Nov 27

Gold Plunges Below “Crucial Level”, Lowest Since Oct 2009 On $2 Billion Notional Flush:

With the world closest to World War 3 since the cold war era and Russia about to unleash escalating sanctions of Turkey, it makes perfect sense that ‘investors’ would want to purge themselves of precious metals. Someone decided that Friday after Thanksgiving would be the perfect time to dump over 18,000 contracts (around $1.9 billion notional) sending the price of gold futures to their lowest since Oct 2009, below what Goldman called a “crucial level.”

Over 18000 contracts dumped…


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Nov 24

Sprott Unleashed: “Everything is a Lie… They’ve Got To Pretend There Is An Economic Recovery Happening”:

If the government’s official statistics are to be believed the U.S. economy is moving full steam ahead. Consumers are spending, the job market is expanding, real estate has recovered, stocks are soaring and the U.S. dollar is stronger than it has been in a decade.

But if you have yet to realize it, it’s all a lie. So says billionaire investor Eric Sprott of Sprott Global, which manages hundreds of millions of dollars in contrarian investment funds for clients all over the world. Well known for his long-term bullishness on the resource sector, specifically precious metals, Sprott joined First Mining Finance chairman Keith Neumeyer in a must-see interview where the pair discuss everything from the state of the global economy and trade to gold market manipulation and the inevitable breakdown of highly leveraged paper trading exchanges. Continue reading »

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Nov 23


“Central Banks Are Out Of Dry Powder” Stockman Warns “Another Financial Crisis Is Unavoidable”:

David Stockman:

We’re headed for a very severe monetary crisis and period of great instability — the very opposite of what has been experienced for the last six or seven years, when these markets have been effectively tranquilized by the central banks and their massive quantitative easing and intrusion into financial markets..

But it’s going to change because we’re reaching the point where they (central banks) are out of dry powder.  I don’t think the central banks have infinite power.  I don’t think they can keep interest rates suppressed forever if confidence is lost.

Remember, there are trillions of dollars of bonds out there.  There is something like $225 trillion of total debt in the world (public and private), and $90 trillion of that is traded in one form or another. Continue reading »

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Nov 14


About 38% Of All The COMEX Gold In Hong Kong Left The Warehouses Yesterday:

Via Jesse’s Cafe Americain,

Roughly 21 tonnes, or 685,652 troy ounces of gold in .999 fine kilo bars, was withdrawn, net of a small deposit of 27,328 ounces, from the Brinks warehouse in Hong Kong yesterday.


To put that into some perspective, that is the same amount of all gold in the entire JPM warehouse in the US.

Continue reading »

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Nov 12

‘Gold’ Spikes Off 2015 Lows As Gold Coin Sales Surge To Highest Since Financial Crisis:

With the ‘paper’ price of gold are a somewhat unprecedented barrage of selling currently (down 9 of the last 11 days) to 4-month lows, one could be forgiven for thinking that demand for the precious metal is dropping. However, as almost every nation in the world (ex US) is devaluing their currency, The World Gold Council reports that physical gold demand has risen dramatically with US gold Eagle coin sales at the highest levels since the financial crisis.

‘Physical’ Demand is exploding…

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Nov 09

Venezuela Default Countdown Begins: After Selling Billions In Gold, Caracas Raids $467 Million In IMF Reserves:

In late October, when describing Venezuela’s desperate steps to keep itself afloat for a few more months, we reported that in order to fund $3.5 billion bond payments in early November, Maduro’s government had engaged in something that is the very definition of insanity: selling the country’s sovereign (and pateiently repatriated by his deceased predecessor) gold to repay creditors.

Specifically, in the past several months, Caracas has quietly parted with 19% of its gold holdings: “Central bank financial statements posted this week on its website show monetary gold totaled 91.41 billion bolivars in January and 74.14 billion bolivars in May.  At the strongest official exchange rate of 6.3 bolivars per U.S. dollar, which the bank uses for its financial statements, that decline would be equivalent to $2.74 billion.” Continue reading »

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Nov 07


China Buys Another 14 Tons Of Gold In October As FX Reserves Unexpectedly Rebound:

Today we got yet another confirmation that China’s July announcement on its gold holdings merely broke the seal of accumulation when the PBOC reported that its total gold holdings as of October 31 had risen to a record $63.3 billion, up $2.1 billion from $61.2 billion at the end of September, and an increase of 14 tons based on the month-end LBMA gold fix price. This represents the fifth consecutive month in a row in which China has added to its gold.



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Nov 04

This will surely end well.

gold dilution nov

There Are Now 293 Ounces Of Paper Gold For Every Ounce Of Physical As Comex Registered Gold Hits New Low:

As of today, the gold “coverage” ratio, or the amount of paper claims for every ounce of physical, has just hit a new all time high of 293 ounces of paper per ounce of registered physical.

Curiously, the last time we observed a comparable surge in the Comex dilution ratio took place just two months ago when a comparable “adjustment” reduced JPM’s “Registered” inventory by 122,124 ounces. Back then many said the adjustment would be promptly reversed. Continue reading »

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Nov 01

Analyst Warns Of Turbulence: ‘Geopolitical Dislocations Could Result In Key Resource Supplies Disappearing’:

Some of the world’s biggest investors have been taking significant positions in the commodity resource sector as of late, most notably in gold. With geopolitical tension and fear of economic breakdown reaching a near boiling point, it’s not difficult to see why. Instability pervades the entire system, encompassing everything from financial markets to social safety nets. And while it is easy to ignore the seriousness of current events because stock markets remain at record highs and mainstream pundits continue to toe the recovery line, the fact is that an unexpected and seemingly minor event could well send the entire world into a tailspin.

According to analyst John Kaiser, this is exactly what we need to be concerned with. In a candid interview with Future Money Trends Kaiser explains just how political dislocations could result in supply lines to critical commodities like food, copper, zinc and gold being cut – even without a major war – should the United States, Russia and China continue to bump heads.

(Watch at Future Money Trends or Youtube)

Forget about the big, giant macro-economic increases in overall global GDP, but instead let’s look at the turbulence we’re starting to see where China is asserting itself in the South China Sea area… where Putin is eyeing its lost colonies in Europe and Central Asia and thinking maybe we should re-establish the Soviet empire… where we see instability in the middle east. Continue reading »

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Oct 31

Withdrawals Of Gold From NY Fed Jump To 20 Tons In September, Total 276 Tons Since 2014:

In September, the total physical gold held in custody at the NY Fed dropped another 19.9 tons in September, down to 5,919.5 tons. This was a doubling in gold withdrawals from 10 tons in August, and is the highest withdrawal since January. At just under 5,920 total tons in NY Fed inventory, this is the lowest amount of gold held in NY Fed custody in decades.

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Oct 29

Venezuela Sells Billions In Gold To Repay Its Debt:

Just under a year ago in the aftermath of the “OPEC Thanksgiving Massacre” of 2014 which sent oil crashing when Saudi Arabia effectively ended the oil cartel, we predicted that Venezuela (with its CDS trading at 2300 bps back then) would become the first casualty of the “crude carnage.” Since then not only has Venezuela, which relies on crude oil for 95% of its export revenue, suffered a dramatic episode of hyperinflation (which is only accelerating) coupled with total economic collapse, but its CDS has, as expected, blown out to reflect a default of probability at 96% over the next five years as shown below.


Yet while everyone promptly jumped on the “Venezuela will default bandwagon” it has so far avoided bankruptcy.

How can this country with a massive debt load and a paralyzed economy have avoided default so far? Continue reading »

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Oct 26

Indians Urged To Give Up Their “Idle Gold” For The Good Of The Nation:

One month ago, when reviewing India’s ploy to monetize the thousands of tons of gold held by the broader population through the issuance of “gold-backed bonds” (which would need to offer a rate of interest greater than inflation to be attractive but they won’t), we asked if this is “the start of India’s gold confiscation.

As a reminder, as part of the plan, Indians would be allowed to “deposit their jewelry or bars with banks and earn interest, while the banks will be free to sell the gold to jewelers, thereby boosting supply. The deposits can be for a period of one year to 15 years with the interest on short-term commitments to be decided by the banks and those on long-term deposits by the government in consultation with the central bank.” Continue reading »

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Oct 25

Bitcoin Soars As China’s Creeping Capital Controls Loom:

Since China devalued the Yuan and surprised the world’s carry traders (and central planners) by stirring up FX volatility, the demand for ‘paper’ gold has begun converging to the demand for physical precious metals. Gold prices are now up over $100 since August 10th, but it is another (easier to ‘transport’) alternative currency that has soared. Bitcoin has spike post-China-devaluation(since dipping on ‘governance’ concerns), accelerating from under $200 to almost $300 today, and up 25% since our September 2 explanation why China’s capital account crackdown is “great news” for bitcoin.

The demand for alternatives to fiat currencies appears to be soaring:

However, the last week or two suggest, perhaps more importantly, that China easing (and outflows implict from further devaluation) now appears to go straight to Bitcoin.
As Overstock’s Chairman noted previously: gold is great, but tough to transport; thus, forcing Chinese into Bitcoin as we previously explained:

Continue reading »

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Oct 25

After making this announcement they also better have several of these …


… and sufficient ammo.

Overstock Holds 3 Months Of Food, $10 Million In Gold For Employees In Preparation For The Next Collapse:

Overstock CEO Patrick Byrne’s crusade against naked short sellers in particular, and Wall Street and the Federal Reserve in general, has long been known and thoroughly documented (most recently with his push to use blockchain technology to revolutionize the multi-trillion repo market).

But little did we know that Overstock’s Chairman Jonathan Johnson is as vocal an opponent of the fiat system, and Wall Street’s tendency to create bubble after bubble, if not more than Byrne himself.  That, and that his company actually puts its money where its gold-backed money is and in preparation for the next upcoming crash, has taken unprecedented steps to prepare for what comes next. Continue reading »

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Oct 22

H/t reader squodgy:

“Cashing in what excess savings you have raises eyebrows these days.
But because your savings are now the bankster’s property anyway, it must be considered.

Most ordinary folk are looking at what savings they have left & wondering where to put it.
The markets continue to rise, but reports of industrial doldrums prevail. So the markets are lying….again.
So, you start to withdraw without flagging. But where to put it?
Keeping it as paper is a short term necessity, but not long term as the banksters can change the note or create hyperinflation rendering it worthless.

Prepping is one option. Stocking future barter options like booze, fags, salt, fuel, is another.

Precious metals another.”


What your high school chemistry teacher never taught you about gold:

One of the more unfortunate developments in human civilization over the last century is the devolution of money.

In fact, the word ‘money’ has now become synonymous with those funny pieces of paper that are conjured out of thin air by unelected central bankers.

Or even more ridiculous, ‘money’ has become the electronic representation of that paper.

Think about your bank account balance; it’s not like the bank has all that paper currency sitting in its vault.

The ‘money’ in your account doesn’t even really exist. There’s just enough of a thin layer of confidence in the system (at the moment) that this is a widely accepted practice. Continue reading »

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Oct 17


The Smoking Gun: Silver & Gold Manipulation Exposed

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Oct 14

Gold Soars Into Green Year-To-Date, Breaks Above Key Technical Level:

Gold has broken above its 200-day moving-average and pushed back into positive territoiry for 2015 amid a notable surge in prices (after whipsawing around in the last 24 hours). As the USD Index suffers its first ‘death cross’ in over 2 years, perhaps Paul Singer’s comments are starting to gather momentum.


Gold is now up 4 days in a row, back to 4 month highs…

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Oct 10

The Real Reason Belgium Sold 1,098 Tonnes Of Gold:

As part of a global investigation into how much physical gold central banks have stored at what location and how much is leased out, we submitted the local equivalent of a Freedom Of Information Act (FOIA) request at the central bank of Belgium (NBB) to obtain information about the amount of Belgian official gold reserves, the exact location of all gold bars, the type of gold accounts NBB holds at the Bank Of England (BOE) and how much is leased out and to whom. The outcome of this research was not what we had expected…

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Sep 30


What it means when gold sells at a NEGATIVE price…:

Nearly four months ago on June 2nd, something very unusual happened in Edmonton, Alberta, Canada.

The price of propane actually became negative, hitting an unbelievable -0.625 cents per gallon.

It’s hard to believe that the price of a productive commodity could become so beat down by the market that producers would practically have to pay you to take it off their hands.

Now that’s cheap. And completely nuts. Continue reading »

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Sep 28


UBS Is About To Blow The Cover On A Massive Gold-Rigging Scandal:

Unlike previous gold probe cases, this one will have major consequences. How do we know? Because just like in LIBOR-gate, just like in FX-gate, it is the biggest rat of all, Swiss megabank UBS, that is about to turn on its former criminal peers.  As Bloomberg reported earlier “UBS was granted conditional leniency in Swiss antitrust probe of possible manipulation of precious metal prices.” Why would UBS do this? The same reason UBS did so on at least on two prior occasions: the regulators have definitive proof it is involved, and gave it the option to turn evidence and to rat out its cartel peers, or face even more massive financial penalties. UBS, as usual, choice the former.

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Sep 27


The London Float And PBOC Gold Purchases

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Sep 24


Is The Bank Of Spain Quietly Pulling Its Gold From Catalonia Ahead Of This Weekend’s Vote?

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Sep 24

Bank of Spain Responds, Promises It Is Not Confiscating Catalonia’s Gold

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Sep 20

The Fed’s A “Joke,” Saxobank CIO Prefers Gold Amid Increased Uncertainty:

“A joke” and “far from impressive”, both descriptions give you a sense of the frustration being felt by Saxo Bank’s Chief Economist Steen Jakobsen who analyses the decision not to raise rates in this brief clip. The Fed “missed opportunity to raise rates for first time since 2006” according to Steen who has been consistently arguing against what he calls the Fed’s  “pretend-and-extend” culture. Volatility and uncertainty will remain high and there’s now little chance of a rate rise this year suggests Steen (expecting a big rally in gold), given that EM economies and China are unlikely to emerge from the doldrums in the near-term.

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Sep 16

Comexodus: JPMorgan’s Vault Is One Withdrawal Away From Running Out Of Deliverable Gold

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Sep 15

“That is real gold. The alternative is paper gold…other people’s promises.”

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Sep 14

It’s virtually impossible to get physical gold in London

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Sep 12

Bank Caught Using Fake Gold As Reserve Capital In Russia (ZeroHedge, Sep 12, 2015):

Over the past several years, incidents involving fake gold (usually in the form of gold-plated tungsten) have emerged every so often, usually involving Manhattan’s jewerly district, some of Europe’s bigger gold foundries, or the occasional billion dealer. But never was fake gold actually discovered in the form monetary gold, held by a bank as reserve capital and designed to fool bank regulators of a bank’s true financial state. This changed on Friday when Russia’s “Admiralty” Bank, which had its banking license revoked last week by Russia’s central bank, was reportedly using gold-plated metal as part of its “gold reserves.

According to Russia’s, as part of a probe in the Admiralty bank, the central bank regulator questioned the existence of the bank’s reported quantity of precious metals held in reserve. Citing a source, notes that as part of its probe, instead of gold, the “regulator found gold-plated metal.” Continue reading »

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Sep 12


Are Big Banks Using Derivatives To Suppress Bullion Prices? (The Real Agenda News, Sep 9, 2015):

By Paul Craig Roberts

We have explained on a number of occasions how the Federal Reserves’ agents, the bullion banks (principally JPMorganChase, HSBC, and Scotia) sell uncovered shorts (“naked shorts”) on the Comex (gold futures market) in order to drive down an otherwise rising price of gold.

By dumping so many uncovered short contracts into the futures market, an artificial increase in “paper gold” is created, and this increase in supply drives down the price. Continue reading »

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Sep 10

Wow! You can’t make this scam up if you wanted to.

From the article:

“the plan will allow Indians to deposit their jewelry or bars with banks and earn interest, while the banks will be free to sell the gold to jewelers, thereby boosting supply.”

And again: Only physical(!) gold (and silver) stored outside the banking system is real, everything else is an illusion.



Is This The Start Of India’s Gold Confiscation (ZeroHedge, Sep 10, 2015):

On April 5, 1933, FDR signed Executive order 6102 which made illegal “the Hoarding of gold coin, gold bullion, and gold certificates within the continental United States” in the process criminalizing the possession of monetary gold by any individual or corporation.

This was de facto gold confiscation; De jure it wasn’t, because as compensation for the relinquished gold, Americans would receive 20.67 in freshly printed US dollars for every troy ounce. Anybody who objected faced a fine of $10,000 (just under $200,000 in inflation-adjusted dollars) and up to 10 years in prison.

Once the government was confident it has confiscated enough gold, it turned around and raised the official price of a gold ounce to $35 (about $600 in today’s dollars) devaluing the US Dollar by 40% overnight at a time when currencies were still backed by hard assets. Continue reading »

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