), FANG+ (-2.87%, -3.37%), and Russell 200 (-4.26%, -2.60%). That brings the STOXX 600 -14.49% below its YTD highs reached in the first days of the year, with the S&P 500 -18.40% below the same corresponding metric. Both indices ended the week hovering just above YTD lows.

US CDX HY and Euro Crossover were +58bps and +47bps on the week and around +30bps and +25bps wider on Friday. Both are now at their post covid wides.

3. ASIAN AFFAIRS

i)MONDAY MORNING// SUNDAY NIGHT 

SHANGHAI CLOSED DOWN 29.28PTS OR 1.42%   //Hang Sang CLOSED DOWN 738.60 PTS OR 3.39%    /The Nikkei closed DOWN 836.35 OR 3.01%          //Australia’s all ordinaires CLOSED DOWN 1.32%   /Chinese yuan (ONSHORE) closed DOWN 6.7361    /Oil DOWN TO  118.73dollars per barrel for WTI and UP TO 120.18 for Brent. Stocks in Europe OPENED  ALL RED       //  ONSHORE YUAN CLOSED DOWN AGAINST THE DOLLAR AT 6.7371 OFFSHORE YUAN CLOSED DOWN ON THE DOLLAR AT 6.7584: /ONSHORE YUAN TRADING ABOVE LEVEL OF OFFSHORE YUAN/ONSHORE YUAN  TRADING WEAKER AGAINST US DOLLAR/OFFSHORE WEAKER/

3 a./NORTH KOREA/ SOUTH KOREA

///NORTH KOREA/SOUTH KOREA/

3B  JAPAN

YEN CRASHES AGAIN!!

Yen at 134.20 to the dollar

(zerohedge)

Japan On Verge Of Systemic Collapse With “Dramatic, Unpredictable Non-Linearities” In Financial Markets, DB Warns

MONDAY, JUN 13, 2022 – 11:25 AM

Less than a week ago, we wrote that “As Yen Crash Accelerates, It Puts Catastrophic End Of MMT Experiment In The Spotlight” a less than cheerful assessment echoed this morning by Bloomberg, which writes that “Japan Starting to Crack as Yen Tumbles With Stocks and Bonds noting that despite the yen crashing to a 24-year low (for the same reasons we have repeated again and again, namely you can’t keep your 10Y yield at 0.25% and avoid a currency collapse in a scorching inflationary environment), Tokyo stocks were down the most since March.

But there was another major development, and one which suggests that days of fiat, and MMT are numbered: with Japanese yields surging, the Bank of Japan today bought more than 1.5 trillion yen of government bonds to defend its yield curve control target as the 10Y JGB rose above 0.25%, the upper end of the BOJ’s YCC corridor.

As Deutsche Bank’s George Saravelos shockingly calculates in a post this morning titled “The printer is on overdrive“, and available to professional ZH subscribersif the current pace of buying persists, the bank will have bought approximately 10 trillion yen in June. To put that number in context, it is roughly equivalent to the Fed doing more than $300bn of QE per month when adjusting for GDP!

This is a “truly extreme” level of money printing given that every other central bank in the world is tightening policy. It is one of the reasons why we have been bearish on the yen. And as so many have argued, currency intervention in this environment is simply not credible given it is the BoJ itself that is the cause of yen weakness.

More broadly, Saravelos echoes what we said in our preview of the end of MMT, writing that he worries that “the currency and Japanese financial markets are in the process of losing any sort of fundamental-based valuation anchor.”

The more global inflation picks up, the more the BoJ prints. But the more easing accelerates, the higher the need to press hard on the brake when the (inflation) cliff approaches and the more dangerous it becomes. As a result, we will soon enter a phase where dramatic and unpredictable non-linearities in Japanese financial markets would kick in, according to the DB strategist, who also notes that “if it becomes obvious to the market that the clearing level of JGB yields is above the BoJ’s 25 basis point target, what is the incentive to hold bonds any more?”

This leave us with a few exploding questions:

  • Is the BoJ willing to absorb the entirety of the Japanese government bond stock?
  • Where is the fair value of the yen on this scenario and what happens if the BoJ changes its mind?
  • The BoJ may want to generate inflation, but how does it get there with triggering a complete systemic collapse?

Finally, what happens if and when the yen careens off the fiat cliff, and domestic holders of yen-denominated savings flee into either dollars or cryptos? We will find out very soon.

end

3c CHINA

SHANGHAI/LOCKDOWNS

Lockdowns return to Shanghai with mass testing.

(zerohedge)

Shanghai Returns To Lockdown For Mass Testing Just Days After Reopening

FRIDAY, JUN 10, 2022 – 09:20 PM

Just over a week after we reported that “Shanghai was finally lifting its Covid lockdown“, China’s commercial capital is once again backsliding into the warm embrace of Wuhan’s proudest export, and will “briefly” lock down most of the city this weekend for mass testing as Covid-19 cases continue to emerge, causing more disruption and triggering a renewed run on groceries days after exiting a grueling two-month shutdown.

According to Bloomberg, the plan emerged from one area with a handful of cases, then spread in hours to 15 of the financial hub’s 16 districts, and now encompasses almost all of the city’s 25 million residents as health officials use testing to root out any silent transmission of the virus, a key tool in China’s “Covid Zero” arsenal.

The instant escalation reflects the worry that continues to shroud Shanghai (and also Beijing), which implemented one of the world’s strictest lockdowns in late March after a sluggish initial response to its outbreak. The newest move follows a rebound in infections within the community to six on both Thursday and Friday, up from zero a day earlier. Residents will be released after taking the tests, but they’ll be back under lockdown if new infections are found in their compounds.

There were 5 additional infections found among people in quarantine on Thursday, for a total of 11 cases in the financial hub, health officials said. Nationwide, China added 71 infections a far cry from the record high near 30,000 in April.

The threat of disruptive measures also returned to Beijing, where testing turned up 21 new local cases as of 3 p.m. on Friday. More than 4,400 people who were in close contact with those who were infected have been sent to government-mandated quarantine facilities.

As Bloomberg details, several neighborhoods in the capital’s key Chaoyang district, home to company headquarters and embassies, were on alert after a flareup in a local bar ended a five-day streak of zero community spread on Thursday. There were two new infections found outside of quarantine there on Friday.

The return of restrictions and mass testing in China’s biggest cities underscores the difficulty of eliminating the virus while the rest of the world accepts it as endemic. The disruption wrought by pandemic curbs have impacted production at companies like Sony Group Corp. and Tesla, with the electric-car maker only now normalizing operations at its factory in southern Shanghai. 

The latest moves hit home quickly for residents. It led some to flee their apartment complexes and sparked a run on grocery stores after many struggled to get fresh fruits and vegetables in the early days of the original lockdown. While the latest curbs may lift in as little as a few hours if no new infections are found, two more weeks of isolation may be imposed for areas where new chains of transmission are uncovered.

Most economists say it will be tough for China to meet its annual growth target this year because of lockdowns. By having zero tolerance for new cases, the country risks being in a constant loop of imposing and easing restrictions.

Still, President Xi Jinping continues to emphasize the country’s adherence to a policy that has delivered one of the lowest Covid death rates in the world. Xi called for Covid Zero to be adhered to “unwaveringly” in a visit to Sichuan province Thursday, according to the official Xinhua news agency, while stating that it should be achieved in balance with the needs of the economy.

For now, the renewed restrictions aren’t yet having a significant impact on the financial markets.China’s benchmark CSI 300 Index rose 1.52%, paring earlier losses. For the week, it’s up about 3.5%.

“Investors are watching but there is not much reaction at the moment given its just flare ups,” said Kevin Li, fund manager at GF Asset Management (Hong Kong) Ltd. “If it expands into more areas that affect people turning to work, then it will lead to some volatility.”

END

CHINA/TAIWAN

China will not hesitate to start a war over Taiwan in a series of private warnings to the USA

(zerohedge)

China Won’t “Hesitate To Start A War” Over Taiwan As Series Of Private Warnings Conveyed To US

SUNDAY, JUN 12, 2022 – 11:00 PM

A new report by Bloomberg on Sunday has detailed a series of instances that Chinese officials have privately conveyed to their American counterparts that the Taiwan Strait does not constitute international waters, upping tensions given the Biden administration has been sailing navy warships through the contested waters on a monthly basis. 

“The statement disputing the US view of international law has been delivered to the American government by Chinese officials on multiple occasions and at multiple levels, the person said,” Bloomberg writes. “The US and key allies say much of the strait constitutes international waters, and they routinely send naval vessels through the waterway as part of freedom of navigation exercises.”Image: The Asahi Shimbun via Getty Images

The Biden administration is said to be “alarmed” by the private warnings, given that “It’s not clear whether the recent assertions indicate that China will take more steps to confront naval vessels that enter transit the Taiwan Strait,” according to the report. This also suggests China could take a more assertive stance in the South China Sea, where US warships have also been conducting freedom of navigation exercises. 

On Friday during the first ever face-to-face meeting between US Secretary of Defense Lloyd Austin and China’s defense minister Wei Fenghe, the latter warned his American counterpart that Beijing will “not hesitate to start a war” if Taiwan declares independence. 

Wei had warned Austin that “if anyone dares to split Taiwan from China, the Chinese army will definitely not hesitate to start a war no matter the cost“, defence ministry spokesman Wu Qian quoted the minister as saying during the meeting.

Further Wei vowed that China woujld “smash to smithereens any ‘Taiwan independence’ plot and resolutely uphold the unification of the motherland,” as emphasized in a defense ministry statement issued following the conclusion of the meeting. He “stressed that Taiwan is China’s Taiwan… Using Taiwan to contain China will never prevail,” further according to the statement.

For the US side, Defense Secretary Austin warned the Chinese defense minister in the Friday meeting to “refrain from further destabilizing actions” on Taiwan.

“The Secretary reaffirmed the importance of peace and stability across the Strait, opposition to unilateral changes to the status quo, and called on the PRC to refrain from further destabilizing actions toward Taiwan,” according to the readout.

4/EUROPEAN AFFAIRS//UK AFFAIRS/

EU/RUSSIA

A good commentary on how the EU sanctions on Russia will shake up global energy trade

(Miller/Freightwaves)

How New EU Sanctions On Russia Will Shake Up Global Energy Trade

SATURDAY, JUN 11, 2022 – 08:10 AM

By Greg Miller of FreightWaves,

The Ukraine-Russia war has already shaken up global energy markets. Sanctions finalized Friday by the EU will shake them up a lot more — not only for the tanker industry but also for American diesel and gasoline consumers.

The EU is a vastly larger buyer of Russian petroleum than the U.S., which banned imports from Russia in early March. The new EU sanctions will end Europe’s imports of Russian seaborne crude by Dec. 5 and refined products by Feb. 3, 2023.

Perhaps even more importantly, the EU will phase in bans on EU insurance, reinsurance, technical services or any financial services for tankers carrying Russian crude and products to any country, including current buyers in India and China, over the same time frames.

The U.K. is also set to ban insurance and reinsurance for such tankers.

Over 90% of the world’s ships are insured in Europe and the U.K. The insurance ban could have “a dramatic impact on seaborne trade of Russian oil and oil products,” said brokerage and consultancy Poten & Partners. “The potential implications cannot be overstated.”

Russia crude exports

What does the new EU import ban have to do with U.S. fuel buyers? And how could tanker owners be affected?

Since the war began, Russia has been able to keep its crude exports flowing. It is replacing lost sales to the West with sales to India and, to a smaller extent, China.

Even before the ban, the EU has replaced 1 million barrels/day (b/d) in crude purchases from Russia, according to a Morgan Stanley report on Monday. But “there are limitations to the degree this ‘swap’ can extend further,” it said. As a result of those limitations, as well as supply contracts due to expire, it expects Russian crude production to decline by 1 million b/d between now and year-end.

Lower crude production in Russia — to the extent it’s not replaced by OPEC, the U.S. and others — is a tailwind for oil prices.

In tanker trades, the longer distance traveled by post-invasion Russian cargoes has boosted spot freight rates for Aframaxes (tankers with capacity of 750,000 barrels) and Suezmaxes (1-million-barrel capacity). These small and mid-sized tankers can be accommodated at Russian terminals.

To the extent Russian cargoes are eventually replaced by Middle East exports, tanker demand would shift toward higher-capacity VLCCs (very large crude carriers; tankers with 2-million-barrel capacity), according to Evercore ISI analyst Jon Chappell.

Yet there are a lot of moving pieces. Ship brokerage BRS made the counterargument Tuesday that the EU would source more crude from the U.S. — cargoes largely carried on Suezmaxes — leaving less U.S. crude to be exported to Asia, cargoes that move aboard VLCCs.

Russia diesel exports

The Russian export situation is much different in the product sector, particularly for diesel, than for crude, according to Morgan Stanley.

With the EU ban on top of the U.S. ban, Morgan Stanley believes Russian petroleum products will have a much harder time finding sufficient alternate buyers.

“If [Russian] refineries indeed struggle to find alternative buyers, it is likely that their own production would need to decrease. It seems likely that both crude oil production and refinery runs will decline over time, reducing supplies of both crude [and products] — especially diesel — to the rest of the world.”

To the extent lost Russian flows can’t be replaced by new refinery output elsewhere, that’s more bad news for diesel buyers. The average retail price of diesel in the U.S. hit a new record high of $5.703 per gallon this week.

EU restrictions on shipping insurance

Those outside of shipping circles may not yet grasp the significance of the EU (and expected U.K.) ban on insurance for ships with Russian crude and products cargoes bound for non-EU destinations.

“This is a critical measure” that will affect “a significant portion of the global tanker fleet,” emphasized Poten & Partners.

“This will likely prevent many mainstream owners from lifting Russian cargoes,” said BRS.

When the U.S. levied sanctions on tankers carrying Iranian and Venezuelan crude, exports ultimately kept flowing. Cargoes were loaded aboard older tankers with obscured ownership and no Western insurance and finance ties. Transactions were not conducted in U.S. dollars.

Tanker owner Euronav (NYSE: EURN) frequently highlights this issue on conference calls, referring to it as the “illicit trade.” At last count, Euronav estimated that this fleet had stabilized at around 55-60 elderly VLCCs, plus around 30 Suezmaxes.

‘Illicit’ trade to surge?

In order to maintain export flows after EU sanctions kick in, Russia and/or its cargo buyers would have to find enough replacement tankers, either by using already sanctioned Russian vessels or tapping the “illicit” fleet.

According to BRS, “Although [the insurance ban] will discourage mainstream tanker owners from lifting cargoes, it will not likely discourage niche tanker owners whose vessels are already involved in the transport of illicit Iranian and Venezuelan oil.”

The question is: Are there enough crude and product tankers available to enter this legally grey trade by the time EU sanctions kick in, beyond those already serving Venezuela and Iran? Poten estimated that “if the insurance ban takes most of the international fleet out of the equation,” Russia would need to secure services of 20 Aframaxes (for ship-to-ship transfer), 51 Suezmaxes and 43-48 VLCCs.

“Finding these vessels and arranging insurance could be very challenging,” warned Poten. “It may also make it difficult for these vessels to get employed in regular international oil trades.”

5. RUSSIAN AND MIDDLE EASTERN AFFAIRS/

RUSSIA//UKRAINE/

A very large 1 1/2 % cut in Russia’s bank rate  (its repo rate) to 9.5% reverting back to pre Ukraine levels. Instead of falling the rouble rises!

(zerohedge)

Russian Monetary Policy Reverts To Pre-Ukraine War Levels After Bigger Than Expected Rate Cut

SATURDAY, JUN 11, 2022 – 08:45 AM

As the US scrambles to hike rates with the Fed woefully behind the inflation curve, and losing what little “credibility” with every passing day, Russia is moving in the opposite direction.

On Friday, the Central Bank of Russia cut its repo rate by 150bp to 9.50%, more than consensus expectations (10%). Today’s cut now fully reverts the emergency rate hike of 1050bp on 28 February in response to financial market turmoil and capital flight following Russia’s invasion of Ukraine. In other words, Russian monetary policy is now back to pre-Ukraine war levels.

Commenting on the CBR’s move, Goldman writes that the Bank acknowledges that the hit to inflation and economic activity was less than expected earlier and it provided updated inflation and key rate forecasts in the press release. Inflation momentum has fallen sharply recently, however, partially due to the appreciating Ruble and a slowdown and even a reversal in prices of goods that saw hoarding behavior immediately after the invasion. The Bank sees underlying inflation momentum in other categories still above the 4% inflation target.

And speaking of the ruble, not only has is it no “rubble” as Biden called it, but it is now the strongest it has been in years prior to the Ukraine invasion.

It gets better: while the Fed prepares to unleash multiple 50bps (or 75bps) rate hikes, in its press release, the CBR stated that it will consider the necessity of key rate reductions at its upcoming meetings, opening the door for further loosening. However, these will be more data-dependent and smaller in size.

The Bank now sees the average key rate for the remainder of the year at 8.5%-9.5%, translating into a potential 0-150bp of further cuts. However, fiscal policy developments were mentioned as the main inflation risks and that “further budget deficit expansion” may require tighter monetary policy.

Following the Russian rate cut, the RUB remained flat, reflecting that the RUB is not rate-sensitive in this environment and that FX is mostly driven by the capital account restrictions, exporter surrender requirements, fiscal rule suspension, and the Ruble for gas scheme (which implicitly manages the RUB but in a non-systematic way).

As Goldman notes, while some of these measures have been lifted, there is not yet an adjusted fiscal rule in place which would allow the CBR to systematically manage the exchange rate and allow it to have a better view on fiscal policy going forward. Until then, and with the hard currency flows continuing, we fail to see significant depreciation pressures.

Looking ahead, Goldman writes that further policy rate developments will be data-dependent, and will depend on policy decisions on the capital and current account that will influence the Ruble, as well as how fiscal policy shapes the relative dynamics of demand and supply.

The CBR states that future rate decisions will take into account “actual and expected inflation dynamics relative to the target” as well as “economic transformation processes”, meaning the efficiency of import substitution and how effectively the Russian economy can restructure and re-route supply chains. Regarding the former, the CBR mentioned both inflationary (fiscal policy, inflation expectations, potential reduction in households’ propensity to save) and disinflationary risks (high risk premium in credit and elevated borrowing requirements) are present, although it is difficult to gauge at this stage which will prevail.

Goldman’s FX strategists also note that the suspension of the fiscal rule translates into a sizeable fiscal boost supporting demand further, while financial conditions excluding the hard currency credit spread have only tightened marginally. Given a sizeable supply shock, which is currently roughly 5%, there is a risk that spending the full fiscal windfall post the suspension of the fiscal rule could overstimulate the economy and the resulting inflation dynamics would make the CBR careful to cut further.

The next CBR meeting is on July 22 which will be accompanied by an updated set of medium-term forecasts.

end

ISRAEL/SYRIA//IRAN/RUSSIA

Russia issues an unusually bitter condemnation of the Israeli attack on the Damascus airport

(zerohedge)

Russia Issues Unusually Bitter Condemnation Of Israeli Attack On Damascus Airport

SATURDAY, JUN 11, 2022 – 04:00 PM

Israeli media is on Saturday describing an “unusually bitter condemnation” as Russia has lashed out at Israel’s latest airstrikes on Syria, which disabled Damascus International Airport.

Following the Friday pre-dawn raid, ostensibly against Iranian weapons shipments and assets according to Israeli reports, Russia’s Foreign Ministry on Friday evening slammed the

“vicious practice” of  Israeli strikes on civilian infrastructure, which it said were “provocative” and “in violation of the basic norms of international law.”

Image from a 2020 Israeli attack on Damascus International Airport, via AFP.

Syria had been forced to halt all flights from its largest commercial international airport following the fresh Israeli airstrikes, as we detailed earlier, with the country’s main international transit hub likely to be halted into next week pending urgent repairs.

The statement from Russian foreign ministry spokesperson Maria Zakharova said, “We are compelled to reiterate that the ongoing Israeli shelling of the territory of the Syrian Arab Republic, in violation of the basic norms of international law, is absolutely unacceptable.”

It continued: “We strongly condemn Israel’s provocative attack on the most important object of the Syrian civilian infrastructure.”

“Such irresponsible actions create serious risks for international air traffic and put the lives of innocent people in real danger.” it said.

According to The Times of Israel, the damage to the runways is extensive: “An Israeli satellite intelligence firm published images showing significant damage to the runways, which it said disabled the entire airport.”Photo released by ImageSat International on June 10, 2022, shows Syria’s Damascus International Airport with multiple craters on runways.

This week, and following a prior Israeli strike on Syria, Russian jets joined Syria’s air force in a rare joint patrol and exercise:

The ministry said two Russian SU-35 fighter jets and six Syrian MiG-23 and MiG-29 aircraft simulated facing “hostile” warplanes and drones. Syrian pilots dealt with them with cover and support from the Russian warplanes, it said.

“All illusive targets were monitored and completely destroyed while aerial targets were hit at night for the first time,” the Syrian Defense Ministry said in a statement. It also released a video of the warplanes that it said took part in the drill.

While Russia has in the past years of war provided Damascus with S-300 missile systems, it has typically not engaged Israel – but has in the last month stepped up warnings against Israeli overreaching in its purported ‘anti-Iranian’ operations over Syria.

end

Russian Forces Seize Center Of Last Holdout City In Luhansk Province

MONDAY, JUN 13, 2022 – 08:30 AM

On Monday Ukraine’s military acknowledged for the first time that Russian forces have taken over the center of the key city of Severodonetsk, considered the last major place of resistance and holdout before pro-Moscow forces take the whole of Luhansk province.

“In the Severodonetsk direction, the enemy, with the support of artillery, carried out assault operations in the city of Severodonetsk, had partial success, pushed our units away from the city center, the fighting continues,” the General Staff of the Armed Forces of Ukraine announced in a written statement.Via TASS/Moscow Times: Luhansk artillery units attack retreating military hardware of the Ukrainian Armed Forces in the village of Toshkovka on June 12, 2022.

Within hours later, Ukraine’s military said the Russian advance had been pushed back; however, it’s clear to many US officials that the fall of Severodonetsk now looks imminent.

Ukraine’s President Volodymyr Zelensky acknowledged that his troops are fighting for every meter: “The occupiers key tactical goal has not changed. They are pressing in Severodonetsk, severe fighting is going on there — literally every meter,” he said, also admitting a rapid Russian advance on other regional cities such as Lysychansk, Bakhmut and Sloviansk.

But all eyes have been on Severodonetsk – given that its fall would mark a huge strategic success for Russian president Vladimir Putin, creating momentum for Russian forces to finally take the whole of Donbas, coming also just after a ‘land bridge’ had been established linking Western Russia to Donbas and Crimea.

Russian forces have for weeks been slowly encircling Severodonetsk, which now looks inevitable. Ukraine’s governor for the region, Sergiy Gaiday, called the developing situation “extremely difficult” – particularly after the Russian army obliterated a second bridge into the city over the weekend. He further cited constant bombardment and shelling from Russian lines.

Commander-in-chief of the Ukrainian military Valeriy Zaluzhny has said Russia has a “tenfold advantage” when it comes to artillery fire and ammunition supply.

Meanwhile, another ‘Azovstal-style standoff’ could be ensuing in the embattled city of Severodonetsk…

He said in Facebook post, per The Moscow Times, that “Despite everything, we continue to hold positions. Every meter of Ukrainian land there is covered in blood — but not only ours, but also the occupier’s.”

Another Ukrainian official on Saturday warned that national forces are fast “running out of ammo” in a plea for immediate resupply from the West:

Speaking from near the frontlines, Mykolaiv Regional Governor Vitaliy Kim called for more support from U.S. and European allies, VOA News reported. He also indicated that, at least in his region of Ukraine, forces are running low on ammunition.

“Russia’s army is more powerful, they have a lot of artillery and ammo. For now, this is a war of artillery… and we are out of ammo,” Kim said. “The help of Europe and America is very, very important.”

Below: broader city-wide view of fighting from last week:

Two weeks ago, just as the tide in the Donbas began to shift clearly in Russia’s favor, Foreign Minister Sergei Lavrov told French television that for Moscow it remains an “absolute priority… to push the Ukrainian army and the Ukrainian battalions out” of Donetsk and Luhansk. With the imminent fall of Severodonetsk this is looking increasingly likely, as many Western pundits are also belatedly acknowledging. 

end

Ukraine Suspends All Gas, Coal & Fuel Oil Exports To Meet Internal Demand

MONDAY, JUN 13, 2022 – 03:27 PM

On Monday the Ukrainian government announced implementation of a measure halting all its exports of gas, coal and fuel oil, citing disruptions and a domestic supply emergency due to the Russian invasion.

These commodities are now prohibited for export during a time of war, the published government resolution states, which is the result of “the armed aggression of the Russian Federation against Ukraine and the imposition of martial law in Ukraine.”

Ukraine typically ships small supplies of natural gas across its western frontier for European trading, while also prior to losing its access to Crimea starting in 2014, the International Energy Agency estimated Ukraine had about 9 billion tonnes of oil equivalent in fossil fuel reserves.

Previously, national power grid operator Ukrenergy severed the interconnect from Ukraine to Russia in the wake of the Feb.24 invasion. Ukraine was then quickly connected to the European grid on a hastened emergency bases (which was in the works according to a 2017 deal, but before the war changed plans, it had been set for 2023).

Still, periodic war-related power losses have affected over four million Ukrainian households – though there’s been surprising overall power stability for the rest of the country, given there’s an invasion on.

Starting last week Ukrainian President Vladimir Zelensky forewarned the public and external trade partners that the energy suspension was imminent.

He said on his Telegram channel that his country is suspending all coal and gas exports in preparation for the coming winter, emphasizing that Ukraine must prepare for what looks to be “the most difficult winter during all years of independence.”

“Due to the war, it will indeed be the most difficult winter during all years of independence. During this period, we won’t sell our gas and coal abroad. All domestic production will focus on meeting the internal demand,” Zelensky said.

Separately, Prime Minister Denis Shmygal had earlier announced that coal production in the country’s state-run mines had declined by one third since late February.

Amid the significant wartime energy needs, Kiev has been urging the West and global institutions to make huge infrastructure loans to keep the economy and basic services afloat. As one industry publication reviews of recent efforts, “Ukraine on May 11 and 12 secured €50mn ($52.2mn) of financing from the European Bank for Reconstruction and Development to assist power generators amid the turmoil, as well as to protect food resources for Ukrainian civilians. The money includes existing Ukrenergo financing, and a first loss guarantee from the European Fund for Sustainable Development.”

The report continues: “The gas export ban comes as Ukraine’s national oil company Naftogaz has agreed to purchase LNG and green hydrogen from a Quebec company in an MoU announced June 10. The LNG, from a project that has yet to earn regulatory approval, would likely be delivered indirectly, perhaps via Poland’s Swinoujscie import terminal, given that domestic options have fallen by the wayside.”

ISRAEL/TURKEY

Israel urges all citizens to evacuate Istanbul citing an Iranian revenge plot

(zerohedge)

Israel Urges All Citizens To Evacuate Istanbul Immediately, Citing Iranian ‘Revenge’ Plot 

MONDAY, JUN 13, 2022 – 12:05 PM

Israel has issued an abrupt and highly unusual alert to its citizens traveling or working in Turkey, warning all Israelis to evacuate the capital Istanbul immediately. Officials have said intelligence reports suggest a possible Iranian kidnap or murder plot of its nationals potentially in progress.

“Israel’s Counter-Terrorism Bureau has raised its alert level for Istanbul to the highest possible level, calling on any Israelis in the city to leave immediately or risk their lives,” The Times of Israel writes of the Monday warning. Israelis are further being advised to avoid travel in other parts of Turkey as well.

The heightened alert message came hours following Foreign Minister Yair Lapid informing a meeting of government ministers that there is a “real and immediate” threat to Israelis in Istanbul in particular, and Turkey in general.

A written statement from Israel’s National Security Council (NSC) said “Two weeks ago a travel warning to Turkey was raised, after defense officials raised fears of Iranian attempts to harm Israeli targets around the world, especially in Turkey.”

The latest raising of the alert level to a “4” means Israel has designated it’s “danger” level for Turkey as on par with Afghanistan, Iran, Burkina Fasco, or other official ‘enemy’ states or war-torn regions.

The NSC statement further said that “given the continued threat and Iranian intentions to hurt Israelis in Turkey, especially Istanbul, cranking up a notch” – to explain the heightened state of alert. 

The new alert is being widely viewed as in relation to last month’s assassination of Revolutionary Guard colonel Sayad Khodai, which Tehran has blamed on Israeli intelligence and its agents inside Iran. The slain IRGC officer was reportedly a commander in the elite Quds Force, which is the foreign intelligence wing of the IRGC. Israeli media is claiming that he had “planned attacks on Jews and Israelis worldwide.”

Israeli officials say they’ve disrupted potential plots, arresting suspected “operatives”…

The May 22 killing took place in Tehran when the IRGC colonel was approach by two unidentified gunmen on a motorcycle who shot him in the head. “I have agreed for our security forces to seriously follow up on this matter and I have no doubt that revenge for the pure blood of our martyr will be taken,” the country’s President Ibrahim Raisi had said in a speech during the week following. “The thugs and terrorist groups affiliated with global oppression and Zionism will face consequences for their actions,” Raisi had vowed last month.

With this latest alarming Turkey announcement, it seems Israeli officials are preemptively bracing an Iranian revenge attack.

6//GLOBAL COVID ISSUES/VACCINE MANDATE

Doctors using FDA over non use of ivermectin

(EpochTimes)

Doctors Suing Food And Drug Administration Over Ivermectin

FRIDAY, JUN 10, 2022 – 07:00 PM

Authored by Alice Giordano via The Epoch Times (emphasis ours),

A Washington law firm has filed a federal lawsuit against the Food and Drug Administration (FDA) for interfering with the use of ivermectin as a treatment for COVID-19.The Food and Drug Administration is facing legal action over statements made about ivermectin and its use against COVID-19. (Sonis Photography/Shutterstock)

The lawsuit was filed by Boyden Gray & Associates on behalf of three doctors who were disciplined for prescribing human-grade ivermectin to patients.

The firm’s founder, attorney Boyden Gray, is a former legal adviser to the Reagan and Bush administrations.

Gray told The Epoch Times that the FDA had violated well-established law that allows doctors to prescribe an FDA-approved drug as an off-label treatment.

Ivermectin was no different, he said. It was approved by the FDA in 1966.

Congress recognized the importance of letting doctors be doctors and expressly prohibited the FDA from interfering with the practice of medicine,” Gray said.

That is exactly what the FDA has done time and time again throughout this pandemic, assuming authority it doesn’t have and trying to insert itself in the medical decisions of Americans everywhere.

The three plaintiffs in the case are Dr. Paul Marik of Virginia, Dr. Mary Bowden of Texas, and Dr. Robert Apter of Arizona.

Marik is a founder of the Front Line COVID-19 Critical Care 21 Alliance (FLCCC), a national nonprofit that promotes alternative COVID-19 treatments to the government-touted vaccine.

“The FDA has made public statements on ivermectin that have been misleading and have raised unwarranted concern over a critical drug in preventing and treating COVID-19,” Marik told The Epoch Times. “To do this is to ignore both statutory limits on the FDA’s authority and the significant body of scientific evidence from peer-reviewed research.”

According to Marik, more than 80 medical trials conducted since the outbreak of COVID-19 show that ivermectin is a safe and effective treatment for the virus.

Gray said the FDA has engaged in unlawful interference with the use of ivermectin and should be held accountable for that.

The lawsuit included several statements made by the FDA that Gray said show that the administration interfered with the use of ivermectin.

They include an Aug. 21, 2021, Twitter post by the agency: “You are not a horse. You are not a cow. Seriously, y’all. Stop it.”

The post, with an image of a horse and a doctor, has a headline that reads, “Why you should not use ivermectin to treat or prevent COVID-19.”

Marik, Bowden, and Apter are among a number of U.S. doctors across the United States who have been disciplined for prescribing ivermectin.

Marik, a critical care specialist, was suspended by Sentara Norfolk General Hospital for prescribing ivermectin as a COVID-19 treatment. Bowden, an ear, nose, and throat specialist, was suspended from the Houston Medical Hospital. Apter was under investigation by both the Washington Medical Commission and Arizona Medical Board for prescribing ivermectin.

Marik was recently informed that he was under investigation by the medical licensing board in Virginia.

Gray filed the lawsuit in U.S. District Court in Texas.

The doctors are seeking a permanent injunction that would prohibit the FDA from interfering with the use of ivermectin for the treatment of COVID-19.

end

Scary! Biden orders 500,000 more Monkeypox vaccines.  The vaccinated are more prone to these illnesses

(Nguyen Ly/EpochTimes)

Biden Admin Orders 500,000 More Monkeypox Vaccines

SUNDAY, JUN 12, 2022 – 04:30 PM

Authored by Mimi Nguyen Ly via The Epoch Times (emphasis ours),

The Biden administration has ordered an additional 500,000 more doses of the Jynneos vaccine for monkeypox, marking a big step up in the government’s response amid rising cases in the United States and around the world.An electron microscopic (EM) image shows mature, oval-shaped monkeypox virus particles as well as crescents and spherical particles of immature virions, obtained from a clinical human skin sample associated with the 2003 prairie dog outbreak in this undated image obtained by Reuters on May 18, 2022. (Cynthia S. Goldsmith, Russell Regnery/CDC/Handout via Reuters)

Denmark-based biotech group Bavarian Nordic, the manufacturer of the vaccines, said that the U.S. Biomedical Advanced Research and Development Authority (BARDA) has placed the order, to be delivered later this year.

With the previous order from BARDA for 1.4 million doses of liquid-frozen JYNNEOS, awarded in 2020, this order will bring the total U.S. inventory of the vaccine to nearly 2 million doses,” the company announced on Friday. Many of the 1.9 million doses are being held by the company until the U.S. government requests them.

The 500,000 vaccine doses will be manufactured using bulk materials that are owned by the United States under previous contracts with BARDA, and are currently stored with the company.

“The majority of this bulk, however, will be converted to approximately 13 million freeze-dried doses of JYNNEOS during 2023-2025,” Barvarian Nordic said.

Dawn O’Connell, Assistant Secretary for Preparedness and Response, said on Friday that the U.S. government has a stockpile of 72,000 Jynneos doses, and will get 300,000 more doses from Bavarian Nordic over the next several weeks. She also confirmed that 500,000 more Jynneos doses from Bavarian Nordic will be delivered later this year.

We have the vaccines and treatments we need to respond,” she said.

As of late Friday, the United States has identified 49 monkeypox cases in 16 states and the District of Columbia. More than 1,470 cases have been found in about 30 other countries outside of Africa, where the virus is endemic, according to the Center for Disease Control and Prevention (CDC).Test tubes labeled “Monkeypox virus positive” in an illustration taken on May 23, 2022. (Dado Ruvic/Reuters)

The CDC said Friday that every case they had looked at in the United States involved very close contact. Officials have alerted doctors to watch for monkeypox cases and offered vaccinations to people in close contact with those who were infected.

Monkeypox, a viral disease typically limited to Africa, was first reported this year in the United States on May 18, in Massachusetts. The Biden administration on the same day placed a $119 million order for the Jynneos vaccine.

While there are currently no vaccines or antivirals specifically designed to treat monkeypox, the United States has two vaccines approved by the Food and Drug Administration (FDA) that can be used to treat monkeypox.

Jynneos is the only vaccine the FDA has explicitly approved to prevent monkeypox in the United States, in high-risk adults aged 18 and older. It is also approved for use against smallpox.

At the time of the Jynneos vaccine’s approval in September 2019, Peter Marks, director of the FDA’s Center for Biologics Evaluation and Research, said that a potential “intentional release” of smallpox “could have a devastating effect.”

According to the CDC, the Jynneos vaccine “is administered as a live virus that is non-replicating,” in two injections four weeks apart. People are not considered vaccinated until two weeks after they receive the second dose of the vaccine.

Meanwhile, an older vaccine called ACAM2000, made by Emergent BioSolutions, was approved by the FDA in 2007 to prevent smallpox, but it can also be used to prevent monkeypox, according to CDC recommendations.

The CDC said that ACAM2000 “is recommended for laboratorians working with certain orthopoxviruses and military personnel.” It has noted, however, that the ACAM2000 vaccine “has the potential for more side effects and adverse events” than the Jynneos vaccine.

The CDC’s Advisory Committee on Immunization Practices (ACIP) recommends that people whose jobs may expose them to orthopoxviruses “such as monkeypox” get vaccinated with either ACAM2000 or the Jynneos vaccine.

According to the CDC, ACAM2000 is “a live Vaccinia virus preparation.”

“Following a successful inoculation, a lesion will develop at the site of the vaccination (i.e., a ‘take’). The virus growing at the site of this inoculation lesion can be spread to other parts of the body or even to other people,” the CDC stated. “Individuals who receive vaccination with ACAM2000 must take precautions to prevent the spread of the vaccine virus and are considered vaccinated within 28 days.”

There are over 100 million doses of the ACAM2000 vaccines available, officials recently said.

Monkeypox is in the same virus family as smallpox but presents with milder symptoms.

The Associated Press contributed to this report.

end

U.S. Gov. reports prove COVID Vaccination can cause Acquired Immune Deficiency Syndrome & this is why we’re seeing “Sudden Deaths” & “Monkeypox”… – The Expose

Inbox

Robert Hryniak12:09 PM (0 minutes ago)
to

This is nuts!
https://expose-news.com/2022/06/12/us-gov-data-covid-jab-a-id-s-mp-sads/

GLOBAL ISSUES/SUPPLY CHAINS

DHL warns that global supply chains will not recover to pre covid levels in 0223

(zerohedge)

DHL Freight Chief Warns Global Supply Chains Won’t Recover To Pre-COVID Levels In 2023

MONDAY, JUN 13, 2022 – 06:59 AM

The key question remains when global supply chain congestion will ease worldwide. That’s a difficult question to answer, though the head of DHL’s freight-forwarding unit sheds color on when he believes bottlenecks will abate. 

“It’s going to ease in 2023, but it’s not going to go back to 2019,” DHL Global Forwarding, Freight Chief Executive Officer Tim Scharwath told Bloomberg

“I don’t think we’re going to go back to this overcapacity situation where rates were very low. Infrastructure, especially in the US, isn’t going to get better overnight, because infrastructure developments take a long time,” Scharwath said. 

Supply chains between China and US West and East Coast have been easing since China’s ZERO Covid policy locked down Shanghai earlier this year. But the recent reopening of Shanghai could result, as explained by Goldman Sachs analyst Jordan Alliger, in a backlog of goods flooding shipping lanes between China to Los Angeles/Long Beach port complex by July-August

DHL’s Scharwath expanded on the Shanghai situation and how the manufacturing hub is “smart to open up slowly to make sure that this clog goes out piece by piece and bit by bit to get the flow running.”

Besides Goldman, California port leaders and the National Retail Federation are anticipating a surge in imports in the coming months. To Scharwath’s point: supply chains will remain congested in the second half of 2022. 

DHL’s freight chief also said global supply chains have become more fragile:

“Any stress you put on top of it, doesn’t matter where in the world, will have influence in other parts of the supply chain,” he said. “Five years ago, the Korea situation wouldn’t have had an impact. Now it has.”

.. and how to unclog global supply chains? One way is for the Federal Reserve to aggressively tighten interest rates and throw the largest economy in the world into a recession next year. 

END

VACCINE INJURY

the reknown Lancet:

Risk of myocarditis and pericarditis after the COVID-19 mRNA vaccination in the USA: a cohort study in claims databases – The Lancet

Inbox

Robert HryniakSat, Jun 11, 7:26 PM (18 hours ago)
to

Crazy stuff 

https://www.thelancet.com/journals/lancet/article/PIIS0140-6736(22)00791-7/fulltext

Vaccine Impact

2,200 Elite, Including Big Pharma CEO, Top Doctors, Movie Stars, Caught Buying FAKE Vax Certificates in Spain

June 10, 2022 4:00 pm

As we reported last year, World Bank President David Malpass made a telling admission. In a nutshell, Malpass stated that Pfizer won’t go into countries unless those governments grant them immunity from any an all damages caused by their vaccine. If the country allows individuals or organizations to sue after Pfizer hurts them, Pfizer stays out. “Pfizer has been hesitant to go into some of the countries because of the liability problems, they don’t have a liability shield,” Malpass stated. Imagine the audacity it takes for a company who is ostensibly helping to stop a pandemic, to tell people they can’t have their “life-saving” medicine unless said company can harm them with impunity. There is no need to imagine, as this is the situation in which we currently find ourselves. Refusal to take responsibility for a product with many known side effects — which was mandated on people throughout the world without their consent — naturally doesn’t sit well with folks who care about their health. For this reason, a massive black market formed around fake vaccination certifications for people who didn’t want to lose their livelihoods or worse, over forced vaccinations. While we were told that this black market was the work of criminals and staunch antivaxxers, an investigation in Spain found that more than 2,200 famous people, including top medical personnel and the leader of one of the country’s largest pharmaceutical companies — have been buying fake vaccination certificates.

Read More…


Study: Habitual Coffee Consumption Reduces Risk of Progressive Kidney Disease

June 10, 2022 4:16 pm

Coffee, one of the most often consumed beverages worldwide, contains a wide variety of compounds, including caffeine, diterpenes, and chlorogenic acid, which fully develop after the bean roasting process and are reported to have an assortment of health benefits. Habitual coffee consumption is associated with the prevention of chronic and degenerative diseases, including type 2 diabetes, cardiovascular disease, and liver disease. ARIC, a large population study of 14,207 participants aged 45 to 64 years, revealed that higher self-reported daily coffee consumption was associated with a lower risk of incident chronic kidney disease after adjustments were made for demographic, clinical, and dietary factors. Thus, habitual coffee consumption has a strong potential for reducing the risk of progressive kidney disease.

Read More…

Based on VAERS Data for Children Aged 5 to 15 Injected with COVID-19 Shots, Will 1 Million Babies be Injured and Killed in the First Year if Authorized for 6 Months to 5 Year Olds?

June 11, 2022 6:56 pm

The FDA and CDC will consider injecting babies and infants between the ages of 6 months and 5 years old with COVID-19 vaccines from Pfizer and Moderna in the coming week. In May of 2021 the FDA and CDC authorized Pfizer COVID-19 vaccines for children between the ages of 12 and 15, and at the end of October they authorized Pfizer COVID-19 vaccines for children between the ages of 5 and 11. So I am going to publish Government data on cases of adverse reactions that have been filed with the Vaccine Adverse Events Reporting System (VAERS) for these age groups subsequent to the authorization for these vaccines for these age groups, something that neither the government nor the pharma-funded corporate media will publish, and yet can be verified by anyone with Internet access since this is public knowledge. In this report today, I will also include cases of fetal deaths recorded in VAERS after their mothers were injected with COVID-19 vaccines, as 2nd and 3rd trimester unborn children are closer in age to 6-month-old babies that the FDA and CDC will soon decide to start injecting with these shots. Anyone who plans to be present next week in these advisory committee meetings is free to copy and use this data.

Read More…

US Naval Air Forces Orders “Safety Pause” For Aircraft After Multiple Deadly Southern California Crashes

June 12, 2022 6:08 pm

The U.S. Navy announced this weekend that there would be a “safety pause” for certain aircraft following 3 recent crashes in Southern California where 6 service members died within the span of 10 days. I have read several reports from multiple sources regarding this “safety pause,” and not one of them mentioned the vaccination status of the pilots, and there is no indication that the investigations will consider if any adverse reactions from the COVID-19 vaccines could have been involved. The Navy currently has 97% of its service members vaccinated with mandatory COVID-19 vaccines. American Airlines pilot Captain Robert Snow, a pilot with over 31 years experience, made headlines recently when he went public with his story after going into cardiac arrest in the cockpit of the commercial plane he was flying just moments after landing in Dallas, avoiding what could have been a major catastrophe if he would have suffered his heart attack while landing. His career is over now, as the FAA will not allow pilots with heart conditions like Mr. Snow now has to continue flying. Mr. Snow went public to explain how this was most certainly a COVID vaccine adverse reaction, and his testimony was quickly removed from Google’s YouTube. Mr. Snow was mandated to receive the COVID vaccine as a condition for keeping his job. Pilot Joshua Yoder, who is the co-founder of the U.S. Freedom Flyers, was interviewed by Steve Kirsch where he revealed that he was receiving many phone calls from other pilots in the commercial airline industry who are also suffering heart problems after receiving a COVID-19 mandatory vaccine, but they fear coming forward because they will lose their jobs.

Read More…



Michael Every//

Michael Every on the day’s most important topics

Rabobank: Western Leadership Has Successfully Turned Our Economies Into Emerging Markets

MONDAY, JUN 13, 2022 – 09:47 AM

By Michael Every of Rabobank

It was a tough call for me whether to go with the above title of the Daily today, or for ‘These are not serious people, and I refuse to take them seriously’.

Friday’s shocking US inflation came in well above expectations at 1.0% m-o-m / 8.6% y-o-y headline, and 0.6% m-o-m / 6.0% y-o-y core. That’s the highest y-o-y headline CPI since December 1981, even further back in time than the first ‘Top Gun’ movie. Indeed, in Tom Cruise terms, it’s back to his second-ever movie, ‘Taps’.

Over the past decade, US CPI averaged 1.6% y-o-y. Over the past 12 months, it was 6.9%. Food, energy, and services inflation is rampant, and while goods inflation is edging lower and inventories need to be cleared, there is still an implied manufacturing shock coming from the input side with a lag. Indeed, core inflation has only seen one monthly print lower than 0.5% (6% annualized) since October last year, the trend in energy is not going to stop, and neither will that in Owners’ Equivalent Rent given soaring mortgage rates force more people to rent.

There is now some talk of so-called “core-core” inflation excluding food and energy, and airfares, rents, vehicles, hotels, and health insurance, which shows inflation is ebbing. Logically, if we take out everything going up then inflation is zero. Likewise, the Fed and the White House told us there was no inflation; was going to be no inflation; if there was any inflation it was mild; and once it got high, that it would be transitory. These are not serious people, and I refuse to take them seriously.

Yet the Michigan consumer survey collapsing to a lower level than during the Global Financial Crisis should be, with 1-year ahead inflation seen at 5.4% and 5- to 10-year inflation up to 3.3%. Given it is estimated US households need over $430 more a month just to stand still vs. inflation, this is not a surprise. Indeed, what Philip Marey had already flagged the Financial Times’ today makes clear is now the widespread view: ‘US set for recession next year, economists predict’. Yet we were repeatedly told by the Fed, the White House, and many in markets that a US recession was not a risk. Likewise, RaboResearch flagged the energy-shock risks for Europe weeks ago, which the ECB still does not recognize. Even Australia is now seeing market calls for a 15% drop in house prices ahead, which is hardly GDP positive for an asset-addled economy.

In short, we can ignore ‘stagflation’ and can proceed to a new word shared by an incisive reader: “Incession” – inflation and recession. I repeat that we aren’t used to that concept in developed markets by any name, but emerging markets know the phenomenon all too well. Congratulations to the Western leadership of the past four decades, who have successfully turned our economies into something closer to emerging markets!

Markets are obviously far from happy. US 2-year yields leaped from 2.81% to 3.14% Friday, the kind of spike few see in a career. 5-years jumped from 3.07% to 3.31%. 10-years rose less, from 3.04% to 3.16%, so 2s-10s is close to inversion again, and 5s-10s already is. 30-years, despite wild swings, only rose 3bp at the close to 3.19%, so 5s-30s is also inverted and 2s-30s is close to it.

Stocks went down again despite the hordes of deeply unserious people telling you they only go up. We also saw the US dollar surge, with EUR back below 1.05 this morning in Asian trading, and JPY moving past 135, as the DXY sits close to 104.5. Moreover, commodities dropped back only a little, with Brent -1.4% to $120.3. Imagine how much more is needed to get oil back to $100.

So, what should the Fed do this week? The expectation is Wednesday’s meeting will still the pre-flagged 50bps move. However, we are starting to hear whispers of a 75bps hike, and this weekend saw the first suggestion of 100bps and the Fed opening the door to inter-meeting hikes of indeterminate size. A good emerging-market central bank would do exactly that in these kinds of circumstances. Of course, the author of the 100bps call made clear this will not happen,… because these are not serious people, who we should refuse to take seriously.

A far broader range of policies are needed to fight inflation. Back in the late 70s and early 80s, supply-side reform moved the West away from a fiscal Keynesianism unable to cope with higher oil prices and tight labor markets by moving manufacturing jobs to emerging markets. Today, the trend is moving back towards fiscal populism and away from manufacturing in key emerging markets. However, these policies aren’t joined up in the way they were in the 70s and 80s, either intellectually or practically.

On the fiscal side, UK PM BYO is promising tax cuts, which don’t help those who aren’t earning much suffering most from high inflation. On the production side, he is launching a scheme to grow more food in the UK,… while cutting subsidies to farmers, signing free trade deals with cheaper producers, closing off EU markets and cheap EU labour, and pushing ahead with green reforms that raise costs. As an anguished farmer notes in The Guardian in an article about “rural fury”“We want to be eating more British and more local food but again I just ask how. It’s all very well to have words but it’s got to have really meaningful delivery and we aren’t seeing that yet.”

In France, President Macron is projected to probably scrape a narrow parliamentary majority but is only going to take around 25% of the vote share. That will make it more difficult for him to cut taxes and raise the retirement age from 62 to 65, as pledged. So, perhaps just the tax cut then?

In the US, the White House is talking about fighting inflation while doing little to expand domestic supply over imports, and winking at slashing student debt, which is a direct fiscal transfer (to the relatively better off).

Markets won’t like it, but if we get “incession”, we are also going to get such “unpopulism”.

So, back to the question of ‘what to do?’ On the UK front, there is a simple theoretical answer: shift away from ‘Brexit means Hard Brexit’ to re-join the European Free Trade Area (EFTA), or the so-called Norwegian Model. True, it would be politically impossible under present leadership, but it might perhaps happen after the next election under Labour.

Yet what is the EU to do about its own self-inflicted structural problems that are far more difficult to resolve than Brexit? Note that Ukraine will find out within a week or so if it is going to get the green light to begin the (slow) EU membership process or not. At the same time, Ukraine is running out of ammunition with which to fight Russia, so determining what the country that joins will physically look like. Many Western soliloquies have been delivered, but far fewer arms: and Russia wants ‘its’ land back.

That is also ammunition to those who dispute that a globalised, free-trade economy holds all the best answers to our existential economic questions. How many EU countries would find themselves in the same boat as Ukraine in a similar crisis, which cannot be ruled out? Arguably all of them expect France. They would end up relying on the US – as ever. And whom can the US rely on? Didn’t we just go through this with Covid? Despite that, and Ukraine, the West is still firing geopolitical/geoeconomic blanks.

The simple fact is that if you push your commodities and manufacturing to other countries to lower inflation, you let those countries push you back by withholding supply, raising inflation again. Imagine if the US or EU were major net exporters to Russia or China, and D.C./Brussels didn’t like what they were doing: wouldn’t they withhold key goods as an economic pressure point? (Assuming American or EU firms cared more about home than their own profits – but there is always legislation/sanctions to give them a shove in the right direction.)

Geopolitical logic says the West needs to increase supply. It needs to do it now. And it needs to reduce supply from those who threaten to withhold it. Yes, that is as “unpopulist” as the Fed hiking 75bps or 100bps to also reduce demand and refusing to spoon-feed pampered markets as to what happens next on rates to keep them on edge. However, it does not stop either being true. The fact that this is not happening only shows that those at the top are not serious people, and that we should refuse to take them seriously.

Bringing it back to inflation, we are close to the summer solstice: then it’s six months until the depths of winter. At that point, Europe says it won’t be buying any Russian oil. If global supply is then constricted and demand hasn’t fallen, US retail gasoline prices might be $6 or $7 a gallon, or higher. Is that a recession? Yes, a deep one. Is it an inflation crisis too? Yes, a large one. And, crucially, it is driven by the geopolitical backdrop.

Relatedly, at the Singapore Shangri-La Dialogue, the good news was that the US and China are talking again. The bad news was what they were saying to each other. The US stressed they aren’t looking to form an ‘Asian NATO’, but don’t want any forced changes in the region. China claimed the US is stirring up problems, smearing it, and Beijing is prepared to fight a war to the end to take Taiwan if it moves towards independence, while escalating claims to the South China Sea: the only stated route to de-escalation is the US acceding to Chinese demands.

Meanwhile, Japanese PM Kishida’s keynote speech noted, “I will seek to build a stable international order through dialogue, not confrontation. At the same time, however, we must be prepared for the emergence of an entity that tramples on the peace and security of other countries by force or threat without honoring the rules.” He was not referring to the US.

“This will be absolutely essential if Japan is to learn to survive in the new era and keep speaking out as a standard-bearer of peace. I am determined to… secure substantial increase of Japan’s defence budget… In doing so, we will not rule out any options, including so-called “counterstrike capabilities”, and will realistically consider what is necessary to protect the lives and livelihoods of our people.” He also spoke of the Quad offering $50bn in infrastructure funding to ASEAN over next 5 years, obviously as a counter-offer to Chinese capital.

In short, the Japanese warning is that we risk stumbling towards a conflict like Ukraine in the Indo-Pacific too: and yet the West are *still* not moving supply chains fast enough to avoid calamity if it were to happen.

So, what to do? Shift supply as if this were a war *now*. And raise rates as high as needed for as long as needed to stifle capital flowing into frivolous and vampiric asset-speculation over desperately-needed physical production. It’s an Austrian view; it’s a realpolitik view; and it’s a post-Keynesian MMT view on how to fund it. But we aren’t seeing any rapid movement in that direction because those at the top in D.C. thinktanks and key parts of the Pentagon are also not serious people – and we should also refuse to take them seriously.

As the Modern War Institute at West Point puts it in its op-ed ‘We’re Doing It Wrong, “The US just lost two wars. How is it possible that the war colleges have educated more than twenty thousand “strategists” over the last two decades and have nothing to show for it but two strategic defeats?… Take, for instance, economics. Students need to understand how economics works in the real world, such as how markets, debt, or rapid currency moves influence strategic decisions.”  Equally, the Fed, which bankrolls the fading military hegemon propping up the entire global financial system, needs to understand the Pentagon’s needs and geostrategy better – rather than how to get on the $250,000 after-dinner speech circuit. (Though those prices have surely risen with inflation.)

Hold that thought as former Marine Gen. John Allen, President of the thinktank The Brookings Institute, steps down under an FBI probe for being an unregistered foreign agent (for Qatar). According to those who look at this in depth, that is the merest tip of the iceberg across D.C. – and Qatar is hardly the prime suspect.

Which brings me back to 1981’s ‘Taps’, where the movie description is: “When an exclusive military school is threatened with demolition by a rapacious real-estate company, the students stage an uprising and siege control of the campus.” So, Wall Street triumphing over national security was a thing back in 1981 in Hollywood imaginations. Now it’s real life, and some are worried about playing Taps (a bugle call during flag ceremonies at military funerals by the US Armed Forces) for real.

Reversing that US drift, and reversing a 1981 level of US inflation, requires new policies that are joined at the hip: and serious people we could take seriously. But for now we will probably just get 50bps this week and strategic inaction; and so higher commodity prices; and so higher inflation; and so incession.

As a result, we will also get populist political distractions.

Today, the British government will release legislation that opens the door to tearing-up the Northern Ireland Protocol, so breaking international law. The CBI are warning the UK this will be a huge error, and the EU have made clear it will trigger a trade war. Nonetheless, sausage rolls, the need to distract from two seemingly-inevitable byelection defeats this week, and PM BYO’s desire to stay in office all suggest the UK will nonetheless go down this route. Just don’t think the EU and US are immune from their own forms of such “unpopulism”.

 

end

7. OIL ISSUES//ELECTRICITY ISSUES/USA//FOREIGN

Oil Spikes On Reports Libya Shuts Down Nearly All Its Oil Fields

MONDAY, JUN 13, 2022 – 12:23 PM

Authored by Irina Slav via oilprice.com,

Libya is losing oil production at the rate of 1.1 million barrels daily, the country’s oil minister Mohammed Aoun has said, adding that almost all of the country’s oil fields were shut down.

Libya’s largest field, El Sharara, was shut down last month along with El Feel, with reports saying that it was groups affiliated with the eastern parliament that shut down oil production, among them the Libyan National Army of Halifa Khaftar.

[ZH: The Bloomberg headline appears to have sparked a bid in crude, sending WTI prices surging back into the green…]

According to Aoun, however, “it appears that the closure instructions were issued by an official body, the Petroleum Facilities Guard in the closure areas.

Libya is currently in the throes of yet another flare-up of violence as two politicians vie for the post of Prime Minister: interim PM Abdul Hamid Dbeibah and eastern-affiliated Fathi Bashaga. According to reports, the groups shutting down fields and export terminals are affiliated with the Bashaga camp.

Bashaga has been sworn in as the new prime minister of the country, but Dbeibah has refused to step down.

According to the oil minister, the only functioning fields right now in Libya are Hamada and the Mellitah complex, with the Wafa field producing from time to time.

This means that Libya is producing almost no oil, putting further strain on an already undersupplied oil market. The North African country was already producing about 600,000 bpd in May due to the large field and export terminal closures, and now, based on Aoun’s comments, its output rate is close to about 100,000 bpd.The impact of such outages on international prices could have been significant were it not for the fact that outages in Libya are frequent and the latest news from China, which is mass-testing citizens in a Beijing district after an outbreak of Covid. The latter sparked concern about China’s demand prospect in case it decides to impose more lockdowns to stem the spread of the virus.

8 EMERGING MARKET& AUSTRALIA ISSUES

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

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

Euro/USA 1.0451 DOWN 0.0055 /EUROPE BOURSES //ALL RED

USA/ YEN 134.54   UP 0.197 /NOW TARGETS INTEREST RATE AT .11% AS IT WILL BUY UNLIMITED BONDS TO GETS TO THAT LEVEL…

GBP/USA 1.2174 DOWN   0.01148

 Last night Shanghai COMPOSITE CLOSED DOWN 29.28 POINTS UP 0.89%

 Hang Sang CLOSED  DOWN 738.60 PTS OR 3.39%

AUSTRALIA CLOSED DOWN 1.32%    // EUROPEAN BOURSES ALL RED 

Trading from Europe and ASIA

I) EUROPEAN BOURSES ALL RED 

2/ CHINESE BOURSES / :Hang SANG CLOSED DOWN 738.60 PTS OR 3.39%   

/SHANGHAI CLOSED DOWN 29.28 PTS UP 0.89% 

Australia BOURSE CLOSED DOWN  1.32% 

(Nikkei (Japan) CLOSED  DOWN 836.35 OR 2.01%

INDIA’S SENSEX  IN THE RED

Gold very early morning trading: 1855.05

silver:$21.60

USA dollar index early MONDAY morning: 104.75  UP 73  CENT(S) from FRIDAY’s close.

 MONDAY MORNING NUMBERS ENDS

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And now your closing MONDAY NUMBERS 1: 00 PM

Portuguese 10 year bond yield: 2.99%  UP 21  in basis point(s) yield

JAPANESE BOND YIELD: +0.268% UP 0     AND 9/10   BASIS POINTS /JAPAN losing control of its yield curve/

SPANISH 10 YR BOND YIELD: 2.98%// UP 22   in basis points yield 

ITALIAN 10 YR BOND YIELD 4.09  UP 24   points in basis points yield ./

GERMAN 10 YR BOND YIELD: RISES TO +1.625%

END

IMPORTANT CURRENCY CLOSES FOR MONDAY  

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

Euro/USA 1.0432 DOWN  0.0073    or 173 basis points

USA/Japan: 134.19 DOWN 0.161  OR YEN UP  16  basis points/

Great Britain/USA 1.2162 DOWN 0.01275 OR 128  BASIS POINTS

Canadian dollar DOWN .01060 OR 106 BASIS pts  to 1.2860

xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx

The USA/Yuan,  CNY: closed    ON SHORE  (CLOSED ..DOWN 6.7546  

THE USA/YUAN OFFSHORE:    (YUAN CLOSED (DOWN)..6.7718

TURKISH LIRA:  17.25  EXTREMELY DANGEROUS LEVEL/DEATH WISH/HYPERINFLATION TO BEGIN.

the 10 yr Japanese bond yield  at +0.268

Your closing 10 yr US bond yield UP 17  IN basis points from FRIDAY at  3.326% //trading well ABOVE the resistance level of 2.27-2.32%) very problematic

 USA 30 yr bond yield   3.348 UP 15 in basis points 

Your closing USA dollar index, 104.90 UP 93   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 MONDAY: 12:00 PM

London: CLOSED DOWN 101.68 PTS OR  1.39%

German Dax :  CLOSED DOWN 305.12  POINTS OR 2.22%

Paris CAC CLOSED DOWN 144.34 PTS OR 2.33% 

Spain IBEX CLOSED DOWN 191.70 OR 2.28%

Italian MIB: CLOSED DOWN 588.58 PTS OR  2.61%

WTI Oil price 120.64   12: EST

Brent Oil:  121.93  12:00 EST

USA /RUSSIAN ///   RUBLE RISES TO:  56.80  UP  0        RUBLES/DOLLAR

GERMAN 10 YR BOND YIELD; +1.625

CLOSING NUMBERS: 4 PM

Euro vs USA: 1.0408 DOWN   .0099   OR  DOWN 99 BASIS POINTS

British Pound: 1.2112 down .01812  or  180 basis pts

USA dollar vs Japanese Yen: 134.65 up .295//YEN down 30 BASIS PTS

USA dollar vs Canadian dollar: 1.2890 up 01340 (CDN dollar down 134 basis pts)

West Texas intermediate oil: 120.27

Brent OIL:  121.58

USA 10 yr bond yield: 3.431 UP 28 points

USA 30 yr bond yield: 3.409  UP  21  pts

USA DOLLAR VS TURKISH LIRA: 17.25

USA DOLLAR VS RUSSIA//// ROUBLE:  56.80 UP  0/ ROUBLES 

DOW JONES INDUSTRIAL AVERAGE: DOWN 874/73 PTS OR 2.79%

NASDAQ 100 DOWN 544.50 PTS OR 4.60%

VOLATILITY INDEX: 34.91 UP 7.16 PTS (up 25.60)%

GLD: 169.93 DOWN 4.61 PTS OR 2.64%

SLV/ 19.50 DOWN .68 PTS OR 3.37%

end)

USA trading day in Graph Form

CARNAGE

Well that escalated quickly. Apart from crude oil, almost all asset classes were clubbed like baby seals today as event risk anxiety (ahead of FOMC) combined with OpEx technicals ($3.4 trillion options expiration) and European ‘fragmentation’ fears and all the usual geo-political, geo-economic factors that are holding back the dip-buyers as the S&P drops into a bear market and US equities broadly test 2022 lows (while TSY yields push multi-year highs).

The S&P closed down 22% from its highs and at its lowest since Jan 2021…

“…millions of voices suddenly cried out in terror and were suddenly silenced…”

As Bill Blain noted earlier, the summer somnambulance should be upon us – investment desks and traders sitting back to watch their carefully composed portfolios and positions cruise through the summer before the markets get hot again in September. At least, that’s how I remember the long-balmy days of my market childhood back when I was a young banker….

Not this year. Too many fundamental tremblors threaten to rock the markets:

  • Inflation, Inflation, Inflation
  • Supply Chains, Covid and China
  • Europe and the ECB
  • Recession/stagflation
  • War vs Jaw
  • Central Banks tightening
  • Stock Resets and Earnings
  • Bond Market Meltdown
  • Global Trade Reset and De-Globalisation
  • The US, The Dollar and Trump

I predict a stormy Q3 – the usually calm languid dog-day markets of July and August being replaced by lumpy seas of bad numbers, grey storm skies as markets struggle with the acceleration of negative news-flow on inflation, corporate earnings, markets and increasingly wobbly politics, and few sharp pointy rocks of financial destruction.

Financial Conditions are tightening once again, ratcheting down as The Fed stomps on the brake, surveys the damage, lifts off briefly, then re-stomps on the brake…

Source: Bloomberg

Recession risks are rising as signaled by Energy, Consumer Discretionary, and Materials all lagging a sharply down market. And on the too-high inflation and higher rates side of the pendulum, Real Estate and Tech are also selling off today.

Source: Bloomberg

US equity markets were notably weaker overnight and extended losses at the open. The European close – and the end of BTP selling – sparked some relief that sent crypto and US stocks higher but the algos could not build on it. Witho about 30 minutes to go a major sell order hit all the markets – bonds and gold were dumped and stocks pushed to the lows of the day. Dow -3%, S&P -5%, Nasdaq -4.6%, Small Caps -5%

The last time the S&P had a 4-day stretch this bad (-1.08%, -2.38%, -2.91%, -3.23%) was March 23, 2020 when the Fed unleashed $1 trillion in QE, repo and corporate bond purchases

And some context for the move in the last 3 days…

https://platform.twitter.com/embed/Tweet.html?dnt=false&embedId=twitter-widget-0&features=eyJ0ZndfZXhwZXJpbWVudHNfY29va2llX2V4cGlyYXRpb24iOnsiYnVja2V0IjoxMjA5NjAwLCJ2ZXJzaW9uIjpudWxsfSwidGZ3X3JlZnNyY19zZXNzaW9uIjp7ImJ1Y2tldCI6Im9mZiIsInZlcnNpb24iOm51bGx9LCJ0Zndfc2Vuc2l0aXZlX21lZGlhX2ludGVyc3RpdGlhbF8xMzk2MyI6eyJidWNrZXQiOiJpbnRlcnN0aXRpYWwiLCJ2ZXJzaW9uIjpudWxsfSwidGZ3X3R3ZWV0X3Jlc3VsdF9taWdyYXRpb25fMTM5NzkiOnsiYnVja2V0IjoidHdlZXRfcmVzdWx0IiwidmVyc2lvbiI6bnVsbH19&frame=false&hideCard=false&hideThread=false&id=1536356979798683648&lang=en&origin=https%3A%2F%2Fwww.zerohedge.com%2Fmarkets%2Fcarnage&sessionId=83ca8d7f27dd6e8e4a9293e7e96c30f84cc37de4&siteScreenName=zerohedge&theme=light&widgetsVersion=b45a03c79d4c1%3A1654150928467&width=550px

The market cap of FANG stocks has no plunged to ‘just’ $3 trillion (it was at $5.11 trillion on 11/18/21)…

Source: Bloomberg

European stocks collapsed to their lowest since March 2021, now well below the pre-COVID-peak levels…

Source: Bloomberg

European bond markets were a shitshow with BTPs spiking above 4.00% for the first time since 2014…

Source: Bloomberg

Spreads are blowing out amid ‘fragmentation’ risk…

Source: Bloomberg

And “Italeave” fears are rising…

Source: Bloomberg

In the US, Treasuries were clubbed like a baby seal with the short-end underperforming. The short-end exploded higher in yield today (2s thru 5s up over 30bps) with the long-end up ‘only’ around 20bps (with a late-day acceleration hot helping at all). Since right before Friday’s CPI print, 2Y yields are up over 55-60bps, 30Y up around 20bps… These moves are just un-fucking-believable! Today was the biggest 2y yield spike since the day Lehman filed.

Source: Bloomberg

The yield curve is now fully inverted 1y forward and the spot curve is above 3.00% from the 1y maturity on…

Source: Bloomberg

Yields are literally going vertical with the short-end at their highest since 2008…

Source: Bloomberg

And the all-knowing 2s10s curve inverted again today…

Source: Bloomberg

Late in the day, the curve flattened again drastically as the short-end blew out…

Source: Bloomberg

US rate-hike expectations are soaring… and so are the subsequent rate-cut expectations as Powell pushes America into recession…

Source: Bloomberg

The market is now more than certain that The Fed will hike by 75bps at one of June’s or July’s meetings (and at least 50bps at the other).

Source: Bloomberg

And the market is pricing a 85% chance of a 75bps hike this week.

Source: Bloomberg

US credit markets are breaking bad with IG now at its lowest price since the COVID lockdown collapse…

Source: Bloomberg

US 30Y mortgage rates topped 6.00%…

Source: Bloomberg

And HY spreads rocketing higher…

Source: Bloomberg

The dollar index rose for the 4th straight day (up 8 of the last 10 days) to its highest close since April 2020…

Source: Bloomberg

Cryptos were slammed lower amid the general derisking and not helped by systemic issues from Celsius and Binance with Bitcoin puking back below $23,000 at its lows… the lowest price since Dec 2020…

Source: Bloomberg

Total crypto market cap dropped back below $1 trillion today for the first time since Jan 2021 (down $2 trillion from its highs)…

Source: Bloomberg

Gold (priced in JPY) reached a new record high on Friday, and reversed off that level today…

Source: Bloomberg

Gold (in USD) puked back all of Friday’s gains, falling back below $1850 once again…

Oil ended the day practically unchanged as recession fears (demand) dragged prices lower while Libya output cuts (supply) briefly spiked prices…

Dr.Copper was also weaker, back near one month lows…

Finally, Small Business optimism is starting to catch down to ‘average Joe’ American’s

Source: Bloomberg

Is that all Putin’s fault too?

*WHITE HOUSE WATCHING STOCK MARKET CLOSELY: JEAN-PIERRE

I) / EARLY MORNING TRADING/

Futures Open Down Hard, S&P Nears Bear Market (Again), Treasury Curve (Re)Inversion Imminent

SUNDAY, JUN 12, 2022 – 07:55 PM

US equity futures have opened down hard in quiet Sunday night trading with Nasdaq the hardest hit, down 1.5%. This move leaves the S&P down over 6% in the last 3 days…

…and once again nearing the ‘bear market’ Maginot Line…

Which we doubt will be so eagerly bid this time ahead of this week’s chaotic event risk (FOMC) and technical factors (VIX/Equity opex).

Gold is up modestly, oil down over 1%, and Longer-end Treasury futures are down very small for now (equiv around 1bp higher in yield)…

But the short-end is getting hammered again with 2Y Yields up 8bps…

Which has pushed the all-knowing 2s10s curve very close inverting… again…

The dollar is extending Thursday and Friday’s gains…

As we detailed previously, veteran hedge fund managed Stan Druckenmiller warned this week that:

“My best guess is that we’re six months into a bear market,” adding that “for those tactically trading, it’s possible the first leg of that has ended. But I think it’s highly, highly probable that the bear market has a ways to run,” he added.

When it comes to investing himself, Druckenmiller said he’s taking a step back from trading.

“I’ve lived through enough bear markets, that if you get aggressive in a bear market, on the short side, you can get your head ripped off in rallies. I’m pretty much taking a break,” he said.

Druckenmiller is not alone in his pressimism. Former Obama administration Treasury Secretary Larry Summers predicted the United States will enter an economic recession and suggested the possibility of yet higher gas prices than the country is currently seeing.

“I think the optimists were wrong a year ago in saying we have no inflation and I think they are wrong now if anyone is highly confident that we are going to avoid recession,” he said on CNN’s “State of the Union” on Sunday, adding that Treasury Secretary Janet Yellen’s and Federal Reserve Chair Jerome Powell’s predictions are “too optimistic.”

Finally, Druckenmiller worries about the many “bull market geniuses” that were surfing with a hurricane, giving them some nice waves, though like anything, nothing lasts forever.

end

MIDMORNING

Stocks Open With 5th Largest ‘Sell Program’ In History; Bonds, Bitcoin, & Bullion All Battered

MONDAY, JUN 13, 2022 – 10:01 AM

US cash equity markets opened with no panic-bid, instead being met with a wall of selling after the ugly overnight futures session.

The selling wave was almost unprecedented, with a TICK below -2000 – the fifth largest ‘sell program’ in history…

As Bloomberg notes, sell programs of this size are typically not single events. They tend to happen in clusters and that probably means stocks might be in store for bigger losses.

This puke sent the S&P 500 to the lows of the year and into bear market territory…

Elsewhere, the picture is just as bloodbath-y with Bitcoin puked back below $24k…

Gold topped $1880 briefly then plunged back below $1840…

The yield curve (2s10s) briefly inverted this morning, as the short-end underperforms (but the entire Treasury market is getting hammered)…

And credit markets are really hemorrhaging with IG credit crashing back to its COVID lockdown spike lows…

The last time credit markets puked like this, The Fed turned up the intervention amplifier to ’11’.

Is that a silver lining? A few ticks lower and Powell throws in the towel – the Fed will not risk a depression… or will he?

The market is starting to capitulate on the hope of an imminent Fed Put for now…

And is pricing in 3 rate-cuts after, to ‘rescue’ us from the imminent shitshow.

IIB) USA COVID/VACCINE MANDATES

These shots should never to given to children

(EpochTimes)

Republicans Press FDA On Why COVID-19 Vaccines Would Be Authorized For Young Children

FRIDAY, JUN 10, 2022 – 08:20 PM

Authored by Zachary Stieber via The Epoch Times (emphasis ours),

A group of members of Congress is pressing the U.S. Food and Drug Administration (FDA) for answers before the regulator decides whether to authorize COVID-19 vaccines for young children.Sen. Ted Cruz (R-Texas) speaks to reporters in Washington on April 7, 2022. (Drew Angerer/Getty Images)

All Americans aged 5 and older can get a COVID-19 vaccine. The FDA is scheduled to meet with its advisory panel on June 15 to discuss whether to grant emergency use authorization (EUA) for the Moderna and Pfizer vaccines for children aged 6 months to 4 years old.

A bicameral group of members of Congress, led by Sen. Ted Cruz (R-Texas) and Rep. Bill Posey (R-Fla.), are questioning whether an EUA makes sense, given how little risk COVID-19 poses to young children and how the vaccines have plunged in effectiveness against infection as new virus variants have emerged during the pandemic.

The broad approach of the CDC and FDA to date has been a one-size fits all policy—get the vaccine regardless of age, risk factors, the underlying health of the individual, or previous infection,” the members wrote to FDA Commissioner Robert Califf and members of the advisory panel in a June 7 letter obtained by The Epoch Times. “Yet, to date there remain many unanswered questions about these EUA-approved COVID-19 vaccines and only a small percentage of the safety data about these vaccines that are in the possession of the FDA and the manufacturers has been released for review.”

The members noted that nearly 70 percent of children aged 1 to 4 have recovered from COVID-19, according to the Centers for Disease Control and Prevention (CDC). That recovery gives the children a level of protection against re-infection that studies show is better than the protection from the vaccines. The members also pointed out that children who contract COVID-19 have a high survival rate and have little risk of experiencing severe disease.

The group asked the FDA to answer a series of questions before issuing its decision on the EUA requests from Moderna and Pfizer. They want to know, among other details, the cardiac risk factor for children getting the vaccines; whether the FDA will commit to sticking with a 50 percent effectiveness threshold it outlined in 2020; and whether there is a possibility children who get the vaccines will face higher risk from future variants of the virus that causes COVID-19.

The data show that the risks of serious adverse outcomes for COVID for children five and under is very low and as such the standard for evaluating EUA interventions must be very high,” the group wrote. “We believe each question raised above is not just important, but essential questions for the FDA, VRBPAC and the CDC when it comes to doing a thorough job of evaluating the potential benefits and potential risks of the vaccines for which you have been asked to consider granting an Emergency Use Authorization.”

VRBPAC stands for the Vaccines and Related Biological Products Advisory Committee. It is the FDA’s advisory panel on vaccines.

The group who wrote the letter also includes Sen. Ron Johnson (R-Wis.), Rep. Louie Gohmert (R-Texas), Rep. Ralph Norman (R-S.C.), Rep. Mary Miller (R-Ill.), Rep. Andy Biggs (R-Ariz.), Rep. Chip Roy (R-Texas), Rep. Dan Bishop (R-N.C.), Rep Lauren Boebert (R-Colo.), Rep. Andrew Clyde (R-Ga.), Rep. Thomas Massie (R-Ky.), Rep. Warren Davidson (R-Ohio), Rep. Jeff Duncan (R-S.C.), Rep. Diana Harshbarger (R-Tenn.), Rep. Matt Rosendale (R-Mont.), Rep. Vicky Hartzler (R-Mo.), and Rep. Bob Good (R-Va.).

The FDA did not respond to a request for comment.

“I am concerned that in a rush to mandate a ‘one-size-fits-all’ policy, the FDA is failing to consider that this age group is least at risk for complications from COVID and that the CDC estimates 68% of those under five have already had COVID. Common sense would suggest that VRBPAC members have already asked these questions, so we would expect a response by the time they meet. If we don’t receive answers, it is right to assume they haven’t asked basic benefit and risk questions about using this vaccine for millions of children who are at very little risk from COVID,” Posey said in a statement.

“We are in our third year with COVID-19, and we know vastly more about the virus now than we did in 2020. One of the most important things we know is that this virus poses minimal risk for children. Before the FDA approves an Emergency Use Authorization for a children’s vaccine, parents should be able to see the data and paperwork they would use to justify this decision. This is the least the FDA can do for families in Texas and across the country so parents can make the best decisions for their children,” Cruz added.Food and Drug Administration (FDA) Commissioner Robert Califf testifies during a Senate Agriculture, Rural Development, Food and Drug Administration, and Related Agencies Subcommittee hearing on Capitol Hill in Washington on April 28, 2022. (Kevin Dietsch/Getty Images)

Given the high survival rate of children, the unknown long-term side effects of the shots, and the post-vaccination heart inflammation cases that were only detected after the vaccines were authorized, “the push for vaccine approval seems absolutely reckless,” Gohmert said.

Just last month, the FDA essentially announced that people should no longer take the Johnson and Johnson vaccine due to dangerous blood clotting side effects. This, after telling us the J&J vaccine was safe and effective for over a year. As Americans, we have every right to demand that the utmost safety and efficacy standards be implemented and rigorous studies and testing be performed before these injections are approved for anyone, especially innocent children,” he added.

After Rep. James Clyburn (D-S.C.) reported being told by Dr. Peter Marks, a top FDA vaccine official, in May that the agency would not withhold authorization solely because a vaccine was not at least 50 percent effective. An FDA spokesperson told The Epoch Times in an email that the agency “will evaluate any data submitted in the context of the ongoing public health emergency and will only authorize vaccines for the youngest children that meet our standards and for which the known and potential benefits outweigh the known and potential risks.”

Experts and parents are divided on whether vaccines are needed for children, especially healthy children.

Based on research and the effect of COVID-19 on youth, “childhood vaccination should not be considered unless a child has significant co-morbidities like cystic fibrosis, severe Type I diabetes, etc.,” Dr. Steven Hatfill, a virologist, told The Epoch Times in an email.

Dr. Moira Szilagyi, president of the American Academy of Pediatrics, said in a statement that U.S. authorities should “move with all possible speed” to review the data on vaccines for young kids, adding, “Children are not immune from COVID, which can cause severe and long-term illness, hospitalizations and even death.”

end

iii)a.  USA economic stories

Red-Hot US Inflation Is No Longer An Outlier

FRIDAY, JUN 10, 2022 – 08:40 PM

Today’s US inflation print continued the trend of upside surprises, coming in at 8.6% YoY. In fact, in the past two years, there have been just two occasions when inflation came in below expectations, and judging by the market’s reaction, many more upside surprises lie in stock.

Perhaps more importantly, DB’s Jim Reid today notes that inflation is not meeting the Fed’s test of MoM deceleration that would force a slower path of rate hikes, with headline CPI at 1.0% MoM versus expectations of 0.7% and 0.3% in April.

Yet what may come as a shock to readers, US inflation doesn’t really stand out globally any more; in fact, as Reid’s Chart of the Day below shows, the US is now just above the middle of the pack when ranked the highest to lowest using 111 countries covering the most up to date data available. In fact, the US is “only” 48th highest on this list.

Compare this to June last year when the US was ranked 28th highest out of 116 and the Eurozone 84th (now only 2 spots below the US). This was soon after the Biden fiscal package and associated helicopter money. Since then YoY US inflation has increased around 3% but many other countries have seen it increase even more.

Just for statistical interest, Reid calculates that the median global inflation is now 7.9% YoY. It was 3.05% last June. Inflation is now truly a global phenomenon with Asian economies generally the least effected. So the shock value from US inflation data has lessened.

END

Over Twenty Million Households Struggle To Pay Energy Bills, It Will Get Worse

MONDAY, JUN 13, 2022 – 03:45 PM

Authored by Mike Shedlock via MishTalk.com,

Over 20 million households are behind over $23 billion on their utility bills as we head into a blisteringly hot summer…

Data from Census Bureau Household Pulse Survey, April 27 to May 9, 2022

Struggling to Pay Bills 

According to Mark Wolfe, the executive director of the National Energy Assistance Directors’ Association (NEADA ) many families are facing potential power shutoffs if they cannot pay their overdue home energy bills. 

“More than 20 million families are currently behind on their utility bills, owing about $23 billion, up from about $10.5 billion at the end of 2019,”  Wolfe said to CNN.

Census Department Household Pulse Survey

Let’s take a look at Week 45 Household Pulse Survey: April 27 – May 9, 2022 for more data on ability to pay rent.

The lead chart is from Household Pulse data.

Household Pulse Survey Methodology

  • There are lots of issues with the data and the numbers are misleading. 
  • The Census Bureau surveys people older than 18, not just households, so many households will be double counted.
  • As of 2021 there are about 126 million households but the Census Department surveyed over 252 million people.
  • Huge numbers of people did not respond. I suspect lower educated persons and those struggling would be less likely to respond. 

I went to compare this May to a year ago but the Census Department did not ask that question a year ago.

The Census Department did ask that question in September of 2021 and numbers are generally up by 2 million or so across the board. However, comparing May to September is a bit questionable.  

Finally, the Census Department cautions “These data are experimental. Users should take caution using estimates based on subpopulations of the data – sample sizes may be small and the standard errors may be large.

With those caveats in mind, here are some other charts from Week 45. 

Household Keeping Temperature at Unsafe Level

Data from Census Bureau Household Pulse Survey, April 27 to May 9, 2022

Household Unable to Pay Full Energy Bill 

Data from Census Bureau Household Pulse Survey, April 27 to May 9, 2022

Given extreme ambiguities in the data collection by the Census Department, all we can reasonably assume is the numbers of people struggling with energy bills is well over 20 million and rising rapidly.

Summer of Discontent Coming

Things will get worse in July heat with air conditioning bills and again in winter with the price of natural gas and heating oil skyrocketing.

A huge summer of discontent is on the way as the CPI is at a 40-year high and rising.

Price of Gas Topped $5.00 Today

Meanwhile, the average price of gasoline topped $5 today. Yesterday, I commented Average Gas Price Just a Penny Shy of $5.00 a Gallon

CPI at 40-Year High 

In case you missed it, please see Why Did Economists Blow the CPI Forecast So Badly This Month?

Unfortunately, higher rent prices are baked in the cake and that’s over 31 percent of the CPI.

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END

“Panic”: Yields Soar After WSJ “Fed Leaker” Says Odds Rising Of 75bps Rate Hike

MONDAY, JUN 13, 2022 – 03:55 PM

Up until this afternoon, while several banks – most notably Barclays, Jefferies and Nomura – were speculating that 75bps (or even 100bps) of rate hikes on Wednesday was possible, they were also viewed as unlikely because – as Standard Chartered’s Steven Englander said earlier – this is “not a Fed that likes to surprise“, while SGH Macro Advisors Fed watcher Ted Duy said, “The Fed has locked in 50-bp moves the for June and July meetings. A break with this near-term predictability “repudiates the Fed’s entire strategy.” It would sound like panic.” Guy continued:

The Fed prefers using aggressive forward guidance, instead of surprise or super-sized rate hikes. The Fed can do more to accelerate policy tightening by adding in more rate hikes and a higher terminal rate in this cycle, than with just a 75bphike this week. Larger increments — especially if they come sporadically — might undermine the Fed’s efforts to push rates sustainably higher by risking a “market accident”

Well, panic it may be, because moments ago, the WSJ’s in-house Fed leaker whisperer, Nick Timiraos, who has repeatedly been used by the Fed to strategically leak key guidance to the market, just unleashed hell when he warned that the “string of troubling inflation reports in recent days is likely to lead Federal Reserve officials to consider surprising markets with a larger-than-expected 0.75-percentage-point interest rate increase at their meeting this week.” He went on:

The Fed raised rates by a half-percentage point at its meeting last month, the first such increase since 2000, to a range between 0.75% and 1%. The Fed last raised rates by 0.75 percentage point at a meeting in 1994, when the central bank was rapidly raising rates to pre-empt a potential rise in inflation.

There is more in the article, but the gist is simple: the WSJ was teasing a 75bps rate hike as an all too real possibility, and the result was immediate – 2Y yields exploded to session highs, surging almost 25bps higher and briefly rising 3.40%…

…and sending odds of a 75bps rate to the highest ever, at 85%!

The news also slammed stocks to session lows, with the Emini tumbling 4% to as as low as 3,735.

https://platform.twitter.com/embed/Tweet.html?dnt=false&embedId=twitter-widget-0&features=eyJ0ZndfZXhwZXJpbWVudHNfY29va2llX2V4cGlyYXRpb24iOnsiYnVja2V0IjoxMjA5NjAwLCJ2ZXJzaW9uIjpudWxsfSwidGZ3X3JlZnNyY19zZXNzaW9uIjp7ImJ1Y2tldCI6Im9mZiIsInZlcnNpb24iOm51bGx9LCJ0Zndfc2Vuc2l0aXZlX21lZGlhX2ludGVyc3RpdGlhbF8xMzk2MyI6eyJidWNrZXQiOiJpbnRlcnN0aXRpYWwiLCJ2ZXJzaW9uIjpudWxsfSwidGZ3X3R3ZWV0X3Jlc3VsdF9taWdyYXRpb25fMTM5NzkiOnsiYnVja2V0IjoidHdlZXRfcmVzdWx0IiwidmVyc2lvbiI6bnVsbH19&frame=false&hideCard=false&hideThread=false&id=1536436608257642496&lang=en&origin=https%3A%2F%2Fwww.zerohedge.com%2Fmarkets%2Fpanic-yields-soar-after-wsj-fed-leaker-says-odds-rising-75bps-rate-hike&partner=tweetdeck&sessionId=8c5e3bc1533c6310d59996e958b9a5d27f0c3533&siteScreenName=zerohedge&theme=light&widgetsVersion=b45a03c79d4c1%3A1654150928467&width=550px

So what’s going on: is the Fed really about to signal “panic” and crush its forward guidance strategy, or is this just a ploy of making Wednesday’s 50bps rate hike seem like a merciful dovish pivot? We’ll find out in 48 hours, when the FOMC meeting ends, but in the meantime we have at least one crazy session with Japanese bonds, where – as explained previously – something will likely break, unless central banks step in to contain the carnage.

END

New York: Manhattan Apartment rents now top a record $4,000 per month

(zerohedge)

Median Manhattan Apartment Rent Tops New Record-High Of $4,000

FRIDAY, JUN 10, 2022 – 05:20 PM

Manhattan apartment rents surged to a record high in May as spring demand remains robust and supply is ultra-tight. The baffling part about the strong demand is why people are flocking to a metro area experiencing an eruption in violent crime (remember what happened to the Goldman Sachs analyst?) and soaring living costs.  

Bloomberg reports new data from appraiser Miller Samuel Inc. and brokerage Douglas Elliman Real Estate that shows Manhattan apartment rents touched an average of $4k per month, a 25% jump from a year ago. 

Strong demand is apparently due to the real estate market’s busiest season (spring) as new college graduates find jobs and families make moves before fall when school begins. “Rents now have notched records in the past four months as New York came roaring back from the pandemic,” Bloomberg explains. 

“Historically, new lease signings always peak in August, which increases the chances that the additional demand will push prices up further.

“In other words, tenants could see more price pain through the summer,” Jonathan Miller, president of Miller Samuel, said. 

Manhattan’s vacancy rate was 12% a little more than a year ago and has since plunged to 2%. Supply is tight and is the reason why rents are at record highs. The lack of supply could push rent prices even higher by the end of summer (we noted last month: “Not A Peak” – Manhattan Apartment Rents Hit Another Record High). 

Miller Samuel and Douglas Elliman said units listed last month spent just 52 days on the market, down from 68 in April and 107 a year earlier. Strong demand has enabled landlords to slash concessions. Only 15.3% of new leases in May had added perks, the lowest since September 2016. 

Here’s the current situation on the ground: 

As people flock to the borough, an exodus of New Yorkers continues to accelerate. 21,546 New Yorkers left the state for Florida (where taxes, costs of living, and violent crime are low) in the first four months of the year. 

In today’s age of remote or hybrid work, living in a violent city, and paying some of the highest living costs in the country, makes absolutely no sense. 

END

Totally nuts:  With border cities swamped, Biden now busses migrants deeper into the USA

(zerohedge)

With Border Cities Swamped, Biden To Bus Migrants Deeper Into US

FRIDAY, JUN 10, 2022 – 06:00 PM

With border cities overwhelmed by a record surge in migration, the Department of Homeland Security is planning to start transporting migrants into cities away from the border, according to DHS documents reviewed by NBC News.  

Los Angeles has been designated as the first city to be the recipient of the transported migrants, with Albuquerque, Houston, Dallas and others to follow. In a statement to NBC, DHS said “no decision has been made.” 

Away from microphones, DHS officials jokingly refer to the scheme as the “Abbott plan,” according to an unidentified official who spoke to NBC. That’s a reference to Texas governor Greg Abbott, who earlier this year sent at least 10 busloads of illegal immigrants to Washington, D.C. as a means of redistributing the wealth of inbound Latin American diversity.  

At the time, Customs and Border Protection commissioner Chris Magnus said Abbott’s shipping of immigrants made CBP’s job more difficult. 

Texas taxpayers paid for those buses, but the federal embrace of the Abbott plan will put all taxpayers on the hook for who knows how much. The new scheme will be managed by the Southwest Border Coordination Center, a joint undertaking of CBP, the Federal Emergency Management Agency (FEMA), Immigration and Customs Enforcement and other agencies. 

The busing plan is Washington’s answer to overflowing shelters run by charitable and nongovernmental organizations in border cities. In April, CBP tallied a record-breaking 234,088 migrant encounters.  

NBC’s revelation of the Biden administration plan comes the same week that a massive migrant caravan has begun a thousand-mile trek from Mexico’s Guatemala border to the Rio Grande. Numbering upwards of 12,000, the group paused Wednesday in the town of Huixtla while the Mexican government issued work visas that will ease their travel throughout Mexico and up to the U.S. border. 

On Friday, Biden is expected to sign an international declaration on migration at the poorly-attended “Summit of the Americas” that he’s hosting in Los Angeles. According to AP, the declaration will “call for more pathways to legal status, mechanisms to reunite families, more efficient and humane border controls and improved information sharing.” 

 

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

Smithfield foods citing escalating costs have decided to shutter California meat packing plant

(zerohedge)

Smithfield Foods, Citing “Escalating Costs,” To Shutter California Meat-Packing Plant

SUNDAY, JUN 12, 2022 – 10:00 PM

Meat-packing giant Smithfield Foods announced a 1,800-person pork processing plant in California would shutter operations next year, citing the rising cost of doing business in the liberal-run state. 

Smithfield, owned by Hong Kong-based pork conglomerate WH Group Ltd., “will cease all harvest and processing operations in Vernon, California in early 2023,” the company said in a Friday press release

“Smithfield is taking these steps due to the escalating cost of doing business in California,” the company continued. 

WSJ explains the company’s reasoning behind winding down operations at the Vernon plant is due to a multitude of factors, including the cost of energy to power plants is 3.5x higher per head to produce pork than any of its 45 other US plants. 

“It’s increasingly challenging to operate efficiently there,” company spokesman Jim Monroe told WSJ. “We’re striving to keep costs down and keep food affordable.”

Monroe also made clear the regulator environment in the state wasn’t favorable for meat processing plants. 

Smithfield also said part of the reason it closed the facility was the regulatory environment in the state. Specifically, a state law passed by voters in 2018 and backed by the Humane Society, called Proposition 12. It requires breeding pigs, or sows, to be able to lie down and turn around in spaces in which they are housed, essentially outlawing pork produced using small gestation stalls in most circumstances. -WSJ

Smithfield will also “decrease its sow herd in Utah and is exploring strategic options to exit its farms in Arizona.” The planned shutdown isn’t expected to reduce the supply or increase the costs of pork products at the supermarket. 

The announcement’s timing comes as a string of fires and explosions damage major food processing plants across the country. The latest fire hit a huge poultry farm in Minnesota that supplies eggs to top supermarkets. 

What’s also concerning is the US hog herd isn’t expected to increase anytime soon as soaring input costs, such as higher feed, diesel, labor, and material costs, have financially strained farmers. 

iv)swamp stories

Jan. 6 Committee Being Used To “Abolish Electoral College”, “Cover Up” For Pelosi: House Republicans

FRIDAY, JUN 10, 2022 – 10:20 PM

Authored by Mimi Nguyen Ly via The Epoch Times (emphasis ours),

House Republicans on Wednesday spoke out against the Jan. 6 Committee, accusing the entire effort of being a “partisan witch hunt” used by Democrats to abolish the Electoral College as well as to help cover up what House Speaker Nancy Pelosi (D-Calif.) does not want the public to know about matters surrounding the events of Jan. 6, 2021.

This committee is not about seeking the truth. It is a smear campaign against President Donald Trump, against Republican members of Congress, and against Trump voters across this country,” Rep. Elise Stefanik (R-N.Y.), the House Republican Conference chair, said at a press conference—the first of several events pushing back against the Jan. 6 Committee’s public hearings that are set to begin Thursday.

It does not serve any true legislative or oversight purpose. And it is not about finding out why Nancy Pelosi left the Capitol so ill-prepared that day … and it will not prevent another January 6 from happening,” she added. Stefanik had previously accused the Jan. 6 panel of being a political weapon “used to cover up for Nancy Pelosi’s failures.”House Republican Conference Chair Elise Stefanik (R-N.Y.) (C) speaks at a press conference, was joined by House Republican Whip Steve Scailse (R-La.) (L) and Rep. Jim Banks (R-Ind.), following a Republican caucus meeting, at the U.S. Capitol in Washington, on June 8, 2022. (Kevin Dietsch/Getty Images)

Stefanik also accused Democrats and the Biden administration of “scrambling to change the headlines, praying that the nation will focus on their partisan witch hunt instead of [Americans’] pocketbooks,” noting how Americans are currently facing soaring gas prices, high inflation, and a shortage of baby formula.

Rep. Jim Jordan (R-Ohio) told reporters on Wednesday, “Regarding January 6, I think the goal is been stated. Mr. Raskin stated that their goal is to end the Electoral College and the goal is to stop President Trump from running in 2024, plain and simple.”Rep Jim Jordan (R-Ohio) speaks at a press conference following a Republican caucus meeting at the U.S. Capitol in Washington, on June 8, 2022. (Kevin Dietsch/Getty Images)

Rep. Jim Banks (R-Ind.) said that “based on reports over the weekend, that the committee is being used to advance the radical Democrat agenda that includes abolishing the electoral college.”

The two Republicans’ remarks come after Axios reported on June 6, citing anonymous sources, that Rep. Jamie Raskin (D-Md.) “has argued that the Electoral College should be abolished”—a stance reportedly concurred by Rep. Adam Schiff (D-Calif.) but opposed by Rep. Liz Cheney (R-Wyo.), per the outlet. The Epoch Times cannot independently verify the details reported by Axios.

The Jan. 6 panel, which has nine members, has been criticized for its apparent partisanship, in part because the only two Republicans on the panel—Rep. Adam Kinzinger (R-Ill.) and Cheney—are both known for their strong opposition to Trump.

“This [Jan. 6] committee is unconstitutional. It is illegitimate. It was not put together according to the rules of the House,” Stefanik said, in reference to how Pelosi had selected Kinzinger and Cheney after refusing to seat Jordan and Banks on the committee.

The two were selected to be on the panel by House Minority Leader Kevin McCarthy (R-Calif.), but Pelosi rejected them, saying at the time: “As legislation allows, I didn’t accept [Jordan and Banks] as they had made statements and taken actions that I think would impact the integrity of the commission of the committee.”Rep. Jim Banks (R-Ind.) speaks at a press conference following a Republican caucus meeting at the U.S. Capitol, in Washington, on June 8, 2022. (Kevin Dietsch/Getty Images)

‘A Cover Up’: Rep. Banks

Banks said on Wednesday that the Jan. 6 Committee is not just a “partisan witch hunt” or a potential attempt to abolish the Electoral College, but “also a cover up.”

Speaker Pelosi blocked us because she’s afraid of what a real investigation would uncover,” Banks said while Jordan stood behind him. “She doesn’t want Americans to find out what really happened on January 6, and leading up to it. And she doesn’t want anyone asking questions about her role and her responsibilities and securing the United States Capitol.”

Banks said that the committee is “refusing to answer basic questions about January 6, in fact blocking these questions from even being asked questions that must be answered to keep the capital safe, and to prevent another riot or incident like January 6, from ever happening again in the future.” He listed some of the questions at the press conference.

First of all, Capitol police officers we now know were half-staffed on January 6, ‘because of COVID.’ How is that?” Banks asked.

Banks asked about why some Capitol police officers were under-equipped, with some officers having had to use expired helmets or no helmets at all while they faced some rioters. He also asked why the U.S. Capitol police “never trained to deal with riots after all of the riots that were going on in the summer of 2020.”

“Did Speaker Pelosi communicate with the house sergeant at arms on January 6, or in the days leading up to the riot?” he asked in a fourth question.

“Five—was Speaker Pelosi involved in the decision to delay the National Guard assistance on January 6?” Banks said.

Maj. Gen. William Walker, who was then the commanding general of the D.C. National Guard, said in March 2021 that deployment of guardsmen was delayed on Jan. 6, 2021, after the breach of the U.S. Capitol building, because of a memo issued a day prior that barred the use of the Guard’s “Quick Reaction Force” without approval. The memo was issued by then-Army Secretary Ryan McCarthy. Walker, who is now the House sergeant-at-arms, had said that if the memo wasn’t issued, he would have immediately sent troops to the Capitol following the breach. Instead, it took him over three hours to get the approval from Pentagon officials to deploy that day.

Pelosi on Jan. 6, 2022, told CNN that it was “inexplicable” why the National Guard took so long to deploy. She said that she, Senate Majority Leader Chuck Schumer (D-N.Y.), and House Majority Leader Steny Hoyer (D-Md.), were on the phone “fighting to get the National Guard and it was very hard.”

Banks had three more questions he relayed to reporters on Wednesday.

Six—why didn’t the Capitol Police intelligence unit raise the alarm about potential violence when they had evidence and intelligence for weeks leading up to January 6 that something violent could happen at the Capitol that day?

“Seven—why did the FBI deploy commandos to Quantico on January 3, with shoot-to-kill authority, but failed to send the U.S. Capitol Police a single threat assessment or intelligence bulletin?

“Eight—why did the House Sergeant-at-Arms refuse to cooperate with the Senate Homeland Security’s bipartisan January 6, investigation?”

Banks said that he and Jordan were prepared to ask the above questions if they had not been blocked from the Jan. 6 Committee by Pelosi. “Pelosi blocked us because she knows that those questions leave a trail of breadcrumbs right back to [her] office.”

“The American people are sick and tired of what they’re getting out of this … they’re tired of the theatrics. They want their congressmen and women to focus on the issues that matter most to them. But instead, this is what we’re left up to. It’s a shame. And I believe that will backfire big time on these Democrats as we near the election to come.”

The Epoch Times has reached out to the offices of Pelosi and Jan. 6 Committee Chairman Bennie Thompson (D-Miss.) for comment.

end

King Report

May CPI is +1.0% m/m and +8.6% y/y (0.7% m/m & 8.3% y/y exp); Core CPI is 0.6% m/m and 6.0% y/y (0.5% m/m & 5.9% y/y exp).  The BLS has gasoline +7.8% m/m; it is double that – as of mid-May!  Gasoline has soared at least 10% since the mid-May period in which BLS samples gasoline prices.
 
BBG’s @johnauthers: CPI: The headline is bad, and the detail is worseSticky prices, according to the Atlanta Fed, are rising at their fastest in three decadesLast month saw their rise accelerating. Exactly what policymakers didn’t want to see.  https://t.co/bcD4V4m53h
 
@charliebilello: Price increases over last year (CPI report) … Fuel Oil: +106.7%, Gasoline: +48.7%, Gas Utilities: +30.2%, Used Cars: +16.1%, New Cars: +12.6%, Electricity: +12.0%, Food at home: +11.9%, Transportation: +7.9%, Food away from home: +7.4%, Shelter: +5.5%, Apparel: +5.0%
 
May CPI is disturbing; but inflation reality is far worse.  How can Shelter be only +5.5% y/y when housing prices and rents have inflated at 3X that rate?  Food inflation is a multiple higher than what the government is reporting.  @zerohedge: In the last three months alone, airfares have risen 48%.
 
@tomselliott: U.S. annualized inflation just peaked 17 percent for the first time since WW2, the highest rate in 75 years. The media are misreporting the real data…in the 20th century, the federal government began a series of steps to expand the money supply to facilitate more expansive federal spending…
     The CPI as originally conceived was intended to track the cost of maintaining a constant standard of living. In 1980, the Fed altered its tool for calculating inflation such that it was no longer measuring a constant “basket of goods” but rather a “quasi-substitution-based basket of goods”; now, via “hedonics,” the Fed would, for example, use tech improvements to offset rising prices…which enabled them to suppress headline CPI numbers on net).
    In 1990, the Fed again evolved the CPI so that these tricks for downplaying “official” inflation were exacerbated.  Unfortunately the major media reports whatever Washington feeds them, as if this shapeshifting measuring stick is actually useful to consumers…
   This year the real inflation numbers are slightly more than 2x the official numbersThe federal government is dramatically — and intentionally — underreporting inflation.
https://twitter.com/tomselliott/status/1535269226709241861
 
The hideously misguided academics (sorry for the redundancy) that occupy the Fed stupidly believed that they could talk inflation down like they talk down stock prices.  But American consumers are not Wall Street operatives.  Consumers are constrained by checkbook reality, and the Fed doesn’t bail them out.
 
University of Michigan’s June preliminary US consumer-sentiment plunged to a record low of 50.2.  58.1 was consensus; previous 58.4.  Current Conditions 55.4, 62.9 expected, 63.3 previous; Expectations 46.8, 55.3 expected, 55.2 previous
 
UNIVERSITY MICHIGAN SENTIMENT PRELIM JUNE 2022 REPORT
Consumer sentiment declined by 14% from May…reaching its lowest recorded value, comparable to the trough reached in the middle of the 1980 recession. All components of the sentiment index fell this month, with the steepest decline in the year-ahead outlook in business conditions, down 24% from May. Consumers’ assessments of their personal financial situation worsened about 20%. Forty-six percent of consumers attributed their negative views to inflation, up from 38% in May; this share has only been exceeded once since 1981, during the Great Recession… https://t.co/aW1EaDS0OK
 
Since the Fifties, when the UM Sentiment was this low, ex-late 2011, the US was in recession.
https://twitter.com/JeffWeniger/status/1535785657506750464/photo/1
 
Americans owe $22 billion in late utility bills as energy prices spike 34%
https://www.cnbc.com/select/where-to-find-help-with-late-utility-bills/
 
Biden approval sinks to 22% among young adults, 24% among Hispanics: poll https://t.co/6uE1RwoO8n
 
Starting with Jamie Dimon, a gloomy vibe has overtaken the leadership ranks of finance https://t.co/U2o0Ljnwfw
 
The June of Joe is not going well.  Operation Gaslight Americans on the economy is doomed.
 
GOP politicians eagerly exploited the CPI report for political advantage and to mock The Big Guy.
 
GOP @RepMikeJohnson: …Inflation has reached its highest point in over FOUR DECADES. And what are Washington Democrats focused on? Trying to impeach Trump for a third time.
 
McCarthy slams Democrats for ‘historic disaster,’ as inflation reaches new 40-year-high
Families are struggling to afford to put food on the table and gas in their cars… Democrats aren’t devoting any primetime hearings to those issues… Republican Sen. Josh Hawley, R-Mo., called on Biden to resign if he can’t get a handle on the economic crisis
https://www.foxbusiness.com/politics/mccarthy-slams-democrats-for-historic-disaster-as-inflation-reaches-new-40-year-high
 
Bloomberg: Traders Price 50% Chance of 75-Basis-Point Fed hike in July 11:24 ET
 
ESMs hit a low of 3898.50 at 11:40 ET.  The S&P 500 Index registered 3900.60.  A relief rally after the European close developed, abetted by buying to keep the S&P 500 Index from falling below 3900.  The rally terminated quickly.  ESMs and stocks then bottom bumped until they rallied at 13:00 ET.
 
USUs hit a bottom just before 13:00 ET. The 2-year note yield jumped 23bps on the day and hit 3.05%, the highest rate since June 2008!  The 2-year to Fed Funds model, which has been obliquely cited by Fed officials, shows the Fed is 225bps behind this curve.  Versus inflation, the Fed is almost 800bps behind.
 
@MarketWatch 13:07 ET: Biden will be addressing high prices within the next hour, when he is expected to say that one key way to fight inflation will be lowering the cost of moving goods through supply chains.
 
The WH announced that The Big Guy would address inflation in a 13:45 ET speech.  Reports said Joe would proffer lowing supply chain costs to lower inflation.
 
Prior to The Big Guy’s scheduled speech on inflation at 13:45 ET, the WH released a tape of Joe near 13:11 ET in which Joe absurdly stated, “It’s good to see critical core inflation moderating.”  The Big Guy and his handlers are tripling down on gaslighting Americans on the economy!

Greg Hunter interviewing Pierre Kory

CV19 Vax Deaths & Injuries are an Ignored Humanitarian Catastrophe – Dr. Pierre Kory

By Greg Hunter On June 11, 2022 In Political Analysis50 Comments

By Greg Hunter’s USAWatchdog.com (Saturday Night Post)

World renowned CV19 critical care and pulmonary expert Dr. Pierre Kory says his clinic is seeing an explosion of people seeking treatment for CV19 vaccine sickness and injury.  Dr. Kory reports, “We just started seeing more and more vaccine injured, and they are really quite ill.  It’s a very complex illness.  We are working on treatments that work and understanding the path of physiology. . . . By the way, there is not a lot published on vaccine injury.  As you know, they don’t want to call attention to it.  The big high impact (medical) journals will not publish on it. . . . It’s hard to become an expert on vaccine injury when it’s a disease that is being ignored. . .. Nobody has a post vaccine injury clinic, and there are really no suggestions on how to treat it.”    

Dr. Kory is developing new treatment protocols for treating the vax injured.  Dr. Kory and his team at Front Line Covid 19 Critical Care Alliance (flccc.net) have an “Updated Post-Vaccine Syndrome Protocol.”  Dr. Kory says it’s not a cure—yet, but it’s a good start.  Dr. Kory explains, “I think it is a good general guide, but we need to know a lot more.  I will tell you that what I was doing two months ago with these patients is a lot different than what I am doing now.”

Dr. Kory, who is writing a book called “The War on Ivermectin,” said early treatment for CV19 with medication such as Ivermectin could have saved nearly a million lives.  Now, Dr. Kory’s base medicine for the vax injured is also Ivermectin.  It’s a drug that won a Nobel Prize in medicine in 2015 because it is safe and effective.  Dr. Kory says, “For different reasons, Ivermectin is my first go-to medicine.  There are a number of reasons for that.  Number one, it’s one of the most tightly binding medicines to the spike protein.  The vaccine injured are causing what I call a spike-opathy (or spike disease).  It’s the spike protein, which is triggering a bunch of pathologic mechanisms.  The lipid nanoparticles are also a problem . . . but for the spike protein, specifically, the Ivermectin seems to counter it.  Also, Ivermectin is a very potent anti-inflammatory.  It’s the medicine that works the best, but it does not work in everybody.”

Dr. Kory freely admits there is “a lot we don’t know about CV19 vaccine injury,” and, thus, a lot to learn to treat it.  What Dr. Kory is sure of is there are massive amounts of deaths and injuries from the CV19 injections that are being ignored by the government regulators, medical community and the mainstream media.  Dr. Kory contends, “This is a humanitarian catastrophe, and it has been ignored.  It has been suppressed.  It has been censored, but you cannot hide from this data when it’s in your face.  The system is going to have to address this in some way at some point. . . . We figured out how to treat Covid, and we did a good job . . . . Now, we have to try and do the same thing with the vaccine injured, and it’s a much different problem.”

In closing, Dr. Kory points out one big thing with all the CV19 vaccines, “It’s all experimental. That’s right, experimental.  We don’t have long-term safety data.  We don’t know the long-term consequences.  We don’t know the true rise in cancers and what it has to do with the immune system.  These are all worries and concerns. . . . There has been no approved vaccine used in America since the beginning of Covid. . . . it’s all experimental.”

There is much more in the nearly 57 min. interview.

Join Greg Hunter as he goes One-on-One with Dr. Pierre Kory, one of the top Pulmonary and Covid Critical Care experts on the planet, who is co-founder of the Front Line Covid-19 Critical Care Alliance (flccc.net) and author of the upcoming book “The War on Ivermectin.”

(https://usawatchdog.com/cv19-vax-deaths-injuries-are-an-ignored-humanitarian-catastrophe-dr-pierre-kory/

After the Interview: 

All the information is free on Front Line Covid-19 Critical Care Alliance website flccc.net.

If you want to preorder Dr. Kory’s book (coming out in September) “The War on Ivermectin,” click here, or click here.

SEE YOU TUESDAY

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